The Facilities for Medicare and Medicaid Services’ hospital wage index program isn’t really doing enough to help amenities in the base quartile, particularly those people in rural areas, according to an audit performed by the Section of Health and Human Products and services Business of Inspector Basic.
OIG’s audit uncovered that of the hospitals in the base quartile of the space wage index for the federal fiscal calendar year 2020, fifty three% have been in rural regions. These hospitals also tended to be lesser and lessen-quantity amenities, according to the report.
Because of these conclusions, the watchdog agency urges CMS to concentrate its base quartile wage index adjustment on hospitals with lower or detrimental earnings margins relatively than the types with bigger, favourable earnings margins.
It further proposed that CMS glimpse into why some hospitals in a specific space could pay bigger wages than other hospitals in the same space,