Medicare Program; Proposed Changes to the Hospital Inpatient Prospective Payment Systems and Fiscal Year 2009 Rates; Proposed Changes to Disclosure of Physician Ownership in Hospitals and Physician Self-Referral Rules; Proposed Collection of Information Regarding Financial Relationships Between Hospitals and Physicians, 23528-23938 [08-1135]
Download as PDF
23528
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
DEPARTMENT OF HEALTH AND
HUMAN SERVICES
Centers for Medicare & Medicaid
Services
42 CFR Parts 411, 412, 413, 422, and
489
[CMS–1390–P]
RIN 0938–AP15
Medicare Program; Proposed Changes
to the Hospital Inpatient Prospective
Payment Systems and Fiscal Year 2009
Rates; Proposed Changes to
Disclosure of Physician Ownership in
Hospitals and Physician Self-Referral
Rules; Proposed Collection of
Information Regarding Financial
Relationships Between Hospitals and
Physicians
Centers for Medicare and
Medicaid Services (CMS), HHS.
ACTION: Proposed rule.
jlentini on PROD1PC65 with PROPOSALS2
AGENCY:
SUMMARY: We are proposing to revise the
Medicare hospital inpatient prospective
payment systems (IPPS) for operating
and capital-related costs to implement
changes arising from our continuing
experience with these systems, and to
implement certain provisions made by
the Deficit Reduction Act of 2005, the
Medicare Improvements and Extension
Act, Division B, Title I of the Tax Relief
and Health Care Act of 2006, and the
TMA, Abstinence Education, and QI
Programs Extension Act of 2007. In
addition, in the Addendum to this
proposed rule, we describe the proposed
changes to the amounts and factors used
to determine the rates for Medicare
hospital inpatient services for operating
costs and capital-related costs. These
proposed changes would be applicable
to discharges occurring on or after
October 1, 2008. We also are setting
forth the proposed update to the rate-ofincrease limits for certain hospitals and
hospital units excluded from the IPPS
that are paid on a reasonable cost basis
subject to these limits. The proposed
updated rate-of-increase limits would be
effective for cost reporting periods
beginning on or after October 1, 2008.
Among the other policy decisions and
changes that we are proposing to make
are changes related to: Limited proposed
revisions of the classification of cases to
Medicare severity diagnosis-related
groups (MS–DRGs), proposals to address
charge compression issues in the
calculation of MS–DRG relative weights,
the proposed revisions to the
classifications and relative weights for
the Medicare severity long-term care
diagnosis-related groups (MS–LTC–
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DRGs); applications for new medical
services and technologies add-on
payments; wage index reform changes
and the wage data, including the
occupational mix data, used to compute
the proposed FY 2009 wage indices;
submission of hospital quality data;
proposed changes to the postacute care
transfer policy relating to transfers to
home for the furnishing of home health
services; and proposed policy changes
relating to the requirements for
furnishing hospital emergency services
under the Emergency Medical
Treatment and Labor Act of 1986
(EMTALA).
In addition, we are proposing policy
changes relating to disclosure to
patients of physician ownership or
investment interests in hospitals and
soliciting public comments on a
proposed collection of information
regarding financial relationships
between hospitals and physicians. We
are also proposing changes or soliciting
comments on issues relating to policies
on physician self-referrals.
DATES: To be assured consideration,
comments must be received at one of
the addresses provide below, no later
than 5 p.m. E.S.T. on June 13, 2008.
ADDRESSES: When commenting on
issues presented in this proposed rule,
please refer to filecode CMS–1390–P.
Because of staff and resource
limitations, we cannot accept comments
by facsimile (FAX) transmission.
You may submit comments in one of
four ways (please choose only one of the
ways listed):
1. Electronically. You may submit
electronic comments on this regulation
to https://www.regulations.gov. Follow
the instructions for ‘‘Comment or
Submission’’ and enter the file code
CMS–1390–P to submit comments on
this proposed rule.
2. By regular mail. You may mail
written comments (one original and two
copies) to the following address ONLY:
Centers for Medicare & Medicaid
Services, Department of Health and
Human Services, Attention: CMS–1390–
P, P.O. Box 8011, Baltimore, MD 21244–
1850.
Please allow sufficient time for mailed
comments to be received before the
close of the comment period.
3. By express or overnight mail. You
may send written comments (one
original and two copies) to the following
address ONLY: Centers for Medicare &
Medicaid Services, Department of
Health and Human Services, Attention:
CMS–1390–P, Mail Stop C4–26–05,
7500 Security Boulevard, Baltimore, MD
21244–1850.
4. By hand or courier. If you prefer,
you may deliver (by hand or courier)
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your written comments (one original
and two copies) before the close of the
comment period to either of the
following addresses:
a. Room 445–G, Hubert H. Humphrey
Building, 200 Independence Avenue,
SW., Washington, DC 20201.
(Because access to the interior of the
HHH Building is not readily available to
persons without Federal Government
identification, commenters are
encouraged to leave their comments in
the CMS drop slots located in the main
lobby of the building. A stamp-in clock
is available for persons wishing to retain
a proof of filing by stamping in and
retaining an extra copy of the comments
being filed.)
b. 7500 Security Boulevard,
Baltimore, MD 21244–1850.
If you intend to deliver your
comments to the Baltimore address,
please call telephone number (410) 7867195 in advance to schedule your
arrival with one of our staff members.
Comments mailed to the addresses
indicated as appropriate for hand or
courier delivery may be delayed and
received after the comment period.
Submission of comments on
paperwork requirements. You may
submit comments on this document’s
paperwork requirements by following
the instructions at the end of the
‘‘Collection of Information
Requirements’’ section in this
document.
For information on viewing public
comments, see the beginning of the
SUPPLEMENTARY INFORMATION section.
FOR FURTHER INFORMATION, CONTACT:
Michele Hudson, (410) 786–4487,
Operating Prospective Payment, MS–
DRGs, Wage Index, New Medical
Service and Technology Add-On
Payments, Hospital Geographic
Reclassifications, and Postacute Care
Transfer Issues.
Tzvi Hefter, (410) 786–4487, Capital
Prospective Payment, Excluded
Hospitals, Direct and Indirect Graduate
Medical Education, MS–LTC–DRGs,
EMTALA, Hospital Emergency Services,
and Hospital-within-Hospital Issues.
Siddhartha Mazumdar, (410) 786–
6673, Rural Community Hospital
Demonstration Program Issues.
Sheila Blackstock, (410) 786–3502,
Quality Data for Annual Payment
Update Issues.
Thomas Valuck, (410) 786–7479,
Hospital Value-Based Purchasing and
Readmissions to Hospital Issues.
Anne Hornsby, (410) 786–1181,
Collection of Managed Care Encounter
Data Issues.
Jacqueline Proctor, (410) 786–8852,
Disclosure of Physician Ownership in
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Hospitals and Financial Relationships
between Hospitals and Physicians
Issues.
Lisa Ohrin, (410) 786–4565, and Don
Romano, (410) 786–1404, Physician
Self-Referral Issues.
SUPPLEMENTARY INFORMATION:
Inspection of Public Comments: All
comments received before the close of
the comment period are available for
viewing by the public, including any
personally identifiable or confidential
business information that is included in
a comment. We post all comments
received before the close of the
comment period on the following Web
site as soon as possible after they have
been received: https://
www.regulations.gov. Follow the search
instructions on that Web site to view
public comments.
Comments received timely will also
be available for public inspection,
generally beginning approximately 3
weeks after publication of a document,
at the headquarters of the Centers for
Medicare & Medicaid Services, 7500
Security Boulevard, Baltimore,
Maryland 21244, Monday through
Friday of each week from 8:30 a.m. to
4 p.m. To schedule an appointment to
view public comments, phone 1–800–
743–3951.
Electronic Access
jlentini on PROD1PC65 with PROPOSALS2
This Federal Register document is
also available from the Federal Register
online database through GPO Access, a
service of the U.S. Government Printing
Office. Free public access is available on
a Wide Area Information Server (WAIS)
through the Internet and via
asynchronous dial-in. Internet users can
access the database by using the World
Wide Web (the Superintendent of
Documents’ home page address is
https://www.gpoaccess.gov/), by using
local WAIS client software, or by telnet
to swais.access.gpo.gov, then login as
guest (no password required). Dial-in
users should use communications
software and modem to call (202) 512–
1661; type swais, then login as guest (no
password required).
Acronyms
AARP American Association of Retired
Persons
AAHKS American Association of Hip and
Knee Surgeons
AAMC Association of American Medical
Colleges
ACGME Accreditation Council for Graduate
Medical Education
AF Artrial fibrillation
AHA American Hospital Association
AICD Automatic implantable cardioverter
defibrillator
AHIMA American Health Information
Management Association
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AHIC American Health Information
Community
AHRQ Agency for Healthcare Research and
Quality
AMA American Medical Association
AMGA American Medical Group
Association
AMI Acute myocardial infarction
AOA American Osteopathic Association
APR DRG All Patient Refined Diagnosis
Related Group System
ASC Ambulatory surgical center
ASITN American Society of Interventional
and Therapeutic Neuroradiology
BBA Balanced Budget Act of 1997, Pub. L.
105–33
BBRA Medicare, Medicaid, and SCHIP
[State Children’s Health Insurance
Program] Balanced Budget Refinement Act
of 1999, Pub. L. 106–113
BIPA Medicare, Medicaid, and SCHIP [State
Children’s Health Insurance Program]
Benefits Improvement and Protection Act
of 2000, Pub. L. 106–554
BLS Bureau of Labor Statistics
CAH Critical access hospital
CARE [Medicare] Continuity Assessment
Record & Evaluation [Instrument]
CART CMS Abstraction & Reporting Tool
CBSAs Core-based statistical areas
CC Complication or comorbidity
CCR Cost-to-charge ratio
CDAC [Medicare] Clinical Data Abstraction
Center
CDAD Clostridium difficile-associated
disease
CIPI Capital input price index
CMI Case-mix index
CMS Centers for Medicare & Medicaid
Services
CMSA Consolidated Metropolitan
Statistical Area
COBRA Consolidated Omnibus
Reconciliation Act of 1985, Pub. L. 99–272
CoP [Hospital] condition of participation
CPI Consumer price index
CY Calendar year
DFRR Disclosure of financial relationship
report
DRA Deficit Reduction Act of 2005, Pub. L.
109–171
DRG Diagnosis-related group
DSH Disproportionate share hospital
DVT Deep vein thrombosis
ECI Employment cost index
EMR Electronic medical record
EMTALA Emergency Medical Treatment
and Labor Act of 1986, Pub. L. 99–272
FAH Federation of Hospitals
FDA Food and Drug Administration
FHA Federal Health Architecture
FIPS Federal information processing
standards
FQHC Federally qualified health center
FTE Full-time equivalent
FY Fiscal year
GAAP Generally Accepted Accounting
Principles
GAF Geographic Adjustment Factor
GME Graduate medical education
HACs Hospital-acquired conditions
HCAHPS Hospital Consumer Assessment of
Healthcare Providers and Systems
HCFA Health Care Financing
Administration
HCRIS Hospital Cost Report Information
System
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HHA Home health agency
HHS Department of Health and Human
Services
HIC Health insurance card
HIPAA Health Insurance Portability and
Accountability Act of 1996, Pub. L. 104–
191
HIPC Health Information Policy Council
HIS Health information system
HIT Health information technology
HMO Health maintenance organization
HPMP Hospital Payment Monitoring
Program
HSA Health savings account
HSCRC [Maryland] Health Services Cost
Review Commission
HSRV Hospital-specific relative value
HSRVcc Hospital-specific relative value
cost center
HQA Hospital Quality Alliance
HQI Hospital Quality Initiative
HWH Hospital-within-a hospital
ICD–9–CM International Classification of
Diseases, Ninth Revision, Clinical
Modification
ICD–10–PCS International Classification of
Diseases, Tenth Edition, Procedure Coding
System
ICR Information collection requirement
IHS Indian Health Service
IME Indirect medical education
IOM Institute of Medicine
IPF Inpatient psychiatric facility
IPPS [Acute care hospital] inpatient
prospective payment system
IRF Inpatient rehabilitation facility
LAMCs Large area metropolitan counties
LTC–DRG Long-term care diagnosis-related
group
LTCH Long-term care hospital
MA Medicare Advantage
MAC Medicare Administrative Contractor
MCC Major complication or comorbidity
MCE Medicare Code Editor
MCO Managed care organization
MCV Major cardiovascular condition
MDC Major diagnostic category
MDH Medicare-dependent, small rural
hospital
MedPAC Medicare Payment Advisory
Commission
MedPAR Medicare Provider Analysis and
Review File
MEI Medicare Economic Index
MGCRB Medicare Geographic Classification
Review Board
MIEA–TRHCA Medicare Improvements and
Extension Act, Division B of the Tax Relief
and Health Care Act of 2006, Pub. L. 109–
432
MMA Medicare Prescription Drug,
Improvement, and Modernization Act of
2003, Pub. L. 108–173
MPN Medicare provider number
MRHFP Medicare Rural Hospital Flexibility
Program
MRSA Methicillin-resistant Staphylococcus
aureus
MSA Metropolitan Statistical Area
MS–DRG Medicare severity diagnosisrelated group
MS–LTC–DRG Medicare severity long-term
care diagnosis-related group
NAICS North American Industrial
Classification System
NCD National coverage determination
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jlentini on PROD1PC65 with PROPOSALS2
NCHS National Center for Health Statistics
NCQA National Committee for Quality
Assurance
NCVHS National Committee on Vital and
Health Statistics
NECMA New England County Metropolitan
Areas
NQF National Quality Forum
NTIS National Technical Information
Service
NVHRI National Voluntary Hospital
Reporting Initiative
OES Occupational employment statistics
OIG Office of the Inspector General
OMB Executive Office of Management and
Budget
O.R. Operating room
OSCAR Online Survey Certification and
Reporting [System]
PE Pulmonary embolism
PMSAs Primary metropolitan statistical
areas
POA Present on admission
PPI Producer price index
PPS Prospective payment system
PRM Provider Reimbursement Manual
ProPAC Prospective Payment Assessment
Commission
PRRB Provider Reimbursement Review
Board
PSF Provider-Specific File
PS&R Provider Statistical and
Reimbursement (System)
QIG Quality Improvement Group, CMS
QIO Quality Improvement Organization
RCE Reasonable compensation equivalent
RHC Rural health clinic
RHQDAPU Reporting hospital quality data
for annual payment update
RNHCI Religious nonmedical health care
institution
RRC Rural referral center
RUCAs Rural-urban commuting area codes
RY Rate year
SAF Standard Analytic File
SCH Sole community hospital
SFY State fiscal year
SIC Standard Industrial Classification
SNF Skilled nursing facility
SOCs Standard occupational classifications
SOM State Operations Manual
TEFRA Tax Equity and Fiscal
Responsibility Act of 1982, Pub. L. 97–248
TMA TMA [Transitional Medical
Assistance], Abstinence Education, and QI
[Qualifying Individuals] Programs
Extension Act of 2007, Pub. L. 110–09
TJA Total joint arthroplasty
UHDDS Uniform hospital discharge data set
VAP Ventilator-associated pneumonia
VBP Value-based purchasing
Table of Contents
I. Background
A. Summary
1. Acute Care Hospital Inpatient
Prospective Payment System (IPPS)
2. Hospitals and Hospital Units Excluded
From the IPPS
a. Inpatient Rehabilitation Facilities (IRFs)
b. Long-Term Care Hospitals (LTCHs)
c. Inpatient Psychiatric Facilities (IPFs)
3. Critical Access Hospitals (CAHs)
4. Payments for Graduate Medical
Education (GME)
B. Provisions of the Deficit Reduction Act
of 2005 (DRA)
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C. Provisions of the Medicare
Improvements and Extension Act under
Division B, Title I of the Tax Relief and
Health Care Act of 2006 (MIEA–TRHCA)
D. Provision of the TMA, Abstinence
Education, and QI Programs Extension
Act of 2007
E. Major Contents of this Proposed Rule
1. Proposed Changes to MS–DRG
Classifications and Recalibrations of
Relative Weights
2. Proposed Changes to the Hospital Wage
Index
3. Other Decisions and Proposed Changes
to the IPPS for Operating Costs and GME
Costs
4. Proposed Changes to the IPPS for
Capital-Related Costs
5. Proposed Changes to the Payment Rates
for Excluded Hospitals and Hospital
Units: Rate-of-Increase Percentages
6. Proposed Changes Relating to Disclosure
of Physician Ownership in Hospitals
7. Proposed Changes and Solicitation of
Comments on Physician Self-Referral
Provisions
8. Proposed Collection of Information
Regarding Financial Relationships
between Hospitals and Physicians
9. Determining Proposed Prospective
Payment Operating and Capital Rates
and Rate-of-Increase Limits
10. Impact Analysis
11. Recommendation of Update Factors for
Operating Cost Rates of Payment for
Inpatient Hospital Services
12. Disclosure of Financial Relationships
Report (DFRR) Form
13. Discussion of Medicare Payment
Advisory Commission Recommendations
F. Public Comments Received on Issues in
Related Rules
1. Comments on Phase-Out of the Capital
Teaching Adjustment under the IPPS
Included in the FY 2008 IPPS Final Rule
with Comment Period
2. Policy Revisions Related to Medicare
GME Group Affiliations for Hospitals in
Certain Declared Emergency Areas
II. Proposed Changes to Medicare Severity
DRG (MS–DRG) Classifications and
Relative Weights
A. Background
B. MS–DRG Reclassifications
1. General
2. Yearly Review for Making MS–DRG
Changes
C. Adoption of the MS–DRGs in FY 2008
D. MS–DRG Documentation and Coding
Adjustment, Including the Applicability
to the Hospital-Specific Rates and the
Puerto Rico-Specific Standardized
Amount
1. MS–DRG Documentation and Coding
Adjustment
2. Application of the Documentation and
Coding Adjustment to the HospitalSpecific Rates
3. Application of the Documentation and
Coding Adjustment to Puerto RicoSpecific Standardized Amount
4. Potential Additional Payment
Adjustments in FYs 2010 through 2012
E. Refinement of the MS–DRG Relative
Weight Calculation
1. Background
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2. Refining the Medicare Cost Report
3. Timeline for Revising the Medicare Cost
Report
4. Revenue Codes used in the MedPAR File
F. Preventable Hospital-Acquired
Conditions (HACs), Including Infections
1. General
2. Statutory Authority
3. Public Input
4. Collaborative Process
5. Selection Criteria for HACs
6. HACs Selected in FY 2008 and Proposed
Changes to Certain Codes
a. Foreign Object Retained After Surgery:
Proposed Inclusion of ICD–9–CM Code
998.7 (CC)
b. Pressure Ulcers: Proposed Changes in
Code Assignments
7. HACs Under Consideration as
Additional Candidates
a. Surgical Site Infections Following
Elective Surgeries
b. Legionnaires’ Disease
c. Glycemic Control
d. Iatrogenic Pneumothorax
e. Delirium
f. Ventilator-Associated Pneumonia (VAP)
g. Deep Vein Thrombosis (DVT)/
Pulmonary Embolism (PE)
h. Staphylococcus aureus Septicemia
i. Clostridium Difficile-Associated Disease
(CDAD)
j. Methicillin-Resistant Staphylococcus
aureus (MRSA)
8. Present on Admission (POA) Indicator
Reporting
9. Enhancement and Future Issues
a. Risk Adjustment
b. Rates of HACs
c. Use of POA Information
d. Transition to ICD–10–PCS
e. Application of Nonpayment for HACs to
Other Settings
f. Relationship to NQF’s Serious Reportable
Adverse Events
G. Proposed Changes to Specific MS–DRG
Classifications
1. Pre-MDCs: Artificial Heart Devices
2. MDC 1 (Diseases and Disorders of the
Nervous System)
a. Transferred Stroke Patients Receiving
Tissue Plasminogen Activator (tPA)
b. Intractable Epilepsy with Video
Electroencephalogram (EEG)
3. MDC 5 (Diseases and Disorders of the
Circulatory System)
a. Automatic Implantable CardioverterDefibrillators (AICD) Lead and Generator
Procedures
b. Left Atrial Appendage Device
4. MDC 8 (Diseases and Disorders of the
Musculoskeletal System and Connective
Tissue): Hip and Knee Replacements and
Revisions
a. Brief History of Development of Hip and
Knee Replacement Codes
b. Prior Recommendations of the AAHKS
c. Adoption of MS–DRGs for Hip and Knee
Replacements for FY 2008 and AAHKS’
Recommendations
d. AAHKS’ Recommendations for FY 2009
e. CMS’ Response to AAHKS’
Recommendations
f. Conclusion
5. MDC 18 (Infections and Parasitic
Diseases Systemic or Unspecified Sites):
Severe Sepsis
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6. MDC 21 (Injuries, Poisonings and Toxic
Effects of Drugs): Traumatic
Compartment Syndrome
7. Medicare Code Editor (MCE) Changes
a. List of Unacceptable Principal Diagnoses
in MCE
b. Diagnoses Allowed for Male Only Edit
c. Limited Coverage Edit
8. Surgical Hierarchies
9. CC Exclusions List
a. Background
b. CC Exclusions List for FY 2009
10. Review of Procedure Codes in MS–
DRGs 981, 982, and 983; 984, 985, and
986; and 987, 988, and 989
a. Moving Procedure Codes from MS–DRG
981 through 983 or MS–DRG 987
through 989 to MDCs
b. Reassignment of Procedures among MS–
DRGs 981 through 983, 984 through 986,
and 987 through 989
c. Adding Diagnosis or Procedure Codes to
MDCs
11. Changes to the ICD–9–CM Coding
System
H. Recalibration of MS–DRG Weights
I. Proposed Medicare Severity Long-Term
Care Diagnosis-Related Group (MS–LTC–
DRG) Reclassifications and Relative
Weights for LTCHs for FY 2009
1. Background
2. Proposed Changes in the MS–LTC–DRG
Classifications
a. Background
b. Patient Classifications into MS–LTC–
DRGs
3. Development of the Proposed FY 2009
MS–LTC–DRG Relative Weights
a. General Overview of Development of the
MS–LTC–DRG Relative Weights
b. Data
c. Hospital-Specific Relative Value (HSRV)
Methodology
d. Treatment of Severity Levels in
Developing Proposed Relative Weights
e. Proposed Low-Volume MS–LTC–DRGs
4. Steps for Determining the Proposed FY
2009 MS–LTC–DRG Relative Weights
J. Proposed Add-On Payments for New
Services and Technologies
1. Background
2. Public Input Before Publication of a
Notice of Proposed Rulemaking on Add–
On Payments
3. FY 2009 Status of Technologies
Approved for FY 2008 Add-On Payments
4. FY 2009 Applications for New
Technology Add-On Payments
a. CardioWestTM Temporary Total Artificial
Heart System (CardioWestTM TAH–t)
b. Emphasys Medical Zephyr
Endobronchial Valve (Zephyr EBV)
c. Oxiplex
d. TherOx Downstream System
5. Proposed Regulatory Change
III. Proposed Changes to the Hospital Wage
Index
A. Background
B. Requirements of Section 106 of the
MIEA–TRHCA
1. Wage Index Study Required Under the
MIEA–TRHCA
2. CMS Proposals in Response to
Requirements Under Section 106(b) of
the MIEA–TRHCA
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a. Proposed Revision of the Reclassification
Average Hourly Wage Comparison
Criteria
b. Within-State Budget Neutrality
Adjustment for the Rural and Imputed
Floors
c. Within-State Budget Neutrality
Adjustment for Geographic
Reclassification
C. Core-Based Statistical Areas for the
Hospital Wage Index
D. Proposed Occupational Mix Adjustment
to the Proposed FY 2009 Wage Index
1. Development of Data for the Proposed
FY 2009 Occupational Mix Adjustment
2. Calculation of the Proposed
Occupational Mix Adjustment for FY
2009
3. 2007–2008 Occupational Mix Survey for
the FY 2010 Wage Index
E. Worksheet S–3 Wage Data for the
Proposed FY 2009 Wage Index
1. Included Categories of Costs
2. Excluded Categories of Costs
3. Use of Wage Index Data by Providers
Other Than Acute Care Hospitals Under
the IPPS
F. Verification of Worksheet S–3 Wage
Data
1. Wage Data for Multicampus Hospitals
2. New Orleans’ Post-Katrina Wage Index
G. Method for Computing the Proposed FY
2009 Unadjusted Wage Index
H. Analysis and Implementation of the
Proposed Occupational Mix Adjustment
and the Proposed FY 2009 Occupational
Mix Adjustment Wage Index
I. Proposed Revisions to the Wage Index
Based on Hospital Redesignations
1. General
2. Effects of Reclassification/Redesignation
3. FY 2009 MGCRB Reclassifications
4. FY 2008 Policy Clarifications and
Revisions
5. Redesignations of Hospitals under
Section 1886(d)(8)(B) of the Act
6. Reclassifications under Section
1886(d)(8)(B) of the Act
J. Proposed FY 2009 Wage Index
Adjustment Based on Commuting
Patterns of Hospital Employees
K. Process for Requests for Wage Index
Data Corrections
L. Labor-Related Share for the Proposed
Wage Index for FY 2009
IV. Other Decisions and Proposed Changes to
the IPPS for Operating Costs and GME
Costs
A. Proposed Changes to the Postacute Care
Transfer Policy
1. Background
2. Proposed Policy Change Relating to
Transfers to Home with a Written Plan
for the Provision of Home Health
Services
3. Evaluation of MS–DRGs under Postacute
Care Transfer Policy for FY 2009
B. Reporting of Hospital Quality Data for
Annual Hospital Payment Update
1. Background
a. Overview
b. Voluntary Hospital Quality Data
Reporting
c. Hospital Quality Data Reporting under
Section 501(b) of Pub. L. 108–173
d. Hospital Quality Data Reporting under
Section 5001(a) of Pub. L. 109–171
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23531
2. Proposed Quality Measures for FY 2010
and Subsequent Years
a. Proposed Quality Measures for FY 2010
b. Possible New Quality Measures,
Measure Sets, and Program
Requirements for FY 2011 and
Subsequent Years
c. Considerations in Expanding and
Updating Quality Measures Under the
RHQDAPU Program
3. Form and Manner and Timing of Quality
Data Submission
4. Current and Proposed RHQDAPU
Program Procedures
a. RHQDAPU Program Procedures for FY
2009
b. Proposed RHQDAPU Program
Procedures for FY 2010
5. Current and Proposed HCAHPS
Requirements
a. FY 2009 HCAHPS Requirements
b. Proposed FY 2010 HCAHPS
Requirements
6. Current and Proposed Chart Validation
Requirements
a. Chart Validation Requirements for FY
2009
b. Proposed Chart Validation Requirements
for FY 2010
c. Chart Validation Methods and
Requirements Under Consideration for
FY 2011 and Subsequent Years
7. Data Attestation Requirements
a. Proposed Change to Requirements for FY
2009
b. Proposed Requirements for FY 2010
8. Public Display Requirements
9. Proposed Reconsideration and Appeal
Procedures
10. Proposed RHQDAPU Program
Withdrawal Deadline for FYs 2009 and
2010
11. Requirements for New Hospitals
12. Electronic Medical Records
C. Medicare Hospital Value-Based
Purchasing (VBP)
1. Medicare Hospital VBP Plan Report to
Congress
2. Testing and Further Development of the
Medicare Hospital VBP Plan
D. Sole Community Hospitals (SCHs) and
Medicare-Dependent, Small Rural
Hospitals (MDHs): Volume Decrease
Adjustment
1. Background
2. Volume Decrease Adjustment for SCHs
and MDHs: Data Sources for Determining
Core Staff Values
a. Occupational Mix Survey
b. AHA Annual Survey
E. Rural Referral Centers (RRCs)
1. Case-Mix Index
2. Discharges
F. Indirect Medical Education (IME)
Adjustment
1. Background
2. IME Adjustment Factor for FY 2009
G. Medicare GME Affiliation Provisions for
Teaching Hospitals in Certain Emergency
Situations; Technical Correction
1. Background
2. Technical Correction
H. Payments to Medicare Advantage
Organizations: Collection of Risk
Adjustment Data
I. Hospital Emergency Services under
EMTALA
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1. Background
2. EMTALA Technical Advisory Group
(TAG): Recommendations
3. Proposed Changes Relating to
Applicability of EMTALA Requirements
to Hospital Inpatients
4. Proposed Changes to the EMTALA
Physician On-Call Requirements
a. Relocation of Regulatory Provisions
b. Shared/Community Call
5. Proposed Technical Change to
Regulations
J. Application of Incentives To Reduce
Avoidable Readmissions to Hospitals
1. Introduction
2. Measurement
3. Accountability
4. Interventions
5. Financial Incentive: Direct Payment
Adjustment
6. Financial Incentive: Performance-Based
Payment Adjustment
7. Nonfinancial Incentive: Public Reporting
8. Conclusion
K. Rural Community Hospital
Demonstration Program
V. Proposed Changes to the IPPS for CapitalRelated Costs
A. Background
1. Exception Payments
2. New Hospitals
3. Hospitals Located in Puerto Rico
B. Revisions to the Capital IPPS Based on
Data on Hospitals Medicare Capital
Margins
1. Elimination of the Large Add-On
Payment Adjustment
2. Changes to the Capital IME Adjustment
a. Background and Changes Made for FY
2008
b. Public Comments Received on Phase
Out of Capital IPPS Teaching
Adjustment Provisions Included in the
FY 2008 Final Rule With Comment
Period and Further Solicitation of Public
Comments
VI. Proposed Changes for Hospitals and
Hospital Units Excluded From the IPPS
A. Proposed Payments to Excluded
Hospitals and Hospital Units
B. IRF PPS
C. LTCH PPS
D. IPF PPS
E. Determining Proposed LTCH Cost-toCharge Ratios (CCRs) under the LTCH
PPS
F. Proposed Change to the Regulations
Governing Hospitals-Within-Hospitals
VII. Disclosure Required of Certain Hospitals
and Critical Access Hospitals Regarding
Physician Ownership
VIII. Physician Self-Referrals Provisions
A. Stand in the Shoes Provisions
1. Physician ‘‘Stand in the Shoes’’
Provisions
a. Background
b. Proposals
2. DHS Entity ‘‘Stand in the Shoes’’
Provisions
3. Application of the Physician ‘‘Stand in
the Shoes’’ and the Entity ‘‘Stand in the
Shoes’’ Provisions
4. Definitions: ‘‘Physician’’ and ‘‘Physician
Organization’’
B. Period of Disallowance
C. Gainsharing Arrangements
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1. Background
2. Statutory Impediments to Gainsharing
Arrangements
3. Office of Inspector General (OIG)
Approach Towards Gainsharing
Arrangements
4. MedPAC Recommendation
5. Demonstration Programs
6. Solicitation of Comments
D. Physician-Owned Implant and Other
Medical Device Companies
1. Background
2. Solicitation of Comments
IX. Financial Relationships between
Hospitals and Physicians
A. Background
B. Section 5006 of the Deficit Reduction
Act (DRA) of 2005
C. Disclosure of Financial Relationships
Report (DFRR)
D. Civil Monetary Penalties
E. Uses of Information Captured by the
DFRR
F. Solicitation of Comments
X. MedPAC Recommendations
XI. Other Required Information
A. Requests for Data from the Public
B. Collection of Information Requirements
1. Legislative Requirement for Solicitation
of Comments
2. Solicitation of Comments on Proposed
Requirements in Regulatory Text
a. ICRs Regarding Physician Reporting
Requirements
b. ICRs Regarding Risk Adjustment Data
c. ICRs Regarding Basic Commitments of
Providers
3. Associated Information Collections Not
Specified in Regulatory Text
a. Present on Admission (POA) Indicator
Reporting
b. Proposed Add-On Payments for New
Services and Technologies
c. Reporting of Hospital Quality Data for
Annual Hospital Payment Update
d. Occupational Mix Adjustment to the FY
2009 Index (Hospital Wage Index
Occupational Mix Survey)
4. Addresses for Submittal of Comments on
Information Collection Requirements
C. Response to Public Comments
Regulation Text
Addendum—Proposed Schedule of
Standardized Amounts, Update Factors, and
Rate-of-Increase Percentages Effective With
Cost Reporting Periods Beginning On or
After October 1, 2008
I. Summary and Background
II. Proposed Changes to the Prospective
Payment Rates for Hospital Inpatient
Operating Costs for FY 2009
A. Calculation of the Adjusted
Standardized Amount
B. Proposed Adjustments for Area Wage
Levels and Cost-of-Living
C. Proposed MS–DRG Relative Weights
D. Calculation of the Proposed Prospective
Payment Rates
III. Proposed Changes of Payment Rates for
Acute Care Hospital Inpatient CapitalRelated Costs for FY 2009
A. Determination of Proposed Federal
Hospital Inpatient Capital-Related
Prospective Payment Rate Update
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B. Calculation of the Proposed Inpatient
Capital-Related Prospective Payments for
FY 2009
C. Capital Input Price Index
IV. Proposed Changes to Payment Rates for
Excluded Hospitals and Hospital Units:
Rate-of-Increase Percentages
V. Tables
Table 1A.—National Adjusted Operating
Standardized Amounts, Labor/Nonlabor
(69.7 Percent Labor Share/30.3 Percent
Nonlabor Share If Wage Index Is Greater
Than 1)
Table 1B.—National Adjusted Operating
Standardized Amounts, Labor/Nonlabor
(62 Percent Labor Share/38 Percent
Nonlabor Share If Wage Index Is Less
Than or Equal to 1)
Table 1C.—Adjusted Operating
Standardized Amounts for Puerto Rico,
Labor/Nonlabor
Table 1D.—Capital Standard Federal
Payment Rate
Table 2.—Hospital Case-Mix Indexes for
Discharges Occurring in Federal Fiscal
Year 2007; Hospital Wage Indexes for
Federal Fiscal Year 2009; Hospital
Average Hourly Wages for Federal Fiscal
Years 2007 (2003 Wage Data), 2008 (2004
Wage Data), and 2009 (2005 Wage Data);
and 3-Year Average of Hospital Average
Hourly Wages
Table 3A.—FY 2009 and 3-Year Average
Hourly Wage for Urban Areas by CBSA
Table 3B.—FY 2009 and 3-Year Average
Hourly Wage for Rural Areas by CBSA
Table 4A.—Wage Index and Capital
Geographic Adjustment Factor (GAF) for
Urban Areas by CBSA and by State—FY
2009
Table 4B.—Wage Index and Capital
Geographic Adjustment Factor (GAF) for
Rural Areas by CBSA and by State—FY
2009
Table 4C.—Wage Index and Capital
Geographic Adjustment Factor (GAF) for
Hospitals That Are Reclassified by CBSA
and by State—FY 2009
Table 4D–1.—Rural Floor Budget
Neutrality Factors—FY 2009
Table 4D–2.—Urban Areas with Hospitals
Receiving the Statewide Rural Floor or
Imputed Floor Wage Index—FY 2009
Table 4E.—Urban CBSAs and Constituent
Counties—FY 2009
Table 4F.—Puerto Rico Wage Index and
Capital Geographic Adjustment Factor
(GAF) by CBSA—FY 2009
Table 4J.—Out-Migration Wage
Adjustment—FY 2009
Table 5.—List of Medicare Severity
Diagnosis-Related Groups (MS–DRGs),
Relative Weighting Factors, and
Geometric and Arithmetic Mean Length
of Stay
Table 6A.—New Diagnosis Codes
Table 6B.—New Procedure Codes
Table 6C.—Invalid Diagnosis Codes
Table 6D.—Invalid Procedure Codes
Table 6E.—Revised Diagnosis Code Titles
Table 6F.—Revised Procedure Code Titles
Table 6G.—Additions to the CC Exclusions
List (Available through the Internet on
the CMS Web site at: https://
www.cms.hhs.gov/AcuteInpatientPPS/)
Table 6H.—Deletions From the CC
Exclusions List (Available Through the
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Internet on the CMS Web site at:
https://www.cms.hhs.gov/
AcuteInpatientPPS/)
Table 6I.—Complete List of Complication
and Comorbidity (CC) Exclusions
(Available Only Through the Internet on
the CMS Web site at: http:/
www.cms.hhs.gov/AcuteInpatientPPS/)
Table 6J.—Major Complication and
Comorbidity (MCC) List (Available
Through the Internet on the CMS Web
Site at: https://www.cms.hhs.gov/
AcuteInpatientPPS/)
Table 6K.—Complication and Comorbidity
(CC) List (Available Through the Internet
on the CMS Web site at: https://
www.cms.hhs.gov/AcuteInpatientPPS/)
Table 7A.—Medicare Prospective Payment
System Selected Percentile Lengths of
Stay: FY 2007 MedPAR Update—
December 2007 GROUPER V25.0 MS–
DRGs
Table 7B.—Medicare Prospective Payment
System Selected Percentile Lengths of
Stay: FY 2007 MedPAR Update—
December 2007 GROUPER V26.0 MS–
DRGs
Table 8A.—Proposed Statewide Average
Operating Cost-to-Charge Ratios—March
2008
Table 8B.—Proposed Statewide Average
Capital Cost-to-Charge Ratios—March
2008
Table 8C.—Proposed Statewide Average
Total Cost-to-Charge Ratios for LTCHs—
March 2008
Table 9A.—Hospital Reclassifications and
Redesignations—FY 2009
Table 9B.—Hospitals Redesignated as
Rural under Section 1886(d)(8)(E) of the
Act—FY 2009
Table 10.—Geometric Mean Plus the Lesser
of .75 of the National Adjusted Operating
Standardized Payment Amount
(Increased to Reflect the Difference
Between Costs and Charges) or .75 of
One Standard Deviation of Mean Charges
by Medicare Severity Diagnosis-Related
Groups (MS–DRGs)—March 2008
Table 11.—Proposed FY 2009 MS–LTC–
DRGs, Proposed Relative Weights,
Proposed Geometric Average Length of
Stay, and Proposed Short-Stay Outlier
Threshold
Appendix A—Regulatory Impact Analysis
I. Overall Impact
II. Objectives
III. Limitations on Our Analysis
IV. Hospitals Included in and Excluded From
the IPPS
V. Effects on Excluded Hospitals and
Hospital Units
VI. Quantitative Effects of the Proposed
Policy Changes Under the IPPS for
Operating Costs
A. Basis and Methodology of Estimates
B. Analysis of Table I
C. Effects of the Proposed Changes to the
MS–DRG Reclassifications and Relative
Cost-Based Weights (Column 2)
D. Effects of Proposed Wage Index Changes
(Column 3)
E. Combined Effects of Proposed MS–DRG
and Wage Index Changes (Column 4)
F. Effects of MGCRB Reclassifications
(Column 5)
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G. Effects of the Proposed Rural Floor and
Imputed Rural Floor, Including the
Proposed Application of Budget
Neutrality at the State Level (Column 6)
H. Effects of the Proposed Wage Index
Adjustment for Out-Migration (Column
7)
I. Effects of All Proposed Changes with
CMI Adjustment Prior to Estimated
Growth (Column 8)
J. Effects of All Proposed Changes with
CMI Adjustment and Estimated Growth
(Column 9)
K. Effects of Policy on Payment
Adjustment for Low-Volume Hospitals
L. Impact Analysis of Table II
VII. Effects of Other Proposed Policy Changes
A. Effects of Proposed Policy on HACs,
Including Infections
B. Effects of Proposed MS–LTC–DRG
Reclassifications and Relative Weights
for LTCHs
C. Effects of Proposed Policy Change
Relating to New Medical Service and
Technology Add-On Payments
D. Effects of Proposed Policy Change
Regarding Postacute Care Transfers to
Home Health Services
E. Effects of Proposed Requirements for
Hospital Reporting of Quality Data for
Annual Hospital Payment Update
F. Effects of Proposed Policy Change to
Methodology for Computing Core
Staffing Factors for Volume Decrease
Adjustment for SCHs and MDHs
G. Effects of Proposed Clarification of
Policy for Collection of Risk Adjustment
Data From MA Organizations
H. Effects of Proposed Policy Changes
Relating to Hospital Emergency Services
under EMTALA
I. Effects of Implementation of Rural
Community Hospital Demonstration
Program
J. Effects of Proposed Policy Changes
Relating to Payments to HospitalsWithin-Hospitals
K. Effects of Proposed Policy Changes
Relating to Requirements for Disclosure
of Physician Ownership in Hospitals
L. Effects of Proposed Changes Relating to
Physician Self-Referral Provisions
M. Effects of Proposed Changes Relating to
Reporting of Financial Relationships
Between Hospitals and Physicians
VIII. Effects of Proposed Changes in the
Capital IPPS
A. General Considerations
B. Results
IX. Alternatives Considered
X. Overall Conclusion
XI. Accounting Statement
XII. Executive Order 12866
Appendix B—Recommendation of Update
Factors for Operating Cost Rates of Payment
for Inpatient Hospital Services
I. Background
II. Inpatient Hospital Update for FY 2009
III. Secretary’s Recommendation
IV. MedPAC Recommendation for Assessing
Payment Adequacy and Updating
Payments in Traditional Medicare
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Appendix C—Disclosure of Financial
Relationships Report (DFRR) Form
I. Background
A. Summary
1. Acute Care Hospital Inpatient
Prospective Payment System (IPPS)
Section 1886(d) of the Social Security
Act (the Act) sets forth a system of
payment for the operating costs of acute
care hospital inpatient stays under
Medicare Part A (Hospital Insurance)
based on prospectively set rates. Section
1886(g) of the Act requires the Secretary
to pay for the capital-related costs of
hospital inpatient stays under a
prospective payment system (PPS).
Under these PPSs, Medicare payment
for hospital inpatient operating and
capital-related costs is made at
predetermined, specific rates for each
hospital discharge. Discharges are
classified according to a list of
diagnosis-related groups (DRGs).
The base payment rate is comprised of
a standardized amount that is divided
into a labor-related share and a
nonlabor-related share. The laborrelated share is adjusted by the wage
index applicable to the area where the
hospital is located. If the hospital is
located in Alaska or Hawaii, the
nonlabor-related share is adjusted by a
cost-of-living adjustment factor. This
base payment rate is multiplied by the
DRG relative weight.
If the hospital treats a high percentage
of low-income patients, it receives a
percentage add-on payment applied to
the DRG-adjusted base payment rate.
This add-on payment, known as the
disproportionate share hospital (DSH)
adjustment, provides for a percentage
increase in Medicare payments to
hospitals that qualify under either of
two statutory formulas designed to
identify hospitals that serve a
disproportionate share of low-income
patients. For qualifying hospitals, the
amount of this adjustment may vary
based on the outcome of the statutory
calculations.
If the hospital is an approved teaching
hospital, it receives a percentage add-on
payment for each case paid under the
IPPS, known as the indirect medical
education (IME) adjustment. This
percentage varies, depending on the
ratio of residents to beds.
Additional payments may be made for
cases that involve new technologies or
medical services that have been
approved for special add-on payments.
To qualify, a new technology or medical
service must demonstrate that it is a
substantial clinical improvement over
technologies or services otherwise
available, and that, absent an add-on
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payment, it would be inadequately paid
under the regular DRG payment.
The costs incurred by the hospital for
a case are evaluated to determine
whether the hospital is eligible for an
additional payment as an outlier case.
This additional payment is designed to
protect the hospital from large financial
losses due to unusually expensive cases.
Any outlier payment due is added to the
DRG-adjusted base payment rate, plus
any DSH, IME, and new technology or
medical service add-on adjustments.
Although payments to most hospitals
under the IPPS are made on the basis of
the standardized amounts, some
categories of hospitals are paid in whole
or in part based on their hospitalspecific rate based on their costs in a
base year. For example, sole community
hospitals (SCHs) receive the higher of a
hospital-specific rate based on their
costs in a base year (the higher of FY
1982, FY 1987, or FY 1996) or the IPPS
rate based on the standardized amount.
Until FY 2007, a Medicare-dependent,
small rural hospital (MDH) has received
the IPPS rate plus 50 percent of the
difference between the IPPS rate and its
hospital-specific rate if the hospitalspecific rate based on their costs in a
base year (the higher of FY 1982, FY
1987, or FY 2002) is higher than the
IPPS rate. As discussed below, for
discharges occurring on or after October
1, 2007, but before October 1, 2011, an
MDH will receive the IPPS rate plus 75
percent of the difference between the
IPPS rate and its hospital-specific rate,
if the hospital-specific rate is higher
than the IPPS rate. SCHs are the sole
source of care in their areas, and MDHs
are a major source of care for Medicare
beneficiaries in their areas. Both of these
categories of hospitals are afforded this
special payment protection in order to
maintain access to services for
beneficiaries.
Section 1886(g) of the Act requires the
Secretary to pay for the capital-related
costs of inpatient hospital services ‘‘in
accordance with a prospective payment
system established by the Secretary.’’
The basic methodology for determining
capital prospective payments is set forth
in our regulations at 42 CFR 412.308
and 412.312. Under the capital IPPS,
payments are adjusted by the same DRG
for the case as they are under the
operating IPPS. Capital IPPS payments
are also adjusted for IME and DSH,
similar to the adjustments made under
the operating IPPS. However, as
discussed in section V.B.2. of this
preamble, we are phasing out the IME
adjustment beginning with FY 2008. In
addition, hospitals may receive outlier
payments for those cases that have
unusually high costs.
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The existing regulations governing
payments to hospitals under the IPPS
are located in 42 CFR Part 412, Subparts
A through M.
2. Hospitals and Hospital Units
Excluded From the IPPS
Under section 1886(d)(1)(B) of the
Act, as amended, certain specialty
hospitals and hospital units are
excluded from the IPPS. These hospitals
and units are: Rehabilitation hospitals
and units; long-term care hospitals
(LTCHs); psychiatric hospitals and
units; children’s hospitals; and cancer
hospitals. Religious nonmedical health
care institutions (RNHCIs) are also
excluded from the IPPS. Various
sections of the Balanced Budget Act of
1997 (Pub. L. 105–33), the Medicare,
Medicaid and SCHIP [State Children’s
Health Insurance Program] Balanced
Budget Refinement Act of 1999 (Pub. L.
106–113), and the Medicare, Medicaid,
and SCHIP Benefits Improvement and
Protection Act of 2000 (Pub. L. 106–554)
provide for the implementation of PPSs
for rehabilitation hospitals and units
(referred to as inpatient rehabilitation
facilities (IRFs)), LTCHs, and psychiatric
hospitals and units (referred to as
inpatient psychiatric facilities (IPFs)), as
discussed below. Children’s hospitals,
cancer hospitals, and RNHCIs continue
to be paid solely under a reasonable
cost-based system.
The existing regulations governing
payments to excluded hospitals and
hospital units are located in 42 CFR
Parts 412 and 413.
a. Inpatient Rehabilitation Facilities
(IRFs)
Under section 1886(j) of the Act, as
amended, rehabilitation hospitals and
units (IRFs) have been transitioned from
payment based on a blend of reasonable
cost reimbursement subject to a
hospital-specific annual limit under
section 1886(b) of the Act and the
adjusted facility Federal prospective
payment rate for cost reporting periods
beginning on or after January 1, 2002
through September 30, 2002, to payment
at 100 percent of the Federal rate
effective for cost reporting periods
beginning on or after October 1, 2002.
IRFs subject to the blend were also
permitted to elect payment based on 100
percent of the Federal rate. The existing
regulations governing payments under
the IRF PPS are located in 42 CFR Part
412, Subpart P.
b. Long-Term Care Hospitals (LTCHs)
Under the authority of sections 123(a)
and (c) of Pub. L. 106–113 and section
307(b)(1) of Pub. L. 106–554, the LTCH
PPS was effective for a LTCH’s first cost
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reporting period beginning on or after
October 1, 2002. LTCHs that do not
meet the definition of ‘‘new’’ under
§ 412.23(e)(4) are paid, during a 5-year
transition period, a LTCH prospective
payment that is comprised of an
increasing proportion of the LTCH
Federal rate and a decreasing proportion
based on reasonable cost principles.
Those LTCHs that did not meet the
definition of ‘‘new’’ under § 412.23(e)(4)
could elect to be paid based on 100
percent of the Federal prospective
payment rate instead of a blended
payment in any year during the 5-year
transition. For cost reporting periods
beginning on or after October 1, 2006,
all LTCHs are paid 100 percent of the
Federal rate. The existing regulations
governing payment under the LTCH PPS
are located in 42 CFR Part 412, Subpart
O.
c. Inpatient Psychiatric Facilities (IPFs)
Under the authority of sections 124(a)
and (c) of Pub. L. 106–113, inpatient
psychiatric facilities (IPFs) (formerly
psychiatric hospitals and psychiatric
units of acute care hospitals) are paid
under the IPF PPS. For cost reporting
periods beginning on or after January 1,
2008, all IPFs are paid 100 percent of
the Federal per diem payment amount
established under the IPF PPS. (For cost
reporting periods beginning on or after
January 1, 2005, and ending on or before
December 31, 2007, some IPFs received
transitioned payments for inpatient
hospital services based on a blend of
reasonable cost-based payment and a
Federal per diem payment rate.) The
existing regulations governing payment
under the IPF PPS are located in 42 CFR
part 412, Subpart N.
3. Critical Access Hospitals (CAHs)
Under sections 1814, 1820, and
1834(g) of the Act, payments are made
to critical access hospitals (CAHs) (that
is, rural hospitals or facilities that meet
certain statutory requirements) for
inpatient and outpatient services are
based on 101 percent of reasonable cost.
Reasonable cost is determined under the
provisions of section 1861(v)(1)(A) of
the Act and existing regulations under
42 CFR Parts 413 and 415.
4. Payments for Graduate Medical
Education (GME)
Under section 1886(a)(4) of the Act,
costs of approved educational activities
are excluded from the operating costs of
inpatient hospital services. Hospitals
with approved graduate medical
education (GME) programs are paid for
the direct costs of GME in accordance
with section 1886(h) of the Act. The
amount of payment for direct GME costs
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for a cost reporting period is based on
the hospital’s number of residents in
that period and the hospital’s costs per
resident in a base year. The existing
regulations governing payments to the
various types of hospitals are located in
42 CFR Part 413.
B. Provisions of the Deficit Reduction
Act of 2005 (DRA)
Section 5001(b) of the Deficit
Reduction Act of 2005 (DRA), Pub. L.
109–171, requires the Secretary to
develop a plan to implement, beginning
with FY 2009, a value-based purchasing
plan for section 1886(d) hospitals
defined in the Act. In section IV.C. of
the preamble of this proposed rule, we
discuss the report to Congress on the
Medicare value-based purchasing plan
and the current testing of the plan.
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C. Provisions of the Medicare
Improvements and Extension Act Under
Division B, Title I of the Tax Relief and
Health Care Act of 2006 (MIEA–TRHCA)
Section 106(b)(2) of the MIEA–
TRHCA instructs the Secretary of Health
and Human Services to include in the
FY 2009 IPPS proposed rule one or
more proposals to revise the wage index
adjustment applied under section
1886(d)(3)(E) of the Act for purposes of
the IPPS. The Secretary was also
instructed to consider MedPAC’s
recommendations on the Medicare wage
index classification system in
developing these proposals. In section
III. of the preamble of this proposed
rule, we discuss MedPAC’s
recommendations in a report to
Congress and present our proposed
changes to the FY 2009 wage index in
response to those recommendations.
D. Provision of the TMA, Abstinence
Education, and QI Programs Extension
Act of 2007
Section 7 of the TMA [Transitional
Medical Assistance], Abstinence
Education, and QI [Qualifying
Individuals] Programs Extension Act of
2007 (Pub. L. 110–90) provides for a 0.9
percent prospective documentation and
coding adjustment in the determination
of standardized amounts under the IPPS
(except for MDHs and SCHs) for
discharges occurring during FY 2009.
The prospective documentation and
coding adjustment was established in
FY 2008 in response to the
implementation of an MS–DRG system
under the IPPS that resulted in changes
in coding and classification that did not
reflect real changes in case-mix under
section 1886(d) of the Act. We discuss
our proposed implementation of this
provision in section II.D. of the
preamble of this proposed rule and in
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the Addendum and in Appendix A to
this proposed rule.
E. Major Contents of This Proposed Rule
In this proposed rule, we are setting
forth proposed changes to the Medicare
IPPS for operating costs and for capitalrelated costs in FY 2009. We also are
setting forth proposed changes relating
to payments for IME costs and payments
to certain hospitals and units that
continue to be excluded from the IPPS
and paid on a reasonable cost basis. In
addition, we are presenting proposed
changes relating to disclosure to
patients of physician ownership and
investment interests in hospitals,
proposed changes to our physician selfreferral regulations, and a solicitation of
public comments on a proposed
collection of information regarding
financial relationships between
hospitals and physicians.
The following is a summary of the
major changes that we are proposing to
make:
1. Proposed Changes to MS–DRG
Classifications and Recalibrations of
Relative Weights
In section II. of the preamble to this
proposed rule, we are including—
• Proposed changes to MS–DRG
reclassifications based on our yearly
review.
• Proposed application of the
documentation and coding adjustment
to hospital-specific rates resulting from
implementation of the MS–DRG system.
• Proposed changes to address the
RTI reporting recommendations on
charge compression.
• Proposed recalibrations of the MS–
DRG relative weights.
We also are proposing to refine the
hospital cost reports so that charges for
relatively inexpensive medical supplies
are reported separately from the costs
and charges for more expensive medical
devices. This proposal would be applied
to the determination of both the IPPS
and the OPPS relative weights as well
as the calculation of the ambulatory
surgical center payment rates.
We are presenting a listing and
discussion of additional hospitalacquired conditions (HACs), including
infections, that are being proposed to be
subject to the statutorily required
quality adjustment in MS–DRG
payments for FY 2009.
We are presenting our evaluation and
analysis of the FY 2009 applicants for
add-on payments for high-cost new
medical services and technologies
(including public input, as directed by
Pub. L. 108–173, obtained in a town hall
meeting).
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We are proposing the annual update
of the MS–LTC–DRG classifications and
relative weights for use under the LTCH
PPS for FY 2009.
2. Proposed Changes to the Hospital
Wage Index
In section III. of the preamble to this
proposed rule, we are proposing
revisions to the wage index and the
annual update of the wage data. Specific
issues addressed include the following:
• Proposed wage index reform
changes in response to
recommendations made to Congress as a
result of the wage index study required
under Pub. L. 109–432. We discuss
changes related to reclassifications
criteria, application of budget neutrality
in reclassifications, and the rural floor
and imputed floor budget neutrality at
the State level.
• Changes to the CBSA designations.
• The methodology for computing the
proposed FY 2009 wage index.
• The proposed FY 2009 wage index
update, using wage data from cost
reporting periods that began during FY
2006.
• Analysis and implementation of the
proposed FY 2009 occupational mix
adjustment to the wage index.
• Proposed revisions to the wage
index based on hospital redesignations
and reclassifications.
• The proposed adjustment to the
wage index for FY 2009 based on
commuting patterns of hospital
employees who reside in a county and
work in a different area with a higher
wage index.
• The timetable for reviewing and
verifying the wage data used to compute
the proposed FY 2009 wage index.
• The proposed labor-related share
for the FY 2009 wage index, including
the labor-related share for Puerto Rico.
3. Other Decisions and Proposed
Changes to the IPPS for Operating Costs
and GME Costs
In section IV. of the preamble to this
proposed rule, we discuss a number of
the provisions of the regulations in 42
CFR Parts 412, 413, and 489, including
the following:
• Proposed changes to the postacute
care transfer policy as it relates to
transfers to home with the provision of
home health services.
• The reporting of hospital quality
data as a condition for receiving the full
annual payment update increase.
• Proposed changes in the collection
of Medicare Advantage (MA) encounter
data that are used for computing the risk
payment adjustment made to MA
organizations.
• Discussion of the report to Congress
on the Medicare value-based purchasing
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plan and current testing and further
development of the plan.
• Proposed changes to the
methodology for determining core staff
values for the volume decrease payment
adjustment for SCHs and MDHs.
• The proposed updated national and
regional case-mix values and discharges
for purposes of determining RRC status.
• The statutorily-required IME
adjustment factor for FY 2009 and
technical changes to the GME payment
policies.
• Proposed changes to policies on
hospital emergency services under
EMTALA to address EMTALA
Technical Advisory Group (TAG)
recommendations.
• Solicitation of public comments on
Medicare policies relating to incentives
for avoidable readmissions to hospitals.
• Discussion of the fifth year of
implementation of the Rural
Community Hospital Demonstration
Program.
4. Proposed Changes to the IPPS for
Capital-Related Costs
In section V. of the preamble to this
proposed rule, we discuss the payment
policy requirements for capital-related
costs and capital payments to hospitals.
We acknowledge the public comments
that we received on the phase-out of the
capital teaching adjustment included in
the FY 2008 IPPS final rule with
comment period, and again are
soliciting public comments on this
phase-out in this proposed rule.
5. Proposed Changes to the Payment
Rates for Excluded Hospitals and
Hospital Units: Rate-of-Increase
Percentages
In section VI. of the preamble to this
proposed rule, we discuss proposed
changes to payments to excluded
hospitals and hospital units, proposed
changes for determining LTCH CCRs
under the LTCH PPS, including a
discussion regarding changing the
annual payment rate update schedule
for the LTCH PPS, and proposed
changes to the regulations on hospitalswithin-hospitals.
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6. Proposed Changes Relating to
Disclosure of Physician Ownership in
Hospitals
In section VII. of the preamble of this
proposed rule, we present proposed
changes to the regulations relating to the
disclosure to patients of physician
ownership or investment interests in
hospitals.
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7. Proposed Changes and Solicitation of
Comments on Physician Self-Referrals
Provisions
In section VIII. of the preamble of this
proposed rule, we present proposed
changes to the policies on physician
self-referrals relating to the ‘‘Stand in
Shoes’’ provision, In addition, we solicit
public comments regarding physicianowned implant companies and
gainsharing arrangements.
8. Proposed Collection of Information
Regarding Financial Relationships
Between Hospitals and Physicians
In section IX. of the preamble of this
proposed rule, we solicit public
comments on our proposed collection of
information regarding financial
relationships between hospitals and
physicians.
9. Determining Proposed Prospective
Payment Operating and Capital Rates
and Rate-of-Increase Limits
In the Addendum to this proposed
rule, we set forth proposed changes to
the amounts and factors for determining
the FY 2009 prospective payment rates
for operating costs and capital-related
costs. We also establish the proposed
threshold amounts for outlier cases. In
addition, we address the proposed
update factors for determining the rateof-increase limits for cost reporting
periods beginning in FY 2009 for
hospitals and hospital units excluded
from the PPS.
10. Impact Analysis
In Appendix A of this proposed rule,
we set forth an analysis of the impact
that the proposed changes would have
on affected hospitals.
11. Recommendation of Update Factors
for Operating Cost Rates of Payment for
Inpatient Hospital Services
In Appendix B of this proposed rule,
as required by sections 1886(e)(4) and
(e)(5) of the Act, we provided our
recommendations of the appropriate
percentage changes for FY 2009 for the
following:
• A single average standardized
amount for all areas for hospital
inpatient services paid under the IPPS
for operating costs (and hospital-specific
rates applicable to SCHs and MDHs).
• Target rate-of-increase limits to the
allowable operating costs of hospital
inpatient services furnished by hospitals
and hospital units excluded from the
IPPS.
12. Disclosure of Financial
Relationships Report (DFRR) Form
In Appendix C of this proposed rule,
we present the reporting form that we
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are proposing to use for the proposed
collection of information on financial
relationships between hospitals and
physicians discussed in section IX, of
the preamble of this proposed rule.
13. Discussion of Medicare Payment
Advisory Commission
Recommendations
Under section 1805(b) of the Act,
MedPAC is required to submit a report
to Congress, no later than March 1 of
each year, in which MedPAC reviews
and makes recommendations on
Medicare payment policies. MedPAC’s
March 2008 recommendations
concerning hospital inpatient payment
policies address the update factor for
inpatient hospital operating costs and
capital-related costs under the IPPS and
for hospitals and distinct part hospital
units excluded from the IPPS. We
address these recommendations in
Appendix B of this proposed rule. For
further information relating specifically
to the MedPAC March 2008 reports or
to obtain a copy of the reports, contact
MedPAC at (202) 220–3700 or visit
MedPAC’s Web site at:
www.medpac.gov.
F. Public Comments Received on Issues
in Related Rules
1. Comments on Phase-Out of the
Capital Teaching Adjustment Under the
IPPS Included in the FY 2008 IPPS
Final Rule With Comment Period
In the FY 2008 IPPS final rule with
comment period, we solicited public
comments on our policy changes related
to phase-out of the capital teaching
adjustment to the capital payment
update under the IPPS (72 FR 47401).
We received approximately 90 timely
pieces of correspondence in response to
our solicitation. (These public
comments may be viewed on the
following Web site: https://
www.cms.hhs.gov/eRulemaking/
ECCMSR/list.asp under file code CMS–
1533–FC.) In section V. of the preamble
of this proposed rule, we acknowledge
receipt of these public comments and
again solicit public comments on the
phase-out in this proposed rule. We will
respond to the public comments
received in response to both the FY
2008 IPPS final rule with comment
period and this proposed rule in the FY
2009 IPPS final rule, which is scheduled
to be published in August 2008.
2. Policy Revisions Related to Medicare
GME Group Affiliations for Hospitals in
Certain Declared Emergency Areas
We have issued two interim final
rules with comment periods in the
Federal Register that modified the GME
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regulations as they apply to Medicare
GME affiliated groups to provide for
greater flexibility in training residents in
approved residency programs during
times of disasters: on April 12, 2006 (71
FR 18654) and on November 27, 2007
(72 FR 66892). We received a number of
timely pieces of correspondence in
response to these interim final rules
with comment period. (The public
comments that we received may be
viewed on the Web site at: https://
www.cms.hhs.gov/eRulemaking/
ECCMSR/list.asp under the file codes
CMS–1531–IFC1 and CMS–1531–IFC2,
respectively.) We will summarize and
address these public comments in the
FY 2009 IPPS final rule, which is
scheduled to be published in August
2008.
II. Proposed Changes to Medicare
Severity DRG (MS–DRG) Classifications
and Relative Weights
A. Background
Section 1886(d) of the Act specifies
that the Secretary shall establish a
classification system (referred to as
DRGs) for inpatient discharges and
adjust payments under the IPPS based
on appropriate weighting factors
assigned to each DRG. Therefore, under
the IPPS, we pay for inpatient hospital
services on a rate per discharge basis
that varies according to the DRG to
which a beneficiary’s stay is assigned.
The formula used to calculate payment
for a specific case multiplies an
individual hospital’s payment rate per
case by the weight of the DRG to which
the case is assigned. Each DRG weight
represents the average resources
required to care for cases in that
particular DRG, relative to the average
resources used to treat cases in all
DRGs.
Congress recognized that it would be
necessary to recalculate the DRG
relative weights periodically to account
for changes in resource consumption.
Accordingly, section 1886(d)(4)(C) of
the Act requires that the Secretary
adjust the DRG classifications and
relative weights at least annually. These
adjustments are made to reflect changes
in treatment patterns, technology, and
any other factors that may change the
relative use of hospital resources.
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B. MS–DRG Reclassifications
1. General
As discussed in the preamble to the
FY 2008 IPPS final rule with comment
period (72 FR 47138), we focused our
efforts in FY 2008 on making significant
reforms to the IPPS consistent with the
recommendations made by MedPAC in
its ‘‘Report to the Congress, Physician-
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Owned Specialty Hospitals’’ in March
2005. MedPAC recommended that the
Secretary refine the entire DRG system
by taking into account severity of illness
and applying hospital-specific relative
value (HSRV) weights to DRGs.1 We
began this reform process by adopting
cost-based weights over a 3-year
transition period beginning in FY 2007
and making interim changes to the DRG
system for FY 2007 by creating 20 new
CMS DRGs and modifying 32 others
across 13 different clinical areas
involving nearly 1.7 million cases. As
described below in more detail, these
refinements were intermediate steps
towards comprehensive reform of both
the relative weights and the DRG system
that is occurring as we undertook
further study. For FY 2008, we adopted
745 new Medicare Severity DRGs (MS–
DRGs) to replace the CMS DRGs. We
refer readers to section II.D. of the FY
2008 IPPS final rule with comment
period for a full detailed discussion of
how the MS–DRG system was
established based on severity levels of
illness (72 FR 47141).
Currently, cases are classified into
MS–DRGs for payment under the IPPS
based on the principal diagnosis, up to
eight additional diagnoses, and up to six
procedures performed during the stay.
In a small number of MS–DRGs,
classification is also based on the age,
sex, and discharge status of the patient.
The diagnosis and procedure
information is reported by the hospital
using codes from the International
Classification of Diseases, Ninth
Revision, Clinical Modification (ICD–9–
CM).
The process of forming the MS–DRGs
was begun by dividing all possible
principal diagnoses into mutually
exclusive principal diagnosis areas,
referred to as Major Diagnostic
Categories (MDCs). The MDCs were
formed by physician panels to ensure
that the DRGs would be clinically
coherent. The diagnoses in each MDC
correspond to a single organ system or
etiology and, in general, are associated
with a particular medical specialty.
Thus, in order to maintain the
requirement of clinical coherence, no
final MS–DRG could contain patients in
different MDCs. Most MDCs are based
on a particular organ system of the
body. For example, MDC 6 is Diseases
and Disorders of the Digestive System.
This approach is used because clinical
care is generally organized in
accordance with the organ system
affected. However, some MDCs are not
1 Medicare Payment Advisory Commission:
Report to the Congress, Physician-Owned Specialty
Hospitals, March 25, page viii.
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23537
constructed on this basis because they
involve multiple organ systems (for
example, MDC 22 (Burns)). For FY 2008,
cases are assigned to one of 745 MS–
DRGs in 25 MDCs. The table below lists
the 25 MDCs.
MAJOR DIAGNOSTIC CATEGORIES
(MDCS)
1 .............
2 .............
3 .............
4 .............
5 .............
6 .............
7 .............
8 .............
9 .............
10 ...........
11 ...........
12 ...........
13 ...........
14 ...........
15 ...........
16 ...........
17 ...........
18 ...........
19 ...........
20 ...........
21 ...........
22 ...........
23 ...........
24 ...........
25 ...........
Diseases and Disorders of the
Nervous System.
Diseases and Disorders of the
Eye.
Diseases and Disorders of the
Ear, Nose, Mouth, and Throat.
Diseases and Disorders of the
Respiratory System.
Diseases and Disorders of the
Circulatory System.
Diseases and Disorders of the Digestive System.
Diseases and Disorders of the
Hepatobiliary System and Pancreas.
Diseases and Disorders of the
Musculoskeletal System and
Connective Tissue.
Diseases and Disorders of the
Skin, Subcutaneous Tissue and
Breast.
Endocrine, Nutritional and Metabolic Diseases and Disorders.
Diseases and Disorders of the
Kidney and Urinary Tract.
Diseases and Disorders of the
Male Reproductive System.
Diseases and Disorders of the
Female Reproductive System.
Pregnancy, Childbirth, and the
Puerperium.
Newborns and Other Neonates
with Conditions Originating in
the Perinatal Period.
Diseases and Disorders of the
Blood and Blood Forming Organs and Immunological Disorders.
Myeloproliferative Diseases and
Disorders and Poorly Differentiated Neoplasms.
Infectious and Parasitic Diseases
(Systemic
or
Unspecified
Sites).
Mental Diseases and Disorders.
Alcohol/Drug Use and Alcohol/
Drug Induced Organic Mental
Disorders.
Injuries, Poisonings, and Toxic
Effects of Drugs.
Burns.
Factors Influencing Health Status
and Other Contacts with Health
Services.
Multiple Significant Trauma.
Human Immunodeficiency Virus
Infections.
In general, cases are assigned to an
MDC based on the patient’s principal
diagnosis before assignment to an MS–
DRG. However, under the most recent
version of the Medicare GROUPER
(Version 26.0), there are 9 MS–DRGs to
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which cases are directly assigned on the
basis of ICD–9–CM procedure codes.
These MS–DRGs are for heart transplant
or implant of heart assist systems, liver
and/or intestinal transplants, bone
marrow transplants, lung transplants,
simultaneous pancreas/kidney
transplants, pancreas transplants, and
for tracheostomies. Cases are assigned to
these MS–DRGs before they are
classified to an MDC. The table below
lists the nine current pre-MDCs.
PRE-MAJOR DIAGNOSTIC CATEGORIES
(PRE-MDCS)
MS–DRG 103
MS–DRG 480
MS–DRG 481
MS–DRG 482
MS–DRG 495
MS–DRG 512
MS–DRG 513
MS–DRG 541
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MS–DRG 542
Heart Transplant or Implant
of Heart Assist System.
Liver Transplant and/or Intestinal Transplant.
Bone Marrow Transplant.
Tracheostomy for Face,
Mouth, and Neck Diagnoses.
Lung Transplant.
Simultaneous Pancreas/Kidney Transplant.
Pancreas Transplant.
ECMO or Tracheostomy with
Mechanical Ventilation
96+ Hours or Principal Diagnosis Except for Face,
Mouth, and Neck Diagnosis with Major O.R.
Tracheostomy with Mechanical Ventilation 96+ Hours
or Principal Diagnosis Except for Face, Mouth, and
Neck Diagnosis without
Major O.R.
Once the MDCs were defined, each
MDC was evaluated to identify those
additional patient characteristics that
would have a consistent effect on the
consumption of hospital resources.
Because the presence of a surgical
procedure that required the use of the
operating room would have a significant
effect on the type of hospital resources
used by a patient, most MDCs were
initially divided into surgical DRGs and
medical DRGs. Surgical DRGs are based
on a hierarchy that orders operating
room (O.R.) procedures or groups of
O.R. procedures by resource intensity.
Medical DRGs generally are
differentiated on the basis of diagnosis
and age (0 to 17 years of age or greater
than 17 years of age). Some surgical and
medical DRGs are further differentiated
based on the presence or absence of a
complication or comorbidity (CC) or a
major complication or comorbidity
(MCC).
Generally, nonsurgical procedures
and minor surgical procedures that are
not usually performed in an operating
room are not treated as O.R. procedures.
However, there are a few non-O.R.
procedures that do affect MS–DRG
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assignment for certain principal
diagnoses. An example is extracorporeal
shock wave lithotripsy for patients with
a principal diagnosis of urinary stones.
Lithotripsy procedures are not routinely
performed in an operating room.
Therefore, lithotripsy codes are not
classified as O.R. procedures. However,
our clinical advisors believe that
patients with urinary stones who
undergo extracorporeal shock wave
lithotripsy should be considered similar
to other patients who undergo O.R.
procedures. Therefore, we treat this
group of patients similar to patients
undergoing O.R. procedures.
Once the medical and surgical classes
for an MDC were formed, each diagnosis
class was evaluated to determine if
complications or comorbidities would
consistently affect the consumption of
hospital resources. Each diagnosis was
categorized into one of three severity
levels. These three levels include a
major complication or comorbidity
(MCC), a complication or comorbidity
(CC), or a non-CC. Physician panels
classified each diagnosis code based on
a highly iterative process involving a
combination of statistical results from
test data as well as clinical judgment. As
stated earlier, we refer readers to section
II.D. of the FY 2008 IPPS final rule with
comment period for a full detailed
discussion of how the MS–DRG system
was established based on severity levels
of illness (72 FR 47141).
A patient’s diagnosis, procedure,
discharge status, and demographic
information is entered into the Medicare
claims processing systems and subjected
to a series of automated screens called
the Medicare Code Editor (MCE). The
MCE screens are designed to identify
cases that require further review before
classification into an MS–DRG.
After patient information is screened
through the MCE and any further
development of the claim is conducted,
the cases are classified into the
appropriate MS–DRG by the Medicare
GROUPER software program. The
GROUPER program was developed as a
means of classifying each case into an
MS–DRG on the basis of the diagnosis
and procedure codes and, for a limited
number of MS–DRGs, demographic
information (that is, sex, age, and
discharge status).
After cases are screened through the
MCE and assigned to an MS–DRG by the
GROUPER, the PRICER software
calculates a base MS–DRG payment.
The PRICER calculates the payment for
each case covered by the IPPS based on
the MS–DRG relative weight and
additional factors associated with each
hospital, such as IME and DSH payment
adjustments. These additional factors
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increase the payment amount to
hospitals above the base MS–DRG
payment.
The records for all Medicare hospital
inpatient discharges are maintained in
the Medicare Provider Analysis and
Review (MedPAR) file. The data in this
file are used to evaluate possible MS–
DRG classification changes and to
recalibrate the MS–DRG weights.
However, in the FY 2000 IPPS final rule
(64 FR 41500), we discussed a process
for considering non-MedPAR data in the
recalibration process. In order for us to
consider using particular non-MedPAR
data, we must have sufficient time to
evaluate and test the data. The time
necessary to do so depends upon the
nature and quality of the non-MedPAR
data submitted. Generally, however, a
significant sample of the non-MedPAR
data should be submitted by midOctober for consideration in
conjunction with the next year’s
proposed rule. This date allows us time
to test the data and make a preliminary
assessment as to the feasibility of using
the data. Subsequently, a complete
database should be submitted by early
December for consideration in
conjunction with the next year’s
proposed rule.
As we indicated above, for FY 2008,
we made significant improvement in the
DRG system to recognize severity of
illness and resource usage by adopting
MS–DRGs. The changes we adopted
were reflected in the FY 2008
GROUPER, Version 25.0, and were
effective for discharges occurring on or
after October 1, 2007. Our DRG analysis
for the FY 2008 final rule with comment
period was based on data from the
March 2007 update of the FY 2006
MedPAR file, which contained hospital
bills received through March 31, 2007,
for discharges occurring through
September 30, 2006. For this proposed
rule, for FY 2009, our DRG analysis is
based on data from the September 2007
update of the FY 2007 MedPAR file,
which contains hospital bills received
through September 30, 2007, for
discharges through September 30, 2007.
2. Yearly Review for Making MS–DRG
Changes
Many of the changes to the MS–DRG
classifications we make annually are the
result of specific issues brought to our
attention by interested parties. We
encourage individuals with concerns
about MS–DRG classifications to bring
those concerns to our attention in a
timely manner so they can be carefully
considered for possible inclusion in the
annual proposed rule and, if included,
may be subjected to public review and
comment. Therefore, similar to the
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timetable for interested parties to submit
non-MedPAR data for consideration in
the MS–DRG recalibration process,
concerns about MS–DRG classification
issues should be brought to our
attention no later than early December
in order to be considered and possibly
included in the next annual proposed
rule updating the IPPS.
The actual process of forming the
MS–DRGs was, and will likely continue
to be, highly iterative, involving a
combination of statistical results from
test data combined with clinical
judgment. In the FY 2008 IPPS final rule
(72 FR 47140 through 47189), we
described in detail the process we used
to develop the MS–DRGs that we
adopted for FY 2008. In addition, in
deciding whether to make further
modification to the MS–DRGs for
particular circumstances brought to our
attention, we considered whether the
resource consumption and clinical
characteristics of the patients with a
given set of conditions are significantly
different than the remaining patients in
the MS–DRG. We evaluated patient care
costs using average charges and lengths
of stay as proxies for costs and relied on
the judgment of our medical advisors to
decide whether patients are clinically
distinct or similar to other patients in
the MS–DRG. In evaluating resource
costs, we considered both the absolute
and percentage differences in average
charges between the cases we selected
for review and the remainder of cases in
the MS–DRG. We also considered
variation in charges within these
groups; that is, whether observed
average differences were consistent
across patients or attributable to cases
that were extreme in terms of charges or
length of stay, or both. Further, we
considered the number of patients who
will have a given set of characteristics
and generally preferred not to create a
new MS–DRG unless it would include
a substantial number of cases.
C. Adoption of the MS–DRGs in FY 2008
In the FY 2006, FY 2007, and FY 2008
IPPS final rules, we discussed a number
of recommendations made by MedPAC
regarding revisions to the DRG system
used under the IPPS (70 FR 47473
through 47482; 71 FR 47881 through
47939; and 72 FR 47140 through 47189).
As we noted in the FY 2006 IPPS final
rule, we had insufficient time to
complete a thorough evaluation of these
recommendations for full
implementation in FY 2006. However,
we did adopt severity-weighted cardiac
DRGs in FY 2006 to address public
comments on this issue and the specific
concerns of MedPAC regarding cardiac
surgery DRGs. We also indicated that we
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planned to further consider all of
MedPAC’s recommendations and
thoroughly analyze options and their
impacts on the various types of
hospitals in the FY 2007 IPPS proposed
rule.
For FY 2007, we began this process.
In the FY 2007 IPPS proposed rule, we
proposed to adopt Consolidated
Severity DRGs (CS DRGs) for FY 2008 (if
not earlier). However, based on public
comments received on the FY 2007 IPPS
proposed rule, we decided not to adopt
the CS DRGs. Rather, we decided to
make interim changes to the existing
DRGs for FY 2007 by creating 20 new
DRGs involving 13 different clinical
areas that would significantly improve
the CMS DRG system’s recognition of
severity of illness. We also modified 32
DRGs to better capture differences in
severity. The new and revised DRGs
were selected from 40 existing CMS
DRGs that contained 1,666,476 cases
and represent a number of body
systems. In creating these 20 new DRGs,
we deleted 8 and modified 32 existing
DRGs. We indicated that these interim
steps for FY 2007 were being taken as
a prelude to more comprehensive
changes to better account for severity in
the DRG system by FY 2008.
In the FY 2007 IPPS final rule, we
indicated our intent to pursue further
DRG reform through two initiatives.
First, we announced that we were in the
process of engaging a contractor to assist
us with evaluating alternative DRG
systems that were raised as potential
alternatives to the CMS DRGs in the
public comments. Second, we indicated
our intent to review over 13,000 ICD–9–
CM diagnosis codes as part of making
further refinements to the current CMS
DRGs to better recognize severity of
illness based on the work that CMS
(then HCFA) did in the mid-1990’s in
connection with adopting severity
DRGs. We describe below the progress
we have made on these two initiatives,
our actions for FY 2008, and our
proposals for FY 2009 based on our
continued analysis of reform of the DRG
system. We note that the adoption of the
MS–DRGs to better recognize severity of
illness has implications for the outlier
threshold, the application of the
postacute care transfer policy, the
measurement of real case-mix versus
apparent case-mix, and the IME and
DSH payment adjustments. We discuss
these implications for FY 2009 in other
sections of this preamble and in the
Addendum to this proposed rule.
In the FY 2007 IPPS proposed rule,
we discussed MedPAC’s
recommendations to move to a costbased HSRV weighting methodology
using HSRVs beginning with the FY
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23539
2007 IPPS proposed rule for
determining the DRG relative weights.
Although we proposed to adopt the
HSRV weighting methodology for FY
2007, we decided not to adopt the
proposed methodology in the final rule
after considering the public comments
we received on the proposal. Instead, in
the FY 2007 IPPS final rule, we adopted
a cost-based weighting methodology
without the HSRV portion of the
proposed methodology. The cost-based
weights are being adopted over a 3-year
transition period in 1⁄3 increments
between FY 2007 and FY 2009. In
addition, in the FY 2007 IPPS final rule,
we indicated our intent to further study
the HSRV-based methodology as well as
other issues brought to our attention
related to the cost-based weighting
methodology adopted in the FY 2007
final rule. There was significant concern
in the public comments that our costbased weighting methodology does not
adequately account for charge
compression—the practice of applying a
higher percentage charge markup over
costs to lower cost items and services
and a lower percentage charge markup
over costs to higher cost items and
services. Further, public commenters
expressed concern about potential
inconsistencies between how costs and
charges are reported on the Medicare
cost reports and charges on the
Medicare claims. In the FY 2007 IPPS
final rule, we used costs and charges
from the cost report to determine
departmental level cost-to-charge ratios
(CCRs) which we then applied to
charges on the Medicare claims to
determine the cost-based weights. The
commenters were concerned about
potential distortions to the cost-based
weights that would result from
inconsistent reporting between the cost
reports and the Medicare claims. After
publication of the FY 2007 IPPS final
rule, we entered into a contract with RTI
International (RTI) to study both charge
compression and to what extent our
methodology for calculating DRG
relative weights is affected by
inconsistencies between how hospitals
report costs and charges on the cost
reports and how hospitals report
charges on individual claims. Further,
as part of its study of alternative DRG
systems, the RAND Corporation
analyzed the HSRV cost-weighting
methodology. We refer readers to
section II.E. of the preamble of this
proposed rule for our proposals for
addressing the issue of charge
compression and the HSRV costweighting methodology for FY 2009.
We believe that revisions to the DRG
system to better recognize severity of
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illness and changes to the relative
weights based on costs rather than
charges are improving the accuracy of
the payment rates in the IPPS. We agree
with MedPAC that these refinements
should be pursued. Although we
continue to caution that any prospective
payment system based on grouping
cases will always present some
opportunities for providers to specialize
in cases they believe have higher
margins, we believe that the changes we
have adopted and the continuing
reforms we are proposing in this
proposed rule for FY 2009 will improve
payment accuracy and reduce financial
incentives to create specialty hospitals.
We refer readers to section II.D. of the
FY 2008 IPPS final rule with comment
period for a full discussion of how the
MS–DRG system was established based
on severity levels of illness (72 FR
47141).
D. MS–DRG Documentation and Coding
Adjustment, Including the Applicability
to the Hospital-Specific Rates and the
Puerto Rico-Specific Standardized
Amount
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1. MS–DRG Documentation and Coding
Adjustment
As stated above, we adopted the new
MS–DRG patient classification system
for the IPPS, effective October 1, 2007,
to better recognize severity of illness in
Medicare payment rates. Adoption of
the MS–DRGs resulted in the expansion
of the number of DRGs from 538 in FY
2007 to 745 in FY 2008. By increasing
the number of DRGs and more fully
taking into account severity of illness in
Medicare payment rates, the MS–DRGs
encourage hospitals to improve their
documentation and coding of patient
diagnoses. In the FY 2008 IPPS final
rule with comment period (72 FR 47175
through 47186), which appeared in the
Federal Register on August 22, 2007, we
indicated that we believe the adoption
of the MS–DRGs had the potential to
lead to increases in aggregate payments
without a corresponding increase in
actual patient severity of illness due to
the incentives for improved
documentation and coding. In that final
rule with comment period, using the
Secretary’s authority under section
1886(d)(3)(A)(vi) of the Act to maintain
budget neutrality by adjusting the
standardized amount to eliminate the
effect of changes in coding or
classification that do not reflect real
change in case-mix, we established
prospective documentation and coding
adjustments of ¥1.2 percent for FY
2008, ¥1.8 percent for FY 2009, and
¥1.8 percent for FY 2010.
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On September 29, 2007, the TMA,
Abstinence Education, and QI Programs
Extension Act of 2007, Pub. L. 110–90,
was enacted. Section 7 of Pub. L. 110–
90 included a provision that reduces the
documentation and coding adjustment
for the MS–DRG system that we adopted
in the FY 2008 IPPS final rule with
comment period to ¥0.6 percent for FY
2008 and ¥0.9 percent for FY 2009. To
comply with the provision of section 7
of Pub. L. 110–90, in a final rule that
appeared in the Federal Register on
November 27, 2007 (72 FR 66886), we
changed the IPPS documentation and
coding adjustment for FY 2008 to ¥0.6
percent, and revised the FY 2008
payment rates, factors, and thresholds
accordingly, with these revisions
effective October 1, 2007.
For FY 2009, Pub. L. 110–90 requires
a documentation and coding adjustment
of ¥0.9 percent instead of the ¥1.8
percent adjustment specified in the FY
2008 IPPS final rule with comment
period. As required by statute, we are
applying a documentation and coding
adjustment of ¥0.9 percent to the FY
2009 IPPS national standardized
amounts. The documentation and
coding adjustments established in the
FY 2008 IPPS final rule with comment
period are cumulative. As a result, the
¥0.9 percent documentation and
coding adjustment in FY 2009 is in
addition to the ¥0.6 percent adjustment
in FY 2008, yielding a combined effect
of ¥1.5 percent.
2. Application of the Documentation
and Coding Adjustment to the HospitalSpecific Rates
Under section 1886(d)(5)(D)(i) of the
Act, SCHs are paid based on whichever
of the following rates yields the greatest
aggregate payment: The Federal national
rate; the updated hospital-specific rate
based on FY 1982 costs per discharge;
the updated hospital-specific rate based
on FY 1987 costs per discharge; or the
updated hospital-specific rate based on
FY 1996 costs per discharge. Under
section 1886(d)(5)(G) of the Act, MDHs
are paid based on the Federal national
rate or, if higher, the Federal national
rate plus 75 percent of the difference
between the Federal national rate and
the updated hospital-specific rate based
on the greater of either the FY 1982,
1987, or 2002 costs per discharge. In the
FY 2008 IPPS final rule with comment
period, we established a policy of
applying the documentation and coding
adjustment to the hospital-specific rates.
In that rule, we indicated that because
SCHs and MDHs use the same DRG
system as all other hospitals, we believe
they should be equally subject to the
budget neutrality adjustment that we are
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applying for adoption of the MS–DRGs
to all other hospitals. In establishing
this policy, we cited our authority under
section 1886(d)(3)(A)(vi) of the Act,
which provides the authority to adjust
‘‘the standardized amount’’ to eliminate
the effect of changes in coding or
classification that do not reflect real
change in case-mix. However, in a final
rule that appeared in the Federal
Register on November 27, 2007 (72 FR
66886), we rescinded the application of
the documentation and coding
adjustment to the hospital-specific rates
retroactive to October 1, 2007. In that
final rule, we indicated that, while we
still believe it would be appropriate to
apply the documentation and coding
adjustment to the hospital-specific rates,
upon further review we decided that
application of the documentation and
coding adjustment to the hospitalspecific rates is not consistent with the
plain meaning of section
1886(d)(3)(A)(vi) of the Act, which only
mentions adjusting ‘‘the standardized
amount’’ and does not mention
adjusting the hospital-specific rates.
We continue to have concerns about
this issue. Because hospitals paid based
on the hospital-specific rate use the
same MS–DRG system as other
hospitals, we believe they have the
potential to realize increased payments
from coding improvements that do not
reflect real increases in patients’
severity of illness. In section
1886(d)(3)(A)(vi) of the Act, Congress
stipulated that hospitals paid based on
the standardized amount should not
receive additional payments based on
the effect of documentation and coding
changes that do not reflect real changes
in case-mix. Similarly, we believe that
hospitals paid based on the hospitalspecific rate should not have the
potential to realize increased payments
due to documentation and coding
improvements that do not reflect real
increases in patients’ severity of illness.
While we continue to believe that
section 1886(d)(3)(A)(vi) of the Act does
not provide explicit authority for
application of the documentation and
coding adjustment to the hospitalspecific rates, we believe that we have
the authority to apply the
documentation and coding adjustment
to the hospital-specific rates using our
special exceptions and adjustment
authority under section 1886(d)(5)(I)(i)
of the Act. The special exceptions and
adjustment authority authorizes us to
provide ‘‘for such other exceptions and
adjustments to [IPPS] payment amounts
* * * as the Secretary deems
appropriate.’’ In light of this authority,
for the FY 2010 rulemaking, we plan to
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jlentini on PROD1PC65 with PROPOSALS2
examine our FY 2008 claims data for
hospitals paid based on the hospitalspecific rate. If we find evidence of
significant increases in case-mix for
patients treated in these hospitals, we
would consider proposing application
of the documentation and coding
adjustments to the FY 2010 hospitalspecific rates under our authority in
section 1886(d)(5)(I)(i) of the Act. As
noted previously, the documentation
and coding adjustments established in
the FY 2008 IPPS final rule with
comment period are cumulative. For
example, the ¥0.9 percent
documentation and coding adjustment
to the national standardized amount in
FY 2009 is in addition to the ¥0.6
percent adjustment made in FY 2008,
yielding a combined effect of ¥1.5
percent in FY 2009. Given the
cumulative nature of the documentation
and coding adjustments, if we were to
propose to apply the documentation and
coding adjustment to the FY 2010
hospital-specific rates, it may involve
applying the FY 2008 and FY 2009
documentation and coding adjustments
(¥1.5 percent combined) plus the FY
2010 documentation and coding
adjustment, discussed in the FY 2008
IPPS final rule with comment period, to
the FY 2010 hospital-specific rates.
3. Application of the Documentation
and Coding Adjustment to the Puerto
Rico-Specific Standardized Amount
Puerto Rico hospitals are paid based
on 75 percent of the national
standardized amount and 25 percent of
the Puerto Rico-specific standardized
amount. As noted previously, the
documentation and coding adjustment
we adopted in the FY 2008 IPPS final
rule with comment period relied upon
our authority under section
1886(d)(3)(A)(vi) of the Act, which
provides the authority to adjust ‘‘the
standardized amounts computed under
this paragraph’’ to eliminate the effect of
changes in coding or classification that
do not reflect real change in case-mix.
Section 1886(d)(3)(A)(vi) of the Act
applies to the national standardized
amounts computed under section
1886(d)(3) of the Act, but does not apply
to the Puerto Rico-specific standardized
amount computed under section
1886(d)(9)(C) of the Act. In calculating
the FY 2008 payment rates, we made an
inadvertent error and applied the FY
2008 ¥0.6 percent documentation and
coding adjustment to the Puerto Ricospecific standardized amount, relying
on our authority under section
1886(d)(3)(A)(vi) of the Act. We are
currently in the process of developing a
Federal Register notice to correct that
error in the Puerto Rico-specific
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standardized amount for FY 2008
retroactive to October 1, 2007.
While section 1886(d)(3)(A)(vi) of the
Act is not applicable to the Puerto Ricospecific standardized amount, we
believe that we have the authority to
apply the documentation and coding
adjustment to the Puerto Rico-specific
standardized amount using our special
exceptions and adjustment authority
under section 1886(d)(5)(I)(i) of the Act.
Similar to SCHs and MDHs that are paid
based on the hospital-specific rate,
discussed in section II.D.2. of this
preamble, we believe that Puerto Rico
hospitals that are paid based on the
Puerto Rico-specific standardized
amount should not have the potential to
realize increased payments due to
documentation and coding
improvements that do not reflect real
increases in patients’ severity of illness.
Consistent with the approach described
for SCHs and MDHs in section II.D.2. of
the preamble of this proposed rule, for
the FY 2010 rulemaking, we plan to
examine our FY 2008 claims data for
hospitals in Puerto Rico. If we find
evidence of significant increases in casemix for patients treated in these
hospitals, we would consider proposing
application of the documentation and
coding adjustments to the FY 2010
Puerto Rico-specific standardized
amount under our authority in section
1886(d)(5)(I)(i) of the Act. As noted
previously, the documentation and
coding adjustments established in the
FY 2008 IPPS final rule with comment
period are cumulative. Given the
cumulative nature of the documentation
and coding adjustments, if we were to
propose to apply the documentation and
coding adjustment to the FY 2010
Puerto Rico-specific standardized
amount, it may involve applying the FY
2008 and FY 2009 documentation and
coding adjustments (¥1.5 percent
combined) plus the FY 2010
documentation and coding adjustment,
discussed in the FY 2008 IPPS final rule
with comment period, to the FY 2010
Puerto Rico-specific standardized
amount.
4. Potential Additional Payment
Adjustments in FYs 2010 Through 2012
Section 7 of Pub. L.110–90 also
provides for payment adjustments in
FYs 2010 through 2012 based upon a
retrospective evaluation of claims data
from the implementation of the MS–
DRG system. If, based on this
retrospective evaluation, the Secretary
finds that in FY 2008 and FY 2009, the
actual amount of change in case-mix
that does not reflect real change in
underlying patient severity differs from
the statutorily mandated documentation
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23541
and coding adjustments implemented in
those years, the law requires the
Secretary to adjust payments for
discharges occurring in FYs 2010
through 2012 to offset the estimated
amount of increase or decrease in
aggregate payments that occurred in FY
2008 and FY 2009 as a result of that
difference, in addition to making an
appropriate adjustment to the
standardized amount under section
1886(d)(3)(A)(vi) of the Act.
In order to implement these
requirements of section 7 of Pub. L.
110–90, we are planning a thorough
retrospective evaluation of our claims
data. Results of this evaluation would be
used by our actuaries to determine any
necessary payment adjustments in FYs
2010 through 2012 to ensure the budget
neutrality of the MS–DRG
implementation for FY 2008 and FY
2009, as required by law. We are
currently developing our analysis plans
for this effort.
We intend to measure and corroborate
the extent of the overall national average
changes in case-mix for FY 2008 and FY
2009. We expect part of this overall
national average change would be
attributable to underlying changes in
actual patient severity and part would
be attributable to documentation and
coding improvements under the MS–
DRG system. In order to separate the
two effects, we plan to isolate the effect
of shifts in cases among base DRGs from
the effect of shifts in the types of cases
within base DRGs. The shifts among
base DRGs are the result of changes in
principal diagnoses while the shifts
within base DRGs are the result of
changes in secondary diagnoses.
Because we expect most of the
documentation and coding
improvements under the MS–DRG
system will occur in the secondary
diagnoses, the shifts among base DRGs
are less likely to be the result of the MS–
DRG system and the shifts within base
DRGs are more likely to be the result of
the MS–DRG system. We also anticipate
evaluating data to identify the specific
MS–DRGs and diagnoses that
contributed significantly to the
improved documentation and coding
payment effect and to quantify their
impact. This step would entail analysis
of the secondary diagnoses driving the
shifts in severity within specific base
DRGs.
While we believe that the data
analysis plan described previously will
produce an appropriate estimate of the
extent of case-mix changes resulting
from documentation and coding
improvements, we may also decide, if
feasible, to use historical data from our
Hospital Payment Monitoring Program
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(HPMP) to corroborate the within base
DRG shift analysis. The HPMP is
supported by the Medicare Clinical Data
Abstraction Center (CDAC). From 1999
to 2007, the CDAC obtained medical
records for a sample of discharges as
part of our hospital monitoring
activities. These data were collected on
a random sample of between 30,000 to
50,000 hospital discharges per year. The
historical CDAC data could be used to
develop an upper bound estimate of the
trend in real case-mix growth (that is,
real change in underlying patient
severity) prior to implementation of the
MS–DRGs.
We welcome public comments on our
analysis plans, as well as suggestions on
other possible approaches for
conducting a retrospective analysis to
identify the amount of case-mix changes
that occurred in FY 2008 and FY 2009
that did not reflect real increases in
patients’ severity of illness. Our
analysis, findings, and any resulting
proposals to adjust payments for
discharges occurring in FYs 2010
through 2012 to offset the estimated
amount of increase or decrease in
aggregate payments that occurred in FY
2008 and FY 2009 will be discussed in
future years’ rulemakings.
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E. Refinement of the MS–DRG Relative
Weight Calculation
1. Background
In the FY 2008 IPPS final rule with
comment period (72 FR 47188), we
continued to implement significant
revisions to Medicare’s inpatient
hospital rates by basing relative weights
on hospitals’ estimated costs rather than
on charges. We continued our 3-year
transition from charge-based relative
weights to cost-based relative weights.
Beginning in FY 2007, we implemented
relative weights based on cost report
data instead of based on charge
information. We had initially proposed
to develop cost-based relative weights
using the hospital-specific relative value
cost center (HSRVcc) methodology as
recommended by MedPAC. However,
after considering concerns raised in the
public comments, we modified
MedPAC’s methodology to exclude the
hospital-specific relative weight feature.
Instead, we developed national CCRs
based on distinct hospital departments
and engaged a contractor to evaluate the
HSRVcc methodology for future
consideration. To mitigate payment
instability due to the adoption of costbased relative weights, we decided to
transition cost-based weights over 3
years by blending them with chargebased weights beginning in FY 2007. In
FY 2008, we continued our transition by
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blending the relative weights with onethird charge-based weights and twothirds cost-based weights.
Also, in FY 2008, we adopted
severity-based MS–DRGs, which
increased the number of DRGs from 538
to 745. Many commenters raised
concerns as to how the transition from
charge-based weights to cost-based
weights would continue with the
introduction of new MS–DRGs. We
decided to implement a 2-year
transition for the MS–DRGs to coincide
with the remainder of the transition to
cost-based relative weights. In FY 2008,
50 percent of the relative weight for
each DRG was based on the CMS DRG
relative weight and 50 percent was
based on the MS–DRG relative weight.
We refer readers to the FY 2007 IPPS
final rule (71 FR 47882) for more detail
on our final policy for calculating the
cost-based DRG relative weights and to
the FY 2008 IPPS final rule with
comment period (72 FR 47199) for
information on how we blended relative
weights based on the CMS DRGs and
MS–DRGs.
As we transitioned to cost-based
relative weights, some commenters
raised concerns about potential bias in
the weights due to ‘‘charge
compression,’’ which is the practice of
applying a higher percentage charge
markup over costs to lower cost items
and services, and a lower percentage
charge markup over costs to higher cost
items and services. As a result, the costbased weights would undervalue high
cost items and overvalue low cost items
if a single CCR is applied to items of
widely varying costs in the same cost
center. To address this concern, in
August 2006, we awarded a contract to
RTI to study the effects of charge
compression in calculating the relative
weights and to consider methods to
reduce the variation in the CCRs across
services within cost centers. RTI issued
an interim draft report in March 2007
which was posted on the CMS Web site
with its findings on charge compression.
In that report, RTI found that a number
of factors contribute to charge
compression and affect the accuracy of
the relative weights. RTI found
inconsistent matching of charges in the
Medicare cost report and their
corresponding charges in the MedPAR
claims for certain cost centers. In
addition, there was inconsistent
reporting of costs and charges among
hospitals. For example, some hospitals
would report costs and charges for
devices and medical supplies in the
Medical Supplies Charged to Patients
cost center, while other hospitals would
report those costs and charges in their
related ancillary departments such as
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Operating Room or Radiology. RTI also
found evidence that certain revenue
codes within the same cost center had
significantly different markup rates. For
example, within the Medicare Supplies
Charged to Patients cost center, revenue
codes for devices, implantables, and
prosthetics had different markup rates
than the other medical supplies in that
cost center. RTI’s findings demonstrated
that charge compression exists in
several CCRs, most notably in the
Medical Supplies and Equipment CCR.
RTI offered short-term, medium-term,
and long-term recommendations to
mitigate the effects of charge
compression. RTI’s short-term
recommendations included expanding
the distinct hospital CCRs to 19 by
disaggregating the ‘‘Emergency Room’’
and ‘‘Blood and Blood Products’’ from
the Other Services cost center and by
estimating regression-based CCRs to
disaggregate Medical Supplies, Drugs,
and Radiology cost centers. RTI
recommended, for the medium-term, to
expand the MedPAR file to include
separate fields that disaggregate several
existing charge departments. In
addition, RTI recommended improving
hospital cost reporting instructions so
that hospitals can properly report costs
in the appropriate cost centers. RTI’s
long-term recommendations included
adding new cost centers to the Medicare
cost report, such as adding a ‘‘Devices,
Implants and Prosthetics’’ line under
‘‘Medical Supplies Charged to Patients’’
and a ‘‘CT Scanning and MRI’’
subscripted line under ‘‘RadiologyDiagnostics’’.
Among RTI’s short-term
recommendations, for FY 2008, we
expanded the number of distinct
hospital department CCRs from 13 to 15
by disaggregating ‘‘Emergency Room’’
and ‘‘Blood and Blood Products’’ from
the Other Services cost center as these
lines already exist on the hospital cost
report. Furthermore, in an effort to
improve consistency between costs and
their corresponding charges in the
MedPAR file, we moved the costs for
cases involving electroencephalography
(EEG) from the Cardiology cost center to
the Laboratory cost center group which
corresponds with the EEG MedPAR
claims categorized under the Laboratory
charges. We also agreed with RTI’s
recommendations to revise the Medicare
cost report and the MedPAR file as a
long-term solution for charge
compression. We stated that, in the
upcoming year, we would consider
additional lines to the cost report and
additional revenue codes for the
MedPAR file.
We did not adopt RTI’s short-term
recommendation to create four
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additional regression-based CCRs for
several reasons, even though we had
received comments in support of the
regression-based CCRs as a means to
immediately resolve the problem of
charge compression, particularly within
the Medical Supplies and Equipment
CCR. We were concerned that RTI’s
analysis was limited to charges on
hospital inpatient claims while typically
hospital cost report CCRs combine both
inpatient and outpatient services.
Further, because both the IPPS and
OPPS rely on cost-based weights, we
preferred to introduce any
methodological adjustments to both
payment systems at the same time. We
have since expanded RTI’s analysis of
charge compression to incorporate
outpatient services. RTI has been
evaluating the cost estimation process
for the OPPS cost-based weights,
including a reassessment of the
regression-based CCR models using both
outpatient and inpatient charge data.
The RTI report was finalized at the
conclusion of our proposed rule
development process and is expected to
be posted on the CMS Web site in the
near future. We welcome comments on
this report.
A second reason that we did not
implement regression-based CCRs at the
time of the FY 2008 IPPS final rule with
comment period was our inability to
investigate how regression-based CCRs
would interact with the implementation
of MS–DRGs. We stated that we would
consider the results of the second phase
of the RAND study as we prepared for
the FY 2009 IPPS rulemaking process.
The purpose of the RAND study was to
analyze how the relative weights would
change if we were to adopt regressionbased CCRs to address charge
compression while simultaneously
adopting an HSRV methodology using
fully phased-in MS–DRGs. We had
intended to include a detailed
discussion of RAND’s study in this FY
2009 IPPS proposed rule. However, due
to some delays in releasing identifiable
data to the contractor under revised data
security rules, the report on this second
stage of RAND’s analysis was not
completed in time for the development
of this proposed rule. Therefore, we
continue to have the same concerns
with respect to uncertainty about how
regression-based CCRs would interact
with the MS–DRGs or an HSRV
methodology. Therefore, we are not
proposing to adopt the regression-based
CCRs or an HSRV methodology in this
FY 2009 IPPS proposed rule.
Nevertheless, we welcome public
comments on our proposals not to adopt
regression-based CCRs or an HSRV
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methodology at this time or in the
future. The RAND report on regressionbased CCRs and the HSRV methodology
was finalized at the conclusion of our
proposed rule development process and
is expected to be posted on the CMS
Web site in the near future. Although
we are unable to include a discussion of
the results of the RAND study in this
proposed rule, we welcome public
comment on the report.
Finally, we received public comments
on the FY 2008 IPPS proposed rule
raising concerns on the accuracy of
using regression-based CCR estimates to
determine the relative weights rather
than the Medicare cost report.
Commenters noted that regression-based
CCRs would not fix the underlying
mismatch of hospital reporting of costs
and charges. Instead, the commenters
suggested that the impact of charge
compression might be mitigated through
an educational initiative that would
encourage hospitals to improve their
cost reporting. Commenters
recommended that hospitals be
educated to report costs and charges in
a way that is consistent with how
charges are grouped in the MedPAR file.
In an effort to achieve this goal, hospital
associations have launched an
educational campaign to encourage
consistent reporting, which would
result in consistent groupings of the cost
centers used to establish the cost-based
relative weights. The commenters
requested that CMS communicate to the
fiscal intermediaries/MACs that such
action is appropriate. In the FY 2008
IPPS final rule with comment period,
we stated that we were supportive of the
educational initiative of the industry,
and we encouraged hospitals to report
costs and charges consistently with how
the data are used to determine relative
weights (72 FR 47196). We would also
like to affirm that the longstanding
Medicare principles of cost
apportionment at 42 CFR 413.53 convey
that, under the departmental method of
apportionment, the cost of each
ancillary department is to be
apportioned separately rather than being
combined with another ancillary
department (for example, combining the
cost of Medical Supplies Charged to
Patients with the costs of Operating
Room or any other ancillary cost center.
(We note that, effective for cost
reporting periods starting on or after
January 1, 1979, the departmental
method of apportionment replaced the
combination method of apportionment
where all the ancillary departments
were apportioned in the aggregate
(Section 2200.3 of the Provider
Reimbursement Manual (PRM), Part I).)
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Furthermore, longstanding Medicare
cost reporting policy has been that
hospitals must include the cost and
charges of separately ‘‘chargeable
medical supplies’’ in the Medical
Supplies Charged to Patients cost center
(line 55 of Worksheet A), rather than in
the Operating Room, Emergency Room,
or other ancillary cost centers. Routine
services, which can include ‘‘minor
medical and surgical supplies’’ (Section
2202.6 of the PRM, Part 1), and items for
which a separate charge is not
customarily made, may be directly
assigned through the hospital’s
accounting system to the department in
which they were used, or they may be
included in the Central Services and
Supply cost center (line 15 of Worksheet
A). Conversely, the separately
chargeable medical supplies should be
assigned to the Medical Supplies
Charged to Patients cost center on line
55.
We note that not only is accurate cost
reporting important for IPPS hospitals to
ensure that accurate relative weights are
computed, but hospitals that are still
paid on the basis of cost, such as CAHs
and cancer hospitals, and SCHs and
MDHs must adhere to Medicare cost
reporting principles as well.
The CY 2008 OPPS/ASC final rule
with comment period (72 FR 66601)
also discussed the issue of charge
compression and regression-based
CCRs, and noted that RTI is currently
evaluating the cost estimation process
underpinning the OPPS cost-based
weights, including a reassessment of the
regression models using both outpatient
and inpatient charges, rather than
inpatient charges only. In responding to
comments in the CY 2008 OPPS/ASC
final rule with comment period, we
emphasized that we ‘‘fully support’’ the
educational initiatives of the industry
and that we would ‘‘examine whether
the educational activities being
undertaken by the hospital community
to improve cost reporting accuracy
under the IPPS would help to mitigate
charge compression under the OPPS,
either as an adjunct to the application
of regression-based CCRs or in lieu of
such an adjustment’’ (72 FR 66601).
However, as we stated in the FY 2008
IPPS final rule with comment period
that we would consider the results of
the RAND study before considering
whether to adopt regression-based
CCRs, in the CY 2008 OPPS/ASC final
rule with comment period, we stated
that we would determine whether
refinements should be proposed, after
reviewing the results of the RTI study.
On February 29, 2008, we issued
Transmittal 321, Change Request 5928,
to inform the fiscal intermediaries/
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MACs of the hospital associations’
initiative to encourage hospitals to
modify their cost reporting practices
with respect to costs and charges in a
manner that is consistent with how
charges are grouped in the MedPAR file.
We noted that the hospital cost reports
submitted for FY 2008 may have costs
and charges grouped differently than in
prior years, which is allowable as long
as the costs and charges are properly
matched and the Medicare cost
reporting instructions are followed.
Furthermore, we recommended that
fiscal intermediaries/MACs remain
vigilant to ensure that the costs of items
and services are not moved from one
cost center to another without moving
their corresponding charges. Due to a
time lag in submittal of cost reporting
data, the impact of changes in providers’
cost reporting practices occurring
during FY 2008 would be reflected in
the FY 2011 IPPS relative weights.
2. Refining the Medicare Cost Report
In developing this FY 2009 proposed
rule, we considered whether there were
concrete steps we could take to mitigate
the bias introduced by charge
compression in both the IPPS and OPPS
relative weights in a way that balance
hospitals’ desire to focus on improving
the cost reporting process through
educational initiatives with device
industry interest in adopting regressionadjusted CCRs. Although RTI
recommended adopting regressionbased CCRs, particularly for medical
supplies and devices, as a short-term
solution to address charge compression,
RTI also recommended refinements to
the cost report as a long-term solution.
RTI’s draft interim March 2007 report
discussed a number of options that
could improve the accuracy and
precision of the CCRs currently being
derived from the Medicare cost report
and also reduce the need for
statistically-based adjustments. As
mentioned in the FY 2008 IPPS final
rule with comment period (72 FR
47193), we believe that RTI and many
of the public commenters on the FY
2008 IPPS proposed rule concluded
that, ultimately, improved and more
precise cost reporting is the best way to
minimize charge compression and
improve the accuracy of cost weights.
Therefore, in this proposed rule, we are
proposing to begin making cost report
changes geared to improving the
accuracy of the IPPS and OPPS relative
weights. However, we also received
comments last year asking that we
proceed cautiously with changing the
Medicare cost report to avoid
unintended consequences for hospitals
that are paid on a cost basis (such as
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CAHs and, to some extent, SCHs and
MDHs), and to consider the
administrative burden associated with
adapting to new cost reporting forms
and instructions. Accordingly, we are
proposing to focus at this time on the
CCR for Medical Supplies and
Equipment because RTI found that the
largest impact on the relative weights
could result from correcting charge
compression for devices and implants.
When examining markup differences
within the Medical Supplies Charged to
Patients cost center, RTI found that its
‘‘regression results provide solid
evidence that if there were distinct cost
centers for items, cost ratios for devices
and implants would average about 17
points higher than the ratios for other
medical supplies’’ (January 2007 RTI
report, page 59). This suggests that
much of the charge compression within
the Medical Supplies CCR results from
inclusion of medical devices that have
significantly different markups than the
other supplies in that CCR.
Furthermore, in the FY 2007 final rule
and FY 2008 IPPS final rule with
comment period, the Medical Supplies
and Equipment CCR received significant
attention by the public commenters.
Although we are proposing to make
improvements to lessen the effects of
charge compression only on the Medical
Supplies and Equipment CCR as a first
step, we are inviting public comments
as to whether to make other changes to
the Medicare cost report to refine other
CCRs. In addition, we are open to
making further refinements to other
CCRs in the future. Therefore, we are
proposing at this time to add only one
cost center to the cost report, such that,
in general, the costs and charges for
relatively inexpensive medical supplies
would be reported separately from the
costs and charges of more expensive
devices (such as pacemakers and other
implantable devices). We will consider
public comments submitted on this
proposed rule for purposes of both the
IPPS and the OPPS relative weights and,
by extension, the calculation of the
ambulatory surgical center (ASC)
payment rates.
Under the IPPS for FY 2007 and FY
2008, the aggregate CCR for supplies
and equipment was computed based on
line 55 for Medical Supplies Charged to
Patients and lines 66 and 67 for DME
Rented and DME Sold, respectively. To
compute the 15 national CCRs used in
developing the cost-based weights
under the IPPS (explained in more
detail under section II.H. of the
preamble of this proposed rule), we take
the costs and charges for the 15 cost
groups from Worksheet C, Part I of the
Medicare cost report for all hospital
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patients and multiply each of these 15
CCRs by the Medicare charges on
Worksheet D–4 for those same cost
centers to impute the Medicare cost for
each of the 15 cost groups. Under this
proposal, the goal would be to split the
current CCR for Medical Supplies and
Equipment into one CCR for medical
supplies, and another CCR for devices
and DME Rented and DME Sold.
In considering how to instruct
hospitals on what to report in the cost
center for supplies and the cost center
for devices, we looked at the existing
criteria for what type of device qualifies
for payment as a transitional passthrough device category in the OPPS.
(There are no such existing criteria for
devices under the IPPS.) The provisions
of the regulations under § 419.66(b) state
that for a medical device to be eligible
for pass-through payment under the
OPPS, the medical device must meet the
following criteria:
a. If required by the FDA, the device
must have received FDA approval or
clearance (except for a device that has
received an FDA investigational device
exemption (IDE) and has been classified
as a Category B device by the FDA in
accordance with §§ 405.203 through
405.207 and 405.211 through 405.215 of
the regulations) or another appropriate
FDA exemption.
b. The device is determined to be
reasonable and necessary for the
diagnosis or treatment of an illness or
injury or to improve the functioning of
a malformed body part (as required by
section 1862(a)(1)(A) of the Act).
c. The device is an integral and
subordinate part of the service
furnished, is used for one patient only,
comes in contact with human tissues,
and is surgically implanted or inserted
whether or not it remains with the
patient when the patient is released
from the hospital.
d. The device is not any of the
following:
• Equipment, an instrument,
apparatus, implement, or item of this
type for which depreciation and
financing expenses are recovered as
depreciable assets as defined in Chapter
1 of the Medicare Provider
Reimbursement Manual (CMS Pub. 15–
1).
• A material or supply furnished
incident to a service (for example, a
suture, customized surgical kit, or clip,
other than a radiological site marker).
• Material that may be used to replace
human skin (for example, a biological or
synthetic material).
These requirements are the OPPS
criteria used to define a device for passthrough payment purposes and do not
include additional criteria that are used
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under the OPPS to determine if a
candidate device is new and represents
a substantial clinical improvement, two
other requirements for qualifying for
pass-through payment.
For purposes of applying the
eligibility criteria, we interpret ‘‘surgical
insertion or implantation’’ to include
devices that are surgically inserted or
implanted via a natural or surgically
created orifice as well as those devices
that are inserted or implanted via a
surgically created incision (70 FR
68630).
In proposing to modify the cost report
to have one cost center for medical
supplies and one cost center for devices,
we are proposing that hospitals would
determine what should be reported in
the Medical Supplies cost center and
what should be reported in the Medical
Devices cost center using criteria
consistent with those listed above that
are included under § 419.66(b), with
some modification. Specifically, for
purposes of the cost reporting
instructions, we are proposing that an
item would be reported in the device
cost center if it meets the following
criteria:
a. If required by the FDA, the device
must have received FDA approval or
clearance (except for a device that has
received an FDA investigational device
exemption (IDE) and has been classified
as a Category B device by the FDA in
accordance with §§ 405.203 through
405.207 and 405.211 through 405.215 of
the regulations) or another appropriate
FDA exemption.
b. The device is reasonable and
necessary for the diagnosis or treatment
of an illness or injury or to improve the
functioning of a malformed body part
(as required by section 1862(a)(1)(A) of
the Act).
c. The device is an integral and
subordinate part of the service
furnished, is used for one patient only,
comes in contact with human tissue, is
surgically implanted or inserted through
a natural or surgically created orifice or
surgical incision in the body, and
remains in the patient when the patient
is discharged from the hospital.
d. The device is not any of the
following:
• Equipment, an instrument,
apparatus, implement, or item of this
type for which depreciation and
financing expenses are recovered as
depreciable assets as defined in Chapter
1 of the Medicare Provider
Reimbursement Manual (CMS Pub. 15–
1).
• A material or supply furnished
incident to a service (for example, a
surgical staple, a suture, customized
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surgical kit, or clip, other than a
radiological site marker).
• Material that may be used to replace
human skin (for example, a biological or
synthetic material).
• A medical device that is used
during a procedure or service and does
not remain in the patient when the
patient is released from the hospital.
We are proposing to select the
existing criteria for what type of device
qualifies for payment as a transitional
pass-through device under the OPPS as
a basis for instructing hospitals on what
to report in the cost center for Medical
Supplies Charged to Patients or the cost
center for Medical Devices Charged to
Patients because these criteria are
concrete and already familiar to the
hospital community. However, the key
difference between the existing criteria
for devices that are eligible for passthrough payment under the OPPS at
§ 419.66(b) and our proposed criteria
stated above to be used for cost
reporting purposes is that the device
that is implanted remains in the patient
when the patient is discharged from the
hospital. Essentially, we are proposing
to instruct hospitals to report only
implantable devices that remain in the
patient at discharge in the cost center
for devices. All other devices and nonroutine supplies which are separately
chargeable would be reported in the
medical supplies cost center. We believe
that defining a device for cost reporting
purposes based on criteria that specify
implantation and adding that the device
must remain in the patient upon
discharge would have the benefit of
capturing virtually all costly
implantable devices (for example,
implantable cardioverter defibrillators
(ICDs), pacemakers, and cochlear
implants) for which charge compression
is a significant concern.
However, we acknowledge that a
definition of device based on whether
an item is implantable and remains in
the patient could, in some cases,
include items that are relatively
inexpensive (for example, urinary
catheters, fiducial markers, vascular
catheters, and drainage tubes), and
which many would consider to be
supplies. Thus, some modest amount of
charge compression could still be
present in the cost center for devices if
the hospital does not have a uniform
markup policy. In addition, requiring as
a cost reporting criterion that the device
is to remain in the patient at discharge
could exclude certain technologies that
are moderately expensive (for example,
cryoablation probes, angioplasty
catheters, and cardiac echocardiography
catheters, which do not remain in the
patient upon discharge). Therefore,
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some charge compression could
continue for these technologies. We
believe this limited presence of charge
compression is acceptable, given that
the proposed definition of device for
cost reporting purposes would isolate
virtually all of the expensive items,
allowing them to be separately reported
from most inexpensive supplies.
The criteria we are proposing above
for instructing hospitals as to what to
report in the device cost center specify
that a device is not a material or supply
furnished incident to a service (for
example, a surgical staple, a suture,
customized surgical kit, or clip, other
than a radiological site marker)
(emphasis added). We understand that
hospitals may sometimes receive
surgical kits from device manufacturers
that consist of a high-cost primary
implantable device, external supplies
required for operation of the device, and
other disposable surgical supplies
required for successful device
implantation. Often the device and the
attending supplies are included on a
single invoice from the manufacturer,
making it difficult for the hospital to
determine the cost of each item in the
kit. In addition, manufacturers
sometimes include with the primary
device other free or ‘‘bonus’’ items or
supplies that are not an integral and
necessary part of the device (that is, not
actually required for the safe surgical
implantation and subsequent operation
of that device). (We note that
arrangements involving free or bonus
items or supplies may implicate the
Federal anti-kickback statue, depending
on the circumstances.) One option is for
the hospital to split the total combined
charge on the invoice in a manner that
the hospital believes best identifies the
cost of the device alone. However,
because it may be difficult for hospitals
to determine the respective costs of the
actual device and the attending supplies
(whether they are required for the safe
surgical implantation and subsequent
operation of that device or not), we are
soliciting comments with respect to how
supplies, disposable or otherwise, that
are part of surgical kits should be
reported. We are distinguishing between
such supplies that are an integral and
necessary part of the primary device
(that is, required for the safe surgical
implantation and subsequent operation
of that device) from other supplies that
are not directly related to the
implantation of that device, but may be
included by the device manufacturer
with or without charge as ‘‘perks’’ along
with the kit. If it is difficult to break out
the costs and charges of these lower cost
items that are an integral and necessary
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part of the primary device, we would
consider allowing hospitals to report the
costs and charges of these lower cost
supplies along with the costs and
charges of the more expensive primary
device in the cost report cost center for
implantable devices. However, to the
extent that device manufacturers could
be encouraged to refine their invoicing
practices to break out the charges and
costs for the lower cost supplies and the
higher cost primary device separately,
so that hospitals need not ‘‘guesstimate’’
the cost of the device, this would
facilitate more accurate cost reporting
and, therefore, the calculation of more
accurate cost-based weights. Under
either scenario, even for an aggregated
invoice that contains an expensive
device, we believe that RTI’s findings of
significant differences in supply CCRs
for hospitals with a greater percentage of
charges in device revenue codes
demonstrate that breaking the Medical
Supplies Charged to Patients cost center
into two cost centers and using
appropriate revenue codes for devices,
and walking those costs to the new
Implantable Devices Charged to Patients
cost center, will result in an increase in
estimated device costs.
In summary, we are proposing to
modify the cost report to have one cost
center for Medical Supplies Charged to
Patients and one cost center for
Implantable Devices Charged to
Patients. We are proposing to instruct
hospitals to report only devices that
meet the four criteria listed above
(specifically including that the device is
implantable and remains in the patient
at discharge) in the cost center for
Implantable Devices Charged to
Patients. All other devices and
nonchargeable supplies would be
reported in the Medical Supplies cost
center. This would allow for two
distinct CCRs, one for medical supplies
and one for implantable devices and
DME rented and DME sold.
However, we are also soliciting
comments on alternative approaches
that could be used in conjunction with
or in lieu of the four proposed criteria
for distinguishing between what should
be reported in the cost center for
Implantable Devices and Medical
Supplies, respectively. Another option
we are considering would distinguish
between high-cost and low-cost items
based on a cost threshold. Under this
methodology, we would also have one
cost center for Medical Supplies and
one cost center for Devices, but we
would instruct hospitals to report items
that are not movable equipment or a
capital expense but are above a certain
cost threshold in the cost center for
Devices. Items costing below that
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threshold would be reported in the cost
center for Medical Supplies.
Establishing a cost threshold for cost
reporting purposes would directly
address the problem of charge
compression and would enable
hospitals to easily determine whether an
item should be reported in the supply
or the device cost center. A cost
threshold would also potentially allow
a broader variety of expensive, single
use devices that do not remain in the
patient at discharge to be reported in the
device cost center (such as specialized
catheters or ablation probes). While we
have a number of concerns with the cost
threshold approach, we are nevertheless
soliciting public comments on whether
such an approach would be worthwhile
to pursue. Specifically, we are
concerned that establishing a single cost
threshold for pricing devices could
possibly be inaccurate across hospitals.
Establishing a threshold would require
identifying a cost at which hospitals
would begin applying reduced markup
policies. Currently, we do not have data
from which to derive a threshold. We
have anecdotal reports that hospitals
change their markup thresholds
between $15,000 and $20,000 in
acquisition costs. Recent research on
this issue indicated that hospitals with
average inpatient discharges in DRGs
with supply charges greater than
$15,000, $20,000, and $30,000 have
higher supply CCRs (Advamed March
2006).
Furthermore, although a cost
threshold directly addresses charge
compression, it may not eliminate all
charge compression from the device cost
center because a fixed cost threshold
may not accurately capture differential
markup policies for an individual
hospital. At the same time, we are also
concerned that establishing a cost
threshold may interfere with the pricing
practices of device manufacturers in
that the prices for certain devices or
surgical kits could be inflated to ensure
that the devices met the cost threshold.
We believe our proposed approach of
identifying a group of items that are
relatively expensive based on the
existing criteria for OPPS device passthrough payment status, rather than
adopting a cost threshold, would not
influence pricing by the device
industry. In addition, if a cost threshold
were adopted for distinguishing
between high-cost devices and low-cost
supplies on the cost report, we would
need to periodically reassess the
threshold for changes in markup
policies and price inflation over time.
Another option for distinguishing
between high-cost and low-cost items
for purposes of the cost report would be
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to divide the Medical Supplies cost
center based on markup policies by
placing items with lower than average
markups in a separate cost center. This
approach would center on
documentation requirements for
differential charging practices that
would lead hospitals to distinguish
between the reporting of supplies and
devices on different cost report lines.
That is, because charge compression
results from the different markup
policies that hospitals apply to the
supplies and devices they use based on
the estimated costs of those supplies
and devices, isolating supplies and
devices with different markup policies
mitigates aggregation in markup policies
that cause charge compression and is
specific to a hospital’s internal
accounting and pricing practices. If
requested by the fiscal intermediaries/
MACs at audit, hospitals could be
required to submit documentation of
their markup policies to justify the way
they have reported relatively
inexpensive supplies on one line and
more expensive devices on the other
line. We believe that it should not be too
difficult for hospitals to document their
markup practices because, as was
pointed out by many commenters since
the implementation of cost-based
weights, the source of charge
compression is varying markup
practices. Greater knowledge of the
specifics of hospital markup practices
may allow ultimately for development
of standard cost reporting instructions
that instruct hospitals to report an item
as a device or a supply based on the
type of markup applied to that item.
This option related to markup practices,
the proposal to define devices based on
four specific criteria, and the third
alternative that would establish a cost
threshold for purposes of distinguishing
between high-cost and low-cost items,
could be utilized separately or in some
combination for purposes of cost report
modification. Again, we are soliciting
comments on these alternative
approaches. We are also interested in
other recommendations for appropriate
cost reporting improvements that
address charge compression.
3. Timeline for Revising the Medicare
Cost Report
As mentioned in the FY 2008 IPPS
final rule with comment period (72 FR
47198), we have begun a comprehensive
review of the Medicare hospital cost
report, and the proposed splitting of the
current cost center for Medical Supplies
Charged to Patients into one line for
Medical Supplies Charged to Patients
and another line for Implantable
Devices Charged to Patients, is part of
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our initiative to update and revise the
hospital cost report. Under an effort
initiated by CMS to update the Medicare
hospital cost report to eliminate
outdated requirements in conjunction
with the Paperwork Reduction Act, we
plan to propose the actual changes to
the cost reporting form, the attending
cost reporting software, and the cost
report instructions in Chapter 36 of the
Medicare Provider Reimbursement
Manual (PRM), Part II. We expect the
proposed revision to the Medicare
hospital cost report to be issued after
publication of this IPPS proposed rule.
If we were to adopt as final our proposal
to create one cost center for Medical
Supplies Charged to Patients and one
cost center for Implantable Devices
Charged to Patients in the FY 2009 IPPS
final rule, the cost report forms and
instructions would reflect those
changes. We expect the revised cost
report would be available for hospitals
to use when submitting cost reports
during FY 2009 (that is, for cost
reporting periods beginning on or after
October 1, 2008). Because there is
approximately a 3-year lag between the
availability of cost report data for IPPS
and OPPS ratesetting purposes and a
given fiscal year, we may be able to
derive two distinct CCRs, one for
medical supplies and one for devices,
for use in calculating the FY 2012 IPPS
relative weights and the CY 2012 OPPS
relative weights.
4. Revenue Codes Used in the MedPAR
File
An important first step in RTI’s study
(as explained in its draft interim March
2007 report) was determining how well
the cost report charges used to compute
CCRs matched to the charges in the
MedPAR file. This match (or lack
thereof) directly affects the accuracy of
the DRG cost estimates because
MedPAR charges are multiplied by
CCRs to estimate cost. RTI found
inconsistent reporting between the cost
reports and the claims data for charges
in several ancillary departments
(Medical Supplies, Operating Room,
Cardiology, and Radiology). For
example, the data suggested that some
hospitals often include costs and
charges for devices and other medical
supplies within the Medicare cost report
cost centers for Operating Room,
Radiology, or Cardiology, while other
hospitals include them in the Medical
Supplies Charged to Patients cost
center. While the educational initiative
undertaken by the national hospital
associations is encouraging hospitals to
consistently report costs and charges for
devices and other medical supplies only
in the Medical Supplies Charged to
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Patients cost center, equal attention
must be paid to the way in which
charges are grouped by hospitals in the
MedPAR file. Several commenters on
the FY 2008 IPPS proposed rule
supported RTI’s recommendation of
including additional fields in the
MedPAR file to disaggregate certain cost
centers. One commenter stated that the
assignment of revenue codes and
charges to revenue centers in the
MedPAR file should be reviewed and
changed to better reflect hospital
accounting practices as reflected on the
cost report (72 FR 47198).
In an effort to improve the match
between the costs and charges included
on the cost report and the charges in the
MedPAR file, we are recommending that
certain revenue codes be used for items
reported in the proposed Medical
Supplies Charged to Patients cost center
and the proposed Implantable Devices
Charged to Patients cost center,
respectively. Specifically, under the
proposal to create a cost center for
implantable devices that remain in the
patient upon discharge, revenue codes
0275 (Pacemaker), 0276 (Intraocular
Lens), and 0278 (Other Implants) would
correspond to implantable devices
reported in the proposed Implantable
Devices Charged to Patients cost center.
Items for which a hospital may have
previously used revenue code 0270
(General Classification), but actually
meet the proposed definition of an
implantable device that remains in the
patient upon discharge should instead
be billed with the 0278 revenue code.
Conversely, relatively inexpensive items
and supplies that are not implantable
and do not remain in the patient at
discharge would be reported in the
proposed Medical Supplies Charged to
Patients cost center on the cost report,
and should be billed with revenue codes
0271 (nonsterile supply), 0272 (sterile
supply), and 0273 (take-home supplies),
as appropriate. Revenue code 0274
(Prosthetic/Orthotic devices) and
revenue code 0277 (Oxygen—Take
Home) should be associated with the
costs reported on lines 66 and 67 for
DME—Rented and DME—Sold on the
cost report. Charges associated with
supplies used incident to radiology or to
other diagnostic services (revenue codes
0621 and 0622 respectively) should
match those items used incident to
those services on the Medical Supplies
Charged to Patients cost center of the
cost report, because, under this
proposal, supplies furnished incident to
a service would be reported in the
Medical Supplies Charged to Patients
cost center (see item b. listed above, in
the proposed definition of a device). A
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revenue code of 0623 for surgical
dressings would similarly be associated
with the costs and charges of items
reported in the proposed Medical
Supplies Charged to Patients cost
center, while a revenue code of 0624 for
FDA investigational device, if that
device does not remain in the patient
upon discharge, could be associated
with items reported on the Medical
Supplies Charged to Patients cost center
as well.
In general, if an item is reported as an
implantable device on the cost report,
the associated charges should be
recorded in the MedPAR file with either
revenue codes 0275 (Pacemaker), 0276
(Intraocular Lens), or 0278 (Other
Implants). Likewise, items reported as
Medical Supplies should receive an
appropriate revenue code indicative of
supplies. We understand that many of
these revenue codes have been in
existence for many years and have been
added for purposes unrelated to the goal
of refining the calculation of cost-based
weights. Accordingly, we acknowledge
that additional instructions relating to
the appropriate use of these revenue
codes may need to be issued. In
addition, CMS or the hospital
associations may need to request new
revenue codes from the National
Uniform Billing Committee (NUBC). In
either case, we do not believe either
should delay use of the new Medical
Supplies and Implantable Devices CCRs
in setting payment rates. However, in
light of our proposal to create two
separate cost centers for Medical
Supplies Charged to Patients and
Implantable Devices Charged to
Patients, respectively, we are soliciting
comments on how the existing revenue
codes or additional revenue codes could
best be used in conjunction with the
revised cost centers on the cost report.
F. Preventable Hospital-Acquired
Conditions (HACs), Including Infections
1. General
In its landmark 1999 report ‘‘To Err is
Human: Building a Safer Health
System,’’ the Institute of Medicine
found that medical errors, particularly
hospital-acquired conditions (HACs)
caused by medical errors, are a leading
cause of morbidity and mortality in the
United States. The report noted that the
number of Americans who die each year
as a result of medical errors that occur
in hospitals may be as high as 98,000.
The cost burden of HACs is also high.
Total national costs of these errors due
to lost productivity, disability, and
health care costs were estimated at $17
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billion to $29 billion.2 In 2000, the CDC
estimated that hospital-acquired
infections added nearly $5 billion to
U.S. health care costs every year.3 A
2007 study found that, in 2002, 1.7
million hospital-acquired infections
were associated with 99,000 deaths4
Research has also shown that hospitals
are not following recommended
guidelines to avoid preventable
hospital-acquired infections. A 2007
Leapfrog Group survey of 1,256
hospitals found that 87 percent of those
hospitals do not follow
recommendations to prevent many of
the most common hospital-acquired
infections.5
As one approach to combating HACs,
including infections, in 2005 Congress
authorized CMS to adjust for Medicare
IPPS hospital payments to encourage
the prevention of these conditions. The
preventable HAC provision at section
1886(d)(4)(D) of the Act is part of an
array of Medicare value-based
purchasing (VBP) tools that CMS is
using to promote increased quality and
efficiency of care. Those tools include
measuring performance, using payment
incentives, publicly reporting
performance results, applying national
and local coverage policy decisions,
enforcing conditions of participation,
and providing direct support for
providers through Quality Improvement
Organization (QIO) activities. CMS’
application of VBP tools through
various initiatives, such as this HAC
provision, is transforming Medicare
from a passive payer to an active
purchaser of higher value health care
services. We are applying these
strategies for inpatient hospital care and
across the continuum of care for
Medicare beneficiaries.
The President’s FY 2009 Budget
outlines another approach for
addressing serious preventable adverse
events (‘‘never events’’), including
HACs. The President’s Budget proposal
would: (1) Prohibit hospitals from
billing the Medicare program for ‘‘never
events’’ and prohibit Medicare payment
for these events; and (2) require
hospitals to report occurrence of these
events or receive a reduced annual
payment update.
Medicare’s IPPS encourages hospitals
to treat patients efficiently. Hospitals
receive the same DRG payment for stays
that vary in length and in the services
provided, which gives hospitals an
incentive to avoid unnecessary costs in
the delivery of care. In many cases,
complications acquired in the hospital
do not generate higher payments than
the hospital would otherwise receive for
uncomplicated cases paid under the
same DRG. To this extent, the IPPS
encourages hospitals to avoid
complications. However, complications,
such as infections, acquired in the
hospital can generate higher Medicare
payments in two ways. First, the
treatment of complications can increase
the cost of a hospital stay enough to
generate an outlier payment. However,
the outlier payment methodology
requires that a hospital experience a
large loss on an outlier case, which
serves as an incentive for hospitals to
prevent outliers. Second, under the MS–
DRGs that took effect in FY 2008, there
are currently 258 sets of MS–DRGs that
are split into 2 or 3 subgroups based on
the presence or absence of a CC or an
MCC. If a condition acquired during a
hospital stay is one of the conditions on
the CC or MCC list, the hospital
currently receives a higher payment
under the MS–DRGs (prior to the
October 1, 2008 effective date of the
HAC payment provision). (We refer
readers to section II.D. of the FY 2008
IPPS final rule with comment period for
a discussion of DRG reforms (72 FR
47141).) The following is an example of
how an MS–DRG may be paid.
Present on admission (status
of secondary
diagnosis)
Service: MS–DRG Assignment*
(Examples below with CC/MCC indicate a single secondary diagnosis only)
Principal Diagnosis ..................................................................................................................................................
• Intracranial hemorrhage or cerebral infarction (stroke) without CC/MCC—MS–DRG 066.
Principal Diagnosis ..................................................................................................................................................
• Intracranial hemorrhage or cerebral infarction (stroke) with CC—MS–DRG 065.
Example Secondary Diagnosis
• Dislocation of patella-open due to a fall (code 836.4 (CC)).
Principal Diagnosis ..................................................................................................................................................
• Intracranial hemorrhage or cerebral infarction (stroke) with CC—MS–DRG 065.
Example Secondary Diagnosis
• Dislocation of patella-open due to a fall (code 836.4 (CC)).
Principal Diagnosis ..................................................................................................................................................
• Intracranial hemorrhage or cerebral infarction (stroke) with MCC—MS–DRG 064.
Example Secondary Diagnosis
• Stage III pressure ulcer (code 707.23 (MCC)).
Principal Diagnosis ..................................................................................................................................................
• Intracranial hemorrhage or cerebral infarction (stroke) with MCC—MS–DRG 064.
Example Secondary Diagnosis
• Stage III pressure ulcer (code 707.23 (MCC)).
* Operating
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........................
$5,347.98
Y
6,177.43
N
5,347.98
Y
8,030.28
N
5,347.98
amounts for a hospital whose wage index is equal to the national average.
2. Statutory Authority
Section 1886(d)(4)(D) of the Act
required the Secretary to select at least
two conditions by October 1, 2007, that
2 Institute of Medicine: To Err Is Human: Building
a Safer Health System, November 1999. Available
at: https://www.iom.edu/Object.File/Master/4/117/
ToErr–8pager.pdf.
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are: (a) High cost, high volume, or both;
(b) assigned to a higher paying DRG
when present as a secondary diagnosis;
and (c) could reasonably have been
prevented through the application of
evidence-based guidelines. Beginning
October 1, 2008, Medicare can no longer
assign an inpatient hospital discharge to
3 Centers for Disease Control and Prevention:
Press Release, March 2000. Available at: https://
www.cdc.gov/od/oc/media/pressrel/r2k0306b.htm.
4 Klevens et al. Estimating Health Care-Associated
Infections and Deaths in U.S. Hospitals, 2002.
Public Health Reports. March–April 2007. Volume
122.
5 2007 Leapfrog Group Hospital Survey. The
Leapfrog Group 2007. Available at: https://
www.leapfroggroup.org/media/file/Leapfrog_
hospital_acquired_infections_release.pdf
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initially apply, and noted that we would
be seeking comments on additional
HAC candidates in this proposed rule.
3. Public Input
5. Selection Criteria for HACs
In the FY 2007 IPPS proposed rule (71
FR 24100), we sought public input
regarding conditions with evidencebased prevention guidelines that should
be selected in implementing section
1886(d)(4)(D) of the Act. The public
comments we received were
summarized in the FY 2007 IPPS final
rule (71 FR 48051 through 48053). In the
FY 2008 IPPS proposed rule (72 FR
24716), we again sought formal public
comment on conditions that we
proposed to select. In the FY 2008 IPPS
final rule with comment period (72 FR
47200 through 47218), we summarized
the public comments we received on the
FY 2008 IPPS proposed rule, presented
our responses, selected eight conditions
to which the HAC provision will
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a higher paying MS–DRG if a selected
HAC was not present on admission.
That is, the case will be paid as though
the secondary diagnosis was not
present. (Medicare will continue to
assign a discharge to a higher paying
MS–DRG if the selected condition was
present on admission.) Section
1886(d)(4)(D) of the Act provides that
the list of conditions can be revised
from time to time, as long as the list
contains at least two conditions.
Beginning October 1, 2007, we required
hospitals to begin submitting
information on Medicare claims
specifying whether diagnoses were
present on admission (POA).
The POA indicator reporting
requirement and the HACs payment
provision apply to IPPS hospitals only.
At this time, non-IPPS hospitals such as
CAHs, LTCHs, IRFs, and hospitals in
Maryland operating under waivers,
among others, are exempt from POA
reporting and the HAC payment
provision. Throughout this section,
‘‘hospital’’ refers to IPPS hospitals.
CMS and CDC staff evaluated each
candidate condition against the criteria
established by section 1886(d)(4)(D)(iv)
of the Act.
• Cost or Volume—Medicare data 6
must support that the selected
conditions are high cost, high volume,
or both. At this point, there are no
Medicare claims data indicating which
secondary diagnoses were POA because
POA indicator reporting began only
recently; therefore, the currently
available data for candidate conditions
includes all secondary diagnoses.
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4. Collaborative Process
CMS experts worked with public
health and infectious disease
professionals from the CDC to identify
the candidate preventable HACs. CMS
and CDC staff also collaborated on the
process for hospitals to submit a POA
indicator for each diagnosis listed on
IPPS hospital Medicare claims.
On December 17, 2007, CMS and CDC
hosted a jointly sponsored HAC and
POA Listening Session to receive input
from interested organizations and
individuals. The agenda, presentations,
audio file, and written transcript of the
listening session are available on the
Web site at: https://www.cms.hhs.gov/
HospitalAcqCond/
07_EducationalResources.asp. CMS and
CDC also received informal comments
during the listening session and
subsequently received numerous
written comments.
6 For this FY 2009 IPPS proposed rule, the DRG
analysis is based on data from the September 2007
update of the FY 2007 MedPAR file, which contains
hospital bills received through September 30, 2007,
for discharges through September 30, 2007.
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• Complicating Condition (CC) or
Major Complicating Condition (MCC)—
Selected conditions must be represented
by ICD–9-CM diagnosis codes that
clearly identify the condition, are
designated as a CC or an MCC, and
result in the assignment of the case to
an MS-DRG that has a higher payment
when the code is reported as a
secondary diagnosis. That is, selected
conditions must be a CC or an MCC that
would, in the absence of this provision,
result in assignment to a higher paying
MS-DRG.
• Evidence-Based Guidelines—
Selected conditions must be reasonably
preventable through the application of
evidence-based guidelines. By
reviewing guidelines from professional
organizations, academic institutions,
and entities such as the Healthcare
Infection Control Practices Advisory
Committee (HICPAC), we evaluated
whether guidelines are available that
hospitals should follow to prevent the
condition from occurring in the
hospital.
• Reasonably Preventable—Selected
conditions must be reasonably
preventable through the application of
evidence-based guidelines.
6. HACs Selected in FY 2008 and
Proposed Changes to Certain Codes
The HACs that were selected for the
HAC payment provision through the FY
2008 IPPS final rule with comment
period are listed below. The payment
provision for these selected HACs will
take effect on October 1, 2008. We refer
readers to section II.F.6. of the FY 2008
IPPS final rule with comment period (72
FR 47202 through 47218) for a detailed
analysis supporting the selection of each
of these HACs.
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We are seeking public comments on
the following refinements to two of the
previously selected HACs:
a. Foreign Object Retained After
Surgery: Proposed Inclusion of ICD–9–
CM Code 998.7 (CC)
In the FY 2008 IPPS final rule with
comment period (72 FR 47206), we
indicated that a foreign body
accidentally left in the patient during a
procedure (ICD–9–CM code 998.4) was
one of the conditions selected. It has
come to our attention that ICD–9–CM
diagnosis code 998.7 (Acute reaction to
foreign substance accidentally left
during a procedure) should also be
included. ICD–9–CM code 998.7
describes instances in which a patient
developed an acute reaction due to a
retained foreign substance. Therefore,
we are proposing to make this code
subject to the HAC payment provision.
b. Pressure Ulcers: Proposed Changes in
Code Assignments
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As discussed in the FY 2008 IPPS
final rule with comment period (72 FR
47205–47206), we referred the need for
more detailed ICD–9–CM pressure ulcer
codes to the CDC. The topic of
expanding pressure ulcer codes to
capture the stage of the ulcer was
addressed at the September 27–28,
2007, meeting of the ICD–9–CM
Coordination and Maintenance
Committee. A summary report of this
meeting is available on the Web site at:
https://www.cdc.gov/nchs/about/
otheract/icd9/maint/maint.htm.
Numerous wound care professionals
supported modifying the pressure ulcer
codes to capture staging information.
The stage of the pressure ulcer is a
powerful predictor of severity and
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resource utilization. At its September
27–28, 2007 meeting, the ICD–9–CM
Coordination and Maintenance
Committee discussed the creation of
pressure ulcer codes to capture this
information. The new codes, along with
their proposed CC/MCC classifications,
are shown in Table 6A of the
Addendum to this proposed rule. The
new codes are as follows:
• 707.20 (Pressure ulcer, unspecified
stage).
• 707.21 (Pressure ulcer stage I).
• 707.22 (Pressure ulcer stage II).
• 707.23 (Pressure ulcer stage III).
• 707.24 (Pressure ulcer stage IV).
While the code titles are final, we are
soliciting comment on the proposed
MS–DRG classifications of these codes,
as indicated in Table 6A of the
Addendum to this proposed rule. We
are proposing to remove the CC/MCC
classifications from the current pressure
ulcer codes that show the site of the
ulcer (ICD–9–CM codes 707.00 through
707.09). Therefore, the following codes
would no longer be a CC:
• 707.00 (Decubitus ulcer,
unspecified site).
• 707.01 (Decubitus ulcer, elbow).
• 707.09 (Decubitus ulcer, other site).
The following codes would no longer be
an MCC:
• 707.02 (Decubitus ulcer, upper
back).
• 707.03 (Decubitus ulcer, lower
back).
• 707.04 (Decubitus ulcer, hip).
• 707.05 (Decubitus ulcer, buttock).
• 707.06 (Decubitus ulcer, ankle).
• 707.07 (Decubitus ulcer, heel).
We are proposing to instead assign the
CC/MCC classifications to the stage of
the pressure ulcer as shown in Table 6A
of the Addendum to this proposed rule.
We are proposing to classify ICD–9–CM
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codes 707.23 and 707.24 as MCCs. We
are proposing to classify codes 707.20,
707.21, and 707.22 as non-CCs.
Therefore, we are proposing that,
beginning October 1, 2008, the codes
used to make MS–DRG adjustments for
pressure ulcers under the HAC
provision would include the proposed
MCC codes 707.23 and 707.24.
7. HACs Under Consideration as
Additional Candidates
CMS and CDC have diligently worked
together and with other stakeholders to
identify additional HACs that might
appropriately be subject to the HAC
payment provision. If the additional
candidate HACs are selected in the FY
2009 IPPS final rule, the payment
provision will take effect for these
candidate HACS on October 1, 2008.
The statutory criteria for each HAC
candidate are presented in tabular
format. Each table contains the
following:
• HAC Candidate—We are seeking
public comment on all HAC candidates.
• Medicare Data—We are seeking
public comment on the statutory
criterion of high cost, high volume, or
both as it applies to the HAC candidate.
• CC/MCC—We are seeking public
comment on the statutory criterion that
an ICD–9–CM diagnosis code(s) clearly
identifies the HAC candidate.
• Selected Evidence-Based
Guidelines—We are seeking public
comment on the degree to which the
HAC candidate is reasonably
preventable through the application of
the identified evidence-based
guidelines.
a. Surgical Site Infections Following
Elective Surgeries
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of the statutory criteria to surgical site
infections following elective
procedures, we are particularly
interested in receiving comments on the
degree of preventability of surgical site
infections following elective procedures
generally, as well as specifically for
those listed above. We also are seeking
public comments on additional elective
surgical procedures that would qualify
for the HAC provision by meeting all of
the statutory criteria. Based on the
public comments we receive, we may
select some combination of the four
procedures presented here along with
additional conditions that qualify and
are supported by the comments.
comment period (72 FR 47216).
Legionnaires’ Disease is a type of
pneumonia caused by the bacterium
Legionella pneumophila. It is contracted
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b. Legionnaires’ Disease
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We discussed Legionnaires’ Disease in
the FY 2008 IPPS final rule with
• Total Knee Replacement (81.54):
ICD–9–CM codes 996.66 (CC) and
998.59 (CC)
• Laparoscopic Gastric Bypass (44.38)
and Laparoscopic Gastroenterostomy
(44.39): ICD–9–CM code 998.59 (CC)
• Ligation and Stripping of Varicose
Veins (38.50 through 38.53, 38.55,
38.57, and 38.59): ICD–9–CM code
998.59 (CC)
Evidence-based guidelines for
preventing surgical site infections
emphasize the importance of
appropriately using prophylactic
antibiotics, using clippers rather than
razors for hair removal and tightly
controlling postoperative glucose.
While we are seeking public
comments on the applicability of each
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In the FY 2008 IPPS final rule with
comment period (72 FR 47213), surgical
site infections were identified as a broad
category for consideration, and we
selected mediastinitis after coronary
artery bypass graft (CABG) as one of the
initial eight HACs for implementation.
We are now considering the addition of
other surgical site infections,
particularly those following elective
procedures. In most cases, patients
selected as candidates for elective
surgeries should have a relatively lowrisk profile for surgical site infections.
The following elective surgical
procedures are under consideration:
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these water systems. While we are
seeking public comments regarding the
applicability of each of the statutory
criteria to Legionnaires’ Disease, we are
particularly interested in receiving
comments on the degree of
preventability of Legionnaires’ Disease
through the application of hospital
water system maintenance guidelines.
Legionnaires’ Disease is typically
acquired outside of the hospital setting
and may be difficult to diagnose as
present on admission. We are seeking
comments on the degree to which
hospital-acquired Legionnaires’ Disease
can be distinguished from communityacquired cases.
We also are seeking public comments
on additional water-borne pathogens
that would qualify for the HAC
provision by meeting the statutory
criteria. Based on the public comments
we receive, we may finalize some
combination of Legionnaires’ Disease
and additional conditions that qualify
and are supported by the public
comments.
During the December 17, 2007 HAC
and POA Listening Session, one of the
commenters suggested that we explore
hyperglycemia and hypoglycemia as
HACs for selection. NQF’s list of Serious
Reportable Adverse Events includes
death or serious disability associated
with hypoglycemia that occurs during
hospitalization.
Hyperglycemia and hypoglycemia are
extremely common laboratory findings
in hospitalized patients and can be
complicating features of underlying
diseases and some therapies. However,
we believe that extreme forms of poor
glycemic control should not occur while
under medical care in the hospital
setting. Thus, we are considering
whether the following forms of extreme
glucose derangement should be subject
to the HAC payment provision:
• Diabetic Ketoacidosis: ICD–9–CM
codes 250.10–250.13 (CC)
• Nonketotic Hyperosmolar Coma:
ICD–9–CM code 251.0 (CC)
• Diabetic Coma: ICD–9–CM codes
250.30–250.33 (CC)
• Hypoglycemic Coma: ICD–9–CM
codes 250.30–251.0 (CC)
While we are seeking public
comments regarding the applicability of
each of the statutory criteria to these
extreme aberrations in glycemic control,
we are particularly interested in
receiving comments on the degree to
which these extreme aberrations in
glycemic control are reasonably
preventable, in the hospital setting,
through the application of evidencebased guidelines. Based on the public
comments we receive, we may select
some combination of these glycemic
control-related conditions as HACs.
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c. Glycemic Control
d. Iatrogenic Pneumothorax
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by inhaling contaminated water vapor
or droplets. It is not spread person to
person. Individuals at risk include those
who are elderly, immunocompromised,
smokers, or persons with underlying
lung disease. The bacterium thrives in
warm aquatic environments and
infections have been linked to large
industrial water systems, including
hospital water systems such as air
conditioning cooling towers and potable
water plumbing systems. Prevention
depends primarily on regular
monitoring and decontamination of
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lung, thoracentesis, central venous
catheter placement, pleural biopsy,
tracheostomy, and liver biopsy.
Iatrogenic pneumothorax can occur
secondary to positive pressure
mechanical ventilation when an air sac
in the lung ruptures allowing air into
the pleural space.
While we are seeking public
comments on the applicability of each
of the statutory criteria to iatrogenic
pneumothorax, we are particularly
interested in receiving comments on the
degree to which iatrogenic
pneumothorax is reasonably preventable
through the application of evidencebased guidelines. Based on the public
comments we receive, we may select
iatrogenic pneumothorax as an HAC.
Delirium is a relatively abrupt
deterioration in a patient’s ability to
sustain attention, learn, or reason.
Delirium is strongly associated with
aging and treatment of illnesses that are
associated with hospitalizations.
Delirium affects nearly half of hospital
patient days for individuals age 65 and
older, and approximately three-quarters
of elderly individuals in intensive care
units have delirium. About 14 to 24
percent of hospitalized elderly
individuals have delirium at the time of
admission. Having delirium is a very
serious risk factor, with 1-year mortality
of 35 to 40 percent, a rate as high as
those associated with heart attacks and
sepsis. The adverse effects of delirium
routinely last for months. Delirium is a
clinical diagnosis, commonly assisted
by screening tests such as the Confusion
Assessment Method.
Well-established practices, such as
reducing certain medications,
reorienting the patient, assuring sensory
input and sleep, and avoiding
malnutrition and dehydration, prevent
30 to 40 percent of the possible cases.
While we are seeking public comments
on the applicability of each of the
statutory criteria to delirium, we are
particularly interested in receiving
comments on the degree to which
delirium is reasonably preventable
through the application of evidencebased guidelines. Based upon the public
comments we receive, we may select
delirium as an HAC.
e. Delirium
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f. Ventilator-Associated Pneumonia
(VAP)
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Iatrogenic pneumothorax refers to the
accidental introduction of air into the
pleural space, which is the space
between the lung and the chest wall.
When air is introduced into this space
it partially or completely collapses the
lung. Iatrogenic pneumothorax can
occur during any procedure where there
is the possibility of air entering pleural
space, including needle biopsy of the
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We discussed ventilator-associated
pneumonia (VAP) in the FY 2008 IPPS
final rule with comment period (72 FR
47209–47210). VAP is a serious
hospital-acquired infection associated
with high mortality, significantly
increased hospital length of stay, and
high cost. It is typically caused by the
aspiration of contaminated gastric and/
or oropharyngeal secretions. The
presence of an endotracheal tube
facilitates both the contamination of
secretions as well as aspiration.
During the past year, the ICD–9–CM
Coordination and Maintenance
Committee discussed the creation of a
new ICD–9–CM code 997.31 to identify
VAP. This new code is shown in Table
6A of the Addendum to this proposed
rule. The lack of a specific code was one
of the barriers to including VAP as an
HAC that we discussed in the FY 2008
IPPS final rule with comment period.
We also discussed the degree to which
VAP may be reasonably preventable
through the application of evidencebased guidelines. Specifically, the FY
2008 IPPS final rule with comment
period referenced the American
Association for Respiratory Care’s
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Clinical Practice Guidelines at the Web
site: https://www.rcjournal.com/cpgs/
09.03.0869.html.
To further investigate the extent to
which VAP is reasonably preventable,
we reviewed published clinical
research. The literature, including
recommendations by CDC and the
HICPAC, from 2003 shows numerous
prevention guidelines that can
significantly reduce the incidence of
VAP in the hospital setting. These
guidelines include interventions such as
educating staff, hand washing, using
gowns and gloves, properly positioning
the patient, elevating the head of the
bed, changing ventilator tubing,
sterilizing reusable equipment, applying
chlorhexadine solution for oral
decontamination, monitoring sedation
daily, administering stress ulcer
prophylaxis, and administering
pneumococcal vaccinations. Further
review of the literature, specifically
regarding the proportion of VAP cases
that might be preventable, revealed two
large-scale analyses that were completed
recently. One study concluded that an
estimated 40 percent of VAP cases are
preventable. A second study concluded
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that at least 20 percent of nosocomial
infections in general (not just VAP) are
preventable.7
During the December 17, 2007 HAC
and POA Listing Session, we also
received comments on evidence-based
guidelines for preventing VAP.
Commenters referenced two articles 8 9
that both state there is a high degree of
risk associated with endotracheal tube
insertions, suggesting that VAP may not
always be preventable.
While we are seeking public
comments on the applicability of each
of the statutory criteria to VAP, we are
particularly interested in receiving
comment on the degree to which VAP
7 American Association for Respiratory Care
Clinical Practice: Guideline: Care of the Ventilator
Circuit and Its Relation to Ventilator Associated
Pneumonia. Available at the Web site: https://
www.rcjournal.com/cpgs/09.03.0869.html.
8 Ramirez et al.: Prevention Measures for
Ventilator-Associated Pneumonia: A New Focus on
the Endotracheal Tube. Current Opinion in
Infectious Disease, April 2007, Vol.20 (2), pp. 190–
197.
9 Safdar et al.: The Pathogenesis of VentilatorAssociated Pneumonia: Its Relevance to Developing
Effective Strategies for Prevention. Respiratory
Care, June 2005, Vol. 50, No. 6, pp.725–741.
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comments we receive, we may select
VAP as an HAC.
g. Deep Vein Thrombosis (DVT)/
Pulmonary Embolism (PE)
We discussed deep vein thrombosis
(DVT) and pulmonary embolism (PE) in
the FY 2008 IPPS final rule with
comment period (72 FR 47215). DVT
and PE are common events. DVT occurs
when a blood clot forms in the deep
veins of the leg and causes local
swelling and inflammation. PE occurs
when a clot or a piece of a clot migrates
from its original site into the lungs,
causing the death of lung tissue, which
can be fatal. Risk factors for DVTs and
PEs include inactivity, smoking, use of
oral contraceptives, prolonged bed rest,
prolonged sitting with bent knees,
certain types of cancer and other disease
states, certain blood clotting disorders,
and certain types of orthopedic and
other surgical procedures. DVT is not
always clinically apparent because the
manifestations of pain, redness, and
swelling may develop some time after
the venous clot forms.
As we discussed in the FY 2008 IPPS
final rule with comment period, DVTs
and PEs may be preventable in certain
circumstances, but it is possible that a
patient may have a DVT that is difficult
to detect on admission. We also
received comments during the
December 17, 2007 HAC and POA
Listening Session reiterating that not all
cases of DVTs and PEs are preventable.
For example, common patient
characteristics such as immobility,
obesity, severe vessel trauma, and
venous stasis put certain trauma and
joint replacement surgery patients at
high risk for these conditions.
In our review of the literature, we
found that there are definite
pharmacologic and nonpharmacologic
interventions that may reduce the
likelihood of developing DVTs and PEs,
including exercise, compression
stockings, intermittent pneumatic boots,
aspirin, enoxaparin, dalteparin, heparin,
coumadin, clopidogrel, and
fondaparinux. However, the
evidenceπbased guidelines indicate that
some patients may still develop clots
despite these therapies.
While we are seeking public
comments on the applicability of each
of the statutory criteria to DVTs and
PEs, we are particularly interested in
receiving comments on the degree of
preventability of DVTs and PEs. We are
also interested in comments on
determining the presence of DVT and
PE at admission. Based on the public
comments we receive, we may select
DVTs and PEs as HACs.
EP30AP08.009
h. Staphylococcus aureus Septicemia
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is reasonably preventable through the
application of evidence-based
guidelines. Based on the public
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history of an invasive medical
procedure.
CDC has developed evidence-based
guidelines for the prevention of the
Staphylococcus aureus Septicemia.
Most preventable cases of septicemia are
primarily related to the presence of a
central venous or vascular catheter.
During the December 17, 2007 HAC and
POA Listening Session, commenters
noted that intravascular catheterassociated infections are only one cause
of septicemia. Therefore, catheteroriented evidence-based guidelines
would not cover all cases of
Staphylococcus aureus Septicemia.10
We identified evidence-based
guidelines that suggest Staphylococcus
aureus Septicemia is reasonably
preventable. These guidelines
emphasize the importance of effective
and fastidious hand washing by both
staff and visitors, using gloves and
gowns where appropriate, applying
proper decontamination techniques, and
exercising contact isolation where
clinically indicated.
While we are seeking public
comments on the applicability of each
of the statutory criteria to
Staphylococcus aureus infections
generally, we are particularly interested
in receiving comments on the degree of
preventability of Staphylococcus aureus
infections generally, and specifically
Staphylococcus aureus Septicemia.
Based on the public comments we
receive, we may select Staphylococcus
aureus Septicemia as an HAC.
We discussed Clostridium difficileassociated disease (CDAD) in the FY
2008 IPPS final rule with comment
period. Clostridium difficile is a
bacterium that colonizes the
gastrointestinal (GI) tract of a certain
number of healthy people. Under
conditions where the normal flora of the
gastrointestinal tract is altered,
Clostridium difficile can flourish and
release large enough amounts of a toxin
to cause severe diarrhea or even life
threatening colitis. Risk factors for
CDAD include prolonged use of broad
spectrum antibiotics, gastrointestinal
surgery, prolonged nasogastric tube
insertion, and repeated enemas. CDAD
can be acquired in the hospital or in the
community. Its spores can live outside
of the body for months and thus can be
spread to other patients in the absence
of meticulous hand washing by care
providers and others who contact the
infected patient.
We continue to receive strong support
in favor of selecting CDAD as an HAC.
During the December 17, 2007 HAC and
POA Listening Session, representatives
of consumers and purchasers advocated
to include CDAD as an HAC.
The evidence-based guidelines for
CDAD prevention emphasize that hand
washing by staff and visitors and
effective decontamination of
environmental surfaces prevent the
spread of Clostridium difficile. While
we are seeking public comments on the
applicability of each of the statutory
criteria to CDADs, we are particularly
interested in receiving comments on the
degree of preventability of CDAD. Based
on the public comments we receive, we
may select CDAD as an HAC.
i. Clostridium Difficile-Associated
Disease (CDAD)
j. Methicillin-Resistant Staphylococcus
aureus (MRSA)
10 Jensen, A.G. Importance of Focus Identification
in the Treatment of Staphylococcus aureus
Bacteremia. 2002. Vol. 52, pp. 29–36.
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We discuss Staphylococcus aureus
Septicemia in the FY 2008 IPPS final
rule with comment period (72 FR
47208). Staphylococcus aureus is a
bacterium that lives in the nose and on
the skin of a large percentage of the
population. It usually does not cause
physical illness, but it can cause
infections ranging from superficial boils
to cellulitis to pneumonia to life
threatening bloodstream infections
(septicemia). It usually enters the body
through traumatized tissue, such as cuts
or abrasions, or at the time of invasive
procedures. Staphylococcus aureus
Septicemia can also be a late effect of an
injury or a surgical procedure. Risk
factors for developing Staphylococcus
aureus Septicemia include advanced
age, debilitated state,
immunocompromised status, and a
We discussed the special case of
methicillin-resistant Staphylococcus
aureus (MRSA) in the FY 2008 IPPS
final rule with comment period (72 FR
47212). In October 2007, the CDC
published in the Journal of the
American Medical Association an
article citing high mortality rates from
MRSA, an antibiotic-resistant
‘‘superbug.’’ The article estimates
19,000 people died from MRSA
infections in the United States in 2005.
The majority of invasive MRSA cases
are health care-related—contracted in
hospitals or nursing homes—though
community-acquired MRSA also poses a
significant public health concern.
Hospitals have been focused for years
on controlling MRSA through the
application of CDC’s evidence-based
guidelines outlining best practices for
combating the bacterium in that setting.
MRSA is currently addressed by the
HAC payment provision. For every
infectious condition selected, MRSA
could be the etiology of that infection.
For example, if MRSA were the cause of
a vascular catheter-associated infection
(one of the eight conditions selected in
the FY 2008 IPPS final rule with
comment period), the HAC payment
provision would apply to that MRSA
infection.
As we noted in the FY 2008 IPPS final
rule with comment period, colonization
by MRSA is not a reasonably
preventable HAC according to the
current evidence-based guidelines;
therefore, MRSA does not meet the
reasonably preventable statutory
criterion for an HAC. An estimated 32.4
percent of Americans are colonized with
MRSA, which may reside in the nose or
on the skin of asymptomatic carriers.11
In addition, in last year’s final rule with
comment period, we noted that there is
no CC/MCC code available for MRSA,
and therefore it also does not meet the
codeable CC/MCC statutory criterion for
an HAC. Only when MRSA causes an
infection does a codeable condition
occur. However, we referenced the
possibility that new codes for MRSA
were being considered by the ICD–9–
CM Coordination and Maintenance
Committee. The creation of unique
codes to capture MRSA was discussed
during the March 19–20, 2008
Committee meeting. While these codes
will enhance the data available and our
understanding of MRSA, the availability
and use of these codes will not change
the fact that the mere presence of MRSA
as a colonizing bacterium does not
constitute an HAC.
Because MRSA as a bacterium does
not meet two of our statutory criteria,
codeable CC/MCC and reasonably
preventable through evidence-based
guidelines, we are not proposing MRSA
as an HAC. However, we recognize the
significant public health concerns that
were raised by representatives of
consumers and purchasers at the HAC
and POA Listening Session, and we are
committed to reducing the spread of
multi-drug resistant organisms, such as
MRSA.
In addition, we are pursuing
collaborative efforts with other HHS
agencies to combat MRSA. The Agency
for Healthcare Research and Quality
(AHRQ) has launched a new initiative
in collaboration with CDC and CMS to
identify and suppress the spread of
MRSA and related infections. In support
of this work, Congress has appropriated
$5 million to fund research,
11 Kuehnert, M.J., et al.: Prevalence of
Staphylococcusa aureus Nasal Colonization in the
United States, 2001-2002. The Journal of Infectious
Disease, January 15, 2006; Vol. 193.
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implementation, management, and
evaluation practices that mitigate such
infections.
CDC has carried out extensive
research on the epidemiology of MRSA
and effective techniques that could be
used to treat the infection and reduce its
spread. The following Web sites contain
information that reflect CDC’s
commitment: (1) https://www.cdc.gov/
ncidod/dhqp/ar_mrsa.html (health careassociated MRSA); (2) https://
www.cdc.gov/ncidod/dhqp/
ar_mrsa_ca_public.html (communityacquired MRSA); (3) https://
www.cdc.gov/mmwr/preview/
mmwrhtml/mm4908a1.htm; and (4)
https://www.cdc.gov/handhygiene/.
AHRQ has made previous
investments in systems research to help
monitor MRSA and related infections in
hospital settings, as reflected in material
on the Web site at: https://
www.guideline.gov/browse/
guideline_index.aspx and https://
www.ahrq.gov/clinic/ptsafety/pdf/
ptsafety.pdf.
8. Present on Admission (POA)
Indicator Reporting
POA indicator information is
necessary to identify which conditions
were acquired during hospitalization for
the HAC payment provision and for
broader public health uses of Medicare
data. Through Change Request No. 5679
(released June 20, 2007), CMS issued
instructions requiring IPPS hospitals to
submit the POA indicator data for all
diagnosis codes on Medicare claims.
Specific instructions on how to select
the correct POA indicator for each
diagnosis code are included in the ICD–
9–CM Official Guidelines for Coding
and Reporting, available at the Web site:
https://www.cdc.gov/nchs/datawh/
ftpserv/ftpicd9/icdguide07.pdf (POA
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reporting guidelines begin on page 92).
Additional instructions, including
information regarding CMS’s phased
implementation of POA indicator
reporting and application of the POA
reporting options, are available at the
Web site: https://www.cms.hhs.gov/
HospitalAcqCond.
There are five POA indicator
reporting options: ‘‘Y,’’ ‘‘N,’’ ‘‘W,’’ ‘‘U,’’
and ‘‘1.’’ Under the HAC payment
provision, we are proposing to pay the
CC/MCC MS–DRGs only for those HACs
coded as ‘‘Y’’ and ‘‘W’’ indicators. The
‘‘Y’’ option indicates that the condition
was present on admission. The ‘‘W’’
indicator affirms that the provider has
determined, based on data and clinical
judgment, that it is not possible to
document when the onset of the
condition occurred. We expect that this
approach will encourage better
documentation and promote the public
health goals of POA reporting by
providing more accurate data about the
occurrence of HACs in the Medicare
population. We anticipate that true
clinical uncertainty will occur in only a
very small number of cases. We plan to
analyze how frequently the ‘‘W’’
indicator is used, and we leave open the
possibility of proposing in future IPPS
rulemaking not paying the CC/MCC
MS–DRGs for HACs coded with the
‘‘W’’ indicator. In addition, we plan to
analyze whether both the ‘‘Y’’ and ‘‘W’’
indicators are being used appropriately.
Medicare program integrity initiatives
closely monitor for inaccurate coding
and coding that is inconsistent with
medical record documentation. We are
seeking public comments regarding the
proposed treatment of the ‘‘Y’’ and ‘‘W’’
POA reporting options under the HAC
payment provision.
We are proposing to not pay the CC/
MMC MS–DRGs for HACs coded with
the ‘‘N’’ indicator. The ‘‘N’’ option
indicates that the condition was not
present on admission. We are also
proposing to not pay the CC/MCC MS–
DRGs for HACs coded with the ‘‘U’’
indicator. The ‘‘U’’ option indicates that
the medical record documentation is
insufficient to determine whether the
condition was present at the time of
admission. Not paying for the CC/MCC
MS–DRGs for HACs that are coded with
the ‘‘U’’ indicator is expected to foster
better medical record documentation.
Although we are proposing not paying
the CC/MCC MS–DRG for HACs coded
with the ‘‘U’’ indicator, we do recognize
there may be some exceptional
circumstances under which payment
might be made. Death, elopement
(leaving against medical advice), and
transfers out of a hospital may preclude
making an informed determination of
whether an HAC was present on
admission. We are seeking public
comments on the potential use of the
following current patient discharge
status codes to identify the exceptional
circumstances:
PATIENT DISCHARGE STATUS CODES
Form locator code
Code descriptor
Exception for Patient Death
20 ...............................
Expired.
Exception for Patient Elopement (Leaving Against Medical Device)
7 .................................
Left against medical advice or discontinued care.
Exception for Transfer
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02
03
04
05
06
43
50
51
61
62
63
64
65
66
70
...............................
...............................
...............................
...............................
...............................
...............................
...............................
...............................
...............................
...............................
...............................
...............................
...............................
...............................
...............................
Discharged/transferred to a short-term general hospital for inpatient care.
Discharged/transferred to a skilled nursing facility (SNF) with Medicare certification in anticipation of skilled care.
Discharged/transferred to an intermediate care facility (ICF).
Discharged/transferred to a designated cancer center or children’s hospital.
Discharged/transferred to home under care of organized home health service organization.
Discharged/transferred to a Federal health care facility.
Hospice-home.
Hospice-medical facility (certified) providing hospice level of care.
Discharged/transferred to a hospital-based Medicare approved swing bed.
Discharged/transferred to an inpatient rehabilitation facility (IRF) including rehabilitation distinct part units of a hospital.
Discharged/transferred to a Medicare certified long term care hospital (LTCH).
Discharged/transferred to a nursing facility certified under Medicaid but not certified under Medicare.
Discharged/transferred to a psychiatric hospital or psychiatric distinct part unit of a hospital.
Discharged/transferred to a critical access hospital (CAH).
Discharged/transferred to another type of health care institution not otherwise defined in this code list.
We plan to analyze whether both the
‘‘N’’ and ‘‘U’’ POA reporting options are
being used appropriately. The American
Health Information Management
Association (AHIMA) has promulgated
Standards of Ethical Coding that require
accurate coding regardless of the
payment implications of the diagnoses.
That is, diagnoses must be reported
accurately regardless of their effect on
payment. Medicare program integrity
initiatives closely monitor for inaccurate
coding and coding inconsistent with
medical record documentation. We are
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seeking public comments regarding the
proposal to not pay the CC/MCC MS–
DRGs for HACs coded with ‘‘N’’ and
‘‘U’’ indicators.
9. Enhancement and Future Issues
The preventable HAC payment
provision is one of CMS’ VBP
initiatives, as noted earlier in this
section. VBP ties payment to
performance through the use of
incentives based on quality measures
and cost of care. The implementation of
VBP is rapidly transforming CMS from
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being a passive payer of claims to an
active purchaser of higher quality, more
efficient health care for Medicare
beneficiaries. Other VBP initiatives
include hospital pay for reporting (the
RHQDAPU program discussed in
section IV.B. of the preamble of this
proposed rule), physician pay for
reporting (the Physician Quality
Reporting Initiative), home health pay
for reporting, the Hospital VBP Plan
Report to Congress (discussed in section
IV.C. of the preamble of this proposed
rule), and various VBP demonstration
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programs across payment settings,
including the Premier Hospital Quality
Incentive Demonstration and the
Physician Group Practice
Demonstration.
The success of CMS’ VBP initiatives
depends in large part on the validity of
the performance measures and on the
effectiveness of incentives in driving
desired changes in behavior that will
result in greater quality and efficiency.
We are committed to enhancing the
Medicare VBP programs, in close
collaboration with stakeholders, to
fulfill VBP’s potential to promise of
promoting higher value health care for
Medicare beneficiaries. It is in this spirit
that we seek public comment on
enhancements to the preventable HACs
payment policy and to concomitant
POA indicator reporting.
We welcome all public comments
presenting ideas and models for
combating preventable HACs through
the application of VBP principles. To
stimulate reflection and creativity, we
present several options:
• Risk adjustment could be applied to
make the HAC payment provision more
precise.
• Rates of HACs could be collected to
obtain a more robust longitudinal
measure of a hospital’s incidence of
these conditions.
• POA information could be used in
various ways to decrease the incidence
of preventable HACs.
• The adoption of ICD–10–PCS could
facilitate more precise identification of
HACs.
• The principle behind the HAC
payment provision (Medicare not
paying more for preventable HACs)
could be applied to Medicare payments
in settings of care other than the IPPS.
• CMS is using authority other than
the HAC payment provision to address
other events on the NQF’s list of Serious
Reportable Adverse Events.
We note that we are not proposing
new Medicare policy in this
Enhancements and Future Issues
discussion, as some of these approaches
may require new statutory authority.
a. Risk Adjustment
To make the HAC payment provision
more precise, the adjustments to
payment made when one of the selected
HACs occurs during the hospitalization
could be further adjusted to account for
patient-specific risk factors. The
expected occurrence of an HAC may be
greater or lesser depending on the
health status of the patient, as reflected
by severity of illness, presence of
comorbidities, or other factors. Rather
than not paying any additional amount
for the complication, the additional
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payment for the complication could
range from zero for the lowest risk
patient to the full amount for the highest
risk patient. An option may be
individualized adjustment for every
hospitalization based on the patient’s
unique characteristics, but state-of-theart risk adjustment currently precludes
such individualized adjustment.
b. Rates of HACs
Given our limited capability at
present for precise patient-level risk
adjustment, adding a consideration of
risk to the criteria for selecting HACs
could be an alternative. If primarily
high-risk patients are acquiring a certain
condition during hospitalization, that
condition could be considered a less-fit
candidate for selection. Other
alternatives to precise individualized
risk adjustment could be adjustment for
overall facility case mix or facility casemix by condition. At the highest level,
national Medicare program data could
be used to make adjustments to the
payment implications for the selected
HACs based on expected rates of
complications. Another option could be
to designate certain patient risk factors
as exemptions that would prohibit or
mitigate the application of the HAC
payment policy to the claims of patients
with those risk factors.
The Medicare Hospital VBP Plan was
submitted in a Report to Congress on
November 21, 2007. The plan includes
a performance assessment model that
scores a hospital’s attainment or
improvement on various measures. The
scores for each measure would be
summed within each domain, such as
the clinical process of care domain or
the patient experience domain, and then
the domains would be weighted and
summed to yield a total performance
score. The total performance score
would then be translated into an
incentive payment, proposed to be a
certain percentage of each MS–DRG
payment, using an exchange function.
The plan also calls for public reporting
of hospitals’ performance scores by
domain and in total. (Section IV.C. of
this preamble included a related
discussion of the Hospital VBP Plan
Report to Congress.)
In accordance with this hospital VBP
model, a hospital’s rates of HACs could
be included as a domain within each
hospital’s total performance score. The
measurement of rates over time could be
a more meaningful, actionable, and fair
way to adjust a hospital’s MS–DRG
payments for the incidence of HACs.
The consequence of a higher incidence
of measured conditions would be a
lower VBP incentive payment. Public
reporting of the measured rates of HACs
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would give hospitals an additional,
nonfinancial incentive to prevent
occurrence of the conditions to avoid
lower public ratings.
c. Use of POA Information
Information obtained from hospitals’
reporting of POA data could be used in
various ways to better understand and
prevent the occurrence of HACs. The
POA information could be provided to
health services researchers to analyze
factors that lead to HACs and
disseminate the best practices for
prevention of HACs. At least two states,
New York and California, already
collect POA data from their hospitals.
Comparison of the State POA data with
the Medicare data could fill in gaps in
the databases and yield valuable
insights about POA data validity.
POA data could also be used to
calculate the incidence of HACs by
hospital. This application of the POA
data would be particularly powerful if
the Medicare POA data were combined
with state or private sector payer POA
data. The Medicare-only or combined
quality of care information could be
initially shared with hospitals and
thereafter publicly reported to support
better healthcare decision making by
Medicare beneficiaries, other health care
consumers, professionals, and
caregivers.
d. Transition to ICD–10–PCS
Accurate identification of HACs
requires unambiguous and precise
diagnosis codes. The current ICD–9–CM
diagnosis coding system is three
decades old. It is outdated and contains
numerous instances of broad and vague
codes. Attempts to add necessary detail
to the ICD–9–CM system are inhibited
by lack of expansion capacity. These
factors negatively affect CMS’ attempts
to identify HAC cases.
ICD–10–PCS codes are more precise
and capture information using more
current medical terminology. For
example, ICD–9–CM codes for pressure
ulcers do not provide information about
the size, depth, or exact location of the
ulcer, while ICD–10–PCS has 60 codes
to capture this information. ICD–10–
PCS would also provide codes, beyond
the current ICD–9–CM codes, that
would enable the selection of additional
surgical complications and adverse drug
events.
e. Application of Nonpayment for HACs
to Other Settings
The broad principle of Medicare not
paying for preventable health careassociated conditions could potentially
be applied to Medicare payment settings
other than IPPS hospitals. Other
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possible settings of care might include
hospital outpatient departments, SNFs,
HHAs, end-stage renal disease facilities,
and physician practices. The
implications would be different for each
setting, as each payment system is
different and the reasonable
preventability through the application
of evidence-based guidelines would
vary for candidate conditions over the
different settings. However, alignment
of incentives across settings of care is an
important goal for all of CMS’ VBP
initiatives, including the HAC
provision.
A related application of the broad
principle behind the HAC payment
could be accomplished through
modification to the Medicare secondary
payer policy which would allow us to
directly recoup from the provider that
failed to prevent the occurrence of a
preventable condition in one setting to
pay for all or part of the necessary
followup care in a second setting. This
would help shield the Medicare
program from inappropriately paying for
the downstream effects of a preventable
condition acquired in the first setting
but treated in the second setting.
f. Relationship to NQF’s Serious
Reportable Adverse Events
CMS is applying its authority to
address the events on the NQF’s list of
Serious Reportable Adverse Events (also
known as ‘‘never events’’). In May 2006
testimony before the Senate Finance
Committee, the CMS Administrator
noted that paying hospitals for serious
preventable events is contrary to the
promise that hospital payments should
support higher quality and efficiency.
There is growing consensus that health
care purchasers should not be paying for
these events when they occur during a
hospitalization. In January 2005,
HealthPartners, a Minnesota-based notfor-profit HMO, announced that it
would no longer reimburse hospitals for
services associated with events
enumerated in the Minnesota Adverse
Health Care Events Reporting Act
(essentially the NQF’s list of Serious
Reportable Adverse Events). Further,
HealthPartners’ contracts preclude
hospitals from seeking reimbursement
from the patient for these costs. During
2007, several State hospital associations
adopted policies stating that their
members will not bill payers or patients
when these events occur in their
hospitals.
In the FY 2008 IPPS final rule with
comment period, we adopted several
items from the NQF’s list of events as
HACs, including retained foreign object
after surgery, air embolism, blood
incompatibility, stage III and IV
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pressure ulcers, falls, electric shock, and
burns. In this proposed rule, we are
seeking public comments regarding
adding hypoglycemic coma, which is
closely related to NQF’s listing of death
or serious disability associated with
hypoglycemia. However, as we
discussed in the FY 2008 IPPS final rule
with comment period, the HAC
payment provision is not ideally suited
to address every condition on the NQF’s
list of Serious Reportable Adverse
Events. To address the events on the
NQF’s list beyond the effect of the HAC
policy, CMS is exploring the application
of Medicare authority, including other
payment provisions, coverage policy,
conditions of participation, and Quality
Improvement Organization (QIO)
retrospective review.
We note that we are not proposing
new Medicare policy in this discussion
of the HAC payment provision for IPPS
hospitals, as some of these approaches
may require new statutory authority. We
are seeking public comments on these
and other options for enhancing the
preventable HACs payment provision
and maximizing the use of POA
indicator reporting data. We look
forward to working with stakeholders in
the fight against HACs.
G. Proposed Changes to Specific MS–
DRG Classifications
1. Pre-MDCs: Artificial Heart Devices
Heart failure affects more than 5
million patients in the United States
with 550,000 new cases each year, and
causes more than 55,000 deaths
annually. It is a progressive disease that
is medically managed at all stages, but
over time leads to continued
deterioration of the heart’s ability to
pump sufficient amounts of adequately
oxygenated blood throughout the body.
When medical management becomes
inadequate to continue to support the
patient, the patient’s heart failure would
be considered to be the end stage of the
disease. At this point, the only
remaining treatment options are a heart
transplant or mechanical circulatory
support. A device termed an artificial
heart has been used only for severe
failure of both the right and left
ventricles, also known as biventricular
failure. Relatively small numbers of
patients suffer from biventricular
failure, but the exact numbers are
unknown. There are about 4,000
patients approved and waiting to
receive heart transplants in the United
States at any given time, but only about
2,000 hearts per year are transplanted
due to a scarcity of donated organs.
There are a number of mechanical
devices that may be used to support the
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ventricles of a failing heart on either a
temporary or permanent basis. When it
is apparent that a patient will require
long-term support, a ventricular support
device is generally implanted and may
be considered either as a bridge to
recovery or a bridge to transplantation.
Sometimes a patient’s prognosis is
uncertain, and with device support the
native heart may recover its function.
However when recovery is not likely,
the patient may qualify as a transplant
candidate and require mechanical
circulatory support until a donor heart
becomes available. This type of support
is commonly supplied by ventricular
assist devices, (VADs), which are
surgically attached to the native
ventricles but do not replace them.
Devices commonly called artificial
hearts are biventricular heart
replacement systems that differ from
VADs in that a substantial part of the
native heart, including both ventricles,
is removed. When the heart remains
intact, it remains possible for the native
heart to recover its function after being
assisted by a VAD. However, because
the artificial heart device requires the
resection of the ventricles, the native
heart is no longer intact and such
recovery is not possible. The
designation ‘‘artificial heart’’ is
somewhat of a misnomer because some
portion of the native heart remains and
there is no current mechanical device
that fully replaces all four chambers of
the heart. Over time, better descriptive
language for these devices may be
adopted.
In 1986, CMS made a determination
that the use of artificial hearts was not
covered under the Medicare program.
To conform to that decision, we placed
ICD–9–CM procedure code 37.52
(Implantation of total replacement heart
system) on the GROUPER program’s
MCE in the noncovered procedure list.
On August 1, 2007, CMS began a
national coverage determination process
for artificial hearts. SynCardia Systems,
Inc. submitted a request for
reconsideration of the longstanding
noncoverage policy when its device, the
CardioWest Temporary Total Artificial
Heart (TAH–t) System, is used for
‘‘bridge to transplantation’’ in
accordance with the FDA-labeled
indication for the device. ‘‘Bridge to
transplantation’’ is a phrase meaning
that a patient in end-stage heart failure
may qualify as a heart transplant
candidate, but will require mechanical
circulatory support until a donor heart
becomes available. The CardioWest
TAH–t System is indicated for use as a
bridge to transplantation in cardiac
transplant-eligible candidates at risk of
imminent death from biventricular
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failure. The system is intended for use
inside the hospital as the patient awaits
a donor heart. The ultimate desired
outcome for insertion of the TAH–t is a
successful heart transplant, along with
the potential that offers for cure from
heart failure.
CMS determined that a broader
analysis of artificial heart coverage was
deemed appropriate, as another
manufacturer, Abiomed, Inc. has
developed an artificial heart device,
AbioCor Implantable Replacement
Heart Device, with different indications.
SynCardia Systems, Inc has received
approval of its device from the FDA for
humanitarian use as destination therapy
for patients in end-stage biventricular
failure who cannot qualify as transplant
candidates. The AbioCor Implantable
Replacement Heart Device is indicated
for use in severe biventricular end-stage
heart disease patients who are not
cardiac transplant candidates and who
are less than 75 years old, who require
multiple inotropic support, who are not
treatable by VAD destination therapy,
and who cannot be weaned from
biventricular support if they are on such
support. The desired outcome for this
device is prolongation of life and
discharge to home.
On February 1, 2008, CMS published
a proposed coverage decision
memorandum for artificial hearts which
stated, in part, that while the evidence
is inadequate to conclude that the use
of an artificial heart is reasonable and
necessary for Medicare beneficiaries, the
evidence is promising for the uses of
artificial heart devices as described
above. CMS supports additional
research for these devices, and therefore
proposed that the artificial heart will be
covered by Medicare when performed
under the auspices of a clinical study.
The study must meet all of the criteria
listed in the proposed decision
memorandum. This proposed coverage
decision memorandum may be found on
the CMS Web site at: https://
www.cms.hhs.gov/mcd/
viewdraftdecisionmemo.asp?id=211.
Following consideration of the public
comments received, CMS expects to
make a final decision on or about May
1, 2008.
The topic of coding of artificial heart
devices was discussed at the September
27–28, 2007 ICD–9–CM Coordination
and Maintenance Committee meeting
held at CMS in Baltimore, MD. We note
that this topic was placed on the
Committee’s agenda because any
proposed changes to the ICD–9–CM
coding system must be discussed at a
Committee meeting, with opportunity
for comment from the public. At the
September 2007 Committee meeting, the
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Committee accepted oral comments
from participants and encouraged
attendees or anyone with an interest in
the topic to comment on proposed
changes to the code, inclusion terms, or
exclusion terms. We accepted written
comments until October 12, 2007. As a
result of discussion and comment from
the Committee meeting, the Committee
revised the title of procedure code 37.52
for artificial hearts to read
‘‘Implantation of internal biventricular
heart replacement system.’’ In addition,
the Committee created new code 37.55
(Removal of internal biventricular heart
replacement system) to identify
explantation of the artificial heart prior
to heart transplantation.
To make conforming changes to the
IPPS system with regard to the proposed
revision to the coverage decision for
artificial hearts, in this proposed rule,
we are proposing to remove procedure
code 37.52 from MS–DRG 215 (Other
Heart Assist System Implant) and assign
it to MS–DRG 001 (Heart Transplant or
Implant of Heart Assist System with
Major Comorbidity or Complication
(MCC)) and MS–DRG 002 (Heart
Transplant or Implant of Heart Assist
System without Major Comorbidity or
Complication (MCC)). In addition, we
are proposing to remove procedure code
37.52 from the MCE ‘‘Non-Covered
Procedure’’ edit and assign it to the
‘‘Limited Coverage’’ edit. We are
proposing to include in this proposed
edit the requirement that ICD–9–CM
diagnosis code V70.7 (Examination of
participant in clinical trial) also be
present on the claim. We are proposing
that claims submitted without both
procedure code 37.52 and diagnosis
code V70.7 would be denied because
they would not be in compliance with
the proposed coverage policy.
During FY 2008, we are making midyear changes to portions of the
GROUPER program that do not affect
MS–DRG assignment or ICD–9–CM
coding. However, as the proposed
coverage decision memorandum for
artificial hearts was published after the
CMS contractor’s testing and release of
the mid-year product, the above
proposed changes to the MCE will not
be included in that revision of the
GROUPER Version 25.0. GROUPER
Version 26.0, which will be in use for
FY 2009, will contain the proposed
changes if they are approved. If the
proposed revisions to the MCE are
accepted, the edits in the MCE Version
25.0 will be effective retroactive to May
1, 2008. (To reduce confusion, we note
that the version number of the MCE is
one digit lower than the current
GROUPER version number; that is,
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23563
Version 26.0 of the GROUPER uses
Version 25.0 of the MCE.)
2. MDC 1 (Diseases and Disorders of the
Nervous System)
a. Transferred Stroke Patients Receiving
Tissue Plasminogen Activator (tPA)
In 1996, the FDA approved the use of
tissue plasminogen activator (tPA), one
type of thrombolytic agent that dissolves
blood clots. In 1998, the ICD–9–CM
Coordination and Maintenance
Committee created code 99.10 (Injection
or infusion of thrombolytic agent) in
order to be able to uniquely identify the
administration of these agents. Studies
have shown that tPA can be effective in
reducing the amount of damage the
brain sustains during an ischemic
stroke, which is caused by blood clots
that block blood flow to the brain. tPA
is approved for patients who have blood
clots in the brain, but not for patients
who have a bleeding or hemorrhagic
stroke. Thrombolytic therapy has been
shown to be most effective when used
within the first 3 hours after the onset
of an embolic stroke, but it is
contraindicated in hemorrhagic strokes.
For FY 2006, we modified the
structure of CMS DRGs 14 (Intracranial
Hemorrhage or Cerebral Infarction) and
15 (Nonspecific CVA and Precerebral
Occlusion without Infarction) by
removing the diagnostic ischemic
(embolic) stroke codes. We created a
new CMS DRG 559 (Acute Ischemic
Stroke with Use of Thrombolytic Agent)
which increased reimbursement for
patients who sustained an ischemic or
embolic stroke and who also had
administration of tPA. The intent of this
DRG was not to award higher payment
for a specific drug but to recognize the
need for better overall care for this
group of patients. Even though tPA is
indicated only for a small proportion of
stroke patients, that is, those patients
experiencing ischemic strokes treated
within 3 hours of the onset of
symptoms, our data suggested that there
was a sufficient quantity of patients to
support the DRG change. While our goal
is to make payment relate more closely
to resource use, we also note that use of
tPA in a carefully selected patient
population may lead to better outcomes
and overall care and may lessen the
need for postacute care.
For FY 2008, with the adoption of
MS–DRGs, CMS DRG 559 became MS–
DRGs 061 (Acute Ischemic Stroke with
Use of Thrombolytic Agent with MCC),
062 (Acute Ischemic Stroke with Use of
Thrombolytic Agent with CC), and 063
(Acute Ischemic Stroke with Use of
Thrombolytic Agent without CC/MCC).
Stroke cases in which no thrombolytic
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agent was administered were grouped to
MS–DRGs 064 (Intracranial Hemorrhage
or Cerebral Infarction with MCC), 065
(Intracranial Hemorrhage or Cerebral
Infarction with CC), or 066 (Intracranial
Hemorrhage or Cerebral Infarction
without CC/MCC). The MS–DRGs that
reflect use of a thrombolytic agent, that
is, MS–DRGs 061, 062, and 063, have
higher relative weights than the
hemorrhagic or cerebral infarction MS–
DRGs 064, 065, and 066.
The American Society of
Interventional and Therapeutic
Neuroradiology (ASITN) has made us
aware of a treatment issue that is of
concern to the stroke provider’s
community. In some instances, patients
suffering an embolytic or thrombolytic
stroke are evaluated and given tPA in a
community hospital’s emergency
department, and then are transferred to
a larger facility’s stroke center that is
able to provide the level of services
required by the increased severity of
these cases. The facility providing the
administration of tPA in its emergency
department does not realize increased
reimbursement, as the patient is often
transferred as soon a possible to a stroke
center. The facility to which the patient
is transferred does not realize increased
reimbursement, as the tPA was not
administered there. The ASITN has
requested that CMS give permission to
code the administration of tPA as if it
had been given in the receiving facility.
