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AHA urges congressional action on economic pressures   01/06/2009
In a legislative proposal sent today to Congress, the AHA again calls for swift action to alleviate the economic pressures threatening hospitals as a result of the recession. “This pressure, coupled with other payment pressures, is leading to a decline in hospitals’ financial health at a time when demand for health care services is growing,” the proposal states. In addition to temporarily increasing the Federal Medical Assistance Percentage, the rate at which the federal government matches states’ Medicaid expenditures, the AHA urges lawmakers to expand health coverage options for the recently unemployed; make technical amendments to the Pension Protection Act; increase funding to help hospitals adopt information technology; and improve hospitals’ access to capital. The proposal also calls on Congress to reverse certain harmful Medicare and Medicaid regulations, ban self-referral to physician-owned hospitals, and expand funding to grow the supply of registered nurses. In a new ad debuting today, the AHA encourages House members to sign a letter urging President-elect Obama to “maintain the economic health of America’s hospitals” as he works with Congress to craft an economic recovery package. The letter is being circulated by Reps. Robert Brady (D-PA) and Joe Wilson (R-SC).
CMS updates RAC demonstration report   01/06/2009
The Centers for Medicare & Medicaid Services has further updated its July 2008 report on the Medicare recovery audit contractor three-year demonstration program to include appeals statistics through Aug. 31, 2008. According to the second update, providers appealed 22.5% of RAC denials, 61% more than originally reported, and of those, 34% were overturned in favor of providers, 2% more than originally reported. The proportion of RAC demonstration denials overturned on appeal increased to 7.6%. CMS still has not quantified the number of RAC appeals in process and will continue to provide regular updates until all appeals have been completed. "We continue to work closely with CMS and Congress to address ongoing concerns with the RAC program," said Rochelle Archuleta, AHA senior associate director for policy. "And we're developing even more tools to help hospitals prepare for the permanent RAC program." For more information, visit  the AHA Web site.
CMS: Growth in health care spending slowed in 2007   01/06/2009
The U.S. spent $2.2 trillion on health care in 2007, 6.1% more than the previous year and the smallest increase since 1998, according to a new report by the Centers for Medicare & Medicaid Services. The report attributed most of the deceleration to slower spending growth for retail prescription drugs and administration of the Medicare program. Spending for hospital care rose 7.3% in 2007 to $696.5 billion, driven partly by an 8.9% increase in spending by Medicaid. Price growth accounted for half the total growth in hospital spending. AHA Executive Vice President Rick Pollack said, "The cost of caring for patients in hospitals continues to increase as a severe workforce shortage drives up labor costs. The cost of pharmaceuticals and technology, which allows us to do more for more patients, is also rising, while at the same time an aging population is turning to hospitals for more services." The report appears in the January/February issue of Health Affairs.
AHA service lets hospitals field test Schedule H   01/06/2009
The AHA has launched a free service to help tax-exempt hospitals field test the Internal Revenue Service’s new Schedule H for community benefit reporting. Through March 15, hospitals can confidentially submit a mock Schedule H to Ernst & Young tax specialists retained by the AHA and receive feedback to help them clarify or improve their responses. Participating hospitals also can see aggregated information on how other similar hospitals completed the form, with identifying information removed. Hospitals can complete the mock Schedule H online after Jan. 8, or download a copy to mail or fax to the consultant. Hospitals must file Part V of Schedule H with the IRS for tax year 2008, and begin filing the full schedule for tax year 2009. For more on the new IRS Form 990 and Schedule H, visit the AHA Web site.
HHS issues plan to reduce health care-associated infections   01/06/2009
The Department of Health and Human Services today issued a plan for enhancing HHS-supported efforts to reduce and prevent health care-associated infections. The plan establishes national prevention goals and recommends clinical practices, research, data and other strategies to strengthen and coordinate its efforts. The agency will accept comments on the plan through Feb. 6, and expects to hold meetings in spring 2009 for additional public input. The meeting dates will be posted at www.hhs.gov/ophs.
