CBO: Demonstration Projects Don’t Reduce Medicare Spending.
ByModern Healthcare (1/19/12) reports a new Congressional Budget Office analysis found “that most demonstration projects in” disease management/care coordination and value-based payment did not reduce spending in the Medicare program. After examining 20 major demonstrations, researchers found that “spending was either unchanged or increased relative to the spending that would have occurred without the program, when the fees paid to the participating organizations were taken into account.”
The “HealthWatch” blog of The Hill (1/19/12) reports that despite the “widespread support, in Congress and among economists, for the broad ideal that Medicare would save money if it paid for better outcomes instead of more procedures,” the CBO found that “20 years of trying to shift the program in that direction have yielded little to no progress.” The agency’s “findings are a blow to existing Medicare projects as well as a key goal of the healthcare reform law.”
Feb / 22 / 2012
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