This would result in the receiving
facility being paid the higher weighted
MS–DRGs 061, 062, or 063 instead of
MS–DRGs 064, 065, or 066. The
ASITN’s rationale is that the patients
who received tPA in another facility
(even though administration of tPA may
have alleviated some of the worst
consequences of their strokes) are still
extremely compromised and require
increased health care services that are
much more resource consumptive than
patients with less severe types of stroke.
We have advised the ASITN that
hospitals may not report services that
were not performed in their facility.
We recognize that the ASITN’s
concerns potentially have merit but the
quantification of the increased resource
consumption of these patients is not
currently possible in the existing ICD–
9–CM coding system. Without specific
length of stay and average charges data,
we are unable to determine an
appropriate MS–DRG for these cases.
Therefore, we have advised the ASITN
to present a request at the diagnostic
portion of the ICD–9–CM Coordination
and Maintenance Committee meeting on
March 20, 2008, for a code that would
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recognize the fact that the patient had
received a thrombolytic agent for
treatment of the current stroke. If this
request is presented at the March 20,
2008 meeting, it will not be approved in
time to be published as a final code in
this proposed rule. However, if a
diagnosis code is created by the
National Centers for Health Statistics as
a result of that meeting, it can be added
to the list of codes published in the FY
2009 IPPS final rule that will go into
effect on October 1, 2008. With such
information appearing on subsequent
claims, we will have a better idea of
how to classify these cases within the
MS–DRGs. Therefore, because we lack
the data to identify these patients, we
are not proposing an MS–DRG
modification for the stroke patients
receiving tPA in one facility prior to
being transferred to another facility.
b. Intractable Epilepsy With Video
Electroencephalogram (EEG)
As we did for FY 2008, we received
a request from an individual
representing the National Association of
Epilepsy Centers to consider further
refinements to the MS–DRGs describing
seizures. Specifically, the representative
recommended that a new MS–DRG be
established for patients with intractable
epilepsy who receive an
electroencephalogram with video
monitoring (vEEG) during their hospital
stay. Similar to the initial
recommendation, the representative
stated that patients who suffer from
uncontrolled seizures or intractable
epilepsy are admitted to an epilepsy
center for a comprehensive evaluation
to identify the epilepsy seizure type, the
cause of the seizure, and the location of
the seizure. These patients are admitted
to the hospital for 4 to 6 days with 24hour monitoring that includes the use of
EEG video monitoring along with
cognitive testing and brain imaging
procedures.
Effective October 1, 2007, MS–DRG
100 (Seizures with MCC) and MS–DRG
101 (Seizures without MCC) were
implemented as a result of refinements
to the DRG system to better recognize
severity of illness and resource
utilization. Once again, the
representative applauded CMS for
making changes in the DRG structure to
better recognize differences in patient
severity. However, the representative
stated that a subset of patients in MS–
DRG 101 who have a primary diagnosis
of intractable epilepsy and are treated
with vEEG are substantially more costly
to treat than other patients in this MS–
DRG and represent the majority of
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patients being evaluated by specialized
epilepsy centers. Alternatively, the
representative stated that he was not
requesting any change in the structure
of MS–DRG 100. According to the
representative, the number of cases that
would fall into this category is not
significant. The representative further
noted that this is a change from last
year’s request.
Epilepsy is currently identified by
ICD–9–CM diagnosis codes 345.0x
through 345.9x. There are two fifth
digits that may be assigned to a subset
of the epilepsy codes depending on the
physician documentation:
• ‘‘0’’ for without mention of
intractable epilepsy.
• ‘‘1’’ for with intractable epilepsy.
With the assistance of an outside
reviewer, the representative analyzed
cost data for MS–DRGs 100 and 101,
which focused on three subsets of
patients identified with a primary
diagnosis of epilepsy or convulsions
who also received vEEG (procedure
code 89.19):
• Patients with a primary diagnosis of
epilepsy with intractability specified
(codes 345.01 through 345.91).
• Patients with a primary diagnosis of
epilepsy without intractability specified
(codes 345.00 through 345.90).
• Patients with a primary diagnosis of
convulsions (codes 780.39).
The representative acknowledged that
the association did not include any
secondary diagnoses in its analyses.
Based on its results, the representative
recommended that CMS further refine
MS–DRG 101 by subdividing cases with
a primary diagnosis of intractable
epilepsy (codes 345.01 through 345.91)
when vEEG (code 89.19) is also
performed into a separate MS–DRG that
would be defined as ‘‘MS–DRG XXX’’
(Epilepsy Evaluation without MCC).
According to the representative, these
cases are substantially more costly than
the other cases within MS–DRG 101 and
are consistent with the criteria for
dividing MS–DRGs on the basis of CCs
and MCCs. In addition, the
representative stated that the request
would have a minimal impact on most
hospitals but would substantially
improve the accuracy of payment to
hospitals specializing in epilepsy care.
We performed an analysis using FY
2007 MedPAR data. As shown in the
table below, we found a total of 54,060
cases in MS–DRG 101 with average
charges of $14,508 and an average
length of stay of 3.69 days. There were
879 cases with intractable epilepsy and
vEEG with average charges of $19,227
and an average length of stay of 5 days.
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Number of
cases
MS–DRG
MS–DRG 100—All Cases .........................................................................................................
MS–DRG 100—Cases with Intractable Epilepsy with vEEG (Codes 345.01, 345.11, 345.41,
345.51, 345.61, 345.71, 345.81, 345.91) ..............................................................................
MS–DRG 100—Cases with Intractable Epilepsy without vEEG ...............................................
MS–DRG 101—All cases ..........................................................................................................
MS–DRG 101—Cases with Intractable Epilepsy with vEEG (Codes 345.01, 345.11, 345.41,
345.51, 345.61, 345.71, 345.81, 345.91) ..............................................................................
MS–DRG 101—Cased with Intractable Epilepsy without vEEG ...............................................
In applying the criteria to establish
subgroups, the data do not support the
creation of a new subdivision for MS–
DRG 101 for cases with intractable
epilepsy and vEEG nor does the data
support moving the 879 cases from MS–
DRG 101 to MS–DRG 100. Moving the
879 cases to MS–DRG 100 would mean
moving cases with average charges of
approximately $19,000 into an MS–DRG
with average charges of $28,000.
Therefore, we are not proposing to
refine MS–DRG 101 by subdividing
cases with a primary diagnosis of
intractable epilepsy (codes 345.01
through 345.91) when vEEG (code
89.19) is also performed into a separate
MS–DRG.
jlentini on PROD1PC65 with PROPOSALS2
3. MDC 5 (Diseases and Disorders of the
Circulatory System)
a. Automatic Implantable CardioverterDefibrillators (AICD) Lead and
Generator Procedures
In the FY 2008 IPPS final rule with
comment period (72 FR 47257), we
created a separate, stand alone DRG for
automatic implantable cardioverterdefibrillator (AICD) generator
replacements and defibrillator lead
replacements. The new MS–DRG 245
(AICD lead and generator procedures)
contains the following codes:
• 00.52, Implantation or replacement
of transvenous lead [electrode] into left
ventricular coronary venous system.
• 00.54, Implantation or replacement
of cardiac resynchronization
defibrillator pulse generator device only
[CRT–D].
• 37.95, Implantation of automatic
cardioverter/defibrillator leads(s) only.
• 37.96, Implantation of automatic
cardioverter/defibrillator pulse
generator only.
• 37.97, Replacement of automatic
cardioverter/defibrillator leads(s) only.
• 37.98, Replacement of automatic
cardioverter/defibrillator pulse
generator only.
Commenters on the FY 2008 IPPS
proposed rule supported this new MS–
DRG, which recognizes the distinct
differences in resource utilization
between pacemaker and defibrillator
generators and leads, but suggested that
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CMS should consider additional
refinements for the defibrillator
generator and leads. In reviewing the
standardized charges for the AICD leads,
the commenter believed that the leads
may be more appropriately assigned to
another DRG such as MS–DRG 243
(Permanent Cardiac Pacemaker Implant
with CC) or MS–DRG 258 (Cardiac
Pacemaker Device Replacement with
MCC). The commenter recommended
that CMS consider moving the
defibrillator leads back into a pacemaker
DRG, either MS–DRG 243 or MS–DRG
258.
In response to the commenters, we
indicated that the data supported
separate DRGs for these very different
devices (72 FR 47257). We indicated
that moving the defibrillator leads back
into a pacemaker MS–DRG defeated the
purpose of creating separate MS–DRGs
for defibrillators and pacemakers.
Therefore, we finalized MS–DRG 245 as
proposed with the leads and generator
codes listed above.
After publication of the FY 2008 IPPS
final rule with comment period, we
received a request from a manufacturer
that recommended a subdivision for
MS–DRG 245 (AICD Lead and Generator
Procedures). The requestor suggested
creating a new MS–DRG to separate the
implantation or replacement of the
AICD leads from the implantation or
replacement of the AICD pulse
generators to better recognize the
differences in resource utilization for
these distinct procedures.
The requestor applauded CMS’
decision to create separate MS–DRGs for
the pacemaker device procedures from
the AICD procedures in the FY 2008
IPPS final rule (72 FR 47257). The
requestor further acknowledged its
support of the clinically distinct MS–
DRGs for pacemaker devices. Currently,
MS–DRGs 258 and 259 (Cardiac
Pacemaker Device Replacement with
MCC and without MCC, respectively)
describe the implantation or
replacement of pacemaker generators
while MS–DRGs 260, 261, and 262
(Cardiac Pacemaker Revision Except
Device Replacement with MCC, with
CC, without CC/MCC, respectively)
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Average length
of stay
23565
Average
charges
16,142
6.34
$27,623
69
328
54,060
6.6
7.81
3.69
26,990
32,539
14,508
879
1,351
5.0
4.25
19,227
14,913
describe the insertion or replacement of
pacemaker leads.
The requestor believed that the IPPS
‘‘needs to continue to evolve to
accurately reflect clinical differences
and costs of services.’’ As such, the
requestor recommended that CMS
follow the same structure as it did with
the pacemaker MS–DRGs for MS–DRG
245 to separately identify the
implantation or replacement of the
defibrillator leads (codes 37.95, 37.97,
and 00.52) from the implantation or
replacement of the pulse generators
(codes 37.96, 37.98, 00.54).
In our analysis of the FY 2007
MedPAR data, we found a total of 5,546
cases in MS–DRG 245 with average
charges of $62,631 and an average
length of stay of 3.3 days. We found
1,894 cases with implantation or
replacement of the defibrillator leads
(codes 37.95, 37.97, and 00.52) with
average charges of $42, 896 and an
average length of stay of 3.4 days. We
also found a total of 3,652 cases with
implantation or replacement of the
pulse generator (codes 37.96, 37.98,
00.54) with average charges of $72, 866
and an average length of stay of 3.2
days.
We agree with the requestor that the
IPPS should accurately recognize
differences in resource utilization for
clinically distinct procedures. As the
data demonstrate, average charges for
the implantation or replacement of the
AICD pulse generators are significantly
higher than for the implantation or
replacement of the AICD leads.
Therefore, we are proposing to create a
new MS–DRG 265 to separately identify
these distinct procedures. The proposed
new MS–DRG 265 would be titled
‘‘AICD Lead Procedures’’ and would
include procedure codes that identify
the AICD leads (codes 37.95, 37.97 and
00.52). The title for MS–DRG 245 would
be revised to ‘‘AICD Generator
Procedures’’ and include procedure
codes 37.96, 37.98, 00.54. We believe
these changes would better reflect the
clinical differences and resources
utilized for these distinct procedures.
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b. Left Atrial Appendage Device
jlentini on PROD1PC65 with PROPOSALS2
Atrial fibrillation (AF) is the primary
cardiac abnormality associated with
ischemic or embolytic stroke. Most
ischemic strokes associated with AF are
possibly due to an embolism or
thrombus that has formed in the left
atrial appendage. Evidence from studies
such as transesophageal
echocardiography shows left atrial
thrombi to be more frequent in AF
patients with ischemic stroke as
compared to AF patients without stroke.
While anticoagulation medication can
be efficient in ischemic stroke
prevention, there can be problems of
safety and tolerability in many patients,
especially those older than 75 years.
Chronic warfarin therapy has been
proven to reduce the risk of embolism
but there can be difficulties concerning
its administration. Frequent blood tests
to monitor warfarin INR are required at
some cost and patient inconvenience. In
addition, because warfarin INR is
affected by a large number of drug and
dietary interactions, it can be
unpredictable in some patients and
difficult to manage. The efficacy of
aspirin for stroke prevention in AF
patients is less clear and remains
controversial. With the known disutility
of warfarin and the questionable
effectiveness of aspirin, a device-based
solution may provide added protection
against thromboembolism in certain
patients with AF.
At the April 1, 2004 ICD–9–CM
Coordination and Maintenance
Committee meeting, a proposal was
presented for the creation of a unique
procedure code describing insertion of
the left atrial appendage filter system.
Subsequently, ICD–9–CM code 37.90
(Insertion of left atrial appendage
device) was created for use beginning
October 1, 2004. This code was
designated as a non-operating room
(non-O.R.) procedure, and had an effect
only on cases in MDC 5, CMS DRG 518
(Percutaneous Cardiovascular Procedure
without Coronary Artery Stent or Acute
Myocardial Infarction). With the
adoption of MS–DRGs in FY 2008, CMS
DRG 518 was divided into MS–DRGs
250 and 251 (Percutaneous
Cardiovascular Procedure without
Coronary Artery Stent or AMI with
MCC, and without MCC, respectively).
We have reviewed the data
concerning this procedure code
annually. Using FY 2005 MedPAR data
for the FY 2007 IPPS final rule, 24 cases
were reported, and the average charges
($27,620) closely mimicked the average
charges of the other 22,479 cases in
CMS DRG 518 ($28,444). As the charges
were comparable, we made no
recommendations to change the CMS
DRG assignment for FY 2007.
Using FY 2006 MedPAR data for the
FY 2008 final rule with comment
period, we divided CMS DRG 518 into
the cases that would be reflected in the
MS–DRG configuration; that is, we
divided the cases based on the presence
or absence of an MCC. There were 35
cases without an MCC with average
charges of $24,436, again mimicking the
38,002 cases with average charges of
$32,546. There were 3 cases with MCC
with average charges of $62,337,
compared to the 5,458 cases also with
an MCC with average charges of
$53,864. Again it was deemed that cases
with code 37.90 were comparable to the
rest of the cases in CMS DRG 518, and
the decision was made not to make any
changes in the DRG assignment for this
procedure code. As noted above, CMS
DRG 518 became MS–DRGs 250 and 251
in FY 2008.
We have received a request regarding
code 37.90, and its placement within
the MS–DRG system for FY 2009. The
requestor asked for either the
reassignment of code 37.90 to an MS–
DRG that would adequately cover the
costs associated with the complete
procedure or the creation of a new MS–
DRG that would reimburse hospitals
adequately for the cost of the device.
The requestor, a manufacturer’s
representative, reported that the
device’s IDE clinical trial is nearing
completion, with the conclusion of
study enrollment in May 2008. The
requestor will continue to enroll
patients in a Continued Use Registry
following completion of the trial. The
requestor reported that it did not charge
hospitals for the atrial appendage
device, estimated to cost $6,000, during
the trial period, but it will begin to
charge hospitals upon the completion of
the trial in May. The requestor provided
us with its data showing what it
believed to be a differential of $107
more per case than the payment average
for MS–DRG 250, and a shortfall of
$3,808 per case than the payment
average for MS–DRG 251.
The requestor pointed out that code
37.90 is assigned to both MS–DRGs 250
and 251, but stated that the final MS–
DRG assignment would be MS–DRG 251
when the patient has a principal
diagnosis of atrial fibrillation (code
427.31) because AF is not presently
listed as a CC or an MCC. We would
take this opportunity to note that the
principal diagnosis is used to determine
assignment of a case to the correct MDC.
Secondary or additional diagnosis codes
are the only codes that can be used to
determine the presence of a CC or an
MCC.
With regard to the request to create a
specific DRG for the insertion of this
device entitled ‘‘Percutaneous
Cardiovascular Procedures with
Implantation of a Left Atrial Appendage
Device without CC/MCC’’, we would
point out that the payments under a
prospective payment system are
predicated on averages. The device is
already assigned to MS–DRGs
containing other percutaneous
cardiovascular devices; to create a new
MS–DRG specific to this device would
be to remove all other percutaneously
inserted devices and base the MS–DRG
assignment solely on the presence of
code 37.90. This approach negates our
longstanding method of grouping like
procedures, and removes the concept of
averaging. Further, to ignore the
structure of the MS–DRG system solely
for the purpose of increasing payment
for one device would set an unwelcome
precedent for defining all of the other
MS–DRGs in the system. We would also
point out that the final rule establishing
the MS–DRGs set forth five criteria, all
five of which are required to be met, in
order to warrant creation of a CC or an
MCC subgroup within a base MS–DRG.
The criteria can be found in the FY 2008
IPPS final rule with comment period (72
FR 47169). One of the criteria specifies
that there will be at least 500 cases in
the CC or MCC subgroup. To date, there
are not enough cases of code 37.90
reported within the MedPAR data.
Using FY 2007 MedPAR data, for this
FY 2009 IPPS proposed rule, we
reviewed MS–DRGs 250 and 251 for the
presence of the left atrial appendage
device. The following table displays our
results:
Number of
cases
MS–DRG
250—All Cases ............................................................................................................................
250—Cases with code 37.90 ......................................................................................................
250—Cases without code 37.90 .................................................................................................
251—All Cases ............................................................................................................................
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6,424
4
6,420
39,456
30APP2
Average
length of stay
7.72
6.50
7.72
2.84
Average
charges
$60,597.58
65,829.51
60,594.32
35,719.81
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Number of
cases
MS–DRG
251—Cases with code 37.90 ......................................................................................................
251—Cases without code 37.90 .................................................................................................
There were a total of 105 cases with
code 37.90 reported for Medicare
beneficiaries in the 2007 MedPAR data.
There are 4 cases with an atrial
appendage device in MS–DRG 250 that
have higher average charges than the
other 6,420 cases in the MS–DRG, and
that have slightly shorter lengths of stay
by 1.25 days. However, the more telling
data are located in MS–DRG 251, which
shows that the 101 cases in which an
atrial appendage device was implanted
have much lower average charges
($20,846.09) than the other 39,355 cases
in the MS–DRG, with average charges of
$35,758.98. The difference in the
average charges is approximately
$14,912, so even when the manufacturer
begins charging the hospitals the
estimated $6,000 for the device, there is
still a difference of approximately
$8,912 in average charges based on the
comparison within the total MS–DRG
251. Interestingly, the 101 cases also
have an average length of stay of less
than half of the average length of stay
compared to the other cases assigned to
that MS–DRG.
Because the data do not support either
the creation of a unique MS–DRG or the
assignment of procedure code 37.90 to
another higher-weighted MS–DRG, we
are not proposing any change to MS–
DRGs 250 and 251, or to code 37.90 for
FY 2009. We believe, based on the past
3 year’s comparisons, that this code is
appropriately located within the MS–
DRG structure.
jlentini on PROD1PC65 with PROPOSALS2
4. MDC 8 (Diseases and Disorders of the
Musculoskeletal System and Connective
Tissue): Hip and Knee Replacements
and Revisions
For FY 2009, we again received a
request from the American Association
of Hip and Knee Surgeons (AAHKS), a
specialty group within the American
Academy of Orthopedic Surgeons
(AAOS), concerning modifications of
the lower joint procedure MS–DRGs.
The request is similar, in some respects,
to the AAHKS’s request in FY 2008,
particularly as it relates to separating
routine and complex procedures. For
the benefit of the reader, we are
republishing a history of the
development of DRGs for hip and knee
replacements and a summary of the
AAHKS FY 2008 request that were
included in the FY 2008 IPPS final rule
with comment period (72 FR 47222
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through 47224) before we discuss the
AAHKS’s more recent request.
a. Brief History of Development of Hip
and Knee Replacement Codes
In the FY 2006 IPPS final rule (70 FR
47303), we deleted CMS DRG 209
(Major Joint and Limb Reattachment
Procedures of Lower Extremity) and
created two new CMS DRGs: 544 (Major
Joint Replacement or Reattachment of
Lower Extremity) and 545 (Revision of
Hip or Knee Replacement). The two new
CMS DRGs were created because
revisions of joint replacement
procedures are significantly more
resource intensive than original hip and
knee replacements procedures. CMS
DRG 544 included the following
procedure code assignments:
• 81.51, Total hip replacement.
• 81.52, Partial hip replacement.
• 81.54, Total knee replacement.
• 81.56, Total ankle replacement.
• 84.26, Foot reattachment.
• 84.27, Lower leg or ankle
reattachment.
• 84.28, Thigh reattachment.
CMS DRG 545 included the following
procedure code assignments:
• 00.70, Revision of hip replacement,
both acetabular and femoral
components.
• 00.71, Revision of hip replacement,
acetabular component.
• 00.72, Revision of hip replacement,
femoral component.
• 00.73, Revision of hip replacement,
acetabular liner and/or femoral head
only.
• 00.80, Revision of knee replacement,
total (all components).
• 00.81, Revision of knee replacement,
tibial component.
• 00.82, Revision of knee replacement,
femoral component.
• 00.83, Revision of knee replacement,
patellar component.
• 00.84, Revision of knee replacement,
tibial insert (liner).
• 81.53, Revision of hip replacement,
not otherwise specified
• 81.55, Revision of knee
replacement, not otherwise specified
Further, we created a number of new
ICD–9–CM procedure codes effective
October 1, 2005, that better distinguish
the many different types of joint
replacement procedures that are being
performed. In the FY 2006 IPPS final
rule (70 FR 47305), we indicated a
commenter had requested that, once we
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101
39,335
Average
length of stay
1.30
2.85
23567
Average
charges
20,846.09
35,757.98
receive claims data using the new
procedure codes, we closely examine
data from the use of the codes under the
two new CMS DRGs to determine if
future additional DRG modifications are
needed.
b. Prior Recommendations of the
AAHKS
Prior to this year, the AAHKS had
recommended that we make further
refinements to the CMS DRGs for knee
and hip arthroplasty procedures. The
AAHKS previously presented data to
CMS on the important differences in
clinical characteristics and resource
utilization between primary and
revision total joint arthroplasty
procedures. The AAHKS stated that
CMS’s decision to create a separate DRG
for revision of total joint arthroplasty
(TJA) in October 2005 resulted in more
equitable reimbursement for hospitals
that perform a disproportionate share of
complex revision of TJA procedures,
recognizing the higher resource
utilization associated with these cases.
The AAHKS stated that this important
payment policy change led to increased
access to care for patients with failed
total joint arthroplasties, and ensured
that high volume TJA centers could
continue to provide a high standard of
care for these challenging patients.
The AAHKS further stated that the
addition of new, more descriptive ICD–
9–CM diagnosis and procedure codes
for TJA in October 2005 gave it the
opportunity to further analyze
differences in clinical characteristics
and resource intensity among TJA
patients and procedures. Inclusive of
the preparatory work to submit its
recommendations, the AAHKS
compiled, analyzed, and reviewed
detailed clinical and resource utilization
data from over 6,000 primary and
revision TJA procedure codes from 4
high volume joint arthroplasty centers
located within different geographic
regions of the United States: University
of California, San Francisco, CA; Mayo
Clinic, Rochester, MN; Massachusetts
General Hospital, Boston, MA; and the
Hospital for Special Surgery, New York,
NY. Based on its analysis, the AAHKS
recommended that CMS examine
Medicare claims data and consider the
creation of separate DRGs for total hip
and total knee arthroplasty procedures.
The AAHKS stated that based on the
differences between patient
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characteristics, procedure
characteristics, resource utilization, and
procedure code payment rates between
total hip and total knee replacements,
separate DRGs were warranted.
Furthermore, the AAHKS recommended
that CMS create separate base DRGs for
routine versus complex joint revision or
replacement procedures as shown
below.
Routine Hip Replacements
• 00.73, Revision of hip replacement,
acetabular liner and/or femoral head
only.
• 00.85, Resurfacing hip, total,
acetabulum and femoral head.
• 00.86, Resurfacing hip, partial,
femoral head.
• 00.87, Resurfacing hip, partial,
acetabulum.
• 81.51, Total hip replacement.
• 81.52, Partial hip replacement.
• 81.53, Revision of hip replacement,
not otherwise specified.
Complex Hip Replacements
• 00.70, Revision of hip replacement,
both acetabular and femoral
components.
• 00.71, Revision of hip replacement,
acetabular component.
• 00.72, Revision of hip replacement,
femoral component.
Routine Knee Replacements and Ankle
Procedures
• 00.83, Revision of knee
replacement, patellar component.
• 00.84, Revision of knee
replacement, tibial insert (liner).
• 81.54, Revision of knee
replacement, not otherwise specified.
• 81.55, Revision of knee
replacement, not otherwise specified.
• 81.56, Total ankle replacement.
jlentini on PROD1PC65 with PROPOSALS2
Complex Knee Replacements and Other
Reattachments
• 00.80, Revision of knee
replacement, total (all components).
• 00.81, Revision of knee
replacement, tibial component.
• 00.82, Revision of knee
replacement, femoral component.
• 84.26, Foot reattachment.
• 84.27, Lower leg or ankle
reattachment.
• 84.28, Thigh reattachment.
The AAHKS also recommended the
continuation of CMS DRG 471 (Bilateral
or Multiple Major Joint Procedures of
Lower Extremity) without
modifications. CMS DRG 471 included
any combination of two or more of the
following procedure codes:
• 00.70, Revision of hip replacement,
both acetabular and femoral
components.
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• 00.80, Revision of knee
replacement, total (all components).
• 00.85, Resurfacing hip, total,
acetabulum and femoral head.
• 00.86, Resurfacing hip, partial,
femoral head.
• 00.87, Resurfacing hip, partial,
acetabulum.
• 81.51, Total hip replacement.
• 81.52, Partial hip replacement.
• 81.54, Total knee replacement.
• 81.56, Total ankle replacement.
c. Adoption of MS–DRGs for Hip and
Knee Replacements for FY 2008 and
AAHKS’s Recommendations
In the FY 2008 IPPS final rule with
comment period (72 FR 47222 through
47226), we adopted MS–DRGs to better
recognize severity of illness for FY 2008.
The MS–DRGs include two new severity
of illness levels under the then current
base DRG 544. We also added three new
severity of illness levels to the base DRG
for Revision of Hip or Knee
Replacement. The new MS–DRGs are as
follows:
• MS–DRG 466 (Revision of Hip or
Knee Replacement with MCC)
• MS–DRG 467 (Revision of Hip or
Knee Replacement with CC)
• MS–DRG 468 (Revision of Hip or
Knee Replacement without CC/MCC)
• MS–DRG 469 (Major Joint
Replacement or Reattachment of Lower
Extremity with MCC)
• MS–DRG 470 (Major Joint
Replacement or Reattachment of Lower
Extremity without MCC)
We found that the MS–DRGs greatly
improved our ability to identify joint
procedures with higher resource costs.
In the final rule, we presented data
indicating the average charges for each
new MS–DRG for the joint procedures.
In the FY 2008 IPPS final rule with
comment period, we acknowledged the
valuable assistance the AAHKS had
provided to CMS in creating the new
joint replacement procedure codes and
modifying the joint replacement DRGs
beginning in FY 2006. These efforts
greatly improved our ability to
categorize significantly different groups
of patients according to severity of
illness. Commenters on the FY 2008
proposed rule had encouraged CMS to
continue working with the orthopedic
community, including the AAHKS, to
monitor the need for additional new
DRGs. The commenters stated that MS–
DRGs 466 through 470 are a good first
step. However, they stated that CMS
should continue to evaluate the data for
these procedures and consider
additional refinements to the MS–DRGs,
including the need for additional
severity levels. AAHKS stated that its
data suggest that all three base DRGs
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(primary replacement, revision of major
joint replacement, and bilateral joint
replacement) should be separated into
three severity levels (that is, MCC, CC,
and non-CC). (We had proposed three
severity levels for revision of hip and
knee replacement (MS–DRGs 466, 467,
and 468), and AAHKS agreed with this
3-level subdivision.)
The AAHKS recommended that the
base DRG for the proposed two severity
subdivision MS–DRGs for major joint
replacement or reattachment of lower
extremity with and without CC/MCC
(MS–DRGs 483 and 484) be subdivided
into three severity levels, as was the
case for the revision of hip and knee
replacement MS–DRGs. AAHKS also
recommended that the two severity
subdivision MS–DRGs for bilateral or
multiple major joint procedures of lower
extremity with and without MCC (MS–
DRGs 461 and 462) be subdivided three
ways for this base DRG. AAHKS
acknowledged that the three way split
would not meet all five of the criteria for
establishing a subgroup, and stated that
these criteria were too restrictive, lack
face validity, and create perverse
admission selection incentives for
hospitals by significantly overpaying for
cases without a CC and underpaying for
cases with a CC. It recommended that
the existing five criteria be modified for
low volume subgroups to assure
materiality. For higher volume MS–DRG
subgroups, the AAHKS recommended
that two other criteria be considered,
particularly for nonemergency, elective
admissions:
• Is the per-case underpayment
amount significant enough to affect
admission vs. referral decisions on a
case-by-case basis?
• Is the total level of underpayments
sufficient to encourage systematic
admission vs. referral policies,
procedures, and marketing strategies?
The AAHKS also recommended
refining the five existing criteria for
MCC/CC/without subgroups as follows:
• Create subgroups if they meet the
five existing criteria, with cost
difference between subgroups ($1,350)
substituted for charge difference
between subgroups ($4,000);
• If a proposed subgroup meets
criteria number 2 and 3 (at least 5
percent and at least 500 cases) but fails
one of the others, then create the
subgroup if either of the following
criteria are met:
b At least $1,000 cost difference per
case between subgroups; or
b At least $1 million overall cost
should be shifted to cases with a CC (or
MCC) within the base DRG for payment
weight calculations.
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In response, we indicated that we did
not believe it was appropriate to modify
our five criteria for creating severity
subgroups. Our data did not support
creating additional subdivisions based
on the criteria. At that time, we believed
the criteria we established to create
subdivisions within a base DRG were
reasonable and establish the appropriate
balance between better recognition of
severity of illness, sufficient differences
between the groups, and a reasonable
number of cases in each subgroup.
However, we indicated that we may
consider further modifications to the
criteria at a later date once we have had
some experience with MS–DRGs created
using the proposed criteria.
The AAHKS indicated in its response
to the FY 2008 proposed rule that it
continued to support the separation of
routine and complex joint procedures. It
believed that certain joint replacement
procedures have significantly lower
average charges than do other joint
replacements. The AAKHS’s data
suggest that more routine joint
replacements are associated with
substantially less resource utilization
than other more complex revision
procedures. The AAHKS stated that
leaving these procedures in the revision
MS–DRGs results in substantial
overpayment for these relatively simple,
less costly revision procedures, which
in turn results in a relative
underpayment for the more complex
revision procedures.
In response, we examined data on this
issue and identified two procedure
codes for partial knee revisions that had
significantly lower average charges than
did other joint revisions. The two codes
are as follows:
• 00.83 Revision of knee replacement,
patellar component
• 00.84 Revision of total knee
replacement, tibial insert (liner)
The data suggest that these less
complex partial knee revisions are less
resource intensive than other cases
assigned to MS–DRGs 466, 467, or 468.
We examined other orthopedic DRGs to
which these two codes could be
assigned. We found that these cases
have very similar average charges to
those in MS–DRG 485 (Knee Procedures
with Principal Diagnosis of Infection
with MCC), MS–DRG 486 (Knee
Procedures with Principal Diagnosis of
Infection with CC), MS–DRG 487 (Knee
Procedures with Principal Diagnosis of
Infection without CC), MS–DRG 488
(Knee Procedures without Principal
Diagnosis of Infection with CC or MCC),
and MS–DRG 489 (Knee Procedures
without Principal Diagnosis of Infection
without CC).
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Given the very similar resource
requirements of MS–DRG 485 and the
fact that these DRGs also contain knee
procedures, we moved codes 00.83 and
00.84 out of MS–DRGs 466, 467, and
468 and into MS–DRGs 485, 486, 487,
488, and 489. We also indicated that we
would continue to monitor the revision
DRGs to determine if additional
modifications are needed.
d. AAHKS’ Recommendations for FY
2009
The AAHKS’ current request involves
the following recommendations:
• That CMS consolidate and reassign
certain joint procedures that have a
diagnosis of an infection or malignancy
into MS–DRGs that are similar in terms
of clinical characteristics and resource
utilization. The AAKHS further
identifies groups called Stage 1 and 2
procedures that it believes require
significant differences in resource
utilization.
• That CMS reclassify certain specific
joint procedures, which AAHKS refers
to as ‘‘routine,’’ out of their current MS–
DRG assignments. The three joint
procedures that AAHKS classifies as
‘‘routine’’ are codes 00.73 (Revision of
hip replacement, acetabular liner and/or
femoral head only), 00.83 (Revision of
knee replacement, patellar component),
and 00.84 (Revision of total knee
replacement, tibial insert (liner)). The
AAHKS advocated removing these three
‘‘routine’’ procedures from the following
DRGs: MS–DRGs 466, 467, and 468,
MS–DRGs 485, 486, and 487, and MS–
DRGs 488 and 489. The AAHKS refers
to MS–DRGs 466, 467, and 468 as
‘‘complex’’ revision DRGs, and
recommended that the three ‘‘routine’’
procedures be moved out of MS–DRGs
466, 467, and 468 and MS–DRGs 485,
486, and 489 and into MS–DRGs 469
and 470 (Major Joint Replacement or
Reattachment of Lower Extremity with
and without MCC, respectively). The
AAHKS contended that the three
‘‘routine’’ procedures have similar
clinical characteristics and resource
utilization to those in MS–DRGs 469.
The recommendations suggested by
AAHKS are quite complex and involve
a number of specific code lists and MS–
DRG assignment changes. We discuss
each of these requests in detail below.
(1) AAHKS Recommendation 1:
Consolidate and reassign patients with
hip and knee prosthesis related
infections or malignancies.
The AAHKS pointed out that deep
infection is one of the most devastating
complications associated with hip and
knee replacements. These infections
have been reported to occur in
approximately 0.5 percent to 3 percent
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23569
of primary and 4 percent to 6 percent of
revision total joint replacement
procedures. These infections often
result in the need for multiple
reoperations, prolonged use of
intravenous and oral antibiotics,
extended inpatient and outpatient
rehabilitation, and frequent followup
visits. Furthermore, clinical outcomes
following single- and two-stage revision
total joint arthroplasty procedures have
been less favorable than revision for
other causes of failure not associated
with infection.
In addition to the clinical impact, the
AAHKS stated that infected total joint
replacement procedures also have
substantial economic implications for
patients, payers, hospitals, physicians,
and society in terms of direct medical
costs, resource utilization, and the
indirect costs associated with lost wages
and productivity. The AAHKS stated
that the considerable resources required
to care for these patients has resulted in
a strong financial disincentive for
physicians and hospitals to provide care
for patients with infected total joint
replacements, an increased economic
burden on the high volume tertiary care
referral centers where patients with
infected hip replacement procedures are
frequently referred for definitive
management. The AAHKS further stated
that, in some cases, there are
compromised patient outcomes due to
treatment delays as patients with
infected joint replacements seek
providers who are willing to care for
them.
Once a deep infection of a total joint
prosthesis is identified, the first stage of
treatment involves a hospital admission
for removal of the infected prosthesis
and debridement of the involved bone
and surrounding tissue. During the same
procedure, an antibiotic-impregnated
cement spacer is typically inserted to
maintain alignment of the limb during
the course of antibiotic therapy. The
patient is then discharged to a
rehabilitation facility/nursing home (or
to home if intravenous therapy can be
safely arranged for the patient) for a 6week course of IV antibiotic treatment
until the infection has cleared.
After the completion of antibiotic
therapy, the hip or knee may be
reaspirated to look for evidence of
persistent infection or eradication of
infection. A second stage procedure is
then undertaken, where the patient is
readmitted, the hip or knee is
reexplored, and the cement spacer
removed. If there are no signs of
persistent infection, a hip or knee
prosthesis is reimplanted, often using
bone graft and costly revision implants
in order to address extensive bone loss
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and distorted anatomy. Thus, the entire
course of treatment for patients with
infected joint replacements is 4 to 6
months, with an additional 6 to 12
months of rehabilitation. Furthermore,
clinical outcomes following revision for
infection are poor relative to outcomes
following revision for other, aseptic
causes. The AAHKS noted that patients
with bone malignancy have a similar
treatment focus—surgery to remove
diseased tissue, chemotherapy to treat
the malignancy, and implantation of the
new prosthesis. They also have similar
resource use. For simplicity, the
AAHKS’ discussion focused on infected
joint prostheses, but it suggested that
the issues it raises would apply to
patients with a malignancy as well.
The AAHKS stated that these patients
are currently grouped in multiple MS–
DRGs, and the cases are often ‘‘outliers’’
in each one. AAHKS proposed to
consolidate these patients with similar
clinical characteristics and treatment
into MS–DRGs reflective of their
resource utilization.
The AAHKS states that these more
severe patients are currently classified
into the following MS–DRGs:
• MS–DRGs 463, 463, and 465
(Wound Debridement and Skin Graft
Excluding Hand, for MusculoskeletalConnective Tissue Disease with MCC,
with CC, without CC/MCC,
respectively).
• MS–DRGs 480, 481, and 482 (Hip
and Femur Procedures Except Major
Joint with MCC, with CC, without CC/
MCC, respectively).
• MS–DRGs 485, 486, and 487 (Knee
Procedures with Principal Diagnosis of
Infection and with MCC, with CC, and
without CC/MCC, respectively).
• MS–DRGs 488 and 489 (Knee
Procedures without Principal Diagnosis
of Infection and with CC/MCC and
without CC/MCC, respectively).
• MS–DRGs 495, 496, and 497 (Local
Excision and Removal of Internal
Fixation Devices Except Hip and Femur
with MCC, with CC, and without CC/
MCC, respectively).
• Other MS–DRGs (The AAHKS did
not specify what these other MS–DRGs
were.).
The AAHKS indicated that cases with
the severe diagnoses of infections,
neoplasms, and structural defects have
similarities. These similarities are due
to an overlap of a severe diagnosis
(including a principal diagnosis of code
996.66 (Infected joint prosthesis) and
the resulting need for more extensive
surgical procedures. The AAHKS stated
that currently these patients are grouped
into MS–DRGs by major procedure
alone. AAHKS recommended that these
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
cases be grouped into what it refers to
as Stages 1 and 2 as follows:
• Stage 1 would include the removal
of an infected prosthesis and includes
cases in MS–DRGs 463, 464, and 465,
480, 481, and 482, 485 through 489, and
495, 496, and 497. Stage 1 joint
procedure codes would include codes
80.05 (Arthrotomy for removal of
prosthesis, hip), 80.06 (Arthrotomy for
removal of prosthesis, knee), 00.73
(Revision of hip replacement, acetabular
liner and/or femoral head only), and
00.84 (Revision of knee replacement,
tibial insert (liner)).
• Stage 2 would include the implant
of a new prosthesis and includes cases
in MS–DRGs 461 and 462, 463, 464, and
465, 466, 467, and 468, and 469 and
470. Stage 2 joint procedure codes
would include codes 00.70 (Revision of
hip replacement, both acetabular and
femoral components), 00.71 (Revision of
hip replacement, acetabular
component), 00.72 (Revision of hip
replacement, femoral component), 00.80
(Revision of knee replacement, total (all
components)), 00.81 (Revision of knee
replacement, tibial component), 00.82
(Revision of knee replacement, femoral
component), 00.85 (Resurfacing hip,
total, acetabulum and femoral head),
00.86 (Resurfacing hip, partial, femoral
head), 00.87 (Resurfacing hip, partial,
acetabulum), 81.51 (Total hip
replacement), 81.52 (Partial hip
replacement), 81.53 (Revise hip
replacement), 81.54 (Total knee
replacement), 81.55 (Revise knee
replacement), and 81.56 (Total ankle
replacement).
As stated earlier, the AAHKS
recommended patients with certain
more severe diagnoses be grouped into
a higher severity level. While most of
AAHKS’ comments focused on joint
replacement patients with infections,
the AAHKS also believed that patients
with certain neoplasms require greater
resources. To this group of infections
and neoplasms, the AAHKS
recommended the addition of four codes
that capture acquired deformities. The
AAHKS believed that these codes would
capture admissions for the second stage
of the treatment for an infected joint.
The AAHKS stated that the significance
of these diagnoses when they are
reported as the principal code position
was significant in predicting resource
utilization. However, the impact was
not as significant when the diagnosis
was reported as a secondary diagnosis.
The AAHKS recommended that patients
with one of the following infection/
neoplasm/defect principal diagnosis
codes be segregated into a higher
severity level.
PO 00000
Frm 00044
Fmt 4701
Sfmt 4702
Stage 1 Infection/Neoplasm/Defect
Principal Diagnosis Codes
• 170.7 (Malignant neoplasm of long
bones of lower limb).
• 171.3 (Malignant neoplasm of soft
tissue, lower limb, including hip).
• 711.05 (Pyogenic arthritis, pelvic
region and thigh).
• 711.06 (Pyogenic arthritis, lower
leg).
• 730.05 (Acute osteomyelitis, pelvic
region and thigh).
• 730.06 (Acute osteomyelitis, lower
leg).
• 730.15 (Chronic osteomyelitis,
pelvic region and thigh).
• 730.16 (Chronic osteomyelitis,
lower leg).
• 730.25 (Unspecified osteomyelitis,
pelvic region and thigh).
• 730.26 (Unspecified osteomyelitis,
lower leg).
• 996.66 (Infection and inflammatory
reaction due to internal joint
prosthesis).
• 996.67 (Infection and inflammatory
reaction due to other internal
orthopedic device, implant, and graft).
Stage 2 Infection/Neoplasm/Defect
Principal Diagnosis Codes (an Asterisk *
Shows the Diagnoses Included in Stage
2 That Were Not Listed in Stage 1)
• 170.7 (Malignant neoplasm of long
bones of lower limb).
• 171.3 (Malignant neoplasm of soft
tissue, lower limb, including hip).
• 198.5 (Secondary malignant
neoplasm of bone and bone marrow) .*
• 711.05 (Pyogenic arthritis, pelvic
region and thigh).
• 711.06 (Pyogenic arthritis, lower
leg).
• 730.05 (Acute osteomyelitis, pelvic
region and thigh).
• 730.06 (Acute osteomyelitis, lower
leg).
• 730.15 (Chronic osteomyelitis,
pelvic region and thigh).
• 730.16 (Chronic osteomyelitis,
lower leg).
• 730.25 (Unspecified osteomyelitis,
pelvic region and thigh).
• 730.26 (Unspecified osteomyelitis,
lower leg).
• 736.30 (Acquired deformities of
hip, unspecified deformity).
• 736.39 (Other acquired deformities
of hip) .*
• 736.6 (Other acquired deformities
of knee) .*
• 736.89 (Other acquired deformities
of other parts of limbs). *
• 996.66 (Infection and inflammatory
reaction due to internal joint
prosthesis). *
• 996.67 (Infection and inflammatory
reaction due to other internal
orthopedic device, implant, and graft). *
E:\FR\FM\30APP2.SGM
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Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
For the Stage 2 procedures, AAHKS
also suggested the use of the following
secondary diagnosis codes to assign the
cases to a higher severity level. These
conditions would not be the reason the
patient was admitted to the hospital.
They would instead represent secondary
conditions that were also present on
admission or conditions that were
diagnosed after admission.
Stage 2 Infection/Neoplasm/Defect
Secondary Diagnosis Codes
• 170.7 (Malignant neoplasm of long
bones of lower limb).
• 171.3 (Malignant neoplasm of soft
tissue, lower limb, including hip).
• 711.05 (Pyogenic arthritis, pelvic
region and thigh).
• 711.06 (Pyogenic arthritis, lower
leg).
• 730.05 (Acute osteomyelitis, pelvic
region and thigh).
• 730.06 (Acute osteomyelitis, lower
leg).
• 730.15 (Chronic osteomyelitis,
pelvic region and thigh).
• 730.16 (Chronic osteomyelitis,
lower leg).
• 730.25 (Unspecified osteomyelitis,
pelvic region and thigh).
• 730.26 (Unspecified osteomyelitis,
lower leg).
• 996.66 (Infection and inflammatory
reaction due to internal joint
prosthesis).
• 996.67 (Infection and inflammatory
reaction due to other internal
orthopedic device, implant, and graft).
(2) AAHKS Recommendation 2:
Reclassify certain specific joint
procedures.
The AAHKS suggested that cases with
the infection/neoplasm/defect diagnoses
listed above be segregated according to
the Stage 1 and 2 groups listed above.
The AAHKS made one final
recommendation concerning joint
procedure cases with infections. It
identified a subset of patients who had
a principal diagnosis of 996.66
(Infection and inflammatory reaction
due to internal joint prosthesis) and
who also had a secondary diagnosis of
sepsis or septicemia. The AAHKS
believed that these patients are for the
most part admitted with both the joint
infection and sepsis/septicemia present
at the time of admission. The codes for
sepsis/septicemia are classified as MCCs
under MS–DRGs. The AAHKS believed
it is inappropriate to count the
secondary diagnosis of sepsis/
septicemia as a MCC when it is reported
with code 996.66. The AAHKS believed
that counting sepsis and septicemia as
a MCC results in double counting the
infections. It believed that the joint
infection and septicemia are the same
infection. The AAHKS recommended
that the following sepsis and septicemia
codes not count as a MCC when
reported with code 996.66:
• 038.0 (Streptococcal septicemia).
• 038.10 (Staphylococcal septicemia,
unspecified).
• 038.11 (Staphylococcal aureus
septicemia).
• 038.19 (Other staphylococcal
septicemia).
• 038.2 (Pneumococcal septicemia
[streptococcus pneumonia septicemia]).
• 038.3 (Septicemia due anaerobes).
• 038.40 (Septicemia due to gramnegative organisms).
• 038.41 (Hemophilus influenzae [H.
Influenzae]).
• 038.42 (Escherichia coli [E. Coli]).
• 038.43 (Pseudomonas).
• 038.44 (Serratia).
• 038.49 (Other septicemia due to
gram-negative organisms).
• 038.8 (Other specified septicemias).
• 038.9 (Unspecified septicemia).
• 995.91 (Sepsis).
• 995.92 (Severe sepsis).
jlentini on PROD1PC65 with PROPOSALS2
485—All Cases ............................................................................................................................
485—Cases with Code 00.83 or 00.84 .......................................................................................
485—Cases without Code 00.83 or 00.84 ..................................................................................
486—All Cases ............................................................................................................................
486—Cases with Code 00.83 or 00.84 .......................................................................................
486—Cases without Code 00.83 or 00.84 ..................................................................................
487—All Cases ............................................................................................................................
487—Cases with Code 00.83 or 00.84 .......................................................................................
487—Cases without Code 00.83 or 00.84 ..................................................................................
488—All Cases ............................................................................................................................
488—Cases with code 00.83 or 00.84 ........................................................................................
488—Cases without code 00.83 or 00.84 ...................................................................................
489—All Cases ............................................................................................................................
489—Cases with code 00.83 or 00,.84 .......................................................................................
489—Cases without code 00.83 or 00.84 ...................................................................................
469—All cases .............................................................................................................................
470—All Cases ............................................................................................................................
466—All Cases ............................................................................................................................
466—Cases with Code 00.73 ......................................................................................................
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Jkt 214001
PO 00000
e. CMS’ Response to AAHKS’
Recommendations
The MS–DRG modifications proposed
by the AAHKS are quite complex and
have many separate parts. We made
changes to the MS-DRGs in FY 2008 as
a result of a request by the AAHKS as
discussed above, to recognize two types
of partial knee replacements as less
complex procedures. We have no data
on how effective the new MS–DRGs for
joint procedures are in differentiating
patients with varying degrees of
severity. Therefore, we analyzed data
reported prior to the adoption of MS–
DRGs to analyze each of the
recommendations made. We begin our
analysis by focusing first on the more
simple aspects of the recommendations
made by the AAHKS.
(1) Changing the MS–DRG Assignment
for Codes 00.73, 00.83, and 00.84
As discussed previously, in FY 2008,
the AAHKS recommended that CMS
classify certain joint procedures as
either routine or complex. We examined
the data for these cases and found that
the following two codes had
significantly lower charges than the
other joint revisions: 00.83 (Revision of
knee replacement, patellar component)
and 00.84 (Revision of knee
replacement, tibial insert (liner)).
Therefore, we moved these two codes to
MS–DRGs 485, 486, and 487, and MS–
DRGs 488 and 489.
As a result of AAHKS’ most recent
recommendations, we once again
examined claims data for these two knee
procedures (codes 00.83 and 00.84) as
well as its request that we move code
00.73 (Revision of hip replacement,
acetabular liner and/or femoral head
only). Code 00.73 is assigned to MS–
DRGs 466, 467, and 468. The following
tables show our findings.
Number of
cases
MS–DRG
Frm 00045
Fmt 4701
Sfmt 4702
23571
1,122
179
943
2,061
464
1,597
1,236
284
952
2,374
754
1,620
5,493
2,154
3,339
29,030
385,123
3,888
273
E:\FR\FM\30APP2.SGM
30APP2
Average
length of stay
12.20
11.83
12.27
8.03
7.34
8.23
5.67
5.61
5.68
5.17
4.09
5.67
3.04
3.07
3.03
8.17
3.93
9.18
10.02
Average
charges
$64,672.47
64,446.68
64,715.33
40,758.55
39,864.39
41,018.34
29,180.88
31,231.79
28,569.06
30,180.80
28,432.06
30,994.73
21,385.67
23,122.18
20,265.44
56,681.64
36,126.23
76,015.66
71,293.33
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Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
Number of
cases
MS–DRG
466—Cases without Code 00.73 .................................................................................................
467—All Cases ............................................................................................................................
467—Cases with Code 00.73 ......................................................................................................
467—Cases without Code 00.73 .................................................................................................
468—All Cases ............................................................................................................................
468—Cases with Code 00.73 ......................................................................................................
468—Cases without Code 00.73 .................................................................................................
469—All Cases ............................................................................................................................
470—All Cases ............................................................................................................................
The tables show that codes 00.73,
00.83, and 00.84 are appropriately
assigned to their current MS–DRGs. The
data do not support moving these three
codes to MS–DRGs 469 and 470.
Therefore, we are not proposing a
change of MS–DRG assignment for
codes 00.73, 00.83, and 00.84.
(2) Excluding Sepsis and Septicemia
From Being a MCC With Code 996.66
There are cases where a patient may
be admitted with an infection of a joint
prosthesis (code 996.66) and also have
sepsis. In these cases, it may be possible
to perform joint procedures as suggested
by AAHKS. However, in other cases, a
patient may be admitted with an
infection of a joint prosthesis and then
develop sepsis during the stay. Because
our current data do not indicate whether
a condition is present on admission, we
could not determine whether or not the
sepsis occurred after admission. Our
data have consistently shown that cases
of sepsis and septicemia require
significant resources. Therefore, we
classified the sepsis and septicemia
codes as MCCs. Our clinical advisors do
not believe it is appropriate to exclude
all cases of sepsis and septicemia that
are reported as a secondary diagnosis
with code 996.66 from being classified
as a MCC. We discuss septicemia as part
of hospital acquired conditions
provision under section II.F. of the
preamble of this proposed rule. For the
purposes of classifying sepsis and
septicemia as non-CCs when reported
with code 996.66, we do not support
this recommendation. Therefore, we are
not proposing that the sepsis and
septicemia codes be added to the CC
exclusion list for code 996.66.
(3) Differences Between Stage 1 and 2
Cases With Severe Diagnoses
We next examined data on AAHKS’
suggestion that there are significantly
differences in resource utilization for
Average
length of stay
3,616
13,551
1,078
12,484
19,917
1,688
18,232
29,030
385,123
9.12
5.50
5.94
5.47
3.94
3.93
3.94
8.17
3.93
Average
charges
76,372.06
53,431.63
43,635.63
54,284.13
44,055.62
33,449.22
45,037.09
56,681.64
36,126.23
cases they refer to as Stage 1 and 2.
AAHKS stated that this is particularly
true for those with infections,
neoplasms, or structural defects. We
used the list of procedure codes listed
above that AAHKS describes as Stage 1
and 2 procedures. We also used
AAHKS’ designated lists of Stage 1 and
2 principal diagnosis codes to examine
this proposal. This proposal entails
moving cases with a Stage 1 or 2
principal diagnosis and procedure out
of their current MS–DRG assignment in
the following 19 MS–DRGs and into a
newly consolidated set of MS–DRGs:
MS–DRGs 463, 464, and 465, 480, 481,
and 482, 485 through 489, and 495, 496,
and 497.
As can be seen from the information
below, there was not a significant
difference in average charges between
these Stage 1 and Stage 2 cases that have
an MCC.
STAGE 1.—CASES WITH INFECTION, NEOPLASM, OR STRUCTURAL DEFECT
Stage 1
Total cases
With MCC ....................................................................................................................................
Without MCC ...............................................................................................................................
Average
length of stay
1,306
4,115
14.1
7.6
Average
charges
$79,232
44,716
STAGE 2.—CASES WITH INFECTION, NEOPLASM, OR STRUCTURAL DEFECT
Stage 2
Total cases
jlentini on PROD1PC65 with PROPOSALS2
With MCC ....................................................................................................................................
Without MCC ...............................................................................................................................
Average charges for Stage 1 cases with
an MCC was $79,232 compared to
$80,781 for Stage 2. Stage 1 cases
without an MCC had average charges of
$44,716 compared to $57,355. These
data do not support reconfiguring the
current MS–DRGs based on this new
subdivision.
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Jkt 214001
(4) Moving Joint Procedure Cases to
New MS–DRGs Based on Secondary
Diagnoses of Infection
We examined AAHKS’
recommendation that Stage 2 joint cases
with specific secondary diagnoses of
infection or neoplasm be moved out of
their current MS–DRG assignments and
into a newly constructed MS–DRG.
We are reluctant to make this type of
significant DRG change to the joint MS–
DRGs based on the presence of a
PO 00000
Frm 00046
Fmt 4701
Sfmt 4702
1,072
5,413
Average
length of stay
10.9
6.0
Average
charges
$80,781
57,355
secondary diagnosis. This results in the
movement of cases out of MS–DRGs
which were configured based on the
reason for the admission (for example,
principal diagnosis) and surgery. The
cases would instead be assigned based
on conditions that are reported as
secondary diagnoses. In some cases, the
infection may have developed or be
diagnosed during the admission. This
would be a significant logic change to
the MS–DRGs for joint procedures. We
have not had an opportunity to examine
E:\FR\FM\30APP2.SGM
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Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
claims data based on hospital discharges
under the MS–DRGs which began
October 1, 2008. Our clinical advisors
believe it would be more appropriate to
wait for data under the new MS–DRG
system to determine how well the new
severity levels are addressing accurate
payment for these cases before
considering this approach to assigning
cases to a MS–DRG.
(5) Moving Cases With Infection,
Neoplasms, or Structural Defects Out of
19 MS–DRGs and Into Two Newly
Developed MS–DRGs
The last recommended by AAHKS
that we considered was moving cases
with a principal diagnosis of infection,
neoplasm, or structural defect from their
list of Stage 1 and 2 diagnoses and
consolidated them into newly
constructed and modified MS–DRGs.
AAHKS could not identify an existing
set of MS–DRGs with similar resource
utilizations into which the Stage 1 cases
could be assigned. Therefore, the
AAHKS recommended that CMS create
three new MS–DRGs for Stage 1 cases
with infections, neoplasms and
structural defects which would be titled
‘‘Arthrotomy/Removal/Component
exchange of Infected Hip or Knee
Prosthesis with MCC, with CC, and
without CC/MCC’’, respectively.
The AAHKS recommended moving
Stage 2 cases out of MS–DRGs 466, 467,
and 468, and 469 and 470 and into MS–
DRGs 461 and 462. AAHKS
recommended that MS–DRGs 461 and
462 be renamed ‘‘Major Joint Procedures
of Lower Extremity—Bilateral/Multiple/
Infection/Malignancy’’.
In reviewing these proposed changes,
we had a number of concerns. The first
concern was that these proposed
changes would result in the removal of
jlentini on PROD1PC65 with PROPOSALS2
463—All Cases ............................................................................................................................
463—Cases with PDX of Infection/Malignancy/React ................................................................
464—All Cases ............................................................................................................................
464—Cases with PDX of Infection/Malignancy/React ................................................................
465—All Cases ............................................................................................................................
465—Cases with PDX of Infection/Malignancy/React ................................................................
466—All Cases ............................................................................................................................
466—Cases with PDX of Infection/Malignancy/React ................................................................
467—All Cases ............................................................................................................................
467—Cases with PDX of Infection/Malignancy/React ................................................................
468—All Cases ............................................................................................................................
468—Cases with PDX of Infection/Malignancy/React ................................................................
469—All Cases ............................................................................................................................
469—Cases with PDX of Infection/Malignancy/React ................................................................
470—All Cases ............................................................................................................................
470—Cases with PDX of Infection/Malignancy/React ................................................................
480—All Cases ............................................................................................................................
480—Cases with PDX of Infection/Malignancy/React ................................................................
481—All Cases ............................................................................................................................
481—Cases with PDX of Infection/Malignancy/React ................................................................
482—All Cases ............................................................................................................................
482—Cases with PDX of Infection/Malignancy/React ................................................................
485—All Cases ............................................................................................................................
485—Cases with PDX of Infection/Malignancy/React ................................................................
486—All Cases ............................................................................................................................
486—Cases with PDX of Infection/Malignancy/React ................................................................
487—All Cases ............................................................................................................................
487—Cases with PDX of Infection/Malignancy/React ................................................................
488—All Cases ............................................................................................................................
488—Cases with PDX of Infection/Malignancy/React ................................................................
489—All Cases ............................................................................................................................
489—Cases with PDX of Infection/Malignancy/React ................................................................
495—All Cases ............................................................................................................................
495—Cases with PDX of Infection/Malignancy/React ................................................................
496—All Cases ............................................................................................................................
496—Cases with PDX of Infection/Malignancy/React ................................................................
497—All Cases ............................................................................................................................
497—Cases with PDX of Infection/Malignancy/React ................................................................
Given the wide variety of charges and
the small number of cases where there
are differences in charges, we do not
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
believe the data support the AAHKS’
recommendations. The data do not
support removing these cases from the
PO 00000
cases with varying average charges from
19 current MS–DRGs and consolidating
them into two separate sets of MS–
DRGs. As the data below indicate, the
average charges vary from as low as
$29,181 in MS–DRG 487 to $81,089 in
MS–DRG 463. Furthermore, the average
charges for these infection/neoplasm/
structural defect cases are very similar
to other cases in their respective MS–
DRG assignments for many of these MS–
DRGs. There are cases where the average
charges are higher. In MS–DRG 469 and
470, the infection/neoplasm/structural
defect cases are significantly higher.
However, there are only 136 cases in
MS–DRG 469 out of a total of 29,030
cases with these diagnoses. There are
only 673 cases in MS–DRG 470 out of
a total of 385,123 cases with one of
these diagnoses. The table below clearly
demonstrates the wide variety of
charges for cases with these diagnoses.
Number of
cases
MS–DRGs
Frm 00047
Fmt 4701
Sfmt 4702
23573
4,747
1,009
5,499
1,420
2,271
557
3,888
890
13,551
2,401
19,917
1,994
29,030
136
385,123
673
25,391
880
68,655
878
45,832
577
1,122
1,122
2,061
2,061
1,236
1,236
2,374
31
5,493
36
1,860
1,025
5,203
2,759
6,259
1,500
Average
length of stay
16.25
17.79
10.21
10.59
5.95
10.59
9.18
10.67
5.50
6.71
3.94
4.76
8.17
11.74
3.93
6.44
9.32
14.53
5.94
8.78
4.86
6.19
12.20
12.20
8.03
8.03
5.67
5.67
5.17
7.13
3.04
3.72
10.94
11.74
5.95
6.98
3.01
5.18
Average
charges
$73,405.46
81,089.07
44,387.73
46,800.60
26,631.57
29,816.40
76,015.66
79,334.69
53,431.63
58,506.86
44,055.62
54,322.03
56,681.64
85,256.07
36,126.23
59,676.31
52,281.65
76,355.15
32,963.64
48,655.30
27,266.20
37,572.38
64,672.47
64,672.47
40,758.55
40,758.55
29,180.88
29,180.88
30,180.80
50,155.42
21,385.67
35,313.84
55,103.91
59,453.69
32,177.29
36,940.99
21,445.60
29,966.98
19 MS–DRGs above and consolidating
them into a new set of MS–DRGs, either
newly created, or by adding them to
E:\FR\FM\30APP2.SGM
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Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
MS–DRG 461 or 462, which have
average charges of $80,718 and $57,355,
respectively.
A second major concern involves
redefining MS–DRGs 461 and 462 is that
these MS–DRG currently captures
bilateral and multiple joint procedures.
These MS–DRGs were specifically
created to capture a unique set of
patients who undergo procedures on
more than one lower joint. Redefining
these MS–DRGs to include both single
and multiple joints undermines the
clinical coherence of this MS–DRG. It
would create a widely diverse group of
patients based on either a list of specific
diagnoses or the fact that the patient had
multiple lower joint procedures.
jlentini on PROD1PC65 with PROPOSALS2
f. Conclusion
The AAHKS recommended a number
of complicated, interrelated MS–DRG
changes to the joint procedure MS–
DRGs. We have not yet had the
opportunity to review data for these
cases under the new MS–DRGs. We did
analyze the impact of these
recommendations using cases prior to
the implementation of MS–DRGs. The
recommendations were difficult to
analyze because there were so many
separate logic changes that impacted a
number of MS–DRGs. We did examine
each major suggestion separately, and
found that our data and clinical analysis
did not support making these changes.
Therefore, we are not proposing any
revisions to the joint procedure MS–
DRGs for FY 2009. We look forward to
examining these issues once we receive
data under the MS–DRG system. We
also welcome additional
recommendations from the AAHKS and
others on a more incremental approach
to resolving its concerns about the
ability of the current MS–DRGs to
adequately capture differences in
severity levels for joint procedure
patients.
5. MDC 18 (Infections and Parasitic
Diseases (Systemic or Unspecified
Sites)): Severe Sepsis
We received a request from a
manufacturer to modify the titles for
three MS–DRGs with the most
significant concentration of severe
sepsis patients. The manufacturer stated
that modification of the titles will assist
in quality improvement efforts and
provide a better reflection on the types
of patients included in these MS–DRGs.
Specifically, the manufacturer urged
CMS to incorporate the term ‘‘severe
sepsis’’ into the titles of the following
MS–DRGs that became effective October
1, 2007 (FY 2008)
• MS–DRG 870 (Septicemia with
Mechanical Ventilation 96+ Hours).
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• MS–DRG 871 (Septicemia without
Mechanical Ventilation 96+ Hours with
MCC).
• MS–DRG 872 (Septicemia without
Mechanical Ventilation 96+ Hours
without MCC).
These MS–DRGs were created to
better recognize severity of illness
among patients diagnosed with
conditions including septicemia, severe
sepsis, septic shock, and systemic
inflammatory response syndrome (SIRS)
who are also treated with mechanical
ventilation for a specified duration of
time.
According to the manufacturer,
‘‘severe sepsis is a common, deadly and
costly disease, yet the number of
patients impacted and the outcomes
associated with their care remain largely
hidden within the administrative data
set.’’ The manufacturer further noted
that, although improvements have been
made in the ICD–9–CM coding of severe
sepsis (diagnosis code 995.92) and
septic shock (diagnosis code 785.52),
results of an analysis demonstrated an
unacceptably high mortality rate for
patients reported to have those
conditions. The manufacturer believed
that revising the titles to incorporate
‘‘severe sepsis’’ will provide various
clinicians and researchers the
opportunity to improve outcomes for
these patients. Therefore, the
manufacturer recommended revising the
current MS–DRG titles as follows:
• Proposed Revised MS–DRG 870
(Septicemia or Severe Sepsis with
Mechanical Ventilation 96+ Hours).
• Proposed Revised MS–DRG 871
(Septicemia or Severe Sepsis without
Mechanical Ventilation 96+ Hours with
MCC).
• Proposed Revised MS–DRG 872
(Septicemia or Severe Sepsis without
Mechanical Ventilation 96+ Hours
without MCC).
We agree with the manufacturer that
revising the current MS–DRG titles to
include the term ‘‘severe sepsis’’ would
better assist in the recognition and
identification of this disease, which
could lead to better clinical outcomes
and quality improvement efforts. In
addition, both severe sepsis (diagnosis
code 995.92) and septic shock
(diagnosis code 785.52) are currently
already assigned to these three MS–
DRGs. Therefore, we are proposing to
revise the titles of MS–DRGs 870, 871,
and 872 to reflect severe sepsis in the
titles as suggested by the manufacturer
and listed above for FY 2009.
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6. MDC 21 (Injuries, Poisonings and
Toxic Effects of Drugs): Traumatic
Compartment Syndrome
Traumatic compartment syndrome is
a condition in which increased pressure
within a confined anatomical space that
contains blood vessels, muscles, nerves,
and bones causes a decrease in blood
flow and may lead to tissue necrosis.
There are five ICD–9–CM diagnosis
codes that were created effective
October 1, 2006, to identify traumatic
compartment syndrome of various sites.
• 958.90 (Compartment syndrome,
unspecified).
• 958.91 (Traumatic compartment
syndrome of upper extremity).
• 958.92 (Traumatic compartment
syndrome of lower extremity).
• 958.93 (Traumatic compartment
syndrome of abdomen).
• 958.99 (Traumatic compartment
syndrome of other sites) .
Cases with one of the diagnosis codes
listed above reported as the principal
diagnosis and no operating room
procedure are assigned to either MS–
DRG 922 (Other Injury, Poisoning and
Toxic Effect Diagnosis with MCC) or
MS–DRG 923 (Other Injury, Poisoning
and Toxic Effect Diagnosis without
MCC) in MDC 21.
In the FY 2008 IPPS final rule with
comment period when we adopted the
MS–DRGs, we inadvertently omitted the
addition of these traumatic
compartment syndrome codes 958.90
through 958.99 to the multiple trauma
MS–DRGs 963 (Other Multiple
Significant Trauma with MCC), MS–
DRG 964 (Other Multiple Significant
Trauma with CC), and MS–DRG 965
(Other Multiple Significant Trauma
without CC/MCC) in MDC 24 (Multiple
Significant Trauma). Cases are assigned
to MDC 24 based on the principal
diagnosis of trauma and at least two
significant trauma diagnosis codes
(either as principal or secondary
diagnoses) from different body site
categories. There are eight different
body site categories as follows:
• Significant head trauma.
• Significant chest trauma.
• Significant abdominal trauma.
• Significant kidney trauma.
• Significant trauma of the urinary
system.
• Significant trauma of the pelvis or
spine.
• Significant trauma of the upper
limb.
• Significant trauma of the lower
limb.
Therefore, we are proposing to add
traumatic compartment syndrome codes
958.90 through 958.99 to MS–DRGs 963
and MS–DRG 965 in MDC 24. Under
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this proposal, codes 958.90 through
958.99 would be added to the list of
principal diagnosis of significant
trauma. In addition, code 958.91 would
be added to the list of significant trauma
of upper limb, code 958.92 would be
added to the list of significant trauma of
lower limb, and code 958.93 would be
added to the list of significant
abdominal trauma.
7. Medicare Code Editor (MCE) Changes
As explained under section II.B.1. of
the preamble of this proposed rule, the
Medicare Code Editor (MCE) is a
software program that detects and
reports errors in the coding of Medicare
claims data. Patient diagnoses,
procedure(s), and demographic
information are entered into the
Medicare claims processing systems and
are subjected to a series of automated
screens. The MCE screens are designed
to identify cases that require further
review before classification into a DRG.
For FY 2009, we are proposing to make
the following changes to the MCE edits:
jlentini on PROD1PC65 with PROPOSALS2
a. List of Unacceptable Principal
Diagnoses in MCE
Diagnosis code V62.84 (Suicidal
ideation) was created for use beginning
October 1, 2005. At the time the
diagnosis code was created, it was not
clear that the creation of this code was
requested in order to describe the
principal reason for admission to a
facility or the principal reason for
treatment. The NCHS Official ICD–9–
CM Coding Guidelines therefore
categorized the group of codes in V62.X
for use only as additional or secondary
diagnoses. It has been brought to the
government’s attention that the use of
this code is hampered by its designation
as an additional-only diagnosis. NCHS
has therefore modified the Official
Coding Guidelines for FY 2009 by
making this code acceptable as a
principal diagnosis as well as an
additional diagnosis. In order to
conform to this change by NCHS, we are
proposing to remove code V62.84 from
the MCE list of ‘‘Unacceptable Principal
Diagnoses’’ for FY 2009.
b. Diagnoses Allowed for Males Only
Edit
There are four diagnosis codes that
were inadvertently left off of the MCE
edit titled ‘‘Diagnoses Allowed for
Males Only.’’ These codes are located in
the chapter of the ICD–9–CM diagnosis
codes entitled ‘‘Diseases of Male Genital
Organs.’’ We are proposing to add the
following four codes to this MCE edit:
603.0 (Encysted hydrocele), 603.1
(Infected hydrocele), 603.8 (Other
specified types of hydrocele), and 603.9
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(Hydrocele, unspecified). We have had
no reported problems or confusion with
the omission of these codes from this
section of the MCE, but in order to have
an accurate product, we are proposing
that these codes be added for FY 2009.
c. Limited Coverage Edit
As explained in section II.G.1. of the
preamble of this proposed rule, we are
proposing to remove procedure code
37.52 (Implantation of internal
biventricular heart replacement system)
from the MCE ‘‘Non-Covered
Procedure’’ edit and to assign it to the
‘‘Limited Coverage’’ edit. We are
proposing to include in this proposed
edit the requirement that ICD–9–CM
diagnosis code V70.7 (Examination of
participant in clinical trial) also be
present on the claim. We are proposing
that claims submitted without both
procedure code 37.52 and diagnosis
code V70.7 would be denied because
they would not be in compliance with
the proposed coverage policy explained
in section II.G.1. of this preamble.
8. Surgical Hierarchies
Some inpatient stays entail multiple
surgical procedures, each one of which,
occurring by itself, could result in
assignment of the case to a different
MS–DRG within the MDC to which the
principal diagnosis is assigned.
Therefore, it is necessary to have a
decision rule within the GROUPER by
which these cases are assigned to a
single MS–DRG. The surgical hierarchy,
an ordering of surgical classes from
most resource-intensive to least
resource-intensive, performs that
function. Application of this hierarchy
ensures that cases involving multiple
surgical procedures are assigned to the
MS–DRG associated with the most
resource-intensive surgical class.
Because the relative resource intensity
of surgical classes can shift as a function
of MS–DRG reclassification and
recalibrations, we reviewed the surgical
hierarchy of each MDC, as we have for
previous reclassifications and
recalibrations, to determine if the
ordering of classes coincides with the
intensity of resource utilization.
A surgical class can be composed of
one or more MS–DRGs. For example, in
MDC 11, the surgical class ‘‘kidney
transplant’’ consists of a single MS–DRG
(MS–DRG 652) and the class ‘‘kidney,
ureter and major bladder procedures’’
consists of three MS–DRGs (MS–DRGs
653, 654, and 655). Consequently, in
many cases, the surgical hierarchy has
an impact on more than one MS–DRG.
The methodology for determining the
most resource-intensive surgical class
involves weighting the average
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23575
resources for each MS–DRG by
frequency to determine the weighted
average resources for each surgical class.
For example, assume surgical class A
includes MS–DRGs 1 and 2 and surgical
class B includes MS–DRGs 3, 4, and 5.
Assume also that the average charge of
MS–DRG 1 is higher than that of MS–
DRG 3, but the average charges of MS–
DRGs 4 and 5 are higher than the
average charge of MS–DRG 2. To
determine whether surgical class A
should be higher or lower than surgical
class B in the surgical hierarchy, we
would weight the average charge of each
MS–DRG in the class by frequency (that
is, by the number of cases in the MS–
DRG) to determine average resource
consumption for the surgical class. The
surgical classes would then be ordered
from the class with the highest average
resource utilization to that with the
lowest, with the exception of ‘‘other
O.R. procedures’’ as discussed below.
This methodology may occasionally
result in assignment of a case involving
multiple procedures to the lowerweighted MS–DRG (in the highest, most
resource-intensive surgical class) of the
available alternatives. However, given
that the logic underlying the surgical
hierarchy provides that the GROUPER
search for the procedure in the most
resource-intensive surgical class, in
cases involving multiple procedures,
this result is sometimes unavoidable.
We note that, notwithstanding the
foregoing discussion, there are a few
instances when a surgical class with a
lower average charge is ordered above a
surgical class with a higher average
charge. For example, the ‘‘other O.R.
procedures’’ surgical class is uniformly
ordered last in the surgical hierarchy of
each MDC in which it occurs, regardless
of the fact that the average charge for the
MS–DRG or MS–DRGs in that surgical
class may be higher than that for other
surgical classes in the MDC. The ‘‘other
O.R. procedures’’ class is a group of
procedures that are only infrequently
related to the diagnoses in the MDC, but
are still occasionally performed on
patients in the MDC with these
diagnoses. Therefore, assignment to
these surgical classes should only occur
if no other surgical class more closely
related to the diagnoses in the MDC is
appropriate.
A second example occurs when the
difference between the average charges
for two surgical classes is very small.
We have found that small differences
generally do not warrant reordering of
the hierarchy because, as a result of
reassigning cases on the basis of the
hierarchy change, the average charges
are likely to shift such that the higherordered surgical class has a lower
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average charge than the class ordered
below it.
For FY 2009, we are proposing a
revision of the surgical hierarchy for
MDC 5 (Diseases and Disorders of the
Circulatory System) by placing MS–DRG
245 (AICD Generator Procedures) above
proposed new MS–DRG 265 (AICD Lead
Procedures).
9. CC Exclusions List
a. Background
As indicated earlier in the preamble
of this proposed rule, under the IPPS
DRG classification system, we have
developed a standard list of diagnoses
that are considered CCs. Historically, we
developed this list using physician
panels that classified each diagnosis
code based on whether the diagnosis,
when present as a secondary condition,
would be considered a substantial
complication or comorbidity. A
substantial complication or comorbidity
was defined as a condition that, because
of its presence with a specific principal
diagnosis, would cause an increase in
the length of stay by at least 1 day in
at least 75 percent of the patients. We
refer readers to section II.D.2. and 3. of
the preamble of the FY 2008 IPPS final
rule with comment period for a
discussion of the refinement of CCs in
relation to the MS–DRGs we adopted for
FY–2008 (72 FR 47152 through 47121).
b. CC Exclusions List for FY 2009
In the September 1, 1987 final notice
(52–FR–33143) concerning changes to
the DRG classification system, we
modified the GROUPER logic so that
certain diagnoses included on the
standard list of CCs would not be
considered valid CCs in combination
with a particular principal diagnosis.
We created the CC Exclusions List for
the following reasons: (1) To preclude
coding of CCs for closely related
conditions; (2) to preclude duplicative
or inconsistent coding from being
treated as CCs; and (3) to ensure that
cases are appropriately classified
between the complicated and
uncomplicated DRGs in a pair. As we
indicated above, we developed a list of
diagnoses, using physician panels, to
include those diagnoses that, when
present as a secondary condition, would
be considered a substantial
complication or comorbidity. In
previous years, we have made changes
to the list of CCs, either by adding new
CCs or deleting CCs already on the list.
In the May 19, 1987 proposed notice
(52 FR 18877) and the September 1,
1987 final notice (52 FR 33154), we
explained that the excluded secondary
diagnoses were established using the
following five principles:
• Chronic and acute manifestations of
the same condition should not be
considered CCs for one another.
• Specific and nonspecific (that is,
not otherwise specified (NOS))
diagnosis codes for the same condition
should not be considered CCs for one
another.
• Codes for the same condition that
cannot coexist, such as partial/total,
unilateral/bilateral, obstructed/
unobstructed, and benign/malignant,
should not be considered CCs for one
another.
• Codes for the same condition in
anatomically proximal sites should not
be considered CCs for one another.
• Closely related conditions should
not be considered CCs for one another.
The creation of the CC Exclusions List
was a major project involving hundreds
of codes. We have continued to review
the remaining CCs to identify additional
exclusions and to remove diagnoses
from the master list that have been
shown not to meet the definition of a
CC.12
For FY 2009, we are proposing to
make limited revisions to the CC
Exclusions List to take into account the
changes that will be made in the ICD–
9–CM diagnosis coding system effective
October 1, 2008. (See section II.G.11. of
the preamble of this proposed rule with
comment period for a discussion of
ICD–9–CM changes.) We are proposing
to make these changes in accordance
with the principles established when we
created the CC Exclusions List in 1987.
In addition, as discussed in section
II.D.3. of the preamble of this proposed
rule, we are indicating on the CC
exclusion list some updates to reflect
the exclusion of a few codes from being
an MCC under the MS–DRG system that
we adopted for FY 2008.
Tables 6G and 6H, Additions to and
Deletions from the CC Exclusion List,
respectively, which will be effective for
discharges occurring on or after October
1, 2008, are not being published in this
proposed rule because of the length of
the two tables. Instead, we are making
them available through the Internet on
the CMS Web site at: https://
www.cms.hhs.gov/AcuteInpatientPPS.
Each of these principal diagnoses for
which there is a CC exclusion is shown
in Tables 6G and 6H with an asterisk,
and the conditions that will not count
as a CC, are provided in an indented
column immediately following the
affected principal diagnosis.
A complete updated MCC, CC, and
Non-CC Exclusions List is also available
through the Internet on the CMS Web
site at: http:/www.cms.hhs.gov/
AcuteInpatientPPS. Beginning with
discharges on or after October 1, 2008,
the indented diagnoses will not be
recognized by the GROUPER as valid
CCs for the asterisked principal
diagnosis.
To assist readers in the review of
changes to the MCC and CC lists that
occurred as a result of updates to the
ICD–9–CM codes, as described in Tables
6A, 6C, and 6E, we are providing the
following summaries of those MCC and
CC changes.
SUMMARY OF ADDITIONS TO THE MS–DRG MCC LIST.—TABLE 6I.1
Code
Description
jlentini on PROD1PC65 with PROPOSALS2
249.10 ........................
249.11 ........................
249.20 ........................
Secondary diabetes mellitus with ketoacidosis, not stated as uncontrolled, or unspecified.
Secondary diabetes mellitus with ketoacidosis, uncontrolled.
Secondary diabetes mellitus with hyperosmolarity, not stated as uncontrolled, or unspecified.
12 See the FY 1989 final rule (53 FR 38485,
September 30, 1988), for the revision made for the
discharges occurring in FY 1989; the FY 1990 final
rule (54 FR 36552, September 1, 1989), for the FY
1990 revision; the FY 1991 final rule (55 FR 36126,
September 4, 1990), for the FY 1991 revision; the
FY 1992 final rule (56 FR 43209, August 30, 1991)
for the FY 1992 revision; the FY 1993 final rule (57
FR 39753, September 1, 1992), for the FY 1993
revision; the FY 1994 final rule (58 FR 46278,
September 1, 1993), for the FY 1994 revisions; the
FY 1995 final rule (59 FR 45334, September 1,
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1994), for the FY 1995 revisions; the FY 1996 final
rule (60 FR 45782, September 1, 1995), for the FY
1996 revisions; the FY 1997 final rule (61 FR 46171,
August 30, 1996), for the FY 1997 revisions; the FY
1998 final rule (62 FR 45966, August 29, 1997) for
the FY 1998 revisions; the FY 1999 final rule (63
FR 40954, July 31, 1998), for the FY 1999 revisions;
the FY 2001 final rule (65 FR 47064, August 1,
2000), for the FY 2001 revisions; the FY 2002 final
rule (66 FR 39851, August 1, 2001), for the FY 2002
revisions; the FY 2003 final rule (67 FR 49998,
August 1, 2002), for the FY 2003 revisions; the FY
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2004 final rule (68 FR 45364, August 1, 2003), for
the FY 2004 revisions; the FY 2005 final rule (69
FR 49848, August 11, 2004), for the FY 2005
revisions; the FY 2006 final rule (70 FR 47640,
August 12, 2005), for the FY 2006 revisions; the FY
2007 final rule (71 FR 47870) for the FY 2007
revisions; and the FY 2008 final rule (72 FR 47130)
for the FY 2008 revisions. In the FY 2000 final rule
(64 FR 41490, July 30, 1999, we did not modify the
CC Exclusions List because we did not make any
changes to the ICD–9–CM codes for FY 2000.
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SUMMARY OF ADDITIONS TO THE MS–DRG MCC LIST.—TABLE 6I.1—Continued
Code
249.21
249.30
249.31
707.23
707.24
777.50
777.51
777.52
777.53
780.72
Description
........................
........................
........................
........................
........................
........................
........................
........................
........................
........................
Secondary diabetes mellitus with hyperosmolarity, uncontrolled.
Secondary diabetes mellitus with other coma, not stated as uncontrolled, or unspecified.
Secondary diabetes mellitus with other coma, uncontrolled.
Pressure ulcer, stage III.
Pressure ulcer, stage IV.
Necrotizing enterocolitis in newborn, unspecified.
Stage I necrotizing enterocolitis in newborn.
Stage II necrotizing enterocolitis in newborn.
Stage III necrotizing enterocolitis in newborn.
Functional quadriplegia.
SUMMARY OF DELETIONS FROM THE MS–DRG MCC LIST.—TABLE 6I.2
Code
Description
136.2 ..........................
511.8 ..........................
707.02 ........................
707.03 ........................
707.04 ........................
707.05 ........................
707.06 ........................
707.07 ........................
777.5 ..........................
Specific infections by free-living amebae.
Other specified forms of pleural effusion, except tuberculous.
Pressure ulcer, upper back.
Pressure ulcer, lower back.
Pressure ulcer, hip.
Pressure ulcer, buttock.
Pressure ulcer, ankle.
Pressure ulcer, heel.
Necrotizing enterocolitis in fetus or newborn.
SUMMARY OF ADDITIONS TO THE MS–DRG CC LIST.—TABLE 6J.1
jlentini on PROD1PC65 with PROPOSALS2
Code
Description
046.11 ........................
046.19 ........................
046.71 ........................
046.72 ........................
046.79 ........................
059.01 ........................
059.21 ........................
136.29 ........................
199.2 ..........................
203.02 ........................
203.12 ........................
203.82 ........................
204.02 ........................
204.12 ........................
204.22 ........................
204.82 ........................
204.92 ........................
205.02 ........................
205.12 ........................
205.22 ........................
205.32 ........................
205.82 ........................
205.92 ........................
206.02 ........................
206.12 ........................
206.22 ........................
206.82 ........................
206.92 ........................
207.02 ........................
207.12 ........................
207.22 ........................
207.82 ........................
208.02 ........................
208.12 ........................
208.22 ........................
208.82 ........................
208.92 ........................
209.00 ........................
209.01 ........................
209.02 ........................
209.03 ........................
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Variant Creutzfeldt-Jakob disease.
Other and unspecified Creutzfeldt-Jakob disease.
¨
Gerstmann-Straussler-Scheinker syndrome.
Fatal familial insomnia.
Other and unspecified prion disease of central nervous system.
Monkeypox.
Tanapox.
Other specific infections by free-living amebae.
Malignant neoplasm associated with transplant organ.
Multiple myeloma, in relapse.
Plasma cell leukemia, in relapse.
Other immunoproliferative neoplasms, in relapse.
Acute lymphoid leukemia, in relapse.
Chronic lymphoid leukemia, in relapse.
Subacute lymphoid leukemia, in relapse.
Other lymphoid leukemia, in relapse.
Unspecified lymphoid leukemia, in relapse.
Acute myeloid leukemia, in relapse.
Chronic myeloid leukemia, in relapse.
Subacute myeloid leukemia, in relapse.
Myeloid sarcoma, in relapse.
Other myeloid leukemia, in relapse.
Unspecified myeloid leukemia, in relapse.
Acute monocytic leukemia, in relapse.
Chronic monocytic leukemia, in relapse.
Subacute monocytic leukemia, in relapse.
Other monocytic leukemia, in relapse.
Unspecified monocytic leukemia, in relapse.
Acute erythremia and erythroleukemia, in relapse.
Chronic erythremia, in relapse.
Megakaryocytic leukemia, in relapse.
Other specified leukemia, in relapse.
Acute leukemia of unspecified cell type, in relapse.
Chronic leukemia of unspecified cell type, in relapse.
Subacute leukemia of unspecified cell type, in relapse.
Other leukemia of unspecified cell type, in relapse.
Unspecified leukemia, in relapse.
Malignant carcinoid tumor of the small intestine, unspecified portion.
Malignant carcinoid tumor of the duodenum.
Malignant carcinoid tumor of the jejunum.
Malignant carcinoid tumor of the ileum.
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SUMMARY OF ADDITIONS TO THE MS–DRG CC LIST.—TABLE 6J.1—Continued
Code
209.10
209.11
209.12
209.13
209.14
209.15
209.16
209.17
209.20
209.21
209.22
209.23
209.24
209.25
209.26
209.27
209.29
209.30
238.77
279.50
279.51
279.52
279.53
346.60
Description
........................
........................
........................
........................
........................
........................
........................
........................
........................
........................
........................
........................
........................
........................
........................
........................
........................
........................
........................
........................
........................
........................
........................
........................
346.61 ........................
346.62
346.63
511.81
511.89
649.70
649.71
649.73
695.12
695.13
695.14
695.15
695.53
695.54
695.55
695.56
695.57
695.58
695.59
997.31
997.39
998.30
998.33
999.81
999.82
........................
........................
........................
........................
........................
........................
........................
........................
........................
........................
........................
........................
........................
........................
........................
........................
........................
........................
........................
........................
........................
........................
........................
........................
Malignant carcinoid tumor of the large intestine, unspecified portion.
Malignant carcinoid tumor of the appendix.
Malignant carcinoid tumor of the cecum.
Malignant carcinoid tumor of the ascending colon.
Malignant carcinoid tumor of the transverse colon.
Malignant carcinoid tumor of the descending colon.
Malignant carcinoid tumor of the sigmoid colon.
Malignant carcinoid tumor of the rectum.
Malignant carcinoid tumor of unknown primary site.
Malignant carcinoid tumor of the bronchus and lung.
Malignant carcinoid tumor of the thymus.
Malignant carcinoid tumor of the stomach.
Malignant carcinoid tumor of the kidney.
Malignant carcinoid tumor of foregut, not otherwise specified.
Malignant carcinoid tumor of midgut, not otherwise specified.
Malignant carcinoid tumor of hindgut, not otherwise specified.
Malignant carcinoid tumor of other sites.
Malignant poorly differentiated neuroendocrine carcinoma, any site.
Post-transplant lymphoproliferative disorder (PTLD).
Graft-versus-host disease, unspecified.
Acute graft-versus-host disease.
Chronic graft-versus-host disease.
Acute on chronic graft-versus-host disease.
Persistent migraine aura with cerebral infarction, without mention of intractable migraine without mention of status
migrainosus.
Persistent migraine aura with cerebral infarction, with intractable migraine, so stated, without mention of status
migrainosus.
Persistent migraine aura with cerebral infarction, without mention of intractable migraine with status migrainosus.
Persistent migraine aura with cerebral infarction, with intractable migraine, so stated, with status migrainosus.
Malignant pleural effusion.
Other specified forms of effusion, except tuberculous.
Cervical shortening, unspecified as to episode of care or not applicable.
Cervical shortening, delivered, with or without mention of antepartum condition.
Cervical shortening, antepartum condition or complication.
Erythema multiforme major.
Stevens-Johnson syndrome.
Stevens-Johnson syndrome-toxic epidermal necrolysis overlap syndrome.
Toxic epidermal necrolysis.
Exfoliation due to erythematous condition involving 30–39 percent of body surface.
Exfoliation due to erythematous condition involving 40–49 percent of body surface.
Exfoliation due to erythematous condition involving 50–59 percent of body surface.
Exfoliation due to erythematous condition involving 60–69 percent of body surface.
Exfoliation due to erythematous condition involving 70–79 percent of body surface.
Exfoliation due to erythematous condition involving 80–89 percent of body surface.
Exfoliation due to erythematous condition involving 90 percent or more of body surface.
Ventilator associated pneumonia.
Other respiratory complications.
Disruption of wound, unspecified.
Disruption of traumatic wound repair.
Extravasation of vesicant chemotherapy.
Extravasation of other vesicant agent.
SUMMARY OF DELETIONS TO THE MS–
DRG CC LIST.—TABLE 6J.2
Description
046.1 ......
337.0 ......
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Code
Jakob-Creutzfeldt disease.
Idiopathic peripheral autonomic
neuropathy.
Erythema multiforme.
Pressure ulcer, unspecified site.
Pressure ulcer, elbow.
Pressure ulcer, other site.
Respiratory complications.
Other transfusion reaction.
695.1 ......
707.00 ....
707.01 ....
707.09 ....
997.3 ......
999.8 ......
Alternatively, the complete
documentation of the GROUPER logic,
including the current CC Exclusions
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List, is available from 3M/Health
Information Systems (HIS), which,
under contract with CMS, is responsible
for updating and maintaining the
GROUPER program. The current DRG
Definitions Manual, Version 25.0, is
available for $225.00, which includes
$15.00 for shipping and handling.
Version 26.0 of this manual, which will
include the final FY 2009 DRG changes,
will be available in hard copy for
$250.00. Version 26.0 of the manual is
also available on a CD for $200.00; a
combination hard copy and CD is
available for $400.00. These manuals
may be obtained by writing 3M/HIS at
the following address: 100 Barnes Road,
PO 00000
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Wallingford, CT 06492; or by calling
(203) 949–0303. Please specify the
revision or revisions requested.
10. Review of Procedure Codes in MS
DRGs 981, 982, and 983; 984, 985, and
986; and 987, 988, and 989
Each year, we review cases assigned
to former CMS DRG 468 (Extensive O.R.
Procedure Unrelated to Principal
Diagnosis), CMS DRG 476 (Prostatic
O.R. Procedure Unrelated to Principal
Diagnosis), and CMS DRG 477
(Nonextensive O.R. Procedure Unrelated
to Principal Diagnosis) to determine
whether it would be appropriate to
change the procedures assigned among
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these CMS DRGs. Under the MS–DRGs
that we adopted for FY 2008, CMS DRG
468 was split three ways and became
MS–DRGs 981, 982, and 983 (Extensive
O.R. Procedure Unrelated to Principal
Diagnosis with MCC, with CC, and
without CC/MCC). CMS DRG 476
became MS–DRGs 984, 985, and 986
(Prostatic O.R. Procedure Unrelated to
Principal Diagnosis with MCC, with CC,
and without CC/MCC). CMS DRG 477
became MS–DRGs 987, 988, and 989
(Nonextensive O.R. Procedure Unrelated
to Principal Diagnosis with MCC, with
CC, and without CC/MCC).
MS–DRGs 981 through 983, 984
through 986, and 987 through 989
(formerly CMS DRGs 468, 476, and 477,
respectively) are reserved for those cases
in which none of the O.R. procedures
performed are related to the principal
diagnosis. These DRGs are intended to
capture atypical cases, that is, those
cases not occurring with sufficient
frequency to represent a distinct,
recognizable clinical group. MS–DRGs
984 through 986 (previously CMS DRG
476) are assigned to those discharges in
which one or more of the following
prostatic procedures are performed and
are unrelated to the principal diagnosis:
• 60.0, Incision of prostate.
• 60.12, Open biopsy of prostate.
• 60.15, Biopsy of periprostatic
tissue.
• 60.18, Other diagnostic procedures
on prostate and periprostatic tissue.
• 60.21, Transurethral prostatectomy.
• 60.29, Other transurethral
prostatectomy.
• 60.61, Local excision of lesion of
prostate.
• 60.69, Prostatectomy, not elsewhere
classified.
• 60.81, Incision of periprostatic
tissue.
• 60.82, Excision of periprostatic
tissue.
• 60.93, Repair of prostate.
• 60.94, Control of (postoperative)
hemorrhage of prostate.
• 60.95, Transurethral balloon
dilation of the prostatic urethra.
• 60.96, Transurethral destruction of
prostate tissue by microwave
thermotherapy.
• 60.97, Other transurethral
destruction of prostate tissue by other
thermotherapy.
• 60.99, Other operations on prostate.
All remaining O.R. procedures are
assigned to MS–DRGs 981 through 983
and 987 through 989, with MS–DRGs
987 through 989 assigned to those
discharges in which the only procedures
performed are nonextensive procedures
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that are unrelated to the principal
diagnosis.13
For FY 2009, we are not proposing to
change the procedures assigned among
these DRGs.
a. Moving Procedure Codes From MS–
DRGs 981 Through 983 or MS–DRGs
987 Through 989 to MDCs
We annually conduct a review of
procedures producing assignment to
MS–DRGs 981 through 983 (formerly
CMS DRG 468) or MS–DRGs 987
through 989 (formerly CMS DRG 477)
on the basis of volume, by procedure, to
see if it would be appropriate to move
procedure codes out of these DRGs into
one of the surgical DRGs for the MDC
into which the principal diagnosis falls.
The data are arrayed in two ways for
comparison purposes. We look at a
frequency count of each major operative
procedure code. We also compare
procedures across MDCs by volume of
procedure codes within each MDC.
We identify those procedures
occurring in conjunction with certain
principal diagnoses with sufficient
frequency to justify adding them to one
of the surgical DRGs for the MDC in
which the diagnosis falls. For FY 2009,
we are not proposing to remove any
procedures from MS–DRGs 981 through
983 or MS–DRGs 987 through 989.
b. Reassignment of Procedures Among
MS–DRGs 981 Through 983, 984
Through 986, and 987 Through 989)
We also annually review the list of
ICD–9–CM procedures that, when in
combination with their principal
13 The original list of the ICD–9–CM procedure
codes for the procedures we consider nonextensive
procedures, if performed with an unrelated
principal diagnosis, was published in Table 6C in
section IV. of the Addendum to the FY 1989 final
rule (53 FR 38591). As part of the FY 1991 final rule
(55 FR 36135), the FY 1992 final rule (56 FR 43212),
the FY 1993 final rule (57 FR 23625), the FY 1994
final rule (58 FR 46279), the FY 1995 final rule (59
FR 45336), the FY 1996 final rule (60 FR 45783),
the FY 1997 final rule (61 FR 46173), and the FY
1998 final rule (62 FR 45981), we moved several
other procedures from DRG 468 to DRG 477, and
some procedures from DRG 477 to DRG 468. No
procedures were moved in FY 1999, as noted in the
final rule (63 FR 40962); in FY 2000 (64 FR 41496);
in FY 2001 (65 FR 47064); or in FY 2002 (66 FR
39852). In the FY 2003 final rule (67 FR 49999) we
did not move any procedures from DRG 477.
However, we did move procedure codes from DRG
468 and placed them in more clinically coherent
DRGs. In the FY 2004 final rule (68 FR 45365), we
moved several procedures from DRG 468 to DRGs
476 and 477 because the procedures are
nonextensive. In the FY 2005 final rule (69 FR
48950), we moved one procedure from DRG 468 to
477. In addition, we added several existing
procedures to DRGs 476 and 477. In the FY 2006
(70 FR 47317), we moved one procedure from DRG
468 and assigned it to DRG 477. In FY 2007, we
moved one procedure from DRG 468 and assigned
it to DRGs 479, 553, and 554. In FY 2008, no
procedures were moved, as noted in the final rule
with comment period (72 FR 46241).
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diagnosis code, result in assignment to
MS–DRGs 981 through 983, 984 through
986, and 987 through 989 (formerly,
CMS DRGs 468, 476, and 477,
respectively), to ascertain whether any
of those procedures should be
reassigned from one of these three DRGs
to another of the three DRGs based on
average charges and the length of stay.
We look at the data for trends such as
shifts in treatment practice or reporting
practice that would make the resulting
DRG assignment illogical. If we find
these shifts, we would propose to move
cases to keep the DRGs clinically similar
or to provide payment for the cases in
a similar manner. Generally, we move
only those procedures for which we
have an adequate number of discharges
to analyze the data.
For FY 2009, we are not proposing to
move any procedure codes among these
DRGs.
c. Adding Diagnosis or Procedure Codes
to MDCs
Based on our review this year, we are
not proposing to add any diagnosis
codes to MDCs for FY 2009.
11. Changes to the ICD–9–CM Coding
System
As described in section II.B.1. of the
preamble of this proposed rule, the ICD–
9–CM is a coding system used for the
reporting of diagnoses and procedures
performed on a patient. In September
1985, the ICD–9–CM Coordination and
Maintenance Committee was formed.
This is a Federal interdepartmental
committee, co-chaired by the National
Center for Health Statistics (NCHS), the
Centers for Disease Control and
Prevention, and CMS, charged with
maintaining and updating the ICD–9–
CM system. The Committee is jointly
responsible for approving coding
changes, and developing errata,
addenda, and other modifications to the
ICD–9–CM to reflect newly developed
procedures and technologies and newly
identified diseases. The Committee is
also responsible for promoting the use
of Federal and non-Federal educational
programs and other communication
techniques with a view toward
standardizing coding applications and
upgrading the quality of the
classification system.
The Official Version of the ICD–9–CM
contains the list of valid diagnosis and
procedure codes. (The Official Version
of the ICD–9–CM is available from the
Government Printing Office on CD–
ROM for $27.00 by calling (202) 512–
1800.) Complete information on
ordering the CD–ROM is also available
at: https://www.cdc.gov/nchs/products/
prods/subject/icd96ed.htm. The Official
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Version of the ICD–9–CM is no longer
available in printed manual form from
the Federal Government; it is only
available on CD–ROM. Users who need
a paper version are referred to one of the
many products available from
publishing houses.
The NCHS has lead responsibility for
the ICD–9–CM diagnosis codes included
in the Tabular List and Alphabetic
Index for Diseases, while CMS has lead
responsibility for the ICD–9–CM
procedure codes included in the
Tabular List and Alphabetic Index for
Procedures.
The Committee encourages
participation in the above process by
health-related organizations. In this
regard, the Committee holds public
meetings for discussion of educational
issues and proposed coding changes.
These meetings provide an opportunity
for representatives of recognized
organizations in the coding field, such
as the American Health Information
Management Association (AHIMA), the
American Hospital Association (AHA),
and various physician specialty groups,
as well as individual physicians, health
information management professionals,
and other members of the public, to
contribute ideas on coding matters.
After considering the opinions
expressed at the public meetings and in
writing, the Committee formulates
recommendations, which then must be
approved by the agencies.
The Committee presented proposals
for coding changes for implementation
in FY 2009 at a public meeting held on
September 27–28, 2007 and finalized
the coding changes after consideration
of comments received at the meetings
and in writing by December 3, 2007.
Those coding changes are announced in
Tables 6A through 6F in the Addendum
to this proposed rule. The Committee
held its 2008 meeting on March 19–20,
2008. Proposed new codes for which
there was a consensus of public support
and for which complete tabular and
indexing changes can be made by May
2008 will be included in the October 1,
2008 update to ICD–9–CM. Code
revisions that were discussed at the
March 19–20, 2008 Committee meeting
but that could not be finalized in time
to include them in the Addendum to
this proposed rule are not included in
Tables 6A through 6F. These additional
codes will be included in Tables 6A
through 6F of the final rule with
comment period and are marked with
an asterisk (*).
Copies of the minutes of the
procedure codes discussions at the
Committee’s September 27–28, 2007
meeting can be obtained from the CMS
Web site at: https://cms.hhs.gov/
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ICD9ProviderDiagnosticCodes/
03_meetings.asp. The minutes of the
diagnosis codes discussions at the
September 27–28, 2007 meeting are
found at: https://www.cdc.gov/nchs/
icd9.htm. Paper copies of these minutes
are no longer available and the mailing
list has been discontinued. These Web
sites also provide detailed information
about the Committee, including
information on requesting a new code,
attending a Committee meeting, and
timeline requirements and meeting
dates.
We encourage commenters to address
suggestions on coding issues involving
diagnosis codes to: Donna Pickett, CoChairperson, ICD–9–CM Coordination
and Maintenance Committee, NCHS,
Room 2402, 3311 Toledo Road,
Hyattsville, MD 20782. Comments may
be sent by E-mail to: dfp4@cdc.gov.
Questions and comments concerning
the procedure codes should be
addressed to: Patricia E. Brooks, CoChairperson, ICD–9–CM Coordination
and Maintenance Committee, CMS,
Center for Medicare Management,
Hospital and Ambulatory Policy Group,
Division of Acute Care, C4–08–06, 7500
Security Boulevard, Baltimore, MD
21244–1850. Comments may be sent by
E-mail to:
patricia.brooks2@cms.hhs.gov.
The ICD–9–CM code changes that
have been approved will become
effective October 1, 2008. The new ICD–
9–CM codes are listed, along with their
DRG classifications, in Tables 6A and
6B (New Diagnosis Codes and New
Procedure Codes, respectively) in the
Addendum to this proposed rule. As we
stated above, the code numbers and
their titles were presented for public
comment at the ICD–9–CM
Coordination and Maintenance
Committee meetings. Both oral and
written comments were considered
before the codes were approved. In this
proposed rule, we are only soliciting
comments on the proposed
classification of these new codes.
For codes that have been replaced by
new or expanded codes, and the
corresponding new or expanded
diagnosis codes are included in Table
6A. New procedure codes are shown in
Table 6B. Diagnosis codes that have
been replaced by expanded codes or
other codes or have been deleted are in
Table 6C (Invalid Diagnosis Codes).
These invalid diagnosis codes will not
be recognized by the GROUPER
beginning with discharges occurring on
or after October 1, 2008. Table 6D
contains invalid procedure codes. These
invalid procedure codes will not be
recognized by the GROUPER beginning
with discharges occurring on or after
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October 1, 2008. Revisions to diagnosis
code titles are in Table 6E (Revised
Diagnosis Code Titles), which also
includes the MS–DRG assignments for
these revised codes. Table 6F includes
revised procedure code titles for FY
2009.
In the September 7, 2001 final rule
implementing the IPPS new technology
add-on payments (66 FR 46906), we
indicated we would attempt to include
proposals for procedure codes that
would describe new technology
discussed and approved at the Spring
meeting as part of the code revisions
effective the following October. As
stated previously, ICD–9–CM codes
discussed at the March 19–20, 2008
Committee meeting that received
consensus and that are finalized by May
2008, will be included in Tables 6A
through 6F of the Addendum to the
final rule.
Section 503(a) of Pub. L. 108–173
included a requirement for updating
ICD–9–CM codes twice a year instead of
a single update on October 1 of each
year. This requirement was included as
part of the amendments to the Act
relating to recognition of new
technology under the IPPS. Section
503(a) amended section 1886(d)(5)(K) of
the Act by adding a clause (vii) which
states that the ‘‘Secretary shall provide
for the addition of new diagnosis and
procedure codes on April 1 of each year,
but the addition of such codes shall not
require the Secretary to adjust the
payment (or diagnosis-related group
classification) * * * until the fiscal year
that begins after such date.’’ This
requirement improves the recognition of
new technologies under the IPPS system
by providing information on these new
technologies at an earlier date. Data will
be available 6 months earlier than
would be possible with updates
occurring only once a year on October
1.
While section 1886(d)(5)(K)(vii) of the
Act states that the addition of new
diagnosis and procedure codes on April
1 of each year shall not require the
Secretary to adjust the payment, or DRG
classification, under section 1886(d) of
the Act until the fiscal year that begins
after such date, we have to update the
DRG software and other systems in
order to recognize and accept the new
codes. We also publicize the code
changes and the need for a mid-year
systems update by providers to identify
the new codes. Hospitals also have to
obtain the new code books and encoder
updates, and make other system changes
in order to identify and report the new
codes.
The ICD–9–CM Coordination and
Maintenance Committee holds its
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meetings in the spring and fall in order
to update the codes and the applicable
payment and reporting systems by
October 1 of each year. Items are placed
on the agenda for the ICD–9–CM
Coordination and Maintenance
Committee meeting if the request is
received at least 2 months prior to the
meeting. This requirement allows time
for staff to review and research the
coding issues and prepare material for
discussion at the meeting. It also allows
time for the topic to be publicized in
meeting announcements in the Federal
Register as well as on the CMS Web site.
The public decides whether or not to
attend the meeting based on the topics
listed on the agenda. Final decisions on
code title revisions are currently made
by March 1 so that these titles can be
included in the IPPS proposed rule. A
complete addendum describing details
of all changes to ICD–9–CM, both
tabular and index, is published on the
CMS and NCHS Web sites in May of
each year. Publishers of coding books
and software use this information to
modify their products that are used by
health care providers. This 5-month
time period has proved to be necessary
for hospitals and other providers to
update their systems.
A discussion of this timeline and the
need for changes are included in the
December 4–5, 2005 ICD–9–CM
Coordination and Maintenance
Committee minutes. The public agreed
that there was a need to hold the fall
meetings earlier, in September or
October, in order to meet the new
implementation dates. The public
provided comment that additional time
would be needed to update hospital
systems and obtain new code books and
coding software. There was considerable
concern expressed about the impact this
new April update would have on
providers.
In the FY 2005 IPPS final rule, we
implemented section 1886(d)(5)(K)(vii)
of the Act, as added by section 503(a)
of Pub. L. 108–173, by developing a
mechanism for approving, in time for
the April update, diagnosis and
procedure code revisions needed to
describe new technologies and medical
services for purposes of the new
technology add-on payment process. We
also established the following process
for making these determinations. Topics
considered during the Fall ICD–9–CM
Coordination and Maintenance
Committee meeting are considered for
an April 1 update if a strong and
convincing case is made by the
requester at the Committee’s public
meeting. The request must identify the
reason why a new code is needed in
April for purposes of the new
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technology process. The participants at
the meeting and those reviewing the
Committee meeting summary report are
provided the opportunity to comment
on this expedited request. All other
topics are considered for the October 1
update. Participants at the Committee
meeting are encouraged to comment on
all such requests. There were no
requests approved for an expedited
April l, 2008 implementation of an ICD–
9–CM code at the September 27–28,
2007 Committee meeting. Therefore,
there were no new ICD–9–CM codes
implemented on April 1, 2008.
We believe that this process captures
the intent of section 1886(d)(5)(K)(vii) of
the Act. This requirement was included
in the provision revising the standards
and process for recognizing new
technology under the IPPS. In addition,
the need for approval of new codes
outside the existing cycle (October 1)
arises most frequently and most acutely
where the new codes will identify new
technologies that are (or will be) under
consideration for new technology addon payments. Thus, we believe this
provision was intended to expedite data
collection through the assignment of
new ICD–9–CM codes for new
technologies seeking higher payments.
Current addendum and code title
information is published on the CMS
Web site at: www.cms.hhs.gov/
icd9ProviderDiagnosticCodes/
01_overview.asp#TopofPage.
Information on ICD–9–CM diagnosis
codes, along with the Official ICD–9–
CM Coding Guidelines, can be found on
the Web site at: www.cdc.gov/nchs/
icd9.htm. Information on new, revised,
and deleted ICD–9–CM codes is also
provided to the AHA for publication in
the Coding Clinic for ICD–9–CM. AHA
also distributes information to
publishers and software vendors.
CMS also sends copies of all ICD–9–
CM coding changes to its contractors for
use in updating their systems and
providing education to providers.
These same means of disseminating
information on new, revised, and
deleted ICD–9–CM codes will be used to
notify providers, publishers, software
vendors, contractors, and others of any
changes to the ICD–9–CM codes that are
implemented in April. The code titles
are adopted as part of the ICD–9–CM
Coordination and Maintenance
Committee process. Thus, although we
publish the code titles in the IPPS
proposed and final rules, they are not
subject to comment in the proposed or
final rules. We will continue to publish
the October code updates in this manner
within the IPPS proposed and final
rules. For codes that are implemented in
April, we will assign the new procedure
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code to the same DRG in which its
predecessor code was assigned so there
will be no DRG impact as far as DRG
assignment. Any midyear coding
updates will be available through the
Web sites indicated above and through
the Coding Clinic for ICD–9–CM.
Publishers and software vendors
currently obtain code changes through
these sources in order to update their
code books and software systems. We
will strive to have the April 1 updates
available through these Web sites 5
months prior to implementation (that is,
early November of the previous year), as
is the case for the October 1 updates.
H. Recalibration of MS–DRG Weights
In section II.E. of the preamble of this
proposed rule, we state that we are
proposing to fully implement the costbased DRG relative weights for FY 2009,
which is the third year in the 3-year
transition period to calculate the
relative weights at 100 percent based on
costs. In the FY 2008 IPPS final rule
with comment period (72 FR 47267), as
recommended by RTI, for FY 2008, we
added two new CCRs for a total of 15
CCRs: one for ‘‘Emergency Room’’ and
one for ‘‘Blood and Blood Products,’’
both of which can be derived directly
from the Medicare cost report.
In developing the FY 2009 proposed
system of weights, we used two data
sources: claims data and cost report
data. As in previous years, the claims
data source is the MedPAR file. This file
is based on fully coded diagnostic and
procedure data for all Medicare
inpatient hospital bills. The FY 2007
MedPAR data used in this proposed rule
include discharges occurring on October
1, 2006, through September 30, 2007,
based on bills received by CMS through
December 2007, from all hospitals
subject to the IPPS and short-term, acute
care hospitals in Maryland (which are
under a waiver from the IPPS under
section 1814(b)(3) of the Act). The FY
2007 MedPAR file used in calculating
the relative weights includes data for
approximately 11,433,806 Medicare
discharges from IPPS providers.
Discharges for Medicare beneficiaries
enrolled in a Medicare Advantage
managed care plan are excluded from
this analysis. The data exclude CAHs,
including hospitals that subsequently
became CAHs after the period from
which the data were taken. The second
data source used in the cost-based
relative weighting methodology is the
FY 2006 Medicare cost report data files
from HCRIS (that is, cost reports
beginning on or after October 1, 2005,
and before October 1, 2006), which
represents the most recent full set of
cost report data available. We used the
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December 31, 2007 update of the HCRIS
cost report files for FY 2006 in setting
the relative cost-based weights.
The methodology we used to calculate
the DRG cost-based relative weights
from the FY 2007 MedPAR claims data
and FY 2006 Medicare cost report data
is as follows:
• To the extent possible, all the
claims were regrouped using the
proposed FY 2009 MS–DRG
classifications discussed in sections II.B.
and G. of the preamble of this proposed
rule.
• The transplant cases that were used
to establish the relative weights for heart
and heart-lung, liver and/or intestinal,
and lung transplants (MS–DRGs 001,
002, 005, 006, and 007, respectively)
were limited to those Medicareapproved transplant centers that have
cases in the FY 2007 MedPAR file.
(Medicare coverage for heart, heart-lung,
liver and/or intestinal, and lung
transplants is limited to those facilities
that have received approval from CMS
as transplant centers.)
• Organ acquisition costs for kidney,
heart, heart-lung, liver, lung, pancreas,
and intestinal (or multivisceral organs)
transplants continue to be paid on a
reasonable cost basis. Because these
acquisition costs are paid separately
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from the prospective payment rate, it is
necessary to subtract the acquisition
charges from the total charges on each
transplant bill that showed acquisition
charges before computing the average
cost for each DRG and before
eliminating statistical outliers.
• Claims with total charges or total
length of stay less than or equal to zero
were deleted. Claims that had an
amount in the total charge field that
differed by more than $10.00 from the
sum of the routine day charges,
intensive care charges, pharmacy
charges, special equipment charges,
therapy services charges, operating
room charges, cardiology charges,
laboratory charges, radiology charges,
other service charges, labor and delivery
charges, inhalation therapy charges,
emergency room charges, blood charges,
and anesthesia charges were also
deleted.
• At least 96.1 percent of the
providers in the MedPAR file had
charges for 10 of the 15 cost centers.
Claims for providers that did not have
charges greater than zero for at least 10
of the 15 cost centers were deleted.
• Statistical outliers were eliminated
by removing all cases that were beyond
3.0 standard deviations from the mean
of the log distribution of both the total
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charges per case and the total charges
per day for each DRG.
Once the MedPAR data were trimmed
and the statistical outliers were
removed, the charges for each of the 15
cost groups for each claim were
standardized to remove the effects of
differences in area wage levels, IME and
DSH payments, and for hospitals in
Alaska and Hawaii, the applicable costof-living adjustment. Because hospital
charges include charges for both
operating and capital costs, we
standardized total charges to remove the
effects of differences in geographic
adjustment factors, cost-of-living
adjustments, DSH payments, and IME
adjustments under the capital IPPS as
well. Charges were then summed by
DRG for each of the 15 cost groups so
that each DRG had 15 standardized
charge totals. These charges were then
adjusted to cost by applying the national
average CCRs developed from the FY
2006 cost report data.
The 15 cost centers that we used in
the relative weight calculation are
shown in the following table. The table
shows the lines on the cost report and
the corresponding revenue codes that
we used to create the 15 national cost
center CCRs.
BILLING CODE 4120–01–P
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BILLING CODE 4120–01–C
We developed the national average
CCRs as follows:
Taking the FY 2006 cost report data,
we removed CAHs, Indian Health
Service hospitals, all-inclusive rate
hospitals, and cost reports that
represented time periods of less than 1
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year (365 days). We included hospitals
located in Maryland as we are including
their charges in our claims database. We
then created CCRs for each provider for
each cost center (see prior table for line
items used in the calculations) and
removed any CCRs that were greater
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than 10 or less than 0.01. We
normalized the departmental CCRs by
dividing the CCR for each department
by the total CCR for the hospital for the
purpose of trimming the data. We then
took the logs of the normalized cost
center CCRs and removed any cost
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center CCRs where the log of the cost
center CCR was greater or less than the
mean log plus/minus 3 times the
standard deviation for the log of that
cost center CCR. Once the cost report
data were trimmed, we calculated a
Medicare-specific CCR. The Medicarespecific CCR was determined by taking
the Medicare charges for each line item
from Worksheet D–4 and deriving the
Medicare-specific costs by applying the
hospital-specific departmental CCRs to
the Medicare-specific charges for each
line item from Worksheet D–4. Once
each hospital’s Medicare-specific costs
were established, we summed the total
Medicare-specific costs and divided by
the sum of the total Medicare-specific
charges to produce national average,
charge-weighted CCRs.
After we multiplied the total charges
for each DRG in each of the 15 cost
centers by the corresponding national
average CCR, we summed the 15 ‘‘costs’’
across each DRG to produce a total
standardized cost for the DRG. The
average standardized cost for each DRG
was then computed as the total
standardized cost for the DRG divided
by the transfer-adjusted case count for
the DRG. The average cost for each DRG
was then divided by the national
average standardized cost per case to
determine the relative weight.
The new cost-based relative weights
were then normalized by an adjustment
factor of 1.50612 so that the average case
weight after recalibration was equal to
the average case weight before
recalibration. The normalization
adjustment is intended to ensure that
recalibration by itself neither increases
nor decreases total payments under the
IPPS, as required by section
1886(d)(4)(C)(iii) of the Act.
The 15 proposed national average
CCRs for FY 2009 are as follows:
contain fewer than 10 cases. Under the
MS–DRGs, we have fewer low-volume
Routine Days ..................................
0.527 DRGs than under the CMS DRGs
Intensive Days ................................
0.476 because we no longer have separate
Drugs ..............................................
0.205
DRGs for patients age 0 to 17 years.
Supplies & Equipment ....................
0.341
Therapy Services ............................
0.419 With the exception of newborns, we
Laboratory .......................................
0.166 previously separated some DRGs based
Operating Room .............................
0.293 on whether the patient was age 0 to 17
Cardiology .......................................
0.186 years or age 17 years and older. Other
Radiology ........................................
0.171 than the age split, cases grouping to
Emergency Room ...........................
0.291 these DRGs are identical. The DRGs for
Blood and Blood Products ..............
0.449
Other Services ................................
0.419 patients age 0 to 17 years generally have
Labor & Delivery .............................
0.482 very low volumes because children are
Inhalation Therapy ..........................
0.198 typically ineligible for Medicare. In the
Anesthesia ......................................
0.150 past, we have found that the low
volume of cases for the pediatric DRGs
As we explained in section II.E. of the could lead to significant year-to-year
preamble of this proposed rule, we are
instability in their relative weights.
proposing to complete our 2-year
Although we have always encouraged
transition to the MS–DRGs. For FY
non-Medicare payers to develop weights
2008, the first year of the transition, 50
applicable to their own patient
percent of the relative weight for an
populations, we have heard frequent
MS–DRG was based on the two-thirds
complaints from providers about the use
cost-based weight/one-third chargeof the Medicare relative weights in the
based weight calculated using FY 2006
pediatric population. We believe that
MedPAR data grouped to the Version
eliminating this age split in the MS–
24.0 (FY 2007) DRGs. The remaining 50 DRGs will provide more stable payment
percent of the FY 2008 relative weight
for pediatric cases by determining their
for an MS–DRG was based on the twopayment using adult cases that are
thirds cost-based weight/one-third
much higher in total volume. All of the
charge-based weight calculated using
low-volume MS–DRGs listed below are
FY 2006 MedPAR grouped to the
Version 25.0 (FY 2008) MS–DRGs. In FY for newborns. Newborns are unique and
require separate DRGs that are not
2009, we are proposing that the relative
mirrored in the adult population.
weights will be based on 100 percent
Therefore, it remains necessary to retain
cost weights computed using the
separate DRGs for newborns. In FY
Version 26.0 (FY 2009) MS–DRGs.
2009, because we do not have sufficient
When we recalibrated the DRG
MedPAR data to set accurate and stable
weights for previous years, we set a
cost weights for these low-volume MS–
threshold of 10 cases as the minimum
DRGs, we are proposing to compute
number of cases required to compute a
weights for the low-volume MS–DRGs
reasonable weight. We are proposing to
by adjusting their FY 2008 weights by
use that same case threshold in
the percentage change in the average
recalibrating the MS–DRG weights for
FY 2009. Using the FY 2007 MedPAR
weight of the cases in other MS–DRGs.
data set, there are 8 MS–DRGs that
The crosswalk table is shown below:
Group
CCR
Low-volume
MS–DRG
MS-DRG title
768 ................
Vaginal Delivery with O.R. Procedure Except Sterilization and/
or D&C.
Neonates, Died or Transferred to Another Acute Care Facility
789 ................
Crosswalk to MS–DRG
791 ................
Extreme Immaturity or Respiratory Distress Syndrome,
Neonate.
Prematurity with Major Problems ................................................
792 ................
Prematurity without Major Problems ...........................................
793 ................
Full-Term Neonate with Major Problems ....................................
794 ................
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790 ................
Neonate with Other Significant Problems ...................................
795 ................
Normal Newborn .........................................................................
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FY 2008 FR weight (adjusted by percent
weight of the cases in other MS–DRGs).
FY 2008 FR weight (adjusted by percent
weight of the cases in other MS–DRGs).
FY 2008 FR weight (adjusted by percent
weight of the cases in other MS–DRGs).
FY 2008 FR weight (adjusted by percent
weight of the cases in other MS–DRGs).
FY 2008 FR weight (adjusted by percent
weight of the cases in other MS–DRGs).
FY 2008 FR weight (adjusted by percent
weight of the cases in other MS–DRGs).
FY 2008 FR weight (adjusted by percent
weight of the cases in other MS–DRGs).
FY 2008 FR weight (adjusted by percent
weight of the cases in other MS–DRGs).
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I. Proposed Medicare Severity LongTerm Care (MS–LTC–DRG)
Reclassifications and Relative Weights
for LTCHs for FY 2009
1. Background
Section 123 of the BBRA requires that
the Secretary implement a PPS for
LTCHs (that is, a per discharge system
with a diagnosis-related group (DRG)based patient classification system
reflecting the differences in patient
resources and costs). Section 307(b)(1)
of the BIPA modified the requirements
of section 123 of the BBRA by requiring
that the Secretary examine ‘‘the
feasibility and the impact of basing
payment under such a system [the longterm care hospital (LTCH) PPS] on the
use of existing (or refined) hospital
DRGs that have been modified to
account for different resource use of
LTCH patients, as well as the use of the
most recently available hospital
discharge data.’’
When the LTCH PPS was
implemented for cost reporting periods
beginning on or after October 1, 2002,
we adopted the same DRG patient
classification system (that is, the CMS
DRGs) that was utilized at that time
under the IPPS. As a component of the
LTCH PPS, we refer to the patient
classification system as the ‘‘long-term
care diagnosis-related groups (LTC–
DRGs).’’ As discussed in greater detail
below, although the patient
classification system used under both
the LTCH PPS and the IPPS are the
same, the relative weights are different.
The established relative weight
methodology and data used under the
LTCH PPS result in LTC–DRG relative
weights that reflect ‘‘the differences in
patient resource use * * *’’ of LTCH
patients (section 123(a)(1) of the BBRA
(Pub. L. 106–113). As part of our efforts
to better recognize severity of illness
among patients, in the FY 2008 IPPS
final rule with comment period (72 FR
47130), the MS–DRGs and the Medicare
severity long-term care diagnosis related
groups (MS–LTC–DRGs) were adopted
for the IPPS and the LTCH PPS,
respectively, effective October 1, 2007
(FY 2008). For a full description of the
development and implementation of the
MS–DRGs and MS–LTC–DRGs, we refer
readers to the FY 2008 IPPS final rule
with comment period (72 FR 47141
through 47175 and 47277 through
47299). (We note that, in that same final
rule, we revised the regulations at
§ 412.503 to specify that for LTCH
discharges occurring on or after October
1, 2007, when applying the provisions
of 42 CFR Part 412, Subpart O
applicable to LTCHs for policy
descriptions and payment calculations,
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all references to LTC–DRGs would be
considered a reference to MS–LTC–
DRGs. For the remainder of this section,
we present the discussion in terms of
the current MS–LTC–DRG patient
classification unless specifically
referring to the previous LTC–DRG
patient classification system (that was in
effect before October 1, 2007).) We
believe the MS–DRGs (and by extension,
the MS–LTC–DRGs) represent a
substantial improvement over the
previous CMS DRGs in their ability to
differentiate cases based on severity of
illness and resource consumption.
The MS–DRGs represent an increase
in the number of DRGs by 207 (that is,
from 538 to 745) (72 FR 47171). In
addition to improving the DRG system’s
recognition of severity of illness, we
believe the MS–DRGs are responsive to
the public comments that were made on
the FY 2007 IPPS proposed rule with
respect to how we should undertake
further DRG reform. The MS–DRGs use
the CMS DRGs as the starting point for
revising the DRG system to better
recognize resource complexity and
severity of illness. We have generally
retained all of the refinements and
improvements that have been made to
the base DRGs over the years that
recognize the significant advancements
in medical technology and changes to
medical practice.
Consistent with section 123 of the
BBRA as amended by section 307(b)(1)
of the BIPA and § 412.515, we use
information derived from LTCH PPS
patient records to classify LTCH
discharges into distinct MS–LTC–DRGs
based on clinical characteristics and
estimated resource needs. We then
assign an appropriate weight to the MS–
LTC–DRGs to account for the difference
in resource use by patients exhibiting
the case complexity and multiple
medical problems characteristic of
LTCHs.
Generally, under the LTCH PPS, a
Medicare payment is made at a
predetermined specific rate for each
discharge; and that payment varies by
the MS–LTC–DRG to which a
beneficiary’s stay is assigned. Cases are
classified into MS–LTC–DRGs for
payment based on the following six data
elements:
• Principal diagnosis.
• Up to eight additional diagnoses.
• Up to six procedures performed.
• Age.
• Sex.
• Discharge status of the patient.
Upon the discharge of the patient
from a LTCH, the LTCH must assign
appropriate diagnosis and procedure
codes from the most current version of
the International Classification of
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Diseases, Ninth Revision, Clinical
Modification (ICD–9–CM). HIPAA
Transactions and Code Sets Standards
regulations at 45 CFR Parts 160 and 162
require that no later than October 16,
2003, all covered entities must comply
with the applicable requirements of
Subparts A and I through R of Part 162.
Among other requirements, those
provisions direct covered entities to use
the ASC X12N 837 Health Care Claim:
Institutional, Volumes 1 and 2, Version
4010, and the applicable standard
medical data code sets for the
institutional health care claim or
equivalent encounter information
transaction (see 45 CFR 162.1002 and 45
CFR 162.1102). For additional
information on the ICD–9–CM Coding
System, we refer readers to the FY 2008
IPPS final rule with comment period (72
FR 47241 through 47243 and 47277
through 47281). We also refer readers to
the detailed discussion on correct
coding practices in the August 30, 2002
LTCH PPS final rule (67 FR 55981
through 55983). Additional coding
instructions and examples are published
in the Coding Clinic for ICD–9–CM, a
product of the American Hospital
Association.
Medicare contractors (that is, fiscal
intermediaries or MACs) enter the
clinical and demographic information
into their claims processing systems and
subject this information to a series of
automated screening processes called
the Medicare Code Editor (MCE). These
screens are designed to identify cases
that require further review before
assignment into a MS–LTC–DRG can be
made. During this process, the following
types of cases are selected for further
development:
• Cases that are improperly coded.
(For example, diagnoses are shown that
are inappropriate, given the sex of the
patient. Code 68.69 (Other and
unspecified radical abdominal
hysterectomy) would be an
inappropriate code for a male.)
• Cases including surgical procedures
not covered under Medicare. (For
example, organ transplant in a
nonapproved transplant center.)
• Cases requiring more information.
(For example, ICD–9–CM codes are
required to be entered at their highest
level of specificity. There are valid 3digit, 4-digit, and 5-digit codes. That is,
code 262 (Other severe protein-calorie
malnutrition) contains all appropriate
digits, but if it is reported with either
fewer or more than 3 digits, the claim
will be rejected by the MCE as invalid.)
After screening through the MCE,
each claim is classified into the
appropriate MS–LTC–DRG by the
Medicare LTCH GROUPER software.
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The Medicare GROUPER software,
which is used under the LTCH PPS, is
specialized computer software, and is
the same GROUPER software program
used under the IPPS. The GROUPER
software was developed as a means of
classifying each case into a MS–LTC–
DRG on the basis of diagnosis and
procedure codes and other demographic
information (age, sex, and discharge
status). Following the MS–LTC–DRG
assignment, the Medicare contractor
determines the prospective payment
amount by using the Medicare PRICER
program, which accounts for hospitalspecific adjustments. Under the LTCH
PPS, we provide an opportunity for the
LTCH to review the MS–LTC–DRG
assignments made by the Medicare
contractor and to submit additional
information within a specified
timeframe as specified in § 412.513(c).
The GROUPER software is used both
to classify past cases to measure relative
hospital resource consumption to
establish the DRG weights and to
classify current cases for purposes of
determining payment. The records for
all Medicare hospital inpatient
discharges are maintained in the
MedPAR file. The data in this file are
used to evaluate possible MS–DRG
classification changes and to recalibrate
the MS–DRG and MS–LTC–DRG relative
weights during our annual update under
both the IPPS (§ 412.60(e)) and the
LTCH PPS (§ 412.517), respectively.
In the June 6, 2003 LTCH PPS final
rule (68 FR 34122), we changed the
LTCH PPS annual payment rate update
cycle to be effective July 1 through June
30 instead of October 1 through
September 30. In addition, because the
patient classification system utilized
under the LTCH PPS uses the same
DRGs as those used under the IPPS for
acute care hospitals, in that same final
rule, we explained that the annual
update of the LTC–DRG classifications
and relative weights will continue to
remain linked to the annual
reclassification and recalibration of the
DRGs used under the IPPS. Therefore,
we specified that we will continue to
update the LTC–DRG classifications and
relative weights to be effective for
discharges occurring on or after October
1 through September 30 each year. We
further stated that we will publish the
annual proposed and final update of the
LTC–DRGs in same notice as the
proposed and final update for the IPPS
(69 FR 34125).
In the RY 2009 LTCH PPS proposed
rule (73 FR 5351–5352), due to
administrative considerations as well as
in response to numerous comments
urging CMS to establish one rulemaking
cycle that would encompass the update
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of the LTCH PPS payment rates
(currently updated on a rate year basis,
effective July 1) as well as the
development of the LTC–DRG weights
(currently updated on a fiscal year basis,
effective October 1), we proposed to
amend the regulations at § 412.535 in
order to consolidate the rate year and
fiscal year rulemaking cycles.
Specifically, we proposed that the
annual update of the LTCH PPS
payment rates (and description of the
methodology and data used to calculate
these payment rates) and the annual
update of the MS–LTC–DRG
classifications and associated weighting
factors for LTCHs would be effective on
October 1 each Federal fiscal year. In
order to revise the payment rate update
(currently on a rate year cycle of July 1
through June 30) to an October 1
through September 30 cycle, we
proposed to extend the 2009 rate period
to September 30, 2009, so that RY 2009
would be 15 months. This proposed 15month rate period would extend from
July 1, 2008, through September 30,
2009. We believe that extending RY
2009 by 3 months (July, August, and
September) would provide for a smooth
transition to a consolidated annual
update for both the LTCH PPS payment
rates and the LTCH PPS MS–LTC–DRG
classifications and weighting factors.
(We believe that proposing to shorten
the 2009 rate year period to an October
1 through September 30 period so that
RY 2009 would only be 3 months (that
is, July 1, 2008 through September 30,
2008) would exacerbate the current
time-consuming, biannual update
process by resulting in two payment rate
changes within a very short period of
time.) Consequently, under the proposal
to extend RY 2009 to a 15-month rate
period, after September 30, 2009, when
the RY 2009 cycle ends, the LTCH PPS
payment rates and other policy changes
would subsequently be updated on an
October 1 through September 30 cycle
in conjunction with the annual update
to the MS–LTC–DRG classifications and
relative weights. Accordingly, the next
update to the LTCH PPS payment rates,
after the proposed 15-month RY 2009,
would begin October 1, 2009, coinciding
with the 2010 Federal fiscal year.
In the past, the annual update to the
DRGs used under the IPPS has been
based on the annual revisions to the
ICD–9–CM codes and was effective each
October 1. As discussed in the RY 2009
LTCH PPS proposed rule (73 FR 5348–
5349), with the implementation of
section 503(a) of Pub. L. 108–173, there
is the possibility that one feature of the
GROUPER software program may be
updated twice during a Federal fiscal
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year (October 1 and April 1) as required
by the statute for the IPPS. Section
503(a) of Pub. L. 108–173 amended
section 1886(d)(5)(K) of the Act by
adding a new clause (vii) which states
that ‘‘the Secretary shall provide for the
addition of new diagnosis and
procedure codes in [sic] April 1 of each
year, but the addition of such codes
shall not require the Secretary to adjust
the payment (or diagnosis-related group
classification) * * * until the fiscal year
that begins after such date.’’ This
requirement improves the recognition of
new technologies under the IPPS by
accounting for those ICD–9–CM codes
in the MedPAR claims data earlier than
the agency had accounted for new
technology in the past. In implementing
the statutory change, the agency has
provided that ICD–9–CM diagnosis and
procedure codes for new medical
technology may be created and assigned
to existing DRGs in the middle of the
Federal fiscal year, on April 1. However,
this policy change will not impact the
DRG relative weights in effect for that
year, which will continue to be updated
only once a year (October 1). The use of
the ICD–9–CM code set is also
compliant with the current
requirements of the Transactions and
Code Sets Standards regulations at 45
CFR Parts 160 and 162, promulgated in
accordance with HIPAA.
As noted above, the patient
classification system used under the
LTCH PPS is the same patient
classification system that is used under
the IPPS. Therefore, the ICD–9–CM
codes currently used under both the
IPPS and the LTCH PPS have the
potential of being updated twice a year.
This requirement is included as part of
the amendments to the Act relating to
recognition of new medical technology
under the IPPS.
Because we do not publish a midyear
IPPS rule, any April 1 ICD–9–CM
coding update will not be published in
the Federal Register. Rather, we will
assign any new diagnosis or procedure
codes to the same DRG in which its
predecessor code was assigned, so that
there will be no impact on the DRG
assignments (as also discussed in
section II.G.11. of the preamble of this
proposed rule). Any coding updates will
be available through the Web sites
provided in section II.G.11. of the
preamble of this proposed rule and
through the Coding Clinic for ICD–9–
CM. Publishers and software vendors
currently obtain code changes through
these sources in order to update their
code books and software system. If new
codes are implemented on April 1,
revised code books and software
systems, including the GROUPER
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software program, will be necessary
because the most current ICD–9–CM
codes must be reported. Therefore, for
purposes of the LTCH PPS, because
each ICD–9–CM code must be included
in the GROUPER algorithm to classify
each case under the correct LTCH PPS,
the GROUPER software program used
under the LTCH PPS would need to be
revised to accommodate any new codes.
In implementing section 503(a) of
Pub. L. 108–173, there will only be an
April 1 update if new technology
diagnosis and procedure code revisions
are requested and approved. We note
that any new codes created for April 1
implementation will be limited to those
primarily needed to describe new
technologies and medical services.
However, we reiterate that the process
of discussing updates to the ICD–9–CM
is an open process through the ICD–9–
CM Coordination and Maintenance
Committee. Requestors will be given the
opportunity to present the merits for a
new code and to make a clear and
convincing case for the need to update
ICD–9–CM codes for purposes of the
IPPS new technology add-on payment
process through an April 1 update (as
also discussed in section II.G.11. of the
preamble of this proposed rule).
At the September 27, 2007 ICD–9–CM
Coordination and Maintenance
Committee meeting, there were no
requests for an April 1, 2008
implementation of ICD–9–CM codes.
Therefore, the next update to the ICD–
9–CM coding system will occur on
October 1, 2008 (FY 2009). Because
there were no coding changes suggested
for an April 1, 2008 update, the ICD–9–
CM coding set implemented on October
1, 2008, will continue through
September 30, 2009 (FY 2009). The
update to the ICD–9–CM coding system
for FY 2009 is discussed in section
II.G.11. of the preamble of this proposed
rule. Accordingly, in this proposed rule,
as discussed in greater detail below, we
are proposing to modify and revise the
MS–LTC–DRG classifications and
relative weights to be effective October
1, 2008 through September 30, 2009 (FY
2009). As discussed in greater detail
below, the MS–LTC–DRGs for FY 2009
in this proposed rule are the same as the
MS–DRGs proposed for the IPPS for FY
2009 (GROUPER Version 26.0)
discussed in section II.B. of the
preamble to this proposed rule.
2. Proposed Changes in the MS–LTC–
DRG Classifications
a. Background
As discussed earlier, section 123 of
Pub. L. 106–113 specifically requires
that the agency implement a PPS for
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LTCHs that is a per discharge system
with a DRG-based patient classification
system reflecting the differences in
patient resources and costs in LTCHs.
Section 307(b)(1) of Pub. L. 106–554
modified the requirements of section
123 of Pub. L. 106–113 by specifically
requiring that the Secretary examine
‘‘the feasibility and the impact of basing
payment under such a system [the
LTCH PPS] on the use of existing (or
refined) hospital diagnosis-related
groups (DRGs) that have been modified
to account for different resource use of
long-term care hospital patients as well
as the use of the most recently available
hospital discharge data.’’
Consistent with section 123 of Pub. L.
106–113 as amended by section
307(b)(1) of Pub. L. 106–554 and
§ 412.515 of our existing regulations, the
LTCH PPS uses information from LTCH
patient records to classify patient cases
into distinct LTC–DRGs based on
clinical characteristics and expected
resource needs. As described in section
II.D. of the preamble of this proposed
rule, for FY 2008, we adopted MS–DRGs
under the IPPS because we believe that
this system results in a significant
improvement in the DRG system’s
recognition of severity of illness and
resource usage. We stated that we
believe these improvements in the DRG
system are equally applicable to the
LTCH PPS. The changes we are
proposing to make for the FY 2009 IPPS
are reflected in the proposed FY 2009
GROUPER, Version 26.0, that would be
effective for discharges occurring on or
after October 1, 2008 through September
30, 2009.
Consistent with our historical practice
of having LTC–DRGs correspond to the
DRGs applicable under the IPPS, under
the broad authority of section 123(a) of
Pub. L. 106–113, as modified by section
307(b) of Pub. L. 106–554, under the
LTCH PPS for FY 2008, we adopted the
use of MS–LTC–DRGs, which
correspond to the MS–DRGs we adopted
under the IPPS. In addition, as stated
above, we are proposing to use the FY
2009 GROUPER Version 26.0 to classify
cases effective for LTCH discharges
occurring on or after October 1, 2008,
through September 30, 2009. The
changes to the MS–DRG classification
system that we are proposing to use
under the IPPS for FY 2009 (GROUPER
Version 26.0) are discussed in section
II.B. of the preamble to this proposed
rule.
Under the LTCH PPS, as described in
greater detail below, we determine
relative weights for each of the MS–
LTC–DRGs to account for the difference
in resource use by patients exhibiting
the case complexity and multiple
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medical problems characteristic of
LTCH patients. (Unless otherwise noted
in this proposed rule, our MS–LTC–
DRG analysis is based on LTCH data
from the December 2007 update of the
FY 2007 MedPAR file, which contains
hospital bills received through
December 31, 2007, for discharges
occurring in FY 2007.)
LTCHs do not typically treat the full
range of diagnoses as do acute care
hospitals. Therefore, as we discussed in
the August 30, 2002 LTCH PPS final
rule (67 FR 55985), which implemented
the LTCH PPS, and the FY 2008 IPPS
final rule with comment period (72 FR
47283), we use low-volume quintiles in
determining the DRG relative weights
for DRGs with less than 25 LTCH cases
(low-volume MS–LTC–DRGs).
Specifically, we group those lowvolume DRGs into 5 quintiles based on
average charges per discharge. (A listing
of the composition of low-volume
quintiles for the FY 2008 MS–LTC–
DRGs (based on FY 2006 MedPAR data)
appears in section II.I.3. of the FY 2008
IPPS final rule with comment period (72
FR 47281 through 47288).) We also
adjust for cases in which the stay at the
LTCH is less than or equal to five-sixths
of the geometric average length of stay;
that is, short-stay outlier cases, as
discussed below in section II.I.4. of the
preamble of this proposed rule.
b. Patient Classifications Into MS–LTC–
DRGs
Generally, under the LTCH PPS,
Medicare payment is made at a
predetermined specific rate for each
discharge; that is, payment varies by the
DRG to which a beneficiary’s stay is
assigned. Just as cases have been
classified into the MS–DRGs for acute
care hospitals under the IPPS (section
II.B. of the preamble of this proposed
rule), cases have been classified into
MS–LTC–DRGs for payment under the
LTCH PPS based on the principal
diagnosis, up to eight additional
diagnoses, and up to six procedures
performed during the stay, as well as
demographic information about the
patient. The diagnosis and procedure
information is reported by the hospital
using the ICD–9–CM coding system.
Under the MS–DRGs for the IPPS and
the MS–LTC–DRGs for the LTCH PPS,
these factors will not change.
Section II.B. of the preamble of this
proposed rule discusses the
organization of the existing MS–DRGs,
which we are maintaining under the
MS–LTC–DRG system. As noted above,
the patient classification system for the
LTCH PPS is derived from the IPPS
DRGs and is similarly organized into 25
major diagnostic categories (MDCs).
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Most of these MDCs are based on a
particular organ system of the body and
the remainder involves multiple organ
systems (such as MDC 22, Burns).
Accordingly, the principal diagnosis
determines MDC assignment. Within
most MDCs, cases are then divided into
surgical DRGs and medical DRGs. Under
the MS–DRGs, some surgical and
medical DRGs are further defined for
severity purposes based on the presence
or absence of MCCs or CCs. The existing
MS–LTC–DRGs are similarly
categorized. (We refer readers to section
II.B. of the preamble of this proposed
rule for further discussion of surgical
DRGs and medical DRGs.)
Therefore, consistent with the MS–
DRGs, a base MS–LTC–DRG may be
subdivided according to three
alternatives. The first alternative
includes division of the DRG into one,
two, or three severity levels. The most
severe level has cases with at least one
code that is a major CC, referred to as
‘‘with MCC’’. The next lower severity
level contains cases with at least one
CC, referred to as ‘‘with CC’’. Those
DRGs without an MCC or a CC are
referred to as ‘‘without CC/MCC’’. When
data do not support the creation of three
severity levels, the base DRG is divided
into either two levels or the base is not
subdivided.
The two-level subdivisions consist of
one of the following subdivisions: ‘‘with
CC/MCC’’ or ‘‘without CC/MCC.’’ In this
type of subdivision, cases with at least
one code that is on the CC or MCC list
are assigned to the ‘‘ CC/MCC’’ DRG.
Cases without a CC or an MCC are
assigned to the ‘‘without CC/MCC’’
DRG.
The other type of two-level
subdivision is as follows: ‘‘with MCC’’
and ‘‘without MCC.’’ In this type of
subdivision, cases with at least one code
that is on the MCC list are assigned to
the ‘‘with MCC’’ DRG. Cases that do not
have an MCC are assigned to the
‘‘without MCC’’ DRG. This type of
subdivision could include cases with a
CC code, but no MCC.
and access to adequate care for those
Medicare patients whose care is more
costly. To accomplish these goals, we
have annually adjusted the LTCH PPS
standard Federal prospective payment
system rate by the applicable relative
weight in determining payment to
LTCHs for each case. (As we have noted
above, in last year’s final rule, we
adopted the MS–LTC–DRGs for the
LTCH PPS beginning in FY 2008.
However, this change in the patient
classification system does not affect the
basic principles of the development of
relative weights under a DRG-based
prospective payment system.
Although the adoption of the MS–
LTC–DRGs resulted in some
modifications of existing procedures for
assigning weights in cases of zero
volume and/or nonmonotonicity, as
discussed in the FY 2008 IPPS final rule
with comment period (72 FR 47289
through 47295) and discussed in detail
in the following sections, the basic
methodology for developing the
proposed FY 2009 MS–LTC–DRG
relative weights in this proposed rule
continue to be determined in
accordance with the general
methodology established in the August
30, 2002 LTCH PPS final rule (67 FR
55989 through 55991). Under the LTCH
PPS, relative weights for each MS–LTC–
DRG are a primary element used to
account for the variations in cost per
discharge and resource utilization
among the payment groups (§ 412.515).
To ensure that Medicare patients
classified to each MS–LTC–DRG have
access to an appropriate level of services
and to encourage efficiency, we
calculate a relative weight for each MS–
LTC–DRG that represents the resources
needed by an average inpatient LTCH
case in that MS–LTC–DRG. For
example, cases in an MS–LTC–DRG
with a relative weight of 2 will, on
average, cost twice as much to treat as
cases in an MS–LTC–DRG with a weight
of 1.
3. Development of the Proposed FY
2009 MS–LTC–DRG Relative Weights
To calculate the proposed MS–LTC–
DRG relative weights for FY 2009, we
obtained total Medicare allowable
charges from FY 2007 Medicare LTCH
bill data from the December 2007
update of the MedPAR file, which are
the best available data at this time, and
we used the proposed Version 26.0 of
the CMS GROUPER that is also
proposed for use under the IPPS to
classify cases for FY 2009. We also are
proposing that if more recent data are
available, we will use those data and the
finalized Version 26.0 of the CMS
GROUPER in establishing the FY 2009
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a. General Overview of Development of
the MS–LTC–DRG Relative Weights
As we stated in the August 30, 2002
LTCH PPS final rule (67 FR 55981), one
of the primary goals for the
implementation of the LTCH PPS is to
pay each LTCH an appropriate amount
for the efficient delivery of medical care
to Medicare patients. The system must
be able to account adequately for each
LTCH’s case-mix in order to ensure both
fair distribution of Medicare payments
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b. Data
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23593
MS–LTC–DRG relative weights in the
final rule.
Consistent with our historical
methodology, we have excluded the
data from LTCHs that are all-inclusive
rate providers and LTCHs that are
reimbursed in accordance with
demonstration projects authorized
under section 402(a) of Pub. L. 90–248
or section 222(a) of Pub. L. 92–603 (We
refer readers to the FY 2008 IPPS final
rule with comment period (72 FR
47282)). Therefore, in the development
of the proposed FY 2009 MS–LTC–DRG
relative weights in this proposed rule,
we have excluded the data of the 17 allinclusive rate providers and the 2
LTCHs that are paid in accordance with
demonstration projects that had claims
in the FY 2007 MedPAR file.
c. Hospital-Specific Relative Value
(HSRV) Methodology
By nature, LTCHs often specialize in
certain areas, such as ventilatordependent patients and rehabilitation
and wound care. Some case types
(DRGs) may be treated, to a large extent,
in hospitals that have, from a
perspective of charges, relatively high
(or low) charges. This nonarbitrary
distribution of cases with relatively high
(or low) charges in specific MS–LTC–
DRGs has the potential to
inappropriately distort the measure of
average charges. To account for the fact
that cases may not be randomly
distributed across LTCHs, we are
proposing to use a hospital-specific
relative value (HSRV) methodology to
calculate the MS–LTC–DRG relative
weights instead of the methodology
used to determine the MS–DRG relative
weights under the IPPS described in
section II.H. of the preamble of this
proposed rule. We believe this method
will remove this hospital-specific source
of bias in measuring LTCH average
charges. Specifically, we are proposing
to reduce the impact of the variation in
charges across providers on any
particular MS–LTC–DRG relative weight
by converting each LTCH’s charge for a
case to a relative value based on that
LTCH’s average charge.
Under the HSRV methodology, we
standardize charges for each LTCH by
converting its charges for each case to
hospital-specific relative charge values
and then adjusting those values for the
LTCH’s case-mix. The adjustment for
case-mix is needed to rescale the
hospital-specific relative charge values
(which, by definition, average 1.0 for
each LTCH). The average relative weight
for a LTCH is its case-mix, so it is
reasonable to scale each LTCH’s average
relative charge value by its case-mix. In
this way, each LTCH’s relative charge
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value is adjusted by its case-mix to an
average that reflects the complexity of
the cases it treats relative to the
complexity of the cases treated by all
other LTCHs (the average case-mix of all
LTCHs).
In accordance with the methodology
established in the August 30, 2002
LTCH PPS final rule (67 FR 55989
through 55991), we continue to
standardize charges for each case by
first dividing the adjusted charge for the
case (adjusted for short-stay outliers
under § 412.529 as described in section
II.I.4. (step 3) of the preamble of this
proposed rule) by the average adjusted
charge for all cases at the LTCH in
which the case was treated. Short-stay
outliers are cases with a length of stay
that is less than or equal to five-sixths
the average length of stay of the MS–
LTC–DRG (§ 412.529 and § 412.503).
The average adjusted charge reflects the
average intensity of the health care
services delivered by a particular LTCH
and the average cost level of that LTCH.
The resulting ratio is multiplied by that
LTCH’s case-mix index to determine the
standardized charge for the case.
Multiplying by the LTCH’s case-mix
index accounts for the fact that the same
relative charges are given greater weight
at a LTCH with higher average costs
than they would at a LTCH with low
average costs, which is needed to adjust
each LTCH’s relative charge value to
reflect its case-mix relative to the
average case-mix for all LTCHs. Because
we standardize charges in this manner,
we count charges for a Medicare patient
at a LTCH with high average charges as
less resource intensive than they would
be at a LTCH with low average charges.
For example, a $10,000 charge for a case
at a LTCH with an average adjusted
charge of $17,500 reflects a higher level
of relative resource use than a $10,000
charge for a case at a LTCH with the
same case-mix, but an average adjusted
charge of $35,000. We believe that the
adjusted charge of an individual case
more accurately reflects actual resource
use for an individual LTCH because the
variation in charges due to systematic
differences in the markup of charges
among LTCHs is taken into account.
d. Treatment of Severity Levels in
Developing Proposed Relative Weights
Under the proposed MS–LTC–DRGs,
for purposes of the proposed setting of
the relative weights, there would be
three different categories of DRGs based
on volume of cases within specific MS–
LTC–DRGs. MS–LTC–DRGs with at least
25 cases are each assigned a unique
relative weight; low-volume MS–LTC–
DRGs (that is, MS–LTC–DRGs that
contain between one and 24 cases
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annually) are grouped into quintiles
(described below) and assigned the
weight of the quintile. No-volume MS–
LTC–DRGs (that is, no cases in the
database were assigned to those MS–
LTC–DRGs) are crosswalked to other
MS–LTC–DRGs based on the clinical
similarities and assigned the relative
weight of the crosswalked MS–LTC–
DRG. (We provide in-depth discussions
of our proposed policy regarding weight
setting for low-volume MS–LTC–DRGs
in section II.I.3.e. of the preamble of this
proposed rule and for no-volume MS–
LTC–DRGs, under Step 5 in section
II.I.4. of the preamble of this proposed
rule.)
As described above, in response to the
need to account for severity and pay
appropriately for cases, we developed a
severity-adjusted patient classification
system which we adopted for both the
IPPS and the LTCH PPS in FY 2008. As
described in greater detail above, the
MS–LTC–DRG system can accommodate
three severity levels: ‘‘with MCC’’ (most
severe); ‘‘with CC,’’ and ‘‘without CC/
MCC’’ (the least severe) with each level
assigned an individual MS–LTC–DRG
number. In cases with two subdivisions,
the levels are either ‘‘with CC/MCC’’
and ‘‘without CC/MCC’’ or ‘‘with MCC’’
and ‘‘without MCC’’. For example,
under the MS–LTC–DRG system,
multiple sclerosis and cerebellar ataxia
with MCC is MS–LTC–DRG 58; multiple
sclerosis and cerebellar ataxia with CC
is MS–LTC–DRG 59; and multiple
sclerosis and cerebellar ataxia without
CC/MCC is MS–LTC–DRG 60. For
purposes of discussion in this section,
the term ‘‘base DRG’’ is used to refer to
the DRG category that encompasses all
levels of severity for that DRG. For
example, when referring to the entire
DRG category for multiple sclerosis and
cerebellar ataxia, which includes the
above three severity levels, we would
use the term ‘‘base-DRG.’’
As noted above, while the LTCH PPS
and the IPPS use the same patient
classification system, the methodology
that is used to set the DRG weights for
use in each payment system differs
because the overall volume of cases in
the LTCH PPS is much less than in the
IPPS. As a general rule, consistent with
the methodology we used when we
adopted the MS–LTC–DRGs in the FY
2008 IPPS final rule with comment
period (72 FR 47278 through 47281), we
are proposing to determine the FY 2009
relative weights for the MS–LTC–DRGs
using the following steps: (1) if an MS–
LTC–DRG has at least 25 cases, it is
assigned its own relative weight; (2) if
an MS–LTC–DRG has between 1 and 24
cases, it is assigned to a quintile for
which we will compute a relative
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weight; and (3) if an MS–LTC–DRG has
no cases, it is crosswalked to another
MS–LTC–DRG based upon clinical
similarities to assign an appropriate
relative weight (as described below in
detail in Step 5 of the Steps for
Determining the proposed FY 2009 MS–
LTC–DRG Relative Weights).
Furthermore, in determining the
proposed FY 2009 MS–LTC–DRG
relative weights, when necessary, we are
proposing to make adjustments to
account for nonmonotonicity, as
explained below.
Theoretically, cases under the MS–
LTC–DRG system that are more severe
require greater expenditure of medical
care resources and will result in higher
average charges. Therefore, in the three
severity levels, weights should increase
with severity, from lowest to highest. If
the weights do not increase (that is, if
based on the relative weight
methodology outlined above, the MS–
LTC–DRG with MCC would have a
lower relative weight than one with CC,
or the MS–LTC–DRG without CC/MCC
would have a higher relative weight
than either of the others), there is a
problem with monotonicity. Since the
start of the LTCH PPS for FY 2003 (67
FR 55990), we have adjusted the setting
of the LTC–DRG relative weights in
order to maintain monotonicity by
grouping both sets of cases together and
establishing a new relative weight for
both LTC–DRGs. We continue to believe
that utilizing nonmonotonic relative
weights to adjust Medicare payments
would result in inappropriate payments
because, in a nonmonotonic system,
cases that are more severe and require
greater expenditure of medical care
resources would be paid based on a
lower relative weight than cases that are
less severe and require lower resource
use. The procedure for dealing with
nonmonotonicity under the MS–LTC–
DRG classification system is discussed
in greater detail below in section II.I.4.
(Step 6) of the preamble of this
proposed rule.
e. Proposed Low-Volume MS–LTC–
DRGs
In order to account for MS–LTC–
DRGs with low volume (that is, with
fewer than 25 LTCH cases), consistent
with the methodology we established
when we implemented the LTCH PPS
(August 30, 2002; 67 FR 55984 through
55995), we group those ‘‘low-volume
MS–LTC–DRGs’’ (that is, MS–LTC–
DRGs that contained between 1 and 24
cases annually) into one of five
categories (quintiles) based on average
charges, for the purposes of determining
relative weights (72 FR 47283 through
47288). In determining the proposed FY
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2009 MS–LTC–DRG relative weights in
this proposed rule, we are proposing to
continue to employ this quintile
methodology for proposed low-volume
MS–LTC–DRGs. In addition, in cases
where the initial assignment of a lowvolume MS–LTC–DRG to quintiles
results in nonmonotonicity within a
base DRG, in order to ensure
appropriate Medicare payments,
consistent with our historical
methodology, we are proposing to make
adjustments to the treatment of lowvolume MS–LTC–DRGs to preserve
monotonicity, as discussed in detail
below in section II.I.4 (Step 6 of the
methodology for determining the
proposed FY 2009 MS–LTC–DRG
relative weights). In this proposed rule,
using LTCH cases from the December
2007 update of the FY 2007 MedPAR
file, we identified 290 MS–LTC–DRGs
that contained between 1 and 24 cases.
This list of proposed MS–LTC–DRGs
was then divided into one of the
proposed 5 low-volume quintiles, each
containing 58 MS–LTC–DRGs (290/5 =
58). We are proposing to make the
assignment of a low-volume MS–LTC–
DRG to a specific low-volume quintile
by sorting the proposed low-volume
MS–LTC–DRGs in ascending order by
average charge in accordance with our
established methodology. Specifically,
for this proposed rule, the 290 proposed
low-volume MS–LTC–DRGs are sorted
by ascending order by average charge
and assigned to a specific proposed lowvolume quintile (as described below).
After sorting the 290 proposed lowvolume MS–LTC–DRGs by average
charge in ascending order, we are
proposing to group the first fifth (1st
through 58th) of proposed low-volume
MS–LTC–DRGs (with the lowest average
charge) into Quintile 1. This process is
repeated through the remaining
proposed low-volume MS–LTC–DRGs
so that each of the 5 proposed lowvolume quintiles contains 58 proposed
MS–LTC–DRGs. The highest average
charge cases would be grouped into
Quintile 5. (We note that, consistent
with our historical methodology, if the
number of proposed low-volume MS–
LTC–DRGs had not been evenly
divisible by 5, we would have used the
average charge of the proposed lowvolume MS–LTC–DRG to determine
which proposed low-volume quintile
would have received the additional
proposed low-volume MS–LTC–DRG.)
Accordingly, in order to determine
the proposed relative weights for the
proposed MS–LTC–DRGs with lowvolume for FY 2009, we are proposing
to use the five low-volume quintiles
described above. The composition of
each of the proposed five low-volume
quintiles shown in the chart below was
used in determining the proposed MS–
LTC–DRG relative weights for FY 2009
(Table 11 of the Addendum of this
proposed rule). We would determine a
proposed relative weight and
(geometric) average length of stay for
each of the proposed five low-volume
quintiles using the methodology that we
are proposing to apply to the regular
MS–LTC–DRGs (25 or more cases), as
described in section II.I.4. of the
preamble of this proposed rule. We are
proposing to assign the same relative
weight and average length of stay to
each of the proposed low-volume MS–
LTC–DRGs that make up an individual
low-volume quintile. We note that, as
this system is dynamic, it is possible
that the number and specific type of
MS–LTC–DRGs with a low volume of
LTCH cases will vary in the future. We
use the best available claims data in the
MedPAR file to identify low-volume
MS–LTC–DRGs and to calculate the
relative weights based on our
methodology.
PROPOSED COMPOSITION OF LOW-VOLUME QUINTILES FOR FY 2009
Proposed
MS–LTC–DRG
(version 26.0)
Proposed MS–LTC–DRG description (version 26.0)
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PROPOSED QUINTILE 1
66 .........................................
67 .........................................
68 .........................................
69 .........................................
72 .........................................
79 .........................................
87 .........................................
89 .........................................
125 .......................................
135 .......................................
136 .......................................
148 .......................................
149 .......................................
159 .......................................
183 .......................................
184 .......................................
185 .......................................
201 .......................................
257 .......................................
261 .......................................
263 .......................................
304 .......................................
305 .......................................
311 .......................................
313 .......................................
382 .......................................
387 .......................................
437 .......................................
443 .......................................
468 .......................................
510 .......................................
537 .......................................
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Intracranial hemorrhage or cerebral infarction w/o CC/MCC.
Nonspecific cva & precerebral occlusion w/o infarct w MCC.
Nonspecific cva & precerebral occlusion w/o infarct w/o MCC.
Transient ischemia.
Nonspecific cerebrovascular disorders w/o CC/MCC.
Hypertensive encephalopathy w/o CC/MCC.
Traumatic stupor & coma, coma <1 hr w/o CC/MCC.
Concussion w CC.
Other disorders of the eye w/o MCC.
Sinus & mastoid procedures w CC/MCC.
Sinus & mastoid procedures w/o CC/MCC.**
Ear, nose, mouth & throat malignancy w/o CC/MCC.
Dysequilibrium.
Dental & Oral Diseases w/o CC/MCC.
Major chest trauma w MCC.
Major chest trauma w CC.
Major chest trauma w/o CC/MCC.
Pneumothorax w/o CC/MCC.
Upper limb & toe amputation for circ system disorders w/o CC/MCC.
Cardiac pacemaker revision except device replacement w CC.***
Vein ligation & stripping.
Hypertension w MCC.
Hypertension w/o MCC.
Angina pectoris.
Chest pain.
Complicated peptic ulcer w/o CC/MCC.
Inflammatory bowel disease w/o CC/MCC.
Malignancy of hepatobiliary system or pancreas w/o CC/MCC.
Disorders of liver except malig, cirr, alc hepa w/o CC/MCC.
Revision of hip or knee replacement w/o CC/MCC.
Shoulder, elbow or forearm proc, exc major joint proc w MCC.***
Sprains, strains, & dislocations of hip, pelvis & thigh w CC/MCC.
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30APP2
23596
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
PROPOSED COMPOSITION OF LOW-VOLUME QUINTILES FOR FY 2009—Continued
Proposed
MS–LTC–DRG
(version 26.0)
544
547
556
563
601
618
642
645
694
723
726
730
756
781
810
816
864
869
880
882
886
895
897
917
918
958
965
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
Proposed MS–LTC–DRG description (version 26.0)
Pathological fractures & musculoskelet & conn tiss malig w/o CC/MCC.
Connective tissue disorders w/o CC/MCC.
Signs & symptoms of musculoskeletal system & conn tissue w/o MCC.
Fx, sprn, strn & disl except femur, hip, pelvis & thigh w/o MCC.
Non-malignant breast disorders w/o CC/MCC.
Amputat of lower limb for endocrine, nutrit, & metabol dis w/o CC/MCC.
Inborn errors of metabolism
Endocrine disorders w/o CC/MCC.
Urinary stones w/o esw lithotripsy w/o MCC.
Malignancy, male reproductive system w CC.
Benign prostatic hypertrophy w/o MCC.
Other male reproductive system diagnoses w/o CC/MCC.
Malignancy, female reproductive system w/o CC/MCC.
Other antepartum diagnoses w medical complications.
Major hematol/immun diag exc sickle cell crisis & coagul w/o CC/MCC.
Reticuloendothelial & immunity disorders w/o CC/MCC.
Fever of unknown origin.
Other infectious & parasitic diseases diagnoses w/o CC/MCC.
Acute adjustment reaction & psychosocial dysfunction.
Neuroses except depressive.
Behavioral & developmental disorders.
Alcohol/drug abuse or dependence w rehabilitation therapy.
Alcohol/drug abuse or dependence w/o rehabilitation therapy w/o MCC.
Poisoning & toxic effects of drugs w MCC.
Poisoning & toxic effects of drugs w/o MCC.
Other O.R. procedures for multiple significant trauma w CC.
Other multiple significant trauma w/o CC/MCC.
jlentini on PROD1PC65 with PROPOSALS2
PROPOSED QUINTILE 2
59 .........................................
60 .........................................
75 .........................................
78 .........................................
83 .........................................
84 .........................................
99 .........................................
102 .......................................
103 .......................................
121 .......................................
122 .......................................
124 .......................................
153 .......................................
156 .......................................
157 .......................................
158 .......................................
182 .......................................
188 .......................................
203 .......................................
254 .......................................
294 .......................................
354 .......................................
376 .......................................
379 .......................................
381 .......................................
390 .......................................
409 .......................................
433 .......................................
440 .......................................
446 .......................................
489 .......................................
533 .......................................
534 .......................................
553 .......................................
578 .......................................
584 .......................................
624 .......................................
661 .......................................
663 .......................................
665 .......................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Multiple sclerosis & cerebellar ataxia w CC.
Multiple sclerosis & cerebellar ataxia w/o CC/MCC.
Viral meningitis w CC/MCC.
Hypertensive encephalopathy w CC.
Traumatic stupor & coma, coma >1 hr w CC.
Traumatic stupor & coma, coma >1 hr w/o CC/MCC.
Non-bacterial infect of nervous sys exc viral meningitis w/o CC/MCC.
Headaches w MCC.
Headaches w/o MCC.
Acute major eye infections w CC/MCC.
Acute major eye infections w/o CC/MCC.
Other disorders of the eye w MCC.
Otitis media & URI w/o MCC.
Nasal trauma & deformity w/o CC/MCC.
Dental & Oral Diseases w MCC.
Dental & Oral Diseases w CC.
Respiratory neoplasms w/o CC/MCC.*
Pleural effusion w/o CC/MCC.*
Bronchitis & asthma w/o CC/MCC.
Other vascular procedures w/o CC/MCC.
Deep vein thrombophlebitis w CC/MCC.
Hernia procedures except inguinal & femoral w CC.
Digestive malignancy w/o CC/MCC.
G.I. hemorrhage w/o CC/MCC.
Complicated peptic ulcer w CC.
G.I. obstruction w/o CC/MCC.
Biliary tract proc except only cholecyst w or w/o c.d.e. w CC.
Cirrhosis & alcoholic hepatitis w CC.
Disorders of pancreas except malignancy w/o CC/MCC.
Disorders of the biliary tract w/o CC/MCC.*
Knee procedures w/o pdx of infection w/o CC/MCC.
Fractures of femur w MCC.
Fractures of femur w/o MCC.
Bone diseases & arthropathies w MCC.
Skin graft &/or debrid exc for skin ulcer or cellulitis w/o CC/MCC.
Breast biopsy, local excision & other breast procedures w CC/MCC.
Skin grafts & wound debrid for endoc, nutrit & metab dis w/o CC/MCC.
Kidney & ureter procedures for non-neoplasm w/o CC/MCC.
Minor bladder procedures w CC.
Prostatectomy w MCC.***
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30APP2
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
PROPOSED COMPOSITION OF LOW-VOLUME QUINTILES FOR FY 2009—Continued
Proposed
MS–LTC–DRG
(version 26.0)
669
671
688
696
722
759
815
835
842
844
845
866
876
881
923
929
964
976
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
Proposed MS–LTC–DRG description (version 26.0)
Transurethral procedures w CC.
Urethral procedures w CC/MCC.
Kidney & urinary tract neoplasms w/o CC/MCC.
Kidney & urinary tract signs & symptoms w/o MCC.
Malignancy, male reproductive system w MCC.
Infections, female reproductive system w/o CC/MCC.*
Reticuloendothelial & immunity disorders w CC.
Acute leukemia w/o major O.R. procedure w CC.***
Lymphoma & non-acute leukemia w/o CC/MCC.
Other myeloprolif dis or poorly diff neopl diag w CC.
Other myeloprolif dis or poorly diff neopl diag w/o CC/MCC.
Viral illness w/o MCC.
O.R. procedure w principal diagnoses of mental illness.
Depressive neuroses
Other injury, poisoning & toxic effect diag w/o MCC.
Full thickness burn w skin graft or inhal inj w/o CC/MCC.
Other multiple significant trauma w CC.
HIV w major related condition w/o CC/MCC.
jlentini on PROD1PC65 with PROPOSALS2
PROPOSED QUINTILE 3
23 .........................................
27 .........................................
53 .........................................
58 .........................................
82 .........................................
98 .........................................
113 .......................................
116 .......................................
136 .......................................
152 .......................................
165 .......................................
168 .......................................
238 .......................................
241 .......................................
261 .......................................
262 .......................................
284 .......................................
287 .......................................
369 .......................................
370 .......................................
380 .......................................
384 .......................................
424 .......................................
471 .......................................
472 .......................................
476 .......................................
482 .......................................
494 .......................................
497 .......................................
502 .......................................
504 .......................................
505 .......................................
510 .......................................
511 .......................................
535 .......................................
542 .......................................
555 .......................................
562 .......................................
598 .......................................
599 .......................................
600 .......................................
626 .......................................
630 .......................................
665 .......................................
666 .......................................
668 .......................................
686 .......................................
687 .......................................
693 .......................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Craniotomy w major device implant or acute complex CNS PDX w MCC.***
Craniotomy & endovascular intracranial procedures w/o CC/MCC.
Spinal disorders & injuries w/o CC/MCC.
Multiple sclerosis & cerebellar ataxia w MCC.
Traumatic stupor & coma, coma >1 hr w MCC.
Non-bacterial infect of nervous sys exc viral meningitis w CC.
Orbital procedures w CC/MCC.
Intraocular procedures w CC/MCC.
Sinus & mastoid procedures w/o CC/MCC.***
Otitis media & URI w MCC.
Major chest procedures w/o CC/MCC.
Other resp system O.R. procedures w/o CC/MCC.
Major cardiovascular procedures w/o MCC.
Amputation for circ sys disorders exc upper limb & toe w/o CC/MCC.
Cardiac pacemaker revision except device replacement w CC.**
Cardiac pacemaker revision except device replacement w/o CC/MCC.**
Circulatory disorders w AMI, expired w CC.*
Circulatory disorders except AMI, w card cath w/o MCC.
Major esophageal disorders w CC.
Major esophageal disorders w/o CC/MCC.
Complicated peptic ulcer w MCC.
Uncomplicated peptic ulcer w/o MCC.
Other hepatobiliary or pancreas O.R. procedures w CC.
Cervical spinal fusion w MCC.
Cervical spinal fusion w CC.
Amputation for musculoskeletal sys & conn tissue dis w/o CC/MCC.
Hip & femur procedures except major joint w/o CC/MCC.
Lower extrem & humer proc except hip, foot, femur w/o CC/MCC.
Local excision & removal int fix devices exc hip & femur w/o CC/MCC.*
Soft tissue procedures w/o CC/MCC.
Foot procedures w CC.
Foot procedures w/o CC/MCC.
Shoulder, elbow or forearm proc, exc major joint proc w MCC.**
Shoulder, elbow or forearm proc, exc major joint proc w CC.**
Fractures of hip & pelvis w MCC.
Pathological fractures & musculoskelet & conn tiss malig w MCC.
Signs & symptoms of musculoskeletal system & conn tissue w MCC.
Fx, sprn, strn & disl except femur, hip, pelvis & thigh w MCC.
Malignant breast disorders w CC.
Malignant breast disorders w/o CC/MCC.**
Non-malignant breast disorders w CC/MCC.
Thyroid, parathyroid & thyroglossal procedures w CC.
Other endocrine, nutrit & metab O.R. proc w/o CC/MCC.
Prostatectomy w MCC.**
Prostatectomy w CC.**
Transurethral procedures w MCC.
Kidney & urinary tract neoplasms w MCC.
Kidney & urinary tract neoplasms w CC.
Urinary stones w/o esw lithotripsy w MCC.
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30APP2
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Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
PROPOSED COMPOSITION OF LOW-VOLUME QUINTILES FOR FY 2009—Continued
Proposed
MS–LTC–DRG
(version 26.0)
725
744
755
800
809
814
824
834
835
836
843
883
903
905
922
941
963
989
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
Proposed MS–LTC–DRG description (version 26.0)
Benign prostatic hypertrophy w MCC.
D&C, conization, laparoscopy & tubal interruption w CC/MCC.
Malignancy, female reproductive system w CC.
Splenectomy w CC.
Major hematol/immun diag exc sickle cell crisis & coagul w CC.
Reticuloendothelial & immunity disorders w MCC.
Lymphoma & non-acute leukemia w other O.R. proc w CC.
Acute leukemia w/o major O.R. procedure w MCC.
Acute leukemia w/o major O.R. procedure w CC.**
Acute leukemia w/o major O.R. procedure w/o CC/MCC.**
Other myeloprolif dis or poorly diff neopl diag w MCC.
Disorders of personality & impulse control.
Wound debridements for injuries w/o CC/MCC.
Skin grafts for injuries w/o CC/MCC.
Other injury, poisoning & toxic effect diag w MCC.
O.R. proc w diagnoses of other contact w health services w/o CC/MCC.
Other multiple significant trauma w MCC.
Non-extensive O.R. proc unrelated to principal diagnosis w/o CC/MCC.
jlentini on PROD1PC65 with PROPOSALS2
PROPOSED QUINTILE 4
23 .........................................
24 .........................................
28 .........................................
29 .........................................
30 .........................................
37 .........................................
38 .........................................
42 .........................................
77 .........................................
133 .......................................
164 .......................................
237 .......................................
242 .......................................
246 .......................................
247 .......................................
248 .......................................
249 .......................................
259 .......................................
260 .......................................
262 .......................................
286 .......................................
327 .......................................
328 .......................................
348 .......................................
358 .......................................
405 .......................................
406 .......................................
417 .......................................
466 .......................................
467 .......................................
469 .......................................
478 .......................................
481 .......................................
485 .......................................
486 .......................................
487 .......................................
490 .......................................
492 .......................................
493 .......................................
503 .......................................
511 .......................................
513 .......................................
514 .......................................
597 .......................................
599 .......................................
625 .......................................
659 .......................................
660 .......................................
666 .......................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Craniotomy w major device implant or acute complex CNS PDX w MCC.**
Craniotomy w major device implant or acute complex CNS PDX w/o MCC.**
Spinal procedures w MCC.
Spinal procedures w CC.
Spinal procedures w/o CC/MCC.
Extracranial procedures w MCC.
Extracranial procedures w CC.**
Periph & cranial nerve & other nerv syst proc w/o CC/MCC.*
Hypertensive encephalopathy w MCC.
Other ear, nose, mouth & throat O.R. procedures w CC/MCC.
Major chest procedures w CC.
Major cardiovascular procedures w MCC.
Permanent cardiac pacemaker implant w MCC.***
Percutaneous cardiovascular proc w drug-eluting stent w MCC.
Percutaneous cardiovascular proc w drug-eluting stent w/o MCC.
Percutaneous cardiovasc proc w non-drug-eluting stent w MCC.
Percutaneous cardiovasc proc w non-drug-eluting stent w/o MCC.**
Cardiac pacemaker device replacement w/o MCC.
Cardiac pacemaker revision except device replacement w MCC.
Cardiac pacemaker revision except device replacement w/o CC/MCC.***
Circulatory disorders except AMI, w card cath w MCC.
Stomach, esophageal & duodenal proc w CC.
Stomach, esophageal & duodenal proc w/o CC/MCC.**
Anal & stomal procedures w CC.
Other digestive system O.R. procedures w/o CC/MCC.*
Pancreas, liver & shunt procedures w MCC.
Pancreas, liver & shunt procedures w CC.**
Laparoscopic cholecystectomy w/o c.d.e. w MCC.***
Revision of hip or knee replacement w MCC.
Revision of hip or knee replacement w CC.
Major joint replacement or reattachment of lower extremity w MCC.***
Biopsies of musculoskeletal system & connective tissue w CC.
Hip & femur procedures except major joint w CC.
Knee procedures w pdx of infection w MCC.
Knee procedures w pdx of infection w CC.
Knee procedures w pdx of infection w/o CC/MCC.**
Back & neck procedures except spinal fusion w CC/MCC or disc devices.
Lower extrem & humer proc except hip, foot, femur w MCC.
Lower extrem & humer proc except hip, foot, femur w CC.
Foot procedures w MCC.
Shoulder, elbow or forearm proc, exc major joint proc w CC.***
Hand or wrist proc, except major thumb or joint proc w CC/MCC.
Hand or wrist proc, except major thumb or joint proc w/o CC/MCC.**
Malignant breast disorders w MCC.
Malignant breast disorders w/o CC/MCC.***
Thyroid, parathyroid & thyroglossal procedures w MCC.
Kidney & ureter procedures for non-neoplasm w MCC.
Kidney & ureter procedures for non-neoplasm w CC.
Prostatectomy w CC.***
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30APP2
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
PROPOSED COMPOSITION OF LOW-VOLUME QUINTILES FOR FY 2009—Continued
Proposed
MS–LTC–DRG
(version 26.0)
695
711
717
739
749
754
802
808
823
896
909
928
933
957
969
970
984
985
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
Proposed MS–LTC–DRG description (version 26.0)
Kidney & urinary tract signs & symptoms w MCC.
Testes procedures w CC/MCC.
Other male reproductive system O.R. proc exc malignancy w CC/MCC.
Uterine, adnexa proc for non-ovarian/adnexal malig w MCC.
Other female reproductive system O.R. procedures w CC/MCC.
Malignancy, female reproductive system w MCC.
Other O.R. proc of the blood & blood forming organs w MCC.
Major hematol/immun diag exc sickle cell crisis & coagul w MCC.
Lymphoma & non-acute leukemia w other O.R. proc w MCC.
Alcohol/drug abuse or dependence w/o rehabilitation therapy w MCC.
Other O.R. procedures for injuries w/o CC/MCC.*
Full thickness burn w skin graft or inhal inj w CC/MCC.
Extensive burns or full thickness burns w MV 96+ hrs w/o skin graft.
Other O.R. procedures for multiple significant trauma w MCC.
HIV w extensive O.R. procedure w MCC.
HIV w extensive O.R. procedure w/o MCC.**
Prostatic O.R. procedure unrelated to principal diagnosis w MCC.
Prostatic O.R. procedure unrelated to principal diagnosis w CC.
jlentini on PROD1PC65 with PROPOSALS2
PROPOSED QUINTILE 5
11 .........................................
12 .........................................
24 .........................................
25 .........................................
26 .........................................
31 .........................................
32 .........................................
38 .........................................
132 .......................................
137 .......................................
226 .......................................
227 .......................................
242 .......................................
243 .......................................
244 .......................................
249 .......................................
250 .......................................
326 .......................................
328 .......................................
330 .......................................
331 .......................................
335 .......................................
344 .......................................
347 .......................................
353 .......................................
406 .......................................
411 .......................................
414 .......................................
415 .......................................
417 .......................................
418 .......................................
423 .......................................
456 .......................................
457 .......................................
459 .......................................
469 .......................................
470 .......................................
477 .......................................
480 .......................................
487 .......................................
488 .......................................
496 .......................................
498 .......................................
507 .......................................
514 .......................................
582 .......................................
619 .......................................
653 .......................................
656 .......................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Tracheostomy for face, mouth & neck diagnoses w MCC.
Tracheostomy for face, mouth & neck diagnoses w CC.
Craniotomy w major device implant or acute complex CNS PDX w/o MCC.***
Craniotomy & endovascular intracranial procedures w MCC.
Craniotomy & endovascular intracranial procedures w CC.
Ventricular shunt procedures w MCC.
Ventricular shunt procedures w CC.
Extracranial procedures w CC.***
Cranial/facial procedures w/o CC/MCC.
Mouth procedures w CC/MCC.
Cardiac defibrillator implant w/o cardiac cath w MCC.
Cardiac defibrillator implant w/o cardiac cath w/o MCC.
Permanent cardiac pacemaker implant w MCC.**
Permanent cardiac pacemaker implant w CC.
Permanent cardiac pacemaker implant w/o CC/MCC.
Percutaneous cardiovasc proc w non-drug-eluting stent w/o MCC.***
Perc cardiovasc proc w/o coronary artery stent or AMI w MCC.
Stomach, esophageal & duodenal proc w MCC.
Stomach, esophageal & duodenal proc w/o CC/MCC.***
Major small & large bowel procedures w CC.
Major small & large bowel procedures w/o CC/MCC.
Peritoneal adhesiolysis w MCC.
Minor small & large bowel procedures w MCC.
Anal & stomal procedures w MCC.
Hernia procedures except inguinal & femoral w MCC.
Pancreas, liver & shunt procedures w CC.***
Cholecystectomy w c.d.e. w MCC.
Cholecystectomy except by laparoscope w/o c.d.e. w MCC.
Cholecystectomy except by laparoscope w/o c.d.e. w CC.
Laparoscopic cholecystectomy w/o c.d.e. w MCC.**
Laparoscopic cholecystectomy w/o c.d.e. w CC.
Other hepatobiliary or pancreas O.R. procedures w MCC.
Spinal fusion exc cerv w spinal curv, malig or 9+ fusions w MCC.
Spinal fusion exc cerv w spinal curv, malig or 9+ fusions w CC.
Spinal fusion except cervical w MCC.
Major joint replacement or reattachment of lower extremity w MCC.**
Major joint replacement or reattachment of lower extremity w/o MCC.
Biopsies of musculoskeletal system & connective tissue w MCC.
Hip & femur procedures except major joint w MCC.
Knee procedures w pdx of infection w/o CC/MCC.***
Knee procedures w/o pdx of infection w CC/MCC.
Local excision & removal int fix devices exc hip & femur w CC.*
Local excision & removal int fix devices of hip & femur w CC/MCC.
Major shoulder or elbow joint procedures w CC/MCC.
Hand or wrist proc, except major thumb or joint proc w/o CC/MCC.***
Mastectomy for malignancy w CC/MCC.
O.R. procedures for obesity w MCC.
Major bladder procedures w MCC.
Kidney & ureter procedures for neoplasm w MCC.
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30APP2
23599
23600
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
PROPOSED COMPOSITION OF LOW-VOLUME QUINTILES FOR FY 2009—Continued
Proposed
MS–LTC–DRG
(version 26.0)
662
709
713
746
826
827
829
836
855
906
927
970
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
.......................................
Proposed MS–LTC–DRG description (version 26.0)
Minor bladder procedures w MCC.
Penis procedures w CC/MCC.
Transurethral prostatectomy w CC/MCC.
Vagina, cervix & vulva procedures w CC/MCC.
Myeloprolif disord or poorly diff neopl w maj O.R. proc w MCC.
Myeloprolif disord or poorly diff neopl w maj O.R. proc w CC.
Myeloprolif disord or poorly diff neopl w other O.R. proc w CC/MCC.
Acute leukemia w/o major O.R. procedure w/o CC/MCC.***
Infectious & parasitic diseases w O.R. procedure w/o CC/MCC.*
Hand procedures for injuries.
Extensive burns or full thickness burns w MV 96+ hrs w skin graft.
HIV w extensive O.R. procedure w/o MCC.***
*One of the original 290 proposed low-volume MS–LTC–DRGs initially assigned to this proposed low-volume quintile; removed from this proposed low-volume quintile in addressing nonmonotonicity (refer to step 6 in section II.I.4..of the preamble of this proposed rule).
**One of the original 290 proposed low-volume MS–LTC–DRGs initially assigned to a different proposed low-volume quintile but moved to this
proposed low-volume quintile in addressing nonmonotonicity (refer to step 6 in section II.I.4. of the preamble of this proposed rule).
***One of the original 290 proposed low-volume MS–LTC–DRGs initially assigned to this proposed low-volume quintile but moved to a different
proposed low-volume quintile in addressing nonmonotonicity (refer to step 6 in section II.I.4. of the preamble of this proposed rule).
jlentini on PROD1PC65 with PROPOSALS2
We note that we will continue to
monitor the volume (that is, the number
of LTCH cases) in the low-volume
quintiles to ensure that our proposed
quintile assignment results in
appropriate payment for such cases and
does not result in an unintended
financial incentive for LTCHs to
inappropriately admit these types of
cases.
4. Steps for Determining the Proposed
FY 2009 MS–LTC–DRG Relative
Weights
In general, the proposed FY 2009 MS–
LTC–DRG relative weights in this
proposed rule were determined based
on the methodology established in the
August 30, 2002 LTCH PPS final rule
(67 FR 55989 through 55991). In
summary, for FY 2009, we are proposing
to group LTCH cases to the appropriate
proposed MS–LTC–DRG, while taking
into account the proposed low-volume
MS–LTC–DRGs (as described above),
before the proposed FY 2009 MS–LTC–
DRG relative weights are determined.
After grouping the cases to the
appropriate proposed MS–LTC–DRG (or
proposed low-volume quintile), we
would calculate the proposed relative
weights for FY 2009 by first removing
statistical outliers and cases with a
length of stay of 7 days or less (as
discussed in greater detail below). Next,
we would adjust the number of cases in
each proposed MS–LTC–DRG (or
proposed low-volume quintile) for the
effect of short-stay outlier cases (as also
discussed in greater detail below). The
short-stay adjusted discharges and
corresponding charges are used to
calculate ‘‘relative adjusted weights’’ in
each proposed MS–LTC–DRG (or
proposed low-volume quintile) using
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the HSRV method (described above). In
general, to determine the proposed FY
2009 MS–LTC–DRG relative weights in
this proposed rule, we are proposing to
use the same methodology we used in
determining the FY 2008 MS–LTC–DRG
relative weights in the FY 2008 IPPS
final rule with comment period (72 FR
47281 through 47299). However, we are
proposing to make a modification to our
methodology for determining proposed
relative weights for MS–LTC–DRGs with
no LTCH cases (as discussed in greater
detail in Step 5 below). Also, we note
that, although we are generally
proposing to use the same methodology
in this proposed rule (with the
exception noted above) as the
methodology used in the FY 2008 IPPS
final rule with comment, the discussion
presented below of the steps for
determining the proposed FY 2009 MS–
LTC–DRG relative weights varies
slightly from the discussion of the steps
for determining the FY 2008 MS–LTC–
DRG relative weights (presented in the
FY 2008 IPPS final rule with comment)
because we are taking this opportunity
to refine our description to more
precisely explain our methodology for
determining the MS–LTC–DRG relative
weights.
As discussed in the FY 2008 IPPS
final rule with comment when we
adopted the MS–LTC–DRGs, the
adoption of the MS–LTC–DRGs with
either two or three severity levels
resulted in some slight modifications of
procedures for assigning relative
weights in cases of zero volume and/or
nonmonotonicity (described in detail
below) from the methodology we
established when we implemented the
LTCH PPS in the August 30, 2002 LTCH
PPS final rule. As also discussed in the
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FY 2008 IPPS final rule with comment
when we adopted the MS–LTC–DRGs,
we implemented the MS–LTC–DRGs
with a 2-year transition beginning in FY
2008. For FY 2008, the first year of the
transition, 50 percent of the relative
weight for a MS–LTC–DRG was based
on the average LTC–DRG relative weight
under Version 24.0 of the LTC–DRG
GROUPER. The remaining 50 percent of
the relative weight was based on the
MS–LTC–DRG relative weight under
Version 25.0 of the MS–LTC–DRG
GROUPER. In FY 2009, the MS–LTC–
DRG relative weights are based on 100
percent of the MS–LTC–DRG relative
weights. Accordingly, in determining
the proposed FY 2009 MS–LTC–DRG
relative weights in this proposed rule,
there is no longer a need to include a
step to calculate MS–LTC–DRG
transition blended relative weights (see
Step 7 in the FY 2008 IPPS final rule
with comment period (72 FR 47295)).
Therefore, in this proposed rule, we
determined the proposed FY 2009 MS–
LTC–DRG relative weights based solely
on the proposed MS–LTC–DRG relative
weight under proposed Version 26.0 of
the MS–LTC–DRG GROUPER, which is
discussed in section II.B. of the
preamble of this proposed rule.
Furthermore, we are proposing that we
would determine the final FY 2009 MS–
LTC–DRG relative weights in the final
rule based on the final Version 26.0 of
the MS–LTC–DRG GROUPER that will
be presented in that same final rule.
Below we discuss in detail the steps
for calculating the proposed FY 2009
MS–LTC–DRG relative weights. We note
that, as we stated above in section
II.I.3.b. of the preamble of this proposed
rule, we have excluded the data of allinclusive rate LTCHs and LTCHs that
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are paid in accordance with
demonstration projects that had claims
in the FY 2007 MedPAR file.
Step 1—Remove statistical outliers.
The first step in the calculation of the
proposed FY 2009 MS–LTC–DRG
relative weights is to remove statistical
outlier cases. Consistent with our
historical relative weight methodology,
we are proposing to continue to define
statistical outliers as cases that are
outside of 3.0 standard deviations from
the mean of the log distribution of both
charges per case and the charges per day
for each proposed MS–LTC–DRG. These
statistical outliers are removed prior to
calculating the proposed relative
weights because we believe that they
may represent aberrations in the data
that distort the measure of average
resource use. Including those LTCH
cases in the calculation of the proposed
relative weights could result in an
inaccurate proposed relative weight that
does not truly reflect relative resource
use among the proposed MS–LTC–
DRGs.
Step 2—Remove cases with a length
of stay of 7 days or less.
The MS–LTC–DRG relative weights
reflect the average of resources used on
representative cases of a specific type.
Generally, cases with a length of stay of
7 days or less do not belong in a LTCH
because these stays do not fully receive
or benefit from treatment that is typical
in a LTCH stay, and full resources are
often not used in the earlier stages of
admission to a LTCH. If we were to
include stays of 7 days or less in the
computation of the proposed FY 2009
MS–LTC–DRG relative weights, the
value of many relative weights would
decrease and, therefore, payments
would decrease to a level that may no
longer be appropriate. We do not believe
that it would be appropriate to
compromise the integrity of the
payment determination for those LTCH
cases that actually benefit from and
receive a full course of treatment at a
LTCH, by including data from these
very short-stays. Therefore, consistent
with our historical relative weight
methodology, in determining the
proposed FY 2009 MS–LTC–DRG
relative weights, we are proposing to
remove LTCH cases with a length of stay
of 7 days or less.
Step 3—Adjust charges for the effects
of short-stay outliers.
After removing cases with a length of
stay of 7 days or less, we are left with
cases that have a length of stay of greater
than or equal to 8 days. As the next step
in the calculation of the proposed FY
2009 MS–LTC–DRG relative weights,
consistent with our historical relative
weight methodology, we are proposing
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to adjust each LTCH’s charges per
discharge for those remaining cases for
the effects of short-stay outliers (as
defined in § 412.529(a) in conjunction
with § 412.503 for LTCH discharges
occurring on or after October 1, 2008).
(We note that even if a case was
removed in Step 2 (that is, cases with a
length of stay of 7 days or less), it was
paid as a short-stay outlier if its length
of stay was less than or equal to fivesixths of the average length of stay of the
MS–LTC–DRG.)
We would make this adjustment by
counting a short-stay outlier as a
fraction of a discharge based on the ratio
of the length of stay of the case to the
average length of stay for the proposed
MS–LTC–DRG for nonshort-stay outlier
cases. This has the effect of
proportionately reducing the impact of
the lower charges for the short-stay
outlier cases in calculating the average
charge for the proposed MS–LTC–DRG.
This process produces the same result
as if the actual charges per discharge of
a short-stay outlier case were adjusted to
what they would have been had the
patient’s length of stay been equal to the
average length of stay of the proposed
MS–LTC–DRG.
Counting short-stay outlier cases as
full discharges with no adjustment in
determining the proposed FY 2009 MS–
LTC–DRG relative weights would lower
the proposed FY 2009 MS–LTC–DRG
relative weight for affected proposed
MS–LTC–DRGs because the relatively
lower charges of the short-stay outlier
cases would bring down the average
charge for all cases within a proposed
MS–LTC–DRG. This would result in an
‘‘underpayment’’ for nonshort-stay
outlier cases and an ‘‘overpayment’’ for
short-stay outlier cases. Therefore, we
are proposing to adjust for short-stay
outlier cases under § 412.529 in this
manner because it results in more
appropriate payments for all LTCH
cases.
Step 4—Calculate the proposed FY
2009 MS–LTC–DRG relative weights on
an iterative basis.
Consistent with our historical relative
weight methodology, we are proposing
to calculate the proposed MS–LTC–DRG
relative weights using the HSRV
methodology, which is an iterative
process. First, for each LTCH case, we
calculate a hospital-specific relative
charge value by dividing the short-stay
outlier adjusted charge per discharge
(see step 3) of the LTCH case (after
removing the statistical outliers (see
step 1)) and LTCH cases with a length
of stay of 7 days or less (see step 2) by
the average charge per discharge for the
LTCH in which the case occurred. The
resulting ratio is then multiplied by the
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LTCH’s case-mix index to produce an
adjusted hospital-specific relative
charge value for the case. An initial
case-mix index value of 1.0 is used for
each LTCH.