Monograph examines physicians' role in integrated care delivery   01/06/2009
A new monograph from the Center for Healthcare Governance examines how successful integrated health care delivery models depend on physician support, citing physicians' unique position as a key point of contact between the organization and the public. "Creating a Healthy Board/Medical Staff Relationship: Current Trends and Practices" shares the results of a survey of board/medical staff relationships conducted by the Center, Health Research & Educational Trust and Integrated Healthcare Strategies. It offers strategies health care organizations and physicians are using to improve their relationships, and can be used for board member orientation, leadership retreats and other board-physician initiatives. To order any Center monograph, visit www.americangovernance.com or email info@americangovernance.com. The Center for Healthcare Governance is the AHA's resource for governance information, tools and counsel to promote excellence in health care governance.
Survey: Economy hurting PA hospitals, patients   01/06/2009
The economic downturn is hurting Pennsylvania hospitals and patients, according to a new survey by the Hospital & Healthsystem Association of Pennsylvania (HAP). Three-quarters of hospitals and health systems in the state forecast a moderate to significant effect on the financial stability of their facilities through December 2009. Eighty-three percent report significant declines in investment income, and 51% report a moderate or significant increase in uncompensated care. Half of hospitals report a moderate to significant decrease in admissions, particularly elective procedures, and 45% report increased expenses in accessing capital. "As more people lose jobs and/or their health insurance, the financial burden on hospitals will increase," said HAP President and CEO Carolyn Scanlan. "From a human perspective, however, the implications are worse. More patients will postpone preventive and routine health care, and they will be put at risk for more serious illnesses and complications before they seek care. The result will be sicker Pennsylvanians at a higher cost."
Coalition calls on Congress to increase FMAP    01/05/2009
A coalition of consumer, health care and other groups, including the AHA, recently urged congressional leaders to include in legislation to stimulate the economy a substantial temporary increase in the Federal Medical Assistance Percentage, the federal matching rate for states' Medicaid expenditures. In a letter, the group said federal support is needed to prevent states from cutting their Medicaid programs, and that the FMAP assistance should contain protections against adverse changes in enrollment, benefit levels and provider payments. "Medicaid programs across the country are facing historic challenges, and they urgently need federal support," the group wrote. "…Increasing the federal investment in state Medicaid programs is needed to prevent cuts in the program and is an important step to strengthen our economy over the long run." 
Survey: Recession expected to impact hospital fundraising   01/05/2009
Many fundraisers for non-profit hospitals and health systems predict reduced donations in 2009 will lead to sharp cuts in construction and equipment purchases, according to a new survey by the Association for Healthcare Philanthropy. The survey's nearly 800 respondents from the U.S. and Canada forecast average declines in giving of about 17% and average cuts to their operating budgets of about 12%. "Even in challenging economic times, the AHP recession survey shows our members will not cut back on critically needed programs that communities depend on for the well-being of all their citizens," said Lisa Hillman, AHP board chair and senior vice president and chief development officer for Anne Arundel Health System in Annapolis, MD. All but 10% of the survey respondents were from the U.S.
AHA seeks candidates for Board of Trustees   01/05/2009
The AHA Committee on Nominations is accepting recommendations of candidates for chair elect of the Board of Trustees and four trustees at large, all of whom will take office Jan. 1, 2010. Representation of racial and ethnic minorities; specialty hospitals, including rehabilitation, long-term care, psychiatric and substance abuse, children's and women's hospitals; and small or rural hospitals are especially welcome. Candidates or those recommending candidates are asked to contact Michael Guerin, committee secretary, at (312) 422-2711 or mguerin@aha.org. Members recommending candidates also may request an appointment to meet with the committee when it convenes at 1 p.m. April 26, during the AHA Annual Membership Meeting in Washington.