Post-Hospital Care

Efforts To Evaluate Medicare Prospective Payment Effects Are Insufficient Gao ID: PEMD-86-10 June 2, 1986

In response to a congressional request, GAO: (1) examined the Health Care Financing Administration's (HCFA) methods for evaluating the Medicare Prospective Payment System's (PPS) effect on post-hospital services; and (2) developed a plan to determine these effects.

GAO found that: (1) the studies the Department of Health and Human Services (HHS) is conducting on PPS will produce limited information on changes in the use of and expenditures for Medicare-covered post-hospital services; and (2) HHS has no plans to develop information on whether the changes it measures are due to PPS and what effects PPS has on Medicare beneficiaries and post-hospital services. GAO developed a two-part plan for evaluating the effects of the system on post-hospital care, which would use time-series analysis and data compiled before and after PPS implementation.

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