For each proposed MS–LTC–DRG, the
proposed FY 2009 relative weight is
calculated by dividing the average of the
adjusted hospital-specific relative
charge values (from above) for the MS–
LTC–DRG by the overall average
hospital-specific relative charge value
across all cases for all LTCHs. Using
these recalculated MS–LTC–DRG
relative weights, each LTCH’s average
relative weight for all of its cases (that
is, its case-mix) is calculated by
dividing the sum of all the LTCH’s MS–
LTC–DRG relative weights by its total
number of cases. The LTCH’s hospitalspecific relative charge values above are
multiplied by these hospital-specific
case-mix indexes. These hospitalspecific case-mix adjusted relative
charge values are then used to calculate
a new set of MS–LTC–DRG relative
weights across all LTCHs. This iterative
process is continued until there is
convergence between the weights
produced at adjacent steps, for example,
when the maximum difference is less
than 0.0001.
Step 5—Determine a proposed FY
2009 relative weight for proposed MS–
LTC–DRGs with no LTCH cases.
As we stated above, we determine the
proposed FY 2009 relative weight for
each proposed MS–LTC–DRG using
total Medicare allowable charges
reported in the best available LTCH
claims data (that is, the December 2007
update of the FY 2007 MedPAR file for
this proposed rule). Of the proposed FY
2009 MS–LTC–DRGs, we identified a
number of proposed MS–LTC–DRGs for
which there were no LTCH cases in the
database. That is, based on data from the
FY 2007 MedPAR file used for this
proposed rule, no patients who would
have been classified to those proposed
MS–LTC–DRGs were treated in LTCHs
during FY 2007 and, therefore, no
charge data are available for those
proposed MS–LTC–DRGs. Thus, in the
process of determining the proposed
MS–LTC–DRG relative weights, we are
unable to calculate proposed relative
weights for these proposed MS–LTC–
DRGs with no LTCH cases using the
methodology described in Steps 1
through 4 above. However, because
patients with a number of the diagnoses
under these proposed MS–LTC–DRGs
may be treated at LTCHs, consistent
with our historical methodology, we are
proposing to assign relative weights to
each of the proposed no-volume MS–
LTC–DRGs based on clinical similarity
and relative costliness (with the
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exception of proposed ‘‘transplant’’ MS–
LTC–DRGs and proposed ‘‘error’’ MS–
LTC–DRGs as discussed below). In
general, we are proposing to determine
proposed FY 2009 relative weights for
the proposed MS–LTC–DRGs with no
LTCH cases in the FY 2007 MedPAR file
used in this proposed rule (that is,
proposed ‘‘no-volume MS–LTC–DRGs)
by cross-walking each proposed novolume MS–LTC–DRG to another
proposed MS–LTC–DRG with a
proposed relative weight (determined in
accordance with the proposed
methodology described above). Then,
under our proposed methodology
presented in this proposed rule, the
proposed ‘‘no-volume’’ MS–LTC–DRG
would be assigned the same proposed
relative weight of the proposed MS–
LTC–DRG to which it would be crosswalked (as described in greater detail
below). As noted above, we are
proposing to make a modification to our
methodology for determining proposed
relative weights for MS–LTC–DRGs with
no LTCH cases in this proposed rule,
which is discussed in greater detail
below. As also noted above, even where
we are not proposing changes to our
existing methodology, we are taking this
opportunity to refine our description to
more precisely explain our proposed
methodology for determining the MS–
LTC–DRG relative weights in this
proposed rule.
Specifically, in this proposed rule, we
are proposing to determine the relative
weight for each proposed MS–LTC–DRG
using total Medicare allowable charges
reported in the December 2007 update
of the FY 2007 MedPAR file. Of the 746
proposed MS–LTC–DRGs for FY 2009,
we identified 203 proposed MS–LTC–
DRGs for which there were no LTCH
cases in the database (including the 8
proposed ‘‘transplant’’ MS–LTC–DRGs
and 2 proposed ‘‘error’’ MS–LTC–
DRGs). For this proposed rule, as noted
above, we are proposing to assign
proposed relative weights for each of the
203 proposed no-volume MS–LTC–
DRGs (with the exception of the 8
proposed ‘‘transplant’’ proposed MS–
LTC–DRGs and the 2 proposed ‘‘error’’
MS–LTC–DRGs, which are discussed
below) based on clinical similarity and
relative costliness to one of the
remaining 543 (746 ¥ 203 = 543)
proposed MS–LTC–DRGs for which we
are able to determine relative weights,
based on FY 2007 LTCH claims data.
(For the remainder of this discussion,
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we refer to one of the 543 proposed MS–
LTC–DRGs for which we are able to
determine relative weight as the
proposed ‘‘cross-walked’’ MS–LTC–
DRG.) Then we are proposing to assign
the proposed no-volume MS–LTC–DRG
the proposed relative weight of the
proposed cross-walked MS–LTC–DRG.
This proposed approach differs from the
one we used to determine the FY 2008
MS–LTC–DRG relative weights when
there were no LTCH cases (see 72 FR
47290). Specifically, in determining the
FY 2008 MS–LTC–DRG relative weights
in the FY 2008 IPPS final rule with
comment period, if the no volume MS–
LTC–DRG was cross-walked to a MS–
LTC–DRG that had 25 or more cases
and, therefore, was not in a low-volume
quintile, we assigned the relative weight
of a quintile to a no-volume MS–LTC–
DRG (rather than assigning the relative
weight of the cross-walked MS–LTC–
DRG). While we believe this approach
would result in appropriate LTCH PPS
payments (because it is consistent with
our methodology for determining
relative weights for MS–LTC–DRGs that
have a low volume of LTCH cases
(which is discussed above in section
II.I.3.e. of this preamble)), upon further
review during the development of the
proposed FY 2009 MS–LTC–DRG
relative weights in this proposed rule,
we now believe that proposing to assign
the proposed relative weight of the
proposed cross-walked MS–LTC–DRG
to the proposed no-volume MS–LTC–
DRG would result in more appropriate
LTCH PPS payments because those
cases generally require equivalent
relative resource (and therefore should
generally have the same LTCH PPS
payment). The relative weight of each
MS–LTC–DRG should reflect relative
resource of the LTCH cases grouped to
that MS–LTC–DRG. Because the
proposed no-volume MS–LTC–DRGs
would be cross-walked to other
proposed MS–LTC–DRGs based on
clinical similarity and relative
costliness, which usually require
equivalent relative resource use, we
believe that assigning the proposed novolume MS–LTC–DRG the proposed
relative weight of the proposed crosswalked MS–LTC–DRG would result in
appropriate LTCH PPS payments. (As
explained below in Step 6, when
necessary, we are proposing to make
adjustments to account for
nonmonotonicity.)
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Our proposed methodology for
determining the proposed relative
weights for the proposed no-volume
MS–LTC–DRGs is as follows: We crosswalk the proposed no-volume MS–LTC–
DRG to a proposed MS–LTC–DRG for
which there are LTCH cases in the FY
2007 MedPAR file and to which it is
similar clinically in intensity of use of
resources and relative costliness as
determined by criteria such as care
provided during the period of time
surrounding surgery, surgical approach
(if applicable), length of time of surgical
procedure, postoperative care, and
length of stay. We then assign the
proposed relative weight of the
proposed cross-walked MS–LTC–DRG
as the proposed relative weight for the
proposed no-volume MS–LTC–DRG
such that both of these proposed MS–
LTC–DRGs (that is, the proposed novolume MS–LTC–DRG and the
proposed cross-walked MS–LTC–DRG)
would have the same proposed relative
weight. We note that if the proposed
cross-walked MS–LTC–DRG had 25
cases or more, its proposed relative
weight, which was calculated using the
proposed methodology described in
steps 1 through 4 above, would be
assigned to the proposed no-volume
MS–LTC–DRG as well. Similarly, if the
proposed MS–LTC–DRG to which the
proposed no-volume MS–LTC–DRG is
cross-walked has 24 or less cases, and
therefore was designated to one of the
proposed low-volume quintiles for
purposes of determining the proposed
relative weights, we would assign the
proposed relative weight of the
applicable proposed low-volume
quintile to the proposed no-volume MS–
LTC–DRG such that both of these
proposed MS–LTC–DRGs (that is, the
proposed no-volume MS–LTC–DRG and
the proposed cross-walked MS–LTC–
DRG) would have the same proposed
relative weight. (As we noted above, in
the infrequent case where
nonmonotonicity involving a proposed
no-volume MS–LTC–DRG results,
additional measures as described in
Step 6 would be required in order to
maintain monotonically increasing
relative weights.)
For this proposed rule, a list of the
proposed no-volume FY 2009 MS–LTC–
DRGs and the proposed FY 2009 MS–
LTC–DRG to which it is cross-walked
(that is, the proposed cross-walked MS–
LTC–DRG) is shown in the chart below.
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13 ...................................
20 ...................................
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33 ...................................
34 ...................................
35 ...................................
36 ...................................
39 ...................................
61 ...................................
62 ...................................
63 ...................................
76 ...................................
88 ...................................
90 ...................................
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346 .................................
Bone marrow transplant ........................................................................................................................
Tracheostomy for face, mouth & neck diagnoses w/o CC/MCC ..........................................................
Intracranial vascular procedures w PDX hemorrhage w MCC .............................................................
Intracranial vascular procedures w PDX hemorrhage w CC ................................................................
Intracranial vascular procedures w PDX hemorrhage w/o CC/MCC ....................................................
Ventricular shunt procedures w/o CC/MCC ..........................................................................................
Carotid artery stent procedure w MCC .................................................................................................
Carotid artery stent procedure w CC ....................................................................................................
Carotid artery stent procedure w/o CC/MCC ........................................................................................
Extracranial procedures w/o CC/MCC ..................................................................................................
Acute ischemic stroke w use of thrombolytic agent w MCC ................................................................
Acute ischemic stroke w use of thrombolytic agent w CC ...................................................................
Acute ischemic stroke w use of thrombolytic agent w/o CC/MCC .......................................................
Viral meningitis w/o CC/MCC ................................................................................................................
Concussion w MCC ...............................................................................................................................
Concussion w/o CC/MCC .....................................................................................................................
Orbital procedures w/o CC/MCC ..........................................................................................................
Extraocular procedures except orbit .....................................................................................................
Intraocular procedures w/o CC/MCC ....................................................................................................
Neurological eye disorders ....................................................................................................................
Major head & neck procedures w CC/MCC or major device ...............................................................
Major head & neck procedures w/o CC/MCC ......................................................................................
Cranial/facial procedures w CC/MCC ...................................................................................................
Other ear, nose, mouth & throat O.R. procedures w/o CC/MCC .........................................................
Mouth procedures w/o CC/MCC ...........................................................................................................
Salivary gland procedures .....................................................................................................................
Epistaxis w MCC ...................................................................................................................................
Epistaxis w/o MCC ................................................................................................................................
Other heart assist system implant ........................................................................................................
Cardiac valve & oth maj cardiothoracic proc w card cath w MCC .......................................................
Cardiac valve & oth maj cardiothoracic proc w card cath w CC ..........................................................
Cardiac valve & oth maj cardiothoracic proc w card cath w/o CC/MCC ..............................................
Cardiac valve & oth maj cardiothoracic proc w/o card cath w MCC ....................................................
Cardiac valve & oth maj cardiothoracic proc w/o card cath w CC .......................................................
Cardiac valve & oth maj cardiothoracic proc w/o card cath w/o CC/MCC ...........................................
Cardiac defib implant w cardiac cath w AMI/HF/shock w MCC ...........................................................
Cardiac defib implant w cardiac cath w AMI/HF/shock w/o MCC ........................................................
Cardiac defib implant w cardiac cath w/o AMI/HF/shock w MCC ........................................................
Cardiac defib implant w cardiac cath w/o AMI/HF/shock w/o MCC .....................................................
Other cardiothoracic procedures w MCC ..............................................................................................
Other cardiothoracic procedures w CC .................................................................................................
Other cardiothoracic procedures w/o CC/MCC ....................................................................................
Coronary bypass w PTCA w MCC .......................................................................................................
Coronary bypass w PTCA w/o MCC ....................................................................................................
Coronary bypass w cardiac cath w MCC .............................................................................................
Coronary bypass w cardiac cath w/o MCC ..........................................................................................
Coronary bypass w/o cardiac cath w MCC ..........................................................................................
Coronary bypass w/o cardiac cath w/o MCC .......................................................................................
AICD generator procedures ..................................................................................................................
Perc cardiovasc proc w/o coronary artery stent or AMI w/o MCC .......................................................
Cardiac pacemaker device replacement w MCC .................................................................................
AICD lead procedures ...........................................................................................................................
Circulatory disorders w AMI, expired w/o CC/MCC ..............................................................................
Deep vein thrombophlebitis w/o CC/MCC ............................................................................................
Cardiac arrest, unexplained w MCC .....................................................................................................
Cardiac arrest, unexplained w CC ........................................................................................................
Cardiac arrest, unexplained w/o CC/MCC ............................................................................................
Rectal resection w MCC .......................................................................................................................
Rectal resection w CC ..........................................................................................................................
Rectal resection w/o CC/MCC ..............................................................................................................
Peritoneal adhesiolysis w CC ...............................................................................................................
Peritoneal adhesiolysis w/o CC/MCC ...................................................................................................
Appendectomy w complicated principal diag w MCC ...........................................................................
Appendectomy w complicated principal diag w CC ..............................................................................
Appendectomy w complicated principal diag w/o CC/MCC .................................................................
Appendectomy w/o complicated principal diag w MCC ........................................................................
Appendectomy w/o complicated principal diag w CC ...........................................................................
Appendectomy w/o complicated principal diag w/o CC/MCC ..............................................................
Minor small & large bowel procedures w CC .......................................................................................
Minor small & large bowel procedures w/o CC/MCC ...........................................................................
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Proposed
cross-walked
MS–LTC–DRG
Proposed MS–LTC–DRG description (version 26.0)
Anal & stomal procedures w/o CC/MCC ..............................................................................................
Inguinal & femoral hernia procedures w MCC ......................................................................................
Inguinal & femoral hernia procedures w CC .........................................................................................
Inguinal & femoral hernia procedures w/o CC/MCC ............................................................................
Hernia procedures except inguinal & femoral w/o CC/MCC ................................................................
Uncomplicated peptic ulcer w MCC ......................................................................................................
Pancreas, liver & shunt procedures w/o CC/MCC ...............................................................................
Biliary tract proc except only cholecyst w or w/o c.d.e. w MCC ..........................................................
Biliary tract proc except only cholecyst w or w/o c.d.e. w/o CC/MCC .................................................
Cholecystectomy w c.d.e. w CC ...........................................................................................................
Cholecystectomy w c.d.e. w/o CC/MCC ...............................................................................................
Cholecystectomy except by laparoscope w/o c.d.e. w/o CC/MCC ......................................................
Laparoscopic cholecystectomy w/o c.d.e. w/o CC/MCC ......................................................................
Hepatobiliary diagnostic procedures w MCC ........................................................................................
Hepatobiliary diagnostic procedures w CC ...........................................................................................
Hepatobiliary diagnostic procedures w/o CC/MCC ...............................................................................
Other hepatobiliary or pancreas O.R. procedures w/o CC/MCC .........................................................
Cirrhosis & alcoholic hepatitis w/o CC/MCC .........................................................................................
Combined anterior/posterior spinal fusion w MCC ...............................................................................
Combined anterior/posterior spinal fusion w CC ..................................................................................
Combined anterior/posterior spinal fusion w/o CC/MCC ......................................................................
Spinal fusion exc cerv w spinal curv, malig or 9+ fusions w/o CC/MCC .............................................
Spinal fusion except cervical w/o MCC ................................................................................................
Bilateral or multiple major joint procs of lower extremity w MCC .........................................................
Bilateral or multiple major joint procs of lower extremity w/o MCC ......................................................
Cervical spinal fusion w/o CC/MCC ......................................................................................................
Biopsies of musculoskeletal system & connective tissue w/o CC/MCC ..............................................
Major joint & limb reattachment proc of upper extremity w CC/MCC ..................................................
Major joint & limb reattachment proc of upper extremity w/o CC/MCC ...............................................
Back & neck procedures except spinal fusion w/o CC/MCC ...............................................................
Local excision & removal int fix devices of hip & femur w/o CC/MCC ................................................
Major thumb or joint procedures ...........................................................................................................
Major shoulder or elbow joint procedures w/o CC/MCC ......................................................................
Arthroscopy ...........................................................................................................................................
Shoulder, elbow or forearm proc, exc major joint proc w/o CC/MCC ..................................................
Other musculoskelet sys & conn tiss O.R. proc w/o CC/MCC .............................................................
Sprains, strains, & dislocations of hip, pelvis & thigh w/o CC/MCC ....................................................
Mastectomy for malignancy w/o CC/MCC ............................................................................................
Breast biopsy, local excision & other breast procedures w/o CC/MCC ...............................................
Adrenal & pituitary procedures w CC/MCC ..........................................................................................
Adrenal & pituitary procedures w/o CC/MCC .......................................................................................
O.R. procedures for obesity w CC ........................................................................................................
O.R. procedures for obesity w/o CC/MCC ............................................................................................
Thyroid, parathyroid & thyroglossal procedures w/o CC/MCC .............................................................
Major bladder procedures w CC ...........................................................................................................
Major bladder procedures w/o CC/MCC ...............................................................................................
Kidney & ureter procedures forneoplasm w CC ...................................................................................
Kidney & ureter procedures for neoplasm w/o CC/MCC ......................................................................
Minor bladder procedures w/o CC/MCC ...............................................................................................
Prostatectomy w/o CC/MCC .................................................................................................................
Transurethral procedures w/o CC/MCC ................................................................................................
Urethral procedures w/o CC/MCC ........................................................................................................
Other kidney & urinary tract procedures w/o CC/MCC ........................................................................
Urinary stones w esw lithotripsy w CC/MCC ........................................................................................
Urinary stones w esw lithotripsy w/o CC/MCC .....................................................................................
Urethral stricture ....................................................................................................................................
Major male pelvic procedures w CC/MCC ............................................................................................
Major male pelvic procedures w/o CC/MCC .........................................................................................
Penis procedures w/o CC/MCC ............................................................................................................
Testes procedures w/o CC/MCC ..........................................................................................................
Transurethral prostatectomy w/o CC/MCC ...........................................................................................
Other male reproductive system O.R. proc for malignancy w CC/MCC ..............................................
Other male reproductive system O.R. proc for malignancy w/o CC/MCC ...........................................
Other male reproductive system O.R. proc exc malignancy w/o CC/MCC ..........................................
Malignancy, male reproductive system w/o CC/MCC ..........................................................................
Pelvic evisceration, rad hysterectomy & rad vulvectomy w CC/MCC ..................................................
Pelvic evisceration, rad hysterectomy & rad vulvectomy w/o CC/MCC ...............................................
Uterine & adnexa proc for ovarian or adnexal malignancy w MCC .....................................................
Uterine & adnexa proc for ovarian or adnexal malignancy w CC ........................................................
Uterine & adnexa proc for ovarian or adnexal malignancy w/o CC/MCC ............................................
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Uterine, adnexa proc for non-ovarian/adnexal malig w CC ..................................................................
Uterine, adnexa proc for non-ovarian/adnexal malig w/o CC/MCC .....................................................
Uterine & adnexa proc for non-malignancy w CC/MCC .......................................................................
Uterine & adnexa proc for non-malignancy w/o CC/MCC ....................................................................
D&C, conization, laparascopy & tubal interruption w/o CC/MCC .........................................................
Vagina, cervix & vulva procedures w/o CC/MCC .................................................................................
Female reproductive system reconstructive procedures ......................................................................
Other female reproductive system O.R. procedures w/o CC/MCC ......................................................
Menstrual & other female reproductive system disorders w CC/MCC .................................................
Menstrual & other female reproductive system disorders w/o CC/MCC ..............................................
Cesarean section w CC/MCC ...............................................................................................................
Cesarean section w/o CC/MCC ............................................................................................................
Vaginal delivery w sterilization &/or D&C .............................................................................................
Vaginal delivery w O.R. proc except steril &/or D&C ...........................................................................
Postpartum & post abortion diagnoses w O.R. procedure ...................................................................
Abortion w D&C, aspiration curettage or hysterotomy .........................................................................
Vaginal delivery w complicating diagnoses ..........................................................................................
Vaginal delivery w/o complicating diagnoses .......................................................................................
Postpartum & post abortion diagnoses w/o O.R. procedure ................................................................
Ectopic pregnancy .................................................................................................................................
Threatened abortion ..............................................................................................................................
Abortion w/o D&C ..................................................................................................................................
False labor .............................................................................................................................................
Other antepartum diagnoses w/o medical complications .....................................................................
Neonates, died or transferred to another acute care facility ................................................................
Extreme immaturity or respiratory distress syndrome, neonate ...........................................................
Prematurity w major problems ..............................................................................................................
Prematurity w/o major problems ...........................................................................................................
Full term neonate w major problems ....................................................................................................
Neonate w other significant problems ...................................................................................................
Normal newborn ....................................................................................................................................
Splenectomy w MCC .............................................................................................................................
Splenectomy w/o CC/MCC ...................................................................................................................
Other O.R. proc of the blood & blood forming organs w CC ...............................................................
Other O.R. proc of the blood & blood forming organs w/o CC/MCC ...................................................
Lymphoma & leukemia w major O.R. procedure w MCC ....................................................................
Lymphoma & leukemia w major O.R. procedure w CC .......................................................................
Lymphoma & leukemia w major O.R. procedure w/o CC/MCC ...........................................................
Lymphoma & non-acute leukemia w other O.R. proc w/o CC/MCC ....................................................
Myeloprolif disord or poorly diff neopl w maj O.R. proc w/o CC/MCC .................................................
Myeloprolif disord or poorly diff neopl w other O.R. proc w/o CC/MCC ..............................................
Chemo w acute leukemia as sdx or w high dose chemo agent w MCC .............................................
Chemo w acute leukemia as sdx or w high dose chemo agent w CC ................................................
Chemo w acute leukemia as sdx or w high dose chemo agent w/o CC/MCC ....................................
Chemotherapy w/o acute leukemia as secondary diagnosis w/o CC/MCC .........................................
Other mental disorder diagnoses ..........................................................................................................
Alcohol/drug abuse or dependence, left ama .......................................................................................
Allergic reactions w MCC ......................................................................................................................
Allergic reactions w/o MCC ...................................................................................................................
Craniotomy for multiple significant trauma ............................................................................................
Limb reattachment, hip & femur proc for multiple significant trauma ...................................................
Other O.R. procedures for multiple significant trauma w/o CC/MCC ...................................................
Prostatic O.R. procedure unrelated to principal diagnosis w/o CC/MCC .............................................
To illustrate this methodology for
determining the proposed relative
weights for the proposed MS–LTC–
DRGs with no LTCH cases, we are
providing the following example, which
refers to the proposed no-volume MS–
LTC–DRGs crosswalk information for
FY 2009 provided in the chart above.
Example: There were no cases in the
FY 2007 MedPAR file used for this
proposed rule for proposed MS–LTC–
DRG 61 (Acute ischemic stroke w use of
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thrombolytic agent w MCC). We
determined that MS–LTC–DRG 70
(Nonspecific cebrovascular disorders w
MCC) is similar clinically and based on
resource use to proposed MS–LTC–DRG
61. Therefore, we are proposing to
assign the same proposed relative
weight of proposed MS–LTC–DRG 70 of
0.8718 for FY 2009 to proposed MS–
LTC–DRG 61 (Table 11 of the
Addendum of this proposed rule).
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Furthermore, for FY 2009, consistent
with our historical relative weight
methodology, we are proposing to
establish MS–LTC–DRG relative weights
of 0.0000 for the following proposed
transplant MS–LTC–DRGs: Heart
Transplant or Implant of Heart Assist
System with MCC (MS–LTC–DRG 1);
Heart Transplant or Implant of Heart
Assist System without MCC (MS–LTC–
DRG 2); Liver Transplant with MCC or
Intestinal Transplant (MS–LTC–DRG 5);
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Liver Transplant without MCC (MS–
LTC–DRG 6); Lung Transplant (MS–
LTC–DRG 7); Simultaneous Pancreas/
Kidney Transplant (MS–LTC–DRG 8);
Pancreas Transplant (MS–LTC–DRG 10);
and Kidney Transplant (MS–LTC–DRG
652). This is because Medicare will only
cover these procedures if they are
performed at a hospital that has been
certified for the specific procedures by
Medicare and presently no LTCH has
been so certified. Based on our research,
we found that most LTCHs only perform
minor surgeries, such as minor small
and large bowel procedures, to the
extent any surgeries are performed at
all. Given the extensive criteria that
must be met to become certified as a
transplant center for Medicare, we
believe it is unlikely that any LTCHs
will become certified as a transplant
center. In fact, in the more than 20 years
since the implementation of the IPPS,
there has never been a LTCH that even
expressed an interest in becoming a
transplant center.
If in the future a LTCH applies for
certification as a Medicare-approved
transplant center, we believe that the
application and approval procedure
would allow sufficient time for us to
determine appropriate weights for the
MS–LTC–DRGs affected. At the present
time, we would only include these eight
proposed transplant MS–LTC–DRGs in
the GROUPER program for
administrative purposes only. Because
we use the same GROUPER program for
LTCHs as is used under the IPPS,
removing these proposed MS–LTC–
DRGs would be administratively
burdensome.
Again, we note that, as this system is
dynamic, it is entirely possible that the
number of proposed MS–LTC–DRGs
with no volume of LTCH cases based on
the system will vary in the future. We
used the most recent available claims
data in the MedPAR file to identify novolume proposed MS–LTC–DRGs and to
determine the proposed relative weights
in this proposed rule.
Step 6—Adjust the proposed FY 2009
MS–LTC–DRG relative weights to
account for nonmonotonically
increasing relative weights.
As discussed in section II.B. of the
preamble of this proposed rule, the MS–
DRGs (used under the IPPS) on which
the MS–LTC–DRGs are based provide a
significant improvement in the DRG
system’s recognition of severity of
illness and resource usage. The
proposed MS–DRGs contain base DRGs
that have been subdivided into one,
two, or three severity levels. Where
there are three severity levels, the most
severe level has at least one code that is
referred to as an MCC. The next lower
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severity level contains cases with at
least one code that is a CC. Those cases
without a MCC or a CC are referred to
as without CC/MCC. When data did not
support the creation of three severity
levels, the base was divided into either
two levels or the base was not
subdivided. The two-level subdivisions
could consist of the CC/MCC and the
without CC/MCC. Alternatively, the
other type of two level subdivision
could consist of the MCC and without
MCC.
In those base MS–LTC–DRGs that are
split into either two or three severity
levels, cases classified into the ‘‘without
CC/MCC’’ MS–LTC–DRG are expected
to have a lower resource use (and lower
costs) than the ‘‘with CC/MCC’’ MS–
LTC–DRG (in the case of a two-level
split) or the ‘‘with CC’’ and ‘‘with MCC’’
MS–LTC–DRGs (in the case of a threelevel split). That is, theoretically, cases
that are more severe typically require
greater expenditure of medical care
resources and will result in higher
average charges. Therefore, in the three
severity levels, relative weights should
increase by severity, from lowest to
highest. If the relative weights do not
increase (that is, if within a base MS–
LTC–DRG, a MS–LTC–DRG with MCC
has a lower relative weight than one
with CC, or the MS–LTC–DRG without
CC/MCC has a higher relative weight
than either of the others, they are
nonmonotonic). We continue to believe
that utilizing nonmonotonic relative
weights to adjust Medicare payments
would result in inappropriate payments.
Consequently, in general, we are
proposing to combine proposed MS–
LTC–DRG severity levels within a base
MS–LTC–DRG for the purpose of
computing a relative weight when
necessary to ensure that monotonicity is
maintained. In determining the
proposed FY 2009 MS–LTC–DRG
relative weights in this proposed rule, in
general, we are proposing to use the
same methodology to adjust for
nonmonotonicity that we used to
determine the FY 2008 MS–LTC–DRG
relative weights in the FY 2008 IPPS
final rule with comment (72 FR 47293
through 47295). However, as noted
above, we are taking this opportunity to
refine our description to more precisely
explain our methodology for
determining the MS–LTC–DRG relative
weights in this proposed rule.
Specifically, in determining the
proposed FY 2009 MS–LTC–DRG
relative weights in this proposed rule,
under each of the example scenarios
provided below, we would combine
severity levels within a base MS–LTC–
DRG as follows:
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The first example of
nonmonotonically increasing relative
weights for a MS–LTC–DRG pertains to
a base MS–LTC–DRG with a three-level
split and each of the three levels has 25
or more LTCH cases and, therefore,
none of those MS–LTC–DRGs is
assigned to one of the five low-volume
quintiles. In this proposed rule, if
nonmonotonicity is detected in the
proposed relative weights of the
proposed MS–LTC–DRGs in adjacent
severity levels (for example, the
proposed relative weight of the ‘‘with
MCC’’ (the highest severity level) is less
than the ‘‘with CC’’ (the middle level),
or the ‘‘with CC’’ is less than the
‘‘without CC/MCC’’), we would combine
the nonmonotonic adjacent proposed
MS–LTC–DRGs and re-determine a
proposed relative weight based on the
case-weighted average of the combined
LTCH cases of the nonmonotonic
proposed MS–LTC–DRGs. The caseweighted average charge is calculated by
dividing the total charges for all LTCH
cases in both severity levels by the total
number of LTCH cases for both
proposed MS–LTC–DRGs. The same
proposed relative weight would be
assigned to both affected levels of the
base MS–LTC–DRG. If nonmonotonicity
remains an issue because the above
process results in a proposed relative
weight that is still nonmonotonic to the
remaining proposed MS–LTC–DRG
relative weight within the base MS–
LTC–DRG, we would combine all three
of the severity levels to redetermine the
proposed relative weights based on the
case-weighted average charge of the
combined severity levels. This same
proposed relative weight is then
assigned to each of the proposed MS–
LTC–DRGs in that base MS–LTC–DRG.
A second example of
nonmonotonically increasing relative
weights for a base MS–LTC–DRG
pertains to the situation where there are
three severity levels and one or more of
the severity levels within a base MS–
LTC–DRG has less than 25 LTCH cases
(that is, low-volume). In this proposed
rule, if nonmonotonicity occurs in the
case where either the highest or lowest
severity level (‘‘with MCC’’ or ‘‘without
CC/MCC’’) has 25 LTCH cases or more
and the other two severity levels are
low-volume (and therefore the other two
severity levels would otherwise be
assigned the proposed relative weight of
the applicable proposed low-volume
quintile(s)), we would combine the data
for the cases in the two adjacent
proposed low-volume MS–LTC–DRGs
for the purpose of determining a
proposed relative weight. If the
combination results in at least 25 cases,
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we re-determine one proposed relative
weight based on the case-weighted
average charge of the combined severity
levels and assign this same proposed
relative weight to each of the severity
levels. If the combination results in less
than 25 cases, based on the caseweighted average charge of the
combined proposed low-volume MS–
LTC–DRGs, both proposed MS–LTC–
DRGs would be assigned to the
appropriate proposed low-volume
quintile (discussed above in section
II.I.3.e. of this preamble) based on the
case-weighted average charge of the
combined proposed low-volume MS–
LTC–DRGs. Then the proposed relative
weight of the affected proposed lowvolume quintile would be redetermined
and that proposed relative weight would
be assigned to each of the affected
severity levels (and all of the proposed
MS–LTC–DRGs in the affected proposed
low-volume quintile). If
nonmonotonicity persists, we would
combine all three severity levels and
redetermine one proposed relative
weight based on the case-weighted
average charge of the combined severity
levels and this same proposed relative
weight would be assigned to each of the
three levels.
Similarly, in nonmonotonic cases
where the middle level has 25 cases or
more but either or both of the lowest or
highest severity level has less than 25
cases (that is, low volume), we would
combine the nonmonotonic proposed
low-volume MS–LTC–DRG with the
middle level proposed MS–LTC–DRG of
the base MS–LTC–DRG. We would
redetermine one proposed relative
weight based on the case-weighted
average charge of the combined severity
levels and assign this same proposed
relative weight to each of the affected
proposed MS–LTC–DRGs. If
nonmonotonicity persists, we would
combine all three levels for the purpose
of redetermining a proposed relative
weight based on the case-weighted
average charge of the combined severity
levels, and assign that proposed relative
weight to each of the three severity
levels.
In the case where all three severity
levels in the base MS–LTC–DRGs are
proposed low-volume MS–LTC–DRGs
and two of the severity levels are
nonmonotonic in relation to each other,
we would combine the two adjacent
nonmonotonic severity levels. If that
combination results in less than 25
cases, both proposed low-volume MS–
LTC–DRGs would be assigned to the
appropriate proposed low-volume
quintile (discussed above in section
II.I.3.e. of this preamble) based on the
case-weighted average charge of the
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combined proposed low-volume MS–
LTC–DRGs. Then the proposed relative
weight of the affected proposed lowvolume quintile would be redetermined
and that proposed relative weight would
be assigned to each of the affected
severity levels (and all of the proposed
MS–LTC–DRGs in the affected proposed
low-volume quintile). If the
nonmonotonicity persists, we would
combine all three levels of that base
MS–LTC–DRG for the purpose of
redetermining a proposed relative
weight based on the case-weighted
average charge of the combined severity
levels, and assign that proposed relative
weight to each of the three severity
levels. If that combination of all three
severity levels results in less than 25
cases, we would assign that ‘‘combined’’
base MS–LTC–DRG to the appropriate
proposed low-volume quintile based on
the case-weighted average charge of the
combined proposed low-volume MS–
LTC–DRGs. Then the proposed relative
weight of the affected proposed lowvolume quintile would be redetermined
and that proposed relative weight would
be assigned to each of the affected
severity levels (and all of the proposed
MS–LTC–DRGs in the affected proposed
low-volume quintile).
Another example of nonmonotonicity
involves a base MS–LTC–DRG with
three severity levels where at least one
of the severity levels has no cases. As
discussed above in greater detail in Step
5, based on resource use intensity and
clinical similarity, we propose to crosswalk a proposed no-volume MS–LTC–
DRG to a proposed MS–LTC–DRG that
has at least one case. Under our
proposed methodology for the treatment
of proposed no-volume MS–LTC–DRGs,
the proposed no-volume MS–LTC–DRG
would be assigned the same proposed
relative weight as the proposed MS–
LTC–DRG to which the proposed novolume MS–LTC–DRG is cross-walked.
For many proposed no-volume MS–
LTC–DRGs, as shown in the chart above
in Step 5, the application of our
proposed methodology results in a
proposed cross-walk MS–LTC–DRG that
is the adjacent severity level in the same
base MS–LTC–DRG. Consequently, in
most instances, the proposed no-volume
MS–LTC–DRG and the adjacent
proposed MS–LTC–DRG to which it is
cross-walked would not result in
nonmonotonicity because both of these
severity levels would have the same
proposed relative weight. (In this
proposed rule, under our proposed
methodology for the treatment of
proposed no-volume MS–LTC–DRGs, in
the case where the proposed no-volume
MS–LTC–DRG is either the highest or
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lowest severity level, the proposed
cross-walk MS–LTC–DRG would be the
middle level (‘‘with CC’’) within the
same base MS–LTC–DRG, and therefore
the proposed no-volume MS–LTC–DRG
(either the ‘‘with MCC’’ or the ‘‘without
CC/MCC’’) and the proposed cross-walk
MS–LTC–DRG (the ‘‘with CC’’) would
have the same proposed relative weight.
Consequently, no adjustment for
monotonicity would be necessary.)
However, if our proposed methodology
for determining proposed relative
weights for proposed no-volume MS–
LTC–DRGs results in nonmonotonicity
with the third severity level in the baseMS–LTC–DRG, all three severity levels
would be combined for the purpose of
redetermining one proposed relative
weight based on the case-weighted
average charge of the combined severity
levels. This same proposed relative
weight would be assigned to each of the
three severity levels in the base MS–
LTC–DRG.
Thus far in the discussion, we have
presented examples of nonmonotonicity
in a base MS–LTC–DRG that has three
severity levels. We would apply the
same process where the base MS–LTC–
DRG contains only two severity levels.
For example, if nonmonotonicity occurs
in a base MS–LTC–DRG with two
severity levels (that is, the proposed
relative weight of the higher severity
level is less than the lower severity
level), where both of the proposed MS–
LTC–DRGs have at least 25 cases or
where one or both of the proposed MS–
LTC–DRGs is low volume (that is, less
than 25 cases), we would combine the
two proposed MS–LTC–DRGs of that
base MS–LTC–DRG for the purpose of
redetermining a proposed relative
weight based on the combined caseweighted average charge for both
severity levels. This same proposed
relative weight would be assigned to
each of the two severity levels in the
base MS–LTC–DRG. Specifically, if the
combination of the two severity levels
would result in at least 25 cases, we
would redetermine one proposed
relative weight based on the caseweighted average charge and assign that
proposed relative weight to each of the
two proposed MS–LTC–DRGs. If the
combination results in less than 25
cases, we would assign both proposed
MS–LTC–DRGs to the appropriate
proposed low-volume quintile
(discussed above in section II.I.3.e. of
this preamble) based on their combined
case-weighted average charge. Then the
proposed relative weight of the affected
proposed low-volume quintile would be
redetermined and that proposed relative
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weight would be assigned to each of the
affected severity levels.
Step 7—Calculate the proposed FY
2009 budget neutrality factor.
As we established in the RY 2008
LTCH PPS final rule (72 FR 26882),
under the broad authority conferred
upon the Secretary under section 123 of
Pub. L. 106–113 as amended by section
307(b) of Pub. L. 106–554 to develop the
LTCH PPS, beginning with the MS–
LTC–DRG update for FY 2008, the
annual update to the MS–LTC–DRG
classifications and relative weights will
be done in a budget neutral manner
such that estimated aggregate LTCH PPS
payments would be unaffected, that is,
would be neither greater than nor less
than the estimated aggregate LTCH PPS
payments that would have been made
without the MS–LTC–DRG classification
and relative weight changes.
Specifically, in that same final rule, we
established under § 412.517(b) that the
annual update to the MS–LTC–DRG
classifications and relative weights be
done in a budget neutral manner. For a
detailed discussion on the
establishment of the requirement to
update the MS–LTC–DRG classifications
and relative weights in a budget neutral
manner, we refer readers to the RY 2008
LTCH PPS final rule (72 FR 26880
through 26884). Updating the MS–LTC–
DRGs in a budget neutral manner results
in an annual update to the individual
MS–LTC–DRG classifications and
relative weights based on the most
recent available data to reflect changes
in relative LTCH resource use. To
accomplish this, the MS–LTC–DRG
relative weights are uniformly adjusted
to ensure that estimated aggregate
payments under the LTCH PPS would
not be affected (that is, decreased or
increased). Consistent with that
provision, we are proposing to update
the MS–LTC–DRG classifications and
relative weights for FY 2009 based on
the most recent available data and
include a proposed budget neutrality
adjustment that would be applied in
determining the proposed MS–LTC–
DRG relative weights.
To ensure budget neutrality in
updating the proposed MS–LTC–DRG
classifications and proposed relative
weights under § 412.517(b), consistent
with the budget neutrality methodology
we established in the FY 2008 IPPS final
rule with comment period (72 FR 47295
through 47296), in determining the
proposed budget neutrality adjustment
for FY 2009 in this proposed rule, we
are proposing to use a method that is
similar to the methodology used under
the IPPS. Specifically, for FY 2009, after
recalibrating the proposed MS–LTC–
DRG relative weights as we do under the
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methodology as described in detail in
Steps 1 through 6 above, we would
calculate and apply a normalization
factor to those relative weights to ensure
that estimated payments are not
influenced by changes in the
composition of case types or the
changes being proposed to the
classification system. That is, the
proposed normalization adjustment is
intended to ensure that the recalibration
of the proposed MS–LTC–DRG relative
weights (that is, the process itself)
neither increases nor decreases total
estimated payments.
To calculate the proposed
normalization factor for FY 2009, we
would use the following steps: (1) We
use the most recent available claims
data (FY 2007) and the proposed MS–
LTC–DRG relative weights (determined
above in Steps 1 through 6 above) to
calculate the average CMI; (2) we group
the same claims data (FY 2007) using
the FY 2008 GROUPER (Version 25.0)
and FY 2008 relative weights
(established in the FY 2008 IPPS final
rule with comment period (72 FR 47295
through 47296)) and calculate the
average CMI; and (3), we compute the
ratio of these average CMIs by dividing
the average CMI determined in step (2)
by the average CMI determined in step
(1). In determining the proposed MS–
LTC–DRG relative weights for FY 2009,
based on the latest available LTCH
claims data, the normalization factor is
estimated as 1.038266, which would be
applied in determining each proposed
MS–LTC–DRG relative weight. That is,
each proposed MS–LTC–DRG relative
weight would be multiplied by 1.038266
in the first step of the budget neutrality
process. Accordingly, the proposed
relative weights in Table 11 in the
Addendum of this proposed rule reflect
this proposed normalization factor. We
also ensure that estimated aggregate
LTCH PPS payments (based on the most
recent available LTCH claims data) after
reclassification and recalibration (the
new proposed FY 2009 MS–LTC–DRG
classifications and relative weights) are
equal to estimated aggregate LTCH PPS
payments (for the same most recent
available LTCH claims data) before
reclassification and recalibration (the
existing FY 2008 MS–DRG
classifications and relative weights).
Therefore, we would calculate the
proposed budget neutrality adjustment
factor by simulating estimated total
payments under both sets of GROUPERs
and relative weights using current LTCH
PPS payment policies (RY 2008) and the
most recent available claims data (from
the FY 2007 MedPAR file).
Accordingly, we are proposing to use
RY 2008 LTCH PPS rates and policies in
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determining the proposed FY 2009
budget neutrality adjustment in this
proposed rule, using the following
steps: (1) We simulate estimated total
payments using the normalized
proposed relative weights under
GROUPER Version 26.0 (as described
above); (2) we simulate estimated total
payments using the FY 2008 GROUPER
(Version 25.0) and FY 2008 MS–LTC–
DRG relative weights (as established in
the FY 2008 IPPS final rule (72 FR
47295 through 47296)); (3) we calculate
the ratio of these estimated total
payments by dividing the estimated
total payments determined in step (2) by
the estimated total payments
determined in step (1). Then, each of the
normalized proposed relative weights is
multiplied by the proposed budget
neutrality factor to determine the budget
neutral proposed relative weight for
each proposed MS–LTC–DRG.
Accordingly, in determining the
proposed MS–LTC–DRG relative
weights for FY 2009 in this proposed
rule, based on the most recent available
LTCH claims data, we are proposing a
budget neutrality factor of 0.99965,
which would be applied to the
normalized proposed relative weights
(described above). The proposed FY
2009 MS–LTC–DRG relative weights in
Table 11 in the Addendum of this
proposed rule reflect this proposed
budget neutrality factor. Furthermore,
we expect that we will have established
payments rates and policies for RY 2009
prior to the development of the FY 2009
IPPS final rule. Therefore, for purposes
of determining the FY 2009 budget
neutrality factor in the final rule, we are
proposing that we would simulate
estimated total payments using the most
recent LTCH PPS payment policies and
LTCH claims data that are available at
that time.
Table 11 in the Addendum to this
proposed rule lists the proposed MS–
LTC–DRGs and their respective
proposed budget neutral relative
weights, geometric mean length of stay,
and five-sixths of the geometric mean
length of stay (used in the determination
of short-stay outlier payments under
§ 412.529) for FY 2009.
J. Proposed Add-On Payments for New
Services and Technologies
1. Background
Sections 1886(d)(5)(K) and (L) of the
Act establish a process of identifying
and ensuring adequate payment for new
medical services and technologies
(sometimes collectively referred to in
this section as ‘‘new technologies’’)
under the IPPS. Section
1886(d)(5)(K)(vi) of the Act specifies
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that a medical service or technology will
be considered new if it meets criteria
established by the Secretary after notice
and opportunity for public comment.
Section 1886(d)(5)(K)(ii)(I) of the Act
specifies that the process must apply to
a new medical service or technology if,
‘‘based on the estimated costs incurred
with respect to discharges involving
such service or technology, the DRG
prospective payment rate otherwise
applicable to such discharges under this
subsection is inadequate.’’
The regulations implementing this
provision establish three criteria for new
medical services and technologies to
receive an additional payment. First,
42CFR412.87(b)(2) states that a specific
medical service or technology will be
considered new for purposes of new
medical service or technology add-on
payments until such time as Medicare
data are available to fully reflect the cost
of the technology in the DRG weights
through recalibration. Typically, there is
a lag of 2 to 3 years from the point a new
medical service or technology is first
introduced on the market (generally on
the date that the technology receives
FDA approval/clearance) and when data
reflecting the use of the medical service
or technology are used to calculate the
DRG weights. For example, data from
discharges occurring during FY 2007 are
used to calculate the FY 2009 DRG
weights in this proposed rule. Section
412.87(b)(2) of our existing regulations
provides that ‘‘a medical service or
technology may be considered new
within 2 or 3 years after the point at
which data begin to become available
reflecting the ICD–9–CM code assigned
to the new medical service or
technology (depending on when a new
code is assigned and data on the new
medical service or technology become
available for DRG recalibration). After
CMS has recalibrated the DRGs based on
available data to reflect the costs of an
otherwise new medical service or
technology, the medical service or
technology will no longer be considered
‘‘new’’ under the criterion for this
section.’’
The 2-year to 3-year period during
which a medical service or technology
can be considered new would ordinarily
begin on the date on which the medical
service or technology received FDA
approval or clearance. (We note that, for
purposes of this section of the proposed
rule, we refer to both FDA approval and
FDA clearance as FDA ‘‘approval.’’)
However, in some cases, initially there
may be no Medicare data available for
the new service or technology following
FDA approval. For example, the
newness period could extend beyond
the 2-year to 3-year period after FDA
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approval is received in cases where the
product initially was generally
unavailable to Medicare patients
following FDA approval, such as in the
case of a national noncoverage
determination, or if there was some
documented delay in bringing the
product onto the market after that
approval (for instance, component
production or drug production has been
postponed following FDA approval due
to shelf life concerns or manufacturing
issues). After the DRGs have been
recalibrated to reflect the costs of an
otherwise new medical service or
technology, the medical service or
technology is no longer eligible for
special add-on payment for new
medical services or technologies
(§ 412.87(b)(2)). For example, an
approved new technology that received
FDA approval in October 2007 and
entered the market at that time may be
eligible to receive add-on payments as a
new technology for discharges occurring
before October 1, 2010 (the start of FY
2011). Because the FY 2011 DRG
weights would be calculated using FY
2009 MedPAR data, the costs of such a
new technology would be fully reflected
in the FY 2011 DRG weights. Therefore,
the new technology would no longer be
eligible to receive add-on payments as a
new technology for discharges occurring
in FY 2011 and thereafter.
Section 412.87(b)(3) further provides
that, to be eligible for the add-on
payment for new medical services or
technologies, the DRG prospective
payment rate otherwise applicable to
the discharge involving the new medical
services or technologies must be
assessed for adequacy. Under the cost
criterion, to assess whether a new
technology would be inadequately paid
under the applicable DRG-prospective
payment rate, we evaluate whether the
charges for cases involving the new
technology exceed certain threshold
amounts. In the FY 2004 IPPS final rule
(68 FR 45385), we established the
threshold at the geometric mean
standardized charge for all cases in the
DRG plus 75 percent of 1 standard
deviation above the geometric mean
standardized charge (based on the
logarithmic values of the charges and
converted back to charges) for all cases
in the DRG to which the new medical
service or technology is assigned (or the
case-weighted average of all relevant
DRGs, if the new medical service or
technology occurs in more than one
DRG).
However, section 503(b)(1) of Pub. L.
108–173 amended section
1886(d)(5)(K)(ii)(I) of the Act to provide
that, beginning in FY 2005, CMS will
apply ‘‘a threshold * * * that is the
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lesser of 75 percent of the standardized
amount (increased to reflect the
difference between cost and charges) or
75 percent of one standard deviation for
the diagnosis-related group involved.’’
(We refer readers to section IV.D. of the
preamble to the FY 2005 IPPS final rule
(69 FR 49084) for a discussion of the
revision of the regulations to
incorporate the change made by section
503(b)(1) of Pub. L. 108–173.) Table 10
in section XIX. of the interim final rule
with comment period published in the
Federal Register on November 27, 2007,
contained the final thresholds that are
being used to evaluate applications for
new technology add-on payments for FY
2009 (72 FR 66888 through 66892). An
applicant must demonstrate that the
cost threshold is met using information
from inpatient hospital claims.
With regard to the issue of whether
the HIPAA Privacy Rule at 45 CFR Parts
160 and 164 applies to claims
information that providers submit with
applications for new technology add-on
payments, we addressed this issue in
the September 7, 2001 final rule that
established the new technology add-on
payment regulations (66 FR 46917). In
the preamble to that final rule, we
explained that health plans, including
Medicare, and providers that conduct
certain transactions electronically,
including the hospitals that would be
receiving payment under the FY 2001
IPPS final rule, are required to comply
with the HIPAA Privacy Rule. We
further explained how such entities
could meet the applicable HIPAA
requirements by discussing how the
HIPAA Privacy Rule permitted
providers to share with health plans
information needed to ensure correct
payment, if they had obtained consent
from the patient to use that patient’s
data for treatment, payment, or health
care operations. We also explained that
because the information to be provided
within applications for new technology
add-on payment would be needed to
ensure correct payment, no additional
consent would be required. The HHS
Office of Civil Rights has since amended
the HIPAA Privacy Rule, but the results
remain. The HIPAA Privacy Rule no
longer requires covered entities to
obtain consent from patients to use or
disclose protected health information
for treatment, payment, or health care
operations, and expressly permits such
entities to use or to disclose protected
health information for any of these
purposes. (We refer readers to 45 CFR
164.502(a)(1)(ii), and 164.506(c)(1) and
(c)(3), and the Standards for Privacy of
Individually Identifiable Health
Information published in the Federal
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Register on August 14, 2002, for a full
discussion of changes in consent
requirements.)
Section 412.87(b)(1) of our existing
regulations provides that a new
technology is an appropriate candidate
for an additional payment when it
represents ‘‘an advance that
substantially improves, relative to
technologies previously available, the
diagnosis or treatment of Medicare
beneficiaries.’’ For example, a new
technology represents a substantial
clinical improvement when it reduces
mortality, decreases the number of
hospitalizations or physician visits, or
reduces recovery time compared to the
technologies previously available. (We
refer readers to the September 7, 2001
final rule for a complete discussion of
this criterion (66 FR 46902).)
The new medical service or
technology add-on payment policy
under the IPPS provides additional
payments for cases with relatively high
costs involving eligible new medical
services or technologies while
preserving some of the incentives
inherent under an average-based
prospective payment system. The
payment mechanism is based on the
cost to hospitals for the new medical
service or technology. Under § 412.88, if
the costs of the discharge (determined
by applying CCRs as described in
§ 412.84(h)) exceed the full DRG
payment, Medicare will make an add-on
payment equal to the lesser of: (1) 50
percent of the estimated costs of the
new technology (if the estimated costs
for the case including the new
technology exceed Medicare’s payment)
or (2) 50 percent of the difference
between the full DRG payment and the
hospital’s estimated cost for the case. If
the amount by which the actual costs of
a new medical service or technology
case exceeds the full DRG payment
(including payments for IME and DSH,
but excluding outlier payments) by
more than the 50-percent marginal cost
factor, Medicare payment is limited to
the full DRG payment plus 50 percent
of the estimated costs of the new
technology.
Section 1886(d)(4)(C)(iii) of the Act
requires that the adjustments to annual
DRG classifications and relative weights
must be made in a manner that ensures
that aggregate payments to hospitals are
not affected. Therefore, in the past, we
accounted for projected payments under
the new medical service and technology
provision during the upcoming fiscal
year at the same time we estimated the
payment effect of changes to the DRG
classifications and recalibration. The
impact of additional payments under
this provision was then included in the
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budget neutrality factor, which was
applied to the standardized amounts
and the hospital-specific amounts.
However, section 503(d)(2) of Pub. L.
108–173 provides that there shall be no
reduction or adjustment in aggregate
payments under the IPPS due to add-on
payments for new medical services and
technologies. Therefore, add-on
payments for new medical services or
technologies for FY 2005 and later years
have not been budget neutral.
Applicants for add-on payments for
new medical services or technologies for
FY 2010 must submit a formal request,
including a full description of the
clinical applications of the medical
service or technology and the results of
any clinical evaluations demonstrating
that the new medical service or
technology represents a substantial
clinical improvement, along with a
significant sample of data to
demonstrate the medical service or
technology meets the high-cost
threshold. Complete application
information, along with final deadlines
for submitting a full application, will be
available on our Web site at: https://
www.cms.hhs.gov/AcuteInpatientPPS/
08_newtech.asp#TopOfPage. To allow
interested parties to identify the new
medical services or technologies under
review before the publication of the
proposed rule for FY 2010, the Web site
will also list the tracking forms
completed by each applicant.
The Council on Technology and
Innovation (CTI) at CMS oversees the
agency’s cross-cutting priority on
coordinating coverage, coding and
payment processes for Medicare with
respect to new technologies and
procedures, including new drug
therapies, as well as promoting the
exchange of information on new
technologies between CMS and other
entities. The CTI, composed of senior
CMS staff and clinicians, was
established under section 942(a) of Pub.
L. 108–173. It is co-chaired by the
Director of the Center for Medicare
Management (CMM), who is also
designated as the CTI’s Executive
Coordinator, and the Director of the
Office of Clinical Standards and Quality
(OCSQ).
The specific processes for coverage,
coding, and payment are implemented
by CMM, OCSQ, and the local claimspayment contractors (in the case of local
coverage and payment decisions). The
CTI supplements rather than replaces
these processes by working to assure
that all of these activities reflect the
agency-wide priority to promote highquality, innovative care, and at the same
time to streamline, accelerate, and
improve coordination of these processes
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to ensure that they remain up to date as
new issues arise. To achieve its goals,
the CTI works to streamline and create
a more transparent coding and payment
process, improve the quality of medical
decisions, and speed patient access to
effective new treatments. It is also
dedicated to supporting better decisions
by patients and doctors in using
Medicare-covered services through the
promotion of better evidence
development, which is critical for
improving the quality of care for
Medicare beneficiaries.
The agency plans to continue its Open
Door forums with stakeholders who are
interested in CTI’s initiatives. In
addition, to improve understanding of
CMS processes for coverage, coding, and
payment and how to access them, the
CTI is developing an ‘‘innovator’s
guide’’ to these processes. This guide
will, for example, outline regulation
cycles and application deadlines. The
intent is to consolidate this information,
much of which is already available in a
variety of CMS documents and in
various places on CMS’s Web site, in a
user-friendly format. In the meantime,
we invite any product developers with
specific issues involving the agency to
contact us early in the process of
product development if they have
questions or concerns about the
evidence that would be needed later in
the development process for the
agency’s coverage decisions for
Medicare.
The CTI aims to provide information
on CTI activities to stakeholders,
including Medicare beneficiaries,
advocates, medical product
manufacturers, providers, and health
policy experts, and other stakeholders
with useful information on CTI
initiatives. Stakeholders with further
questions about Medicare’s coverage,
coding, and payment processes, or who
want further guidance about how they
can navigate these processes, can
contact the CTI at CTI@cms.hhs.gov or
from the ‘‘Contact Us’’ section of the CTI
home page (https://www.cms.hhs.gov/
CouncilonTechInnov/).
2. Public Input Before Publication of a
Notice of Proposed Rulemaking on AddOn Payments
Section 1886(d)(5)(K)(viii) of the Act,
as amended by section 503(b)(2) of Pub.
L. 108–173, provides for a mechanism
for public input before publication of a
notice of proposed rulemaking regarding
whether a medical service or technology
represents a substantial clinical
improvement or advancement. The
process for evaluating new medical
service and technology applications
requires the Secretary to—
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• Provide, before publication of a
proposed rule, for public input
regarding whether a new service or
technology represents an advance in
medical technology that substantially
improves the diagnosis or treatment of
Medicare beneficiaries;
• Make public and periodically
update a list of the services and
technologies for which applications for
add-on payments are pending;
• Accept comments,
recommendations, and data from the
public regarding whether a service or
technology represents a substantial
clinical improvement; and
• Provide, before publication of a
proposed rule, for a meeting at which
organizations representing hospitals,
physicians, manufacturers, and any
other interested party may present
comments, recommendations, and data
regarding whether a new medical
service or technology represents a
substantial clinical improvement to the
clinical staff of CMS.
In order to provide an opportunity for
public input regarding add-on payments
for new medical services and
technologies for FY 2009 before
publication of the FY 2009 IPPS
proposed rule, we published a notice in
the Federal Register on December 28,
2007 (72 FR 73845 through 73847), and
held a town hall meeting at the CMS
Headquarters Office in Baltimore, MD,
on February 21, 2008. In the
announcement notice for the meeting,
we stated that the opinions and
alternatives provided during the
meeting would assist us in our
evaluations of applications by allowing
public discussion of the substantial
clinical improvement criterion for each
of the FY 2009 new medical service and
technology add-on payment
applications before the publication of
the FY 2009 IPPS proposed rule.
Approximately 70 individuals
attended the town hall meeting in
person, while approximately 20
additional participants listened over an
open telephone line. Each of the four FY
2009 applicants presented information
on its technology, including a focused
discussion of data reflecting the
substantial clinical improvement aspect
of the technology. We received two
comments during the town hall meeting,
which are summarized below. We
considered each applicant’s
presentation made at the town hall
meeting, as well as written comments
submitted on each applicant’s
application, in our evaluation of the
new technology add-on applications for
FY 2009 in this proposed rule. We have
summarized these comments below or,
if applicable, indicated that no
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comments were received at the end of
the discussion of each application.
Comment: One commenter addressed
the substantial clinical improvement
criterion. A medical device association
stated that CMS’ interpretation of the
statutory criteria for new technology
add-on payments is narrow and makes
it difficult for potential applicants,
especially small manufacturing
companies, to qualify for new
technology add-on payments. The
commenter urged CMS to ‘‘deem a
device to satisfy the substantial clinical
improvement criteria if it was granted a
humanitarian device exemption or
priority review based on the fact that it
represents breakthrough technologies,
which offer significant advantages over
existing approved alternatives, for
which no alternatives exist, or the
availability of which is in the best
interests of the patients.’’ In addition,
the commenter remarked that this
process would simplify CMS’ evaluation
of applications for new technology addon payments and would promote access
to innovative treatments, as intended by
Congress. Although the commenter also
made remarks that were unrelated to
substantial clinical improvement,
because the purpose of the town hall
meeting was specifically to discuss
substantial clinical improvement of
pending new technology applications,
those comments are not summarized in
this proposed rule.
Response: With respect to the
comment that CMS has a narrow
interpretation of the statute that makes
it difficult for applicants to meet the
statutory criteria for a new technology
add-on payment, we note that we have
already specifically addressed the issue
in the past (71 FR 47997 and 72 FR
47301). In addition, we addressed the
comment concerning automatically
deeming technologies granted a
humanitarian device exemption (HDE)
at 72 FR 47302. Further, because the
purpose of the new technology town
hall meeting was to discuss substantial
clinical improvement of pending
applications, we are not providing a
response to the unrelated comments in
this proposed rule.
Comment: One commenter, a medical
technology association, submitted
comments in reference to the MS–DRGs
and the need to account for complexity
as well as severity in making
refinements to the DRG classification
system. The commenter also made the
following comments: CMS should raise
the new technology marginal cost factor,
adjust the newness policy to begin with
the issuance of an ICD–9–CM code
instead of the FDA approval date,
provide access to the quarterly MedPAR
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updates, and allow for the use of
external data for determining new
technology payments (when CMS
determines that the external data are
unbiased and valid).
Response: Section 1886(d)(5)(K)(viii)
of the Act requires that CMS accept
comments, recommendations, and data
from the public regarding whether a
service or technology represents a
substantial clinical improvement.
Because the comments above are not
related to the substantial clinical
improvement criterion of pending
applications, we are not providing a
response to them in this proposed rule.
3. FY 2009 Status of Technologies
Approved for FY 2008 Add-On
Payments
We did not approve any applications
for new technology add-on payments for
FY 2008. For additional information,
refer to the FY 2008 IPPS final rule with
comment period (72 FR 47305 through
47307).
4. FY 2009 Applications for New
Technology Add-On Payments
We received four applications to be
considered for new technology add-on
payment for FY 2009. A discussion of
each of these applications is presented
below. We note that, in the past, we
have considered applications that had
not yet received FDA approval, but were
anticipating FDA approval prior to
publication of the IPPS final rule. In
such cases, we generally provide a more
limited discussion of those technologies
in the proposed rule because it is not
known if these technologies will meet
the newness criterion in time for us to
conduct a complete analysis in the final
rule. This year, three out of four
applicants do not yet have FDA
approval. Consequently, we have
presented a limited analysis of them in
this proposed rule.
a. CardioWestTM Temporary Total
Artificial Heart System (CardioWestTM
TAH–t)
SynCardia Systems, Inc. submitted an
application for approval of the
CardioWestTM temporary Total Artificial
Heart system (TAH–t) for new
technology add-on payments for FY
2009. The TAH–t is a technology that is
used as a bridge to heart transplant
device for heart transplant-eligible
patients with end-stage biventricular
failure. The TAH–t pumps up to 9.5
liters of blood per minute. This high
level of perfusion helps improve
hemodynamic function in patients, thus
making them better heart transplant
candidates.
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The TAH–t was approved by the FDA
on October 15, 2004, for use as a bridge
to transplant device in cardiac
transplant-eligible candidates at risk of
imminent death from biventricular
failure. The TAH–t is intended to be
used in hospital inpatients. Some of the
FDA’s post-approval requirements
include that the manufacturer agree to
provide a post-approval study
demonstrating that the success of the
device at one center can be reproduced
at other centers. The study was to
include at least 50 patients who will be
followed up to 1 year, including (but not
limited to) the following endpoints;
survival to transplant, adverse events,
and device malfunction.
Presently, Medicare does not cover
artificial heart devices, including the
TAH–t. However, on February 01, 2008,
CMS proposed to reverse a national
noncoverage determination that would
extend coverage to this technology
within the confines of an FDA-approved
clinical study. (To view the proposed
National Coverage Determination (NCD),
we refer readers to the CMS Web site at
https://www.cms.hhs.gov/mcd/viewdraft
decisionmemo.asp?from2=
viewdraftdecisionmemo.asp&id=211&.)
Should this proposal be finalized, it
would become effective on May 01,
2008. Because Medicare’s existing
coverage policy with respect to this
device has precluded it from being paid
for by Medicare, we would not expect
the costs associated with this
technology to be currently reflected in
the data used to determine MS–DRGs
relative weights. As we have indicated
in the past, although we generally
believe that the newness period would
begin on the date that FDA approval
was granted, in cases where the
applicant can demonstrate a
documented delay in market availability
subsequent to FDA approval, we would
consider delaying the start of the
newness period. This technology’s
situation represents one such case. We
also note that section
1886(d)(5)(K)(ii)(II) of the Act requires
that we provide for the collection of cost
data for a new medical service or
technology for a period of at least 2
years and no more than 3 years
‘‘beginning on the date on which an
inpatient hospital code is issued with
respect to the service or technology.’’
Furthermore, the statute specifies that
the term ‘‘inpatient hospital code’’
means any code that is used with
respect to inpatient hospital services for
which payment may be made under the
IPPS and includes ICD–9–CM codes and
any subsequent revisions. Although the
TAH–t has been described by the ICD–
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9–CM code(s) (described below in the
cost threshold discussion) since the
time of its FDA approval, because the
TAH–t has not been covered under the
Medicare program (and, therefore, no
Medicare payment has been made for
this technology), this code is not ‘‘used
with respect to inpatient hospital
services for which payment’’ is made
under the IPPS, and thus we assume
that none of the costs associated with
this technology would be reflected in
the Medicare claims data used to
recalibrate the MS–DRG weights. For
this reason, despite its FDA approval
date, it appears that this technology
would still be eligible to be considered
‘‘new’’ for purposes of the new
technology add-on payment if and when
the proposal to reverse the national
noncoverage determination concerning
this technology is finalized. Therefore,
based on this information, it appears
that the TAH–t would meet the newness
criterion on the date that Medicare
coverage begins, should the proposed
NCD be finalized.
In an effort to demonstrate that TAH–
t would meet the cost criterion, the
applicant submitted data based on 28
actual cases of the TAH–t. The data
included 6 cases (or 21.4 percent of
cases) from 2005, 13 cases (or 46.5
percent of cases) from 2006, 7 cases (or
25 percent of cases) from 2007, and 2
cases (or 7.1 percent of cases) from
2008. Currently, cases involving the
TAH–t are assigned to MS–DRG 215
(Other Heart Assist System Implant). As
discussed below in this section, we are
proposing to remove the TAH–t from
MS–DRG 215 and reassign the TAH–t to
MS–DRGs 001 (Heart Transplant or
Implant of Heart Assist System with
MCC) and 002 (Heart Transplant or
Implant of Heart Assist System without
MCC). Therefore, to determine if the
technology meets the cost criterion, it is
appropriate to compare the average
standardized charge per case to the
thresholds for MS–DRGs 001, 002, and
215 included in Table 10 of the
November 27, 2007 interim final rule
(72 FR 66888 through 66889). The
thresholds for MS–DRGs 001, 002, and
215 from Table 10 are $345,031,
$178,142, and $151,824, respectively.
Based on the 28 cases the applicant
submitted, the average standardized
charge per case was $731,632. Because
the average standardized charge per case
is much greater than the thresholds
cited above for MS–DRG 215 (and MS–
DRGs 001 and 002, should the proposal
to reassign the TAH–t be finalized), the
applicant asserted that the TAH–t meets
the cost criterion whether or not the
costs were analyzed by using either a
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case-weighted threshold or caseweighted standardized charge per case.
In addition to analyzing the costs of
actual cases involving the TAH–t, the
applicant searched the FY 2006
MedPAR file to identify cases involving
patients who would have potentially
been eligible to receive the TAH–t. The
applicant submitted three different
MedPAR analyses. The first MedPAR
analysis involved a search for cases
using ICD–9–CM diagnosis code 428.0
(Congestive heart failure) in
combination with ICD–9–CM procedure
code 37.66 (Insertion of implantable
heart assist system), and an inpatient
hospital length of stay greater than or
equal to 60 days. The applicant found
two cases that met this criterion, which
had an average standardized charge per
case of $821,522. The second MedPAR
analysis searched for cases with ICD–9–
CM diagnosis code 428.0 (Congestive
heart failure) and one or more of the
following ICD–9–CM procedure codes:
37.51 (Heart transplant), 37.52
(Implantation of total heart replacement
system), 37.64 (Removal of heart assist
system), 37.66 (Insertion of implantable
heart assist system), or 37.68 (Insertion
of percutaneous external heart assist
device), and a length of stay greater than
or equal to 60 days. The applicant found
144 cases that met this criterion, which
had an average standardized charge per
case of $841,827. The final MedPAR
analysis searched for cases with ICD–9–
CM procedure code 37.51 (Heart
transplant) in combination with one of
the following ICD–9–CM procedure
codes: 37.52 (Implantation of total heart
replacement system), 37.65
(Implantation of external heart system),
or 37.66 (Insertion of implantable heart
assist system). The applicant found 37
cases that met this criterion, which had
an average standardized charge per case
of $896,601. Because only two cases met
the criterion for the first analysis,
consistent with historical practice, we
would not consider it to be of statistical
significance and, therefore, would not
rely upon it to demonstrate whether the
TAH–t would meet the cost threshold.
However, both of the additional
analyses seem to provide an adequate
number of cases to demonstrate whether
the TAH–t would meet the cost
threshold. We assume that none of the
costs associated with this technology
would be reflected in the MedPAR
analyses that the applicant used to
demonstrate that the technology would
meet the cost criterion. We note that,
under all three of the analyses the
applicant performed, it identified cases
that would have been eligible for the
TAH–t, but did not remove charges that
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were unrelated to the TAH–t, nor did
the applicant insert a proxy of charges
related to the TAH–t. However, as stated
above, the average standardized charge
per case is much greater than any of the
thresholds for MS–DRGs 001, 002, and
215. Therefore, even if the applicant
were to approximate what the costs of
cases eligible to receive the TAH–t
would have been by removing nonTAH–t associated charges and inserting
charges related to the TAH–t, it appears
that the average standardized charges
per case for cases eligible for the TAH–
t would exceed the relevant thresholds
from Table 10 (as discussed above) and
would therefore appear to meet the cost
criterion. We invite public comment on
whether TAH–t meets the cost criterion.
As noted in section II.G. of this
preamble, we are proposing to remove
the TAH–t from MS–DRG 215 and
reassign the TAH–t to MS–DRGs 001
and 002. As stated earlier, CMS is
proposing to reverse a national
noncoverage determination that would
extend coverage to artificial heart
devices within the confines of an FDAapproved clinical study, effective May
1, 2008. If this proposal is finalized, the
MCE will require both the procedure
code 37.52 (Implantation of total
replacement heart system) and the
diagnosis code reflecting clinical trial—
V70.7 (Examination of participant in
clinical trial). As we have previously
mentioned, the TAH–t appears to meet
the cost thresholds for MS–DRGs 001,
002, and 215. Therefore, its proposed
reassignment from MS–DRG 215 to MS–
DRGs 001 and 002 should have no
material effect on meeting the cost
thresholds in MS–DRGs 001 and 002
should the reassignment proposal be
finalized.
The manufacturer states that the
TAH–t is the only mechanical
circulatory support device intended as a
bridge-to-transplant for patients with
irreversible biventricular failure. It also
asserts that the TAH–t improves clinical
outcomes because it has been shown to
reduce mortality in patients who are
otherwise in end-stage heart failure. In
addition, the manufacturer claims that
the TAH–t provides greater
hemodynamic stability and end-organ
perfusion, thus making patients who
receive it better candidates for eventual
heart transplant. We welcome
comments from the public regarding
whether the TAH–t represents a
substantial clinical improvement.
We did not receive any written
comments or public comments at the
town hall meeting regarding the
substantial clinical improvement
aspects of this technology.
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b. Emphasys Medical Zephyr
Endobronchial Valve (Zephyr EBV)
Emphasys Medical submitted an
application for new technology add-on
payments for FY 2009 for the Emphasys
Medical Zephyr Endobronchial Valve
(Zephyr EBV). The Zephyr EBV is
intended to treat patients with
emphysema by reducing volume in the
diseased, hyperinflated portion of the
emphysematous lung with fewer risks
and complications than with more
invasive surgical alternatives. Zephyr
EBV therapy involves placing small,
one-way valves in the patients’ airways
to allow air to flow out of, but not into,
the diseased portions of the lung thus
reducing the hyperinflation. A typical
procedure involves placing three to four
valves in the target lobe using a
bronchoscope, and the procedure takes
approximately 20 to 40 minutes to
complete. The Zephyr EBVs are
designed to be relatively easy to place,
and are intended to be removable so
that, unlike more risky surgical
alternatives such as Lung Volume
Reduction Surgery (LVRS) or Lung
Transplant, the procedure has the
potential to be fully reversible.
Currently, the Zephyr EBV has yet
to receive approval from the FDA, but
the manufacturer indicated to CMS that
it expects to receive its FDA approval in
the second or third quarter of 2008.
Because the technology is not yet
approved by the FDA, we will limit our
discussion of this technology to data
that the applicant submitted, rather than
make specific proposals with respect to
whether the device would meet the new
technology add-on criteria.
In an effort to demonstrate that the
Zephyr EBV would meet the cost
criterion, the applicant searched the FY
2006 MedPAR file for cases with one of
the following ICD–9–CM diagnosis
codes: 492.0 (Emphysematous bleb),
492.8 (Other emphysema, NEC), or 496
(Chronic airway obstruction, NEC).
Based on the diagnosis codes searched
by the applicant, cases of the Zephyr
EBV would be most prevalent in MS–
DRGs 190 (Chronic Obstructive
Pulmonary Disease with MCC), 191
(Chronic Obstructive Pulmonary Disease
with CC), and 192 (Chronic Obstructive
Pulmonary Disease without CC/MCC).
The applicant found 1,869 cases (or 12.8
percent of cases) in MS–DRG 190, 5,789
cases (or 39.5 percent of cases) in MS–
DRG 191, and 6,995 cases (or 47.7
percent of cases) in MS–DRG 192
(which equals a total of 14,653 cases).
The average standardized charge per
case was $21,567 for MS–DRG 190,
$15,494 for MS–DRG 191, and $11,826
for MS–DRG 192. The average
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standardized charge per case does not
include charges related to the Zephyr
EBV; therefore, it is necessary to add the
charges related to the device to the
average standardized charge per case in
evaluating the cost threshold criteria.
Although the applicant submitted data
related to the estimated cost of the
Zephyr EBV per case, the applicant
noted that the cost of the device was
proprietary information because the
device is not yet available on the open
market. The applicant estimates $23,920
in charges related to the Zephyr EBV
(based on a 100 percent charge markup
of the cost of the device). In addition to
case-weighting the data based on the
amount of cases that the applicant
found in the FY 2006 MedPAR file, the
applicant case-weighted the data based
on its own projections of how many
Medicare cases it would expect to map
to MS–DRGs 190, 191, and 192 in FY
2009. The applicant projects that, 5
percent of the cases would map to MS–
DRG 190, 15 percent of the cases would
map to MS–DRG 191, and 80 percent of
the cases would map to MS–DRG 192.
Adding the charges related to the device
to the average standardized charge per
case (based on the applicant’s projected
case distribution) resulted in a caseweighted average standardized charge
per case of $36,782 ($12,862 plus
$23,920). Using the thresholds
published in Table 10 (72 FR 66889),
the case-weighted threshold for MS–
DRGs 190, 191, and 192 was $18,394.
Because the case-weighted average
standardized charge per case for the
applicable MS–DRGs exceed the caseweighted threshold amount, the
applicant maintains that the Zephyr
EBV would meet the cost criterion. As
noted above, the applicant also
performed a case-weighted analysis of
the data based on the 14,653 cases the
applicant found in the FY 2006
MedPAR file. Based on this analysis, the
applicant found that the case-weighted
average standardized charge per case
($38,441 based on the 14,653 cases)
exceeded the case-weighted threshold
($20,606 based on the 14,653 cases).
Based on both analyses described above,
it appears that the applicant would meet
the cost criterion. We invite public
comment on whether Zephyr EBV
meets the cost criterion.
The applicant asserts that the
Zephyr EBV is a substantial clinical
improvement because it provides a new
therapy along the continuum of care for
patients with emphysema that offers
improvement in lung function over
standard medical therapy while
incurring significantly less risk than
more invasive treatments such as LVRS
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and lung transplant. Specifically, the
applicant submitted data from the
ongoing pivotal Endobronchial Valve for
Emphysema Palliation (VENT) trial,14
which compared 220 patients who
received EBV treatment to 101 patients
who received standard medical therapy,
including bronchodilators, steroids,
mucolytics, and supplemental oxygen.
At 6 months, patients who received the
Zephyr EBV had an average of 7.2
percent and 5.8 percent improvement
(compared to standard medical therapy)
in the primary effectiveness endpoints
of the Forced Expiratory Volume in 1
second test (FEV1), and the 6 Minute
Walk Test (6MWT), respectively. Both
results were determined by the
applicant to be statistically significant.
The FEV1 results were determined
using the t-test parametric confidence
intervals (the p value determined using
the one-side t-test adjusted for unequal
variance) and the 6MWT results were
determined using the Mann-Whitney
nonparametric confidence intervals (the
p value was calculated using the onesided Wilcoxon rank sum test).
However, the data also showed that
patients who received the Zephyr EBV
experienced a number of adverse events,
including hemoptyis, pneumonia,
respiratory failure, pneumothorax, and
COPD exacerbations, as well as valve
migrations and expectorations that, in
some cases, required repeat
bronchoscopy. The manufacturer also
submitted the VENT pivotal trial 1-year
follow-up data, but has requested that
the data not be disclosed because it has
not yet been presented publicly nor
published in a peer-reviewed journal.
While CMS recognizes that the
Zephyr EBV therapy is significantly
less risky than LVRS and lung
transplant, we are concerned that the
benefits as shown in the VENT pivotal
trial may not outweigh the risks when
compared with medical therapy alone.
Further, we note that, according to the
applicant, the Zephyr EBV is intended
for use in many patients who are
ineligible for LVRS and/or lung
transplant (including those too sick to
undergo more invasive surgery and
those with lower lobe predominant
disease distribution), but that certain
patients (that is, those with upper lobe
predominant disease distribution) could
be eligible for either surgery or the
Zephyr EBV. We welcome comments
from the public on both the patient
population who would be eligible for
the technology, and whether the
14 Strange, Charlie., et al., design of the
Endobronchial Valve for Emphysema Palliation trial
(VENT): A Nonsurgical Method of Lung Volume
Reduction, BMC Pulmonary Medicine. 2007; 7:10.
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Zephyr EBV represents a substantial
clinical improvement in the treatment of
patients with emphysema.
We received written comments from
the manufacturer and its presenters at
the town hall meeting clarifying some
questions that were raised at the town
hall meeting. Specifically, these
commenters explained that, in general,
the target population for the Zephyr
EBV device was the same population
that could benefit from LVRS, and also
includes some patients who were too
sick to undergo surgery. The
commenters also explained that patients
with emphysema with more
heterogeneous lung damage were more
likely to benefit from the device.
We welcome public comments
regarding where exactly this technology
falls in the continuum of care of patients
with emphysema, and for whom the
risk/benefit ratio is most favorable.
c. Oxiplex
FzioMed, Inc. submitted an
application for new technology add-on
payments for FY 2009 for Oxiplex.
Oxiplex is an absorbable, viscoelastic
gel made of carboxymethylcellulose
(CMC) and polyethylene oxide (PEO)
that is intended to be surgically
implanted during a posterior
discectomy, laminotomy, or
laminectomy. The manufacturer asserts
that the gel reduces the potential for
inflammatory mediators that injure,
tether, or antagonize the nerve root in
the epidural space by creating an
acquiescent, semi-permeable
environment to protect against localized
debris. These proinflammatory
mediators (phospholipase A and nitric
oxide), induced or extruded by
intervertebral discs, may be responsible
for increased pain during these
procedures. The manufacturer also
asserts that Oxiplex is a unique
material in that it coats tissue, such as
the nerve root in the epidural space, to
protect the nerve root from the effects of
inflammatory mediators originating
from either the nucleus pulposus, from
blood derived inflammatory cells, or
cytokines during the healing process.
Oxiplex is expecting to receive
premarket approval from the FDA by
June 2008. Because the technology is
not yet approved by the FDA, we will
limit our discussion of this technology
to data that the applicant submitted,
rather than make specific proposals
with respect to whether the device
would meet the new technology add-on
payment criteria.
With regard to the newness criterion,
we are concerned that Oxiplex may be
substantially similar to adhesion
barriers that have been on the market for
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several years. We also note that
Oxiplex has been marketed as an
adhesion barrier in other countries
outside of the United States. The
manufacturer maintains that Oxiplex
is different from adhesion barriers in
several ways, including chemical
composition, method of action, surgical
application (that is, it is applied
liberally to the nerve root and
surrounding neural tissues as opposed
to minimally only to nerve elements),
and tissue response (noninflammatory
as opposed to inflammatory). We
welcome comments from the public on
this issue.
In an effort to demonstrate that the
technology meets the cost criterion, the
applicant searched the FY 2006
MedPAR file for cases with ICD–9–CM
procedure codes 03.09 (Other
exploration and decompression of
spinal canal) or 80.51 (Excision of
interveterbral disc) that mapped to CMS
DRGs 499 and 500 (CMS DRGs 499 and
500 are crosswalked to MS–DRGs 490
and 491 (Back and Neck Procedures
except Spinal Fusion with or without
CC)). Because these cases do not include
charges associated with the technology,
the applicant determined it was
necessary to add an additional $7,143 in
charges to the average standardized
charge per case of cases that map to
MS–DRGs 490 and 491. (To do this, the
applicant used a methodology of
inflating the costs of the technology by
the average CCR computed by using the
average costs and charges for supplies
for cases with ICD–9–CM procedure
codes 03.09 and 80.51 that map to MS–
DRGs 490 and 491). Of the 221,505
cases the applicant found, 95,340 cases
(or 43 percent of cases) would map to
MS–DRG 490, which has an average
standardized charge of $60,301, and
126,165 cases (or 57 percent of cases)
would map to MS–DRG 491, which has
an average standardized charge per case
of $43,888. This resulted in a caseweighted average standardized charge
per case of $50,952. The case-weighted
threshold for MS–DRGs 490 and 491
was $27,481. Because the case-weighted
average standardized charge per case
exceeds the case-weighted threshold in
MS–DRGs 490 and 491, the applicant
maintains that Oxiplex would meet
the cost criterion. We invite public
comment on whether Oxiplex meets
the cost criterion.
The manufacturer maintains that
Oxiplex is a substantial clinical
improvement because it ‘‘creates a
protective environment around the
neural tissue that limits nerve root
exposure to post-surgical irritants and
damage and thus reduces adverse
outcomes associated with Failed Back
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Surgery Syndrome (FBSS) following
surgery.’’ The manufacturer also claims
that the Oxiplex gel reduces leg and
back pain after discectomy,
laminectomy, and laminotomy. The
manufacturer also asserts that the use of
Oxiplex is consistent with fewer
revision surgeries. (During the FDA
Investigational Device Exemption (IDE)
trial, one Oxiplex patient required
revision surgery compared to six control
patients.) However, as we noted
previously in this section, we are
concerned that Oxiplex may be
substantially similar to adhesion
barriers that have been on the market for
several years. We are also concerned
that even if we were to determine that
Oxiplex is not substantially similar to
existing adhesion barriers, there may
still be insufficient evidence to support
the manufacturer’s claims that Oxiplex
reduces pain associated with spinal
surgery. In addition, we have found no
evidence to support the manufacturer’s
claims regarding mode of action, degree
of dural healing, degree of wound
healing, and local tissue response such
as might be shown in animal studies.
We welcome comments from the public
regarding whether Oxiplex represents
a substantial clinical improvement.
We did not receive any written
comments or public comments at the
town hall meeting regarding the
substantial clinical improvement
aspects of this technology.
d. TherOx Downstream System
TherOx, Inc. submitted an application
for new technology add-on payments for
FY 2009 for the TherOx Downstream
System (Downstream System). The
Downstream System uses
SuperSaturatedOxygen Therapy (SSO2)
that is designed to limit myocardial
necrosis by minimizing microvascular
damage in acute myocardial infarction
(AMI) patients following intervention
with Percutaneous Transluminal
Coronary Angioplasty (PTCA), and
coronary stent placement by perfusing
the affected myocardium with blood
that has been supersaturated with
oxygen. SSO2 therapy refers to the
delivery of superoxygenated arterial
blood directly to areas of myocardial
tissue that have been reperfused using
PTCA and stent placement, but which
may still be at risk. The desired effect
of SSO2 therapy is to reduce infarct size
and thus preserve heart muscle and
function. The DownStream System is
the console portion of a disposable
cartridge-based system that withdraws a
small amount of the patient’s arterial
blood, mixes it with a small amount of
saline, and supersaturates it with
oxygen to create highly oxygen-enriched
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blood. The superoxygenated blood is
delivered directly to the infarct-related
artery via the TherOx infusion catheter.
SSO2 therapy is a catheter laboratorybased procedure. Additional time in the
catheter lab area is an average of 100
minutes. The manufacturer claims that
the SSO2 therapy duration lasts 90
minutes and requires an additional 10
minutes post-procedure preparation for
transfer time. The TherOx
Downstream System is currently not
FDA approved; however, the
manufacturer states that it expects to
receive FDA approval in the second
quarter of 2008. Because the technology
is not yet approved by the FDA, we will
limit our discussion of this technology
to data that the applicant submitted,
rather than make specific proposals
with respect to whether the device
would meet the new technology add-on
criteria.
In an effort to demonstrate that it
would meet the cost criterion, the
applicant submitted two analyses. The
applicant believes that cases that would
be eligible for the Downstream System
would most frequently group to MS–
DRGs 246 (Percutaneous Cardiovascular
Procedure with Drug-Eluting Stent with
MCC or 4+Vessels/Stents), 247
(Percutaneous Cardiovascular Procedure
with Drug-Eluting Stent without MCC),
248 (Percutaneous Cardiovascular
Procedure with Non-Drug-Eluting Stent
with MCC or 4+Vessels/Stents), and 249
(Percutaneous Cardiovascular Procedure
with Non-Drug-Eluting Stent without
MCC). The first analysis used data based
on 83 clinical trial patients from 10
clinical sites. Of the 83 cases, 78 were
assigned to MS–DRGs 246, 247, 248, or
249. The data showed that 32 of these
patients were 65 years old or older.
There were 12 cases (or 15.4 percent of
cases) in MS–DRG 246, 56 cases (or 71.8
percent of cases) in MS–DRG 247, 2
cases (or 2.6 percent of cases) in MS–
DRG 248, and 8 cases (or 10.3 percent
of cases) in MS–DRG 249. (The
remaining five cases grouped to MS–
DRGs that the technology would not
frequently group to and therefore are not
included in this analysis.) The average
standardized charge per case for MS–
DRGs 246, 247, 248, and 249 was
$66,730, $53,963, $54,977, and $41,594,
respectively. The case-weighted average
standardized charge per case for the four
MS–DRGs listed above is $54,665. Based
on the threshold from Table 10 (72 FR
66890), the case-weighted threshold for
the four MS–DRGs listed above was
$49,303. The applicant also searched
the FY 2006 MedPAR file to identify
cases that would be eligible for the
Downstream System. The applicant
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specifically searched for cases with
primary ICD–9–CM diagnosis code
410.00 (Acute myocardial infarction of
anterolateral wall with episode of care
unspecified), 410.01 (Acute myocardial
infarction of anterolateral wall with
initial episode of care), 410.10 (Acute
myocardial infarction of other anterior
wall with episode of care unspecified),
or 410.11 (Acute myocardial infarction
of other anterior wall with initial
episode of care) in combination with
ICD–9–CM procedure code of 36.06
(Insertion of non-drug-eluting coronary
artery stent(s)) or 36.07 (Insertion of
drug-eluting coronary artery stent(s)).
The applicant’s search found 13,527
cases within MS–DRGs 246, 247, 248,
and 249 distributed as follows: 2,287
cases (or 16.9 percent of cases) in MS–
DRG 246; 9,691 cases (or 71.6 percent of
cases) in MS–DRG 247; 402 cases (or 3
percent of cases) in MS–DRG 248; and
1,147 cases (or 8.5 percent of cases) in
MS–DRG 249. Not including the charges
associated with the technology, the
geometric mean standardized charge per
case for MS–DRGs 246, 247, 248, and
249 was $59,631, $42,357, $49,718 and
$37,446, respectively. Therefore, based
on this analysis, the total case-weighted
geometric mean standardized charge per
case across these MS–DRGs was
$45,080. The applicant estimated that it
was necessary to add an additional
$21,620 in charges to the total caseweighted geometric mean standardized
charge per case. The applicant included
charges for supplies and tests related to
the technology, charges for 100 minutes
of additional procedure time in the
catheter laboratory and charges for the
technology itself in the additional
charge amount referenced above. The
inclusion of these charges would result
in a total case-weighted geometric mean
standardized charge per case of $66,700.
The case-weighted threshold for MS–
DRGs 246, 247, 248, and 249 (from
Table 10 (72 FR 66889)) was $49,714.
Because the total case-weighted average
standardized charge per case from the
first analysis and the case-weighted
geometric mean standardized charge per
case from the second analysis exceeds
the applicable case-weighted threshold,
the applicant maintains the
Downstream System would meet the
cost criterion. We invite public
comment on whether Downstream
System meets the cost criterion.
The applicant asserts that the
Downstream System is a substantial
clinical improvement because it reduces
infarct size in acute AMI where PTCA
and stent placement have also been
performed. Data was submitted from the
Acute Myocardial Infarction Hyperbaric
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Oxygen Treatment (AMIHOT) II trial,
which was presented at the October
2007 Transcatheter Cardiovascular
Therapeutics conference, but has not
been published in peer reviewed
literature, that showed an average of 6.5
percent reduction in infarct size as
measured with Tc–99m Sestamibi
imaging in patients who received
supersaturated oxygen therapy. We note
that those patients also showed a
significantly higher incidence of
bleeding complications. While we
recognize that a reduction of infarct size
may correlate with improved clinical
outcomes, we question whether the
degree of infarct size reduction found in
the trial represents a substantial clinical
improvement, particularly in light of the
apparent increase in bleeding
complications. We welcome comments
from the public on this matter.
We received one written comment
from the manufacturer clarifying
questions that were raised at the town
hall meeting. Specifically, the
commenter explained the methodology
of Tc–99m Sestamibi scanning and
interpretation in the AMIHOT II trial. In
addition, the commenter explained that
the AMIHOT 15 and AMIHOT II trials
did not attempt to measure differences
in heart failure outcomes nor mortality
outcomes.
jlentini on PROD1PC65 with PROPOSALS2
5. Proposed Regulatory Change
Section 1886(d)(5)(K)(i) of the Act
directs us to establish a mechanism to
recognize the cost of new medical
services and technologies under the
IPPS, with such mechanism established
after notice and opportunity for public
comment. In accordance with this
authority, we established at § 412.87(b)
of our regulations criteria that a medical
service or technology must meet in
order to qualify for the additional
payment for new medical services and
technologies. Specifically, we evaluate
applications for new medical service or
technology add-on payment by
determining whether they meet the
criteria of newness, adequacy of
payment, and substantial clinical
improvement.
As stated in section III.J.1. of the
preamble of this proposed rule,
§ 412.87(b)(2) of our existing regulations
provides that a specific medical service
or technology will be considered new
for purposes of new medical service or
technology add-on payments after the
15 Oneill, WW., et al., Acute Myocardial
Infarction with Hyperoxemic Therapy (AMIHOT): A
Prospective Randomized Trial of Intracoronary
Hyperoxemic Reperfusion after Percutaneous
Coronary Intervention. Journal of the American
College of Cardiology, Vol. 50, No. 5, 2007, pp. 397–
405.
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point at which data begin to become
available reflecting the ICD–9–CM code
assigned to the new service or
technology. The point at which these
data become available typically begins
when the new medical service or
technology is first introduced on the
market, generally on the date that the
medical service or technology receives
FDA approval. Accordingly, for
purposes of the new medical service or
technology add-on payment, a medical
service or technology cannot be
considered new prior to the date on
which FDA approval is granted.
In addition, as stated in section III.J.1.
of the preamble of this proposed rule,
§ 412.87(b)(3) of our existing regulations
provides that, to be eligible for the addon payment for new medical services or
technologies, the DRG prospective
payment rate otherwise applicable to
the discharge involving the new medical
service or technology must be assessed
for adequacy. Under the cost criterion,
to assess the adequacy of payment for a
new medical service or technology paid
under the applicable DRG prospective
payment rate, we evaluate whether the
charges for cases involving the new
medical service or technology exceed
certain threshold amounts.
Section 412.87(b)(1) of our existing
regulations provides that, to be eligible
for the add-on payment for new medical
services or technologies, the new
medical service or technology must
represent an advance that substantially
improves, relative to technologies
previously available, the diagnosis or
treatment of Medicare beneficiaries. In
addition, § 412.87(b)(1) states that CMS
will announce its determination as to
whether a new medical service or
technology meets the substantial
clinical improvement criteria in the
Federal Register as part of the annual
updates and changes to the IPPS.
Since the implementation of the
policy on add-on payments for new
medical services and technologies, we
accept applications for add-on payments
for new medical services and
technologies on an annual basis by a
specified deadline. For example,
applications for FY 2009 were
submitted in November 2007. After
accepting applications, CMS then
evaluates them in the annual IPPS
proposed and final rules to determine
whether the medical service or
technology is eligible for the new
medical service or technology add-on
payment. If an application meets each of
the eligibility criteria, the medical
service or technology is eligible for new
medical service or technology add-on
payments beginning on the first day of
the new fiscal year (that is, October 1).
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We have advised prior and potential
applicants that we evaluate whether a
medical service or technology is eligible
for the new medical service or
technology add-on payments prior to
publication of the final rule setting forth
the annual updates and changes to the
IPPS, with the results of our
determination announced in the final
rule. We announce our results in the
final rule for each fiscal year because we
believe predictability is an important
aspect of the IPPS and that it is
important to apply a consistent payment
methodology for new medical services
or technologies throughout the entire
fiscal year. For example, hospitals must
train their billing and other staff after
publication of the final rule to properly
implement the coding and payment
changes for the upcoming fiscal year set
forth in the final rule. In addition,
hospitals’ budgetary process and
clinical decisions regarding whether to
utilize new technologies are based in
part on the applicable payment rates
under the IPPS for the upcoming fiscal
year, including whether the new
medical services or technologies qualify
for the new medical service or
technology add-on payment. If CMS
were to make multiple payment changes
under the IPPS during a fiscal year,
these changes could adversely affect the
decisions hospitals implement at the
beginning of the fiscal year. For these
reasons, we believe applications for new
medical service or technology add-on
payments should be evaluated prior to
publication of the final IPPS rule for
each fiscal year. Therefore, if an
application does not meet the new
medical service or technology add-on
payment criteria prior to publication of
the final rule, it will not be eligible for
the new medical service or technology
add-on payments for the fiscal year for
which it applied for the add-on
payments.
Because we make our determination
regarding whether a medical service or
technology meets the eligibility criteria
for the new medical service or
technology add-on payments prior to
publication of the final rule, we have
advised both past and potential
applicants that their medical service or
technology must receive FDA approval
early enough in the IPPS rulemaking
cycle to allow CMS enough time to fully
evaluate the application prior to the
publication of the IPPS final rule.
Moreover, because new medical services
or technologies that have not received
FDA approval do not meet the newness
criterion, it would not be necessary or
prudent for us to make a final
determination regarding whether a new
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medical service or technology meets the
cost threshold and substantial clinical
improvement criteria prior to the
medical service or technology receiving
FDA approval. In addition, we do not
believe it is appropriate for CMS to
determine whether a medical service or
technology represents a substantial
clinical improvement over existing
technologies before the FDA makes a
determination as to whether the medical
service or technology is safe and
effective. For these reasons, we first
determine whether a medical service or
technology meets the newness criteria,
and only if so, do we then make a
determination as to whether the
technology meets the cost threshold and
represents a substantial clinical
improvement over existing medical
services or technologies. For example,
even if an application has FDA
approval, if the medical service or
technology is beyond the timeline of 2–
3 years to be considered new, in the past
we have not made a determination on
the cost threshold and substantial
clinical improvement. Further, as we
have discussed in prior final rules (69
FR 49018–49019 and 70 FR 47344), it is
our past and present practice to analyze
the new medical service or technology
add-on payment criteria in the following
sequence: Newness, cost threshold, and
finally substantial clinical
improvement. Under our proposal in
this proposed rule, we would continue
this practice of analyzing the eligibility
criteria in this sequence and announce
in the annual Federal Register as part of
the annual updates and changes to the
IPPS our determination on whether a
medical service or technology meets the
eligibility criteria in § 412.87(b).
In the interest of more clearly defining
the parameters under which CMS can
fully and completely evaluate new
medical service or technology add-on
payment applications, we are proposing
to amend the regulations at § 412.87 by
adding a new paragraph (c) to codify our
current policy and specify that CMS
will consider whether a new medical
service or technology meets the
eligibility criteria in § 412.87(b) and
announce the results in the Federal
Register as part of the annual updates
and changes to the IPPS. As a result, we
are proposing to remove the duplicative
text in § 412.87(b)(1) that specifies that
CMS will determine whether a new
medical service or technology meets the
substantial clinical improvement
criteria and announce the results of its
determination in the Federal Register as
part of the annual updates and changes
to the IPPS. We note that this proposal
is not a change to our current policy, as
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we have always given consideration to
whether an application meets the new
medical service or technology eligibility
criteria in the annual IPPS proposed and
final rules. Rather, this proposal simply
codifies our current practice of fully
evaluating new medical service or
technology add-on payment
applications prior to publication of the
final rule in order to maintain
predictability within the IPPS for the
upcoming fiscal year.
In addition, we are proposing in new
paragraph (c) of § 412.87 to set July 1 of
each year as the deadline by which IPPS
new medical service or technology addon payment applications must receive
FDA approval. This proposed deadline
should provide us with enough time to
fully consider all of the new medical
service or technology add-on payment
criteria for each application and
maintain predictability in the IPPS for
the coming fiscal year.
Finally, under this proposal,
applications that have not received FDA
approval by July 1 would not be
considered in the final rule, even if they
were summarized in the corresponding
IPPS proposed rule. However,
applications that receive FDA approval
of the medical service or technology
after July 1 would be able to reapply for
the new medical service or technology
add-on payment the following year (at
which time they would be given full
consideration in both the IPPS proposed
and final rules).
In summary, for the reasons cited
above, we are proposing to revise
§ 412.87 to remove the second sentence
of (b)(1) and add a new paragraph (c) to
codify our current practice of how CMS
evaluates new medical service or
technology add-on payment
applications and establish in paragraph
(c) a deadline of July 1 of each year as
the deadline by which IPPS new
medical service or technology add-on
payment applications must receive FDA
approval in order to be fully evaluated
in the applicable IPPS final rule each
year.
III. Proposed Changes to the Hospital
Wage Index
A. Background
Section 1886(d)(3)(E) of the Act
requires that, as part of the methodology
for determining prospective payments to
hospitals, the Secretary must adjust the
standardized amounts ‘‘for area
differences in hospital wage levels by a
factor (established by the Secretary)
reflecting the relative hospital wage
level in the geographic area of the
hospital compared to the national
average hospital wage level.’’ In
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accordance with the broad discretion
conferred under the Act, we currently
define hospital labor market areas based
on the definitions of statistical areas
established by the Office of Management
and Budget (OMB). A discussion of the
proposed FY 2009 hospital wage index
based on the statistical areas, including
OMB’s revised definitions of
Metropolitan Areas, appears under
section III.C. of this preamble.
Beginning October 1, 1993, section
1886(d)(3)(E) of the Act requires that we
update the wage index annually.
Furthermore, this section provides that
the Secretary base the update on a
survey of wages and wage-related costs
of short-term, acute care hospitals. The
survey must exclude the wages and
wage-related costs incurred in
furnishing skilled nursing services. This
provision also requires us to make any
updates or adjustments to the wage
index in a manner that ensures that
aggregate payments to hospitals are not
affected by the change in the wage
index. The proposed adjustment for FY
2009 is discussed in section II.B. of the
Addendum to this proposed rule.
As discussed below in section III.I. of
this preamble, we also take into account
the geographic reclassification of
hospitals in accordance with sections
1886(d)(8)(B) and 1886(d)(10) of the Act
when calculating IPPS payment
amounts. Under section 1886(d)(8)(D) of
the Act, the Secretary is required to
adjust the standardized amounts so as to
ensure that aggregate payments under
the IPPS after implementation of the
provisions of sections 1886(d)(8)(B) and
(C) and 1886(d)(10) of the Act are equal
to the aggregate prospective payments
that would have been made absent these
provisions. The proposed budget
neutrality adjustment for FY 2009 is
discussed in section II.A.4.b. of the
Addendum to this proposed rule.
Section 1886(d)(3)(E) of the Act also
provides for the collection of data every
3 years on the occupational mix of
employees for short-term, acute care
hospitals participating in the Medicare
program, in order to construct an
occupational mix adjustment to the
wage index. A discussion of the
occupational mix adjustment that we
are proposing to apply beginning
October 1, 2008 (the FY 2009 wage
index) appears under section III.D. of
this preamble.
B. Requirements of Section 106 of the
MIEA–TRHCA
1. Wage Index Study Required Under
the MIEA–TRHCA
Section 106(b)(1) of the MIEA–
TRHCA (Pub. L. 109–432) required
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MedPAC to submit to Congress, not later
than June 30, 2007, a report on the
Medicare wage index classification
system applied under the Medicare
IPPS. Section 106(b) of MIEA–TRHCA
required the report to include any
alternatives that MedPAC recommends
to the method to compute the wage
index under section 1886(d)(3)(E) of the
Act.
In addition, section 106(b)(2) of the
MIEA–TRHCA instructed the Secretary
of Health and Human Services, taking
into account MedPAC’s
recommendations on the Medicare wage
index classification system, to include
in this FY 2009 IPPS proposed rule one
or more proposals to revise the wage
index adjustment applied under section
1886(d)(3)(E) of the Act for purposes of
the IPPS. The proposal (or proposals)
must consider each of the following:
• Problems associated with the
definition of labor markets for the wage
index adjustment.
• The modification or elimination of
geographic reclassifications and other
adjustments.
• The use of Bureau of Labor of
Statistics data or other data or
methodologies to calculate relative
wages for each geographic area.
• Minimizing variations in wage
index adjustments between and within
MSAs and statewide rural areas.
• The feasibility of applying all
components of CMS’ proposal to other
settings.
• Methods to minimize the volatility
of wage index adjustments while
maintaining the principle of budget
neutrality.
• The effect that the implementation
of the proposal would have on health
care providers on each region of the
country.
• Methods for implementing the
proposal(s) including methods to phase
in such implementations.
• Issues relating to occupational mix
such as staffing practices and any
evidence on quality of care and patient
safety including any recommendation
for alternative calculations to the
occupational mix.
In its June 2007 Report to Congress,
‘‘Report to the Congress: Promoting
Greater Efficiency in Medicare’’
(Chapter 6 with Appendix), MedPAC
made three broad recommendations
regarding the wage index:
(1) Congress should repeal the
existing hospital wage index statute,
including reclassifications and
exceptions, and give the Secretary
authority to establish a new wage index
system;
(2) The Secretary should establish a
hospital compensation index that—
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• Uses wage data from all employers
and industry-specific occupational
weights;
• Is adjusted for geographic
differences in the ratio of benefits to
wages;
• Is adjusted at the county level and
smoothes large differences between
counties; and
• Is implemented so that large
changes in wage index values are
phased in over a transition period; and
(3) The Secretary should use the
hospital compensation index for the
home health and skilled nursing facility
prospective payment systems and
evaluate its use in the other Medicare
fee-for-service prospective payment
systems.
The full June 2007 Report to Congress
is available at the Web site: https://
www.medpac.gov/documents/
Jun07_EntireReport.pdf).
In the presentation and analysis of its
alternative wage index system, MedPAC
addressed almost all of the nine points
for consideration under section
106(b)(2) of Pub. L. 109–432. Following
are the highlights of the alternative wage
index system recommended by
MedPAC:
• Although the MedPAC
recommended wage index generally
retains the current labor market
definitions, it supplements the
metropolitan areas with county-level
adjustments and eliminates single wage
index values for rural areas.
• In the MedPAC recommended
wage index, the county-level
adjustments, together with a smoothing
process that constrains the magnitude of
differences between and within
contiguous wage areas, serve as a
replacement for geographical
reclassifications.
• The MedPAC recommended wage
index uses BLS data instead of the CMS
hospital wage data collected on the
Medicare cost report. MedPAC adjusts
the BLS data for geographic differences
in the ratio of benefits to wages using
Medicare cost report data.
• The BLS data are collected from a
sample of all types of employers, not
just hospitals. The MedPAC
recommended wage index could be
adapted to other providers such as
HHAs and SNFs by replacing hospital
occupational weights with occupational
weights appropriate for other types of
providers.
• In the MedPAC recommended
wage index, volatility over time is
addressed by the use of BLS data, which
is based on a 3-year rolling sample
design.
• MedPAC recommends a phased
implementation for its recommended
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wage index in order to cushion the
effect of large wage index changes on
individual hospitals.
• MedPAC suggests that using BLS
data automatically addresses
occupational mix differences, because
the BLS data are specific to health care
occupations, and national industry-wide
occupational weights are applied to all
geographic areas.
• The MedPAC report does not
provide any evidence of the impact of
its wage index on staffing practices or
the quality of care and patient safety.
To assist CMS in meeting the
requirements of section 106(b)(2) of Pub.
L. 109–432, in February 2008, CMS
awarded a Task Order under its
Expedited Research and Demonstration
Contract, to Acumen, LLC. The two
general responsibilities of the Task
Order are to (1) conduct a detailed
impact analysis that compares the
effects of MedPAC’s wage and hospital
compensation indexes with the CMS
wage index and (2) assist CMS in
developing a proposal (or proposals)
that addresses the nine points for
consideration under section 106(b)(2) of
Pub. L. 109–432. Specifically, the tasks
under the Task Order include, but are
not limited to, an evaluation of whether
differences between the two types of
wage data (that is, CMS cost report and
occupational mix data and BLS data)
produce significant differences in wage
index values among labor market areas,
a consideration of alternative methods
of incorporating benefit costs into the
construction of the wage index, a review
of past and current research on
alternative labor market area definitions,
and a consideration of how aspects of
the MedPAC recommended wage index
can be applied to the CMS wage data in
constructing a new methodology for the
wage index. We will present any
analyses and proposals resulting from
this Task Order in the FY 2009 IPPS
final rule or in a special Federal
Register notice issued after the final rule
is published.
2. CMS Proposals in Response to
Requirements Under Section 106(b) of
the MIEA–TRHCA
As discussed in section III.A. of this
preamble, the purpose of the hospital
wage index is to adjust the IPPS
standardized payment to reflect labor
market area differences in wage levels.
The geographic reclassification system
exists in order to assist ‘‘hospitals which
are disadvantaged by their current
geographic classification because they
compete with hospitals that are located
in the geographic area to which they
seek to be reclassified’’ (56 FR 25469).
Geographic reclassification is
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established under section 1886(d)(10) of
the Act and is implemented through 42
CFR Part 412, Subpart L. (We refer
readers to section III.I. of this preamble
for a detailed discussion of the
geographic reclassification system and
other area wage index exceptions.)
In its June 2007 Report to Congress,
MedPAC discussed its findings that
geographic reclassification, and
numerous other area wage index
exceptions added to the system over the
years, have created major complexities
and ‘‘troubling anomalies’’ in the
hospital wage index. A review of the
IPPS final rules reveals a long history of
legislative changes that have permitted
certain hospitals, that otherwise would
not be able to reclassify under section
1886(d)(10) of the Act, to receive a
higher wage index than calculated for
their geographic area. MedPAC reports
that more than one-third of hospitals
now receive a higher wage index due to
geographic reclassification or other
wage index exceptions. We are
concerned about the integrity of the
current system, and agree with MedPAC
that the process has become
burdensome.
As noted above, MedPAC
recommended the elimination of
geographic reclassification and other
wage index exceptions. In addition, the
President’s FY 2009 Budget included a
proposal to apply the geographic
reclassification budget neutrality
requirement at the State level rather
than by adjusting the standardized rate
for hospitals nationwide. Given the
language in section 1886(d)(10) of the
Act establishing the MGCRB, we believe
a statutory change would be required to
make these changes. However, we do
have the authority to make some
regulatory changes to the
reclassification system as discussed
below. We note that these proposals do
not preclude future consideration of
MedPAC’s recommendations that could
be implemented through additional
changes to our regulations, once our
analysis of those recommendations is
complete (after the publication of the FY
2009 IPPS proposed rule).
a. Proposed Revision of the
Reclassification Average Hourly Wage
Comparison Criteria
Regulations at 42 CFR 413.230(d)(1)
set forth the average hourly wage
comparison criteria that an individual
hospital must meet in order for the
MGCRB to approve a geographic
reclassification application. Our current
criteria (requiring an urban hospital to
demonstrate that its average hourly
wage is at least 108 percent of the
average hourly wage of hospitals in the
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area in which the hospital is located and
at least 84 percent of the average hourly
wage of hospitals in the area to which
it seeks redesignation) were adopted in
the FY 1993 IPPS final rule (57 FR
39825). In that final rule, we explained
that the 108 percent threshold ‘‘is based
on the national average hospital wage as
a percentage of its area wage (96
percent) plus one standard deviation (12
percent).’’ We also explained that we
would use the 84-percent threshold to
reflect the average hospital wage of the
hospital as a percentage of its area wage
less one standard deviation. We stated
that ‘‘to qualify for a wage index
reclassification, a hospital must have an
average hourly wage that is more than
one national standard deviation above
its original labor market area and not
less than one national standard
deviation below its new labor market
area’’ (57 FR 39770). In response to
numerous public comments we
received, we expressed our policy and
legal justifications for adopting the
specific thresholds. Among other things,
we stated that geographic
reclassifications must be viewed not just
in terms of those hospitals that are
reclassifying, but also in terms of the
nonreclassifying hospitals that, through
a budget neutrality adjustment, are
required to bear a financial burden
associated with the higher wage indices
received by those hospitals that
reclassify. We also indicated that the
Secretary has ample legal authority
under section 1886(d)(10) of the Act to
set the wage comparison thresholds and
to revise such thresholds upon further
review. We refer readers to that final
rule for a full discussion of our
justifications for the standards.
In the FY 2000 IPPS final rule (65 FR
47089 through 47090), the wage
comparison criteria for rural hospitals
seeking individual hospital
reclassifications were reduced to 82
percent and 106 percent to compensate
for the historic economic
underperformance of rural hospitals.
The 2-percent drop in both thresholds
was determined to allow a significant
benefit to some hospitals that were close
to meeting the existing criteria but
would not make the reclassification
standards overly liberal for rural
hospitals.
CMS has not evaluated or recalibrated
the average hourly wage criteria for
geographic reclassification since they
were established in FY 1993. In
consideration of the MIEA–TRHCA
requirements and MedPAC’s finding
that over one-third of hospitals are
receiving a reclassified wage index or
other wage index adjustment, we
decided to reevaluate the average hourly
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wage criteria for geographic
reclassification. We ran simulations
with more recent wage data to
determine what would be the
appropriate average hourly wage
criteria. We found that the average
hospital average hourly wage as a
percentage of its area’s wage has
increased from approximately 96
percent in FY 1993 to closer to 98
percent over FYs 2006, 2007, and 2008
(97.8, 98.2, and 98 percent,
respectively). We also determined that
the standard deviation has been reduced
from approximately 12 percent in FY
1993 to closer to 10 percent over the
same 3-year period (10.7, 10.4, and 10.4
percent, respectively); that is, assuming
normal distributions, approximately 68
percent of all hospitals would have an
average hourly wage that deviates less
than 10 percentage points above or
below the mean. This assessment
indicates that the new baseline criteria
for reclassification should be set to 88/
108 percent. While the 108 criterion
appears not to require adjustment, the
current 84 percent standard appears to
be too low a threshold to serve the
purpose of establishing wage
comparability with a proximate labor
market area.
To assess the impact that these
changes would have had on hospitals
that reclassified in FY 2008, we ran
models that set urban individual
reclassification standards to 88/108
percent and the county group
reclassification standard to 88 percent.
We retained the 2-percent benefit for
rural hospitals by setting an 86/106
percent standard. We used 3-year
average hourly wage figures from the
2005, 2006, and 2007 wage surveys and
compared them to 3-year average hourly
wage figures for CBSAs over the same 3year period.
Of the 295 hospitals that applied for
and received individual reclassifications
in FY 2008, 45 of them (15.3 percent)
would not meet the proposed 88/86
percent threshold. Of the 66 hospitals
that applied for and received county
group reclassification in FY 2008, 6
hospitals (9.1 percent) in 3 groups
would not have qualified with the new
standards. We also ran comparisons for
hospitals that reclassified in FY 2006
and FY 2007 to determine if they would
have been able to reclassify in FY 2008,
using 3-year averages available in FY
2008. We found that, of all hospitals
that were reclassified in FY 2008 (that
is, applications approved for FYs 2006
through 2008), 14.7 percent of
individual reclassifications and 8.5
percent of county group reclassification
would not have qualified to reclassify in
FY 2008.
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Section 106 of MIEA–TRHCA requires
us to propose revisions to the hospital
wage index system after considering the
recommendations of MedPAC. To
address this requirement, we are
proposing that the 84/108 criteria for
urban hospital reclassifications and the
82/106 criteria for rural hospital
reclassifications be recalibrated using
the methodology published in the FY
1993 final rule and more recent wage
data (that is, data used in computing the
FYs 2006, 2007, 2008 wage indices). We
believe that hospitals that are seeking to
reclassify to another area should be
required to demonstrate more similarity
to the area than the current criteria
permit, and our recent analysis
demonstrates that those criteria are no
longer appropriate. Therefore, we are
proposing to change the criterion for the
comparison of a hospital’s average
hourly wage to that of the area to which
the hospital seeks reclassification to 88
percent for urban hospitals and 86
percent for rural hospitals for new
reclassifications beginning with the FY
2010 wage index and, accordingly,
revise our regulations at 42 CFR 412.230
to reflect these changes. The criterion
for the comparison of a hospital’s
average hourly wage to that of its
geographic area would be unchanged
(108 percent for urban hospitals and 106
percent for rural hospitals). We also are
proposing that, when there are
significant changes in labor market area
definitions, such as CMS’ adoption of
new OMB CBSA definitions based upon
the decennial census (69 FR 49027), we
would again reevaluate and, if
warranted, recalibrate these criteria.
This would allow CMS to consider the
effects of periodic changes in labor
market boundaries and provide a regular
timeline for updating and validating the
reclassification criteria. Finally, we are
proposing to adjust the 85 percent
criterion for both urban and rural
county group reclassifications to be
equal to the proposed 88 percent
standard for urban reclassifications, and
to revise the regulations at 42 CFR
412.232 and 412.234 to reflect the
change. The urban and rural county
group average hourly wage standard has
always been equivalent for both urban
and rural county groups and has always
been 1 percent higher than the 84
percent urban area individual
reclassification standard. We would
continue the policy of having an
equivalent wage comparison criterion
for both urban and rural county groups,
as these groups have always used the
same wage comparison criteria. We also
would use the individual urban hospital
reclassification standard of 88 percent
because this threshold would ensure
that the hospitals in the county group
are at least as comparable to the
proximate area as are individual
hospitals within their own areas. Also,
we do not believe it would be
appropriate to have a group
reclassification standard lower than the
individual reclassification standards,
thus potentially creating a situation
where all of the hospitals in a county
could reclassify, even though no single
hospital within such county would be
able to meet any average hourly wagerelated comparisons for an individual
reclassification.
We considered raising the group
reclassification criterion to 89 percent in
order to preserve the historical policy of
the standard being set at 1 percent
higher than the individual
reclassification standard. However, we
determined that making the group
standard equal to the individual
standard would adequately address our
stated concerns.
We note that the proposed changes in
the reclassification criteria apply only to
new reclassifications beginning with the
FY 2010 wage index. Any hospital or
county group that is in the midst of a
3-year reclassification in FY 2010 will
not be affected by the proposed criteria
change until they reapply for a
geographic reclassification. Therefore,
we are proposing the effective date for
these changes would be September 1,
2008, the deadline for hospitals to
submit applications for reclassification
for the FY 2010 wage index.
b. Within-State Budget Neutrality
Adjustment for the Rural and Imputed
Floors
Section 4410 of the Balanced Budget
Act of 1997 (BBA) established the rural
floor by requiring that the wage index
for a hospital in an urban area of a State
cannot be less than the area wage index
determined for that State’s rural area.
Section 4410(b) of the BBA imposed the
budget neutrality requirement and
stated that the Secretary shall ‘‘adjust
the area wage index referred to in
subsection (a) for hospitals not
described in such subsection.’’
Therefore, in order to compensate for
the increased wage indices of urban
hospitals receiving the rural floor, a
nationwide budget neutrality
adjustment is applied to the wage index
to account for the additional payment to
these hospitals. As a result, urban
hospitals that qualify for their State’s
rural floor wage index receive enhanced
payments at the expense of all rural
hospitals nationwide and all other
urban hospitals that do not receive their
State’s rural floor. In the FY 2009
proposed wage index, 266 hospitals in
27 States benefit from the rural floor.
The first chart below lists the percentage
of total payments each State either
received or contributed to fund the
current rural floor and imputed floor
provisions with national budget
neutrality adjustments (as indicated in
the discussion of the imputed floor
below in this section III.B.2.b.). The
second chart below provides a graphical
depiction of the proposed FY 2009
impacts.
FY 2009 IPPS ESTIMATED PAYMENTS WITH PROPOSED WITHIN-STATE RURAL FLOOR AND IMPUTED FLOOR BUDGET
NEUTRALITY
Current policy
application of national rural floor
and imputed floor
budget neutrality
jlentini on PROD1PC65 with PROPOSALS2
State
Proposed policy
application of rural
floor and imputed
floor budget
neutrality within
each state
¥0.1
0.0
¥0.2
¥0.1
0.7
0.0
2.1
¥0.2
¥0.2
0.3
¥0.2
0.3
0.3
¥0.8
¥0.1
¥2.2
0.3
0.3
Alabama .......................................................................................................................................................
Alaska ..........................................................................................................................................................
Arizona .........................................................................................................................................................
Arkansas ......................................................................................................................................................
California ......................................................................................................................................................
Colorado ......................................................................................................................................................
Connecticut ..................................................................................................................................................
Delaware ......................................................................................................................................................
Washington, DC ...........................................................................................................................................
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FY 2009 IPPS ESTIMATED PAYMENTS WITH PROPOSED WITHIN-STATE RURAL FLOOR AND IMPUTED FLOOR BUDGET
NEUTRALITY—Continued
Current policy
application of national rural floor
and imputed floor
budget neutrality
State
Proposed policy
application of rural
floor and imputed
floor budget
neutrality within
each state
0.0
¥0.1
¥0.1
¥0.1
¥0.2
¥0.1
0.1
¥0.1
¥0.1
¥0.1
¥0.1
¥0.2
¥0.2
¥0.2
¥0.1
¥0.1
¥0.1
¥0.1
¥0.2
1.1
0.7
¥0.1
¥0.2
¥0.1
0.1
¥0.1
¥0.1
¥0.1
¥0.1
¥0.2
¥0.1
¥0.1
0.0
¥0.1
¥0.1
3.5
¥0.1
¥0.1
0.0
¥0.1
0.0
0.0
0.3
0.3
0.3
0.1
0.0
¥0.1
0.3
0.3
0.0
0.3
0.3
0.3
0.3
0.3
0.0
0.2
0.3
0.3
¥1.2
¥0.8
0.0
0.3
0.1
¥0.1
0.1
0.1
0.0
0.1
0.3
0.0
0.3
0.0
0.1
0.3
¥3.4
0.0
¥0.1
¥0.1
¥0.1
0.1
jlentini on PROD1PC65 with PROPOSALS2
Florida ..........................................................................................................................................................
Georgia ........................................................................................................................................................
Hawaii ..........................................................................................................................................................
Idaho ............................................................................................................................................................
Illinois ...........................................................................................................................................................
Indiana .........................................................................................................................................................
Iowa .............................................................................................................................................................
Kansas .........................................................................................................................................................
Kentucky ......................................................................................................................................................
Louisiana ......................................................................................................................................................
Maine ...........................................................................................................................................................
Massachusetts .............................................................................................................................................
Michigan .......................................................................................................................................................
Minnesota ....................................................................................................................................................
Mississippi ....................................................................................................................................................
Missouri ........................................................................................................................................................
Montana .......................................................................................................................................................
Nebraska ......................................................................................................................................................
Nevada .........................................................................................................................................................
New Hampshire ...........................................................................................................................................
New Jersey ..................................................................................................................................................
New Mexico .................................................................................................................................................
New York .....................................................................................................................................................
North Carolina ..............................................................................................................................................
North Dakota ................................................................................................................................................
Ohio .............................................................................................................................................................
Oklahoma .....................................................................................................................................................
Oregon .........................................................................................................................................................
Pennsylvania ................................................................................................................................................
Rhode Island ................................................................................................................................................
South Carolina .............................................................................................................................................
South Dakota ...............................................................................................................................................
Tennessee ...................................................................................................................................................
Texas ...........................................................................................................................................................
Utah .............................................................................................................................................................
Vermont .......................................................................................................................................................
Virginia .........................................................................................................................................................
Washington ..................................................................................................................................................
West Virginia ................................................................................................................................................
Wisconsin .....................................................................................................................................................
Wyoming ......................................................................................................................................................
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The above charts demonstrate how, at
a State-by-State level, the rural floor is
creating a benefit for a minority of States
that is then funded by a majority of
States, including States that are
overwhelmingly rural in character. The
intent behind the rural floor seems to
have been to address anomalous
occurrences where certain urban areas
in a State have unusually depressed
wages when compared to the State’s
rural areas. However, because these
comparisons occur at the State level, we
believe it also would be sound policy to
make the budget neutrality adjustment
specific to the State, redistributing
payments among hospitals within the
State, rather than adjusting payments to
hospitals in other States.
In addition, a statewide budget
neutrality adjustment would address the
situation we discussed in the FY 2008
IPPS final rule with comment period (72
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FR 47324) in which rural CAHs were
converting to IPPS status, apparently to
raise the State’s rural wage index to a
level whereby all urban hospitals in the
State would receive the rural floor.
Medicare payments to CAHs are based
on 101 percent of reasonable costs while
the IPPS pays hospitals a fixed rate per
discharge. In addition, as a CAH, a
hospital is guaranteed to recover its
costs, while an IPPS hospital is
provided with incentives to increase
efficiency to cover its costs. Thus, we
stated that the identified CAHs were
converting back to IPPS, even though
the conversion would not directly
benefit them. Because these hospitals’
wage levels are higher than most, if not
all, of the urban hospitals in the State,
the wage indices for most, if not all, of
the State’s urban hospitals would
increase as a result of the rural floor
provision if the CAHs convert to IPPS
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status. In simulating the effect of the
hospitals setting the State’s rural floor,
we estimated that payment to hospitals
in the State would increase in excess of
$220 million in a single year. The
MedPAC, in its June 2007 Report to the
Congress stated, ‘‘The fact that the
movement of one or two CAHs in or out
of the [I]PPS system can increase (or
decrease) Medicare payments by $220
million suggests there is a flaw in the
design of the wage index system.’’ (We
refer readers to page 131 of the report.)
For the above reasons, we are
proposing to apply a State level rural
floor budget neutrality adjustment to the
wage index beginning in FY 2009. States
that have no hospitals receiving a rural
floor wage index would no longer have
a negative budget neutrality adjustment
applied to their wage indices.
Conversely, hospitals in States with
hospitals receiving a rural floor would
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have their wage indices downwardly
adjusted to achieve budget neutrality
within the State. All hospitals within
each State would, in effect, be
responsible for funding the rural floor
adjustment applicable within that
specific State.
In the FY 2005 IPPS final rule and the
FY 2008 IPPS final rule with comment
period (69 FR 49109 and 72 FR 47321,
respectively), we temporarily adopted
an ‘‘imputed’’ floor measure to address
a concern by some individuals that
hospitals in all-urban States were
disadvantaged by the absence of rural
hospitals. Because no rural wage index
could be calculated, no rural floor could
be applied within such States. We
originally limited application of the
policy to FYs 2005 through 2007 and
then extended it one additional year,
through FY 2008. We are proposing to
extend the imputed floor for 3
additional years, through FY 2011, and
to revise the introductory text of
§ 412.64(h)(4) of our regulations to
reflect this extension. For FY 2009, 26
hospitals in New Jersey (33.8 percent)
would receive the imputed floor. Rhode
Island, the only other all-urban State,
has no hospitals that would receive the
imputed floor. In past years, we applied
a national budget neutrality adjustment
to the standardized amount to ensure
that payments remained constant to
payments that would have occurred in
the absence of the imputed floor policy.
As a result, payments to all other
hospitals in the Nation were adjusted
downward to subsidize the higher
payments to New Jersey hospitals
receiving the imputed floor. As the
intent of the imputed floor is to create
a protection to all-urban States similar
to the protection offered to urban-rural
mixed States by the rural floor, and the
effect of the measure is also Statespecific like the rural floor, we believe
that the budget neutrality adjustments
for the imputed floor and the rural floor
should be applied in the same manner.
Therefore, beginning with FY 2009, we
are also proposing to apply the imputed
floor budget neutrality adjustment to the
wage index and at the State level.
Based on our impact analysis of these
proposals for FY 2009, of the 49 States
(Maryland is excluded because it is
under a State waiver), the District of
Columbia, and Puerto Rico, 39 would
see either no change or an increase in
total Medicare payments as a result of
applying a budget neutrality adjustment
to the wage index for the rural and
imputed floors at the State level rather
than the national level. The total
payments of the remaining 12 States
would decrease 0.1 percent to 3.4
percent compared to continuing our
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prior national adjustment policy. The
full impact analysis is reflected in the
two charts presented earlier in this
section III.B.2.b. of the preamble of this
proposed rule. Tables 4D–1 and 4D–2 in
the Addendum to this proposed rule
reflect the proposed FY 2009 State level
budget neutrality adjustments for the
rural and imputed floors. We are
specifically requesting public comments
from national and State hospital
associations regarding these proposals,
particularly the national associations, as
they represent member hospitals that
are both positively and negatively
affected by our proposed policies, and
are, therefore, in the best position to
comment on the policy merits of these
proposals. We will view the absence of
any comments from the national
hospital associations as a sign that they
do not object to our proposed policies.
c. Within-State Budget Neutrality
Adjustment for Geographic
Reclassification
Currently, section 1886(d)(8)(D) of the
Act requires us to adjust the
standardized amount to ensure that the
effects of geographic reclassification do
not increase aggregate IPPS payments.
This means that, in the case of a
reclassification, budget neutrality is
achieved by reducing the standardized
amount for all hospitals nationwide.
The FY 2009 President’s Budget
includes a legislative proposal to apply
geographic reclassification budget
neutrality at the State level (available at
the Web site: www.hhs.gov/budget/
09budget/2009BudgetInBrief.pdf under
FY 2009 Medicare Proposals, page 54).
If this proposal is enacted by the
Congress, budget neutrality would be
achieved by adjusting the wage index
for all hospitals within the State rather
than reducing the standardized amount
for all hospitals nationwide.
As noted also in MedPAC’s June 2007
Report to Congress, over the years, there
have been many changes to the
Medicare law that are intended to
broaden the ability for a hospital to
receive a wage index that is higher than
the value that is calculated for its
geographic area and not be subject to the
proximity or wage level criteria for
geographic reclassification established
under section 1886(d)(10) of the Act.
These more targeted geographic
reclassification provisions are creating
inequities in the wage index by
sometimes allowing hospitals to be
reclassified to areas where other
hospitals that are closer in proximity are
ineligible to reclassify. Applying budget
neutrality at the State level would focus
the costs of geographic reclassification
closer to the areas where hospitals that
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benefit from the reclassification are
located. We expect that a legislative
provision on applying geographic
reclassification budget neutrality at the
State level would be applied to all
reclassifications and wage index
exceptions that are implemented
through 42 CFR Part 412, Subpart L, and
certain provisions of the Social Security
Act that permit hospitals to receive a
higher wage index than is calculated for
their geographic area. (As discussed
above, as a proposed regulatory matter,
there also would be a separate withinState budget neutrality adjustment for
the imputed and rural floors.) We expect
that reclassification budget neutrality at
the State level would operate through
adjustments to the IPPS payments to
hospitals in the State in which the
reclassifying hospital is geographically
located.
We are seeking public comments
regarding MedPAC’s recommendations
for reforming the wage index, our plan
for our contractor’s review of the wage
index, and the regulatory proposals for
modifying the current hospital wage
index system. We also welcome
additional suggestions for reforming the
hospital wage index.
C. Core-Based Statistical Areas for the
Hospital Wage Index
The wage index is calculated and
assigned to hospitals on the basis of the
labor market area in which the hospital
is located. In accordance with the broad
discretion under section 1886(d)(3)(E) of
the Act, beginning with FY 2005, we
define hospital labor market areas based
on the Core-Based Statistical Areas
(CBSAs) established by OMB and
announced in December 2003 (69 FR
49027). For a discussion of OMB’s
revised definitions of CBSAs and our
implementation of the CBSA
definitions, we refer readers to the
preamble of the FY 2005 IPPS final rule
(69 FR 49026 through 49032).
As with the FY 2008 final rule, for FY
2009 we are proposing to provide that
hospitals receive 100 percent of their
wage index based upon the CBSA
configurations. Specifically, for each
hospital, we will determine a wage
index for FY 2009 employing wage
index data from FY 2005 hospital cost
reports and using the CBSA labor
market definitions. We consider CBSAs
that are MSAs to be urban, and CBSAs
that are Micropolitan Statistical Areas as
well as areas outside of CBSAs to be
rural. In addition, it has been our
longstanding policy that where an MSA
has been divided into Metropolitan
Divisions, we consider the Metropolitan
Division to comprise the labor market
areas for purposes of calculating the
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wage index (69 FR 49029). We are
proposing to codify this longstanding
policy into our regulations at
§ 412.64(b)(1)(ii)(A).
On November 20, 2007, OMB
announced the revision of titles for eight
urban areas (OMB Bulletin No. 08–01).
The revised titles are as follows:
• Hammonton, New Jersey qualifies
as a new principal city of the Atlantic
City, New Jersey CBSA. The new title is
Atlantic City-Hammonton, New Jersey
CBSA;
• New Brunswick, New Jersey,
located in the Edison, New Jersey
Metropolitan Division, qualifies as a
new principal city of the New YorkNorthern New Jersey-Long Island, New
York, New Jersey, Pennsylvania CBSA.
The new title for the Metropolitan
Division is Edison-New Brunswick,
New Jersey CBSA;
• Summerville, South Carolina
qualifies as a new principal city of the
Charleston-North Charleston, South
Carolina CBSA. The new title is
Charleston-North CharlestonSummerville, South Carolina;
• Winter Haven, Florida qualifies as
a new principal city of the Lakeland,
Florida CBSA. The new title is
Lakeland-Winter Haven, Florida;
• Bradenton, Florida replaces
Sarasota, Florida as the most populous
principal city of the Sarasota-BradentonVenice, Florida CBSA. The new title is
Bradenton-Sarasota-Venice, Florida. The
new CBSA code is 14600;
• Frederick, Maryland replaces
Gaithersburg, Maryland as the second
most populous principal city in the
Bethesda-Gaithersburg-Frederick,
Maryland CBSA. The new title is
Bethesda-Frederick-Gaithersburg,
Maryland;
• North Myrtle Beach, South
Carolina replaces Conway, South
Carolina as the second most populous
principal city of the Myrtle BeachConway-North Myrtle Beach, South
Carolina CBSA. The new title is Myrtle
Beach-North Myrtle Beach-Conway,
South Carolina;
• Pasco, Washington replaces
Richland, Washington as the second
most populous principal city of the
Kennewick-Richland-Pasco, Washington
CBSA. The new title is KennewickPasco-Richland, Washington.
The OMB bulletin is available on the
OMB Web site at https://
www.whitehouse.gov/OMB— go to
‘‘Bulletins’’ or ‘‘Statistical Programs and
Standards.’’ CMS will apply these
changes to the IPPS beginning October
1, 2008.
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D. Proposed Occupational Mix
Adjustment to the Proposed FY 2009
Wage Index
As stated earlier, section 1886(d)(3)(E)
of the Act provides for the collection of
data every 3 years on the occupational
mix of employees for each short-term,
acute care hospital participating in the
Medicare program, in order to construct
an occupational mix adjustment to the
wage index, for application beginning
October 1, 2004 (the FY 2005 wage
index). The purpose of the occupational
mix adjustment is to control for the
effect of hospitals’ employment choices
on the wage index. For example,
hospitals may choose to employ
different combinations of registered
nurses, licensed practical nurses,
nursing aides, and medical assistants for
the purpose of providing nursing care to
their patients. The varying labor costs
associated with these choices reflect
hospital management decisions rather
than geographic differences in the costs
of labor.
1. Development of Data for the Proposed
FY 2009 Occupational Mix Adjustment
On October 14, 2005, we published a
notice in the Federal Register (70 FR
60092) proposing to use a new survey,
the 2006 Medicare Wage Index
Occupational Mix Survey (the 2006
survey) to apply an occupational mix
adjustment to the FY 2008 wage index.
In the proposed 2006 survey, we
included several modifications based on
the comments and recommendations we
received on the 2003 survey, including
(1) allowing hospitals to report their
own average hourly wage rather than
using BLS data; (2) extending the
prospective survey period; and (3)
reducing the number of occupational
categories but refining the subcategories
for registered nurses.
We made the changes to the
occupational categories in response to
MedPAC comments to the FY 2005 IPPS
final rule (69 FR 49036). Specifically,
MedPAC recommended that CMS assess
whether including subcategories of
registered nurses would result in a more
accurate occupational mix adjustment.
MedPAC believed that including all
registered nurses in a single category
may obscure significant wage
differences among the subcategories of
registered nurses, for example, the
wages of surgical registered nurses and
floor registered nurses may differ. Also,
to offset additional reporting burden for
hospitals, MedPAC recommended that
CMS should combine the general
service categories that account for only
a small percentage of a hospital’s total
hours with the ‘‘all other occupations’’
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category because most of the
occupational mix adjustment is
correlated with the nursing general
service category.
In addition, in response to the public
comments on the October 14, 2005
notice, we modified the 2006 survey. On
February 10, 2006, we published a
Federal Register notice (71 FR 7047)
that solicited comments and announced
our intent to seek OMB approval on the
revised occupational mix survey (Form
CMS–10079 (2006)). OMB approved the
survey on April 25, 2006.
The 2006 survey provides for the
collection of hospital-specific wages and
hours data, a 6-month prospective
reporting period (that is, January 1,
2006, through June 30, 2006), the
transfer of each general service category
that comprised less than 4 percent of
total hospital employees in the 2003
survey to the ‘‘all other occupations’’
category (the revised survey focuses
only on the mix of nursing occupations),
additional clarification of the
definitions for the occupational
categories, an expansion of the
registered nurse category to include
functional subcategories, and the
exclusion of average hourly rate data
associated with advance practice nurses.
The 2006 survey included only two
general occupational categories: nursing
and ‘‘all other occupations.’’ The
nursing category has four subcategories:
Registered nurses, licensed practical
nurses, aides, orderlies, attendants, and
medical assistants. The registered nurse
subcategory includes two functional
subcategories: management personnel
and staff nurses or clinicians. As
indicated above, the 2006 survey
provided for a 6-month data collection
period, from January 1, 2006 through
June 30, 2006. However, we allowed
flexibility for the reporting period
beginning and ending dates to
accommodate some hospitals’ biweekly
payroll and reporting systems. That is,
the 6-month reporting period had to
begin on or after December 25, 2005,
and end before July 9, 2006.
We are proposing to use the entire 6month 2006 survey data to calculate the
occupational mix adjustment for the FY
2009 wage index. The original timelines
for the collection, review, and
correction of the 2006 occupational mix
data were discussed in detail in the FY
2007 IPPS final rule (71 FR 48008). The
revision and correction process for all of
the data, including the 2006
occupational mix survey data to be used
for computing the FY 2009 wage index,
is discussed in detail in section III.K. of
the preamble of this proposed rule.
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2. Calculation of the Proposed
Occupational Mix Adjustment for FY
2009
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For FY 2009 (as we did for FY 2008),
we are proposing to calculate the
occupational mix adjustment factor
using the following steps:
Step 1—For each hospital, determine
the percentage of the total nursing
category attributable to a nursing
subcategory by dividing the nursing
subcategory hours by the total nursing
category’s hours (registered nurse
management personnel and registered
nurse staff nurses or clinicians are
treated as separate nursing
subcategories). Repeat this computation
for each of the five nursing
subcategories: registered nurse
management personnel; registered nurse
staff nurses or clinicians; licensed
practical nurses; nursing aides,
orderlies, and attendants; and medical
assistants.
Step 2—Determine a national average
hourly rate for each nursing subcategory
by dividing a subcategory’s total salaries
for all hospitals in the occupational mix
survey database by the subcategory’s
total hours for all hospitals in the
occupational mix survey database.
Step 3—For each hospital, determine
an adjusted average hourly rate for each
nursing subcategory by multiplying the
percentage of the total nursing category
(from Step 1) by the national average
hourly rate for that nursing subcategory
(from Step 2). Repeat this calculation for
each of the five nursing subcategories.
Step 4—For each hospital, determine
the adjusted average hourly rate for the
total nursing category by summing the
adjusted average hourly rate (from Step
3) for each of the nursing subcategories.
Step 5—Determine the national
average hourly rate for the total nursing
category by dividing total nursing
category salaries for all hospitals in the
occupational mix survey database by
total nursing category hours for all
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hospitals in the occupational mix
survey database.
Step 6—For each hospital, compute
the occupational mix adjustment factor
for the total nursing category by
dividing the national average hourly
rate for the total nursing category (from
Step 5) by the hospital’s adjusted
average hourly rate for the total nursing
category (from Step 4).
If the hospital’s adjusted average
hourly rate is less than the national
average hourly rate (indicating the
hospital employs a less costly mix of
nursing employees), the occupational
mix adjustment factor would be greater
than 1.0000. If the hospital’s adjusted
average hourly rate is greater than the
national average hourly rate, the
occupational mix adjustment factor
would be less than 1.0000.
Step 7—For each hospital, calculate
the occupational mix adjusted salaries
and wage-related costs for the total
nursing category by multiplying the
hospital’s total salaries and wage-related
costs (from Step 5 of the unadjusted
wage index calculation in section III.G.
of this preamble) by the percentage of
the hospital’s total workers attributable
to the total nursing category (using the
occupational mix survey data, this
percentage is determined by dividing
the hospital’s total nursing category
salaries by the hospital’s total salaries
for ‘‘nursing and all other’’) and by the
total nursing category’s occupational
mix adjustment factor (from Step 6
above).
The remaining portion of the
hospital’s total salaries and wage-related
costs that is attributable to all other
employees of the hospital is not
adjusted by the occupational mix. A
hospital’s all other portion is
determined by subtracting the hospital’s
nursing category percentage from 100
percent.
Step 8—For each hospital, calculate
the total occupational mix adjusted
salaries and wage-related costs for a
hospital by summing the occupational
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23625
mix adjusted salaries and wage-related
costs for the total nursing category (from
Step 7) and the portion of the hospital’s
salaries and wage-related costs for all
other employees (from Step 7).
To compute a hospital’s occupational
mix adjusted average hourly wage,
divide the hospital’s total occupational
mix adjusted salaries and wage-related
costs by the hospital’s total hours (from
Step 4 of the unadjusted wage index
calculation in section III.G. of this
preamble).
Step 9—To compute the occupational
mix adjusted average hourly wage for an
urban or rural area, sum the total
occupational mix adjusted salaries and
wage-related costs for all hospitals in
the area, then sum the total hours for all
hospitals in the area. Next, divide the
area’s occupational mix adjusted
salaries and wage-related costs by the
area’s hours.
Step 10—To compute the national
occupational mix adjusted average
hourly wage, sum the total occupational
mix adjusted salaries and wage-related
costs for all hospitals in the Nation, then
sum the total hours for all hospitals in
the Nation. Next, divide the national
occupational mix adjusted salaries and
wage-related costs by the national
hours. The proposed FY 2009
occupational mix adjusted national
average hourly wage is $32.2252.
Step 11—To compute the
occupational mix adjusted wage index,
divide each area’s occupational mix
adjusted average hourly wage (Step 9)
by the national occupational mix
adjusted average hourly wage (Step 10).
Step 12—To compute the Puerto Rico
specific occupational mix adjusted wage
index, follow Steps 1 through 11 above.
The proposed FY 2009 occupational
mix adjusted Puerto Rico specific
average hourly wage is $13.7851.
The table below is an illustrative
example of the proposed occupational
mix adjustment.
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Because the occupational mix
adjustment is required by statute, all
hospitals that are subject to payments
under the IPPS, or any hospital that
would be subject to the IPPS if not
granted a waiver, must complete the
occupational mix survey, unless the
hospital has no associated cost report
wage data that are included in the
proposed FY 2009 wage index.
For the FY 2008 wage index, if a
hospital did not respond to the
occupational mix survey, or if we
determined that a hospital’s submitted
data were too erroneous to include in
the wage index, we assigned the
hospital the average occupational mix
adjustment for the labor market area (72
FR 47314). We believed this method had
the least impact on the wage index for
other hospitals in the area. For areas
where no hospital submitted data for
purposes of calculating the occupational
mix adjustment, we applied the national
occupational mix factor of 1.0000 in
calculating the area’s FY 2008
occupational mix adjusted wage index.
We indicated in the FY 2008 IPPS final
rule that we reserve the right to apply
a different approach in future years,
including potentially penalizing
nonresponsive hospitals (72 FR 47314).
For the FY 2009 wage index, we are
proposing to handle the data for
hospitals that did not respond to the
occupational mix survey (neither the 1st
quarter nor 2nd quarter data) in the
same manner as discussed above for the
FY 2008 wage index. In addition, if a
hospital submits survey data for either
the 1st quarter or 2nd quarter, but not
for both quarters, we are proposing to
use the data the hospital submitted for
one quarter to calculate the hospital’s
proposed FY 2009 occupational mix
adjustment factor. Lastly, if a hospital
submits a survey(s), but that survey data
can not be used because we determine
it to be aberrant, we will also assign the
hospital the average occupational mix
adjustment for its labor market area. For
example, if a hospital’s individual nurse
category average hourly wages are out of
range (that is, unusually high or low),
and the hospital does not provide
sufficient documentation to explain the
aberrancy, or the hospital does not
submit any registered nurse staff salaries
or hours data, we will assign the
hospital the average occupational mix
adjustment for the labor market area in
which it is located.
In calculating the average
occupational mix adjustment factor for
a labor market area, we replicated Steps
1 through 6 of the calculation for the
occupational mix adjustment. However,
instead of performing these steps at the
hospital level, we aggregated the data at
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the labor market area level. In following
these steps, for example, for CBSAs that
contain providers that did not submit
occupational mix survey data, the
occupational mix adjustment factor
ranged from a low of 0.8968 (CBSA
39820, Redding, CA), to a high of 1.0775
(CBSA 43300, Sherman-Denison, TX).
Also, in computing a hospital’s
occupational mix adjusted salaries and
wage-related costs for nursing
employees (Step 7 of the calculation), in
the absence of occupational mix survey
data, we multiplied the hospital’s total
salaries and wage-related costs by the
percentage of the area’s total workers
attributable to the area’s total nursing
category. For FY 2009, there was one
CBSA for which we did not have
occupational mix data for any of its
providers (CBSA 12020, Athens-Clark
County, GA). In the absence of any data
in this labor market area, we applied an
occupational mix adjustment factor of
1.0 to all provider(s).
In the FY 2007 IPPS final rule, we
also indicated that we would give
serious consideration to applying a
hospital-specific penalty if a hospital
does not comply with regulations
requiring submission of occupational
mix survey data in future years. We
stated that we believe that section
1886(d)(5)(I)(i) of the Act provides us
with the authority to penalize hospitals
that do not submit occupational mix
survey data. That section authorizes us
to provide for exceptions and
adjustments to the payment amounts
under IPPS as the Secretary deems
appropriate. We also indicated that we
would address this issue in the FY 2008
IPPS proposed rule.
In the FY 2008 IPPS proposed rule,
we solicited comments and suggestions
for a hospital-specific penalty for
hospitals that do not submit
occupational mix survey data. In
response to the FY 2008 IPPS proposed
rule, some commenters suggested a 1percent to 2-percent reduction in the
hospital’s wage index value or a set
percentage of the standardized amount.
We noted that any penalty that we
would determine for nonresponsive
hospitals would apply to a future wage
index, not the FY 2008 wage index.
In the FY 2008 final rule with
comment period, we assigned
nonresponsive hospitals the average
occupational mix adjustment for the
labor market area. For areas where no
hospital submitted survey data, we
applied the national occupational mix
adjustment factor of 1.0000 in
calculating the area’s FY 2008
occupational mix adjusted wage index.
We appreciate the suggestions we
received regarding future penalties for
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hospitals that do not submit
occupational mix survey data. We stated
in the FY 2008 final rule with comment
period that we may consider proposing
a policy to penalize hospitals that do
not submit occupational mix survey
data for FY 2010, the first year of the
application of the new 2007–2008
occupational mix survey, and that we
expected that any such penalty would
be proposed in the FY 2009 IPPS
proposed rule so hospitals would be
aware of the policy before the deadline
for submitting the data to the fiscal
intermediaries/MAC. At this time,
however, we are not proposing a penalty
for FY 2010. Rather, we are reserving
the right to propose a penalty in the FY
2010 IPPS proposed rule, once we
collect and analyze the FY 2007–2008
occupational mix survey data. Hospitals
are still on notice that any failure to
submit occupational mix data for the FY
2007–2008 survey year may result in a
penalty in FY 2010, thus achieving our
policy goal of ensuring that hospitals are
aware of the consequences of failure to
submit data in response to the most
recent survey.
3. 2007–2008 Occupational Mix Survey
for the FY 2010 Wage Index
As stated earlier, section 304(c) of
Pub. L. 106–554 amended section
1886(d)(3)(E) of the Act to require CMS
to collect data every 3 years on the
occupational mix of employees for each
short-term, acute care hospital
participating in the Medicare program.
We used occupational mix data
collected on the 2006 survey to compute
the proposed occupational mix
adjustment for FY 2009. In the FY 2008
IPPS final rule with comment period (72
FR 47315), we discussed how we
modified the occupational mix survey.
The revised 2007–2008 occupational
mix survey provides for the collection of
hospital-specific wages and hours data
for the 1-year period of July 1, 2007,
through June 30, 2008, additional
clarifications to the survey instructions,
the elimination of the registered nurse
subcategories, some refinements to the
definitions of the occupational
categories, and the inclusion of
additional cost centers that typically
provide nursing services. The revised
2007–2008 occupational mix survey
will be applied beginning with the FY
2010 wage index.
On February 2, 2007, we published in
the Federal Register a notice soliciting
comments on the proposed revisions to
the occupational mix survey (72 FR
5055). The comment period for the
notice ended on April 3, 2007. After
considering the comments we received,
we made a few minor editorial changes
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and published the final 2007–2008
occupational mix survey on September
14, 2007 (72 FR 52568). OMB approved
the survey without change on February
1, 2008 (OMB Control Number 0938
0907). The 2007–2008 Medicare
occupational mix survey (Form CMS–
10079 (2008)) is available on the CMS
Web site at: https://www.cms.hhs.gov/
AcuteInpatientPPS/WIFN/
list.asp#TopOfPage, and through the
fiscal intermediaries/MAC. Hospitals
must submit their completed surveys to
their fiscal intermediaries/MAC by
September 1, 2008. The preliminary,
unaudited 2007–2008 occupational mix
survey data will be released in early
October 2008, along with the FY 2006
Worksheet S–3 wage data, for the FY
2010 wage index review and correction
process.
E. Worksheet S–3 Wage Data for the
Proposed FY 2009 Wage Index
The proposed FY 2009 wage index
values (to be effective for hospital
discharges occurring on or after October
1, 2008, and before October 1, 2009) in
section II.B. of the Addendum to this
proposed rule are based on the data
collected from the Medicare cost reports
submitted by hospitals for cost reporting
periods beginning in FY 2005 (the FY
2008 wage index was based on FY 2004
wage data).
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1. Included Categories of Costs
The proposed FY 2009 wage index
includes the following categories of data
associated with costs paid under the
IPPS (as well as outpatient costs):
• Salaries and hours from short-term,
acute care hospitals (including paid
lunch hours and hours associated with
military leave and jury duty).
• Home office costs and hours.
• Certain contract labor costs and
hours (which includes direct patient
care, certain top management,
pharmacy, laboratory, and nonteaching
physician Part A services, and certain
contract indirect patient care services
(as discussed in the FY 2008 final rule
with comment period (72 FR 47315).
• Wage-related costs, including
pensions and other deferred
compensation costs. We note that, on
March 28, 2008, CMS published a
technical clarification to the cost
reporting instructions for pension and
deferred compensation costs (sections
2140 through 2142.7 of the Provider
Reimbursement Manual, Part I). These
instructions are used for developing
pension and deferred compensation
costs for purposes of the wage index, as
discussed in the instructions for
Worksheet S–3, Part II, Lines 13 through
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3. Use of Wage Index Data by Providers
Other Than Acute Care Hospitals Under
the IPPS
Data collected for the IPPS wage
index are also currently used to
calculate wage indices applicable to
other providers, such as SNFs, home
health agencies, and hospices. In
addition, they are used for prospective
payments to IRFs, IPFs, and LTCHs, and
for hospital outpatient services. We note
that, in the IPPS rules, we do not
address comments pertaining to the
wage indices for non-IPPS providers.
Such comments should be made in
response to separate proposed rules for
those providers.
include in the proposed wage index,
although if data elements for some of
these providers are corrected, we intend
to include some of these providers in
the FY 2009 final wage index. We
instructed fiscal intermediaries/MACs
to complete their data verification of
questionable data elements and to
transmit any changes to the wage data
no later than April 14, 2008. We believe
all unresolved data elements will be
resolved by the date the final rule is
issued. The revised data will be
reflected in the FY 2009 IPPS final rule.
In constructing the proposed FY 2009
wage index, we included the wage data
for facilities that were IPPS hospitals in
FY 2005; inclusive of those facilities
that have since terminated their
participation in the program as
hospitals, as long as those data did not
fail any of our edits for reasonableness.
We believe that including the wage data
for these hospitals is, in general,
appropriate to reflect the economic
conditions in the various labor market
areas during the relevant past period
and to ensure that the current wage
index represents the labor market area’s
current wages as compared to the
national average of wages. However, we
excluded the wage data for CAHs as
discussed in the FY 2004 IPPS final rule
(68 FR 45397). For this proposed rule,
we removed 20 hospitals that converted
to CAH status between February 16,
2007, the cut-off date for CAH exclusion
from the FY 2008 wage index, and
February 18, 2008, the cut-off date for
CAH exclusion from the FY 2009 wage
index. After removing hospitals with
aberrant data and hospitals that
converted to CAH status, the proposed
FY 2009 wage index is calculated based
on 3,533 hospitals.
F. Verification of Worksheet S–3 Wage
Data
The wage data for the proposed FY
2009 wage index were obtained from
Worksheet S–3, Parts II and III of the FY
2005 Medicare cost reports. Instructions
for completing Worksheet S–3, Parts II
and III are in the Provider
Reimbursement Manual (PRM), Part II,
sections 3605.2 and 3605.3. The data
file used to construct the proposed wage
index includes FY 2005 data submitted
to us as of February 29, 2008. As in past
years, we performed an intensive review
of the wage data, mostly through the use
of edits designed to identify aberrant
data.
We asked our fiscal intermediaries/
MAC to revise or verify data elements
that resulted in specific edit failures.
For the proposed FY 2009 wage index,
we identified and excluded 37 providers
with data that was too aberrant to
1. Wage Data for Multicampus Hospitals
In the FY 2008 final rule with
comment period (72 FR 47317), we
discussed our policy for allocating a
multicampus hospital’s wages and
hours data, by full-time equivalent
(FTE) staff, among the different labor
market areas where its campuses are
located. During the FY 2009 wage index
desk review process, we requested fiscal
intermediaries/MACs to contact
multicampus hospitals that had
campuses in different labor market areas
to collect the data for the allocation. The
proposed FY 2009 wage index in this
proposed rule includes separate wage
data for campuses of three multicampus
hospitals.
As with the FY 2008 wage index, we
allowed hospitals the option of
allocating their wages and hours for the
FY 2009 wage index based on either
FTE staff or discharge data. Again, we
20 and in the FY 2006 final rule (70 FR
47369).
2. Excluded Categories of Costs
Consistent with the wage index
methodology for FY 2008, the proposed
wage index for FY 2009 also excludes
the direct and overhead salaries and
hours for services not subject to IPPS
payment, such as SNF services, home
health services, costs related to GME
(teaching physicians and residents) and
certified registered nurse anesthetists
(CRNAs), and other subprovider
components that are not paid under the
IPPS. The proposed FY 2009 wage index
also excludes the salaries, hours, and
wage-related costs of hospital-based
rural health clinics (RHCs), and
Federally qualified health centers
(FQHCs) because Medicare pays for
these costs outside of the IPPS (68 FR
45395). In addition, salaries, hours, and
wage-related costs of CAHs are excluded
from the wage index, for the reasons
explained in the FY 2004 IPPS final rule
(68 FR 45397).
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are providing this option until a revised
cost report is available that will allow a
multicampus hospital to report the
number of FTEs by location of its
different campuses. Two of the three
multicampus hospitals chose to have
their wage data allocated by their
Medicare discharge data. One of the
hospitals provided FTE staff data for the
allocation. The average hourly wage
associated with each geographical
location of a multicampus hospital is
reflected in Table 2 of the Addendum to
this proposed rule.
2. New Orleans’ Post-Katrina Wage
Index
Since 2005 when Hurricane Katrina
devastated the Gulf States, we have
received numerous comments
suggesting that current Medicare
payments to hospitals in New Orleans,
Louisiana are inadequate, and the wage
index does not accurately reflect the
increase in labor costs experienced by
the city after the storm. The post-Katrina
effects on the New Orleans wage index
will not be realized in the wage index
until FY 2010, when the wage index
will be based on cost reporting periods
beginning during FY 2006 (that is,
beginning on or after October 1, 2005
and before October 1, 2006).
In responding to the health-related
needs of people affected by the
hurricane, the Federal Government,
through the Deficit Reduction Act of
2005 (DRA), appropriated $2 billion in
FY 2006. These funds allowed the
Secretary to make available $160
million in February 2007 to Louisiana,
Mississippi, and Alabama for payments
to hospitals and skilled nursing
facilities facing financial stress because
of changing wage rates not yet reflected
in Medicare payment methodologies. In
March and May 2007, the Department
provided two additional DRA grants of
$15 million and $35 million,
respectively, to Louisiana for
professional health care workforce
recruitment and sustainability in the
greater New Orleans area, namely the
Orleans, Jefferson, St. Bernard, and
Plaquemines Parishes. In addition, the
Department issued a supplemental
award of $60 million in provider
stabilization grant funding to Louisiana,
Mississippi, and Alabama to continue to
help health care providers meet
changing wage rates not yet reflected by
Medicare’s payment policies. On July
23, 2007, HHS awarded to Louisiana a
new $100 million Primary Care Grant to
help increase access to primary care in
the Greater New Orleans area. The
resulting stabilization and expansion of
the community based primary care
infrastructure, post Katrina, helps
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provide a viable alternative to local
hospital emergency rooms for all
citizens of New Orleans, especially
those who are poor and uninsured. In
other Department efforts, the OIG has
performed an in-depth review of the
post-Katrina infrastructure of five New
Orleans hospitals, including the
hospitals’ staffing levels and wage costs.
The OIG’s final reports and
recommendations are scheduled to be
published in Spring 2008.
G. Method for Computing the Proposed
FY 2009 Unadjusted Wage Index
The method used to compute the
proposed FY 2009 wage index without
an occupational mix adjustment
follows:
Step 1—As noted above, we based the
proposed FY 2009 wage index on wage
data reported on the FY 2005 Medicare
cost reports. We gathered data from each
of the non-Federal, short-term, acute
care hospitals for which data were
reported on the Worksheet S–3, Parts II
and III of the Medicare cost report for
the hospital’s cost reporting period
beginning on or after October 1, 2004,
and before October 1, 2005. In addition,
we included data from some hospitals
that had cost reporting periods
beginning before October 2004 and
reported a cost reporting period
covering all of FY 2004. These data are
included because no other data from
these hospitals would be available for
the cost reporting period described
above, and because particular labor
market areas might be affected due to
the omission of these hospitals.
However, we generally describe these
wage data as FY 2005 data. We note
that, if a hospital had more than one
cost reporting period beginning during
FY 2005 (for example, a hospital had
two short cost reporting periods
beginning on or after October 1, 2004,
and before October 1, 2005), we
included wage data from only one of the
cost reporting periods, the longer, in the
wage index calculation. If there was
more than one cost reporting period and
the periods were equal in length, we
included the wage data from the later
period in the wage index calculation.
Step 2—Salaries—The method used to
compute a hospital’s average hourly
wage excludes certain costs that are not
paid under the IPPS. (We note that,
beginning with FY 2008 (72 FR 47315),
we include lines 22.01, 26.01, and 27.01
of Worksheet S–3, Part II for overhead
services in the wage index. However, we
note that the wages and hours on these
lines are not incorporated into line 101,
column 1 of Worksheet A, which,
through the electronic cost reporting
software, flows directly to line 1 of
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Worksheet S–3, Part II. Therefore, the
first step in the wage index calculation
for FY 2009 is to compute a ‘‘revised’’
Line 1, by adding to the Line 1 on
Worksheet S–3, Part II (for wages and
hours respectively) the amounts on
Lines 22.01, 26.01, and 27.01.) In
calculating a hospital’s average salaries
plus wage-related costs, we subtract
from Line 1 (total salaries) the GME and
CRNA costs reported on Lines 2, 4.01,
6, and 6.01, the Part B salaries reported
on Lines 3, 5 and 5.01, home office
salaries reported on Line 7, and exclude
salaries reported on Lines 8 and 8.01
(that is, direct salaries attributable to
SNF services, home health services, and
other subprovider components not
subject to the IPPS). We also subtract
from Line 1 the salaries for which no
hours were reported. To determine total
salaries plus wage-related costs, we add
to the net hospital salaries the costs of
contract labor for direct patient care,
certain top management, pharmacy,
laboratory, and nonteaching physician
Part A services (Lines 9 and 10), home
office salaries and wage-related costs
reported by the hospital on Lines 11 and
12, and nonexcluded area wage-related
costs (Lines 13, 14, and 18).
We note that contract labor and home
office salaries for which no
corresponding hours are reported are
not included. In addition, wage-related
costs for nonteaching physician Part A
employees (Line 18) are excluded if no
corresponding salaries are reported for
those employees on Line 4.
Step 3—Hours—With the exception of
wage-related costs, for which there are
no associated hours, we compute total
hours using the same methods as
described for salaries in Step 2.
Step 4—For each hospital reporting
both total overhead salaries and total
overhead hours greater than zero, we
then allocate overhead costs to areas of
the hospital excluded from the wage
index calculation. First, we determine
the ratio of excluded area hours (sum of
Lines 8 and 8.01 of Worksheet S–3, Part
II) to revised total hours (Line 1 minus
the sum of Part II, Lines 2, 3, 4.01, 5,
5.01, 6, 6.01, 7, and Part III, Line 13 of
Worksheet S–3). We then compute the
amounts of overhead salaries and hours
to be allocated to excluded areas by
multiplying the above ratio by the total
overhead salaries and hours reported on
Line 13 of Worksheet S–3, Part III. Next,
we compute the amounts of overhead
wage-related costs to be allocated to
excluded areas using three steps: (1) We
determine the ratio of overhead hours
(Part III, Line 13 minus the sum of lines
22.01, 26.01, and 27.01) to revised hours
excluding the sum of lines 22.01, 26.01,
and 27.01 (Line 1 minus the sum of
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Lines 2, 3, 4.01, 5, 5.01, 6, 6.01, 7, 8,
8.01, 22.01, 26.01, and 27.01). (We note
that for the FY 2008 and subsequent
wage index calculations, we are
excluding the sum of lines 22.01, 26.01,
and 27.01 from the determination of the
ratio of overhead hours to revised hours,
since hospitals typically do not provide
fringe benefits (wage-related costs) to
contract personnel. Therefore, it is not
necessary for the wage index calculation
to exclude overhead wage-related costs
for contract personnel. Further, if a
hospital does contribute to wage-related
costs for contracted personnel, the
instructions for lines 22.01, 26.01, and
27.01 require that associated wagerelated costs be combined with wages
on the respective contract labor lines.);
(2) we compute overhead wage-related
costs by multiplying the overhead hours
ratio by wage-related costs reported on
Part II, Lines 13, 14, and 18; and (3) we
multiply the computed overhead wagerelated costs by the above excluded area
hours ratio. Finally, we subtract the
computed overhead salaries, wagerelated costs, and hours associated with
excluded areas from the total salaries
(plus wage-related costs) and hours
derived in Steps 2 and 3.
Step 5—For each hospital, we adjust
the total salaries plus wage-related costs
to a common period to determine total
adjusted salaries plus wage-related
costs. To make the wage adjustment, we
estimate the percentage change in the
employment cost index (ECI) for
compensation for each 30-day
increment from October 14, 2003,
through April 15, 2005, for private
industry hospital workers from the BLS’
Compensation and Working Conditions.
We use the ECI because it reflects the
price increase associated with total
compensation (salaries plus fringes)
rather than just the increase in salaries.
In addition, the ECI includes managers
as well as other hospital workers. This
methodology to compute the monthly
update factors uses actual quarterly ECI
data and assures that the update factors
match the actual quarterly and annual
percent changes. We also note that,
since April 2006 with the publication of
March 2006 data, the BLS’ ECI uses a
different classification system, the North
American Industrial Classification
System (NAICS), instead of the Standard
Industrial Codes (SICs), which no longer
exist. We have consistently used the ECI
as the data source for our wages and
salaries and other price proxies in the
IPPS market basket and are not
proposing to make any changes to the
usage at this time. The factors used to
adjust the hospital’s data were based on
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the midpoint of the cost reporting
period, as indicated below.
MIDPOINT OF COST REPORTING PERIOD
After
10/14/2004
11/14/2004
12/14/2004
01/14/2005
02/14/2005
03/14/2005
04/14/2005
05/14/2005
06/14/2005
07/14/2005
08/14/2005
09/14/2005
10/14/2005
11/14/2005
12/14/2005
01/14/2006
02/14/2006
03/14/2006
Before
........
........
........
........
........
........
........
........
........
........
........
........
........
........
........
........
........
........
11/15/2004
12/15/2004
01/15/2005
02/15/2005
03/15/2005
04/15/2005
05/15/2005
06/15/2005
07/15/2005
08/15/2005
09/15/2005
10/15/2005
11/15/2005
12/15/2005
01/15/2006
02/15/2006
03/15/2006
04/15/2006
Adjustment
factor
1.05390
1.05035
1.04690
1.04342
1.03992
1.03641
1.03291
1.02940
1.02596
1.02264
1.01943
1.01627
1.01308
1.00987
1.00661
1.00333
1.00000
0.99670
For example, the midpoint of a cost
reporting period beginning January 1,
2005, and ending December 31, 2005, is
June 30, 2005. An adjustment factor of
1.02596 would be applied to the wages
of a hospital with such a cost reporting
period. In addition, for the data for any
cost reporting period that began in FY
2005 and covered a period of less than
360 days or more than 370 days, we
annualize the data to reflect a 1-year
cost report. Dividing the data by the
number of days in the cost report and
then multiplying the results by 365
accomplishes annualization.
Step 6—Each hospital is assigned to
its appropriate urban or rural labor
market area before any reclassifications
under section 1886(d)(8)(B), section
1886(d)(8)(E), or section 1886(d)(10) of
the Act. Within each urban or rural
labor market area, we add the total
adjusted salaries plus wage-related costs
obtained in Step 5 for all hospitals in
that area to determine the total adjusted
salaries plus wage-related costs for the
labor market area.
Step 7—We divide the total adjusted
salaries plus wage-related costs obtained
under both methods in Step 6 by the
sum of the corresponding total hours
(from Step 4) for all hospitals in each
labor market area to determine an
average hourly wage for the area.
Step 8—We add the total adjusted
salaries plus wage-related costs obtained
in Step5 for all hospitals in the Nation
and then divide the sum by the national
sum of total hours from Step 4 to arrive
at a national average hourly wage. Using
the data as described above, the
proposed national average hourly wage
(unadjusted for occupational mix) is
$32.2489.
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23631
Step 9—For each urban or rural labor
market area, we calculate the hospital
wage index value, unadjusted for
occupational mix, by dividing the area
average hourly wage obtained in Step 7
by the national average hourly wage
computed in Step 8.
Step 10—Following the process set
forth above, we develop a separate
Puerto Rico-specific wage index for
purposes of adjusting the Puerto Rico
standardized amounts. (The national
Puerto Rico standardized amount is
adjusted by a wage index calculated for
all Puerto Rico labor market areas based
on the national average hourly wage as
described above.) We add the total
adjusted salaries plus wage-related costs
(as calculated in Step 5) for all hospitals
in Puerto Rico and divide the sum by
the total hours for Puerto Rico (as
calculated in Step 4) to arrive at an
overall proposed average hourly wage
(unadjusted for occupational mix) of
$13.7956 for Puerto Rico. For each labor
market area in Puerto Rico, we calculate
the Puerto Rico-specific wage index
value by dividing the area average
hourly wage (as calculated in Step 7) by
the overall Puerto Rico average hourly
wage.
Step 11—Section 4410 of Pub. L. 105–
33 provides that, for discharges on or
after October 1, 1997, the area wage
index applicable to any hospital that is
located in an urban area of a State may
not be less than the area wage index
applicable to hospitals located in rural
areas in that State. For FY 2009, this
proposed change would affect 266
hospitals in 69 urban areas. The areas
affected by this provision are identified
by a footnote in Table 4A in the
Addendum of this proposed rule.
In the FY 2005 IPPS final rule (69 FR
49109), we adopted the ‘‘imputed’’ floor
as a temporary 3-year measure to
address a concern by some individuals
that hospitals in all-urban States were
disadvantaged by the absence of rural
hospitals to set a wage index floor in
those States. The imputed floor was
originally set to expire in FY 2007, but
we extended it an additional year in the
FY 2008 IPPS final rule with comment
period (72FR47321). As explained in
section III.B.2.b. of the preamble of this
proposed rule, we are proposing to
extend the imputed floor for an
additional 3 years, through FY 2011.
H. Analysis and Implementation of the
Proposed Occupational Mix Adjustment
and the Proposed FY 2009 Occupational
Mix Adjusted Wage Index
As discussed in section III.D. of this
preamble, for FY 2009, we are proposing
to apply the occupational mix
adjustment to 100 percent of the FY
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2009 wage index. We calculated the
occupational mix adjustment using data
from the 2006 occupational mix survey
data, using the methodology described
in section III.D.3. of this preamble.
Using the 1st and 2nd quarter
occupational mix survey data and
applying the occupational mix
adjustment to 100 percent of the
proposed FY2009 wage index results in
a proposed national average hourly
wage of $32.2252 and a proposed
Puerto-Rico specific average hourly
wage of $13.7851. After excluding data
of hospitals that either submitted
aberrant data that failed critical edits, or
that do not have FY 2005 Worksheet S–
3 cost report data for use in calculating
the proposed FY2009 wage index, we
calculated the proposed FY 2009 wage
index using the occupational mix
survey data from 3,364 hospitals. Using
the Worksheet S–3 cost report data of
3,533 hospitals and occupational mix
1st and/or 2nd quarter survey data from
3,364 hospitals represents a 95.2 percent
survey response rate. The proposed
FY2009 national average hourly wages
for each occupational mix nursing
subcategory as calculated in Step 2 of
the occupational mix calculation are as
follows:
Average
hourly wage
National RN Management ........
National RN Staff ......................
National LPN ............................
National Nurse Aides, Orderlies, and Attendants ..............
National Medical Assistants .....
National Nurse Category ..........
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Occupational mix nursing subcategory
$38.6341
$33.4795
$19.2316
$13.6954
$15.7714
$28.7291
The proposed national average hourly
wage for the entire nurse category as
computed in Step 5 of the occupational
mix calculation is $28.7291. Hospitals
with a nurse category average hourly
wage (as calculated in Step 4) of greater
than the national nurse category average
hourly wage receive an occupational
mix adjustment factor (as calculated in
Step 6) of less than 1.0. Hospitals with
a nurse category average hourly wage (as
calculated in Step 4) of less than the
national nurse category average hourly
wage receive an occupational mix
adjustment factor (as calculated in Step
6) of greater than 1.0.
Based on the January through June
2006 occupational mix survey data, we
determined (in Step 7 of the
occupational mix calculation) that the
proposed national percentage of
hospital employees in the Nurse
category is 42.99 percent, and the
proposed national percentage of
hospital employees in the All Other
Occupations category is 57.01 percent.
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At the CBSA level, the percentage of
hospital employees in the Nurse
category ranged from a low of 27.26
percent in one CBSA, to a high of 85.30
percent in another CBSA.
The proposed wage index values for
FY 2009 (except those for hospitals
receiving wage index adjustments under
section 1886(d)(13) of the Act) are
shown in Tables 4A, 4B, 4C, and 4F in
the Addendum to this proposed rule.
Tables 3A and 3B in the Addendum
to this proposed rule list the 3-year
average hourly wage for each labor
market area before the redesignation of
hospitals based on FYs 2007, 2008, and
2009 cost reporting periods. Table 3A
lists these data for urban areas and
Table 3B lists these data for rural areas.
In addition, Table 2 in the Addendum
to this proposed rule includes the
adjusted average hourly wage for each
hospital from the FY 2003 and FY 2004
cost reporting periods, as well as the FY
2005 period used to calculate the
proposed FY 2009 wage index. The 3year averages are calculated by dividing
the sum of the dollars (adjusted to a
common reporting period using the
method described previously) across all
3 years, by the sum of the hours. If a
hospital is missing data for any of the
previous years, its average hourly wage
for the 3-year period is calculated based
on the data available during that period.
The proposed wage index values in
Tables 2, 4A, 4B, 4C, and 4F and the
average hourly wages in Tables 2, 3A,
and 3B in the Addendum to this
proposed rule include the proposed
occupational mix adjustment. The
proposed wage index values in Tables 2,
4A, 4B, and 4C also include the
proposed State-specific rural floor and
imputed floor budget neutrality
adjustments that are discussed in
section III.B.2. of this preamble. The
proposed State budget neutrality
adjustments for the rural and imputed
floors are included in Tables 4D–1 and
4D–2 in the Addendum to this proposed
rule.
I. Proposed Revisions to the Wage Index
Based on Hospital Redesignations
1. General
Under section 1886(d)(10) of the Act,
the MGCRB considers applications by
hospitals for geographic reclassification
for purposes of payment under the IPPS.
Hospitals must apply to the MGCRB to
reclassify 13 months prior to the start of
the fiscal year for which reclassification
is sought (generally by September 1).
Generally, hospitals must be proximate
to the labor market area to which they
are seeking reclassification and must
demonstrate characteristics similar to
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hospitals located in that area. The
MGCRB issues its decisions by the end
of February for reclassifications that
become effective for the following fiscal
year (beginning October 1). The
regulations applicable to
reclassifications by the MGCRB are
located in 42 CFR 412.230 through
412.280.
Section 1886(d)(10)(D)(v) of the Act
provides that, beginning with FY 2001,
a MGCRB decision on a hospital
reclassification for purposes of the wage
index is effective for 3 fiscal years,
unless the hospital elects to terminate
the reclassification. Section
1886(d)(10)(D)(vi) of the Act provides
that the MGCRB must use average
hourly wage data from the 3 most
recently published hospital wage
surveys in evaluating a hospital’s
reclassification application for FY 2003
and any succeeding fiscal year.
Section 304(b) of Pub. L. 106–554
provides that the Secretary must
establish a mechanism under which a
statewide entity may apply to have all
of the geographic areas in the State
treated as a single geographic area for
purposes of computing and applying a
single wage index, for reclassifications
beginning in FY 2003. The
implementing regulations for this
provision are located at 42 CFR 412.235.
Section 1886(d)(8)(B) of the Act
requires the Secretary to treat a hospital
located in a rural county adjacent to one
or more urban areas as being located in
the MSA to which the greatest number
of workers in the county commute, if
the rural county would otherwise be
considered part of an urban area under
the standards for designating MSAs and
if the commuting rates used in
determining outlying counties were
determined on the basis of the aggregate
number of resident workers who
commute to (and, if applicable under
the standards, from) the central county
or counties of all contiguous MSAs. In
light of the CBSA definitions and the
Census 2000 data that we implemented
for FY 2005 (69 FR 49027), we
undertook to identify those counties
meeting these criteria. Eligible counties
are discussed and identified under
section III.I.5. of this preamble.
2. Effects of Reclassification/
Redesignation
Section 1886(d)(8)(C) of the Act
provides that the application of the
wage index to redesignated hospitals is
dependent on the hypothetical impact
that the wage data from these hospitals
would have on the wage index value for
the area to which they have been
redesignated. These requirements for
determining the wage index values for
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redesignated hospitals are applicable
both to the hospitals deemed urban
under section 1886(d)(8)(B) of the Act
and hospitals that were reclassified as a
result of the MGCRB decisions under
section 1886(d)(10) of the Act.
Therefore, as provided in section
1886(d)(8)(C) of the Act, the wage index
values were determined by considering
the following:
• If including the wage data for the
redesignated hospitals would reduce the
wage index value for the area to which
the hospitals are redesignated by 1
percentage point or less, the area wage
index value determined exclusive of the
wage data for the redesignated hospitals
applies to the redesignated hospitals.
• If including the wage data for the
redesignated hospitals reduces the wage
index value for the area to which the
hospitals are redesignated by more than
1 percentage point, the area wage index
determined inclusive of the wage data
for the redesignated hospitals (the
combined wage index value) applies to
the redesignated hospitals.
• If including the wage data for the
redesignated hospitals increases the
wage index value for the urban area to
which the hospitals are redesignated,
both the area and the redesignated
hospitals receive the combined wage
index value. Otherwise, the hospitals
located in the urban area receive a wage
index excluding the wage data of
hospitals redesignated into the area.
Rural areas whose wage index values
would be reduced by excluding the
wage data for hospitals that have been
redesignated to another area continue to
have their wage index values calculated
as if no redesignation had occurred
(otherwise, redesignated rural hospitals
are excluded from the calculation of the
rural wage index). The wage index value
for a redesignated rural hospital cannot
be reduced below the wage index value
for the rural areas of the State in which
the hospital is located.
CMS has also adopted the following
policies:
• The wage data for a reclassified
urban hospital is included in both the
wage index calculation of the area to
which the hospital is reclassified
(subject to the rules described above)
and the wage index calculation of the
urban area where the hospital is
physically located.
• In cases where urban hospitals have
reclassified to rural areas under 42 CFR
412.103, the urban hospital wage data
are: (a) Included in the rural wage index
calculation, unless doing so would
reduce the rural wage index; and (b)
included in the urban area where the
hospital is physically located.
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3. FY 2009 MGCRB Reclassifications
Under section 1886(d)(10) of the Act,
the MGCRB considers applications by
hospitals for geographic reclassification
for purposes of payment under the IPPS.
The specific procedures and rules that
apply to the geographic reclassification
process are outlined in 42 CFR 412.230
through 412.280.
At the time this proposed rule was
constructed, the MGCRB had completed
its review of FY 2009 reclassification
requests. There were 314 hospitals
approved for wage index
reclassifications by the MGCRB for FY
2009. Because MGCRB wage index
reclassifications are effective for 3 years,
hospitals reclassified during FY 2007 or
FY 2008 are eligible to continue to be
reclassified based on prior
reclassifications to current MSAs during
FY 2009. There were 175 hospitals
approved for wage index
reclassifications in FY 2007 and 324
hospitals approved for wage index
reclassifications in FY 2008. Of all of
the hospitals approved for
reclassification for FY 2007, FY 2008,
and FY 2009, 813 hospitals are in a
reclassification status for FY 2009.
Under 42 CFR 412.273, hospitals that
have been reclassified by the MGCRB
are permitted to withdraw their
applications within 45 days of the
publication of a proposed rule. The
request for withdrawal of an application
for reclassification or termination of an
existing 3-year reclassification that
would be effective in FY 2009 must be
received by the MGCRB within 45 days
of the publication of this proposed rule.
If a hospital elects to withdraw its wage
index application after the MGCRB has
issued its decision, but within 45 days
of publication of this proposed rule
date, it may later cancel its withdrawal
in a subsequent year and request the
MGCRB to reinstate its wage index
reclassification for the remaining fiscal
year(s) of the 3-year period (42 CFR
412.273(b)(2)(i)). The request to cancel a
prior withdrawal or termination must be
in writing to the MGCRB no later than
the deadline for submitting
reclassification applications for the
following fiscal year (42 CFR
412.273(d)). For further information
about withdrawing, terminating, or
canceling a previous withdrawal or
termination of a 3-year reclassification
for wage index purposes, we refer the
reader to 42 CFR 412.273, as well as the
August 1, 2002 IPPS final rule (67 FR
50065), and the August 1, 2001 IPPS
final rule (66 FR 39887).
Changes to the wage index that result
from withdrawals of requests for
reclassification, wage index corrections,
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23633
appeals, and the Administrator’s review
process will be incorporated into the
wage index values published in the FY
2009 final rule. These changes may
affect not only the wage index value for
specific geographic areas, but also the
wage index value redesignated hospitals
receive; that is, whether they receive the
wage index that includes the data for
both the hospitals already in the area
and the redesignated hospitals. Further,
the wage index value for the area from
which the hospitals are redesignated
may be affected.
Applications for FY 2010
reclassifications are due to the MGCRB
by September 2, 2008 (the first working
day of September 2008). We note that
this is also the deadline for canceling a
previous wage index reclassification
withdrawal or termination under 42
CFR 412.273(d). Applications and other
information about MGCRB
reclassifications may be obtained,
beginning in mid-July 2008, via the
CMS Internet Web site at: https://
cms.hhs.gov/providers/prrb/
mgcinfo.asp, or by calling the MGCRB at
(410) 786-1174. The mailing address of
the MGCRB is: 2520 Lord Baltimore
Drive, Suite L, Baltimore, MD 21244–
2670.
4. FY 2008 Policy Clarifications and
Revisions
We note below several policies related
to geographic reclassification that were
clarified or revised in the FY 2008 IPPS
final rule with comment period (72 FR
47333):
• Reinstating Reclassifications—As
provided for in 42 CFR 412.273(b)(2),
once a hospital (or hospital group)
accepts a newly approved
reclassification, any previous
reclassification is permanently
terminated.
• Geographic Reclassification for
Multicampus Hospitals—Because
campuses of a multicampus hospital can
now have their wages and hours data
allocated by FTEs or discharge data, a
hospital campus located in a geographic
area distinct from the geographic area
associated with the provider number of
the multicampus hospital will have
official wage data to supplement an
individual or group reclassification
application (§ 412.230(d)(2)(v)).
• New England Deemed Counties—
Hospitals in New England deemed
counties are treated the same as Lugar
hospitals in calculating the wage index.
That is, the area is considered rural, but
the hospitals within the area are deemed
to be urban (§ 412.64(b)(3)(ii)).
• ‘‘Fallback’’ Reclassifications—A
hospital will automatically be given its
most recently approved reclassification
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(thereby permanently terminating any
previously approved reclassifications)
unless it provides written notice to the
MGCRB within 45 days of publication of
the notice of proposed rulemaking that
it wishes to withdraw its most recently
approved reclassification and ‘‘fall
back’’ to either its prior reclassification
or its home area wage index for the
following fiscal year.
5. Redesignations of Hospitals Under
Section 1886(d)(8)(B) of the Act
Section 1886(d)(8)(B) of the Act
requires us to treat a hospital located in
a rural county adjacent to one or more
urban areas as being located in the MSA
if certain criteria are met. Effective
beginning FY 2005, we use OMB’s 2000
CBSA standards and the Census 2000
data to identify counties in which
hospitals qualify under section
1886(d)(8)(B) of the Act to receive the
wage index of the urban area. Hospitals
located in these counties have been
known as ‘‘Lugar’’ hospitals and the
counties themselves are often referred to
as ‘‘Lugar’’ counties. We provide the
proposed FY 2009 chart below with the
listing of the rural counties containing
the hospitals designated as urban under
section 1886(d)(8)(B) of the Act. For
discharges occurring on or after October
1, 2008, hospitals located in the rural
county in the first column of this chart
will be redesignated for purposes of
using the wage index of the urban area
listed in the second column.
RURAL COUNTIES CONTAINING HOSPITALS REDESIGNATED AS URBAN UNDER SECTION 1886(D)(8)(B) OF THE ACT
[Based on CBSAs and Census 2000 Data]
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Rural county
CBSA
Cherokee, AL ..............................................................................................................................
Macon, AL ...................................................................................................................................
Talladega, AL ..............................................................................................................................
Hot Springs, AR ..........................................................................................................................
Windham, CT ..............................................................................................................................
Bradford, FL ................................................................................................................................
Hendry, FL ..................................................................................................................................
Levy, FL ......................................................................................................................................
Walton, FL ..................................................................................................................................
Banks, GA ...................................................................................................................................
Chattooga, GA ............................................................................................................................
Jackson, GA ...............................................................................................................................
Lumpkin, GA ...............................................................................................................................
Morgan, GA ................................................................................................................................
Peach, GA ..................................................................................................................................
Polk, GA ......................................................................................................................................
Talbot, GA ...................................................................................................................................
Bingham, ID ................................................................................................................................
Christian, IL .................................................................................................................................
DeWitt, IL ....................................................................................................................................
Iroquois, IL ..................................................................................................................................
Logan, IL .....................................................................................................................................
Mason, IL ....................................................................................................................................
Ogle, IL .......................................................................................................................................
Clinton, IN ...................................................................................................................................
Henry, IN .....................................................................................................................................
Spencer, IN .................................................................................................................................
Starke, IN ....................................................................................................................................
Warren, IN ..................................................................................................................................
Boone, IA ....................................................................................................................................
Buchanan, IA ..............................................................................................................................
Cedar, IA .....................................................................................................................................
Allen, KY .....................................................................................................................................
Assumption Parish, LA ...............................................................................................................
St. James Parish, LA ..................................................................................................................
Allegan, MI ..................................................................................................................................
Montcalm, MI ..............................................................................................................................
Oceana, MI .................................................................................................................................
Shiawassee, MI ..........................................................................................................................
Tuscola, MI .................................................................................................................................
Fillmore, MN ...............................................................................................................................
Dade, MO ...................................................................................................................................
Pearl River, MS ..........................................................................................................................
Caswell, NC ................................................................................................................................
Davidson, NC ..............................................................................................................................
Granville, NC ..............................................................................................................................
Harnett, NC .................................................................................................................................
Lincoln, NC .................................................................................................................................
Polk, NC ......................................................................................................................................
Los Alamos, NM .........................................................................................................................
Lyon, NV .....................................................................................................................................
Cayuga, NY ................................................................................................................................
Columbia, NY ..............................................................................................................................
Genesee, NY ..............................................................................................................................
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Rome, GA
Auburn-Opelika, AL
Anniston-Oxford, AL
Hot Springs, AR
Hartford-West Hartford-East Hartford, CT
Gainesville, FL
West Palm Beach-Boca Raton-Boynton, FL
Gainesville, FL
Fort Walton Beach-Crestview-Destin, FL
Gainesville, GA
Chattanooga, TN-GA
Atlanta-Sandy Springs-Marietta, GA
Atlanta-Sandy Springs-Marietta, GA
Atlanta-Sandy Springs-Marietta, GA
Macon, GA
Atlanta-Sandy Springs-Marietta, GA
Columbus, GA-AL
Idaho Falls, ID
Springfield, IL
Bloomington-Normal, IL
Kankakee-Bradley, IL
Springfield, IL
Peoria, IL
Rockford, IL
Lafayette, IN
Indianapolis-Carmel, IN
Evansville, IN-KY
Gary, IN
Lafayette, IN
Ames, IA
Waterloo-Cedar Falls, IA
Iowa City, IA
Bowling Green, KY
Baton Rouge, LA
Baton Rouge, LA
Holland-Grand Haven, MI
Grand Rapids-Wyoming, MI
Muskegon-Norton Shores, MI
Lansing-East Lansing, MI
Saginaw-Saginaw Township North, MI
Rochester, MN
Springfield, MO
Gulfport-Biloxi, MS
Burlington, NC
Greensboro-High Point, NC
Durham, NC
Raleigh-Cary, NC
Charlotte-Gastonia-Concord, NC-SC
Spartanburg, NC
Santa Fe, NM
Carson City, NV
Syracuse, NY
Albany-Schenectady-Troy, NY
Rochester, NY
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RURAL COUNTIES CONTAINING HOSPITALS REDESIGNATED AS URBAN UNDER SECTION 1886(D)(8)(B) OF THE ACT—
Continued
[Based on CBSAs and Census 2000 Data]
Rural county
CBSA
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Greene, NY .................................................................................................................................
Schuyler, NY ...............................................................................................................................
Sullivan, NY ................................................................................................................................
Wyoming, NY ..............................................................................................................................
Ashtabula, OH ............................................................................................................................
Champaign, OH ..........................................................................................................................
Columbiana, OH .........................................................................................................................
Cotton, OK ..................................................................................................................................
Linn, OR ......................................................................................................................................
Adams, PA ..................................................................................................................................
Clinton, PA ..................................................................................................................................
Greene, PA .................................................................................................................................
Monroe, PA .................................................................................................................................
Schuylkill, PA ..............................................................................................................................
Susquehanna, PA .......................................................................................................................
Clarendon, SC ............................................................................................................................
Lee, SC .......................................................................................................................................
Oconee, SC ................................................................................................................................
Union, SC ...................................................................................................................................
Meigs, TN ...................................................................................................................................
Bosque, TX .................................................................................................................................
Falls, TX ......................................................................................................................................
Fannin, TX ..................................................................................................................................
Grimes, TX ..................................................................................................................................
Harrison, TX ................................................................................................................................
Henderson, TX ............................................................................................................................
Milam, TX ....................................................................................................................................
Van Zandt, TX ............................................................................................................................
Willacy, TX ..................................................................................................................................
Buckingham, VA .........................................................................................................................
Floyd, VA ....................................................................................................................................
Middlesex, VA .............................................................................................................................
Page, VA .....................................................................................................................................
Shenandoah, VA .........................................................................................................................
Island, WA ..................................................................................................................................
Mason, WA .................................................................................................................................
Wahkiakum, WA .........................................................................................................................
Jackson, WV ...............................................................................................................................
Roane, WV .................................................................................................................................
Green, WI ...................................................................................................................................
Green Lake, WI ..........................................................................................................................
Jefferson, WI ...............................................................................................................................
Walworth, WI ..............................................................................................................................
As in the past, hospitals redesignated
under section 1886(d)(8)(B) of the Act
are also eligible to be reclassified to a
different area by the MGCRB. Affected
hospitals are permitted to compare the
reclassified wage index for the labor
market area in Table 4C in the
Addendum to this proposed rule into
which they have been reclassified by the
MGCRB to the wage index for the area
to which they are redesignated under
section 1886(d)(8)(B) of the Act.
Hospitals may withdraw from an
MCGRB reclassification within 45 days
of the publication of this proposed rule.
6. Reclassifications Under Section
1886(d)(8)(B) of the Act
As discussed in last year’s FY 2008
IPPS final rule with comment period (72
FR 47336–47337), Lugar hospitals are
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Albany-Schenectady-Troy, NY
Ithaca, NY
Poughkeepsie-Newburgh-Middletown, NY
Buffalo-Niagara Falls, NY
Cleveland-Elyria-Mentor, OH
Springfield, OH
Youngstown-Warren-Boardman, OH-PA
Lawton, OK
Corvallis, OR
York-Hanover, PA
Williamsport, PA
Pittsburgh, PA
Allentown-Bethlehem-Easton, PA-NJ
Reading, PA
Binghamton, NY
Sumter, SC
Sumter, SC
Greenville, SC
Spartanburg, SC
Cleveland, TN
Waco, TX
Waco, TX
Dallas-Plano-Irving, TX
College Station-Bryan, TX
Longview, TX
Dallas-Plano-Irving, TX
Austin-Round Rock, TX
Dallas-Plano-Irving, TX
Brownsville-Harlingen, TX
Charlottesville, VA
Blacksburg-Christiansburg-Radford, VA
Virginia Beach-Norfolk-Newport News, VA
Harrisonburg, VA
Winchester, VA-WV
Seattle-Bellevue-Everett, WA
Olympia, WA
Longview, WA
Charleston, WV
Charleston, WV
Madison, WI
Fond du Lac, WI
Milwaukee-Waukesha-West Allis, WI
Milwaukee-Waukesha-West Allis, WI
treated like reclassified hospitals for
purposes of determining their
applicable wage index and receive the
reclassified wage index (Table 4C in the
Addendum to this proposed rule) for the
urban area to which they have been
redesignated. Because Lugar hospitals
are treated like reclassified hospitals,
when they are seeking reclassification
by the MCGRB, they are subject to the
rural reclassification rules set forth at 42
CFR 412.230. The procedural rules set
forth at § 412.230 list the criteria that a
hospital must meet in order to reclassify
as a rural hospital. Lugar hospitals are
subject to the proximity criteria and
payment thresholds that apply to rural
hospitals. Specifically, the hospital
must be no more than 35 miles from the
area to which it seeks reclassification
(§ 412.230(b)(1)); and the hospital must
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show that its average hourly wage is at
least 106 percent of the average hourly
wage of all other hospitals in the area in
which the hospital is located
(§ 412.230(d)(1)(iii)(C)). Under current
rules, the hospital must also
demonstrate that its average hourly
wage is equal to at least 82 percent of
the average hourly wage of hospitals in
the area to which it seeks redesignation
(§ 412.230(d)(1)(iv)(C)). However, we are
proposing to increase this threshold to
86 percent (as discussed in section
III.B.2.a. of this preamble).
Hospitals not located in a Lugar
County seeking reclassification to the
urban area where the Lugar hospitals
have been redesignated are not
permitted to measure to the Lugar
County to demonstrate proximity (no
more than 15 miles for an urban
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hospital, and no more than 35 miles for
a rural hospital or the closest urban or
rural area for RRCs or SCHs) in order to
be reclassified to such urban area. These
hospitals must measure to the urban
area exclusive of the Lugar County to
meet the proximity or nearest urban or
rural area requirement. As discussed in
the FY 2008 final rule with comment
period, we treat New England deemed
counties in a manner consistent with
how we treat Lugar counties. (We refer
readers to 72 FR 47337 for a discussion
of this policy.)
J. Proposed FY 2009 Wage Index
Adjustment Based on Commuting
Patterns of Hospital Employees
In accordance with the broad
discretion under section 1886(d)(13) of
the Act, as added by section 505 of Pub.
L. 108–173, beginning with FY 2005, we
established a process to make
adjustments to the hospital wage index
based on commuting patterns of
hospital employees (the ‘‘out-migration’’
adjustment). The process, outlined in
the FY 2005 IPPS final rule (69 FR
49061), provides for an increase in the
wage index for hospitals located in
certain counties that have a relatively
high percentage of hospital employees
who reside in the county but work in a
different county (or counties) with a
higher wage index. Such adjustments to
the wage index are effective for 3 years,
unless a hospital requests to waive the
application of the adjustment. A county
will not lose its status as a qualifying
county due to wage index changes
during the 3-year period, and counties
will receive the same wage index
increase for those three years. However,
a county that qualifies in any given year
may no longer qualify after the 3-year
period, or it may qualify but receive a
different adjustment to the wage index
level. Hospitals that receive this
adjustment to their wage index are not
eligible for reclassification under
section 1886(d)(8) or section 1886(d)(10)
of the Act. Adjustments under this
provision are not subject to the budget
neutrality requirements under section
1886(d)(3)(E) of the Act.
Hospitals located in counties that
qualify for the wage index adjustment
are to receive an increase in the wage
index that is equal to the average of the
differences between the wage indices of
the labor market area(s) with higher
wage indices and the wage index of the
resident county, weighted by the overall
percentage of hospital workers residing
in the qualifying county who are
employed in any labor market area with
a higher wage index. Beginning with the
FY 2008 wage index, we use postreclassified wage indices when
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determining the out-migration
adjustment (72 FR 47339).
For the proposed FY 2009 wage
index, we calculated the out-migration
adjustment using the same formula
described in the FY 2005 IPPS final rule
(69 FR 49064), with the addition of
using the post-reclassified wage indices,
to calculate the out-migration
adjustment. This adjustment is
calculated as follows:
Step 1. Subtract the wage index for
the qualifying county from the wage
index of each of the higher wage area(s)
to which hospital workers commute.
Step 2. Divide the number of hospital
employees residing in the qualifying
county who are employed in such
higher wage index area by the total
number of hospital employees residing
in the qualifying county who are
employed in any higher wage index
area. For each of the higher wage index
areas, multiply this result by the result
obtained in Step 1.
Step 3. Sum the products resulting
from Step 2 (if the qualifying county has
workers commuting to more than one
higher wage index area).
Step 4. Multiply the result from Step
3 by the percentage of hospital
employees who are residing in the
qualifying county and who are
employed in any higher wage index
area.
These adjustments will be effective
for each county for a period of 3 fiscal
years. For example, hospitals that
received the adjustment for the first
time in FY 2008 will be eligible to retain
the adjustment for FY 2009. For
hospitals in newly qualified counties,
adjustments to the wage index are
effective for 3 years, beginning with
discharges occurring on or after October
1, 2008.
Hospitals receiving the wage index
adjustment under section 1886(d)(13)(F)
of the Act are not eligible for
reclassification under sections
1886(d)(8) or (d)(10) of the Act unless
they waive the out-migration
adjustment. Consistent with our FY
2005, 2006, 2007, and 2008 IPPS final
rules, we are proposing that hospitals
redesignated under section 1886(d)(8) of
the Act or reclassified under section
1886(d)(10) of the Act will be deemed
to have chosen to retain their
redesignation or reclassification. Section
1886(d)(10) hospitals that wish to
receive the out-migration adjustment,
rather than their reclassification, should
follow the termination/withdrawal
procedures specified in 42 CFR 412.273
and section III.I.3. of the preamble of
this proposed rule. Otherwise, they will
be deemed to have waived the outmigration adjustment. Hospitals
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redesignated under section 1886(d)(8) of
the Act will be deemed to have waived
the out-migration adjustment, unless
they explicitly notify CMS within 45
days from the publication of this
proposed rule that they elect to receive
the out-migration adjustment instead.
These notifications should be sent to the
following address: Centers for Medicare
and Medicaid Services, Center for
Medicare Management, Attention: Wage
Index Adjustment Waivers, Division of
Acute Care, Room C4–08–06, 7500
Security Boulevard, Baltimore, MD
21244–1850.
Table 4J in the Addendum to this
proposed rule lists the proposed outmigration wage index adjustments for
FY 2009. Hospitals that are not
otherwise reclassified or redesignated
under section 1886(d)(8) or section
1886(d)(10) of the Act will
automatically receive the listed
adjustment. In accordance with the
procedures discussed above,
redesignated/reclassified hospitals
would be deemed to have waived the
out-migration adjustment unless CMS is
otherwise notified. Hospitals that are
eligible to receive the out-migration
wage index adjustment and that
withdraw their application for
reclassification would automatically
receive the wage index adjustment
listed in Table 4J in the Addendum to
this proposed rule.
K. Process for Requests for Wage Index
Data Corrections
The preliminary, unaudited
Worksheet S–3 wage data and
occupational mix survey data files for
the FY 2009 wage index were made
available on October 5, 2007, through
the Internet on the CMS Web site at:
https://www.cms.hhs.gov/
AcuteInpatientPPS/WIFN/
list.asp#TopOfPage.
In the interest of meeting the data
needs of the public, beginning with the
proposed FY 2009 wage index, we
posted an additional public use file on
our Web site that reflects the actual data
that are used in computing the proposed
wage index. The release of this new file
does not alter the current wage index
process or schedule. We notified the
hospital community of the availability
of these data as we do with the current
public use wage data files through our
Hospital Open Door forum. We
encourage hospitals to sign up for
automatic notifications of information
about hospital issues and the scheduling
of the Hospital Open Door forums at:
https://www.cms.hhs.gov/
OpenDoorForums/.
In a memorandum dated October 5,
2007, we instructed all fiscal
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intermediaries/MACs to inform the IPPS
hospitals they service of the availability
of the wage index data files and the
process and timeframe for requesting
revisions (including the specific
deadlines listed below). We also
instructed the fiscal intermediaries/
MACs to advise hospitals that these data
were also made available directly
through their representative hospital
organizations.
If a hospital wished to request a
change to its data as shown in the
October 5, 2007 wage and occupational
mix data files, the hospital was to
submit corrections along with complete,
detailed supporting documentation to
its fiscal intermediary/MAC by
December 7, 2007. Hospitals were
notified of this deadline and of all other
possible deadlines and requirements,
including the requirement to review and
verify their data as posted on the
preliminary wage index data files on the
Internet, through the October 5, 2007
memorandum referenced above.
In the October 5, 2007 memorandum,
we also specified that a hospital
requesting revisions to its 1st and/or
2nd quarter occupational mix survey
data was to copy its record(s) from the
CY 2006 occupational mix preliminary
files posted to our Web site in October,
highlight the revised cells on its
spreadsheet, and submit its
spreadsheet(s) and complete
documentation to its fiscal
intermediary/MAC no later than
December 7, 2007.
The fiscal intermediaries (or, if
applicable, the MACs) notified the
hospitals by mid-February 2008 of any
changes to the wage index data as a
result of the desk reviews and the
resolution of the hospitals’ earlyDecember revision requests. The fiscal
intermediaries/MACs also submitted the
revised data to CMS by mid-February
2008. CMS published the proposed
wage index public use files that
included hospitals’ revised wage index
data on February 25, 2008. In a
memorandum also dated February 25,
2008, we instructed fiscal
intermediaries/MACs to notify all
hospitals regarding the availability of
the proposed wage index public use
files and the criteria and process for
requesting corrections and revisions to
the wage index data. Hospitals had until
March 11, 2008 to submit requests to the
fiscal intermediaries/MACs for
reconsideration of adjustments made by
the fiscal intermediaries/MACs as a
result of the desk review, and to correct
errors due to CMS’s or the fiscal
intermediary’s (or, if applicable, the
MAC’s) mishandling of the wage index
data. Hospitals were also required to
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submit sufficient documentation to
support their requests.
After reviewing requested changes
submitted by hospitals, fiscal
intermediaries/MACs are to transmit
any additional revisions resulting from
the hospitals’ reconsideration requests
by April 14, 2008. The deadline for a
hospital to request CMS intervention in
cases where the hospital disagreed with
the fiscal intermediary’s (or, if
applicable, the MAC’s) policy
interpretations is April 21, 2008.
Hospitals should also examine Table
2 in the Addendum to this proposed
rule. Table 2 in the Addendum to this
proposed rule contains each hospital’s
adjusted average hourly wage used to
construct the wage index values for the
past 3 years, including the FY 2005 data
used to construct the proposed FY 2009
wage index. We note that the hospital
average hourly wages shown in Table 2
only reflect changes made to a hospital’s
data and transmitted to CMS by
February 29, 2008.
We will release the final wage index
data public use files in early May 2008
on the Internet at https://
www.cms.hhs.gov/AcuteInpatientPPS/
WIFN/list.asp#TopOfPage. The May
2008 public use files will be made
available solely for the limited purpose
of identifying any potential errors made
by CMS or the fiscal intermediary/MAC
in the entry of the final wage index data
that result from the correction process
described above (revisions submitted to
CMS by the fiscal intermediaries/MACs
by April 14, 2008). If, after reviewing
the May 2008 final files, a hospital
believes that its wage or occupational
mix data are incorrect due to a fiscal
intermediary or MAC or CMS error in
the entry or tabulation of the final data,
the hospital should send a letter to both
its fiscal intermediary or MAC and CMS
that outlines why the hospital believes
an error exists and to provide all
supporting information, including
relevant dates (for example, when it first
became aware of the error). CMS and the
fiscal intermediaries (or, if applicable,
the MACs) must receive these requests
no later than June 9, 2008. Requests
mailed to CMS should be sent to:
Centers for Medicare & Medicaid
Services, Center for Medicare
Management, Attention: Wage Index
Team, Division of Acute Care, C4–08–
06, 7500 Security Boulevard, Baltimore,
MD 21244–1850.
Each request also must be sent to the
fiscal intermediary or the MAC. The
fiscal intermediary or the MAC will
review requests upon receipt and
contact CMS immediately to discuss its
findings.
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23637
At this point in the process, that is,
after the release of the May 2008 wage
index data files, changes to the wage
and occupational mix data will only be
made in those very limited situations
involving an error by the fiscal
intermediary or the MAC or CMS that
the hospital could not have known
about before its review of the final wage
index data files. Specifically, neither the
fiscal intermediary or the MAC nor CMS
will approve the following types of
requests:
• Requests for wage index data
corrections that were submitted too late
to be included in the data transmitted to
CMS by fiscal intermediaries or the
MACs on or before April 21, 2008.
• Requests for correction of errors
that were not, but could have been,
identified during the hospital’s review
of the February 25, 2008 wage index
public use files.
• Requests to revisit factual
determinations or policy interpretations
made by the fiscal intermediary or the
MAC or CMS during the wage index
data correction process.
Verified corrections to the wage index
data received timely by CMS and the
fiscal intermediaries or the MACs (that
is, by June 9, 2008) will be incorporated
into the final wage index in the FY 2009
IPPS final rule, which will be effective
October 1, 2008.
We created the processes described
above to resolve all substantive wage
index data correction disputes before we
finalize the wage and occupational mix
data for the FY 2009 payment rates.
Accordingly, hospitals that do not meet
the procedural deadlines set forth above
will not be afforded a later opportunity
to submit wage index data corrections or
to dispute the fiscal intermediary’s (or,
if applicable the MAC’s) decision with
respect to requested changes.
Specifically, our policy is that hospitals
that do not meet the procedural
deadlines set forth above will not be
permitted to challenge later, before the
Provider Reimbursement Review Board,
the failure of CMS to make a requested
data revision. (See W. A. Foote
Memorial Hospital v. Shalala, No. 99–
CV–75202–DT (E.D. Mich. 2001) and
Palisades General Hospital v.
Thompson, No. 99–1230 (D.D.C. 2003).)
We refer the reader also to the FY 2000
final rule (64 FR 41513) for a discussion
of the parameters for appealing to the
PRRB for wage index data corrections.
Again, we believe the wage index data
correction process described above
provides hospitals with sufficient
opportunity to bring errors in their wage
and occupational mix data to the fiscal
intermediary’s (or, if applicable, the
MAC’s) attention. Moreover, because
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hospitals will have access to the final
wage index data by early May 2008,
they have the opportunity to detect any
data entry or tabulation errors made by
the fiscal intermediary or the MAC or
CMS before the development and
publication of the final FY 2009 wage
index by August 1, 2008, and the
implementation of the FY 2009 wage
index on October 1, 2008. If hospitals
availed themselves of the opportunities
afforded to provide and make
corrections to the wage and
occupational mix data, the wage index
implemented on October 1 should be
accurate. Nevertheless, in the event that
errors are identified by hospitals and
brought to our attention after June 9,
2008, we retain the right to make
midyear changes to the wage index
under very limited circumstances.
Specifically, in accordance with 42
CFR 412.64(k)(1) of our existing
regulations, we make midyear
corrections to the wage index for an area
only if a hospital can show that: (1) The
fiscal intermediary or the MAC or CMS
made an error in tabulating its data; and
(2) the requesting hospital could not
have known about the error or did not
have an opportunity to correct the error,
before the beginning of the fiscal year.
For purposes of this provision, ‘‘before
the beginning of the fiscal year’’ means
by the June deadline for making
corrections to the wage data for the
following fiscal year’s wage index. This
provision is not available to a hospital
seeking to revise another hospital’s data
that may be affecting the requesting
hospital’s wage index for the labor
market area. As indicated earlier, since
CMS makes the wage index data
available to hospitals on the CMS Web
site prior to publishing both the
proposed and final IPPS rules, and the
fiscal intermediaries or the MAC notify
hospitals directly of any wage index
data changes after completing their desk
reviews, we do not expect that midyear
corrections will be necessary. However,
under our current policy, if the
correction of a data error changes the
wage index value for an area, the
revised wage index value will be
effective prospectively from the date the
correction is made.
In the FY 2006 IPPS final rule (70 FR
47385), we revised 42 CFR 412.64(k)(2)
to specify that, effective on October 1,
2005, that is beginning with the FY 2006
wage index, a change to the wage index
can be made retroactive to the beginning
of the Federal fiscal year only when: (1)
The fiscal intermediary (or, if
applicable, the MAC) or CMS made an
error in tabulating data used for the
wage index calculation; (2) the hospital
knew about the error and requested that
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the fiscal intermediary (or if applicable
the MAC) and CMS correct the error
using the established process and
within the established schedule for
requesting corrections to the wage index
data, before the beginning of the fiscal
year for the applicable IPPS update (that
is, by the June 9, 2008 deadline for the
FY 2009 wage index); and (3) CMS
agreed that the fiscal intermediary (or if
applicable, the MAC) or CMS made an
error in tabulating the hospital’s wage
index data and the wage index should
be corrected.
In those circumstances where a
hospital requested a correction to its
wage index data before CMS calculates
the final wage index (that is, by the June
deadline), and CMS acknowledges that
the error in the hospital’s wage index
data was caused by CMS’s or the fiscal
intermediary’s (or, if applicable, the
MAC’s) mishandling of the data, we
believe that the hospital should not be
penalized by our delay in publishing or
implementing the correction. As with
our current policy, we indicated that the
provision is not available to a hospital
seeking to revise another hospital’s data.
In addition, the provision cannot be
used to correct prior years’ wage index
data; it can only be used for the current
Federal fiscal year. In other situations
where our policies would allow midyear
corrections, we continue to believe that
it is appropriate to make prospectiveonly corrections to the wage index.
We note that, as with prospective
changes to the wage index, the final
retroactive correction will be made
irrespective of whether the change
increases or decreases a hospital’s
payment rate. In addition, we note that
the policy of retroactive adjustment will
still apply in those instances where a
judicial decision reverses a CMS denial
of a hospital’s wage index data revision
request.
L. Labor-Related Share for the Proposed
Wage Index for FY 2009
Section 1886(d)(3)(E) of the Act
directs the Secretary to adjust the
proportion of the national prospective
payment system base payment rates that
are attributable to wages and wagerelated costs by a factor that reflects the
relative differences in labor costs among
geographic areas. It also directs the
Secretary to estimate from time to time
the proportion of hospital costs that are
labor-related: ‘‘The Secretary shall
adjust the proportion (as estimated by
the Secretary from time to time) of
hospitals’ costs which are attributable to
wages and wage-related costs of the
DRG prospective payment rates * * *’’
We refer to the portion of hospital costs
attributable to wages and wage-related
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costs as the labor-related share. The
labor-related share of the prospective
payment rate is adjusted by an index of
relative labor costs, which is referred to
as the wage index.
Section 403 of Pub. L. 108–173
amended section 1886(d)(3)(E) of the
Act to provide that the Secretary must
employ 62 percent as the labor-related
share unless this ‘‘would result in lower
payments to a hospital than would
otherwise be made.’’ However, this
provision of Pub. L. 108–173 did not
change the legal requirement that the
Secretary estimate ‘‘from time to time’’
the proportion of hospitals costs that are
‘‘attributable to wages and wage-related
costs.’’ We interpret this to mean that
hospitals receive payment based on
either a 62-percent labor-related share,
or the labor-related share estimated from
time to time by the Secretary, depending
on which labor-related share resulted in
a higher payment.
We have continued our research into
the assumptions employed in
calculating the labor-related share. Our
research involves analyzing the
compensation share separately for urban
and rural hospitals, using regression
analysis to determine the proportion of
costs influenced by the area wage index,
and exploring alternative methodologies
to determine whether all or only a
portion of professional fees and
nonlabor intensive services should be
considered labor-related.
In the FY 2006 IPPS final rule (70 FR
47392), we presented our analysis and
conclusions regarding the methodology
for updating the labor-related share for
FY 2006. We also recalculated a laborrelated share of 69.731 percent, using
the FY 2002-based PPS market basket
for discharges occurring on or after
October 1, 2005. In addition, we
implemented this revised and rebased
labor-related share in a budget neutral
manner, but consistent with section
1886(d)(3)(E) of the Act, we did not take
into account the additional payments
that would be made as a result of
hospitals with a wage index less than or
equal to 1.0 being paid using a laborrelated share lower than the laborrelated share of hospitals with a wage
index greater than 1.0.
The labor-related share is used to
determine the proportion of the national
PPS base payment rate to which the area
wage index is applied. In this proposed
rule, we are not proposing to make any
changes to the national average
proportion of operating costs that are
attributable to wages and salaries, fringe
benefits, professional fees, contract
labor, and labor intensive services.
Therefore, we are proposing to continue
to use a labor-related share of 69.731
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percent for discharges occurring on or
after October 1, 2008. Tables 1A and 1B
in the Addendum to this proposed rule
reflect this proposed labor-related share.
We note that section 403 of Pub. L. 108–
173 amended sections 1886(d)(3)(E) and
1886(d)(9)(C)(iv) of the Act to provide
that the Secretary must employ 62
percent as the labor-related share unless
this employment ‘‘would result in lower
payments to a hospital than would
otherwise be made.’’
We also are proposing to continue to
use a labor-related share for the Puerto
Rico-specific standardized amounts of
58.7 percent for discharges occurring on
or after October 1, 2008. Consistent with
our methodology for determining the
national labor-related share, we added
the Puerto Rico-specific relative weights
for wages and salaries, fringe benefits,
contract labor, nonmedical professional
fees, and other labor-intensive services
to determine the labor-related share.
Puerto Rico hospitals are paid based on
75 percent of the national standardized
amounts and 25 percent of the Puerto
Rico-specific standardized amounts. For
Puerto Rico hospitals, the national
labor-related share will always be 62
percent because the wage index for all
Puerto Rico hospitals is less than 1.0. A
Puerto Rico-specific wage index is
applied to the Puerto Rico-specific
portion of payments to the hospitals.
The labor-related share of a hospital’s
Puerto Rico-specific rate will be either
62 percent or the Puerto Rico-specific
labor-related share depending on which
results in higher payments to the
hospital. If the hospital has a Puerto
Rico-specific wage index of greater than
1.0, we will set the hospital’s rates using
a labor-related share of 62 percent for
the 25 percent portion of the hospital’s
payment determined by the Puerto Rico
standardized amounts because this
amount will result in higher payments.
Conversely, a hospital with a Puerto
Rico-specific wage index of less than 1.0
will be paid using the Puerto Ricospecific labor-related share of 58.7
percent of the Puerto Rico-specific rates
because the lower labor-related share
will result in higher payments. The
proposed Puerto Rico labor-related
share of 58.7 percent for FY 2008 is
reflected in the Table 1C of the
Addendum to this proposed rule.
IV. Other Decisions and Proposed
Changes to the IPPS for Operating Costs
and GME Costs
A. Proposed Changes to the Postacute
Care Transfer Policy (§ 412.4)
1. Background
Existing regulations at § 412.4(a)
define discharges under the IPPS as
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situations in which a patient is formally
released from an acute care hospital or
dies in the hospital. Section 412.4(b)
defines transfers from one acute care
hospital to another. Section 412.4(c)
establishes the conditions under which
we consider a discharge to be a transfer
for purposes of our postacute care
transfer policy. In transfer situations,
the transferring hospital is paid based
on a per diem rate for each day of the
stay, not to exceed the full MS–DRG
payment that would have been made if
the patient had been discharged without
being transferred.
The per diem rate paid to a
transferring hospital is calculated by
dividing the full MS–DRG payment by
the geometric mean length of stay for
the MS–DRG. Based on an analysis that
showed that the first day of
hospitalization is the most expensive
(60 FR 5804), our policy generally
provides for payment that is double the
per diem amount for the first day, with
each subsequent day paid at the per
diem amount up to the full DRG
payment (§ 412.4(f)(1)). Transfer cases
are also eligible for outlier payments.
The outlier threshold for transfer cases
is equal to the fixed-loss outlier
threshold for nontransfer cases (adjusted
for geographic variations in costs),
divided by the geometric mean length of
stay for the MS–DRG, multiplied by the
length of stay for the case plus one day.
The purpose of the IPPS postacute care
transfer payment policy is to avoid
providing an incentive for a hospital to
transfer patients to another hospital, a
SNF, or home under a written plan of
care for home health services early in
the patients’’ stay in order to minimize
costs while still receiving the full MS–
DRG payment. The transfer policy
adjusts the payments to approximate the
reduced costs of transfer cases.
Beginning with the FY 2006 IPPS, the
regulations at § 412.4 specified that,
effective October 1, 2005, a DRG would
be subject to the postacute care transfer
policy if, based on Version 23.0 of the
DRG Definitions Manual (FY 2006),
using data from the March 2005 update
of FY 2004 MedPAR file, the DRG meets
the following criteria:
• The DRG had a geometric mean
length of stay of at least 3 days;
• The DRG had at least 2,050
postacute care transfer cases; and
• At least 5.5 percent of the cases in
the DRG were discharged to postacute
care prior to the geometric mean length
of stay for the DRG.
In addition, if the DRG was one of a
paired set of DRGs based on the
presence or absence of a CC or major
cardiovascular condition (MCV), both
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paired DRGs would be included if either
one met the three criteria above.
If a DRG met the above criteria based
on the Version 23.0 DRG Definitions
Manual and FY 2004 MedPAR data, we
made the DRG subject to the postacute
care transfer policy. We noted in the FY
2006 final rule that we would not revise
the list of DRGs subject to the postacute
care transfer policy annually unless we
made a change to a specific CMS DRG.
We established this policy to promote
certainty and stability in the postacute
care transfer payment policy. Annual
reviews of the list of CMS DRGs subject
to the policy would likely lead to great
volatility in the payment methodology
with certain DRGs qualifying for the
policy in one year, deleted the next
year, only to be reinstated the following
year. However, we noted that, over time,
as treatment practices change, it was
possible that some CMS DRGs that
qualified for the policy will no longer be
discharged with great frequency to
postacute care. Similarly, we explained
that there may be other CMS DRGs that
at that time had a low rate of discharges
to postacute care, but which might have
very high rates in the future.
The regulations at § 412.4 further
specify that if a DRG did not exist in
Version 23.0 of the DRG Definitions
Manual or a DRG included in Version
23.0 of the DRG Definitions Manual is
revised, the DRG will be a qualifying
DRG if it meets the following criteria
based on the version of the DRG
Definitions Manual in use when the
new or revised DRG first became
effective, using the most recent
complete year of MedPAR data:
• The total number of discharges to
postacute care in the DRG must equal or
exceed the 55th percentile for all DRGs;
and
• The proportion of short-stay
discharges to postacute care to total
discharges in the DRG exceeds the 55th
percentile for all DRGs. A short-stay
discharge is a discharge before the
geometric mean length of stay for the
DRG.
A DRG also is a qualifying DRG if it
is paired with another DRG based on the
presence or absence of a CC or MCV that
meets either of the above two criteria.
The MS–DRGs that we adopted for FY
2008 were a significant revision to the
CMS DRG system (72 FR 47141).
Because the MS–DRGs were not
reflected in Version 23.0 of the DRG
Definitions Manual, consistent with
§ 412.4, we established policy to
recalculate the 55th percentile
thresholds in order to determine which
MS–DRGs would be subject to the
postacute care transfer policy (72 FR
47186 through 47188). Further, under
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the MS–DRGs, the subdivisions within
the base DRGs are different than those
under the previous CMS DRGs. Unlike
the CMS DRGs, the MS–DRGs are not
divided based on the presence or
absence of a CC or MCV. Rather, the
MS–DRGs have up to three subdivisions
based on: (1) The presence of a MCC; (2)
the presence of a CC; or (3) the absence
of either an MCC or CC. Consistent with
our previous policy under which both
CMS DRGs in a CC/non-CC pair were
qualifying DRGs if one of the pair
qualified, we established that each MS–
DRG that shared a base MS–DRG will be
a qualifying DRG if one of the MS–DRGs
that shared the base DRG qualifies. We
revised § 412.4(d)(3)(ii) to codify this
policy.
Similarly, the adoption of the MS–
DRGs also necessitated a revision to one
of the criteria used in § 412.4(f)(5) of the
regulations to determine whether a DRG
meets the criteria for payment under the
‘‘special payment methodology.’’ Under
the special payment methodology, a
case subject to the special payment
methodology that is transferred early to
a postacute care setting will be paid 50
percent of the total IPPS payment plus
the average per diem for the first day of
the stay. In addition, the hospital will
receive 50 percent of the per diem
amount for each subsequent day of the
stay, up to the full MS–DRG payment
amount. A CMS DRG was subject to the
special payment methodology if it met
the criteria of § 412.4(f)(5). Section
412.4(f)(5)(iv) specifies that, for
discharges occurring on or after October
1, 2005, and prior to October 1, 2007, if
a DRG meets the criteria specified under
§ 412.4(f)(5)(i) through (f)(5)(iii), any
DRG that is paired with it based on the
presence or absence of a CC or MCV is
also subject to the special payment
methodology. Given that this criterion
was no longer applicable under the MS–
DRG system, in the FY 2008 final rule
with comment period, we added a new
§ 412.4(f)(6) (42 FR 47188 and 47410).
Section 412.4(f)(6) provides that, for
discharges on or after October 1, 2007,
if an MS–DRG meets the criteria
specified under §§ 412.4(f)(6)(i) through
(f)(6)(iii), any other MS–DRG that is part
of the same MS–DRG group is also
subject to the special payment
methodology. We updated this criterion
so that it conformed to the changes
associated with adopting MS–DRGs for
FY 2008. The revision makes an MS–
DRG subject to the special payment
methodology if it shares a base MS–DRG
with an MS–DRG that meets the criteria
for receiving the special payment
methodology.
Section 1886(d)(5)(J) of the Act
provides that, effective for discharges on
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or after October 1, 1998, a ‘‘qualified
discharge’’ from one of DRGs selected
by the Secretary to a postacute care
provider would be treated as a transfer
case. This section required the Secretary
to define and pay as transfers all cases
assigned to one of the DRGs selected by
the Secretary, if the individuals are
discharged to one of the following
postacute care settings:
• A hospital or hospital unit that is
not a subsection 1886(d) hospital.
(Section 1886(d)(1)(B) of the Act
identifies the hospitals and hospital
units that are excluded from the term
‘‘subsection (d) hospital’’ as psychiatric
hospitals and units, rehabilitation
hospitals and units, children’s hospitals,
long-term care hospitals, and cancer
hospitals.)
• A SNF (as defined at section1819(a)
of the Act).
• Home health services provided by a
home health agency, if the services
relate to the condition or diagnosis for
which the individual received inpatient
hospital services, and if the home health
services are provided within an
appropriate period (as determined by
the Secretary). In the FY 1999 IPPS final
rule (63 FR 40975 through 40976 and
40979 through 40981), we specified that
a patient discharged to home would be
considered transferred to postacute care
if the patient received home health
services within 3 days after the date of
discharge. In addition, in the FY 1999
IPPS final rule, we did not include
patients transferred to a swing-bed for
skilled nursing care in the definition of
postacute care transfer cases (63 FR
40977).
2. Proposed Policy Change Relating to
Transfers to Home with a Written Plan
for the Provision of Home Health
Services
As noted above, in the FY 1999 IPPS
final rule (63 FR 40975 through 40976
and 40979 through 40981), we
determined that 3 days is an appropriate
period within which home health
services should begin following a
beneficiary’s discharge to the home in
order for the discharge to be considered
a ‘‘qualified discharge’’ subject to the
payment adjustment for postacute care
transfer cases. In that same final rule,
we noted that we would monitor
whether 3 days would remain an
appropriate timeframe.
Section 1886(d)(5)(J)(ii)(III) of the Act
provides that the discharge of an
individual who receives home health
services upon discharge will be treated
as a transfer if ‘‘such services are
provided within an appropriate period
as determined by the Secretary * * *’’.
The statute thus confers upon the
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Secretary the authority to determine an
appropriate timeframe for the
application of the postacute care
transfer policy in cases where home
health services commence subsequent to
discharge from an acute care hospital. In
the FY 1999 final IPPS rule, we
established the policy that the postacute
care transfer policy would apply to
cases in which the home health care
begins within 3 days of the discharge
from an acute care policy. We noted in
that rule that we did not believe that it
was appropriate to limit the transfer
definition to cases in which home
health care begins on the same day as
the patient is discharged from the
hospital. We observed that data
indicated that less than 8 percent of
discharged patients who receive home
health care begin receiving those
services on the date of discharge. It is
unreasonable to expect that patients
who are discharged later in the day
would receive a home health visit that
same day. Furthermore, we believed
that the financial incentive to delay
needed home health care for only a
matter of hours would be overwhelming
if we limited the timeframe to one day.
At the time of that final rule, we
explained that we believed that 3 days
would be a more appropriate timeframe
because it would mitigate the incentive
to delay home health services to avoid
the application of the postacute care
transfer policy, and because a 3-day
timeframe was consistent with existing
patterns of care.
In that final rule, we also noted that
a number of commenters had raised
issues and questions concerning the
proposal to adopt 3 days as the
appropriate timeframe for the
application of the postacute care
transfer policy in these cases. While
most of the commenters advocated
shorter timeframes, on the grounds that
postacute care beginning 3 days after a
discharge should not be considered a
substitute for inpatient hospital care,
others suggested that a 3-day window
might still allow for needlessly
prolonged hospital care or delayed
home health in order to avoid the
application of the postacute care
transfer policy. Although MedPAC
agreed with the commenters who
asserted that home health care services
furnished after a delay of more than one
day may not necessarily be regarded as
substituting for inpatient acute care,
they also noted that a 3-day window
allows for the fact that most home
health patients do not receive care every
day, as well as for those occasions in
which there may be a delay in arranging
for the provision of planned care (for
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example, an intervening weekend). The
commission also stated that a shorter
period may create a stronger incentive
to delay the provision of necessary care
beyond the window so that the hospital
will receive the full DRG payment. In
the light of these comments and, in
particular, of the concern that a 3-day
timeframe still allowed for some
incentive to delay necessary home
health services in order to avoid the
application of the postacute care
transfer policy, we indicated that we
would continue to monitor this policy
in order to track any changes in
practices that may indicate the need for
revising the window.
Since the adoption of this policy in
FY 1999, we have continued to receive
reports that some providers discharge
patients prior to the geometric mean
length of stay but intentionally delay
home health services beyond 3 days
after the acute hospital discharge in
order to avoid the postacute care
transfer payment adjustment policy.
These reports, and the concerns
expressed by some commenters in FY
1999 about the adequacy of a 3-day
window to reduce such incentives, have
prompted us to examine the available
data concerning the initiation and
program payments for home health care
subsequent to discharge from postacute
care.
We merged the FY 2004 MedPAR file
with postacute care bill files matching
beneficiary identification numbers and
discharge and admission dates and
looked at the 10 DRGs that were subject
to the postacute care transfer policy
from FYs 1999 through 2003 (DRG 14
(Intracranial Hemorrhage and Stroke
with Infarction (formerly ‘‘Specific
Cerebrovascular Disorders Except
Transient Ischemic Attack’’)); DRG 113
(Amputation for Circulatory System
Disorders Except Upper Limb and Toe);
DRG 209 (Major Joint Limb
Reattachment Procedures of Lower
Extremity); DRG 210 (Hip and Femur
Procedures Except Major Joint
Procedures ≤17 with CC); DRG 211 (Hip
and Femur Procedures Except Major
Joint Procedures Age ≤17 without CC);
DRG 236 (Fractures of Hip and Pelvis);
DRG 263 (Skin Graft and/or
Debridement for Skin Ulcer or Cellulitis
with CC); DRG 264 (Skin Graft and/or
Debridement for Skin Ulcer or Cellulitis
without CC); DRG 429 (Organic
Disturbances and Mental Retardation);
and DRG 483 (Tracheostomy with
Mechanical Ventiliation 96+ Hours or
Principal Diagnosis Except Face, Mouth,
and Neck Diagnoses (formerly
‘‘Tracheostomy Except for Face, Mouth,
and Neck Diagnoses’’)). We selected the
original 10 ‘‘qualified DRGs’’ because
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they were the DRGs to which the
postacute care transfer policy applied
for FYs 1999 through 2003 and because
we expect that trends that we found in
the data with those DRGs would be
likely to accurately reflect provider
practices after the inception of the
postacute care transfer policy. We
expect that provider practices for the
original 10 DRGs would be consistent
even with the expansion of the DRGs
that are subject to the postacute care
transfer policy. We note that providers
may have even a greater incentive to
delay the initiation of home health care
in an effort to avoid the postacute care
transfer policy now that there are more
DRGs to which the policy applies. We
compared data on home health services
provided to patients who were
discharged prior to the geometric mean
length of stay to patients who were
discharged at or beyond the geometric
mean length of stay. For purposes of this
analysis, we assumed that home health
was the first discharge designation from
the acute care hospital setting.
The data showed that, on average, the
Medicare payment per home health visit
was higher for patients who were
discharged prior to the geometric mean
length of stay (as compared to patients
who were discharged at or beyond the
geometric mean length of stay).
Additionally, we found some evidence
in the data suggesting that, for patients
discharged prior to the geometric mean
length of stay for many DRGs, hospitals
may indeed be discharging patients
earlier than advisable, providing less
than the optimal amount of acute
inpatient care, and are instead
substituting home health care for
inpatient services, resulting in higher
home health care payments under the
Medicare program. One generally would
expect that patients discharged prior to
the geometric mean length of stay are
genuinely less severely ill than patients
discharged at or after the geometric
mean length of stay because patients in
the former group are judged to be
appropriate for discharge after less acute
inpatient care. However, our data paint
a different picture. For example, the
data on the average per day Medicare
payments for home health care for those
patients who are discharged from the
hospital prior to the geometric mean
length of stay in the DRGs to which the
postacute care transfer policy applies, as
compared to Medicare payments for
patients discharged from the hospital at
or after the geometric mean length of
stay, show patterns other than what
might be expected if hospitals are
generally discharging patients for home
health care only after the full amount of
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acute inpatient care. Specifically,
average Medicare payments per home
health care visit are consistently higher
for patients discharged prior to the
geometric mean length of stay than for
patients discharged at or after the
geometric mean length of stay. The
average home health care per visit
payments for patients treated for the
relevant DRGs and discharged before the
geometric mean length of stay are $204
when the initiation of home health care
began on the second day after discharge,
$199 on the third day, and $182 on the
sixth day, compared to $177, $163, and
$171, respectively for patients
discharged on or after the geometric
mean length of stay. Furthermore, the
ratio of the payments for these two
groups actually increases from 1.16 on
the third day after discharge to 1.22 on
the fourth day, before falling again to
1.04, 1.07, and 1.08 on the fifth, sixth,
and seventh days. This suggests the
possibility that home health care for
some relatively sicker patients is being
delayed until just beyond the 3-day
window during which the postacute
care transfer policy applies. In the light
of these data, we believe that it is
appropriate to propose extending the
applicable timeframe in order to reduce
the incentive for providers to delay
home health care when discharging
patients from the acute care setting.
Further examination of the data
indicates that the average per day
Medicare payments for home health
care for those patients, in the DRGs to
which the postacute care transfer policy
applies, who are discharged from the
hospital prior to the geometric mean
length of stay, stabilizes at a somewhat
lower amount when the initiation of
home health visits begins on the seventh
and subsequent days after discharge.
Specifically, average payments per visit
for this group fall from $182 when home
health services began on the sixth day
after the acute care hospital discharge to
$174 on the seventh day, and then
remain relatively steady at $171, $177,
and $172 on the eighth, ninth, and tenth
days. This suggests that a 7-day period
would be an appropriate point at which
to establish a new timeframe. The
stabilization of average home health
care visit payments at and after the
seventh day suggests that this may be
the point at which the incentives to
delay the start of home health care in
order to avoid the application of the
postacute care transfer policy are
reduced. As a consequence of this
analysis, in this proposed rule, we are
proposing to revise § 412.4(c)(3) to
extend the timeframe to within 7 days
of discharge to home under a written
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plan for the provision of home health
services, effective October 1, 2008. We
believe that extending the applicable
timeframe will lessen the incentive for
providers to delay the start of home
health care after discharging patients
from the acute care hospital setting.
During the comment period on this
proposed rule, we plan to continue to
search our data on postacute care
discharges to home health services. We
welcome comments and suggestions on
other data analyses that can be
performed to determine an appropriate
timeframe for which the postacute care
transfer policy would apply.
In addition to the reasons noted
above, we believe that 7 days is
currently an appropriate timeframe
because we believe that accommodates
current practices and it is sufficiently
long enough to lessen the likelihood
that providers would delay the
initiation of necessary home health
services. At the same time, we believe
that 7 days is narrow enough that we
would still expect the majority of the
home health services to be related to the
condition to which the acute inpatient
hospital stay was necessary. Further, we
note that there may be some cases for
which it is not clinically appropriate to
begin home health services immediately
following an acute care discharge, and
that even when home health services are
clinically appropriate sooner than
within 7 days of acute care discharge,
home health services may not be
immediately available.
We note that, as we stated in the FY
2000 IPPS final rule (65 FR 47081), if
the hospital’s continuing care plan for
the patient is not related to the purpose
of the inpatient hospital admission, a
condition code 42 must be entered on
the claim. If the continuing care plan is
related to the purpose of the inpatient
hospital admission but begins after 7
days (formerly after 3 days) of discharge,
a condition code 43 must be entered on
the claim. The presence of either of
these condition codes in conjunction
with patient status discharge code 06
(Discharged/Transferred to Home under
Care of Organized Home Health Service
Organization in Anticipation of Covered
Skilled Care) will result in full payment
rather than the transfer payment
amount.
3. Evaluation of MS–DRGs Under
Postacute Care Transfer Policy for FY
2009
For FY 2009, we are not proposing to
make any changes to the criteria by
which an MS–DRG would qualify for
inclusion in the postacute care transfer
policy. However, because we are
proposing to revise some existing MS–
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DRGs and to add one new MS–DRG
(discussed under section II.G. of this
preamble), we are proposing to evaluate
those MS–DRGs under our existing
postacute care transfer criteria in order
to determine whether any of the revised
or new MS–DRGs will meet the
postacute care transfer criteria for FY
2009. Therefore, for 2009, we are
evaluating MS–DRGs 001, 002, 215, 245,
901 through 909, 913 through 923, 955
through 959, and 963 through 965. Any
revisions made would not constitute a
change to the application of the
postacute care transfer policy. A list
indicating which MS–DRGs would be
subject to the postacute care transfer
policy for FY 2009 can be found in
Table 5 in the Addendum to this
proposed rule.
B. Reporting of Hospital Quality Data
for Annual Hospital Payment Update
(§ 412.64(d)(2))
1. Background
a. Overview
CMS is transforming the Medicare
program from a passive payer to an
active purchaser of higher quality, more
efficient health care. Such care will
contribute to the sustainability of the
Medicare program, encourage the
delivery of high quality care while
avoiding unnecessary costs, and help
ensure high value for beneficiaries. To
support this transformation, CMS has
worked with stakeholders to develop
and implement quality measures, make
provider and plan performance public,
link payment incentives to reporting on
measures, and ultimately is working to
link payment to actual performance on
these measures. Commonly referred to
as value-based purchasing, this policy
aligns payment incentives with the
quality of care as well as the resources
used to deliver care to encourage the
delivery of high-value health care.
The success of this transformation is
supported by and dependent upon an
increasing number of widely-agreed
upon quality measures. The Medicare
program has defined measures of quality
in almost every setting and measures
some aspect of care for almost all
Medicare beneficiaries. These measures
include clinical processes, patient
perception of their care experience, and,
increasingly, outcomes.
The Medicare program has
established mechanisms for collecting
information on these measures, such as
QualityNet, an Internet-based process
that hospitals use to report all-payer
information. Initial voluntary efforts
were supplemented beginning in FY
2005 by a provision in the Medicare
Prescription Drug Improvement and
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Modernization Act (MMA), which
provided the full annual payment
update only to ‘‘subsection (d)
hospitals’’ (that is, hospitals paid under
the IPPS) that successfully reported on
a set of widely-agreed upon quality
measures. Since FY 2007, as required by
subsequent legislation (the Deficit
Reduction Act (DRA)) the number of
quality measures and the amount of the
financial incentive have increased.
As a result, the great majority of
hospitals now report on quality
measures for heart failure, heart disease,
pneumonia, and surgical infection and
received the full annual update for FY
2008. The number of measures has
continued to grow and the types of
measures have grown as well, with the
addition of outcomes measures, such as
heart attack and heart failure mortality
measures, and the HCAHPS measure of
patient satisfaction. In section IV.B.2. of
this preamble, we are seeking public
comments on proposed additional
quality measures.
Reporting on these measures provides
hospitals a greater awareness of the
quality of care they provide and
provides actionable information for
consumers to make more informed
decisions about their health care
providers and treatments.
Moving beyond reporting to
performance, CMS has designed a
Hospital Value-Based Purchasing Plan
that would link hospital payments to
their actual performance on quality
measures. In accordance with the DRA,
the Plan was submitted to Congress in
November 2007. We discuss the Plan
more fully in section IV.C. of this
preamble.
The ongoing CMS Premier Hospital
Quality Incentive Demonstration project
is another effort linking payments to
quality performance. Launched in 2003,
the Premier Hospital Quality Incentive
Demonstration project promotes
measurable improvements in the quality
of care, examining whether economic
incentives to hospitals are effective at
improving the quality of care. Early
evidence from the project indicates that
linking payments to quality
performance can be effective.
As required by section 5001(c) the
DRA, CMS also has implemented a
program intended to encourage the
prevention of certain avoidable or
preventable hospital-acquired
conditions (HACs), including infections,
that may occur during a hospital stay.
Beginning October 1, 2007, CMS
required hospitals to begin reporting
information on Medicare claims
specifying whether certain diagnoses
were present on admission (POA).
Beginning October 1, 2008, CMS will no
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jlentini on PROD1PC65 with PROPOSALS2
longer pay hospitals for a DRG using the
higher-paying CC or MCC associated
with one or more of these conditions (if
no other condition meeting the higher
paying CC or MCC criteria is present)
unless the condition was POA (that is,
not acquired during the hospital stay).
Linking a payment incentive to
hospitals’ prevention of avoidable or
preventable HACs is a strong approach
for encouraging high quality care.
Combating these HACs can reduce
morbidity and mortality as well as
reducing unnecessary costs. In the FY
2008 IPPS final rule with comment
period (72 FR 47217), CMS identified
eight HACs. In section II.F. of this
preamble, CMS is seeking comment on
additional proposed conditions.
CMS is committed to enhancing these
value-based purchasing programs, in
close collaboration with stakeholders,
through the development and use of
new measures for quality reporting,
expanded public reporting, greater and
more widespread incentives in the
payment system for reporting on such
measures, and ultimately performance
on those measures. These initiatives
hold the potential to transform the
delivery of health care by rewarding
quality of care and delivering higher
value to Medicare beneficiaries.
A critical element of value-based
purchasing is well-accepted measures.
Hospitals can then measure their
performance relative to other hospitals.
Further, this information can be posted
for consumers to use to make more
informed choices about their care. In
this section IV.B. of this preamble, we
describe past and current efforts to make
this information available and proposals
to expand these efforts and make even
more useful hospital quality information
available to the public.
b. Voluntary Hospital Quality Data
Reporting
In December 2002, the Secretary
announced a partnership with several
collaborators intended to promote
hospital quality improvement and
public reporting of hospital quality
information. These collaborators
included the American Hospital
Association (AHA), the Federation of
American Hospitals (FAH), the
Association of American Medical
Colleges (AAMC), the Joint Commission
on Accreditation of Healthcare
Organizations (the Joint Commission),
the National Quality Forum (NQF), the
American Medical Association (AMA),
the Consumer-Purchaser Disclosure
Project, the American Association of
Retired Persons (AARP), the American
Federation of Labor-Congress of
Industrial Organizations (AFL–CIO), the
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Agency for Healthcare Research and
Quality (AHRQ), as well as CMS and
others. In July 2003, CMS began the
National Voluntary Hospital Reporting
Initiative. This initiative is now known
as the Hospital Quality Alliance:
Improving Care through Information
(HQA).
We established the following ‘‘starter
set’’ of 10 quality measures for
voluntary reporting as of November 1,
2003:
Heart Attack (Acute Myocardial
Infarction or AMI)
• Was aspirin given to the patient
upon arrival to the hospital?
• Was aspirin prescribed when the
patient was discharged?
• Was a beta blocker given to the
patient upon arrival to the hospital?
• Was a beta blocker prescribed when
the patient was discharged?
• Was an Angiotensin Converting
Enzyme (ACE) Inhibitor given for the
patient with heart failure?
Heart Failure (HF)
• Did the patient get an assessment of
his or her heart function?
• Was an Angiotensin Converting
Enzyme (ACE) Inhibitor given to the
patient?
Pneumonia (PN)
• Was an antibiotic given to the
patient in a timely way?
• Had the patient received a
pneumococcal vaccination?
• Was the patient’s oxygen level
assessed?
This starter set of 10 quality measures
was endorsed by the NQF. The NQF is
a voluntary consensus standard-setting
organization established to standardize
health care quality measurement and
reporting through its consensus
development process. In addition, this
starter set is a subset of measures
currently collected for the Joint
Commission as part of its hospital
inpatient certification program.
We chose these 10 quality measures
in order to collect data that would: (1)
Provide useful and valid information
about hospital quality to the public; (2)
provide hospitals with a sense of
predictability about public reporting
expectations; (3) begin to standardize
data and data collection mechanisms;
and (4) foster hospital quality
improvement.
Hospitals submit quality data through
the QualityNet secure Web site
(formerly known as QualityNet
Exchange) (www.qualitynet.org). This
Web site meets or exceeds all current
Health Insurance Portability and
Accountability Act requirements for
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23643
security of personal health information.
Data from this initiative are used to
populate the Hospital Compare Web
site, www.hospitalcompare.hhs.gov.
This Web site assists beneficiaries and
the general public by providing
information on hospital quality of care
for consumers who need to select a
hospital. It further serves to encourage
consumers to work with their doctors
and hospitals to discuss the quality of
care hospitals provide to patients,
thereby providing an additional
incentive to improve the quality of care
that they furnish.
c. Hospital Quality Data Reporting
Under Section 501(b) of Pub. L. 108–173
Section 1886(b)(3)(B)(vii) of the Act,
as added by section 501(b) of Pub. L.
108–173, revised the mechanism used to
update the standardized amount of
payment for inpatient hospital operating
costs. Specifically, the statute provided
for a reduction of 0.4 percentage points
to the update percentage increase (also
known as the market basket update) for
each of FYs 2005 through 2007 for any
subsection (d) hospital that does not
submit data on a set of 10 quality
indicators established by the Secretary
as of November 1, 2003. The statute also
provided that any reduction would
apply only to the fiscal year involved,
and would not be taken into account in
computing the applicable percentage
increase for a subsequent fiscal year.
This measure established an incentive
for IPPS hospitals to submit data on the
quality measures established by the
Secretary.
We initially implemented section
1886(b)(3)(B)(vii) of the Act in the FY
2005 IPPS final rule (69 FR 49078). In
addition, we established the Reporting
Hospital Quality Data for Annual
Payment Update (RHQDAPU) program
and added 42 CFR 412.64(d)(2) to our
regulations. We adopted additional
requirements under the RHQDAPU
program in the FY 2006 IPPS final rule
(70 FR 47420).
d. Hospital Quality Data Reporting
Under Section 5001(a) of Pub. L. 109–
171
Section 5001(a) of the Deficit
Reduction Act of 2005, Pub. L. 109–171
(DRA), further amended section
1886(b)(3)(B) of the Act to revise the
mechanism used to update the
standardized amount for payment for
hospital inpatient operating costs.
Specifically, sections
1886(b)(3)(B)(viii)(I) and (II) of the Act
provide that the payment update for FY
2007 and each subsequent fiscal year be
reduced by 2.0 percentage points for any
subsection (d) hospital that does not
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submit certain quality data in a form
and manner, and at a time, specified by
the Secretary. Section
1886(b)(3)(B)(viii)(III) of the Act requires
that the Secretary expand the ‘‘starter
set’’ of 10 quality measures that were
established by the Secretary as of
November 1, 2003, as the Secretary
determines to be appropriate for the
measurement of the quality of care
furnished by a hospital in inpatient
settings. In expanding this set of
measures, section 1886(b)(3)(B)(viii)(IV)
of the Act requires that, effective for
payments beginning with FY 2007, the
Secretary begin to adopt the baseline set
of performance measures as set forth in
a December 2005 report issued by the
Institute of Medicine (IOM) of the
National Academy of Sciences under
section 238(b) of the MMA.16
The IOM measures include: 21 HQA
quality measures (including the ‘‘starter
set’’ of 10 quality measures); the
HCAHPS patient experience of care
survey; and 3 structural measures. The
structural measures are: (1)
Implementation of computerized
provider order entry for prescriptions;
(2) staffing of intensive care units with
intensivists; and (3) evidence-based
hospital referrals. These structural
measures constitute the Leapfrog
Group’s original ‘‘three leaps,’’ and are
part of the NQF’s 30 Safe Practices for
Better Healthcare.
Sections 1886(b)(3)(B)(viii)(V) and
(VI) of the Act require that, effective for
payments beginning with FY 2008, the
Secretary add other quality measures
that reflect consensus among affected
parties, and to the extent feasible and
practicable, have been set forth by one
or more national consensus building
entities, and provide the Secretary with
the discretion to replace any quality
measures or indicators in appropriate
cases, such as where all hospitals are
effectively in compliance with a
measure, or the measures or indicators
have been subsequently shown to not
represent the best clinical practice.
Thus, the Secretary is granted broad
discretion to replace measures that are
no longer appropriate for the RHQDAPU
program.
Section 1886(b)(3)(B)(viii)(VII) of the
Act requires that the Secretary establish
procedures for making quality data
available to the public after ensuring
that a hospital would have the
opportunity to review its data before
these data are made public. In addition,
this section requires that the Secretary
report quality measures of process,
structure, outcome, patients’ perspective
of care, efficiency, and costs of care that
relate to services furnished in inpatient
settings on the CMS Web site.
Section 1886(b)(3)(B)(viii)(I) of the
Act also provides that any reduction in
a hospital’s payment update will apply
only with respect to the fiscal year
involved, and will not be taken into
account for computing the applicable
percentage increase for a subsequent
fiscal year.
In the FY 2007 IPPS final rule (71 FR
48045), we amended our regulations at
42 CFR 412.64(d)(2) to reflect the 2.0
percentage point reduction in the
payment update for FY 2007 and
subsequent fiscal years for subsection
(d) hospitals that do not comply with
requirements for reporting quality data,
as provided for under section
1886(b)(3)(B)(viii) of the Act. In the FY
2007 IPPS final rule, we also added 11
additional quality measures to the 10measure starter set to establish an
expanded set of 21 quality measures (71
FR 48033 through 48037).
Commenters on the FY 2007 IPPS
proposed rule requested that we notify
the public as far in advance as possible
of any proposed expansions of the
measure set and program procedures in
order to encourage broad collaboration
and to give hospitals time to prepare for
any anticipated change. Taking these
concerns into account, in the CY 2007
OPPS/ASC final rule with comment
period (71 FR 68201), we adopted six
additional quality measures for the FY
2008 IPPS update, for a total of 27
measures. The measure set that we
adopted for the FY 2008 payment
determination was as follows:
Quality measure
Heart Attack (Acute Myocardial Infarction). .............................................
• Aspirin at arrival.*
• Aspirin prescribed at discharge.*
• Angiotensin Converting Enzyme Inhibitor (ACE–I) or Angiotensin II
Receptor Blocker (ARB) for left ventricular systolic dysfunction.*
• Beta blocker at arrival.*
• Beta blocker prescribed at discharge.*
• Fibrinolytic (thrombolytic) agent received within 30 minutes of hospital arrival.**
• Percutaneous Coronary Intervention (PCI) received within 120 minutes of hospital arrival.**
• Adult smoking cessation advice/counseling.**
Heart Failure (HF) ....................................................................................
• Left ventricular function assessment.*
• Angiotensin Converting Enzyme Inhibitor (ACE–I) or Angiotensin II
Receptor Blocker (ARB) for left ventricular systolic dysfunction.
• Discharge instructions.**
• Adult smoking cessation advice/counseling.**
Pneumonia (PN) .......................................................................................
jlentini on PROD1PC65 with PROPOSALS2
Topic
•
•
•
•
•
•
•
Surgical Care Improvement Project (SCIP)—named SIP for discharges
prior to July 2006 (3Q06).
• Prophylactic antibiotic received within 1 hour prior to surgical incision.**
• Prophylactic antibiotics discontinued within 24 hours after surgery
end time.**
16 Institute of Medicine, ‘‘Performance
Measurement: Accelerating Improvement,’’
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Initial antibiotic received within 4 hours of hospital arrival *
Oxygenation assessment.*
Pneumococcal vaccination status.*
Blood culture performed before first antibiotic received in hospital.**
Adult smoking cessation advice/counseling.**
Appropriate initial antibiotic selection.**
Influenza vaccination status.**
December 1, 2005, available at: www.iom.edu/CMS/
3809/19805/31310.aspx.
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Topic
23645
Quality measure
• SCIP–VTE–1: Venous thromboembolism (VTE) prophylaxis ordered
for surgery patients.***
• SCIP–VTE–2: VTE prophylaxis within 24 hours pre/post surgery.***
• SCIP Infection 2: Prophylactic antibiotic selection for surgical patients.***
Mortality Measures (Medicare patients) ...................................................
• Acute Myocardial Infarction 30-day mortality Medicare patients***
• Heart Failure 30-day mortality Medicare patients.***
Patients’ Experience of Care. ...................................................................
HCAHPS patient survey.***
*Measure included in 10 measure starter set.
**Measure included in 21 measure expanded set.
***Measure added in CY 2007 OPPS/ASC final rule with comment period (data submission required as of January 2007 for three additional
SCIP measures).
For FY 2008, hospitals were required
to submit data on 25 of the 27 measures.
No data submission was required for the
two mortality outcome measures (30Day Risk Standardized Mortality Rates
for Heart Failure and AMI), because
they were calculated using existing
administrative Medicare claims data.
The measures used for the payment
determination included, for the first
time, the HCAHPS patient experience of
care survey as well as two outcome
measures. These measures expanded the
types of measures available for public
reporting as required under section
1886(b)(3)(B)(viii) of the Act. In
addition, the outcome measures, which
are claims-based measures, did not
increase the data submission
requirements for hospitals, thereby
reducing the burden associated with
collection of data for quality reporting.
In the FY 2008 IPPS proposed rule (72
FR 24805), we proposed to add 1
outcome measure and 4 process
measures to the existing 27-measure set
to establish a new set of 32 quality
measures to be used under the
RHQDAPU program for the FY 2009
IPPS annual payment determination.
We proposed to add the following five
measures for the FY 2009 IPPS annual
payment determination:
• PN 30-day mortality measure
(Medicare patients)
• SCIP Infection 4: Cardiac Surgery
Patients with Controlled 6AM
Postoperative
Serum Glucose
• SCIP Infection 6: Surgery Patients
with Appropriate Hair Removal
• SCIP Infection 7: Colorectal Patients
with Immediate Postoperative
Normothermia
• SCIP Cardiovascular 2: Surgery
Patients on a Beta Blocker Prior to
Arrival Who Received a Beta Blocker
During the Perioperative Period
We stated that we planned to formally
adopt these measures a year in advance
in order to provide time for hospitals to
prepare for changes related to the
RHQDAPU program. We also stated that
we anticipated that the proposed
measures would be endorsed by the
NQF, as a national consensus building
entity. Finally, we stated that any
proposed measure that was not
endorsed by the NQF by the time that
we published the FY 2008 IPPS final
rule with comment period would not be
finalized in that final rule.
At the time we published the FY 2008
IPPS final rule with comment period,
only the PN 30-day mortality measure
had been endorsed by the NQF.
Therefore, we finalized only that
measure as part of the FY 2009 IPPS
measure set and stated that we would
further address adding additional
measures in the CY 2008 OPPS/ASC
final rule and, if necessary, in the FY
2009 IPPS proposed and final rules. We
also responded to comments we had
received on the five proposed measures
(72 FR 47348 through 47351).
In the CY 2008 OPPS/ASC final rule
with comment period (72 FR 66875), we
noted that the NQF had endorsed the
following additional process measures
that we had proposed to include in the
FY 2009 RHQDAPU program measure
set:
• SCIP Infection 4: Cardiac Surgery
Patients with Controlled 6AM
Postoperative
Serum Glucose
• SCIP Infection 6: Surgery Patients
with Appropriate Hair Removal
As we stated in the FY 2008 IPPS
proposed rule (72 FR 24805), these
measures reflect our continuing
commitment to quality improvement in
both clinical care and quality. These
quality measures reflect consensus
among affected parties as demonstrated
by endorsement by a national consensus
building entity. The addition of these
two measures for the FY 2009 measure
set bring the total number of measures
in that measure set to 30 (72 FR 66876).
The measure set to be used for FY
2009 annual payment determination is
as follows:
Quality measure
Heart Attack (Acute Myocardial Infarction) ..............................................
jlentini on PROD1PC65 with PROPOSALS2
Topic
• Aspirin at arrival*.
• Aspirin prescribed at discharge*.
• Angiotensin Converting Enzyme Inhibitor (ACE–I) or Angiotensin II
Receptor Blocker (ARB) for left ventricular systolic dysfunction*.
• Beta blocker at arrival*.
• Beta blocker prescribed at discharge*.
• Fibrinolytic (thrombolytic) agent received within 30 minutes of hospital arrival**.
• Primary Percutaneous Coronary Intervention (PCI) received within
120 minutes of hospital arrival**.
• Adult smoking cessation advice/counseling**.
Heart Failure (HF) ....................................................................................
• Left ventricular function assessment*.
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Topic
Quality measure
• Angiotensin Converting Enzyme Inhibitor (ACE–I) or Angiotensin II
Receptor Blocker (ARB) for left ventricular systolic dysfunction*.
• Discharge instructions**.
• Adult smoking cessation advice/counseling**.
Pneumonia (PN) .......................................................................................
•
•
•
•
•
•
•
Surgical Care Improvement Project (SCIP)—named SIP for discharges
prior to July 2006 (3Q06).
• Prophylactic antibiotic received within 1 hour prior to surgical
incision**.
• Prophylactic antibiotics discontinued within 24 hours after surgery
end time**.
• SCIP–VTE–1: Venous thromboembolism (VTE) prophylaxis ordered
for surgery patients***.
• SCIP–VTE–2: VTE prophylaxis within 24 hours pre/post surgery***.
• SCIP Infection 2: Prophylactic antibiotic selection for surgical
patients***.
• SCIP–Infection 4: Cardiac Surgery Patients with Controlled 6AM
Postoperative Serum Glucose*****.
• SCIP Infection 6: Surgery Patients with Appropriate Hair
Removal*****.
Mortality Measures (Medicare patients) ...................................................
• Acute Myocardial Infarction 30-day mortality Medicare patients***.
• Heart Failure 30-day mortality Medicare patients***.
• Pneumonia 30-day mortality Medicare patients****.
Patients’ Experience of Care ....................................................................
• HCAHPS patient survey***.
Initial antibiotic received within 4 hours of hospital arrival*.
Oxygenation assessment*.
Pneumococcal vaccination status*.
Blood culture performed before first antibiotic received in hospital**.
Adult smoking cessation advice/counseling**.
Appropriate initial antibiotic selection**.
Influenza vaccination status**.
jlentini on PROD1PC65 with PROPOSALS2
* Measure included in 10 measure starter set.
** Measure included in 21 measure expanded set.
*** Measure added in CY 2007 OPPS/ASC final rule with comment period.
**** Measure added in FY 2008 IPPS final rule with comment period.
***** Measure added in CY 2008 OPPS/ASC final rule with comment period (data submission required effective with discharges starting January 1, 2008).
We also stated in the FY 2008 IPPS
final rule with comment period and the
CY 2008 OPPS/ASC final rule with
comment period that the RHQDAPU
program participation requirements for
the FY 2009 program would apply to
additional measures we adopt for the FY
2009 program (72 FR 47361; 72 FR
66877).
Therefore, hospitals are required to
start submitting data for SCIP Infection
4 and SCIP Infection 6 starting with first
quarter calendar year 2008 discharges
and subsequent quarters until further
notice. Hospitals must submit their
aggregate population and sample size
counts for Medicare and non-Medicare
patients. These requirements are
consistent with the requirements for the
other AMI, HF, PN, and SCIP process
measures included in the FY 2009
measure set. The complete list of
procedures for participating in the
RHQDAPU program for FY 2009 are
provided in the FY 2008 IPPS final rule
with comment period (72 FR 47359
through 47361).
Because SCIP Cardiovascular 2 and
SCIP Infection 7 had not been endorsed
by a national consensus building entity
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by the publishing deadline for the CY
2008 OPPS/ASC final rule with
comment period, we did not adopt these
measures as part of the FY 2009 IPPS
measure set.
In the FY 2008 IPPS proposed rule,
we also solicited public comments on
18 measures and 8 measure sets that
could be selected for future inclusion in
the RHQDAPU program (72 FR 24805).
These measures and measure sets
highlight our interest in improving
patient safety and outcomes of care,
with a particular focus on the quality of
surgical care and patient outcomes. In
order to engender a broad review of
potential performance measures, the list
included measures that have not yet
received endorsement by a national
consensus review process for public
reporting. The list also included
measures developed by organizations
other than CMS as well as measures that
can be calculated using administrative
data (such as claims).
We solicited public comment not only
on the measures and measure sets that
were listed, but also on whether there
were any critical gaps or ‘‘missing’’
measures or measure sets. We
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specifically requested input concerning
the following issues:
• Which of the measures or measure
sets should be included in the FY 2009
RHQDAPU program or in subsequent
years?
• What challenges for data collection
and reporting are posed by the
identified measures and measure sets?
• What improvements could be made
to data collection or reporting that might
offset or otherwise address those
challenges?
In the FY 2008 IPPS final rule with
comment period (72 FR 47351), after
consideration of the public comments
received, we decided not to adopt any
of these measures or measure sets for FY
2009. We indicated that we will
continue to consider some of these
measures and measure sets for
subsequent years.
2. Proposed Quality Measures for FY
2010 and Subsequent Years
a. Proposed Quality Measures for FY
2010
For FY 2010, we are proposing to
require continued submission of data on
26 of the 30 existing AMI, Heart Failure,
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Pneumonia, HCAHPS, and SCIP
measures adopted for FY 2009. As noted
above, the three outcome measures do
not require hospitals to submit data. In
addition, we are proposing to remove
the Pneumonia Oxygenation
Assessment measure from the
RHQDAPU program measure set. We are
proposing to discontinue requiring
hospitals to submit data on the
Pneumonia Oxygenation Assessment
measure, effective with discharges
beginning January 1, 2009. Section
1886(b)(3)(B)(viii)(VI) of the Act
provides the Secretary with the
discretion to replace any quality
measures or indicators in appropriate
cases, such as where all hospitals are
effectively in compliance with a
measure. We interpret this to authorize
the Secretary to remove or retire
measures from the RHQDAPU program.
In the case of the Pneumonia
Oxygenation Assessment measure, the
vast majority of hospitals are performing
near 100 percent. In addition,
oxygenation assessment is routinely
performed by hospitals for admitted
patients without regard to the specific
diagnosis. Thus, the measure is topped
out so completely across virtually all
hospitals as to provide no significant
opportunity for improvement. We
believe that the burden to hospitals to
abstract and report these data outweighs
the benefit in publicly reporting
hospital level data with very little
variation among hospitals. We do not
expect that the retirement of the
Pneumonia Oxygenation Assessment
measure will result in the deterioration
of care. However, if we determine
otherwise, we may seek to reintroduce
the measure.
The proposed removal of the
Pneumonia Oxygenation Assessment
measure for FY 2010 represents the first
instance of retiring a measure. We
intend to review other existing chartabstracted measures recognizing the
significant burden to hospitals that chart
abstraction requires. In this way, we
seek to maximize the value of the
RHQDAPU program to promote quality
improvement by hospitals and to report
information that the public will find
beneficial in choosing inpatient hospital
services. We invite comment on the
retirement of the Pneumonia
Oxygenation Assessment measure. In
addition, we invite comment on other
measures that may be suitable for
retirement from the RHQDAPU program
measure set. Finally, we invite comment
on the following general considerations
relevant to retiring measures:
• Should CMS retire a RHQDAPU
program measure when hospital
performance on the measure has
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reached a high threshold (that is,
performance on the measure has topped
out) even if the measure still reflects
best practice?
• Are there reasons to consider
retiring a measure other than high
overall performance?
• When a measure is retired on the
basis of substantially complete
compliance by hospitals, should data
collection on the measure again be
required after 1 or 2 years to assure that
a high compliance level remains, or
should some other way of monitoring
continued hospital compliance be used?
The specifications for two of the
existing measures have been updated by
the NQF, effective May 2007, with
respect to the applicable timing interval.
For the measures previously identified
as:
• AMI—Primary Percutaneous
Coronary Intervention (PCI) received
within 120 minutes of hospital arrival,
the NQF has revised its endorsement of
the specifications to reflect that the
timing interval has been changed to PCI
within 90 minutes of arrival.
• Pneumonia—Initial antibiotic
received within 4 hours of hospital
arrival, the NQF has revised its
endorsement of the specifications to
reflect that the initial antibiotic must be
received within 6 hours of arrival.
In the FY 2008 IPPS final rule with
comment period, one commenter ‘‘urged
CMS to develop a policy to harmonize
measures that related to payment, such
as the NQF’s move from a 4-hour
timeframe for initial antibiotic
administration for pneumonia patients
to a 6-hour timeframe (72 FR 47357).’’
Another commenter raised the issue of
the timing for PCI in the AMI topic (72
FR 47347–8). In response to these
comments, we responded that if we
believe that a change is an appropriate
change for the RHQDAPU program, we
would expect to adopt it.
Because the NQF is now endorsing
different timing intervals with respect to
these measures, we are proposing to also
update these measures for the purposes
of the FY 2010 RHQDAPU program. The
updated measures are as follows:
• AMI—Timing of Receipt of Primary
Percutaneous Coronary Intervention
(PCI); and
• Pneumonia—Timing of receipt of
initial antibiotic following hospital
arrival.
We note that the technical
specifications for these measures will
not change, and hospitals will continue
to submit the same data that they
currently submit. However, beginning
with discharges on or after January 1,
2009, CMS will calculate the measures
using the updated timing intervals.
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23647
The NQF updated these two measures
to reflect the most current consensus
standards effective May 2007. Because
this was after we issued the FY 2008
IPPS proposed rule, we could not adopt
the updated measures in the FY 2008
IPPS final rule with comment period or
CY 2008 OPPS/ASC final rule with
comment period. We also recognized
that we did not have in place a
subregulatory process that would have
permitted us to update the measures.
Therefore, we announced that hospitals
could suppress the public reporting of
the quality data for the two measures for
hospital discharges starting with April
1, 2007 discharges. We did this because
we believe that hospitals should not be
held to out-of-date consensus standards
for public reporting pending the next
regulatory cycle.
We propose, in the future, to act on
updates to existing RHQDAPU program
measures made by a consensus building
entity such as the NQF through a
subregulatory process. This is necessary
to be able to utilize the most up-to-date
consensus standards in the RHQDAPU
program, and recognizes that neither
scientific advances nor consensus
building entity standard updates are
linked to the timing of regulatory
actions. We propose to implement
updates to existing RHQDAPU program
measures and provide notification
through the Qualitynet Web site, and
additionally in the CMS/Joint
Commission Specifications Manual for
National Hospital Inpatient Quality
Measures where data collection and
measure specifications changes are
necessary. We invite comment on this
proposal.
Under section 1886(b)(3)(B)(viii)(III)
of the Act, the Secretary shall expand
the RHQDAPU program measures
beyond the measures specified as of
November 1, 2003. Under section
1886(b)(3)(B)(viii)(V) of the Act, these
measures, to the extent feasible and
practicable, shall include measures set
forth by one or more national consensus
building entities.
We are proposing to add the following
43 measures for the FY 2010 payment
determination: a SCIP measure that we
proposed last year; 4 nursing sensitive
measures; 3 readmission measures; 6
Venous Thromboembolism measures; 5
stroke measures; 9 AHRQ measures; and
15 cardiac surgery measures.
We are proposing to add SCIP
Cardiovascular 2, Surgery Patients on a
Beta Blocker Prior to Arrival Who
Received a Beta Blocker During the
Perioperative Period. This measure was
initially proposed last year in the FY
2008 IPPS proposed rule, but because
the NQF had not endorsed this measure
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at the time we issued the FY 2008 IPPS
final rule with comment period or the
CY 2008 OPPS/ASC final rule with
comment period, we did not adopt it.
For the purposes of proposing the FY
2010 RHQDAPU program measure set,
CMS believes that NQF endorsement of
a measure represents a standard for
consensus among affected parties as
specified in section
1886(b)(3)(B)(viii)(V) of the Act. The
NQF is an independent health care
quality endorsement organization with a
diverse representation of consumer,
purchaser, provider, academic, clinical,
and other health care stakeholder
organizations.
In November 2007, the NQF endorsed
SCIP Cardiovascular 2. CMS believes
that this measure targets an important
process of care, beta blocker
administration for noncardiac surgery
patients. Therefore, we are now
proposing to add SCIP Cardiovascular 2
to the RHQDAPU program measures for
FY 2010. The specifications and data
collection tools are currently available
through the Qualitynet Web site and in
the CMS/Joint Commission
Specifications Manual for National
Hospital Inpatient Quality Measures for
hospitals to utilize and submit data for
this measure. We are proposing that
hospitals be required to submit data on
this measure beginning with January 1,
2009 discharges.
We also are proposing to add four
nursing sensitive measures to the
RHQDAPU program measure set for FY
2010. The four measures are:
• Failure to Rescue
• Pressure Ulcer Prevalence and
Incidence by Severity (Joint
Commission developed measure; all
patient data from chart abstraction)
• Patient Falls Prevalence
• Patient Falls with Injury
These measures broaden the ability of
the RHQDAPU program measure set to
assess care generally associated with
nursing staff. In addition, these
measures are directed toward outcomes
that are underrepresented among the
RHQDAPU program measures. These
measures apply to the vast majority of
inpatient stays and provide a great deal
of critical information about hospital
quality to consumers and stakeholders.
The specifications and data collection
tools are scheduled to be available in
the specifications manual by December
2008 for hospitals to utilize and submit
data for these measures. We are
proposing that hospitals be required to
submit data on these four measures
effective with discharges beginning
April 1, 2009. While these measures are
endorsed by NQF, the Joint Commission
has initiated rigorous field testing of the
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measures, which may not be completed
until late 2008. Therefore, it is possible
that the endorsement status of these
measures may change in the next
several months. If this rigorous field
testing results in uncertainty as to the
NQF endorsement status at the time we
issue the FY 2009 IPPS final rule, we
will defer our final decision on whether
to require these measures for the
RHQDAPU program for FY 2010 until
the time that we issue the CY 2009
OPPS/ASC final rule with comment
period. This deferral is consistent with
our measure expansion during the past
2 years, when we finalized some
RHQDAPU program measures in the
annual OPPS/ASC final rules.
We are proposing to adopt three
readmission measures for FY 2010 that
will be calculated using Medicare
administrative claims data. The
proposed measures are:
• Pneumonia (PN) 30-Day Risk
Standardized Readmission Measure
(Medicare patients)
• Heart Attack (AMI) 30-Day Risk
Standardized Readmission Measure
(Medicare patients)
• Heart Failure (HF) 30-Day Risk
Standardized Readmission Measure
(Medicare patients)
These readmission measures assess
both quality of care and efficiency of
care. They also promote coordination of
care among hospitals and other
providers. They compliment the
existing 30-Day Risk Standardized
Mortality Measures for Pneumonia,
Heart Attack, and Heart Failure. These
measures require no additional data
collection from hospitals. The measures
are risk adjusted to account for
differences between hospitals in the
characteristics of their patient
populations.
These three claims-based readmission
measures are pending NQF
endorsement. The NQF endorsement
decision on these three measures is
expected before we issue the FY 2009
IPPS final rule. We are proposing to add
these three measures contingent upon
NQF endorsement. We are also
proposing to defer our decision on
whether to include these measures until
we issue the CY 2009 OPPS/ASC final
rule, in the event that NQF endorsement
status is still pending when we issue the
FY 2009 IPPS final rule. This deferral is
consistent with our measure expansion
during the past 2 years, when we
finalized some RHQDAPU program
measures in the annual OPPS/ASC final
rules.
We are also proposing to add six
Venous Thromboembolism (VTE)
measures. These measures
comprehensively address a major cause
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of morbidity and mortality among
hospitalized patients.
• VTE–1: VTE Prophylaxis
• VTE–2: VTE Prophylaxis in the ICU
• VTE–4: Patients with overlap in
anticoagulation therapy
• VTE–5/6: (as combined measure)
Patients with UFH dosages who have
platelet count monitoring and
adjustment of medication per protocol
or nomogram
• VTE–7: Discharge instructions to
address: follow-up monitoring,
compliance, dietary restrictions and
adverse drug reactions/interactions
• VTE–8: Incidence of preventable
VTE
These VTE measures are pending
NQF endorsement. The NQF
endorsement decision on these
measures is expected before we issue
the FY 2009 IPPS final rule. We are
proposing to add these measures
contingent upon NQF endorsement. We
also are proposing to defer our decision
on whether to include these measures
until we issue the CY 2009 OPPS/ASC
final rule with comment period, in the
event that NQF endorsement status is
still pending when we issue the FY
2009 IPPS final rule. This deferral is
consistent with our measure expansion
during the past 2 years, when we
finalized some RHQDAPU program
measures in the annual OPPS/ASC final
rules. We are proposing that hospitals
be required to submit data on these six
measures effective with discharges
beginning January 1, 2009.
We also are proposing to add five
Stroke measures that will apply only to
certain identified groups under specific
ICD–9–CM codes as specified in the
specifications manual. These measures
comprehensively address an important
condition not currently covered by the
RHQDAPU program that is associated
with significant morbidity and
mortality.
• STK–1 DVT Prophylaxis
• STK–2 Discharged on
Antithrombotic Therapy
• STK–3 Patients with Atrial
Fibrillation Receiving Anticoagulation
Therapy
• STK–5 Antithrombotic Medication
By End of Hospital Day Two
• STK–7 Dysphasia Screening
These Stroke measures are pending
NQF endorsement. The NQF
endorsement decision on these
measures is expected before we issue
the FY 2009 IPPS final rule. We are
proposing to add these measures
contingent upon NQF endorsement. We
also are proposing to defer our adoption
of these measures until we issue the CY
2009 OPPS/ASC final rule with
comment period in the event that NQF
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endorsement status is still pending as of
the time we issue the FY 2009 IPPS final
rule. This approach is consistent with
our measure expansion during the past
2 years, when CMS finalized some
RHQDAPU program measures in the
annual OPPS/ASC final rules. We are
proposing that hospitals be required to
submit data on these five measures
effective with discharges beginning July
1, 2009.
We also are proposing to add the
following nine AHRQ Patient Safety
Indicators (PSI) and Inpatient Quality
Indicators (IQI) that have been endorsed
by the NQF:
• Patient Safety Indicator (PSI) 4—
Death among surgical patients with
treatable serious complications
• PSI 6—Iatrogenic pneumothorax,
adult
• PSI 14—Postoperative wound
dehiscence
• PSI 15—Accidental puncture or
laceration
• Inpatient Quality Indicator (IQI) 4
and 11—Abdominal aortic aneurysm
(AAA) mortality rate (with or without
volume)
• IQI 19—Hip fracture morality rate
• IQI Mortality for selected medical
conditions (composite)
• IQI Mortality for selected surgical
procedures (composite)
• IQI Complication/patient safety for
selected indicators (composite)
These are claims-based outcome
measures. They are important additional
measures that can be calculated for
hospital inpatients without the burden
of additional chart abstraction.
Hospitals currently collect and submit
these data to CMS and other insurers for
reimbursement. These measures will be
calculated using all-payer claims data
that hospitals currently collect with
respect to each patient discharge. We
are proposing to require hospitals to
submit to CMS the all-payer claims data
that we specify in the technical
specifications manual as necessary to
calculate the AHRQ PSI/IQI measures.
We are proposing that hospitals begin
submitting data on a quarterly basis on
these measures to CMS by April 1, 2010
beginning with October 1, 2009
discharges.
However, we are aware that a large
number of hospitals already submit
these data on a voluntary basis to third
party data aggregators such as State
health agencies or State hospital
associations. We seek comments on
whether a hospital that already submits
the data necessary to calculate these
measures to such entities should be
permitted to authorize such an entity to
transmit these data to CMS, in
accordance with applicable
confidentiality laws, on their behalf.
This would relieve the hospital of the
burden of having to submit the same
data directly to CMS via the QIO
Clinical Warehouse.
As an alternative to requiring that
hospitals submit all-payer claims data
for purposes of calculating the AHRQ
PSI/IQI measures, CMS is considering
whether it should initially calculate the
AHRQ PSI/IQI measures using Medicare
claims data only, and at a subsequent
date require submission of all-payer
claims data. We also seek comment on
this alternative.
We also are proposing to add 15
cardiac surgery measures. Cardiac
surgical procedures carry a significant
risk of morbidity and mortality. We
believe that the nationwide public
reporting of these cardiac surgery
measures would provide highly
meaningful information for the public.
Currently, over 85 percent of hospitals
with a cardiac surgery program submit
data on the proposed cardiac surgery
measures listed below to the Society of
Thoracic Surgeons (STS) Cardiac
Surgery Clinical Data Registry. We are
proposing to accept these data from the
STS registry beginning on July 1, 2009,
on a quarterly basis for discharges on or
after January 1, 2009. Hospitals that
participate in the RHQDAPU program,
but that do not submit data on the
proposed cardiac surgery measures to
23649
the STS registry for discharges on or
after January 1, 2009, would need to
submit such data to CMS. Although we
would accept cardiac surgery data from
other clinical data registries, we are
unaware of any other registries that
collect all of the data necessary to
support calculation of the proposed
cardiac surgery measures. Hospitals and
CMS would need to establish
appropriate legal arrangements, to the
extent such arrangements are necessary,
to ensure that the transfer of these data
from the STS registry to CMS complies
with all applicable laws. By accepting
these registry-based data, only those
hospitals with cardiac surgery programs
that do not already collect such data to
submit to the STS registry will have any
additional data submission burden. All
of the proposed measures are currently
NQF-endorsed. We are proposing that
hospitals begin submitting data by July
1, 2009, on a quarterly basis on the
following 15 cardiac surgery measures
to the STS data registry or CMS for 1st
quarter calendar year 2009 discharges:
• Participation in a Systematic
Database for Cardiac Surgery
• Pre-Operative Beta Blockade
• Prolonged Intubation
• Deep Sternal Wound Infection Rate
• Stroke/CVA
• Post-Operative Renal Insufficiency
• Surgical Reexploration
• Anti-Platelet Medication at
Discharge
• Beta Blockade Therapy at Discharge
• Anti-Lipid Treatment at Discharge
• Risk-Adjusted Operative Mortality
for CABG
• Risk-Adjusted Operative Mortality
for Aortic Valve Replacement
• Risk-Adjusted Operative Mortality
for Mitral Valve Replacement/Repair
• Risk-Adjusted Mortality for Mitral
Valve Replacement and CABG Surgery
• Risk-Adjusted Mortality for Aortic
Valve Replacement and CABG Surgery
The following table lists the 72
proposed measures for FY 2010:
Quality measure
Heart Attack (Acute Myocardial Infarction) ..............................................
jlentini on PROD1PC65 with PROPOSALS2
Topic
• AMI–1 Aspirin at arrival *.
• AMI–2 Aspirin prescribed at discharge *.
• AMI–3 Angiotensin Converting Enzyme Inhibitor (ACE–I) or
Angiotensin II Receptor Blocker (ARB) for left ventricular systolic
dysfunction *.
• AMI 6 Beta blocker at arrival *.
• AMI–5 Beta blocker prescribed at discharge *.
• AMI–7a Fibrinolytic (thrombolytic) agent received within 30 minutes
of hospital arrival**.
• AMI–4 Adult smoking cessation advice/counseling**.
• AMI–8a Timing of Receipt of Primary Percutaneous Coronary Intervention (PCI).
Heart Failure (HF) ....................................................................................
• HF–2 Left ventricular function assessment *.
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Topic
Quality measure
• HF–3 Angiotensin Converting Enzyme Inhibitor (ACE–I) or
Angiotensin II Receptor Blocker (ARB) for left ventricular systolic
dysfunction *.
• HF–1 Discharge instructions**.
• HF–4 Adult smoking cessation advice/counseling**.
• PN–2 Pneumococcal vaccination status *.
• PN–3b Blood culture performed before first antibiotic received in
hospital**.
• PN–4 Adult smoking cessation advice/counseling**.
• PN–6 Appropriate initial antibiotic selection**.
• PN–7 Influenza vaccination status**.
• PN–5c Timing of receipt of initial antibiotic following hospital
arrival******.
Surgical Care Improvement Project (SCIP)—named SIP for discharges
prior to July 2006 (3Q06).
• SCIP–1 Prophylactic antibiotic received within 1 hour prior to surgical
incision**.
• SCIP–3 Prophylactic antibiotics discontinued within 24 hours after
surgery end time**.
• SCIP–VTE–1: Venous thromboembolism (VTE) prophylaxis ordered
for surgery patients***.
• SCIP–VTE–2: VTE prophylaxis within 24 hours pre/post surgery***.
• SCIP Infection 2: Prophylactic antibiotic selection for surgical
patients***.
• SCIP–Infection 4: Cardiac Surgery Patients with Controlled 6AM
Postoperative Serum Glucose*****.
• SCIP Infection 6: Surgery Patients with Appropriate Hair
Removal*****.
• SCIP Cardiovascular 2: Surgery Patients on a Beta Blocker Prior to
Arrival Who Received a Beta Blocker During the Perioperative
Period******.
Mortality Measures (Medicare patients) ...................................................
• MORT–30–AMI Acute Myocardial Infarction 30-day mortality Medicare patients***.
• MORT–30–HF Heart Failure 30-day mortality Medicare patients***.
• MORT–30–PN Pneumonia 30-day mortality Medicare patients****.
Patients’ Experience of Care ....................................................................
• HCAHPS patient survey***.
Readmission Measures (Medicare patients) ............................................
• Heart Attack (AMI) 30-Day Risk Standardized Readmission Measure
(Medicare patients)******.
• Heart Failure (HF) 30-Day Risk Standardized Readmission Measure
(Medicare patients)******.
• Pneumonia (PN) 30-Day Risk Standardized Readmission Measure
(Medicare patients) ******.
Inpatient Stroke Care ...............................................................................
• STK–1 DVT Prophylaxis******.
• STK–2 Discharged on Antithrombotic Therapy******.
• STK–3 Patients with Atrial Fibrillation Receiving Anticoagulation
Therapy******.
• STK–5 Antithrombotic Medication By End of Hospital Day Two******.
• STK–7 Dysphasia Screening******.
Venous Thromboembolic Care .................................................................
•
•
•
•
AHRQ Patient Safety Indicators ...............................................................
jlentini on PROD1PC65 with PROPOSALS2
Pneumonia (PN) .......................................................................................
• Death
among
surgical
patients
complications******.
• Iatrogenic pneumothorax, adult******.
• Postoperative wound dehiscence******.
• Accidental puncture or laceration******.
AHRQ Inpatient Quality Indicators (IQI) ...................................................
• Abdominal aortic aneurysm (AAA) mortality rate (with or without volume) ******.
• Hip fracture morality rate******.
AHRQ IQI Composite Measures ..............................................................
• Mortality for selected surgical procedures (composite) ******.
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VTE–1: VTE Prophylaxis******.
VTE–2: VTE Prophylaxis in the ICU******.
VTE–4: Patients with overlap in anticoagulation therapy******.
VTE–5/6: (as combined measure) patients with UFH dosages who
have platelet count monitoring and adjustment of medication per protocol or nomagram******.
• VTE–7: Discharge instructions to address: followup monitoring, compliance, dietary restrictions, and adverse drug reactions/
interactions******.
• VTE–8: Incidence of preventable VTE******.
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Topic
23651
Quality measure
• Complication/patient safety for selected indicators (composite) ******.
• Mortality for selected medical conditions (composite) ******.
Nursing Sensitive Measures .....................................................................
•
•
•
•
Cardiac Surgery Measures .......................................................................
•
•
•
•
•
•
•
•
•
•
•
•
•
Failure to Rescue******.
Pressure Ulcer Prevalence and Incidence by Severity ******.
Patient Falls Prevalence******.
Patient Falls with Injury******.
Participation in a Systematic Database for Cardiac Surgery ******.
Pre-operative Beta Blockade******.
Prolonged Intubation******.
Deep Sternal Wound Infection Rate******.
Stroke/CVA******.
Postoperative Renal Insufficiency******.
Surgical Reexploration******.
Anti-platelet Medication at Discharge******.
Beta Blockade Therapy at Discharge******.
Anti-lipid Treatment at Discharge******.
Risk-Adjusted Operative Mortality for CABG******.
Risk-Adjusted Operative Mortality for Aortic Valve Replacement******.
Risk-Adjusted Operative Mortality for Mitral Valve Replacement/
Repair******.
• Risk-Adjusted Mortality for Mitral Valve Replacement and CABG
Surgery******.
• Risk-Adjusted Mortality for Aortic Valve Replacement and CABG
Surgery ******.
*Measure included in 10 measure starter set.
**Measure included in 21 measure expanded set.
***Measure added in CY 2007 OPPS/ASC final rule with comment period.
****Measure added in FY 2008 IPPS final rule with comment period.
*****Measure added in CY 2008 OPPS/ASC final rule with comment period.
******Measure proposed in FY 2009 IPPS proposed rule.
In summary, we are proposing to
increase the RHQDAPU program
measures from 30 measures for FY 2009
to a total of 72 measures for FY 2010.
The following table lists the increase in
Number of
RHQDAPU
program
quality
measures
IPPS payment year
jlentini on PROD1PC65 with PROPOSALS2
2005–2006 ...................................................................................................................
2007 .............................................................................................................................
2008 .............................................................................................................................
2009 .............................................................................................................................
2010 .............................................................................................................................
The above measures reflect our
continuing commitment to quality
improvement in both clinical care and
patient safety. These additional
measures also demonstrate our
commitment to include in the
RHQDAPU program only those quality
measures that reflect consensus among
the affected parties and that have been
reviewed by a consensus building
process.
To the extent that the proposed
measures have not already been
endorsed by a consensus building entity
such as the NQF, we anticipate that they
will be endorsed prior to the time that
we issue the FY 2009 IPPS final rule.
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10
21
27
30
72
We intend to finalize the FY 2010
RHQDAPU program measure set in the
FY 2009 IPPS final rule, contingent on
the endorsement status of the proposed
measures. However, to the extent that a
measure has not received NQF
endorsement by the time we issue the
FY 2009 IPPS final rule, we intend to
finalize that measure for the FY 2010
RHQDAPU program measure set in the
CY 2009 OPPS/ASC final rule with
comment period if the measure is
endorsed prior to the time we issue the
CY–2009–OPPS/ASC final rule with
comment period. We are requesting
public comment on these measures.
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the RHQDAPU program measure set
since the program’s inception:
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Topics covered
AMI, HF, PN.
AMI, HF, PN, SCIP.
AMI, HF, PN, SCIP, Mortality, HCAHPS.
AMI, HF, PN, SCIP, Mortality, HCAHPS.
AMI, HF, PN, SCIP, Mortality, HCAHPS,
Nursing Sensitive, Readmission, VTE,
Stroke, AHRQ IQI/PSI measures and
composites, Cardiac Surgery.
b. Possible New Quality Measures,
Measure Sets, and Program
Requirements for FY 2011 and
Subsequent Years
The following table contains a list of
59 measures and 4 measure sets from
which additional quality measures
could be selected for inclusion in the
RHQDAPU program. It includes
measures and measure sets that
highlight CMS’ interest in improving
patient safety and outcomes of care,
with a particular focus on the quality of
surgical care and patient outcomes. In
order to engender a broad review of
potential performance measures, the list
includes measures that have not yet
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been considered for approval by the
HQA or endorsed by a consensus review
process such as the NQF. It also
includes measures developed by
organizations other than CMS as well as
measures that are to be derived from
administrative data (such as claims) that
may need to be modified for specific use
by the Medicare program if
implemented under the RHQDAPU
program.
We are seeking public comment on
the measures and measure sets that are
listed as well as any critical gaps or
missing measures or measure sets. We
specifically request input concerning
the following:
• Which of the measures or measure
sets should be included in the
RHQDAPU program for FY 2011 or in
subsequent years?
• What challenges for data collection
and reporting are posed by the
identified measures and measure sets?
What improvements could be made to
data collection or reporting that might
offset or otherwise address those
challenges?
We are soliciting public comment on
the following measure sets for
consideration in FY 2011 and
subsequent years:
POSSIBLE MEASURES AND MEASURE SETS FOR THE RHQDAPU PROGRAM FOR FY 2011 AND SUBSEQUENT YEARS
Topic
Quality measure
Chronic Pulmonary Obstructive Disease Measures:
Complications of Vascular Surgery ...................................................
Inpatient Diabetes Care Measures:
Healthcare Associated Infection ........................................................
Timeliness of Emergency Care Measures, including Timeliness ............
Surgical Care Improvement Project (SCIP)—named SIP for discharges
prior to July 2006 (3Q06).
Complication Measures (Medicare patients):
Healthcare Acquired Conditions ........................................................
AAA stratified by open and endovascular methods.
Carotid Endarterectomy.
Lower extremity bypass.
Central Line-Associated Blood Stream Infections.
Surgical Site Infections.
Median Time from ED Arrival to ED Departure for Admitted ED Patients.
Median Time from ED Arrival to ED Departure for Discharged ED Patients.
Admit Decision Time to ED Departure Time for Admitted Patients.
SCIP Infection 8—Short Half-life Prophylactic Administered Preoperatively Redosed Within 4 Hours After Preoperative Dose.
SCIP Cardiovascular 3—Surgery Patients on a Beta Blocker Prior to
Arrival Receiving a Beta Blocker on Postoperative Days 1 and 2.
Serious reportable events in healthcare (never events).
Pressure ulcer prevalence and incidence by severity.
Catheter-associated UTI.
Patients with early stage breast cancer who have evaluation of the
axilla.
College of American Pathologists breast cancer protocol.
Surgical resection includes at least 12 nodes.
College of American Pathologists Colon and rectum protocol.
Completeness of pathologic reporting.
Serious Reportable Events in Healthcare (‘‘Never Events’’) ...................
jlentini on PROD1PC65 with PROPOSALS2
Hospital Inpatient Cancer Care Measures ...............................................
Surgery performed on the wrong body part.
Surgery performed on the wrong patient.
Wrong surgical procedure on a patient.
Retention of a foreign object in a patient after surgery or other procedure.
Intraoperative or immediately post-operative death in a normal health
patient (defined as a Class 1 patient for purposes of the American
Society of Anesthesiologists patient safety initiative).
Patient death or serious disability associated with the use of contaminated drugs, devices, or biologics provided by the healthcare facility.
Patient death or serious disability associated with the use or function of
a device in patient care in which the device is used or functions
other than as intended.
Patient death or serious disability associated with intravascular air embolism that occurs while being cared for in a healthcare facility.
Patient death or serious disability associated with patient elopement
(disappearance) for more than four hours.
Patient suicide, or attempted suicide resulting in serious disability,
while being cared for in a healthcare facility.
Patient death or serious disability associated with a medication error
(e.g., error involving the wrong drug, wrong dose, wrong patient,
wrong time, wrong rate, wrong preparation, or wrong route of administration).
Patient death or serious disability associated with a hemolytic reaction
due to the administration of ABO-incompatible blood or blood products.
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POSSIBLE MEASURES AND MEASURE SETS FOR THE RHQDAPU PROGRAM FOR FY 2011 AND SUBSEQUENT YEARS—
Continued
Topic
Quality measure
Patient death or serious disability associated with hypoglycemia, the
onset of which occurs while the patient is being cared for in a health
care facility.
Stage 3 or 4 pressure ulcers acquired after admission to a health care
facility.
Patient death or serious disability due to spinal manipulative therapy.
Patient death or serious disability associated with an electric shock
while being cared for in a healthcare facility.
Any incident in which a line designated for oxygen or other gas to be
delivered to a patient contains the wrong gas or is contaminated by
toxic substances.
Patient death or serious disability associated with a burn incurred from
any source while being cared for in a health care facility.
Patient death associated with a fall while being cared for in a health
care facility.
Patient death or serious disability associated with the use of restraints
or bedrails while being cared for in a health care facility.
Any instance of care ordered by or provided by someone impersonating a physician, nurse, pharmacist, or other licensed health
care provider.
Abduction of a patient of any age.
Sexual assault on a patient within or on the grounds of a health care
facility.
Death or significant injury of a patient or staff member resulting from a
physical assault (i.e., battery) that occurs within or on the grounds of
a health care facility.
Average Length of Stay Coupled with Global Readmission Measure:
Preventable Hospital-Acquired Conditions (HACs) ...........................
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c. Considerations in Expanding and
Updating Quality Measures Under the
RHQDAPU Program
The RHQDAPU program has
significantly expanded from an initial
set of 10 measures to 30 measures for
the FY 2009 payment determination.
Initially, the conditions covered by the
RHQDAPU program measures were
limited to Acute Myocardial Infarction,
Heart Failure, and Pneumonia, three
high-cost and high-volume conditions.
In expanding the process measures,
Surgical Infection Prevention was the
first additional focus, now
supplemented by the two Venous
Thromboembolism SCIP measures SCIP
VTE–1 and SCIP VTE–2 for surgical
patients. Of the 30 current measures, 27
require data collection from chart
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Catheter-Associated Urinary Tract Infection (UTI).
Vascular Catheter-Associated Infection.
Surgical Site Infections—Mediastinitis after Coronary Artery Bypass
Graft (CABG).
Surgical Site Infections following Elective Procedures—Total Knee Replacement, Laparoscopic Gastric Bypass, Litigation and Stripping of
Varicose Veins.
Legionnaires’ Disease.
Glycemic Control—Diabetic Ketoacidosis, Nonketotic Hypersmolar
Coma, Hypoglycemic Coma.
Iatrogenic pneumothorax.
Delirium.
Ventilator-Associated Pneumonia (VAP).
Deep Vein Thrombosis (DVT)/Pulmonary Embolism (PE).
Staphylococcus aureus Septicemia.
Clostridium-Difficile Associated Disease (CDAD).
Methicillin-Resistant Staphylococcus aureus (MRSA).
abstraction and surveying patients and
submission of detailed data elements.
In looking forward to further
expansion of the RHQDAPU program,
we believe it is important to take several
goals into consideration. These include:
(a) Expanding the types of measures
beyond process of care measures to
include an increased number of
outcome measures, efficiency measures,
and experience-of-care measures; (b)
expanding the scope of hospital services
to which the measures apply; (c)
considering the burden on hospitals in
collecting chart-abstracted data; (d)
harmonizing the measures used in the
RHQDAPU program with other CMS
quality programs to align incentives and
promote coordinated efforts to improve
quality; (e) seeking to use measures
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based on alternative sources of data that
do not require chart abstraction or that
utilize data already being broadly
reported by hospitals, such as clinical
data registries or all-payer claims data
bases; and (f) weighing the
meaningfulness and utility of the
measures compared to the burden on
hospitals in submitting data under the
RHQDAPU program.
We request comments on how to
reduce burden on the hospitals
participating in the RHQDAPU program.
We realize that our proposal to expand
the RHQDAPU program measure set
from submission of 30 measures in FY
2009 to 72 measures in FY 2010 is
potentially burdensome. However, to
minimize hospitals’ burden, the
proposed expansion uses many existing
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data sources, including Medicare claims
and registry data. We also request
comment about which measures would
be most useful while minimizing
burden.
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(1) Expanding the Types of Measures
Section 1886(b)(3)(B)(viii)(III) of the
Act requires the Secretary to add other
quality measures that the Secretary
determines to be appropriate for the
measurement of the quality of care
furnished by hospitals in inpatient
settings. We intend to expand outcome
measures such as mortality measures
and measures of complications. For FY
2010, the proposed measure set
includes:
• Patient Experience of Care.
HCAHPS collects data regarding a
patient’s experience of care in the
hospital and provides a very meaningful
perspective from the patient standpoint.
• Efficiency. Efficiency is a Quality
Domain, as defined by the IOM, that
relates Quality and Cost. The three
proposed readmission measures address
hospital efficiency. These are
considered efficiency measures because
higher hospital readmission rates are
linked to higher costs and also to lower
quality of care received during
hospitalization and after the initial
hospital stay. We are also seeking
additional ways in which to address
efficiency.
• Outcomes. The three 30-day
mortality measures, the STS cardiac
surgery measures, the AHRQ PSI/IQI
measures, and the four outcome-related
nursing sensitive measures represent
significant expansion of the RHQDAPU
program outcome measures. Additional
outcome measures are provided in the
list under consideration for inclusion in
the RHQDAPU program for FY 2010 and
beyond.
(2) Expanding the Scope of Hospital
Services To Which Measures Apply
Many of the most common and highcost Medicare DRGs were posted on the
Hospital Compare Web site in March
2008 as part of the President’s
transparency initiative. We have
assessed these DRGs and have found
that the FY 2009 RHQDAPU program
measure set does not capture data
regarding care in important areas such
as Inpatient Diabetes Care, Chronic
Obstructive Pulmonary Disease (COPD),
and Chest Pain. These are areas for
which we currently do not have quality
measures but which constitute a
significant portion of the top paying
DRGs for Medicare beneficiaries. We
intend to develop measures in these
areas in order to provide additional
quality information on the most
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common and high-cost conditions that
affect Medicare beneficiaries. In the
proposed FY 2010 measure set,
measures have been expanded to
comprehensively address services
related to preventing Venous
Thromboembolism, treatment of stroke,
and nursing services.
(3) Considering the Burden on Hospitals
in Collecting Chart-Abstracted Data for
Measures
Although we are proposing to add
additional chart-abstracted measures for
FY 2010, we also are proposing to
stagger the dates for which data
collection for these measures must
begin, which we believe will lessen the
burden on hospitals as they incorporate
these new measures into their systems.
We also intend to work to simplify the
data abstraction specifications that add
to the burden of data collection.
(4) Harmonizing With Other CMS
Programs
We intend to harmonize measures
across settings and other CMS programs
as evidenced by the implementation of
the readmission measures not only for
the RHQDAPU program but also for the
QIOs’ 9th Scope of Work (SOW) Patient
Pathways/Care Transitions Theme,
which also uses the 30-Day Readmission
Measures and will provide assistance to
engage hospitals in improving care. The
9th SOW also focuses on disparities in
health care, which is another important
area of interest for CMS. We plan to
analyze current RHQDAPU measures to
identify particular RHQDAPU program
measures needed to evaluate the
existence of health care disparities, to
require data elements that would
support better identification of health
care disparities, and to find more
efficient ways to ascertain this
information from claims data. In
addition, at least some of the CY 2008
Physician Quality Reporting Initiative
(PQRI) measures align with the current
RHQDAPU program AMI and SCIP
measures reported starting with the FY
2007 RHQDAPU measure set. In other
words, there are financial incentives
that cover the same clinical processes of
care across different providers and
settings. For example, Aspirin for Heart
Attack corresponds to PQRI measure
number 28, and Surgical Infection
Antibiotic Timing corresponds to PQRI
measure number 20. Outpatient quality
measures under the Hospital Outpatient
Data Quality Data Reporting Program
(HOP QDRP) are also aligned with the
RHQDAPU program measures. For
example, the HOP QDRP addresses
Acute Myocardial Infarction treatment
for transferred patients and surgical
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infection prevention for outpatient
surgery.
(5) Using Alternative Data Sources Not
Requiring Chart Abstraction
We are actively pursuing alternative
data sources, including data sources that
are electronically maintained.
Alternative data submission
methodologies that we are proposing in
this rule include:
• Use of registry-collected clinical
data for which there is broad existing
hospital participation as previously
described with the STS registry.
• Use of data collected by State data
organizations, State hospital
associations, Federal entities such as
AHRQ, and/or other data warehouses.
In addition, we are considering
adopting the following methods of data
collection in the future and request
comments on these methods:
• Use of the CMS Continuity
Assessment Record & Evaluation
(CARE) tool, a standardized data
collection instrument, which would
allow data to be transmitted in ‘‘real
time.’’ This recently developed,
Internet-based, quality data collection
tool was developed as a part of the Post
Acute Care Reform Demonstration
Program mandated by section 5008 of
the DRA. The CARE tool consists of a
core set of assessment items, common to
all patients and all care settings
(meeting criteria of being predictive of
cost, utilization, outcomes, among
others), organized under five major
domains: Medical, Functional, Social,
Environmental, and Cognitive—
Continuity of Care. The Internet-based
CARE tool will communicate critical
information across settings accurately,
quickly, and efficiently with reduced
time burden to providers and is
intended to enhance beneficiaries’ safe
transitions between settings to prevent
avoidable, costly events such as
unnecessary rehospitalizations or
medication errors. We believe that the
CARE tool may provide a vehicle for
collection of data elements to be used
for calculating RHQDAPU program
quality measures. CMS is considering
utilizing the CARE tool in this manner.
The Care tool is available at:
www.cms.hhs.gov/PaperworkReduction
Actof1995/PRAL/list.asp#TopOfPage.
(Viewers should select ‘‘Show only
items with the word ‘‘10243’’, click on
show items, select CMS–10243, click on
downloads, and open Appendices A &
B, pdf files.)
We are particularly interested in
receiving public comment on this tool.
Our goal is to have a standardized,
efficient, effective, interoperable,
common assessment tool to capture key
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patient characteristics that will help
CMS capture information related to
resource utilization; expected costs as
well as clinical outcomes; and postdischarge disposition. The CARE tool
will also be useful for guiding payment
and quality policies.
Specifically, we are interested in
receiving public comments on how
CARE might advance the use of health
information technology in automating
the process for collecting and
submitting quality data.
• Submission of data derived from
electronic versions of laboratory test
reports that are issued by the laboratory
in accordance with CLIA to the ordering
provider and maintained by the hospital
as part of the patient’s medical record
during and after the patient’s course of
treatment at the hospital. We are
considering using these data to support
risk adjustment for claims-based
outcome measures (for example,
mortality measures) and to develop
other outcomes measures. This would
support use of electronically maintained
data and our goal of reducing manual
data collection burden on hospitals.
• Submission of data currently being
collected by clinical data registries in
addition to the STS registry. This would
support and leverage existing clinical
data registries and existing voluntary
clinical data collection efforts, such as:
• American College of Cardiology
(ACC) data registry for Cardiac
Measures.
• ACC data registry for ICD.
• ACC data registry for Carotid Stents.
• Vascular Surgery Registry for
Vascular Surgical Procedures.
• ACC-sponsored ‘‘Get with the
Guidelines’’ registry for Stroke Care.
jlentini on PROD1PC65 with PROPOSALS2
(6) Weighing the Meaningfulness and
Utility of the Measures Compared to the
Burden on Hospitals in Submitting Data
Under the RHQDAPU Program
We are proposing to retire one
measure from the RHQDAPU program
for FY 2010 because we have
determined that the burden on hospitals
in abstracting the data outweighs the
meaningful benefit that we can ascertain
from the measure. As we explained
more fully above, we are seeking
comments on the applicability to the
RHQDAPU program of criteria currently
described in the Hospital VBP Issues
Paper for inclusion and retirement of
measures. The Hospital VBP Issues
Paper is located on the CMS Web site at
the following location: https://
www.cms.hhs.gov/AcuteInpatientPPS/
downloads/hospital_VBP_plan_issues_
paper.pdf.
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3. Form and Manner and Timing of
Quality Data Submission
In the FY 2007 IPPS final rule (71 FR
48031 through 48045), we set out
RHQDAPU program procedures for data
submission, program withdrawal, data
validation, attestation, public display of
hospitals’’ quality data, and
reconsiderations. Section
1886(b)(3)(B)(viii)(I) of the Act requires
that subsection (d) hospitals submit data
on measures selected under that clause
with respect to the applicable fiscal
year. In addition, section
1886(b)(3)(B)(viii)(II) of the Act requires
that each subsection (d) hospital submit
data on measures selected under that
clause to the Secretary in a form and
manner, and at a time, specified by the
Secretary. The technical specifications
for each RHQDAPU program measure
are listed in the CMS/Joint Commission
Specifications Manual for National
Inpatient Hospital Quality Measures
(Specifications Manual). We update this
manual semiannually or more
frequently in unusual cases, and include
detailed instructions and calculation
algorithms for hospitals to collect and
submit the data for the required
measures.
The maintenance of the specifications
for the measures selected by the
Secretary occurs through publication of
the Specifications Manual. Thus,
measure selection by the Secretary
occurs through the rulemaking process;
whereas the maintenance of the
technical specifications for the selected
measures occurs through a
subregulatory process so as to best
maintain the specifications consistent
with current science and consensus.
The data submission, Specifications
Manual, and submission deadlines are
posted on the QualityNet Web site at
www.qualitynet.org. We require that
hospitals submit data in accordance
with the specifications for the
appropriate discharge periods. When
measure specifications are updated, we
are proposing to require that hospitals
submit all of the data required to
calculate the required measures as
outlined in the Specifications Manual
current as of the patient discharge date.
4. Current and Proposed RHQDAPU
Program Procedures
a. RHQDAPU Program Procedures for
FY 2009
In the FY 2008 IPPS final rule with
comment period, we stated that the
requirements for FY 2008 would
continue to apply for FY 2009 (72 FR
47361). The ‘‘Reporting Hospital Quality
Data for Annual Payment Update
Reference Checklist’’ section of the
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23655
QualityNet Web site contains all of the
forms to be completed by hospitals
participating in the RHQDAPU program.
Under these requirements hospitals
must—
• Register with QualityNet, before
participating hospitals initially begin
reporting data, regardless of the method
used for submitting data.
› Identify a QualityNet
Administrator who follows the
registration process located on the
QualityNet Web site
(www.qualitynet.org).
› Complete the revised RHQDAPU
program Notice of Participation form
(only for hospitals that did not submit
a form prior to August 15, 2007). For
hospitals that share the same Medicare
Provider Number (now CMS
Certification Number (CCN)), report the
name and address of each hospital on
this form.
› Collect and report data for each of
the required measures except the
Medicare mortality measures (AMI, HF,
and PN 30-day Mortality for Medicare
Patients). Hospitals must continuously
report these data. Hospitals must submit
the data to the QIO Clinical Warehouse
using the CMS Abstraction & Reporting
Tool (CART), The Joint Commission
ORYX Core Measures Performance
Measurement System, or another thirdparty vendor tool that has met the
measurement specification requirements
for data transmission to QualityNet. All
submissions will be executed through
QualityNet. Because the information in
the QIO Clinical Warehouse is
considered QIO information, it is
subject to the stringent QIO
confidentiality regulations in 42 CFR
Part 480. The QIO Clinical Warehouse
will submit the data to CMS on behalf
of the hospitals.
• Submit complete data regarding the
quality measures in accordance with the
joint CMS/Joint Commission sampling
requirements located on the QualityNet
Web site for each quality measure that
requires hospitals to collect and report
data. These requirements specify that
hospitals must submit a random sample
or complete population of cases for each
of the topics covered by the quality
measures. Hospitals must meet the
sampling requirements for these quality
measures for discharges in each quarter.
• Submit to CMS on a quarterly basis
aggregate population and sample size
counts for Medicare and non-Medicare
discharges for the four topic areas (AMI,
HF, PN, and SCIP).
• Continuously collect and submit
HCAHPS data in accordance with the
HCAHPS Quality Assurance Guidelines,
Version 3.0, located at the Web site:
www.hcahpsonline.org. The QIO
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Clinical Warehouse has been modified
to accept zero HCAHPS-eligible
discharges. We remind the public to
refer to the QualityNet Web site for any
questions about how to submit ‘‘zero
cases’’ information.
For the AMI 30-day, HF 30-day, and
PN 30-day mortality measures, CMS
uses Part A and Part B claims for
Medicare fee-for-service patients to
calculate the mortality measures. For FY
2009, hospital inpatient claims (Part A)
from July 1, 2006 to June 30, 2007, will
be used to identify the relevant patients
and the index hospitalizations. Inpatient
claims for the index hospitalizations
and Part A and Part B claims for all
inpatient, outpatient, and physician
services received one year prior to the
index hospitalizations are used to
determine patient comorbidity, which is
used in the risk adjustment calculation
(see the Web site: www.qualitynet.org/
dcs/ContentServer?cid=1163010398556
&pagename=QnetPublic%2FPage%2F
QnetTier2&c=Page). No other hospital
data submission is required to calculate
the mortality rates.
b. Proposed RHQDAPU Program
Procedures for FY 2010
We are proposing to continue
requiring the FY 2009 RHQDAPU
program procedures for FY 2010 for
hospitals participating in the RHQDAPU
program, with the following
modifications:
• Notice of Participation. New
subsection (d) hospitals and existing
hospitals that wish to participate in
RHQDAPU for the first time must
complete a revised ‘‘Reporting Hospital
Quality Data for Annual Payment
Update Notice of Participation’’ that
includes the name and address of each
hospital that shares the same CCN.
• Data Submission. In order to reduce
the burden on hospitals that treat a low
number of patients who are covered by
the submission requirements, we are
proposing the following:
› AMI. We are proposing that a
hospital that has five or fewer AMI
discharges (both Medicare and nonMedicare combined) in a quarter will
not be required to submit AMI patient
level data for that quarter. We are
proposing to begin implementing this
requirement with discharges on or after
January 1, 2009. However, the hospital
must still submit its aggregate AMI
population and sample size counts to
CMS for that quarter as part of its
quarterly RHQDAPU data submission.
› HCAHPS. We are proposing that a
hospital that has five or fewer HCAHPSeligible discharges in any month will
not be required to submit HCAHPS
surveys for that month. However, the
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hospital must still submit its total
number of HCAHPS-eligible cases for
that month as part of its quarterly
HCAHPS data submission. We are
proposing to begin implementing this
requirement with discharges on or after
January 1, 2009.
› HF. We are proposing that a
hospital that has five or fewer HF
discharges (both Medicare and nonMedicare combined) in a quarter will
not be required to submit HF patient
level data for that quarter. However, the
hospital must still submit its aggregate
HF population and sample size counts
to CMS for that quarter as part of its
quarterly RHQDAPU data submission.
We are proposing to begin
implementing this requirement with
discharges on or after January 1, 2009.
› PN. We are proposing that a
hospital that has five or fewer PN
discharges (both Medicare and nonMedicare combined) in a quarter will
not be required to submit PN patient
level data for that quarter. However, the
hospital must still submit its aggregate
PN population and sample size counts
to CMS for that quarter as part of its
quarterly RHQDAPU data submission.
We are proposing to begin
implementing this requirement with
discharges on or after January 1, 2009.
› SCIP. We are proposing that a
hospital that has five or fewer SCIP
discharges (both Medicare and nonMedicare combined) in a quarter will
not be required to submit SCIP patient
level data for that quarter. However, the
hospital must still submit its aggregate
SCIP population and sample size counts
to CMS for that quarter as part of its
quarterly RHQDAPU data submission.
We are proposing to begin
implementing this requirement with
discharges on or after January 1, 2009.
In addition, we are proposing the
following quarterly deadlines for
hospitals to submit the FY 2010 AMI,
HF, SCIP, PN, Stroke, VTE, and nursing
sensitive measure data:
• The data submission deadline for
hospitals to submit the patient level
measure data for 1st calendar quarter of
2009 discharges would be August 15,
2009. Data must be submitted for each
of these measures 4.5 months after the
end of the preceding quarter. The
specific deadlines will be listed on the
QualityNet Web site.
• Even though data on applicable
measures will not be due until 4.5
months after the end of the preceding
quarter, hospitals must submit their
aggregate population and sample size
counts no later than 4 months after the
end of the preceding quarter (the exact
dates will be posted on the QualityNet
Web site). This deadline falls
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approximately 15 days before the data
submission deadline for the clinical
process measures, and we are proposing
it so that we can inform hospitals about
their data submission status for the
quarter before the 4.5 month clinical
process measure deadline. We have
found from past experience that
hospitals need sufficient time to submit
additional data when their counts differ
from Medicare claims counts generated
by CMS. We will provide hospitals with
these Medicare claims counts and
submitted patient level data counts on
the QualityNet Web site approximately
2 weeks before the quarterly submission
deadline. We plan to use the aggregate
population and sample size data to
assess submission completeness and
adherence to sampling requirements for
Medicare and non-Medicare patients.
We propose the following quarterly
deadlines for hospitals to submit cardiac
surgery and the AHRQ PSI/IQI measure
data to CMS or other entities:
• The data submission deadline for
hospitals to submit cardiac surgery
patient level measure data to CMS or
STS data registry for 1st calendar
quarter of 2009 discharges would be
June 1, 2009. Data must be submitted for
each of these measures 2 months after
the end of the preceding quarter. The
specific deadlines will be listed on the
QualityNet Web site.
• The data submission deadline for
hospitals to submit the AHRQ PSI/IQI
measure data to CMS for 4th calendar
quarter of 2009 discharges would be
April 1, 2010. Data must be submitted
for each of these measures 3 months
after the end of the preceding quarter.
The specific deadlines will be listed on
the QualityNet Web site.
We are proposing these quarterly
submission deadlines for cardiac
surgery and AHRQ PSI/IQI measure data
to coordinate submission deadlines with
external data registries and provide
more timely information to the
consumers. We are proposing this
quarterly submission deadline for
cardiac surgery measure data to
coincide with the STS quarterly
submission deadline that is
approximately 2 months following the
discharge quarter. We also propose to
shorten the time lag between the date of
discharge and the public reporting of
these quality measures to provide more
timely consumer information.
5. Current and Proposed HCAHPS
Requirements
a. FY 2009 HCAHPS Requirements
For FY 2009, hospitals must
continuously collect and submit
HCAHPS data to the QIO Clinical
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Warehouse by the data submission
deadlines posted on the Web site at:
www.hcahpsonline.org. The data
submission deadline for first quarter CY
2008 (January through March)
discharges is July 9, 2008. To collect
HCAHPS data, a hospital can either
contract with an approved HCAHPS
survey vendor that will conduct the
survey and submit data on the hospital’s
behalf to the QIO Clinical Warehouse, or
a hospital can self-administer the survey
without using a survey vendor,
provided that the hospital meets
Minimum Survey Requirements as
specified on the Web site at:
www.hcahpsonline.org. A current list of
approved HCAHPS survey vendors can
be found on the Web site at:
www.hcahpsonline.org.
Every hospital choosing to contract
with a survey vendor should provide
the sample frame of hospital-eligible
discharges to its survey vendor with
sufficient time to allow the survey
vendor to begin contacting each
sampled patient within 6 weeks of
discharge from the hospital (see the
Quality Assurance Guidelines for details
about HCAHPS eligibility and sample
frame creation) and must authorize the
survey vendor to submit data via
QualityNet on the hospital’s behalf.
CMS strongly recommends that the
hospitals employing a survey vendor
promptly review the two HCAHPS
Feedback Reports (the Provider Survey
Status Summary Report and the Data
Submission Detail Report) that are
available after the survey vendor
submits the data to the QIO Clinical
Warehouse. These reports enable a
hospital to ensure that its survey vendor
has submitted the data on time and it
has been accepted into the Warehouse.
In the FY 2008 IPPS final rule with
comment period (72 FR 47362), we
stated that hospitals and survey vendors
must participate in a quality oversight
process conducted by the HCAHPS
project team. Starting in July 2007, we
began asking hospitals/survey vendors
to correct any problems that were found
and provide followup documentation of
corrections for review within a defined
time period. If the HCAHPS project
team finds that the hospital has not
made these corrections, CMS may
determine that the hospital is not
submitting HCAHPS data that meet the
requirements for the RHQDAPU
program. As part of these activities,
HCAHPS project staff reviews and
discusses with survey vendors and
hospitals self-administering the survey
their specific Quality Assurance Plans,
survey management procedures,
sampling and data collection protocols,
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and data preparation and submission
procedures.
b. Proposed FY 2010 HCAHPS
Requirements
For FY 2010, we are proposing
continuous collection of HCAHPS in
accordance with the Quality Assurance
Guidelines located at the Web site:
www.hcahpsonline.org, by the quarterly
data submission deadlines posted on the
Web site: www.hcahpsonline.org. As
stated above, starting with January 1,
2009 discharges, we are proposing that
hospitals that have five or fewer
HCAHPS-eligible discharges in a month
would not be required to submit
HCAHPS patient-level data for that
month as part of the quarterly data
submission that includes that month,
but they would still be required to
submit the number of HCAHPS-eligible
cases for that month as part of their
HCAHPS quarterly data submission.
With respect to HCAHPS oversight,
we are proposing that the HCAHPS
Project Team will continue to conduct
site visits and/or conference calls with
hospitals/survey vendors to ensure the
hospital’s compliance with the HCAHPS
requirements. During the onsite visit or
conference call, the HCAHPS Project
Team will review the hospital’s/survey
vendor’s survey systems and will assess
protocols based upon the most recent
Quality Assurance Guidelines. All
materials relevant to survey
administration will be subject to review.
The systems and program review
includes, but it is not necessarily
limited to: (a) survey management and
data systems; (b) printing and mailing
materials and facilities; (c) telephone/
IVR materials and facilities; (d) data
receipt, entry and storage facilities; and
(e) written documentation of survey
processes. Organizations will be given a
defined time period in which to correct
any problems and provide followup
documentation of corrections for
review. Hospitals/survey vendors will
be subject to followup site visits and/or
conference calls, as needed. If CMS
determines that a hospital is
noncompliant with HCAHPS program
requirements, CMS may determine that
the hospital is not submitting HCAHPS
data that meet the requirements of the
RHQDAPU program.
6. Current and Proposed Chart
Validation Requirements
a. Chart Validation Requirements for FY
2009
In the FY 2008 IPPS final rule with
comment period (72 FR 47361), we
stated that, until further notice, we
would continue to require that hospitals
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meet the chart validation requirements
that we implemented in the FY 2006
IPPS final rule (70 FR 47421 and 47422).
These requirements, as well as
additional information on validation
requirements, continue and are being
placed on the QualityNet Web site.
We also stated in the FY 2008 IPPS
final rule with comment period that,
until further notice, hospitals must pass
our validation requirement that requires
a minimum of 80-percent reliability,
based upon our chart-audit validation
process (72 FR 47361).
In the FY 2008 IPPS final rule with
comment period (72 FR 47362), we
indicated that, for the FY 2009 update,
all FY 2008 validation requirements
would apply, except for the following
modifications. We would modify the
validation requirement to pool the
quarterly validation estimates for 4th
quarter CY 2006 through 3rd quarter
2007 discharges. We would also expand
the list of validated measures in the FY
2009 update to add SCIP Infection-2,
SCIP VTE–1, and SCIP VTE–2 (starting
with 4th quarter CY 2006 discharges).
We would also drop the current twostep process to determine if the hospital
is submitting validated data. For the FY
2009 update, we stated that we will pool
validation estimates covering the four
quarters (4th quarter CY 2006 discharges
through 3rd quarter 2007 discharges) in
a similar manner to the current 3rd
quarter pooled confidence interval.
In summary, the following chart
validation requirements apply for the
FY 2009 RHQDAPU program:
• The 21-measure expanded set will
be validated using 4th quarter CY 2006
(4Q06) through 3rd quarter CY 2007
(3Q07) discharges.
• SCIP VTE-1, VTE-2, and SCIP
Infection 2 will be validated using 2nd
quarter CY 2007 and 3rd quarter CY
2007 discharges.
• SCIP Infection 4 and SCIP Infection
6 must be submitted starting with 1st
quarter CY 2008 discharges but will not
be validated.
• HCAHPS data must continuously be
submitted and will be reviewed as
discussed above.
• AMI, HF, and PN 30-day mortality
measures will be calculated as
discussed below.
In the FY 2008 IPPS final rule with
comment period (72 FR 47364), we
stated that, for the FY 2008 update and
in subsequent years, we would revise
and post up-to-date confidence interval
information on the QualityNet Web site
explaining the application of the
confidence interval to the overall
validation results. The data are being
validated at several levels. There are
consistency and internal edit checks to
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ensure the integrity of the submitted
data; there are external edit checks to
verify expectations about the volume of
the data received.
b. Proposed Chart Validation
Requirements for FY 2010
For FY 2010, we are proposing the
following chart validation requirements
to reflect the proposed 72-measure set:
• The following 21 measures from the
FY 2009 RHQDAPU program measure
set will be validated using data from 4th
quarter 2007 through 3rd quarter 2008
discharges.
Topic
Quality measure validated from 4th quarter 2007 through 3rd quarter
2008 discharges
Heart Attack (Acute Myocardial Infarction) ..............................................
Aspirin at arrival
Aspirin prescribed at discharge
Angiotensin Converting Enzyme Inhibitor (ACE–I) or Angiotensin II Receptor Blocker (ARB) for left ventricular systolic dysfunction
Beta blocker at arrival
Beta blocker prescribed at discharge
Fibrinolytic (thrombolytic) agent received within 30 minutes of hospital
arrival
Adult smoking cessation advice/counseling
Heart Failure (HF) ....................................................................................
Left ventricular function assessment
Angiotensin Converting Enzyme Inhibitor (ACE–I) or Angiotensin II Receptor Blocker (ARB) for left ventricular systolic dysfunction
Discharge instructions
Adult smoking cessation advice/counseling
Pneumonia (PN) .......................................................................................
Pneumococcal vaccination status
Blood culture performed before first antibiotic received in hospital
Adult smoking cessation advice/counseling
Appropriate initial antibiotic selection
Influenza vaccination status
Surgical Care Improvement Project (SCIP)—named SIP for discharges
prior to July 2006 (3Q06).
Prophylactic antibiotic received within 1 hour prior to surgical incision
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SCIP–VTE–1: Venous thromboembolism (VTE) prophylaxis ordered for
surgery patients***
SCIP–VTE–2: VTE prophylaxis within 24 hours pre/post surgery***
SCIP Infection 2: Prophylactic antibiotic selection for surgical
patients***
SCIP-Infection 3: Prophylactic antibiotics discontinued within 24 hours
after surgery end time
• SCIP Infection 4 and Infection 6
will be validated using data from 2nd
and 3rd quarter CY 2008 discharges.
In addition, we are proposing to
include the following three measures in
the FY 2010 RHQDAPU program
validation process that are included the
FY 2009 RHQDAPU program measure
set but have been updated or deleted for
the FY 2010 measure set:
• Pneumonia antibiotic prophylaxis
timing within 4 hours will be validated
using data from 4th quarter 2007
through 3rd quarter 2008 discharges.
• Percutaneous Coronary Intervention
(PCI) Timing within 120 minutes will be
validated using data from 4th quarter
2007 through 3rd quarter 2008
discharges.
• Pneumonia Oxygenation
Assessment will be validated using data
from 4th quarter through 3rd quarter
2008 discharges.
These measures will be submitted by
hospitals during 2008 and early 2009,
and are available to be validated by
CMS in time for the FY 2010 RHQDAPU
program payment eligibility
determination.
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As explained above, will also revise
and post up-to-date confidence interval
information on the QualityNet Web site
explaining the application of the
confidence interval to the overall
validation results.
c. Chart Validation Methods and
Requirements Under Consideration for
FY 2011 and Subsequent Years
Under the current and proposed
RHQDAPU program chart validation
process, we validate measures by
reabstracting on a quarterly basis a
random sample of five patient records
for each hospital. This quarterly sample
results in an annual combined sample of
20 patient records across 4 calendar
quarters, but because the samples are
random, they do not necessarily include
patient records covering each of the
clinical topics.
We anticipate that the proposed
expansion of the RHQDAPU program
measure set to include additional
clinical topics will decrease the
percentage of RHQDAPU clinical topics,
as well as the total number of measures,
covered in many hospitals’ annual chart
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validation. In addition to the measures
for which hospitals must submit data for
FY 2009 (with the exception of the
Pneumonia Oxygenation Assessment
measure), we have proposed that
hospitals will submit data on the
proposed five stroke measures, six VTE
measures, and four nursing sensitive
measures for FY 2010 using chart
abstraction. CMS is considering the
addition of these measures to the
current RHQDAPU program validation
process for FY 2011 and future years.
However, we are considering whether
registries and other external parties that
may be collecting data on proposed
RHQDAPU program measures could
validate the accuracy of those measures
beginning in FY 2011. In addition, we
note that the proposed readmission
measures are calculated using Medicare
claims information and do not require
chart validation.
We are interested in receiving public
comments from a broad set of
stakeholders on the impact of adding
measures to the validation process, as
well as modifications to the current
validation process that could improve
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the reliability and validity of the
methodology. We specifically request
input concerning the following:
• Which of the measures or measure
sets should be included in the FY 2010
RHQDAPU program chart validation
process or in the chart validation
process for subsequent years?
• What validation challenges are
posed by the RHQDAPU program
measures and measure sets? What
improvements could be made to
validation or reporting that might offset
or otherwise address those challenges?
• Should CMS switch from its current
quarterly validation sample of five
charts per hospital to randomly
selecting a sample of hospitals, and
selecting more charts on an annual basis
to improve reliability of hospital level
validation estimates?
• Should CMS select the validation
sample by clinical topic to ensure that
all publicly reported measures are
covered by the validation sample?
7. Data Attestation Requirements
a. Proposed Change to Requirements for
FY 2009
In the FY 2008 IPPS final rule with
comment period (72 FR 47364), we
stated that we would require for FY
2008 and subsequent years that
hospitals attest each quarter to the
completeness and accuracy of their data,
including the volume of data, submitted
to the QIO Clinical Warehouse in order
to improve aspects of the validation
checks. We stated that we would
provide additional information to
explain this attestation requirement, as
well as provide the relevant form to be
completed on the QualityNet Web site,
at the same time as the publication of
the FY 2008 IPPS final rule with
comment period.
We are now proposing to defer the
requirement in FY 2009 for hospitals to
separately attest to the accuracy and
completeness of their submitted data
due to the burden placed on hospitals
to report paper attestation forms on a
quarterly basis. We continue to expect
that hospitals will submit quality data
that are accurate to the best of their
knowledge and ability.
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b. Proposed Requirements for FY 2010
For FY 2010 and subsequent years, we
are soliciting public comment on the
electronic implementation of the
attestation requirement at the point of
data submission to the QIO Clinical
Warehouse. Hospitals would
electronically pledge to CMS that their
submitted data are accurate and
complete to the best of their knowledge.
Hospitals would be required to
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designate an authorized contact to CMS
for attestation in their patient-level data
submission.
Resubmissions would continue to be
allowed before the quarterly submission
deadline, and hospitals would be
required to electronically update their
pledges about data accuracy at the time
of resubmission. We welcome
comments on this approach.
8. Public Display Requirements
Section 1886(b)(3)(B)(viii)(VII) of the
Act provides that the Secretary shall
establish procedures for making data
submitted under the RHQDAPU
program available to the public. The
RHQDAPU program quality measures
are posted on the Hospital Compare
Web site (https://
www.hospitalcompare.hhs.gov). CMS
requires that hospitals sign a ‘‘Reporting
Hospital Quality Data for Annual
Payment Update Notice of
Participation’’ form when they first
register to participate in the RHQDAPU
program. Once a hospital has submitted
a form, the hospital is considered to be
an active RHQDAPU program
participant until such time as the
hospital submits a withdrawal form to
CMS (72 FR 47360). Hospitals signing
this form agree that they will allow CMS
to publicly report the quality measures
as required in the applicable year’s
RHQDAPU program requirements.
We are proposing to continue to
display quality information for public
viewing as required by section
1886(b)(3)(B)(viii)(VII) of the Act. Before
we display this information, hospitals
will be permitted to review their
information as recorded in the QIO
Clinical Warehouse.
Currently, hospitals that share the
same CCN (formerly known as Medicare
Provider Number (MPN)) must combine
data collection and submission across
their multiple campuses (for both
clinical measures and for HCAHPS).
These measures are then publicly
reported as if they apply to a single
hospital. We estimate that
approximately 5 to 10 percent of the
hospitals reported on the Hospital
Compare Web site share CCNs.
Beginning with the FY 2008 RHQDAPU
program, hospitals must report the name
and address of each hospital that shares
the same CCN. This information will be
gathered through the RHQDAPU
program Notice of Participation form for
new hospitals participating in the
RHQDAPU program. To increase
transparency in public reporting and
improve the usefulness of the Hospital
Compare Web site, we will note on the
Web site where publicly reported
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measures combine results from two or
more hospitals.
9. Proposed Reconsideration and
Appeal Procedures
For FY 2009, we are proposing to
continue the current RHQDAPU
program reconsideration and appeal
procedures finalized in the FY 2008
IPPS final rule with comment period.
The deadline for submitting a request
for reconsideration in connection with
the FY 2009 payment determination is
November 1, 2008. We also are
proposing to use the same procedural
rules finalized in the FY 2008 IPPS final
rule with comment period (72 FR
47365). We posted these rules on the
QualityNet Web site for the FY 2008
RHQDAPU program reconsideration
process.
Under the procedural rules, in order
to receive reconsideration for FY 2009,
the hospital must—
• Submit to CMS, via QualityNet, a
Reconsideration Request form (available
on the QualityNet Web site) containing
the following information:
Æ Hospital Medicare ID number.
Æ Hospital Name.
Æ CMS-identified reason for failure
(as provided in the CMS notification of
failure letter to the hospital).
Æ Hospital basis for requesting
reconsideration. (This must identify the
hospital’s specific reason(s) for
believing it met the RHQDAPU program
requirements and should receive the full
FY 2009 IPPS annual payment update.)
Æ CEO contact information, including
name, e-mail address, telephone
number, and mailing address (must
include physical address, not just the
post office box).
Æ QualityNet System Administrator
contact information, including name, email address, telephone number, and
mailing address (must include physical
address, not just the post office box).
• The request must be signed by the
hospital’s CEO.
• Following receipt of a request for
reconsideration, CMS will—
• Provide an e-mail
acknowledgement, using the contact
information provided in the
reconsideration request, to the CEO and
the QualityNet Administrator that the
letter has been received.
• Provide a formal response to the
hospital CEO, using the contact
information provided in the
reconsideration request, notifying the
facility of the outcome of the
reconsideration process. CMS expects
the process to take 60 to 90 days from
the due date of November 1, 2008.
If a hospital is dissatisfied with the
result of a RHQDAPU program
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reconsideration decision, the hospital
may file a claim under 42 CFR part 405,
subpart R (a Provider Reimbursement
Review Board (PRRB) appeal).
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10. Proposed RHQDAPU Program
Withdrawal Deadline for FYs 2009 and
2010
We propose to accept RHQDAPU
program withdrawal forms for FY 2009
from hospitals through August 15, 2008.
We are proposing this deadline to
provide CMS with sufficient time to
update the RHQDAPU FY 2009 payment
to hospitals starting on October 1, 2008.
If a hospital withdraws from the
program for FY 2009, it will receive a
2.0 percentage point reduction in its FY
2009 annual payment update.
We also propose to accept RHQDAPU
program withdrawal forms for FY 2010
from hospitals through August 15, 2009.
If a hospital withdraws from the
program for FY 2010, it will receive a
2.0 percentage point reduction in its FY
2010 annual payment update.
11. Requirements for New Hospitals
In the FY 2008 IPPS final rule with
comment period (72 FR 47366), we
stated that a new hospital that receives
a provider number on or after October
1 of each year (beginning with October
1, 2007) will be required to report
RHQDAPU program data beginning with
the first day of the quarter following the
date the hospital registers to participate
in the RHQDAPU program. For
example, a hospital that receives its
CCN on October 2, 2008, and signs up
to participate in the RHQDAPU program
on November 1, 2007, will be expected
to meet all of the data submission
requirements for discharges on or after
January 1, 2009.
In addition, we strongly recommend
that each new hospital participate in an
HCAHPS dry run, if feasible, prior to
beginning to collect HCAHPS data on an
ongoing basis to meet RHQDAPU
program requirements. We refer readers
to the Web site at
www.hcahpsonline.org for a schedule of
upcoming dry runs. The dry run will
give newly participating hospitals the
opportunity to gain first-hand
experience collecting and transmitting
HCAHPS data without the public
reporting of results. Using the official
survey instrument and the approved
modes of administration and data
collection protocols, hospitals/survey
vendors will collect HCAHPS data and
submit the data to QualityNet.
12. Electronic Medical Records
In the FY 2006 IPPS final rule, we
encouraged hospitals to take steps
toward the adoption of electronic
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medical records (EMRs) that will allow
for reporting of clinical quality data
from the EMRs directly to a CMS data
repository (70 FR 47420). We intend to
begin working toward creating
measures’ specifications, and a system
or mechanism, or both, that will accept
the data directly without requiring the
transfer of the raw data into an XML file
as is currently done. The Department
continues to work cooperatively with
other Federal agencies in the
establishment of Federal Health
Architecture (FHA) data standards. We
encouraged hospitals that are
developing systems to conform them to
industry standards, and in particular to
FHA data standards, once identified,
taking measures to ensure that the data
necessary for quality measures are
captured. Ideally, such systems will also
provide point-of-care decision support
that enables detection of high levels of
performance on the measures. Hospitals
using EMRs to produce data on quality
measures will be held to the same
performance expectations as hospitals
not using EMRs.
Due to the low volume of comments
we received on this issue in response to
the FY 2006 proposed IPPS rule, in the
FY 2007 IPPS proposed (71 FR 24095),
we again invited public comment on
these requirements and related options.
In the FY 2007 IPPS final rule (71 FR
48045), we summarized and addressed
the additional comments we received.
In the FY 2008 IPPS proposed rule (72
FR 24809), we noted that we would
welcome additional comments on this
issue.
In the FY 2008 IPPS final rule with
comment period (72 FR 47366), we
responded to the additional comments
we received and noted that CMS plans
to continue working with the American
Health Information Community (AHIC)
and other entities to explore processes
through which an EMR could speed the
collection and minimize the resources
necessary for quality reporting. (The
AHIC is a Federal advisory body,
chartered in 2005 to make
recommendations to the Secretary on
how to accelerate the development and
adoption of health information
technology.) In addition, we noted that
we will continue to participate in
appropriate HHS studies and
workgroups, as mentioned by a GAO
report (GAO–07–320) about hospital
quality data and their use of information
technology. As appropriate, CMS will
inform interested parties regarding
progress in the implementation of HIT
for the collection and submission of
hospital quality data as specific steps,
including timeframes and milestones,
are identified. Current mechanisms
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include publication in the Federal
Register as well as ongoing
collaboration with external stakeholders
such as the HQA, the AHA, the FAH,
the AAMC, and the Joint Commission.
We further anticipate that as HIT is
implemented, a formal plan, including
training, will be developed to assist
providers in understanding and
utilizing HIT in reporting quality data.
In addition, we will assess the
effectiveness of our communications
with providers and stakeholders as it
relates to all information dissemination
pertinent to collecting hospital quality
data as part of an independent and
comprehensive external evaluation of
the RHQDAPU program.
We are again soliciting comments on
the issues and challenges associated
with EMRs. Specifically, we invite
comment on our proposed changes to
our data submission requirements to be
more aligned with currently
implemented HIT systems, including
data collection from registries and
laboratory data.
We recognize the potential burden on
hospitals of increased data reporting
requirements for process measures that
require chart abstraction. In FY 2007
IPPS rulemaking, we listed a variety of
additional possible measures for future
years. The measures included and
emphasized additional outcomes
measures. Additional measures were
included for which the data sources are
claims. For these, no additional data
abstraction or submission would be
required for reporting hospitals beyond
the claims data. In proposing measures
for FY 2010, we seek to emphasize
outcome measures and to minimize any
additional data collection burden. In
addition, as provided in section
1886(b)(3)(B)(viii)(VI) and discussed in
section IV.B.2.a. of this proposed rule,
we are proposing to retire one measure
where there is no meaningful difference
among hospitals as a means of reducing
data collection burden.
C. Medicare Hospital Value-Based
Purchasing (VBP)
1. Medicare Hospital VBP Plan Report to
Congress
Through section 5001(b) of the Deficit
Reduction Act of 2005, Congress
authorized the development of a plan to
implement value-based purchasing
(VBP) beginning FY 2009 for IPPS
hospital services. By statute, the plan
must address: (a) The ongoing
development, selection, and
modification process for measures of
quality and efficiency in hospital
inpatient settings; (b) reporting,
collection, and validation of quality
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data; (c) the structure, size, and source
of value-based payment adjustments;
and (d) public disclosure of hospital
performance data.
To develop the plan, CMS created a
Hospital VBP Workgroup with members
from various CMS components and the
Office of the Assistant Secretary for
Planning and Evaluation. The
Workgroup completed an environmental
scan of existing hospital VBP programs,
an issue paper outlining the topics to be
addressed in the plan, and an options
paper presenting design alternatives for
the plan.
CMS hosted two public Listening
Sessions in early 2007 to solicit
comments from interested parties on
outstanding design questions associated
with development of the plan. The
perspectives expressed by stakeholders
(including hospitals, consumers, and
purchasers) during these sessions and in
writing assisted the Workgroup in
creating the Medicare Hospital VBP
Plan Report to Congress. The Report was
submitted to Congress on November 21,
2007.
The Medicare Hospital VBP Plan
builds on the foundation of Medicare’s
current RHQDAPU program (discussed
in section IV.B. of the preamble of this
proposed rule), which, since FY 2005,
has provided differential payments to
hospitals that report their performance
on a defined set of inpatient measures
for public posting on the Hospital
Compare Web site. If authorized by
Congress, the VBP Plan would replace
the current quality reporting program
with a new program that would include
both public reporting and financial
incentives to drive improvements in
clinical quality, patient-centeredness,
and efficiency.
The proposed plan contains the
following key components: (a) A
performance assessment model that
incorporates measures from different
quality domains (that is, clinical process
of care, patient experience of care,
outcomes, among others) to calculate a
hospital’s total performance score; (b)
options for translating this score into an
incentive payment that would make a
portion of the hospital’s base DRG
payment contingent on its total
performance score; (c) criteria for
selecting performance measures for the
financial incentive and candidate
measures for FY 2009 and beyond; (d)
a phased approach for transitioning
from the RHQDAPU program to the VBP
plan; (e) proposed enhancements to the
current data transmission and validation
infrastructure to support VBP program
requirements; (f) refinements to the
Hospital Compare Web site to support
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expanded public reporting; and (g) an
approach to monitoring VBP impacts.
The Medicare Hospital VBP Plan
Report to Congress is available on the
CMS Web site at: https://
www.cms.hhs.gov/AcuteInpatientPPS/
downloads/HospitalVBPPlanRTCFINAL
SUBMITTED2007.pdf.
2. Testing and Further Development of
the Medicare Hospital VBP Plan
The Hospital VBP Workgroup has
undertaken testing of the VBP Plan. This
‘‘dry run’’ or ‘‘simulation’’ of the Plan
will use the most recent clinical
process-of-care and HCAHPS
measurement data available from the
RHQDAPU program. New information
generated by the VBP Plan testing will
include: (a) Performance scores by
domain; (b) total performance scores;
and (c) financial impacts. Following a
process similar to that used in
developing the Plan, CMS will analyze
this information by individual IPPS
hospital, by segment of the hospital
industry (that is, geographic location,
size, teaching status, among others), and
in aggregate for all IPPS hospitals.
The results of VBP Plan testing will be
used to further develop the Plan.
Priorities for Plan completion include
addressing the small numbers issue
(described on pages 74 and 75 of the
Hospital VBP Plan Report to Congress)
and developing a scoring methodology
for the outcomes domain (pages 57–58
of the Hospital VBP Plan Report to
Congress), which will become an
additional aspect of the performance
model. After completion, the Plan will
be retested.
We are seeking public comments on
how to take full advantage of the new
information generated through this
testing and further Plan development.
For example: Should the testing and
retesting results be publicly posted? If
the testing results were to be posted,
would the best location be the Hospital
Compare Web site or the CMS Web site
at: https://www.cms.hhs.gov? In what
format would public posting be most
useful to potential audiences? At what
level would the data be posted—
individual hospital or some higher
level? Which data elements from the
testing results would be most useful to
share?
D. Sole Community Hospitals (SCHs)
and Medicare-Dependent, Small Rural
Hospitals (MDHs): Volume Decrease
Adjustment (§§ 412.92 and 412.108)
1. Background
Under the IPPS, special payment
protections are provided to a sole
community hospital (SCH). Section
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1886(d)(5)(D)(iii) of the Act defines an
SCH as a hospital that, by reason of
factors such as isolated location,
weather conditions, travel conditions,
absence of other like hospitals (as
determined by the Secretary), or
historical designation by the Secretary
as an essential access community
hospital, is the sole source of inpatient
hospital services reasonably available to
Medicare beneficiaries. The regulations
that set forth the criteria that a hospital
must meet to be classified as an SCH are
located in 42 CFR 412.92 of the
regulations.
Under the IPPS, separate special
payment protections also are provided
to a Medicare-dependent, small rural
hospital (MDH). Section
1886(d)(5)(G)(iv) of the Act defines an
MDH as a hospital that is located in a
rural area, has not more than 100 beds,
is not an SCH, and has a high
percentage of Medicare discharges (not
less than 60 percent in its 1987 cost
reporting year or in 2 of its most recent
3 audited and settled Medicare cost
reporting years). The regulations that set
forth the criteria that a hospital must
meet to be classified as an MDH are
located in 42 CFR 412.108.
Although SCHs and MDHs are paid
under special payment methodologies,
they are hospitals that are paid under
section 1886(d) of the Act. Like all IPPS
hospitals paid under section 1886(d) of
the Act, SCHs and MDHs are paid for
their discharges based on the DRG
weights calculated under section
1886(d)(4) of the Act.
Effective with hospital cost reporting
periods beginning on or after October 1,
2000, section 1886(d)(5)(D)(i) of the Act
(as amended by section 6003(e) of Pub.
L. 101–239) and section 1886(b)(3)(I) of
the Act (as added by section 405 of Pub.
L. 106–113 and further amended by
section 213 of Pub. L. 106–554), provide
that SCHs are paid based on whichever
of the following rates yields the greatest
aggregate payment to the hospital for the
cost reporting period:
• The Federal rate applicable to the
hospital;
• The updated hospital-specific rate
based on FY 1982 costs per discharge;
• The updated hospital-specific rate
based on FY 1987 costs per discharge;
or
• The updated hospital-specific rate
based on FY 1996 costs per discharge.
For purposes of payment to SCHs for
which the FY 1996 hospital-specific rate
yields the greatest aggregate payment,
payments for discharges during FYs
2001, 2002, and 2003 were based on a
blend of the FY 1996 hospital-specific
rate and the greater of the Federal rate
or the updated FY 1982 or FY 1987
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hospital-specific rate. For discharges
during FY 2004 and subsequent fiscal
years, payments based on the FY 1996
hospital-specific rate are 100 percent of
the updated FY 1996 hospital-specific
rate.
Through and including FY 2006,
under section 1886(d)(5)(G) of the Act,
MDHs are paid based on the Federal rate
or, if higher, the Federal rate plus 50
percent of the difference between the
Federal rate and the updated hospitalspecific rate based on FY 1982 or FY
1987 costs per discharge, whichever is
higher. However, section 5003 of Pub. L.
109–171 (DRA) modified these rules for
discharges occurring on or after October
1, 2006. Section 5003(c) changed the 50
percent adjustment to 75 percent.
Section 5003(b) requires that an MDH
use the 2002 cost reporting year as its
base year (that is, the FY 2002 updated
hospital-specific rate), if that use results
in a higher payment. MDHs do not have
the option to use their FY 1996 hospitalspecific rate.
For each cost reporting period, the
fiscal intermediary/MAC determines
which of the payment options will yield
the highest aggregate payment. Interim
payments are automatically made at the
highest rate using the best data available
at the time the fiscal intermediary/MAC
makes the determination. However, it
may not be possible for the fiscal
intermediary/MAC to determine in
advance precisely which of the rates
will yield the highest aggregate payment
by year’s end. In many instances, it is
not possible to forecast the outlier
payments, the amount of the DSH
adjustment, or the IME adjustment, all
of which are applicable only to
payments based on the Federal rate and
not to payments based on the hospitalspecific rate. The fiscal intermediary/
MAC makes a final adjustment at the
close of the cost reporting period after
it determines precisely which of the
payment rates would yield the highest
aggregate payment to the hospital.
If a hospital disagrees with the fiscal
intermediary’s or MAC’s determination
regarding the final amount of program
payment to which it is entitled, it has
the right to appeal the fiscal
intermediary’s or MAC’s decision in
accordance with the procedures set
forth in 42 CFR Part 405, Subpart R,
which concern provider payment
determinations and appeals.
2. Volume Decrease Adjustment for
SCHs and MDHs: Data Sources for
Determining Core Staff Values
Section 1886(d)(5)(D)(ii) of the Act
requires that the Secretary make a
payment adjustment to an SCH that
experiences a decrease of more than 5
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percent in its total number of inpatient
discharges from one cost reporting
period to the next, if the circumstances
leading to the decline in discharges
were beyond the SCH’s control. Section
1886(d)(5)(G)(iii) of the Act requires that
the Secretary make a payment
adjustment to an MDH that experiences
a decrease of more than 5 percent in its
total number of inpatient discharges
from one cost reporting period to the
next, if the circumstances leading to the
decline in discharges were beyond the
MDH’s control. These adjustments were
designed to compensate an SCH or MDH
for the fixed costs it incurs in the year
in which the reduction in discharges
occurred, which it may be unable to
reduce. Such costs include the
maintenance of necessary core staff and
services. Our records indicate that less
than 10 SCHs/MDHs request and receive
this payment adjustment each year.
We believe that not all staff costs can
be considered fixed costs. Using a
standardized formula specified by us,
the SCH or MDH must demonstrate that
it appropriately adjusted the number of
staff in inpatient areas of the hospital
based on the decrease in the number of
inpatient days. This formula examines
nursing staff in particular. If an SCH or
MDH has an excess number of nursing
staff, the cost of maintaining those staff
members is deducted from the total
adjustment. One exception to this policy
is that no SCH or MDH may reduce its
number of staff to a level below what is
required by State or local law. In other
words, an SCH or MDH will not be
penalized for maintaining a level of staff
that is consistent with State or local
requirements.
The process for determining the
amount of the volume decrease
adjustment can be found in Section
2810.1 of the Provider Reimbursement
Manual, Part 1 (PRM–1). Fiscal
intermediaries/MACs are responsible for
establishing whether an SCH or MDH is
eligible for a volume decrease
adjustment and, if so, the amount of the
adjustment. To qualify for this
adjustment, the SCH or MDH must
demonstrate that: (a) a decrease of more
than 5 percent in total number of
inpatient discharges has occurred; and
(b) the circumstance that caused the
decrease in discharges was beyond the
control of the hospital. Once the fiscal
intermediary/MAC has established that
the SCH or MDH satisfies these two
requirements, it will calculate the
adjustment. The adjustment amount is
determined by subtracting the second
year’s DRG payment from the lesser of:
(a) the second year’s costs minus any
adjustment for excess staff; or (b) the
previous year’s costs multiplied by the
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appropriate IPPS update factor minus
any adjustment for excess staff. The
SCH or MDH receives the difference in
a lump-sum payment.
In order to determine whether or not
the hospital’s nurse staffing level is
appropriate, the fiscal intermediary/
MAC compares the hospital’s actual
number of nursing staff in each area
with the staffing of like-size hospitals in
the same census region. If a hospital
employs more than the reported average
number of nurses for hospitals of its size
and census region, the fiscal
intermediary/MAC reduces the amount
of the adjustment by the cost of
maintaining the additional staff. The
amount of the reduction is calculated by
multiplying the actual number of
nursing staff above the reported average
by the average nurse salary for that
hospital as reported on the Medicare
cost report. The complete process for
determining the amount of the
adjustment can be found at Section
2810.1 of the PRM–1.
Prior to FY 2007, our policy was for
fiscal intermediaries/MACs to obtain
average nurse staffing data from the
AHA HAS/Monitrend Data Book.
However, in light of concerns that the
Data Book had been published in 1989
and is no longer updated, in the FY
2007 IPPS rule, we proposed and
finalized our policy to update the data
sources and methodology used to
determine the core staffing factors (that
is, the average nursing staff for similar
bed size and census region) for purposes
of calculating the volume decrease
adjustment (71 FR 48056 through
48060). We specified that for adjustment
requests for decreases in discharges
beginning with FY 2007 (that is, a
decrease in discharges in 2007 as
compared to 2006), an SCH or MDH
could opt to use one of two data
sources: the AHA Annual Survey or the
Occupational Mix Survey, but could not
use the HAS/Monitrend Data Book. (For
any open adjustment requests prior to
FY 2007, we allowed SCHs and MDHs
the option of using the results of any of
three sources: (1) The 2006
Occupational Mix Survey for cost
reporting periods beginning in FY 2006;
(2) the AHA Annual Survey (where
available); or (3) the AHA HAS/
Monitrend Data Book. We also specified
a methodology for calculating those core
staffing factors. For purposes of
explaining the methodology, we applied
it to the 2003 Occupational Mix Survey
data. In our explanation, we recognized
that some of the 2003 data seemed
anomalous, and we solicited comments
on a possible alternative methodology.
However, there were no suggested
alternative methodologies from the
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commenters. We also explained that,
while we used the 2003 Occupational
Mix Survey data ‘‘for purposes of
describing how we would implement
this methodology,’’ the final policy was
to use FY 2006 Occupational Mix
Survey data going forward. At the time
we published the proposed and final
rules, however, we had not yet
processed the FY 2006 data, and could
not present the core staffing figures that
resulted from such data.
We have now processed the 2006
Occupational Mix Survey data using the
methodology specified in the FY 2007
IPPS final rule and continue to see some
results that cause us to believe that the
methodology for calculating the core
staffing factors should be slightly
revised from the methodology discussed
in the FY 2007 IPPS final rule (71 FR
48056 through 48060). The new
methodology uses a revised formula to
remove outliers from the core staffing
values.
a. Occupational Mix Survey
In the FY 2007 IPPS final rule (71 FR
48055), we explained the methodology
we would use for calculating core
staffing values from the Occupational
Mix Survey. We stated that we would
calculate the nursing hours per patient
day for each SCH or MDH by dividing
the number of paid nursing hours (for
registered nurses, licensed practical
nurses and nursing aides) reported on
the Occupational Mix Survey by the
number of patients days reported on the
Medicare cost report. The results would
be grouped in the same bed-size groups
and census regions as were used in the
HAS/Monitrend Data Book.
We indicated that we would publish
the mean number of nursing hours per
patient day, for each census region and
bed-size group, in the Federal Register
and on the CMS Web site. For purposes
of the volume decrease adjustment, the
published data would be utilized in the
same way as the HAS/Monitrend data:
The fiscal intermediary/MAC would
multiply the SCH’s and MDH’s number
of patient days by the applicable
published hours per patient day. This
figure would be divided by the average
number of worked hours per year per
nurse (for example, 2,080 for a standard
40-hour week). The result would be the
target number of core nursing staff for
the particular SCH or MDH. If
necessary, the cost of any excess staff
(number of FTEs that exceed the
published number) would be removed
from the second year’s costs or, if
applicable, the previous year’s costs
multiplied by the IPPS update factor
when determining the volume decrease
adjustment.
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In the FY 2007 IPPS final rule (71 FY
48057), we stated that we would use the
results of the FY 2006 Occupational Mix
Survey and begin applying the
methodology for adjustments resulting
from a decrease in discharges in FY
2007. Because the occupational mix
survey is conducted once every 3 years,
we would update the data set every 3
years. However, at the time of the FY
2007 IPPS final rule, the FY 2006
Occupational Mix Survey data were not
available. In that final rule, we
described our methodology using the FY
2003 occupational mix data and the FY
2003 Medicare cost report file. However,
these data were used only in order to
present an example of how our
methodology would work. Our final
policy was to use FY 2006 occupational
mix and cost report data when actually
processing adjustment requests.
In the FY 2007 IPPS final rule, to
illustrate how we would calculate the
average number of nursing hours per
patient day by bed size and region, we
first merged the FY 2003 Occupational
Mix Survey data with the FY 2003
Medicare cost report file. We eliminated
all observations for non-IPPS providers,
providers who failed to complete the
occupational mix survey and the
providers for which provider numbers,
bed counts, and/or days counts were
missing.
For each provider in the pool, we
calculated the number of nursing hours
by adding the number of registered
nurses, licensed practical nurses, and
nursing aide hours reported on the
Occupational Mix Survey. We divided
the result of this calculation by the total
number of inpatient days reported on
the cost report to determine the number
of nursing hours per patient day. For
purposes of calculating the census
regional averages for the various bedsize groups, we finalized our rule to
only include observations that fell
within three standard deviations of the
mean of all observations, thus removing
potential outliers in the data.
When the FY 2006 Occupational Mix
Survey data became available, our
analysis of the results indicated that the
methodology for computing core staffing
factors should be further revised in
order to further eliminate outlier data.
After consulting with the Office of the
Actuary on appropriate statistical
methods to remove outlier data, we are
proposing to modify our methodology
for calculating the average nursing
hours per patient day using the FY 2006
Occupational Mix Survey data and FY
2006 Medicare cost report data. Similar
to what was finalized in the FY 2007
IPPS rule, we are proposing to merge the
FY 2006 Occupational Mix Survey data
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23663
with the FY 2006 Medicare cost report
file. We would then eliminate all
observations for non-IPPS providers,
providers who failed to complete the
occupational mix survey and the
providers for which provider numbers,
bed counts and/or days counts were
missing. We would annualize the results
so that the nursing hours from the
Occupational Mix Survey and the
patient days reported on the Medicare
cost report is representative of one year.
For each provider in the pool, we
would calculate the number of nursing
hours by adding the number of
registered nurses, licensed practical
nurses, and nursing aide hours reported
on the Occupational Mix Survey. We
would divide the result of this
calculation by the total number of
patient days reported on line 12 on
Worksheet S–3, Part I, Column 6 of the
Medicare cost report. This includes
patient days in the general acute care
area and the intensive care unit area.
The result is the number of nursing
hours per patient day.
For purposes of calculating the census
regional averages for the various bedsize groups, we are proposing a different
method to remove outliers in the data.
First, we would calculate the difference
between the observations in the 75th
percentile and the 25th percentile,
which is the inter-quartile range. We
would remove observations that are
greater than the 75th percentile plus 1.5
times the inter-quartile range and less
than the 25th percentile minus 1.5 times
the inter-quartile range. This
methodology, known as the Tukey
method, is a common statistical method
used by the Office of the Actuary. Under
the standard deviation method
described in the FY 2007 IPPS final
rule, the mean and standard deviation
can be influenced by extreme values
(because the standard deviation is
increased by the very observations that
would otherwise be discarded from the
analysis). Our proposed methodology is
a more robust technique because it uses
the quartile values instead of variance to
describe the spread of the data, and
quartiles are less influenced by extreme
outlier values that may be present in the
data.
Our proposed method would prevent
the mean from being influenced by
extreme observations and assumes that
the middle 50 percent of the data has no
outlier observations. The application of
this methodology would result in a pool
of approximately 2,578 providers. Each
census region and bed group category
required at least three providers in order
for their average to be published. The
results of the average nursing hours per
patient day by bed size and region using
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the FY 2006 Occupational Mix Survey
Data and the FY 2006 hospital cost
report data are shown in the table
below. As stated in the FY 2007 IPPS
final rule (71 FR 48059), the results of
the FY 2006 Occupational Mix Survey
may be used for the volume decrease
adjustment calculations for decreases in
discharges beginning with cost reporting
periods beginning in FYs 2006, 2007,
and 2008.
PAID NURSING HOURS PER PATIENT DAY
Census Region
Number of beds
New
England
Middle
Atlantic
South
Atlantic
East North
Central
East South
Central
West North
Central
West
South
Central
Mountain
Pacific
(1)
(2)
(3)
(4)
(5)
(6)
(7)
(8)
(9)
0–49 ...........................
50–99 .........................
100–199 .....................
200–399 .....................
400+ ...........................
25.47
20.99
18.12
16.92
17.52
20.60
18.51
16.31
13.80
14.43
b. AHA Annual Survey
In the FY 2007 IPPS final rule (71 FR
48058), we also allowed SCHs or MDHs
that experienced a greater than 5
percent reduction in the number of
discharges in a cost reporting period the
option of using the AHA Annual Survey
results, where available, to compare the
number of hospital’s core staff with
other like-sized hospitals in its
geographic area. Our methodology for
calculating the nursing hours per
patient day using the AHA Annual
Survey data and the Medicare hospital
cost report was similar to the
methodology using the Occupational
Mix Survey data (eliminating outliers
outside of three standard deviations
from the mean). For this reason, as with
the occupational mix data, both
standard deviations and the mean could
be influenced by extreme values.
Therefore, we are proposing to refine
our methodology to calculate the core
staffing factors using the AHA Annual
Survey data as well. The AHA Annual
Survey contains FTE counts for
registered nurses, practical and
vocational nurses, nursing assistive
personnel, and other personnel in both
inpatient and outpatient areas of the
hospital. This is consistent with the
Occupational Mix Survey which
collects data on both the inpatient and
outpatient areas of the hospital.
21.08
20.36
17.31
16.23
16.68
24.52
23.44
18.87
17.79
18.41
20.27
19.00
17.43
16.06
14.14
25.92
22.44
19.50
18.66
16.90
In the FY 2007 IPPS final rule, we
stated we would calculate the nursing
hours per patient day using the AHA
Annual Survey data in a similar method
to the Occupational Mix Survey.
Consistent with the HAS/Monitrend
Data book, we would only calculate the
average number of nursing staff for a
bed-size/census group if there are data
available for three or more hospitals.
First, we would merge the AHA Annual
Survey Data with the corresponding
Medicare cost report. We would
eliminate all observations for non-IPPS
providers, providers with hospital-based
SNFs, and the providers for which
provider numbers, bed counts, and/or
days counts were missing. We would
multiply the number of nurse, licensed
practical nurse, and nursing aide FTEs
reported on the AHA Annual Survey by
2,080 hours to derive the number of
nursing hours per year (based on a 40hour work week). We would then divide
this number by the total number of
patient days reported on line 12 on
Worksheet S–3, Part I, Column 6 of the
Medicare cost report. In the FY 2007
IPPS final rule (71 FR 48060), we had
stated that we would eliminate all
providers with results beyond three
standard deviations from the mean.
However, to be consistent with our
methodology with the Occupational Mix
Survey data, we are also proposing that
we would remove outliers from the
AHA Annual Survey data by calculating
22.16
20.44
17.01
14.56
16.25
24.52
22.54
18.70
16.82
15.50
20.99
18.89
16.25
16.63
18.15
the difference between the observations
in the 75th percentile and the 25th
percentile, which is the inter-quartile
range. Then, we are proposing to
remove observations that are greater
than the 75th percentile plus 1.5 times
the inter-quartile range and less than the
25th percentile minus 1.5 times the
inter-quartile range. After removing the
outliers, we would group the hospitals
by bed size and census area to calculate
the average number of nursing hours per
patient day for each category. Using the
2006 AHA Annual Survey data as an
example, this would result in a pool of
approximately 1,205 providers. The
results of the nursing hours per patient
day using the 2006 AHA Annual Survey
data and the Medicare cost report data
are shown below. The 2006 Survey
would be used for the volume decrease
adjustment calculations for decreases in
discharges occurring during cost
reporting periods beginning in FY 2006.
As we stated in the FY 2007 IPPS final
rule, for other years, the corresponding
AHA Annual Survey would be used for
the year in which the decreased
occurred. For example, if a hospital
experienced a decrease between its 2004
and 2005 cost reporting periods, the
fiscal intermediary/MAC would
compare the hospital’s 2005 staffing
with the results of the 2005 AHA
Annual Survey, using the methodology
discussed above.
PAID NURSING HOURS PER PATIENT DAY
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Census Region
Number of beds
New
England
Middle
Atlantic
South
Atlantic
East North
Central
East South
Central
West North
Central
West
South
Central
Mountain
Pacific
(1)
(2)
(3)
(4)
(5)
(6)
(7)
(8)
(9)
0–49 ...........................
50–99 .........................
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23.42
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23.48
19.40
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21.77
20.69
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26.12
23.47
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17.25
22.06
24.75
23.28
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19.28
24.50
19.91
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PAID NURSING HOURS PER PATIENT DAY—Continued
Census Region
Number of beds
New
England
Middle
Atlantic
South
Atlantic
East North
Central
East South
Central
West North
Central
West
South
Central
Mountain
Pacific
(1)
(2)
(3)
(4)
(5)
(6)
(7)
(8)
(9)
100–199 .....................
200–399 .....................
400+ ...........................
18.89
18.89
18.98
17.46
14.96
16.66
E. Rural Referral Centers (RRCs)
(§ 412.96)
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Under the authority of section
1886(d)(5)(C)(i) of the Act, the
regulations at § 412.96 set forth the
criteria that a hospital must meet in
order to qualify under the IPPS as an
RRC. For discharges occurring before
October 1, 1994, RRCs received the
benefit of payment based on the other
urban standardized amount rather than
the rural standardized amount.
Although the other urban and rural
standardized amounts are the same for
discharges occurring on or after October
1, 1994, RRCs continue to receive
special treatment under both the DSH
payment adjustment and the criteria for
geographic reclassification.
Section 402 of Pub. L. 108–173 raised
the DSH adjustment for other rural
hospitals with less than 500 beds and
RRCs. Other rural hospitals with less
than 500 beds are subject to a 12-percent
cap on DSH payments. RRCs are not
subject to the 12-percent cap on DSH
payments that is applicable to other
rural hospitals (with the exception of
rural hospitals with 500 or more beds).
RRCs are not subject to the proximity
criteria when applying for geographic
reclassification, and they do not have to
meet the requirement that a hospital’s
average hourly wage must exceed the
average hourly wage of the labor market
area where the hospital is located by a
certain percentage (106/108 percent in
FY 2008).
Section 4202(b) of Pub. L. 105–33
states, in part, ‘‘[a]ny hospital classified
as an RRC by the Secretary * * * for
fiscal year 1991 shall be classified as
such an RRC for fiscal year 1998 and
each subsequent year.’’ In the August
29, 1997 final rule with comment period
(62 FR 45999), we reinstated RRC status
for all hospitals that lost the status due
18.43
15.75
17.39
20.08
17.02
21.59
19.64
15.07
16.47
to triennial review or MGCRB
reclassification, but did not reinstate the
status of hospitals that lost RRC status
because they were now urban for all
purposes because of the OMB
designation of their geographic area as
urban. However, subsequently, in the
August 1, 2000 final rule (65 FR 47089),
we indicated that we were revisiting
that decision. Specifically, we stated
that we would permit hospitals that
previously qualified as an RRC and lost
their status due to OMB redesignation of
the county in which they are located
from rural to urban to be reinstated as
an RRC. Otherwise, a hospital seeking
RRC status must satisfy the applicable
criteria. We used the definitions of
‘‘urban’’ and ‘‘rural’’ specified in
Subpart D of 42 CFR Part 412.
One of the criteria under which a
hospital may qualify as a RRC is to have
275 or more beds available for use
(§ 412.96(b)(1)(ii)). A rural hospital that
does not meet the bed size requirement
can qualify as an RRC if the hospital
meets two mandatory prerequisites (a
minimum CMI and a minimum number
of discharges), and at least one of three
optional criteria (relating to specialty
composition of medical staff, source of
inpatients, or referral volume)
(§ 412.96(c)(1) through (c)(5) and the
September 30, 1988 Federal Register (53
FR 38513)). With respect to the two
mandatory prerequisites, a hospital may
be classified as an RRC if—
• The hospital’s CMI is at least equal
to the lower of the median CMI for
urban hospitals in its census region,
excluding hospitals with approved
teaching programs, or the median CMI
for all urban hospitals nationally; and
• The hospital’s number of discharges
is at least 5,000 per year, or, if fewer, the
median number of discharges for urban
hospitals in the census region in which
the hospital is located. (The number of
20.23
19.81
17.71
19.02
15.85
15.06
1. Case-Mix Index
Section 412.96(c)(1) provides that
CMS establish updated national and
regional CMI values in each year’s
annual notice of prospective payment
rates for purposes of determining RRC
status. The methodology we used to
determine the national and regional CMI
values is set forth in the regulations at
§ 412.96(c)(1)(ii). The proposed national
median CMI value for FY 2009 includes
all urban hospitals nationwide, and the
proposed regional values for FY 2009
are the median CMI values of urban
hospitals within each census region,
excluding those hospitals with
approved teaching programs (that is,
those hospitals that train residents in an
approved GME program as provided in
§ 413.75). These values are based on
discharges occurring during FY 2007
(October 1, 2006 through September 30,
2007), and include bills posted to CMS’
records through December 2007.
We are proposing that, in addition to
meeting other criteria, if rural hospitals
with fewer than 275 beds are to qualify
for initial RRC status for cost reporting
periods beginning on or after October 1,
2008, they must have a CMI value for
FY 2007 that is at least—
• 1.4285; or
• The median CMI value (not
transfer-adjusted) for urban hospitals
(excluding hospitals with approved
teaching programs as identified in
§ 413.75) calculated by CMS for the
census region in which the hospital is
located.
The proposed median CMI values by
region are set forth in the following
table:
Case-mix
index value
1. New England (CT, ME, MA, NH, RI, VT) ....................................................................................................................................
2. Middle Atlantic (PA, NJ, NY) .......................................................................................................................................................
3. South Atlantic (DE, DC, FL, GA, MD, NC, SC, VA, WV) ...........................................................................................................
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18.01
21.11
discharges criterion for an osteopathic
hospital is at least 3,000 discharges per
year, as specified in section
1886(d)(5)(C)(i) of the Act.)
Region
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18.17
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1.2691
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Case-mix
index value
Region
4.
5.
6.
7.
8.
9.
East North Central (IL, IN, MI, OH, WI) ......................................................................................................................................
East South Central (AL, KY, MS, TN) .........................................................................................................................................
West North Central (IA, KS, MN, MO, NE, ND, SD) ..................................................................................................................
West South Central (AR, LA, OK, TX) ........................................................................................................................................
Mountain (AZ, CO, ID, MT, NV, NM, UT, WY) ...........................................................................................................................
Pacific (AK, CA, HI, OR, WA) .....................................................................................................................................................
The preceding numbers will be
revised in the FY 2009 IPPS final rule
to the extent required to reflect the
updated FY 2007 MEDPAR file, which
will contain data from additional bills
received through March 2008.
Hospitals seeking to qualify as RRCs
or those wishing to know how their CMI
value compares to the criteria should
obtain hospital-specific CMI values (not
transfer-adjusted) from their fiscal
intermediaries. Data are available on the
Provider Statistical and Reimbursement
(PS&R) System. In keeping with our
policy on discharges, these CMI values
are computed based on all Medicare
patient discharges subject to the IPPS
DRG-based payment.
2. Discharges
Section 412.96(c)(2)(i) provides that
CMS set forth the national and regional
numbers of discharges in each year’s
annual notice of prospective payment
rates for purposes of determining RRC
status. As specified in section
1886(d)(5)(C)(ii) of the Act, the national
standard is set at 5,000 discharges. We
are proposing to update the regional
standards based on discharges for urban
hospitals’ cost reporting periods that
began during FY 2006 (that is, October
1, 2005 through September 30, 2006),
which is the latest cost report data
available at the time this proposed rule
was developed.
Therefore, we are proposing that, in
addition to meeting other criteria, a
hospital, if it is to qualify for initial RRC
status for cost reporting periods
beginning on or after October 1, 2008,
must have as the number of discharges
for its cost reporting period that began
during FY 2006 a figure that is at least—
• 5,000 (3,000 for an osteopathic
hospital); or
• The median number of discharges
for urban hospitals in the census region
in which the hospital is located, as
indicated in the following table.
Number of
discharges
Region
1.
2.
3.
4.
5.
6.
7.
8.
9.
New England (CT, ME, MA, NH, RI, VT) ....................................................................................................................................
Middle Atlantic (PA, NJ, NY) .......................................................................................................................................................
South Atlantic (DE, DC, FL, GA, MD, NC, SC, VA, WV) ...........................................................................................................
East North Central (IL, IN, MI, OH, WI) ......................................................................................................................................
East South Central (AL, KY, MS, TN) .........................................................................................................................................
West North Central (IA, KS, MN, MO, NE, ND, SD) ..................................................................................................................
West South Central (AR, LA, OK, TX) ........................................................................................................................................
Mountain (AZ, CO, ID, MT, NV, NM, UT, WY) ...........................................................................................................................
Pacific (AK, CA, HI, OR, WA) .....................................................................................................................................................
These numbers will be revised in the
FY 2009 IPPS final rule based on the
latest available cost reports.
We note that the median number of
discharges for hospitals in each census
region is greater than the national
standard of 5,000 discharges. Therefore,
5,000 discharges is the minimum
criterion for all hospitals.
We reiterate that, if an osteopathic
hospital is to qualify for RRC status for
cost reporting periods beginning on or
after October 1, 2008, the hospital
would be required to have at least 3,000
discharges for its cost reporting period
that began during FY 2005.
F. Indirect Medical Education (IME)
Adjustment (§ 412.105)
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1. Background
Section 1886(d)(5)(B) of the Act
provides for an additional payment
amount under the IPPS for hospitals
that have residents in an approved
graduate medical education (GME)
program in order to reflect the higher
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indirect patient care costs of teaching
hospitals relative to nonteaching
hospitals. The regulations regarding the
calculation of this additional payment,
known as the indirect medical
education (IME) adjustment, are located
at § 412.105.
The Balanced Budget Act of 1997
(Pub. L. 105–33) established a limit on
the number of allopathic and
osteopathic residents that a hospital
may include in its full-time equivalent
(FTE) resident count for direct GME and
IME payment purposes. Under section
1886(h)(4)(F) of the Act, for cost
reporting periods beginning on or after
October 1, 1997, a hospital’s
unweighted FTE count of residents for
purposes of direct GME may not exceed
the hospital’s unweighted FTE count for
its most recent cost reporting period
ending on or before December 31, 1996.
Under section 1886(d)(5)(B)(v) of the
Act, a similar limit on the FTE resident
count for IME purposes is effective for
discharges occurring on or after October
1, 1997.
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1.3040
1.3557
1.4405
1.4692
1.3872
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8,158
10,443
10,344
8,900
7,401
7,988
5,816
9,919
8,600
2. IME Adjustment Factor for FY 2009
The IME adjustment to the MS–DRG
payment is based in part on the
applicable IME adjustment factor. The
IME adjustment factor is calculated by
using a hospital’s ratio of residents to
beds, which is represented as r, and a
formula multiplier, which is
represented as c, in the following
equation: c x [{1 + r} .405 ¥ 1]. The
formula is traditionally described in
terms of a certain percentage increase in
payment for every 10-percent increase
in the resident-to-bed ratio.
Section 502(a) of Pub. L. 108–173
modified the formula multiplier (c) to be
used in the calculation of the IME
adjustment. Prior to the enactment of
Pub. L. 108–173, the formula multiplier
was fixed at 1.35 for discharges
occurring during FY 2003 and
thereafter. In the FY 2005 IPPS final
rule, we announced the schedule of
formula multipliers to be used in the
calculation of the IME adjustment and
incorporated the schedule in our
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regulations at § 412.105(d)(3)(viii)
through (d)(3)(xii). Section 502(a)
modifies the formula multiplier
beginning midway through FY 2004 and
provides for a new schedule of formula
multipliers for FYs 2005 and thereafter
as follows:
• For discharges occurring on or after
April 1, 2004, and before October 1,
2004, the formula multiplier is 1.47.
• For discharges occurring during FY
2005, the formula multiplier is 1.42.
• For discharges occurring during FY
2006, the formula multiplier is 1.37.
• For discharges occurring during FY
2007, the formula multiplier is 1.32.
• For discharges occurring during FY
2008 and fiscal years thereafter, the
formula multiplier is 1.35.
Accordingly, for discharges occurring
during FY 2009, the formula multiplier
would be 1.35. We estimate that
application of this formula multiplier
for FY 2009 IME adjustment will result
in an increase in IME payment of 5.5
percent for every approximately 10percent increase in the hospital’s
resident-to-bed ratio.
G. Medicare GME Affiliation Provisions
for Teaching Hospitals in Certain
Emergency Situations; Technical
Correction (§ 413.79(f)(6)(iv))
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1. Background
Under section 1886(h) of the Act, as
amended by section 9202 of the
Consolidated Omnibus Budget
Reconciliation Act (COBRA) of 1985
(Pub. L. 99–272), the Secretary is
authorized to make payments to
hospitals for the direct costs of
approved GME programs. Section
1886(d)(5)(B) of the Act provides that
prospective payment acute care
hospitals that have residents in an
approved GME program receive an
additional payment for a Medicare
discharge to reflect the higher patient
care costs of teaching hospitals, that is,
IME costs. Sections 1886(h)(4)(F) and
1886(d)(5)(B)(v) of the Act establish
limits on the number of allopathic and
osteopathic residents that hospitals may
count for purposes of calculating direct
GME payments and the IME adjustment,
respectively, establishing hospitalspecific direct GME and IME FTE
resident caps. Under the authority
granted by section 1886(h)(4)(H)(ii) of
the Act, the Secretary issued rules to
allow institutions that are members of
the same affiliated group to apply their
direct GME and IME FTE resident caps
on an aggregate basis through a
Medicare GME affiliation agreement.
The Medicare regulations at §§ 413.75
and 413.76 permit hospitals, through a
Medicare GME affiliation agreement, to
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adjust IME and direct GME FTE resident
caps to reflect the rotation of residents
among affiliated hospitals.
In response to circumstances in the
aftermath of Hurricanes Katrina and
Rita, we supplemented regulations in
the April 12, 2006 interim final rule
with comment period published in the
Federal Register (71 FR 18654). The
regulatory changes allowed certain
hospitals to engage in emergency
Medicare GME affiliations so that
Medicare funding for GME is
maintained while there are displaced
residents training at various host
hospitals even as the hurricane-affected
hospitals are rebuilding their training
programs. The modifications to the
regulations at § 413.75(b) and § 413.76(f)
provided flexibility for home hospitals
whose residency programs have been
disrupted due to an emergency to enter
into emergency Medicare GME
affiliation agreements with host
hospitals where the hospitals may not
otherwise meet the regulatory
requirements to form Medicare GME
affiliations. (We note that on November
27, 2007, we issued a second interim
final rule with comment period
providing further flexibility relating to
emergency Medicare GME affiliation
agreements (72 FR 66893 through
66898). We expect to address the public
comments received on both interim
final rules with comment period and
finalize our policies in the FY 2009 IPPS
final rule scheduled to be published in
August 2008.)
2. Technical Correction
In the April 12, 2006 interim final
rule, we revised § 413.79(f) by adding a
new paragraph (6) to provide for more
flexibility in Medicare GME affiliations
for home hospitals located in section
1135 emergency areas to allow the home
hospitals to efficiently find training sites
for displaced residents. We have
discovered that, under § 413.79(f)(6)(iv),
in our provisions on the host hospital
exception from the rolling average for
the period from August 29, 2005 to June
30, 2006, we included an incorrect
cross-reference to the rolling average
requirements for direct GME as
‘‘§ 413.75(d).’’ The correct citation to the
rolling average requirements for direct
GME is § 413.79(d). We are proposing to
correct the cross-reference under
§ 413.79(f)(6)(iv) to read ‘‘paragraph (d)
of this section’’.
H. Payments to Medicare Advantage
Organizations: Collection of Risk
Adjustment Data (§ 422.310)
Section 1853 of the Act requires CMS
to make advance monthly payments to
a Medicare Advantage (MA)
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organization for each beneficiary
enrolled in an MA plan offered by the
organization for coverage of Medicare
Part A and Part B benefits. Section
1853(a)(1)(C) of the Act requires CMS to
adjust the monthly payment amount for
each enrollee to take into account the
health status of the MA plan’s enrollees.
Under the CMS-Hierarchical Condition
Category (HCC) risk adjustment
payment methodology, CMS determines
risk scores for MA enrollees for a year
and adjusts the monthly payment
amount using the appropriate enrollee
risk score.
Under section 1853(a)(3)(B) of the
Act, MA organizations are required to
‘‘submit data regarding inpatient
hospital services . . . and data
regarding other services and other
information as the Secretary deems
necessary’’ in order to implement a
methodology for ‘‘risk adjusting’’
payments made to MA organizations.
Risk adjustments to payments are made
in order to take into account ‘‘variations
in per capita costs based on [the] health
status’’ of the Medicare beneficiaries
enrolled in an MA plan offered by the
organization. Submission of data on
inpatient hospital services has been
required with respect to services
beginning on or after July 1, 1997.
Submission of data on other services has
been required since July 1, 1998.
While we initially required the
submission of comprehensive data
regarding services provided by MA
organizations, including comprehensive
inpatient hospital encounter data, we
subsequently permitted MA
organizations to submit an
‘‘abbreviated’’ set of data. Our
regulations at 42 CFR 422.310(d)(1)
currently explicitly provide MA
organizations with the option of
submitting an abbreviated data set.
Under this provision, we currently
collect limited risk adjustment data
from MA organizations, primarily
diagnosis data.
From calendar years 2000 through
2006, application of risk adjustment to
MA payments was ‘‘phased in’’ with an
increasing percentage of the monthly
capitation payment subjected to risk
adjustment. Beginning with calendar
year 2007, 100 percent of payments to
MA organizations are risk-adjusted.
Given the increased importance of the
accuracy of our risk adjustment
methodology, we are proposing to
amend § 422.310 to provide that CMS
will collect data from MA organizations
regarding each item and service
provided to an MA plan enrollee. This
will allow us to include utilization data
and other factors that CMS can use in
developing the CMS–HCC risk
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adjustment models in order to reflect
patterns of diagnoses and expenditures
in the MA program.
Specifically, we are proposing to
revise § 422.310(a) to clarify that risk
adjustment data are data used not only
in the application of risk adjustment to
MA payments, but also in the
development of risk adjustment models.
For example, once encounter data for
MA enrollees are available, CMS would
have beneficiary-specific information on
the utilization of services by MA plan
enrollees. These data could be used to
calibrate the CMS–HCC risk adjustment
models using MA patterns of diagnoses
and expenditures.
We are proposing to revise
§§ 422.310(b), (c), (d)(3), and (g) to
clarify that the term ‘‘services’’ includes
items and services.
We are proposing to revise
§ 422.310(d) to clarify that CMS has the
authority to require MA organizations to
submit encounter data for each item and
service provided to an MA plan
enrollee. The proposed revision also
would clarify that CMS will determine
the formats for submitting encounter
data, which may be more abbreviated
than those used for the fee-for-service
claims data submission process.
We are proposing to revise
§ 422.310(f) to clarify that one of the
‘‘other’’ purposes for which CMS may
use risk adjustment data collected under
this section would be to update risk
adjustment models with data from MA
enrollees. In addition, when providing
that CMS may use risk adjustment data
for purposes other than adjusting
payments as described at §§ 422.304(a)
and (c), we are proposing to delete the
phrase ‘‘except for medical records
data’’ from paragraph (f). Any use of
medical records data collected under
paragraph (e) of § 422.310 is governed
by the Privacy Act and the privacy
provisions in the HIPAA. Furthermore,
there may be occasions when we learn
from analysis of medical record review
data that some organizations have
misunderstood our guidance on how to
implement an operational instruction.
We want to be able to provide improved
guidance to MA organizations based on
any insights that may emerge during
analysis of the medical record review
data.
In addition, we are proposing a
technical correction to § 422.310(f) to
clarify that risk adjustment data are
used not only to adjust payments to
plans described at §§ 422.301(a)(1),
(a)(2), and (a)(3) (which refer to
coordinated care plans and private feefor-service plans), but also to adjust
payments for ESRD enrollees and
payments to MSA plans and Religious
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Fraternal Benefit society plans, as
described at § 422.301(c).
Under § 422.310(g), we would
continue to provide that data that CMS
receives after the final deadline for a
payment year will not be accepted for
purposes of the reconciliation. However,
we are proposing to revise paragraph
(g)(2) of § 422.310 to change the
deadline from ‘‘December 31’’ of the
payment year to ‘‘January 31’’ of the
year following the payment year. We are
also proposing to add language to
provide that CMS may adjust deadlines
as appropriate.
I. Hospital Emergency Services under
EMTALA (§ 489.24)
1. Background
Sections 1866(a)(1)(I), 1866(a)(1)(N),
and 1867 of the Act impose specific
obligations on certain Medicareparticipating hospitals and CAHs.
(Throughout this section of this
proposed rule, when we reference the
obligation of a ‘‘hospital’’ under these
sections of the Act and in our
regulations, we mean to include CAHs
as well.) These obligations concern
individuals who come to a hospital
emergency department and request
examination or treatment for a medical
condition, and apply to all of these
individuals, regardless of whether they
are beneficiaries of any program under
the Act.
The statutory provisions cited above
are frequently referred to as the
Emergency Medical Treatment and
Labor Act (EMTALA), also known as the
patient antidumping statute. EMTALA
was passed in 1986 as part of the
Consolidated Omnibus Budget
Reconciliation Act of 1985 (COBRA),
Pub. L. 99–272. Congress incorporated
these antidumping provisions within
the Social Security Act to ensure that
individuals with emergency medical
conditions are not denied essential
lifesaving services. Under section
1866(a)(1)(I)(i) of the Act, a hospital that
fails to fulfill its EMTALA obligations
under these provisions may be subject
to termination of its Medicare provider
agreement, which would result in loss
of all Medicare and Medicaid payments.
Section 1867 of the Act sets forth
requirements for medical screening
examinations for individuals who come
to the hospital and request examination
or treatment for a medical condition.
The section further provides that if a
hospital finds that such an individual
has an emergency medical condition, it
is obligated to provide that individual
with either necessary stabilizing
treatment or an appropriate transfer to
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another medical facility where
stabilization can occur.
The EMTALA statute also outlines the
obligation of hospitals to receive
appropriate transfers from other
hospitals. Section 1867(g) of the Act
states that a participating hospital that
has specialized capabilities or facilities
(such as burn units, shock-trauma units,
neonatal intensive care units, or, with
respect to rural areas, regional referral
centers as identified by the Secretary in
regulation) shall not refuse to accept an
appropriate transfer of an individual
who requires these specialized
capabilities or facilities if the hospital
has the capacity to treat the individual.
The regulations implementing section
1867 of the Act are found at 42 CFR
489.24. The regulations at 42 CFR
489.20(l), (m), (q), and (r) also refer to
certain EMTALA requirements. The
Interpretive Guidelines concerning
EMTALA are found at Appendix V of
the CMS State Operations Manual.
2. EMTALA Technical Advisory
Group (TAG) Recommendations
Section 945 of the Medicare
Prescription Drug, Improvement, and
Modernization Act of 2003 (MMA), Pub.
L. 108–173, required the Secretary to
establish a Technical Advisory Group
(TAG) to advise the Secretary on issues
related to the regulations and
implementation of EMTALA. The MMA
specified that the EMTALA TAG be
composed of 19 members, including the
Administrator of CMS, the Inspector
General of HHS, hospital representatives
and physicians representing specific
specialties, patient representatives, and
representatives of organizations
involved in EMTALA enforcement.
The EMTALA TAG’s functions, as
identified in the charter for the
EMTALA TAG, were as follows: (1)
Review EMTALA regulations; (2)
provide advice and recommendations to
the Secretary concerning these
regulations and their application to
hospitals and physicians; (3) solicit
comments and recommendations from
hospitals, physicians, and the public
regarding the implementation of such
regulations; and (4) disseminate
information concerning the application
of these regulations to hospitals,
physicians, and the public. The TAG
met 7 times during its 30-month term,
which ended on September 30, 2007. At
its meetings, the TAG heard testimony
from representatives of physician
groups, hospital associations, and others
regarding EMTALA issues and
concerns. During each meeting, the
three subcommittees established by the
TAG (the On-Call Subcommittee, the
Action Subcommittee, and the
Framework Subcommittee) developed
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recommendations, which were then
discussed and voted on by members of
the TAG. In total, the TAG submitted 55
recommendations to the Secretary. If
implemented, some of the
recommendations would require
regulatory changes. Of the 55
recommendations developed by the
TAG, 5 have already been implemented
by CMS. A complete list of TAG
recommendations will be available
shortly in the Emergency Medical
Treatment and Labor Act Technical
Advisory Group final report available at
the Web site: https://www.cms.hhs.gov/
FACA/07_emtalatag.asp. The following
recommendations have already been
implemented by CMS:
• That CMS revise, in the EMTALA
regulations [42 CFR 489.24(b)], the
following sentence contained in the
definition of ‘‘labor’’: ‘‘A woman
experiencing contractions is in true
labor unless a physician certifies that,
after a reasonable time of observation,
the woman is in false labor.’’
This recommendation was adopted
with modification in the FY 2007 IPPS
final rule (71 FR 48143). We revised the
definition of ‘‘labor’’ in the regulations
at § 489.24(b) to permit a physician,
certified nurse-midwife, or other
qualified medical person, acting within
his or her scope of practice in
accordance with State law and hospital
bylaws, to certify that a woman is
experiencing false labor. We issued
Survey and Certification Letter S&C–06–
32 on September 29, 2006, to clarify the
regulation change. (The Survey and
Certification Letter can be found at the
following Web site: https://
www.cms.hhs.gov/
SurveyCertificationGenInfo/PMSR/
list.asp).
• That hospitals with specialized
capabilities (as defined in the EMTALA
regulations) that do not have a
dedicated emergency department be
bound by the same responsibilities
under EMTALA as hospitals with
specialized capabilities that do have a
dedicated emergency department.
This recommendation was adopted in
the FY 2007 IPPS final rule (71 FR
48143). We added language at
§ 489.24(f) that makes explicit the
current policy that all Medicareparticipating providers with specialized
capabilities are required to accept an
appropriate transfer if they have the
capacity to treat the individual. We
issued Survey and Certification Letter
S&C–06–32 on September 29, 2006, to
clarify the regulation change. (The
Survey and Certification Letter can be
found at the following Web site: https://
www.cms.hhs.gov/
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SurveyCertificationGenInfo/PMSR/
list.asp).
• That CMS clarify the intent of
regulations regarding obligations under
EMTALA to receive individuals who
arrive by ambulance. Specifically, the
TAG recommended that CMS revise a
letter of guidance that had been issued
by the agency to clarify its position on
the practice of delaying the transfer of
an individual from an emergency
medical service provider’s stretcher to a
bed in a hospital’s emergency
department.
This recommendation was adopted
with modification by CMS in Survey
and Certification Letter S&C–07–20,
which was released on April 27, 2007.
(The Survey and Certification Letter can
be found at the following Web site:
https://www.cms.hhs.gov/
SurveyCertificationGenInfo/PMSR/
list.asp).
• That CMS clarify that a hospital
may not refuse to accept an individual
appropriately transferred under
EMTALA on the grounds that it (the
receiving hospital) does not approve the
method of transfer arranged by the
attending physician at the sending
hospital (for example, a receiving
hospital may not require the sending
hospital to use an ambulance transport
designated by the receiving hospital). In
addition, CMS should improve its
communication of such clarifications
with its regional offices.
This recommendation was adopted
and implemented by CMS in Survey
and Certification Letter S&C–07–20,
which was released on April 27, 2007.
(The Survey and Certification Letter can
be found at the following Web site:
https://www.cms.hhs.gov/
SurveyCertificationGenInfo/PMSR/
list.asp).
• That CMS strike the language in the
Interpretive Guidelines (CMS State
Operations Manual, Appendix V) that
addresses telehealth/telemedicine
(relating to the regulations at
§ 489.24(j)(1)) and replace it with
language that clarifies that the treating
physician ultimately determines
whether an on-call physician should
come to the emergency department and
that the treating physician may use a
variety of methods to communicate with
the on-call physician. A potential
violation occurs only if the treating
physician requests that the on-call
physician come to the emergency
department and the on-call physician
refuses.
This recommendation was adopted
and implemented by CMS in Survey
and Certification Letter S&C–07–23,
which was released on June 22, 2007.
(The Survey and Certification Letter can
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23669
be found at the following Web site:
https://www.cms.hhs.gov/
SurveyCertificationGenInfo/PMSR/
list.asp).
We are considering the remaining
recommendations of the EMTALA TAG
and may address them through future
changes to or clarifications of the
existing regulations or the Interpretive
Guidelines, or both.
At the end of its term, the EMTALA
TAG compiled a final report to the
Secretary. This report includes, among
other materials, minutes from each TAG
meeting as well as a comprehensive list
of all of the TAG’s recommendations.
The final report will be available shortly
at the following Web site: https://
www.cms.hhs.gov/FACA/
07_emtalatag.asp.
3. Proposed Changes Relating to
Applicability of EMTALA Requirements
to Hospital Inpatients
While many issues pertaining to
EMTALA involve individuals
presenting to a hospital’s dedicated
emergency department, questions have
been raised regarding the applicability
of the EMTALA requirements to
inpatients. We have previously
discussed the applicability of the
EMTALA requirements to hospital
inpatients in both the May 9, 2002 IPPS
proposed rule (67 FR 31475) and the
September 9, 2003 stand alone final rule
on EMTALA (68 FR 53243). As we
stated in both of the aforementioned
rules, in 1999, the United States
Supreme Court considered a case
(Roberts v. Galen of Virginia, 525 U.S.
249 (1999)) that involved, in part, the
question of whether EMTALA applies to
inpatients in a hospital. In the context
of that case, the United States Solicitor
General advised the Court that HHS
would develop a regulation clarifying its
position on that issue. In the 2003 final
rule, CMS took the position that a
hospital’s obligation under EMTALA
ends when that hospital, in good faith,
admits an individual with an unstable
emergency medical condition as an
inpatient to that hospital. In that rule,
CMS noted that other patient safeguards
protected inpatients, including the CoPs
as well as State malpractice law.
However, in the 2003 final rule, CMS
did not directly address the question of
whether EMTALA’s ‘‘specialized care’’
requirements (section 1867(g) of the
Act) applied to inpatients.
As noted in section IV.I.2. of this
preamble, the EMTALA TAG has
developed a set of recommendations to
the Secretary. One of those
recommendations calls for CMS to
revise its regulations to address the
situation of an individual who: (1)
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Presents to a hospital that has a
dedicated emergency department and is
determined to have an unstabilized
emergency medical condition; (2) is
admitted to the hospital as an inpatient;
and (3) the hospital subsequently
determines that stabilizing the
individual’s emergency medical
condition requires specialized care only
available at another hospital.
We believe that the obligation of
EMTALA does not end for all hospitals
once an individual has been admitted as
an inpatient to the hospital where the
individual first presented with a
medical condition that was determined
to be an emergency medical condition.
Rather, once the individual is admitted,
admission only impacts on the
EMTALA obligation of the hospital
where the individual first presented.
(Throughout this section of the
preamble of this proposed rule, we will
refer to the hospital where the
individual first presented as the
‘‘admitting hospital.’’) Section 1867(g)
of the Act states: ‘‘Nondiscrimination—
A participating hospital that has
specialized capabilities or facilities
(such as burn units, shock-trauma units,
neonatal intensive care units, or (with
respect to rural areas) regional referral
centers as identified by the Secretary in
regulation) shall not refuse to accept an
appropriate transfer of an individual
who requires such specialized
capabilities or facilities if the hospital
has the capacity to treat the individual.’’
Section 1867(g) of the Act therefore
requires a receiving hospital with
specialized capabilities to accept a
request to transfer an individual with an
unstable emergency medical condition
as long as the hospital has the capacity
to treat that individual, regardless of
whether the individual had been an
inpatient at the admitting hospital.
Furthermore, in the September 9, 2003
final rule (68 FR 53263), we amended
the regulations at § 489.24(d)(2)(i) to
state: ‘‘If a hospital has screened an
individual under paragraph (a) of this
section and found the individual to
have an emergency medical condition,
and admits that individual in good faith
in order to stabilize the emergency
medical condition, the hospital has
satisfied its special responsibilities
under this section with respect to that
individual’’ (emphasis added). We did
not intend for the regulation to end the
EMTALA obligation for any other
hospital to which the individual may
appropriately be transferred to stabilize
his or her emergency medical condition.
Permitting inpatient admission at the
admitting hospital to end EMTALA
obligations for another hospital to
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which an unstabilized individual is
being appropriately transferred to
receive specialized care would
seemingly contradict the intent of
section 1867(g) of the Act to ensure that
hospitals with specialized capabilities
provide medical treatment to
individuals with emergency medical
conditions to stabilize their conditions.
We also note that, as we discussed in
the preamble of the September 9, 2003
stand alone final rule, once a hospital
has admitted an individual as an
inpatient, the individual is protected
under the Medicare CoPs and may also
have additional protections under State
law. Accordingly, we believe it is
consistent with the intent of EMTALA
to limit its protections to individuals
who need them most; for example,
individuals who present to a hospital
but may not have been formally
admitted as patients and thus are not
covered by other protections applicable
to inpatients of the hospital. As noted
above, once the individual is admitted,
the CoPs apply to the admitting
hospital’s care of that individual. A
hospital that fails to provide treatment
to such individuals could face
termination of its Medicare provider
agreement for a violation of the CoPs.
However, these CoPs do not, of course,
apply to a hospital with specialized
capabilities to which the individual
might be transferred unless and until
the individual is formally admitted as a
patient at that hospital. Therefore, in
order to ensure an individual the
protections intended by the EMTALA
statute, especially section 1867(g) of the
Act (obligating a hospital with
specialized capabilities to accept an
appropriately transferred individual if it
has the capacity to treat that individual),
we believe it is appropriate to propose
to clarify that section 1867(g) of the Act
continues to apply so as to protect even
an individual who has been admitted as
an inpatient to the admitting hospital
who has not been stable since becoming
an inpatient. We believe that this
proposed clarification is necessary to
ensure that EMTALA protections are
continued for individuals who are not
otherwise protected by the hospital
CoPs. (We note that this proposed
clarification is consistent with the
EMATLA TAG’s recommendation that
EMTALA does not apply when an
individual is admitted to the hospital
for an elective procedure and
subsequently develops an emergency
medical condition.)
We recognize that this proposed
clarification that EMTALA applies to a
hospital with specialized capabilities
when an inpatient (who presented to the
admitting hospital under EMTALA) is
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in need of specialized care to stabilize
his or her emergency medical condition
may raise concerns among the provider
community that such a clarification in
policy could hypothetically result in an
increase in the number of transfers.
However, the intention of this proposed
clarification is not to encourage patient
dumping to hospitals with specialized
capabilities. Rather, even if the hospital
with specialized capabilities has an
EMTALA obligation to accept an
individual who was an inpatient at the
admitting hospital, the admitting
hospital transferring the individual
should take all steps necessary to ensure
that it is providing needed treatment
within its capabilities prior to
transferring the individual. This means
that an individual with an unstabilized
emergency medical condition should be
transferred only when the capabilities of
the admitting hospital have been
exceeded.
Accordingly, we are proposing to
revise § 489.24(f) by adding to the
existing text a provision that specifies
that paragraph (f) also applies to an
individual who has been admitted
under paragraph (d)(2)(i) of the section
and who has not been stabilized.
While we are not including the
following in our proposed clarification,
we are seeking public comments on
whether the EMTALA obligation
imposed on hospitals with specialized
capabilities to accept appropriate
transfers should apply to a hospital with
specialized capabilities in the case of an
individual who had a period of stability
during his or her stay at the admitting
hospital and is in need of specialized
care available at the hospital with
specialized capabilities. CMS takes
seriously its duty to protect patients
with emergency medical conditions as
required by EMTALA. Thus, we are
seeking public comments as to whether,
with respect to the EMTALA obligation
on the hospital with specialized
capabilities, it should or should not
matter if an individual who currently
has an unstabilized emergency medical
condition (which is beyond the
capability of the admitting hospital) (1)
remained unstable after coming to the
hospital emergency department or (2)
subsequently had a period of stability
after coming to the hospital emergency
department.
In summary, to implement the
recommendation by the EMTALA TAG
and clarify our policy regarding the
applicability of EMTALA to hospital
inpatients, we are proposing to amend
§ 489.24(f) to add a provision to state
that when an individual covered by
EMTALA was admitted as an inpatient
and remains unstabilized with an
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emergency medical condition, a
receiving hospital with specialized
capabilities has an EMTALA obligation
to accept that individual, assuming that
the transfer of the individual is an
appropriate transfer and the
participating hospital with specialized
capabilities has the capacity to treat the
individual.
4. Proposed Changes to the EMTALA
Physician On-Call Requirements
jlentini on PROD1PC65 with PROPOSALS2
a. Relocation of Regulatory Provisions
During its term, the EMTALA TAG
dedicated a significant portion of its
discussion to a hospital’s physician oncall obligations under EMTALA and
made several recommendations to the
Secretary regarding physician on-call
requirements that are included in its
final report (will be available shortly at
the Web site: https://www.cms.hhs/gov/
FACA/07_emtalatag.asp). The TAG
recommended that CMS move the
regulation discussing the obligation to
maintain an on-call list from the
EMTALA regulations at § 489.24(j)(1) to
the regulations implementing provider
agreements at § 489.20(r)(2). We agree
with the TAG’s recommendation. The
requirement to maintain an on-call list
is found at section 1866(a)(1)(I)(iii) of
the Act, the section of the Act that refers
to provider agreements. Section 1867 of
the Act, which outlines the EMTALA
requirements, makes no mention of the
requirement to maintain an on-call list.
To implement the EMTALA TAG’s
recommendation, we are proposing to
delete the provision relating to
maintaining a list of on-call physicians
from § 489.24(j)(1). We note that a
provision for an on-call physician list is
already included in the regulations as a
hospital provider agreement
requirement at § 489.20(r)(2). We are
proposing to incorporate the language of
§ 489.24(j)(1) as replacement language
for the existing § 489.20(r)(2) and amend
the regulatory language to make it more
consistent with the statutory language
found at section 1866(a)(1)(I)(iii) of the
Act. Proposed revised § 489.20(r)(2)
would read: ‘‘An on-call list of
physicians on its medical staff available
to provide treatment necessary after the
initial examination to stabilize
individuals with emergency medical
conditions who are receiving services
required under § 489.24 in accordance
with the resources available to the
hospital; and’’. These proposed changes
would make the regulations consistent
with the statutory basis for maintaining
an on-call list.
The EMTALA TAG made additional
recommendations regarding how a
hospital would satisfy its on-call list
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obligations, including calling for an
annual plan by the hospital and medical
staff for on-call coverage that would
include an assessment of factors such as
the hospital’s capabilities and services,
community need for emergency
department services as indicated by
emergency department visits, emergent
transfers, physician resources, and past
performance of previous on-call plans.
The TAG also recommended that a
hospital have a backup plan for viable
patient care options when an on-call
physician is not available, including
such factors as telemedicine, other staff
physicians, transfer agreements, and
regional or community call
arrangements. While community call
arrangements are discussed below, we
intend to address the remainder of the
TAG recommendations at a later date.
b. Shared/Community Call
As noted in the previous section,
section 1866(a)(1)(I)(iii) of the Act
states, as a requirement for participation
in the Medicare program, that a hospital
must keep a list of physicians who are
on call for duty after the initial
examination to provide treatment
necessary to stabilize an individual with
an emergency medical condition. If a
physician on the list is called by a
hospital to provide stabilizing treatment
and either fails or refuses to appear
within a reasonable period of time, the
hospital and that physician may be in
violation of EMTALA as provided for
under section 1867(d)(1)(C) of the Act.
Thus, hospitals are required to maintain
a list of on-call physicians, and
physicians or hospitals, or both, may be
held responsible under the EMTALA
statute if a physician who is on call fails
or refuses to appear within a reasonable
period of time.
In the May 9, 2002 proposed rule (67
FR 31471), we stated that we were
aware of hospitals’ increasing concerns
regarding their physician on-call
requirements. Specifically, we noted
that we were aware of reports of
physicians, particularly specialty
physicians, severing their relationships
with hospitals because of on-call
obligations, especially when those
physicians belong to more than one
hospital medical staff. We further noted
that physician attrition from these
medical staffs could result in hospitals
having no specialty physician service
coverage for their patients. In the
September 9, 2003 final rule (68 FR
53264), we clarified the regulations at
§ 489.24(j) to permit on-call physicians
to schedule elective surgery during the
time that they are on call and to permit
on-call physicians to have simultaneous
on-call duties. We also specified that
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physicians, including specialists and
subspecialists, are not required to be on
call at all times, and that the hospital
must have policies and procedures to be
followed when a particular specialty is
not available or the on-call physician
cannot respond because of situations
beyond his or her control. We expected
these clarifications would help to
improve access to physician services for
all hospital patients by permitting
hospitals flexibility to determine how
best to maximize their available
physician resources. Furthermore, we
expected that these clarifications would
permit hospitals to continue to attract
physicians to serve on their medical
staffs, thereby continuing to provide
services to all patients, including those
individuals who are covered by
EMTALA.
As part of its recommendations
concerning physician on-call
requirements, the EMTALA TAG
recommended that hospitals be
permitted to participate in ‘‘community
call.’’ Specifically, the language of the
recommendation states: ‘‘The TAG
recommends that CMS clarify its
position regarding shared or community
call: that such community call
arrangements are acceptable if the
hospitals involved have formal
agreements recognized in their policies
and procedures, as well as backup
plans. It should also be clarified that a
community call arrangement does not
remove a hospital’s obligation to
perform an MSE [medical screening
examination].’’ The TAG also
recommended in a subsequent
recommendation that ‘‘A hospital may
satisfy its on-call coverage obligation by
participation in an approved
community/regional call coverage
program. (CMS to determine appropriate
approval process).’’
We believe that community call (as
described below) would afford
additional flexibility to hospitals
providing on-call services and improve
access to specialty physician services
for individuals in an emergency
department. Therefore, we are
proposing to amend our regulations at
§ 489.24(j) to provide that hospitals may
comply with the on-call list requirement
specified at § 489.20(r)(2) (under our
proposed revision), by participating in a
formal community call plan so long as
the plan meets the elements outlined
below. We are further proposing to
revise the regulations to state that,
notwithstanding participation in a
community call plan, hospitals are still
required to perform medical screening
examinations on individuals who
present seeking treatment and to
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provide for an appropriate transfer
when appropriate.
We propose ‘‘community call,’’ to be
a formal on-call plan that permits a
specific hospital in a region to be
designated as the on-call facility for a
specific time period, or for a specific
service, or both. For example, if there
are two hospitals that choose to
participate in community call, Hospital
A could be designated as the on-call
facility for the first 15 days of each
month and Hospital B could be
designated as the on-call facility for the
rest of each month. Alternatively,
Hospital A could be designated as oncall for cases requiring specialized
interventional cardiac care, while
Hospital B could be designated as oncall for neurosurgical cases. We
anticipate that hospitals and their
communities would have the flexibility
to develop a plan that reflects their local
resources and needs. Such a community
on-call plan will allow various
physicians in a certain specialty in the
aggregate to be on continuous call (24
hours a day, 7 days a week), without
putting a continuous call obligation on
any one physician. We note that
generally if an individual arrives at a
hospital other than the designated oncall facility, is determined to have an
unstabilized emergency medical
condition, and requires the services of
an on-call specialist, the individual
would be transferred to the designated
on-call facility in accordance with the
community call plan.
As noted above, we are proposing that
a community call plan must be a formal
plan among the participating hospitals.
While we do not believe it is necessary
for the formal community call plan to be
subject to preapproval by CMS, if an
EMTALA complaint investigation is
initiated, the plan will be subject to
review and enforcement by CMS. We
are proposing that, at a minimum,
hospitals must include the following
elements when devising a formal
community call plan:
• The community call plan would
include a clear delineation of on-call
coverage responsibilities, that is, when
each hospital participating in the plan is
responsible for on-call coverage.
• The community call plan would
define the specific geographic area to
which the plan applies.
• The community call plan would be
signed by an appropriate representative
of each hospital participating in the
plan.
• The community call plan would
ensure that any local and regional EMS
system protocol formally includes
information on community on-call
arrangements.
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• Hospitals participating in the
community call plan would engage in
an analysis of the specialty on-call
needs of the community for which the
plan is effective.
• The community call plan would
include a statement specifying that even
if an individual arrives at the hospital
that is not designated as the on-call
hospital, that hospital still has an
EMTALA obligation to provide a
medical screening examination and
stabilizing treatment within its
capability, and hospitals participating in
community call must abide by the
EMTALA regulations governing
appropriate transfers.
• There would be an annual
reassessment of the community call
plan by the participating hospitals.
Proposed revised § 489.24(j) would
read ‘‘Availability of on-call physicians.
In accordance with the on-call list
requirements specified in § 489.20(r)(2),
a hospital must have written policies
and procedures in place—(1) To
respond to situations in which a
particular specialty is not available or
the on-call physician cannot respond
because of circumstances beyond the
physician’s control; and (2) To provide
that emergency services are available to
meet the needs of individuals with
emergency medical conditions if a
hospital elects to—(i) Permit on-call
physicians to schedule elective surgery
during the time that they are on call; (ii)
Permit on-call physicians to have
simultaneous on-call duties; and (iii)
Participate in a formal community call
plan. Notwithstanding participation in a
community call plan, hospitals are still
required to perform medical screening
examinations on individuals who
present seeking treatment and to
conduct appropriate transfers. The
formal community call plan must
include the following elements:
[proposed elements noted above in the
bullets are included in regulations
text].’’
We welcome public comments on the
proposed elements of the formal
community call plan noted above. We
are also soliciting public comments on
whether individuals believe it is
important that, in situations where there
is a governing State or local agency that
would have authority over the
development of a formal community
call plan, the plan be approved by that
agency. In summary, we are proposing
that, as part of the obligation to have an
on-call list, hospitals may choose to
participate in community call, provided
that the formal community call plan
includes, at a minimum, the elements
noted in bullets above. Additionally,
each hospital participating in the
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community call plan must have written
policies and procedures in place to
respond to situations in which the oncall physician is unable to respond due
to situations beyond his or her control.
We are further proposing that a hospital
would still be responsible for
performing medical screening
examinations on individuals who
present to the hospital seeking treatment
and conducting appropriate transfers,
regardless of which hospital has on-call
responsibilities on a particular day.
5. Proposed Technical Change to
Regulations
In the FY 2008 IPPS final rule with
comment period (72 FR 47413), we
revised § 489.24(a)(2) (which refers to
the nonapplicability of the EMTALA
provisions in an emergency area during
an emergency period) to conform it to
the changes made to section 1135 of the
Act by the Pandemic and All-Hazards
Preparedness Act. When we made the
change to the regulations, we
inadvertently left out language
consistent with the following statutory
language found in section 1135:
‘‘pursuant to an appropriate State
emergency preparedness plan; or in the
case of a public health emergency
described in subsection (g)(1)(B) that
involves a pandemic infectious disease,
pursuant to a State pandemic
preparedness plan or a plan referred to
in clause (i), whichever is applicable in
the State.’’ We also inadvertently left
out the phrase in section 1135 ‘‘during
an emergency period’’ when we state
the nonapplicability of the sanctions in
an emergency area. We are proposing to
revise the language at § 489.24(a)(2) to
include the aforementioned language to
conform the regulation text to the
statutory language. Proposed revised
§ 489.24(a)(2) would read as follows:
‘‘Nonapplicability of provisions of this
section. Sanctions under this section for
an inappropriate transfer during a
national emergency or for the direction
or relocation of an individual to receive
medical screening at an alternate
location pursuant to an appropriate
State emergency preparedness plan or,
in the case of a public health emergency
that involves a pandemic infectious
disease, pursuant to a State pandemic
preparedness plan do not apply to a
hospital with a dedicated emergency
department located in an emergency
area during an emergency period, as
specified in section 1135(g)(1) of the
Act. A waiver of these sanctions is
limited to a 72-hour period beginning
upon the implementation of a hospital
disaster protocol, except that, if a public
health emergency involves a pandemic
infectious disease (such as pandemic
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influenza), the waiver will continue in
effect until the termination of the
applicable declaration of a public health
emergency, as provided for by section
1135(e)(1)(B) of the Act.’’
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J. Application of Incentives To Reduce
Avoidable Readmissions to Hospitals
1. Introduction
A significant portion of Medicare
spending—$15 billion each year—is
related to hospital readmissions.
According to a 2005 MedPAC
analysis ,17 nearly 18 percent of
beneficiaries who are discharged from
the hospital are readmitted within 30
days, resulting in approximately 2
million readmissions. By MedPAC’s
method, over 13 percent of 30-day
hospital readmissions and an associated
$12 billion in spending (4⁄5 of all
Medicare spending for readmissions)
were found to be potentially avoidable.
Beyond cost considerations,
readmissions may reflect poor quality of
care and affect beneficiaries’’ quality of
life. Though not all readmissions are
avoidable, hospitals should share
accountability for readmission rates that
could be much lower through the
application of evidence-based best
practices. Interventions that have been
shown to reduce readmissions include
better quality of care during the
hospitalization, more complete care
plans, emphasis on coordination of care
at the point of transitions to home or
postacute care, better use of afterhospital care, and more active
involvement of patients and caregivers
in decision making.
The application of incentives to
reduce hospital readmissions, including
payment and public reporting
approaches, could promote the adoption
and development of best practice
interventions for averting avoidable
readmissions, resulting in higher quality
of care for Medicare beneficiaries and
reduction in unnecessary costs for the
program. Under the current payment
system, readmissions are financially
rewarding for hospitals. Application of
payment incentives to encourage
reduction of avoidable readmissions
could help address unintended
incentives in the current payment
system.
In this section, following discussion
of readmission issues related to
measurement, accountability, and
interventions, we are presenting three
approaches to applying incentives to
reduce avoidable readmissions for
public comment: (1) Direct adjustment
17 Medicare Payment Advisory Commission:
Report to Congress: Promoting Greater Efficiency in
Medicare. June 2007, Chapter 5, page 103.
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to hospital DRG payments for avoidable
readmissions, (2) adjustments to
hospital DRG payments through a
performance-based payment
methodology, and (3) public reporting of
readmission rates. We note that either
type of adjustment to hospital payments
for readmissions would likely require
new statutory authority for the Medicare
program. We are seeking public
comments on all of the ideas presented
in this section.
2. Measurement
Routine, valid, and reliable
measurement of hospital-specific rates
of readmissions would be a prerequisite
to any method of applying incentives for
reducing hospital readmissions.
Measurement data should be
meaningful and actionable for hospitals
and should be fair to encourage trust
and engagement in the effort. Risk
adjustment of measurement data is
necessary to account for patientπspecific
factors that influence the likelihood of
readmission, such as age, disease
severity, and comorbidities.
Another important consideration in
measurement of readmission rates is the
time period from discharge to
readmission (for example, 7, 15, 30, or
90 days). In section IV.B. of the
preamble of this proposed rule,
measures of risk-adjusted 30-day
readmission rates are proposed for the
RHQDAPU program. The 9th Scope of
Work for Medicare Quality
Improvement Organizations (QIO 9th
SOW) also includes 30-day readmission
measures for communities.
Measures should be aligned across
settings of care. Hospitals are not the
only providers that affect the occurrence
of readmissions. For example, the care
delivered by SNFs and HHAs also has
an important impact on whether a
beneficiary is readmitted. Data from
aligned readmissions measures,
applicable to various settings of care,
would provide better information about
care coordination problems within and
between settings. Alignment of
readmissions measures would also
facilitate more powerful application of
incentives across Medicare’s payment
systems.
Another consideration is whether to
focus on all readmissions or to focus on
those that are known to be higher cost,
more easily preventable, or most
frequently occurring. For example,
numerous hospitals have successfully
implemented programs to reduce
readmissions of heart failure patients, so
more is known about the prevention of
heart failure readmissions. Further,
heart failure readmissions may be more
costly than readmissions for other
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conditions. Another focus of efforts to
prevent readmissions could be patients
with multiple chronic conditions, who
may be at the highest risk to experience
readmissions.
3. Accountability
In the assignment of accountability for
readmissions, risk adjustment of
measurement data is one consideration
of fairness; however, other factors must
also be considered, including
avoidability and shared accountability.
Most clinicians would agree that a goal
of zero readmissions may not be
appropriate, as an extremely low rate of
readmissions could indicate restricted
access to needed medical services,
overuse of hospital resources during the
initial hospitalization (for example,
prolonged length of stay), or excessive
intensity of post-acute care services.
Adequate risk adjustment could help to
elucidate the avoidability of
readmissions by identifying an expected
readmission rate for a given patient or
patient population.
Shared accountability is another
important consideration. Hospitals are
clearly accountable for the care
provided during hospitalization and can
also affect the quality of care provided
after the hospitalization, but hospitals
are not the only accountable entity. Both
during and after hospitalization,
physicians and other health
professionals share accountability for
the quality of care. Other provider
entities, including skilled nursing
facilities, rehabilitation facilities, home
health agencies, and end-stage renal
disease facilities, also share
accountability for avoidable
readmissions. Medicare beneficiaries
themselves and their caregivers and
social support systems play important
roles in avoiding readmissions,
particularly when beneficiaries have
been discharged to home.
Assignment of accountability also
requires consideration of situations
where the patient presents for
readmission with a different diagnosis
or presents to a different hospital. If the
18 Coleman, E.A., C. Parry, S. Chalmers, et al.
2006. The care transitions intervention: Results of
a randomized controlled trial. Archives of Internal
Medicine, 166 (September 25): 1822–1828.
19 Coleman, E.A., J.D. Smith, R. Devbani, et al.
2005. Posthospital medication discrepancies:
Prevalence and contributing factors. Archives of
Internal Medicine 165, (September 12): 1842–1847.
20 Coleman, E., and R. Berenson. 2004. Lost in
transition: Challenges and opportunities for
improving the quality of transitional care. Annals
of Internal Medicine, 141, no. 7 (October 5): 533–
536.
21 Institute for Healthcare Improvement. 2004a.
Reducing readmissions for heart failure patients:
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Demonstration and have contributed to
improvements in the quality and costefficiency of care provided to Medicare
beneficiaries. For example, the
University of Michigan Faculty Group
Practice’s transitional care call-back
program contacts Medicare patients
discharged from the emergency
department and acute care hospital to
address gaps in care during the
transition between care settings. The
program provides short-term care
4. Interventions
coordination with linkages to visiting
A number of interventions have been
nurse and community services, as well
identified as best practices for averting
as coordination with primary care and
avoidable
specialty clinics. The Everett Clinic
readmissions.18,19,20,21,22,23,24,25,26 Some utilizes hospital coaches to guide
patients and caregivers through
of these evidence-based interventions
complicated care processes during
are listed below:
• Better, safer care during the
hospital stays and on discharge. The
hospitalization.
clinic proactively reaches out to
• Improved communication among
recently hospitalized patients to assure
providers and with the patient and
that they have a physician followup
caregivers.
visit within 10 days after discharge to
• Care planning that begins with
address any unresolved or new health
assessment at admission.
problems.
• Clear discharge instructions, with
CMS is considering strategies for
specific attention to medication
distributing a discharge checklist that
management.
the agency developed to help
• Shared accountability for care
beneficiaries and their caregivers
coordination, with attention to
prepare for discharge from a hospital or
transitions and hand-offs.
nursing home. The checklist includes a
• Discharge to a proper setting of
range of issues to consider and address
care.
with physicians and other health care
• Better, safer care in the post-acute
providers to facilitate a smooth
setting of care.
transition to home or postacute care
• Appropriate use of palliative care
setting. In addition, the checklist
and honest planning for the likely
provides information about supportive
course.
home and community-based services.
• Timely physician follow up visits.
The QIO 9th SOW includes a theme
• Active involvement of patients and
entitled Patient Pathways (Care
their caregivers.
Transitions). The goal of this theme is
Interventions such as these have been to measurably improve the quality of
employed by several participants in
care for Medicare beneficiaries who
CMS Physician Group Practice
transition among care settings, resulting
in reduced readmissions and replicable
Hackensack University Medical Center. Available at
strategies to sustain reduced
https://www.ihi.org.
readmission rates. The QIO 8th SOW
22 Institute for Healthcare Improvement. 2004b.
included initiatives to reduce avoidable
The MedProvider inpatient care unit-congestive
heart failure project. Available at: https://
readmissions of home health patients.
jlentini on PROD1PC65 with PROPOSALS2
locus of accountability were at the
hospital level, a second hospital should
not be held accountable for a
readmission resulting from a first
hospital’s lack of adherence to evidencebased best practices for averting
readmissions. If the locus of
accountability were at the community
level, then shared accountability could
encourage hospitals to work together to
reduce readmissions.
www.ihi.org.
23 Lappe, J.M., J.B. Muhlestein, D.L. Lappe, et al.
2004. Improvements in 1-year cardiovascular
clinical outcomes associated with a hospital-based
discharge medication program. Annals of Internal
Medicine, 141, no.6 (September 21): 446–453.
24 Naylor, M.D., D. Brooton, R. Campbell, et al.
1999. Comprehensive discharge planning and home
follow-up of hospitalized elders. Journal of the
American Medical Association, 281, no.7 (February
17): 613–620.
25 VanSuch, M., J.M. Naessens, R.J. Stroebel, et al.
2006. Effect of discharge instructions on
readmission of hospitalized patients with heart
failure: Do all of the Joint Commission on
Accreditation of Healthcare Organizations heart
failure core measures reflect better care? Quality
and Safety in Healthcare, 15: 414–417.
26 Weinberg D.B., J.H. Gittell, R.W. Lusenhop, et
al. 2007. Beyond our walls: Impact of patient and
provider coordination across the continuum on
outcomes for surgical patients. Health Services
Research, 42, no. 1, pt. 1 (February): 7–24.
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5. Financial Incentive: Direct Payment
Adjustment
The first of three approaches
presented for comment is direct
adjustment to hospital DRG payments
for readmissions. This approach would
likely require new statutory authority
for the Medicare program. In section
II.F. of the preamble of this
proposed rule, we discuss direct
adjustments to MS–DRG payment for
selected preventable HACs. Similarly, a
payment adjustment could be applied
for readmissions determined to be
avoidable because the hospital did not
follow evidence-based best practices for
averting readmissions. The magnitude
of the payment adjustment could be
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based on patient-specific risk factors
and on the apportionment of shared
accountability among the involved
entities.
A variation of this approach could be
adjustment of all hospital payments for
readmissions, nationwide or by some
regional designation, based on aggregate
information about avoidable
readmissions for the entire relevant
Medicare population (national or
regional) under typical circumstances.
Under this approach, hospitals would
receive less Medicare payment for
readmissions for conditions with lower
expected rates of readmission and less
shared accountability.
Potential unintended consequences
resulting from a financial incentive to
avert readmissions also need to be
considered. For example, hospitals
could begin discharging patients to
settings that provide more intensive
postacute care to avoid readmissions,
thereby potentially driving up total
costs for episodes of care and total
Medicare spending. As another example
of potential unintended consequences,
hospitals could begin to resist medically
necessary readmissions from postacute
care providers, creating an access
problem.
6. Financial Incentive: PerformanceBased Payment Adjustment
The second approach presented for
comment is adjustment to hospital MS–
DRG payments using a performancebased payment methodology, such as
the Medicare Hospital VBP Plan
referenced in section IV.C. of the
preamble of this proposed rule and
available at: https://www.cms.hhs.gov/
AcuteInpatientPPS/downloads/
HospitalVBPPlan
RTCFINALSUBMITTED2007.pdf. The
intent of the VBP Plan methodology is
to promote adherence to evidence-based
best practices in the delivery of care and
to provide rewards for those who are
successful in improving their measured
performance. Implementation of the
VBP methodology would require new
statutory authority for the Medicare
program.
Under the VBP Plan, measures of
clinical processes of care, patient
experience (HCAHPS), and outcomes
(30-day mortality) would be scored and
translated into an incentive payment.
These measures of process, outcome,
and patient-centeredness address areas
of quality that are important to reducing
readmissions; however, other measures
could be added to more fully adjust
payments for readmissions. Direct
measures of hospital-specific, risk
adjusted readmission rates could be
included in the VBP Plan performance
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assessment model. In addition, other
measures of care coordination that
indirectly address readmissions could
also be included.
The direct adjustment approach and
the VBP Plan approaches for applying
financial incentives to the reduction of
avoidable readmissions could be
implemented separately or in
combination.
7. Nonfinancial Incentive: Public
Reporting
A third approach presented for
comment is public reporting of hospitalspecific, risk adjusted readmission rates.
The Administration’s Value-Driven
Health Care initiative, which stems from
the President’s Executive Order
Promoting Quality and Efficient Health
Care in Federal Government Health Care
Programs, calls for Federal agencies to
make health care quality and cost
information more transparent. Health
care consumers, including Medicare
beneficiaries, and their providers and
caregivers need better information to
support more informed decision making
about their care. The public reporting of
readmission rates would likely not
require new statutory authority for the
Medicare program.
The Hospital Compare Web site could
be used to report readmission rates
along with the other quality and cost of
care parameters displayed on that site.
Public reporting has been demonstrated
to be a strong non-financial incentive
with a competitive effect, as hospitals
appropriately focus on maintaining and
enhancing their reputations as providers
of high quality of care. The VBP Plan
envisions public reporting in concert
with the VBP financial incentive, but
the public reporting incentive could be
applied regardless of statutory authority
to implement the VBP Plan.
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8. Conclusion
The purpose of this section is to
solicit and encourage public comments
on considerations and options for
applying incentives to reduce avoidable
hospital readmissions. We welcome
public comments on readmission issues
related to measurement, accountability,
and interventions, as well as on
potential approaches to applying
financial and nonfinancial incentives to
reduce avoidable readmissions.
K. Rural Community Hospital
Demonstration Program
In accordance with the requirements
of section 410A(a) of Pub. L. 108–173,
the Secretary has established a 5-year
demonstration program (beginning with
selected hospitals’ first cost reporting
period beginning on or after October 1,
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2004) to test the feasibility and
advisability of establishing ‘‘rural
community hospitals’’ for Medicare
payment purposes for covered inpatient
hospital services furnished to Medicare
beneficiaries. A rural community
hospital, as defined in section
410A(f)(1), is a hospital that—
• Is located in a rural area (as defined
in section 1886(d)(2)(D) of the Act) or is
treated as being located in a rural area
under section 1886(d)(8)(E) of the Act;
• Has fewer than 51 beds (excluding
beds in a distinct part psychiatric or
rehabilitation unit) as reported in its
most recent cost report;
• Provides 24-hour emergency care
services; and
• Is not designated or eligible for
designation as a CAH.
Section 410A(a)(4) of Pub. L. 108–173
states that no more than 15 such
hospitals may participate in the
demonstration program.
As we indicated in the FY 2005 IPPS
final rule (69 FR 49078), in accordance
with sections 410A(a)(2) and (a)(4) of
Pub. L. 108–173 and using 2002 data
from the U.S. Census Bureau, we
identified 10 States with the lowest
population density from which to select
hospitals: Alaska, Idaho, Montana,
Nebraska, Nevada, New Mexico, North
Dakota, South Dakota, Utah, and
Wyoming (Source: U.S. Census Bureau
Statistical Abstract of the United States:
2003). Nine rural community hospitals
located within these States are currently
participating in the demonstration
program. (Of the 13 hospitals that
participated in the first 2 years of the
demonstration program, 4 hospitals
located in Nebraska have become CAHs
and have withdrawn from the program.)
In a notice published in the Federal
Register on February 6, 2008 (73 FR
6971 through 6973), we announced a
solicitation for up to six additional
hospitals to participate in the
demonstration program. Hospitals that
enter the demonstration under this
solicitation will be able to participate
for no more than 2 years. The February
6, 2008 notice specifies the eligibility
requirements for the demonstration
program.
Under the demonstration program,
participating hospitals are paid the
reasonable costs of providing covered
inpatient hospital services (other than
services furnished by a psychiatric or
rehabilitation unit of a hospital that is
a distinct part), applicable for
discharges occurring in the first cost
reporting period beginning on or after
the October 1, 2004 implementation
date of the demonstration program.
Payments to the participating hospitals
will be the lesser amount of the
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23675
reasonable cost or a target amount in
subsequent cost reporting periods. The
target amount in the second cost
reporting period is defined as the
reasonable costs of providing covered
inpatient hospital services in the first
cost reporting period, increased by the
inpatient prospective payment update
factor (as defined in section
1886(b)(3)(B) of the Act) for that
particular cost reporting period. The
target amount in subsequent cost
reporting periods is defined as the
preceding cost reporting period’s target
amount, increased by the inpatient
prospective payment update factor (as
defined in section 1886(b)(3)(B) of the
Act) for that particular cost reporting
period.
Covered inpatient hospital services
are inpatient hospital services (defined
in section 1861(b) of the Act), and
include extended care services
furnished under an agreement under
section 1883 of the Act.
Section 410A of Pub. L. 108–173
requires that, ‘‘in conducting the
demonstration program under this
section, the Secretary shall ensure that
the aggregate payments made by the
Secretary do not exceed the amount
which the Secretary would have paid if
the demonstration program under this
section was not implemented.’’
Generally, when CMS implements a
demonstration program on a budget
neutral basis, the demonstration
program is budget neutral in its own
terms; in other words, the aggregate
payments to the participating providers
do not exceed the amount that would be
paid to those same providers in the
absence of the demonstration program.
This form of budget neutrality is viable
when, by changing payments or aligning
incentives to improve overall efficiency,
or both, a demonstration program may
reduce the use of some services or
eliminate the need for others, resulting
in reduced expenditures for the
demonstration program’s participants.
These reduced expenditures offset
increased payments elsewhere under
the demonstration program, thus
ensuring that the demonstration
program as a whole is budget neutral or
yields savings. However, the small scale
of this demonstration program, in
conjunction with the payment
methodology, makes it extremely
unlikely that this demonstration
program could be viable under the usual
form of budget neutrality. Specifically,
cost-based payments to participating
small rural hospitals are likely to
increase Medicare outlays without
producing any offsetting reduction in
Medicare expenditures elsewhere.
Therefore, a rural community hospital’s
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participation in this demonstration
program is unlikely to yield benefits to
the participant if budget neutrality were
to be implemented by reducing other
payments for these providers.
In order to achieve budget neutrality
for this demonstration program for FY
2009, we are proposing to adjust the
national inpatient PPS rates by an
amount sufficient to account for the
added costs of this demonstration
program. We are proposing to apply
budget neutrality across the payment
system as a whole rather than merely
across the participants in this
demonstration program. As we
discussed in the FY 2005, FY 2006, FY
2007 and FY 2008 IPPS final rules (69
FR 49183; 70 FR 47462; 71 FR 48100;
and 72 FR 47392), we believe that the
language of the statutory budget
neutrality requirements permits the
agency to implement the budget
neutrality provision in this manner. For
FY 2009, using data from the cost
reports from each of the nine hospitals’
first year of participation in the
demonstration program, that is, cost
reports for years beginning in CY 2005,
and estimating the cost of six additional
hospitals based on these data, we
estimate that the additional cost would
be $32,011,849. (In the final rule, we
should know the exact number of
hospitals participating in the
demonstration program and would
revise our estimates accordingly.) This
estimated adjusted amount reflects the
estimated difference between the
participating hospitals costs and the
IPPS payment based on data from the
hospitals’ cost reports. We discuss the
payment rate adjustment that is required
to ensure the budget neutrality of the
demonstration program for FY 2009 in
section II.A.4. of the Addendum to this
proposed rule.
jlentini on PROD1PC65 with PROPOSALS2
V. Proposed Changes to the IPPS for
Capital-Related Costs
A. Background
Section 1886(g) of the Act requires the
Secretary to pay for the capital-related
costs of inpatient acute hospital services
‘‘in accordance with a prospective
payment system established by the
Secretary.’’ Under the statute, the
Secretary has broad authority in
establishing and implementing the IPPS
for acute care hospital inpatient capitalrelated costs. We initially implemented
the IPPS for capital-related costs in the
Federal fiscal year (FY) 1992 IPPS final
rule (56 FR 43358), in which we
established a 10-year transition period
to change the payment methodology for
Medicare hospital inpatient capitalrelated costs from a reasonable cost-
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based methodology to a prospective
methodology (based fully on the Federal
rate).
FY 2001 was the last year of the 10year transition period established to
phase in the IPPS for hospital inpatient
capital-related costs. For cost reporting
periods beginning in FY 2002, capital
IPPS payments are based solely on the
Federal rate for most acute care
hospitals (other than hospitals receiving
certain exception payments and certain
new hospitals). The basic methodology
for determining capital prospective
payments using the Federal rate is set
forth in § 412.312. For the purpose of
calculating payments for each discharge,
the standard Federal rate is adjusted as
follows:
(Standard Federal Rate) × (DRG
Weight) × (Geographic Adjustment
Factor (GAF)) × (Large Urban Add-on, if
applicable) × (COLA for hospitals
located in Alaska and Hawaii) × (1 +
Capital DSH Adjustment Factor +
Capital IME Adjustment Factor, if
applicable).
Hospitals also may receive outlier
payments for those cases that qualify
under the threshold established for each
fiscal year as specified in § 412.312(c) of
the regulations.
1. Exception Payments
The regulations at § 412.348(f)
provide that a hospital may request an
additional payment if the hospital
incurs unanticipated capital
expenditures in excess of $5 million due
to extraordinary circumstances beyond
the hospital’s control. This policy was
originally established for hospitals
during the 10-year transition period, but
as we discussed in the FY 2003 IPPS
final rule (67 FR 50102), we revised the
regulations at § 412.312 to specify that
payments for extraordinary
circumstances are also made for cost
reporting periods after the transition
period (that is, cost reporting periods
beginning on or after October 1, 2001).
Additional information on the exception
payment for extraordinary
circumstances in § 412.348(f) can be
found in the FY 2005 IPPS final rule (69
FR 49185 and 49186).
During the transition period, under
§§ 412.348(b) through (e), eligible
hospitals could receive regular
exception payments. These exception
payments guaranteed a hospital a
minimum payment percentage of its
Medicare allowable capital-related costs
depending on the class of the hospital
(§ 412.348(c)), but were available only
during the 10-year transition period.
After the end of the transition period,
eligible hospitals can no longer receive
this exception payment. However, even
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after the transition period, eligible
hospitals receive additional payments
under the special exceptions provisions
at § 412.348(g), which guarantees all
eligible hospitals a minimum payment
of 70 percent of its Medicare allowable
capital-related costs provided that
special exceptions payments do not
exceed 10 percent of total capital IPPS
payments. Special exceptions payments
may be made only for the 10 years from
the cost reporting year in which the
hospital completes its qualifying
project, and the hospital must have
completed the project no later than the
hospital’s cost reporting period
beginning before October 1, 2001. Thus,
an eligible hospital may receive special
exceptions payments for up to 10 years
beyond the end of the capital IPPS
transition period. Hospitals eligible for
special exceptions payments are
required to submit documentation to the
intermediary indicating the completion
date of their project. (For more detailed
information regarding the special
exceptions policy under § 412.348(g),
we refer readers to the FY 2002 IPPS
final rule (66 FR 39911 through 39914)
and the FY 2003 IPPS final rule (67 FR
50102).)
2. New Hospitals
Under the IPPS for capital-related
costs, § 412.300(b) of the regulations
defines a new hospital as a hospital that
has operated (under current or previous
ownership) for less than 2 years. (For
more detailed information, we refer
readers to the FY 1992 IPPS final rule
(56 FR 43418).) During the 10-year
transition period, a new hospital was
exempt from the capital IPPS for its first
2 years of operation and was paid 85
percent of its reasonable costs during
that period. Originally, this provision
was effective only through the transition
period and, therefore, ended with cost
reporting periods beginning in FY 2002.
Because, as discussed in the FY 2003
IPPS final rule (67 FR 50101), we
believe that special protection to new
hospitals is also appropriate even after
the transition period, we revised the
regulations at § 412.304(c)(2) to provide
that, for cost reporting periods
beginning on or after October 1, 2002, a
new hospital (defined under
§ 412.300(b)) is paid 85 percent of its
Medicare allowable capital-related costs
through its first 2 years of operation,
unless the new hospital elects to receive
fully prospective payment based on 100
percent of the Federal rate. (We refer
readers to the FY 2002 IPPS final rule
(66 FR 39910) for a detailed discussion
of the statutory basis for the system, the
development and evolution of the
system, the methodology used to
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determine capital-related payments to
hospitals both during and after the
transition period, and the policy for
providing exception payments.)
jlentini on PROD1PC65 with PROPOSALS2
3. Hospitals Located in Puerto Rico
Section 412.374 provides for the use
of a blended payment amount for
prospective payments for capital-related
costs to hospitals located in Puerto Rico.
Accordingly, under the capital IPPS, we
compute a separate payment rate
specific to Puerto Rico hospitals using
the same methodology used to compute
the national Federal rate for capitalrelated costs. In general, hospitals
located in Puerto Rico are paid a blend
of the applicable capital IPPS Puerto
Rico rate and the applicable capital IPPS
Federal rate.
Prior to FY 1998, hospitals in Puerto
Rico were paid a blended capital IPPS
rate that consisted of 75 percent of the
capital IPPS Puerto Rico specific rate
and 25 percent of the capital IPPS
Federal rate. However, effective October
1, 1997 (FY 1998), in conjunction with
the change to the operating IPPS blend
percentage for hospitals located in
Puerto Rico required by section 4406 of
Pub. L. 105–33, we revised the
methodology for computing capital IPPS
payments to hospitals in Puerto Rico to
be based on a blend of 50 percent of the
capital IPPS Puerto Rico rate and 50
percent of the capital IPPS Federal rate.
Similarly, in conjunction with the
change in operating IPPS payments to
hospitals located in Puerto Rico for FY
2005 required by section 504 of Pub. L.
108–173, we again revised the
methodology for computing capital IPPS
payments to hospitals located in Puerto
Rico to be based on a blend of 25
percent of the capital IPPS Puerto Rico
rate and 75 percent of the capital IPPS
Federal rate effective for discharges
occurring on or after October 1, 2004.
B. Revisions to the Capital IPPS Based
on Data on Hospital Medicare Capital
Margins
As noted above, under the Secretary’s
broad authority under the statute in
establishing and implementing the IPPS
for hospital inpatient capital-related
costs, we have established a standard
Federal payment rate for capital-related
costs, as well as the mechanism for
updating that rate each year. For FY
1992, we computed the standard
Federal payment rate for capital-related
costs under the IPPS by updating the FY
1989 Medicare inpatient capital cost per
case by an actuarial estimate of the
increase in Medicare inpatient capital
costs per case. Each year after FY 1992,
we update the capital standard Federal
rate, as provided at § 412.308(c)(1), to
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account for capital input price increases
and other factors. The regulations at
§ 412.308(c)(2) provide that the capital
Federal rate is adjusted annually by a
factor equal to the estimated proportion
of outlier payments under the capital
Federal rate to total capital payments
under the capital Federal rate. In
addition, § 412.308(c)(3) requires that
the capital Federal rate be reduced by an
adjustment factor equal to the estimated
proportion of payments for (regular and
special) exceptions under § 412.348.
Section 412.308(c)(4)(ii) requires that
the capital standard Federal rate be
adjusted so that the effects of the annual
DRG reclassification and the
recalibration of DRG weights, and
changes in the geographic adjustment
factor are budget neutral.
In the FY 2008 IPPS final rule with
comment period (72 FR 47398 through
47401), based on our analysis of data on
inpatient hospital Medicare capital
margins that we obtained through our
monitoring and comprehensive review
of the adequacy of the standard Federal
payment rate for capital-related costs
and the updates provided under the
existing regulations, we made changes
in the payment structure under the
capital IPPS beginning with FY 2008.
We summarize these changes below. We
refer readers to section V.B. of the
preamble of the FY 2008 final rule with
comment period (72 FR 47393 through
47401) for a detailed discussion of the
data used as a basis for these changes.
These data showed that hospital
inpatient Medicare capital margins were
very high across all hospitals during the
period from FY 1996 through FY 2004.
In the FY 2008 IPPS final rule with
comment period, as background, we
noted that, in general, under a PPS,
standard payment rates should reflect
the costs that an average, efficient
provider would bear to provide the
services required for quality patient
care. Payment rate updates should also
account for the changes necessary to
continue providing such services.
Updates should reflect, for example, the
increased costs that are necessary to
provide for the introduction of new
technology that improves patient care.
Updates should also take into account
the productivity gains that, over time,
allow providers to realize the same, or
even improved, quality outcomes with
reduced inputs and lower costs.
Hospital margins, the difference
between the costs of actually providing
services and the payments received
under a particular system, thus provide
some evidence concerning whether
payment rates have been established
and updated at an appropriate level over
time for efficient providers to provide
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necessary services. All other factors
being equal, sustained substantial
positive margins demonstrate that
payment rates and updates have
exceeded what is required to provide
those services. It is to be expected,
under a PPS, that highly efficient
providers might regularly realize
positive margins, while less efficient
providers might regularly realize
negative margins. However, a PPS that
is correctly calibrated should not
necessarily experience sustained
periods in which providers generally
realize substantial positive Medicare
margins. Under the capital IPPS in
particular, it seems especially
appropriate that there should not be
sustained significant positive margins
across the system as a whole. Prior to
the implementation of the capital IPPS,
Congress mandated that the Medicare
program pay only 85 percent of
hospitals’ inpatient Medicare capital
costs. During the first 5 years of the
capital IPPS, Congress also mandated a
budget neutrality adjustment, under
which the standard Federal capital rate
was set each year so that payments
under the system as a whole equaled 90
percent of estimated hospitals’ inpatient
Medicare capital costs for the year.
Finally, Congress has twice adjusted the
standard Federal capital rate (a 7.4
percent reduction beginning in FY 1994,
followed by a 17.78 percent reduction
beginning in FY 1998). On the second
occasion in particular, the specific
congressional mandate was ‘‘to apply
the budget neutrality factor used to
determine the Federal capital payment
rate in effect on September 30, 1995
* * * to the unadjusted standard
Federal capital payment rate’’ for FY
1998 and beyond. (The designated
budget neutrality factor constituted a
17.78 percent reduction.) This statutory
language indicates that Congress
considered the payment levels in effect
during FYs1992 through 1995,
established under the budget neutrality
provision to pay 90 percent of hospitals’
inpatient Medicare capital costs in the
aggregate, appropriate for the capital
IPPS. The statutory history of the capital
IPPS thus suggests that the system in the
aggregate should not provide for
continuous, large positive margins.
As we also discussed in the FY 2008
IPPS final rule with comment period,
we believed that there could be a
number of reasons for the relatively high
margins that most IPPS hospitals have
realized under the capital IPPS. One
possibility is that the updates to the
capital IPPS rates have been higher than
the actual increases in Medicare
inpatient capital costs that hospitals
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have experienced in recent years.
Another possible reason for the
relatively high margins of most capital
IPPS hospitals may be that the payment
adjustments provided under the system
are too high, or perhaps even
unnecessary. Specifically, the
adjustments for teaching hospitals,
disproportionate share hospitals, and
large urban hospitals appear to be
contributing to excessive payment levels
for these classes of hospitals. Since the
inception of the capital IPPS in FY
1992, the system has provided
adjustments for teaching hospitals (the
IME adjustment factor, under § 412.322
of the regulations), disproportionate
share hospitals (the DSH adjustment
factor, under § 412.320), and large urban
hospitals (the large urban location
adjustment factor, under § 412.316(b)).
The classes of hospitals eligible for
these adjustments have been realizing
much higher margins than other
hospitals under the system. Specifically,
teaching hospitals (11.6 percent for FYs
1998 through 2004), disproportionate
share hospitals (8.4 percent), and urban
hospitals (8.3 percent) have had
significant positive margins. Other
classes of hospitals have experienced
much lower margins, especially rural
hospitals (0.3 percent for FYs 1998
through 2004) and nonteaching
hospitals (1.3 percent). The three groups
of hospitals that have been realizing
especially high margins under the
capital IPPS are, therefore, classes of
hospitals that are eligible to receive one
or more specific payment adjustment
under the system. We believed that the
evidence indicates that these
adjustments have been contributing to
the significantly large positive margins
experienced by the classes of hospitals
eligible for these adjustments.
Therefore, in the FY 2008 IPPS final
rule with comment period, we made
two changes to the structure of
payments under the capital IPPS, as
discussed under items 1. and 2. below.
1. Elimination of the Large Add-On
Payment Adjustment
In the FY 2008 IPPS final rule with
comment period, we determined that
the data we had gathered on inpatient
hospital Medicare capital margins
provided sufficient evidence to warrant
elimination of the large urban add-on
payment adjustment starting in FY 2008
under the capital IPPS. Therefore, for
FYs 2008 and beyond, we discontinued
the 3.0 percent additional payment that
had been provided to hospitals located
in large urban areas (72 FR 24822). This
decision was supported by comments
from MedPAC.
2. Changes to the Capital IME
Adjustment
a. Background and Changes Made for FY
2008
In the FY 2008 IPPS proposed rule,
we noted that margin analysis indicated
that several classes of hospitals had
experienced continuous, significant
positive margins. The analysis indicated
that the existing payment adjustments
for teaching hospitals and
disproportionate share hospitals were
contributing to excessive payment levels
for these classes of hospitals. Therefore,
we stated that it may be appropriate to
reduce these adjustments significantly,
or even to eliminate them altogether,
within the capital IPPS. These payment
adjustments, unlike parallel adjustments
under the operating IPPS, were not
mandated by the Act. Rather, they were
included within the original design of
the capital IPPS under the Secretary’s
broad authority in section 1886(g)(1) of
the Act to include appropriate
adjustments and exceptions within a
capital IPPS. In the FY 2008 final rule
with comment period, we also noted a
MedPAC recommendation that we
seriously reexamine the appropriateness
of the existing capital IME adjustment,
that the margin analysis indicated such
adjustment may be too high, and that
MedPAC’s previous analysis also
suggested the adjustment may be too
high. In light of MedPAC’s
recommendation, we extended the
margin analysis discussed in the FY
2008 IPPS proposed rule in order to
distinguish the experience of teaching
hospitals from the experience of urban
and rural hospitals generally.
Specifically, we isolated the margins of
urban, large urban, and rural teaching
hospitals, as opposed to urban, large
urban, and rural nonteaching hospitals.
In conducting this analysis, we
employed updated cost report
information, which allowed us to
incorporate the margins for an
additional year, FY 2005, into the
analysis. The data on the experience of
urban, large urban, and rural teaching
hospitals as opposed to nonteaching
hospitals provided significant new
information. As the analysis
demonstrated, teaching hospitals in
each class (urban, large urban, and
rural) performed significantly better
than comparable nonteaching hospitals.
For the period covering FYs 1998
through 2005, urban teaching hospitals
realized aggregate positive margins of
11.9 percent, compared to a positive
margin of 0.9 percent for urban
nonteaching hospitals. Similarly, large
urban teaching hospitals realized an
aggregate positive margin of 12.8
percent during that period, while large
urban nonteaching hospitals had an
aggregate positive margin of only 2.9
percent. Finally, rural teaching hospitals
experienced an aggregate positive
margin of 4.5 percent, as compared to a
negative 1.3 percent margin for
nonteaching rural hospitals. We noted
that the positive margins for teaching
hospitals did not exhibit a decline to the
same degree as the margins for all
hospitals. For example, the positive
margins for all IPPS hospitals declined
from 8.7 percent in FY 2002 to 5.3
percent in FY 2004 and 3.7 percent in
FY 2005. For urban hospitals, aggregate
margins decreased from 10.3 percent in
FY 2002 to 6.4 percent in FY 2004 and
4.8 percent in FY 2005. Rural hospitals
experienced a decrease from 1.5 percent
in FY 2001 to a negative margin of -4.2
percent in FY 2005. In comparison, the
aggregate margin for teaching hospitals
was 12.1 percent in FY 2001 and 10.6
percent in FY 2005. For urban teaching
hospitals, margins were 12.5 percent in
FY 2001, 14.0 percent in FY 2002, 13.6
percent in FY 2003, 11.9 percent in FY
2004, and 10.9 percent in FY 2005.
Rural teaching hospital margins were
more variable, but did not exhibit a
pattern of significant decline. In FY
2001, rural teaching hospitals had a
positive margin of 3.2 percent; in FY
2002, 8.2 percent; in FY 2003, 4.7
percent; in FY 2004, 5.7 percent; and in
FY 2005, 4.0 percent. We are reprinting
below the table found in the FY 2008
IPPS final rule with comment period
showing our analysis (72 FR 47400).
jlentini on PROD1PC65 with PROPOSALS2
HOSPITAL INPATIENT MEDICARE CAPITAL MARGINS
1996
U.S. .................................
URBAN ...........................
RURAL ............................
No DSH Payments .........
Has DSH Payments ........
VerDate Aug<31>2005
17.6
17.7
16.8
16.2
18.5
19:42 Apr 29, 2008
1997
13.4
13.8
11.0
11.7
14.4
Jkt 214001
1998
7.0
7.8
2.1
4.2
8.6
PO 00000
1999
6.8
7.5
2.4
4.3
8.1
Frm 00152
2000
2001
7.3
8.4
1.0
5.6
8.2
8.1
9.2
1.5
5.5
9.0
Fmt 4701
Sfmt 4702
2002
8.7
10.3
¥1.7
4.7
10.0
2003
7.6
9.0
¥1.4
4.4
8.5
2004
2005
5.3
6.4
¥2.3
¥1.3
7.0
E:\FR\FM\30APP2.SGM
3.7
4.8
¥4.2
¥4.7
5.9
30APP2
Aggregate
1996–2005
8.5
9.4
2.6
5.9
9.5
Aggregate
1998–2005
6.8
7.9
¥0.4
3.2
8.1
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HOSPITAL INPATIENT MEDICARE CAPITAL MARGINS—Continued
1996
$1–$249,999 ...................
$250,000–$999,999 ........
$1,000,000–$2,999,999 ..
$3,000,000 or more ........
TEACHING .....................
Urban ..............................
Large Urban ....................
Rural ...............................
NONTEACHING .............
Urban ..............................
Large Urban ....................
Rural ...............................
Census Division:
New England (1) ......
Middle Atlantic (2) ....
South Atlantic (3) .....
East North Central
(4) .........................
East South Central
(5) .........................
West North Central
(6) .........................
West South Central
(7) .........................
Mountain (8) ............
Pacific (9) .................
Code 99 ...................
Bed Size:
< 100 beds ..............
100–249 beds ..........
250–499 beds ..........
500–999 beds ..........
>= 1000 beds ..........
1997
1998
1999
2000
2001
2002
2003
2004
2005
Aggregate
1996–2005
Aggregate
1998–2005
14.5
15.5
16.8
20.3
19.5
19.7
20.5
13.9
15.3
14.4
15.5
17.3
12.9
9.0
13.0
16.6
15.7
15.9
16.8
8.5
10.5
10.1
11.3
11.4
¥0.4
2.3
8.7
10.4
9.8
10.2
11.0
1.0
3.4
3.8
6.2
2.3
3.1
1.6
9.0
9.3
9.7
10.0
10.1
2.9
2.8
3.0
6.1
2.4
1.6
2.8
8.7
9.7
11.2
11.4
12.5
5.8
2.2
3.0
5.7
0.2
4.1
2.7
7.0
12.1
12.1
12.5
13.9
3.2
2.6
3.1
5.2
1.2
3.2
¥2.4
10.1
13.2
13.8
14.0
15.2
8.2
1.7
3.6
5.3
¥3.7
1.4
¥1.5
5.2
12.5
13.2
13.6
14.7
4.7
0.0
0.9
1.7
¥2.6
¥1.7
¥4.3
3.2
10.6
11.7
11.9
12.0
5.7
¥3.2
¥2.9
¥0.9
¥3.9
¥4.8
¥7.3
2.0
9.5
10.6
10.9
11.9
4.0
¥5.1
¥4.9
¥3.2
¥6.0
3.2
1.5
8.2
12.2
12.7
13.0
13.9
5.7
2.8
3.1
5.1
2.0
1.9
¥0.9
6.6
11.0
11.6
11.9
12.8
4.5
0.3
0.9
2.9
¥1.3
27.9
19.1
18.1
25.9
15.5
13.9
17.1
11.1
5.9
15.1
11.6
4.0
18.2
14.1
6.0
20.7
16.5
5.0
21.3
18.7
6.6
21.1
18.0
6.9
20.5
14.7
5.8
20.3
16.0
2.8
21.0
15.6
7.4
19.5
15.2
5.4
18.2
12.7
6.4
7.1
8.8
8.5
6.1
7.1
6.6
3.2
8.4
6.7
14.9
11.1
3.3
4.1
3.8
3.8
3.8
¥0.9
¥3.4
¥5.8
3.2
0.9
14.3
7.0
0.1
¥-0.3
¥1.5
2.0
1.9
3.4
1.6
¥0.4
2.8
0.9
13.2
17.2
20.4
23.7
8.3
14.7
16.1
24.1
3.3
8.5
12.3
14.5
2.6
7.7
11.3
16.8
¥0.7
7.2
11.9
19.8
0.0
6.4
13.3
20.7
1.2
2.9
14.7
20.5
¥2.0
3.3
12.1
25.1
¥4.0
0.8
9.8
21.6
¥6.5
¥4.7
8.8
24.8
1.2
5.8
13.0
21.4
¥1.0
3.6
11.7
20.8
17.7
15.1
18.9
19.9
8.2
13.0
10.5
14.1
17.1
14.0
4.6
3.7
8.9
10.7
2.2
3.5
4.5
8.3
10.4
¥1.3
2.7
4.3
10.6
11.3
¥6.6
2.5
6.1
10.7
10.8
¥3.6
¥1.8
6.0
12.1
12.6
6.5
¥1.2
4.2
11.6
10.1
8.1
¥6.1
1.5
10.3
7.3
6.5
¥9.6
0.8
7.7
7.8
2.1
2.0
5.6
11.4
11.6
3.5
¥0.9
3.8
10.1
10.1
2.3
jlentini on PROD1PC65 with PROPOSALS2
Notes:
Based on Medicare Cost Report hospital data updated as of the 1st quarter of 2007.
Medicare payments are from Worksheet E, Part A, Lines 9 and 10.
Expenses are from Worksheet D, Part I, columns 10 and 12 and Part II, columns 6 and 8.
We apply the outlier trimming methodology developed with MedPAC.
Code 99 applies when census division information was not specified in the Medicare Cost Report hospital data.
As we indicated in the FY 2008 IPPS
final rule with comment period (72 FR
47401), the statutory history of the
capital IPPS suggests that the system in
the aggregate should not provide for
continuous, large positive margins. As
we also indicated, a possible reason for
the relatively high margins of many
capital IPPS hospitals may be that the
payment adjustments provided under
the system are too high, or perhaps even
unnecessary. We agreed with MedPAC’s
recommendation and reexamined the
appropriateness of the teaching
adjustment. We concluded that the
record of relatively high and persistent
positive margins for teaching hospitals
under the capital IPPS indicated that the
teaching adjustment is unnecessary, and
that it was therefore appropriate to
exercise our discretion under the capital
IPPS to eliminate this adjustment. At
the same time, we believed that we
should mitigate abrupt changes in
payment policy and that we should
provide time for hospitals to adjust to
changes in the payments that they can
expect under the program.
Therefore, in the FY 2008 IPPS final
rule with comment period, we adopted
a policy to phase out the capital
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19:42 Apr 29, 2008
Jkt 214001
teaching adjustment over a 3-year
period beginning in FY 2008.
Specifically, we maintained the
adjustment for FY 2008, in order to give
teaching hospitals an opportunity to
plan and make adjustments to the
change. During the second year of the
transition, FY 2009, the formula for
determining the amount of the teaching
adjustment was revised so that
adjustment amounts will be half of the
amounts provided under the current
formula. For FY 2010 and after,
hospitals will no longer receive an
adjustment for teaching activity under
the capital IPPS.
b. Public Comments Received on Phase
Out of Capital IPPS Teaching
Adjustment Provisions Included in the
FY 2008 Final Rule With Comment
Period and Further Solicitation of
Public Comments
As indicated above, in the FY 2008
IPPS final rule with comment period,
we formally adopted as final policy a
phase out of the capital IPPS teaching
adjustment over a 3-year period,
maintaining the current adjustment for
FY 2008, making a 50-percent reduction
in FY 2009, and eliminating the
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Sfmt 4702
adjustment for FY 2010 and subsequent
years. However, because we concluded
that this change to the structure of
payments under the capital IPPS was
significant, we provided the public with
an opportunity for further comment on
these provisions through a 90-day
comment period after publication of the
FY 2008 IPPS final rule with comment
period (72 FR 47401). In addition, as we
indicated in that final rule with
comment period, to provide a more than
adequate opportunity for hospitals,
associations, and other interested
parties to raise issues and concerns
related to our policy, we are providing
additional opportunity for public
comment during this FY 2009 proposed
rulemaking cycle for the IPPS.
We received numerous timely pieces
of correspondence that commented on
the policy of phasing out the capital
IPPS teaching adjustment as described
in the FY 2008 IPPS final rule with
comment period. These comments are
available on our e-rulemaking Web site,
at https://www.cms.hhs.gov/
eRulemaking/ECCMSR/list.asp. We will
also accept public comments on this
policy during the comment period for
this proposed rule. We will respond to
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both sets of public comments when we
issue the FY 2009 IPPS final rule, which
is scheduled for publication in August
2008.
VI. Proposed Changes for Hospitals and
Hospital Units Excluded From the IPPS
jlentini on PROD1PC65 with PROPOSALS2
A. Proposed Payments to Excluded
Hospitals and Hospital Units
Historically, hospitals and hospital
units excluded from the prospective
payment system received payment for
inpatient hospital services they
furnished on the basis of reasonable
costs, subject to a rate-of-increase
ceiling. An annual per discharge limit
(the target amount as defined in
§ 413.40(a)) was set for each hospital or
hospital unit based on the hospital’s
own cost experience in its base year.
The target amount was multiplied by
the Medicare discharges and applied as
an aggregate upper limit (the ceiling as
defined in § 413.40(a)) on total inpatient
operating costs for a hospital’s cost
reporting period. Prior to October 1,
1997, these payment provisions applied
consistently to all categories of excluded
providers, which include rehabilitation
hospitals and units (now referred to as
IRFs), psychiatric hospitals and units
(now referred to as IPFs), LTCHs,
children’s hospitals, and cancer
hospitals.
Payment for children’s hospitals and
cancer hospitals that are excluded from
the IPPS continues to be subject to the
rate-of-increase ceiling based on the
hospital’s own historical cost
experience. (We note that, in accordance
with § 403.752(a) of the regulations,
RNHCIs are also subject to the rate-ofincrease limits established under
§ 413.40 of the regulations.)
In this FY 2009 IPPS proposed rule,
we are proposing that the percentage
increase in the rate-of-increase limits for
cancer and children’s hospitals and
RNHCIs would be the proposed
percentage increase in the FY 2009 IPPS
operating market basket, which is
estimated to be 3.0 percent. Consistent
with our historical approach, we
calculated the proposed IPPS operating
market basket for FY 2009 using the
most recent data available. However, if
more recent data are available for the
final rule, we will use them to calculate
the IPPS operating market basket. For
cancer and children’s hospitals and
RNHCIs, the proposed FY 2009 rate-ofincrease percentage that is applied to FY
2008 target amounts in order to
calculate FY 2009 target amounts is 3.0
percent, based on Global Insight, Inc.’s
2008 first quarter forecast of the IPPS
operating market basket increase, in
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19:42 Apr 29, 2008
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accordance with the applicable
regulations in 42 CFR 413.40.
IRFs, IPFs, and LTCHs were paid
previously under the reasonable cost
methodology. However, the statute was
amended to provide for the
implementation of prospective payment
systems for IRFs, IPFs, and LTCHs. In
general, the prospective payment
systems for IRFs, IPFs, and LTCHs
provided transition periods of varying
lengths during which time a portion of
the prospective payment was based on
cost-based reimbursement rules under
Part 413 (certain providers do not
receive a transition period or may elect
to bypass the transition period as
applicable under 42 CFR Part 412,
Subparts N, O, and P). We note that the
various transition periods provided for
under the IRF PPS, the IPF PPS, and the
LTCH PPS have ended.
For cost reporting periods beginning
on or after October 1, 2002, all IRFs are
paid 100 percent of the adjusted Federal
rate under the IRF PPS. Therefore, for
cost reporting periods beginning on or
after October 1, 2002, no portion of an
IRF PPS payment is subject to 42 CFR
Part 413. Similarly, for cost reporting
periods beginning on or after October 1,
2006, all LTCHs are paid 100 percent of
the adjusted Federal prospective
payment rate under the LTCH PPS.
Therefore, for cost reporting periods
beginning on or after October 1, 2006,
no portion of the LTCH PPS payment is
subject to 42 CFR Part 413. (We note
that, to the extent a portion of a LTCH’s
PPS payment was subject to reasonable
cost principles, the Secretary utilized
his broad authority under section 123 of
the BBRA, as amended by section 307
of the BIPA, to make such portion
subject to 42 CFR Part 413 and various
provisions in section 1886(b) of the
Act.) Likewise, for cost reporting
periods beginning on or after January 1,
2008, all IPFs are paid 100 percent of
the Federal per diem amount under the
IPF PPS. Therefore, for cost reporting
periods beginning on or after January 1,
2008, no portion of an IPF PPS payment
is subject to 42 CFR Part 413.
B. IRF PPS
Section 1886(j) of the Act, as added by
section 4421(a) of Pub. L. 105–33,
provided for a phase-in of a case-mix
adjusted PPS for inpatient hospital
services furnished by IRFs for cost
reporting periods beginning on or after
October 1, 2000, and before October 1,
2002, with payments based entirely on
the adjusted Federal prospective
payment for cost reporting periods
beginning on or after October 1, 2002.
Section 1886(j) of the Act was amended
by section 125 of Pub. L. 106–113 to
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Fmt 4701
Sfmt 4702
require the Secretary to use a discharge
as the payment unit for services
furnished under the PPS for inpatient
rehabilitation hospitals and inpatient
rehabilitation units of hospitals (referred
to as IRFs), and to establish classes of
patient discharges by functional-related
groups. Section 305 of Pub. L. 106–554
further amended section 1886(j) of the
Act to allow IRFs, subject to the blended
methodology, to elect to be paid the full
Federal prospective payment rather than
the transitional period payments
specified in the Act.
On August 7, 2001, we issued a final
rule in the Federal Register (66 FR
41316) establishing the PPS for IRFs,
effective for cost reporting periods
beginning on or after January 1, 2002.
There was a transition period for cost
reporting periods beginning on or after
January 1, 2002, and ending before
October 1, 2002. For cost reporting
periods beginning on or after October 1,
2002, payments are based entirely on
the adjusted Federal prospective
payment rate determined under the IRF
PPS.
C. LTCH PPS
On August 30, 2002, we issued a final
rule in the Federal Register (67 FR
55954) establishing the PPS for LTCHs,
effective for cost reporting periods
beginning on or after October 1, 2002.
Except for a LTCH that made an election
under § 412.533(c) or a LTCH that is
defined as new under § 412.23(e)(4),
there was a transition period under
§ 412.533(a) for LTCHs. For cost
reporting periods beginning on or after
October 1, 2006, all LTCHs are paid 100
percent of the adjusted Federal
prospective payment rate.
D. IPF PPS
In accordance with section 124 of
Pub. L. 106–113 and section 405(g)(2) of
Pub. L. 108–173, we established a PPS
for inpatient hospital services furnished
in IPFs. On November 15, 2004, we
issued in the Federal Register a final
rule (69 FR 66922) that established the
IPF PPS, effective for IPF cost reporting
periods beginning on or after January 1,
2005. Under the requirements of that
final rule, we computed a Federal per
diem base rate to be paid to all IPFs for
inpatient psychiatric services based on
the sum of the average routine
operating, ancillary, and capital costs
for each patient day of psychiatric care
in an IPF, adjusted for budget neutrality.
The Federal per diem base rate is
adjusted to reflect certain patient
characteristics, including age, specified
DRGs, selected high-cost comorbidities,
days of the stay, and certain facility
characteristics, including a wage index
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jlentini on PROD1PC65 with PROPOSALS2
adjustment, rural location, indirect
teaching costs, the presence of a fullservice emergency department, and
COLAs for IPFs located in Alaska and
Hawaii.
We established a 3-year transition
period during which IPFs whose cost
reporting periods began on or after
January 1, 2005, and before January 1,
2008, would be paid a PPS payment, a
portion of which was based on
reasonable cost principles and a portion
of which was the Federal per diem
payment amount. For cost reporting
periods beginning on or after January 1,
2008, all IPFs are paid 100 percent of
the Federal per diem payment amount.
E. Determining Proposed LTCH Cost-toCharge Ratios (CCRs) Under the LTCH
PPS
In general, we use a LTCH’s overall
CCR, which is computed based on either
the most recently settled cost report or
the most recent tentatively settled cost
report, whichever is from the latest cost
reporting period, in accordance with
§ 412.525(a)(4)(iv)(B) and
§ 412.529(c)(4)(iv)(B) for high cost
outliers and short-stay outliers,
respectively. (We note that, in some
instances, we use an alternative CCR,
such as the statewide average CCR in
accordance with the regulations at
§ 412.525(a)(4)(iv)(C) and
§ 412.529(c)(4)(iv)(C), or a CCR that is
specified by CMS or that is requested by
the hospital under the provisions of the
regulations at § 412.525(a)(4)(iv)(A) and
§ 412.529(c)(4)(iv)(A).) Under the LTCH
PPS, a single prospective payment per
discharge is made for both inpatient
operating and capital-related costs.
Therefore, we compute a single
‘‘overall’’ or ‘‘total’’ LTCH-specific CCR
based on the sum of LTCH operating
and capital costs (as described in
Chapter 3, section 150.24, of the
Medicare Claims Processing Manual
(CMS Pub. 100–4)) as compared to total
charges. Specifically, a LTCH’s CCR is
calculated by dividing a LTCH’s total
Medicare costs (that is, the sum of its
operating and capital inpatient routine
and ancillary costs) by its total Medicare
charges (that is, the sum of its operating
and capital inpatient routine and
ancillary charges).
Generally, a LTCH is assigned the
applicable statewide average CCR if,
among other things, a LTCH’s CCR is
found to be in excess of the applicable
maximum CCR threshold (that is, the
LTCH CCR ceiling). This is because
CCRs above this threshold are most
likely due to faulty data reporting or
entry, and, therefore, these CCRs should
not be used to identify and make
payments for outlier cases. Such data
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are clearly errors and should not be
relied upon. Thus, under our
established policy, generally, if a
LTCH’s calculated CCR is above the
applicable ceiling, the applicable LTCH
PPS statewide average CCR is assigned
to the LTCH instead of the CCR
computed from its most recent (settled
or tentatively settled) cost report data.
In the FY 2008 IPPS final rule with
comment period, in accordance with
§ 412.525(a)(4)(iv)(C)(2) for high-cost
outliers and § 412.529(c)(4)(iv)(C)(2) for
short-stay outliers, using our established
methodology for determining the LTCH
total CCR ceiling, based on IPPS total
CCR data from the March 2007 update
to the Provider-Specific File (PSF), we
established a total CCR ceiling of 1.284
under the LTCH PPS effective October
1, 2007, through September 30, 2008.
(For further detail on our methodology
for annually determining the LTCH total
CCR ceiling, we refer readers to the FY
2007 IPPS final rule (71 FR 48117
through 48121) and the FY 2008 IPPS
final rule with comment period (72 FR
47403 through 47404).)
Our general methodology established
for determining the statewide average
CCRs used under the LTCH PPS is
similar to our established methodology
for determining the LTCH total CCR
ceiling (described above) because it is
based on ‘‘total’’ IPPS CCR data. Under
the LTCH PPS high-cost outlier policy at
§ 412.525(a)(4)(iv)(C) and the short-stay
outlier policy at § 412.529(c)(4)(iv)(C),
the fiscal intermediary (or MAC) may
use a statewide average CCR, which is
established annually by CMS, if it is
unable to determine an accurate CCR for
a LTCH in one of the following
circumstances: (1) A new LTCH that has
not yet submitted its first Medicare cost
report (for this purpose, a new LTCH is
defined as an entity that has not
accepted assignment of an existing
hospital’s provider agreement in
accordance with § 489.18); (2) a LTCH
whose CCR is in excess of the LTCH
CCR ceiling (as discussed above); and
(3) any other LTCH for whom data with
which to calculate a CCR are not
available (for example, missing or faulty
data). (Other sources of data that the
fiscal intermediary (or MAC) may
consider in determining a LTCH’s CCR
include data from a different cost
reporting period for the LTCH, data
from the cost reporting period preceding
the period in which the hospital began
to be paid as a LTCH (that is, the period
of at least 6 months that it was paid as
a short-term acute care hospital), or data
from other comparable LTCHs, such as
LTCHs in the same chain or in the same
region.)
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In this proposed rule, in accordance
with § 412.525(a)(4)(iv)(C)(2) for highcost outliers and
§ 412.529(c)(4)(iv)(C)(2) for short-stay
outliers, using our established
methodology for determining the LTCH
total CCR ceiling (described above),
based on IPPS total CCR data from the
December 2007 update to the PSF), we
are proposing a total CCR ceiling of
1.262 under the LTCH PPS, effective for
discharges occurring on or after October
1, 2008, and before October 1, 2009. If
more recent data become available
before publication of the final rule, we
will use such data to determine the final
total CCR ceiling under the LTCH PPS
for FY 2009.
In this FY 2009 IPPS proposed rule,
in accordance with § 412.525(a)(4)(iv)(C)
for high-cost outliers and
§ 412.529(c)(4)(iv)(C) for short-stay
outliers, using our established
methodology for determining the LTCH
statewide average CCRs (described
above), based on the most recent
complete IPPS total CCR data from the
December 2007 update of the PSF, we
are proposing LTCH PPS statewide
average total CCRs for urban and rural
hospitals that would be effective for
discharges occurring on or after October
1, 2008, and before October 1, 2009,
presented in Table 8C of the Addendum
to this proposed rule. If more recent
data become available before
publication of the final rule, we will use
such data to determine the final
statewide average total CCRs for urban
and rural hospitals under the LTCH PPS
for FY 2009 using our established
methodology described above.
We note that, for this proposed rule,
as we established when we revised our
methodology for determining the
applicable LTCH statewide average
CCRs in the FY 2007 IPPS final rule (71
FR 48119 through 48121), and as is the
case under the IPPS, all areas in the
District of Columbia, New Jersey, Puerto
Rico, and Rhode Island are classified as
urban, and, therefore, there are no
proposed rural statewide average total
CCRs listed for those jurisdictions in
Table 8C of the Addendum to this
proposed rule. In addition, as we
established when we revised our
methodology for determining the
applicable LTCH statewide average
CCRs in that same final rule, and as is
the case under the IPPS, although
Massachusetts has areas that are
designated as rural, there were no shortterm acute care IPPS hospitals or LTCHs
located in those areas as of December
2007. Therefore, for this proposed rule,
there is no proposed rural statewide
average total CCR listed for rural
Massachusetts in Table 8C of the
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Addendum of this proposed rule. As we
also established when we revised our
methodology for determining the
applicable LTCH statewide average
CCRs in the FY 2007 IPPS final rule (71
FR 48120 through 48121), in
determining the urban and rural
statewide average total CCRs for
Maryland LTCHs paid under the LTCH
PPS, we use, as a proxy, the national
average total CCR for urban IPPS
hospitals and the national average total
CCR for rural IPPS hospitals,
respectively. We use this proxy because
we believe that the CCR data on the PSF
for Maryland hospitals may not be
accurate (as discussed in greater detail
in that same final rule (71 FR 48120)).
F. Proposed Change to the Regulations
Governing Hospitals-Within-Hospitals
On September 1, 1994, we published
hospital-within-hospital (HwH)
regulations for LTCHs to address
inappropriate Medicare payments to
entities that were effectively units of
other hospitals (59 FR 45330). There
was concern that the HwH model was
being used by some acute care hospitals
paid under the IPPS as a way of
inappropriately receiving higher
payments for a subset of their cases.
Moreover, IPPS-exclusion of long-term
care ‘‘units’’ was and remains
inconsistent with the statutory scheme.
Therefore, we established the HwH
regulations at 42 CFR 412.23 (currently
at § 412.22) for a LTCH HwH that is colocated with another hospital. A colocated hospital is a hospital that
occupies space in the same building or
on the same campus as another hospital.
The regulations at § 412.23(e) required
that, to be excluded from the IPPS, longterm care HwHs must have a separate
governing body, chief medical officer,
medical staff, and chief executive officer
from that of the co-located hospital. In
addition, the HwH must meet either of
the following two criteria: The HwH
must perform certain specified basic
hospital functions on its own and not
receive them from the host hospital or
a third entity that controls both
hospitals; or the HwH must receive at
least 75 percent of its inpatients from
sources other than the co-located
hospital. A third option was added to
the regulations on September 1, 1995
(60 FR 45778) that allowed HwHs to
demonstrate their separateness by
showing that the cost of the services that
the hospital obtains under contracts or
other agreements with the co-located
hospital or a third entity that controls
both hospitals is no more than 15
percent. In 1997, we extended
application of the HwH rules at § 412.22
to all classes of IPPS excluded hospitals.
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Therefore, effective for cost reporting
periods beginning on or after October 1,
1997, psychiatric, rehabilitation, cancer,
and children’s hospitals that are colocated with another hospital are also
required to meet the ‘‘separateness’’
criteria at § 412.22(e).
In addition, a ‘‘grandfathering’’
provision was added to the regulations
at § 412.22(f), as provided for under
section 4417 of the Balanced Budget Act
(BBA) of 1997 (Pub. L. 105–33). This
provision of the regulations allowed a
LTCH that was excluded from the IPPS
on or before September 30, 1995, and at
that time occupied space in a building
also used by another hospital, or in one
or more buildings located on the same
campus as buildings used by another
hospital, to retain its IPPS-excluded
status even if the HwH criteria at
§ 412.22(e) could not be met, as long as
the hospital continued to operate under
the same terms and conditions as were
in effect on September 30, 1995.
Consistent with the grandfathering
provision under the BBA, which only
applied to LTCHs, we extended the
application of the grandfathering rule to
the other classes of IPPS-excluded
hospitals that are HwHs but did not
meet the criteria at § 412.22(e). (We
subsequently expanded this provision to
allow for a grandfathered hospital to
make specified changes during
particular timeframes.)
Despite our efforts to allow those
HwHs for whom the IPPS-exclusion
status is appropriate to meet the HwH
criteria, it appears that there may be a
gap in our regulations. There remain
certain HwHs under current rules that
may be unnecessarily restricted from
expanding their bed size. These HwHs
are State hospitals that are co-located
with another State hospital and that are
grandfathered under § 412.22(f). Where
a State law defines the structure and
authority of the State’s agencies and
institutions, and the State hospital is colocated with another hospital that is
under State governance, each hospital
may have control over the day-to-day
operations of its respective facility and
have separate management, patient
intake, and billing systems and medical
staff, as well as a governing board.
However, State law may require that the
legal accountability for the budgets and
activities of entities operating within a
State-run institution rests with the State.
Therefore, the co-located State hospitals
may also be governed by a common
governing body. Because of State law
requirements, these HwHs are,
therefore, precluded from meeting the
HwH criteria at § 412.22(e)(1)(i) that
requires the governing body of a colocated hospital to be separate from the
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governing body of the hospital with
which it shares space. The excluded
hospital’s governing body cannot be
under the control of the hospital
occupying space in the same building or
on the same campus, or of any third
entity that controls both hospitals.
Currently, there are State HwHs in these
types of arrangements that have been
able to retain their IPPS-excluded status
solely because of the grandfathering
provision in § 412.22(f). These HwHs
were IPPS-excluded even before the
HwH criteria were implemented and
only remain excluded HwHs under
§ 412.22(f) as long as they continue to
meet the requirements specified under
§ 412.22(f)(1), (f)(2), and (f)(3). Because
they are grandfathered, these HwHs
cannot increase their bed size without
losing their IPPS-excluded status under
the grandfathering provisions
(§ 412.22(f)). Furthermore, if a
grandfathered State-run HwH increased
its bed size, it would be unable to
qualify as an IPPS-excluded HwH under
§ 412.22(e) because it cannot meet the
HwH criteria at § 412.22(e)(1)(i) as a
result of State law requirements
regarding its organizational structure
and governance. These HwHs are
precluded from the flexibility to expand
their bed size, which is available to
other HwHs whose organizational
structure is not bound by State law.
As discussed in the previous
paragraph, the organizational
arrangements were in place for these
State-operated HwHs before the HwH
regulations were adopted. To the extent
the arrangements are required by State
law, we believe they do not reflect
attempts by entities to establish a
nominal hospital and, in turn, seek
inappropriate exclusions. We also
believe it may be unnecessary to prevent
hospitals that were created before the
HwH requirements, and that because of
State statutory requirements cannot
meet the subsequently issued separate
governing body requirements, from
being excluded from the IPPS.
Accordingly, we are proposing to add a
provision to the regulations that would
apply only to State hospitals that were
in existence when the HwH regulations
were established. This proposed
provision would not apply to other State
hospitals that chose to open as a HwH
subsequent to the establishment of the
HwH regulations in FY 1994, under an
organizational structure the same as or
similar to the one described in this
section. These hospitals knew, in
advance of becoming a HwH, the
requirements that had to be met in order
to be an IPPS-excluded HwH, unlike
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those hospitals that existed before the
HwH regulations were established.
Accordingly, we are proposing to add
a new paragraph (e)(1)(vi) to § 412.22 to
provide that if a hospital cannot meet
the criteria in § 412.22(e)(1)(i) solely
because it is a State hospital occupying
space with another State hospital, the
HwH can nevertheless qualify for an
exclusion from the IPPS if that hospital
meets the other applicable criteria in
§ 412.22(e) and—
• Both State hospitals share the same
building or same campus and have been
continuously owned and operated by
the State since October 1, 1995;
• Is required by State law to be
subject to the governing authority of the
State hospital with which it shares
space or the governing authority of a
third entity that controls both hospitals;
and
• Was excluded from the inpatient
prospective payment system before
October 1, 1995, and continues to be
excluded from the IPPS through
September 30, 2008.
We believe the proposed criteria
capture the segment of grandfathered,
State-operated HwHs that are unable to
increase their bed size because of State
law regarding governance. We
emphasize that we intend to allow an
exception to the criteria in § 412.22
(e)(1)(i) only if the hospital that meets
the proposed criteria above cannot meet
the separate governing body
requirement because of State law. We do
not intend to provide similar treatment
for hospitals that are not subject to State
statutory requirements regarding
governance but have chosen not to
organize in a manner that would allow
them to be an IPPS-excluded hospital
that meets the HwH criteria at
§ 412.22(e)(1)(i).
VII. Disclosure Required of Certain
Hospitals and Critical Access Hospitals
Regarding Physician Ownership
(§ 489.2(u) and (v))
Section 1866 of the Act states that any
provider of services (except a fund
designated for purposes of sections
1814(g) and 1835(e) of the Act) shall be
qualified to participate in the Medicare
program and shall be eligible for
Medicare payments if it files with the
Secretary a Medicare provider
agreement and abides by the
requirements applicable to Medicare
provider agreements. These
requirements are incorporated into our
regulations in 42 CFR Part 489, Subparts
A and B. Section 1861(e) of the Act
defines the term ‘‘hospital.’’ Section
1861(e)(9) of the Act authorizes the
Secretary to establish requirements for
hospitals as he finds necessary in the
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interest of patient health and safety.
Section 1820(e)(3) of the Act authorizes
the Secretary to establish criteria
necessary for an institution to be
certified as a ‘‘critical access hospital.’’
In the FY 2008 IPPS final rule with
comment period, we revised our
regulations governing Medicare
provider agreements, specifically
§ 489.20(u), to require a hospital to
disclose to all patients whether it is
physician-owned and, if so, the names
of its physician owners (72 FR 47385
through 47387). In addition, we added
a definition of physician-owned
hospital at § 489.3. The disclosure
requirement in current § 489.20(u) is
applicable only to those hospitals with
physician ownership. (For purposes of
this proposal, the term ‘‘hospital’’ also
includes ‘‘critical access hospital’’
(CAH).) We neglected to include those
hospitals in which no physician held an
ownership or investment interest, but in
which an immediate family member of
a physician held an ownership or
investment interest. However, it was
always our intent to have consistency
between the disclosure requirements
and the physician self-referral statute
and regulations. The physician selfreferral statute and regulations, which
recognize the potential for program and
patient abuse where a financial
relationship exists, are applicable to
both a physician and the immediate
family member of the physician. We
believe that it is necessary to revise our
definition of physician-owned hospital
because a physician’s potential conflict
of interest occurs not only in those
instances where he or she has a
financial relationship in the form of an
ownership or investment interest, but
also where his or her immediate family
member has a similar interest, and
patients should be informed of this as
part of making an informed decision
concerning treatment. Therefore, we are
proposing to revise the language in
§ 489.3 to define a ‘‘physician-owned
hospital’’ as a participating hospital in
which a physician, or an immediate
family member of a physician (as
defined at § 411.351), has an ownership
or investment interest in the hospital.
To effectuate the changes made in the
FY 2008 IPPS final rule with comment
period, we relied on our authority in
sections 1861(e)(9), 1820(e)(3) and 1866
of the Act, and on our general
rulemaking authority in sections 1871
and 1102 of the Act. Following
publication of the FY 2008 IPPS final
rule with comment period, we became
aware that some physician-owned
hospitals have no physician owners
who refer patients to the hospital (for
example, in the case of a hospital whose
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physician-owners have retired from the
practice of medicine). We believe that
requiring a hospital with no referring
physician owners to disclose to all
patients that it is physician-owned and
to provide the patients with a list of the
(nonreferring) physician owners would
be an unnecessary burden on the
hospital and of no value in assisting a
patient in making an informed decision
as to where to seek treatment. Similarly,
we do not believe that it is useful to
require a hospital to make such
disclosures when no referring physician
has an immediate family member who
has an ownership or investment interest
in the hospital. Accordingly, we are
proposing to include in § 489.20(v) new
language to provide for an exception to
the disclosure requirements for a
physician-owned hospital (as defined at
§ 489.3) that does not have any
physician owners who refer patients to
the hospital (and that has no referring
physicians (as defined at § 411.351) who
have an immediate family member with
an ownership or investment interest in
the hospital), provided that the hospital
attests, in writing, to that effect and
maintains such attestation in its files for
review by State and Federal surveyors
or other government officials. (We note
that, as explained below, we are
proposing to redesignate the existing
paragraphs (v) and (w) of § 489.20 as
paragraphs (w) and (x), respectively.)
We are proposing to revise § 489.20(u)
to specify that a hospital must furnish
to patients the list of owners and
investors who are physicians (or
immediate family members of
physicians) at the time the list is
requested by or on behalf of the patient.
In response to the FY 2008 IPPS
proposed rule, we received public
comments that noted that our proposal
did not establish a timeframe within
which the hospital must furnish to
patients the required list of the
hospital’s physician owners or
investors. These commenters suggested
that we require that the list be provided
to the patient at the time the request for
the list is made by or on behalf of the
patient. We stated in the preamble of the
FY 2008 IPPS final rule with comment
period that we would not revise the
provision to include any specific
timeframe for making the list available
because we believed that it was
important to allow hospitals some
degree of flexibility regarding the
manner and form in which it notified
patients of the identity of its physician
owners and investors (72 FR 47386).
However, we also stated later in the
preamble that we were revising
proposed § 489.20(u) to specify that the
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hospital should furnish a list of
physician owners to a patient at the
beginning of his or her hospital stay or
outpatient visit, but the regulation text
did not reflect this change (72 FR
47387).
We have reconsidered the issue and
are proposing in § 489.20(u)(1) that the
list of the hospital’s owners or investors
who are physicians or immediate family
members of physicians (as defined at
§ 411.351) must be furnished at the time
the patient or someone on the patient’s
behalf requests it. We are proposing this
change for two reasons. First, in the FY
2008 IPPS final rule with comment
period, in response to public comments
received on the FY 2008 IPPS proposed
rule, we stated that we believed that the
physician ownership disclosure
proposal would permit an individual to
make more informed decisions
regarding his or her treatment and to
evaluate whether the existence of a
financial relationship, in the form of an
ownership interest, suggests a conflict of
interest that is not in his or her best
interest. However, we maintain that the
provision of a generic notice that the
hospital is owned by physicians or
immediate family members of
physicians is insufficient to permit an
individual to make a truly informed
decision. We believe that it is critical
that the patient receives the list of
names of the relevant owners or
investors at the time the request is made
by or on behalf of the patient so that the
patient may make a determination as to
whether his or her admitting or referring
physician has a potential conflict of
interest. Second, furnishing the list at
the time the request is made by the
patient or on behalf of the patient is
crucial to affording the patient an
opportunity to make an informed
decision before treatment is furnished at
the hospital. We are not specifying a
form to be used for the list; rather, we
are addressing the timeframe for the
hospital to furnish the list to the patient.
In addition, we are proposing to add
new § 489.20(u)(2) to require a hospital
to require all physicians who are
members of the hospital’s medical staff
to agree, as a condition of continued
medical staff membership or admitting
privileges, to disclose in writing to all
patients who they refer to the hospital
any ownership or investment interest in
the hospital held by themselves or by an
immediate family member. We would
require that physicians agree to make
such disclosures at the time they refer
patients to the hospital. We proposed a
similar requirement in the FY 2008 IPPS
proposed rule, but decided not to adopt
it as final. In response to a public
comment, we stated that we would not
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finalize the proposal because we
believed that it would not provide any
additional protections for patients that
would not already be offered by the
requirement for hospitals to disclose
their physician ownership to patients.
We have revisited this issue.
In the FY 2008 IPPS final rule with
comment period, we stated that the
scheduling of most hospital inpatient or
outpatient services is performed by a
staff member in the physician’s office,
often weeks, or even months, in advance
of the furnishing of the service. As
discussed previously, we believe that
early notification of physician
ownership or investment in the hospital
is beneficial to the patient’s
decisionmaking concerning his or her
treatment. Currently, under § 489.20(u),
scheduling of inpatient stays and
outpatient visits at physician-owned
hospitals would be permitted without
notification to the patient of the
referring physician’s ownership or
investment interest in the hospital. If a
patient were notified of the physician
ownership or investment at the time of
the referral, he or she would have an
opportunity to discuss the physician’s
ownership or investment in the hospital
and make a more informed decision. We
believe that it would be in the best
interests of the patient and the
physician owner or investor to disclose
the physician’s (or his or her immediate
family member’s) ownership in the
hospital at the time the physician is
referring the patient to the hospital. We
are revising § 489.20(u) accordingly.
We note that notification of physician
ownership or investment in a hospital
may not be viewed negatively by all
interested parties. For instance, some
physician owners or investors in
hospitals believe that disclosing their
ownership or investment interests in the
hospital to their patients at the time of
the referral is extremely beneficial for
both the physician and the patient. They
communicate to patients their belief that
their ownership in the hospital permits
them to have total control over
scheduling, staffing, and quality
mechanisms. Section 5006 of the
Medicare, Prescription Drug,
Improvement, and Modernization Act of
2003 (MMA) required, among other
things, that HHS study the quality of
care and patient satisfaction with
specialty hospitals. HHS concluded that
specialty hospital patients have very
favorable perceptions of the clinical
quality of care they receive, and that
overall patient satisfaction is very high.
We are also proposing to revise
§ 489.53 to permit CMS to terminate the
Medicare provider agreement if the
hospital fails to comply with the
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provisions of proposed § 489.20(u)(1) or
(u)(2). We believe that these revisions
would be necessary to enforce the
proposed disclosure requirements set
forth in § 489.20.
We are not inclined to make a
corresponding change to the medical
staff bylaws condition of participation
(CoP) in § 482.22(c). We believe that the
proposed disclosure requirement is
appropriate for inclusion in the
regulations governing Medicare
provider agreements for the following
reasons. As stated in the FY 2008 IPPS
final rule with comment period, each
participating provider must comply
with all applicable provisions of the
provider agreement regulations found in
42 CFR Part 489, and CMS may
terminate a provider agreement if the
provider is not in substantial
compliance with these requirements (72
FR 47391). A provider’s compliance
with applicable provider agreement
regulations is reviewed through a
variety of means, including onsite
investigation of complaints. Thus,
compliance with this proposed
requirement could be easily monitored.
We also note that any revisions to the
medical staff bylaws concerning the
requirement that the disclosure be given
at the time of the referral would be
difficult to enforce as a CoP because the
required notification generally would be
given outside of the hospital’s or CAH’s
premises. However, we are considering
whether these proposed changes would
be better effectuated through changes to
our regulations governing the CoPs
applicable to hospitals and CAHs,
which appear at 42 CFR Part 482 and 42
CFR Part 485, Subpart F, respectively,
and, therefore, we are soliciting public
comments on this issue.
In the FY 2008 IPPS final rule with
comment period, we added a new
provision at § 489.20(v) to require that
hospitals and CAHs: (1) Furnish all
patients written notice at the beginning
of their inpatient hospital stay or
outpatient service if a doctor of
medicine or a doctor of osteopathy is
not present in the hospital 24 hours per
day, 7 days per week; and (2) describe
how the hospital or CAH will meet the
medical needs of any patient who
develops an emergency medical
condition at a time when no physician
is present in the hospital (72 FR 47387).
(We are proposing to redesignate
existing § 489.20(v) and (w) as
§ 489.20(w) and (x), respectively, to
accommodate the addition of the
proposed exception to the requirements
in § 489.20(v) discussed above.) We
stated that it is important to ensure that
consumers are provided accurate
information on the availability of
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physician services at the point when
they are about to become patients of a
hospital or CAH. In order to be fully
informed, consumers should be made
aware of whether a hospital or CAH has
a physician on-site 24 hours per day, 7
days per week, and should be made
aware of the hospital’s or CAH’s
processes for addressing medical
emergencies that may occur when a
physician is not on site. Given the
patient safety measures addressed by
these provisions, we are proposing to set
forth penalties for failure to comply
with these requirements. Specifically,
we are proposing to revise § 489.53 to
permit CMS to terminate the provider
agreement of any hospital or CAH that
fails to comply with the requirements
set forth in proposed redesignated
§ 489.20(w).
We are also soliciting public
comments on whether hospitals and
CAHs should educate patients about the
availability of information regarding
physician ownership under the
proposed disclosure requirements and,
if so, by what means (for example, by a
posting in the admissions office or in a
patient brochure).
VIII. Physician Self-Referral Provisions
(§§ 411.351, 411.352 and 411.354)
A. Stand in the Shoes Provisions
1. Physician ‘‘Stand in the Shoes’’
Provisions
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a. Background
Section 1877 of the Act, also known
as the physician self-referral law: (1)
Prohibits a physician from making
referrals for certain designated health
services (‘‘DHS’’) payable by Medicare
to an entity with which he or she (or an
immediate family member) has a
financial relationship (ownership,
investment or compensation), unless an
exception applies; and (2) prohibits the
entity from filing claims with Medicare
(or billing another individual, entity, or
third party payor) for those referred
services. The statute establishes a
number of specific exceptions and
grants the Secretary the authority to
create regulatory exceptions for
financial relationships that pose no risk
of program or patient abuse.
Determining whether DHS entities and
referring physicians (or their immediate
family members) have direct or indirect
financial relationships is a key step in
applying the statute.
In the final rule entitled ‘‘Medicare
Program; Physicians’ Referrals to Health
Care Entities With Which They Have
Financial Relationships (Phase III),’’
published in the Federal Register on
September 5, 2007 (72 FR 51012)
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(‘‘Phase III’’), we interpreted certain
provisions of section 1877 of the Act,
including provisions relating to direct
and indirect compensation
arrangements. Specifically, the Phase III
final rule included provisions under
which referring physicians are treated as
standing in the shoes of their physician
organizations for purposes of applying
the rules that describe direct and
indirect compensation arrangements in
§ 411.354 (72 FR 51026 through 51030).
A ‘‘physician organization’’ is defined at
§ 411.351 as ‘‘a physician (including a
professional corporation of which the
physician is the sole owner), a
physician practice, or a group practice
that complies with the requirements of
§ 411.352.’’ Therefore, when
determining whether a direct or indirect
compensation arrangement exists
between a physician and an entity to
which the physician refers Medicare
patients for DHS, the referring physician
stands in the shoes of: (1) Another
physician who employs the referring
physician; (2) his or her wholly-owned
professional corporation (‘‘PC’’); (3) a
physician practice (that is, a medical
practice) that employs or contracts with
the referring physician or in which the
physician has an ownership interest; or
(4) a group practice of which the
referring physician is a member or
independent contractor. The referring
physician is considered to have the
same compensation arrangements (with
the same parties and on the same terms)
as the physician organization in whose
shoes the referring physician stands.
Subsequent to the publication of
Phase III, industry stakeholders,
including academic medical centers
(‘‘AMCs’’), integrated tax-exempt health
care delivery systems, and their
representatives, expressed concern
about the application of the Phase III
‘‘stand in the shoes’’ provisions to
compensation arrangements involving
‘‘mission support payments’’ and
‘‘similar payments’’ (referred to in this
proposed rule generally as ‘‘support
payments’’). The stakeholders believed
that certain payments did not
previously trigger application of the
physician self-referral law but, after
Phase III, need to satisfy the
requirements of an exception. One
example offered was a DHS entity
component (such as a hospital) of an
AMC that transfers funds to the faculty
practice plan component of the AMC. If
a referring physician stands in the shoes
of his or her faculty practice plan, the
compensation arrangement between the
hospital providing the support payment
and the faculty practice plan will be
considered to be a direct compensation
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arrangement between the hospital and
the physician and would need to satisfy
the requirements of a direct
compensation arrangement exception, if
the physician is to continue referring
Medicare patients to the component for
DHS. According to the industry
stakeholders, before Phase III, such
arrangements would have been analyzed
under the rules regarding indirect
compensation arrangements and would,
in their view, have been permitted.
After Phase III, in their view, it is
unlikely that the requirements of an
available exception could be satisfied
given the nature of support payments;
that is, support payments usually are
not tied to specific items or services
provided by the faculty practice plan (or
group practice within an integrated
health care delivery system), but rather
are intended to support the overall
mission of the AMC or maintain
operations in an integrated health care
delivery system. For this reason,
support payments likely do not satisfy
the requirement, present in many
exceptions, that the compensation be
fair market value for items or services
provided. Similarly, some stakeholders
raised concerns about support payments
made from faculty practice plans to
AMC components. Although AMCs are
free to use the exception for services
provided by an AMC in § 411.355(e)
(which would protect support payments
made among AMC components if all of
the conditions of the exception are met),
industry stakeholders explained that
many AMCs do not do so, preferring
instead to rely on other available
exceptions and the rules regarding
indirect compensation arrangements
(especially prior to Phase III).
To provide CMS sufficient time to
study the ‘‘stand in the shoes’’
provisions as they relate to
compensation arrangements involving
support payments, seek additional
public comment, and develop an
approach for addressing this issue, on
November 15, 2007, we issued a final
rule entitled ‘‘Medicare Program; Delay
of the Date of Applicability for Certain
Provisions of Physicians’ Referrals to
Health Care Entities With Which They
Have Financial Relationships (Phase
III)’’ (72 FR 64164) that delayed the
effective date of the provisions in
§ 411.354(c)(1)(ii), § 411.354(c)(2)(iv),
and § 411.354(c)(3) for 12 months after
the effective date of Phase III (that is,
until December 4, 2008). That final rule
was applicable to the following
compensation arrangements between
the following physician organizations
and entities ONLY:
• With respect to an AMC as
described in § 411.355(e)(2),
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compensation arrangements between a
faculty practice plan and another
component of the same AMC; and
• With respect to an integrated
section 501(c)(3) health care system,
compensation arrangements between an
affiliated DHS entity and an affiliated
physician practice in the same
integrated section 501(c)(3) health care
system.
Following the publication of the
November 15, 2007 final rule, other
industry stakeholders asserted that, in
addition to section 501(c)(3) health care
systems, most integrated health care
delivery systems, including ones
involving for-profit entities, make
support payments. The stakeholders
further asserted that, although under the
‘‘stand in the shoes’’ provisions such
payments must now satisfy a direct
compensation arrangement exception,
there is, in fact, no applicable exception.
These stakeholders urged that any
approach to addressing the impact of
the Phase III ‘‘stand in the shoes’’
provisions on support payments and
other monetary transfers within
integrated health care delivery systems
should have universal applicability that
is not dependent on whether the system
meets the definition of an AMC or has
a particular status under the rules of the
Internal Revenue Service.
b. Proposals
Given the potential widespread
impact of the ‘‘stand in the shoes’’
provisions, as well as the considerable
industry interest in their application, we
are revisiting the ‘‘stand in the shoes’’
policy and regulations issued in Phase
III. We believe that a more refined
approach to the ‘‘stand in the shoes’’
provisions would accomplish our goals
of simplifying the analysis of many
financial arrangements and reducing
program abuse by bringing more
financial relationships within the scope
of the physician self-referral law (such
as certain potentially abusive
arrangements between DHS entities and
physician organizations that may not
have met the definition of an ‘‘indirect
compensation arrangement’’). We note
that we are not suggesting that support
payments and other similar
compensation arrangements are without
risk of program or patient abuse, nor are
we endorsing such payments and
arrangements.
We are proposing here two alternative
ways to address the ‘‘stand in the shoes’’
issues described above, and are seeking
industry input on each proposal, as well
as on other possible approaches. The
first is a multi-faceted approach to
revising the Phase III ‘‘stand in the
shoes’’ provisions. The second proposal
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would leave the Phase III ‘‘stand in the
shoes’’ provisions as promulgated and
would, instead, create a new exception
using our authority under section
1877(b)(4) of the Act for nonabusive
arrangements that warrant protection
not available under existing exceptions.
We are also interested in public
comments on other approaches and on
whether changes to the existing ‘‘stand
in the shoes’’ provisions are needed at
all.
For the first proposal, we propose
revising § 411.354(c)(2)(iv) to provide
that a physician would be deemed not
to stand in the shoes of his or physician
organization if the compensation
arrangement between the physician
organization and the physician satisfies
the requirements of the exception in
§ 411.357(c) (for bona fide employment
relationships), the exception in
§ 411.357(d) (for personal service
arrangements), or the exception in
§ 411.357(l) (for fair market value
compensation). Currently, all physicians
stand in the shoes of their physician
organizations, regardless of the nature of
the compensation they receive from the
physician organization. Under our
proposal, the first step in the analysis
would be to look at the compensation a
referring physician receives from his or
her physician organization. A
compensation arrangement between a
physician organization and a physician
that satisfies the requirements of
§ 411.357(c), (d), or (l) would be
consistent with fair market value by
design and not determined in a manner
that takes into account (directly or
indirectly) the volume or value of any
referrals by the physician to the
physician organization. Although such
compensation could, in some
circumstances, be determined in a
manner that takes into account (directly
or indirectly) the volume or value of the
physician’s referrals to the DHS entity
(see 66 FR 869), we believe that the risk
of program or patient abuse will be
addressed sufficiently by analyzing such
arrangements between DHS entities and
referring physicians who do not stand in
the shoes of their physician
organizations using the rules regarding
indirect compensation arrangements.
Therefore, under this proposal, if the
compensation arrangement between a
physician organization and one of its
referring physicians satisfies the
requirements of one of the exceptions
noted above, the referring physician
would be deemed not to stand in the
shoes of the physician organization for
purposes of applying the definitions of,
and provisions related to, direct and
indirect compensation arrangements in
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§ 411.354(c). Arrangements between
DHS entities and physician
organizations whose physicians do not
stand in their shoes may still create
indirect compensation arrangements
that would need to satisfy the
requirements of the exception for
indirect compensation arrangements in
§ 411.357(p).
Under this first proposed approach,
physician owners and investors would
continue to stand in the shoes of their
physician organizations. However, we
are concerned that considering all
physician owners of, or physician
investors in, a physician organization to
stand in the shoes of the physician
organization, as they currently do under
the Phase III ‘‘stand in the shoes’’
provisions, might be over-inclusive. For
example, in a State that prohibits the
corporate practice of medicine, a
physician owner of a captive or
‘‘friendly’’ PC who has no right to the
distribution of profits would stand in
the shoes of his or her physician
organization, even though his or her
employment arrangement with the
group satisfies the requirements of the
exception for bona fide employment
relationships in § 411.357(c). We are
considering whether these and similarly
situated physician owners should have
to stand in the shoes of their physician
organizations when their ownership
interest is nominal in nature and their
compensation arrangement with the
physician organization satisfies the
requirements of one of the exceptions in
§ 411.357(c), (d), or (l). We are soliciting
public comments on this issue.
As described above, a physicianemployee or contractor whose
compensation arrangement with a
physician organization does not satisfy
the requirements of § 411.357(c), (d), or
(l) would stand in the shoes of the
physician organization. This is
necessary to address our concern that an
arrangement between a DHS entity and
a physician organization that
compensates its physicians in a manner
that does not satisfy the requirements of
an exception may be particularly prone
to abuse. For example, where a
physician-employee’s compensation
arrangement with his or her group
practice exceeds fair market value for
services provided to the group practice
employer (and, thus, does not satisfy the
requirements of the exception in
§ 411.357(c)), and the physicianemployee’s DHS referrals to the group
practice instead are protected under the
exception for in-office ancillary services
in § 411.355(b), there is risk that the
physician-employee’s above-fair-marketvalue compensation may reflect the
volume or value of referrals to the DHS
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entity. This could be the result of a
support or other payment between the
DHS entity and the group practice that
is designed to channel compensation to
the physician-employee for referrals to
the DHS entity.
We are also considering, and solicit
comments on, an approach under which
only owners of a physician organization
would stand in the shoes of that
physician organization (in which case, a
physician would not stand in the shoes
of a physician organization unless he or
she holds an ownership or investment
interest, even if the physician’s
compensation arrangement with that
physician organization does not satisfy
the requirements of § 411.357(c), (d), or
(l)). In conjunction with this approach,
we are interested in receiving comments
on whether and under what
circumstances the ‘‘stand in the shoes’’
provisions should apply to a physician
organization that has no physician
owners.
In this first approach, we also propose
to revise § 411.354(c)(3)(ii) to provide
that the provisions of §§ 411.354(c)(1)(ii)
and (c)(2)(iv) do not apply when the
requirements of § 411.355(e) are
satisfied. In other words, a physician
would not stand in the shoes of his or
her physician organization (for example,
a faculty practice plan) when his or her
referral for DHS is protected under the
exception in § 411.355(e) for services
provided by an AMC. We note that, if
all of the requirements of the exception
in § 411.355(e) are not satisfied, a
physician would stand in the shoes of
his or her physician organization unless,
as discussed above with respect to
proposed revised § 411.354(c)(2)(iv), the
compensation from the physician
organization to the physician satisfies
the requirements of the exception for
bona fide employment relationships, the
exception for personal service
arrangements, or the exception for fair
market value compensation in
§ 411.357(c), (d), and (l), respectively.
We are proposing to include a specific
revision to the regulation in
§ 411.354(c)(2)(iv); however, we are
seeking public comment as to whether
this policy is better achieved by revising
§ 411.354(c)(3) to delete the reference to
applying the exceptions in § 411.355,
and thereby providing that the ‘‘stand in
the shoes’’ provisions do not apply
where the prohibition on referrals is not
applicable because all of the
requirements of any of the exceptions in
§ 411.355 are satisfied.
In this first approach, we also propose
to revise § 411.354(c)(3)(ii) to provide
that the provisions of § 411.354(c)(1)(ii)
and (c)(2)(iv) do not apply when
compensation is provided by a
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component of an AMC to a physician
organization affiliated with that AMC
through a written contract to provide
services required to satisfy the AMC’s
obligations under the Medicare graduate
medical education (GME) rules where
the contract is limited to only services
necessary to fulfill the GME obligations
as set forth in 42 CFR, Part 413, Subpart
F. We have in mind certain
arrangements between a hospital
component of an AMC and a
community physician group to serve as
a teaching site for the AMC’s residents,
as required by the GME rules. If
adopted, this proposal would not mean
that such arrangements necessarily are
lawful, but rather that they would be
analyzed by applying the rules
regarding indirect compensation
arrangements.
Under this first proposal, if adopted,
some referring physicians would no
longer stand in the shoes of their
physician organizations as they
currently do under the Phase III ‘‘stand
in the shoes’’ provisions. In such
circumstances, the rules regarding direct
and indirect compensation
arrangements would still apply, and
financial relationships would still need
to be analyzed for compliance with the
statute and regulations. We are
concerned that, where physicians do not
stand in the shoes of their physician
organizations, some potentially abusive
arrangements between DHS entities and
physician organizations might be
viewed incorrectly as falling outside the
definition of an ‘‘indirect compensation
arrangement’’ at § 411.354(c)(2) and,
therefore, as not within the scope of the
physician self-referral law. The
definition of ‘‘indirect compensation
arrangement’’ generally requires that
three elements be present: (1) An
unbroken chain of financial
relationships between the DHS entity
and the referring physician; (2)
aggregate compensation to the referring
physician (from the entity in the chain
closest to the physician) that varies with
or takes into account in any manner the
volume or value of referrals to, or other
business generated for, the DHS entity;
and (3) knowledge by the DHS entity
that the referring physician receives
such compensation. (We refer readers to
66 FR 864 through 870, 69 FR 16057
through 16063, and 72 FR 51026
through 51031 for further explanation.)
We believe that some parties may be
construing these elements (particularly
the second and the third) too narrowly.
For example, we believe that aggregate
compensation can vary with or take into
account the volume or value of referrals
to, or business generated for, DHS
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entities in a wide range of
circumstances, including, without
limitation, arrangements involving:
variable, per-click, or percentage-based
compensation; exclusive contracts;
inflated fixed payments; or explicit or
implicit tying of compensation to other
referrals. To address this issue, we may
provide additional guidance on the
application of the three elements of the
definition of ‘‘indirect compensation
arrangement’’ in the FY 2009 IPPS final
rule. We are interested in public
comments regarding ways in which we
can ensure that the full range of
potentially abusive arrangements
between DHS entities and physician
organizations are appropriately
addressed in situations where
physicians do not stand in the shoes of
their physician organizations.
As discussed above, we are proposing
an alternative approach to addressing
the Phase III ‘‘stand in the shoes’’
provisions. (However, we are proposing
regulation text for the first proposal
only.) Our alternative proposal is to
make no revisions to the Phase III
‘‘stand in the shoes’’ provisions in
§§ 411.354(c)(1)(ii), (c)(2)(iv), and, (c)(3)
and, to the extent necessary to protect
nonabusive arrangements, promulgate a
separate exception using our authority
under section 1877(b)(4) of the Act to
create exceptions for arrangements that
do not pose a risk of program or patient
abuse. The new exception would apply
to specific types of nonabusive
payments or arrangements that are not
otherwise covered by existing
exceptions (for example, certain support
payments, as described above), subject
to conditions necessary to protect
against program and patient abuse,
similar to those conditions incorporated
into the existing exception for services
provided by an AMC in § 411.355(e).
Specifically, we are considering
establishing a new exception, using our
authority under section 1877(b)(4) of the
Act, for compensation arrangements
between DHS entities and physician
organizations and physicians for
‘‘mission support’’ payments (or similar
compensation arrangements) and, if so,
how we should define those payments
(or similar compensation arrangements),
and what criteria such an exception
should include to protect against
program or patient abuse. We are
soliciting comments about this proposal,
including whether an exception should
be limited to ‘‘mission support’’
payments, whether other specific types
of payments or compensation
arrangements should be eligible for such
an exception, the types of parties that
should be permitted to use the
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exception (for example, AMC
components, physician practices), and
the conditions that should apply to such
an exception to ensure that a protected
compensation arrangement poses no
risk of program or patient abuse. We are
concerned that some ‘‘mission support’’
payments or similar payments are
subject to fraud and abuse. We are
interested in public comments that
identify with specificity the types of
compensation agreements that should
be permitted under an applicable
exception.
Under this approach, the proposed
exception might address compensation
arrangements between components of
certain well-defined integrated delivery
systems, perhaps with tightly-crafted
conditions similar to those in the
existing exception for services provided
by an AMC in § 411.355(e). For
example, some industry stakeholders
have recommended that we establish an
exception for compensation
arrangements between a DHS entity
component of an integrated health care
delivery system and a physician
organization component of the same
integrated health care delivery system.
We are concerned that the term
‘‘integrated health care delivery system’’
is loosely used in the industry to
describe a wide variety of systems, with
varying degrees of actual integration,
and that it may prove infeasible to craft
a sufficiently circumscribed definition.
In many circumstances, payment
arrangements between components of
‘‘integrated health care delivery
systems,’’ as well as payments from
‘‘integrated health care delivery
systems’’ to physicians affiliated with
those systems are susceptible to fraud
and abuse. However, we are soliciting
public comments defining a fully
integrated health care delivery system,
what types of compensation
arrangements should be protected (for
example, support payments), and what
conditions should be included in an
exception that would ensure no risk of
program or patient abuse. We note that
any exception established using our
authority under section 1877(b)(4) of the
Act would include documentation
requirements and a requirement that the
arrangement not violate the antikickback statute or any Federal or State
law or regulation governing billing or
claims submission, consistent with the
existing exceptions created under this
authority.
According to some industry
stakeholders, an ‘‘integrated health care
delivery system’’ could be defined, for
example, as a health care delivery
system comprised of two or more
entities that are related and
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substantially integrated by common
ownership or control, and which
includes at least one hospital and one
physician organization that has no
physician owners or investors who
make referrals for DHS to any
component of the health care delivery
system. Entities that file consolidated
financial statements could be deemed to
be substantially integrated for purposes
of this definition. For purposes of this
approach, ownership could exist if an
individual or individuals possess 50
percent ownership or equity in the
component of the integrated health care
delivery system, and control would
exist if an individual or an organization
has the power, directly or indirectly,
significantly to influence or direct the
actions or policies of the component of
the integrated health care delivery
system. As noted above, it would be
necessary to define ‘‘integrated health
care delivery system,’’ as well as
‘‘ownership’’ and ‘‘control,’’ and to
determine whether to permit integrated
health care delivery systems to include
entities related through written
contractual affiliation agreements and, if
so, what limitations (if any) should be
placed on the types of contractually
affiliated entities we would permit to be
included as components of an integrated
health care delivery system. We would
need also to determine what
characteristics indicate substantial
integration and identify the types of
compensation arrangements that exist
between components of integrated
health care delivery systems. We are
seeking public comments regarding this
possible approach (including the
specific issues noted), as well as public
comments on other alternative
approaches to addressing the concerns
regarding support payments and similar
monetary transfers noted by industry
stakeholders and described above.
2. DHS Entity ‘‘Stand in the Shoes’’
Provisions
On July 12, 2007, we published in the
Federal Register a proposed rule
entitled ‘‘Medicare Program; Proposed
Revisions to Payment Policies Under the
Physician Fee Schedule, and Other Part
B Payment Policies for CY 2008;
Proposed Revisions to the Payment
Policies of Ambulance Services Under
the Ambulance Fee Schedule for CY
2008; and the Proposed Elimination of
the E-Prescribing Exemption for
Computer-Generated Facsimile
Transmissions; Proposed Rule’’ (the
‘‘CY 2008 PFS proposed rule’’) (72 FR
38122). In that rule, we proposed a
corollary provision to the Phase III
‘‘stand in the shoes’’ provisions that
addressed the DHS entity side of
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physician—DHS entity financial
relationships. Specifically, we proposed
to amend § 411.354(c) to provide that,
where a DHS entity owns or controls an
entity to which a physician refers
Medicare patients for DHS, the DHS
entity would stand in the shoes of the
entity that it owns or controls and
would be deemed to have the same
compensation arrangements with the
same parties and on the same terms as
does the entity that it owns or controls.
For example, a hospital would stand in
the shoes of a medical foundation that
it owns or controls (such as where the
hospital is the sole member of a
nonprofit corporation). Thus, under the
CY 2008 PFS proposed rule proposal, if
a hospital owns or controls a medical
foundation that contracts with a
physician to provide physician services
at a clinic owned by the medical
foundation, the hospital would stand in
the shoes of the medical foundation and
would be deemed to have a direct
compensation relationship with the
contractor physician. We solicited
public comments as to whether and how
we would employ a ‘‘stand in the
shoes’’ approach for these types of
relationships, as well as for other types
of financial relationships.
In response to the CY 2008 PFS
proposed rule, we received comments
from a variety of industry stakeholders,
including physicians, medical
associations, and their representatives.
Although several commenters supported
the proposed entity ‘‘stand in the shoes’’
provisions because they share our
concerns regarding parties ability to
avoid application of the physician selfreferral law by simply inserting an
entity in the chain of financial
relationships linking a DHS entity and
a referring physician, many commenters
expressed concern that the proposal was
unclear and potentially overly broad.
Commenters requested guidance
regarding the level of ownership or
control that would trigger the
application of the entity ‘‘stand in the
shoes’’ provisions. One commenter
recommended that, instead of finalizing
the entity ‘‘stand in the shoes’’
provisions, we issue, through a notice of
proposed rulemaking, a more detailed
proposal that would give industry
stakeholders the opportunity to provide
more meaningful comments.
We did not finalize the DHS entity
‘‘stand in the shoes’’ provisions in the
CY 2008 PFS final rule published in the
Federal Register on November 27, 2007
(72 FR 66222, 66306). Because the DHS
entity ‘‘stand in the shoes’’ provisions
are integrally related to the physician
‘‘stand in the shoes’’ provisions that we
finalized in Phase III and for which we
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are proposing the regulatory revisions
described above, we are re-proposing
here the DHS entity ‘‘stand in the
shoes’’ provisions, with some
modification. We believe that a
comprehensive approach to the ‘‘stand
in the shoes’’ provisions that addresses
both physicians and physician
organizations, as well as DHS entities
and other entities that they own or
control, is the best vehicle to address
the goals outlined in the Phase III final
rule, namely: (1) Simplifying the
analysis of many financial
arrangements; and (2) reducing program
abuse by bringing more financial
relationships within the ambit of the
physician self-referral law.
We are proposing to revise
§ 411.354(a) to provide that an entity
that furnishes DHS would be deemed to
stand in the shoes of an organization in
which it has a 100 percent ownership
interest and would be deemed to have
the same compensation arrangements
with the same parties and on the same
terms as does the organization that it
owns. We believe this approach is
straightforward and can be readily
applied. We note that, under this
approach (as compared to our CY 2008
PFS proposal), a DHS entity would
stand in the shoes of any wholly-owned
organization, not merely a whollyowned DHS entity. An organization may
be in any legal form (for example, a
limited liability company, partnership,
or corporation, regardless of status as
nonprofit or exempt from taxation). We
are seeking public comments
specifically as to whether we should
consider a DHS entity to stand in the
shoes of another organization in which
the DHS entity holds less than a 100
percent ownership interest and, if so,
what amount of ownership should
trigger application of the entity ‘‘stand
in the shoes’’ provisions. In addition,
we are seeking public comments as to
whether we should deem a DHS entity
to stand in the shoes of an organization
that it controls (for example, an entity
would stand in the shoes of a nonprofit
organization of which it is the sole
member); we would consider a DHS
entity to control an organization if the
DHS entity has the power, directly or
indirectly, significantly to influence or
direct the actions or policies of the
organization. We are seeking public
comments as to what level of control
should trigger the application of the
entity ‘‘stand in the shoes’’ provisions.
3. Application of the Physician ‘‘Stand
in the Shoes’’ and the Entity ‘‘Stand in
the Shoes’’ Provisions
In order to protect against program
and patient abuse when multiple links
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involving various corporate and other
entities exist in a chain of financial
relationships between a DHS entity and
a referring physician, we are proposing
that, when applying the physician
‘‘stand in the shoes’’ provisions and the
entity ‘‘stand in the shoes’’ provisions to
a chain of financial relationships
between a physician and a DHS entity,
the following conventions would apply:
• First, parties would apply the
physician ‘‘stand in the shoes’’
provisions and deem the physician to
stand in the shoes of his or her
physician organization (in those
instances where the physician ‘‘stand in
the shoes’’ provisions apply to the
particular physician and physician
organization).
• However, if applying the physician
‘‘stand in the shoes’’ provisions would
result in only one financial relationship
remaining between the DHS entity and
the ‘‘collapsed’’ physician/physician
organization and that relationship is an
ownership interest, the physician
‘‘stand in the shoes’’ provisions would
not be applied, and the entity ‘‘stand in
the shoes’’ provisions instead would be
applied first.
• If more than two organizations
remain after first ‘‘collapsing’’ the
physician and the physician
organization (that is, if at least two links
remain in the chain of financial
relationships between the physician
who is standing in the shoes of his or
her physician organization and the DHS
entity), the next step would be to apply
the entity ‘‘stand in the shoes’’
provisions.
These conventions ensure that at least
one compensation arrangement remains
between the DHS entity and the
referring physician for purposes of
analyzing the chain of relationships
under the physician-self referral rules.
For example, if a chain of financial
relationships runs: hospital—whollyowned home health agency—group
practice—physician owner of the group
practice, the first step would be to apply
the physician ‘‘stand in the shoes
provisions’’ such that the physician
owner would stand in the shoes of the
group practice. The next step would be
to apply the entity ‘‘stand in the shoes’’
provisions and deem the hospital to
stand in the shoes of its wholly-owned
home health agency. Assuming that the
financial relationship between the home
health agency and the group practice is
a compensation arrangement, the
remaining financial relationship would
be deemed to be a direct compensation
arrangement between the hospital
(standing in the shoes of the home
health agency) and the physician
(standing in the shoes of the group
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practice). By contrast, the example of a
chain of financial relationships that
runs: hospital—group practice whollyowned by the hospital—employed
physician of the group practice (whose
compensation does not satisfy the
requirements of the exception in
§ 411.357(c)), is illustrative. If the
relationship between the hospital and
the group practice is solely an
ownership interest (that is, there is no
separate compensation arrangement
between them), applying the physician
‘‘stand in the shoes’’ provisions first, so
that the physician-employee stands in
the shoes of the group practice, would
result in one remaining financial link
between the group practice and the
hospital, and that relationship would be
an ownership interest. In those
circumstances, the entity ‘‘stand in the
shoes’’ provisions would be applied first
and the hospital would stand in the
shoes of its wholly-owned group
practice. The physician would not stand
in the shoes of the group practice. The
remaining financial relationship would
be deemed to be a direct compensation
arrangement between the hospital
(standing in the shoes of the group
practice) and the physician. (We note
that, in this example, the physician’s
compensation from the group practice
does not satisfy the requirements of the
exception for bona fide employment
relationships in § 411.357(c) and, thus,
no direct exception would apply to that
compensation arrangement.) Using the
same chain of financial relationships,
but assuming instead that the hospital
has a compensation arrangement with
(in addition to being the sole owner of)
the group practice (for example, an
office space rental agreement), under the
proposals described above, the
physician would stand in the shoes of
the group practice, but the hospital
would not stand in the shoes of the
group practice because, after first
applying the physician ‘‘stand in the
shoes’’ provisions, only two
organizations would remain (that is,
only one link in the chain of financial
relationships remains). The remaining
financial relationship created by the
rental agreement would be deemed to be
a direct compensation arrangement
between the hospital and the physician,
which would need to satisfy the
requirements of an exception.
We are not proposing regulation text
at this time with respect to the
application of the physician and entity
‘‘stand in the shoes’’ provisions. At such
time as these provisions are finalized,
we would amend the regulation text, as
appropriate, to codify requirements
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related to the application of the
provisions.
4. Definitions: ‘‘Physician’’ and
‘‘Physician Organization’’
In an interim final rule with comment
period entitled ‘‘Medicare Program;
Physicians’ Referrals to Health Care
Entities With Which They Have
Financial Relationships (Phase II);
Interim Final Rule,’’ published in the
Federal Register on March 26, 2004 (72
FR 16054) (‘‘Phase II’’), we revised the
definition of ‘‘referring physician’’ at
§ 411.351 to provide that a referring
physician is deemed to stand in the
shoes of his or her wholly-owned PC (69
FR 16060). In that rule, we stated that
it is not necessary to treat a referring
physician as separate from his or her
wholly-owned PC. In the Phase III final
rule, for purposes of implementing the
physician ‘‘stand in the shoes’’
provisions, the term ‘‘physician
organization’’ was newly defined at
§ 411.351 as ‘‘a physician (including a
professional corporation of which the
physician is the sole owner), a
physician practice, or a group practice
that complies with the requirements of
§ 411.352.’’ Our intent was that, when
applying the physician ‘‘stand in the
shoes’’ provisions in § 411.354, a
physician would stand in the shoes of:
(1) Another physician who employs the
physician; (2) his or her wholly-owned
PC; (3) a physician practice that
employs or contracts with the physician
or in which the physician has an
ownership interest; or (4) a group
practice of which the physician is a
member or independent contractor.
Essentially, we intended this
definition to incorporate the Phase II
policy that a physician stands in the
shoes of, or is considered the same as,
the PC of which he or she is the sole
owner. In determining whether a direct
or indirect compensation arrangement
exists between a DHS entity and a
referring physician, we intended that
parties should first ‘‘collapse’’ the
physician into his or her wholly-owned
PC, and then deem that ‘‘collapsed’’
physician/PC unit to stand in the shoes
of the physician organization (if one
exists). However, we are concerned that
parties may interpret the rules, using the
definition of ‘‘physician organization’’
exclusive of the definition of ‘‘referring
physician,’’ as requiring only that they
deem a physician to stand in the shoes
of his or her wholly-owned PC without
further deeming the ‘‘collapsed’’
physician/PC unit to stand in the shoes
of the physician organization. That is,
with respect to a chain of financial
relationships that runs: hospital—group
practice—PC—physician, parties might
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interpret our rules as requiring only that
the physician stand in the shoes of the
PC and not in the shoes of the group
practice, so that the resulting chain of
financial relationships (after the
application of the ‘‘stand in the shoes’’
provisions) would run: hospital—group
practice—PC/physician. However, our
intention was that, after application of
the ‘‘stand in the shoes’’ provisions, the
chain of financial relationships would
run: hospital—group practice/PC/
physician.
Therefore, we are proposing revisions
to the definitions of ‘‘physician’’ and
‘‘physician organization’’ to clarify that:
(1) A physician and the PC of which he
or she is the sole owner are always
treated the same for purposes of
applying the physician self-referral
rules; and (2) a physician who stands in
the shoes of his or her wholly-owned PC
also stands in the shoes of his or her
physician organization in accordance
with § 411.354(c)(1)(ii) and (c)(2)(iv).
B. Period of Disallowance
In response to the Phase II interim
final rule with comment period, several
commenters questioned what the time
period would be for which the
physician could not refer patients for
DHS to an entity and for which the
entity could not bill Medicare (the
‘‘period of disallowance’’) where a
financial relationship between a
referring physician and an entity failed
to satisfy the requirements of an
exception to the general prohibition on
self-referral. (See 72 FR 51024 through
51025; and 72 FR 38183.) In the Phase
III final rule, in response to these
inquiries, we stated that the statute
provides no explicit limitation on the
billing and claims submission
prohibition (72 FR 51025). In the CY
2008 PFS proposed rule, we stated that
the statute contemplates that the period
of disallowance begins with the date
that a financial relationship failed to
comply with the statute and the
regulations, and ends with the date that
the arrangement came into compliance
or ended (72 FR 38183). We noted that,
in some cases, it may not be clear when
a financial relationship has ended. We
provided the example of an entity
leasing space to a physician at a rental
price that is substantially below fair
market value. We stated that such an
arrangement may raise the inference
that the below-market rent was in
exchange for future referrals, including
referrals made beyond the expiration of
the lease. We solicited comments with
respect to: (1) The types of
noncompliance for which it is not clear
when a financial relationship ended;
and (2) whether we should always
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employ a case-by-case approach or
deem certain types of financial
relationships to continue for a
prescribed period of time. We also
solicited public comments as to whether
we should allow a prescribed period of
disallowance to terminate where the
parties have returned (or paid back the
value of) any excess compensation. For
example, if we were to impose a period
of disallowance for a prescribed period
of time because it would not be clear
when a noncompliant compensation
arrangement ended, we stated that we
might allow the parties to terminate the
period of disallowance sooner than the
prescribed period if the prohibited
compensation were returned. In the CY
2008 PFS proposed rule, we cautioned
that we did not envision allowing such
an option where the parties knew or, in
our judgment, reasonably should have
known, that the arrangement did not
satisfy the requirements of an exception.
Finally, we sought public comments as
to whether we should impose a period
of disqualification, prohibiting the
parties from using an exception where
an arrangement has failed to satisfy the
requirements of that exception. We gave
the example of nonmonetary
compensation provided by an entity to
a physician that greatly exceeded the
permissible limit prescribed in
§ 411.357(k), and questioned whether,
in addition to whatever period of
disallowance would apply, the parties
should be disqualified, for some period
of time, from using this exception.
We received few public comments in
response to the CY 2008 PFS proposed
rule solicitation of comments; however,
with respect to the length of the period
of disallowance, one commenter
asserted that the appropriate period of
disallowance should match the period
that the financial relationship did not
satisfy the requirements of an exception,
but that the period should be limited to
a maximum term. In addition,
commenters asserted that, if the parties
unwind the relationship and return the
prohibited compensation, the period of
disallowance should end. Another
commenter suggested that the period of
disallowance should end once the
hospital corrects or terminates the
arrangement and the physician repays to
the hospital any compensation in excess
of what is permitted. Alternatively,
according to the commenter, if the
physician does not repay the excess
compensation, the period of
disallowance should end once the
hospital repays to Medicare the excess
compensation, and the hospital should
be prohibited from paying any further
compensation to the physician until the
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physician reimburses the hospital for
the excess compensation. One
commenter asserted that certain
circumstances warrant no period of
disallowance. For instance, according to
the commenter, if parties to an
arrangement were unaware that the
arrangement violates the physician selfreferral law but later were notified by
CMS or its contractor of the possible
violation, they should be able to amend
the arrangement so that it satisfies the
requirements of an exception without
any period of disallowance. The
commenter also asserted that there
should be no period of disqualification
preventing the parties from using an
exception in light of the onerous
penalties under the physician selfreferral law.
At this time, we are proposing to
amend § 411.353(c) to provide that,
where the reason(s) a financial
relationship does not meet any
applicable exception is not related to
compensation (for example, a signature
is missing or an agreement is not in
writing as required by the applicable
exception), the period of disallowance
would begin on the date the
arrangement first was out of compliance
and end no later than the date the
arrangement was brought into
compliance (for example, by obtaining a
missing signature on an agreement or
executing a written agreement as
required by the applicable exception).
For example, where a hospital and a
physician enter into a personal service
arrangement for medical director
services and begin performing under the
arrangement on January 1, but do not
execute a written agreement until
January 31, provided that all of the
requirements of § 411.357(d) (the
exception for personal service
arrangements) are satisfied as of January
31, the period of disallowance would
begin on January 1 and end no later than
January 31. As discussed below, we
believe that it is possible that a financial
arrangement may end prior to the
arrangement being brought into
compliance. In such circumstances, a
determination as to the duration of the
period of disallowance necessarily
would be made on a case-by-case basis
considering the facts and circumstances,
and we are not proposing a prescribed
period of disallowance for such a
situation.
We are also proposing that, where the
reason a financial relationship does not
meet any applicable exception is related
to the payment or receipt of excess
compensation (for example, the
compensation paid to a physician is
greater than fair market value or exceeds
the limits in § 411.357(k) or (m)), the
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period of disallowance would begin on
the date the arrangement first was out of
compliance and end no later than the
date the excess compensation (including
interest, as appropriate) was returned by
the party receiving it to the party that
provided it and all other requirements
of the applicable exception are met. For
example, if a hospital provided
nonmonetary compensation totaling
$100 in excess of the limits in
§ 411.357(k) on February 1 and the
parties did not discover the
noncompliance until October 1 (and,
therefore, could not avail themselves of
the provisions in § 411.357(k)(3)
permitting parties to remain in
compliance with the exception if excess
nonmonetary compensation (within
certain limits) provided inadvertently is
discovered and returned with 180 days
of its receipt), the period of
disallowance would begin on February
1 and end no later than the date that the
physician returned the excess
nonmonetary compensation or its value
($100 plus interest, as appropriate) to
the hospital. Assuming that the
physician paid the hospital $100 (plus
interest, as appropriate) on October 15,
the period of disallowance would run
from February 1 through no later than
October 15.
Our proposal would also prescribe a
period of disallowance where the reason
a financial relationship does not meet
any applicable exception is related to
the payment or receipt of compensation
that is insufficient to satisfy the
requirements of an exception (for
example, office space or equipment
rental payments that are below fair
market value). We are proposing that the
period of disallowance would begin on
the date the arrangement first was out of
compliance and end no later than the
date the shortfall was paid to the party
to which it is owed and all other
requirements of the applicable
exception are met. The ‘‘shortfall’’
would be that amount (including
interest, as appropriate) necessary to
bring the arrangement into compliance
from the date of its inception. For
example, assume a hospital and
physician entered into a 2-year office
space rental agreement on January 1 (of
Year 1) which specified rental charges
(consistent with fair market value) of
$20 per square foot during Year 1 and
automatically adjusted upward each
January 1 by any increase in the CPI–U.
If, on January 1 of Year 2 of the
agreement, the rental charges increased
to $21 per square foot based on the
amount of increase in the CPI–U, but the
physician continued to pay $20 per
square foot until the compliance failure
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was identified on June 30 of Year 2, the
period of disallowance would run from
January 1 of Year 2 until no later than
June 30 of Year 2, provided that the
physician paid the hospital on June 30
of Year 2 the shortfall of $1 per square
foot for the 6-month shortfall period
(plus interest, as appropriate) and, as of
July 1 through the term of the
agreement, the physician paid $21 per
square foot for the office space, and the
arrangement otherwise satisfied the
requirements of the exception in
§ 411.357(d). As discussed below, we
believe that it is possible that an
arrangement may end prior to excess
compensation being returned or a
shortfall being paid; however, such a
determination as to the duration of the
period of disallowance necessarily
would be made on a case-by-case basis
considering the facts and circumstances,
and we are not proposing a prescribed
period of disallowance for such a
situation.
We also note that an arrangement may
be noncompliant for reasons that are
related to compensation, but which do
not involve the payment or receipt of
excess compensation or a shortfall in
compensation paid or received. For
example, many of our exceptions
require that the compensation not take
into account the volume or value of
referrals or other business generated
between the parties and that the
compensation be commercially
reasonable, even if no referrals were
made between the parties. It is possible
that the amount of compensation
provided under an arrangement is fair
market value or is consistent with a
prescribed limit in one of the exceptions
(such as in § 411.357(k)), but, for
example, takes into account the volume
or value of referrals and this results in
a noncompliant arrangement. We are
not proposing a prescribed period of
disallowance for arrangements that are
noncompliant for reasons that are
related to compensation but which do
not involve only the payment or receipt
of excess compensation or a shortfall in
compensation paid or received. Rather,
the appropriate period of disallowance
for such arrangements would need to be
determined on a case-by-case basis.
Essentially, our proposals place an
outside limit on the period of
disallowance in certain circumstances.
That is, where the reason(s) for
noncompliance does not relate to
compensation, the latest the period of
disallowance would end would be the
date the arrangement was brought into
compliance. Where the reason for
noncompliance is the fact that excess
compensation was provided or too little
compensation was paid, the latest the
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period of disallowance would end
would be the date that the party
receiving the excess compensation
returned it to the party that provided it
or the party owing the shortfall in
compensation paid it to the party to
which it was owed (assuming the
arrangement otherwise satisfies the
requirements of an applicable
exception).
We recognize, of course, that parties
to a financial relationship that is
noncompliant may never bring the
relationship into compliance with an
applicable exception. The financial
relationship may expire according to the
terms of the underlying agreement (such
as the date of expiration of a personal
service contract), or it may end earlier
or later than the expiration date
provided in the underlying agreement.
However, we do not propose to
prescribe with specificity when such a
noncompliant financial relationship
(and, thus, the period of disallowance)
might end. Likewise, if a party that
receives excess compensation never
repays the excess compensation, or a
party who owes additional
compensation (the shortfall) never pays
it, the question arises as to when the
financial relationship ends. To return to
the example that we gave in the CY
2008 PFS proposed rule and that we
reference above, if an entity leases space
to a physician at a rental price that is
substantially below fair market value,
the inference may be raised that the
below-market rent was in exchange for
future referrals, including referrals made
beyond the expiration of the lease
agreement. Therefore, in such a
situation, if the physician does not pay
the rental charges shortfall, the financial
relationship may not end at the
expiration of the written lease
agreement, but rather could extend for
some period beyond the expiration of
the written lease agreement. We are not
proposing to establish any specific time
period or even guidelines for when the
financial relationship in the above
example would be deemed to end (so
that future referrals would not be
tainted); rather the determination of
when the financial relationship ends
must depend on the facts and
circumstances. We note that our
proposals pertain only to placing an
outside limit on the period of
disallowance for making referrals and
billing the Medicare program in the case
of certain noncompliant financial
relationships; they do not address
whether the anti-kickback statute is
implicated and/or whether civil
monetary penalties under the physician
self-referral statute are potentially
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applicable due to noncompliant
financial relationships.
We are not proposing, as one
commenter suggested, that, in a
situation involving noncompliance due
to excess compensation paid by an
entity to a physician (or the physician’s
immediate relative), the period of
disallowance would end no later than
the date the entity repays the excess
compensation to the Medicare program,
should the physician not repay the
excess compensation to the entity. This
approach is not consistent with the
statute. We are also not proposing, as
another commenter suggested, to
impose no period of disallowance for
the situation in which parties allegedly
were unaware of the noncompliant
nature of a financial relationship. We do
not have the authority under section
1877 of the Act to waive violations of
the physician self-referral law. We note
also that there would be practical
problems in determining whether
parties were unaware of the
noncompliant nature of the arrangement
and that we would be discouraging
parties from carefully structuring
arrangements and monitoring them. In
the CY 2008 PFS proposed rule, we
proposed an alternative method of
compliance that may address some of
the commenter’s concerns, and that
proposal is still under consideration for
final rulemaking. Finally, we are not
proposing to impose a period of
disqualification during which the
parties to a noncompliant financial
relationship would be prohibited from
using a particular exception due to that
relationship. We may propose
rulemaking on this subject in the future.
C. Gainsharing Arrangements
1. Background
The term ‘‘gainsharing’’ typically
refers to an arrangement under which a
hospital gives physicians a share of the
reduction in the hospital’s costs (that is,
the hospital’s cost savings) attributable
in part to the physicians’ efforts.
Gainsharing may take several forms.
Some arrangements are narrowly
targeted, giving the physician a financial
incentive to select specific medical
devices and products that are less
expensive or to adopt specific clinical
practices or protocols that reduce costs.
Other, more problematic arrangements
are not targeted at utilization of specific
supplies or specific clinical practices,
but instead offer the physician
payments to reduce total average costs
per case below target amounts.
Gainsharing arrangements seek to
align physician incentives with those of
hospitals by offering physicians a share
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of the hospital’s variable cost savings
attributable to the physicians’ efforts in
controlling the cost of providing patient
care. Following the institution of the
Medicare Part A DRG system of hospital
reimbursement and with the growth of
managed care, hospitals have
experienced significant financial
pressure to reduce costs. However,
because physicians are paid separately
under Medicare Part B and Medicaid,
physicians do not share necessarily a
hospital’s incentive to control the
hospital’s patient care costs.
Gainsharing arrangements are designed
to align hospital and physician
incentives by offering physicians a
portion of the hospital’s cost savings in
exchange for identifying and
implementing cost-saving strategies.
2. Statutory Impediments to Gainsharing
Arrangements
Whereas gainsharing promotes
hospital cost reductions by aligning
physician incentives with those of the
hospital, these arrangements also
implicate the physician self-referral
statute (section 1877 of the Act). Section
1877(a)(1) of the Act states that, except
as provided in section 1877(b) of the
Act, if a physician (or an immediate
family member of such physician) has a
financial relationship with an entity, the
physician may not make a referral to the
entity for the furnishing of DHS for
which payment otherwise may be made
under title XVIII of the Act. The
provision of monetary or nonmonetary
remuneration by a hospital to a
physician through a gainsharing
arrangement would constitute a
financial relationship with an entity for
purposes of the physician self-referral
statute.
Gainsharing arrangements also
implicate two specific fraud and abuse
statutes. First, sections 1128A(b)(1) and
(b)(2) of the Act, commonly referred to
as the Civil Monetary Penalty, or CMP,
statute, prohibit a hospital from
knowingly making a payment directly or
indirectly to a physician as an
inducement to reduce or limit items or
services furnished to Medicare or
Medicaid beneficiaries, and a physician
from knowingly accepting such
payment. Second, gainsharing
arrangements implicate section
1128B(b) of the Act (the ‘‘anti-kickback
statute’’) if one purpose of the cost
savings payment is to influence referrals
of Federal health care program business.
3. Office of Inspector General (OIG)
Approach Towards Gainsharing
Arrangements
The HHS Office of Inspector General
(‘‘OIG’’) historically has been wary of
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gainsharing arrangements. In July 1999,
OIG issued a Special Advisory Bulletin
that addressed the application of
sections 1128A(b)(1) and (2) of the Act
to gainsharing arrangements. Although
OIG recognized that appropriately
structured gainsharing arrangements
may offer significant benefits where
there is no adverse impact on the
quality of care received by patients,
section 1128A(b) of the Act clearly
prohibits arrangements that are
intended as an inducement to limit or
reduce services to Medicare or Medicaid
patients. In addition, OIG stated that
regulatory relief from the CMP
prohibition would require statutory
authorization.
OIG has issued several favorable
advisory opinions regarding individual
gainsharing arrangements, although the
opinions (like all OIG advisory
opinions) do not have general
applicability. When evaluating the risks
posed by a gainsharing arrangement,
OIG has generally looked for three types
of safeguards, namely: (1) Measures that
promote accountability and
transparency; (2) adequate quality
controls; and (3) controls on payments
related to referrals. Properly structured,
gainsharing arrangements may offer
opportunities for hospitals to reduce
costs without causing inappropriate
reductions in medical services or
rewarding referrals of Federal health
care program patients. In a number of
specific cases involving limited
proposed arrangements, OIG has issued
advisory opinions in which it
concluded that the proposed
arrangement presents a low risk of abuse
and, therefore, it would exercise its
prosecutorial discretion not to impose
sanctions. In these cases, OIG has
concluded, based on the totality of facts
and circumstances and the presence of
adequate safeguards, that: (1) The
proposed arrangement would constitute
an improper payment to induce the
reduction or limitation of services as
prohibited by sections 1128A(b)(1) and
(2) of the Act, but that OIG would not
impose sanctions on the requestors of
the advisory opinion; and (2) the
proposed arrangement would
potentially generate prohibited
remuneration under the anti-kickback
statute if the requisite intent to induce
or reward referrals of Federal health
care program business were present, but
that OIG would not impose
administrative sanctions on the
requestors under section 1128A(a), or
under section 1128(b)(7) or section
1128A(a)(7), as those sections relate to
the commission of acts described in the
anti-kickback statute.
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4. MedPAC Recommendation
MedPAC, in its March 2005 Report to
Congress, ‘‘Physician-owned Specialty
Hospitals,’’ recommended that
gainsharing arrangements between
physicians and hospitals be permitted.
Specifically, MedPAC stated that, ‘‘[t]he
Congress should grant the Secretary the
authority to allow gainsharing
arrangements between physicians and
hospitals and to regulate those
arrangements to protect the quality of
care and minimize financial incentives
that could affect physician referrals.’’
(See https://www.medpac.gov/
publications/congressional repots/
Mar05EntireReport.pdf, at page 47). In
addition, MedPAC stated that, drawing
on OIG’s work, the Secretary could
require that gainsharing arrangements:
• Identify specific actions that would
produce savings, such as limiting the
inappropriate use of supplies;
• Are transparent and disclosed to
patients;
• Include periodic reviews of quality
of care by an independent organization;
• Limit the amount of time during
which physicians can share cost savings
in order to prevent hospitals from using
these agreements as a mechanism to
induce physician referrals;
• Avoid rewarding physicians for
increasing referrals to the hospitals,
such as capping potential savings based
on the number of prior year admissions;
and
• Monitor changes in the severity,
age, and insurance coverage of patients
affected by the gainsharing arrangement.
5. Demonstration Programs
CMS has long been interested in
evaluating the association between
payments and the quality of care. In
1991, CMS initiated a demonstration
program entitled the ‘‘Medicare
Participating Heart Bypass Center
Demonstration.’’ This demonstration
was conducted to assess the feasibility
and cost effectiveness of a negotiated
all-inclusive bundled payment
arrangement for coronary artery bypass
graft (CABG) surgery while maintaining
high quality care. CMS originally
negotiated contracts with four
applicants. In 1993, the demonstration
was expanded to include three more
participants. The results of the
demonstration showed that an allinclusive bundled payment arrangement
can provide an incentive to physicians
and hospitals to work together to
provide services more efficiently,
improve quality, and reduce costs. The
bundling of the physician and hospital
payments did not have a negative
impact on the post-discharge health
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improvements of the demonstration
patients. Three of the four original
hospitals were able to make major
changes in physician practice patterns
and operations that generated
significant cost savings. A hospital’s
participation in the demonstration
appeared to have little or no effect on
physician referral patterns.
A second demonstration project that
involves gainsharing arrangements is
authorized by section 646 of the MMA,
which added a new section 1866C of the
Act and established the Medicare Health
Care Quality MHCQ Demonstration
Program. MHCQ demonstration projects
are intended to ‘‘* * * examine health
delivery factors that encourage the
delivery of improved quality in patient
care.’’ Using the authority provided by
section 1866C of the Act, CMS decided
to implement a 3-year demonstration
that would test gainsharing models
involving physicians and collaborations
between hospitals working with
physicians in a single geographic area to
improve the quality of inpatient hospital
care. In contrast to traditional models of
gainsharing, the proposed
demonstration approaches must be
across single or multiple organizations
and involve long-term followup to
ensure both documented improvements
in quality and reductions in the overall
costs of care. CMS is particularly
interested in demonstration designs
that: (1) Track patients well beyond a
hospital episode to determine the
impact of hospital-physician
collaborations on preventing short and
longer-term complications, duplication
of services, and coordination of care
across settings; and (2) offer other
quality improvements for eliminating
preventable complications and
unnecessary costs.
A third series of demonstration
projects was authorized by section 5007
of the Deficit Reduction Act of 2005 (the
‘‘DRA’’) (Pub. L. 109–171). This
provision requires the Secretary to
establish a qualified gainsharing
demonstration under which the
Secretary shall approve up to six
demonstration projects. Section 5007
demonstration projects would involve
arrangements between a hospital and
physicians and practitioners under
which the hospital provides for
remuneration (that is, gainsharing
payments) to certain physicians and to
certain practitioners (as defined in
1842(b)(18)(C) of the Act) that
represents solely a share of the savings
incurred directly as a result of
collaborative efforts between the
hospital and a particular physician (or
practitioner) to improve overall quality
and efficiency. Each demonstration
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D. Physician-Owned Implant and Other
Medical Device Companies
project must also provide measures to
monitor quality and efficiency in the
participating project hospital(s).
1. Background
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6. Solicitation of Comments
In the CY 2008 PFS proposed rule, we
noted that we are concerned about
compensation arrangements between
entities and physicians under which
compensation is determined on a
percentage basis (for example, rental
charges for office space that are
determined based on a percentage of a
group practice’s revenues) (72 FR
38184). We proposed to clarify that
percentage-based compensation
arrangements may be used only for
paying for personally performed
physician services and that such
arrangements must be based on the
revenues directly resulting from the
physician services rather than based on
some other factor such as a percentage
of the savings by the hospital
department. The proposed changes, if
finalized, might prevent typical
gainsharing arrangements between
physicians and hospitals to which they
refer for DHS. We have not yet finalized
our proposal in the CY 2008 PFS final
rule; however, it remains under active
consideration.
Notwithstanding our general concern
with arrangements that involve the use
of a percentage-based compensation
formula (other than payment to a
physician for work personally
performed by the physician), we
recognize the value to the Medicare
program and its beneficiaries where the
alignment of hospital and physician
incentives results in improvements in
quality of care. Therefore, we are
considering whether to issue an
exception specific to gainsharing
arrangements. Under section 1877(b)(4)
of the Act, we may issue additional
exceptions (that is, exceptions not
specified in the statute) only where
doing so would create no risk of
program or patient abuse. At this time,
we decline to issue a specific proposal
concerning an exception for gainsharing
arrangements, but rather are soliciting
comments as to whether we should
establish an exception for gainsharing
arrangements, and, if so, what
safeguards should be included in the
exception. Specifically, we are
interested in receiving comments on: (1)
What types of requirements and
safeguards should be included in any
exception for gainsharing arrangements;
and (2) whether certain services, clinical
protocols, or other arrangements should
not qualify for the exception.
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We have recently become aware of an
increase in physician investment in
implant and other medical device
manufacturing, distribution, and
purchasing companies. We recognize
that physician involvement often adds
value to device manufacturing
companies and that many physicians
may have legitimate investment
interests in these companies. Physicians
participate in the research,
development, and testing involved in
creating and producing many lifesaving
and quality-of-life enhancing medical
devices. The added value of physician
involvement in distribution and
purchasing companies, essentially
middlemen companies, is less clear.
When physicians profit from the
referrals they make to hospitals through
physician-owned implant and medical
device companies (‘‘POCs’’), we are
concerned about possible program or
patient abuse. POCs exist in three
primary forms: manufacturers,
distributors, and group purchasing
organizations (‘‘GPOs’’). Our
understanding, however, is that many
POCs are not manufacturers, but rather
are companies that profit from the
purchase and resale of products made
by another organization (that is, they act
as distributors) or from GPO fees paid
by device vendors. In many cases, the
physician investors bear little, if any,
economic risk with respect to the
medical devices. It is also our
understanding that some physicians are
offered investment interests in ‘‘private
label’’ or similar manufacturing entities
when the physicians have provided
little, if any, necessary research, design,
or testing services. We are concerned
that some physician-owned
organizations may serve little purpose
other than providing physicians the
opportunity to earn economic benefits
in exchange for nothing more than
ordering medical devices or other
products that the physician-investors
use on their own patients. The financial
incentives paid to the physicians may
foster an anti-competitive climate, raise
quality of care concerns, and lead to
overutilization of the device or other
product to which the physician is
linked. Physicians are responsible for
selecting or recommending the devices
ordered for the hospital’s patients. It is
reasonable to believe that medical
device or implant companies without
physician investment will have
difficulty finding referral sources in
areas where many physicians are
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invested in a POC that offers competing
products.
In response to our proposed change to
the definition of ‘‘entity’’ at § 411.351 in
the CY 2008 PFS proposed rule, we
received public comments regarding
whether a physician-owned implant or
other medical device company should
or should not be considered to be an
‘‘entity.’’ One commenter noted that
orthopedic surgeons may have an
ownership interest in a manufacturer of
spinal implants that sells its implants to
the hospital where the surgeon performs
his or her surgeries. According to the
commenter, because the proposed
definition of ‘‘entity’’ would extend to
an entity that ‘‘performs the DHS,’’ the
manufacturer arguably could be
considered to be an ‘‘entity’’ under
§ 411.351. This commenter urged us to
exclude such manufacturers from the
definition of ‘‘entity.’’ The commenter
stated that indirect arrangements
involving spinal implants would trigger
the self-referral prohibition if they are
not at fair market value. Comments
submitted on behalf of a manufacturer
of spinal implants asserted that, despite
superficial similarities, joint ventures
involving medical devices differ in
many material ways from the types of
arrangements about which we expressed
concern. This commenter also asserted
that the meaning of ‘‘has performed the
DHS’’ is unclear and that we should
clarify that the proposal applied only to
‘‘true’’ ‘‘under arrangement’’
relationships with hospitals, but that, in
any event, implantable devices are not
DHS. According to the commenter, even
if implantable devices were deemed to
be DHS, the rigorous physician selfreferral exceptions (for example, the
exception for indirect compensation
arrangements in § 411.357(p)) are still
available to protect the arrangement and
against program or patient abuse.
In an October 6, 2006 letter response
to a request for guidance regarding
certain physician investments in the
medical device industry, OIG stated that
it was aware of an apparent proliferation
of physician investments in medical
device and distribution companies,
including GPOs, and that, given the
strong potential for improper
inducements between and among the
physician investors, the companies,
device vendors, and medical device
purchasers, it believed that all of these
ventures should be closely scrutinized
under the fraud and abuse laws. OIG
also clarified that its 1989 Special Fraud
Alert on Joint Ventures applies to all
physician joint ventures and would,
therefore, apply to physician
investments in medical device
manufacturing and distribution
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companies, as well as GPOs. OIG
confirmed that the fact that a substantial
portion of a venture’s gross revenues is
derived from participant-driven referrals
is a potential indicator of a problematic
joint venture. The October 6, 2006 letter
response is available at https://
oig.hhs.gov/fraud/docs/
alertsandbulletins/
GuidanceMedicalDevice%20(2).pdf. See
also https://oig.hhs.gov/testimony/docs/
2008/demske_testimony022708.pdf.
A medical device company requested
that we take a closer look at the current
prevalence of POCs and the impact that
these companies may have on program
or patient abuse, as well as the negative
impact on competition among POCs and
nonphysician owned medical device
companies. This company noted that, in
the CY2008 PFS proposed rule, we
proposed revising the definition of
‘‘entity’’ to include, among other things,
an entity that causes a claim to be
submitted to Medicare. It suggested that
we finalize our proposal and that we
deem POCs to be DHS entities under
certain circumstances. It also suggested
that, in certain circumstances, physician
investors in POCs should be deemed to
have a direct compensation relationship
with the hospitals that order and use
implantable devices furnished by the
POCs. The company suggested that a
POC should not be considered to have
caused a claim to be presented where
the referring physician is named as an
inventor on an issued patent for the
implantable item, provided that the
physician does not receive any
remuneration from the POC based on
the volume or value of his or her
referrals, or where the physician’s
investment interest satisfies the
requirements of the exception in
§ 411.356(a) for large, publicly traded
entities. We note that it is not clear to
us under what circumstances a patent
holder physician, who presumably
receives royalty payments from the
POC, would receive remuneration that
does not relate to the volume or value
of referrals or other business generated
by the physician. In the Phase II final
rule with comment period, we noted
that we received a comment that
questioned whether the payment of a
royalty by an equipment manufacturer
to a physician inventor for a device
implanted during surgeries performed
by the physician inventor is permitted
or whether that arrangement would
create an indirect compensation
relationship with the hospital that
purchased the device. We stated, in
response, that the physician inventor
would have an indirect compensation
arrangement with the hospital in which
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the surgeries are performed but,
provided the royalty payment was fair
market value, the relationship should
satisfy the exception for indirect
compensation arrangements in
§ 411.357(p) (69FR 16060).
2. Solicitation of Comments
At this time, we are not issuing a
specific proposal regarding POCs. The
statute and our existing regulations,
specifically those related to indirect
compensation arrangements, address
many POCs. In some problematic
circumstances, an unbroken chain of
financial relationships will connect the
physician owner of a POC to a DHS
entity to which the physician makes
referrals, and the other elements of an
indirect compensation arrangement
contained in § 411.354(c)(2) will also be
present, including the requisite
knowledge by the DHS entity of the
physician’s interest in the POC. In many
instances, the arrangement would not
satisfy the requirements of the exception
for indirect compensation arrangements
in § 411.357(p), and would, therefore,
run afoul of the physician self-referral
statute. However, we are soliciting
public comments as to whether our
physician self-referral rules should
address POCs and similar physician
owned companies more specifically, or
whether the concerns surrounding POCs
and similar organizations, to the extent
that they are not addressed by the
statute and our current rules, are better
addressed through enforcement of the
False Claims Act, the anti-kickback
statute and similar fraud and abuse
laws, other public laws, and through
other applicable Federal, State, and
local regulations. In this regard, we are
seeking comments as to whether, and to
what degree, physician investment in
POCs and similar organizations presents
risks of overutilization, substandard
care, and increased costs to the
Medicare program and its beneficiaries,
or whether the risk is confined to
possible anti-competitive behavior. To
the extent that commenters believe that
certain physician investment in POCs
and similar organizations should be
addressed more specifically under our
physician self-referral rules,
commenters are encouraged to provide
us with suggestions as to specific
actions we should take (for example,
considering POCs to be DHS entities
under certain circumstances,
considering physician investors in POCs
who influence hospitals as to the
ordering of medical devices to have
direct compensation relationships with
the hospitals, excepting certain
investment interests from coverage
under our rules, etc.).
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IX. Financial Relationships Between
Hospitals and Physicians
A. Background
As stated earlier, under section 1877
of the Act, a physician is prohibited
from referring a Medicare patient for
DHS to an entity (including an
individual) with which the physician
(or an immediate family member of the
physician) has a financial relationship,
unless an exception applies. In addition,
section 1877 of the Act provides that an
entity may not present or cause to be
presented a claim or bill to Medicare or
any individual, third party payor, or
other entity for DHS furnished as a
result of a prohibited referral. Also,
section 1877 of the Act prohibits us
from making payment for DHS
furnished pursuant to a prohibited
referral. The statute contains several
exceptions for certain types of
compensation arrangements and
ownership or investment interests,
including the exception in section
1877(d)(3) of the Act for ownership or
investment by a physician in the
hospital itself and not merely in a
subdivision of the hospital (that is, the
‘‘whole’’ hospital). Section 1877(b)(4) of
the Act authorizes us to create
additional exceptions, provided that
they do not create a risk of program or
patient abuse. As a result of the
statutory exceptions in section 1877 of
the Act, and the exceptions we have
created using our authority under
section 1877(b)(4) of the Act, our
regulations contain approximately 40
exceptions to the prohibition on
physician self-referrals. (We refer
readers to 42 CFR 411.351 through
411.357 of our regulations and the
September 5, 2007 ‘‘Phase III’’ final rule
(72 FR 51012).)
Section 1877(f) of the Act provides
that: ‘‘Each entity providing covered
items or services for which payment
may be made under this title [42 USCS
1395 et seq.] shall provide the Secretary
with the information concerning the
entity’s ownership, investment, and
compensation arrangements, including:
(1) The covered items and services
provided by the entity, and (2) the
names and unique physician
identification numbers of all physicians
with an ownership or investment
interest (as described in subsection
(a)(2)(A)), or with a compensation
arrangement (as described in subsection
(a)(2)(B)), in the entity, or whose
immediate relatives have such an
ownership or investment interest or
who have a compensation relationship
with the entity. Such information shall
be provided in such form, manner, and
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at such times as the Secretary shall
specify.’’ (Emphasis added)
Some industry representatives have
argued that the reference to financial
relationships as described in section
1877(a)(2)(A) and (a)(2)(B) of the Act
limits our ability to obtain information
on financial relationships that do not
satisfy one of the statutory or regulatory
exceptions. We disagree. The statute
clearly contains a broad authorization
for the Secretary to obtain information
concerning an entity’s financial
relationships, ‘‘including,’’ but not
limited to, financial relationships that
satisfy an exception. We believe that
there would have been little point to the
Congress providing us with the
authority to compel information on
excepted arrangements only, because, as
we have noted previously, ‘‘an entity
could decide that one or more of its
financial relationships falls within an
exception, fail to retain data concerning
those financial relationships, and
thereby prevent the government from
reviewing the arrangements to
determine if they qualify for an
exception.’’ (72 FR 51069.) Accordingly,
our regulation in § 411.361 requires
entities to report ‘‘any ownership or
investment interest, as defined at
§ 411.354(b), or any compensation
arrangement, as defined at § 411.354(c),
except for ownership or investment
interests that satisfy the exceptions set
forth in § 411.356(a) and § 411.356(b)
regarding publicly-traded securities and
mutual funds’’ (emphasis added). The
statute provides that an ownership or
investment interest in the entity may be
through equity, debt, or other means,
and includes an interest in an entity that
holds an ownership or investment
interest in any entity that furnishes
DHS.
Our regulations have been drafted to
reflect clearly our commonsense
interpretation of the statutory reporting
requirements. In the proposed rule
entitled ‘‘Medicare and Medicaid
Programs; Physicians’’ Referrals to
Health Care Entities With Which They
Have Financial Relationships,’’
published in the Federal Register on
January 9, 1998 (63 FR 1703), we
proposed to modify § 411.361 to require
that entities report information
concerning their reportable financial
relationships to us on a prescribed form
and thereafter report annually all
changes to the submitted information
that occurred in the previous 12
months. In addition, we revisited the
statute and interpreted the opening
paragraph of section 1877(f) of the Act
to permit us to gather any data on
financial relationships, including, but
not necessarily limited to, financial
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relationships for which there are no
exceptions under section 1877(a)(2)(A)
or (a)(2)(B) of the Act. Therefore, we
proposed to amend § 411.361 to reflect
explicitly our authority to ask for a
broader scope of information than the
regulation permitted at that time.
In the Phase II final rule with
comment period (69 FR 16121), we
modified the reporting requirement in
§ 411.361 to remove all references to the
use of a prescribed form, to require
entities to make information available
only upon request, and to maintain the
information only for the length of time
specified by the applicable regulatory
requirements for the information (that
is, the rules of the Internal Revenue
Service, Securities and Exchange
Commission, Medicare, Medicaid, or
other programs). In addition, we
modified § 411.361 to provide that
entities need not report ownership or
investment interests that satisfy the
exceptions in § 411.356(a) and (b) for
publicly-traded securities and mutual
funds.
Most, if not all, hospitals have
financial relationships with referring
physicians. These financial
relationships may involve ownership or
investment interests, compensation
arrangements, or both. The financial
relationships can be direct or they may
be indirect (such as through a physician
group practice or limited liability
company). The physician self-referral
statute was first enacted in 1989, and
the reporting requirements in the
regulations in § 411.361 were first
implemented in our December 3, 1991
interim final rule with comment period,
published in the Federal Register at 56
FR 61374. Since that time, CMS has not
engaged in a comprehensive reporting
initiative to examine financial
relationships between hospitals and
physicians. Consistent with
congressional intent in enacting the
physician self-referral statute, we
believe it is important to query hospitals
concerning their financial relationships
with physicians.
B. Section 5006 of the Deficit Reduction
Act (DRA) of 2005
Section 5006 of the DRA required the
Secretary to develop a strategic and
implementing plan to address certain
issues relating to physician-owned
specialty hospitals. The specific issues
the Secretary was required to address
were: (1) Proportionality of investment
return; (2) bona fide investment; (3)
annual disclosure of investment
information; (4) the provision by
specialty hospitals of (i) care to patients
who are eligible for Medicaid (or who
are not eligible for Medicaid but who
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are regarded as such because they
receive benefits under a section 1115
waiver) and (ii) charity care; and (5)
appropriate enforcement. In order to
assist us in preparing the report and
implementing plan required by section
5006 of the DRA, we sent a voluntary
survey to 130 specialty hospitals and
220 competitor hospitals, which sought
information regarding, among other
things, the hospitals’ ownership and
investment relationships, and their
compensation arrangements with
physicians. In the enforcement section
of the strategic and implementing plan
that was included in our ‘‘Final Report
to the Congress and Strategic and
Implementing Plan Required under
Section 5006 of the Deficit Reduction
Act of 2005’’ issued on August 8, 2006,
available on our Web site at https://
www.cms.hhs.gov/
PhysicianSelfReferral/
06a_DRA_Reports.asp (hereinafter
referred to as the ‘‘DRA Report to
Congress’’), we stated that we would
require all hospitals (that is, not just
specialty hospitals) to provide us
information on a periodic basis
concerning the investment interests in
the hospital of physicians and the
hospital’s compensation arrangements
with physicians (DRA Report to
Congress 69). We stated that we would
not limit our requirement to information
concerning physician investments in
specialty hospitals for two reasons.
First, physician investments in any type
of hospital raise potential issues
concerning compensation arrangements
that can be associated with the
investment. For example, a
disproportionate return on investment
or non-bona fide investment (through,
for example, a sham loan), creates a
prohibited compensation arrangement
under the physician self-referral law
and raises the possibility of an illegal
kickback scheme. Second, other types of
compensation arrangements (that is,
those that are not associated with an
investment interest), implicate the
physician self-referral law, such as
leasing, employment, and personal
service arangements. It is also important
to note that, although a physician may
be highly motivated to refer patients to
a hospital in which he or she has an
ownership interest, the physician may
be just as likely to refer patients to a
hospital with which he or she has a
compensation relationship, given that
the physician may see a more direct and
immediate financial benefit from the
compensation arrangement. In the DRA
Report to Congress, we stated that we
would implement a regular disclosure
process, but that we had not designed
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the process at that point, and that we
would consider such issues as whether
we should: (1) Survey all hospitals
annually; (2) stagger our survey so that
all hospitals are queried but not all in
the same year; and/or (3) focus our
inquiry on certain types of relationships
or certain hospitals. We stated that we
would also consider whether, having
once provided information, hospitals
need only submit updated information
on a yearly or other periodic basis.
C. Disclosure of Financial Relationships
Report (DFRR)
Following up on our commitment to
capture information concerning
financial relationships between all types
of hospitals and physicians, and to
assist in enforcement of the physician
self-referral statute and implementing
regulations, we created an information
collection instrument, referred to as the
Disclosure of Financial Relationships
Report (‘‘DFRR’’). The DFRR is designed
to collect information concerning the
ownership and investment interests and
compensation arrangements between
hospitals and physicians. (Appendix C
of this proposed rule contains the DFRR
instrument and instructions for public
comment.) We believe information
submitted by hospitals would permit us
to analyze the types of financial
relationships involving hospitals and
physicians, the structure of various
compensation arrangements and trends
therein, and potentially whether the
hospitals are in compliance with the
physician self-referral law and
implementing regulations. Using our
authority under section 1877(f) of the
Act and 42 CFR 411.361, we are
proposing to send the DFRR to 500
hospitals, a number that we believe is
necessary to provide us with sufficient
information: (1) To determine
compliance; and (2) to assist us in any
future rulemaking concerning the
reporting requirements and other
physician self-referral provisions.
We intend for our sample size to be
a significant percentage of the total
number of Medicare-participating
hospitals. The 2007 CMS Statistics
Handbook determined that, as of
December 2006, there were
approximately 6,200 Medicareparticipating hospitals. Our goal is to
begin by sending the DFRR to 8 to 10
percent of the Medicare-participating
hospitals (496 to 620 hospitals). We
reviewed our available funding and
determined that our resources would
permit us to review data from 500
hospitals (both general acute care
hospitals and specialty hospitals).
As discussed further below, the DFRR
also may assist us in making an
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informed decision as to whether to
propose rulemaking for an annual (or
other periodic) disclosure requirement
for all hospitals. By posing a
comprehensive set of questions to a
significant number of hospitals, we
believe that we will be informed not
only as to whether we should engage in
such rulemaking, but also as to what the
design of the proposed information
collection should look like.
Originally, we had planned to pilot
this information collection request in
advance of rulemaking. Thus, we
prepared a proposed information
collection request in accordance with
the Paperwork Reduction Act. We
announced and sought public comment
on the information collection request in
a 60-day Federal Register notice (CMS–
10236) that was published on May 18,
2007 (72 FR 28056). On September 14,
2007, we published in the Federal
Register a revised information
collection request in which we
increased the time estimate for
completing the DFRR and increased the
time for submission of the DFRR from
45 days to 60 days (72 FR 52568). (For
additional information, we refer the
reader to 72 FR 28056 and 72 FR 52568.)
In this proposed rule, we are
providing a discussion of the potential
burden associated with completing the
DFRR, including an analysis that
provides estimates of the burden for
small, medium, and large hospitals. To
better understand the potential burden
for completing the DFRR collection, we
reviewed the bed size of Medicareparticipating hospitals and developed
three categories of hospitals (small,
medium, and large hospitals). We
randomly selected 20 hospitals from
each category and requested that these
60 hospitals estimate the aggregate
number of hours it would take them to
complete and submit the entire DFRR
collection. The 33 hospitals that
responded included 11 small, 11
medium, and 11 large hospitals. We
reviewed the responses from the 33
hospitals and determined that the
average number of hours to complete
the DFRR was 31 hours. This figure
represents a significant increase from
our most recent time and burden
estimate. Therefore, we believe it would
be beneficial to seek further comments
on the accuracy of the time and burden
estimates associated with this
information collection instrument.
Because the information that we seek is
that which hospitals should already be
keeping in the normal course of their
business activities (even apart from the
need to document compliance with the
physician self-referral law), we
anticipate that the majority of the time
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spent completing the DFRR will be
spent by administrative staff. We believe
that the tasks involved would include
retrieving the information and printing
it from electronic files or copy it from
hard files, which largely should involve
administrative personnel. In addition,
the review and organization of the
materials would also impose burden on
the respondent. Nevertheless, in order
to err on the side of more potential
burden rather than less, we have
calculated costs using an hourly rate for
accountants.
D. Civil Monetary Penalties
We are proposing that the DFRR be
completed, certified by the appropriate
officer of the hospital, and received by
CMS within 60 days of the date that
appears on the cover letter or e-mail
transmission of the DFRR. We are
soliciting comment on the proposed 60day timeframe for completing the DFRR.
Section 411.361(f) provides that
failure to timely submit the requested
information concerning an entity’s
ownership, investment, and
compensation arrangements may result
in civil monetary penalties of up to
$10,000 for each day beyond the
deadline established for disclosure.
Although we have the authority to
impose civil monetary penalties, we
seek not to invoke this authority and
will work with entities to comply with
the reporting requirements. Prior to
imposing a civil monetary penalty in
any amount, we would issue a letter to
any hospital that does not return the
completed DFRR, inquiring as to why
the hospital did not return timely the
completed DFRR. In addition, a hospital
may, upon a demonstration of good
cause, receive an extension of time to
submit the requested information.
E. Uses of Information Captured by the
DFRR
As noted above, we anticipate that the
DFRR will be useful in determining
whether the financial relationships
between 500 hospitals and the
physicians associated with those
hospitals are in compliance with the
physician self-referral statute and
regulations. In addition, the results of
the DFRR may assist us in other
rulemaking efforts.
In the CY 2008 PFS proposed rule, we
proposed certain changes to our
physician self-referral rules (72 FR
38179 through 38187). With the
exception of the anti-markup
provisions, however, we have not yet
finalized any of the proposals. We are
actively working on the proposals, and
although we expect to finalize the
proposals before receiving and
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analyzing the completed DFRRs,
information gleaned from the completed
DFRRs may shape our final rulemaking
if that rulemaking is delayed. Our
analysis of the DFRRs may affect
subsequent proposals on these and other
related issues.
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F. Solicitation of Comments
We are soliciting comments on the
DFRR information collection instrument
through this proposed rule as follows:
• Whether the collection effort should
be recurring, and, if so, whether it
should be implemented on an annual or
some other periodic basis.
• Whether we are collecting too much
or not enough information, and whether
we are collecting the correct (or
incorrect) type of information.
• The amount of time it will take
hospitals to complete the DFRR and the
costs associated with completing the
DFRR; the amount of time we should
give hospitals to complete and return
their responses to us.
• Whether we should direct the
collection instrument to all hospitals,
and, if so, whether we should stagger
the collection so that only a certain
number of hospitals are subject to it in
any given year.
• Whether hospitals, once having
completed the DFRR, should have to
send in yearly updates and report only
changed information.
X. MedPAC Recommendations
We are required by section
1886(e)(4)(B) of the Act to respond to
MedPAC’s recommendations regarding
hospital inpatient payments in our
annual proposed and final IPPS rules.
We have reviewed MedPAC’s March
2008 ‘‘Report to the Congress: Medicare
Payment Policy’’ and have given it
careful consideration in conjunction
with the proposed policies set forth in
this document. MedPAC’s
Recommendation 2A–1 states that ‘‘The
Congress should increase payment rates
for the acute inpatient and outpatient
prospective payment systems in 2009 by
the projected rate of increase in the
hospital market basket index,
concurrent with implementation of a
quality incentive payment program.’’
This recommendation is discussed in
Appendix B to this proposed rule.
Recommendation 2A–2: MedPAC
recommended that ‘‘The Congress
should reduce the indirect medical
education adjustment in 2009 by 1
percentage point to 4.5 percent per 10
percent increment in the resident-to-bed
ratio. The funds obtained by reducing
the indirect medical education
adjustment should be used to fund a
quality incentive payment program.’’
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Response: Redirecting funds obtained
by reducing the IME adjustment to fund
a quality incentive payment program is
consistent with the VBP initiatives to
improve the quality of care and,
therefore, merits consideration.
However, section 502(a) of Pub. L. 108–
173 modified the formula multiplier (c)
to be used in the calculation of the IME
adjustment beginning midway through
FY 2004 and provided for a new
schedule of formula multipliers for FYs
2005 and thereafter. Consequently, CMS
could not implement MedPAC’s
recommendation to reduce the IME
adjustment in 2009 without a statutory
change. We note that included in the
President’s FY 2009 budget proposal
was a proposal to reduce the IME
adjustment from 5.5 percent to 2.2
percent over 3 years, starting in FY
2009, in order to better align IME
payments with the estimated costs per
case that teaching hospitals may face.
In its June 2007 ‘‘Report to Congress:
Promoting Greater Efficiency in
Medicare,’’ MedPAC made
recommendations concerning the
Medicare hospital wage index. Section
106(b)(1) of the MIEA–TRHCA (Pub. L.
109–432) required MedPAC to submit to
Congress, not later than June 30, 2007,
a report on the Medicare hospital wage
index classification system applied
under the Medicare IPPS, including any
alternatives that MedPAC recommended
to the method to compute the wage
index under section 1886(d)(3)(E) of the
Act. In addition, section 106(b)(2) of the
MIEA–TRHCA instructed the Secretary
taking into account MedPAC’s
recommendations on the Medicare
hospital wage index classification
system, to include in this FY 2009 IPPS
proposed rule one or more proposals to
revise the wage index adjustment
applied under section 1886(d)(3)(E) of
the Act for purposes of the IPPS. The
MedPAC recommendations and our
proposals concerning the Medicare
hospital wage index are discussed in
section III.B. of the preamble of this
proposed rule.
For further information relating
specifically to the MedPAC reports or to
obtain a copy of the reports, contact
MedPAC at (202) 653–7220, or visit
MedPAC’s Web site at: https://
www.medpac.gov.
data are available in computer tape or
cartridge format. However, some files
are available on diskette as well as on
the Internet at: https://www.cms.hhs.gov/
providers/hipps. Data files and the cost
for each file, if applicable, are listed
below. Anyone wishing to purchase
data tapes, cartridges, or diskettes
should submit a written request along
with a company check or money order
(payable to CMS-PUF) to cover the cost
to the following address: Centers for
Medicare & Medicaid Services, Public
Use Files, Accounting Division, P.O.
Box 7520, Baltimore, MD 21207–0520,
(410)–786–3691. Files on the Internet
may be downloaded without charge.
1. CMS Wage Data
This file contains the hospital hours
and salaries for FY 2005 used to create
the proposed FY 2009 prospective
payment system wage index. The file is
currently available for the NPRM and
will be available by the beginning of
May for the final rule.
Processing year
2008
2007
2006
2005
2004
2003
2002
2001
2000
1999
1998
1997
1996
1995
1994
1993
1992
1991
..................
..................
..................
..................
..................
..................
..................
..................
..................
..................
..................
..................
..................
..................
..................
..................
..................
..................
Wage data
year
2005
2004
2003
2002
2001
2000
1999
1998
1997
1996
1995
1994
1993
1992
1991
1990
1989
1988
PPS fiscal
year
2009
2008
2007
2006
2005
2004
2003
2002
2001
2000
1999
1998
1997
1996
1995
1994
1993
1992
These files support the following:
• Notice of proposed rulemaking
published in the Federal Register.
• Final rule published in the Federal
Register.
Media: Diskette/most recent year on
the Internet.
File Cost: $165.00 per year.
Periods Available: FY 2009 PPS
Update.
XI. Other Required Information
2. CMS Hospital Wages Indices
(Formerly: Urban and Rural Wage Index
Values Only)
A. Requests for Data From the Public
In order to respond promptly to
public requests for data related to the
prospective payment system, we have
established a process under which
commenters can gain access to raw data
on an expedited basis. Generally, the
This file contains a history of all wage
indices since October 1, 1983.
Media: Diskette/most recent year on
the Internet.
File Cost: $165.00 per year.
Periods Available: FY 2009 PPS
Update.
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3. FY 2009 Proposed Rule Occupational
Mix Adjusted and Unadjusted AHW by
Provider
This file includes each hospital’s
adjusted and unadjusted average hourly
wage.
Media: Internet.
Periods Available: FY 2009 PPS
Update.
4. FY 2009 Proposed Rule Occupational
Mix Adjusted and Unadjusted AHW and
Pre-Reclassified Wage Index by CBSA
This file includes each CBSA’s
adjusted and unadjusted average hourly
wage.
Media: Internet.
Periods Available: FY 2009 PPS
Update.
5. Provider Occupational Mix
Adjustment Factors for Each
Occupational Category
This file contains each hospital’s
occupational mix adjustment factors by
occupational category.
Media: Internet.
Periods Available: FY 2009 PPS
Update.
6. PPS SSA/FIPS MSA State and County
Crosswalk
This file contains a crosswalk of State
and county codes used by the Social
Security Administration (SSA) and the
Federal Information Processing
Standards (FIPS), county name, and a
historical list of Metropolitan Statistical
Areas (MSAs).
Media: Diskette/Internet.
File Cost: $165.00 per year.
Periods Available: FY 2009 PPS
Update.
7. Reclassified Hospitals New Wage
Index (Formerly: Reclassified Hospitals
by Provider Only)
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This file contains a list of hospitals
that were reclassified for the purpose of
assigning a new wage index. Two
versions of these files are created each
year. They support the following:
• Notice of proposed rulemaking
published in the Federal Register.
• Final rule published in the Federal
Register.
Media: Diskette/Internet.
File Cost: $165.00 per year.
Periods Available: FY 2009 PPS
Update.
8. PPS–IV to PPS–XII Minimum Data
Set
The Minimum Data Set contains cost,
statistical, financial, and other
information from Medicare hospital cost
reports. The data set includes only the
most current cost report (as submitted,
final settled, or reopened) submitted for
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a Medicare participating hospital by the
Medicare fiscal intermediary to CMS.
This data set is updated at the end of
each calendar quarter and is available
on the last day of the following month.
Media: Tape/Cartridge.
File Cost: $770.00 per year.
Periods
beginning
on or after
PPS–IV .............
PPS–V ..............
PPS–VI .............
PPS–VII ............
PPS–VIII ...........
PPS–IX .............
PPS–X ..............
PPS–XI .............
PPS–XII ............
10/01/86
10/01/87
10/01/88
10/01/89
10/01/90
10/01/91
10/01/92
10/01/93
10/01/94
and before
10/01/87
10/01/88
10/01/89
10/01/90
10/01/91
10/01/92
10/01/93
10/01/94
10/01/95
(NOTE: The PPS–XIII, PPS–XIV, PPS–XV,
PPS–XVI, PPS–XVII, PPS–XVIII, PPS–XIX
PPS–XX, PPS–XXI, PPS–XXII, and PPS–
XXIII Minimum Data Sets are part of the PPS–
XIII, PPS–XIV, PPS–XV, PPS–XVI, PPS–XVII,
PPS–XVIII, PPS–XIX, PPS–XX, PPS–XXI,
PPS–XXII, and PPS–XXIII Hospital Data Set
Files (refer to item 10 below).)
9. PPS–IX to PPS–XII Capital Data Set
The Capital Data Set contains selected
data for capital-related costs, interest
expense and related information and
complete balance sheet data from the
Medicare hospital cost report. The data
set includes only the most current cost
report (as submitted, final settled or
reopened) submitted for a Medicare
certified hospital by the Medicare fiscal
intermediary to CMS. This data set is
updated at the end of each calendar
quarter and is available on the last day
of the following month.
Media: Tape/Cartridge.
File Cost: $770.00 per year.
Periods
beginning
on or after
PPS–IX .............
PPS–X ..............
PPS–XI .............
PPS–XII ............
10/01/91
10/01/92
10/01/93
10/01/94
and before
10/01/92
10/01/93
10/01/94
10/01/95
(Note: The PPS–XIII, PPS–XIV, PPS–
XV, PPS–XVI, PPS–XVII, PPS–XVIII,
PPS–XIX PPS–XX, PPS–XXI, PPS–XXII,
and PPS–XXIII Capital Data Sets are part
of the PPS–XIII, PPS–XIV, PPS–XV,
PPS–XVI, PPS–XVII, PPS–XVIII, PPS–
XIX, PPS–XX, PPS–XXI, PPS–XXII, and
PPS–XXIII Hospital Data Set Files (refer
to item 10 below).)
10. PPS–XIII to PPS–XXIII Hospital Data
Set
The file contains cost, statistical,
financial, and other data from the
Medicare Hospital Cost Report. The data
set includes only the most current cost
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23699
report (as submitted, final settled, or
reopened) submitted for a Medicarecertified hospital by the Medicare fiscal
intermediary to CMS. The data set is
updated at the end of each calendar
quarter and is available on the last day
of the following month.
Media: Diskette/Internet.
File Cost: $2,500.00.
Periods
beginning
on or after
PPS–XIII ...........
PPS–XIV ...........
PPS–XV ............
PPS–XVI ...........
PPS–XVII ..........
PPS–XVIII .........
PPS–XIX ...........
PPS–XX ............
PPS–XXI ...........
PPS–XXII ..........
PPS–XXIII .........
10/01/95
10/01/96
10/01/97
10/01/98
10/01/99
10/01/00
10/01/01
10/01/02
10/01/03
10/01/04
10/01/05
and before
10/01/96
10/01/97
10/01/98
10/01/99
10/01/00
10/01/01
10/01/02
10/01/03
10/01/04
10/01/05
10/01/06
11. Provider-Specific File
This file is a component of the
PRICER program used in the fiscal
intermediary’s or the MAC’s system to
compute DRG payments for individual
bills. The file contains records for all
prospective payment system eligible
hospitals, including hospitals in waiver
States, and data elements used in the
prospective payment system
recalibration processes and related
activities. Beginning with December
1988, the individual records were
enlarged to include pass-through per
diems and other elements.
Media: Diskette/Internet.
File Cost: $265.00.
Periods Available: FY 2009 PPS
Update.
12. CMS Medicare Case-Mix Index File
This file contains the Medicare casemix index by provider number as
published in each year’s update of the
Medicare hospital inpatient prospective
payment system. The case-mix index is
a measure of the costliness of cases
treated by a hospital relative to the cost
of the national average of all Medicare
hospital cases, using DRG weights as a
measure of relative costliness of cases.
Two versions of this file are created
each year. They support the following:
• Notice of proposed rulemaking
published in the Federal Register.
• Final rule published in the Federal
Register.
Media: Diskette/most recent year on
Internet.
Price: $165.00 per year/per file.
Periods Available: FY 1985 through
FY 2009.
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13. MS–DRG Relative Weights
(Formerly Table 5 DRG)
This file contains a listing of MS–
DRGs, MS–DRG narrative descriptions,
relative weights, and geometric and
arithmetic mean lengths of stay as
published in the Federal Register. The
hard copy image has been copied to
diskette. There are two versions of this
file as published in the Federal
Register:
• Notice of proposed rulemaking.
• Final rule.
Media: Diskette/Internet.
File Cost: $165.00.
Periods Available: FY 2009 PPS
Update.
14. PPS Payment Impact File
This file contains data used to
estimate payments under Medicare’s
hospital inpatient prospective payment
systems for operating and capital-related
costs. The data are taken from various
sources, including the Provider-Specific
File, Minimum Data Sets, and prior
impact files. The data set is abstracted
from an internal file used for the impact
analysis of the changes to the
prospective payment systems published
in the Federal Register. This file is
available for release 1 month after the
proposed and final rules are published
in the Federal Register.
Media: Diskette/Internet.
File Cost: $165.00.
Periods Available: FY 2009 PPS
Update.
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15. AOR/BOR Tables
This file contains data used to
develop the MS–DRG relative weights. It
contains mean, maximum, minimum,
standard deviation, and coefficient of
variation statistics by MS–DRG for
length of stay and standardized charges.
The BOR tables are ‘‘Before Outliers
Removed’’ and the AOR is ‘‘After
Outliers Removed.’’ (Outliers refer to
statistical outliers, not payment
outliers.)
Two versions of this file are created
each year. They support the following:
• Notice of proposed rulemaking
published in the Federal Register.
• Final rule published in the Federal
Register.
Media: Diskette/Internet.
File Cost: $165.00.
Periods Available: FY 2009 PPS
Update.
16. Prospective Payment System (PPS)
Standardizing File
This file contains information that
standardizes the charges used to
calculate relative weights to determine
payments under the prospective
payment system. Variables include wage
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index, cost-of-living adjustment (COLA),
case-mix index, disproportionate share,
and the Metropolitan Statistical Area
(MSA). The file supports the following:
• Notice of proposed rulemaking
published in the Federal Register.
• Final rule published in the Federal
Register.
Media: Internet.
File Cost: No charge.
Periods Available: FY 2009 PPS
Update.
For further information concerning
these data tapes, contact the CMS Public
Use Files Hotline at (410) 786–3691.
Commenters interested in discussing
any data used in constructing this
proposed rule should contact Nisha
Bhat at (410) 786–5320.
B. Collection of Information
Requirements
1. Legislative Requirement for
Solicitation of Comments
Under the Paperwork Reduction Act
of 1995, we are required to provide 60day notice in the Federal Register and
solicit public comment before a
collection of information requirement is
submitted to the Office of Management
and Budget (OMB) for review and
approval. In order to fairly evaluate
whether an information collection
should be approved by OMB, section
3506(c)(2)(A) of the Paperwork
Reduction Act of 1995 requires that we
solicit comment on the following issues:
• The need for the information
collection and its usefulness in carrying
out the proper functions of our agency.
• The accuracy of our estimate of the
information collection burden.
• The quality, utility, and clarity of
the information to be collected.
• Recommendations to minimize the
information collection burden on the
affected public, including automated
collection techniques.
2. Solicitation of Comments on
Proposed Requirements in Regulatory
Text
We are soliciting public comment on
each of the issues listed under section
XI.B.1. of this preamble for the
following sections of this document that
contain information collection
requirements (ICRs):
a. ICRs Regarding Physician Reporting
Requirements (§ 411.361)
Section 411.361(a) of the regulations
states that except for entities that
furnish 20 or fewer Part A and Part B
services during a calendar year or for
Medicare covered services furnished
outside the United States, all entities
furnishing services for which payment
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may be made under Medicare must
submit information to CMS or to the
Office of the Inspector General (OIG)
concerning their reportable financial
relationships (any ownership or
investment interest, or compensation
arrangement) in the form, manner, and
at times that CMS or OIG specifies. As
described in section IX. of the preamble
of this proposed rule, and in accordance
with its authority under 42 CFR
411.361(e), CMS is requiring that
hospitals provide information
concerning their ownership, investment
and compensation arrangements with
physicians by completing the DFRR
instrument.
An information collection request
concerning the DFRR was previously
submitted to OMB for approval. We
announced and sought public comment
on the information collection request in
both 60-day and 30-day Federal
Register notices that published on May
18, 2007 (72 FR 28056), and September
14, 2007 (72 FR 52568), respectively. As
further discussed in section IX. of this
preamble, we have decided to obtain
additional input from the public
concerning the time and cost burden
associated with completing and
submitting the DFRR instrument. (The
instrument is included as Appendix C
to this proposed rule.) We believe that
hospital accounting personnel would be
responsible for: (1) Ensuring that the
appropriate data or supporting
documentation is retrieved; (2)
completing the DFRR; and (3)
submitting the DFRR to the Chief
Executive Officer, Chief Financial
Officer, or comparable officer of the
hospital for his or her signature on the
certification statement.
Initially, CMS would require 500
hospitals to complete and submit the
DFRR instrument. We estimate that
these tasks would require 31 hours for
each of the 500 hospitals to complete
the DFRR. Thus, the total number of
burden hours required for 500 hospitals
to complete the DFRR instrument is
15,500 hours.
b. ICRs Regarding Risk Adjustment Data
(§ 422.310)
As discussed in section IV.H. of the
preamble of this proposed rule,
§ 422.310(b) states that each MA
organization must submit to CMS (in
accordance with CMS instructions) the
data necessary to characterize the
context and purposes of each item and
service provided to a Medicare enrollee
by a provider, supplier, physician, or
other practitioner. In addition,
§ 422.310(b) states that CMS may collect
data necessary to characterize the
functional limitations of enrollees of
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each MA organization. Section
422.310(c) lists the nature of the data
elements to be submitted to CMS.
The burden associated with these
requirements is the time and effort
necessary for the MA organization to
submit the necessary data to CMS.
These requirements are subject to the
PRA and the associated burden is
currently approved under OMB control
number 0938–0878. However, under
notice and comment periods separate
from this proposed rule, we intend to
revise the currently approved
information collection to include
burden estimates as they pertain to
§ 422.310. The preliminary burden
estimate for this proposed rule is as
follows: Currently, there are 676 MA
organizations. Assuming that 99 percent
of encounter data claims are submitted
electronically and 1 percent are
submitted manually, we estimate that it
will take 1,089 hours annually for
submission of electronic claims and
73,335 hours annually for submission of
manual claims. The estimated annual
burden associated with these
requirements is an annual average of
110 hours per MA organization.
c. ICRs Regarding Basic Commitments of
Providers (§ 489.20)
As discussed in section IV.I. of the
preamble of this proposed rule,
proposed § 489.20(r)(2) states that a
hospital, as defined in § 489.24(b), must
maintain an on-call list of physicians on
its medical staff to provide treatment
necessary to stabilize patients who are
receiving services required under
§ 489.24 in accordance with the
resources available to the hospital. The
burden associated with this requirement
is the time and effort necessary to draft,
maintain, and periodically update the
list of on-call physicians. We estimate
that it will take 3 hours for each of the
100 Medicare-participating hospitals to
comply with this recordkeeping
requirement. The estimated annual
burden associated with this requirement
is 300 hours.
As discussed in section VII. of the
preamble of this proposed rule,
proposed § 489.20(u)(1) states that, in
the case of a physician-owned hospital
as defined in § 489.3, the hospital must
furnish written notice to all patients at
the beginning of their hospital stay or
outpatient visit that the hospital is a
physician-owned facility. In addition,
patients must be advised that a list of
the hospital’s owners or investors who
are physicians (or immediate family
members of physicians) is available
upon request. Upon receiving the
request of the patient or an individual
on behalf of the patient, a hospital must
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immediately disseminate the list to the
requesting patient.
The burden associated with the
requirements in this section is the time
and effort necessary for a hospital to
furnish written notice to all patients that
the hospital is a physician-owned
hospital. Whereas this requirement is
subject to the PRA, the associated
burden is currently approved under
OMB control number 0938–1034, with
an expiration date of February 28, 2011.
In addition, there is burden associated
with furnishing a patient with the list of
the hospital’s owners or investors who
are physicians (or immediate family
members of physicians) at the time of
the patient request. However, CMS has
no way to accurately quantify the
burden because we cannot estimate the
number of this type of request that a
hospital may receive. We are soliciting
public comments on the annual number
of requests a hospital may receive for
lists of physician-owners and investors,
and will reevaluate this issue in the
final rule stage of rulemaking.
Proposed § 489.20(u)(2) would require
disclosure of physician ownership as a
condition of continued medical staff
membership or admitting privileges.
The burden associated with this
requirement is the time and effort
required for a hospital to develop, draft,
and implement changes to its medical
staff bylaws and other policies
governing admitting privileges.
Approximately 175 physician-owned
hospitals would be required to comply
with this requirement. We estimate that
it will require a hospital’s general
counsel 4 hours to revise a hospital’s
medical staff bylaws and policies
governing admitting privileges.
Therefore, the total annual hospital
burden would be 700 hours.
In addition, the proposed
§ 489.20(u)(2) imposes a burden on
physicians. As stated earlier, all
physicians who are also members of the
hospital’s medical staff must agree, as a
condition of continued medical staff
membership or admitting privileges, to
disclose, in writing, to all patients they
refer to the hospital any ownership or
investment interest in the hospital held
by themselves or by an immediate
family member. The disclosure must be
made at the time the referral is made.
The burden associated with this
requirement is the time and effort
necessary for a physician to draft a
disclosure and to provide it to the
patient at the time the referral is made
to the physician-owned hospital. We
estimate that it will take each physician,
or designated office staff member, 1
hour to develop a disclosure notice and
make copies that will be distributed to
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patients. In addition, we estimate 30
seconds to provide the disclosure to
each patient and an additional 30
seconds to record the proof of disclosure
into each patient’s medical record.
Although we can estimate the number
of physician-owned hospitals, we are
unable to quantify the number of
physicians that possess an ownership or
investment interest in hospitals. There
is limited data available concerning
physician ownership in hospitals. The
studies to date, including those by CMS
and the Government Accountability
Office, pertain to physician ownership
in specialty hospitals (cardiac,
orthopedic, and surgical hospitals).
These specialty hospital studies
published data concerning the average
percentage of shares of direct ownership
by physicians (less than 2 percent),
indirect ownership through group
practices, and the aggregate percentage
of physician ownership, but did not
publish the number of physician owners
in these types of hospitals. More
importantly, proposed § 489.20(u)(2)
would apply to physician ownership in
any type of hospital. Our other research
involved a review of enrollment data.
However, the CMS enrollment
application (CMS–855) requires the
reporting of ownership interests that
exceed 5 percent or greater, and, thus,
most physician ownership is not
captured. In summary, because we are
unable to estimate the total physician
burden associated with this reporting
requirement, we are seeking public
comment pertaining to this burden and
will reevaluate this issue in the final
rule stage of rulemaking.
Proposed § 489.20(v) states that the
aforementioned requirements in
§ 489.20(u)(1) and (u)(2) do not apply to
a physician-owned hospital that does
not have at least one referring physician
who has an ownership or investment
interest in the hospital or who has an
immediate family member who has an
ownership or investment interest in the
hospital. To comply with this exception,
an eligible hospital must sign an
attestation to that effect and maintain
the document in its records. Therefore,
the number of hospitals that are now
subject to the disclosure requirement
would be slightly reduced. However,
there may be a minimal burden
attributable to the proposed requirement
that the hospital maintain an attestation
statement in its records.
The burden associated with this
requirement will be limited to those
physician-owned hospitals that do not
have at least one referring physician
who has an ownership or investment
interest in the hospital or who has an
immediate family member who has an
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ownership or investment interest in the
hospital. The burden would include the
time and effort for these hospitals to
develop, sign, and maintain the
attestations in their records. We
estimate that 10 percent, or
approximately 18, of the estimated 175
physician-owned hospitals would be
subject to this requirement. We estimate
that it would take each of these
physician-owned hospitals an average of
1 hour to develop, sign, and maintain
the attestation in its records. The
estimated annual burden associated
with this requirement is 18 hours.
However, because we have no way of
knowing for certain the number of
physician-owned hospitals that do not
have at least one referring physician
who has an ownership or investment
interest in the hospital or who has an
immediate family member who has an
ownership or investment interest in the
hospital, we are requesting public
comment regarding the accuracy of our
estimate and the associated burden with
the attestation requirement.
Section 489.20(w) requires all
hospitals, as defined in § 489.24(b), to
furnish all patients notice, in
accordance with § 482.13(b)(2), at the
beginning of their hospital stay or
outpatient visit if a doctor of medicine
or a doctor of osteopathy is not present
in the hospital 24 hours per day, 7 days
per week. The notice must indicate how
the hospital will meet the medical needs
of any inpatient who develops an
emergency medical condition, as
defined in § 489.24(b), at a time when
there is no physician present in the
hospital. The burden associated with
this requirement is the time and effort
necessary for each hospital to develop a
standard notice to furnish to its patients.
Whereas this requirement is subject to
the PRA, the associated burden is
approved under OMB control number
0938–1034 with a current expiration
date of February 28, 2011.
ESTIMATED ANNUAL REPORTING AND RECORDKEEPING BURDEN
OMB
control
No.
Regulation
section(s)
§ 411.361 ...........................................
§ 422.310(b) ......................................
§ 489.20(r) .........................................
§ 489.20(u)(1) and (w) ......................
§ 489.20(u)(2) ....................................
§ 489.20(v) ........................................
Total ...........................................
0938–New
0938–0878
0938–New
0938–1034
0938–New
0938–New
Respondents
Responses
Burden per
response
(hours)
Total
annual
burden
(hours)
........................................
.......................................
........................................
.......................................
........................................
........................................
500
676
100
2,679
175
18
500
676
100
49,735,635
175
18
31
110
3
**
4
1
15,500
* 74,424
300
839,599
700
18
...........................................................
........................
........................
........................
930,541
* Burden estimate is based on proposed revisions to the currently approved OMB control number.
** There are multiple requirements associated with the regulation section approved under this OMB control number. There is no uniform estimate of the burden per response.
3. Associated Information Collections
Not Specified in Regulatory Text
This proposed rule imposes collection
of information requirements as outlined
in the regulation text and specified
above. However, this proposed rule also
makes reference to several associated
information collections that are not
discussed in the regulation text. The
following is a discussion of these
collections, which have already
received OMB approval.
jlentini on PROD1PC65 with PROPOSALS2
a. Present on Admission (POA)
Indicator Reporting
Section II.F.8 of the preamble of this
proposed rule discusses the present on
admission indicator (POA) reporting
requirements. As stated earlier, POA
indicator information is necessary to
identify which conditions were
acquired during hospitalization for the
hospital-acquired condition (HAC)
payment provision and for broader
public health uses of Medicare data.
Through Change Request No. 5499
(released May 11, 2007), CMS issued
instructions requiring IPPS hospitals to
submit the POA indicator data for all
diagnosis codes on Medicare claims.
The burden associated with this
requirement is the time and effort
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necessary to place the appropriate POA
codes on Medicare claims. While the
requirement is subject to the PRA; the
associated burden is approved under
0938–0997 with an expiration date of
August 31, 2009.
b. Proposed Add-On Payments for New
Services and Technologies
Section II.J. of the preamble of this
proposed rule discusses proposed addon payments for new services and
technologies. Specifically, this section
states that applicants for add-on
payments for new medical services or
technologies for FY 2010 must submit a
formal request. A formal request
includes a full description of the
clinical applications of the medical
service or technology and the results of
any clinical evaluations demonstrating
that the new medical service or
technology represents a substantial
clinical improvement. In addition, the
request must contain a significant
sample of the data to demonstrate that
the medical service or technology meets
the high-cost threshold.
We detailed the burden associated
with this requirement in a final rule
published in the Federal Register on
September 7, 2001 (66 FR 46902). As
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stated in that final rule, we believe the
associated burden is exempt from the
PRA as stipulated under 5 CFR
1320.3(h)(6). Collection of the
information for this requirement will be
conducted on an individual case-bycase basis.
c. Reporting of Hospital Quality Data for
Annual Hospital Payment Update
As noted in section IV.B. of the
preamble of this proposed rule, the
RHQDAPU program was originally
established to implement section 501(b)
of Pub. L. 108–173, thereby expanding
our voluntary Hospital Quality
Initiative. The RHQDAPU program
originally consisted of a ‘‘starter set’’ of
10 quality measures. OMB approved the
collection of data associated with the
original starter set of quality measures
under OMB control number 0938–0918,
with a current expiration date of January
31, 2010.
We added additional quality measures
to the RHQDAPU program and
submitted the information collection
request to OMB for approval. This
expansion of the RHQDAPU measures
was part of our implementation of
section 5001(a) of the DRA. Section
1886(b)(3)(B)(viii)(III) of the Act, added
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by section 5001(a) of the DRA, requires
that the Secretary expand the ‘‘starter
set’’ of 10 quality measures that were
established by the Secretary as of
November 1, 2003, to include measures
‘‘that the Secretary determines to be
appropriate for the measurement of the
quality of care furnished by hospitals in
inpatient settings.’’ The burden
associated with these reporting
requirements is currently approved
under OMB control number 0938–1022
with a current expiration date of
December 31, 2008.
However, for FY 2009, we submitted
to OMB for approval a revised
information collection request using the
same OMB control number (0938–1022).
In the revised request, we proposed to
add three new RHQDAPU quality
measures that we adopted for the FY
2009 RHADAPU program to the PRA
process. These three measures are as
follows:
• Pneumonia 30-day Mortality
(Medicare patients);
• SCIP Infection 4: Cardiac Surgery
Patients with Controlled 6AM
Postoperative Serum Glucose; and
• SCIP Infection 6: Surgery Patients
with Appropriate Hair Removal.
The revised information collection
request was announced in the Federal
Register via an emergency notice on
January 28, 2008 (73 FR 4868). The
information collection request is
currently under review by OMB. Once
approved, we will submit another
revision of the information collection
request to obtain approval for the new
measures contained in this proposed
rule.
Section IV.B.5. of the preamble of this
proposed rule also discusses the
requirements for the continuous
collection of HCAHPS quality data. The
HCAHPS survey is designed to produce
comparable data on the patient’s
perspective on care that allows objective
and meaningful comparisons between
hospitals on domains that are important
to consumers. We also added the
HCAHPS survey to the PRA process in
the information collection request
currently approved under OMB control
number 0938–1022 with a current
expiration date of December 31, 2008.
Section IV.B.9. of the preamble of this
proposed rule addresses the
reconsideration and appeal procedures
for a hospital that we believe did not
meet the RHQDAPU program
requirements. If a hospital disagrees
with our determination, it may submit
a written request to us requesting that
we reconsider our decision. The
hospital’s letter must explain the
reasons it believes it did meet the
RHQDAPU program requirements.
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While this is a reporting requirement,
the burden associated with it is not
subject to the PRA under 5 CFR
1320.4(a)(2). The burden associated
with information collection
requirements imposed subsequent to an
administrative action is not subject to
the PRA.
d. Occupational Mix Adjustment to the
FY 2009 Index (Hospital Wage Index
Occupational Mix Survey)
Section III. of the preamble of this
proposed rule details the proposed
changes to the hospital wage index.
Specifically, section III.D. addresses the
proposed occupational mix adjustment
to the proposed FY 2009 index. While
the preamble does not contain any new
information collection requirements, it
is important to note that there is an
OMB approved collection associated
with the hospital wage index.
Section 304(c) of Pub. L. 106–554
amended section 1886(d)(3)(E) of the
Act to require CMS to collect data at
least once every 3 years on the
occupational mix of employees for each
short-term, acute care hospital
participating in the Medicare program,
in order to construct an occupational
mix adjustment to the wage index. We
collect the data via the occupational mix
survey.
The burden associated with this
information collection request is the
time and effort required to collect and
submit the data in the Hospital Wage
Index Occupational Mix Survey to CMS.
While this burden is subject to the PRA,
it is already approved under OMB
control number 0938–0907, with an
expiration date of February 28, 2011.
4. Addresses for Submittal of Comments
on Information Collection Requirements
If you comment on these information
collection and recordkeeping
requirements, please do either of the
following:
1. Submit your comments
electronically as specified in the
ADDRESSES section of this proposed rule;
or
2. Mail copies to the address specified
in the ADDRESSES section of this
proposed rule and to— Office of
Information and Regulatory Affairs,
Office of Management and Budget,
Room 10235, New Executive Office
Building, Washington, DC 20503, Attn:
Carolyn L. Raffaelli, CMS Desk Officer,
CMS–1390–P; E-mail:
Carolyn_L._Raffaelli@omb.eop.gov. Fax
(202) 395–6974.
C. Response to Comments
Because of the large number of public
comments we normally receive on
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23703
Federal Register documents, we are not
able to acknowledge or respond to them
individually. We will consider all
comments we receive by the date and
time specified in the DATES section of
this preamble, and, when we proceed
with a subsequent document, we will
respond to the comments in the
preamble to that document.
List of Subjects
42 CFR Part 411
Kidney diseases, Medicare, Physician
referral, Reporting and recordkeeping
requirements.
42 CFR Part 412
Administrative practice and
procedure, Health facilities, Medicare,
Puerto Rico, Reporting and
recordkeeping requirements.
42 CFR Part 413
Health facilities, Kidney diseases,
Medicare, Puerto Rico, Reporting and
recordkeeping requirements.
42 CFR Part 422
Administrative practice and
procedure, Grant programs—health,
Health care, Health insurance, Health
maintenance organizations (HMO), Loan
programs—health, Medicare, Reporting
and recordkeeping requirements.
42 CFR Part 489
Health facilities, Medicare, Reporting
and recordkeeping requirements.
For the reasons stated in the preamble
of this proposed rule, the Centers for
Medicare & Medicaid Services is
proposing to amend 42 CFR Chapter IV
as follows:
PART 411—EXCLUSIONS FROM
MEDICARE AND LIMITATIONS ON
MEDICARE PAYMENT
1. The authority citation for part 411
continues to read as follows:
Authority: Secs. 1102, 1860D–1 through
1860D–42, 1871, and 1877 of the Social
Security Act (42 U.S.C. 1302, 1395w–101
through 1395w–152, 1395hh, and 1395nn).
2. Section 411.351 is amended by—
a. Revising the definition of
‘‘physician’’.
b. Revising the definition of
‘‘physician organization’’.
The revisions read as follows:
§ 411.351
Definitions.
*
*
*
*
*
Physician means a doctor of medicine
or osteopathy, a doctor of dental surgery
or dental medicine, a doctor of podiatric
medicine, a doctor of optometry, or a
chiropractor, as defined in section
1861(r) of the Act. A physician and the
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professional corporation of which he or
she is a sole owner are the same for
purposes of this subpart.
*
*
*
*
*
Physician organization means a
physician, a physician practice, or a
group practice that complies with the
requirements of § 411.352.
*
*
*
*
*
3. Section 411.353 is amended by
revising paragraph (c) to read as follows:
§ 411.353 Prohibition on certain referrals
by physicians and limitations on billing.
*
*
*
*
(c) Denial of payment. Except as
provided in paragraph (e) of this
section, no Medicare payment may be
made for a designated health service
that is furnished pursuant to a
prohibited referral. The period during
which referrals are prohibited is the
period of disallowance. For purposes of
this section, with respect to the
following types of noncompliance, the
period of disallowance begins at the
time the financial relationship fails to
satisfy the requirements of an applicable
exception and ends no later than—
(1) Where the noncompliance is
unrelated to compensation, the date that
the financial relationship satisfies all of
the requirements of an applicable
exception;
(2) Where the noncompliance is due
to the payment of excess compensation,
the date on which the excess
compensation is returned to the party
that paid it and the financial
relationship satisfies all of the
requirements of an applicable
exception; or
(3) Where the noncompliance is due
to the payment of compensation that is
of an amount insufficient to satisfy the
requirements of an applicable
exception, the date on which the
additional required compensation is
paid to the party to which it is owed
such that the financial relationship
would satisfy all of the requirements of
the exception as of its date of inception.
*
*
*
*
*
4. Section 411.354 is amended by—
a. Adding a new paragraph (a)(1)(iii).
b. Revising paragraph (c)(2)(iv).
c. Revising paragraph (c)(3)(ii).
The addition and revisions read as
follows:
jlentini on PROD1PC65 with PROPOSALS2
*
§ 411.354 Financial relationship,
compensation, and ownership or
investment interest.
(a) * * *
(1) * * *
(iii) For purposes of paragraph (c) of
this section, an entity that furnishes
DHS is deemed to stand in the shoes of
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an organization in which it has a 100
percent ownership interest.
*
*
*
*
*
(c) * * *
(2) * * *
(iv) For purposes of paragraph (c)(2)(i)
of this section, a physician is deemed to
‘‘stand in the shoes’’ of his or her
physician organization unless the total
compensation from the physician
organization to the physician satisfies
the requirements of § 411.357(c), (d), or
(l).
(3) * * *
(ii) The provisions of paragraphs
(c)(1)(ii) and (c)(2)(iv) of this section—
(A) Need not apply during the original
term or current renewal term of an
arrangement that satisfied the
requirements of § 411.357(p) as of
September 5, 2007 (42 CFR parts 400–
413, revised as of October 1, 2007);
(B) Do not apply to an arrangement
that satisfies the requirements of
§ 411.355(e); and
(C) Do not apply with respect to an
arrangement between a physician
organization and a component of an
academic medical center listed in
§ 411.355(e)(2) for the provision to that
academic medical center of only
services required to satisfy the academic
medical center’s obligations under the
Medicare graduate medical education
(GME) rules in part 413, subpart F of
this chapter.
*
*
*
*
*
PART 412—PROSPECTIVE PAYMENT
SYSTEMS FOR INPATIENT HOSPITAL
SERVICES
5. The authority citation for part 412
continues to read as follows:
Authority: Secs. 1102 and 1871 of the
Social Security Act (42 U.S.C. 1302 and
1395hh), and sec. 124 of Pub. L. 106–113
(113 Stat. 1501A–332).
6. Section 412.4 is amended by
revising paragraph (c)(3) to read as
follows:
§ 412.4
Discharges and transfers.
*
*
*
*
*
(c) * * *
(3) To home under a written plan of
care for the provision of home health
services from a home health agency and
those services begin—
(i) Effective for fiscal years prior to FY
2009, within 3 days after the date of
discharge; and
(ii) Effective FY 2009, within 7 days
after the date of discharge.
*
*
*
*
*
7. Section 412.22 is amended by—
a. In the introductory text of
paragraph (e), removing the phrase
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‘‘paragraph (f) of this section’’ and
adding in its place ‘‘paragraphs (e)(1)
(vi) and (f) of this section’’.
b. Adding a new paragraph (e)(1)(vi).
The addition reads as follows:
§ 412.22 Excluded hospitals and hospital
units: General rules.
*
*
*
*
*
(e) * * *
(1) * * *
(vi) Effective October 1, 2008, if a
State hospital that is occupying space in
the same building or on the same
campus as another State hospital cannot
meet the criterion under paragraph
(e)(1)(i) of this section solely because its
governing body is under the control of
the State hospital with which it shares
a building or a campus, or is under the
control of a third entity that also
controls the State hospital with which it
shares a building or a campus, the State
hospital can nevertheless qualify for an
exclusion if it meets the other
applicable criteria in this section and—
(A) Both State hospitals occupy space
in the same building or on the same
campus and have been continuously
owned and operated by the State since
October 1, 1995;
(B) Is required by State law to be
subject to the governing authority of the
State hospital with which it shares
space or the governing authority of a
third entity that controls both hospitals;
and
(C) Was excluded from the inpatient
prospective payment system before
October 1, 1995, and continues to be
excluded from the inpatient prospective
payment system through September 30,
2008.
*
*
*
*
*
8. Section 412.64 is amended by—
a. Republishing the introductory text
of paragraph (b)(1)(ii) and revising
paragraph (b)(1)(ii)(A).
b. In the introductory text of
paragraph (h)(4), removing the date
‘‘September 30, 2008’’ and adding in its
place ‘‘September 30, 2011’’.
The revision reads as follows:
§ 412.64 Federal rates for inpatient
operating costs for Federal fiscal year 2005
and subsequent fiscal years.
*
*
*
*
*
(b) * * *
(1) * * *
(ii) The term urban area means—
(A) A Metropolitan Statistical Area or
a Metropolitan division (in the case
where a Metropolitan Statistical Area is
divided into Metropolitan Divisions), as
defined by the Executive Office of
Management and Budget; or
*
*
*
*
*
9. Section 412.87 is amended by—
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§ 412.232 Criteria for all hospitals in a rural
county seeking urban redesignation.
a. Revising paragraph (b)(1).
b. Adding a new paragraph (c).
The revision and addition read as
follows:
*
§ 412.87 Additional payment for new
medical services and technologies: General
provisions.
*
*
*
*
*
(b) * * *
(1) A new medical service or
technology represents an advance that
substantially improves, relating to
technologies previously available, the
diagnosis or treatment of Medicare
beneficiaries.
*
*
*
*
*
(c) Announcement of determinations
and deadline for consideration of new
medical service or technology
applications. CMS will consider
whether a new medical service or
technology meets the eligibility criteria
specified in paragraph (b) of this section
and announce the results in the Federal
Register as part of its annual updates
and changes to the IPPS. CMS will only
consider, for add-on payments for a
particular fiscal year, an application for
which the new medical service or
technology has received FDA approval
or clearance by July 1 prior to the
particular fiscal year.
10. Section 412.230 is amended by—
a. Revising paragraph (d)(1)(iv)(C).
b. Adding a new paragraph
(d)(1)(iv)(D).
The addition and revision read as
follows:
§ 412.230 Criteria for an individual hospital
seeking redesignation to another rural area
or an urban area.
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(d) * * *
(1) * * *
(iv) * * *
(C) With respect to redesignations for
fiscal years 2002 through 2009, the
hospital’s average hourly wage is equal
to, in the case of a hospital located in
a rural area, at least 82 percent, and in
the case of a hospital located in an
urban area, at least 84 percent of the
average hourly wage of hospitals in the
area to which it seeks redesignation.
(D) With respect to redesignations for
fiscal year 2010 and later fiscal years,
the hospital’s average hourly wage is
equal to, in the case of a hospital located
in a rural area, at least 86 percent, and
in the case of a hospital located in an
urban area, at least 88 percent of the
average hourly wage of hospitals in the
area to which it seeks redesignation.
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11. Section 412.232 is amended by
revising paragraphs (c)(1) and (c)(2) to
read as follows:
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(c) * * *
(1) Aggregate hourly wage for fiscal
years before fiscal year 2010—(i)
Aggregate hourly wage. With respect to
redesignations effective beginning fiscal
year 1999 and before fiscal year 2010,
the aggregate average hourly wage for all
hospitals in the rural county must be
equal to at least 85 percent of the
average hourly wage in the adjacent
urban area.
(ii) Aggregate hourly wage weighted
for occupational mix. For redesignations
effective before fiscal year 1999, the
aggregate hourly wage for all hospitals
in the rural county, weighed for
occupational categories, is at least 90
percent of the average hourly wage in
the adjacent urban area.
(2) Aggregate hourly wage for fiscal
year 2010 and later fiscal years. With
respect to redesignations effective for
fiscal year 2010 and later fiscal years,
the aggregate average hourly wage for all
hospitals in the rural county must be
equal to at least 88 percent of the
average hourly wage in the adjacent
urban area.
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*
12. Section 412.234 is amended by
revising paragraphs (b)(1) and (b)(2) to
read as follows:
§ 412.234 Criteria for all hospitals in an
urban county seeking redesignation to
another urban area.
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(b) * * *
(1) Aggregate hourly wage for fiscal
years before fiscal year 2010—(i)
Aggregate hourly wage. With respect to
redesignations effective beginning fiscal
year 1999 and before fiscal year 2010,
the aggregate average hourly wage for all
hospitals in the urban county must be
at least 85 percent of the average hourly
wage in the urban area to which the
hospitals in the county seek
reclassification.
(ii) Aggregate hourly wage weighted
for occupational mix. For redesignations
effective before fiscal year 1999, the
aggregate hourly wage for all hospitals
in the county, weighed for occupational
categories, is at least 90 percent of the
average hourly wage in the adjacent
urban area.
(2) Aggregate hourly wage for fiscal
year 2010 and later fiscal years. With
respect to redesignations effective for
fiscal year 2010 and later fiscal years,
the aggregate average hourly wage for all
hospitals in the urban county must be
at least 88 percent of the average hourly
wage in the urban area to which the
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23705
hospitals in the county seek
reclassification.
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PART 413—PRINCIPLES OF
REASONABLE COST
REIMBURSEMENT; PAYMENT FOR
END-STAGE RENAL DISEASE
SERVICES; PROSPECTIVELY
DETERMINED PAYMENT RATES FOR
SKILLED NURSING FACILITIES
13. The authority citation for Part 413
continues to read as follows:
Authority: Secs. 1102, 1812(d), 1814(b),
1815, 1833(a), (i), and (n), 1861(v), 1871,
1881, 1883, and 1886 of the Social Security
Act (42 U.S.C. 1302, 1395d(d), 1395f(b),
1395g, 1395l(a), (i), and (n), 1395x(v),
1395hh, 1395rr, 1395tt, and 1395ww); and
sec. 124 of Pub. L. 106–133 (113 Stat. 1501A–
332).
§ 413.79
[Amended]
14. In § 413.79(f)(6)(iv), remove the
cross-reference ‘‘§ 413.75(d)’’ and add
the cross-reference ‘‘paragraph (d) of
this section’’ in its place.
PART 422—MEDICARE ADVANTAGE
PROGRAM
15. The authority citation for Part 422
continues to read as follows:
Authority: Secs. 1102 and 1871 of the
Social Security Act (42 U.S.C. 1302 and
1395hh).
16. Section 422.310 is revised to read
as follows:
§ 422.310
Risk adjustment data.
(a) Definition of risk adjustment data.
Risk adjustment data are all data that are
used in the development and
application of a risk adjustment
payment model.
(b) Data collection: Basic rule. Each
MA organization must submit to CMS
(in accordance with CMS instructions)
the data necessary to characterize the
context and purposes of each item and
service provided to a Medicare enrollee
by a provider, supplier, physician, or
other practitioner. CMS may also collect
data necessary to characterize the
functional limitations of enrollees of
each MA organization.
(c) Sources and extent of data. (1) To
the extent required by CMS, risk
adjustment data must account for the
following:
(i) Items and services covered under
the original Medicare program.
(ii) Medicare-covered items and
services for which Medicare is not the
primary payer.
(iii) Other additional or supplemental
benefits that the MA organization may
provide.
(2) The data must account separately
for each provider, supplier, physician,
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or other practitioner that would be
permitted to bill separately under the
original Medicare program, even if they
participate jointly in the same service.
(d) Other data requirements. (1) MA
organizations must submit data that
conform to CMS’ requirements for data
equivalent to Medicare fee-for-service
data, when appropriate, and to all
relevant national standards. CMS may
specify abbreviated formats for data
submission required of MA
organizations.
(2) The data must be submitted
electronically to the appropriate CMS
contractor.
(3) MA organizations must obtain the
risk adjustment data required by CMS
from the provider, supplier, physician,
or other practitioner that furnished the
item or service.
(4) MA organizations may include in
their contracts with providers,
suppliers, physicians, and other
practitioners, provisions that require
submission of complete and accurate
risk adjustment data as required by
CMS. These provisions may include
financial penalties for failure to submit
complete data.
(e) Validation of risk adjustment data.
MA organizations and their providers
and practitioners will be required to
submit a sample of medical records for
the validation of risk adjustment data, as
required by CMS. There may be
penalties for submission of false data.
(f) Use of data. CMS uses the data
obtained under this section to determine
the risk adjustment factors used to
adjust payments, as required under
§§ 422.304(a) and (c). CMS may also use
the data for other purposes, including
updating of risk adjustment models.
(g) Deadlines for submission of risk
adjustment data. Risk adjustment
factors for each payment year are based
on risk adjustment data submitted for
items and services furnished during the
12-month period before the payment
year that is specified by CMS. As
determined by CMS, this 12-month
period may include a 6-month data lag
that may be changed or eliminated as
appropriate. CMS may adjust these
deadlines, as appropriate.
(1) The annual deadline for risk
adjustment data submission is the first
Friday in September for risk adjustment
data reflecting items and services
furnished during the 12-month period
ending the prior June 30, and the first
Friday in March for data reflecting
services furnished during the 12-month
period ending the prior December 31.
(2) CMS allows a reconciliation
process to account for late data
submissions. CMS continues to accept
risk adjustment data submitted after the
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March deadline until January 31 of the
year following the payment year. After
the payment year is completed, CMS
recalculates the risk factors for affected
individuals to determine if adjustments
to payments are necessary. Risk
adjustment data that are received after
the annual January 31 late data
submission deadline will not be
accepted for the purposes of
reconciliation.
PART 489—PROVIDER AGREEMENTS
AND SUPPLIER APPROVAL
17. The authority citation for part 489
continues to read as follows:
Authority: Secs. 1102, 1819, 1820(e), 1861,
1864(m), 1866, 1869, and 1871 of the Social
Security Act (42 U.S.C. 1302, 1395i–3, 1395x,
1395aa(m), 1395cc, 1395ff, and 1395hh).
18. Section 489.3 is amended by
revising the definition of ‘‘physicianowned hospital’’ to read as follows:
§ 489.3
Definitions.
*
*
*
*
*
Physician-owned hospital means any
participating hospital (as defined in
§ 489.24) in which a physician, or an
immediate family member of a
physician (as defined in § 411.351 of
this chapter), has an ownership or
investment interest. The ownership or
investment interest may be through
equity, debt, or other means, and
includes an interest in an entity that
holds an ownership or investment
interest in the hospital. This definition
does not include a hospital with
physician ownership or investment
interests that satisfy the requirements at
§ 411.356(a) or (b) of this chapter.
*
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*
19. Section 489.20 is amended by—
a. Revising paragraph (r)(2).
b. Revising paragraph (u).
c. Redesignating paragraphs (v) and
(w) as paragraphs (w) and (x),
respectively.
d. Adding a new paragraph (v).
The revisions and addition read as
follows:
§ 489.20
Basic commitments.
*
*
*
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*
(r) * * *
(2) An on-call list of physicians on its
medical staff available to provide
treatment necessary after the initial
examination to stabilize individuals
with emergency medical conditions
who are receiving services required
under § 489.24 in accordance with the
resources available to the hospital; and
*
*
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*
*
(u) Except as provided in paragraph
(v) of this section, in the case of a
physician-owned hospital as defined in
§ 489.3—
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(1) To furnish written notice to all
patients at the beginning of their
hospital stay or outpatient visit that the
hospital is a physician-owned hospital,
in order to assist the patients in making
an informed decision regarding their
care, in accordance with § 482.13(b)(2)
of this subchapter. The notice should
disclose, in a manner reasonably
designed to be understood by all
patients, the fact that the hospital meets
the Federal definition of a physicianowned hospital specified in § 489.3 and
that the list of the hospital’s owners or
investors who are physicians or
immediate family members of
physicians (as defined at § 411.351 of
this chapter) must be provided to the
patients at the time the request for the
list is made by or on behalf of the
patient. For purposes of this paragraph
(u)(1), the hospital stay or outpatient
visit begins with the provision of a
package of information regarding
scheduled preadmission testing and
registration for a planned hospital
admission for inpatient care or
outpatient service.
(2) To require all physicians who are
members of the hospital’s medical staff
to agree, as a condition of continued
medical staff membership or admitting
privileges, to disclose, in writing, to all
patients they refer to the hospital any
ownership or investment interest in the
hospital that is held by themselves or by
an immediate family member (as
defined in § 411.351 of this chapter).
Disclosure must be required at the time
the referral is made.
(v) The requirements of paragraph (u)
of this section do not apply to any
physician-owned hospital that does not
have at least one referring physician (as
defined at § 411.351 of this chapter)
who has an ownership or investment
interest in the hospital or who has an
immediate family member who has an
ownership or investment interest in the
hospital, provided that such hospital
signs an attestation statement to that
effect and maintain such a notice in its
records.
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20. Section 489.24 is amended by—
a. Revising paragraph (a)(2).
b. Revising paragraph (f).
c. Revising paragraph (j).
The revisions read as follows:
§ 489.24 Special responsibilities of
Medicare hospitals in emergency cases.
(a) * * *
(2) Nonapplicability of provisions of
this section. Sanctions under this
section for an inappropriate transfer
during a national emergency or for the
direction or relocation of an individual
to receive medical screening at an
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alternate location pursuant to an
appropriate State emergency
preparedness plan or, in the case of a
public health emergency that involves a
pandemic infectious disease, pursuant
to a State pandemic preparedness plan
do not apply to a hospital with a
dedicated emergency department
located in an emergency area during an
emergency period, as specified in
section 1135(g)(1) of the Act. A waiver
of these sanctions is limited to a 72-hour
period beginning upon the
implementation of a hospital disaster
protocol, except that, if a public health
emergency involves a pandemic
infectious disease (such as pandemic
influenza), the waiver will continue in
effect until the termination of the
applicable declaration of a public health
emergency, as provided for by section
135(e)(1)(B) of the Act.
*
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*
(f) Recipient hospital responsibilities.
A participating hospital that has
specialized capabilities or facilities
(including, but not limited to, facilities
such as burn units, shock-trauma units,
neonatal intensive case units, or, with
respect to rural areas, regional referral
centers (which, for purposes of this
subpart, mean hospitals meeting the
requirements of referral centers found at
§ 412.96 of this chapter)) may not refuse
to accept from a referring hospital
within the boundaries of the United
States an appropriate transfer of an
individual who requires such
specialized capabilities or facilities if
the receiving hospital has the capacity
to treat the individual. This provision
applies to—
(1) Any participating hospital with
specialized capabilities, regardless of
whether the hospital has a dedicated
emergency department; and
(2) An individual who has been
admitted under paragraph (d)(2)(i) of
this section and who has not been
stabilized.
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(j) Availability of on-call physicians.
In accordance with the on-call list
requirements specified in § 489.20(r)(2),
a hospital must have written policies
and procedures in place—
(1) To respond to situations in which
a particular specialty is not available or
the on-call physician cannot respond
because of circumstances beyond the
physician’s control; and
(2) To provide that emergency
services are available to meet the needs
of individuals with emergency medical
conditions if a hospital elects to—
(i) Permit on-call physicians to
schedule elective surgery during the
time that they are on call;
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(ii) Permit on-call physicians to have
simultaneous on-call duties; and
(iii) Participate in a formal
community call plan. Notwithstanding
participation in a community call plan,
hospitals are still required to perform
medical screening examinations on
individuals who present seeking
treatment and to conduct appropriate
transfers. The formal community plan
must include the following elements:
(A) A clear delineation of on-call
coverage responsibilities; that is, when
each hospital participating in the plan is
responsible for on-call coverage.
(B) A description of the specific
geographic area to which the plan
applies.
(C) A signature by an appropriate
representative of each hospital
participating in the plan.
(D) Assurances that any local and
regional EMS system protocol formally
includes information on community oncall arrangements.
(E) Evidence of engagement of the
hospitals participating in the
community call plan in an analysis of
the specialty on-call needs of the
community for which the plan is
effective.
(F) A statement specifying that even if
an individual arrives at a hospital that
is not designated as the on-call hospital,
that hospital still has an obligation
under § 489.24 to provide a medical
screening examination and stabilizing
treatment within its capability, and that
hospitals participating in the
community call plan must abide by the
regulations under § 489.24 governing
appropriate transfers.
(G) An annual assessment of the
community call plan by the
participating hospitals.
21. Section 489.53 is amended by
revising paragraph (c) to read as follows:
§ 489.53
Termination by CMS.
*
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*
(c) Termination of agreements with
physician-owned hospitals. In the case
of a physician-owned hospital, as
defined at § 489.3, CMS may terminate
the provider agreement if the hospital
failed to comply with the requirements
of § 489.20(u) or (w).
*
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(Catalog of Federal Domestic Assistance
Program No. 93.773, Medicare—Hospital
Insurance; and Program No. 93.774,
Medicare—Supplementary Medical
Insurance Program)
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23707
Dated: April 1, 2008.
Kerry Weems,
Acting Administrator, Centers for Medicare
& Medicaid Services.
Dated: April 10, 2008.
Michael O. Leavitt,
Secretary.
[Editorial Note: The following Addendum
and appendixes will not appear in the Code
of Federal Regulations.]
Addendum—Proposed Schedule of
Standardized Amounts, Update
Factors, and Rate-of-Increase
Percentages Effective With Cost
Reporting Periods Beginning On or
After October 1, 2008
I. Summary and Background
In this Addendum, we are setting forth the
methods and data we used to determine the
proposed prospective payment rates for
Medicare hospital inpatient operating costs
and Medicare hospital inpatient capitalrelated costs. We are also setting forth the
proposed rate-of-increase percentages for
updating the target amounts for certain
hospitals and hospital units excluded from
the IPPS. In general, except for SCHs, MDHs,
and hospitals located in Puerto Rico, each
hospital’s payment per discharge under the
IPPS is based on 100 percent of the Federal
national rate, also known as the national
adjusted standardized amount. This amount
reflects the national average hospital cost per
case from a base year, updated for inflation.
SCHs are paid based on whichever of the
following rates yields the greatest aggregate
payment: The Federal national rate; the
updated hospital-specific rate based on FY
1982 costs per discharge; the updated
hospital-specific rate based on FY 1987 costs
per discharge; or the updated hospitalspecific rate based on FY 1996 costs per
discharge.
Under section 1886(d)(5)(G) of the Act,
MDHs historically have been paid based on
the Federal national rate or, if higher, the
Federal national rate plus 50 percent of the
difference between the Federal national rate
and the updated hospital-specific rate based
on FY 1982 or FY 1987 costs per discharge,
whichever was higher. (MDHs did not have
the option to use their FY 1996 hospitalspecific rate.) However, section 5003(a)(1) of
Pub. L. 109–171 extended and modified the
MDH special payment provision that was
previously set to expire on October 1, 2006,
to include discharges occurring on or after
October 1, 2006, but before October 1, 2011.
Under section 5003(b) of Pub. L. 109–171, if
the change results in an increase to an MDH’s
target amount, an MDH must rebase its
hospital-specific rates to its FY 2002 cost
report. Section 5003(c) of Pub. L. 109–171
further required that MDHs be paid based on
the Federal national rate or, if higher, the
Federal national rate plus 75 percent of the
difference between the Federal national rate
and the updated hospital-specific rate.
Further, based on the provisions of section
5003(d) of Pub. L. 109–171, MDHs are no
longer subject to the 12-percent cap on their
DSH payment adjustment factor.
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For hospitals located in Puerto Rico, the
payment per discharge is based on the sum
of 25 percent of an updated Puerto Ricospecific rate based on average costs per case
of Puerto Rico hospitals for the base year and
75 percent of the Federal national rate. (We
refer readers to section II.D.3. of this
Addendum for a complete description.)
As discussed below in section II. of this
Addendum, we are proposing to make
changes in the determination of the
prospective payment rates for Medicare
inpatient operating costs for FY 2009. In
section III. of this Addendum, we discuss our
proposed policy changes for determining the
prospective payment rates for Medicare
inpatient capital-related costs for FY 2009.
Section IV. of this Addendum sets forth our
proposed changes for determining the rate-ofincrease limits for certain hospitals excluded
from the IPPS for FY 2009. The tables to
which we refer in the preamble of this
proposed rule are presented in section V. of
this Addendum of this proposed rule.
II. Proposed Changes to Prospective Payment
Rates for Hospital Inpatient Operating Costs
for FY 2009
The basic methodology for determining
prospective payment rates for hospital
inpatient operating costs for FY 2005 and
subsequent fiscal years is set forth at
§ 412.64. The basic methodology for
determining the prospective payment rates
for hospital inpatient operating costs for
hospitals located in Puerto Rico for FY 2005
and subsequent fiscal years is set forth at
§§ 412.211 and 412.212. Below we discuss
the factors used for determining the
prospective payment rates.
In summary, the proposed standardized
amounts set forth in Tables 1A, 1B, and 1C,
of section VI. of this Addendum reflect—
• Equalization of the standardized
amounts for urban and other areas at the
level computed for large urban hospitals
during FY 2004 and onward, as provided for
under section 1886(d)(3)(A)(iv) of the Act,
updated by the applicable percentage
increase required under sections
1886(b)(3)(B)(i)(XX) and 1886(b)(3)(B)(viii) of
the Act.
• The labor-related share that is applied to
the standardized amounts and Puerto Ricospecific standardized amounts to give the
hospital the highest payment, as provided for
under sections 1886(d)(3)(E), and
1886(d)(9)(C)(iv) of the Act.
• Proposed updates of 3.0 percent for all
areas (that is, the estimated full market basket
percentage increase of 3.0 percent), as
required by section 1886(b)(3)(B)(i)(XX) of
the Act, as amended by section 5001(a)(1) of
Pub. L. 109–171, and reflecting the
requirements of section 1886(b)(3)(B)(viii) of
the Act, as added by section 5001(a)(3) of
Pub. L. 109–171, to reduce the applicable
percentage increase by 2.0 percentage points
for a hospital that fails to submit data, in a
form and manner specified by the Secretary,
relating to the quality of inpatient care
furnished by the hospital.
• A proposed update of 3.0 percent to the
Puerto Rico-specific standardized amount
(that is, the full estimated rate-of-increase in
the hospital market basket for IPPS
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hospitals), as provided for under
§ 412.211(c), which states that we update the
Puerto Rico-specific standardized amount
using the percentage increase specified in
§ 412.64(d)(1), or the percentage increase in
the market basket index for prospective
payment hospitals for all areas.
• An adjustment to the standardized
amount to ensure budget neutrality for DRG
recalibration and reclassification, as provided
for under section 1886(d)(4)(C)(iii) of the Act.
• An adjustment to ensure the wage index
update and changes are budget neutral, as
provided for under section 1886(d)(3)(E) of
the Act.
• An adjustment to ensure the effects of
geographic reclassification are budget
neutral, as provided for in section
1886(d)(8)(D) of the Act, by removing the FY
2008 budget neutrality factor and applying a
revised factor.
• An adjustment to remove the FY 2008
outlier offset and apply an offset for FY 2009.
• An adjustment to ensure the effects of
the rural community hospital demonstration
required under section 410A of Pub. L. 108–
173 are budget neutral, as required under
section 410A(c)(2) of Pub. L. 108–173.
• An adjustment to eliminate the effect of
coding or classification changes that do not
reflect real changes in case-mix, as discussed
below and in section II.D. of the preamble to
this proposed rule.
We note that, beginning in FY 2008, we
applied the budget neutrality adjustment for
the rural floor to the hospital wage indices
rather than the standardized amount. For FY
2009, we are proposing to continue to apply
the rural floor budget neutrality adjustment
to hospital wage indices rather than the
standardized amount. In addition, instead of
applying the budget neutrality adjustment for
the imputed rural floor adopted under
section 1886(d)(3)(E) of the Act to the
standardized amounts, beginning with FY
2009, we are proposing to apply the imputed
rural floor budget neutrality adjustment to
the wage indices. Beginning in FY 2009, we
are also proposing to apply the budget
neutrality adjustments for the rural floor and
imputed rural floor at the State level rather
than the national level. For a complete
discussion of the budget neutrality proposals
concerning the rural floor and the imputed
rural floor, including the proposal for a
within-State budget neutrality adjustment,
we refer readers to section III.B.2.b. of the
preamble to this proposed rule.
A. Calculation of the Adjusted Standardized
Amount
1. Standardization of Base-Year Costs or
Target Amounts
In general, the national standardized
amount is based on per discharge averages of
adjusted hospital costs from a base period
(section 1886(d)(2)(A) of the Act) or, for
Puerto Rico, adjusted target amounts from a
base period (section 1886(d)(9)(B)(i) of the
Act), updated and otherwise adjusted in
accordance with the provisions of section
1886(d) of the Act. The September 1, 1983
interim final rule (48 FR 39763) contained a
detailed explanation of how base-year cost
data (from cost reporting periods ending
during FY 1981) were established for urban
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and rural hospitals in the initial development
of standardized amounts for the IPPS. The
September 1, 1987 final rule (52 FR 33043
and 33066) contains a detailed explanation of
how the target amounts were determined and
how they are used in computing the Puerto
Rico rates.
Sections 1886(d)(2)(B) and (d)(2)(C) of the
Act require us to update base-year per
discharge costs for FY 1984 and then
standardize the cost data in order to remove
the effects of certain sources of cost
variations among hospitals. These effects
include case-mix, differences in area wage
levels, cost-of-living adjustments for Alaska
and Hawaii, indirect medical education
costs, and costs to hospitals serving a
disproportionate share of low-income
patients.
In accordance with section 1886(d)(3)(E) of
the Act, the Secretary estimates, from timeto-time, the proportion of hospitals’ costs that
are attributable to wages and wage-related
costs. In general, the standardized amount is
divided into labor-related and nonlaborrelated amounts; only the proportion
considered to be the labor-related amount is
adjusted by the wage index. Section
1886(d)(3)(E) of the Act requires that 62
percent of the standardized amount be
adjusted by the wage index, unless doing so
would result in lower payments to a hospital
than would otherwise be made. (Section
1886(d)(9)(C)(iv)(II) of the Act extends this
provision to the labor-related share for
hospitals located in Puerto Rico.)
For FY 2009, we are not proposing to
change the national and Puerto Rico-specific
labor-related and nonlabor-related shares
from the percentages established for FY 2008.
Therefore, the labor-related share continues
to be 69.7 percent for the national
standardized amounts and 58.7 percent for
the Puerto Rico-specific standardized
amount. Consistent with section
1886(d)(3)(E) of the Act, we are applying the
wage index to a labor-related share of 62
percent for all non-Puerto Rico hospitals
whose wage indexes are less than or equal to
1.0000. For all non-Puerto Rico hospitals
whose wage indices are greater than 1.0000,
we are applying the wage index to a laborrelated share of 69.7 percent of the national
standardized amount. For hospitals located
in Puerto Rico, we are applying a laborrelated share of 58.7 percent if its Puerto
Rico-specific wage index is less than or equal
to 1.0000. For hospitals located in Puerto
Rico whose Puerto Rico-specific wage index
values are greater than 1.0000, we are
applying a labor share of 62 percent.
The standardized amounts for operating
costs appear in Table 1A, 1B, and 1C of the
Addendum to this proposed rule.
2. Computing the Average Standardized
Amount
Section 1886(d)(3)(A)(iv)(II) of the Act
requires that, beginning with FY–2004 and
thereafter, an equal standardized amount be
computed for all hospitals at the level
computed for large urban hospitals during FY
2003, updated by the applicable percentage
update. Section 1886(d)(9)(A)(ii)(II) of the
Act equalizes the Puerto Rico-specific urban
and rural area rates. Accordingly, we are
calculating FY 2009 national and Puerto Rico
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standardized amounts irrespective of
whether a hospital is located in an urban or
rural location.
3. Updating the Average Standardized
Amount
In accordance with section
1886(d)(3)(A)(iv)(II) of the Act, we are
updating the equalized standardized amount
for FY 2008 by the full estimated market
basket percentage increase for hospitals in all
areas, as specified in section
1886(b)(3)(B)(i)(XX) of the Act, as amended
by section 5001(a)(1) of Pub. L. 109–171. The
percentage change in the market basket
reflects the average change in the price of
goods and services purchased by hospitals to
furnish inpatient care. The most recent
forecast of the hospital market basket
increase for FY 2009 is 3.0 percent. Thus, for
FY 2009, the proposed update to the average
standardized amount is 3.0 percent for
hospitals in all areas. The estimated market
basket increase of 3.0 percent is based on the
2008 first quarter forecast of the hospital
market basket increase (as discussed in
Appendix B of this proposed rule).
Section 1886(b)(3)(B) of the Act specifies
the mechanism to be used to update the
standardized amount for payment for
inpatient hospital operating costs. Section
1886(b)(3)(B)(viii) of the Act, as added by
section 5001(a)(3) of Pub. L. 109–171,
provides for a reduction of 2.0 percentage
points from the update percentage increase
(also known as the market basket update) for
FY 2007 and each subsequent fiscal year for
any ‘‘subsection (d) hospital’’ that does not
submit quality data, as discussed in section
IV.A. of the preamble of this proposed rule.
The standardized amounts in Tables 1A
through 1C of section V. of the Addendum
to this proposed rule reflect these differential
amounts.
Section 412.211(c) states that we update
the Puerto Rico-specific standardized amount
using the percentage increase specified in
§ 412.64(d)(1) or the percentage increase in
the market basket index for prospective
payment hospitals for all areas. We are
proposing to apply the full rate-of-increase in
the hospital market basket for IPPS hospitals
to the Puerto Rico-specific standardized
amount. Therefore, the proposed update to
the Puerto Rico-specific standardized amount
is estimated to be 3.0 percent.
Although the update factors for FY 2009
are set by law, we are required by section
1886(e)(4) of the Act to recommend, taking
into account MedPAC’s recommendations,
appropriate update factors for FY 2009 for
both IPPS hospitals and hospitals and
hospital units excluded from the IPPS. Our
recommendation on the update factors
(which is required by sections 1886(e)(4)(A)
and (e)(5)(A) of the Act) is set forth in
Appendix B of this proposed rule.
4. Other Adjustments to the Average
Standardized Amount
As in the past, we are adjusting the FY
2009 standardized amount to remove the
effects of the FY 2008 geographic
reclassifications and outlier payments before
applying the FY 2009 updates. We then
applied budget neutrality offsets for outliers
and geographic reclassifications to the
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standardized amount based on proposed FY
2009 payment policies.
We do not remove the prior year’s budget
neutrality adjustments for reclassification
and recalibration of the DRG weights and for
updated wage data because, in accordance
with sections 1886(d)(4)(C)(iii) and
1886(d)(3)(E) of the Act, estimated aggregate
payments after updates in the DRG relative
weights and wage index should equal
estimated aggregate payments prior to the
changes. If we removed the prior year’s
adjustment, we would not have satisfied
these conditions.
Budget neutrality is determined by
comparing aggregate IPPS payments before
and after making changes that are required to
be budget neutral (for example, changes to
DRG classifications, recalibration of the DRG
relative weights, updates to the wage index,
and different geographic reclassifications).
We included outlier payments in the
simulations because they may be affected by
changes in these parameters.
We are also proposing to adjust the
standardized amount this year by an
estimated amount to ensure that aggregate
IPPS payments did not exceed the amount of
payments that would have been made in the
absence of the rural community hospital
demonstration program, as required under
section 410A of Pub. L. 108–173. This
demonstration is required to be budget
neutral under section 410A(c)(2) of Pub. L.
108–173. For FY 2009, we are proposing to
no longer apply budget neutrality for the
imputed rural floor to the standardized
amount, and to apply it instead to the wage
index, as discussed in section of II.B.2. of the
preamble to this proposed rule. For FY 2009,
we are also proposing an adjustment to
eliminate the effect of coding or classification
changes that did not reflect real changes in
case-mix using the Secretary’s authority
under section 1886(d)(3)(A)(vi) of the Act, by
the percentage specified in section 7 of Pub.
L. 110–90.
a. Proposed Recalibration of DRG Weights
and Updated Wage Index—Budget Neutrality
Adjustment
Section 1886(d)(4)(C)(iii) of the Act
specifies that, beginning in FY 1991, the
annual DRG reclassification and recalibration
of the relative weights must be made in a
manner that ensures that aggregate payments
to hospitals are not affected. As discussed in
section II. of the preamble of this proposed
rule, we normalized the recalibrated DRG
weights by an adjustment factor so that the
average case weight after recalibration is
equal to the average case weight prior to
recalibration. However, equating the average
case weight after recalibration to the average
case weight before recalibration does not
necessarily achieve budget neutrality with
respect to aggregate payments to hospitals
because payments to hospitals are affected by
factors other than average case weight.
Therefore, as we have done in past years, we
made a budget neutrality adjustment to
ensure that the requirement of section
1886(d)(4)(C)(iii) of the Act is met.
Section 1886(d)(3)(E) of the Act requires us
to update the hospital wage index on an
annual basis beginning October 1, 1993. This
provision also requires us to make any
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updates or adjustments to the wage index in
a manner that ensures that aggregate
payments to hospitals are not affected by the
change in the wage index. Consistent with
current policy, for FY 2009, we are adjusting
100 percent of the wage index factor for
occupational mix. We describe the
occupational mix adjustment in section III.D.
of the preamble to this proposed rule.
To comply with the requirement that DRG
reclassification and recalibration of the
relative weights and the updated wage index
be budget neutral, we used FY 2007
discharge data to simulate payments and
compared aggregate payments using the FY
2008 relative weights and wage indices to
aggregate payments using the proposed FY
2009 relative weights and wage indices. The
same methodology was used for the FY 2008
budget neutrality adjustment. Based on this
comparison, we computed a proposed budget
neutrality adjustment factor equal to
0.999525 to be applied to the national
standardized amount. We are also adjusting
the Puerto Rico-specific standardized amount
for the effect of DRG reclassification and
recalibration. We computed a proposed
budget neutrality adjustment factor of
0.998700 to be applied to the Puerto Ricospecific standardized amount. These
proposed budget neutrality adjustment
factors are applied to the standardized
amounts for FY 2008 without removing the
prior year’s budget neutrality adjustments. In
addition, as discussed in section IV. of this
Addendum, we are applying the same
proposed DRG reclassification and
recalibration budget neutrality factor of
0.998700 to the hospital-specific rates that
would be effective for cost reporting periods
beginning on or after October 1, 2008.
b. Reclassified Hospitals—Budget Neutrality
Adjustment
Section 1886(d)(8)(B) of the Act provides
that, effective with discharges occurring on
or after October 1, 1988, certain rural
hospitals are deemed urban. In addition,
section 1886(d)(10) of the Act provides for
the reclassification of hospitals based on
determinations by the MGCRB. Under section
1886(d)(10) of the Act, a hospital may be
reclassified for purposes of the wage index.
Under section 1886(d)(8)(D) of the Act, the
Secretary is required to adjust the
standardized amount to ensure that aggregate
payments under the IPPS after
implementation of the provisions of sections
1886(d)(8)(B) and (C) and 1886(d)(10) of the
Act are equal to the aggregate prospective
payments that would have been made absent
these provisions. We note that the wage
index adjustments provided under section
1886(d)(13) of the Act are not budget neutral.
Section 1886(d)(13)(H) of the Act provides
that any increase in a wage index under
section 1886(d)(13) shall not be taken into
account ‘‘in applying any budget neutrality
adjustment with respect to such index’’
under section 1886(d)(8)(D) of the Act. To
calculate the proposed budget neutrality
factor for FY 2009, we used FY 2007
discharge data to simulate payments, and
compared total IPPS payments prior to any
reclassifications under sections 1886(d)(8)(B)
and (C) and 1886(d)(10) of the Act to total
IPPS payments after such reclassifications.
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Based on these simulations, we calculated a
proposed adjustment factor of 0.992333 to
ensure that the effects of these provisions are
budget neutral, consistent with the statute.
The proposed adjustment factor is applied
to the standardized amount after removing
the effects of the FY 2008 budget neutrality
adjustment factor. We note that the FY 2009
adjustment reflects FY 2009 wage index
reclassifications approved by the MGCRB or
the Administrator. (Section 1886(d)(10)(D)(v)
of the Act makes wage index reclassifications
effective for 3 years. Therefore, the FY 2009
geographic reclassification could either be
the continuation of a 3-year reclassification
that began in FY 2007 or FY 2008, or a new
one beginning in FY 2009.)
c. Case-Mix Budget Neutrality Adjustment
As stated earlier, beginning in FY 2008, we
adopted the new MS–DRG patient
classification system for the IPPS to better
recognize severity of illness in Medicare
payment rates. In the FY 2008 IPPS final rule
with comment period, we indicated that we
believe the adoption of the MS–DRGs had the
potential to lead to increases in aggregate
payments without a corresponding increase
in actual patient severity of illness due to the
incentives for improved documentation and
coding. In that final rule, using the
Secretary’s authority under section
1886(d)(3)(A)(vi) of the Act to maintain
budget neutrality by adjusting the national
standardized amounts to eliminate the effect
of changes in coding or classification that do
not reflect real change in case-mix, we
established prospective documentation and
coding adjustments of ¥1.2 percent for FY
2008, ¥1.8 percent for FY 2009, and ¥1.8
percent for FY 2010. On September 29, 2007,
Pub. L. 110–90 was enacted. Section 7 of
Pub. L. 110–90 included a provision that
reduces the documentation and coding
adjustment for the MS–DRG system that we
adopted in the FY 2008 IPPS final rule with
comment period to ¥0.6 percent for FY 2008
and ¥0.9 percent for FY 2009. To comply
with the provision of section 7 of Pub. L.
110–90, in a final rule that appeared in the
Federal Register on November 27, 2007 (72
FR 66886), we changed the IPPS
documentation and coding adjustment for FY
2008 to ¥0.6 percent, and revised the FY
2008 national standardized amounts (as well
as other payment factors and thresholds)
accordingly, with these revisions effective
October 1, 2007. For FY 2009, section 7 of
Pub. L. 110–90 requires a documentation and
coding adjustment of ¥0.9 percent instead of
the ¥1.8 percent adjustment specified in the
FY 2008 IPPS final rule with comment
period. As required by statute, we are
applying a documentation and coding
adjustment of ¥0.9 percent to the FY 2009
IPPS national standardized amounts. The
documentation and coding adjustments
established in the FY 2008 IPPS final rule
with comment period are cumulative. As a
result, the ¥0.9 percent documentation and
coding adjustment in FY 2009 is in addition
to the ¥0.6 percent adjustment in FY 2008,
yielding a combined effect of ¥1.5 percent.
As discussed in more detail in section II.D.
of the preamble of this proposed rule, in
calculating the FY 2008 Puerto Rico
standardized amount, we made an
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inadvertent error and applied the
documentation and coding adjustment
established using our authority in section
1886(d)(3)(A)(vi) of the Act (which only
applies to the national standardized
amounts) to the Puerto Rico-specific
standardized amount. We are currently in the
process of developing a Federal Register
notice to remove the ¥0.6 percent
documentation and coding adjustment from
the FY 2008 Puerto Rico-specific
standardized amount retroactive to October
1, 2007. As discussed in section II.D. of the
preamble of this proposed rule, we are not
applying the documentation and coding
adjustment to the Puerto Rico-specific
standardized amount for FY 2009, but we
may consider doing so for the FY 2010 Puerto
Rico-specific standardized amount in the FY
2010 rulemaking. In calculating the FY 2009
Puerto Rico-specific standardized amount for
this proposed rule, we have removed the
¥0.6 percent documentation and coding
adjustment that was inadvertently applied to
the FY 2008 Puerto Rico-specific
standardized amount.
d. Outliers
Section 1886(d)(5)(A) of the Act provides
for payments in addition to the basic
prospective payments for ‘‘outlier’’ cases
involving extraordinarily high costs. To
qualify for outlier payments, a case must
have costs greater than the sum of the
prospective payment rate for the DRG, any
IME and DSH payments, any new technology
add-on payments, and the ‘‘outlier
threshold’’ or ‘‘fixed loss’’ amount (a dollar
amount by which the costs of a case must
exceed payments in order to qualify for an
outlier payment). We refer to the sum of the
prospective payment rate for the DRG, any
IME and DSH payments, any new technology
add-on payments, and the outlier threshold
as the outlier ‘‘fixed-loss cost threshold.’’ To
determine whether the costs of a case exceed
the fixed-loss cost threshold, a hospital’s CCR
is applied to the total covered charges for the
case to convert the charges to estimated costs.
Payments for eligible cases are then made
based on a marginal cost factor, which is a
percentage of the estimated costs above the
fixed-loss cost threshold. The marginal cost
factor for FY 2009 is 80 percent, the same
marginal cost factor we have used since FY
1995 (59 FR 45367).
In accordance with section
1886(d)(5)(A)(iv) of the Act, outlier payments
for any year are projected to be not less than
5 percent nor more than 6 percent of total
operating DRG payments plus outlier
payments. Section 1886(d)(3)(B) of the Act
requires the Secretary to reduce the average
standardized amount by a factor to account
for the estimated proportion of total DRG
payments made to outlier cases. Similarly,
section 1886(d)(9)(B)(iv) of the Act requires
the Secretary to reduce the average
standardized amount applicable to hospitals
located in Puerto Rico to account for the
estimated proportion of total DRG payments
made to outlier cases. More information on
outlier payments may be found on the CMS
Web site at https://www.cms.hhs.gov/
AcuteInpatientPPS/
04_outlier.asp#TopOfPage.
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(1) Proposed FY 2009 Outlier Fixed-Loss Cost
Threshold
For FY 2009, we are proposing to use the
same methodology used for FY 2008 (72 FR
47417) to calculate the outlier threshold.
Similar to the methodology used in the FY
2008 final rule with comment period, for FY
2009, we are applying an adjustment factor
to the CCRs to account for cost and charge
inflation (as explained below). As we have
done in the past, to calculate the proposed
FY 2009 outlier threshold, we simulated
payments by applying FY 2009 rates and
policies using cases from the FY 2007
MedPAR files. Therefore, in order to
determine the proposed FY 2009 outlier
threshold, we inflate the charges on the
MedPAR claims by 2 years, from FY 2007 to
FY 2009.
We are proposing to continue using a
refined methodology that takes into account
the lower inflation in hospital charges that
are occurring as a result of the outlier final
rule (68 FR 34494), which changed our
methodology for determining outlier
payments by implementing the use of more
current CCRs. Our refined methodology uses
more recent data that reflect the rate-ofchange in hospital charges under the new
outlier policy.
Using the most recent data available, we
calculated the 1-year average annualized rateof-change in charges-per-case from the last
quarter of FY 2006 in combination with the
first quarter of FY 2007 (July 1, 2006 through
December 31, 2006) to the last quarter of FY
2007 in combination with the first quarter of
FY 2008 (July 1, 2007 through December 31,
2007). This rate of change was 5.84 percent
(1.0585) or 12.03 percent (1.1204) over 2
years.
As we have done in the past, we are
proposing to establish the proposed FY 2009
outlier threshold using hospital CCRs from
the December 2007 update to the ProviderSpecific File (PSF)—the most recent available
data at the time of this proposed rule. This
file includes CCRs that reflected
implementation of the changes to the policy
for determining the applicable CCRs that
became effective August 8, 2003 (68 FR
34494).
As discussed in the FY 2007 final rule (71
FR 48150), we worked with the Office of
Actuary to derive the methodology described
below to develop the CCR adjustment factor.
For FY 2009, we are proposing to use the
same methodology to calculate the CCR
adjustment by using the FY 2007 operating
cost per discharge increase in combination
with the actual FY 2007 operating market
basket increase determined by Global Insight,
Inc., as well as the charge inflation factor
described above to estimate the adjustment to
the CCRs. (We note that the FY 2007 actual
(otherwise referred to as ‘‘final’’) operating
market basket increase reflects historical data
whereas the published FY 2007 operating
market basket update factor was based on
Global Insight, Inc.’s 2006 second quarter
forecast with historical data through the first
quarter of 2007.) By using the operating
market basket rate-of-increase and the
increase in the average cost per discharge
from hospital cost reports, we are using two
different measures of cost inflation. For FY
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2009, we determined the adjustment by
taking the percentage increase in the
operating costs per discharge from FY 2005
to FY 2006 (1.0538) from the cost report and
dividing it by the final operating market
basket increase from FY 2006 (1.0420). We
repeated this calculation for 2 prior years to
determine the 3-year average of the rate of
adjusted change in costs between the
operating market basket rate-of-increase and
the increase in cost per case from the cost
report (FY 2003 to FY 2004 percentage
increase of operating costs per discharge of
1.0629 divided by FY 2004 final operating
market basket increase of 1.0400, FY 2004 to
FY 2005 percentage increase of operating
costs per discharge of 1.0565 divided by FY
2005 final operating market basket increase
of 1.0430). For FY 2009, we averaged the
differentials calculated for FY 2004, FY 2005,
and FY 2006, which resulted in a mean ratio
of 1.0154. We multiplied the 3-year average
of 1.0154 by the 2007 operating market
basket percentage increase of 1.0340, which
resulted in an operating cost inflation factor
of 5.0 percent or 1.05. We then divided the
operating cost inflation factor by the 1-year
average change in charges (1.058474) and
applied an adjustment factor of 0.9920 to the
operating CCRs from the PSF.
As stated in the FY 2008 final rule with
comment period, we continue to believe it is
appropriate to apply only a 1-year adjustment
factor to the CCRs. On average, it takes
approximately 9 months for fiscal
intermediaries (or, if applicable, the MAC) to
tentatively settle a cost report from the fiscal
year end of a hospital’s cost reporting period.
The average ‘‘age’’ of hospitals’ CCRs from
the time the fiscal intermediary or the MAC
inserts the CCR in the PSF until the
beginning of FY 2008 is approximately 1
year. Therefore, as stated above, we believe
a 1-year adjustment factor to the CCRs is
appropriate.
We used the same methodology for the
capital CCRs and determined the adjustment
by taking the percentage increase in the
capital costs per discharge from FY 2005 to
FY 2006 (1.0462) from the cost report and
dividing it by the final capital market basket
increase from FY 2006 (1.0090). We repeated
this calculation for 2 prior years to determine
the 3-year average of the rate of adjusted
change in costs between the capital market
basket rate-of-increase and the increase in
cost per case from the cost report (FY 2003
to FY 2004 percentage increase of capital
costs per discharge of 1.0315 divided by FY
2004 final capital market basket increase of
1.0050, FY 2004 to FY 2005 percentage
increase of capital costs per discharge of
1.0311 divided by FY 2005 final capital
market basket increase of 1.0060). For FY
2009, we averaged the differentials calculated
for FY 2004, FY 2005, and FY 2006, which
resulted in a mean ratio of 1.0294. We
multiplied the 3-year average of 1.0294 by
the 2007 capital market basket percentage
increase of 1.0120, which resulted in a
capital cost inflation factor of 4.17 percent or
1.0417. We then divided the capital cost
inflation factor by the 1-year average change
in charges (1.058474) and applied an
adjustment factor of 0.9842 to the capital
CCRs from the PSF. We are using the same
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charge inflation factor for the capital CCRs
that was used for the operating CCRs. The
charge inflation factor is based on the overall
billed charges. Therefore, we believe it is
appropriate to apply the charge factor to both
the operating and capital CCRs.
For purposes of estimating the proposed
outlier threshold for FY 2009, we assume 3.0
percent case-mix growth in FY 2009
compared with our FY 2007 claims data (that
is, a 1.2 percent increase in FY 2008 and an
additional 1.8 percent increase in FY 2009).
The 3 percent case-mix growth was projected
by the Office of the Actuary as the amount
case-mix is expected to increase in response
to adoption of the MS–DRGs as a result of
improvements in documentation and coding
that do not reflect real changes in patient
severity of illness. It is necessary to take the
3 percent expected case-mix growth into
account when calculating the outlier
threshold that results in outlier payments
being 5.1 percent of total payments for FY
2009. If we did not take this 3 percent
projected case-mix growth into account, our
estimate of total payments would be too low,
and as a result, our estimate of the outlier
threshold would be too high. While we
assume 3 percent case-mix growth for all
hospitals in our outlier threshold
calculations, the FY 2009 national
standardized amounts used to calculate the
outlier threshold reflect the statutorily
mandated documentation and coding
adjustment of ¥0.9 percent for FY 2009, on
top of the ¥0.6 percent adjustment for FY
2008.
Using this methodology, we are proposing
an outlier fixed-loss cost threshold for FY
2009 equal to the prospective payment rate
for the DRG, plus any IME and DSH
payments, and any add-on payments for new
technology, plus $21,025.
As we did in establishing the FY 2008
outlier threshold (72 FR 47417), in our
projection of FY 2009 outlier payments, we
are not making any adjustments for the
possibility that hospitals’ CCRs and outlier
payments may be reconciled upon cost report
settlement. We continue to believe that, due
to the policy implemented in the outlier final
rule (68 FR 34494, June 9, 2003), CCRs will
no longer fluctuate significantly and,
therefore, few hospitals will actually have
these ratios reconciled upon cost report
settlement. In addition, it is difficult to
predict the specific hospitals that will have
CCRs and outlier payments reconciled in any
given year. We also noted that reconciliation
occurs because hospitals’ actual CCRs for the
cost reporting period are different than the
interim CCRs used to calculate outlier
payments when a bill is processed. Our
simulations assume that CCRs accurately
measure hospital costs based on information
available to us at the time we set the outlier
threshold. For these reasons, we are not
making any assumptions about the effects of
reconciliation on the outlier threshold
calculation.
We also note that there are some factors
that contributed to a proposed lower fixed
loss outlier threshold for FY 2009 compared
to FY 2008. First, the case-weighted national
average operating CCR declined by
approximately an additional 1 percentage
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23711
point from the March 2007 update (used to
calculate the FY 2008 outlier threshold) to
the December 2007 update of the PSF (used
to calculate the proposed FY 2009 outlier
threshold). In addition, as discussed in
sections II.C. and II.H. of the preamble of this
proposed rule, we began a 2-year phase-in of
the MS–DRGs in FY 2008, with the DRG
relative weights based on a 50 percent blend
of the CMS DRGs and MS–DRGs in FY 2008
and based on 100 percent of the MS–DRGs
beginning in FY 2009. Better recognition of
severity of illnesses with the MS–DRGs
means that nonoutlier payments will
compensate hospitals for the higher costs of
some cases that previously received outlier
payments. As cases are paid more accurately,
in order to meet the 5.1 percent target, we
need to decrease the fixed-loss outlier
threshold so that more cases qualify for
outlier payments. In addition, as noted
previously, in our modeling of the outlier
threshold, we included a 3-percent
adjustment for expected case-mix growth
between FY 2007 and FY 2009. Together, we
believe that the above factors cumulatively
contributed to a lower proposed fixed-loss
outlier threshold in FY 2009 compared to FY
2008.
(2) Other Proposed Changes Concerning
Outliers
As stated in the FY 1994 IPPS final rule (58
FR 46348), we establish an outlier threshold
that is applicable to both hospital inpatient
operating costs and hospital inpatient
capital-related costs. When we modeled the
combined operating and capital outlier
payments, we found that using a common
threshold resulted in a lower percentage of
outlier payments for capital-related costs
than for operating costs. We are projecting
that the proposed thresholds for FY 2009 will
result in outlier payments that will equal 5.1
percent of operating DRG payments and 5.73
percent of capital payments based on the
Federal rate.
In accordance with section 1886(d)(3)(B) of
the Act, we are reducing the FY 2009
standardized amount by the same percentage
to account for the projected proportion of
payments paid as outliers.
The outlier adjustment factors that are
applied to the standardized amount for the
proposed FY 2009 outlier threshold are as
follows:
Operating
standardized
amounts
National .........
Puerto Rico ...
0.948928
0.955988
Capital
federal rate
0.942711
0.925627
Consistent with current policy, we are
applying the outlier adjustment factors to FY
2009 rates after removing the effects of the
FY 2008 outlier adjustment factors on the
standardized amount.
To determine whether a case qualifies for
outlier payments, we apply hospital-specific
CCRs to the total covered charges for the
case. Estimated operating and capital costs
for the case are calculated separately by
applying separate operating and capital
CCRs. These costs are then combined and
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compared with the outlier fixed-loss cost
threshold.
The outlier final rule (68 FR 34494)
eliminated the application of the statewide
average CCRs for hospitals with CCRs that
fell below 3 standard deviations from the
national mean CCR. However, for those
hospitals for which the fiscal intermediary or
MAC computes operating CCRs greater than
1.213 or capital CCRs greater than 0.148, or
hospitals for whom the fiscal intermediary or
MAC is unable to calculate a CCR (as
described at § 412.84(i)(3) of our regulations),
we still use statewide average CCRs to
determine whether a hospital qualifies for
outlier payments.27 Table 8A in this
Addendum contains the statewide average
operating CCRs for urban hospitals and for
rural hospitals for which the fiscal
intermediary or MAC is unable to compute
a hospital-specific CCR within the above
range. Effective for discharges occurring on
or after October 1, 2008, these statewide
average ratios would replace the ratios
published in the IPPS final rule for FY 2008
(72 FR 48126–48127). Table 8B in this
Addendum contains the comparable
statewide average capital CCRs. Again, the
CCRs in Tables 8A and 8B would be used
during FY 2009 when hospital-specific CCRs
based on the latest settled cost report are
either not available or are outside the range
noted above. For an explanation of Table 8C,
we refer readers to section V. of this
Addendum.
We finally note that we published a
manual update (Change Request 3966) to our
outlier policy on October 12, 2005, which
updated Chapter 3, Section 20.1.2 of the
Medicare Claims Processing Manual. The
manual update covered an array of topics,
including CCRs, reconciliation, and the time
value of money. We encourage hospitals that
are assigned the statewide average operating
and/or capital CCRs to work with their fiscal
intermediaries (or MAC if applicable) on a
possible alternative operating and/or capital
CCR as explained in Change Request 3966.
Use of an alternative CCR developed by the
hospital in conjunction with the fiscal
intermediary or MAC can avoid possible
overpayments or underpayments at cost
report settlement, thus ensuring better
accuracy when making outlier payments and
negating the need for outlier reconciliation.
We also note that a hospital may request an
alternative operating or capital CCR ratio at
any time as long as the guidelines of Change
Request 3966 are followed. To download and
view the manual instructions on outlier and
cost-to-charge ratios, visit the Web site:
https://www.cms.hhs.gov/manuals/
downloads/clm104c03.pdf.
(3) FY 2007 and FY 2008 Outlier Payments
In the FY 2008 IPPS final rule (72 FR
47420), we stated that, based on available
data, we estimated that actual FY 2007
outlier payments would be approximately 4.6
percent of actual total DRG payments. This
estimate was computed based on simulations
using the FY 2006 MedPAR file (discharge
data for FY 2006 bills). That is, the estimate
27 These figures represent 3.0 standard deviations
from the mean of the log distribution of CCRs for
all hospitals.
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of actual outlier payments did not reflect
actual FY 2007 bills, but instead reflected the
application of FY 2007 rates and policies to
available FY 2006 bills.
Our current estimate, using available FY
2007 bills, is that actual outlier payments for
FY 2007 were approximately 4.64 percent of
actual total DRG payments. Thus, the data
indicate that, for FY 2007, the percentage of
actual outlier payments relative to actual
total payments is lower than we projected
before FY 2007. Consistent with the policy
and statutory interpretation we have
maintained since the inception of the IPPS,
we do not plan to make retroactive
adjustments to outlier payments to ensure
that total outlier payments for FY 2007 are
equal to 5.1 percent of total DRG payments.
We currently estimate that actual outlier
payments for FY 2008 will be approximately
4.8 percent of actual total DRG payments, 0.3
percentage points lower than the 5.1 percent
we projected in setting the outlier policies for
FY 2008. This estimate is based on
simulations using the FY 2007 MedPAR file
(discharge data for FY 2007 bills). We used
these data to calculate an estimate of the
actual outlier percentage for FY 2008 by
applying FY 2008 rates and policies,
including an outlier threshold of $22,185 to
available FY 2007 bills.
e. Proposed Rural Community Hospital
Demonstration Program Adjustment (Section
410A of Pub. L. 108–173)
Section 410A of Pub. L. 108–173 requires
the Secretary to establish a demonstration
that will modify reimbursement for inpatient
services for up to 15 small rural hospitals.
Section 410A(c)(2) of Pub. L. 108–173
requires that ‘‘in conducting the
demonstration program under this section,
the Secretary shall ensure that the aggregate
payments made by the Secretary do not
exceed the amount which the Secretary
would have paid if the demonstration
program under this section was not
implemented.’’ As discussed in section IV.K.
of the preamble to this proposed rule, we
have satisfied this requirement by adjusting
national IPPS rates by a factor that is
sufficient to account for the added costs of
this demonstration. There are currently nine
hospitals participating in the demonstration
program. CMS is currently conducting a
solicitation for up to six additional hospitals
to participate in the demonstration program.
For this proposed rule, we used data from the
cost reports of the 9 currently participating
hospitals to estimate a total cost number for
15 hospitals that could potentially participate
in the demonstration program in FY 2009. (In
the final rule, we will know the exact number
of hospitals participating in the
demonstration program, and we will revise
our estimates accordingly.) We estimate that
the average additional annual payment that
will be made to each participating hospital
under the demonstration will be
approximately $2,134,123. We based this
estimate on the recent historical experience
of the difference between inpatient cost and
payment for hospitals that are participating
in the demonstration program. As an estimate
of the cost for a total of 15 hospitals that may
participate, the total annual impact of the
demonstration program for FY 2009 is
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projected to be $32,011,849. The required
adjustment to the Federal rate used in
calculating Medicare inpatient prospective
payments as a result of the demonstration is
0.999666.
In order to achieve budget neutrality, we
are adjusting the national IPPS rates by an
amount sufficient to account for the added
costs of this demonstration. In other words,
we are applying budget neutrality across the
payment system as a whole rather than
merely across the participants of this
demonstration, consistent with past practice.
We believe that the language of the statutory
budget neutrality requirement permits the
agency to implement the budget neutrality
provision in this manner. The statutory
language requires that ‘‘aggregate payments
made by the Secretary do not exceed the
amount which the Secretary would have paid
if the demonstration * * * was not
implemented,’’ but does not identify the
range across which aggregate payments must
be held equal.
5. Proposed FY 2009 Standardized Amount
The adjusted proposed standardized
amount is divided into labor-related and
nonlabor-related portions. Tables 1A and 1B
of this Addendum contain the national
standardized amounts that we are proposing
to apply to all hospitals, except hospitals
located in Puerto Rico, for FY 2009. The
proposed Puerto Rico-specific amounts are
shown in Table 1C of this Addendum. The
proposed amounts shown in Tables 1A and
1B differ only in that the labor-related share
applied to the standardized amounts in Table
1A is 69.7 percent, and Table 1B is 62
percent. In accordance with sections
1886(d)(3)(E) and 1886(d)(9)(C)(iv) of the Act,
we are applying a labor-related share of 62
percent, unless application of that percentage
would result in lower payments to a hospital
than would otherwise be made. In effect, the
statutory provision means that we apply a
labor-related share of 62 percent for all
hospitals (other than those in Puerto Rico)
whose wage indexes are less than or equal to
1.0000.
In addition, Tables 1A and 1B include
proposed standardized amounts reflecting
the full 3.0 percent update for FY 2009, and
proposed standardized amounts reflecting
the 2.0 percentage point reduction to the
update (a 1.0 percent update) applicable for
hospitals that fail to submit quality data
consistent with section 1886(b)(3)(B)(viii) of
the Act.
Under section 1886(d)(9)(A)(ii) of the Act,
the Federal portion of the Puerto Rico
payment rate is based on the dischargeweighted average of the national large urban
standardized amount (this proposed amount
is set forth in Table 1A). The proposed laborrelated and nonlabor-related portions of the
national average standardized amounts for
Puerto Rico hospitals for FY 2009 are set
forth in Table 1C of this Addendum. This
table also includes the proposed Puerto Rico
standardized amounts. The labor-related
share applied to the Puerto Rico specific
standardized amount is 58.7 percent, or 62
percent, depending on which provides higher
payments to the hospital. (Section
1886(d)(9)(C)(iv) of the Act, as amended by
section 403(b) of Pub. L. 108–173, provides
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that the labor-related share for hospitals
located in Puerto Rico be 62 percent, unless
the application of that percentage would
result in lower payments to the hospital.)
The following table illustrates the
proposed changes from the FY 2008 national
average standardized amount. The second
and third columns show the proposed
changes from the FY 2008 standardized
amounts for hospitals that satisfy the quality
data submission requirement for receiving
the full update (3.0 percent) with the
different labor-related shares that apply to
hospitals. The fourth and fifth columns show
the proposed changes for hospitals receiving
the reduced update (1.0 percent) with the
different labor-related shares that apply to
hospitals. The first row of the table shows the
updated (through FY 2008) average
standardized amount after restoring the FY
2008 offsets for outlier payments,
demonstration budget neutrality, the New
Jersey imputed floor budget neutrality, and
the geographic reclassification budget
neutrality. The DRG reclassification and
recalibration and wage index budget
neutrality factor is cumulative. Therefore, the
FY 2008 factor is not removed from this
table. Also, in order to properly apply the
documentation and coding adjustment, it was
necessary to first remove the FY 2008
adjustment from the FY 2008 rate in the first
row of the table and then later in the table
to cumulatively apply the sum of the FY
2008 and FY 2009 adjustments (that is,
1¥(.006 + .009)) to the FY 2009 rate. (For a
complete discussion on the documentation
and coding adjustment, we refer readers to
section II.D of the preamble to this proposed
rule.)
COMPARISON OF FY 2008 STANDARDIZED AMOUNTS TO THE PROPOSED FY 2009 SINGLE STANDARDIZED AMOUNT WITH
FULL UPDATE AND REDUCED UPDATE
Full update (3.0 percent); wage index is
greater than 1.0000
FY 2008 Base Rate, after removing geographic reclassification budget neutrality,
demonstration budget neutrality, documentation and coding adjustment, NJ imputed floor budget neutrality and outlier
offset (based on the labor and market
share percentage for FY 2009).
FY 2009 Update Factor .................................
FY 2009 DRG Recalibrations and Wage
Index Budget Neutrality Factor.
FY 2009 Reclassification Budget Neutrality
Factor.
FY 2009 Outlier Factor ..................................
Rural Demonstration Budget Neutrality Factor.
FY 2009 Documentation and Coding Adjustment and Actual FY 2008 Adjustment.
Proposed Rate for FY 2009 ...........................
Under section 1886(d)(9)(A)(ii) of the Act,
the Federal portion of the Puerto Rico
payment rate is based on the national average
standardized amounts. The labor-related and
nonlabor-related portions of the national
average standardized amounts for hospitals
located in Puerto Rico are set forth in Table
1C of this Addendum. This table also
includes the Puerto Rico standardized
amounts. The labor-related share applied to
the Puerto Rico standardized amount is 58.7
percent, or 62 percent, depending on which
results in higher payments to the hospital.
(Section 1886(d)(9)(C)(iv) of the Act, as
amended by section 403(b) of Pub. L. 108–
173, provides that the labor-related share for
hospitals located in Puerto Rico be 62
percent, unless the application of that
percentage would result in lower payments
to the hospital.)
Full update (3.0 percent); wage index is
less than 1.0000
Reduced update (1.0
percent); wage index
is greater than 1.0000
Reduced update (1.0
percent); wage index
is less than 1.0000
Labor: $3,723.07 ........
Nonlabor: $1,618.50 ..
Labor: $3,311.77 ........
Nonlabor: $2,029.80 ..
Labor: $3,723.07 ........
Nonlabor: $1,618.50 ..
Labor: $3,311.77
Nonlabor: $2,029.80
1.030 ..........................
0.999525 ....................
1.030 ..........................
0.999525 ....................
1.010 ..........................
0.999525 ....................
1.010
0.999525
0.992333 ....................
0.992333 ....................
0.992333 ....................
0.992333
0.948928 ....................
0.999666 ....................
0.948928 ....................
0.999666 ....................
0.948928 ....................
0.999666 ....................
0.948928
0.999666
0.985 ..........................
0.985 ..........................
0.985 ..........................
0.985
Labor: $3,553.98 ........
Nonlabor: $1,544.98 ..
Labor: $3,161.36 ........
Nonlabor: $1,937.60 ..
Labor: $3,484.97 ........
Nonlabor: $1,514.98 ..
Labor: $3,099.97
Nonlabor: $1,899.98
B. Proposed Adjustments for Area Wage
Levels and Cost-of-Living
Tables 1A through 1C, as set forth in this
Addendum, contain the proposed laborrelated and nonlabor-related shares that we
are using to calculate the proposed
prospective payment rates for hospitals
located in the 50 States, the District of
Columbia, and Puerto Rico for FY 2009. This
section addresses two types of adjustments to
the standardized amounts that were made in
determining the prospective payment rates as
described in this Addendum.
1. Proposed Adjustment for Area Wage
Levels
Sections 1886(d)(3)(E) and
1886(d)(9)(C)(iv) of the Act require that we
make an adjustment to the labor-related
portion of the national and Puerto Rico
prospective payment rates, respectively, to
account for area differences in hospital wage
levels. This adjustment is made by
multiplying the labor-related portion of the
adjusted standardized amounts by the
appropriate wage index for the area in which
the hospital is located. In section III. of the
preamble to this proposed rule, we discuss
the data and methodology for the FY 2009
wage index.
2. Proposed Adjustment for Cost-of-Living in
Alaska and Hawaii
Section 1886(d)(5)(H) of the Act authorizes
the Secretary to make an adjustment to take
into account the unique circumstances of
hospitals in Alaska and Hawaii. Higher laborrelated costs for these two States are taken
into account in the adjustment for area wages
described above. For FY 2009, we are
proposing to adjust the payments for
hospitals in Alaska and Hawaii by
multiplying the nonlabor-related portion of
the standardized amount by the applicable
adjustment factor contained in the table
below.
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TABLE OF COST-OF-LIVING ADJUSTMENT FACTORS: ALASKA AND HAWAII HOSPITALS
Cost of living
adjustment
factor
Area
Alaska:
City of Anchorage and 80-kilometer (50-mile) radius by road .....................................................................................................
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TABLE OF COST-OF-LIVING ADJUSTMENT FACTORS: ALASKA AND HAWAII HOSPITALS—Continued
Cost of living
adjustment
factor
Area
City of Fairbanks and 80-kilometer (50-mile) radius by road ......................................................................................................
City of Juneau and 80-kilometer (50-mile) radius by road ..........................................................................................................
Rest of Alaska ..............................................................................................................................................................................
Hawaii:
City and County of Honolulu ........................................................................................................................................................
County of Hawaii ..........................................................................................................................................................................
County of Kauai ............................................................................................................................................................................
County of Maui and County of Kalawao ......................................................................................................................................
1.24
1.24
1.25
1.25
1.17
1.25
1.25
(The above factors are based on data obtained from the U.S. Office of Personnel Management.)
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C. Proposed MS–DRG Relative Weights
As discussed in section II.H. of the
preamble of this proposed rule, we have
developed proposed relative weights for each
MS–DRG that reflect the resource utilization
of cases in each MS–DRG relative to
Medicare cases in other MS–DRGs. Table 5
of this Addendum contains the proposed
relative weights that we will apply to
discharges occurring in FY 2009. These
factors have been recalibrated as explained in
section II. of the preamble of this proposed
rule.
D. Calculation of the Proposed Prospective
Payment Rates
General Formula for Calculation of the
Proposed Prospective Payment Rates for FY
2009
In general, the operating prospective
payment rate for all hospitals paid under the
IPPS located outside of Puerto Rico, except
SCHs and MDHs, for FY 2009 equals the
Federal rate.
The prospective payment rate for SCHs for
FY 2009 equals the higher of the applicable
Federal rate, or the hospital-specific rate as
described below. The prospective payment
rate for MDHs for FY 2009 equals the higher
of the Federal rate, or the Federal rate plus
75 percent of the difference between the
Federal rate and the hospital-specific rate as
described below. The prospective payment
rate for hospitals located in Puerto Rico for
FY 2009 equals 25 percent of the Puerto Rico
rate plus 75 percent of the applicable
national rate.
1. Federal Rate
The Federal rate is determined as follows:
Step 1—Select the applicable average
standardized amount depending on whether
the hospital submitted qualifying quality data
(full update for qualifying hospitals, update
minus 2.0 percentage points for
nonqualifying hospitals).
Step 2—Multiply the labor-related portion
of the standardized amount by the applicable
wage index for the geographic area in which
the hospital is located or the area to which
the hospital is reclassified.
Step 3—For hospitals in Alaska and
Hawaii, multiply the nonlabor-related
portion of the standardized amount by the
applicable cost-of-living adjustment factor.
Step 4—Add the amount from Step 2 and
the nonlabor-related portion of the
standardized amount (adjusted, if applicable,
under Step 3).
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Step 5—Multiply the final amount from
Step 4 by the relative weight corresponding
to the applicable MS–DRG (see Table 5 of
this Addendum).
The Federal rate as determined in Step 5
is then further adjusted if the hospital
qualifies for either the IME or DSH
adjustment. In addition, for hospitals that
qualify for a low-volume payment adjustment
under section 1886(d)(12) of the Act and 42
CFR 412.101(b), the payment in Step 5 is
increased by 25 percent.
2. Hospital-Specific Rate (Applicable Only to
SCHs and MDHs)
a. Calculation of Hospital-Specific Rate
Section 1886(b)(3)(C) of the Act provides
that SCHs are paid based on whichever of the
following rates yields the greatest aggregate
payment: the Federal rate; the updated
hospital-specific rate based on FY 1982 costs
per discharge; the updated hospital-specific
rate based on FY 1987 costs per discharge; or
the updated hospital-specific rate based on
FY 1996 costs per discharge.
As discussed previously, MDHs are
required to rebase their hospital-specific rates
to their FY 2002 cost reports if doing so
results in higher payments. In addition,
effective for discharges occurring on or after
October 1, 2006, MDHs are to be paid based
on the Federal national rate or, if higher, the
Federal national rate plus 75 percent
(changed from 50 percent) of the difference
between the Federal national rate and the
greater of the updated hospital-specific rates
based on either FY 1982, FY 1987 or FY 2002
costs per discharge. Further, MDHs are no
longer subject to the 12-percent cap on their
DSH payment adjustment factor.
Hospital-specific rates have been
determined for each of these hospitals based
on the FY 1982 costs per discharge, the FY
1987 costs per discharge, or, for SCHs, the FY
1996 costs per discharge and for MDHs, the
FY 2002 cost per discharge. For a more
detailed discussion of the calculation of the
hospital-specific rates, we refer the reader to
the FY 1984 IPPS interim final rule (48 FR
39772); the April 20, 1990 final rule with
comment (55 FR 15150); the FY 1991 IPPS
final rule (55 FR 35994); and the FY 2001
IPPS final rule (65 FR 47082). In addition, for
both SCHs and MDHs, the hospital-specific
rate is adjusted by the budget neutrality
adjustment factor as discussed in section III.
of this Addendum. The resulting rate will be
used in determining the payment rate an SCH
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or MDH will receive for its discharges
beginning on or after October 1, 2007.
b. Updating the FY 1982, FY 1987, FY 1996,
and FY 2002 Hospital-Specific Rates for FY
2009
We are proposing to increase the hospitalspecific rates by 3.0 percent (the proposed
estimated hospital market basket percentage
increase) for FY 2009 for those SCHs and
MDHs that submit qualifying quality data
and by 1.0 percent for SCHs and MDHs that
fail to submit qualifying quality data. Section
1886(b)(3)(C)(iv) of the Act provides that the
update factor applicable to the hospitalspecific rates for SCHs is equal to the update
factor provided under section
1886(b)(3)(B)(iv) of the Act, which, for SCHs
in FY 2008, is the market basket rate-ofincrease for hospitals that submit qualifying
quality data and the market basket rate-ofincrease minus 2 percent for hospitals that
fail to submit qualifying quality data. Section
1886(b)(3)(D) of the Act provides that the
update factor applicable to the hospitalspecific rates for MDHs also equals the
update factor provided for under section
1886(b)(3)(B)(iv) of the Act, which, for FY
2009, is the market basket rate-of-increase for
hospitals that submit qualifying quality data
and the market basket rate-of-increase minus
2 percent for hospitals that fail to submit
qualifying quality data.
3. General Formula for Calculation of
Proposed Prospective Payment Rates for
Hospitals Located in Puerto Rico Beginning
On or After October 1, 2008, and Before
October 1, 2009
Section 1886(d)(9)(E)(iv) of the Act
provides that, effective for discharges
occurring on or after October 1, 2004,
hospitals located in Puerto Rico are paid
based on a blend of 75 percent of the national
prospective payment rate and 25 percent of
the Puerto Rico-specific rate.
a. Puerto Rico Rate
The Puerto Rico prospective payment rate
is determined as follows:
Step 1—Select the applicable average
standardized amount considering the
applicable wage index (Table 1C of this
Addendum).
Step 2—Multiply the labor-related portion
of the standardized amount by the applicable
Puerto Rico-specific wage index.
Step 3—Add the amount from Step 2 and
the nonlabor-related portion of the
standardized amount.
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Step 4—Multiply the amount from Step 3
by the applicable MS–DRG relative weight
(Table 5 of this Addendum).
Step 5—Multiply the result in Step 4 by 25
percent.
b. National Rate
The national prospective payment rate is
determined as follows:
Step 1—Select the applicable average
standardized amount.
Step 2—Multiply the labor-related portion
of the standardized amount by the applicable
wage index for the geographic area in which
the hospital is located or the area to which
the hospital is reclassified.
Step 3—Add the amount from Step 2 and
the nonlabor-related portion of the national
average standardized amount.
Step 4—Multiply the amount from Step 3
by the applicable MS–DRG relative weight
(Table 5 of this Addendum).
Step 5—Multiply the result in Step 4 by 75
percent.
The sum of the Puerto Rico rate and the
national rate computed above equals the
prospective payment for a given discharge for
a hospital located in Puerto Rico. This rate
is then further adjusted if the hospital
qualifies for either the IME or DSH
adjustment.
III. Proposed Changes to Payment Rates for
Acute Care Hospital Inpatient CapitalRelated Costs for FY 2009
The PPS for acute care hospital inpatient
capital-related costs was implemented for
cost reporting periods beginning on or after
October 1, 1991. Effective with that cost
reporting period, hospitals were paid during
a 10-year transition period (which extended
through FY 2001) to change the payment
methodology for Medicare acute care hospital
inpatient capital-related costs from a
reasonable cost-based methodology to a
prospective methodology (based fully on the
Federal rate).
The basic methodology for determining
Federal capital prospective rates is set forth
in the regulations at 42 CFR 412.308 through
412.352. Below we discuss the factors that
we are proposing to use to determine the
capital Federal rate for FY 2009, which
would be effective for discharges occurring
on or after October 1, 2008.
The 10-year transition period ended with
hospital cost reporting periods beginning on
or after October 1, 2001 (FY 2002). Therefore,
for cost reporting periods beginning in FY
2002, all hospitals (except ‘‘new’’ hospitals
under § 412.304(c)(2)) are paid based on the
capital Federal rate. For FY 1992, we
computed the standard Federal payment rate
for capital-related costs under the IPPS by
updating the FY 1989 Medicare inpatient
capital cost per case by an actuarial estimate
of the increase in Medicare inpatient capital
costs per case. Each year after FY 1992, we
update the capital standard Federal rate, as
provided at § 412.308(c)(1), to account for
capital input price increases and other
factors. The regulations at § 412.308(c)(2)
provide that the capital Federal rate be
adjusted annually by a factor equal to the
estimated proportion of outlier payments
under the capital Federal rate to total capital
payments under the capital Federal rate. In
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addition, § 412.308(c)(3) requires that the
capital Federal rate be reduced by an
adjustment factor equal to the estimated
proportion of payments for (regular and
special) exceptions under § 412.348. Section
412.308(c)(4)(ii) requires that the capital
standard Federal rate be adjusted so that the
effects of the annual DRG reclassification and
the recalibration of DRG weights and changes
in the geographic adjustment factor (GAF) are
budget neutral.
For FYs 1992 through 1995, § 412.352
required that the capital Federal rate also be
adjusted by a budget neutrality factor so that
aggregate payments for inpatient hospital
capital costs were projected to equal 90
percent of the payments that would have
been made for capital-related costs on a
reasonable cost basis during the respective
fiscal year. That provision expired in FY
1996. Section 412.308(b)(2) describes the 7.4
percent reduction to the capital Federal rate
that was made in FY 1994, and
§ 412.308(b)(3) describes the 0.28 percent
reduction to the capital Federal rate made in
FY 1996 as a result of the revised policy for
paying for transfers. In FY 1998, we
implemented section 4402 of Pub. L. 105–33,
which required that, for discharges occurring
on or after October 1, 1997, the budget
neutrality adjustment factor in effect as of
September 30, 1995, be applied to the
unadjusted capital standard Federal rate and
the unadjusted hospital-specific rate. That
factor was 0.8432, which was equivalent to
a 15.68 percent reduction to the unadjusted
capital payment rates. An additional 2.1
percent reduction to the rates was effective
from October 1, 1997 through September 30,
2002, making the total reduction 17.78
percent. As we discussed in the FY 2003
IPPS final rule (67 FR 50102) and
implemented in § 412.308(b)(6), the 2.1
percent reduction was restored to the
unadjusted capital payment rates effective
October 1, 2002.
To determine the appropriate budget
neutrality adjustment factor and the regular
exceptions payment adjustment during the
10-year transition period, we developed a
dynamic model of Medicare inpatient
capital-related costs; that is, a model that
projected changes in Medicare inpatient
capital-related costs over time. With the
expiration of the budget neutrality provision,
the capital cost model was only used to
estimate the regular exceptions payment
adjustment and other factors during the
transition period. As we explained in the FY
2002 IPPS final rule (66 FR 39911), beginning
in FY 2002, an adjustment for regular
exception payments is no longer necessary
because regular exception payments were
only made for cost reporting periods
beginning on or after October 1, 1991, and
before October 1, 2001 (see § 412.348(b)).
Because payments are no longer made under
the regular exception policy effective with
cost reporting periods beginning in FY 2002,
we discontinued use of the capital cost
model. The capital cost model and its
application during the transition period are
described in Appendix B of the FY 2002 IPPS
final rule (66 FR 40099).
Section 412.374 provides for the use of a
blended payment system for payments to
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hospitals located in Puerto Rico under the
IPPS for acute care hospital inpatient capitalrelated costs. Accordingly, under the capital
PPS, we compute a separate payment rate
specific to hospitals located in Puerto Rico
using the same methodology used to compute
the national Federal rate for capital-related
costs. In accordance with section
1886(d)(9)(A) of the Act, under the IPPS for
acute care hospital operating costs, hospitals
located in Puerto Rico are paid for operating
costs under a special payment formula. Prior
to FY 1998, hospitals located in Puerto Rico
were paid a blended operating rate that
consisted of 75 percent of the applicable
standardized amount specific to Puerto Rico
hospitals and 25 percent of the applicable
national average standardized amount.
Similarly, prior to FY 1998, hospitals located
in Puerto Rico were paid a blended capital
rate that consisted of 75 percent of the
applicable capital Puerto Rico-specific rate
and 25 percent of the applicable capital
Federal rate. However, effective October 1,
1997, in accordance with section 4406 of
Pub. L. 105–33, the methodology for
operating payments made to hospitals
located in Puerto Rico under the IPPS was
revised to make payments based on a blend
of 50 percent of the applicable standardized
amount specific to Puerto Rico hospitals and
50 percent of the applicable national average
standardized amount. In conjunction with
this change to the operating blend
percentage, effective with discharges
occurring on or after October 1, 1997, we also
revised the methodology for computing
capital payments to hospitals located in
Puerto Rico to be based on a blend of 50
percent of the Puerto Rico capital rate and 50
percent of the capital Federal rate.
As we discussed in the FY 2005 IPPS final
rule (69 FR 49185), section 504 of Pub. L.
108–173 increased the national portion of the
operating IPPS payments for hospitals
located in Puerto Rico from 50 percent to
62.5 percent and decreased the Puerto Rico
portion of the operating IPPS payments from
50 percent to 37.5 percent for discharges
occurring on or after April 1, 2004 through
September 30, 2004 (see the March 26, 2004
One-Time Notification (Change Request
3158)). In addition, section 504 of Pub. L.
108–173 provided that the national portion of
operating IPPS payments for hospitals
located in Puerto Rico is equal to 75 percent
and the Puerto Rico portion of operating IPPS
payments is equal to 25 percent for
discharges occurring on or after October 1,
2004. Consistent with that change in
operating IPPS payments to hospitals located
in Puerto Rico, for FY 2005 (as we discussed
in the FY 2005 IPPS final rule), we revised
the methodology for computing capital
payments to hospitals located in Puerto Rico
to be based on a blend of 25 percent of the
Puerto Rico capital rate and 75 percent of the
capital Federal rate for discharges occurring
on or after October 1, 2004.
A. Determination of Proposed Federal
Hospital Inpatient Capital-Related
Prospective Payment Rate Update
In the FY 2008 IPPS final rule with
comment period (72 FR 66886 through
66888), we established a capital Federal rate
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of $426.14 for FY 2008. In the discussion that
follows, we explain the factors that we are
proposing to use to determine the proposed
FY 2009 capital Federal rate. In particular,
we explain why the proposed FY 2009
capital Federal rate would decrease
approximately 1.14 percent, compared to the
FY 2008 capital Federal rate. However, taking
into account an estimated increase in
Medicare fee-for-service discharges in FY
2009 as compared to FY 2008, as well as the
estimated increase in payments due to
documentation and coding (discussed in
section VIII. of Appendix A to this proposed
rule), we estimate that the increase in
aggregate capital payments would be
negligible during this same period
(approximately $6 million). Total payments
to hospitals under the IPPS are relatively
unaffected by changes in the capital
prospective payments. Because capital
payments constitute about 10 percent of
hospital payments, a 1-percent change in the
capital Federal rate yields only about a 0.1
percent change in actual payments to
hospitals. As noted above, aggregate
payments under the capital IPPS are
projected to increase in FY 2009 compared to
FY 2008.
1. Projected Capital Standard Federal Rate
Update
a. Description of the Update Framework
Under § 412.308(c)(1), the capital standard
Federal rate is updated on the basis of an
analytical framework that takes into account
changes in a capital input price index (CIPI)
and several other policy adjustment factors.
Specifically, we have adjusted the projected
CIPI rate-of-increase as appropriate each year
for case-mix index-related changes, for
intensity, and for errors in previous CIPI
forecasts. The proposed update factor for FY
2009 under that framework is 0.7 percent
based on the best data available at this time.
The proposed update factor under that
framework is based on a projected 1.2
percent increase in the CIPI, a 0.0 percent
adjustment for intensity, a 0.0 percent
adjustment for case-mix, a ¥0.5 percent
adjustment for the FY 2007 DRG
reclassification and recalibration, and a
forecast error correction of 0.0 percent. As
discussed below in section III.C. of the
Addendum to this proposed rule, we
continue to believe that the CIPI is the most
appropriate input price index for capital
costs to measure capital price changes in a
given year. We also explain the basis for the
FY 2009 CIPI projection in that same section
of this Addendum. In addition, as also noted
below, the proposed capital rates would be
further adjusted to account for
documentation and coding improvements
under the MS–DRGs discussed in section
II.D. of the preamble of this proposed rule.
Below we describe the policy adjustments
that we are proposing to apply in the update
framework for FY 2009.
The case-mix index is the measure of the
average MS–DRG weight for cases paid under
the IPPS. Because the MS–DRG weight
determines the prospective payment for each
case, any percentage increase in the case-mix
index corresponds to an equal percentage
increase in hospital payments.
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The case-mix index can change for any of
several reasons:
• The average resource use of Medicare
patients changes (‘‘real’’ case-mix change);
• Changes in hospital coding of patient
records result in higher weight MS–DRG
assignments (‘‘coding effects’’); and
• The annual MS–DRG reclassification and
recalibration changes may not be budget
neutral (‘‘reclassification effect’’).
We define real case-mix change as actual
changes in the mix (and resource
requirements) of Medicare patients as
opposed to changes in coding behavior that
result in assignment of cases to higher
weighted MS-DRGs but do not reflect higher
resource requirements. The capital update
framework includes the same case-mix index
adjustment used in the former operating IPPS
update framework (as discussed in the May
18, 2004 IPPS proposed rule for FY 2005 (69
FR 28816)). (We no longer use an update
framework to make a recommendation for
updating the operating IPPS standardized
amounts as discussed in section II. of
Appendix B in the FY 2006 IPPS final rule
(70 FR 47707).)
Absent the projected increase in case-mix
resulting from documentation and coding
improvements under the recently adopted
MS-DRGs, for FY 2009, we are projecting a
1.0 percent total increase in the case-mix
index. We estimate that the real case-mix
increase will also equal 1.0 percent for FY
2009. The net adjustment for change in casemix is the difference between the projected
real increase in case-mix and the projected
total increase in case-mix. Therefore, the net
adjustment for case-mix change in FY 2009
is 0.0 percentage points.
The capital update framework also
contains an adjustment for the effects of DRG
reclassification and recalibration. This
adjustment is intended to remove the effect
on total payments of prior year’s changes to
the DRG classifications and relative weights,
in order to retain budget neutrality for all
case-mix index-related changes other than
those due to patient severity. Due to the lag
time in the availability of data, there is a 2year lag in data used to determine the
adjustment for the effects of DRG
reclassification and recalibration. For
example, we are adjusting for the effects of
the FY 2007 DRG reclassification and
recalibration as part of our proposed update
for FY 2009. We estimate that FY 2007 DRG
reclassification and recalibration resulted in
a 0.5 percent change in the case-mix when
compared with the case-mix index that
would have resulted if we had not made the
reclassification and recalibration changes to
the DRGs. Therefore, we are proposing to
make a ¥0.5 percent adjustment for DRG
reclassification in the proposed update for
FY 2009 to maintain budget neutrality.
The capital update framework also
contains an adjustment for forecast error. The
input price index forecast is based on
historical trends and relationships
ascertainable at the time the update factor is
established for the upcoming year. In any
given year, there may be unanticipated price
fluctuations that may result in differences
between the actual increase in prices and the
forecast used in calculating the update
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factors. In setting a prospective payment rate
under the framework, we make an
adjustment for forecast error only if our
estimate of the change in the capital input
price index for any year is off by 0.25
percentage points or more. There is a 2-year
lag between the forecast and the availability
of data to develop a measurement of the
forecast error. A forecast error of 0.10
percentage point was calculated for the FY
2007 update. That is, current historical data
indicate that the forecasted FY 2007 CIPI (1.1
percent) used in calculating the FY 2007
update factor slightly understated the actual
realized price increases (1.2 percent) by 0.10
percentage point. This slight underprediction
was mostly due to the incorporation of newly
available source data for fixed asset prices
and moveable asset prices into the market
basket. However, because this estimation of
the change in the CIPI is less than 0.25
percentage points, it is not reflected in the
update recommended under this framework.
Therefore, we are proposing to make a 0.0
percent adjustment for forecast error in the
update for FY 2009.
Under the capital IPPS update framework,
we also make an adjustment for changes in
intensity. We calculate this adjustment using
the same methodology and data that were
used in the past under the framework for
operating IPPS. The intensity factor for the
operating update framework reflects how
hospital services are utilized to produce the
final product, that is, the discharge. This
component accounts for changes in the use
of quality-enhancing services, for changes
within DRG severity, and for expected
modification of practice patterns to remove
noncost-effective services.
We calculate case-mix constant intensity as
the change in total charges per admission,
adjusted for price level changes (the CPI for
hospital and related services) and changes in
real case-mix. The use of total charges in the
calculation of the intensity factor makes it a
total intensity factor; that is, charges for
capital services are already built into the
calculation of the factor. Therefore, we have
incorporated the intensity adjustment from
the operating update framework into the
capital update framework. Without reliable
estimates of the proportions of the overall
annual intensity increases that are due,
respectively, to ineffective practice patterns
and the combination of quality-enhancing
new technologies and complexity within the
DRG system, we assume that one-half of the
annual increase is due to each of these
factors. The capital update framework thus
provides an add-on to the input price index
rate of increase of one-half of the estimated
annual increase in intensity, to allow for
increases within DRG severity and the
adoption of quality-enhancing technology.
We have developed a Medicare-specific
intensity measure based on a 5-year average.
Past studies of case-mix change by the RAND
Corporation (Has DRG Creep Crept Up?
Decomposing the Case Mix Index Change
Between 1987 and 1988 by G. M. Carter, J.
P. Newhouse, and D. A. Relles, R–4098–
HCFA/ProPAC (1991)) suggest that real casemix change was not dependent on total
change, but was usually a fairly steady
increase of 1.0 to 1.5 percent per year.
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However, we used 1.4 percent as the upper
bound because the RAND study did not take
into account that hospitals may have induced
doctors to document medical records more
completely in order to improve payment.
We calculate case-mix constant intensity as
the change in total charges per admission,
adjusted for price level changes (the CPI for
hospital and related services), and changes in
real case-mix. As we noted above, in
accordance with § 412.308(c)(1)(ii), we began
updating the capital standard Federal rate in
FY 1996 using an update framework that
takes into account, among other things,
allowable changes in the intensity of hospital
services. For FYs 1996 through 2001, we
found that case-mix constant intensity was
declining, and we established a 0.0 percent
adjustment for intensity in each of those
years. For FYs 2002 and 2003, we found that
case-mix constant intensity was increasing,
and we established a 0.3 percent adjustment
and 1.0 percent adjustment for intensity,
respectively. For FYs 2004 and 2005, we
found that the charge data appeared to be
skewed (as discussed in greater detail below),
and we established a 0.0 percent adjustment
in each of those years. Furthermore, we
stated that we would continue to apply a 0.0
percent adjustment for intensity until any
increase in charges can be tied to intensity
rather than attempts to maximize outlier
payments.
As noted above, our intensity measure is
based on a 5-year average, and therefore, the
intensity adjustment for FY 2009 is based on
data from the 5-year period beginning with
FY 2003 and extending through FY 2007.
There continues to be a substantial increase
in hospital charges for three of those 5 years
without a corresponding increase in the
hospital case-mix index. Most dramatically,
for FY 2003, the change in hospitals’ charges
is over 16 percent, which is reflective of the
large increases in charges that we found in
the 4 years prior to FY 2003 and before our
revisions to the outlier policy in 2003
(discussed below). For FY 2004 and FY 2005,
the change in hospitals’ charges is somewhat
lower in comparison to FY 2003, but is still
significantly large. For FY 2006 and FY 2007,
the change in hospitals’ charges appears to be
slightly moderating. However, the change in
hospitals’ charges for FYs 2003 and 2004 and
to a somewhat lesser extent FY 2005 remains
similar to the considerable increase in
hospitals’ charges that we found when
examining hospitals’ charge data in
determining the intensity factor in the update
recommendations for the past few years, as
discussed in the FY 2004 IPPS final rule (68
FR 45482), the FY 2005 IPPS final rule (69
FR 49285), the FY 2006 IPPS final rule (70
FR 47500), the FY 2007 IPPS final rule (72
FR 47500), and the FY 2008 IPPS final rule
with comment period (72 FR 47426). If
hospitals were treating new or different types
of cases, which would result in an
appropriate increase in charges per
discharge, then we would expect hospitals’
case-mix to increase proportionally. As we
discussed most recently in the FY 2008 IPPS
final rule with comment period (72 FR
47426), because our intensity calculation
relies heavily upon charge data and we
believe that these charge data may be
inappropriately skewed, we established a 0.0
percent adjustment for intensity for FY 2008
just as we did for FYs 2004 through 2007.
On June 9, 2003, we published in the
Federal Register revisions to our outlier
policy for determining the additional
payment for extraordinarily high-cost cases
(68 FR 34494 through 34515). These revised
policies were effective on August 8, 2003,
and October 1, 2003. While it does appear
that a response to these policy changes is
beginning to occur, that is, the increase in
charges for FYs 2004 and 2005 are somewhat
less than the previous 4 years, they still show
a significant annual increase in charges
without a corresponding increase in hospital
case-mix. Specifically, the increases in
charges in FY 2004 and FY 2005
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(approximately 12 percent and 8 percent,
respectively), for example, which, while less
than the increase in the previous 3 years, are
still much higher than increases in years
prior to FY 2001. In addition, these increases
in charges for FYs 2003, FY 2004, and FY
2005 significantly exceed the respective casemix increases for the same period. Based on
the significant increases in charges for FYs
2003 through 2005 that remain in the 5-year
average used for the intensity adjustment, we
believe residual effects of hospitals’ charge
practices prior to the implementation of the
outlier policy revisions established in the
June 9, 2003 final rule continue to appear in
the data, because it may have taken hospitals
some time to adopt changes in their behavior
in response to the new outlier policy. Thus,
we believe that the FY 2003, FY 2004, FY
2005 charge data may still be skewed.
Although it appears that the change in
hospitals’ charges is more reasonable because
the intensity adjustment is based on a 5-year
average, and although the new outlier policy
was generally effective in FY 2004, we
believe the effects of hospitals attempting to
maximize outlier payments, while lessening
costs, continue to skew the charge data.
Therefore, we are proposing to make a 0.0
percent adjustment for intensity for FY 2009.
In the past (FYs 1996 through 2001) when we
found intensity to be declining, we believed
a zero (rather than negative) intensity
adjustment was appropriate. Similarly, we
believe that it is appropriate to apply a zero
intensity adjustment for FY 2009 until any
increase in charges during the 5-year period
upon which the intensity adjustment is based
can be tied to intensity rather than to
attempts to maximize outlier payments.
Above, we described the basis of the
components used to develop the proposed
0.7 percent capital update factor for all
hospitals under the capital update framework
for FY 2009 as shown in the table below.
CMS PROPOSED FY 2009 UPDATE FACTOR TO THE CAPITAL FEDERAL RATE
Capital Input Price Index .............................................................................................................................................................................
Intensity ........................................................................................................................................................................................................
Case-Mix Adjustment Factors:
Real Across DRG Change ...................................................................................................................................................................
Projected Case-Mix Change ................................................................................................................................................................
¥1.0
1.0
Subtotal .........................................................................................................................................................................................
Effect of FY 2007 Reclassification and Recalibration .................................................................................................................................
Forecast Error Correction ............................................................................................................................................................................
1.2
¥0.5
0.0
Total Update for Hospitals ....................................................................................................................................................................
0.7
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b. Comparison of CMS and MedPAC Update
Recommendation
(MedPAC’s Report to the Congress: Medicare
Payment Policy, March 2008, Section 2A.)
In its March 2008 Report to Congress,
MedPAC did not make a specific update
recommendation for capital IPPS payments
for FY 2009. However, in that same report,
in assessing the adequacy of current
payments and costs, MedPAC recommended
an update to the hospital inpatient and
outpatient PPS rates equal to the increase in
the hospital market basket in FY 2009,
concurrent with a quality incentive program.
2. Proposed Outlier Payment Adjustment
Factor
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Section 412.312(c) establishes a unified
outlier payment methodology for inpatient
operating and inpatient capital-related costs.
A single set of thresholds is used to identify
outlier cases for both inpatient operating and
inpatient capital-related payments. Section
412.308(c)(2) provides that the standard
Federal rate for inpatient capital-related costs
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1.2
0.0
be reduced by an adjustment factor equal to
the estimated proportion of capital-related
outlier payments to total inpatient capitalrelated PPS payments. The outlier thresholds
are set so that operating outlier payments are
projected to be 5.1 percent of total operating
DRG payments.
In the FY 2008 IPPS final rule with
comment (72 FR 66887), we estimated that
outlier payments for capital would equal 4.77
percent of inpatient capital-related payments
based on the capital Federal rate in FY 2008.
Based on the proposed thresholds as set forth
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in section II.A. of this Addendum, we
estimate that proposed outlier payments for
capital-related costs would equal 5.73
percent for inpatient capital-related
payments based on the proposed capital
Federal rate in FY 2009. Therefore, we are
proposing to apply an outlier adjustment
factor of 0.9427 to the capital Federal rate.
Thus, we estimate that the percentage of
capital outlier payments to total capital
standard payments for FY 2009 will be
higher than the percentages for FY 2008. This
increase is primarily due to the proposed
decrease to the fixed-loss amount, which is
discussed section II.A. of this Addendum.
The outlier reduction factors are not built
permanently into the capital rates; that is,
they are not applied cumulatively in
determining the capital Federal rate. The
proposed FY 2009 outlier adjustment of
0.9427 is a ¥1.01percent change from the FY
2008 outlier adjustment of 0.9523. Therefore,
the net change in the proposed outlier
adjustment to the capital Federal rate for FY
2009 is 0.9899 (0.9427/0.9523). Thus, the
proposed outlier adjustment decreases the FY
2009 capital Federal rate by 1.01 percent
compared with the FY 2008 outlier
adjustment.
3. Proposed Budget Neutrality Adjustment
Factor for Changes in DRG Classifications
and Weights and the GAF
Section 412.308(c)(4)(ii) requires that the
capital Federal rate be adjusted so that
aggregate payments for the fiscal year based
on the capital Federal rate after any changes
resulting from the annual DRG
reclassification and recalibration and changes
in the GAF are projected to equal aggregate
payments that would have been made on the
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basis of the capital Federal rate without such
changes. Because we implemented a separate
GAF for Puerto Rico, we apply separate
budget neutrality adjustments for the
national GAF and the Puerto Rico GAF. We
apply the same budget neutrality factor for
DRG reclassifications and recalibration
nationally and for Puerto Rico. Separate
adjustments were unnecessary for FY 1998
and earlier because the GAF for Puerto Rico
was implemented in FY 1998.
In the past, we used the actuarial capital
cost model (described in Appendix B of the
FY 2002 IPPS final rule (66 FR 40099)) to
estimate the aggregate payments that would
have been made on the basis of the capital
Federal rate with and without changes in the
DRG classifications and weights and in the
GAF to compute the adjustment required to
maintain budget neutrality for changes in
DRG weights and in the GAF. During the
transition period, the capital cost model was
also used to estimate the regular exception
payment adjustment factor. As we explain in
section III.A. of this Addendum, beginning in
FY 2002, an adjustment for regular exception
payments is no longer necessary. Therefore,
we will no longer use the capital cost model.
Instead, we are using historical data based on
hospitals’ actual cost experiences to
determine the exceptions payment
adjustment factor for special exceptions
payments.
To determine the proposed factors for FY
2009, we compared (separately for the
national capital rate and the Puerto Rico
capital rate) estimated aggregate capital
Federal rate payments based on the FY 2008
DRG relative weights and the FY 2008 GAF
to estimated aggregate capital Federal rate
payments based on the proposed FY 2009
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relative weights and the proposed FY 2009
GAFs. We established the final FY 2008
budget neutrality factors of 0.9902 for the
national capital rate and 0.9955 for the
Puerto Rico capital rate. In making the
comparison, we set the exceptions reduction
factor to 1.00. To achieve budget neutrality
for the changes in the national GAFs, based
on calculations using updated data, we are
proposing to apply an incremental budget
neutrality adjustment of 1.0013 for FY 2009
to the previous cumulative FY 2008
adjustments of 0.9902, yielding a proposed
adjustment of 0.9915, through FY 2009. For
the Puerto Rico GAFs, we are proposing to
apply a proposed incremental budget
neutrality adjustment of 1.0009 for FY 2009
to the previous cumulative FY 2008
adjustment of 0.9955, yielding a proposed
cumulative adjustment of 0.9965 (calculated
with unrounded numbers) through FY 2009.
We then compared estimated aggregate
capital Federal rate payments based on the
FY 2008 DRG relative weights and the
proposed FY 2009 GAFs to estimated
aggregate capital Federal rate payments based
on the cumulative effects of the proposed FY
2009 DRG relative weights and the proposed
FY 2009 GAFs. The proposed incremental
adjustment for proposed DRG classifications
and proposed changes in relative weights is
0.9994 both nationally and for Puerto Rico.
The proposed cumulative adjustments for
DRG classifications and changes in relative
weights and for proposed changes in the
GAFs through FY 2009 are 0.9909 nationally
and 0.9959 for Puerto Rico. The following
table summarizes the adjustment factors for
each fiscal year:
BILLING CODE 4120–01–P
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The methodology used to determine the
recalibration and geographic (DRG/GAF)
budget neutrality adjustment factor is similar
to the methodology used in establishing
budget neutrality adjustments under the PPS
for operating costs. One difference is that,
under the operating PPS, the budget
neutrality adjustments for the effect of
geographic reclassifications are determined
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separately from the effects of other changes
in the hospital wage index and the DRG
relative weights. Under the capital PPS, there
is a single DRG/GAF budget neutrality
adjustment factor (the national capital rate
and the Puerto Rico capital rate are
determined separately) for changes in the
GAF (including geographic reclassification)
and the DRG relative weights. In addition,
there is no adjustment for the effects that
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geographic reclassification has on the other
payment parameters, such as the payments
for serving low-income patients or indirect
medical education payments.
In the FY 2008 IPPS correction notice (72
FR 57636), we calculated a GAF/DRG budget
neutrality factor of 0.9996 for FY 2008. For
FY 2009, we are proposing to establish a
GAF/DRG budget neutrality factor of 1.0007.
The GAF/DRG budget neutrality factors are
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built permanently into the capital rates; that
is, they are applied cumulatively in
determining the capital Federal rate. This
follows the requirement that estimated
aggregate payments each year be no more or
less than they would have been in the
absence of the annual DRG reclassification
and recalibration and changes in the GAFs.
The incremental change in the proposed
adjustment from FY 2008 to FY 2009 is
1.0007. The cumulative change in the
proposed capital Federal rate due to this
proposed adjustment is 0.9909 (the product
of the incremental factors for FYs 1994
though 2008 and the proposed incremental
factor of 1.0007 for FY 2009). (We note that
averages of the incremental factors that were
in effect during FYs 2004 and 2005,
respectively, were used in the calculation of
the proposed cumulative adjustment of
0.9909 for FY 2009.)
The proposed factor accounts for DRG
reclassifications and recalibration and for
changes in the GAFs. It also incorporates the
effects on the proposed GAFs of FY 2009
geographic reclassification decisions made by
the MGCRB compared to FY 2008 decisions.
However, it does not account for changes in
payments due to changes in the DSH and
IME adjustment factors.
4. Exceptions Payment Adjustment Factor
Section 412.308(c)(3) of our regulations
requires that the capital standard Federal rate
be reduced by an adjustment factor equal to
the estimated proportion of additional
payments for both regular exceptions and
special exceptions under § 412.348 relative to
total capital PPS payments. In estimating the
proportion of regular exception payments to
total capital PPS payments during the
transition period, we used the actuarial
capital cost model originally developed for
determining budget neutrality (described in
Appendix B of the FY 2002 IPPS final rule
(66 FR 40099)) to determine the exceptions
payment adjustment factor, which was
applied to both the Federal and hospitalspecific capital rates.
An adjustment for regular exception
payments is no longer necessary in
determining the FY 2009 capital Federal rate
because, in accordance with § 412.348(b),
regular exception payments were only made
for cost reporting periods beginning on or
after October 1, 1991 and before October 1,
2001. Accordingly, as we explained in the FY
2002 IPPS final rule (66 FR 39949), in FY
2002 and subsequent fiscal years, no
payments are made under the regular
exceptions provision. However, in
accordance with § 412.308(c), we still need to
compute a budget neutrality adjustment for
special exception payments under
§ 412.348(g). We describe our methodology
for determining the exceptions adjustment
used in calculating the FY 2008 capital
Federal rate below.
Under the special exceptions provision
specified at § 412.348(g)(1), eligible hospitals
include SCHs, urban hospitals with at least
100 beds that have a disproportionate share
percentage of at least 20.2 percent or qualify
for DSH payments under § 412.106(c)(2), and
hospitals with a combined Medicare and
Medicaid inpatient utilization of at least 70
percent. An eligible hospital may receive
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special exceptions payments if it meets the
following criteria: (1) A project need
requirement as described at § 412.348(g)(2),
which, in the case of certain urban hospitals,
includes an excess capacity test as described
at § 412.348(g)(4); (2) an age of assets test as
described at § 412.348(g)(3); and (3) a project
size requirement as described at
§ 412.348(g)(5).
Based on information compiled from our
fiscal intermediaries, six hospitals have
qualified for special exceptions payments
under § 412.348(g). Because we have cost
reports ending in FY 2005 for all of these
hospitals, we calculated the adjustment
based on actual cost experience. Using data
from cost reports ending in FY 2005 from the
December 2007 update of the HCRIS data, we
divided the capital special exceptions
payment amounts for the six hospitals that
qualified for special exceptions by the total
capital PPS payment amounts (including
special exception payments) for all hospitals.
Based on the data from cost reports ending
in FY 2005, this ratio is rounded to 0.0002.
We also computed the ratios for FY 2004 and
FY 2003, which both round to 0.0003. Since
the ratios are trending downward, we are
proposing an adjustment of 0.0002. Because
special exceptions are budget neutral, we are
proposing to offset the proposed capital
Federal rate by 0.02 percent for special
exceptions payments for FY 2009. Therefore,
the proposed exceptions adjustment factor is
equal to 0.9998 (1¥0.0002) to account for
special exceptions payments in FY 2009.
In the FY 2008 IPPS final rule with
comment period (72 FR 47430), we estimated
that total (special) exceptions payments for
FY 2008 would equal 0.03 percent of
aggregate payments based on the capital
Federal rate. Therefore, we applied an
exceptions adjustment factor of 0.9997 (1 ¥
0.0003) to determine the FY 2008 capital
Federal rate. As we stated above, we estimate
that exceptions payments in FY 2009 would
equal 0.02 percent of aggregate payments
based on the proposed FY 2009 capital
Federal rate. Therefore, we are proposing to
apply an exceptions payment adjustment
factor of 0.9998 to the proposed capital
Federal rate for FY 2009. The proposed
exceptions adjustment factor for FY 2009 is
slightly lower than the factor used in
determining the FY 2008 capital Federal rate
in the FY 2008 IPPS final rule. The
exceptions reduction factors are not built
permanently into the capital rates; that is, the
factors are not applied cumulatively in
determining the capital Federal rate.
Therefore, the net change in the proposed
exceptions adjustment factor used in
determining the proposed FY 2009 capital
Federal rate is 1.0001 (0.9998/0.9997).
5. Proposed Capital Standard Federal Rate for
FY 2009
In the FY 2008 IPPS final rule with
comment period (72 FR 66888), we
established a capital Federal rate of $426.14
for all hospitals for FY 2008. We are
proposing to establish an update of 0.7
percent in determining the proposed FY 2009
capital Federal rate for all hospitals.
However, under the statutory authority at
section 1886(d)(3)(A)(vi) of the Act, and as
specified in section 7 of Pub. L. 110–90, we
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are proposing an additional 0.9 percent
reduction to the proposed standardized
amounts for both capital and operating
Federal payment rates in FY 2009. The
proposed 0.9 percent reduction is based on
our Actuary’s analysis of the effect of changes
in coding or classification of discharges that
do not reflect real changes in case-mix in
light of the adoption of the MS–DRGs.
Although the proposed 0.9 percent reduction
is outside the established process for
developing the proposed capital Federal
payment rate, it nevertheless is a factor in the
final prospective payment rate to hospitals
for capital-related costs. For that reason, the
proposed national capital Federal payment
rate proposed in this proposed rule was
determined by applying the proposed 0.9
percent reduction. (As discussed below in
section II.A.6. of this Addendum, we are not
proposing to apply the proposed 0.9 percent
reduction in developing the proposed FY
2009 Puerto Rico-specific capital rate.) As a
result of the proposed 0.70 percent update
and other proposed budget neutrality factors
discussed above, we are proposing to
establish a capital Federal rate of $421.29 for
FY 2009. The proposed capital Federal rate
for FY 2009 was calculated as follows:
• The proposed FY 2009 update factor is
1.0070, that is, the update is 0.70 percent.
• The proposed FY 2009 budget neutrality
adjustment factor that is applied to the
capital standard Federal payment rate for
changes in the DRG relative weights and in
the GAFs is 1.0007.
• The proposed FY 2009 outlier
adjustment factor is 0.9427.
• The proposed FY 2009 (special)
exceptions payment adjustment factor is
0.9998.
• The proposed FY 2009 reduction for
improvements in documentation and coding
under the MS–DRGs is 0.9 percent.
Because the proposed capital Federal rate
has already been adjusted for differences in
case-mix, wages, cost-of-living, indirect
medical education costs, and payments to
hospitals serving a disproportionate share of
low-income patients, we are not proposing to
make additional adjustments in the proposed
capital standard Federal rate for these factors,
other than the budget neutrality factor for
changes in the DRG relative weights and the
GAFs.
We are providing the following chart that
shows how each of the proposed factors and
adjustments for FY 2009 affected the
computation of the proposed FY 2009 capital
Federal rate in comparison to the FY 2008
capital Federal rate. The proposed FY 2009
update factor has the effect of increasing the
proposed capital Federal rate by 0.70 percent
compared to the FY 2008 capital Federal rate.
The proposed GAF/DRG budget neutrality
factor has the effect of increasing the
proposed capital Federal rate by 0.07 percent.
The proposed FY 2009 outlier adjustment
factor has the effect of decreasing the
proposed capital Federal rate by 1.01 percent
compared to the FY 2008 capital Federal rate.
The proposed FY 2009 exceptions payment
adjustment factor has the effect of increasing
the proposed capital Federal rate by 0.01
percent. The proposed adjustment for
improvements in documentation and coding
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under the MS–DRGs has the effect of
decreasing the proposed FY 2009 capital
Federal rate by 0.9 percent as compared to
the FY 2008 capital Federal rate. The
combined effect of all the proposed changes
decreases the proposed capital Federal rate
23721
by 1.14 percent compared to the FY 2008
capital Federal rate.
COMPARISON OF FACTORS AND ADJUSTMENTS: FY 2008 CAPITAL FEDERAL RATE AND PROPOSED FY 2009 CAPITAL
FEDERAL RATE
FY 2008
Update Factor 1 ................................................................................................
GAF/DRG Adjustment Factor 1 ........................................................................
Outlier Adjustment Factor 2 ..............................................................................
Exceptions Adjustment Factor 2 .......................................................................
MS–DRG Coding and Documentation Improvements Adjustment Factor 3 ....
Capital Federal Rate ........................................................................................
1.0090
0.9996
0.9523
0.9997
0.9940
$426.14
Proposed FY
2009 4
1.0070
1.0007
0.9427
0.9998
0.9910
$421.29
Change
1.0070
1.0007
0.9899
1.0001
0.9910
0.9886
Percent
change 5
0.70
0.07
¥1.01
0.01
¥0.90
¥1.14
1 The update factor and the GAF/DRG budget neutrality factors are built permanently into the capital rates. Thus, for example, the incremental
change from FY 2008 to FY 2009 resulting from the application of the proposed 1.0007 GAF/DRG budget neutrality factor for FY 2009 is 1.0007.
2 The outlier reduction factor and the exceptions adjustment factor are not built permanently into the capital rates; that is, these factors are not
applied cumulatively in determining the capital rates. Thus, for example, the net change resulting from the application of the proposed FY 2009
outlier adjustment factor is 0.9427/0.9523, or 0.9899.
3 Proposed adjustment to FY 2009 IPPS rates to account for documentation and coding improvements expected to result from the adoption of
the MS–DRGs, as discussed above in section III.D. of the Addendum to this proposed rule.
4 Proposed factors for FY 2009, as discussed above in section III. of this Addendum.
5 Percent change of individual factors may not sum due to rounding.
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6. Proposed Special Capital Rate for Puerto
Rico Hospitals
Section 412.374 provides for the use of a
blended payment system for payments to
hospitals located in Puerto Rico under the
PPS for acute care hospital inpatient capitalrelated costs. Accordingly, under the capital
PPS, we compute a separate payment rate
specific to hospitals located in Puerto Rico
using the same methodology used to compute
the national Federal rate for capital-related
costs. Under the broad authority of section
1886(g) of the Act, as discussed in section V.
of the preamble of this proposed rule,
beginning with discharges occurring on or
after October 1, 2004, capital payments to
hospitals located in Puerto Rico are based on
a blend of 25 percent of the Puerto Rico
capital rate and 75 percent of the capital
Federal rate. The Puerto Rico capital rate is
derived from the costs of Puerto Rico
hospitals only, while the capital Federal rate
is derived from the costs of all acute care
hospitals participating in the IPPS (including
Puerto Rico).
To adjust hospitals’ capital payments for
geographic variations in capital costs, we
apply a GAF to both portions of the blended
capital rate. The GAF is calculated using the
operating IPPS wage index, and varies
depending on the labor market area or rural
area in which the hospital is located. We use
the Puerto Rico wage index to determine the
GAF for the Puerto Rico part of the capitalblended rate and the national wage index to
determine the GAF for the national part of
the blended capital rate.
Because we implemented a separate GAF
for Puerto Rico in FY 1998, we also apply
separate budget neutrality adjustments for
the national GAF and for the Puerto Rico
GAF. However, we apply the same budget
neutrality factor for DRG reclassifications and
recalibration nationally and for Puerto Rico.
As we stated above in section III.A.4. of this
Addendum, for Puerto Rico, the proposed
GAF budget neutrality factor is 1.0009, while
the DRG adjustment is 0.9994, for a
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combined proposed cumulative adjustment
of 1.0004.
In computing the payment for a particular
Puerto Rico hospital, the Puerto Rico portion
of the capital rate (25 percent) is multiplied
by the Puerto Rico-specific GAF for the labor
market area in which the hospital is located,
and the national portion of the capital rate
(75 percent) is multiplied by the national
GAF for the labor market area in which the
hospital is located (which is computed from
national data for all hospitals in the United
States and Puerto Rico). In FY 1998, we
implemented a 17.78 percent reduction to the
Puerto Rico capital rate as a result of Pub. L.
105–33. In FY 2003, a small part of that
reduction was restored.
For FY 2008, before application of the
GAF, the special capital rate for hospitals
located in Puerto Rico was $201.67 for
discharges occurring on or after October 1,
2007, through September 30, 2008 (72 FR
66888). However, as discussed in greater
detail in section II.D. of the preamble of this
proposed rule, we are revising this rate in a
forthcoming correction notice that will be
retroactive to October 1, 2007, to remove the
application of the 0.6 percent documentation
and coding adjustment for FY 2008,
consistent with the correction to the Puerto
Rico specific standardized amount for FY
2008. The statute gives broad authority to the
Secretary under section 1886(g) of the Act,
with respect to the development of and
adjustments to a capital PPS. Although we
would not be outside the authority of section
1886(g) of the Act in applying the
documentation and coding adjustment to the
Puerto Rico-specific portion of the capital
payment rate, we have historically made
changes to the capital PPS consistent with
those changes made to the IPPS. Thus, we are
removing the documentation and coding
adjustment from the FY 2008 Puerto Ricospecific portion of the blended capital
payment rate, consistent with its removal
from the Puerto Rico-specific standardized
amount under the IPPS for operating costs.
Furthermore, we are not proposing to apply
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the 0.9 percent documentation and coding
adjustment to the proposed FY 2009 Puerto
Rico-specific portion of the blended capital
payment. However, as also discussed in
section II.D. of the preamble of this proposed
rule, we may propose to apply such an
adjustment to the Puerto Rico operating and
capital rates in the future. With the changes
we are proposing to make to the other factors
used to determine the capital rate, the
proposed FY 2009 special capital rate for
hospitals in Puerto Rico is $197.19.
B. Calculation of the Proposed Inpatient
Capital-Related Prospective Payments for FY
2009
Because the 10-year capital PPS transition
period ended in FY 2001, all hospitals
(except ‘‘new’’ hospitals under § 412.324(b)
and under § 412.304(c)(2)) are paid based on
100 percent of the capital Federal rate in FY
2007. The applicable capital Federal rate was
determined by making the following
adjustments:
• For outliers, by dividing the capital
standard Federal rate by the outlier reduction
factor for that fiscal year; and
• For the payment adjustments applicable
to the hospital, by multiplying the hospital’s
GAF, disproportionate share adjustment
factor, and IME adjustment factor, when
appropriate.
For purposes of calculating payments for
each discharge during FY 2009, the capital
standard Federal rate would be adjusted as
follows: (Standard Federal Rate) × (DRG
weight) × (GAF) × (COLA for hospitals
located in Alaska and Hawaii) × (1 +
Disproportionate Share Adjustment Factor +
IME Adjustment Factor, if applicable). The
result is the adjusted capital Federal rate. (As
discussed above and in section V. of the
preamble of this proposed rule, we
eliminated the large urban add-on adjustment
in existing regulations at § 412.316,
beginning in FY 2008.)
Hospitals also may receive outlier
payments for those cases that qualify under
the thresholds established for each fiscal
year. Section 412.312(c) provides for a single
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set of thresholds to identify outlier cases for
both inpatient operating and inpatient
capital-related payments. The proposed
outlier thresholds for FY 2009 are in section
II.A. of this Addendum. For FY 2009, a case
qualifies as a cost outlier if the cost for the
case plus the IME and DSH payments is
greater than the prospective payment rate for
the DRG plus the proposed fixed-loss amount
of $21,025.
An eligible hospital may also qualify for a
special exceptions payment under
§ 412.348(g) up through the 10th year beyond
the end of the capital transition period if it
meets the following criteria: (1) A project
need requirement described at
§ 412.348(g)(2), which in the case of certain
urban hospitals includes an excess capacity
test as described at § 412.348(g)(4); and (2) a
project size requirement as described at
§ 412.348(g)(5). Eligible hospitals include
SCHs, urban hospitals with at least 100 beds
that have a DSH patient percentage of at least
20.2 percent or qualify for DSH payments
under § 412.106(c)(2), and hospitals that have
a combined Medicare and Medicaid inpatient
utilization of at least 70 percent. Under
§ 412.348(g)(8), the amount of a special
exceptions payment is determined by
comparing the cumulative payments made to
the hospital under the capital PPS to the
cumulative minimum payment level. This
amount is offset by: (1) Any amount by
which a hospital’s cumulative capital
payments exceed its cumulative minimum
payment levels applicable under the regular
exceptions process for cost reporting periods
beginning during which the hospital has
been subject to the capital PPS; and (2) any
amount by which a hospital’s current year
operating and capital payments (excluding 75
percent of operating DSH payments) exceed
its operating and capital costs. Under
§ 412.348(g)(6), the minimum payment level
is 70 percent for all eligible hospitals.
During the transition period, new hospitals
(as defined under § 412.300) were exempt
from the capital IPPS for their first 2 years
of operation and were paid 85 percent of
their reasonable costs during that period.
Effective with the third year of operation
through the remainder of the transition
period, under § 412.324(b), we paid the
hospitals under the appropriate transition
methodology (if the hold-harmless
methodology were applicable, the holdharmless payment for assets in use during the
base period would extend for 8 years, even
if the hold-harmless payments extend beyond
the normal transition period).
Under § 412.304(c)(2), for cost reporting
periods beginning on or after October 1,
2002, we pay a new hospital 85 percent of
its reasonable costs during the first 2 years
of operation unless it elects to receive
payment based on 100 percent of the capital
Federal rate. Effective with the third year of
operation, we pay the hospital based on 100
percent of the capital Federal rate (that is, the
same methodology used to pay all other
hospitals subject to the capital PPS).
C. Capital Input Price Index
1. Background
Like the operating input price index, the
capital input price index (CIPI) is a fixed-
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weight price index that measures the price
changes associated with capital costs during
a given year. The CIPI differs from the
operating input price index in one important
aspect—the CIPI reflects the vintage nature of
capital, which is the acquisition and use of
capital over time. Capital expenses in any
given year are determined by the stock of
capital in that year (that is, capital that
remains on hand from all current and prior
capital acquisitions). An index measuring
capital price changes needs to reflect this
vintage nature of capital. Therefore, the CIPI
was developed to capture the vintage nature
of capital by using a weighted-average of past
capital purchase prices up to and including
the current year.
We periodically update the base year for
the operating and capital input prices to
reflect the changing composition of inputs for
operating and capital expenses. The CIPI was
last rebased to FY 2002 in the FY 2006 IPPS
final rule (70 FR 47387).
2. Forecast of the CIPI for FY 2009
Based on the latest forecast by Global
Insight, Inc. (first quarter of 2008), we are
forecasting the CIPI to increase 1.2 percent in
FY 2009. This reflects a projected 1.9 percent
increase in vintage-weighted depreciation
prices (building and fixed equipment, and
movable equipment), and a 2.9 percent
increase in other capital expense prices in FY
2009, partially offset by 2.8 percent decline
in vintage-weighted interest expenses in FY
2009. The weighted average of these three
factors produces the 1.2 percent increase for
the CIPI as a whole in FY 2009.
IV. Proposed Changes to Payment Rates for
Excluded Hospitals and Hospital Units:
Rate-of-Increase Percentages
Historically, hospitals and hospital units
excluded from the prospective payment
system received payment for inpatient
hospital services they furnished on the basis
of reasonable costs, subject to a rate-ofincrease ceiling. An annual per discharge
limit (the target amount as defined in
§ 413.40(a)) was set for each hospital or
hospital unit based on the hospital’s own
cost experience in its base year. The target
amount was multiplied by the Medicare
discharges and applied as an aggregate upper
limit (the ceiling as defined in § 413.40(a)) on
total inpatient operating costs for a hospital’s
cost reporting period. Prior to October 1,
1997, these payment provisions applied
consistently to all categories of excluded
providers (rehabilitation hospitals and units
(now referred to as IRFs), psychiatric
hospitals and units (now referred to as IPFs),
LTCHs, children’s hospitals, and cancer
hospitals).
Payment for services furnished in
children’s hospitals and cancer hospitals that
are excluded from the IPPS continues to be
subject to the rate-of-increase ceiling based
on the hospital’s own historical cost
experience. (We note that, in accordance
with § 403.752(a), RNHCIs are also subject to
the rate-of-increase limits established under
§ 413.40 of the regulations.)
We are proposing that the FY 2009 rate-ofincrease percentage for cancer and children’s
hospitals and RNHCIs is the percentage
increase in the FY 2009 IPPS operating
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market basket, estimated to be 3.0 percent.
Consistent with our historical approach, if
more recent data are available for the final
rule, we will use those data to calculate the
IPPS operating market basket. For this
proposed rule, we are proposing to calculate
the IPPS operating market basket for FY 2009
using the most recent data available. For
cancer and children’s hospitals and RNHCIs,
the proposed FY 2009 rate-of-increase
percentage that is applied to FY 2008 target
amounts in order to calculate the proposed
FY 2009 target amounts is based on Global
Insight, Inc.’s 2008 forecast of the IPPS
operating market basket increase, in
accordance with the applicable regulations at
42 CFR 413.40.
IRFs, IPFs, and LTCHs were previously
paid under the reasonable cost methodology.
However, the statute was amended to provide
for the implementation of prospective
payment systems for IRFs, IPFs, and LTCHs.
In general, the prospective payment systems
for IRFs, IPFs, and LTCHs provide
transitioning periods of varying lengths of
time during which a portion of the
prospective payment is based on cost-based
reimbursement rules under 42 CFR Part 413
(certain providers do not receive a
transitioning period or may elect to bypass
the transition as applicable under 42 CFR
part 412, subparts N, O, and P.) We note that
the various transitioning periods provided for
under the IRF PPS, the IPF PPS, and the
LTCH PPS have ended. For cost reporting
periods beginning on or after October 1,
2002, all IRFs are paid 100 percent of the
adjusted Federal rate under the IRF PPS.
Therefore, for cost reporting periods
beginning on or after October 1, 2002, no
portion of an IRF PPS payment is subject to
42 CFR part 413. Similarly, for cost reporting
periods beginning on or after October 1,
2006, all LTCHs are paid 100 percent of the
adjusted Federal prospective payment rate
under the LTCH PPS. Therefore, for cost
reporting periods beginning on or after
October 1, 2006, no portion of the LTCH PPS
payment is subject to 42 CFR part 413.
Likewise, for cost reporting periods
beginning on or after January 1, 2008, all IPFs
are paid 100 percent of the Federal per diem
amount under the IPF PPS. Therefore, for
cost reporting periods beginning on or after
January 1, 2008, no portion of an IPF PPS
payment is subject to 42 CFR part 413.
V. Tables
This section contains the tables referred to
throughout the preamble to this proposed
rule and in this Addendum. Tables 1A, 1B,
1C, 1D, 2, 3A, 3B, 4A, 4B, 4C, 4D, 4D–1, 4D–
2, 4E, 4F, 4G, 4H, 4J, 5, 6A, 6B, 6C, 6D, 6E,
6F, 7A, 7B, 8A, 8B, 8C, 9A, 9C, 10, and 11
are presented below. The following tables
discussed in section II. of the preamble of
this proposed rule are available only through
the Internet on the CMS Web site at: https://
www.cms.hhs.gov/AcuteInpatientPPS/: Table
6G.—Additions to the CC Exclusions List;
Table 6H.—Deletions from the CC Exclusions
List; Table 6I.—Complete List of
Complication and Comorbidity (CC)
Exclusions; Table 6J.—Major Complication
and Comorbidity (MCC) List; and Table 6K.—
Complication and Comorbidity (CC).
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The tables presented in this section of the
Addendum are as follows:
Table 1A.—National Adjusted Operating
Standardized Amounts, Labor/Nonlabor
(69.7 Percent Labor Share/30.3 Percent
Nonlabor Share If Wage Index Is Greater
Than 1)
Table 1B.—National Adjusted Operating
Standardized Amounts, Labor/Nonlabor
(62 Percent Labor Share/38 Percent
Nonlabor Share If Wage Index Is Less Than
or Equal To 1)
Table 1C.—Adjusted Operating Standardized
Amounts for Puerto Rico, Labor/Nonlabor
Table 1D.—Capital Standard Federal
Payment Rate
Table 2.—Hospital Case-Mix Indexes for
Discharges Occurring in Federal Fiscal
Year 2007; Hospital Wage Indexes for
Federal Fiscal Year 2009; Hospital Average
Hourly Wages for Federal Fiscal Years
2007 (2003 Wage Data), 2008 (2004 Wage
Data), and 2009 (2005 Wage Data); and 3Year Average of Hospital Average Hourly
Wages
Table 3A.—FY 2009 and 3-Year Average
Hourly Wage for Urban Areas by CBSA
Table 3B.—FY 2009 and 3-Year Average
Hourly Wage for Rural Areas by CBSA
Table 4A.—Wage Index and Capital
Geographic Adjustment Factor (GAF) for
Urban Areas by CBSA and by State—FY
2009
Table 4B.—Wage Index and Capital
Geographic Adjustment Factor (GAF) for
Rural Areas by CBSA and by State—FY
2009
Table 4C.—Wage Index and Capital
Geographic Adjustment Factor (GAF) for
Hospitals That Are Reclassified by CBSA
and by State—FY 2009
Table 4D–1.—Rural Floor Budget Neutrality
Factors—FY 2009
Table 4D–2.—Urban Areas with Hospitals
Receiving the Statewide Rural Floor or
Imputed Floor Wage Index—FY 2009
Table 4E.—Urban CBSAs and Constituent
Counties—FY 2009
Table 4F.—Puerto Rico Wage Index and
Capital Geographic Adjustment Factor
(GAF) by CBSA—FY 2009
Table 4J.—Out-Migration Adjustment—FY
2009
Table 5.—List of Medicare Severity
Diagnosis-Related Groups (MS–DRGs),
Relative Weighting Factors, and Geometric
and Arithmetic Mean Length of Stay
Table 6A.—New Diagnosis Codes
Table 6B.—New Procedure Codes
Table 6C.—Invalid Diagnosis Codes
Table 6D.—Invalid Procedure Codes
Table 6E.—Revised Diagnosis Code Titles
Table 6F.—Revised Procedure Code Titles
Table 7A.—Medicare Prospective Payment
System Selected Percentile Lengths of Stay:
FY 2007 MedPAR Update—December 2007
GROUPER V25.0 MS–DRGs
Table 7B.—Medicare Prospective Payment
System Selected Percentile Lengths of Stay:
FY 2007 MedPAR Update—December 2007
GROUPER V26.0 MS–DRGs
Table 8A.—Proposed Statewide Average
Operating Cost-to-Charge Ratios— March
2008
Table 8B.—Proposed Statewide Average
Capital Cost-to-Charge Ratios—March 2008
Table 8C.—Proposed Statewide Average
Total Cost-to-Charge Ratios for LTCHs—
March 2008
Table 9A.—Hospital Reclassifications and
Redesignations—FY 2009
Table 9C.—Hospitals Redesignated as Rural
under Section 1886(d)(8)(E) of the Act—FY
2009
Table 10.—Geometric Mean Plus the Lesser
of .75 of the National Adjusted Operating
Standardized Payment Amount (Increased
to Reflect the Difference Between Costs and
Charges) or .75 of One Standard Deviation
of Mean Charges by Medicare Severity
Diagnosis-Related Group (MS–DRG)—
March 2008
Table 11.—Proposed FY 2009 MS–LTC–
DRGs, Proposed Relative Weights,
Proposed Geometric Average Length of
Stay, and Proposed Short-Stay Outlier
Threshold
TABLE 1A.—NATIONAL ADJUSTED OPERATING STANDARDIZED AMOUNTS, LABOR/NONLABOR
[69.7 Percent Labor Share/30.3 Percent Nonlabor Share if Wage Index Greater Than 1]
Full update (3.0 percent)
Reduced update (1.0 percent)
Labor-related
Nonlabor-related
Labor-related
Nonlabor-related
$3,553.98
$1,544.98
$3,484.97
$1,514.98
TABLE 1B.—NATIONAL ADJUSTED OPERATING STANDARDIZED AMOUNTS, LABOR/NONLABOR
[62 Percent Labor Share/38 Percent Nonlabor Share if Wage Index Less Than or Equal to 1]
Full update (3.0 percent)
Reduced update (1.0 percent)
Labor-related
Nonlabor-related
Labor-related
Nonlabor-related
$3,161.36
$1,937.60
$3,099.97
$1,899.98
TABLE 1C.—ADJUSTED OPERATING STANDARDIZED AMOUNTS FOR PUERTO RICO, LABOR/NONLABOR
Rates if wage index
greater than 1
Labor
National ............................................................................................................................
Puerto Rico ......................................................................................................................
TABLE 1D.—CAPITAL STANDARD
FEDERAL PAYMENT RATE
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19:42 Apr 29, 2008
Rate
$421.29
Jkt 214001
$1,544.98
920.46
TABLE 1D.—CAPITAL STANDARD
FEDERAL PAYMENT RATE—Continued
Rate
National .......................................
$3,553.98
1,501.82
Nonlabor
Puerto Rico .................................
PO 00000
Frm 00197
Fmt 4701
Sfmt 4702
197.19
E:\FR\FM\30APP2.SGM
30APP2
Rates if wage index less
than or equal to 1
Labor
$3,161.36
1,421.88
Nonlabor
$1,937.60
1,000.40
23724
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
010001
010005
010006
010007
010008
010009
010010
010011
010012
010015
010016
010018
010019
010021
010022
010023
010024
010025
010027
010029
010032
010033
010034
010035
010036
010038
010039
010040
010043
010044
010045
010046
010047
010049
010050
010051
010052
010054
010055
010056
010058
010059
010061
010062
010064
010065
010066
010068
010069
010072
010073
010078
010079
010083
010084
010085
010086
010087
010089
010090
010091
010092
010095
010097
010099
010100
010101
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
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.....................................................
.....................................................
.....................................................
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.....................................................
.....................................................
.....................................................
.....................................................
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VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
1.5513
1.1192
1.4819
1.0611
1.0242
0.9973
1.0945
1.6762
1.1633
1.0453
1.5794
1.4886
1.2556
1.2285
0.9940
1.7665
1.5997
1.2929
0.7391
1.5947
0.8805
2.1342
1.0166
1.2478
1.1526
1.3336
1.6454
1.6515
1.0854
1.0626
1.1529
1.5241
0.8836
1.1411
1.0831
0.8989
0.8813
1.1310
1.5957
1.5856
1.0206
1.0080
0.9842
1.0319
1.7124
1.5119
0.8885
***
0.9721
***
0.9451
1.6130
1.2409
1.1817
***
1.3040
1.0270
2.2105
1.2944
1.7257
0.9075
1.4953
0.8389
0.7528
0.9928
1.7251
1.1737
PO 00000
Frm 00198
Average
hourly wage
FY 2007
0.8397
0.8636
0.7883
0.7647
0.7821
0.8636
0.8786
0.8786
0.9524
0.7693
0.8786
0.8786
0.7883
0.7677
0.9760
0.8192
0.8192
0.8495
0.7662
0.8495
0.7972
0.8786
0.8192
0.8786
0.7647
0.8054
0.8987
0.8052
0.8786
0.7647
0.7869
0.8052
0.7774
0.7662
0.8786
0.8695
0.8192
0.8636
0.8322
0.8786
0.8786
0.8636
0.8740
0.7718
0.8786
0.8786
0.7647
*
0.7647
*
0.7647
0.8054
0.8987
0.8115
*
0.8636
0.7647
0.7809
0.8786
0.8030
0.7693
0.8695
0.8695
0.8192
0.7647
0.8115
0.8786
Fmt 4701
Sfmt 4702
22.1989
23.6022
23.4975
19.9329
17.9533
23.5626
27.0385
27.6658
24.4059
22.3383
24.6488
23.7048
22.8766
19.7367
25.8404
25.4272
22.0819
22.7635
16.4682
23.9007
19.3311
27.4181
17.7457
24.2425
21.5796
23.7039
26.9919
24.3207
21.9774
22.5009
20.4927
23.4219
26.4851
21.7888
22.9620
18.7701
25.9233
23.3624
22.5396
23.7398
19.5092
23.0012
24.1185
21.4805
24.8155
23.0477
19.8692
22.7156
23.1243
24.4989
18.3963
23.5279
22.7337
22.4279
26.3238
24.2609
22.2096
22.4318
25.0811
26.0494
23.1310
26.6796
16.5250
19.4511
20.8383
23.8919
24.2575
Average
hourly wage
FY 2008
23.2195
23.0203
23.7502
21.3492
22.0793
25.9011
22.8602
27.4668
25.5767
27.0806
26.8611
24.8974
23.3460
21.0624
27.4318
26.1739
25.0715
23.6186
17.0513
25.0468
18.5545
29.1471
19.1549
24.2746
24.2887
27.0752
28.6462
24.7657
23.9121
24.4276
23.1695
25.9105
19.7542
22.4248
24.4060
18.0305
36.3638
24.4810
22.4145
24.5754
17.0150
24.8199
25.2454
21.7112
27.6149
24.3346
25.4612
24.4145
23.6272
*
19.0046
24.3828
22.3034
24.0036
26.5079
23.6280
21.5584
24.8320
26.2628
26.3957
22.5272
26.9959
17.0024
19.2481
20.6736
25.1460
25.0974
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
24.7672
25.7755
25.0258
22.0185
23.2562
25.8405
24.8375
27.1978
26.4968
23.6811
28.9705
26.9498
25.0154
21.7592
28.7520
27.0693
26.6617
23.8602
18.2507
24.3605
20.8446
29.2005
21.2713
26.5285
23.7923
28.9624
29.8012
25.9851
25.3624
23.4009
23.5160
25.4444
21.7347
23.1186
25.3663
20.0755
23.4990
25.4189
25.3295
25.7272
31.1856
27.8607
25.5878
22.9481
26.6313
24.5833
25.6055
*
27.3424
*
20.7832
25.2879
23.1015
25.0403
27.5054
24.0460
26.8993
26.2401
25.9704
25.6095
23.6554
28.5598
17.8242
18.4215
22.3677
25.4338
26.2731
Average
hourly wage**
(3 years)
23.3821
24.1406
24.0951
21.1334
20.8430
25.1048
24.7458
27.4380
25.4682
24.1695
26.8024
25.1709
23.7418
20.8458
27.3475
26.2901
24.5911
23.4229
17.2827
24.4407
19.6445
28.6046
19.3572
25.0065
23.2285
26.4786
28.4927
25.0414
23.7097
23.4233
22.3334
24.8777
22.0981
22.4564
24.2272
18.9088
28.7904
24.4485
23.4244
24.7305
21.2663
25.3457
24.9798
22.0341
26.3101
24.0058
23.6384
23.5620
24.6217
24.4989
19.3949
24.4148
22.7293
23.8754
26.7172
23.9691
23.3292
24.3812
25.7574
26.0158
23.1156
27.4270
17.1161
18.9973
21.2837
24.8850
25.2372
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23725
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
010102
010103
010104
010108
010109
010110
010112
010113
010114
010118
010120
010125
010126
010128
010129
010130
010131
010137
010138
010139
010143
010144
010145
010146
010148
010149
010150
010152
010157
010158
010162
010163
010164
010165
010166
010167
010168
020001
020004
020006
020008
020012
020014
020017
020018
020019
020024
020026
020027
030001
030002
030006
030007
030009
030010
030011
030012
030013
030014
030016
030017
030018
030019
030022
030023
030024
030030
.....................................................
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.....................................................
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VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
0.9506
1.8628
1.8548
1.0595
0.9572
0.7382
0.9794
1.6320
1.4032
1.2125
1.0320
1.0385
1.1498
0.9062
1.0676
1.0051
1.3760
1.2318
0.6210
1.5846
1.2041
1.7285
1.4494
1.1251
0.8893
1.2271
0.9968
1.2632
1.1630
1.2536
***
***
1.2261
***
***
1.6912
1.3124
1.7281
***
1.2847
1.2046
1.3619
1.0617
2.0201
0.9475
0.9038
1.1768
1.5400
0.9585
1.5351
2.1087
1.7187
1.4597
***
1.4417
1.5335
1.4301
1.5318
1.5815
1.2770
2.0581
1.3639
1.3016
1.8063
1.8138
2.1440
1.6952
PO 00000
Frm 00199
Average
hourly wage
FY 2007
0.8192
0.8786
0.8786
0.8192
0.8098
0.7862
0.7647
0.7809
0.8786
0.8192
0.7647
0.8123
0.8192
0.7693
0.7781
0.8786
0.8987
0.8786
0.7713
0.8786
0.8636
0.7809
0.8695
0.8054
0.7647
0.8192
0.8192
0.7809
0.7883
0.7883
*
*
0.8786
*
*
0.8786
0.9061
1.1884
*
1.1884
1.1884
1.1884
1.1884
1.1884
1.9292
*
1.1884
1.9292
1.9292
1.0271
1.0271
0.9442
1.1305
*
0.9442
0.9442
1.0198
0.9903
1.0271
1.0271
1.0271
1.0271
1.0271
1.0271
1.1652
1.0271
1.0271
Fmt 4701
Sfmt 4702
25.6158
27.8272
27.6471
24.6740
17.6733
26.0038
17.1833
22.3282
25.6152
21.4630
20.9019
21.5123
23.9327
23.6647
22.1574
23.7528
26.4297
27.5782
16.7602
26.8726
26.2762
22.5133
24.5092
22.6586
23.9246
24.4805
23.6080
22.4075
23.3828
23.5533
33.8777
*
*
*
*
*
*
35.4232
31.8004
34.3752
36.1250
32.5975
29.4472
35.4119
*
*
29.5195
*
*
32.4791
30.2200
27.0599
31.1928
26.5408
28.5684
28.1423
27.3895
27.0111
29.6582
29.1980
30.6007
29.4566
29.5921
30.5710
34.2142
31.9247
32.0994
Average
hourly wage
FY 2008
26.9859
28.9636
28.3126
25.4325
21.0449
19.8738
20.4027
24.7170
25.7090
22.7191
22.1868
22.8911
24.4957
24.9881
21.8502
24.5644
27.2707
28.5843
14.5551
28.1473
24.0674
22.3916
25.8293
22.6879
23.5714
25.4354
24.4098
23.7803
24.2206
25.5905
*
34.0325
23.2447
28.8040
29.7256
*
*
36.5298
*
37.0211
39.3432
33.9375
30.9722
35.8804
*
*
38.6934
*
*
33.4178
31.0818
27.7421
33.7213
*
30.6261
28.8203
29.1042
31.2815
29.8296
30.7896
34.4852
31.8056
30.1934
30.3746
35.8287
33.1797
34.4166
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
26.6935
30.4015
30.4938
26.8882
21.9296
22.1164
21.3150
25.0689
25.3646
25.3678
22.8170
23.6542
25.7234
25.9417
24.4806
25.2775
28.0468
30.4347
15.0814
29.3543
25.0859
23.8581
27.3277
23.7803
25.0949
26.8895
25.0060
26.0777
27.1156
26.2350
*
*
25.6659
*
*
*
*
38.1754
*
37.2838
40.6758
36.1891
30.6325
38.2137
*
*
39.9916
*
*
35.9045
32.9061
29.1218
35.5193
*
31.8606
30.2062
31.3041
31.9135
30.6276
31.1854
34.8458
31.7220
33.6528
35.0728
37.5481
35.6078
36.4747
Average
hourly wage**
(3 years)
26.4289
29.0796
28.7438
25.7625
20.0804
22.5113
19.6839
24.0138
25.5596
23.1085
21.9915
22.7013
24.7205
24.9328
22.8945
24.5383
27.2971
28.8905
15.4264
28.1531
25.0921
22.9469
25.8981
23.0525
24.1955
25.7355
24.3378
24.1152
24.7415
25.0899
33.8777
34.0325
24.4751
28.8040
29.7256
*
*
36.7192
31.8004
36.2129
38.7262
34.2975
30.3727
36.5154
*
*
35.5845
*
*
33.8225
31.4265
28.0025
33.5056
26.5408
30.4135
29.0981
29.3702
30.1305
30.0779
30.4653
33.3763
31.0137
31.0565
31.9469
35.8798
33.6344
34.2670
23726
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
030033
030036
030037
030038
030040
030043
030055
030060
030061
030062
030064
030065
030067
030068
030069
030071
030073
030074
030077
030078
030080
030083
030084
030085
030087
030088
030089
030092
030093
030094
030099
030100
030101
030102
030103
030105
030106
030107
030108
030109
030110
030111
030112
030113
030114
030115
030117
030118
030119
030120
030121
040001
040002
040004
040007
040010
040011
040014
040015
040016
040017
040018
040019
040020
040021
040022
040026
.....................................................
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.....................................................
.....................................................
.....................................................
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.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
1.3116
1.5415
1.9894
1.6433
***
1.2301
1.4731
1.1614
1.6370
1.2360
2.0334
1.6347
1.0057
1.1245
1.4761
1.0045
1.1300
0.9181
0.8053
1.1355
***
1.3493
1.0175
1.6306
1.7040
1.3727
1.5952
1.5055
1.3209
1.5460
0.9137
2.0982
1.4909
2.4535
1.7698
2.3493
1.5634
1.9107
2.0613
***
1.6838
1.0463
2.0028
0.9099
1.4838
1.4714
1.2494
1.1423
1.2774
0.8689
1.0784
1.0747
1.1735
1.6814
1.7434
1.4746
1.0296
1.3517
1.1207
1.7125
1.1221
1.1123
1.0410
1.6290
1.5502
1.4648
1.5430
PO 00000
Frm 00200
Average
hourly wage
FY 2007
1.1305
1.0271
1.0271
1.0271
*
0.8857
1.0011
*
1.0271
0.8857
0.9442
1.0271
0.9155
0.8857
1.1254
1.4448
1.4448
1.4448
1.4448
1.4448
*
1.0271
1.4448
0.9442
1.0271
1.0271
1.0271
1.0271
1.0271
1.0271
0.8857
0.9442
1.1388
1.0271
1.0271
1.0271
1.0271
1.0271
1.0271
*
1.0271
0.9442
1.0271
1.4448
0.9442
1.0271
0.9817
1.0198
1.0271
1.0271
1.0271
0.9131
0.7641
0.9131
0.8754
0.9131
0.7641
0.8650
0.7641
0.8754
0.8952
0.7843
0.8909
0.8909
0.8754
0.9131
0.9146
Fmt 4701
Sfmt 4702
28.7508
30.9834
31.2877
29.9314
27.5322
26.5834
27.1473
24.8373
28.0696
26.6880
28.3853
29.5883
20.7591
23.1394
30.2224
*
*
*
*
*
27.1360
27.4983
*
26.8364
29.5962
27.8604
28.9068
31.7512
26.4430
31.5422
27.1402
31.5628
27.8302
31.6285
31.7322
31.2970
32.9840
35.6197
*
16.5906
31.4852
*
*
*
*
*
*
*
*
*
*
22.9327
21.2020
27.1741
40.1291
24.2315
21.0967
26.4777
20.4279
25.8056
21.9147
24.0026
23.8706
22.6497
25.4046
29.5000
27.7931
Average
hourly wage
FY 2008
29.9383
33.0523
34.1079
31.7238
*
27.3856
27.1621
*
28.1337
28.9587
29.8226
31.0817
27.4497
23.8792
29.7802
*
*
*
*
*
28.6568
33.5302
*
28.1388
31.2331
29.9758
30.1591
30.6343
27.8821
33.4050
26.9227
34.7532
30.6764
33.6247
32.2833
32.7449
36.4667
35.5386
29.9395
*
29.7949
33.3711
36.6601
*
*
*
*
*
*
*
*
22.9948
25.0000
28.1117
29.1941
26.5287
22.2431
28.9855
20.1061
26.5911
23.8768
25.6751
24.9113
23.9470
26.1853
27.9902
29.5299
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
32.0342
36.2020
35.1314
31.2906
*
28.3147
30.9311
*
33.0826
29.9331
31.6603
31.4568
27.0766
26.0276
30.7696
*
*
*
*
*
30.7660
35.8488
*
29.0750
31.1070
30.5716
31.3148
30.4361
33.0699
34.2007
24.9115
35.0944
33.2110
36.9492
33.9387
33.9846
40.1625
35.4524
34.8483
*
36.2124
28.5133
33.4776
*
28.8439
32.5857
*
*
*
*
*
24.4950
24.0479
29.2695
27.4839
28.2363
22.6320
34.8259
22.3145
26.4787
24.3768
26.2511
26.4915
26.1519
27.6779
30.0234
31.8579
Average
hourly wage**
(3 years)
30.2702
33.6063
33.3937
31.0104
27.5322
27.4531
28.4812
24.8373
29.7496
28.5898
30.0071
30.7651
25.0396
24.3896
30.2553
*
*
*
*
*
28.9576
32.0946
*
28.0469
30.6895
29.5054
30.1497
30.8516
29.2816
33.1194
26.3285
33.8057
30.6802
34.0941
32.6963
32.7833
36.8304
35.5298
32.9293
16.5906
32.4772
30.2230
34.6249
*
28.8439
32.5857
*
*
*
*
*
23.4592
23.3250
28.2056
32.0643
26.3909
22.0004
29.4945
20.9794
26.3029
23.3605
25.2931
25.0680
24.2422
26.3611
29.1589
29.7126
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23727
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
040027
040029
040036
040039
040041
040042
040047
040050
040051
040054
040055
040062
040067
040069
040071
040072
040074
040076
040078
040080
040081
040084
040085
040088
040091
040100
040114
040118
040119
040126
040132
040134
040137
040138
040141
040142
040143
040144
040145
040146
040147
040148
050002
050006
050007
050008
050009
050013
050014
050015
050016
050017
050018
050022
050024
050025
050026
050028
050030
050036
050038
050039
050040
050042
050043
050045
050046
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
1.5239
1.4258
1.6268
1.2296
1.1562
1.2893
1.0408
1.1948
0.9470
***
1.5598
1.6247
1.1145
1.0608
1.5798
1.1274
1.2633
0.9952
1.6712
1.0467
0.8888
1.2389
1.0085
1.6650
1.1951
***
1.8332
1.5334
1.3884
***
***
2.3449
1.3582
1.5085
0.7864
1.5543
***
***
1.7933
***
1.7491
1.3585
1.4597
1.5912
1.4363
1.4460
1.6477
1.8267
1.2659
1.6268
1.3208
2.0225
1.2702
1.5850
1.1169
1.7936
1.5921
1.2946
1.2276
1.6000
1.6319
1.6727
1.3922
1.4804
1.6147
1.3307
1.1963
PO 00000
Frm 00201
Average
hourly wage
FY 2007
0.8477
0.8754
0.8754
0.8291
0.8650
0.9329
0.7758
0.7641
0.7641
*
0.7843
0.7843
0.7648
0.8909
0.8650
0.7641
0.8754
0.8650
0.8650
0.8291
0.7998
0.8754
0.8909
0.7789
0.8093
*
0.8754
0.8291
0.8650
*
*
0.8754
0.8754
0.9131
0.9131
0.9146
*
*
0.8291
*
0.8754
0.8754
1.5288
1.2730
1.5025
1.4905
1.3974
1.3974
1.2710
*
1.1925
1.2827
1.1916
1.1822
1.1822
1.1822
1.1822
1.1822
1.1822
1.1822
1.5766
1.1822
1.1916
1.2730
1.5288
1.1822
1.1822
Fmt 4701
Sfmt 4702
21.4252
24.8409
27.6234
21.2712
23.7787
21.1716
22.4249
17.6906
21.3342
18.0509
23.0448
23.8994
19.0471
24.8060
25.4680
22.4741
25.2699
23.5742
23.5915
24.1921
16.8437
27.7626
22.9916
22.4860
24.2398
21.3051
26.7581
26.0388
24.3680
15.6985
*
31.9325
25.9979
27.8584
26.1041
21.4222
37.1976
21.4008
*
*
*
*
35.5184
33.5751
43.4440
49.3167
43.0584
35.7591
36.0305
32.2188
24.5768
39.6653
23.3204
31.6467
29.4062
33.5466
31.5250
27.3826
27.2945
33.8000
44.2265
35.2630
35.8322
37.3760
45.4887
25.0150
26.1926
Average
hourly wage
FY 2008
23.8220
25.1479
29.7150
21.4819
26.4964
19.8709
23.0358
18.5119
22.0394
19.5353
24.9164
25.2303
18.9872
24.9996
25.2840
22.1058
26.2661
23.0954
26.1937
24.8760
17.2536
26.6449
25.7215
23.6276
23.1913
22.6131
27.7928
26.8908
24.2419
17.3715
22.0054
32.2832
27.7360
28.3342
30.3475
23.8620
*
*
24.4367
33.7876
*
*
41.7336
37.1639
45.8773
46.8706
46.2186
43.5623
37.4135
*
31.0653
42.2200
31.8310
33.0592
33.4334
32.7476
33.1277
28.5736
30.9014
36.0905
48.7483
36.6943
35.7054
40.3326
48.2283
27.0676
29.1125
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
25.7922
27.8865
30.4885
22.9798
26.4417
23.1648
23.3547
19.6944
22.1983
*
26.0132
25.6541
20.9688
23.3108
26.6629
22.9668
27.3878
24.7891
25.6870
26.5895
18.4756
28.1552
26.6972
24.7107
22.3295
24.5448
28.5682
26.5770
25.6769
*
21.8131
34.9636
27.7619
33.0048
33.8758
23.1293
*
*
20.3865
*
35.7643
*
43.1732
41.7694
46.3257
50.9532
49.7145
43.4884
39.4733
*
34.4877
44.3892
43.5594
36.6332
33.5179
36.4068
35.0276
28.1194
33.5634
37.8493
55.2150
34.9232
38.1639
40.4361
50.5011
28.5930
31.8120
Average
hourly wage**
(3 years)
23.6373
25.9688
29.2730
21.9027
25.5529
21.3821
22.9631
18.6284
21.8575
18.7591
24.6243
24.9287
19.6151
24.3661
25.8031
22.5262
26.2955
23.8273
25.0529
25.2945
17.5296
27.5095
25.1591
23.6212
23.2265
22.8466
27.7154
26.5251
24.7942
16.4167
21.8928
33.0707
27.1679
29.8698
29.9321
22.9022
37.1976
21.4008
22.2702
33.7876
35.7643
*
40.2432
37.1459
45.2428
49.0479
46.4654
40.8362
37.6850
32.2188
30.1759
42.1245
30.7984
33.8292
32.1616
34.2656
33.2678
28.0466
30.5981
35.9795
49.5117
35.5973
36.6252
39.4000
48.0790
26.9305
29.0132
23728
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
050047
050054
050055
050056
050057
050058
050060
050063
050065
050067
050069
050070
050071
050072
050073
050075
050076
050077
050078
050079
050082
050084
050089
050090
050091
050093
050095
050096
050099
050100
050101
050102
050103
050104
050107
050108
050110
050111
050112
050113
050114
050115
050116
050117
050118
050121
050122
050124
050125
050126
050127
050128
050129
050131
050132
050133
050135
050136
050137
050138
050139
050140
050144
050145
050146
050148
050149
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
1.7553
1.1791
1.3418
1.4226
1.6897
1.6320
1.5084
1.4482
***
1.2075
1.7361
1.3124
1.4512
1.4096
1.2488
1.3747
1.8168
1.5379
1.2512
1.5736
1.6600
1.5667
1.3670
1.2562
1.0354
1.5575
***
1.2641
1.5398
1.8205
1.3210
1.3903
1.5437
1.4136
1.5287
1.8628
1.2335
1.1657
1.5363
1.1706
***
1.4716
1.6387
***
1.2470
1.2657
1.6278
1.2976
1.4819
1.5255
1.2888
1.4865
1.8869
1.4641
1.4120
1.5874
1.0174
1.3870
1.5096
1.4788
1.3979
1.3188
***
1.5409
1.8140
1.0935
1.5423
PO 00000
Frm 00202
Average
hourly wage
FY 2007
1.4905
1.1822
1.4905
1.1916
1.1822
1.1916
1.1822
1.1916
*
1.1963
1.1822
1.5025
1.5766
1.5278
1.5278
1.5288
1.5278
1.1822
1.1916
1.5278
1.1822
1.1954
1.1822
1.4879
1.1916
1.1822
*
1.1916
1.1822
1.1822
1.5278
1.1822
1.1916
1.1916
1.1822
1.2827
1.1822
1.1916
1.1916
1.5025
*
1.1822
1.1916
*
1.1963
1.1822
1.1954
1.1916
1.5766
1.1916
1.2827
1.1822
1.1822
1.5278
1.1916
1.2710
1.1916
1.4879
1.1916
1.1916
1.1916
1.1822
*
1.4671
*
*
1.1916
Fmt 4701
Sfmt 4702
55.9367
21.3650
42.9516
30.6126
30.0236
33.1409
29.9762
34.0906
34.9110
38.8070
34.6353
47.4099
50.7602
49.4344
49.9730
54.4089
52.3788
34.8660
32.0133
47.3449
38.2878
35.5196
33.9593
33.8953
32.1301
36.9481
*
34.9237
33.4174
31.4404
42.4589
32.0617
34.0935
32.3043
32.5846
38.8672
26.8408
28.7875
37.7281
39.4882
34.0309
28.8051
36.8825
34.2020
39.9683
30.6105
33.9812
30.2522
44.9523
31.7619
32.0355
31.1308
34.7359
45.3152
35.9199
31.9527
25.1813
43.3747
39.1496
45.3727
37.8986
40.9725
33.6662
42.2921
*
28.2305
35.8821
Average
hourly wage
FY 2008
45.1675
24.0338
44.2926
32.7693
31.7467
37.2538
32.0196
36.3085
38.2421
40.1393
35.3850
46.4009
49.6495
50.0343
49.0069
49.8290
50.2039
36.5384
30.4274
48.8994
37.8905
39.5748
36.4018
37.7421
37.1223
36.8486
*
33.1322
32.0650
33.3959
47.9327
32.8434
35.6773
33.6204
33.5687
42.0131
28.0670
31.8766
38.9483
42.8884
35.7274
32.5257
37.6018
35.0531
41.6701
34.6244
34.0259
29.9944
47.7578
32.6686
40.7610
33.4233
36.9887
47.5257
39.6807
33.1814
25.3209
46.6619
40.2457
40.6343
38.7385
39.4954
38.2424
48.0796
*
*
37.3616
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
48.5921
27.1306
48.2759
34.7937
33.7545
39.1657
34.1151
36.6271
42.0052
41.8949
38.1313
49.3910
52.5202
51.9174
50.6478
51.5366
51.0338
37.4961
37.1909
48.2983
42.1694
41.0288
39.2412
41.5994
40.1032
37.7213
44.2364
33.3800
34.3480
34.2814
48.7447
33.2811
37.5528
37.1418
36.6966
43.0409
30.9036
31.9371
39.9904
46.3447
37.5895
33.8575
39.1213
*
41.8166
35.1123
36.8803
31.7666
53.6251
30.6587
42.5307
34.2327
40.7010
50.5592
39.5311
34.7446
25.4416
52.9752
45.3315
46.7946
44.3290
44.5658
40.4728
49.2634
*
*
43.3419
Average
hourly wage**
(3 years)
49.7760
24.3249
45.1972
32.7247
31.8592
36.5431
31.9978
35.6915
38.4607
40.2601
36.1111
47.8284
51.0422
50.5640
49.8748
51.6907
51.1894
36.4378
33.1204
48.1333
39.4148
38.7442
36.5180
37.7203
36.4125
37.1762
44.2364
33.8096
33.2470
33.0478
46.4291
32.8150
35.8192
34.4090
34.2821
41.3295
28.6069
30.8306
38.9358
42.8008
35.8060
31.7873
37.9136
34.3889
41.1955
33.4898
34.9559
30.6975
49.3187
31.6279
37.9357
32.9837
37.4287
48.0185
38.3266
33.5182
25.3286
47.9218
41.8810
44.1215
40.6568
41.7792
37.3677
46.7040
*
28.2305
39.0535
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23729
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
050150
050152
050153
050155
050158
050159
050167
050168
050169
050173
050174
050175
050177
050179
050180
050188
050189
050191
050192
050193
050194
050195
050196
050197
050204
050205
050207
050211
050214
050215
050219
050222
050224
050225
050226
050228
050230
050231
050232
050234
050235
050236
050238
050239
050240
050242
050243
050245
050248
050251
050253
050254
050256
050257
050261
050262
050264
050270
050272
050276
050277
050278
050279
050280
050281
050283
050289
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
1.2344
1.4480
1.4515
***
1.3682
1.2951
1.4830
1.5682
1.5146
1.3454
1.5492
***
***
1.1909
1.5822
1.5411
1.0400
1.5029
0.9799
1.2329
1.3496
1.5733
1.0787
1.9800
1.4038
1.3872
***
1.3077
***
***
1.3346
1.6635
1.6644
1.3992
1.5964
1.3082
1.5485
1.7120
1.7085
1.2780
1.4885
1.4514
1.5286
1.6781
***
1.3854
1.5755
1.3731
1.1239
***
***
1.2803
***
0.9389
1.2967
2.2067
1.3674
***
1.4019
1.1193
1.1820
1.5456
1.1978
1.7360
1.4053
1.6153
1.6158
PO 00000
Frm 00203
Average
hourly wage
FY 2007
1.2710
1.4905
1.5766
*
1.1916
1.1822
1.1954
1.1822
1.1916
1.1822
1.4879
*
*
1.1963
1.5278
1.5766
1.4671
1.1916
1.1822
1.1822
1.5758
1.5288
1.1822
1.5758
1.1916
1.1916
*
1.5288
*
*
1.1916
1.1822
1.1822
1.1822
1.1822
1.4905
1.1822
1.1916
1.1925
1.1822
1.1916
1.1822
1.1916
1.1916
*
1.5758
1.1822
1.1822
1.4671
*
*
1.2827
*
1.1822
1.1822
1.1916
1.5288
*
1.1822
1.5278
1.1916
1.1916
1.1822
1.2730
1.1916
1.5288
1.5025
Fmt 4701
Sfmt 4702
33.6583
46.1553
42.8955
16.9516
35.7805
32.5704
31.4798
37.9784
29.4693
29.0576
44.4199
33.3061
24.0717
30.4973
42.0358
41.0943
30.1155
37.7805
27.1400
33.9520
44.7107
48.8595
34.0956
50.0728
32.0121
29.3334
30.0062
35.0515
25.4647
48.8112
26.4143
32.3882
32.5010
34.0836
32.4411
43.7939
34.0600
32.1813
26.3004
32.3726
30.5405
33.0686
33.3346
33.1148
36.1154
46.4844
32.9385
27.3866
*
27.8452
23.5381
31.2386
29.6793
20.1829
29.2150
39.9946
47.7024
33.6855
29.4671
41.1406
35.4443
31.8712
29.7118
38.8341
29.4882
44.3122
44.2814
Average
hourly wage
FY 2008
37.9946
51.6567
47.6374
16.7756
39.9160
34.6915
34.0418
40.5973
31.4115
31.6717
48.1740
35.0152
*
31.6651
45.7099
43.7381
28.7580
37.8756
27.8386
29.0623
49.0030
53.5583
32.8293
52.9998
35.3954
30.6322
31.3431
35.0289
*
50.7578
25.8378
33.7510
35.7280
35.1227
35.4597
47.1430
35.8490
33.7139
34.3242
34.8308
37.0858
32.6462
34.0823
35.9041
40.7427
50.9882
36.1209
33.2556
40.4941
*
*
33.0865
32.7159
24.0737
30.8704
41.4835
43.4181
36.0111
30.9290
43.7943
35.0079
34.3798
31.6738
41.3912
31.6639
43.6855
50.1762
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
43.5908
54.7138
50.4838
*
42.7838
35.0123
38.0704
40.8318
33.1105
32.3240
53.7062
*
*
34.6529
48.7392
45.8470
31.5787
42.0018
27.4599
36.7215
49.8490
57.6511
41.1280
55.2982
38.8654
30.6087
*
42.9220
*
*
26.7043
35.4673
37.2306
37.5227
36.5328
49.9023
38.8880
37.0216
35.5078
37.7096
39.1708
34.4239
35.1235
36.3232
*
53.7118
37.8510
34.5668
46.0285
*
*
33.5043
32.6816
29.2635
33.7180
43.7672
48.0876
*
31.5894
47.2414
*
38.5649
32.1678
43.5214
31.0678
44.8602
52.0875
Average
hourly wage**
(3 years)
38.2550
50.9486
47.2422
16.8520
39.6127
34.1437
34.4888
39.8615
31.4624
30.9921
48.9658
34.1608
24.0717
32.3080
45.6253
43.4416
30.2839
39.2858
27.4784
32.9051
47.9003
53.3853
35.9355
52.8587
35.4348
30.1774
30.6661
37.8234
25.4647
49.8014
26.3093
33.9374
35.2444
35.6603
34.8249
46.9935
36.2981
34.3576
32.2261
34.9915
35.6922
33.3573
34.2447
35.1511
38.4427
50.5362
35.6823
31.8473
43.3497
27.8452
23.5381
32.6688
31.5748
24.4838
31.3396
41.7544
46.3588
34.8609
30.7391
44.0832
35.2189
35.0167
31.1945
41.2937
30.7699
44.2950
49.0216
23730
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
050290
050291
050292
050295
050296
050298
050299
050300
050301
050305
050308
050309
050312
050313
050315
050320
050324
050325
050327
050329
050333
050334
050335
050336
050342
050348
050349
050350
050351
050352
050353
050357
050359
050360
050366
050367
050369
050373
050376
050378
050380
050382
050385
050390
050391
050393
050394
050396
050397
050407
050411
050414
050417
050420
050423
050424
050425
050426
050430
050432
050433
050434
050435
050438
050441
050444
050447
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
1.7575
1.9821
1.0615
1.4386
1.1373
1.2078
***
1.4161
1.2490
1.4137
1.5368
1.4523
***
1.2021
1.3141
1.2624
1.7781
1.1860
1.6676
1.2676
1.0488
1.5881
1.3834
1.2384
1.2489
1.7714
0.9688
1.4256
1.5307
1.3551
1.5204
1.5056
1.1869
1.5234
1.1511
1.4838
1.4765
1.4477
1.7774
1.0502
1.6776
1.4478
1.2993
1.1220
***
1.3848
1.6185
1.5625
0.8787
1.1900
1.3207
1.3194
1.3093
***
1.0114
1.9524
1.3696
1.4616
0.9394
***
***
0.9988
1.1984
1.5503
1.9553
1.4083
2.2656
PO 00000
Frm 00204
Average
hourly wage
FY 2007
1.1916
1.4879
1.1822
1.1822
1.5758
1.1839
*
1.1822
1.4497
1.5288
1.5766
1.2827
*
1.1954
1.1822
1.5288
1.1822
1.1855
1.1822
1.1822
1.1822
1.4671
1.1963
1.1954
1.1822
1.1822
1.1822
1.1916
1.1916
1.2827
1.1916
1.1822
1.1822
1.5278
1.1837
1.5278
1.1916
1.1916
1.1916
1.1916
1.5766
1.1916
1.4879
1.1822
*
1.1916
1.1822
1.1822
1.1822
1.4905
1.1916
1.2827
1.1822
*
1.1822
1.1822
1.2827
1.1822
1.1822
*
*
1.1822
1.1822
1.1916
1.5766
1.2202
1.1822
Fmt 4701
Sfmt 4702
37.3563
38.4365
26.9786
34.7382
39.9842
30.2022
35.1249
30.2874
35.9491
44.9681
43.7413
38.2659
36.8498
35.0478
33.2038
45.7686
34.5503
31.3730
33.9507
23.2927
19.6352
43.9656
30.9928
30.4664
29.2244
31.5156
24.4863
31.0136
30.6599
36.7673
29.4215
32.6763
29.8345
47.4497
33.6714
38.6330
30.6439
35.1380
34.3539
37.9904
46.0276
30.4014
36.8107
27.3183
17.2141
34.1743
27.4861
32.4918
28.3671
42.2748
38.8294
38.7585
32.9341
35.2869
28.3768
34.5680
49.2245
33.2031
23.9045
33.1876
21.3573
32.6255
30.6530
36.3026
44.5694
34.6313
26.7960
Average
hourly wage
FY 2008
40.6192
41.2100
27.3365
38.4256
42.5405
33.7864
32.3707
33.6821
37.1103
48.5339
46.4180
40.1499
*
37.5024
32.5538
46.2071
36.3474
37.0441
35.9349
33.0390
18.6534
47.2968
34.7192
31.5480
30.4226
32.7107
25.4266
31.7908
33.3064
37.0807
30.4206
36.2089
31.3391
52.3811
37.1527
40.1904
32.2467
34.3737
35.2837
40.1923
49.4258
32.6683
36.4188
27.9359
*
35.6356
32.1894
37.3972
29.6825
44.6839
38.6328
41.8688
36.1222
39.9237
31.9751
36.6091
46.6628
34.9855
24.5327
35.2416
21.1287
33.7794
33.0372
36.2044
46.6160
37.6821
29.0780
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
42.0066
43.2395
30.9112
39.5132
44.8105
33.6925
*
37.1244
36.3661
52.8531
49.0086
41.1612
*
37.8834
37.3526
50.6670
37.1854
34.0333
36.9523
36.7650
32.2010
50.9796
37.2324
33.0304
29.8368
33.5253
23.1089
34.0896
35.0010
38.6234
37.1683
38.9202
30.3963
53.4113
41.8302
40.0423
33.3330
37.6802
36.6487
42.0465
52.5752
32.9220
36.5610
33.0438
*
35.1855
32.1720
38.9901
31.1603
47.5560
44.7079
45.0472
37.0117
*
32.4104
37.5218
45.7794
37.6483
25.9363
*
23.0629
35.4799
35.7401
38.2823
49.2095
39.3915
27.1252
Average
hourly wage**
(3 years)
39.9556
41.1200
28.4996
37.7732
42.4568
32.5818
33.6024
33.7458
36.4668
48.7916
46.4303
39.8863
36.8498
36.8450
34.4352
47.5834
36.0605
34.2474
35.6196
31.1927
21.9629
47.4795
34.3853
31.7345
29.8437
32.6280
24.2535
32.2951
33.0083
37.4921
32.2253
35.9956
30.5262
51.1213
37.3699
39.6594
32.1001
35.7093
35.4753
40.0787
49.4098
31.9903
36.5948
29.3100
17.2141
35.0078
30.6682
36.2041
29.8101
44.8602
40.9918
42.0484
35.4225
37.6935
31.1452
36.2762
47.0234
35.2291
24.7203
34.2247
21.6609
33.9524
33.2043
36.9424
46.8421
37.5291
27.7351
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23731
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
050448
050454
050455
050456
050457
050464
050468
050469
050470
050471
050476
050477
050478
050481
050485
050488
050491
050492
050494
050496
050498
050502
050503
050506
050510
050512
050515
050516
050517
050523
050526
050528
050531
050534
050535
050537
050541
050543
050545
050546
050547
050548
050549
050550
050551
050552
050557
050561
050567
050568
050569
050570
050571
050573
050575
050577
050578
050579
050580
050581
050583
050584
050585
050586
050588
050589
050590
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
1.2948
1.9380
1.5610
***
1.5970
1.7391
1.7714
***
***
1.7119
1.4110
***
1.0325
1.5130
1.6505
1.4378
***
1.3241
1.4344
1.6970
1.3475
1.6482
1.5152
1.5249
1.3370
1.4990
1.3185
1.5093
1.2967
1.2869
1.1843
1.1507
1.0520
1.4315
***
1.4828
1.4378
0.7526
0.7226
0.6945
1.0205
0.6180
1.6510
***
1.3452
0.9428
1.5993
1.4093
1.5110
1.2464
1.3207
1.5519
***
1.5662
1.3192
***
1.4310
***
1.1517
1.4139
1.6442
1.4508
***
1.3101
1.3759
1.2424
1.2814
PO 00000
Frm 00205
Average
hourly wage
FY 2007
1.1822
1.4905
1.1822
*
1.4905
1.1963
1.1916
*
*
1.1916
1.4497
*
1.1822
1.1916
1.1916
1.5288
*
1.1822
1.2710
1.5278
1.2827
1.1916
1.1822
1.1925
1.5278
1.5288
1.1822
1.2827
1.1822
1.5278
1.1822
1.1822
1.1916
1.1822
*
1.2827
1.5758
1.1822
1.1916
1.1822
1.4879
1.1822
1.1822
*
1.1822
1.1916
1.1963
1.1916
1.1822
1.1822
*
1.1822
*
1.1822
1.1916
*
1.1916
*
1.1822
1.1916
1.1822
1.1839
*
1.1822
1.1916
1.1822
1.2827
Fmt 4701
Sfmt 4702
30.6201
38.5833
30.4606
21.6261
47.8947
38.3058
31.1111
30.6502
27.8678
35.4768
38.7856
37.7668
40.2558
36.1394
36.1488
42.6854
34.3598
28.0826
38.1177
48.2468
37.1667
28.7046
34.0994
37.7420
52.5376
50.9264
38.9542
39.8161
20.0213
40.6535
28.1997
31.4941
27.1974
33.1666
34.6143
34.9931
52.5908
29.4443
31.3080
33.2245
34.8401
39.2234
35.2792
30.9612
34.0467
33.0711
33.3654
38.0196
35.7063
25.2337
31.6785
34.5161
34.7627
34.7279
25.1457
32.3744
35.2390
42.5081
31.5806
34.0136
34.5747
30.3434
22.2521
26.4782
32.7556
34.5100
38.4971
Average
hourly wage
FY 2008
32.7748
40.2811
34.5445
27.7659
50.0282
41.6235
35.7409
*
31.0466
36.8680
41.1042
40.1566
41.1668
38.8650
34.6219
45.0630
*
30.7718
40.6384
51.6363
41.0350
31.8872
37.3605
39.8586
49.4533
48.8057
40.2957
43.0249
22.4096
43.4579
33.3964
36.2908
28.3348
36.6447
37.8174
38.2145
48.0867
24.4913
35.3209
36.5099
33.8036
41.1075
38.3927
34.9476
37.2506
33.9810
35.7023
38.2543
37.6384
26.0908
*
38.4373
39.0649
35.2842
23.7990
*
31.3639
*
34.1531
37.7567
37.4450
30.7839
*
31.3513
37.7387
37.6886
41.7519
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
32.6666
43.3674
35.0200
27.9693
53.3144
42.6660
37.3361
*
32.5012
36.4887
40.5395
*
41.5592
42.8499
34.7050
47.1937
*
32.6577
42.3086
51.1433
42.2469
32.9773
37.7183
40.6497
51.3691
50.1599
41.0328
45.5247
29.3674
46.9830
35.5437
38.3022
28.4865
38.1859
*
40.1908
51.5270
32.8347
*
*
*
*
40.6759
39.2133
37.6198
35.3466
38.6871
39.1298
39.0084
26.7719
*
40.6719
*
36.8535
22.1000
*
43.4883
*
35.0950
40.0883
40.5818
31.9887
*
31.1898
39.4229
37.2032
44.2900
Average
hourly wage**
(3 years)
31.9996
40.8320
33.3430
25.0702
50.4334
40.8465
34.8277
30.6502
30.5202
36.2903
40.1623
39.0877
41.0379
39.2898
35.1967
45.0874
34.3598
30.4668
40.3782
50.4172
40.1486
31.1609
36.4438
39.4417
51.0324
49.9366
40.1925
42.8485
23.6394
43.8643
32.2787
35.4339
28.0127
36.0367
36.2328
37.8814
50.6366
28.6007
33.2475
34.9356
34.2850
40.1570
38.1001
34.7849
36.3778
34.1389
35.9147
38.5223
37.5231
26.0576
31.6785
37.8603
36.9575
35.6371
23.5654
32.3744
36.9415
42.5081
33.6230
37.3040
37.4769
31.0588
22.2521
29.6927
36.6367
36.5093
41.5361
23732
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
050591
050592
050594
050597
050599
050601
050603
050604
050608
050609
050613
050615
050616
050618
050624
050625
050633
050636
050641
050644
050660
050662
050663
050667
050668
050674
050677
050678
050680
050682
050684
050686
050688
050689
050690
050693
050694
050695
050696
050697
050699
050701
050704
050707
050708
050709
050710
050713
050714
050717
050718
050720
050722
050723
050724
050725
050726
050727
050728
050729
050730
050732
050733
050734
050735
050736
050737
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
***
***
***
1.2983
1.8547
1.5329
1.4506
1.3664
1.2665
1.2511
***
***
1.4930
1.0232
1.3457
1.7610
1.2411
1.2748
1.3434
1.0499
1.7555
0.7264
1.4166
0.9359
1.2668
1.2833
1.3833
1.3254
1.2900
0.8353
1.1150
1.5945
1.2103
1.5822
1.3422
1.3899
1.0517
***
2.2640
1.1055
***
1.3490
1.0435
***
1.4932
1.4478
1.2058
***
1.4054
1.5439
***
0.9656
0.9138
1.3255
2.0000
0.8736
1.5371
1.3473
***
***
***
2.3278
1.5906
***
1.3963
1.2104
1.4996
PO 00000
Frm 00206
Average
hourly wage
FY 2007
*
*
*
1.1916
1.2827
1.1916
1.1822
1.5766
1.1822
1.1822
*
*
1.1822
1.1822
1.1916
1.1916
1.1925
1.1822
1.1916
1.1916
*
1.5766
1.1916
1.3974
1.4905
1.2827
1.1916
1.1822
1.5278
1.1822
1.1822
1.1822
1.5766
1.5278
1.4879
1.1822
1.1822
*
1.1916
1.2730
*
1.1822
1.1916
*
1.1822
1.1822
1.1822
*
1.5818
1.1916
*
1.1822
1.1822
1.1916
1.1822
1.1916
1.1963
1.1916
*
*
*
1.1822
1.2730
*
1.1916
1.1916
1.1916
Fmt 4701
Sfmt 4702
30.6106
27.3606
36.5256
28.8294
32.7835
36.0572
34.0275
55.0821
30.4169
41.7208
42.8108
35.9547
37.7284
31.3182
33.9594
38.6591
36.8302
32.5576
39.6921
28.8237
*
33.2446
27.7334
24.2771
56.6555
48.0893
38.5770
32.4473
38.2871
17.9077
27.5256
41.0188
44.1510
45.0951
50.9094
34.5797
30.7858
39.6004
37.3837
16.6605
28.9083
31.9529
29.7740
35.7311
30.5860
26.8549
45.8022
21.1273
31.9527
39.3227
25.5140
29.4726
31.4867
38.5446
31.6910
24.3100
30.6479
33.9118
39.3581
36.5432
37.0629
*
*
*
*
*
*
Average
hourly wage
FY 2008
34.7133
31.8053
42.0788
31.5625
34.7187
39.7717
35.0279
49.4446
31.2909
39.7397
42.9930
39.1299
37.1200
33.1472
35.9346
41.0439
38.4916
33.0718
32.3586
30.7981
*
38.3017
17.7035
25.9161
51.6049
47.0720
39.2161
33.7633
37.9856
22.2193
28.8378
39.7757
49.4062
48.8533
49.0226
39.6838
32.1065
49.0340
39.8963
22.1441
21.5725
34.9876
31.6097
43.5555
31.8442
24.5621
44.2482
21.4825
34.1542
38.8773
31.9622
30.3595
33.7991
38.7140
35.2344
30.0580
28.6361
32.7783
41.8263
38.1882
39.2046
33.6831
40.1517
31.2883
*
*
*
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
*
32.2351
*
32.8964
36.6122
43.2367
35.4778
49.6225
30.7266
42.4128
*
*
40.8621
34.9156
39.2531
44.8446
40.7347
35.4525
32.0483
33.2746
*
*
17.8180
25.8444
52.6968
48.6658
40.7889
35.8378
39.0346
22.3883
33.5883
41.3815
53.2703
48.9898
51.7590
42.8232
34.8458
*
39.4330
26.7588
28.8973
37.2811
32.1995
44.0218
28.3051
29.5339
46.2957
*
42.9756
37.0867
*
32.1156
35.6698
41.1633
35.0980
28.8366
30.6054
33.0915
*
*
*
34.3456
40.6287
*
36.6052
41.8905
38.0395
Average
hourly wage**
(3 years)
32.5892
30.0884
39.2148
31.1668
34.7394
39.7359
34.9101
50.8907
30.8122
41.2383
42.8892
37.5269
38.5549
33.1400
36.4371
41.6090
38.7394
33.7338
34.3171
30.9581
*
35.5809
19.8971
25.2820
53.2587
47.9616
39.6370
34.1139
38.4541
20.9013
30.1544
40.7110
49.0705
47.6626
50.5850
38.9551
32.6630
44.6756
38.9118
21.2675
26.4337
34.8704
31.2008
40.8918
30.2199
27.1486
45.4488
21.2886
36.5738
38.4090
28.5587
30.5944
33.7766
39.6081
34.1972
27.6830
29.9355
33.2499
40.4993
37.4033
38.1210
34.0196
40.3877
31.2883
36.6052
41.8905
38.0395
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23733
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
050738
050739
050740
050741
050742
050744
050745
050746
050747
050748
050749
050750
050751
050752
050753
050754
050755
050757
050758
050759
060001
060003
060004
060006
060008
060009
060010
060011
060012
060013
060014
060015
060016
060018
060020
060022
060023
060024
060027
060028
060030
060031
060032
060034
060036
060041
060043
060044
060049
060054
060064
060065
060071
060075
060076
060096
060100
060103
060104
060107
060112
060113
060114
060115
060116
060117
060118
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
1.5052
1.6284
1.4538
1.4520
1.4454
1.7412
1.3450
1.8196
1.5410
1.1344
1.3856
***
2.9380
1.4092
1.6850
1.1933
1.3602
1.5947
1.3399
2.1683
1.5186
1.4098
1.1053
1.3131
1.2609
1.4736
1.5411
1.5219
1.5548
1.5942
1.8805
1.8679
1.1848
1.2897
1.5516
1.6011
1.6260
1.8688
1.5941
1.4266
1.4302
1.5357
1.4900
1.7145
1.0946
0.9254
0.9724
1.1929
1.4157
1.4812
1.7013
1.4081
1.1347
1.3842
1.2641
1.6188
1.7198
1.3654
1.4279
1.5071
1.6339
1.4241
1.3878
0.8560
1.2796
1.4396
1.4247
PO 00000
Frm 00207
Average
hourly wage
FY 2007
1.1916
1.1916
1.1916
1.1916
1.1916
1.1822
1.1822
1.1822
1.1822
1.1954
1.1822
*
1.1916
1.1916
1.1916
1.5025
1.1916
1.1822
1.1822
1.1822
1.0070
1.0409
1.0561
0.9303
0.9303
1.0561
0.9734
1.0561
0.9738
0.9303
1.0561
1.0561
0.9303
0.9303
0.9303
0.9738
1.0409
1.0561
1.0409
1.0561
0.9734
1.0409
1.0561
1.0561
0.9303
0.9303
0.9303
0.9303
0.9581
0.9925
1.0561
1.0561
0.9303
0.9925
0.9303
1.0409
1.0561
1.0409
1.0561
1.0561
1.0561
1.0561
1.0561
0.9303
1.0409
0.9303
0.9303
Fmt 4701
Sfmt 4702
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
29.6191
29.4809
32.4609
25.2139
23.0947
31.5210
27.1916
35.1573
27.3885
26.8675
31.0542
32.5285
26.5427
24.1086
24.5992
28.2944
29.5760
30.0279
29.6121
31.6900
27.8642
27.8345
31.0686
30.9359
20.3226
24.6142
18.2143
26.5611
29.3724
24.3389
32.3681
32.4735
27.6657
32.2545
26.5631
32.1310
32.6104
31.6314
32.4232
26.8388
34.9272
*
*
*
*
*
*
Average
hourly wage
FY 2008
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
31.0018
31.3616
32.0095
27.2057
26.5175
32.4208
29.5304
32.1001
28.7724
27.9145
31.9389
32.2927
27.1430
25.3897
25.9147
29.3379
31.1556
31.5411
30.9212
32.1656
29.9513
29.3907
32.7383
32.1252
22.8256
25.9710
21.9955
24.8352
30.2192
25.0980
33.2428
33.8538
28.1762
37.6023
30.7808
37.8243
33.2145
32.9690
35.4409
28.0660
34.7116
32.6073
34.8536
*
*
*
*
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
43.9225
57.2436
54.0328
51.1485
39.0793
48.4913
42.5490
43.1981
44.5852
42.9957
28.1978
33.9880
29.5465
39.8004
*
*
*
*
*
*
32.4200
31.8621
34.8408
26.8067
27.2059
34.0129
30.6402
34.4158
29.4348
28.0786
33.0340
36.3270
28.3040
26.5770
26.7340
31.9353
32.7901
32.8183
31.6117
33.4942
31.2907
30.8385
34.6417
33.3625
20.9359
31.4722
23.3899
29.4060
32.1570
24.6714
37.2384
34.9177
31.5370
35.8069
31.6033
38.2230
33.5326
33.7519
37.1405
30.3986
35.1275
35.2074
35.3035
*
33.1528
28.3098
*
Average
hourly wage**
(3 years)
43.9225
57.2436
54.0328
51.1485
39.0793
48.4913
42.5490
43.1981
44.5852
42.9957
28.1978
33.9880
29.5465
39.8004
*
*
*
*
*
*
30.9988
30.9372
33.1185
26.4045
25.5276
32.6683
29.1093
33.8458
28.5090
27.6090
32.0056
33.6071
27.3080
25.3463
25.7382
29.8727
31.1705
31.5099
30.7134
32.4479
29.7046
29.3398
32.7827
32.1070
21.3443
27.2226
21.1620
26.8390
30.6358
24.6993
33.8162
33.7649
29.2648
35.2179
29.6210
36.0395
33.1192
32.8044
34.8954
28.4350
34.9373
33.9039
35.0938
*
33.1528
28.3098
*
23734
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
060119
070001
070002
070003
070004
070005
070006
070007
070008
070009
070010
070011
070012
070015
070016
070017
070018
070019
070020
070021
070022
070024
070025
070027
070028
070029
070031
070033
070034
070035
070036
070038
070039
070040
080001
080002
080003
080004
080006
080007
090001
090003
090004
090005
090006
090008
090011
100001
100002
100006
100007
100008
100009
100012
100014
100015
100017
100018
100019
100020
100022
100023
100024
100025
100026
100027
100028
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
2.0319
1.5932
1.8116
1.1297
1.1791
1.4770
1.3529
1.2875
1.2515
1.3430
1.6851
1.4127
1.4106
1.4333
1.4989
1.3644
1.3783
1.3857
1.2985
1.1854
1.6626
1.3628
1.7385
1.4463
1.5690
1.2883
1.2891
1.4498
1.4240
1.2479
1.6115
0.8866
0.9487
1.0777
1.6391
***
1.6226
1.5578
1.3096
1.4835
1.7487
1.2254
1.9209
1.4073
1.3917
1.2958
2.0065
1.4956
1.4292
1.6260
1.5846
1.6979
1.3613
1.6154
1.4551
1.2730
1.6234
1.6116
1.6071
***
1.6470
1.5384
1.2924
1.7145
1.5761
***
1.3554
PO 00000
Frm 00208
Average
hourly wage
FY 2007
0.9734
1.2038
1.1897
1.1897
1.1897
1.2038
1.2391
1.1897
1.1897
1.1897
1.2391
1.1897
1.1897
1.2391
1.2038
1.2038
1.2391
1.2038
1.1897
1.1897
1.2038
1.1897
1.1897
1.1897
1.2391
1.1897
1.2038
1.2391
1.2391
1.1897
1.1897
1.2038
1.2038
1.1897
1.0799
*
1.0799
1.0645
1.0304
1.0909
1.1018
1.0670
1.1018
1.0670
1.0670
1.0670
1.1018
0.9092
1.0025
0.9189
0.9189
0.9865
0.9865
0.9502
0.9073
0.8993
0.9073
0.9820
0.9401
*
1.0025
0.9073
0.9865
0.8633
0.8633
*
0.9401
Fmt 4701
Sfmt 4702
*
35.8958
33.4398
34.1352
29.4448
33.7813
37.9148
35.9617
28.5506
32.9299
35.3730
31.8987
29.4216
35.3385
31.4930
34.0490
39.7515
34.5125
33.6453
36.9241
39.0462
35.2323
32.4085
29.8513
35.1966
30.9299
30.1915
40.1594
38.3965
30.7440
38.3413
25.7914
36.1369
*
32.0105
29.6800
30.7697
30.1094
27.4749
30.1100
36.6577
31.0419
35.6964
33.0178
29.4912
32.0745
36.7579
26.4631
27.2350
29.1505
28.5702
29.1705
27.4424
28.4600
25.1524
26.0916
27.9654
30.2423
28.6630
27.1257
32.8088
25.2652
29.1894
23.3843
23.4730
18.9432
27.7497
Average
hourly wage
FY 2008
*
37.0403
34.7636
35.6320
29.9557
34.9404
39.3935
36.2914
30.7305
35.5670
36.7227
31.6843
31.9345
37.3454
33.2391
35.6456
41.8460
33.7246
32.9714
38.5623
40.2283
34.7419
34.5887
30.4433
38.0855
31.0662
30.4054
41.7955
40.1685
32.2766
42.3391
35.8053
34.7219
*
33.5310
31.3391
34.3048
32.2443
28.8862
31.1645
38.3043
32.1960
37.3798
33.7448
31.3562
33.7471
38.0654
27.2809
28.7068
28.3673
29.0472
30.3392
27.8618
29.8353
27.4019
27.2483
28.2402
30.6545
30.3008
*
36.7912
25.4270
29.5423
26.7013
26.0147
*
27.5664
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
*
37.9403
36.4240
36.0505
31.2093
36.5469
41.2133
36.8054
35.4942
36.6355
38.6086
34.1325
33.2459
39.9225
34.1238
37.5821
42.4745
35.8591
35.6515
39.7761
41.4692
36.8976
36.1293
33.5960
43.1846
32.8478
30.5906
44.6692
42.4078
33.4024
43.6345
29.9492
32.7121
*
34.9490
33.0378
30.5113
34.3823
31.0299
33.4764
40.1629
32.8939
38.5646
35.2850
32.3448
36.6606
39.0086
27.8509
30.6650
28.9654
30.3800
32.1650
30.0468
30.8602
27.4048
28.6813
29.8685
32.8609
31.4521
*
36.3330
27.1008
29.8902
27.1652
27.3027
*
28.7776
Average
hourly wage**
(3 years)
*
36.9862
34.8862
35.2926
30.2307
35.0801
39.5140
36.3570
31.5216
34.9997
36.9439
32.5714
31.5134
37.5863
32.9404
35.7978
41.4021
34.6869
34.1183
38.4026
40.2883
35.6415
34.3741
31.3085
38.7150
31.6076
30.4009
42.2677
40.3330
32.1114
41.4903
29.4507
34.7190
*
33.5152
31.3601
31.8516
32.3013
29.2083
31.6259
38.3535
31.9877
37.2403
34.0306
31.0266
34.0292
37.9688
27.2111
28.8632
28.8205
29.3589
30.5829
28.3830
29.7781
26.6903
27.3086
28.7071
31.2755
30.1350
27.1257
35.3146
26.0111
29.5369
25.7513
25.6436
18.9432
28.0281
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23735
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
100029
100030
100032
100034
100035
100038
100039
100040
100043
100044
100045
100046
100047
100048
100049
100050
100051
100052
100053
100054
100055
100057
100061
100062
100063
100067
100068
100069
100070
100071
100072
100073
100075
100076
100077
100079
100080
100081
100084
100086
100087
100088
100090
100092
100093
100099
100102
100105
100106
100107
100108
100109
100110
100113
100114
100117
100118
100121
100122
100124
100125
100126
100127
100128
100130
100131
100132
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
1.2121
1.3539
1.6723
1.7942
1.6017
1.7177
1.5743
1.7008
1.4134
1.5389
1.3128
1.4584
1.6986
0.9293
1.2227
1.1486
1.3882
1.4592
1.3335
1.4058
1.4682
1.4366
1.5221
1.6289
1.2914
1.4240
1.6629
1.5199
1.6948
1.3016
1.3899
1.7604
1.5137
1.2093
1.3908
1.4454
1.6170
0.9435
1.7063
1.3909
1.8447
1.5784
1.4708
1.5273
1.7183
1.0283
1.1035
1.5837
1.0497
1.1889
0.8653
1.2509
1.5739
1.9724
1.7025
1.2439
1.3879
1.1178
1.2316
1.1998
1.2235
1.3212
1.5761
2.1341
1.1458
1.4707
1.2889
PO 00000
Frm 00209
Average
hourly wage
FY 2007
0.9865
0.9189
0.8993
0.9865
0.9757
1.0025
1.0025
0.9092
0.8993
0.9905
0.9073
0.8993
0.9648
0.8633
0.8715
0.9865
0.9189
0.8715
0.9865
0.8703
0.8993
0.9189
0.9865
0.8633
0.8993
0.8993
0.9073
0.8993
0.9757
0.8993
0.9073
1.0025
0.8993
0.9865
0.9648
*
1.0025
0.8633
0.9189
1.0025
0.9757
0.9092
0.9092
0.9401
0.8633
0.8715
0.8758
0.9741
0.8633
0.9502
0.8633
0.9073
0.9189
0.9427
0.9865
0.9092
0.8633
0.8715
0.8703
0.8633
0.9865
0.8993
0.8993
0.8993
1.0025
0.9865
0.8993
Fmt 4701
Sfmt 4702
28.8842
24.6314
26.8162
28.1280
29.4803
31.3403
28.2531
26.2429
26.4221
30.3659
29.7375
26.9469
26.7674
19.3226
24.0385
21.5101
28.0946
23.6796
28.5118
28.7646
25.6243
24.8010
31.4413
25.1280
25.5097
26.8628
26.1341
25.7450
26.8461
26.3768
25.7962
30.5845
25.7612
23.4551
30.6925
*
28.2188
16.9756
27.4947
28.5971
29.5823
26.7574
26.5703
27.8341
21.6438
25.8454
26.1015
29.9745
24.7650
27.4760
21.3540
25.5669
29.4788
28.0440
29.2862
27.7198
27.6438
26.2990
24.6285
24.0333
29.7750
29.6247
26.0923
29.2566
26.0268
27.8164
26.0526
Average
hourly wage
FY 2008
30.5382
25.3513
26.9275
27.2915
30.2382
31.6657
29.3699
27.2835
27.0054
33.1141
26.5413
26.7702
29.9729
20.2657
24.5571
25.3354
28.6225
23.4036
31.7415
30.5515
27.3826
26.3134
30.4528
25.9597
26.4139
27.4762
27.6576
27.2108
29.2005
25.3667
27.1889
29.4165
27.6534
24.0412
30.7564
*
29.5346
19.5711
32.7503
29.9072
30.5938
28.2825
27.6175
26.6315
22.5555
26.2395
27.8551
30.9915
24.8098
30.5764
22.6270
26.2446
29.5985
29.2429
30.2544
28.4928
27.0981
27.9353
26.7175
24.8880
31.7749
28.3213
27.4632
30.0324
28.3651
29.7647
27.8180
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
31.5979
26.3096
27.8918
28.9362
32.5568
32.8363
29.0221
28.3342
26.8400
34.3895
25.5601
27.7856
31.4038
21.7684
27.6295
23.5194
30.1464
25.1096
31.9242
30.9825
29.6999
27.7025
31.9154
26.3043
27.0754
27.5486
27.6975
29.0462
29.1098
25.1867
27.6927
31.0379
26.7551
24.0262
27.9764
*
31.0487
19.7407
30.6285
31.3169
32.1290
29.5464
28.9548
28.6765
23.4836
28.0669
29.0373
30.8907
25.6284
31.2927
22.8139
26.7361
30.3729
30.5837
32.3934
30.0549
28.3179
24.9371
27.6162
26.2310
33.3469
28.9151
27.0669
30.3690
30.9735
30.9586
27.6613
Average
hourly wage**
(3 years)
30.3873
25.4476
27.2236
28.1268
30.7182
31.9625
28.8790
27.2945
26.7591
32.6318
27.1971
27.1801
29.3525
20.4248
25.3718
23.4888
29.0839
24.0877
30.6741
30.1173
27.4746
26.3249
31.2647
25.8131
26.3647
27.3159
27.1712
27.3031
28.3496
25.6298
26.8986
30.3564
26.7473
23.8474
29.8150
*
29.6112
18.7147
30.2189
29.9261
30.7622
28.3236
27.7918
27.7162
22.5921
26.7407
27.7069
30.6081
25.0615
29.8950
22.2176
26.2234
29.8429
29.3004
30.6145
28.8365
27.7197
26.3668
26.3632
25.0380
31.6838
28.9566
26.8835
29.9099
28.5262
29.6460
27.2139
23736
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
100134
100135
100137
100139
100140
100142
100150
100151
100154
100156
100157
100160
100161
100166
100167
100168
100172
100173
100175
100176
100177
100179
100180
100181
100183
100187
100189
100191
100200
100204
100206
100209
100210
100211
100212
100213
100217
100220
100223
100224
100225
100226
100228
100230
100231
100232
100234
100236
100237
100238
100239
100240
100242
100243
100244
100246
100248
100249
100252
100253
100254
100255
100256
100258
100259
100260
100264
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
0.8985
1.6390
1.3328
0.8641
1.1161
1.1395
1.2603
1.7355
1.6098
1.1428
1.5705
1.2508
1.5295
1.5059
1.2272
1.5608
***
1.6082
0.9474
1.8223
1.3295
1.7392
1.5114
1.1566
1.2816
1.3637
1.3348
1.3365
1.3715
1.5799
1.2774
1.5193
1.5671
1.2490
1.4634
1.5367
1.3065
1.6181
1.5286
1.2624
1.3079
1.3028
1.3954
1.3499
1.7092
1.2640
1.3320
1.4357
1.8545
1.5484
1.3821
0.9591
1.5092
1.4703
1.4338
1.5457
1.5452
1.2896
1.1632
1.3893
1.4934
1.3025
1.7382
1.5591
1.2682
1.3830
1.4156
PO 00000
Frm 00210
Average
hourly wage
FY 2007
0.8633
0.8981
0.8715
0.9427
0.9092
0.8633
0.9865
0.9092
0.9865
0.9427
0.8993
0.9865
0.9189
0.9757
1.0025
1.0025
*
0.8993
0.8633
1.0025
0.9401
0.9092
0.8993
0.9865
0.9865
0.9865
1.0025
0.8993
1.0025
0.9427
0.8993
0.9865
1.0025
0.8993
0.8633
0.9757
0.9741
0.9502
0.8703
1.0025
1.0025
0.9092
1.0025
1.0025
0.8633
0.9092
1.0025
0.9648
1.0025
0.8993
0.8993
0.9865
0.8633
0.8993
0.9502
0.9905
0.8993
0.8993
0.9741
1.0025
0.8981
0.8993
0.8993
1.0025
0.8993
0.9905
0.8993
Fmt 4701
Sfmt 4702
20.7367
26.7030
24.8519
18.2197
26.1352
24.8853
26.8492
30.6447
28.2506
27.5706
29.7455
30.7454
28.0545
28.8685
30.2166
27.6739
20.7857
26.5436
23.9665
30.7087
28.0089
29.1111
29.9238
24.3708
29.0270
27.8144
28.8320
28.3710
28.7694
27.4763
27.0295
26.8473
29.8515
24.7533
26.1846
27.9283
27.3989
28.3868
25.0332
26.6446
28.5259
28.8165
28.1396
29.8493
25.7037
28.5537
27.4456
28.9955
31.7848
30.1094
28.6893
27.3523
25.6083
27.4534
26.6876
29.3310
28.8082
24.9876
27.8256
27.4927
26.1406
26.5571
30.3081
31.2203
27.4809
26.7129
26.8216
Average
hourly wage
FY 2008
21.6544
29.1856
26.8391
21.1310
27.8352
25.6999
27.7740
29.7267
29.7332
28.3927
30.3086
30.6902
29.5673
30.1811
31.7813
27.0938
22.2183
28.6402
25.0913
33.3181
29.6284
29.2795
31.0099
23.9656
30.5042
30.7705
29.9376
29.4533
29.6400
27.2819
27.7551
28.5336
32.0830
26.2859
27.7960
29.5218
27.7683
29.3601
26.1115
28.0455
30.8782
28.8791
30.1635
31.9448
26.6773
28.3892
28.8835
28.3017
33.1536
31.4198
29.0650
29.7000
26.1988
28.3894
28.2881
30.1061
30.2133
26.4676
27.1639
28.7770
27.4900
27.3866
30.2093
33.8630
29.0612
28.2301
28.0370
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
22.9624
29.8423
28.2969
21.4420
28.5466
26.8978
29.3690
31.3820
31.3618
28.3041
30.3339
32.3113
30.8955
31.9053
32.4711
28.0517
20.5502
30.2470
26.1711
35.5821
31.0063
30.5213
31.5463
26.0656
32.9863
31.6639
30.5491
30.9183
29.0719
29.9311
28.8609
29.0435
32.4538
28.8303
29.2475
30.2251
30.3301
30.8265
27.6756
29.1992
32.6890
30.2828
31.0195
34.6099
28.3633
29.3783
29.7800
30.5701
33.9606
31.6331
30.3212
31.0943
27.8149
29.8294
29.8266
30.0261
32.4702
28.5107
29.1429
28.5597
28.5240
29.5157
33.3907
35.2197
29.9274
29.4885
30.1956
Average
hourly wage**
(3 years)
21.8248
28.5445
26.7255
20.1386
27.5007
25.8482
27.9646
30.5873
29.8234
28.1071
30.1497
31.2761
29.5189
30.2720
31.5289
27.6177
21.2381
28.5123
25.0707
33.1514
29.5570
29.6480
30.8513
24.7884
30.7987
30.0560
29.8033
29.5986
29.1618
28.2769
27.8936
28.1481
31.4634
26.5619
27.7618
29.2000
28.4907
29.5174
26.3160
27.9615
30.6971
29.3578
29.7490
32.1778
26.9108
28.7734
28.7289
29.2818
32.9295
31.0862
29.3632
29.4319
26.5486
28.5415
28.3031
29.8298
30.5161
26.7077
28.0419
28.3018
27.3995
27.8451
31.2430
33.4797
28.8444
28.1387
28.3177
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23737
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
100265
100266
100267
100268
100269
100271
100275
100276
100277
100279
100281
100284
100285
100286
100287
100288
100289
100290
100291
100292
100293
100294
100295
100296
100297
100298
100299
100300
100302
110001
110002
110003
110004
110005
110006
110007
110008
110010
110011
110015
110016
110018
110020
110023
110024
110025
110026
110027
110028
110029
110030
110031
110032
110033
110034
110035
110036
110038
110039
110040
110041
110042
110043
110044
110045
110046
110050
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
1.3296
1.3896
1.2811
1.1771
1.3742
2.0607
1.3310
1.2874
1.5574
1.4040
1.3929
1.0632
1.2639
1.5465
1.3877
1.7404
1.6231
1.2302
1.3483
1.3753
***
***
***
1.3271
***
0.8450
1.2918
***
1.1546
1.3724
1.3136
1.3119
1.3686
1.2944
1.5596
1.5907
1.3589
2.1741
1.2809
1.0815
1.2537
1.1989
1.2987
1.3269
1.4712
1.4799
1.0963
1.0459
1.7426
1.7563
1.3857
1.2793
1.2564
1.7263
1.7739
1.7859
1.8235
1.5488
1.3716
1.1123
1.2061
1.0795
1.7560
1.2146
1.0279
1.1453
1.0857
PO 00000
Frm 00211
Average
hourly wage
FY 2007
0.8993
0.8633
0.9757
1.0025
1.0025
*
1.0025
1.0025
0.9865
0.9502
1.0025
0.9865
1.0025
0.9820
1.0025
1.0025
1.0025
0.9215
0.9401
0.8633
*
*
*
0.9865
*
0.8981
0.9757
*
0.9189
0.8740
0.9760
0.7840
0.8880
0.9760
0.9589
0.8770
0.9760
0.9760
0.9760
0.9760
0.8495
0.9760
0.9760
0.9760
0.8943
1.0139
0.7840
0.7840
0.9604
0.9760
0.9760
0.9760
0.7840
0.9760
0.9604
0.9760
0.8943
0.8397
0.9604
0.9760
0.9760
0.9760
0.8943
0.7840
0.9760
0.9760
0.8499
Fmt 4701
Sfmt 4702
25.7432
23.0208
28.7259
29.0668
26.6047
*
26.8943
29.7606
20.4791
28.6383
29.6698
22.3134
*
28.3645
28.1051
28.7902
29.6376
27.1011
28.4722
26.7063
32.7963
30.7557
26.1983
*
*
*
*
*
*
26.4338
26.4715
22.7066
24.9978
28.1209
28.3839
26.6396
29.2947
31.7185
28.0598
28.1274
22.7263
26.8016
28.3822
29.8061
27.0225
31.0703
21.8018
22.6058
30.4641
27.3618
29.6841
27.1989
23.2586
30.3415
27.2338
28.9408
26.6664
22.2720
26.3503
20.9487
24.8864
34.9954
27.8477
23.3039
24.4275
26.7464
27.5985
Average
hourly wage
FY 2008
26.3326
24.2517
28.9674
30.5750
27.8407
*
28.7797
30.5720
24.1122
29.2257
30.9131
25.2637
41.9481
25.8085
29.7536
31.0506
31.9011
28.7111
28.1515
27.7644
*
*
*
29.3870
32.1536
19.0297
34.3697
*
*
26.5640
26.2228
24.2097
25.1846
27.2826
*
26.3133
30.9757
33.2396
28.5892
28.8796
24.3563
30.1849
27.5559
29.3282
27.3357
30.2845
22.8820
25.5291
31.4568
29.2134
29.9531
29.5533
25.1896
32.4178
28.7915
30.1852
27.2280
22.9685
26.2485
23.9526
26.1948
33.4391
28.8551
24.3772
27.7619
*
27.0651
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
26.6920
25.6366
30.6033
33.6114
28.3722
*
31.0459
31.7050
25.5878
31.1921
32.8807
21.4401
34.7963
26.5795
30.3059
32.9558
31.4701
29.7566
28.3762
28.5799
*
*
*
31.1449
*
21.9226
31.6820
33.1669
*
27.4189
28.9001
25.0083
27.2513
29.5994
32.3714
28.0665
31.8366
33.9818
30.3526
30.5004
25.9193
30.9429
29.4629
29.2001
28.5637
32.6731
24.3858
25.6536
32.8679
30.0367
32.0250
30.7447
24.4949
32.7019
29.6801
31.5705
28.4022
23.3659
28.4347
21.5761
27.6593
34.5117
30.3702
27.0418
28.2217
28.6264
27.1525
Average
hourly wage**
(3 years)
26.2976
24.3555
29.4523
31.0650
27.6319
*
28.9926
30.6750
23.9890
29.7250
31.2127
22.7441
39.4585
26.8126
29.3361
30.8729
31.0127
28.5282
28.3296
27.7205
32.7963
30.7557
26.1983
30.2840
32.1536
20.3569
33.1821
33.1669
*
26.8009
27.2273
23.9366
25.7796
28.4189
30.3778
27.0191
30.6980
32.9905
29.0303
29.2479
24.3226
29.3022
28.5809
29.4297
27.6412
31.3350
23.0082
24.4936
31.5933
28.8932
30.6320
29.1990
24.3026
31.8557
28.5541
30.2749
27.4638
22.8669
26.8945
22.1590
26.2845
34.3025
28.9989
24.8928
26.7950
27.6790
27.2626
23738
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
110051
110054
110059
110064
110069
110071
110073
110074
110075
110076
110078
110079
110080
110082
110083
110086
110087
110089
110091
110092
110095
110100
110101
110104
110105
110107
110109
110111
110112
110113
110115
110121
110122
110124
110125
110128
110129
110130
110132
110135
110136
110142
110143
110146
110149
110150
110153
110161
110163
110164
110165
110168
110172
110177
110183
110184
110186
110187
110189
110190
110191
110192
110193
110194
110198
110200
110201
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
1.1244
1.4223
1.1567
1.5836
1.3437
1.1205
1.0228
1.4894
1.3134
1.4843
1.9462
1.5678
***
1.9672
1.9525
1.2641
1.4285
1.1392
1.2915
1.1137
1.4622
0.9787
0.9836
1.2036
1.3643
1.9504
1.0213
1.1524
1.0413
0.9563
1.7706
1.0024
1.5445
1.0887
1.2577
1.2891
1.5763
0.9171
1.0348
1.2731
***
0.9807
1.4253
1.0832
***
1.2994
1.1210
1.5555
1.4520
1.7038
1.4333
1.7664
1.4736
1.9238
1.2868
1.2634
1.3171
1.2029
1.1025
1.0867
1.3278
1.4139
***
0.8957
1.3546
2.0256
1.4532
PO 00000
Frm 00212
Average
hourly wage
FY 2007
0.7840
0.9760
0.7840
0.9061
0.9618
0.7840
0.7840
0.9589
0.8841
0.9760
0.9760
0.9760
*
0.9760
0.9760
0.7840
0.9760
0.7840
0.9760
0.7840
0.8397
0.8630
0.7907
0.7840
0.7840
0.9815
0.7840
0.9604
0.8397
0.9604
0.9760
0.8397
0.8397
0.7840
0.9618
0.8841
0.9061
0.7840
0.7840
0.7840
*
0.8025
0.9760
0.9112
*
0.9760
0.9618
0.9760
0.8770
0.9815
0.9760
0.9760
0.9760
0.9604
0.9760
0.9760
0.9061
0.9760
0.9760
0.8081
0.9760
0.9760
*
0.7840
0.9760
0.9061
0.9815
Fmt 4701
Sfmt 4702
20.1756
28.9254
23.2137
24.1219
26.2085
21.3963
18.5753
27.9190
23.7585
28.7871
29.9625
26.8412
18.4714
30.8320
30.4287
21.6898
28.1633
23.9026
29.5337
20.8911
26.3075
16.2575
19.4257
20.3777
23.1405
28.9352
23.0376
25.1270
22.7672
21.3417
31.5074
26.2336
25.1934
22.9212
23.7834
25.7839
25.9625
19.1284
20.2502
22.5346
18.8212
21.3935
28.6583
27.0987
28.4040
25.3742
25.7467
30.4885
28.2169
28.8946
27.0977
28.5700
31.1234
28.8356
28.6208
28.3545
27.4925
25.2139
26.1418
23.3204
27.7760
28.8267
27.9161
19.1920
31.0557
24.9236
31.0841
Average
hourly wage
FY 2008
21.4898
29.4691
24.7838
26.9363
29.9098
21.2041
23.3571
31.0062
24.8244
29.4344
30.5196
27.3274
*
30.1072
34.0610
22.9959
31.0403
24.3327
27.0994
21.4168
28.0526
20.8201
21.0983
21.8966
23.4010
30.1027
21.6023
25.7084
26.4089
22.0793
32.7927
23.4571
25.4439
22.9571
24.7347
25.4190
30.0444
20.4349
21.2642
24.0945
*
21.6286
29.9139
29.0193
*
26.9884
29.3305
31.5001
27.7679
30.0145
28.7902
29.7774
31.3999
29.7079
28.3505
29.4071
28.2880
26.9638
26.2799
24.5224
30.9481
30.0843
*
21.0826
32.8171
27.2974
32.0967
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
22.1488
31.5780
24.9265
28.7283
30.6443
23.6494
23.0067
30.3996
26.1068
31.0636
31.1064
29.0882
*
31.1407
34.5768
23.4762
32.8007
26.0096
28.0609
22.8591
27.9005
20.0633
23.8601
22.2585
23.7738
31.5754
21.6011
27.2234
24.2924
22.0479
33.3880
24.5645
26.3052
24.8540
26.4991
24.5272
29.7304
21.7084
21.6033
25.1022
*
22.2156
30.9590
30.1159
*
27.7908
30.2424
31.9981
29.5674
31.2804
28.7898
30.8727
33.0426
30.5507
29.6606
30.2897
29.6479
31.0150
27.4200
29.4199
28.7481
31.6605
*
20.5257
34.0021
29.4610
33.4267
Average
hourly wage**
(3 years)
21.3080
30.0224
24.3029
26.5861
28.9853
22.1661
21.5478
29.7348
24.8944
29.7176
30.5424
27.7224
18.4714
30.6976
33.0335
22.7087
30.7266
24.7677
28.1665
21.7047
27.4450
18.9182
21.3923
21.5748
23.4420
30.2370
22.0502
26.0060
24.5380
21.8312
32.5794
24.7827
25.6427
23.5883
24.9905
25.2129
28.5402
20.4154
21.0527
23.9470
18.8212
21.7484
29.8777
28.7418
28.4040
26.7261
28.4006
31.3389
28.5127
30.1111
28.2209
29.7602
31.8709
29.7260
28.9003
29.4131
28.4857
27.7895
26.6304
25.5710
29.1019
30.2562
27.9161
20.2837
32.6125
27.3150
32.2165
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23739
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
110203 .....................................................
110205 .....................................................
110209 .....................................................
110212 .....................................................
110214 .....................................................
110215 .....................................................
110219 .....................................................
110220 .....................................................
110221 .....................................................
110222 .....................................................
110223 .....................................................
110224 .....................................................
110225 .....................................................
110226 .....................................................
110228 .....................................................
110229 .....................................................
110230 .....................................................
120001 .....................................................
120002 .....................................................
120004 .....................................................
120005 .....................................................
120006 .....................................................
120007 .....................................................
120010 .....................................................
120011 .....................................................
120014 .....................................................
120019 .....................................................
120022 .....................................................
120026 .....................................................
120027 .....................................................
120028 .....................................................
120029 .....................................................
130002 .....................................................
130003 .....................................................
130006 .....................................................
130007 .....................................................
130013 .....................................................
130014 .....................................................
130018 .....................................................
130024 .....................................................
130025 .....................................................
130028 .....................................................
130049 .....................................................
130062 .....................................................
130063 .....................................................
130065 .....................................................
130066 .....................................................
130067 .....................................................
140001 .....................................................
140002 .....................................................
140007 .....................................................
140008 .....................................................
1400103 ....................................................
140B103 ...................................................
140011 .....................................................
140012 .....................................................
140013 .....................................................
140015 .....................................................
140018 .....................................................
140019 .....................................................
140026 .....................................................
140029 .....................................................
140030 .....................................................
140032 .....................................................
140033 .....................................................
140034 .....................................................
140040 .....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
0.9588
1.1768
0.6196
1.2087
***
1.3584
1.4002
***
***
***
***
***
1.2065
1.1952
0.8800
1.2950
1.3685
1.7874
1.2448
1.2549
1.2949
1.2614
1.6360
1.9848
1.4966
1.3531
1.1710
1.8673
1.4190
1.3261
1.2595
***
1.4057
1.4692
1.7566
1.7298
1.3634
1.2442
1.7489
1.1981
1.2309
1.4347
1.5627
***
1.4068
1.9441
2.0484
2.5439
1.1235
1.3464
1.4044
1.4402
1.4980
***
1.2146
1.3120
1.4671
1.3506
1.3731
0.9139
1.1531
1.5837
1.5087
1.2668
***
1.1683
1.2236
PO 00000
Frm 00213
Average
hourly wage
FY 2007
0.9760
0.8347
0.7840
0.8163
*
0.9760
0.9760
*
*
*
*
*
0.9760
0.9760
0.9760
0.9760
0.7840
1.1608
1.1219
1.1608
1.1219
1.1608
1.1608
1.1608
1.1608
1.1219
1.1219
1.1608
1.1608
1.1608
1.1608
*
0.9100
0.9560
0.9290
0.9290
0.9290
0.9290
0.9327
0.8272
0.7597
0.9103
1.0315
*
0.9290
0.9327
0.9504
*
0.8797
0.8993
1.0334
1.0334
1.0334
*
0.8428
1.0334
0.9043
0.8993
1.0334
0.8428
0.8743
1.0334
1.0334
0.8993
*
0.8993
0.9043
Fmt 4701
Sfmt 4702
29.7888
22.0207
21.1534
*
37.1450
27.5566
28.8814
37.5741
28.0500
35.6189
*
*
*
*
*
*
*
34.1385
32.3784
30.0668
31.1985
31.6785
30.2473
29.5714
37.1792
30.3463
30.4257
29.9527
32.4566
28.7905
32.4847
*
24.7871
28.6158
27.2158
28.7246
30.9609
27.2543
27.3439
23.6212
21.1998
27.2195
27.3597
25.6467
26.0955
21.9792
*
*
22.3001
27.0165
30.7378
29.1767
31.8806
*
23.8575
29.0336
23.9269
24.4687
26.3533
21.3438
25.9669
30.2688
30.2776
26.7310
27.9993
24.0470
23.2293
Average
hourly wage
FY 2008
32.3441
23.9738
21.2428
*
*
29.5238
32.2603
*
*
*
25.3071
33.6464
29.5373
*
*
*
*
39.6348
34.1709
31.3555
33.6942
34.2231
30.8773
30.8526
39.1941
30.9839
33.0114
32.5326
34.2244
29.5825
34.0451
44.6382
24.7266
28.6136
28.0048
30.4958
36.1570
27.5936
28.4041
24.8035
22.7962
28.4934
29.0185
29.1925
27.7607
30.4547
28.9883
21.3867
22.2003
27.4779
31.4024
31.8008
40.1360
40.1360
25.8864
31.8213
25.0951
24.6409
30.7398
22.3179
26.0493
36.7722
31.6822
27.5367
29.5256
24.4653
24.5589
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
32.0585
26.1963
22.4539
*
*
30.1770
33.4462
*
*
*
*
*
28.9757
32.1814
*
*
*
39.0344
37.7249
32.5141
35.1716
35.7058
35.0167
34.3338
44.0519
34.2101
36.1586
34.9024
35.8383
31.8146
34.6327
*
24.3491
29.8774
28.8325
31.2250
33.8909
28.2815
30.2030
25.3184
23.8581
29.3360
29.7190
28.3416
27.7664
25.8977
28.1483
26.8243
23.2221
29.1084
32.4342
32.7592
39.3702
39.3702
26.2125
31.9498
26.4178
25.2491
31.5604
22.2899
28.1690
36.3824
32.1110
28.5229
31.4328
26.7233
28.4995
Average
hourly wage**
(3 years)
31.3300
24.0311
21.6327
*
37.1450
29.1787
31.6155
37.5741
28.0500
35.6189
25.3071
33.6464
29.2212
32.1814
*
*
*
37.5738
34.7927
31.3602
33.3840
33.9086
31.9560
31.4351
40.3992
31.8841
33.2188
32.4610
34.2218
30.1238
33.7338
44.6382
24.6130
29.0074
28.0328
30.1204
33.6903
27.7157
28.6009
24.5765
22.6625
28.3737
28.7360
27.9024
27.1825
26.3095
28.5227
23.8814
22.5895
27.9303
31.5521
31.2208
36.3250
39.7545
25.4083
30.8913
25.1250
24.8022
29.4466
21.9787
26.7518
34.4448
31.3500
27.5996
29.1997
25.0924
25.3375
23740
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
140043
140046
140048
140049
140051
140052
140053
140054
140058
140059
140062
140063
140064
140065
140066
140067
140068
140075
140077
140080
140082
140083
140084
140088
140089
140091
140093
140094
140095
140100
140101
140103
140105
140110
140113
140114
140115
140116
140117
140118
140119
140120
140122
140124
140125
140127
140130
140133
140135
140137
140143
140145
140147
140148
140150
140151
140152
140155
140158
140160
140161
140162
140164
140166
140167
140172
140174
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
1.2647
1.4727
1.2788
1.5369
1.5614
1.3408
1.7853
1.4862
1.2320
1.0669
1.3719
1.4103
1.2191
1.4143
1.1167
1.8104
1.2321
1.2712
0.9374
1.4286
1.6302
0.9706
1.2689
1.8601
1.2292
1.7570
1.2251
1.0614
1.2067
1.4165
1.2742
1.1919
***
1.1348
1.5825
1.5001
1.2630
1.3668
1.5097
1.4623
1.8095
1.3098
1.5055
1.2504
1.1586
1.6283
1.2280
1.4054
1.4168
1.0555
1.1818
1.0941
1.0800
1.6364
1.6423
0.7986
***
1.3176
1.3565
1.1748
1.1449
1.5506
1.7462
1.1830
1.1518
1.3856
1.5880
PO 00000
Frm 00214
Average
hourly wage
FY 2007
0.8606
0.8993
1.0334
1.0334
1.0334
0.8993
0.9133
1.0334
0.8993
0.8993
1.0334
1.0334
0.9043
1.0334
0.8993
0.9043
1.0334
1.0334
0.8993
1.0334
1.0334
1.0334
1.0334
1.0334
0.8428
0.9353
0.9711
1.0334
1.0334
1.0334
1.0334
1.0334
*
1.0334
0.9353
1.0334
1.0334
1.0341
1.0334
1.0334
1.0334
0.9043
1.0334
1.0334
0.8993
0.9520
1.0334
1.0334
0.8840
0.8993
1.0334
0.8993
0.8428
0.9133
1.0334
1.0334
*
1.0334
1.0334
0.9756
0.8596
0.9520
0.8993
0.8428
0.8428
1.0334
1.0334
Fmt 4701
Sfmt 4702
27.3469
24.7334
29.3877
29.0976
30.9696
25.9617
27.4518
33.1406
24.6058
22.6743
34.1230
28.6559
23.8639
30.1856
22.1524
28.3506
28.3938
26.2626
20.3999
28.8791
28.3429
26.8919
30.5036
30.5450
24.1066
27.8536
28.3298
27.3841
28.7617
41.3374
29.4081
23.6406
29.5274
28.6364
29.5452
28.2151
26.0383
34.5537
27.7201
32.5518
34.2118
23.9724
30.5653
35.7563
22.7571
25.6668
32.6209
31.0269
23.3196
23.4174
27.4499
26.0875
21.0686
25.5677
52.0970
27.0312
30.2209
29.5734
27.3721
25.8684
25.2898
29.4121
24.6009
26.4800
22.8703
32.1220
30.5905
Average
hourly wage
FY 2008
29.8633
25.6230
30.6686
30.8617
32.1730
26.9907
28.4513
34.2378
25.2568
21.6230
36.8271
30.5465
25.7551
31.5510
22.0225
29.8982
26.7166
35.9507
21.6468
29.9067
31.0516
27.2189
30.7251
32.6866
24.9120
28.2095
28.6709
28.7647
29.7385
37.2961
28.9723
24.0926
29.6590
30.3432
30.2542
29.8316
25.4576
34.3876
30.9679
33.1987
32.2185
25.9275
30.2888
38.2191
26.5801
27.8363
32.5425
30.3259
24.6645
31.4349
26.1126
25.2040
21.1817
27.0038
35.5951
26.0825
29.8647
32.7960
30.4445
27.6905
28.8266
32.1810
25.9726
26.2875
24.9904
33.0926
31.2231
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
31.3736
25.7906
31.6262
32.0217
32.7506
26.7896
29.9472
34.5342
26.5660
22.8588
36.6461
31.1242
26.6231
32.4631
23.6295
30.6882
31.3440
33.6844
22.5061
30.3760
32.0539
26.1622
31.3281
34.0556
26.6942
29.4099
31.2955
28.8596
29.9452
37.3023
31.0048
25.3608
30.7135
31.3460
31.6124
31.1390
26.2578
34.1356
28.5785
33.6634
34.3896
26.2398
32.4728
38.8956
27.6333
29.3326
34.5053
32.8907
25.9046
*
27.0294
26.9326
22.1026
28.9453
45.8193
27.3539
32.2789
35.0804
32.1130
28.9023
28.8132
33.0967
27.3117
27.2398
24.2733
33.4586
34.2433
Average
hourly wage**
(3 years)
29.5994
25.3934
30.5704
30.6556
31.9766
26.5759
28.5957
33.9734
25.4975
22.3764
35.8580
30.0979
25.4620
31.3610
22.6003
29.6686
28.7631
31.5469
21.5537
29.7135
30.4270
26.6852
30.8596
32.5121
25.2540
28.5130
29.5310
28.3324
29.4617
38.5940
29.8038
24.3942
29.8404
30.1323
30.5020
29.7616
25.9061
34.3550
29.0528
33.1346
33.5609
25.4006
31.1094
37.6290
25.6694
27.6412
33.2090
31.4186
24.6639
26.5232
26.8354
26.0849
21.4534
27.2136
44.1226
26.8313
30.7789
32.3959
30.0627
27.4932
27.6822
31.5165
26.0022
26.6846
24.0635
32.9106
32.0655
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23741
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
140176
140177
140179
140180
140181
140182
140184
140185
140186
140187
140189
140191
140197
140200
140202
140206
140207
140208
140209
140210
140211
140213
140217
140223
140224
140228
140231
140233
140234
140239
140240
140242
140250
140251
140252
140258
140275
140276
140280
140281
140286
140288
140289
140290
140291
140292
140294
140300
140301
140303
150001
150002
150003
150004
150005
150006
150007
150008
150009
150010
150011
150012
150015
150017
150018
150021
150022
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
1.2311
0.9832
1.3098
1.1869
1.1559
1.4662
1.3087
1.4359
1.4967
1.5073
1.1619
1.3271
1.0759
1.5134
1.4541
1.2021
1.1245
1.6424
1.5750
1.0667
1.3317
1.2466
1.4736
1.4965
1.3728
1.4758
1.4738
1.6742
1.0951
1.5089
1.4543
1.5121
1.2451
1.3749
1.4509
1.5542
1.3633
1.9223
1.4877
1.7853
1.2031
1.4810
1.2801
1.3716
1.5227
1.1466
1.1034
1.1745
1.0712
2.1328
1.1896
1.4747
1.5897
1.4569
1.2612
1.3702
1.4525
1.4479
1.4395
1.5221
1.3308
1.5537
1.3616
1.8267
1.5912
1.8098
1.0584
PO 00000
Frm 00215
Average
hourly wage
FY 2007
1.0341
1.0334
1.0334
1.0334
1.0334
1.0334
0.8428
0.8993
1.0334
0.8993
0.8428
1.0334
1.0334
1.0334
1.0334
1.0334
1.0334
1.0334
0.9043
0.8428
1.0334
1.0334
1.0334
1.0334
1.0334
0.9862
1.0334
0.9862
0.8743
0.9862
1.0334
1.0334
1.0334
1.0334
1.0334
1.0334
0.8606
1.0334
0.8606
1.0334
1.0334
1.0334
0.8993
1.0334
1.0334
1.0334
0.8428
1.0334
1.0334
1.0334
0.9827
1.0328
0.8960
1.0328
0.9827
0.9353
0.9254
1.0328
0.9238
0.9254
0.9707
0.9644
0.9320
0.9004
0.9353
0.9004
0.8637
Fmt 4701
Sfmt 4702
32.9794
26.4340
29.3657
27.8887
25.0226
30.1755
25.2327
25.2423
29.8022
24.8332
22.5965
28.5836
24.0463
28.8435
32.7915
29.7953
26.0535
29.5380
26.3230
20.6954
30.3286
31.6926
32.1277
31.7267
29.6181
27.9456
30.0236
29.7093
24.5476
31.1879
31.5637
34.6120
29.6305
28.0622
34.4268
34.2333
27.8186
31.6359
24.9401
33.3903
30.3237
31.5197
23.8452
31.8135
31.9052
28.5094
24.0750
35.1494
49.9507
29.6470
28.9075
26.6222
26.7585
28.7336
29.5371
25.6265
29.4971
27.5703
25.4496
27.2272
25.3178
30.0348
28.0931
26.3973
27.3689
28.9196
23.1041
Average
hourly wage
FY 2008
32.6145
25.5725
30.2944
29.1352
27.6835
32.8972
26.6104
26.5398
30.7212
25.5873
24.7013
31.9943
24.9103
30.6641
32.9433
29.6275
28.2262
31.4035
29.7965
19.2053
31.4539
32.1031
32.9404
33.5083
31.2237
28.2855
34.8291
31.5168
25.7353
31.0918
32.7986
35.2351
31.2533
28.3598
35.8762
33.0093
28.5064
32.1048
26.6536
35.6589
32.0048
31.5944
25.6847
32.5247
33.8706
30.6917
26.1595
42.5240
39.4295
*
31.8089
27.6481
26.9771
30.9626
30.5367
27.1364
30.0500
27.0525
25.7616
28.4118
26.7686
31.2282
27.3811
26.3379
29.1137
30.0030
23.8971
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
33.2116
26.0709
31.3599
29.7982
27.3815
26.4085
27.5837
27.9409
41.2521
26.9246
29.1349
29.7497
24.8700
31.3692
34.3762
31.1376
31.6793
26.1728
27.4032
22.2507
34.5893
33.3902
33.2151
34.6969
30.1050
28.7440
35.2199
32.3348
25.7647
33.7241
28.0966
36.6696
32.9392
29.5921
36.1503
34.5667
26.7377
32.7052
26.9815
37.5673
32.2227
32.5446
26.0851
35.9647
32.7857
32.4476
26.9772
37.1204
38.0581
32.2920
32.9797
28.1057
29.0575
31.6781
31.6148
28.3389
31.0369
29.1473
26.1499
28.2599
27.7857
30.4819
30.1474
27.1249
30.0478
31.1140
26.8394
Average
hourly wage**
(3 years)
32.9375
26.0349
30.3150
28.9361
26.6876
29.5346
26.4843
26.5570
33.4222
25.7702
25.4810
30.0468
24.5943
30.2724
33.4137
30.1671
28.4326
28.8260
27.7656
20.7150
32.1847
32.4246
32.8054
33.3189
30.3035
28.3351
33.3358
31.1982
25.3480
31.9840
30.7320
35.4606
31.3008
28.6552
35.4953
33.9309
27.6728
32.1538
26.2013
35.5869
31.5106
31.8981
25.2075
33.4767
32.8705
30.3851
25.8209
38.1961
40.7701
30.8365
31.2747
27.6106
27.6017
30.3933
30.6086
27.0718
30.2270
27.9333
25.7891
27.9486
26.5785
30.5840
28.5072
26.6388
28.9018
30.0142
24.4351
23742
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
150023
150024
150026
150029
150030
150033
150034
150035
150037
150038
150042
150044
150045
150046
150047
150048
150051
150056
150057
150058
150059
150061
150064
150065
150069
150072
150074
150075
150076
150082
150084
150086
150088
150089
150090
150091
150097
150100
150101
150102
150104
150109
150112
150113
150115
150125
150126
150128
150129
150132
150133
150134
150146
150147
150149
150150
150153
150154
150155
150156
150157
150158
150159
150160
150161
150162
150163
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
1.5869
1.4757
1.3515
1.3421
1.1963
1.4204
1.4624
1.5482
1.2521
1.1402
1.3656
1.4443
1.0453
1.5575
1.7059
1.4375
1.6111
1.9795
2.0656
1.6334
1.4852
1.1299
1.2404
1.2493
1.1831
1.1283
1.4309
1.1406
1.2974
1.5914
1.8344
1.2227
1.2980
1.5552
1.5584
1.1569
1.1855
1.6039
1.0840
1.0268
1.1443
1.5465
1.4960
1.2097
1.3474
1.5500
1.3476
1.4329
1.1906
***
1.2148
***
1.1296
1.4431
0.9337
1.3583
2.3079
2.4814
***
***
1.7719
1.2495
***
2.0971
1.6006
1.8254
1.0174
PO 00000
Frm 00216
Average
hourly wage
FY 2007
0.9707
0.9827
0.9353
0.9644
0.9707
0.9827
1.0328
0.9320
0.9827
0.9827
0.8791
0.9238
0.9004
0.9130
0.9004
0.9583
0.9707
0.9827
0.9827
0.9644
0.9827
0.8479
0.8479
0.9707
0.9583
0.8584
0.9827
0.9004
0.9353
0.8525
0.9827
0.9583
0.9707
0.8479
1.0328
0.9004
0.9827
0.8525
0.9004
0.9320
0.9827
0.8960
0.9707
0.9707
0.8479
1.0328
1.0328
0.9827
0.9827
*
0.9353
*
0.9547
1.0328
0.8525
0.9004
0.9827
0.9827
*
*
0.9827
0.9827
*
0.9827
0.9827
0.9827
0.9238
Fmt 4701
Sfmt 4702
26.9095
28.1655
28.6517
28.7187
29.1493
28.6838
28.6429
26.9700
31.0935
29.3156
22.8786
25.2137
26.9818
24.5593
25.5194
27.1233
26.5655
28.8727
28.9529
29.1444
31.4987
21.3711
25.4987
27.9283
26.2028
21.2120
25.9321
25.1568
29.3249
28.3494
31.1720
25.1992
27.2103
24.7233
30.4835
30.4234
27.7468
25.7997
29.0301
25.7424
28.2552
25.3367
28.0068
24.7960
22.0747
27.6535
28.9454
28.7810
29.7398
27.6560
25.1322
26.3249
29.5256
27.2339
23.7026
27.0542
32.1022
29.8514
45.0121
25.9681
*
*
*
*
*
*
*
Average
hourly wage
FY 2008
27.7520
28.4170
30.4967
29.9307
29.3588
29.7744
28.0434
27.8904
29.0161
33.0112
25.1403
25.2685
27.5340
26.5876
25.8497
28.1525
28.9157
29.3500
30.3287
29.1255
31.3362
22.6746
28.7978
30.2053
26.0909
21.7644
28.5655
25.7245
30.1120
26.4544
33.1784
26.6745
29.1509
24.8045
30.6412
32.1627
29.1359
26.9724
30.5475
25.8742
28.7788
26.8464
29.8540
25.9814
22.5793
29.3596
29.4300
29.5008
31.4317
*
24.2538
21.6740
30.3343
26.1646
24.9629
26.7700
35.0617
29.8894
*
*
32.3106
*
*
*
*
*
*
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
30.3560
30.6133
31.9378
29.7461
31.1964
33.1990
30.0027
29.2014
30.4623
31.9539
25.2440
25.9260
29.4308
27.6210
27.1835
29.5578
30.3742
30.5758
29.1268
31.7536
36.2553
23.2415
28.9419
30.8254
27.0720
23.0612
29.4124
26.5972
29.2703
28.1280
34.8522
27.2568
30.2378
26.7270
30.8754
33.0402
29.4776
27.6326
31.6018
25.4704
30.8970
28.7412
31.7711
26.9088
22.3560
31.2081
32.5356
31.1046
32.9621
*
23.0651
27.3963
31.8743
28.9248
25.3324
26.5963
37.3920
30.5758
*
*
32.9148
30.4337
27.5574
28.6108
*
*
*
Average
hourly wage**
(3 years)
28.3734
29.0364
30.4512
29.4587
29.9386
30.5371
28.9357
28.0374
30.1390
31.4556
24.4073
25.4830
27.9971
26.2766
26.1904
28.3255
28.6837
29.6152
29.4500
30.0001
33.0486
22.4414
27.8440
29.6617
26.4651
21.9963
28.0120
25.8595
29.5697
27.6224
33.0904
26.4089
28.8855
25.4200
30.6754
31.9030
28.7947
26.7725
30.3780
25.6892
29.3100
26.9892
29.8902
25.9097
22.3407
29.4320
30.2297
29.8290
31.3709
27.6560
24.1076
24.7453
30.6315
27.6245
24.7398
26.7808
35.1885
30.1310
45.0121
25.9681
32.6153
30.4337
27.5574
28.6108
*
*
*
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23743
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
150164
150165
150166
160001
160005
160008
160013
160016
160024
160028
160029
160030
160032
160033
160040
160045
160047
160057
160058
160064
160067
160069
160079
160080
160082
160083
160089
160101
160104
160110
160112
160117
160122
160124
160146
160147
160153
160155
170001
170006
170009
170010
170012
170013
170014
170016
170017
170020
170023
170027
170033
170039
170040
170049
170058
170068
170074
170075
170086
170094
170103
170104
170105
170109
170110
170114
170120
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
1.1402
1.3537
1.0260
1.2035
1.2221
1.0503
1.1826
1.5621
1.5070
1.3546
1.5290
1.4497
1.0815
1.6123
1.3560
1.6650
1.3438
1.3696
1.9928
1.5613
1.3956
1.5119
1.4505
1.2258
1.7394
1.6319
1.2114
1.1157
1.6343
1.4968
1.2363
1.3763
1.1372
1.1221
1.4330
1.2223
1.6977
2.0066
1.1220
1.3222
1.0785
1.2334
1.6303
1.7166
1.0389
1.5893
1.1359
1.5631
1.4632
1.4379
1.3317
0.9397
1.9332
1.5092
1.0992
1.2130
1.1942
0.8436
1.5732
0.9157
1.2784
1.4059
1.1156
1.0350
0.8962
0.5755
1.3720
PO 00000
Frm 00217
Average
hourly wage
FY 2007
0.9419
0.9320
0.9320
0.8881
0.8709
0.8709
0.8888
0.8881
0.9460
0.9360
0.9337
0.9457
0.8944
0.8709
0.9248
0.8746
0.9360
0.9107
0.9337
0.9248
0.9248
0.8709
0.8746
0.8709
0.9460
0.9460
0.9107
0.9460
0.8709
0.9248
0.8709
0.8709
0.8709
0.8709
0.8745
0.8881
0.8745
0.8709
0.8086
0.9351
0.9453
0.8086
0.8785
0.8785
0.9453
0.8873
0.8980
0.8785
0.8785
0.8086
0.8086
0.8980
0.9453
0.9453
0.8086
0.8885
0.8086
0.8086
0.8873
0.8086
0.8980
0.9453
0.8086
0.9453
0.8086
*
0.9351
Fmt 4701
Sfmt 4702
*
*
*
24.5108
23.1034
22.1402
24.0956
24.5338
27.4158
27.8535
28.7324
28.7786
25.4662
26.5315
25.9032
26.6463
26.0227
25.1272
28.4167
28.7668
24.8137
27.4473
24.7372
25.8252
27.4718
27.3004
23.2149
25.0503
28.1891
26.6633
24.7957
25.4659
23.9177
22.5482
22.6949
28.6303
29.9378
*
23.1260
24.2068
30.9025
23.9707
26.1367
25.2476
23.8135
25.8061
26.9657
23.2757
24.0561
23.1766
21.9709
26.9852
28.4458
25.2070
22.9210
23.0635
23.7829
19.7760
26.1362
21.5295
23.8042
26.2990
21.9606
23.1088
23.3260
*
22.0253
Average
hourly wage
FY 2008
*
*
*
25.7255
24.7755
22.4758
24.4099
27.1460
29.3756
30.0576
30.6687
30.9415
26.2935
27.2060
26.8110
27.5289
28.1280
25.6274
28.9924
28.4209
26.0243
27.6157
26.1618
27.2370
28.7831
28.3921
23.2888
25.4740
29.8126
28.8134
25.2886
27.3927
24.4996
24.3063
24.8485
29.8992
30.6173
*
23.8863
27.1033
29.6386
25.5573
27.1195
26.7124
24.2322
26.7536
27.2925
24.1149
23.9812
23.4037
24.1882
26.0952
30.2468
26.4086
26.5949
23.8812
23.0567
19.9351
26.3615
16.5136
24.2003
27.6211
22.7412
23.8515
23.9572
*
22.2805
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
*
*
*
25.8676
24.8586
24.1271
25.5144
26.6516
32.4228
29.8324
32.2010
30.4757
28.5629
27.4787
28.2966
28.1662
29.4261
27.7953
29.8956
33.6067
26.7671
28.4064
28.5014
27.8729
31.7482
29.9472
23.9184
26.8503
27.0516
29.9071
26.1706
24.3309
25.3176
25.5031
25.1816
33.6376
30.4338
*
24.5932
28.3509
32.2817
28.1793
28.7852
28.3035
25.8151
28.6802
29.1445
25.0539
24.8758
24.1118
25.0393
23.5961
30.0807
31.8575
28.1316
23.8492
24.8855
21.1954
28.5234
17.1709
25.5653
29.5069
23.4317
29.0177
24.7910
*
23.5271
Average
hourly wage**
(3 years)
*
*
*
25.3903
24.2778
22.9093
24.6765
26.0785
29.7117
29.2977
30.5406
30.0901
26.7834
27.0636
27.0153
27.4620
27.7499
26.1996
29.1104
30.2004
25.8721
27.8032
26.4591
26.9717
29.3428
28.5559
23.4747
25.8119
28.2560
28.6042
25.4488
25.6596
24.5888
24.1100
24.2135
30.7344
30.3298
*
23.8766
26.6135
30.9531
25.9458
27.3256
26.7042
24.6246
27.0793
27.8530
24.1602
24.3255
23.5721
23.6609
25.4102
29.6659
27.9185
25.7970
23.5912
23.9145
20.2943
27.0437
18.5438
24.5527
27.8074
22.7174
25.4500
24.0231
*
22.6059
23744
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
170122
170123
170133
170137
170142
170145
170146
170147
170150
170166
170175
170176
170180
170182
170183
170185
170186
170187
170188
170190
170191
170192
170193
170194
170195
170196
170197
170198
180001
180002
180004
180005
180007
180009
180010
180011
180012
180013
180016
180017
180018
180019
180020
180021
180024
180025
180027
180029
180035
180036
180037
180038
180040
180043
180044
180045
180046
180048
180049
180050
180051
180053
180056
180064
180066
180067
180069
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
1.6975
1.6684
1.0196
1.3249
1.3711
1.0867
1.5002
***
1.1410
1.0165
1.4832
1.5583
***
1.4504
1.9858
1.2572
2.5220
1.6421
1.9852
1.0158
1.8259
1.7639
1.3485
1.2331
2.4249
2.4635
2.3250
1.9320
1.3069
1.0662
1.0759
1.1460
1.5443
1.7525
1.8312
1.6281
1.4715
1.5001
1.2868
1.3104
1.3551
1.1134
1.0616
0.9634
1.1593
1.2308
1.2008
1.4670
1.4807
1.3287
***
1.5441
1.8313
1.1741
1.5998
1.3277
1.0026
1.3531
1.4067
1.1306
1.2266
0.9909
1.1314
1.2227
1.1136
1.9454
1.0930
PO 00000
Frm 00218
Average
hourly wage
FY 2007
0.8980
0.8980
0.9453
0.8086
0.8720
0.8086
0.9453
*
0.8252
0.8086
0.8785
0.9453
*
0.9453
0.8980
0.9453
0.8980
0.8086
0.9453
0.8720
0.8086
0.8980
0.8785
0.9453
0.9453
0.8980
0.8980
0.8086
0.9590
0.8062
0.7837
0.8767
0.8950
0.9127
0.8950
0.8756
0.9123
0.9276
0.9245
0.8230
0.7837
0.7837
0.7837
0.7837
0.9123
0.9245
0.8302
0.8756
0.9590
0.9127
*
0.8764
0.9245
0.7978
0.8767
0.9590
0.8950
0.9123
0.8756
0.7919
0.8302
0.7837
0.8531
0.8151
0.9276
0.8950
0.8767
Fmt 4701
Sfmt 4702
26.6605
27.6653
23.1226
24.7096
23.9527
23.2162
29.8858
22.4973
20.9448
21.0762
25.6281
27.2332
32.5010
27.3503
25.8340
27.8139
32.8392
22.8493
30.6844
22.9540
22.1197
26.2724
20.6821
29.9014
30.1001
*
*
*
27.6917
25.7862
22.0797
24.9779
25.7042
26.4101
25.6153
25.5463
25.6000
23.7075
24.8408
21.8885
20.9857
24.0283
24.6953
20.7950
31.1159
22.6897
20.8303
25.6479
31.0794
25.2972
26.3132
26.0440
27.9979
20.9326
24.4569
27.4732
27.1034
23.9230
22.4769
26.3604
23.5299
21.3044
24.3074
17.1009
22.2713
26.0238
26.3701
Average
hourly wage
FY 2008
28.7175
27.0843
25.2301
25.3395
24.6019
23.3967
29.0720
24.3268
19.6160
22.6968
26.7229
29.0735
*
28.9710
26.1890
28.1780
30.2613
24.1461
32.2573
26.2625
24.3813
27.7421
24.8531
27.6989
29.5947
32.1832
*
*
29.7423
26.5488
20.8805
25.6159
27.1924
27.3228
27.7600
24.9909
26.7279
24.8125
24.7091
21.9715
23.3035
24.6279
25.9975
22.0740
26.3532
28.5935
21.7639
26.1528
32.8461
25.6959
27.8506
26.9752
28.5162
20.6439
25.8060
29.4127
27.0962
24.3696
24.3699
25.9557
24.3916
22.1921
24.5326
20.1799
23.7860
27.9852
26.6714
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
29.6314
28.7608
25.7108
26.8014
25.5550
25.3728
31.6994
21.4565
22.0251
24.1063
31.7582
30.1114
*
30.3781
27.7178
29.3202
30.7638
24.6391
33.7221
27.3023
26.0279
30.9200
24.4126
28.1972
29.1763
29.9641
*
*
29.9655
27.3339
22.0615
27.4304
26.9425
28.7030
28.1667
25.0355
27.2829
26.8088
26.9522
25.4164
23.9155
27.6787
26.8856
22.3752
26.9538
28.4153
23.3873
26.3892
34.0348
30.2621
33.1874
28.2413
30.2450
24.0566
25.7978
29.9346
28.5552
24.6786
23.5737
26.7714
25.2356
23.0290
26.3959
21.9508
24.9530
29.6029
27.6777
Average
hourly wage**
(3 years)
28.2843
27.8479
24.7246
25.6444
24.7027
23.9852
30.2197
23.0046
20.8653
22.6638
28.0191
28.8494
32.5010
28.8971
26.5683
28.5075
31.2790
23.8933
32.2678
25.5425
24.3247
28.4741
22.9315
28.5250
29.5492
30.9601
*
*
29.1412
26.5496
21.6721
26.0705
26.6126
27.5584
27.1559
25.1733
26.5352
25.0983
25.4644
23.1027
22.7447
25.4951
25.8897
21.7644
28.0398
26.7267
21.9095
26.0660
32.7266
27.0558
29.1431
27.1328
28.9050
21.9172
25.3776
28.9840
27.5846
24.3395
23.4731
26.3675
24.4156
22.2290
25.0679
19.7362
23.6732
27.9902
26.8870
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23745
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
180070
180078
180079
180080
180087
180088
180092
180093
180095
180101
180102
180103
180104
180105
180106
180115
180116
180117
180124
180127
180128
180130
180132
180138
180139
180141
180143
180144
180147
180148
180149
180150
190001
190002
190003
190004
190005
190006
190007
190008
190009
190011
190013
190014
190015
190017
190019
190020
190025
190026
190027
190034
190036
190037
190039
190040
190041
190044
190045
190046
190050
190053
190054
190060
190064
190065
190078
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
1.1929
1.0594
1.1477
1.2693
1.2269
1.7069
1.1677
1.6170
1.0117
1.3146
1.5042
2.0473
1.5676
0.9511
0.8902
0.9040
1.1839
0.9408
1.3223
1.3584
0.9392
1.6779
1.4346
1.1879
1.0065
1.8666
1.6777
***
***
***
1.0087
1.8775
1.0903
1.5733
1.4214
1.5112
1.5223
1.2838
1.1753
1.7450
1.3606
1.0090
1.5563
1.2264
1.3070
1.4841
1.7201
1.2827
1.3344
1.6101
1.6236
1.2092
1.6604
***
1.5115
1.4212
1.4648
1.2898
1.5439
1.4309
1.1484
1.2074
1.3250
1.4709
1.6110
1.5904
1.0906
PO 00000
Frm 00219
Average
hourly wage
FY 2007
0.8077
0.8767
0.8096
0.7889
0.7837
0.9245
0.8950
0.8131
0.7837
0.8950
0.8302
0.8950
0.8302
0.7837
0.7837
0.7837
0.8320
0.7837
0.9276
0.9123
0.7837
0.9245
0.8756
0.9245
0.7837
0.9245
0.8950
*
*
*
0.7837
0.9245
0.7682
0.8438
0.8438
0.7870
0.9140
0.8438
0.7682
0.7870
0.8127
0.7961
0.7682
0.7682
0.9140
0.8438
0.8127
0.8142
0.7682
0.8127
0.7682
0.7871
0.9140
*
0.9140
0.9140
0.8547
0.7943
0.9140
0.9140
0.7726
0.7783
0.7767
0.7682
0.8142
0.8142
0.7869
Fmt 4701
Sfmt 4702
20.6741
27.6806
20.2100
21.5818
20.8841
28.0916
23.7909
20.5807
17.9146
27.4506
21.0896
28.4583
25.6157
21.6002
20.2884
20.5539
23.5354
22.8469
24.8292
24.6774
22.6056
27.8900
24.5105
28.1901
23.3569
25.3357
28.1924
29.5052
*
*
*
*
22.1394
23.3368
25.8294
25.3473
22.6029
22.7979
21.8205
24.6074
21.1005
21.4052
21.4573
22.7151
23.7789
24.5390
24.0468
22.1967
23.5007
23.7702
24.3006
20.7334
25.4164
19.4071
24.4386
28.6297
28.5376
20.9993
25.8238
23.8552
21.0259
17.9788
23.1471
23.7393
23.1358
22.1880
22.2431
Average
hourly wage
FY 2008
20.2189
28.2762
23.6005
23.7788
22.0302
28.6107
23.7866
21.4392
21.5639
28.1621
25.2343
28.1734
25.9689
23.1917
20.7220
20.3089
25.8927
24.7378
25.4664
26.3947
23.8144
29.1712
25.3789
28.6871
24.7575
27.5912
30.8734
*
31.1615
30.1250
*
*
22.1569
24.6984
26.7844
25.0803
24.2899
24.8836
23.1426
26.3638
24.0696
21.6991
23.7333
22.6405
25.1767
24.7537
25.4624
23.4602
24.5024
24.1556
26.7132
21.2130
25.6551
20.7271
25.4003
28.0169
28.0050
21.2604
27.1996
24.7370
20.9142
18.5819
22.7011
22.6291
23.7298
23.1202
22.2346
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
21.3693
29.2125
24.9898
25.2996
22.1044
30.7936
25.2884
22.3324
21.2154
28.8758
27.3887
29.7626
27.1274
24.3659
21.2265
22.7088
26.8836
24.9567
27.1341
28.3610
23.7770
29.6725
29.0546
29.2584
26.2434
28.7307
28.2122
*
*
*
16.4909
*
22.5328
25.9371
28.0895
24.6536
28.3303
25.2490
24.0527
27.2663
25.0269
21.9165
22.8372
24.5399
26.9572
25.5465
27.5462
24.2346
26.5944
25.3736
31.5026
22.9658
30.2172
28.0447
24.6075
28.2426
28.7683
22.2461
27.5854
*
22.7951
20.6282
23.5129
19.8899
26.9941
22.9847
25.6940
Average
hourly wage**
(3 years)
20.7657
28.3867
22.8630
23.5872
21.6767
29.1743
24.3103
21.4596
20.0750
28.2013
24.3942
28.8044
26.2415
23.0870
20.7447
21.1833
25.4592
24.2081
25.8362
26.4554
23.4109
28.9399
26.3805
28.7287
24.7763
27.2557
29.0557
29.5052
31.1615
30.1250
16.4909
*
22.2811
24.6300
26.9253
25.0228
24.2844
24.3632
23.0456
26.0087
23.3881
21.6827
22.6699
23.2756
25.3336
24.9732
25.7258
23.3365
24.8092
24.4572
27.4175
21.6044
26.9231
21.7538
24.8194
28.2870
28.4375
21.5123
26.9044
24.2936
21.5828
19.0432
23.1218
21.9229
24.6370
22.7749
23.4396
23746
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
190079
190081
190086
190088
190090
190098
190099
190102
190106
190111
190114
190115
190116
190118
190122
190124
190125
190128
190131
190133
190135
190140
190144
190145
190146
190151
190152
190158
190160
190161
190162
190164
190167
190175
190176
190177
190182
190183
190184
190185
190190
190191
190196
190197
190199
190200
190201
190202
190203
190204
190205
190206
190208
190218
190236
190241
190242
190245
190246
190247
190248
190249
190250
190251
190252
190253
190254
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
1.1812
0.8736
1.2760
1.1378
1.0338
1.7595
1.0153
1.5441
1.1415
1.6311
1.0602
1.2209
1.1880
0.9844
1.4015
***
1.5711
1.0269
1.3325
0.9162
1.6174
0.9876
1.2672
0.9764
1.5575
0.9239
1.1740
***
1.5637
1.0278
***
1.1308
1.2763
1.2783
1.7856
1.6464
***
1.2357
0.9592
***
0.9248
1.3760
0.9701
***
1.1052
***
1.2572
1.5245
***
1.4475
1.6677
2.0426
0.8467
1.0293
1.4591
2.2461
1.1726
1.6582
1.8467
***
***
1.7284
2.1126
1.3045
***
***
***
PO 00000
Frm 00220
Average
hourly wage
FY 2007
0.9140
0.7682
0.7785
0.8547
0.7682
0.8547
0.7871
0.8438
0.8127
0.8547
0.7682
0.8547
0.7767
0.8547
0.8142
*
0.7961
0.8142
0.8142
0.7784
0.9140
0.7717
0.8547
0.7772
0.9140
0.7682
0.9140
*
0.7961
0.7682
*
0.8127
0.8438
0.9140
0.9140
0.9140
*
0.7870
0.7785
*
0.7843
0.8438
0.8438
*
0.8142
*
0.7682
0.8142
*
0.9140
0.8438
0.9140
0.7682
0.8547
0.8547
0.7870
0.8142
0.7961
0.7843
*
*
0.8142
0.9140
0.8142
*
*
*
Fmt 4701
Sfmt 4702
24.0985
20.0121
22.0610
23.8562
23.1241
25.6854
22.0610
27.3126
23.5376
25.5729
17.2678
28.2066
22.3710
22.8809
22.0072
26.0032
25.5463
28.3257
27.8465
18.2045
27.7540
18.9652
22.9181
19.9265
27.4824
18.7467
28.1334
26.4787
22.9325
22.6187
25.2953
25.2560
26.4669
26.0547
25.8826
27.7792
27.1682
22.6928
24.9476
25.6394
24.3327
24.1923
24.0385
25.8071
27.3304
28.8173
25.1010
27.6084
28.1832
28.1033
26.6832
26.7401
28.7308
26.7262
24.7142
25.2123
24.8461
25.5751
*
32.7499
23.2220
20.0468
31.5101
21.4464
23.6924
22.8060
32.9290
Average
hourly wage
FY 2008
23.8192
21.4510
22.2895
23.1638
24.3303
25.7449
23.2343
26.9700
26.6227
26.5722
19.1586
26.0797
23.4013
21.2580
22.2371
27.9484
24.8256
29.6682
28.6795
22.4311
30.5646
23.0485
23.7875
20.8579
28.7200
18.8391
30.8512
30.6450
24.7822
22.9035
*
26.6207
25.3283
27.4256
26.2596
28.2751
29.8656
22.0119
24.1626
28.9759
26.7043
26.1628
25.8472
26.4825
32.0194
27.4781
24.4563
29.6612
29.9753
30.5140
28.2484
29.2371
27.9908
28.1039
26.4614
25.7906
25.0035
26.7642
22.7833
*
*
25.2523
33.3302
23.8389
*
23.8037
*
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
25.3327
20.4101
22.2837
24.7445
25.8607
27.5043
25.7481
28.3071
24.2755
27.3180
20.3639
26.0278
24.2156
22.6571
22.8671
28.6694
26.6254
31.1762
28.5938
23.9545
35.0524
23.6705
24.8858
21.3982
28.5963
20.6962
34.6485
21.9727
25.8632
23.8066
*
27.7247
27.1969
30.5928
*
29.7229
30.7038
23.3452
22.6137
36.7292
27.5056
26.9649
27.7801
28.7026
36.7076
*
26.8537
*
*
32.9125
30.1674
32.0163
24.9395
26.5243
26.9046
26.5307
26.9715
26.4147
31.7133
*
*
27.0954
32.8347
25.1576
*
22.2212
*
Average
hourly wage**
(3 years)
24.4472
20.6028
22.2151
23.9122
24.3672
26.3126
23.6613
27.5010
24.7510
26.5044
18.9135
26.7727
23.3424
22.2425
22.4040
27.4838
25.6717
29.7845
28.3736
22.0666
30.2944
21.8176
23.8764
20.7221
28.2726
19.4061
30.9971
27.7355
24.4460
23.1213
25.2953
26.5855
26.3225
28.0066
26.0715
28.5969
29.2917
22.7038
23.9160
29.7365
26.1460
25.7635
25.9541
26.9781
31.6410
28.3200
25.4868
28.6936
29.0343
30.3814
28.3935
29.3053
26.8779
27.0954
26.0708
25.8664
25.6625
26.2436
27.5712
32.7499
23.2220
23.4238
32.5070
23.4538
23.6924
23.0780
32.9290
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23747
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
190255
190256
190257
190258
190259
190260
190261
190262
190263
190264
190265
190266
190267
190268
190270
190272
190273
190274
190275
190276
190277
200001
200002
200008
200009
200018
200019
200020
200021
200024
200025
200031
200032
200033
200034
200037
200039
200040
200041
200050
200052
200063
210001
210002
210003
210004
210005
210006
210007
210008
210009
210011
210012
210013
210015
210016
210017
210018
210019
210022
210023
210024
210025
210027
210028
210029
210030
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
0.7692
0.8038
1.6689
***
2.0814
***
1.3897
***
2.3211
***
***
2.3213
1.3728
1.6840
1.8665
1.2748
1.7599
1.6077
1.3329
0.8985
0.8585
1.3378
1.1591
1.3906
1.9207
1.3207
1.2779
1.3255
1.2204
1.6748
1.1710
1.3018
1.1782
1.8241
1.3255
1.1982
1.2970
1.2039
1.2079
1.2398
1.1153
1.1834
1.3549
1.9987
1.6222
1.4250
1.2610
1.0725
1.7994
1.4105
1.6490
1.3847
1.5973
1.1768
1.2997
1.6120
1.2904
1.2011
1.7205
1.4645
1.4878
1.8236
1.2388
1.4130
1.0692
1.2751
1.1883
PO 00000
Frm 00221
Average
hourly wage
FY 2007
0.8438
0.9140
0.7785
*
0.8438
*
0.7961
*
0.8438
*
*
0.8142
0.9140
0.8438
0.9140
0.8438
0.8142
0.9140
0.9140
0.8547
0.8069
1.0115
0.8609
0.9927
0.9927
0.8609
0.9927
1.0007
0.9927
0.9644
0.9927
0.8609
0.9075
1.0115
0.9644
0.8609
0.9644
0.9927
0.8609
1.0115
0.8609
0.8609
0.9460
0.9981
1.0670
1.1018
1.1018
0.9981
0.9981
0.9981
0.9981
0.9981
0.9981
0.9981
0.9981
1.1018
0.8795
1.1018
0.9194
1.1018
1.0060
0.9981
0.8795
0.8795
0.9307
0.9981
0.8795
Fmt 4701
Sfmt 4702
22.2412
*
*
31.3715
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
*
25.2542
25.7212
27.7137
30.7510
23.5632
25.6649
32.6436
27.1381
27.5410
26.3124
21.2370
26.3322
29.3108
27.0582
24.1732
25.1179
25.9893
24.9670
27.6825
22.5159
25.8623
28.2858
32.3005
34.1109
33.6056
28.9554
25.9005
31.8767
24.3341
27.7900
30.8575
30.3078
28.5328
29.9261
32.3506
25.1890
29.5533
27.3731
35.4727
32.1812
30.6359
23.8552
24.6343
26.3469
31.0266
26.9763
Average
hourly wage
FY 2008
16.1593
25.9577
26.5505
26.1141
26.5084
29.3947
27.0441
30.3719
26.4202
26.5842
22.6231
*
*
*
*
*
*
*
*
*
*
26.3045
27.1151
29.1836
32.5812
22.5027
27.7896
34.0916
29.2054
29.7817
28.5750
22.2151
26.8993
31.7007
27.0103
24.9418
26.6409
27.8053
26.6777
29.5033
24.4204
27.9748
29.3471
33.7388
30.7334
31.7132
29.5835
27.3620
30.7124
28.8850
30.2661
31.0966
31.1778
28.9917
32.2774
33.5493
26.8592
29.6521
28.7844
37.3092
33.0212
32.9434
24.8570
24.4821
26.7462
31.8539
32.2033
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
23.8013
25.9352
22.7493
25.1970
27.5500
33.6205
25.4725
*
29.7034
*
30.9242
24.3790
24.2777
29.1407
*
28.4541
*
*
*
*
*
28.1124
33.2665
29.3519
35.0717
24.6780
28.3393
34.5740
28.7597
30.9932
29.3588
23.7539
27.2259
33.6270
28.0397
26.7798
28.8029
25.5506
27.5049
30.1456
25.6220
28.2184
31.2328
36.0222
28.2547
33.9015
32.4052
27.9844
31.4098
31.8512
31.8249
30.7517
32.5280
32.1151
31.6875
35.3218
26.6187
31.5431
30.5458
36.1806
34.1635
34.5523
23.5138
25.2106
28.5196
32.9078
29.1777
Average
hourly wage**
(3 years)
20.1015
25.9454
24.6724
27.3097
27.0088
31.1711
26.2680
30.3719
28.0032
26.5842
27.1318
24.3790
24.2777
29.1407
*
28.4541
*
*
*
*
*
26.5658
28.3561
28.7769
32.7319
23.5929
27.2843
33.7902
28.4046
29.4721
28.1289
22.4062
26.8277
31.6171
27.3625
25.3841
26.8816
26.3685
26.3961
29.1592
24.1936
27.3991
29.6476
34.1104
30.8148
33.0686
30.3394
27.0796
31.3077
28.2947
29.9840
30.9025
31.3781
29.7726
31.3239
33.6933
26.2235
30.2539
28.9499
36.3038
33.1583
32.7596
24.0665
24.7916
27.2373
31.9592
29.4507
23748
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
210032 .....................................................
210033 .....................................................
210034 .....................................................
210035 .....................................................
210037 .....................................................
210038 .....................................................
210039 .....................................................
210040 .....................................................
210043 .....................................................
210044 .....................................................
210045 .....................................................
210048 .....................................................
210049 .....................................................
210051 .....................................................
210054 .....................................................
210055 .....................................................
210056 .....................................................
210057 .....................................................
210058 .....................................................
210060 .....................................................
210061 .....................................................
220001 .....................................................
220002 .....................................................
220006 .....................................................
220008 .....................................................
220010 .....................................................
220011 .....................................................
220012 .....................................................
220015 .....................................................
220016 .....................................................
220017 .....................................................
220019 .....................................................
220020 .....................................................
220024 .....................................................
220025 .....................................................
220028 .....................................................
220029 .....................................................
220030 .....................................................
220031 .....................................................
220033 .....................................................
220035 .....................................................
220036 .....................................................
220046 .....................................................
220049 .....................................................
220050 .....................................................
220051 .....................................................
220052 .....................................................
220058 .....................................................
220060 .....................................................
220062 .....................................................
220063 .....................................................
220065 .....................................................
220066 .....................................................
220067 .....................................................
220070 .....................................................
220071 .....................................................
220073 .....................................................
2200744 ....................................................
220B744 ...................................................
220075 .....................................................
220076 .....................................................
220077 .....................................................
220080 .....................................................
220082 .....................................................
220083 .....................................................
220084 .....................................................
220086 .....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
1.1828
1.1640
1.2631
1.3018
1.2037
1.1889
1.1193
1.2216
1.3058
1.3653
0.9952
1.3768
1.2275
1.2948
1.2558
1.2394
1.3104
1.3542
1.1208
1.2448
1.2566
1.2273
1.3729
***
1.2887
1.2326
1.1369
1.4655
1.2984
1.1282
1.3194
1.0429
1.1312
1.2349
1.0377
***
1.1472
1.1059
1.5532
1.1976
1.4173
1.5119
1.4449
1.2309
1.0897
1.3081
1.1432
1.0116
1.1603
0.6341
1.2647
1.2613
1.3284
1.2302
1.1429
1.8365
1.1896
1.3507
***
1.5438
***
1.6655
1.1645
1.2899
1.0693
1.2134
1.7222
PO 00000
Frm 00222
Average
hourly wage
FY 2007
1.0645
0.9981
0.9981
1.0670
0.8795
0.9981
1.0670
0.9981
1.0060
0.9981
0.9194
0.9981
0.9981
1.0670
1.0670
1.0670
0.9981
1.1018
0.9981
1.0670
0.8983
1.1338
1.1338
*
1.1338
1.1338
1.1338
1.2672
1.0343
1.0343
1.1994
1.1338
1.1338
1.0343
1.1338
*
1.1338
1.0343
1.1994
1.1338
1.1338
1.1994
1.0445
1.1338
1.0343
1.0199
1.1994
1.1338
1.1994
1.1338
1.1338
1.0343
1.0343
1.1994
1.1338
1.1994
1.1338
1.1338
*
1.1994
*
1.0972
1.1338
1.1338
1.1994
1.1338
1.1994
Fmt 4701
Sfmt 4702
27.0727
28.5534
30.2908
28.6484
27.3287
29.8121
30.4991
28.3559
26.6524
29.7339
14.2223
27.5043
26.0900
29.8892
27.4328
30.6941
30.0810
31.6787
31.0873
27.1764
23.1645
30.6070
32.4356
30.7673
31.3385
30.7804
34.7655
37.8763
29.6315
30.4813
31.6170
24.4009
28.5288
28.7342
25.6478
31.7122
30.6935
26.8849
36.8477
31.8249
31.4470
33.1436
30.4460
30.4740
28.3434
30.2552
32.4130
25.7247
32.5477
25.0766
30.2866
27.6009
27.8073
30.2222
33.1299
36.5065
34.2989
30.5607
*
30.9175
27.5148
31.7325
29.9595
30.0611
34.5118
30.9527
34.2388
Average
hourly wage
FY 2008
27.9359
29.2504
32.3827
27.3901
27.8394
32.3206
32.4139
29.2390
32.6961
30.3349
16.3724
26.0650
27.0161
29.5219
27.7607
31.4905
32.3518
32.8299
31.1988
29.9626
25.0253
31.2316
33.6649
33.6438
34.7924
32.0925
36.5640
39.7564
32.4903
32.5863
33.3020
25.7855
30.8458
31.9491
30.4369
39.3089
31.6363
28.1347
38.9433
32.3495
34.8739
35.9124
31.4510
32.4652
29.5194
30.1022
32.3532
27.8893
34.7336
25.4224
32.9283
30.1103
29.9736
32.4019
34.2598
37.4087
36.0289
31.4730
31.4731
32.2957
*
34.0168
31.1268
30.8230
34.5969
31.6955
35.3451
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
29.2770
28.4332
33.0382
30.6664
28.8691
31.1537
35.1146
31.0827
29.2744
31.5436
19.6097
29.2439
28.5947
30.7936
28.6884
30.1989
32.7755
33.7244
32.0642
32.5116
26.6822
32.0820
35.9738
*
35.8651
33.7364
39.1211
41.7040
35.2353
33.1404
34.6550
26.3006
32.1503
32.8073
27.6958
*
32.6767
29.3701
39.4182
34.6977
36.1775
37.7268
33.8585
35.1108
30.3160
32.8672
34.9126
30.0325
36.8641
27.3304
32.2417
32.3793
*
33.9807
35.6244
40.0281
37.4224
33.2051
33.2051
33.3538
*
33.7563
33.1617
32.2105
35.2728
34.6254
36.2359
Average
hourly wage**
(3 years)
28.1114
28.7353
31.9423
28.8614
28.0163
31.0730
32.6902
29.5738
29.4113
30.5467
16.8133
27.5592
27.3346
30.0807
27.9549
30.7527
31.8047
32.7501
31.4531
29.9224
25.0230
31.3057
34.0706
32.1319
34.0329
32.2148
36.8964
39.8247
32.4365
32.0656
33.1982
25.5037
30.5508
31.1791
27.7639
35.2808
31.6963
28.1501
38.4392
33.0203
35.0964
35.6257
31.9500
32.7132
29.4110
31.0914
33.2019
27.9127
34.7665
25.9567
31.8295
30.0468
28.8792
32.2180
34.3611
38.0115
35.9320
31.7041
32.3862
32.1942
27.5148
33.1765
31.3799
31.0609
34.8205
32.3748
35.3173
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23749
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
220088
220089
220090
220095
220098
220100
220101
220105
220108
220110
220111
220116
220119
220126
220133
220135
220153
220154
220162
220163
220171
220174
220175
220176
230002
230003
230004
230005
230013
230015
230017
230019
230020
230021
230022
230024
230029
230030
230031
230034
230035
230036
230037
230038
230040
230041
230046
230047
230053
230054
230055
230058
230059
230060
230065
230066
230069
230070
230071
230072
230075
230077
230078
230080
230081
230085
230089
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
1.9446
***
1.2394
1.1576
1.1400
1.3072
1.2971
1.1814
1.1999
2.0011
1.2206
1.8714
1.1333
1.1806
***
1.3038
***
***
1.5970
1.6172
1.6935
1.1926
1.2681
1.6474
1.3237
1.2416
1.7110
1.2402
1.3836
1.1593
1.6518
1.6077
1.7476
1.5495
1.2686
1.6538
1.6160
1.2847
1.3571
1.3764
1.1994
1.4140
1.3059
1.7649
1.1794
1.5803
1.9162
1.4494
1.6700
1.8803
1.2587
1.1167
1.5346
1.2934
***
1.3058
1.1826
1.6502
0.9448
1.3622
1.3557
1.8799
1.1903
1.2607
1.2326
1.2326
1.3435
PO 00000
Frm 00223
Average
hourly wage
FY 2007
1.1994
*
1.1338
1.1338
1.1338
1.1994
1.1338
1.1338
1.1994
1.1994
1.1994
1.1994
1.1994
1.1994
*
1.2672
*
*
*
1.1338
1.1338
1.1338
*
1.1338
1.0113
0.9455
1.0227
0.9337
1.0052
0.9159
1.0910
1.0052
1.0113
1.0365
0.9652
1.0113
1.0052
0.8864
0.9972
0.8864
0.9305
0.9472
1.0113
0.9455
0.9305
0.9472
1.0444
1.0052
1.0113
0.9412
0.8864
0.8864
0.9455
0.8864
*
1.0227
1.0810
0.9034
1.0052
0.9455
1.0086
1.0810
0.8864
0.9472
0.8864
1.0910
1.0113
Fmt 4701
Sfmt 4702
35.8255
32.6305
32.9011
28.0673
30.5869
31.9859
35.3464
33.2625
32.6131
39.2167
33.6167
36.4149
30.9965
31.4882
29.4855
36.0203
*
*
*
34.4874
32.7414
30.0406
*
*
32.9010
27.5824
29.3934
25.8768
24.6511
26.2782
31.8821
32.3401
28.5646
26.5659
25.6683
32.1483
32.3538
23.8082
29.7232
24.4845
24.8822
29.3754
28.9244
28.2012
25.5154
27.8853
31.6235
31.1771
32.5711
25.7591
27.4349
25.9291
27.9091
28.2874
32.6255
30.6184
30.2663
25.6778
28.3064
26.2838
28.2540
29.8538
25.6809
24.1573
24.7374
23.4959
31.0522
Average
hourly wage
FY 2008
34.7637
34.8205
34.1963
30.8626
31.5403
34.6599
37.7809
34.4029
33.8854
40.7382
34.2498
38.8799
32.0863
32.6938
34.9182
37.5189
19.8085
28.7898
*
37.4968
35.9948
30.9503
*
*
32.7578
28.4716
31.5136
27.7463
27.2075
27.2541
32.5396
34.3213
29.5324
28.6169
30.1195
32.5892
32.3845
25.1100
30.0120
24.4141
25.6715
29.9642
28.5311
29.1263
26.3190
27.9569
32.2924
31.7075
32.1566
26.3251
28.4787
27.3156
28.5875
27.0288
*
30.2104
31.3406
26.8315
29.6728
27.4742
30.9525
30.5567
25.7232
24.5432
26.4337
25.4289
32.8450
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
37.0808
*
35.8940
31.1619
30.6593
35.7276
36.0984
35.8155
35.6985
43.8401
35.6193
40.0952
33.7174
35.6250
*
38.7180
17.9600
*
*
39.4859
36.4545
32.9113
34.1550
31.4195
33.9675
28.9871
33.4620
29.0625
28.6417
28.9588
36.8018
35.1415
29.9072
29.5397
25.7829
34.5253
33.1460
24.9719
30.8859
29.1079
25.7083
31.0922
28.8529
30.1019
27.2835
30.3060
33.5285
32.0225
33.5420
28.1223
28.1872
27.9625
28.3586
28.7744
*
32.3459
31.9653
28.0349
28.2055
28.8006
32.1146
31.0097
27.0050
25.6193
27.8091
27.6459
32.2293
Average
hourly wage**
(3 years)
35.9288
33.7125
34.3697
30.0333
30.9378
34.1807
36.4336
34.5228
34.0752
41.3123
34.5167
38.4127
32.3365
33.2716
32.1170
37.4435
18.7803
28.7898
*
37.2285
35.0735
31.3266
34.1550
31.4195
33.2532
28.3360
31.5262
27.5854
26.7586
27.5253
33.8177
33.9317
29.3527
28.2368
27.0325
33.1061
32.6277
24.6466
30.2337
25.8635
25.4572
30.1636
28.7691
29.1994
26.3819
28.7057
32.5197
31.6475
32.7704
26.7475
28.0393
27.0813
28.2947
28.0391
32.6255
31.0702
31.2223
26.8663
28.7253
27.5408
30.4322
30.4726
26.0991
24.7905
26.3288
25.5347
31.9436
23750
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
230092 .....................................................
230093 .....................................................
230095 .....................................................
230096 .....................................................
230097 .....................................................
230099 .....................................................
230100 .....................................................
230101 .....................................................
2301045 ....................................................
230B045 ...................................................
230105 .....................................................
230106 .....................................................
230108 .....................................................
230110 .....................................................
230117 .....................................................
230118 .....................................................
230119 .....................................................
230121 .....................................................
230130 .....................................................
230132 .....................................................
230133 .....................................................
230135 .....................................................
230141 .....................................................
230142 .....................................................
230144 .....................................................
230146 .....................................................
230151 .....................................................
230156 .....................................................
230165 .....................................................
230167 .....................................................
230174 .....................................................
230176 .....................................................
230180 .....................................................
230184 .....................................................
230190 .....................................................
230193 .....................................................
230195 .....................................................
230197 .....................................................
230204 .....................................................
230207 .....................................................
230208 .....................................................
230212 .....................................................
230216 .....................................................
230217 .....................................................
230222 .....................................................
230223 .....................................................
230227 .....................................................
230230 .....................................................
230236 .....................................................
230239 .....................................................
230241 .....................................................
230244 .....................................................
230254 .....................................................
230257 .....................................................
230259 .....................................................
230264 .....................................................
230269 .....................................................
230270 .....................................................
230273 .....................................................
230275 .....................................................
230277 .....................................................
230279 .....................................................
230283 .....................................................
230294 .....................................................
230295 .....................................................
230296 .....................................................
230297 .....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
1.3964
1.2159
1.2754
1.1779
1.6913
1.2173
1.1914
1.1683
1.5934
***
1.7842
1.2381
1.1549
1.2539
1.8415
1.0095
1.4381
1.2621
1.6817
1.5413
1.4288
1.3171
1.6173
1.2688
1.8275
1.3735
1.3314
1.5950
1.5974
1.6088
1.3451
1.3115
1.1167
***
***
1.3561
1.4319
1.6021
1.4349
1.2451
1.2210
1.0426
1.4778
1.4015
1.4250
1.3052
1.4799
1.4804
1.5428
1.3021
1.1943
1.4607
1.4847
0.9794
1.2691
2.0641
1.4701
1.3480
1.4692
0.5428
1.4612
0.5480
***
***
***
***
1.6971
PO 00000
Frm 00224
Average
hourly wage
FY 2007
1.0113
0.8922
0.9472
1.0365
0.9305
1.0113
0.8864
0.8864
1.0113
*
0.9472
0.9455
0.8864
0.8864
1.0910
0.8864
1.0113
0.9652
1.0052
1.1258
0.8864
1.0113
1.1258
1.0113
1.0444
1.0113
1.0052
1.0444
1.0113
0.9899
0.9455
1.0113
0.8864
*
*
0.9972
1.0052
1.1258
1.0052
1.0052
0.9305
1.0444
0.9972
1.0086
0.9472
1.0052
1.0052
0.9899
0.9455
0.8864
0.9972
1.0113
1.0052
1.0052
1.0444
1.0052
1.0052
1.0113
1.0113
0.9034
1.0052
1.0810
*
*
*
*
1.0052
Fmt 4701
Sfmt 4702
28.6829
25.5804
22.8681
30.6024
28.2526
29.0221
24.1881
25.4839
32.4634
*
32.4583
25.3243
20.2539
27.0040
32.7994
23.6110
30.7488
26.4940
30.1608
32.3939
23.9442
25.9583
31.6152
27.8377
*
26.8156
27.4546
32.3755
29.6376
29.8071
30.0563
28.1498
26.0707
34.6295
30.7875
25.1626
29.5656
32.0063
31.5615
25.4268
23.7523
31.9818
29.0147
30.1136
29.9341
28.6745
30.8218
29.8763
31.3110
21.0814
27.6106
29.6283
29.2653
29.6712
27.4217
22.7768
31.3226
28.5372
31.9862
23.8104
29.8372
27.2816
33.5531
31.6195
27.1298
*
*
Average
hourly wage
FY 2008
29.3442
27.4463
25.1854
31.7399
29.8962
29.3720
25.2118
28.4372
32.4125
*
30.5515
27.8584
24.4337
25.7196
33.0602
24.8890
31.9696
26.8361
31.2744
35.5304
25.0647
23.6005
33.2553
29.7417
*
27.2621
29.8366
33.9034
31.4242
31.0657
29.7488
28.9798
24.9696
*
33.8229
26.4728
30.9702
33.7128
32.2882
25.1983
24.3476
32.8567
29.2061
31.9732
30.6482
29.8430
33.6716
31.1712
30.8556
22.1579
28.5516
30.0405
29.5874
30.6372
27.5982
28.5416
31.3800
28.8173
31.5396
25.2133
31.4023
27.9726
*
*
*
34.2107
*
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
30.5399
27.0555
25.9196
27.7873
31.5152
28.7386
25.6583
28.8595
34.0171
34.0171
32.1103
30.0195
25.7463
27.0263
33.9148
24.8631
33.2026
27.7495
32.5589
38.2428
25.8516
31.5185
36.3094
29.9882
*
29.0197
28.6704
34.7840
32.2831
32.8063
31.2452
29.2664
24.6000
*
33.6707
28.4624
32.5528
34.8039
30.1956
26.8215
25.2472
33.4362
28.9567
33.0815
32.4389
31.9496
34.2728
31.4931
31.9088
23.5448
30.0233
32.1407
31.2379
30.0667
27.9557
29.2178
34.2667
29.2388
32.5706
22.3717
32.2518
26.8539
*
*
*
*
*
Average
hourly wage**
(3 years)
29.5449
26.7238
24.6699
29.8976
29.8782
29.0351
25.0492
27.6204
32.9570
34.0171
31.7057
27.7687
23.4436
26.5809
33.2761
24.4400
32.0127
27.0478
31.3612
35.3551
24.9772
26.7530
33.7170
29.2232
*
27.7279
28.6311
33.7042
31.1343
31.2488
30.3405
28.8186
25.1971
34.6295
32.7904
26.7218
31.0477
33.5209
31.3391
25.8117
24.4569
32.7601
29.0586
31.7828
30.9827
30.1361
32.7518
30.8595
31.3744
22.2557
28.7406
30.6177
30.0646
30.1067
27.6540
26.4132
32.3991
28.8712
32.0372
23.7470
31.1889
27.3521
33.5531
31.6195
27.1298
34.2107
*
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23751
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
230298
230300
230301
240001
240002
240004
240006
240010
240014
240017
240018
240019
240020
240022
240030
240036
240038
240040
240043
240044
240047
240050
240052
240053
240056
240057
240059
240061
240063
240064
240066
240069
240071
240075
240076
240078
240080
240084
240088
240093
240100
240101
240104
240106
240115
240117
240128
240132
240141
240166
240187
240196
240206
240207
240210
240211
240213
250001
250002
250004
250006
250007
250009
250010
250012
250015
250017
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
0.7864
3.3739
1.0374
1.5531
1.8744
1.5878
1.2147
1.9657
1.0726
***
1.2598
1.0353
1.1144
1.0632
1.3950
1.6415
1.4964
1.0575
1.2453
1.0841
1.5230
1.0910
1.2031
1.5039
1.3585
1.7902
1.0937
1.8510
1.5799
1.1730
1.5245
1.1972
1.1037
1.1903
1.0213
1.6519
1.9537
1.1356
1.2998
1.4599
1.3409
1.1984
1.2063
1.6106
1.4822
1.1647
***
1.2651
1.1039
1.1593
1.2972
0.8466
0.9236
1.2383
1.2823
1.0511
1.4161
1.9650
0.9549
1.7720
1.1563
1.2323
1.2588
1.0456
0.9464
1.1829
1.0987
PO 00000
Frm 00225
Average
hourly wage
FY 2007
1.0052
1.0052
1.0052
1.0997
1.0519
1.0997
1.0982
1.0982
1.0997
*
0.9925
1.0519
1.0997
0.9120
1.0638
1.0997
1.0997
1.0519
0.9120
0.9745
1.0519
1.0997
0.9120
1.0997
1.0997
1.0997
1.0997
1.0982
1.0997
1.0401
1.0997
1.0997
1.0997
1.0638
1.0997
1.0997
1.0997
1.0519
1.0638
1.0997
0.9120
0.9120
1.0997
1.0997
1.0997
0.9647
*
1.0997
1.0997
0.9120
1.0997
1.0997
1.4448
1.0997
1.0997
0.9932
1.0997
0.8095
0.7883
0.8909
0.8909
0.8898
0.8361
0.7653
0.9329
0.7653
0.7653
Fmt 4701
Sfmt 4702
*
*
*
33.1499
31.6000
32.7010
31.0777
33.4668
29.8905
24.3596
28.1432
33.7546
31.3874
26.1920
26.5508
32.7028
31.9891
27.5074
23.3489
25.0988
28.6406
27.5553
28.7206
31.4324
33.1728
30.7703
31.0911
33.1799
33.7895
34.3757
35.3441
29.3718
28.6950
27.5039
30.6936
32.5785
32.5725
26.5975
28.0603
27.2928
30.8391
25.6963
31.6511
30.5927
32.0107
24.5750
23.3334
32.1233
31.4468
27.6987
27.8844
31.5965
*
32.5589
32.7123
22.5430
33.8680
23.5222
23.4063
24.7907
24.4282
24.8929
23.0352
21.4322
21.5540
22.0067
22.7660
Average
hourly wage
FY 2008
*
*
*
34.7673
33.1051
32.5777
33.4777
32.7261
30.7519
*
29.4995
32.7052
33.2449
27.3137
27.1312
34.2980
33.0554
28.9009
24.0708
26.8681
29.7835
30.9805
29.4617
33.1148
34.0845
33.4713
32.4803
32.0828
35.2877
27.2407
36.0705
30.9719
31.7754
29.1171
33.1439
34.6118
34.8064
27.0995
29.1387
29.1717
31.5774
26.8849
35.0736
32.8156
33.5288
27.6950
*
34.6191
32.8689
26.5328
29.1582
34.3743
*
34.6792
34.4184
17.4044
35.7818
23.7773
25.4201
25.8722
25.9199
27.7665
23.4866
21.8665
23.4837
22.2803
33.6840
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
*
*
*
37.2179
34.6345
33.5085
32.8229
35.9102
33.4476
*
30.5632
34.2538
34.5686
28.5889
27.6584
37.2177
34.7330
30.0238
25.7420
28.5689
35.6742
33.7946
31.0917
34.4186
35.8580
34.8349
32.5938
34.6008
36.9798
29.9902
39.6582
31.1660
32.5442
30.3218
33.7939
36.1976
36.5363
29.0260
30.7223
30.4718
30.9460
28.5492
35.8816
33.9953
36.2755
29.0889
*
36.4224
34.2453
26.1726
30.9633
35.0319
*
36.4537
36.5922
16.6144
37.4575
24.3386
25.0335
24.8072
27.0493
29.3457
24.9100
22.7976
26.4108
22.3674
25.7397
Average
hourly wage**
(3 years)
*
*
*
35.0462
33.1529
32.9298
32.4953
34.0521
31.3959
24.3596
29.4372
33.5836
33.0762
27.3645
27.1136
34.8308
33.2508
28.8059
24.4201
26.7906
31.1184
30.9171
29.7873
33.0264
34.4096
33.0717
32.0866
33.3406
35.4057
30.4614
37.0745
30.5144
30.9915
29.0129
32.5944
34.5440
34.6282
27.5332
29.3333
29.0677
31.1194
27.1176
34.3219
32.4894
33.9354
27.1230
23.3334
34.2571
32.8961
26.6670
29.4012
33.6757
*
34.6384
34.6233
18.6322
35.7765
23.8768
24.6387
25.1647
25.8303
27.3747
23.8155
22.0351
23.6996
22.2133
26.7933
23752
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
250018
250019
250020
250023
250025
250027
250031
250034
250035
250036
250038
250040
250042
250043
250044
250048
250049
250050
250051
250057
250058
250059
250060
250061
250067
250069
250072
250077
250078
250079
250081
250082
250084
250085
250093
250094
250095
250096
250097
250099
250100
250102
250104
250112
250117
250120
250122
250123
250124
250125
250126
250127
250128
250134
250136
250138
250141
250149
250151
250152
250155
250156
250157
250162
260001
260004
260005
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
0.8867
1.5607
1.0028
0.8728
1.1390
0.9541
1.3451
1.5368
0.8649
1.0485
0.9523
1.4898
1.2547
0.9847
1.0363
1.6491
0.8715
1.3084
0.8661
1.1739
1.2366
0.9358
0.8110
0.8867
1.0949
1.4416
1.6783
0.9717
1.5855
0.8932
1.3682
1.4127
1.2526
1.0182
1.1850
1.6982
1.0314
1.2042
1.4899
1.2725
1.5271
1.5947
1.4396
0.9616
1.1581
***
1.1272
1.3504
0.8367
1.3788
1.0192
0.8041
0.9631
0.9291
1.0279
1.3091
1.4795
0.8769
0.5535
0.8224
***
***
***
1.0520
1.6886
0.9098
1.5296
PO 00000
Frm 00226
Average
hourly wage
FY 2007
0.7653
0.8898
0.7653
0.8156
0.7653
0.7653
0.8095
0.8909
0.7653
0.8030
0.8095
0.8156
0.8909
0.7653
0.7883
0.8095
0.7653
0.7653
0.7653
0.7653
0.7653
0.7653
0.7653
0.7653
0.7653
0.8280
0.8095
0.7653
0.8156
0.7653
0.8280
0.8150
0.7653
0.7653
0.7653
0.8156
0.7653
0.8095
0.8146
0.8095
0.8280
0.8095
0.8280
0.7653
0.8156
*
0.7653
0.8898
0.8095
0.8898
0.9329
1.4448
0.8099
0.8095
0.8095
0.8095
0.9329
0.7653
0.7653
0.8095
*
*
*
0.8912
0.9704
0.8470
0.8986
Fmt 4701
Sfmt 4702
17.1276
25.7376
22.1851
18.0108
22.5621
24.4937
24.8139
26.1887
20.1622
20.3625
22.2571
24.5962
25.6807
18.8979
24.0508
25.2092
19.1044
20.8084
14.3741
22.7601
19.2502
23.8997
28.1431
17.8267
23.1193
22.6353
25.8399
18.3735
22.1243
45.5166
23.9995
23.0287
19.6492
22.5513
23.0984
24.1422
21.7488
24.9187
21.8139
21.1269
25.6846
24.6652
23.4303
24.3069
22.2450
24.6370
27.2795
26.6221
20.4394
27.5158
24.4126
*
17.7624
22.2167
22.9468
24.3018
28.5922
16.8796
18.8846
26.9334
22.5728
*
*
*
27.9230
20.3217
27.7855
Average
hourly wage
FY 2008
17.9025
26.2199
23.7245
18.5067
23.1738
26.9922
25.9189
26.7996
19.1038
19.7951
26.9621
27.3366
26.1190
20.8841
24.9199
24.7659
20.4775
21.1657
13.9532
24.3654
18.9970
26.7491
25.4779
18.7413
25.2189
22.4194
25.5337
19.0416
22.8430
43.0845
25.6808
23.5399
19.1604
24.2915
23.9128
24.7718
23.6140
26.3743
22.0211
21.5656
27.0286
25.4050
24.4311
26.3357
23.7337
26.6522
27.4424
27.9058
20.5667
26.7687
25.0019
*
21.7882
21.0211
25.2241
25.2642
30.5112
17.2268
22.8238
26.4559
*
16.8659
29.6398
*
29.5271
21.3629
27.9477
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
19.1099
27.7207
23.1510
19.5072
23.0544
32.5430
26.7496
27.9267
20.5237
22.5661
30.7941
26.2250
27.4593
21.1254
26.1725
27.6318
24.2222
22.4407
14.1652
22.9665
19.6711
25.5976
27.0347
25.1493
23.8020
23.4494
27.5770
19.6329
23.9580
46.0338
24.8259
25.6206
19.5676
24.6743
26.4337
25.4215
25.9001
27.7270
22.7899
27.5739
27.5468
25.5308
25.3986
27.4138
24.5692
*
23.4884
29.8280
21.9411
32.7395
25.2582
*
23.5915
22.0830
27.1454
27.3114
33.4397
17.0956
*
28.5527
*
*
*
*
31.1839
24.1888
31.1215
Average
hourly wage**
(3 years)
18.0552
26.5559
23.0478
18.7146
22.9290
27.8433
25.8093
26.9950
19.9107
20.8304
25.9485
26.0460
26.4125
20.3156
25.0759
25.8347
21.0940
21.4799
14.1687
23.3314
19.3080
25.3587
26.8919
20.4689
24.0644
22.8355
26.3178
19.0451
22.9829
44.8458
24.8305
24.1469
19.4638
23.8551
24.4984
24.7893
23.7842
26.3759
22.2472
23.2182
26.7620
25.2035
24.4448
26.0536
23.5009
25.6905
26.0511
28.1116
20.9862
28.5834
24.9087
*
21.3639
21.7636
25.0260
25.5721
31.0006
17.0712
19.4286
27.2309
22.5728
16.8659
29.6398
*
29.5270
22.1072
28.9388
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23753
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
260006
260009
260011
260015
260017
260020
260021
260022
260023
260024
260025
260027
260032
260034
260040
260047
260048
260050
260052
260057
260059
260061
260062
260064
260065
260068
260070
260074
260077
260078
260080
260081
260085
260091
260094
260095
260096
260097
260102
260104
260105
260107
260108
260110
260113
260115
260116
260119
260137
260138
260141
260142
260147
260159
260160
260162
260163
260166
260175
260176
260177
260178
260179
260180
260183
260186
260190
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
1.4493
1.2153
1.5894
1.0293
1.3008
1.7335
1.3073
1.3246
1.3719
1.1889
1.3981
1.6154
1.8506
1.0142
1.7140
1.4348
1.1808
1.1398
1.3065
1.0872
1.2943
1.1720
1.2709
1.3641
1.7935
1.7301
0.9682
1.2162
1.6229
1.2711
1.0066
1.4925
1.5513
1.4867
1.6133
1.3868
1.5240
1.1896
0.9841
1.5825
1.8539
***
1.8291
1.6476
1.1410
1.2609
1.0435
1.2922
1.7457
1.8944
1.8592
1.0838
0.9526
***
1.0612
1.4383
1.2130
1.2356
1.1172
1.7557
1.2272
1.9689
1.5286
1.5853
1.6733
1.4640
1.2175
PO 00000
Frm 00227
Average
hourly wage
FY 2007
0.8470
0.9444
0.9038
0.8470
0.8736
0.8986
0.8986
0.8738
0.8986
0.8470
0.8986
0.9444
0.8986
0.9444
0.8470
0.8470
0.9444
1.0267
0.8986
0.9444
0.8547
0.8470
0.9444
0.8470
0.8470
0.8470
0.8470
0.8470
0.8986
0.8470
0.8470
0.8986
0.9444
0.8986
0.8470
0.9444
0.9444
0.8770
0.9444
0.8986
0.8986
*
0.8986
0.8470
0.8470
0.8986
0.8470
0.8470
0.9704
0.9444
0.8470
0.8470
0.8470
*
0.8470
0.8986
0.8557
0.9444
0.9444
0.8986
0.9444
0.8470
0.8986
0.8986
0.8986
0.8470
0.9444
Fmt 4701
Sfmt 4702
30.3440
24.2360
25.6387
24.6139
23.5713
27.4730
29.3646
23.3393
24.3192
19.4952
22.2451
26.3590
25.6763
25.0573
24.3938
25.4978
27.6117
25.0506
26.0052
20.9639
22.6922
22.4766
28.1661
22.2395
27.1014
26.0295
24.6331
25.6218
26.7466
20.1983
17.9107
28.1182
26.6718
28.0537
24.1473
24.2698
29.7312
25.0624
27.2145
28.6247
29.8848
25.8177
26.6374
24.7656
21.2072
23.1396
21.3503
27.9769
24.3273
30.4410
24.1555
21.5923
21.4235
22.6276
23.8257
27.0236
21.6408
29.1225
25.1817
29.3034
27.0185
25.4782
26.6069
28.2931
27.5577
26.9797
27.9137
Average
hourly wage
FY 2008
27.3754
25.7546
27.5762
25.0640
25.0461
29.3080
32.6735
24.8713
25.4314
19.2199
24.0358
29.3811
27.4857
27.1685
25.9074
26.6343
28.1515
26.2346
27.6360
21.5925
22.3885
22.8589
28.4975
23.3498
29.3564
27.3475
21.9701
28.0468
27.6624
21.1539
18.6070
29.1890
28.0306
28.5473
23.8654
27.6196
30.7267
25.5634
26.7624
28.0235
29.4766
27.9710
27.0758
26.6030
21.8884
24.6389
20.7479
31.5490
27.6592
30.6284
25.5663
21.7609
22.1928
23.9515
25.5096
28.4660
21.5566
28.5858
24.6064
31.1056
28.7942
27.1201
28.3234
29.3820
29.2684
28.8610
30.5343
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
33.7767
26.6670
31.2590
25.0244
26.2612
30.9576
19.4693
25.9379
25.5884
20.7131
24.5032
31.0217
28.7163
28.7725
27.2449
27.2646
29.6955
27.8050
29.6982
23.8167
24.9630
23.6708
29.6135
21.4934
27.9224
28.1227
25.2991
28.6203
28.7183
23.1780
18.6804
32.3581
29.6492
30.1154
25.1476
29.9069
32.9353
27.3117
30.7667
29.6366
32.4075
29.7754
28.5633
28.0368
23.0810
25.5643
22.5593
31.4981
31.4059
31.7554
26.6672
22.8201
22.9670
24.3018
26.6702
30.5739
23.8630
29.5234
25.7060
30.6112
29.0786
26.9886
29.6937
30.7313
31.4894
29.1853
30.8981
Average
hourly wage**
(3 years)
30.5981
25.5689
28.1581
24.8950
24.9757
29.2687
25.9620
24.7192
25.1233
19.8199
23.6143
28.7832
27.3241
27.0780
25.8128
26.4797
28.5297
26.4419
27.7827
22.1481
23.3714
22.9805
28.7754
22.3902
28.1492
27.1642
24.0399
27.4572
27.7262
21.5534
18.3878
29.9070
28.1046
28.9182
24.3842
27.0422
31.1666
26.0306
28.2426
28.7794
30.5702
27.7676
27.4377
26.5197
22.0233
24.4735
21.5340
30.2546
27.8364
30.9538
25.5210
22.0857
22.1968
23.5847
25.4076
28.7100
22.3617
29.0824
25.1720
30.3581
28.3077
26.5981
28.2012
29.4593
29.4549
28.3616
29.7909
23754
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
260191
260193
260195
260198
260200
260207
260209
260210
260211
260213
260214
260216
260218
260219
260220
270002
270003
270004
270011
270012
270014
270017
270023
270032
270049
270051
270057
270074
270081
270086
270087
280003
280009
280013
280020
280023
280030
280032
280040
280060
280061
280065
280077
280081
280105
280111
280119
280123
280125
280127
280128
280129
280130
290001
290002
290003
290005
290006
290007
290008
290009
290012
290019
290020
290021
290022
290027
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
1.4412
1.2305
1.2498
***
1.2908
1.1540
1.1532
1.3929
1.4262
***
1.2306
1.3065
0.8126
1.3191
2.3259
1.1469
1.2563
1.6239
1.0779
1.5992
1.8067
1.3001
1.5599
1.0422
1.7681
1.5064
1.2964
0.8884
1.0022
1.2443
1.3324
1.7687
1.8349
1.7183
1.6559
1.3206
1.9392
1.2928
1.5775
1.6610
1.4476
1.2542
1.3602
1.6812
1.2560
1.1718
0.8951
0.9698
1.5858
1.8312
2.7488
2.0416
1.3820
1.7753
0.8657
1.7934
1.4648
1.0851
1.7274
1.2072
1.6426
1.3313
1.4604
1.0227
1.6689
1.7132
0.8931
PO 00000
Frm 00228
Average
hourly wage
FY 2007
0.8986
0.9444
0.8470
*
0.8986
0.8470
0.9038
0.8986
0.9444
*
0.9444
0.9444
*
0.8986
*
0.8640
0.8679
0.9045
*
0.8679
0.8992
0.8909
0.8909
0.8640
0.9045
0.8909
0.8640
1.4448
*
0.8679
0.8640
0.9620
0.9336
0.9400
0.9620
0.9336
0.9400
0.9336
0.9400
0.9400
0.9223
0.9611
0.8841
0.9400
0.9400
0.8761
1.4448
0.8884
0.8761
0.9620
0.9620
0.9400
0.9400
1.0476
0.9837
1.1666
1.1666
1.0476
1.1666
0.9824
1.0476
1.1666
1.0476
0.9824
1.1666
1.1666
0.9824
Fmt 4701
Sfmt 4702
24.6973
26.8922
22.6870
28.0021
28.2453
22.6109
25.0098
26.8745
40.9821
*
*
*
*
*
*
24.0534
28.8700
26.1319
22.7061
25.2914
25.8231
26.5404
25.5682
20.3469
27.1634
26.5621
25.5811
*
19.5612
21.0808
25.9772
30.6124
27.0705
27.0250
27.3284
26.7980
29.5102
24.3995
28.7207
27.7496
26.0208
28.0581
27.0860
28.7464
27.8599
24.5617
*
15.4047
22.1345
29.3684
28.5422
*
*
36.3129
17.3876
30.3373
28.3366
31.7301
38.1938
27.3019
36.2724
32.3966
29.3650
23.2103
32.7894
29.9717
23.9959
Average
hourly wage
FY 2008
26.3244
28.1060
24.0411
27.2555
27.4784
22.9579
25.0749
30.5975
35.9113
34.8953
*
*
*
*
*
25.2907
29.1938
26.6779
24.4696
26.5854
27.4811
27.4150
26.3076
20.4330
28.6880
24.9371
27.1838
*
20.0438
20.7976
24.8022
30.1057
29.3634
27.9523
32.3896
29.5132
30.6991
24.7539
29.5276
30.3049
26.4824
28.0132
28.2206
31.1212
29.8488
27.4853
*
22.2185
23.2900
25.6806
28.8734
27.8793
29.8588
35.5113
23.9348
32.8182
31.7107
31.9838
39.7323
31.1116
32.3348
35.7988
30.5964
27.6277
36.7310
33.5330
23.9818
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
27.8627
29.5416
25.0275
27.9073
30.3290
23.6383
26.4196
36.4040
37.1525
*
31.0153
*
*
*
*
28.3363
28.0533
28.5851
*
28.0655
28.2567
29.3524
28.1878
21.6349
29.8869
29.3917
28.3612
*
*
21.8997
24.9177
32.3760
28.1542
30.3102
29.4807
30.0701
31.8740
25.6529
30.7378
30.8594
28.9580
29.5456
29.9204
28.9675
30.0457
28.3536
*
20.2745
24.7453
26.5628
27.1001
27.9490
29.9628
33.3287
22.7349
34.6402
34.2346
33.1563
41.2361
33.2436
34.0900
38.5049
32.2793
27.2889
36.8695
38.8235
29.1114
Average
hourly wage**
(3 years)
26.3553
28.1851
23.9191
27.7138
28.7369
23.1705
25.5826
30.6935
38.3586
34.8953
31.0153
*
*
*
*
25.9060
28.6560
27.1552
23.5588
26.6761
27.1793
27.7689
26.6584
20.8153
28.6461
26.9486
27.1309
*
19.8033
21.2340
25.2095
30.9970
28.1942
28.4716
29.7217
28.7818
30.6841
24.9364
29.6445
29.5587
27.1706
28.5374
28.4615
29.5979
29.2896
26.8743
*
18.6147
23.4399
26.9797
28.1534
27.9189
29.9161
34.9942
20.8853
32.6118
31.0980
32.3337
39.7802
30.5242
34.1940
35.5355
30.8005
25.9788
35.4886
33.9036
25.2225
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23755
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
290032
290039
290041
290042
290044
290045
290046
290047
290049
290051
290052
290053
300001
300003
300005
300011
300012
300014
300017
300018
300019
300020
300023
300029
300034
310001
310002
310003
310005
310006
310008
310009
310010
310011
310012
310013
310014
310015
310016
310017
310018
310019
310020
310021
310022
310024
310025
310026
310027
310028
310029
310031
310032
310034
310037
310038
310039
310040
310041
310042
310044
310045
310047
310048
310050
310051
310052
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
1.4391
1.5440
1.4922
***
***
1.6567
1.4029
1.4035
1.3302
1.8934
1.1590
1.5711
1.4434
2.0357
1.3788
1.3319
1.3235
1.2318
1.2863
1.3172
1.2444
1.1991
1.4459
1.8204
1.8504
1.7571
1.7914
1.1900
1.3414
1.4339
1.3390
1.3656
1.2858
1.2607
1.5959
***
1.8164
1.9106
1.3313
1.3644
1.1472
1.5510
1.5807
1.6495
1.3231
1.3886
1.4248
1.3243
1.4636
1.1907
1.7792
2.8606
1.3218
1.4121
1.4765
1.8931
1.2417
1.2573
1.3358
***
1.3493
1.6491
1.3458
1.3736
1.2457
1.4905
1.3237
PO 00000
Frm 00229
Average
hourly wage
FY 2007
1.0476
1.1666
1.1666
*
*
1.1666
1.1666
1.1666
1.0476
1.0027
0.9824
1.1666
1.0807
1.0807
1.0807
1.0807
1.0807
1.0807
1.0807
1.0807
1.0807
1.0807
1.0807
1.0807
1.0807
1.2878
1.2693
1.2878
1.1440
1.2878
1.2878
1.2693
1.1313
1.1599
1.2878
*
1.1221
1.2693
1.2878
1.2693
1.2693
1.2878
1.2878
1.1316
1.1221
1.1440
1.2878
1.2878
1.1440
1.1440
1.1221
1.1221
1.1221
1.1221
1.2878
1.2693
1.2693
1.2878
1.1221
*
1.1313
1.2878
1.1666
1.1316
1.2693
1.1440
1.1221
Fmt 4701
Sfmt 4702
31.6711
32.1423
34.2436
*
37.1662
33.1512
*
*
*
*
*
*
29.2260
34.7900
27.8000
30.9403
30.4972
29.7667
29.9560
29.4270
27.5672
30.8491
31.0040
29.8117
30.7676
41.7460
37.9183
36.2346
32.1319
28.4771
32.6788
33.6940
33.9552
31.2907
38.3590
31.0447
30.0793
36.8818
35.6155
32.2434
30.3234
30.3518
33.5516
32.1929
30.4043
33.3415
34.3687
29.1588
29.7793
32.2977
32.9246
37.0668
30.7865
31.7012
38.5415
35.9190
31.4278
33.8535
32.8390
34.4986
31.9678
36.7862
34.1520
32.9681
29.1732
35.0121
32.5778
Average
hourly wage
FY 2008
34.6589
34.9622
37.6077
22.4859
*
34.4584
38.7966
33.4695
26.0725
*
*
*
29.8145
37.0886
27.8431
31.8928
31.2655
29.1847
31.6699
31.7891
28.2287
30.9783
31.2726
31.4429
31.6880
39.3391
37.8652
39.0785
33.6311
28.7321
33.3172
33.6165
33.7009
34.3497
39.8568
35.6260
32.9016
39.2928
38.2740
35.7308
32.9704
30.6369
37.3372
31.6562
31.1951
33.8622
32.2630
30.1392
31.5967
33.9911
33.6695
39.3783
33.0258
32.7523
38.2865
36.3344
33.2100
37.7945
33.9799
*
33.7614
38.4424
37.3695
33.9506
32.3686
38.1174
33.5849
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
36.9148
34.6334
38.4409
*
*
38.3841
38.3084
35.6348
33.4248
32.5253
*
*
31.0102
37.7215
28.7980
33.0771
33.0547
30.7717
33.4139
31.5012
28.3103
32.4635
32.3183
32.0012
33.5519
41.4917
37.9453
40.1509
34.7634
30.4276
34.3243
35.4592
36.0797
37.4820
41.9596
32.9465
36.5996
40.8200
41.0326
35.9780
32.6937
31.8909
38.4230
32.2042
32.8059
36.6897
32.1469
30.1294
34.6445
34.8312
35.2057
39.5882
35.2379
36.8586
40.4608
39.8671
32.6403
41.2219
35.1979
*
33.5843
39.2064
37.7198
34.5223
37.9191
39.7645
36.5463
Average
hourly wage**
(3 years)
34.3264
33.9791
36.9258
22.4859
37.1662
35.4482
38.5269
34.5601
30.0551
32.5253
*
*
30.0651
36.5476
28.1664
31.9916
31.6597
29.9265
31.6768
30.9778
28.0672
31.4527
31.5692
31.1343
32.0214
40.8275
37.9105
38.5759
33.5607
29.2523
33.4553
34.2954
34.6164
34.3008
40.0664
33.1378
33.3018
39.0289
38.2707
34.6067
31.9526
30.9689
37.3143
32.0219
31.4436
34.6507
32.9318
29.8053
31.9780
33.7159
33.9510
38.6577
33.0201
33.7114
39.0092
37.3872
32.4242
37.4721
33.9784
34.4986
33.0824
38.1273
36.4657
33.8353
32.9302
37.6891
34.2544
23756
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
310054
310057
310058
310060
310061
310063
310064
310069
310070
310073
310074
310075
310076
310077
310078
310081
310083
310084
310086
310088
310090
310091
310092
310093
310096
310105
310108
310110
310111
310112
310113
310115
310116
310118
310119
310120
310122
310123
310124
310125
310126
320001
320002
320003
320004
320005
320006
320009
320011
320013
320014
320016
320017
320018
320019
320021
320022
320030
320033
320037
320038
320057
320058
320059
320060
320061
320062
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
1.4134
1.4334
1.0541
1.2546
1.2219
1.3448
1.5372
1.2581
1.4555
1.7821
1.4656
1.4250
1.6465
***
***
1.2620
1.3189
1.2659
1.2615
1.1243
1.2372
1.1327
1.4052
1.2201
1.9372
1.1572
1.4030
1.3096
1.2536
1.3277
1.2425
1.3224
1.2972
1.3587
1.8782
1.0851
***
***
***
***
***
1.6823
1.5341
1.1298
1.3299
1.4214
1.2584
1.5798
1.1519
1.1126
1.0864
1.1842
1.2575
1.5461
1.4058
1.6185
1.1799
1.0361
1.2183
1.2261
1.2596
0.9342
0.7891
0.9914
1.0159
1.0245
0.9174
PO 00000
Frm 00230
Average
hourly wage
FY 2007
1.2693
1.1221
1.2878
1.1221
1.1221
1.1440
1.1666
1.1221
1.2693
1.1221
1.2878
1.1221
1.2693
*
*
1.1221
1.2693
1.1221
1.1221
1.1666
1.1440
1.1221
1.1313
1.2693
1.2693
1.2878
1.2693
1.1313
1.1221
1.1221
1.1221
1.1221
1.2878
1.2878
1.2693
1.1440
*
*
*
*
*
0.9499
1.0587
1.0207
0.8858
0.9295
0.9295
0.9499
0.9300
1.0207
0.8858
0.8858
0.9499
0.8882
0.9499
0.9499
0.8858
0.8858
1.0207
0.9499
0.8858
1.4430
1.4430
1.4430
1.4430
1.4430
1.4430
Fmt 4701
Sfmt 4702
34.4431
31.1268
27.1555
27.3415
31.6648
31.9247
35.7607
31.7642
34.3225
32.6733
40.3494
31.5226
38.0643
34.6085
30.5761
30.1561
30.3580
33.5941
29.5566
29.9929
32.8191
29.3969
29.7958
29.1288
34.1524
30.1069
33.0172
33.2246
31.8393
31.2372
31.0436
29.5320
29.2748
31.1803
43.1238
29.2535
*
*
*
*
*
29.6182
32.0477
27.6222
24.7803
24.7543
26.9080
32.0116
25.6693
22.8283
27.2806
25.0835
31.6357
26.5109
27.8067
26.9918
23.9595
21.0378
31.7114
24.9657
21.7022
*
*
*
*
*
*
Average
hourly wage
FY 2008
36.9095
31.8933
30.4080
27.8242
39.0538
33.8519
38.6310
34.4669
36.3279
34.2858
39.6196
32.5338
37.5163
*
*
31.0699
31.9151
32.6051
29.8794
30.3552
33.4615
31.9762
32.7054
30.2860
35.0707
32.5672
34.5866
33.4809
34.8284
32.2676
33.6771
31.9208
29.8144
31.2296
41.5702
33.3861
41.9029
37.1022
41.8827
36.2186
*
30.0077
33.1342
31.4473
26.2073
28.7893
28.0964
27.8084
27.9522
30.5865
28.7089
27.1492
33.3496
25.9248
35.0217
28.8504
25.3707
24.4497
30.1471
25.2876
32.7192
*
*
*
*
*
*
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
38.2409
34.2018
30.4416
27.9121
33.5561
38.1450
39.4132
35.1354
36.9963
36.9226
39.0709
33.5226
38.1641
*
*
31.7950
28.3385
34.9604
30.9445
31.2420
33.9146
35.2892
32.8408
32.3840
34.2007
32.0252
36.2821
35.6793
36.0727
34.5315
35.0222
32.1173
27.5857
32.8252
41.2971
35.1643
*
*
*
*
34.3166
31.4174
34.1580
31.5768
28.2392
25.2152
28.5156
31.3279
28.9931
31.2869
30.4781
26.6374
30.5759
28.3438
28.6731
30.4499
27.5132
25.5246
30.1829
27.8969
31.6504
*
*
*
*
*
*
Average
hourly wage**
(3 years)
36.5602
32.3544
29.4040
27.7048
34.7375
34.4537
38.0057
33.8309
35.8869
34.6721
39.6558
32.5111
37.9202
34.6085
30.5761
31.0154
30.1096
33.7173
30.1377
30.5505
33.3953
32.2224
31.7803
30.5687
34.4697
31.5545
34.6390
34.1565
34.2677
32.6218
33.3347
31.2475
28.8828
31.7711
41.9830
32.4707
41.9029
37.1022
41.8827
36.2186
34.3166
30.3597
33.1619
30.3534
26.4283
26.1577
27.8949
30.3184
27.5536
27.7697
28.8685
26.3150
31.7120
26.9103
30.2204
28.7977
25.6817
23.7752
30.6567
26.0664
29.0042
*
*
*
*
*
*
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23757
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
320063
320065
320067
320069
320070
320074
320079
320083
320084
320085
320086
320087
330002
330003
330004
330005
330006
330008
330009
330010
330011
330013
330014
330016
330019
330023
330024
330025
330027
330028
330029
330030
330033
330036
330037
330041
330043
330044
330045
330046
330047
330049
330053
330055
330056
330057
330058
330059
330061
330064
330065
330066
330067
330072
330073
330074
330075
330078
330079
330080
330084
330085
330086
330088
330090
330091
330094
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
1.3932
1.3072
0.8947
1.0782
0.9255
1.2421
1.2567
2.4454
0.9653
1.7562
1.4744
1.3725
1.5701
1.3545
1.3501
1.5906
1.2783
1.1757
1.3652
1.0125
1.3772
1.9475
1.3374
***
1.3063
1.5312
1.7996
1.0483
1.3943
1.5319
0.5241
1.1544
1.2323
1.2126
1.2293
1.3098
1.4593
1.3446
1.4086
1.3696
1.2132
1.4907
1.0857
1.5415
1.3947
1.6802
1.2665
1.5527
1.1594
1.2603
1.0618
1.2729
1.3961
1.3012
1.1090
1.1944
1.1190
1.4677
1.3733
1.1760
1.0851
1.1551
1.3189
1.0110
1.4588
1.3843
1.2631
PO 00000
Frm 00231
Average
hourly wage
FY 2007
0.9273
0.9273
0.8858
0.8858
1.4430
0.9499
0.9499
0.9499
0.8858
0.8882
0.8858
1.0587
1.3043
0.8833
1.0709
0.9593
1.3043
0.9593
1.3043
0.8375
0.8721
0.8833
1.3043
*
1.3043
1.2855
1.3043
0.9593
1.2855
1.3043
0.9593
0.8911
0.8531
1.3043
0.8911
1.3043
1.2729
0.8721
1.2729
1.3043
0.8375
1.2694
0.8911
1.3043
1.3043
0.8833
0.8911
1.3043
1.3043
1.3043
0.9593
0.8833
1.2694
1.3043
0.8911
0.8911
0.9865
0.9593
0.8308
1.3043
0.8308
0.9471
1.3043
1.2729
0.9101
0.9593
0.9901
Fmt 4701
Sfmt 4702
25.0031
27.3163
24.9865
22.4128
*
31.1333
26.1188
26.6921
17.5788
27.9944
*
*
30.9600
24.4326
28.0594
30.3200
33.6284
23.4429
36.2820
20.7476
25.1308
26.4578
42.1759
22.0493
38.5368
35.9428
42.7691
21.2565
42.8000
36.6498
23.2039
24.6175
24.5510
29.1884
22.3689
37.4883
39.1643
26.5669
38.1269
50.3152
24.3932
29.8350
20.6272
41.5934
36.0136
26.4989
22.2524
41.7343
36.0587
38.0437
25.3043
29.1780
27.8900
37.8505
22.5592
22.6629
23.1592
25.8073
24.6054
39.1417
22.5573
25.3285
32.7675
34.0789
25.5351
25.9378
25.7116
Average
hourly wage
FY 2008
26.0104
25.7945
24.7025
23.9863
*
28.4396
27.6877
29.5483
22.7706
27.4100
*
*
32.1956
25.2223
30.2236
31.5030
34.2001
25.2005
38.9166
19.7098
27.4747
26.8382
45.7619
23.0769
39.7429
36.4736
43.2342
23.2424
45.1920
36.2901
24.0679
25.3454
24.8022
30.3757
21.9246
36.9934
38.8060
28.2293
40.0326
47.4975
24.9934
34.8585
21.8383
42.2007
38.8910
27.7121
22.6852
44.9162
37.8828
38.2332
24.4004
25.8174
29.2571
39.6996
23.4020
23.4576
24.2552
27.2870
24.9941
38.9405
25.6880
26.6235
35.5269
35.3871
26.8730
27.0040
26.9148
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
27.4933
26.9113
25.4100
25.3134
*
28.8072
31.5635
32.9443
24.2897
28.4513
*
*
34.7252
26.8348
30.3204
33.2828
36.3279
26.2131
41.3767
20.5800
26.8258
28.8015
46.3155
*
44.5627
37.5106
44.8034
24.2691
45.9531
38.0116
22.9321
25.5081
25.0205
30.4633
23.4904
37.1640
40.6059
28.2619
41.6537
52.2364
26.1791
34.9720
20.1297
44.2313
39.9628
30.1910
23.6285
45.3660
37.8620
41.5714
26.2272
27.2069
30.7516
41.4567
25.1380
23.1004
23.7516
27.6659
27.9464
40.2059
27.3430
27.1697
40.9743
35.9962
27.7287
28.3015
28.6203
Average
hourly wage**
(3 years)
26.1576
26.6843
25.0450
23.9141
*
29.1304
28.5357
29.7645
21.5109
27.9647
*
*
32.6020
25.5129
29.4839
31.7049
34.6900
24.9414
38.8011
20.3266
26.4851
27.3879
44.6761
22.5738
40.8880
36.6960
43.6032
22.9268
44.5412
36.9910
23.3384
25.1586
24.7863
30.0049
22.5870
37.2203
39.5013
27.6916
39.9715
49.9699
25.2159
33.3441
20.8283
42.7264
38.2393
28.1436
22.8634
44.0375
37.2887
39.3164
25.3188
27.4291
29.2920
39.5848
23.7034
23.0807
23.7241
26.9471
25.8287
39.4431
25.1537
26.3813
36.5723
35.1584
26.7363
27.0881
27.1128
23758
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
330096
330100
330101
330102
330103
330104
330106
330107
330108
330111
330115
330119
330125
330126
330127
330128
330132
330133
330135
330136
330140
330141
330144
330151
330152
330153
330154
330157
330158
330159
330160
330162
330163
330164
330166
330167
330169
330171
330175
330177
330180
330181
330182
330184
330185
330188
330189
330191
330193
330194
330195
330196
330197
330198
330199
330201
330202
330203
330204
330205
330208
330209
330211
330213
330214
330215
330218
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
1.1987
1.1185
1.8970
1.4096
1.2008
1.3423
1.6914
1.2407
1.1289
0.9674
1.1888
1.7304
1.7378
1.3038
1.3108
1.2304
1.1001
1.3704
1.2101
1.5320
1.7962
1.3202
0.9865
1.2083
1.3015
1.7175
1.6921
1.3796
1.6713
1.3553
1.5503
1.3383
1.1132
1.4898
1.0613
1.6290
1.3998
***
1.1285
0.9936
1.1924
1.3033
2.2878
1.3645
1.2668
1.2402
1.2886
1.2850
1.4383
1.7941
1.7054
1.2884
1.1174
1.3922
1.1949
1.8000
1.4107
1.4153
1.4550
1.2337
1.1951
***
1.0836
1.0678
1.8791
1.2792
1.0910
PO 00000
Frm 00232
Average
hourly wage
FY 2007
0.8308
1.3043
1.3043
0.9593
0.8351
1.3043
1.2855
1.2729
0.8347
0.9593
0.9865
1.3043
0.8911
1.2855
1.3043
1.3043
0.8439
1.3043
1.1586
0.9471
0.9865
1.2729
0.8362
0.8362
1.3043
0.8833
*
0.9471
1.3043
0.9865
1.3043
1.3043
0.9593
0.8911
0.8308
1.2855
1.3043
*
0.8568
0.8308
0.8833
1.2855
1.2855
1.3043
1.2729
0.9593
0.8833
0.8833
1.3043
1.3043
1.3043
1.3043
0.8308
1.2855
1.3043
1.3043
1.3043
0.9865
1.3043
1.1586
1.3043
*
0.8308
0.8308
1.3043
0.8721
0.9865
Fmt 4701
Sfmt 4702
22.7189
38.3333
40.1929
25.3879
22.8242
33.7537
43.8210
34.9047
23.2919
20.3473
25.2373
39.0528
27.2920
35.2257
45.3680
39.5197
21.0479
39.3837
27.9132
25.8531
27.6183
39.4701
22.9561
21.7665
37.6721
26.4386
*
26.5686
38.2033
28.2774
36.6208
34.9460
27.1933
27.7217
20.4680
36.7653
45.3774
30.4005
23.8509
20.6338
24.3761
41.4104
40.9014
35.8102
36.3155
25.1153
22.3484
25.5656
39.9327
45.5639
39.7802
36.7178
26.8921
33.4930
38.6407
37.2064
37.4150
32.1207
39.6393
31.9510
32.1256
30.2038
24.4470
24.4049
41.8719
23.7361
26.9638
Average
hourly wage
FY 2008
24.2422
39.6244
43.7944
26.6887
24.5585
35.1076
46.3657
35.7384
23.9368
40.4349
23.8235
42.2901
28.0584
36.5689
45.2993
41.7790
21.7648
38.5228
32.0525
26.6680
29.3461
39.3741
23.3874
19.7959
38.2079
28.4446
*
27.1432
41.7010
31.7835
37.1915
37.6226
28.3910
27.8746
20.7121
39.1251
46.4939
35.1577
24.1005
22.9834
25.4170
43.0977
41.3033
39.0437
38.4002
27.5988
22.4383
26.4328
39.8910
46.8880
41.7885
38.2525
25.9872
34.8985
40.3948
42.6707
37.4158
34.0499
41.9953
33.9418
33.5287
*
25.8752
27.4890
42.1339
23.9583
26.9982
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
24.7885
37.8618
45.5381
27.2523
25.4907
36.5857
48.2871
38.0246
25.3011
23.2125
24.3889
41.2326
29.4802
37.7797
45.2542
43.3424
22.1446
39.9011
33.2291
25.4193
31.1320
39.1699
24.9303
21.6335
39.5722
28.9924
*
29.7604
39.5913
33.8472
39.1048
38.7613
28.6229
29.8437
22.8498
39.1824
47.5367
*
26.7868
23.4294
26.8643
46.2154
42.7924
39.7213
39.6695
29.7302
25.8116
28.2938
40.0256
49.8845
43.3185
38.6925
26.5516
35.8688
39.4065
46.5096
38.7609
34.6499
39.5313
35.3766
37.1706
*
24.9417
28.5365
43.2434
26.3964
28.4109
Average
hourly wage**
(3 years)
23.9177
38.6066
43.2279
26.4449
24.2904
35.1622
46.1844
36.2529
24.1893
25.3142
24.4744
40.8420
28.3192
36.5514
45.3069
41.5728
21.6691
39.2582
31.0896
25.9628
29.4083
39.3348
23.7658
21.0260
38.4999
27.9865
*
27.7881
39.8276
31.2089
37.6457
37.1390
28.0754
28.5199
21.3014
38.3281
46.4021
32.5880
24.8937
22.3276
25.5779
43.5483
41.6641
38.2058
38.1531
27.4385
23.5448
26.8175
39.9494
47.4698
41.6774
37.9124
26.4718
34.8129
39.4834
42.1336
37.8756
33.6383
40.4252
33.7848
34.2436
30.2038
25.1105
26.7727
42.4360
24.6837
27.4690
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23759
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
330219
330221
330222
330223
330224
330225
330226
330229
330230
330231
330232
330233
330234
330235
330236
330238
330239
330240
330241
330242
330245
330246
330247
330249
330250
330259
330261
330263
330264
330265
330267
330268
330270
330273
330276
330277
330279
330285
330286
330290
330304
330306
330307
330314
330316
330331
330332
330338
330339
330340
330350
330353
330354
330357
330372
330385
330386
330389
330390
330393
330394
330395
330396
330397
330399
330401
330403
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
1.7127
1.3708
1.2774
0.9707
1.3100
1.2228
1.4002
1.2244
1.0278
1.1135
1.2072
1.5357
2.3425
1.1520
1.5494
1.2738
1.2402
1.4609
1.8409
1.3112
1.7745
1.3715
1.1834
1.3392
1.3845
1.5072
1.2365
1.0140
1.3203
1.2419
1.3921
0.9313
2.0758
1.3499
1.1594
1.2068
1.6224
1.9771
1.3514
1.6233
1.3053
1.4567
1.3412
***
1.2398
1.2869
1.3105
***
0.7634
1.2284
1.5260
1.2443
2.1246
1.2886
1.2901
1.0504
1.3408
1.7338
1.2394
1.7385
1.6520
1.4204
1.3480
1.4094
1.1317
1.3519
0.9101
PO 00000
Frm 00233
Average
hourly wage
FY 2007
0.9593
1.3043
0.8833
0.8308
1.0709
1.2855
0.8911
0.8420
1.3043
1.3043
0.8833
1.3043
1.3043
0.9471
1.3043
0.8911
0.8420
1.3043
0.9865
1.3043
0.8721
1.2729
1.3043
0.9865
0.9216
1.2855
1.3043
0.8308
1.1586
0.8911
1.3043
0.8308
1.3043
1.3043
0.8344
0.9101
0.9593
0.8911
1.2729
1.3043
1.3043
1.3043
0.9561
*
1.3043
1.2855
1.2855
*
0.8833
1.2729
1.3043
1.3043
*
1.3043
1.2855
1.3043
1.1461
1.3043
1.3043
1.2729
0.8721
1.3043
1.3043
1.3043
1.3043
1.2729
0.8911
Fmt 4701
Sfmt 4702
29.8889
39.2080
25.8507
23.3669
27.9231
32.3585
24.5646
21.9356
37.1298
40.6697
26.3313
47.3497
48.2306
27.7031
40.2386
21.7435
22.3854
43.5753
30.2304
37.4870
26.1811
37.1611
35.4980
25.3246
27.1606
35.1514
33.7834
23.8738
30.4701
21.6477
32.8541
25.3567
57.3596
37.0157
24.3300
26.4535
27.4539
30.1928
35.5895
39.4690
36.2845
36.3552
29.2529
26.2719
34.8567
39.8402
35.1646
37.7497
23.5786
37.9000
41.1339
45.9692
*
38.2286
36.1840
48.6175
29.9366
37.1862
36.3842
38.0619
27.3388
36.3921
37.4998
37.5682
34.7394
37.8559
25.5163
Average
hourly wage
FY 2008
32.5658
40.0514
27.7198
26.1264
29.1738
35.7651
24.8471
23.0577
38.6569
44.9422
27.4639
52.7070
49.3219
29.4346
42.8981
21.8386
23.1885
40.5001
32.7683
36.9015
27.4326
35.7416
39.0219
24.6091
29.0080
36.4788
40.2579
24.1333
31.0557
23.9081
34.9885
23.8793
55.2136
35.9298
26.0935
30.9053
29.6385
31.1235
37.6040
40.6933
37.3537
38.7713
29.5885
28.1788
37.1766
41.2694
37.0111
*
24.3066
37.4161
44.4617
45.0977
*
40.3850
35.1297
49.0859
33.3216
39.6871
35.5562
39.2186
28.4597
37.5791
39.4904
41.4448
36.7626
40.4485
25.2937
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
33.2132
42.5461
28.7835
27.1959
30.4765
32.9013
26.3674
23.9230
39.3870
48.9002
27.9601
40.8517
49.8754
30.8007
42.6166
23.3946
24.6380
41.6117
32.9148
38.7839
28.6678
35.9559
41.3428
26.9847
29.6168
39.0189
38.0192
24.2125
32.1770
22.7426
35.3884
23.9129
52.3126
39.7849
27.0432
30.8138
31.2369
31.9305
38.8533
39.8010
39.4605
39.0391
30.8103
22.6868
37.9320
44.1690
38.6906
*
25.0041
38.4698
44.2368
46.0175
*
40.2097
37.0288
47.3989
32.9974
37.5883
38.7634
38.9295
28.8056
50.1276
39.1940
41.1659
39.8000
41.7804
28.7267
Average
hourly wage**
(3 years)
31.8655
40.6770
27.5072
25.6000
29.2021
33.6812
25.2746
22.9668
38.3808
44.9236
27.2541
46.1530
49.1340
29.3076
41.9558
22.3482
23.4006
41.8580
32.0133
37.7206
27.4605
36.2356
38.4848
25.6366
28.6244
36.8295
37.2335
24.0872
31.4635
22.7616
34.4218
24.3479
54.6691
37.6016
25.8320
29.1290
29.4467
31.0944
37.3699
39.9779
37.8134
38.0888
29.9028
26.0606
36.6690
41.7977
36.9311
37.7497
24.2976
37.9265
43.3333
45.7015
*
39.5419
36.1053
48.3826
32.1005
38.1257
36.9285
38.7593
28.2126
40.5815
38.7397
39.9850
37.1071
40.0688
26.3688
23760
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
330404
330405
330406
330407
340001
340002
340003
340004
340008
340010
340011
340012
340013
340014
340015
340016
340017
340020
340021
340023
340024
340025
340027
340028
340030
340032
340035
340036
340037
340038
340039
340040
340041
340042
340047
340049
340050
340051
340053
340055
340060
340061
340064
340068
340069
340070
340071
340072
340073
340075
340084
340085
340087
340090
340091
340096
340097
340098
340099
340104
340106
340107
340109
340113
340114
340115
340116
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
0.9366
0.9452
0.9450
0.9449
1.4870
1.7858
1.2344
1.4318
1.2672
1.3315
1.1738
1.2246
1.2360
1.6086
1.3956
1.3330
1.2759
1.1889
1.3379
1.3629
1.1349
1.2988
1.2181
1.5011
1.9766
1.4553
1.0979
1.3100
1.1218
1.2380
1.2806
1.9081
1.3315
1.2353
1.8051
1.7851
1.2008
1.1886
1.4900
1.2129
1.0621
1.7496
1.1205
1.2915
1.8414
1.2531
1.0621
1.1433
1.6527
1.2349
1.1236
1.1506
1.2341
1.3071
1.6022
1.2333
1.2431
1.4670
1.2912
0.7848
1.1406
1.1991
1.2448
1.9457
1.5304
1.6260
1.7476
PO 00000
Frm 00234
Average
hourly wage
FY 2007
1.3043
1.3043
0.8833
0.8833
0.9570
0.9192
0.8632
0.9096
0.9567
0.9557
0.8632
0.8632
0.9307
0.8984
0.9570
0.8632
0.9192
0.8788
0.9570
0.9307
0.8809
0.9192
0.9174
0.9923
0.9693
0.9570
0.8632
0.9685
0.8794
0.8885
0.9570
0.9346
0.8946
0.8632
0.8984
0.9693
0.9567
0.8794
0.9570
0.8946
0.9141
0.9693
0.8632
0.8632
0.9693
0.8984
0.9557
*
0.9693
0.8946
0.9570
0.8882
0.8632
0.9685
0.9096
0.8882
0.8632
0.9570
0.8632
0.8794
0.8632
0.9068
0.8868
0.9570
0.9693
0.9693
0.8946
Fmt 4701
Sfmt 4702
*
*
*
*
28.3988
28.4860
24.1602
26.6404
26.7443
27.2105
19.7441
23.2288
23.9492
27.4888
28.0585
25.6454
25.7780
26.4465
29.4864
26.4225
23.6638
23.5881
25.5973
28.0323
29.6630
26.5958
23.9669
27.2691
25.6262
22.4829
27.4457
27.6626
24.3595
25.0110
27.4022
30.6791
26.0365
23.9612
27.8577
26.0647
22.9097
27.0089
23.4233
22.6814
29.3439
25.3226
26.3921
25.2493
30.9849
25.1551
21.1363
26.5164
22.4287
26.4031
27.1285
24.9036
26.2228
28.2493
21.8564
16.1204
26.0892
24.1762
25.4464
28.5587
28.3222
26.7592
27.5881
Average
hourly wage
FY 2008
*
*
*
*
29.5709
29.6622
26.0888
27.5283
27.7206
28.7544
22.0047
24.7576
26.3607
27.8384
28.3928
27.2365
27.5672
27.5473
29.3835
26.2716
26.4001
24.0101
26.3840
30.7591
30.4591
28.7636
24.6262
27.3860
29.0618
24.2111
27.8228
28.7434
26.8314
25.6349
28.4968
29.6826
27.5274
24.4561
28.9355
26.5752
25.1791
29.8574
23.9701
23.6757
31.4951
26.6546
27.9748
24.1350
31.6803
25.1438
23.1300
27.9572
25.4730
26.7428
28.8044
26.5438
29.8005
29.7180
23.9702
17.0165
26.1340
26.5626
26.6383
30.3841
28.1311
27.2781
29.3698
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
36.1044
35.2698
28.2727
*
29.9082
30.7384
26.6393
27.9184
29.0639
29.5207
22.5138
24.9253
26.9137
29.5330
30.0958
27.9629
28.4845
28.3440
31.3610
27.6909
26.8984
25.2827
26.6506
31.9846
31.1985
29.2058
26.0827
29.0626
30.5346
26.2582
29.5042
30.1256
27.1270
27.0573
28.7600
31.5524
29.2266
25.4961
30.8320
29.0098
26.8366
31.2885
25.0796
24.7388
32.2147
27.7660
29.7321
*
33.2859
26.8298
25.6868
29.1072
23.8343
28.3594
30.4345
26.5795
27.9788
31.3896
26.0062
19.9477
24.5134
27.3548
26.6462
32.3765
30.1188
28.0955
29.9425
Average
hourly wage**
(3 years)
36.1044
35.2698
28.2727
*
29.3235
29.6332
25.6927
27.3734
27.8645
28.5197
21.4242
24.3215
25.7232
28.3119
28.8519
26.9654
27.2551
27.4399
30.1011
26.8311
25.6597
24.3044
26.2232
30.2233
30.4842
28.2291
24.8874
27.9422
28.5630
24.3742
28.2768
28.8796
26.1141
25.9214
28.2338
30.6567
27.6025
24.6507
29.2316
27.1555
24.9813
29.4140
24.1848
23.6999
31.0749
26.6186
28.0710
24.6895
32.0279
25.7432
23.2795
27.8491
23.9111
27.2234
28.8160
26.0408
27.9546
29.8226
24.0248
17.8305
25.5139
26.0750
26.2343
30.4662
28.8788
27.3861
28.9452
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23761
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
340119
340120
340121
340123
340124
340126
340127
340129
340130
340131
340132
340133
340137
340138
340141
340142
340143
340144
340145
340147
340148
340151
340153
340155
340156
340158
340159
340160
340166
340168
340171
340173
340177
340179
340182
340183
350002
350003
350006
350009
350010
350011
350014
350015
350017
350019
350030
350063
350064
350070
360001
360002
360003
360006
360008
360009
360010
360011
360012
360013
360014
360016
360017
360019
360020
360025
360026
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
1.2861
1.0708
1.0930
1.2779
***
1.3283
1.1942
1.3110
1.3497
1.4690
1.2127
1.0197
***
0.9092
1.6729
1.2123
1.5447
1.2183
1.2148
1.3027
1.5007
1.2153
1.9232
1.4750
0.8722
1.1294
1.2146
1.3520
1.3505
0.4196
1.1184
1.3301
***
***
***
1.1992
1.8113
1.2133
1.5637
1.0718
1.0699
1.9136
0.9542
1.5991
1.2273
1.6984
0.9524
0.9136
0.7388
1.7656
1.4815
1.2851
1.7681
1.8125
1.3172
1.5509
1.2398
1.2808
1.3492
1.0853
1.1225
1.4873
1.6193
1.3267
1.5825
1.4547
1.3750
PO 00000
Frm 00235
Average
hourly wage
FY 2007
0.9570
0.8632
0.9087
0.9141
*
0.9557
0.9693
0.9570
0.9570
0.9174
0.8632
0.8940
*
0.9693
0.9087
0.8632
0.8946
0.9570
0.9570
0.9557
0.8984
0.8684
0.9570
0.9693
1.4446
0.9087
0.9693
0.8632
0.9570
0.9087
0.9570
0.9693
*
*
*
0.9570
0.7336
0.7336
0.7336
0.8212
*
0.8212
*
0.7336
0.7336
0.7709
0.7336
1.4365
1.4365
0.8212
0.9581
0.8723
0.9581
0.9869
0.8759
0.9299
0.8784
0.9657
0.9869
0.9299
0.9657
0.9581
0.9869
0.9266
0.9266
0.9267
0.9321
Fmt 4701
Sfmt 4702
25.6226
25.9134
23.1343
26.0637
22.2988
26.9866
26.4746
25.7976
26.1717
27.4750
23.5856
23.4678
22.1741
*
29.3878
26.6886
28.0082
26.1865
25.8459
26.9162
25.3660
22.7736
27.6509
30.3443
*
27.7816
24.2588
21.7923
27.1132
*
27.8539
28.3502
26.7155
34.1895
27.8071
*
22.4307
23.9639
21.2726
23.8681
20.1290
23.8400
19.1684
20.9046
22.4359
23.2018
20.2722
*
*
25.2365
25.8669
24.5155
28.9672
30.1363
26.2632
25.0007
23.7825
27.6036
30.1416
27.0893
27.1017
27.8031
29.8525
26.9178
23.6400
27.4533
25.5379
Average
hourly wage
FY 2008
29.4470
25.5399
23.8854
28.5669
23.5480
28.2247
28.2161
26.7606
28.1594
28.8542
24.6162
24.8579
28.9672
*
29.3171
27.7555
27.9777
27.0150
26.7482
28.2626
25.8325
23.2158
28.5979
30.9501
*
27.6526
25.3108
23.4631
28.5395
*
27.4701
30.2815
*
*
*
*
23.5869
24.9975
22.4626
24.5737
20.4198
24.1135
17.5837
21.3342
21.6187
24.9615
22.5976
*
*
26.2454
28.8623
25.4859
30.7812
30.9806
27.5683
27.0618
24.7352
31.5587
31.0526
29.8412
27.0743
29.6298
31.7081
27.2997
25.6328
27.1546
25.2945
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
27.2924
26.1449
25.1565
28.7125
25.7275
30.6880
28.8647
31.7833
29.5278
29.6545
25.3247
26.8831
27.0855
*
29.3351
28.2393
29.3839
27.6523
28.0628
29.6936
27.9119
24.5768
29.8260
31.7547
*
29.4088
28.1688
24.2003
29.9101
*
31.1928
30.9813
*
*
*
30.1224
23.6039
24.5802
23.4334
23.9783
*
26.0184
*
22.9107
24.0965
24.9880
23.1013
*
*
26.2850
30.1018
25.2198
31.8948
31.8259
28.0182
28.2407
25.5935
29.9864
31.9806
30.2383
28.1800
30.2164
33.2491
28.3226
27.6681
28.4754
27.5409
Average
hourly wage**
(3 years)
27.4283
25.8647
24.0798
27.7861
23.7126
28.6662
27.8604
27.9613
27.9862
28.6874
24.5295
25.1020
25.1884
*
29.3465
27.5936
28.4856
26.9370
26.9029
28.3096
26.4048
23.5273
28.7235
31.0367
*
28.3011
25.9712
23.1718
28.5234
*
28.9088
29.9351
26.7155
34.1895
27.8071
30.1224
23.2267
24.5236
22.3834
24.1447
20.2749
24.6622
18.3437
21.7900
22.7331
24.4055
22.0048
*
*
25.9334
28.2801
25.0794
30.5710
31.0038
27.2862
26.7836
24.7214
29.6800
31.0579
29.0666
27.4862
29.2161
31.6157
27.5252
25.6284
27.6992
26.1280
23762
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
360027
360029
360032
360035
360036
360037
360038
360039
360040
360041
360044
360046
360048
360049
360051
360052
360054
360055
360056
360058
360059
360062
360064
360065
360066
360068
360070
360071
360072
360074
360075
360076
360077
360078
360079
360080
360081
360082
360084
360085
360086
360087
360089
360090
360091
360092
360095
360096
360098
360100
360101
360107
360109
360112
360113
360115
360116
360118
360121
360123
360125
360130
360131
360132
360133
360134
360137
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
1.5168
1.1810
1.2265
1.6390
1.1944
1.5004
1.5826
1.4590
1.2069
1.4496
1.1770
1.2150
1.8237
***
1.6897
1.5471
1.3413
1.4007
1.5488
1.1206
1.4695
1.5597
1.5123
1.2709
1.4332
1.8584
1.6693
1.1466
1.5262
1.2813
1.2013
1.5143
1.5018
1.2814
1.7270
1.1032
1.3032
1.3735
1.6319
2.0543
1.6514
1.4326
1.1327
1.4661
1.3415
1.2566
1.4803
1.1353
1.4304
1.3412
1.4779
1.1819
1.0429
1.8522
1.2805
1.3320
1.2122
1.4755
1.2872
1.4063
1.2052
1.5015
1.3679
1.3742
1.5965
1.7642
1.7064
PO 00000
Frm 00236
Average
hourly wage
FY 2007
0.9266
0.9267
0.8582
0.9869
0.9266
0.9266
0.9581
0.9657
0.8969
0.9266
0.8709
0.9581
0.9267
*
0.9321
0.9321
0.8759
0.8931
0.9581
0.8582
0.9266
0.9869
0.8931
0.9266
0.9299
0.9267
0.8845
0.8617
0.9869
0.9267
0.9266
0.9581
0.9266
0.9266
0.9321
0.8582
0.9267
0.9266
0.8845
0.9869
0.9321
0.9266
0.8582
0.9267
0.9266
0.9869
0.9267
0.8582
0.9266
0.8845
0.9266
0.9267
0.8582
0.9267
0.9581
0.9266
0.9581
0.9295
0.9267
0.9266
0.8582
0.9266
0.8845
0.9581
0.9321
0.9581
0.9266
Fmt 4701
Sfmt 4702
27.4454
24.3216
25.0034
30.0172
27.8343
29.0046
25.4274
23.9783
24.8569
26.1522
21.5619
25.4673
29.3415
26.2222
26.8501
26.2066
22.9359
27.3941
26.5318
23.8119
29.3624
31.7422
25.2336
28.0405
27.1436
26.2065
27.2389
23.4619
25.9589
25.8959
26.8925
28.1013
28.4449
25.7885
27.2437
21.4526
29.8366
29.2561
27.3917
31.5800
25.4218
29.6579
25.3465
29.0199
25.8657
25.4954
26.4635
25.9275
25.5973
25.4523
27.6030
24.6095
26.3131
30.5715
26.6556
25.9841
25.1717
27.3884
27.4442
27.1920
24.1388
25.6570
25.3719
27.7724
29.8684
27.7339
26.1250
Average
hourly wage
FY 2008
28.2923
26.4208
25.9916
31.3181
29.3514
30.0446
31.0611
24.7873
25.5337
26.6755
24.3840
26.2417
29.4378
*
28.1167
26.8806
24.8248
30.0143
30.3677
24.5003
30.6173
32.8893
27.7795
29.7155
29.7605
26.6933
27.8891
26.4081
27.2286
27.5328
26.1657
29.0148
28.0133
27.4689
30.1230
22.7020
29.5312
28.7925
28.5402
32.8502
27.3124
28.4185
25.5608
30.7530
27.6809
25.4055
29.3787
26.8653
26.6382
23.6167
29.7817
26.0534
30.1382
31.1356
30.2871
26.1821
26.4968
28.5643
28.3835
28.0334
25.9067
26.3986
26.6635
29.4070
31.7521
28.5141
27.6894
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
29.6304
27.8825
27.2621
31.2432
29.9390
30.6535
31.3759
25.8206
26.7437
28.4427
24.7681
28.2956
30.0370
*
29.4411
28.4711
23.6593
31.4776
31.1802
25.9278
30.6279
32.8990
28.6078
31.5056
30.9636
28.6320
28.8717
25.7940
28.3666
27.9970
28.3916
29.2102
28.3010
27.3636
31.3114
21.8797
31.4274
30.5823
29.2435
33.1267
28.3559
28.6324
28.0769
29.2643
28.1671
28.0797
30.1514
27.9493
26.5824
25.8131
30.6609
26.8168
30.4624
32.4383
30.3893
26.8438
26.8619
29.9812
31.6755
28.5418
27.1761
28.1792
27.3408
29.8386
33.1791
29.9175
30.3093
Average
hourly wage**
(3 years)
28.4671
26.2449
26.0956
30.8528
29.0664
29.8835
29.1457
24.8982
25.7182
27.1150
23.5345
26.6958
29.6170
26.2222
28.1381
27.2049
23.7903
29.5863
29.4451
24.7681
30.2152
32.5514
27.1789
29.7621
29.2899
27.1929
27.9936
25.2133
27.2276
27.1581
27.1857
28.7968
28.2547
26.8573
29.5585
22.0297
30.2589
29.5279
28.4167
32.5905
27.0242
28.8850
26.2935
29.6802
27.2522
26.3112
28.6022
26.9250
26.3001
24.9650
29.3460
25.8586
28.9111
31.4039
29.0672
26.3395
26.2113
28.5726
29.0943
27.9298
25.6993
26.7600
26.4479
28.9945
31.6376
28.7663
28.0256
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23763
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
360141
360143
360144
360145
360147
360148
360150
360151
360152
360153
360155
360156
360159
360161
360163
360170
360172
360174
360175
360179
360180
360185
360187
360189
360192
360195
360197
360203
360210
360211
360212
360218
360230
360234
360236
360239
360241
360242
360245
360247
360253
360259
360261
360262
360263
360264
360265
360266
360267
360268
360269
360270
360271
360272
360273
360274
360276
370001
370002
370004
370006
370007
370008
370011
370013
370014
370015
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
1.6073
1.3047
1.3394
1.6504
1.2554
1.1785
1.3213
1.4719
1.5125
0.9954
1.4645
1.1512
1.3312
1.3364
1.8747
1.1878
1.3762
1.2862
1.2487
1.5492
2.3387
1.2624
1.4967
1.1420
1.3279
1.0799
1.1347
1.1898
1.2170
1.6076
1.3076
1.2246
1.5275
1.4185
1.3057
1.3536
***
1.9535
0.6344
0.4196
2.2617
1.2301
1.5079
1.2975
1.9432
***
***
2.1538
***
***
1.7035
1.1268
***
***
***
1.5016
1.1341
1.6484
1.1271
1.1127
1.2372
1.0227
1.4408
1.0018
1.5415
1.0690
1.0296
PO 00000
Frm 00237
Average
hourly wage
FY 2007
0.8931
0.9266
0.9266
0.9266
0.8582
0.8582
0.9266
0.8845
0.9869
0.8582
0.9266
0.8701
0.9657
0.8931
0.9581
0.9869
0.9266
0.9321
0.9657
0.9581
0.9266
0.8582
0.9321
0.9869
0.9266
0.9266
0.9657
0.8582
0.9869
0.8582
0.9266
0.9869
0.9266
0.9581
0.9581
0.9321
*
*
0.9266
0.9869
0.9581
0.9267
0.9118
0.9267
0.9299
*
*
0.9869
*
*
0.9581
0.8582
*
*
*
0.9321
0.8931
0.8652
0.8016
0.9349
0.8784
0.8016
0.8686
0.8686
0.8686
0.9291
0.8652
Fmt 4701
Sfmt 4702
29.7937
28.3057
28.2473
27.1908
25.5854
26.0837
25.1217
25.3780
29.9425
19.8499
26.9127
24.3281
29.1529
25.4433
28.9742
28.5474
27.5669
26.8586
28.1531
30.0311
29.6633
25.6800
24.9353
26.3756
26.4616
25.0922
28.7580
24.4433
28.2976
25.7053
25.6080
29.8662
28.8018
25.9360
25.6728
27.2939
23.0662
*
20.6504
19.3677
33.2371
25.9878
22.3614
28.6995
25.1652
36.0754
36.6265
*
*
*
*
*
*
*
*
*
*
26.0194
22.0476
26.7434
22.4802
19.4036
25.3352
21.9649
26.5364
25.9393
24.7547
Average
hourly wage
FY 2008
31.1778
26.9394
28.9177
28.1835
27.5548
26.3399
28.2561
26.5636
31.5377
20.2147
28.9521
25.0833
28.6174
27.0875
30.0724
29.5954
28.8283
28.3143
28.3054
29.8299
31.4342
26.1080
25.7600
27.5097
27.5991
27.6155
28.9207
25.3692
29.6476
26.5459
26.6976
30.0101
30.0661
31.0656
29.5321
30.7728
25.7290
*
20.3426
*
34.3347
27.2902
25.6332
30.1559
25.4864
*
*
31.7565
34.0936
34.0526
24.8552
*
*
*
*
*
*
26.8884
23.6886
26.8521
23.9935
20.3706
26.6563
22.3391
27.2667
26.4488
25.5815
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
31.9380
28.0681
29.6531
29.3247
29.2356
25.7446
27.8825
26.9664
33.3560
21.8404
28.8915
26.2253
29.0171
27.7406
31.2057
30.0025
30.2315
28.3749
29.7479
31.3518
32.0205
26.4201
27.3727
28.2736
29.1980
27.2619
28.5250
27.7551
31.8161
27.2721
28.5868
31.0690
30.5975
30.7904
29.9348
31.7919
25.8138
*
20.4587
*
34.6849
28.0868
26.6241
31.5616
28.1657
*
*
29.8358
*
*
25.5163
28.8661
28.4331
38.0986
37.6617
*
*
28.4890
26.2488
28.2786
25.2294
21.1255
27.9923
23.1755
28.3486
28.8951
27.8050
Average
hourly wage**
(3 years)
30.9580
27.7625
28.9566
28.2623
27.4482
26.0498
27.0949
26.3114
31.6190
20.6626
28.2820
25.2574
28.9284
26.7559
30.0774
29.4160
28.8817
27.8656
28.7375
30.4088
31.0895
26.0786
26.0387
27.4040
27.8031
26.6349
28.7314
25.8598
29.9477
26.4875
26.9659
30.3264
29.8409
29.2950
28.6891
29.9651
24.8236
*
20.4760
19.3677
34.0994
27.1587
24.8458
30.2316
26.3875
36.0754
36.6265
30.6488
34.0936
34.0526
25.2427
28.8661
28.4331
38.0986
37.6617
*
*
27.1483
23.9833
27.2955
23.8425
20.2911
26.6850
22.5131
27.4244
27.1129
26.1032
23764
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
370016
370018
370019
370020
370022
370023
370025
370026
370028
370029
370030
370032
370034
370036
370037
370039
370040
370041
370047
370048
370049
370051
370054
370056
370057
370060
370065
370072
370078
370080
370083
370084
370089
370091
370093
370094
370097
370099
370100
370103
370105
370106
370112
370113
370114
370138
370139
370148
370149
370153
370156
370158
370166
370169
370170
370171
370172
370173
370174
370176
370178
370180
370183
370190
370192
370196
370199
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
1.5756
1.5016
1.1994
1.4065
1.1935
1.2804
1.3471
1.4489
1.9475
1.1365
1.0209
1.4768
1.2643
1.0929
1.6173
1.0375
0.9726
0.8769
1.4262
1.0294
1.3024
1.0519
1.2382
1.8723
1.0258
1.0456
1.0154
0.8329
1.5381
0.9489
0.9450
1.0056
1.4095
1.6019
1.6611
1.3751
1.2821
1.0542
0.9080
1.0407
2.0282
1.4171
0.9279
1.1274
1.5752
1.0937
0.9151
1.5372
1.3311
1.1065
1.0044
0.9394
0.8545
0.9454
0.9052
0.9693
0.8569
0.9838
0.9087
1.3084
0.9114
1.1405
0.9683
1.5039
1.9589
***
0.9156
PO 00000
Frm 00238
Average
hourly wage
FY 2007
0.8686
0.8652
0.8016
0.8016
0.8016
0.8106
0.8652
0.8686
0.8686
0.8016
0.8652
0.8686
0.8016
0.8016
0.8686
0.8652
0.8016
0.8652
0.8686
0.8016
0.8686
0.8016
0.8016
0.8630
0.8652
0.8652
0.8112
0.8274
0.8652
0.8016
0.8067
0.8016
0.8016
0.8652
0.8686
0.8686
0.8630
0.8016
0.8116
0.8016
0.8686
0.8686
0.8016
0.8950
0.8652
0.8016
0.8016
0.8686
0.8686
0.8016
0.8137
0.8686
0.8652
0.8179
1.4446
1.4446
1.4704
1.4446
1.4446
0.8652
0.8016
1.4446
0.8652
0.8652
0.8686
*
0.8686
Fmt 4701
Sfmt 4702
26.7938
25.3573
22.0221
20.8723
24.6099
23.5170
23.9873
25.8428
27.8621
26.8508
24.1483
24.8626
19.5099
19.2318
24.9553
23.0254
22.8356
22.6731
24.1991
21.4543
23.8844
19.8329
22.4652
24.3986
19.8683
19.9025
21.2343
11.7942
27.8611
19.9595
19.2568
19.6230
20.6153
24.1438
26.0459
24.5555
26.3168
24.9971
17.9732
18.8933
26.7973
27.8979
16.0592
26.9720
23.0006
20.2528
19.4287
27.0904
23.3493
23.2778
25.2562
20.7641
25.1107
16.8252
*
*
*
*
*
24.7655
16.0179
*
24.7103
29.1568
27.6367
22.3498
23.3989
Average
hourly wage
FY 2008
29.8284
24.6868
25.2814
22.7566
22.2289
24.0376
24.5547
25.5172
28.5619
28.5309
25.8212
26.2642
20.4106
19.8162
25.2350
23.5745
26.7395
22.9834
24.4766
22.0627
22.8755
19.3222
25.2142
25.5453
22.1337
23.3858
23.5815
13.0963
26.6972
22.4113
20.9878
20.7326
22.1523
25.8697
27.5356
26.5265
26.8138
26.7206
19.4002
19.4273
26.6399
28.5957
16.7888
26.4608
25.9841
22.1675
20.5156
28.1933
23.3423
24.1667
23.0104
21.5228
24.7251
16.6752
*
*
*
*
*
24.9650
16.0747
*
23.8419
34.6942
19.0638
20.8296
23.7412
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
30.4646
31.2325
26.7609
27.7807
26.4826
24.9575
24.8323
26.0190
29.9829
30.0133
26.0822
28.0726
23.2177
21.1549
26.8975
25.3412
19.7632
29.5069
27.8930
23.4845
24.2087
21.8711
23.4638
27.6169
23.1808
25.5560
24.0050
22.8589
30.4817
23.7218
21.9159
17.4201
22.0592
28.0464
26.7255
28.3484
28.0905
30.5425
20.6297
22.2665
30.5423
29.6782
19.0125
30.0045
27.3069
23.6337
21.0751
29.3428
23.0749
25.9232
22.7138
22.0059
26.3414
24.5386
*
*
*
*
*
26.6672
15.5266
*
30.3849
32.5630
19.1330
24.6968
23.9357
Average
hourly wage**
(3 years)
28.9272
27.0624
24.7201
23.6027
24.3184
24.1637
24.4542
25.7953
28.8114
28.4170
25.3421
26.3353
21.1222
20.1518
25.7110
23.9675
23.1713
24.8467
25.5715
22.3179
23.6440
20.3135
23.6682
25.8232
21.6643
22.9757
22.9087
14.5180
28.2974
22.0520
20.6845
19.1737
21.6429
26.0375
26.7691
26.4229
27.0817
27.4897
19.4038
20.0894
27.9853
28.7253
17.3058
27.8038
25.4424
21.8806
20.3636
28.2968
23.2542
24.4635
23.5680
21.4295
25.3950
19.7622
*
*
*
*
*
25.4759
15.8654
*
26.4222
32.3673
21.1807
22.8178
23.7085
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23765
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
370200
370201
370202
370203
370206
370210
370211
370212
370214
370215
370216
370217
370218
370219
370220
370222
370223
370226
370227
370228
380001
380002
380004
380005
380007
380009
380010
380014
380017
380018
380020
380021
380022
380025
380027
380029
380033
380037
380038
380039
380040
380047
380050
380051
380052
380056
380060
380061
380071
380075
380081
380082
380089
380090
380091
380100
390001
390002
390003
390004
390006
390008
390009
390010
390011
390012
390013
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
1.0572
1.7010
1.4934
1.9356
1.7577
2.1582
1.1931
1.8217
0.8902
2.3013
2.0050
***
1.9640
***
2.3081
1.8753
0.8701
1.4674
0.9326
1.2387
1.2850
1.2143
1.6454
1.4198
1.9643
2.0934
***
1.8838
1.7891
1.8551
1.4577
1.4597
1.3523
1.1973
1.3782
1.2617
1.7377
1.3322
1.2761
***
1.4621
1.8056
1.4231
1.7594
1.2624
1.1073
1.4994
1.6390
1.3775
1.3482
***
1.2966
1.3399
1.3418
1.4734
***
1.5668
1.3393
1.2164
1.6088
1.9527
1.1400
1.8038
1.1889
***
1.1856
1.3619
PO 00000
Frm 00239
Average
hourly wage
FY 2007
0.8016
0.8686
0.8652
0.8686
0.8686
0.8652
0.8686
0.8686
0.8137
0.8686
0.8652
*
0.8652
*
0.8686
0.8686
0.8686
0.8016
0.8652
0.8652
1.1204
1.0298
1.1204
1.0298
1.1204
1.1204
*
1.1076
1.1204
1.0298
1.1157
1.1204
1.0572
1.1204
1.1157
1.0725
1.1157
1.1204
1.1204
*
1.0298
1.1043
1.0298
1.1204
1.0298
1.0725
1.1204
1.1204
1.1204
1.0298
*
1.1204
1.1204
1.1157
1.1204
*
0.8342
0.8579
0.8342
0.9185
0.9185
0.8402
0.8708
0.8579
*
1.0992
0.9185
Fmt 4701
Sfmt 4702
20.5175
23.8090
26.1132
22.8869
26.0353
23.3786
27.8737
19.1720
20.6217
31.5652
27.2429
26.8677
*
*
*
*
*
*
*
*
29.5842
30.3385
32.6901
30.9087
33.9601
32.4016
34.4208
33.6078
34.2605
30.9923
29.6053
29.2164
30.1742
35.5084
26.4982
28.7994
33.4828
32.4033
34.5971
38.0989
31.2286
31.0584
27.1814
30.8891
25.6085
27.7253
32.0101
32.3699
31.7761
33.8962
26.8149
35.6708
34.6015
33.0990
39.9703
*
23.6075
24.7867
23.3672
24.4068
26.8581
22.8042
26.7462
24.5785
21.4856
30.7542
25.0037
Average
hourly wage
FY 2008
21.7153
24.2364
25.7966
25.7770
27.5752
27.2111
28.6537
20.3495
21.0732
32.4087
25.8260
*
30.3445
*
*
*
*
*
*
*
32.0770
31.5246
34.5432
33.2849
35.1697
34.5635
*
33.1928
35.3734
31.8181
34.6183
32.6142
29.6224
36.4910
28.0247
29.4461
34.0094
32.7922
35.1105
*
32.9081
32.8188
29.7329
32.8545
28.6119
29.1686
33.8863
34.5230
31.0901
31.6884
*
35.7821
35.4850
35.5535
40.5066
*
24.3251
25.0860
24.5099
25.2424
28.6926
22.6297
26.7234
24.8196
20.2291
32.4856
26.2323
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
19.7049
25.5862
25.8246
30.3614
30.8129
25.7890
30.9637
20.0910
20.1491
32.0922
29.6639
*
23.7493
41.4373
21.3140
26.9158
24.0138
*
*
*
33.8473
32.6801
36.1178
33.5739
36.4198
36.5661
*
35.7074
37.0024
32.4859
35.7367
33.0611
30.9162
38.1479
31.4378
33.3348
36.0221
34.0301
35.0334
*
34.4710
35.8144
31.3064
34.6659
27.7647
31.0190
35.1087
35.7630
31.6798
34.0174
*
37.7239
36.9989
41.4499
38.4947
45.3849
25.4178
25.9811
26.2863
26.5037
30.9901
22.9409
28.7325
26.0951
*
34.1980
28.3024
Average
hourly wage**
(3 years)
20.6651
24.5320
25.9084
26.3098
28.1710
25.4309
29.3408
19.8981
20.5858
32.0514
27.5894
26.8677
26.4612
41.4373
21.3140
26.9158
24.0138
*
*
*
31.8553
31.5496
34.4710
32.5875
35.2082
34.5647
34.4208
34.1739
35.5661
31.7959
32.9979
31.5746
30.2422
36.7332
28.6431
30.6606
34.5420
33.1177
34.9145
38.0989
32.9570
33.3095
29.4427
32.8426
27.2628
29.2586
33.6769
34.2152
31.5133
33.2050
26.8149
36.4069
35.7198
36.7267
39.6719
45.3849
24.4575
25.2995
24.7251
25.3610
28.9685
22.7921
27.4264
25.1622
20.8697
32.4294
26.5751
23766
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
390016
390019
390022
390023
390024
390025
390026
390027
390028
390030
390031
390032
390035
390036
390037
390039
390041
390042
390043
390044
390045
390046
390048
390049
390050
390052
390054
390056
390057
390058
390061
390062
390063
390065
390066
390067
390068
390070
390071
390072
390073
390074
390076
390079
390080
390081
390084
390086
390090
390091
390093
390095
390096
390097
390100
390101
390102
390103
390104
390107
390108
390110
390111
390112
390113
390114
390115
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
1.2430
1.1210
***
1.2632
***
0.4329
1.3079
1.6538
1.5828
1.1870
1.2126
1.2693
1.1907
1.4853
1.4598
1.2528
1.3077
1.3624
1.1959
1.5562
1.4816
1.6617
1.1221
1.5809
2.0142
1.1476
***
1.1124
1.3322
1.3063
1.5170
1.1231
1.8374
1.3159
1.3881
1.7872
1.3404
1.3523
1.0062
1.0663
1.6919
***
1.3189
1.8491
1.3943
1.2389
1.1285
1.5931
1.9186
1.1759
1.1913
1.1678
1.6015
1.2500
1.6431
1.2844
1.4773
***
1.1021
1.5861
1.1988
1.5950
2.1581
1.3266
1.3312
1.6377
1.4264
PO 00000
Frm 00240
Average
hourly wage
FY 2007
0.8559
0.9675
*
1.0992
*
1.0992
1.0992
1.0992
0.8579
0.8626
0.9204
0.8579
1.0992
0.8579
0.8579
0.8342
0.8579
0.8579
0.8342
1.0788
0.8342
0.9799
0.9185
0.9675
0.8579
0.8389
*
0.8378
1.0992
0.9185
0.9799
0.8342
0.8708
1.1006
0.9185
0.9185
0.9799
1.0992
0.8342
0.8342
0.8342
*
1.0992
0.8560
1.0992
1.0992
0.8342
0.8342
0.8579
0.8559
0.8559
0.8342
1.0788
1.0992
0.9799
0.9666
0.8579
*
0.8342
0.8579
1.0992
0.8579
1.0992
0.8342
0.8559
0.8579
1.0992
Fmt 4701
Sfmt 4702
23.2095
24.0538
30.3565
35.4452
33.5186
19.1362
31.8512
35.5692
27.1869
23.6063
26.2654
23.9466
28.4564
21.6358
25.4290
22.0208
22.9814
28.3633
23.2378
28.7758
23.9343
29.6574
28.5342
29.6121
27.2599
24.9510
24.4435
23.5077
29.7982
26.9546
29.1318
21.2999
26.4998
27.6249
25.9645
29.7234
26.7358
33.3185
24.6462
25.3029
25.7822
23.6500
31.8500
22.5607
28.7063
31.7569
23.2039
23.5141
27.3528
21.7010
22.6082
22.6150
28.8258
26.1741
30.0132
23.1497
24.8369
20.5741
19.2326
24.1159
27.8171
27.7311
34.2990
20.2380
23.3686
26.9620
29.6905
Average
hourly wage
FY 2008
24.3488
25.7515
29.6308
34.7787
38.8750
20.3878
31.8309
39.2158
27.1451
24.6343
27.2033
24.5243
29.5417
24.4917
25.2296
23.2300
24.2257
28.0996
24.2087
29.4057
24.6495
30.5115
28.3152
30.7431
27.3481
25.1462
27.4805
23.5821
30.9198
27.7296
30.0597
21.0713
26.8381
29.5654
25.4407
30.6128
29.0962
34.4935
24.8467
26.2568
26.4083
25.4098
32.7671
24.4452
29.2645
33.6247
24.3372
25.0992
27.0122
23.3562
22.6023
24.6290
28.6055
27.9858
30.0234
24.8377
24.4589
20.4446
19.6630
24.6565
28.5928
25.3407
34.8756
21.5439
24.2593
27.9184
30.8063
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
26.1785
25.3173
*
36.2584
37.4780
*
36.0580
40.9084
29.6197
26.5661
26.1246
25.3739
27.2114
26.1934
27.0768
22.1517
25.1175
29.6193
24.3584
29.9946
25.8784
32.5260
28.4555
30.4709
29.6697
26.3688
27.5682
24.7026
31.0260
29.6597
30.9185
22.8844
28.3963
31.8827
29.0022
32.2862
29.6963
34.5477
26.3816
28.8131
27.0855
*
33.9877
26.0178
31.6193
36.4760
24.3181
24.7444
30.1231
23.2108
23.8837
25.3848
30.3896
28.1266
32.5896
27.3460
25.5321
*
20.4543
25.6775
34.3038
25.7142
38.6429
18.4179
24.8661
28.5319
32.5023
Average
hourly wage**
(3 years)
24.5413
24.9933
29.9808
35.4918
36.5096
19.7743
33.1365
38.5953
27.9531
24.9940
26.5387
24.6172
28.3541
24.0498
25.9180
22.4609
24.1286
28.7201
23.9394
29.4217
24.8306
30.9440
28.4340
30.2929
28.1208
25.5002
26.3435
23.9359
30.6011
28.1041
29.9889
21.7734
27.2925
29.7493
26.8307
30.8943
28.5413
34.1258
25.3085
26.7355
26.4996
24.5222
32.8740
24.3375
29.8842
33.9941
23.9420
24.4724
28.1610
22.7618
23.0312
24.2111
29.2646
27.3784
30.9302
25.1596
24.9493
20.5090
19.7621
24.8676
30.1995
26.1477
35.9670
19.9664
24.1707
27.8260
31.0518
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23767
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
390116
390117
390118
390119
390121
390122
390123
390125
390127
390128
390130
390131
390132
390133
390136
390137
390138
390139
390142
390145
390146
390147
390150
390151
390153
390154
390156
390157
390160
390162
390163
390164
390166
390168
390169
390173
390174
390176
390178
390179
390180
390181
390183
390184
390185
390189
390192
390194
390195
390196
390197
390198
390199
390201
390203
390204
390211
390217
390219
390220
390222
390223
390225
390226
390228
390231
390233
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
1.2605
1.1784
1.1738
1.2800
***
1.1069
1.1993
1.2499
1.3561
1.2331
1.1985
1.3570
1.4504
1.7609
***
1.4546
1.1966
1.3522
1.5286
1.5880
1.1823
1.3781
1.1119
1.3436
1.3705
1.2171
1.3593
1.3257
1.3326
1.5041
1.2454
2.1300
***
1.4758
1.4118
1.2178
1.6824
1.1316
1.3247
1.4264
1.3926
***
1.1452
1.0915
1.2586
1.1436
1.0388
1.2037
1.6565
1.6460
1.4171
1.1294
1.1366
1.3518
1.5297
1.2911
1.2835
1.2278
1.3577
1.0888
1.2691
1.9836
1.1877
1.7135
1.3609
1.4014
1.3823
PO 00000
Frm 00241
Average
hourly wage
FY 2007
1.0992
0.8344
0.8342
0.8342
*
0.8395
1.0992
0.8364
1.0992
0.8579
0.8342
0.8579
1.0992
0.9675
*
0.8342
0.9185
1.0992
1.0992
0.8579
0.8364
0.8579
0.8579
1.1006
1.0992
0.8342
1.0992
0.8579
0.8579
1.1449
0.8559
0.8579
*
0.8579
0.8342
0.8342
1.0992
0.8579
0.8930
1.0992
1.0992
*
0.8342
0.8579
0.9675
0.8342
0.8342
0.9675
1.0992
*
0.9675
0.8708
0.8342
0.9512
1.0992
1.0992
0.8930
0.8579
0.8579
1.0992
1.0992
1.0992
0.9799
1.0992
0.8579
1.0992
0.9666
Fmt 4701
Sfmt 4702
32.2513
20.7821
20.5614
23.0928
25.4826
23.1866
32.4528
22.4033
31.9091
24.1628
23.0592
23.0577
29.6396
31.1083
23.9813
24.2878
25.3410
34.1447
33.8224
24.6672
22.6752
26.8522
22.8228
29.9254
32.8234
22.8391
32.2688
21.5923
24.0208
35.5057
23.2055
26.3087
20.9272
26.1365
26.5514
23.9927
34.2069
23.9779
22.6006
28.0688
34.9832
25.9871
27.0122
22.7451
25.4256
22.6796
20.5459
27.5890
34.2980
*
26.8270
20.5979
22.3224
27.0054
29.4930
29.5251
25.1689
23.5879
25.4886
28.9128
30.9464
30.2523
27.5803
32.6658
23.9845
30.9339
25.6904
Average
hourly wage
FY 2008
33.2562
21.5038
21.8917
24.3245
*
23.3220
34.0062
22.8816
33.6557
24.1390
23.2504
23.5783
31.1168
32.9812
*
26.1457
27.4231
34.0836
34.5773
25.6980
25.1805
28.6606
22.7668
31.4067
33.2427
23.3559
32.8999
22.1112
22.9696
34.5809
22.8341
27.1950
23.3255
26.9816
26.2643
25.6455
34.8999
24.1247
23.1452
30.1219
35.5291
26.6021
27.8358
23.9736
27.1119
23.6215
23.6171
26.3152
34.5594
*
27.2455
20.4350
23.0046
27.3542
29.1370
30.7346
26.5052
24.1886
26.1196
30.7435
31.7361
34.3280
27.2555
32.6508
24.2242
32.8353
27.2597
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
33.9272
22.2319
23.6529
25.3896
*
24.6425
35.1219
24.0182
33.1200
25.1844
30.3208
27.7127
30.0723
33.0697
*
26.9140
27.7549
36.4969
33.3491
26.9194
23.9869
29.0974
22.6473
31.8952
36.0259
23.9776
33.7034
23.0975
25.2027
35.1818
24.8747
29.7760
28.2160
27.3654
26.6049
27.6024
34.9029
12.3126
23.9151
31.5474
38.2969
27.8820
28.2196
23.9958
25.5306
23.4893
23.7948
23.7351
37.2471
*
28.1394
21.0850
24.5461
28.5649
30.7209
32.0218
27.7862
26.2690
26.3253
32.0869
32.3724
37.4105
26.3628
35.4653
25.5103
35.2285
28.3647
Average
hourly wage**
(3 years)
33.1578
21.5356
22.0851
24.2630
25.4826
23.7140
33.8960
23.1230
32.8957
24.5037
25.3350
24.8832
30.2692
32.4255
23.9813
25.8031
26.8681
34.9221
33.9107
25.7780
23.9695
28.1881
22.7481
31.1171
34.1045
23.4008
32.9631
22.2734
24.0528
35.0918
23.6452
27.7684
23.9468
26.8304
26.4723
25.7719
34.6825
18.1769
23.2190
29.9836
36.3036
26.8191
27.6769
23.5369
25.9878
23.2864
22.6673
25.7636
35.3797
*
27.4100
20.7061
23.3008
27.6588
29.8038
30.7952
26.4993
24.6769
25.9698
30.6085
31.7085
33.8814
26.9591
33.6044
24.5893
33.0470
27.1364
23768
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
390236
390237
390246
390256
390258
390263
390265
390266
390267
390268
390270
390272
390278
390285
390286
390287
390288
390289
390290
390302
390303
390304
390305
390306
390307
390308
390309
390310
390311
390312
390313
390314
390315
390316
390318
400001
400002
400003
400004
400005
400006
400007
400009
400010
400011
400012
400013
400014
400015
400016
400017
400018
400019
400021
400022
400024
400026
400028
400032
400044
400048
400061
400079
400087
400098
400102
400103
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
0.9818
1.5868
1.1777
1.9774
1.4533
1.5092
1.5374
1.1912
1.2760
1.4064
1.6183
0.6051
0.6005
1.4914
1.2124
***
***
***
1.8004
0.8675
***
1.2958
***
***
2.0387
***
***
***
***
1.2883
1.1642
1.9344
1.6395
1.6856
0.8280
1.3295
1.9377
1.3791
1.2115
1.2533
1.1625
1.1605
0.9834
0.9051
1.1055
1.4864
1.3650
1.3749
1.4718
1.4676
0.8958
1.1103
1.5158
1.3614
1.4439
0.8933
1.1373
1.1913
1.1451
1.4861
1.3035
2.2573
1.2280
1.3360
1.3491
1.1900
1.9297
PO 00000
Frm 00242
Average
hourly wage
FY 2007
0.8345
0.8342
*
0.9185
1.0992
0.9675
0.8579
0.8930
0.8579
0.8810
0.8342
1.0992
1.0992
1.0992
1.0992
*
*
*
1.0992
1.0992
*
1.0992
*
*
0.8930
*
*
*
*
1.0992
0.9204
0.9675
0.8579
0.9518
0.9675
0.4404
0.4122
0.4122
0.4404
0.4404
0.4404
0.4404
0.3137
0.3311
0.4404
0.4404
0.4404
0.3896
0.4404
0.4404
0.4404
0.4404
0.4404
0.4648
0.4122
0.3896
0.3137
0.4122
0.4404
0.4122
0.3137
0.4404
0.3311
0.4404
0.4404
0.4404
0.3896
Fmt 4701
Sfmt 4702
22.1144
27.4944
25.1956
28.0617
30.4142
28.5864
24.0675
20.8789
24.2428
25.6643
24.9510
*
26.6664
36.7163
29.5281
39.3176
30.9701
30.7583
38.3776
*
27.5580
30.4832
*
*
*
*
*
*
*
*
*
*
*
*
*
13.9386
15.3833
13.9258
12.0923
10.3505
8.1841
11.8203
9.3834
9.8132
9.6641
12.3362
11.1414
10.5286
13.7043
16.6472
10.3123
11.9184
12.8380
14.4549
14.9089
10.8439
9.9262
11.3260
10.3736
14.6420
9.6416
18.1303
9.5296
11.0377
13.8034
10.5879
10.6971
Average
hourly wage
FY 2008
23.1290
28.4337
26.0179
28.8970
31.7164
29.9850
25.0166
22.2228
24.8309
26.7342
26.5010
*
28.6323
37.6669
31.3393
42.2401
*
*
41.1426
*
*
32.1633
29.3217
40.3789
24.5393
36.1737
37.8924
44.3991
*
*
*
*
*
*
*
14.9151
12.9440
15.7906
12.5928
11.1152
8.1381
12.0743
9.5114
10.7993
8.5503
10.1156
11.4222
9.9395
22.2017
16.1931
9.9185
12.3942
14.7133
13.9217
15.3625
12.6226
7.1179
10.6711
10.7141
11.3551
9.6860
18.0093
10.4599
11.4162
13.7878
12.1761
11.7488
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
24.5566
29.0645
*
28.5871
32.0531
31.7255
27.7776
23.0128
25.7553
28.4188
27.0286
32.9893
28.8290
38.4678
31.7320
*
*
*
47.7624
*
*
33.4111
*
*
22.9455
*
*
*
49.8990
51.3342
*
*
*
*
*
15.4246
12.9793
14.6853
13.5193
11.7582
*
10.4935
10.1204
10.4202
9.4065
*
12.3068
12.3295
21.9216
17.9101
10.0587
13.1567
15.2358
14.9779
15.2119
13.7214
8.9063
9.6940
10.7841
12.1404
10.5172
17.4499
10.6123
12.0032
12.8752
12.1258
11.3309
Average
hourly wage**
(3 years)
23.2393
28.3719
25.6189
28.5302
31.4303
30.1997
25.6284
22.0423
24.9521
27.0040
26.2567
32.9893
28.0560
37.6177
30.8704
40.3959
30.9701
30.7583
42.2989
*
27.5580
32.1082
29.3217
40.3789
23.6860
36.1737
37.8924
44.3991
49.8990
51.3342
*
*
*
*
*
14.7738
13.6878
14.8161
12.7362
11.0789
8.1610
11.4512
9.6757
10.3256
9.2136
11.0797
11.6476
10.8952
18.9475
16.9079
10.0981
12.5002
14.0763
14.4495
15.1640
12.2509
8.4875
10.5465
10.6281
12.5283
9.9689
17.8500
10.2200
11.4590
13.4675
11.5565
11.2618
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23769
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
400104
400105
400106
400109
400110
400111
400112
400113
400114
400115
400117
400118
400120
400121
400122
400123
400124
400125
400126
400127
400128
410001
410004
410005
410006
410007
410008
410009
410010
410011
410012
410013
420002
420004
420005
420006
420007
420009
420010
420011
420015
420016
420018
420019
420020
420023
420026
420027
420030
420033
420036
420037
420038
420039
420043
420048
420049
420051
420053
420054
420055
420056
420057
420062
420064
420065
420066
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
1.2190
1.2578
1.1085
1.4302
1.2156
1.2130
1.2446
1.1764
1.1726
1.0815
1.1347
1.2649
1.3351
1.1129
1.8905
1.2353
2.6860
1.2073
1.2894
2.0911
1.0184
1.3144
1.3107
1.2724
1.3911
1.6113
1.3225
1.2374
1.1305
1.4882
1.5728
1.2045
1.5630
1.9671
1.1610
***
1.6315
1.4114
1.1406
1.1778
1.3156
0.9672
1.8307
1.0990
1.3500
1.7169
1.8642
1.5767
1.3204
1.1839
1.2480
1.3390
1.2831
1.0529
1.1111
1.2885
1.2591
1.7106
1.2316
1.1106
1.0931
1.3487
1.2036
1.1026
1.2630
1.4161
0.9980
PO 00000
Frm 00243
Average
hourly wage
FY 2007
0.4404
0.4404
0.4404
0.4404
0.3358
0.3311
0.4404
0.4122
0.4404
0.4404
0.4404
0.4404
0.4404
0.4404
0.4404
0.3896
0.4404
0.4067
0.4648
0.4404
0.4404
1.1338
1.1338
1.1338
1.0669
1.1338
1.0669
1.0669
1.1338
1.1338
1.1338
1.1587
0.9561
0.9231
0.8609
*
0.9294
0.9294
0.8609
0.9605
0.9605
0.8609
0.8984
0.8767
0.9231
0.9605
0.8984
0.9294
0.9231
0.9605
0.9557
0.9605
0.9605
0.9017
0.8766
0.8984
0.8683
0.8609
0.8644
0.8612
0.8609
0.8609
0.8609
0.9557
0.8683
0.9231
0.8609
Fmt 4701
Sfmt 4702
11.4322
15.6626
13.4097
14.4386
11.1812
14.1718
10.1512
10.5305
10.1379
12.0713
9.5929
12.8692
13.4069
9.7427
8.9478
12.8317
17.2139
11.9787
14.1062
17.8303
*
29.0877
29.4953
28.1141
30.1855
33.2896
30.9505
31.7300
32.0704
33.8781
33.6072
35.8075
29.5592
28.1455
25.0420
26.3293
26.8165
27.0147
25.1452
22.1787
24.1685
21.6266
25.6687
22.5489
28.4344
27.4589
27.8986
26.4472
27.8435
30.4162
23.8742
29.8321
24.6642
28.2220
24.0971
25.9610
26.0953
25.9056
23.2246
25.6779
24.0965
27.7250
24.9313
26.7467
24.3540
25.5483
25.1062
Average
hourly wage
FY 2008
12.8404
16.9029
12.9272
14.8208
9.9278
10.2141
13.5177
10.9503
10.8913
9.6200
11.6258
12.7861
14.0817
9.1826
9.5814
12.5609
17.9140
13.5394
16.5726
20.7775
12.3520
30.0315
31.3023
31.4387
32.8456
32.0730
32.5889
32.8422
32.7379
30.1941
37.0299
41.0010
30.5111
28.9250
24.6968
27.7764
29.0901
29.9378
25.5710
25.5130
26.3499
22.5681
27.5563
25.4954
27.5000
28.9321
28.0647
28.5621
28.4433
31.1608
24.6505
30.9556
26.6435
26.5582
25.7951
26.9625
25.7060
26.4710
24.4793
25.6444
25.1738
28.4512
26.2489
25.9569
24.6507
26.8118
25.0932
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
12.6932
17.0458
14.8543
14.5707
10.8210
10.7888
11.2302
11.5947
11.6870
10.6805
12.1537
12.6196
14.5200
9.9712
10.0960
13.8597
19.1698
13.1075
*
*
*
30.5848
35.2360
34.5807
33.5403
34.2549
33.5128
34.3405
34.8380
36.7639
35.5818
40.1823
31.2220
30.2325
26.5027
29.1383
28.9533
28.6625
26.5503
25.9543
27.4912
23.4313
29.0897
25.8113
29.2372
30.4471
29.5039
31.3772
30.3403
32.4244
26.3463
32.7083
27.1507
26.3100
25.8352
27.4313
28.0020
27.4172
25.5724
26.7888
25.3132
29.7763
25.6602
27.2249
25.0602
28.1872
*
Average
hourly wage**
(3 years)
12.3296
16.5427
13.7089
14.6114
10.6067
11.5139
11.5795
11.0441
10.9257
10.8173
11.0019
12.7539
14.0199
9.6244
9.5553
13.0762
18.1028
12.8846
15.3043
19.5304
12.3520
29.9101
31.9950
31.2615
32.1894
33.1928
32.3511
32.9948
33.2523
33.5131
35.4055
38.9884
30.4468
29.1286
25.3750
27.7486
28.2944
28.5279
25.7612
24.5702
26.0287
22.5462
27.4853
24.4094
28.3934
28.9941
28.4725
28.7401
28.8720
31.3429
24.9665
31.1311
26.1466
26.9774
25.2415
26.8137
26.6253
26.6012
24.4361
26.0196
24.8604
28.7570
25.6193
26.6400
24.6890
26.8671
25.0997
23770
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
420067
420068
420069
420070
420071
420072
420073
420078
420079
420080
420082
420083
420085
420086
420087
420089
420091
420093
420098
420099
420100
420101
420102
430005
430008
430012
430013
430014
430015
430016
430027
430048
430060
430064
430077
430081
430082
430083
430084
430085
430089
430090
430091
430092
430093
430094
430095
430096
440001
440002
440003
440006
440007
440008
440009
440010
440011
440012
440015
440016
440017
440018
440019
440020
440024
440025
440026
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
1.3639
1.3759
1.2054
1.3136
1.4339
1.1634
1.3829
1.8607
1.5040
1.4321
1.5113
1.4528
1.5909
1.4584
1.8044
1.3777
1.4537
***
1.2041
***
***
1.2049
1.4677
1.3356
1.1161
1.3044
1.2029
1.4127
1.1983
1.5975
1.7417
1.2671
0.9444
0.9859
1.7222
0.9388
0.8463
0.8496
0.9068
0.8878
1.8588
1.6017
2.2308
1.8871
1.3555
1.7381
2.4765
1.9114
1.1662
1.7208
1.3386
1.4409
0.9815
0.9673
1.1674
0.9494
1.3656
1.5047
1.8290
1.0436
1.7685
1.1100
1.6911
1.0903
1.1324
1.1246
***
PO 00000
Frm 00244
Average
hourly wage
FY 2007
0.8827
0.9231
0.8609
0.8984
0.9294
0.8609
0.8984
0.9605
0.9231
0.8827
0.9597
0.9294
0.9074
0.8984
0.9231
0.9231
0.8609
*
0.8609
*
*
0.8609
0.9605
0.8428
0.8963
0.9262
0.9262
0.8428
0.8428
0.9379
0.9379
0.8557
0.8428
0.8428
0.9618
1.4448
1.4448
1.4448
1.4448
1.4448
0.8783
0.9379
0.9502
0.8428
0.9502
0.8557
0.9379
0.8428
0.7999
0.8886
0.9445
0.9445
0.8176
0.8339
0.7957
0.7957
0.7957
0.7964
0.7957
0.8101
0.7964
0.7999
0.7957
0.8614
0.8717
0.8611
*
Fmt 4701
Sfmt 4702
25.8561
25.6857
22.3445
24.7899
25.2862
17.8019
25.5204
29.5135
27.5439
28.6060
31.2671
26.4932
27.8386
28.0485
25.4697
28.1855
26.0592
28.0765
30.7532
*
*
*
*
22.4111
24.4277
24.0326
25.9828
26.8752
23.6296
28.9376
26.6044
24.1969
13.2618
18.3125
25.8572
*
*
*
*
*
22.3335
26.4862
25.1105
21.6478
27.5326
22.9091
31.3409
21.6713
21.2398
25.7434
28.4862
29.7146
19.9754
23.2126
23.9279
19.3669
23.6154
24.0169
25.0430
23.0350
25.0588
23.2107
25.3592
24.0995
23.9745
22.5407
28.0349
Average
hourly wage
FY 2008
26.5658
27.7315
23.7494
27.5988
27.6371
21.6587
26.1120
30.9001
28.6374
31.5670
33.9874
28.9007
29.1127
27.9523
26.8409
29.5862
27.2520
33.0474
27.1939
30.3089
*
*
*
23.8694
26.0873
25.2030
27.0427
27.9288
26.5787
32.8765
27.5759
25.1715
*
16.4916
27.2116
*
*
*
*
*
23.2467
29.0197
24.7274
21.9197
26.0232
23.2894
32.2326
24.6041
21.5755
26.3802
28.3557
31.5533
18.8273
27.3732
23.8148
19.6231
23.6698
23.7871
26.0601
24.5812
24.6707
25.0780
25.2230
24.7785
24.7705
22.6571
26.8153
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
27.7148
28.0296
24.4638
27.6406
28.1087
20.7707
28.2651
32.0165
30.5954
32.8693
34.8836
29.6565
29.9059
29.6321
28.4609
31.7347
27.9042
*
27.6701
*
29.2958
33.1975
*
25.4368
27.2262
27.0179
28.4945
28.9278
28.0396
31.1313
29.2595
25.6411
*
17.7325
31.1926
*
*
*
*
*
24.9033
32.7369
26.7238
23.2508
24.7398
23.6605
32.5850
24.9608
25.4844
26.9121
26.0107
31.7373
22.7570
26.8850
24.4410
20.2498
24.8292
24.9243
27.1580
25.2515
26.1800
24.5898
26.2435
27.5620
26.2519
24.0274
28.4597
Average
hourly wage**
(3 years)
26.7379
27.1430
23.5595
26.7218
27.0462
19.9748
26.7147
30.8100
28.9420
30.8888
33.3515
28.4194
28.9688
28.5671
26.9052
29.8346
27.0840
30.2237
28.2065
30.3089
29.2958
33.1975
*
23.9203
25.9003
25.4023
27.1837
27.9157
26.1008
30.9581
27.8481
25.0133
13.2618
17.4427
28.0482
*
*
*
*
*
23.5426
29.5038
25.5162
22.2946
26.0952
23.3062
32.0536
23.8070
22.7818
26.3584
27.4326
31.0128
20.4815
25.9985
24.0653
19.7446
24.0419
24.2664
26.0995
24.2770
25.3213
24.3284
25.5920
25.4792
25.0623
23.0928
27.7725
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23771
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
440029
440030
440031
440032
440033
440034
440035
440039
440040
440046
440047
440048
440049
440050
440051
440052
440053
440054
440056
440057
440058
440059
440060
440061
440063
440064
440065
440067
440068
440070
440072
440073
440081
440082
440083
440084
440091
440102
440104
440105
440109
440110
440111
440115
440120
440125
440130
440131
440132
440133
440135
440137
440141
440144
440147
440148
440150
440151
440152
440153
440156
440159
440161
440162
440166
440168
440173
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
1.4650
1.2893
1.1356
1.1644
1.0637
1.6302
1.3910
2.1051
0.9210
1.3069
0.9617
1.8071
1.6747
1.2834
0.9337
1.0032
1.2712
1.0962
1.2127
1.1032
1.2003
1.4855
1.1325
1.1295
1.6197
0.9999
1.2421
1.1905
1.1835
1.0014
1.0393
1.4453
1.1673
1.9913
0.9577
1.1762
1.7581
1.0796
1.7788
0.9119
1.0139
1.1221
1.2820
0.9684
1.4947
1.6557
1.1217
1.1784
1.2291
1.7069
0.6898
1.0639
0.9917
1.2549
***
1.1236
1.4307
1.1663
2.0008
1.0509
1.6421
1.4818
1.9267
***
***
1.0456
1.4350
PO 00000
Frm 00245
Average
hourly wage
FY 2007
0.9445
0.8013
0.7976
0.7957
0.7984
0.7957
0.9252
0.9445
0.7957
0.9445
0.8295
0.9305
0.9305
0.7964
0.8039
0.7957
0.9445
0.7957
0.7957
0.7978
0.7957
0.9252
0.8339
0.7957
0.7999
0.8857
0.9445
0.7957
0.8717
0.8066
0.8886
0.9252
0.8009
0.9445
0.7957
0.7982
0.8857
0.7957
0.8857
0.7999
0.8027
0.7957
0.9445
0.8295
0.7957
0.7957
0.7957
0.9305
0.7957
0.9445
0.7957
0.8695
0.7957
0.9252
*
0.9252
0.9445
0.9252
0.9305
0.7964
0.8857
0.9305
0.9445
*
*
0.9305
0.7957
Fmt 4701
Sfmt 4702
30.1204
23.7670
20.8964
19.7150
21.1087
24.6994
25.9613
29.8611
20.8637
27.9539
21.7892
29.4789
26.4772
24.4616
23.9253
22.8016
27.1197
23.5137
22.7820
16.6346
24.3522
28.3565
24.1024
23.9678
24.2566
23.7176
24.6169
24.4772
24.8146
20.0938
23.9563
26.3570
20.7125
30.6115
25.6099
18.6043
26.5687
20.7363
26.5741
22.9372
20.8924
20.9179
29.0975
23.1409
25.7161
22.8097
23.9955
25.6666
23.9410
29.2829
28.1925
22.2538
24.2406
23.9241
33.1756
23.9810
28.1012
27.1729
27.1877
23.6473
27.7309
26.9098
28.7074
27.6837
35.3064
28.1215
23.1167
Average
hourly wage
FY 2008
31.2310
22.2607
22.6790
21.0380
22.7991
25.5061
26.2451
30.1790
20.8817
29.7377
22.8323
29.3187
28.8742
24.9694
23.4866
22.6128
27.8180
23.7931
23.2313
17.2176
26.0706
27.9467
25.0795
23.7360
23.9644
26.1246
25.8536
24.6553
26.1071
21.9166
25.7089
27.6154
20.7688
32.2479
23.6356
18.8699
28.1989
21.6762
27.9756
22.7962
21.4629
22.5929
28.8453
23.7107
24.7572
23.6328
25.1262
26.9649
24.0708
29.6093
27.7037
22.9547
24.9917
25.2293
34.8199
22.6188
29.4381
28.2203
28.4612
24.9388
28.5645
25.8289
29.9894
24.8705
*
29.4028
24.0621
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
31.4630
22.3131
22.0708
23.8016
23.9790
25.9124
27.9203
30.1901
21.1282
30.7314
25.2156
30.6710
29.8603
26.3815
23.6554
24.4075
30.3887
21.9638
24.0623
19.3540
29.1174
29.4514
26.5869
25.4125
26.0741
26.7947
25.6096
26.0852
27.9066
23.2223
26.1643
27.5114
21.9671
32.8913
25.7074
19.8938
28.9678
22.1103
28.0888
23.7139
22.5885
23.6262
29.7446
24.9776
26.0604
24.0920
26.3188
28.3153
29.3371
32.5699
27.2084
24.6130
24.8736
26.3207
36.6955
28.0703
30.5491
28.6580
29.0563
23.3772
30.5139
27.2779
31.0647
24.6410
*
31.3312
23.1355
Average
hourly wage**
(3 years)
30.9557
22.8053
21.8517
21.5383
22.5856
25.3762
26.6992
30.0895
20.9641
29.5270
23.3140
29.8250
28.4462
25.3086
23.6741
23.2437
28.4325
23.0467
23.3523
17.6957
26.6028
28.5989
25.2908
24.3711
24.7976
25.5515
25.3745
25.0966
26.2722
21.7288
25.2966
27.1567
21.1573
31.8790
24.9682
19.1297
27.9314
21.5215
27.5200
23.1599
21.7090
22.5559
29.2213
23.9354
25.5176
23.4915
25.1413
26.9308
25.7508
30.4215
27.7046
23.2371
24.6802
25.2055
34.8975
24.8107
29.3876
27.9977
28.2859
23.9591
28.9635
26.6811
29.9300
25.6902
35.3064
29.7029
23.4173
23772
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
440174
440175
440176
440180
440181
440182
440183
440184
440185
440186
440187
440189
440192
440193
440194
440197
440200
440203
440217
440218
440222
440225
440226
440227
440228
450002
450005
450007
450008
450010
450011
450015
450018
450021
450023
450024
450028
450029
450031
450032
450033
450034
450035
450037
450039
450040
450042
450044
450046
450047
450051
450052
450054
450055
450056
450058
450059
450064
450068
450072
450073
450076
450078
450079
450080
450082
450083
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
0.8828
1.0111
1.3339
1.3459
0.9020
0.9536
1.6228
1.1292
1.1883
0.9919
1.0974
1.4158
1.0765
1.3104
1.2925
1.3992
0.9829
***
1.3768
2.0116
1.0088
0.8097
1.5694
1.2974
1.5738
1.4448
1.2408
1.3344
1.3803
1.5960
1.6560
1.5911
1.5354
1.8903
1.4138
1.5693
1.5788
1.6143
1.4439
1.2547
1.5969
1.5308
1.5326
1.5845
1.5955
1.7553
1.7455
1.6959
1.5774
0.8561
1.9250
0.9850
1.7911
1.0449
1.6824
1.5743
1.2980
1.5113
2.0486
1.2155
0.8877
1.6904
0.8999
1.6789
1.2493
1.1597
1.7529
PO 00000
Frm 00246
Average
hourly wage
FY 2007
0.8269
0.7957
0.7964
0.7984
0.8322
0.8101
0.9305
0.7999
0.8717
0.9445
0.7957
0.8452
0.9252
0.9445
0.9445
0.9445
0.9445
*
0.9305
0.9445
0.9305
0.7957
0.7957
0.9445
0.9305
0.8867
0.8595
0.8949
0.8855
0.9175
0.9193
0.9852
0.9925
0.9852
0.8153
0.8867
0.9226
0.8816
0.9852
0.8407
0.9226
0.8595
0.9925
0.8666
0.9852
0.8712
0.8703
0.9852
0.8494
0.9226
0.9852
0.8153
0.8855
0.8153
0.9521
0.8949
0.9024
0.9852
0.9925
0.9925
0.8153
*
0.8153
0.9852
0.8666
0.8153
0.8901
Fmt 4701
Sfmt 4702
25.4829
24.4848
22.9631
24.9841
24.8857
24.3302
29.1982
24.5786
25.3817
27.3733
24.0723
28.2621
27.3917
24.3622
29.4706
29.4275
21.1860
23.7451
28.8641
23.7257
28.4664
24.8328
26.5831
*
*
28.0936
24.4933
23.0026
24.4701
25.5503
26.7418
29.9193
30.2383
29.5658
25.4450
26.9113
29.1438
25.0602
29.0824
21.5084
29.2468
26.5313
28.0668
26.6207
26.7503
25.4734
26.6382
31.0381
24.8947
21.8824
28.8829
22.6448
27.5399
22.9245
28.3092
26.6926
26.8325
26.8355
29.5876
25.8619
26.9446
*
21.4716
30.2420
27.9191
23.9025
27.4955
Average
hourly wage
FY 2008
26.2087
24.7869
23.7695
22.3070
25.9450
25.0111
30.6599
23.3970
26.7473
28.9124
25.8238
28.8974
29.6272
25.2124
30.8593
30.1184
23.8654
17.9041
29.8888
18.7275
29.0062
27.8860
27.1348
30.7785
28.3687
28.8521
24.5405
23.9490
24.5965
25.5582
28.5329
29.4919
30.7852
31.3107
25.5346
28.2047
29.5792
26.9361
30.3542
25.5785
27.8680
27.6929
28.8049
28.3403
28.2081
26.8412
26.5429
29.4293
25.5903
23.8457
29.9038
23.0007
26.5599
23.6382
31.4971
26.9918
27.3856
28.2786
30.5001
27.1081
26.1567
*
20.0758
30.5968
26.2439
24.2018
32.6462
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
27.4573
26.7698
24.9405
24.3370
26.4759
24.9897
30.9900
26.9069
26.3958
28.2842
27.4029
30.5766
30.6519
25.9713
32.3002
31.4294
23.8295
*
31.6636
36.9244
30.5130
26.9656
28.3176
31.9097
29.5349
29.7157
27.3460
24.4625
24.4362
30.1022
29.9285
30.3151
31.3118
31.7338
25.1670
27.3787
29.5668
28.6442
29.2123
26.3146
29.7653
29.6291
30.3345
28.2594
29.8132
28.5453
27.6115
32.9897
27.2425
24.9663
30.3953
24.3959
30.2202
24.1423
32.0873
27.7297
28.5629
29.0474
32.0346
28.0902
22.2326
*
20.7809
36.8906
26.8091
25.5648
30.2031
Average
hourly wage**
(3 years)
26.4456
25.3295
23.9373
23.7701
25.8145
24.8044
30.2946
24.9779
26.1839
28.1940
25.7687
29.1873
29.2789
25.1845
30.9187
30.3064
22.9591
20.6007
30.1328
25.9465
29.3485
26.4719
27.3318
31.3743
29.0087
28.8515
25.4548
23.8045
24.5017
27.0858
28.4349
29.9209
30.7838
30.8752
25.3821
27.5109
29.4314
26.7635
29.5392
24.2723
28.9230
28.1119
29.0806
27.7345
28.2727
26.9585
26.9555
31.1698
25.9770
23.5090
29.7565
23.3480
28.0403
23.5765
30.6432
27.1586
27.5865
28.0416
30.7379
27.0430
25.0645
*
20.7567
32.4452
27.0298
24.5569
29.9862
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23773
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
450085
450087
450090
450092
450096
450097
450099
450101
450102
450104
450107
450108
450119
450121
450123
450124
450126
450128
450130
450131
450132
450133
450135
450137
450143
450144
450147
450148
450151
450152
450154
450155
450162
450163
450165
450176
450177
450178
450184
450187
450188
450191
450192
450193
450194
450196
450200
450201
450203
450209
450210
450211
450213
450214
450219
450221
450222
450224
450229
450231
450234
450235
450236
450237
450239
450241
450243
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
1.0822
1.3998
1.2615
1.2126
***
1.4580
1.3019
1.6171
1.7083
1.1855
1.5806
1.1922
1.3181
***
1.3318
1.7511
1.3989
1.2318
1.1977
***
1.6322
1.5320
1.6395
1.6679
1.0277
1.0083
1.4564
1.2241
***
1.2565
1.3302
1.1251
1.3269
1.0627
1.1447
1.4003
1.0905
0.9986
1.5684
1.2150
0.9254
1.1258
1.1180
2.0321
1.2632
1.4595
1.6042
0.9730
1.2116
1.8278
1.0215
1.3455
1.7959
1.2281
0.9660
1.1119
1.6824
1.3283
1.6525
1.6726
1.0198
1.0077
1.1319
1.6540
0.9770
1.0252
1.0024
PO 00000
Frm 00247
Average
hourly wage
FY 2007
0.8153
0.9852
0.8803
0.8153
*
0.9925
0.8883
0.8703
0.8901
0.8949
0.8867
0.8949
0.9118
*
0.8595
0.9521
0.9925
0.9118
0.8949
*
0.9425
0.9283
0.9852
0.9852
0.9521
0.8712
0.8153
0.9852
*
0.8855
0.8153
0.8153
0.8712
0.8207
0.8949
0.9118
0.8153
0.9283
0.9925
0.9925
0.8153
0.9521
0.8424
0.9925
0.8366
0.9852
0.8195
0.8153
0.9684
0.8997
0.8304
0.8666
0.8949
0.9925
0.8153
0.8153
0.9925
0.8901
0.8408
0.8997
0.8153
0.8153
0.8542
0.8949
0.8855
0.8153
0.8153
Fmt 4701
Sfmt 4702
24.3637
30.0095
21.3837
24.9917
26.5103
29.0142
31.3495
25.4409
25.6318
24.6169
27.6064
21.6557
27.8027
29.1296
24.9674
28.2571
29.3768
25.1122
24.3295
25.9494
30.1620
28.4647
27.8983
31.4950
23.4592
26.2881
24.3562
27.0894
23.9558
23.3428
21.7237
21.7604
33.3285
24.1267
28.6490
23.1284
23.7624
27.8405
28.5399
28.3243
23.0595
26.5863
24.1186
34.4545
22.9605
24.0161
23.5012
23.2510
26.5237
27.5668
21.8722
28.4581
25.9169
27.4357
21.9207
19.3793
30.0314
26.8302
24.4450
27.1674
20.6889
23.5212
23.5426
25.7939
21.2586
20.8732
15.4510
Average
hourly wage
FY 2008
25.6440
31.2668
21.8839
26.2781
28.1902
29.8734
31.7829
26.7457
26.4161
28.8063
27.8177
19.3245
31.1026
27.7472
26.2469
30.9140
30.5540
26.3296
24.3842
*
31.9981
30.0648
30.1385
31.9644
23.6834
29.2987
24.7221
29.6777
26.2011
23.1056
22.9357
24.8052
32.9317
24.7857
29.1839
24.4338
24.4064
27.1184
29.5940
27.7374
23.2280
28.3937
26.4722
36.4793
24.3531
23.4577
25.6413
23.2800
27.8795
30.6146
22.5736
28.3770
26.8566
27.9913
23.9636
21.3721
30.3801
28.4382
25.1370
26.9783
20.4659
21.8967
22.9622
30.5885
19.1359
21.3641
17.2966
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
26.3606
32.6536
22.7815
28.2267
*
31.9758
29.8469
28.4201
27.3343
27.7838
29.0310
22.4281
34.4129
*
24.0420
31.9772
32.0348
28.3156
26.9201
*
31.1340
30.9597
30.7885
35.7749
24.4333
31.1551
26.3019
30.0530
22.8759
24.3424
24.2578
24.8768
33.7803
27.0963
30.2222
25.8569
26.0891
28.5998
30.9705
29.2737
24.6816
31.1321
26.9874
37.1873
30.4368
25.4820
27.9825
22.5445
28.0968
31.9858
22.9049
28.8471
28.0289
28.2247
24.7267
20.7113
31.9231
28.7921
26.8016
27.0533
21.6802
23.8005
24.5926
31.2172
18.4232
28.4948
19.0176
Average
hourly wage**
(3 years)
25.4425
31.3363
22.0412
26.4935
27.3122
30.2412
30.9845
26.8726
26.4779
26.9841
28.1649
21.1092
30.7679
28.4439
24.9404
30.4250
30.6758
26.5694
25.2414
25.9494
31.0941
29.8077
29.6276
33.2271
23.8654
28.7443
25.1662
28.8673
24.2772
23.6074
22.9598
23.6641
33.3236
25.3188
29.3460
24.4742
24.7683
27.8381
29.6894
28.4472
23.6817
28.6333
25.8921
36.0649
25.7167
24.2962
25.4502
22.9956
27.5107
29.9981
22.4486
28.5692
26.9446
27.8829
23.5184
20.5035
30.7843
28.0121
25.3958
27.0671
21.1358
23.0639
23.6934
28.9557
19.4675
23.5112
17.2995
23774
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
450253
450270
450271
450272
450280
450283
450289
450292
450293
450296
450299
450306
450315
450324
450330
450340
450346
450347
450348
450351
450352
450353
450358
450369
450370
450372
450373
450378
450379
450388
450389
450393
450395
450399
450400
450403
450411
450418
450419
450422
450424
450431
450438
450446
450447
450451
450460
450462
450465
450469
450475
450484
450488
450489
450497
450498
450508
450514
450518
450530
450537
450539
450547
450558
450563
450565
450571
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
0.9321
1.2113
1.2778
1.2096
1.4612
1.0893
1.4524
1.2808
0.8910
1.0439
1.5997
0.9802
2.4335
1.5212
1.2552
1.4092
1.4343
1.2208
1.0018
1.2791
1.1062
***
1.9716
0.9268
1.2579
1.4550
0.9144
1.3092
1.4002
1.7004
1.1714
0.7662
1.0730
0.8925
1.0684
1.3192
1.0061
***
1.3124
1.2786
1.3562
1.6067
1.1486
0.7131
1.3552
1.0753
0.9426
1.7253
1.1257
1.4624
1.1940
1.4990
1.1180
0.9839
0.9966
0.9829
1.4530
***
1.4419
1.2667
1.5128
1.2202
0.9744
1.7678
1.5299
1.3270
1.6222
PO 00000
Frm 00248
Average
hourly wage
FY 2007
0.9925
0.8424
0.9684
0.9521
0.9852
0.9852
0.9925
0.9852
0.8153
0.9925
0.9193
0.8408
0.9852
0.9852
0.9925
0.8600
0.8595
0.9925
0.8153
0.9684
0.9852
*
0.9925
0.8153
0.8388
0.9852
0.8153
0.9925
0.9852
0.8949
0.9852
0.9852
0.9925
0.8153
0.8153
0.9852
0.8153
*
0.9852
0.9852
0.9925
0.9521
0.8388
0.9925
0.9852
0.8689
0.8206
0.9852
0.9925
0.9852
0.8666
0.8666
0.8666
0.8153
0.8528
0.8153
0.8666
*
0.8595
0.9925
0.9852
0.8220
0.9852
0.8408
0.9852
0.9684
0.8600
Fmt 4701
Sfmt 4702
24.2435
15.2190
22.7035
26.2576
29.9730
22.7938
32.2645
26.3242
23.6413
30.4324
27.5797
21.4558
37.1721
25.1633
26.0771
25.0344
23.6072
28.7667
21.6787
26.5388
26.2281
27.0248
31.4926
19.9148
25.5834
30.8886
24.8286
30.3883
33.7521
27.4328
25.6732
21.9347
27.5189
20.3528
23.6358
29.0359
20.9372
28.4362
31.9966
34.4331
28.2463
26.3263
27.8659
17.0691
25.4200
24.6201
22.4227
29.6069
26.2759
26.3262
23.0942
26.7242
22.3981
23.4806
22.0918
18.6563
28.4471
26.3704
28.1755
29.1349
27.7757
23.1829
23.7820
26.9407
30.8332
26.7942
25.2108
Average
hourly wage
FY 2008
24.1056
19.8180
24.1269
27.0521
31.6575
24.1754
32.6533
26.8110
24.0827
31.5596
28.4171
22.9486
*
26.6093
27.1100
25.6791
23.8720
30.7825
21.0484
29.2560
27.2983
27.9576
32.5922
22.8525
26.3235
29.5022
27.0726
32.2278
35.3807
27.8155
26.9638
*
26.7743
22.1731
26.2871
29.8643
21.5746
*
34.2427
31.3454
30.7228
27.3926
26.5223
17.2871
26.5238
26.5477
24.9870
30.1466
27.0835
26.3445
24.5176
28.3913
23.7985
25.2680
23.1860
20.2475
27.2850
27.3043
29.1322
29.9720
28.7448
24.2151
34.3349
28.0655
32.0507
28.1741
27.4605
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
22.9919
12.9994
23.9525
29.0903
34.9324
28.2079
32.6122
29.0226
24.1552
33.4528
29.4576
22.6822
31.4204
27.9889
27.7403
30.5228
24.8416
28.5780
22.6822
29.9580
27.6466
*
33.9078
24.1950
29.0806
30.9328
27.4243
33.0566
35.0613
29.5360
26.8481
39.0250
28.4265
20.6300
29.5008
31.7040
21.7875
*
34.9949
32.4640
29.8269
28.5263
27.7728
15.4631
28.3710
25.8824
25.2172
30.6488
28.1840
31.1333
24.7023
27.7774
24.9095
26.9542
23.0703
20.6876
29.1501
26.4002
27.5863
30.7727
30.9146
25.0188
25.4122
28.7729
32.6847
27.4760
26.5303
Average
hourly wage**
(3 years)
23.7733
15.5383
23.6286
27.4843
32.1866
24.8171
32.5225
27.3779
23.9551
31.7845
28.5044
22.3403
33.9617
26.5490
26.9930
26.9242
24.1224
29.3911
21.8120
28.5841
27.0615
27.5079
32.6875
22.2632
27.0009
30.4453
26.4835
31.9025
34.7094
28.2774
26.4861
28.4483
27.6022
21.0332
26.1110
30.2580
21.4276
28.4362
33.8163
32.6976
29.5962
27.4173
27.3852
16.6064
26.7880
25.6945
24.1531
30.1364
27.2041
27.8724
24.0834
27.6347
23.7092
25.1940
22.7799
19.8494
28.3018
26.6921
28.1826
29.9520
29.1361
24.1139
27.1653
27.9448
31.9164
27.4805
26.3740
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23775
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
450573
450578
450580
450584
450586
450587
450591
450596
450597
450604
450605
450610
450615
450617
450620
450630
450634
450638
450639
450641
450643
450644
450646
450647
450651
450653
450654
450656
450658
450659
450661
450662
450668
450669
450670
450672
450674
450675
450677
450678
450683
450684
450686
450688
450690
450694
450697
450698
450702
450709
450711
450713
450715
450716
450718
450723
450730
450742
450743
450746
450747
450749
450751
450754
450755
450758
450760
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
1.0770
0.9673
1.0515
1.0829
1.0201
1.2259
1.1895
1.1854
0.9963
1.3397
0.9810
1.5974
0.9986
1.5826
0.9635
1.5054
1.6203
1.5993
1.4598
0.9799
1.3367
1.5467
1.4527
1.8764
1.5358
1.1592
0.9049
1.4220
0.9793
1.4021
1.4614
1.6460
1.5414
1.2189
1.4361
1.8349
0.9478
1.4578
1.3166
1.4170
1.2015
1.2814
1.6149
1.2727
1.3408
1.1759
1.4748
0.9175
1.6153
1.4034
1.4823
1.5563
1.3146
1.4070
1.4669
1.4494
1.3722
1.1754
1.4478
0.8780
1.1965
0.9371
***
0.9429
0.9660
***
1.0061
PO 00000
Frm 00249
Average
hourly wage
FY 2007
0.8279
0.8153
0.8153
0.8153
0.8153
0.8153
0.9925
0.9684
0.8153
0.8153
0.8494
0.9925
0.8185
0.9925
0.8153
0.9925
0.9852
0.9925
0.9852
0.8528
0.8816
0.9925
0.8867
0.9852
0.9852
0.8153
0.8153
0.8666
0.8153
0.9925
0.9425
0.9226
0.8867
0.9852
0.9925
0.9852
0.9925
0.9852
0.9852
0.9852
0.9852
0.9925
0.8712
0.9852
0.8901
0.8153
0.8949
0.8280
0.8666
0.9925
0.9118
0.9521
0.9852
0.9925
0.9521
0.9852
0.9852
0.9852
0.9852
0.8153
0.8901
0.8153
*
0.8153
0.8429
*
0.8867
Fmt 4701
Sfmt 4702
22.0797
22.5167
22.3886
20.5257
18.9107
23.1202
25.7031
27.4011
24.7853
24.4743
20.9276
27.7317
21.8442
28.0225
18.6183
29.1462
28.7312
30.6572
30.4019
19.4389
22.7355
29.7918
25.6313
30.6924
30.4484
25.2144
21.5002
25.5050
22.2293
31.5024
30.2610
29.0535
28.8635
27.9796
25.9638
30.1191
28.7101
28.9005
25.9555
31.1563
27.4925
29.3025
24.2331
26.8599
26.5528
23.9961
24.8667
20.0955
26.8384
26.8146
26.7472
28.8285
17.3991
32.3960
27.3215
28.5103
31.3324
27.2023
28.3362
20.6343
23.8314
20.0487
18.7456
22.1819
19.8988
28.7342
24.7489
Average
hourly wage
FY 2008
22.1492
25.0498
23.9004
22.5204
20.6699
25.0174
27.1744
29.8462
24.2586
25.9133
23.9332
28.3713
24.1902
28.8323
20.3723
29.8431
30.3274
32.4911
32.6255
20.2483
24.4999
30.7815
26.8060
32.4236
31.9261
26.1756
22.5447
28.1493
24.7856
34.2380
30.0751
29.0532
30.6114
30.2374
26.4266
31.8420
29.8971
30.9562
27.2760
33.3386
21.1737
30.2139
25.8530
26.9897
26.1743
24.0031
26.4132
21.5742
26.3696
27.1077
27.5622
29.4980
17.0235
33.7096
28.1560
30.1704
32.7293
30.0583
28.4736
22.7873
25.8175
22.1562
21.4223
24.7797
22.2006
28.2803
25.1637
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
24.6744
25.2476
25.9872
23.6045
18.3294
25.9358
27.9847
31.6577
24.8439
29.1526
14.8030
30.5957
22.6324
30.2898
21.2530
31.7991
31.7983
33.3208
34.3727
21.7288
27.2517
31.6848
27.4611
34.0988
33.6467
26.5346
25.0736
29.7276
22.7086
34.2632
29.2361
30.9608
30.2059
32.1221
26.2942
33.0834
31.9284
32.6351
27.1594
33.5496
24.8430
31.2746
26.4851
29.4376
30.0569
27.0859
28.2983
23.3052
27.1300
31.3218
28.1016
30.4912
*
33.9898
29.7584
31.0456
32.8896
30.4185
29.5077
23.3483
28.3918
23.9271
*
22.8559
24.7427
28.3285
23.7138
Average
hourly wage**
(3 years)
22.9817
24.2617
23.9915
22.1623
19.3042
24.6518
26.9265
29.6788
24.6216
26.5819
19.8571
28.8793
22.8680
29.0536
20.0799
30.2292
30.2933
32.0988
32.4471
20.4546
24.7934
30.7914
26.6291
32.4013
32.0226
25.9882
23.0141
27.7366
23.2037
33.2709
29.8375
29.6825
29.8659
30.1382
26.2315
31.7654
30.1847
30.8652
26.8126
32.6557
24.2908
30.2639
25.5754
27.7076
27.4939
24.8819
26.4744
21.6138
26.7835
28.4257
27.5198
29.6225
17.2098
33.3800
28.4466
29.9614
32.3004
29.2913
28.8191
22.2429
25.8472
21.9555
20.1469
23.2191
22.1319
28.4884
24.5602
23776
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
450766
450770
450771
450774
450775
450779
450780
450788
450795
450796
450797
450801
450803
450804
450808
450809
450811
450813
450820
450822
450824
450825
450827
450828
450829
450830
450831
450832
450833
450834
450838
450839
450840
450841
450844
450845
450847
450848
450850
450851
450853
450854
450855
450856
450857
450860
450861
450862
450863
450864
450865
450866
450867
450868
450869
450870
450871
450872
450873
450874
450875
450876
450877
450878
450879
450880
450881
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
2.0334
1.1706
1.7003
1.7600
1.3943
1.2842
2.5251
1.5291
1.1739
1.8173
1.2450
1.4989
1.2105
2.0345
1.8935
1.6551
1.7218
1.1338
1.4186
1.3260
2.6758
1.4768
1.4405
1.3774
***
1.0119
0.9180
1.3167
1.1878
1.6180
1.0772
0.9688
1.2996
1.9116
1.3797
1.8834
1.2564
1.2904
1.5769
2.3662
1.7353
***
1.6258
2.0970
***
1.8529
***
1.5594
***
2.1890
1.1032
***
1.1589
1.7418
2.1455
***
1.8768
1.3756
***
1.6738
1.7360
1.9264
1.4979
2.5641
1.3352
1.5477
***
PO 00000
Frm 00250
Average
hourly wage
FY 2007
0.9852
0.9521
0.9852
0.9925
0.9925
0.9852
0.8949
0.8494
0.9925
0.8997
0.9925
0.8195
0.9925
0.9925
0.9521
0.9521
0.9118
0.8949
0.9925
0.9852
0.9521
0.9118
0.9175
0.8153
*
0.9283
0.9925
0.9925
0.9852
0.9193
0.8279
0.8153
0.9852
0.9226
0.9925
0.8867
0.9925
0.9925
0.9562
0.9852
0.9852
*
0.9226
0.8949
*
0.9925
*
0.9925
*
0.8901
0.9521
*
0.9521
0.9425
0.9118
*
0.9521
0.9852
*
0.9852
0.8997
0.8712
0.8867
0.8949
0.8816
0.9852
*
Fmt 4701
Sfmt 4702
30.8004
24.1647
30.7105
27.2080
28.1428
29.9674
26.7611
26.2840
25.2007
36.4073
24.8950
24.6328
28.9235
27.8775
21.9793
26.4223
27.2584
20.1710
31.4666
32.2968
31.2375
20.6457
23.7554
24.4740
20.6016
28.5902
23.3880
26.5229
27.0133
20.9607
19.5754
25.8222
30.1743
20.9410
30.7887
29.4933
28.5548
29.5355
21.9266
32.6950
36.1169
27.1868
30.8855
39.0865
30.4632
24.0171
34.9290
31.2224
24.8825
23.3765
29.1763
15.2959
28.2289
27.9579
22.6253
37.4364
*
*
*
*
*
*
*
*
*
*
*
Average
hourly wage
FY 2008
30.2341
24.3244
32.0500
25.7436
29.8230
31.8403
27.0084
28.3759
32.9803
37.6274
24.8598
23.6072
29.0106
29.1282
23.0312
27.3080
31.2208
22.9289
33.9030
32.2145
33.3653
25.1521
24.1984
24.8236
19.5842
27.8005
23.9467
27.3290
27.9649
27.4844
18.9620
27.2199
32.2538
20.9424
33.7978
29.9265
29.7356
30.5546
31.9606
35.1102
37.1043
*
32.6916
37.7362
*
29.1075
*
31.8095
*
24.5049
29.9559
*
29.5879
25.3486
26.1616
*
28.9150
27.2833
14.8821
34.6083
23.2763
28.4343
26.1867
31.6750
35.5672
35.9572
24.5464
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
31.2061
23.6084
32.4987
27.5052
31.6636
32.0748
28.5545
29.7646
43.8548
39.4710
26.0293
25.6368
28.7024
31.1869
29.6456
29.4671
31.7219
26.5793
34.7415
34.4032
31.8377
25.7993
24.3655
26.9546
*
28.4004
24.4124
28.1375
29.0241
26.7240
19.2941
27.5319
32.4135
24.4366
33.0727
28.5011
30.7409
31.1455
27.2645
32.8357
38.3572
*
30.7321
35.4977
*
33.3360
*
33.7932
*
25.3514
31.9179
*
31.4926
27.7398
28.7406
*
32.3967
31.7321
*
35.6817
23.2949
30.3498
29.2330
33.6233
36.4836
32.6680
*
Average
hourly wage**
(3 years)
30.7524
24.0129
31.7652
26.8202
29.9048
31.3351
27.4508
28.1299
34.0292
37.9807
25.2371
24.6370
28.8861
29.4370
24.9240
27.7555
29.8931
23.2366
33.5465
32.9996
32.1641
23.7848
24.1145
25.5737
20.0933
28.2670
23.8672
27.3874
28.0113
24.5166
19.2971
26.8415
31.6992
22.2249
32.7243
29.2842
29.7031
30.4213
26.5516
33.5034
37.3449
27.1868
31.4205
37.3569
30.4632
29.3070
34.9290
32.2128
24.8825
24.5415
30.4451
15.2959
29.7806
27.0759
27.5500
37.4364
30.6337
29.8421
14.8821
35.2071
23.2862
29.4575
27.6968
32.6691
36.0727
34.0899
24.5464
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23777
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
450882
450883
450884
450885
450886
450887
450888
450889
450890
450891
450892
450893
450894
450895
460001
460003
460004
460005
460006
460007
460008
460009
460010
460011
460013
460014
460015
460017
460018
460019
460020
460021
460023
460026
460030
460033
460035
460039
460041
460042
460043
460044
460047
460049
460051
460052
460054
460055
470001
470003
470005
470011
470012
470024
490001
490002
490004
490005
490007
490009
490011
490012
490013
490017
490018
490019
490020
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
***
2.4793
1.0281
1.4517
1.5017
***
1.7096
1.5530
1.8266
1.4143
***
1.3909
1.7932
***
1.8307
1.5382
1.7729
1.5237
1.4480
1.3341
1.3382
1.9760
2.0995
1.3236
1.3909
1.1488
1.3542
1.5067
0.8937
1.1962
0.9177
1.7949
1.2032
1.0634
1.1657
0.8711
0.9610
1.0970
1.3694
1.4973
0.9867
1.3270
1.6851
1.9801
1.4090
1.6516
1.6931
1.4742
1.2668
1.8776
1.3533
1.1581
1.2088
1.1462
1.0923
1.0162
1.2931
1.5720
2.0360
1.9926
1.5707
1.0101
1.3744
1.5021
1.3622
1.1503
1.2876
PO 00000
Frm 00251
Average
hourly wage
FY 2007
*
0.9852
0.8715
0.9852
0.9852
*
0.9708
0.9852
0.9852
0.9852
*
0.9852
0.9852
*
0.9075
0.9271
0.9271
0.9271
0.9271
0.9228
0.9271
0.9271
0.9271
0.8395
0.9075
0.9271
0.8827
0.8778
0.8395
0.8395
*
1.1388
0.9075
0.9052
0.8395
0.8395
0.8395
0.8827
0.9271
0.9271
0.9075
0.9271
0.9271
0.9271
0.9271
0.9075
0.8827
0.9075
0.9297
0.9275
0.9275
0.9275
0.9275
0.9275
0.8061
0.8061
0.9449
1.0669
0.8869
0.9728
0.8869
0.8061
0.9694
0.8869
0.9449
1.0669
0.9203
Fmt 4701
Sfmt 4702
*
*
*
*
*
*
*
*
*
*
*
*
*
*
28.7150
31.4135
28.2040
25.0239
27.1392
27.1308
29.5907
27.2885
29.0063
24.4402
27.7381
28.2647
27.2506
24.3030
22.0517
24.3756
18.5159
28.0291
26.9512
26.9295
23.5942
25.3422
20.6322
29.5651
26.4640
24.9454
28.2008
27.4928
28.2336
26.6702
27.0160
26.1629
24.9926
*
28.3017
28.1137
30.7872
28.1330
26.0225
27.0394
23.2174
20.8609
27.1676
29.8215
27.6572
30.4722
26.4766
21.0605
24.7521
25.8216
26.2510
25.9885
27.3142
Average
hourly wage
FY 2008
26.6910
35.2646
27.8213
34.1148
*
*
*
*
*
*
*
*
*
18.4142
30.0040
32.3427
29.6342
26.0731
28.3678
28.0035
31.5485
28.3836
30.4606
24.9677
29.2731
29.5963
29.1318
26.1589
22.8028
23.2202
*
29.5761
28.5884
27.9487
24.4218
26.6606
21.9115
30.4912
26.3807
26.8389
28.6668
28.7023
29.9990
28.4884
27.8841
27.1995
25.7870
*
29.7540
30.1973
33.1981
29.6269
27.0751
26.6351
24.0368
21.7092
27.5890
30.5349
29.3098
28.4642
27.4764
22.9922
25.5560
27.5902
27.2644
25.8264
29.3468
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
*
37.1500
23.5791
36.0926
30.1552
25.5574
28.5970
35.6125
32.1973
39.0842
39.5303
36.2633
25.9422
*
*
29.6430
29.8751
29.4163
28.9633
29.1171
27.6886
29.4687
30.9793
26.5474
29.7232
30.6427
28.7993
28.7101
22.0916
25.1607
*
29.7373
28.9445
29.2757
26.8971
27.9090
23.8672
30.0656
26.7342
36.2868
29.5636
29.5056
30.9988
28.6251
28.1118
28.7433
26.3926
*
32.2867
30.0513
33.9946
30.8723
29.8242
27.3091
24.6876
24.0666
28.8643
31.4889
30.7391
31.4238
28.8762
21.8319
27.3086
29.6761
27.8664
29.8874
30.5993
Average
hourly wage**
(3 years)
26.6910
36.2387
25.5501
35.1477
30.1552
25.5574
28.5970
35.6125
32.1973
39.0842
39.5303
36.2633
25.9422
18.4142
29.3648
31.1480
29.2534
26.8371
28.1485
28.1204
29.5829
28.4457
30.1575
25.3370
28.9118
29.4780
28.4031
26.4243
22.3156
24.2508
18.5159
29.2069
28.1975
28.0634
24.9667
26.6490
22.1202
30.0667
26.5286
28.7517
28.8137
28.5642
29.7618
27.9963
27.6918
27.4110
25.7328
*
30.1248
29.4645
32.7064
29.5547
27.6835
26.9932
23.9910
22.0939
27.8908
30.6457
29.2722
30.0808
27.6271
21.9360
25.8824
27.7176
27.1379
27.1451
29.0707
23778
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
490021
490022
490023
490024
490027
490032
490033
490037
490038
490040
490041
490042
490043
490044
490045
490046
490048
490050
490052
490053
490057
490059
490060
490063
490066
490067
490069
490071
490073
490075
490077
490079
490084
490088
490089
490090
490092
490093
490094
490097
490098
490101
490104
490105
490106
490107
490108
490109
490110
490111
490112
490113
490114
490115
490116
490117
490118
490119
490120
490122
490123
490126
490127
490130
490134
490135
490136
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
1.4622
1.4112
1.3297
1.6994
1.1143
1.9515
1.0967
1.2781
1.2238
1.5127
1.5635
1.3157
1.3375
1.4493
1.3427
1.5416
1.4333
1.5231
1.6678
1.1871
1.6362
1.6585
1.0194
1.8759
1.3873
1.2870
1.5365
1.4069
***
1.3188
1.4181
1.2674
1.1427
1.0983
1.1018
1.0545
1.0775
1.5429
0.9727
1.0690
1.2889
1.4144
0.7712
0.8355
0.7733
1.4215
1.0546
0.9060
1.3576
1.1082
1.7315
1.2911
1.1439
1.2011
1.1712
1.1002
1.6337
1.3013
1.4551
1.5919
1.1435
1.1732
1.1178
1.2203
0.8323
0.7518
1.4451
PO 00000
Frm 00252
Average
hourly wage
FY 2007
0.8646
1.0669
1.0669
0.8889
0.8061
0.9203
1.0669
0.8061
0.8061
1.1017
0.8869
0.8750
1.1017
0.8869
1.0669
0.8869
0.8646
1.0669
0.8869
0.8061
0.8869
0.9203
0.8061
1.1017
0.8869
0.9203
0.9203
0.9203
*
0.8483
0.9728
0.8985
0.8248
0.8646
0.8889
0.8061
0.8061
0.8869
0.9203
0.9203
0.8061
1.1017
0.9203
0.8061
0.8061
1.1017
0.8646
0.8869
0.8307
0.8061
0.9203
1.0669
0.8061
0.8061
0.8061
0.8061
0.9203
0.8869
0.8869
1.1017
0.8061
0.8061
0.8061
0.8869
0.8061
0.8889
0.9203
Fmt 4701
Sfmt 4702
25.7938
32.2676
30.3416
26.1125
24.0288
25.2654
31.2922
24.7711
21.8509
32.6564
26.0897
24.4650
33.7096
23.3527
32.0937
26.6517
26.2828
31.3885
23.5973
23.3315
26.6898
27.3611
23.6113
31.3619
27.8250
24.9021
27.3181
29.7186
33.1829
25.2022
26.6806
25.3103
24.9007
24.1471
24.9438
25.1157
23.3439
25.6531
28.2165
26.5322
23.2782
31.2377
*
25.5329
23.8334
32.2672
22.9076
22.7854
24.2887
22.1476
27.1932
31.8177
22.5255
22.4058
24.2258
19.6398
27.6749
26.5756
25.8795
32.0743
24.3490
23.6690
21.3735
23.9982
*
*
*
Average
hourly wage
FY 2008
27.0641
30.1203
30.9920
27.9689
23.0017
28.5897
31.8282
25.2859
22.6504
34.1841
27.1613
25.7333
35.8872
23.3793
30.3772
27.9604
27.0620
32.2993
25.0046
23.8004
27.4918
30.8669
24.3192
31.6069
29.5917
25.9497
29.1527
31.7061
34.5774
25.7323
28.1506
25.2340
25.7657
25.0619
25.9902
25.5418
25.7405
26.7886
28.9155
27.1470
25.1625
32.3695
17.0548
26.3827
25.7352
33.5430
23.3204
24.2296
24.9861
22.7336
29.0816
32.4547
22.1387
23.5718
24.3853
18.1138
29.0569
27.8866
25.9610
33.3719
24.2254
24.0908
23.5161
25.3352
33.2405
25.9998
*
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
28.1233
31.7964
32.6291
29.0379
24.3832
28.0097
30.9894
26.2942
24.0844
35.6796
29.1224
26.6055
36.5934
24.1751
32.8751
29.3861
28.0302
31.1346
25.1956
24.6193
29.0678
32.1008
25.7752
34.1154
31.4281
26.7787
30.1463
33.7101
46.4178
27.3411
31.0002
24.2052
26.3132
26.0270
27.4562
27.0746
27.5268
28.7103
29.7975
27.4607
26.7140
32.9490
19.0055
*
26.2318
35.0239
25.1884
21.6710
26.3071
26.4282
31.2526
34.7813
23.0526
23.2109
25.0343
20.3031
31.2383
29.5203
27.1973
35.2212
24.5997
25.3282
23.1390
25.9771
31.1474
27.2771
31.2889
Average
hourly wage**
(3 years)
26.9966
31.3740
31.3336
27.6964
23.7446
27.3514
31.3730
25.4675
22.8205
34.1603
27.4587
25.6256
35.4348
23.6463
31.7663
28.0339
27.1308
31.5946
24.5749
23.9160
27.7786
30.0791
24.5807
32.3880
29.7032
25.8584
28.8658
31.7115
36.1085
26.0795
28.6185
24.9039
25.6727
25.0928
26.1612
25.9182
25.4745
27.0735
28.9991
27.0696
25.0883
32.2107
18.0437
25.9379
25.2383
33.6804
23.8173
22.7835
25.2068
23.6179
29.1894
33.0718
22.5829
23.0488
24.5470
19.3436
29.3451
28.0191
26.3518
33.5744
24.3927
24.3545
22.6004
25.1170
32.1153
26.6418
31.2889
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23779
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
490138
500001
500002
500003
500005
500007
500008
500011
500012
500014
500015
500016
500019
500021
500024
500025
500026
500027
500030
500031
500033
500036
500037
500039
500041
500044
500049
500050
500051
500052
500053
500054
500058
500060
500064
500072
500077
500079
500084
500088
500108
500119
500124
500129
500134
500139
500141
500143
500148
500150
510001
510002
510006
510007
510008
510012
510013
510018
510022
510023
510024
510026
510029
510030
510031
510033
510038
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
1.9348
1.6024
1.3750
1.3968
1.8014
1.3520
1.9737
1.3817
1.7799
1.6593
1.4000
1.6703
1.2524
1.3071
1.7453
1.9117
1.4550
1.4942
1.6959
1.2671
1.2468
1.3290
1.0577
1.5629
1.4344
1.8913
1.3698
1.5082
1.7917
1.4632
1.2557
1.9737
1.6843
1.3541
1.8909
1.2605
1.4765
1.3733
1.2608
1.4739
1.6172
1.3809
1.4071
1.5755
0.5967
1.4903
1.2645
0.5889
1.2204
1.2775
1.9319
1.2681
1.3528
1.6750
1.3363
0.9584
1.1635
1.0730
1.8098
1.2565
1.7530
0.9848
1.2995
1.1499
1.4626
1.5988
1.0704
PO 00000
Frm 00253
Average
hourly wage
FY 2007
0.8646
1.1562
1.0164
1.1377
1.1562
1.1377
1.1562
1.1562
1.0164
1.1562
1.1562
1.1377
1.0295
1.1377
1.1462
1.1562
1.1562
1.1562
1.1395
1.1297
1.0164
1.0164
1.0164
1.1377
1.1186
1.0514
1.0164
1.1186
1.1562
1.1562
1.0164
1.0514
1.0164
1.1562
1.1562
1.0576
1.0514
1.1377
1.1562
1.1562
1.1377
1.0514
1.1562
1.1377
1.1562
1.1462
1.1562
1.1462
1.0164
1.1186
0.8569
0.8732
0.8631
0.9107
0.9253
0.7759
0.7635
0.8398
0.8398
0.8011
0.8569
0.7635
0.8398
0.7635
0.8398
0.8028
0.7635
Fmt 4701
Sfmt 4702
*
31.1605
27.6400
30.6939
33.5117
29.2869
32.6052
31.4514
30.0509
36.1380
34.5877
31.4905
30.5594
30.7927
32.6171
37.7952
32.8369
34.6164
32.4426
32.8833
30.6292
28.7096
28.1056
32.2245
30.3627
29.0214
27.7170
32.6751
32.5764
*
28.2901
31.6595
30.7487
37.4869
31.6112
31.2000
31.6153
31.3280
30.2411
35.3770
31.8483
29.7028
32.3505
32.1102
27.2428
33.9739
31.3308
23.6766
26.4206
*
25.2973
23.8921
24.9627
24.7264
26.3554
18.8984
22.7882
22.4597
26.9511
20.6435
25.5634
17.9908
22.7104
24.3936
23.2624
22.6189
20.6565
Average
hourly wage
FY 2008
*
33.0901
29.1448
32.1262
35.0997
30.5263
33.5666
32.6223
33.8101
36.5833
37.5724
32.9177
31.6242
32.4702
36.1647
40.6369
34.5881
39.2906
34.9174
33.2391
31.8891
30.5938
31.2654
33.5606
34.2017
31.0936
29.8189
33.7713
34.7610
*
30.2811
32.5105
30.7034
38.7682
32.3581
32.5269
33.2223
32.5809
32.7883
36.7953
34.3872
31.2233
34.4790
34.4447
28.1374
34.6412
33.7532
25.3099
37.7830
*
25.8693
23.7270
24.8777
27.1149
27.5241
20.8455
22.8779
23.1043
26.8328
21.0940
26.6621
19.2025
24.0872
24.2007
24.0237
24.0796
20.9180
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
*
37.5297
30.1855
32.7960
36.0900
31.0289
34.7787
38.3960
33.1661
37.2677
40.8644
34.2801
33.8866
33.5572
37.4510
44.7077
35.5055
42.4941
36.7964
34.1649
32.6732
31.9136
29.1752
34.5710
36.9240
32.0719
30.8120
35.7229
36.4745
*
28.5649
34.8088
32.6820
40.3002
34.7906
33.1128
34.3082
34.2468
33.3057
38.5166
35.8890
31.7102
36.3296
37.3169
28.9744
37.5682
34.2350
26.3882
24.6331
34.7828
26.7901
24.8834
26.6403
28.5769
27.4687
22.9026
22.9605
23.7726
27.6095
23.1446
31.1308
17.8264
25.3908
25.5580
26.7854
24.2824
21.7526
Average
hourly wage**
(3 years)
*
33.7723
29.0190
31.8089
34.9342
30.3229
33.6731
33.9417
32.2294
36.6858
37.5957
32.9164
32.0653
32.3511
35.4266
41.0323
34.3334
38.7477
34.7347
33.4481
31.7837
30.4918
29.5198
33.5071
33.8434
30.6373
29.5153
34.0820
34.6036
*
29.0318
32.9758
31.4274
38.8996
32.9459
32.3268
33.0354
32.6847
32.1164
36.8898
34.0321
30.8549
34.3958
34.6824
28.2246
35.2949
33.1511
25.1082
30.3555
34.7828
26.0184
24.1721
25.4772
26.8115
27.1395
20.8292
22.8737
23.1223
27.1376
21.6346
27.8371
18.3206
24.0179
24.7270
24.6110
23.6905
21.1101
23780
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
Case-mix
index 2
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
510039
510046
510047
510048
510050
510053
510055
510058
510059
510062
510067
510070
510071
510072
510077
510082
510085
510086
510090
520002
520004
520008
520009
520011
520013
520017
520019
520021
520027
520028
520030
520033
520034
520035
520037
520038
520040
520041
520044
520045
520048
520049
520051
520057
520059
520060
520062
520063
520064
520066
520070
520071
520075
520076
520078
520083
520087
520088
520089
520091
520095
520096
520097
520098
520100
520102
520103
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
FY 2009 wage
index
1.3740
1.3781
1.2053
1.1872
1.5377
1.0938
1.5578
1.3382
***
1.2241
1.0951
1.2034
1.2818
1.0733
1.0382
1.1006
1.2021
1.0879
***
1.3026
1.4018
1.5695
1.6546
1.2826
1.4977
1.1201
1.3503
1.3207
1.4430
1.3966
1.6874
1.2248
1.2622
1.3586
1.7405
1.2048
***
1.0813
1.3626
1.5915
1.5102
2.0434
1.5346
1.1885
1.3571
***
1.3331
1.1678
1.5219
1.4182
1.6950
1.2135
1.6946
1.2239
1.4666
1.7215
1.7126
1.3463
1.5744
1.2752
1.2282
1.3683
1.3252
2.0129
1.3329
1.1961
1.5575
PO 00000
Frm 00254
Average
hourly wage
FY 2007
0.7635
0.7795
0.8569
0.7635
0.8569
0.7635
0.9107
0.8028
*
0.8398
0.7635
0.8398
0.7795
0.7635
0.8748
0.7635
0.8398
0.7635
*
0.9823
0.9796
1.0182
0.9511
0.9511
1.0976
0.9599
0.9511
1.0315
1.0182
1.1014
0.9823
0.9511
0.9511
0.9587
0.9823
1.0182
*
1.1232
0.9587
0.9511
0.9511
0.9511
1.0182
0.9704
1.0026
*
1.0182
1.0182
1.0182
0.9824
0.9599
1.0026
0.9511
1.1014
1.0182
1.1232
0.9796
0.9523
1.1232
0.9511
0.9704
1.0026
0.9511
1.1232
0.9824
1.0026
1.0182
Fmt 4701
Sfmt 4702
19.8751
22.1712
27.1214
18.8576
21.0772
22.3318
28.4615
23.9015
22.1435
26.2296
25.0437
23.5639
23.4508
20.5146
24.5010
19.9081
26.3877
19.8735
*
27.7705
27.6530
30.7553
27.4044
26.6268
29.0018
28.4699
28.6971
28.4182
31.4284
26.7260
29.4678
28.0662
26.1094
27.3276
30.1799
29.3134
29.1262
23.5495
27.3685
27.3336
26.8080
26.9851
31.9949
27.7528
29.5801
24.8638
28.8510
29.0993
30.3225
29.2088
27.6771
30.0262
29.2920
27.3335
29.9837
30.8826
28.5810
30.7450
33.8793
25.4593
30.4216
27.8896
29.1479
32.5785
29.3243
29.1680
30.3165
Average
hourly wage
FY 2008
20.4719
22.2935
27.6859
22.7930
21.9009
21.5338
29.4111
25.3248
20.8847
26.7066
25.2130
23.9742
23.2954
19.4370
25.9515
20.3279
26.2617
19.2606
*
29.0501
28.9857
33.8057
28.8591
28.0224
30.1834
29.3278
29.8640
29.1129
32.4137
28.0813
30.5724
29.0236
26.8886
28.1048
32.2144
29.6339
31.2038
25.3764
28.2382
29.2556
29.1870
28.0936
31.5974
29.1158
30.4491
*
32.8584
30.3391
31.5723
31.0644
28.2059
30.6930
30.1582
27.4423
31.6606
32.7728
30.5659
30.6657
33.4098
27.3442
32.0381
29.5985
29.9998
36.5776
29.9458
30.7990
32.6269
E:\FR\FM\30APP2.SGM
30APP2
Average
hourly wage
FY 2009 1
21.3807
24.7175
28.8777
23.6384
23.5780
22.6278
30.7366
24.8750
21.9025
27.7962
25.2231
25.4968
23.4542
20.2379
27.1603
21.1654
26.8122
20.1963
39.0764
31.9053
30.9192
33.6749
29.6272
29.5006
32.1701
31.0517
30.2175
29.7788
33.5809
29.4683
31.6785
30.2616
28.1800
29.4053
31.6795
30.5249
35.9633
26.1572
28.6601
30.0840
30.1468
29.4223
32.4111
31.3292
31.1783
*
32.6992
31.5185
33.1248
31.6673
30.0451
31.5435
32.2755
26.8932
32.0179
34.7200
31.9747
30.7462
34.9331
28.7166
33.2399
28.5204
31.0204
38.0962
31.7748
31.5735
34.5620
Average
hourly wage**
(3 years)
20.5901
23.0443
27.9077
21.5406
22.1906
22.1640
29.5844
24.7020
21.6378
26.9089
25.1585
24.3383
23.4003
20.0443
25.8349
20.4929
26.4911
19.7687
39.0764
29.6240
29.2469
32.7716
28.6360
28.0213
30.5206
29.6386
29.6442
29.1139
32.5077
28.3047
30.5738
29.1742
27.0611
28.2938
31.3757
29.8341
32.0420
25.0721
28.1191
28.8905
28.5889
28.1983
32.0738
29.4114
30.4093
24.8638
31.5738
30.3770
31.5779
30.6304
28.7359
30.8053
30.5484
27.2252
31.1768
32.8276
30.3890
30.7187
34.0808
27.1741
31.9187
28.6435
30.0765
35.8078
30.3552
30.5379
32.5629
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23781
TABLE 2.—HOSPITAL CASE-MIX INDEXES FOR DISCHARGES OCCURRING IN FEDERAL FISCAL YEAR 2007; HOSPITAL WAGE
INDEXES FOR FEDERAL FISCAL YEAR 2009; HOSPITAL AVERAGE HOURLY WAGES FOR FEDERAL FISCAL YEARS 2007
(2003 WAGE DATA), 2008 (2004 WAGE DATA) AND 2009 (2005 WAGE DATA); AND 3-YEAR AVERAGE OF HOSPITAL
AVERAGE HOURLY WAGES—Continued
520107
520109
520113
520116
520132
520136
520138
520139
520140
520152
520160
520170
520173
520177
520189
520193
520194
520195
520196
520197
520198
520199
520202
520203
530002
530006
530008
530009
530010
530011
530012
530014
530015
530017
530025
530032
FY 2009 wage
index
Case-mix
index 2
Provider No.
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
.....................................................
1.3439
1.0451
1.2659
1.2564
***
1.6351
1.8898
1.3351
***
***
1.7768
1.4785
1.0888
1.5992
1.1684
1.7185
1.5801
0.6565
1.7736
***
1.3572
2.0438
1.6509
2.9989
1.1984
1.2359
1.1650
0.9602
1.2145
1.1265
1.7040
1.5582
1.1779
0.9134
1.2876
1.0528
Average
hourly wage
FY 2007
0.9523
0.9511
0.9511
1.0026
*
1.0182
1.0182
1.0182
*
*
0.9511
1.0182
*
1.0182
1.0315
0.9511
1.0182
1.0182
0.9599
*
0.9511
1.0182
0.9823
1.1232
0.9223
0.9223
0.9223
0.9223
0.9223
0.9223
0.9618
0.9611
0.9327
0.9223
0.9223
0.9223
28.9878
24.7228
31.4708
27.9688
25.0006
30.6522
30.8016
28.8870
31.0043
29.7308
27.9548
30.4309
29.2429
31.4555
28.0014
27.8113
30.1668
36.3116
36.9266
*
*
*
*
*
28.3063
27.2421
24.0090
24.6719
25.9852
27.8772
26.9582
26.7156
29.8310
29.8503
24.4392
23.9004
Average
hourly wage
FY 2008
Average
hourly wage
FY 2009 1
29.4178
25.0697
33.3475
30.2156
27.3431
32.1479
31.6581
30.4903
31.1315
*
29.5582
31.4710
31.0599
32.5714
29.0295
29.2007
31.4379
36.2900
31.1175
30.1917
28.5975
36.5699
*
*
29.2069
29.2104
26.5180
26.0490
27.4121
27.8613
28.7524
28.5469
29.8306
31.1105
29.4346
24.6580
30.0343
25.9723
33.3023
31.6687
*
32.3480
32.5653
31.7060
*
*
30.3037
31.7586
*
33.1218
29.2212
29.4715
30.9993
41.6044
31.6125
*
29.9781
37.0103
*
*
29.2407
30.3704
30.5992
27.0529
28.5518
31.1309
30.6085
29.6709
33.4886
25.8172
28.8951
25.4254
Average
hourly wage**
(3 years)
29.4887
25.2667
32.7086
29.9794
26.0481
31.6992
31.6762
30.3322
31.0699
29.7308
29.2715
31.2272
30.1478
32.4064
28.7600
28.8651
30.8959
37.9667
32.7571
30.1917
29.2918
36.7943
*
*
28.9305
28.9041
27.0161
25.9191
27.3468
28.8654
28.7888
28.4442
31.0902
28.8536
27.4712
24.6844
1 Based
on salaries adjusted for occupational mix, according to the calculation in section III.D.2. of the preamble to this proposed rule.
case-mix index is based on the billed DRGs in the FY 2007 MedPAR file. It is not transfer adjusted.
3 Provider 140010 is part of a multicampus provider (MCH) that is comprised of campuses that are located in two different CBSAs. The provider number with a ‘‘B’’ in the 4th position, 140B10, indicates the portion of the wage and hours of the MCH that is allocated to CBSA 29404;
provider number 140010 indicates the portion of wages and hours of the MCH that is allocated to CBSA 16974.
4 Provider 220074 is part of a multicampus provider (MCH) that is comprised of campuses that are located in two different CBSAs. The provider number with a ‘‘B’’ in the 4th position, 220B74, indicates the portion of the wage and hours of the MCH that is allocated to CBSA 14484;
provider number 220074 indicates the portion of wages and hours of the MCH that is allocated to CBSA 39300.
5 Provider 230104 is part of a multicampus provider (MCH) that is comprised of campuses that are located in two different CBSAs. The provider number with a ‘‘B’’ in the 4th position, 230B04, indicates the portion of the wage and hours of the MCH that is allocated to CBSA 47644;
provider number 230104 indicates the portion of wages and hours of the MCH that is allocated to CBSA 19804.
*Denotes wage data not available for the provider for that year.
**Based on the sum of the salaries and hours computed for Federal FYs 2007, 2008, and 2009.
***Denotes MedPAR data not available for the provider for FY 2007.
2 The
TABLE 3A.—FY 2009 AND 3-YEAR* AVERAGE HOURLY WAGE FOR URBAN AREAS BY CBSA
[*Based on the salaries and hours computed for Federal FYs 2007, 2008, and 2009]
jlentini on PROD1PC65 with PROPOSALS2
CBSA
code
10180
10380
10420
10500
10580
10740
10780
10900
11020
.......
.......
.......
.......
.......
.......
.......
.......
.......
VerDate Aug<31>2005
FY 2009 average hourly
wage
Urban area
Abilene, TX ........................................................................................................................................
´
Aguadilla-Isabela-San Sebastian, PR ...............................................................................................
Akron, OH ..........................................................................................................................................
Albany, GA .........................................................................................................................................
Albany-Schenectady-Troy, NY ..........................................................................................................
Albuquerque, NM ...............................................................................................................................
Alexandria, LA ...................................................................................................................................
Allentown-Bethlehem-Easton, PA-NJ ................................................................................................
Altoona, PA ........................................................................................................................................
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30APP2
27.1004
10.6709
28.3319
28.2617
28.4655
30.6500
26.1655
31.2097
26.7060
3-Year average hourly
wage
25.7723
10.7622
26.9292
27.2184
27.2227
29.7201
24.7913
30.7425
25.9824
23782
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 3A.—FY 2009 AND 3-YEAR* AVERAGE HOURLY WAGE FOR URBAN AREAS BY CBSA—Continued
[*Based on the salaries and hours computed for Federal FYs 2007, 2008, and 2009]
jlentini on PROD1PC65 with PROPOSALS2
CBSA
code
11100
11180
11260
11300
11340
11460
11500
11540
11700
12020
12060
12100
12220
12260
12420
12540
12580
12620
12700
12940
12980
13020
13140
13380
13460
13644
13740
13780
13820
13900
13980
14020
14060
14260
14484
14500
14540
14600
14740
14860
15180
15260
15380
15500
15540
15764
15804
15940
15980
16180
16220
16300
16580
16620
16700
16740
16820
16860
16940
16974
17020
17140
17300
17420
17460
17660
17780
17820
17860
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
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.......
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.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
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.......
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.......
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.......
.......
.......
.......
.......
.......
.......
VerDate Aug<31>2005
FY 2009 average hourly
wage
Urban area
Amarillo, TX .......................................................................................................................................
Ames, IA ............................................................................................................................................
Anchorage, AK ...................................................................................................................................
Anderson, IN ......................................................................................................................................
Anderson, SC ....................................................................................................................................
Ann Arbor, MI ....................................................................................................................................
Anniston-Oxford, AL ..........................................................................................................................
Appleton, WI ......................................................................................................................................
Asheville, NC .....................................................................................................................................
Athens-Clarke County, GA ................................................................................................................
Atlanta-Sandy Springs-Marietta, GA .................................................................................................
Atlantic City-Hammonton, NJ ............................................................................................................
Auburn-Opelika, AL ...........................................................................................................................
Augusta-Richmond County, GA-SC ..................................................................................................
Austin-Round Rock, TX .....................................................................................................................
Bakersfield, CA ..................................................................................................................................
Baltimore-Towson, MD ......................................................................................................................
Bangor, ME ........................................................................................................................................
Barnstable Town, MA ........................................................................................................................
Baton Rouge, LA ...............................................................................................................................
Battle Creek, MI .................................................................................................................................
Bay City, MI .......................................................................................................................................
Beaumont-Port Arthur, TX .................................................................................................................
Bellingham, WA .................................................................................................................................
Bend, OR ...........................................................................................................................................
Bethesda-Frederick-Gaithersburg, MD ..............................................................................................
Billings, MT ........................................................................................................................................
Binghamton, NY .................................................................................................................................
Birmingham-Hoover, AL ....................................................................................................................
Bismarck, ND .....................................................................................................................................
Blacksburg-Christiansburg-Radford, VA ............................................................................................
Bloomington, IN .................................................................................................................................
Bloomington-Normal, IL .....................................................................................................................
Boise City-Nampa, ID ........................................................................................................................
Boston-Quincy, MA ............................................................................................................................
Boulder, CO .......................................................................................................................................
Bowling Green, KY ............................................................................................................................
Bradenton-Sarasota-Venice, FL ........................................................................................................
Bremerton-Silverdale, WA .................................................................................................................
Bridgeport-Stamford-Norwalk, CT .....................................................................................................
Brownsville-Harlingen, TX .................................................................................................................
Brunswick, GA ...................................................................................................................................
Buffalo-Niagara Falls, NY ..................................................................................................................
Burlington, NC ...................................................................................................................................
Burlington-South Burlington, VT ........................................................................................................
Cambridge-Newton-Framingham, MA ...............................................................................................
Camden, NJ .......................................................................................................................................
Canton-Massillon, OH ........................................................................................................................
Cape Coral-Fort Myers, FL ................................................................................................................
Carson City, NV .................................................................................................................................
Casper, WY .......................................................................................................................................
Cedar Rapids, IA ...............................................................................................................................
Champaign-Urbana, IL ......................................................................................................................
Charleston, WV ..................................................................................................................................
Charleston-North Charleston-Summerville, SC .................................................................................
Charlotte-Gastonia-Concord, NC-SC ................................................................................................
Charlottesville, VA .............................................................................................................................
Chattanooga, TN-GA .........................................................................................................................
Cheyenne, WY ...................................................................................................................................
Chicago-Naperville-Joliet, IL ..............................................................................................................
Chico, CA ...........................................................................................................................................
Cincinnati-Middletown, OH-KY-IN .....................................................................................................
Clarksville, TN-KY ..............................................................................................................................
Cleveland, TN ....................................................................................................................................
Cleveland-Elyria-Mentor, OH .............................................................................................................
Coeur d’Alene, ID ..............................................................................................................................
College Station-Bryan, TX .................................................................................................................
Colorado Springs, CO .......................................................................................................................
Columbia, MO ....................................................................................................................................
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30APP2
29.0008
30.4757
38.0798
28.7750
31.3772
33.6572
25.8029
30.0406
29.6273
30.9008
31.4502
38.0743
24.3605
30.9498
30.6888
36.5786
32.1655
32.5961
40.8356
26.2494
32.3508
30.3060
27.7045
36.7964
35.6036
33.9508
29.1465
28.1030
28.3138
23.2350
26.1759
30.3742
30.6807
29.9365
38.6504
32.3079
26.8895
31.5095
34.5710
42.0944
29.7382
32.6731
30.9123
27.7660
29.6973
35.6990
34.1250
28.5297
30.6869
32.3122
30.6085
28.3050
30.1432
27.1192
29.7955
30.8456
31.3517
28.6158
29.6709
33.3033
35.0695
30.9027
26.7544
26.2909
29.8896
29.5998
29.6321
31.4793
27.2133
3-Year average hourly
wage
28.2619
30.0901
36.6236
27.5948
28.7401
32.6579
24.6804
29.0241
28.5517
29.8591
30.3269
36.7794
24.4407
29.7603
29.3079
34.6045
30.9372
30.6397
39.1326
25.0384
30.7409
28.7057
26.7778
34.7347
33.2554
32.8571
27.7805
27.6136
27.3821
22.4949
25.2599
28.6837
29.0683
29.1371
36.7387
31.3052
25.3106
30.2345
33.5071
39.8678
29.0319
31.3350
29.5833
26.6186
29.1460
34.3809
32.6476
27.6782
29.4302
30.2124
28.7888
27.0341
29.1751
26.3071
28.4097
29.4515
29.8273
27.6439
28.4442
32.5973
34.2761
29.7285
25.7478
25.3790
28.9336
28.7256
28.1756
29.6470
26.2863
23783
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 3A.—FY 2009 AND 3-YEAR* AVERAGE HOURLY WAGE FOR URBAN AREAS BY CBSA—Continued
[*Based on the salaries and hours computed for Federal FYs 2007, 2008, and 2009]
jlentini on PROD1PC65 with PROPOSALS2
CBSA
code
17900
17980
18020
18140
18580
18700
19060
19124
19140
19180
19260
19340
19380
19460
19500
19660
19740
19780
19804
20020
20100
20220
20260
20500
20740
20764
20940
21060
21140
21300
21340
21500
21660
21780
21820
21940
22020
22140
22180
22220
22380
22420
22500
22520
22540
22660
22744
22900
23020
23060
23104
23420
23460
23540
23580
23844
24020
24140
24220
24300
24340
24500
24540
24580
24660
24780
24860
25020
25060
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
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.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
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.......
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.......
.......
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.......
.......
.......
.......
VerDate Aug<31>2005
FY 2009 average hourly
wage
Urban area
Columbia, SC .....................................................................................................................................
Columbus, GA-AL ..............................................................................................................................
Columbus, IN .....................................................................................................................................
Columbus, OH ...................................................................................................................................
Corpus Christi, TX .............................................................................................................................
Corvallis, OR ......................................................................................................................................
Cumberland, MD-WV .........................................................................................................................
Dallas-Plano-Irving, TX ......................................................................................................................
Dalton, GA .........................................................................................................................................
Danville, IL .........................................................................................................................................
Danville, VA .......................................................................................................................................
Davenport-Moline-Rock Island, IA-IL .................................................................................................
Dayton, OH ........................................................................................................................................
Decatur, AL ........................................................................................................................................
Decatur, IL .........................................................................................................................................
Deltona-Daytona Beach-Ormond Beach, FL .....................................................................................
Denver-Aurora, CO ............................................................................................................................
Des Moines-West Des Moines, IA ....................................................................................................
Detroit-Livonia-Dearborn, MI .............................................................................................................
Dothan, AL .........................................................................................................................................
Dover, DE ..........................................................................................................................................
Dubuque, IA .......................................................................................................................................
Duluth, MN-WI ...................................................................................................................................
Durham, NC .......................................................................................................................................
Eau Claire, WI ...................................................................................................................................
Edison-New Brunswick, NJ ...............................................................................................................
El Centro, CA .....................................................................................................................................
Elizabethtown, KY ..............................................................................................................................
Elkhart-Goshen, IN ............................................................................................................................
Elmira, NY ..........................................................................................................................................
El Paso, TX ........................................................................................................................................
Erie, PA ..............................................................................................................................................
Eugene-Springfield, OR .....................................................................................................................
Evansville, IN-KY ...............................................................................................................................
Fairbanks, AK ....................................................................................................................................
Fajardo, PR ........................................................................................................................................
Fargo, ND-MN ...................................................................................................................................
Farmington, NM .................................................................................................................................
Fayetteville, NC .................................................................................................................................
Fayetteville-Springdale-Rogers, AR-MO ...........................................................................................
Flagstaff, AZ ......................................................................................................................................
Flint, MI ..............................................................................................................................................
Florence, SC ......................................................................................................................................
Florence-Muscle Shoals, AL ..............................................................................................................
Fond du Lac, WI ................................................................................................................................
Fort Collins-Loveland, CO .................................................................................................................
Fort Lauderdale-Pompano Beach-Deerfield Beach, FL ....................................................................
Fort Smith, AR-OK .............................................................................................................................
Fort Walton Beach-Crestview-Destin, FL ..........................................................................................
Fort Wayne, IN ..................................................................................................................................
Fort Worth-Arlington, TX ....................................................................................................................
Fresno, CA .........................................................................................................................................
Gadsden, AL ......................................................................................................................................
Gainesville, FL ...................................................................................................................................
Gainesville, GA ..................................................................................................................................
Gary, IN .............................................................................................................................................
Glens Falls, NY ..................................................................................................................................
Goldsboro, NC ...................................................................................................................................
Grand Forks, ND-MN .........................................................................................................................
Grand Junction, CO ...........................................................................................................................
Grand Rapids-Wyoming, MI ..............................................................................................................
Great Falls, MT ..................................................................................................................................
Greeley, CO .......................................................................................................................................
Green Bay, WI ...................................................................................................................................
Greensboro-High Point, NC ...............................................................................................................
Greenville, NC ...................................................................................................................................
Greenville-Mauldin-Easley, SC ..........................................................................................................
Guayama, PR ....................................................................................................................................
Gulfport-Biloxi, MS .............................................................................................................................
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30APP2
28.9948
29.2007
31.7711
31.8334
27.3797
35.7074
24.2686
31.7539
27.3868
31.2955
27.3411
27.2010
30.0672
24.8584
26.3336
28.4632
34.1438
30.6173
32.3846
24.8722
34.3823
26.5562
33.8981
31.2419
30.9902
36.1487
29.1074
27.2829
30.6988
26.8991
28.5812
28.0896
35.9675
27.4904
36.1891
13.1075
26.0887
25.2152
31.9846
29.4256
37.5481
36.2781
27.3900
25.2619
30.7462
30.8219
31.6349
25.2751
28.1059
28.8955
31.2137
35.7716
25.7517
30.4476
30.0367
30.0576
28.2938
29.5207
24.9880
31.2200
29.9037
27.9340
32.4200
30.6825
29.4639
30.1256
31.0004
10.1106
28.6731
3-Year average hourly
wage
27.6672
27.4844
29.8902
30.9635
26.2260
34.1739
24.3744
30.5827
26.8521
29.5310
26.0795
26.8964
28.7100
24.2893
25.3091
27.8441
32.7970
28.7458
31.4605
23.3546
32.3013
26.9190
31.7842
30.0944
29.6325
34.5118
28.1129
26.5352
29.4323
25.8564
28.1095
26.9188
34.2186
26.7119
34.2975
12.8846
24.9864
26.1577
30.2233
27.9239
35.8798
34.1503
26.5639
24.0763
30.7188
29.2764
30.8485
24.4937
26.8450
28.1729
29.8330
34.2816
24.9688
29.0940
28.8932
28.8628
26.8175
28.5197
24.4055
29.9879
29.1399
26.5446
30.9988
29.5078
28.1363
28.8796
29.7649
09.6176
27.0856
23784
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 3A.—FY 2009 AND 3-YEAR* AVERAGE HOURLY WAGE FOR URBAN AREAS BY CBSA—Continued
[*Based on the salaries and hours computed for Federal FYs 2007, 2008, and 2009]
jlentini on PROD1PC65 with PROPOSALS2
CBSA
code
25180
25260
25420
25500
25540
25620
25860
25980
26100
26180
26300
26380
26420
26580
26620
26820
26900
26980
27060
27100
27140
27180
27260
27340
27500
27620
27740
27780
27860
27900
28020
28100
28140
28420
28660
28700
28740
28940
29020
29100
29140
29180
29340
29404
29420
29460
29540
29620
29700
29740
29820
29940
30020
30140
30300
30340
30460
30620
30700
30780
30860
30980
31020
31084
31140
31180
31340
31420
31460
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
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.......
.......
.......
.......
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VerDate Aug<31>2005
FY 2009 average hourly
wage
Urban area
Hagerstown-Martinsburg, MD-WV .....................................................................................................
Hanford-Corcoran, CA .......................................................................................................................
Harrisburg-Carlisle, PA ......................................................................................................................
Harrisonburg, VA ...............................................................................................................................
Hartford-West Hartford-East Hartford, CT .........................................................................................
Hattiesburg, MS .................................................................................................................................
Hickory-Lenoir-Morganton, NC ..........................................................................................................
1 Hinesville-Fort Stewart, GA.
Holland-Grand Haven, MI ..................................................................................................................
Honolulu, HI .......................................................................................................................................
Hot Springs, AR .................................................................................................................................
Houma-Bayou Cane-Thibodaux, LA ..................................................................................................
Houston-Sugar Land-Baytown, TX ....................................................................................................
Huntington-Ashland, WV-KY-OH .......................................................................................................
Huntsville, AL .....................................................................................................................................
Idaho Falls, ID ...................................................................................................................................
Indianapolis-Carmel, IN .....................................................................................................................
Iowa City, IA ......................................................................................................................................
Ithaca, NY ..........................................................................................................................................
Jackson, MI ........................................................................................................................................
Jackson, MS ......................................................................................................................................
Jackson, TN .......................................................................................................................................
Jacksonville, FL .................................................................................................................................
Jacksonville, NC ................................................................................................................................
Janesville, WI .....................................................................................................................................
Jefferson City, MO .............................................................................................................................
Johnson City, TN ...............................................................................................................................
Johnstown, PA ...................................................................................................................................
Jonesboro, AR ...................................................................................................................................
Joplin, MO ..........................................................................................................................................
Kalamazoo-Portage, MI .....................................................................................................................
Kankakee-Bradley, IL ........................................................................................................................
Kansas City, MO-KS ..........................................................................................................................
Kennewick-Pasco-Richland, WA .......................................................................................................
Killeen-Temple-Fort Hood, TX ...........................................................................................................
Kingsport-Bristol-Bristol, TN-VA ........................................................................................................
Kingston, NY ......................................................................................................................................
Knoxville, TN ......................................................................................................................................
Kokomo, IN ........................................................................................................................................
La Crosse, WI-MN .............................................................................................................................
Lafayette, IN ......................................................................................................................................
Lafayette, LA ......................................................................................................................................
Lake Charles, LA ...............................................................................................................................
Lake County-Kenosha County, IL-WI ................................................................................................
Lake Havasu City-Kingman, AZ ........................................................................................................
Lakeland-Winter Haven, FL ...............................................................................................................
Lancaster, PA ....................................................................................................................................
Lansing-East Lansing, MI ..................................................................................................................
Laredo, TX .........................................................................................................................................
Las Cruces, NM .................................................................................................................................
Las Vegas-Paradise, NV ...................................................................................................................
Lawrence, KS ....................................................................................................................................
Lawton, OK ........................................................................................................................................
Lebanon, PA ......................................................................................................................................
Lewiston, ID-WA ................................................................................................................................
Lewiston-Auburn, ME ........................................................................................................................
Lexington-Fayette, KY .......................................................................................................................
Lima, OH ............................................................................................................................................
Lincoln, NE ........................................................................................................................................
Little Rock-North Little Rock-Conway, AR ........................................................................................
Logan, UT-ID .....................................................................................................................................
Longview, TX .....................................................................................................................................
Longview, WA ....................................................................................................................................
Los Angeles-Long Beach-Glendale, CA ............................................................................................
Louisville-Jefferson County, KY-IN ....................................................................................................
Lubbock, TX .......................................................................................................................................
Lynchburg, VA ...................................................................................................................................
Macon, GA .........................................................................................................................................
Madera, CA ........................................................................................................................................
19:42 Apr 29, 2008
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30APP2
3-Year average hourly
wage
29.8828
35.7293
29.4620
28.8643
36.0188
24.2839
28.8353
28.7638
33.4052
28.6481
27.8908
34.1981
23.4139
27.7789
29.3296
37.4061
29.4741
25.3740
31.9906
29.4107
28.9607
29.3359
31.6890
30.2168
30.8103
30.5399
25.9122
27.3080
29.3541
27.0573
31.7184
29.1505
25.8452
25.9505
26.0204
31.3014
35.1589
38.7329
30.4624
31.3630
28.5417
25.3719
30.3965
25.4214
29.8433
31.6291
28.8946
27.2063
24.4720
33.4390
31.6370
28.1459
31.0576
31.9010
28.4147
28.3851
37.5945
26.8014
27.8148
29.0022
29.8774
30.0517
28.8431
29.9606
31.0009
28.2114
28.3537
27.3041
36.9240
38.9626
29.7925
28.0803
27.7933
31.6291
26.7719
28.2605
34.9722
27.9457
24.7942
30.9869
27.7644
27.8624
28.2699
30.3105
29.3116
29.9028
29.5811
24.9687
26.6865
28.3904
25.9214
30.5036
27.2519
24.5939
24.9881
24.6491
28.6510
33.2912
33.0300
29.0579
30.6561
26.9557
24.5154
29.3492
24.8943
29.2845
30.0294
27.2885
25.9638
24.0434
32.6639
29.6383
27.5004
30.0449
30.9914
26.3095
27.2925
35.4889
25.6444
26.3376
26.8307
29.0074
28.7720
27.8163
28.3617
30.3915
28.2530
27.8958
26.9355
33.8434
36.6108
28.3269
26.7835
26.6660
30.3409
26.0576
23785
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 3A.—FY 2009 AND 3-YEAR* AVERAGE HOURLY WAGE FOR URBAN AREAS BY CBSA—Continued
[*Based on the salaries and hours computed for Federal FYs 2007, 2008, and 2009]
jlentini on PROD1PC65 with PROPOSALS2
CBSA
code
31540
31700
31900
32420
32580
32780
32820
32900
33124
33140
33260
33340
33460
33540
33660
33700
33740
33780
33860
34060
34100
34580
34620
34740
34820
34900
34940
34980
35004
35084
35300
35380
35644
35660
35980
36084
36100
36140
36220
36260
36420
36500
36540
36740
36780
36980
37100
37340
37380
37460
37620
37700
37764
37860
37900
37964
38060
38220
38300
38340
38540
38660
38860
38900
38940
39100
39140
39300
39340
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
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.......
.......
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.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
VerDate Aug<31>2005
FY 2009 average hourly
wage
Urban area
Madison, WI .......................................................................................................................................
Manchester-Nashua, NH ...................................................................................................................
Mansfield, OH ....................................................................................................................................
¨
Mayaguez, PR ...................................................................................................................................
McAllen-Edinburg-Mission, TX ..........................................................................................................
Medford, OR ......................................................................................................................................
Memphis, TN-MS-AR .........................................................................................................................
Merced, CA ........................................................................................................................................
Miami-Miami Beach-Kendall, FL ........................................................................................................
Michigan City-La Porte, IN ................................................................................................................
Midland, TX ........................................................................................................................................
Milwaukee-Waukesha-West Allis, WI ................................................................................................
Minneapolis-St. Paul-Bloomington, MN-WI .......................................................................................
Missoula, MT .....................................................................................................................................
Mobile, AL ..........................................................................................................................................
Modesto, CA ......................................................................................................................................
Monroe, LA ........................................................................................................................................
Monroe, MI .........................................................................................................................................
Montgomery, AL ................................................................................................................................
Morgantown, WV ...............................................................................................................................
Morristown, TN ..................................................................................................................................
Mount Vernon-Anacortes, WA ...........................................................................................................
Muncie, IN ..........................................................................................................................................
Muskegon-Norton Shores, MI ............................................................................................................
Myrtle Beach-North Myrtle Beach-Conway, SC ................................................................................
Napa, CA ...........................................................................................................................................
Naples-Marco Island, FL ...................................................................................................................
Nashville-Davidson-Murfreesboro-Franklin, TN .................................................................................
Nassau-Suffolk, NY ...........................................................................................................................
Newark-Union, NJ-PA ........................................................................................................................
New Haven-Milford, CT .....................................................................................................................
New Orleans-Metairie-Kenner, LA .....................................................................................................
New York-White Plains-Wayne, NY-NJ .............................................................................................
Niles-Benton Harbor, MI ....................................................................................................................
Norwich-New London, CT .................................................................................................................
Oakland-Fremont-Hayward, CA ........................................................................................................
Ocala, FL ...........................................................................................................................................
Ocean City, NJ ..................................................................................................................................
Odessa, TX ........................................................................................................................................
Ogden-Clearfield, UT .........................................................................................................................
Oklahoma City, OK ............................................................................................................................
Olympia, WA ......................................................................................................................................
Omaha-Council Bluffs, NE-IA ............................................................................................................
Orlando-Kissimmee, FL .....................................................................................................................
Oshkosh-Neenah, WI ........................................................................................................................
Owensboro, KY ..................................................................................................................................
Oxnard-Thousand Oaks-Ventura, CA ...............................................................................................
Palm Bay-Melbourne-Titusville, FL ....................................................................................................
2 Palm Coast, FL ................................................................................................................................
Panama City-Lynn Haven, FL ...........................................................................................................
Parkersburg-Marietta-Vienna, WV-OH ..............................................................................................
Pascagoula, MS .................................................................................................................................
Peabody, MA .....................................................................................................................................
Pensacola-Ferry Pass-Brent, FL .......................................................................................................
Peoria, IL ...........................................................................................................................................
Philadelphia, PA ................................................................................................................................
Phoenix-Mesa-Scottsdale, AZ ...........................................................................................................
Pine Bluff, AR ....................................................................................................................................
Pittsburgh, PA ....................................................................................................................................
Pittsfield, MA ......................................................................................................................................
Pocatello, ID ......................................................................................................................................
Ponce, PR ..........................................................................................................................................
Portland-South Portland-Biddeford, ME ............................................................................................
Portland-Vancouver-Beaverton, OR-WA ...........................................................................................
Port St. Lucie, FL ...............................................................................................................................
Poughkeepsie-Newburgh-Middletown, NY ........................................................................................
Prescott, AZ .......................................................................................................................................
Providence-New Bedford-Fall River, RI-MA ......................................................................................
Provo-Orem, UT ................................................................................................................................
19:42 Apr 29, 2008
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Fmt 4701
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E:\FR\FM\30APP2.SGM
30APP2
36.2618
33.0542
29.9812
12.5555
29.3886
33.0786
30.0626
39.1381
31.8599
29.1570
30.8197
32.8741
35.4391
28.2291
25.1640
39.1156
25.6673
28.7386
26.3999
27.8745
23.5598
32.2055
26.7339
32.9571
28.0263
45.2771
31.7163
30.5185
41.0210
37.3360
38.1842
29.4715
42.0303
29.3085
36.8468
49.9560
27.4049
37.4820
30.3782
29.7855
27.9928
37.0153
30.2913
29.6766
30.0761
28.2413
36.9286
30.3622
28.3179
27.4719
25.9281
25.8776
34.6216
26.1506
29.1439
35.4610
33.0972
26.6629
27.6753
33.6590
29.3360
13.2835
31.9890
36.1216
31.9898
35.2679
32.8634
34.3817
29.1600
3-Year average hourly
wage
34.3945
31.4821
28.5726
11.7170
27.9884
32.3223
28.8798
36.7035
30.6911
27.7380
29.6993
31.8085
33.7580
26.9683
24.3569
36.9865
24.6843
29.0350
25.1056
26.4870
23.4073
31.3429
25.4260
31.3172
27.0772
42.3405
30.5323
29.8356
39.8184
36.1271
37.0168
27.1340
40.8866
28.0264
36.0398
47.7941
26.5357
34.3008
30.3247
28.2615
27.1135
34.9710
29.2081
28.9783
28.8544
27.1328
35.1055
29.2690
27.7197
25.9842
25.2122
25.5012
32.8179
24.9081
28.4392
33.9583
31.5810
25.9270
26.3759
31.7762
28.3737
13.4725
30.7480
34.7569
30.8026
33.9878
30.9614
33.0490
28.8274
23786
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 3A.—FY 2009 AND 3-YEAR* AVERAGE HOURLY WAGE FOR URBAN AREAS BY CBSA—Continued
[*Based on the salaries and hours computed for Federal FYs 2007, 2008, and 2009]
jlentini on PROD1PC65 with PROPOSALS2
CBSA
code
39380
39460
39540
39580
39660
39740
39820
39900
40060
40140
40220
40340
40380
40420
40484
40580
40660
40900
40980
41060
41100
41140
41180
41420
41500
41540
41620
41660
41700
41740
41780
41884
41900
41940
41980
42020
42044
42060
42100
42140
42220
42340
42540
42644
42680
43100
43300
43340
43580
43620
43780
43900
44060
44100
44140
44180
44220
44300
44700
44940
45060
45104
45220
45300
45460
45500
45780
45820
45940
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
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.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
VerDate Aug<31>2005
FY 2009 average hourly
wage
Urban area
Pueblo, CO ........................................................................................................................................
Punta Gorda, FL ................................................................................................................................
Racine, WI .........................................................................................................................................
Raleigh-Cary, NC ...............................................................................................................................
Rapid City, SD ...................................................................................................................................
Reading, PA .......................................................................................................................................
Redding, CA ......................................................................................................................................
Reno-Sparks, NV ...............................................................................................................................
Richmond, VA ....................................................................................................................................
Riverside-San Bernardino-Ontario, CA .............................................................................................
Roanoke, VA ......................................................................................................................................
Rochester, MN ...................................................................................................................................
Rochester, NY ...................................................................................................................................
Rockford, IL .......................................................................................................................................
Rockingham County-Strafford County, NH .......................................................................................
Rocky Mount, NC ..............................................................................................................................
Rome, GA ..........................................................................................................................................
Sacramento-Arden-Arcade-Roseville, CA .........................................................................................
Saginaw-Saginaw Township North, MI .............................................................................................
St. Cloud, MN ....................................................................................................................................
St. George, UT ..................................................................................................................................
St. Joseph, MO-KS ............................................................................................................................
St. Louis, MO-IL .................................................................................................................................
Salem, OR .........................................................................................................................................
Salinas, CA ........................................................................................................................................
Salisbury, MD ....................................................................................................................................
Salt Lake City, UT .............................................................................................................................
San Angelo, TX .................................................................................................................................
San Antonio, TX ................................................................................................................................
San Diego-Carlsbad-San Marcos, CA ...............................................................................................
Sandusky, OH ....................................................................................................................................
San Francisco-San Mateo-Redwood City, CA ..................................................................................
´
San German-Cabo Rojo, PR .............................................................................................................
San Jose-Sunnyvale-Santa Clara, CA ..............................................................................................
San Juan-Caguas-Guaynabo, PR .....................................................................................................
San Luis Obispo-Paso Robles, CA ...................................................................................................
Santa Ana-Anaheim-Irvine, CA .........................................................................................................
Santa Barbara-Santa Maria-Goleta, CA ............................................................................................
Santa Cruz-Watsonville, CA ..............................................................................................................
Santa Fe, NM ....................................................................................................................................
Santa Rosa-Petaluma, CA ................................................................................................................
Savannah, GA ...................................................................................................................................
Scranton-Wilkes-Barre, PA ................................................................................................................
Seattle-Bellevue-Everett, WA ............................................................................................................
Sebastian-Vero Beach, FL ................................................................................................................
Sheboygan, WI ..................................................................................................................................
Sherman-Denison, TX .......................................................................................................................
Shreveport-Bossier City, LA ..............................................................................................................
Sioux City, IA-NE-SD .........................................................................................................................
Sioux Falls, SD ..................................................................................................................................
South Bend-Mishawaka, IN-MI ..........................................................................................................
Spartanburg, SC ................................................................................................................................
Spokane, WA .....................................................................................................................................
Springfield, IL .....................................................................................................................................
Springfield, MA ..................................................................................................................................
Springfield, MO ..................................................................................................................................
Springfield, OH ..................................................................................................................................
State College, PA ..............................................................................................................................
Stockton, CA ......................................................................................................................................
Sumter, SC ........................................................................................................................................
Syracuse, NY .....................................................................................................................................
Tacoma, WA ......................................................................................................................................
Tallahassee, FL .................................................................................................................................
Tampa-St. Petersburg-Clearwater, FL ..............................................................................................
Terre Haute, IN ..................................................................................................................................
Texarkana, TX-Texarkana, AR ..........................................................................................................
Toledo, OH ........................................................................................................................................
Topeka, KS ........................................................................................................................................
Trenton-Ewing, NJ .............................................................................................................................
19:42 Apr 29, 2008
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E:\FR\FM\30APP2.SGM
30APP2
27.8188
29.9874
28.8930
31.2156
30.6204
30.0875
41.6249
33.7604
29.6609
36.2653
28.6468
35.3899
28.7144
31.7824
31.9359
29.2288
31.2559
41.9426
29.1128
37.2177
29.7373
33.7767
28.9842
34.3369
47.9744
29.6266
29.8767
27.7212
28.8457
36.2686
28.4754
48.5597
14.9779
51.2569
14.1930
38.5623
38.1247
37.7124
51.5525
34.1580
49.2189
28.8176
26.5201
37.3352
30.7417
29.1159
29.9470
27.5578
28.3024
30.2235
31.0993
29.1025
33.9523
29.4330
33.3312
27.3178
27.8315
28.4188
38.6087
27.6406
31.7909
35.9647
29.0061
28.9032
29.4437
26.4165
29.8934
28.5929
34.3697
3-Year average hourly
wage
26.8684
29.4798
28.8892
30.0484
27.7643
29.3819
39.4241
34.6330
28.3807
34.0181
27.4630
33.7865
27.8099
30.6686
31.0988
27.8751
29.9017
40.3835
28.2485
34.8308
29.2069
30.5981
27.8523
32.4058
45.4050
27.8982
29.1422
26.5502
27.6665
34.6834
27.6992
46.7826
14.5348
48.2592
13.8050
36.3112
35.9846
35.1162
48.3881
33.1619
45.6081
27.8424
25.6648
35.3387
30.0442
28.0863
27.3065
26.7863
27.7781
29.2197
30.1358
28.3525
32.3332
27.9091
31.8950
26.6919
26.5028
27.0040
36.4711
26.7218
30.5763
33.8969
27.8746
28.1723
27.6736
24.8363
28.9126
27.0599
33.3207
23787
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 3A.—FY 2009 AND 3-YEAR* AVERAGE HOURLY WAGE FOR URBAN AREAS BY CBSA—Continued
[*Based on the salaries and hours computed for Federal FYs 2007, 2008, and 2009]
CBSA
code
46060
46140
46220
46340
46540
46660
46700
47020
47220
47260
47300
47380
47580
47644
47894
47940
48140
48260
48300
48424
48540
48620
48660
48700
48864
48900
49020
49180
49340
49420
49500
49620
49660
49700
49740
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
FY 2009 average hourly
wage
Urban area
Tucson, AZ ........................................................................................................................................
Tulsa, OK ...........................................................................................................................................
Tuscaloosa, AL ..................................................................................................................................
Tyler, TX ............................................................................................................................................
Utica-Rome, NY .................................................................................................................................
Valdosta, GA ......................................................................................................................................
Vallejo-Fairfield, CA ...........................................................................................................................
Victoria, TX ........................................................................................................................................
Vineland-Millville-Bridgeton, NJ .........................................................................................................
Virginia Beach-Norfolk-Newport News, VA-NC .................................................................................
Visalia-Porterville, CA ........................................................................................................................
Waco, TX ...........................................................................................................................................
Warner Robins, GA ...........................................................................................................................
Warren-Troy-Farmington Hills, MI .....................................................................................................
Washington-Arlington-Alexandria, DC-VA-MD-WV ...........................................................................
Waterloo-Cedar Falls, IA ...................................................................................................................
Wausau, WI .......................................................................................................................................
Weirton-Steubenville, WV-OH ...........................................................................................................
Wenatchee, WA .................................................................................................................................
West Palm Beach-Boca Raton-Boynton Beach, FL ..........................................................................
Wheeling, WV-OH .............................................................................................................................
Wichita, KS ........................................................................................................................................
Wichita Falls, TX ................................................................................................................................
Williamsport, PA ................................................................................................................................
Wilmington, DE-MD-NJ ......................................................................................................................
Wilmington, NC ..................................................................................................................................
Winchester, VA-WV ...........................................................................................................................
Winston-Salem, NC ...........................................................................................................................
Worcester, MA ...................................................................................................................................
Yakima, WA .......................................................................................................................................
Yauco, PR ..........................................................................................................................................
York-Hanover, PA ..............................................................................................................................
Youngstown-Warren-Boardman, OH-PA ...........................................................................................
Yuba City, CA ....................................................................................................................................
Yuma, AZ ...........................................................................................................................................
30.4264
27.8831
28.0199
28.6912
28.1040
26.3052
45.6926
25.6787
35.2379
28.5838
33.2020
28.0515
30.5824
32.1363
34.3840
28.0510
31.6785
25.8721
30.3614
31.1027
22.6472
28.9395
29.5744
25.8784
34.0940
29.1370
31.4889
29.0508
35.2688
32.0317
10.8210
31.1804
28.8065
34.7445
31.9135
3-Year average hourly
wage
29.2232
26.3265
26.8295
27.8517
27.1057
25.6427
44.8127
25.2869
33.0201
27.2923
31.5996
26.9091
28.8902
31.0932
33.3639
26.9028
30.5738
24.7386
31.9688
29.7030
21.8074
27.7964
26.8201
24.8306
32.8588
29.0123
30.6457
28.2246
34.2006
30.9552
10.6067
29.5691
27.5854
32.8688
30.1305
1 This
area has no average hourly wage because there are no short-term, acute care hospitals in the area.
is a new CBSA for FY 2008. To calculate the 3-year average hourly wage for this new area, we included the hospitals’ data from their
previous geographic location for FY 2006 and FY 2007.
2 This
TABLE 3B.—FY 2009 AND 3-YEAR* AVERAGE HOURLY WAGE FOR RURAL AREAS BY CBSA
[*Based on the sum of the salaries and hours computed for Federal FYs 2007, 2008, and 2009]
Nonurban area
FY 2009 average hourly
wage
3-Year average hourly
wage
Alabama .............................................................................................................................................
Alaska ................................................................................................................................................
Arizona ...............................................................................................................................................
Arkansas ............................................................................................................................................
California ............................................................................................................................................
Colorado ............................................................................................................................................
Connecticut ........................................................................................................................................
Delaware ............................................................................................................................................
Florida ................................................................................................................................................
Georgia ..............................................................................................................................................
Hawaii ................................................................................................................................................
Idaho ..................................................................................................................................................
Illinois .................................................................................................................................................
Indiana ...............................................................................................................................................
Iowa ...................................................................................................................................................
Kansas ...............................................................................................................................................
Kentucky ............................................................................................................................................
Louisiana ............................................................................................................................................
Maine .................................................................................................................................................
Maryland ............................................................................................................................................
Massachusetts ...................................................................................................................................
Michigan .............................................................................................................................................
24.6411
38.4008
28.5407
24.6204
38.6569
30.0754
36.4301
32.6029
27.8797
25.2642
36.0283
24.4380
27.1642
27.3432
28.1850
25.9806
25.2536
24.7667
27.7429
28.3407
........................
28.5656
23.6242
35.4138
27.4573
23.3335
35.9246
28.7842
35.6330
30.8226
26.8062
24.2873
33.6508
24.1641
25.9705
26.4475
26.6791
24.8089
24.2249
23.6881
26.2711
27.4609
........................
27.6632
jlentini on PROD1PC65 with PROPOSALS2
CBSA
code
01
02
03
04
05
06
07
08
10
11
12
13
14
15
16
17
18
19
20
21
22
23
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
VerDate Aug<31>2005
19:42 Apr 29, 2008
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E:\FR\FM\30APP2.SGM
30APP2
23788
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 3B.—FY 2009 AND 3-YEAR* AVERAGE HOURLY WAGE FOR RURAL AREAS BY CBSA—Continued
[*Based on the sum of the salaries and hours computed for Federal FYs 2007, 2008, and 2009]
Nonurban area
FY 2009 average hourly
wage
3-Year average hourly
wage
Minnesota ..........................................................................................................................................
Mississippi ..........................................................................................................................................
Missouri ..............................................................................................................................................
Montana .............................................................................................................................................
Nebraska ............................................................................................................................................
Nevada ...............................................................................................................................................
New Hampshire .................................................................................................................................
New Jersey 1 ......................................................................................................................................
New Mexico .......................................................................................................................................
New York ...........................................................................................................................................
North Carolina ....................................................................................................................................
North Dakota ......................................................................................................................................
Ohio ...................................................................................................................................................
Oklahoma ...........................................................................................................................................
Oregon ...............................................................................................................................................
Pennsylvania ......................................................................................................................................
Puerto Rico 1 ......................................................................................................................................
Rhode Island 1 ...................................................................................................................................
South Carolina ...................................................................................................................................
South Dakota .....................................................................................................................................
Tennessee .........................................................................................................................................
Texas .................................................................................................................................................
Utah ...................................................................................................................................................
Vermont .............................................................................................................................................
Virginia ...............................................................................................................................................
Washington ........................................................................................................................................
West Virginia ......................................................................................................................................
Wisconsin ...........................................................................................................................................
Wyoming ............................................................................................................................................
29.3894
24.6569
26.3804
27.8425
28.0119
31.6580
33.2526
........................
28.5810
26.7717
27.8184
23.7299
27.6801
25.8341
33.1220
26.9119
........................
........................
27.7889
27.1581
25.6634
26.2796
27.0526
32.0308
25.9700
32.6127
24.6596
30.7058
29.7219
28.3126
23.9273
25.2174
26.4700
26.9486
29.6483
32.8237
........................
27.1089
25.8110
26.7060
22.7358
26.8138
24.3148
30.9016
25.8178
........................
........................
26.8744
25.8858
24.6486
25.3601
25.6723
30.2935
24.9967
31.5030
23.6988
29.7224
28.3175
CBSA
code
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
46
47
49
50
51
52
53
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
1 All
counties within the State or territory are classified as urban.
TABLE 4A.—WAGE INDEX AND CAPITAL GEOGRAPHIC ADJUSTMENT FACTOR (GAF) FOR URBAN AREAS BY CBSA AND BY
STATE—FY 2009
[Constituent counties are listed in Table 4E.]
jlentini on PROD1PC65 with PROPOSALS2
CBSA Code
10180
10380
10420
10500
10580
10740
10780
10900
10900
11020
11100
11180
11260
11300
11340
11460
11500
11540
11700
12020
12060
12100
12220
12260
12260
12420
12540
12580
12620
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
VerDate Aug<31>2005
Urban area
State
Abilene, TX ....................................................................................................................................
´
Aguadilla-Isabela-San Sebastian, PR ...........................................................................................
Akron, OH ......................................................................................................................................
Albany, GA .....................................................................................................................................
Albany-Schenectady-Troy, NY ......................................................................................................
Albuquerque, NM ...........................................................................................................................
Alexandria, LA ...............................................................................................................................
Allentown-Bethlehem-Easton, PA-NJ ............................................................................................
Allentown-Bethlehem-Easton, PA-NJ ............................................................................................
Altoona, PA ....................................................................................................................................
Amarillo, TX ...................................................................................................................................
Ames, IA ........................................................................................................................................
Anchorage, AK ...............................................................................................................................
Anderson, IN ..................................................................................................................................
Anderson, SC ................................................................................................................................
Ann Arbor, MI ................................................................................................................................
Anniston-Oxford, AL ......................................................................................................................
Appleton, WI ..................................................................................................................................
Asheville, NC .................................................................................................................................
Athens-Clarke County, GA ............................................................................................................
Atlanta-Sandy Springs-Marietta, GA .............................................................................................
Atlantic City-Hammonton, NJ ........................................................................................................
Auburn-Opelika, AL .......................................................................................................................
Augusta-Richmond County, GA-SC ..............................................................................................
Augusta-Richmond County, GA-SC ..............................................................................................
Austin-Round Rock, TX .................................................................................................................
Bakersfield, CA ..............................................................................................................................
Baltimore-Towson, MD ..................................................................................................................
Bangor, ME ....................................................................................................................................
TX .....
PR .....
OH ....
GA .....
NY .....
NM ....
LA .....
NJ .....
PA .....
PA .....
TX .....
IA ......
AK .....
IN ......
SC .....
MI ......
AL .....
WI .....
NC .....
GA .....
GA .....
NJ .....
AL .....
GA .....
SC .....
TX .....
CA .....
MD ....
ME ....
19:42 Apr 29, 2008
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Fmt 4701
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E:\FR\FM\30APP2.SGM
30APP2
Wage
index
0.8408
0.3311
0.8784
0.8770
0.8833
0.9499
0.8127
1.1221
0.9675
0.8342
0.8997
0.9417
1.1884
0.8923
0.9721
1.0444
0.8007
0.9511
0.9192
0.9589
0.9760
1.1666
0.7647
0.9604
0.9589
0.9521
1.1822
0.9981
1.0115
GAF
0.8880
0.4691
0.9150
0.9140
0.9185
0.9654
0.8676
1.0821
0.9776
0.8833
0.9302
0.9597
1.1255
0.9249
0.9808
1.0302
0.8588
0.9662
0.9439
0.9717
0.9835
1.1113
0.8322
0.9727
0.9717
0.9669
1.1214
0.9987
1.0079
23789
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 4A.—WAGE INDEX AND CAPITAL GEOGRAPHIC ADJUSTMENT FACTOR (GAF) FOR URBAN AREAS BY CBSA AND BY
STATE—FY 2009—Continued
[Constituent counties are listed in Table 4E.]
jlentini on PROD1PC65 with PROPOSALS2
CBSA Code
12700
12940
12980
13020
13140
13380
13460
13644
13740
13780
13820
13900
13980
14020
14060
14260
14484
14500
14540
14600
14740
14860
15180
15260
15380
15500
15540
15764
15804
15940
15980
16180
16220
16300
16580
16620
16700
16740
16740
16820
16860
16860
16940
16974
17020
17140
17140
17140
17300
17300
17420
17460
17660
17780
17820
17860
17900
17980
17980
18020
18140
18580
18700
19060
19060
19124
19140
19180
19260
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
VerDate Aug<31>2005
Urban area
State
Barnstable Town, MA ....................................................................................................................
Baton Rouge, LA ...........................................................................................................................
Battle Creek, MI .............................................................................................................................
Bay City, MI ...................................................................................................................................
Beaumont-Port Arthur, TX .............................................................................................................
Bellingham, WA .............................................................................................................................
Bend, OR .......................................................................................................................................
Bethesda-Frederick-Gaithersburg, MD ..........................................................................................
Billings, MT ....................................................................................................................................
Binghamton, NY .............................................................................................................................
Birmingham-Hoover, AL ................................................................................................................
Bismarck, ND .................................................................................................................................
Blacksburg-Christiansburg-Radford, VA ........................................................................................
Bloomington, IN .............................................................................................................................
Bloomington-Normal, IL .................................................................................................................
Boise City-Nampa, ID ....................................................................................................................
Boston-Quincy, MA ........................................................................................................................
Boulder, CO ...................................................................................................................................
Bowling Green, KY ........................................................................................................................
Bradenton-Sarasota-Venice, FL ....................................................................................................
Bremerton-Silverdale, WA .............................................................................................................
Bridgeport-Stamford-Norwalk, CT .................................................................................................
Brownsville-Harlingen, TX .............................................................................................................
Brunswick, GA ...............................................................................................................................
Buffalo-Niagara Falls, NY ..............................................................................................................
Burlington, NC ...............................................................................................................................
Burlington-South Burlington, VT ....................................................................................................
Cambridge-Newton-Framingham, MA ...........................................................................................
Camden, NJ ...................................................................................................................................
Canton-Massillon, OH ....................................................................................................................
Cape Coral-Fort Myers, FL ............................................................................................................
Carson City, NV .............................................................................................................................
Casper, WY ...................................................................................................................................
Cedar Rapids, IA ...........................................................................................................................
Champaign-Urbana, IL ..................................................................................................................
Charleston, WV ..............................................................................................................................
Charleston-North Charleston-Summerville, SC .............................................................................
Charlotte-Gastonia-Concord, NC-SC ............................................................................................
Charlotte-Gastonia-Concord, NC-SC ............................................................................................
Charlottesville, VA .........................................................................................................................
Chattanooga, TN-GA .....................................................................................................................
Chattanooga, TN-GA .....................................................................................................................
Cheyenne, WY ...............................................................................................................................
Chicago-Naperville-Joliet, IL ..........................................................................................................
Chico, CA .......................................................................................................................................
Cincinnati-Middletown, OH-KY-IN .................................................................................................
Cincinnati-Middletown, OH-KY-IN .................................................................................................
Cincinnati-Middletown, OH-KY-IN .................................................................................................
Clarksville, TN-KY ..........................................................................................................................
Clarksville, TN-KY ..........................................................................................................................
Cleveland, TN ................................................................................................................................
Cleveland-Elyria-Mentor, OH .........................................................................................................
Coeur d’Alene, ID ..........................................................................................................................
College Station-Bryan, TX .............................................................................................................
Colorado Springs, CO ...................................................................................................................
Columbia, MO ................................................................................................................................
Columbia, SC .................................................................................................................................
Columbus, GA-AL ..........................................................................................................................
Columbus, GA-AL ..........................................................................................................................
Columbus, IN .................................................................................................................................
Columbus, OH ...............................................................................................................................
Corpus Christi, TX .........................................................................................................................
Corvallis, OR ..................................................................................................................................
Cumberland, MD-WV .....................................................................................................................
Cumberland, MD-WV .....................................................................................................................
Dallas-Plano-Irving, TX ..................................................................................................................
Dalton, GA .....................................................................................................................................
Danville, IL .....................................................................................................................................
Danville, VA ...................................................................................................................................
MA ....
LA .....
MI ......
MI ......
TX .....
WA ....
OR ....
MD ....
MT .....
NY .....
AL .....
ND .....
VA .....
IN ......
IL .......
ID ......
MA ....
CO ....
KY .....
FL ......
WA ....
CT .....
TX .....
GA .....
NY .....
NC .....
VT .....
MA ....
NJ .....
OH ....
FL ......
NV .....
WY ....
IA ......
IL .......
WV ....
SC .....
NC .....
SC .....
VA .....
GA .....
TN .....
WY ....
IL .......
CA .....
IN ......
KY .....
OH ....
KY .....
TN .....
TN .....
OH ....
ID ......
TX .....
CO ....
MO ....
SC .....
AL .....
GA .....
IN ......
OH ....
TX .....
OR ....
MD ....
WV ....
TX .....
GA .....
IL .......
VA .....
19:42 Apr 29, 2008
Jkt 214001
PO 00000
Frm 00263
Fmt 4701
Sfmt 4702
E:\FR\FM\30APP2.SGM
30APP2
Wage
index
1.2672
0.8142
1.0039
0.9472
0.8595
1.1395
1.1043
1.1018
0.9045
0.8721
0.8786
0.7336
0.8122
0.9419
0.9520
0.9290
1.1994
0.9994
0.8344
0.9757
1.0706
1.2591
0.9226
1.0139
0.9593
0.8632
0.9275
1.1078
1.1221
0.8845
0.9502
1.0027
0.9618
0.8746
0.9353
0.8398
0.9231
0.9570
0.9557
0.9728
0.8880
0.8857
0.9223
1.0334
1.1822
0.9583
0.9590
0.9581
0.8302
0.8280
0.8137
0.9266
0.9185
0.9193
0.9738
0.8470
0.8984
0.9061
0.9061
0.9852
0.9869
0.8494
1.1076
0.8795
0.7635
0.9852
0.8499
0.9711
0.8483
GAF
1.1761
0.8687
1.0027
0.9635
0.9015
1.0935
1.0703
1.0686
0.9336
0.9105
0.9152
0.8088
0.8672
0.9598
0.9669
0.9508
1.1326
0.9996
0.8834
0.9833
1.0478
1.1709
0.9463
1.0095
0.9719
0.9042
0.9498
1.0726
1.0821
0.9194
0.9656
1.0018
0.9737
0.9123
0.9552
0.8873
0.9467
0.9704
0.9694
0.9813
0.9219
0.9202
0.9461
1.0228
1.1214
0.9713
0.9717
0.9711
0.8804
0.8788
0.8683
0.9491
0.9434
0.9440
0.9820
0.8925
0.9293
0.9347
0.9347
0.9898
0.9910
0.8942
1.0725
0.9158
0.8313
0.9898
0.8946
0.9801
0.8935
23790
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 4A.—WAGE INDEX AND CAPITAL GEOGRAPHIC ADJUSTMENT FACTOR (GAF) FOR URBAN AREAS BY CBSA AND BY
STATE—FY 2009—Continued
[Constituent counties are listed in Table 4E.]
jlentini on PROD1PC65 with PROPOSALS2
CBSA Code
19340
19340
19380
19460
19500
19660
19740
19780
19804
20020
20100
20220
20260
20260
20500
20740
20764
20940
21060
21140
21300
21340
21500
21660
21780
21780
21820
21940
22020
22020
22140
22180
22220
22220
22380
22420
22500
22520
22540
22660
22744
22900
22900
23020
23060
23104
23420
23460
23540
23580
23844
24020
24140
24220
24220
24300
24340
24500
24540
24580
24660
24780
24860
25020
25060
25180
25180
25260
25420
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
VerDate Aug<31>2005
Urban area
State
Davenport-Moline-Rock Island, IA-IL .............................................................................................
Davenport-Moline-Rock Island, IA-IL .............................................................................................
Dayton, OH ....................................................................................................................................
Decatur, AL ....................................................................................................................................
Decatur, IL .....................................................................................................................................
Deltona-Daytona Beach-Ormond Beach, FL .................................................................................
Denver-Aurora, CO ........................................................................................................................
Des Moines-West Des Moines, IA ................................................................................................
Detroit-Livonia-Dearborn, MI .........................................................................................................
Dothan, AL .....................................................................................................................................
Dover, DE ......................................................................................................................................
Dubuque, IA ...................................................................................................................................
Duluth, MN-WI ...............................................................................................................................
Duluth, MN-WI ...............................................................................................................................
Durham, NC ...................................................................................................................................
Eau Claire, WI ...............................................................................................................................
Edison-New Brunswick, NJ ...........................................................................................................
El Centro, CA .................................................................................................................................
Elizabethtown, KY ..........................................................................................................................
Elkhart-Goshen, IN ........................................................................................................................
Elmira, NY ......................................................................................................................................
El Paso, TX ....................................................................................................................................
Erie, PA ..........................................................................................................................................
Eugene-Springfield, OR .................................................................................................................
Evansville, IN-KY ...........................................................................................................................
Evansville, IN-KY ...........................................................................................................................
Fairbanks, AK ................................................................................................................................
Fajardo, PR ....................................................................................................................................
Fargo, ND-MN ...............................................................................................................................
Fargo, ND-MN ...............................................................................................................................
Farmington, NM .............................................................................................................................
Fayetteville, NC .............................................................................................................................
Fayetteville-Springdale-Rogers, AR-MO .......................................................................................
Fayetteville-Springdale-Rogers, AR-MO .......................................................................................
Flagstaff, AZ ..................................................................................................................................
Flint, MI ..........................................................................................................................................
Florence, SC ..................................................................................................................................
Florence-Muscle Shoals, AL ..........................................................................................................
Fond du Lac, WI ............................................................................................................................
Fort Collins-Loveland, CO .............................................................................................................
Fort Lauderdale-Pompano Beach-Deerfield Beach, FL ................................................................
Fort Smith, AR-OK .........................................................................................................................
Fort Smith, AR-OK .........................................................................................................................
Fort Walton Beach-Crestview-Destin, FL ......................................................................................
Fort Wayne, IN ..............................................................................................................................
Fort Worth-Arlington, TX ................................................................................................................
Fresno, CA .....................................................................................................................................
Gadsden, AL ..................................................................................................................................
Gainesville, FL ...............................................................................................................................
Gainesville, GA ..............................................................................................................................
Gary, IN .........................................................................................................................................
Glens Falls, NY ..............................................................................................................................
Goldsboro, NC ...............................................................................................................................
Grand Forks, ND-MN .....................................................................................................................
Grand Forks, ND-MN .....................................................................................................................
Grand Junction, CO .......................................................................................................................
Grand Rapids-Wyoming, MI ..........................................................................................................
Great Falls, MT ..............................................................................................................................
Greeley, CO ...................................................................................................................................
Green Bay, WI ...............................................................................................................................
Greensboro-High Point, NC ...........................................................................................................
Greenville, NC ...............................................................................................................................
Greenville-Mauldin-Easley, SC ......................................................................................................
Guayama, PR ................................................................................................................................
Gulfport-Biloxi, MS .........................................................................................................................
Hagerstown-Martinsburg, MD-WV .................................................................................................
Hagerstown-Martinsburg, MD-WV .................................................................................................
Hanford-Corcoran, CA ...................................................................................................................
Harrisburg-Carlisle, PA ..................................................................................................................
IL .......
IA ......
OH ....
AL .....
IL .......
FL ......
CO ....
IA ......
MI ......
AL .....
DE .....
IA ......
MN ....
WI .....
NC .....
WI .....
NJ .....
CA .....
KY .....
IN ......
NY .....
TX .....
PA .....
OR ....
IN ......
KY .....
AK .....
PR .....
MN ....
ND .....
NM ....
NC .....
AR .....
MO ....
AZ .....
MI ......
SC .....
AL .....
WI .....
CO ....
FL ......
AR .....
OK .....
FL ......
IN ......
TX .....
CA .....
AL .....
FL ......
GA .....
IN ......
NY .....
NC .....
MN ....
ND .....
CO ....
MI ......
MT .....
CO ....
WI .....
NC .....
NC .....
SC .....
PR .....
MS ....
MD ....
WV ....
CA .....
PA .....
19:42 Apr 29, 2008
Jkt 214001
PO 00000
Frm 00264
Fmt 4701
Sfmt 4702
E:\FR\FM\30APP2.SGM
30APP2
Wage
index
0.8606
0.8709
0.9321
0.7714
0.8428
0.8814
1.0561
0.9460
1.0052
0.7718
1.0669
0.8709
1.0519
1.0499
0.9693
0.9599
1.1221
1.1822
0.8466
0.9547
0.8347
0.8867
0.8708
1.1157
0.8525
0.8531
1.1884
0.4067
0.9120
0.8212
0.8858
0.9923
0.9131
0.9123
1.1652
1.1258
0.8609
0.7883
0.9523
0.9581
1.0025
0.7843
0.8016
0.8703
0.9004
0.9684
1.1822
0.7991
0.9427
0.9321
0.9320
0.8780
0.9159
0.9120
0.7709
0.9925
0.9305
0.8679
1.0028
0.9511
0.9141
0.9346
0.9605
0.3137
0.8898
0.9273
0.9253
1.1822
0.9185
GAF
0.9023
0.9097
0.9530
0.8372
0.8895
0.9172
1.0381
0.9627
1.0036
0.8375
1.0453
0.9097
1.0353
1.0339
0.9789
0.9724
1.0821
1.1214
0.8922
0.9688
0.8836
0.9210
0.9096
1.0779
0.8965
0.8969
1.1255
0.5400
0.9389
0.8738
0.9203
0.9947
0.9396
0.9391
1.1104
1.0845
0.9025
0.8497
0.9671
0.9711
1.0017
0.8467
0.8595
0.9093
0.9307
0.9783
1.1214
0.8576
0.9604
0.9530
0.9529
0.9148
0.9416
0.9389
0.8368
0.9949
0.9519
0.9075
1.0019
0.9662
0.9403
0.9547
0.9728
0.4521
0.9232
0.9496
0.9482
1.1214
0.9434
23791
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 4A.—WAGE INDEX AND CAPITAL GEOGRAPHIC ADJUSTMENT FACTOR (GAF) FOR URBAN AREAS BY CBSA AND BY
STATE—FY 2009—Continued
[Constituent counties are listed in Table 4E.]
jlentini on PROD1PC65 with PROPOSALS2
CBSA Code
25500
25540
25620
25860
26100
26180
26300
26380
26420
26580
26580
26580
26620
26820
26900
26980
27060
27100
27140
27180
27260
27340
27500
27620
27740
27780
27860
27900
28020
28100
28140
28140
28420
28660
28700
28700
28740
28940
29020
29100
29100
29140
29180
29340
29404
29404
29420
29460
29540
29620
29700
29740
29820
29940
30020
30140
30300
30300
30340
30460
30620
30700
30780
30860
30860
30980
31020
31084
31140
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
VerDate Aug<31>2005
Urban area
State
Harrisonburg, VA ...........................................................................................................................
Hartford-West Hartford-East Hartford, CT .....................................................................................
Hattiesburg, MS .............................................................................................................................
Hickory-Lenoir-Morganton, NC ......................................................................................................
Holland-Grand Haven, MI ..............................................................................................................
Honolulu, HI ...................................................................................................................................
Hot Springs, AR .............................................................................................................................
Houma-Bayou Cane-Thibodaux, LA ..............................................................................................
Houston-Sugar Land-Baytown, TX ................................................................................................
Huntington-Ashland, WV-KY-OH ...................................................................................................
Huntington-Ashland, WV-KY-OH ...................................................................................................
Huntington-Ashland, WV-KY-OH ...................................................................................................
Huntsville, AL .................................................................................................................................
Idaho Falls, ID ...............................................................................................................................
Indianapolis-Carmel, IN .................................................................................................................
Iowa City, IA ..................................................................................................................................
Ithaca, NY ......................................................................................................................................
Jackson, MI ....................................................................................................................................
Jackson, MS ..................................................................................................................................
Jackson, TN ...................................................................................................................................
Jacksonville, FL .............................................................................................................................
Jacksonville, NC ............................................................................................................................
Janesville, WI .................................................................................................................................
Jefferson City, MO .........................................................................................................................
Johnson City, TN ...........................................................................................................................
Johnstown, PA ...............................................................................................................................
Jonesboro, AR ...............................................................................................................................
Joplin, MO ......................................................................................................................................
Kalamazoo-Portage, MI .................................................................................................................
Kankakee-Bradley, IL ....................................................................................................................
Kansas City, MO-KS ......................................................................................................................
Kansas City, MO-KS ......................................................................................................................
Kennewick-Pasco-Richland, WA ...................................................................................................
Killeen-Temple-Fort Hood, TX .......................................................................................................
Kingsport-Bristol-Bristol, TN-VA ....................................................................................................
Kingsport-Bristol-Bristol, TN-VA ....................................................................................................
Kingston, NY ..................................................................................................................................
Knoxville, TN ..................................................................................................................................
Kokomo, IN ....................................................................................................................................
La Crosse, WI-MN .........................................................................................................................
La Crosse, WI-MN .........................................................................................................................
Lafayette, IN ..................................................................................................................................
Lafayette, LA ..................................................................................................................................
Lake Charles, LA ...........................................................................................................................
Lake County-Kenosha County, IL-WI ............................................................................................
Lake County-Kenosha County, IL-WI ............................................................................................
Lake Havasu City-Kingman, AZ ....................................................................................................
Lakeland-Winter Haven, FL ...........................................................................................................
Lancaster, PA ................................................................................................................................
Lansing-East Lansing, MI ..............................................................................................................
Laredo, TX .....................................................................................................................................
Las Cruces, NM .............................................................................................................................
Las Vegas-Paradise, NV ...............................................................................................................
Lawrence, KS ................................................................................................................................
Lawton, OK ....................................................................................................................................
Lebanon, PA ..................................................................................................................................
Lewiston, ID-WA ............................................................................................................................
Lewiston, ID-WA ............................................................................................................................
Lewiston-Auburn, ME ....................................................................................................................
Lexington-Fayette, KY ...................................................................................................................
Lima, OH ........................................................................................................................................
Lincoln, NE ....................................................................................................................................
Little Rock-North Little Rock-Conway, AR ....................................................................................
Logan, UT-ID .................................................................................................................................
Logan, UT-ID .................................................................................................................................
Longview, TX .................................................................................................................................
Longview, WA ................................................................................................................................
Los Angeles-Long Beach-Glendale, CA ........................................................................................
Louisville-Jefferson County, KY-IN ................................................................................................
VA .....
CT .....
MS ....
NC .....
MI ......
HI ......
AR .....
LA .....
TX .....
KY .....
OH ....
WV ....
AL .....
ID ......
IN ......
IA ......
NY .....
MI ......
MS ....
TN .....
FL ......
NC .....
WI .....
MO ....
TN .....
PA .....
AR .....
MO ....
MI ......
IL .......
KS .....
MO ....
WA ....
TX .....
TN .....
VA .....
NY .....
TN .....
IN ......
MN ....
WI .....
IN ......
LA .....
LA .....
IL .......
WI .....
AZ .....
FL ......
PA .....
MI ......
TX .....
NM ....
NV .....
KS .....
OK .....
PA .....
ID ......
WA ....
ME ....
KY .....
OH ....
NE .....
AR .....
ID ......
UT .....
TX .....
WA ....
CA .....
IN ......
19:42 Apr 29, 2008
Jkt 214001
PO 00000
Frm 00265
Fmt 4701
Sfmt 4702
E:\FR\FM\30APP2.SGM
30APP2
Wage
index
0.8956
1.1897
0.7653
0.8946
0.9101
1.1608
0.9146
0.7870
0.9925
0.9127
0.9118
0.9107
0.8987
0.9327
0.9827
0.9337
0.9561
0.9477
0.8095
0.8452
0.9092
0.8632
0.9824
0.9038
0.7999
0.8342
0.8291
0.9704
1.0910
1.2018
0.9453
0.9444
1.0164
0.8855
0.7957
0.8061
0.9433
0.7957
0.9254
0.9815
0.9796
0.8960
0.8438
0.7682
1.0376
1.0357
0.9817
0.8715
0.9799
0.9899
0.8816
0.8858
1.1666
0.8317
0.8630
0.8991
0.9271
1.0164
0.9326
0.8950
0.9299
0.9620
0.8754
0.8827
0.8827
0.8666
1.1434
1.1916
0.9238
GAF
0.9273
1.1263
0.8326
0.9266
0.9375
1.1075
0.9407
0.8487
0.9949
0.9394
0.9387
0.9380
0.9295
0.9534
0.9881
0.9541
0.9697
0.9639
0.8653
0.8912
0.9369
0.9042
0.9879
0.9331
0.8582
0.8833
0.8796
0.9796
1.0615
1.1341
0.9622
0.9616
1.0112
0.9201
0.8551
0.8628
0.9608
0.8551
0.9483
0.9873
0.9860
0.9276
0.8902
0.8348
1.0256
1.0243
0.9874
0.9101
0.9862
0.9931
0.9173
0.9203
1.1113
0.8814
0.9040
0.9298
0.9495
1.0112
0.9533
0.9268
0.9514
0.9738
0.9129
0.9181
0.9181
0.9066
1.0961
1.1275
0.9472
23792
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 4A.—WAGE INDEX AND CAPITAL GEOGRAPHIC ADJUSTMENT FACTOR (GAF) FOR URBAN AREAS BY CBSA AND BY
STATE—FY 2009—Continued
[Constituent counties are listed in Table 4E.]
jlentini on PROD1PC65 with PROPOSALS2
CBSA Code
31140
31180
31340
31420
31460
31540
31700
31900
32420
32580
32780
32820
32820
32820
32900
33124
33140
33260
33340
33460
33460
33540
33660
33700
33740
33780
33860
34060
34100
34580
34620
34740
34820
34900
34940
34980
35004
35084
35084
35300
35380
35644
35644
35660
35980
36084
36100
36140
36220
36260
36420
36500
36540
36540
36740
36780
36980
37100
37340
37380
37460
37620
37620
37700
37764
37860
37900
37964
38060
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
VerDate Aug<31>2005
Urban area
State
Louisville-Jefferson County, KY-IN ................................................................................................
Lubbock, TX ...................................................................................................................................
Lynchburg, VA ...............................................................................................................................
Macon, GA .....................................................................................................................................
Madera, CA ....................................................................................................................................
Madison, WI ...................................................................................................................................
Manchester-Nashua, NH ...............................................................................................................
Mansfield, OH ................................................................................................................................
¨
Mayaguez, PR ...............................................................................................................................
McAllen-Edinburg-Mission, TX ......................................................................................................
Medford, OR ..................................................................................................................................
Memphis, TN-MS-AR .....................................................................................................................
Memphis, TN-MS-AR .....................................................................................................................
Memphis, TN-MS-AR .....................................................................................................................
Merced, CA ....................................................................................................................................
Miami-Miami Beach-Kendall, FL ....................................................................................................
Michigan City-La Porte, IN ............................................................................................................
Midland, TX ....................................................................................................................................
Milwaukee-Waukesha-West Allis, WI ............................................................................................
Minneapolis-St. Paul-Bloomington, MN-WI ...................................................................................
Minneapolis-St. Paul-Bloomington, MN-WI ...................................................................................
Missoula, MT .................................................................................................................................
Mobile, AL ......................................................................................................................................
Modesto, CA ..................................................................................................................................
Monroe, LA ....................................................................................................................................
Monroe, MI .....................................................................................................................................
Montgomery, AL ............................................................................................................................
Morgantown, WV ...........................................................................................................................
Morristown, TN ..............................................................................................................................
Mount Vernon-Anacortes, WA .......................................................................................................
Muncie, IN ......................................................................................................................................
Muskegon-Norton Shores, MI ........................................................................................................
Myrtle Beach-North Myrtle Beach-Conway, SC ............................................................................
Napa, CA .......................................................................................................................................
Naples-Marco Island, FL ...............................................................................................................
Nashville-Davidson-Murfreesboro-Franklin, TN .............................................................................
Nassau-Suffolk, NY .......................................................................................................................
Newark-Union, NJ-PA ....................................................................................................................
Newark-Union, NJ-PA ....................................................................................................................
New Haven-Milford, CT .................................................................................................................
New Orleans-Metairie-Kenner, LA .................................................................................................
New York-White Plains-Wayne, NY-NJ .........................................................................................
New York-White Plains-Wayne, NY-NJ .........................................................................................
Niles-Benton Harbor, MI ................................................................................................................
Norwich-New London, CT .............................................................................................................
Oakland-Fremont-Hayward, CA ....................................................................................................
Ocala, FL .......................................................................................................................................
Ocean City, NJ ..............................................................................................................................
Odessa, TX ....................................................................................................................................
Ogden-Clearfield, UT .....................................................................................................................
Oklahoma City, OK ........................................................................................................................
Olympia, WA ..................................................................................................................................
Omaha-Council Bluffs, NE-IA ........................................................................................................
Omaha-Council Bluffs, NE-IA ........................................................................................................
Orlando-Kissimmee, FL .................................................................................................................
Oshkosh-Neenah, WI ....................................................................................................................
Owensboro, KY ..............................................................................................................................
Oxnard-Thousand Oaks-Ventura, CA ...........................................................................................
Palm Bay-Melbourne-Titusville, FL ................................................................................................
Palm Coast, FL ..............................................................................................................................
Panama City-Lynn Haven, FL .......................................................................................................
Parkersburg-Marietta-Vienna, WV-OH ..........................................................................................
Parkersburg-Marietta-Vienna, WV-OH ..........................................................................................
Pascagoula, MS .............................................................................................................................
Peabody, MA .................................................................................................................................
Pensacola-Ferry Pass-Brent, FL ...................................................................................................
Peoria, IL .......................................................................................................................................
Philadelphia, PA ............................................................................................................................
Phoenix-Mesa-Scottsdale, AZ .......................................................................................................
KY .....
TX .....
VA .....
GA .....
CA .....
WI .....
NH .....
OH ....
PR .....
TX .....
OR ....
AR .....
MS ....
TN .....
CA .....
FL ......
IN ......
TX .....
WI .....
MN ....
WI .....
MT .....
AL .....
CA .....
LA .....
MI ......
AL .....
WV ....
TN .....
WA ....
IN ......
MI ......
SC .....
CA .....
FL ......
TN .....
NY .....
NJ .....
PA .....
CT .....
LA .....
NJ .....
NY .....
MI ......
CT .....
CA .....
FL ......
NJ .....
TX .....
UT .....
OK .....
WA ....
IA ......
NE .....
FL ......
WI .....
KY .....
CA .....
FL ......
FL ......
FL ......
OH ....
WV ....
MS ....
MA ....
FL ......
IL .......
PA .....
AZ .....
19:42 Apr 29, 2008
Jkt 214001
PO 00000
Frm 00266
Fmt 4701
Sfmt 4702
E:\FR\FM\30APP2.SGM
30APP2
Wage
index
0.9245
0.8712
0.8646
0.9815
1.1822
1.1232
1.0807
0.9295
0.3896
0.9118
1.0298
0.9329
0.9329
0.9305
1.1969
0.9865
0.9041
0.9562
1.0182
1.0997
1.0976
0.8909
0.7809
1.1963
0.7961
0.8918
0.8192
0.8631
0.7957
1.0164
0.8479
1.0227
0.8683
1.3847
0.9820
0.9445
1.2729
1.1440
1.1574
1.1897
0.9140
1.2878
1.3043
0.9095
1.1897
1.5278
0.8633
1.1484
0.9425
0.9243
0.8686
1.1462
0.9360
0.9400
0.9189
0.9511
0.8764
1.1822
0.9401
0.8769
0.8633
0.8582
0.8028
0.8030
1.0744
0.8633
0.9043
1.0992
1.0271
GAF
0.9477
0.9099
0.9052
0.9873
1.1214
1.0828
1.0546
0.9512
0.5244
0.9387
1.0203
0.9535
0.9535
0.9519
1.1310
0.9907
0.9333
0.9698
1.0124
1.0672
1.0659
0.9239
0.8442
1.1306
0.8554
0.9246
0.8723
0.9041
0.8551
1.0112
0.8932
1.0155
0.9078
1.2497
0.9876
0.9617
1.1797
1.0965
1.1053
1.1263
0.9403
1.1891
1.1995
0.9371
1.1263
1.3367
0.9042
1.0994
0.9603
0.9475
0.9080
1.0979
0.9557
0.9585
0.9437
0.9662
0.9136
1.1214
0.9586
0.9140
0.9042
0.9006
0.8603
0.8605
1.0504
0.9042
0.9334
1.0669
1.0185
23793
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 4A.—WAGE INDEX AND CAPITAL GEOGRAPHIC ADJUSTMENT FACTOR (GAF) FOR URBAN AREAS BY CBSA AND BY
STATE—FY 2009—Continued
[Constituent counties are listed in Table 4E.]
jlentini on PROD1PC65 with PROPOSALS2
CBSA Code
38220
38300
38340
38540
38660
38860
38900
38900
38940
39100
39140
39300
39300
39340
39380
39460
39540
39580
39660
39740
39820
39900
40060
40140
40220
40340
40380
40420
40484
40580
40660
40900
40980
41060
41100
41140
41140
41180
41180
41420
41500
41540
41620
41660
41700
41740
41780
41884
41900
41940
41980
42020
42044
42060
42100
42140
42220
42340
42540
42644
42680
43100
43300
43340
43580
43580
43580
43620
43780
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
VerDate Aug<31>2005
Urban area
State
Pine Bluff, AR ................................................................................................................................
Pittsburgh, PA ................................................................................................................................
Pittsfield, MA ..................................................................................................................................
Pocatello, ID ..................................................................................................................................
Ponce, PR ......................................................................................................................................
Portland-South Portland-Biddeford, ME ........................................................................................
Portland-Vancouver-Beaverton, OR-WA .......................................................................................
Portland-Vancouver-Beaverton, OR-WA .......................................................................................
Port St. Lucie, FL ...........................................................................................................................
Poughkeepsie-Newburgh-Middletown, NY ....................................................................................
Prescott, AZ ...................................................................................................................................
Providence-New Bedford-Fall River, RI-MA ..................................................................................
Providence-New Bedford-Fall River, RI-MA ..................................................................................
Provo-Orem, UT ............................................................................................................................
Pueblo, CO ....................................................................................................................................
Punta Gorda, FL ............................................................................................................................
Racine, WI .....................................................................................................................................
Raleigh-Cary, NC ...........................................................................................................................
Rapid City, SD ...............................................................................................................................
Reading, PA ...................................................................................................................................
Redding, CA ..................................................................................................................................
Reno-Sparks, NV ...........................................................................................................................
Richmond, VA ................................................................................................................................
Riverside-San Bernardino-Ontario, CA .........................................................................................
Roanoke, VA ..................................................................................................................................
Rochester, MN ...............................................................................................................................
Rochester, NY ...............................................................................................................................
Rockford, IL ...................................................................................................................................
Rockingham County-Strafford County, NH ...................................................................................
Rocky Mount, NC ..........................................................................................................................
Rome, GA ......................................................................................................................................
Sacramento—Arden-Arcade—Roseville, CA ................................................................................
Saginaw-Saginaw Township North, MI .........................................................................................
St. Cloud, MN ................................................................................................................................
St. George, UT ..............................................................................................................................
St. Joseph, MO-KS ........................................................................................................................
St. Joseph, MO-KS ........................................................................................................................
St. Louis, MO-IL .............................................................................................................................
St. Louis, MO-IL .............................................................................................................................
Salem, OR .....................................................................................................................................
Salinas, CA ....................................................................................................................................
Salisbury, MD ................................................................................................................................
Salt Lake City, UT .........................................................................................................................
San Angelo, TX .............................................................................................................................
San Antonio, TX ............................................................................................................................
San Diego-Carlsbad-San Marcos, CA ...........................................................................................
Sandusky, OH ................................................................................................................................
San Francisco-San Mateo-Redwood City, CA ..............................................................................
´
San German-Cabo Rojo, PR .........................................................................................................
San Jose-Sunnyvale-Santa Clara, CA ..........................................................................................
San Juan-Caguas-Guaynabo, PR .................................................................................................
San Luis Obispo-Paso Robles, CA ...............................................................................................
Santa Ana-Anaheim-Irvine, CA .....................................................................................................
Santa Barbara-Santa Maria-Goleta, CA ........................................................................................
Santa Cruz-Watsonville, CA ..........................................................................................................
Santa Fe, NM ................................................................................................................................
Santa Rosa-Petaluma, CA ............................................................................................................
Savannah, GA ...............................................................................................................................
Scranton—Wilkes-Barre, PA .........................................................................................................
Seattle-Bellevue-Everett, WA ........................................................................................................
Sebastian-Vero Beach, FL ............................................................................................................
Sheboygan, WI ..............................................................................................................................
Sherman-Denison, TX ...................................................................................................................
Shreveport-Bossier City, LA ..........................................................................................................
Sioux City, IA-NE-SD .....................................................................................................................
Sioux City, IA-NE-SD .....................................................................................................................
Sioux City, IA-NE-SD .....................................................................................................................
Sioux Falls, SD ..............................................................................................................................
South Bend-Mishawaka, IN-MI ......................................................................................................
AR .....
PA .....
MA ....
ID ......
PR .....
ME ....
OR ....
WA ....
FL ......
NY .....
AZ .....
MA ....
RI ......
UT .....
CO ....
FL ......
WI .....
NC .....
SD .....
PA .....
CA .....
NV .....
VA .....
CA .....
VA .....
MN ....
NY .....
IL .......
NH .....
NC .....
GA .....
CA .....
MI ......
MN ....
UT .....
KS .....
MO ....
IL .......
MO ....
OR ....
CA .....
MD ....
UT .....
TX .....
TX .....
CA .....
OH ....
CA .....
PR .....
CA .....
PR .....
CA .....
CA .....
CA .....
CA .....
NM ....
CA .....
GA .....
PA .....
WA ....
FL ......
WI .....
TX .....
LA .....
IA ......
NE .....
SD .....
SD .....
IN ......
19:42 Apr 29, 2008
Jkt 214001
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30APP2
Wage
index
0.8274
0.8579
1.0445
0.9103
0.4122
0.9927
1.1204
1.1186
0.9905
1.0944
1.0198
1.0669
1.0669
0.9052
0.9303
0.9286
0.9511
0.9685
0.9502
0.9327
1.2730
1.0476
0.9203
1.1822
0.8889
1.0982
0.8911
0.9862
1.0807
0.9068
0.9699
1.2827
0.9034
1.1549
0.9228
1.0481
1.0472
0.8993
0.8986
1.0650
1.4671
0.9194
0.9271
0.8600
0.8949
1.1822
0.8828
1.4879
0.4648
1.5758
0.4404
1.1822
1.1822
1.1822
1.5766
1.0587
1.5052
0.8943
0.8342
1.1562
0.9519
0.9511
0.9291
0.8547
0.8745
0.8783
0.8783
0.9379
0.9644
GAF
0.8783
0.9004
1.0303
0.9377
0.5450
0.9950
1.0810
1.0798
0.9935
1.0637
1.0135
1.0453
1.0453
0.9341
0.9517
0.9505
0.9662
0.9783
0.9656
0.9534
1.1797
1.0324
0.9447
1.1214
0.9225
1.0662
0.9241
0.9905
1.0546
0.9352
0.9793
1.1859
0.9328
1.1036
0.9465
1.0327
1.0321
0.9299
0.9294
1.0441
1.3001
0.9441
0.9495
0.9019
0.9268
1.1214
0.9182
1.3127
0.5918
1.3654
0.5703
1.1214
1.1214
1.1214
1.3658
1.0398
1.3232
0.9264
0.8833
1.1045
0.9668
0.9662
0.9509
0.8981
0.9123
0.9150
0.9150
0.9570
0.9755
23794
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 4A.—WAGE INDEX AND CAPITAL GEOGRAPHIC ADJUSTMENT FACTOR (GAF) FOR URBAN AREAS BY CBSA AND BY
STATE—FY 2009—Continued
[Constituent counties are listed in Table 4E.]
jlentini on PROD1PC65 with PROPOSALS2
CBSA Code
43780
43900
44060
44100
44140
44180
44220
44300
44700
44940
45060
45104
45220
45300
45460
45500
45500
45780
45820
45940
46060
46140
46220
46340
46540
46660
46700
47020
47220
47260
47260
47300
47380
47580
47644
47894
47894
47894
47894
47940
48140
48260
48260
48300
48424
48540
48540
48620
48660
48700
48864
48864
48864
48900
49020
49020
49180
49340
49420
49500
49620
49660
49660
49700
49740
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
VerDate Aug<31>2005
Urban area
State
South Bend-Mishawaka, IN-MI ......................................................................................................
Spartanburg, SC ............................................................................................................................
Spokane, WA .................................................................................................................................
Springfield, IL .................................................................................................................................
Springfield, MA ..............................................................................................................................
Springfield, MO ..............................................................................................................................
Springfield, OH ..............................................................................................................................
State College, PA ..........................................................................................................................
Stockton, CA ..................................................................................................................................
Sumter, SC ....................................................................................................................................
Syracuse, NY .................................................................................................................................
Tacoma, WA ..................................................................................................................................
Tallahassee, FL .............................................................................................................................
Tampa-St. Petersburg-Clearwater, FL ..........................................................................................
Terre Haute, IN ..............................................................................................................................
Texarkana, TX-Texarkana, AR ......................................................................................................
Texarkana, TX-Texarkana, AR ......................................................................................................
Toledo, OH ....................................................................................................................................
Topeka, KS ....................................................................................................................................
Trenton-Ewing, NJ .........................................................................................................................
Tucson, AZ ....................................................................................................................................
Tulsa, OK .......................................................................................................................................
Tuscaloosa, AL ..............................................................................................................................
Tyler, TX ........................................................................................................................................
Utica-Rome, NY .............................................................................................................................
Valdosta, GA ..................................................................................................................................
Vallejo-Fairfield, CA .......................................................................................................................
Victoria, TX ....................................................................................................................................
Vineland-Millville-Bridgeton, NJ .....................................................................................................
Virginia Beach-Norfolk-Newport News, VA ...................................................................................
Virginia Beach-Norfolk-Newport News, VA ...................................................................................
Visalia-Porterville, CA ....................................................................................................................
Waco, TX .......................................................................................................................................
Warner Robins, GA .......................................................................................................................
Warren-Troy-Farmington-Hills, MI .................................................................................................
Washington-Arlington-Alexandria, DC-VA-MD-WV .......................................................................
Washington-Arlington-Alexandria DC-VA-MD-WV ........................................................................
Washington-Arlington-Alexandria DC-VA-MD-WV ........................................................................
Washington-Arlington-Alexandria DC-VA-MD-WV ........................................................................
Waterloo-Cedar Falls, IA ...............................................................................................................
Wausau, WI ...................................................................................................................................
Weirton-Steubenville, WV-OH .......................................................................................................
Weirton-Steubenville, WV-OH .......................................................................................................
Wenatchee, WA .............................................................................................................................
West Palm Beach-Boca Raton-Boynton Beach, FL ......................................................................
Wheeling, WV-OH .........................................................................................................................
Wheeling, WV-OH .........................................................................................................................
Wichita, KS ....................................................................................................................................
Wichita Falls, TX ............................................................................................................................
Williamsport, PA ............................................................................................................................
Wilmington, DE-MD-NJ ..................................................................................................................
Wilmington, DE-MD-NJ ..................................................................................................................
Wilmington, DE-MD-NJ ..................................................................................................................
Wilmington, NC ..............................................................................................................................
Winchester, VA-WV .......................................................................................................................
Winchester, VA-WV .......................................................................................................................
Winston-Salem, NC .......................................................................................................................
Worcester, MA ...............................................................................................................................
Yakima, WA ...................................................................................................................................
Yauco, PR ......................................................................................................................................
York-Hanover, PA ..........................................................................................................................
Youngstown-Warren-Boardman, OH-PA .......................................................................................
Youngstown-Warren-Boardman, OH-PA .......................................................................................
Yuba City, CA ................................................................................................................................
Yuma, AZ .......................................................................................................................................
MI ......
SC .....
WA ....
IL .......
MA ....
MO ....
OH ....
PA .....
CA .....
SC .....
NY .....
WA ....
FL ......
FL ......
IN ......
AR .....
TX .....
OH ....
KS .....
NJ .....
AZ .....
OK .....
AL .....
TX .....
NY .....
GA .....
CA .....
TX .....
NJ .....
NC .....
VA .....
CA .....
TX .....
GA .....
MI ......
DC .....
MD ....
VA .....
WV ....
IA ......
WI .....
OH ....
WV ....
WA ....
FL ......
OH ....
WV ....
KS .....
TX .....
PA .....
DE .....
MD ....
NJ .....
NC .....
VA .....
WV ....
NC .....
MA ....
WA ....
PR .....
PA .....
OH ....
PA .....
CA .....
AZ .....
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30APP2
Wage
index
0.9651
0.9017
1.0514
0.9133
1.0343
0.8470
0.8629
0.8810
1.1822
0.8609
0.9865
1.1137
0.8981
0.8993
0.9130
0.8197
0.8195
0.9267
0.8873
1.1221
0.9442
0.8652
0.8695
0.8901
0.8721
0.8163
1.3974
0.8153
1.1221
0.8868
0.8869
1.1822
0.8703
0.9490
0.9972
1.0670
1.0670
1.0669
1.0647
0.9248
0.9823
0.8582
0.8011
1.0164
0.9631
0.8582
0.7635
0.8980
0.9175
0.8342
1.0645
1.0645
1.1221
0.9087
0.9771
0.9751
0.9096
1.0945
1.0164
0.3358
0.9666
0.8931
0.8930
1.1822
0.9903
GAF
0.9760
0.9316
1.0349
0.9398
1.0234
0.8925
0.9040
0.9169
1.1214
0.9025
0.9907
1.0765
0.9290
0.9299
0.9396
0.8727
0.8726
0.9492
0.9214
1.0821
0.9614
0.9056
0.9087
0.9234
0.9105
0.8702
1.2575
0.8695
1.0821
0.9210
0.9211
1.1214
0.9093
0.9648
0.9981
1.0454
1.0454
1.0453
1.0439
0.9479
0.9878
0.9006
0.8591
1.0112
0.9746
0.9006
0.8313
0.9290
0.9427
0.8833
1.0437
1.0437
1.0821
0.9365
0.9843
0.9829
0.9372
1.0638
1.0112
0.4737
0.9770
0.9255
0.9254
1.1214
0.9933
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23795
TABLE 4B.—WAGE INDEX AND CAPITAL GEOGRAPHIC ADJUSTMENT FACTOR (GAF) FOR RURAL AREAS BY CBSA AND BY
STATE—FY 2009
CBSA
code
01
02
03
04
05
06
07
08
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
46
47
49
50
51
52
53
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
Rural area
State
Wage index
GAF
Alabama .............................................................................................................................
Alaska .................................................................................................................................
Arizona ...............................................................................................................................
Arkansas ............................................................................................................................
California ............................................................................................................................
Colorado .............................................................................................................................
Connecticut ........................................................................................................................
Delaware ............................................................................................................................
Florida ................................................................................................................................
Georgia ...............................................................................................................................
Hawaii .................................................................................................................................
Idaho ..................................................................................................................................
Illinois .................................................................................................................................
Indiana ................................................................................................................................
Iowa ....................................................................................................................................
Kansas ...............................................................................................................................
Kentucky .............................................................................................................................
Louisiana ............................................................................................................................
Maine ..................................................................................................................................
Maryland .............................................................................................................................
Massachusetts ...................................................................................................................
Michigan .............................................................................................................................
Minnesota ...........................................................................................................................
Mississippi ..........................................................................................................................
Missouri ..............................................................................................................................
Montana .............................................................................................................................
Nebraska ............................................................................................................................
Nevada ...............................................................................................................................
New Hampshire ..................................................................................................................
New Jersey 1 ......................................................................................................................
New Mexico ........................................................................................................................
New York ............................................................................................................................
North Carolina ....................................................................................................................
North Dakota ......................................................................................................................
Ohio ....................................................................................................................................
Oklahoma ...........................................................................................................................
Oregon ...............................................................................................................................
Pennsylvania ......................................................................................................................
Puerto Rico 1 ......................................................................................................................
Rhode Island 1 ....................................................................................................................
South Carolina ...................................................................................................................
South Dakota .....................................................................................................................
Tennessee ..........................................................................................................................
Texas ..................................................................................................................................
Utah ....................................................................................................................................
Vermont ..............................................................................................................................
Virginia ...............................................................................................................................
Washington ........................................................................................................................
West Virginia ......................................................................................................................
Wisconsin ...........................................................................................................................
Wyoming ............................................................................................................................
AL .....
AK .....
AZ .....
AR .....
CA .....
CO ....
CT .....
DE .....
FL ......
GA .....
HI ......
ID ......
IL .......
IN ......
IA ......
KS .....
KY .....
LA .....
ME ....
MD ....
MA ....
MI ......
MN ....
MS ....
MO ....
MT .....
NE .....
NV .....
NH .....
NJ .....
NM ....
NY .....
NC .....
ND .....
OH ....
OK .....
OR ....
PA .....
PR .....
RI ......
SC .....
SD .....
TN .....
TX .....
UT .....
VT .....
VA .....
WA ....
WV ....
WI .....
WY ....
0.7647
1.1884
0.8857
0.7641
1.1822
0.9303
1.1897
1.0252
0.8633
0.7840
1.1219
0.7597
0.8428
0.8479
0.8709
0.8086
0.7837
0.7682
0.8609
0.8795
1.0199
0.8864
0.9120
0.7653
0.8470
0.8640
0.8761
0.9824
1.0807
1.1221
0.8858
0.8308
0.8632
0.7336
0.8582
0.8016
1.0298
0.8342
........................
........................
0.8609
0.8428
0.7957
0.8153
0.8395
0.9275
0.8061
1.0164
0.7635
0.9511
0.9223
0.8322
1.1255
0.9202
0.8317
1.1214
0.9517
1.1263
1.0172
0.9042
0.8465
1.0820
0.8284
0.8895
0.8932
0.9097
0.8646
0.8463
0.8348
0.9025
0.9158
1.0136
0.9207
0.9389
0.8326
0.8925
0.9047
0.9134
0.9879
1.0546
1.0821
0.9203
0.8808
0.9042
0.8088
0.9006
0.8595
1.0203
0.8833
........................
........................
0.9025
0.8895
0.8551
0.8695
0.8871
0.9498
0.8628
1.0112
0.8313
0.9662
0.9461
1 All counties in the State or Territory are classified as urban. The New Jersey floor is imputed as specified in § 412.64(h)(4) and discussed in
the FY 2005 IPPS final rule (69 FR 49109) and in section III.B.2 of the preamble of this proposed rule.
TABLE 4C.—WAGE INDEX AND CAPITAL GEOGRAPHIC ADJUSTMENT FACTOR (GAF) FOR HOSPITALS THAT ARE
RECLASSIFIED BY CBSA AND BY STATE—FY 2009
jlentini on PROD1PC65 with PROPOSALS2
CBSA
code
10420
10500
10500
10580
10740
10780
10900
11100
11100
.......
.......
.......
.......
.......
.......
.......
.......
.......
VerDate Aug<31>2005
Area
State
Akron, OH ...........................................................................................................................
Albany, GA .........................................................................................................................
Albany, GA .........................................................................................................................
Albany-Schenectady-Troy, NY ...........................................................................................
Albuquerque, NM ................................................................................................................
Alexandria, LA ....................................................................................................................
Allentown-Bethlehem-Easton, PA-NJ .................................................................................
Amarillo, TX ........................................................................................................................
Amarillo, TX ........................................................................................................................
OH ....
AL .....
GA .....
NY .....
NM ....
LA .....
PA .....
KS .....
TX .....
19:42 Apr 29, 2008
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30APP2
Wage index
0.8784
0.8397
0.8397
0.8833
0.9295
0.8127
0.9675
0.8885
0.8883
GAF
0.9150
0.8872
0.8872
0.9185
0.9512
0.8676
0.9776
0.9222
0.9221
23796
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 4C.—WAGE INDEX AND CAPITAL GEOGRAPHIC ADJUSTMENT FACTOR (GAF) FOR HOSPITALS THAT ARE
RECLASSIFIED BY CBSA AND BY STATE—FY 2009—Continued
jlentini on PROD1PC65 with PROPOSALS2
CBSA
code
11180
11260
11460
12060
12060
12420
12620
12940
13020
13644
13644
13644
13780
13820
13900
13980
14020
14260
14260
14484
14484
14600
14740
14860
15380
15540
15764
16180
16220
16580
16620
16700
16740
16740
16820
16860
16860
16860
16974
16974
16974
17140
17140
17300
17460
17660
17820
17860
17900
17980
17980
18140
18700
19124
19340
19340
19380
19740
19804
20100
20260
20500
20500
20764
21060
21140
21500
21660
21780
21780
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
VerDate Aug<31>2005
Area
State
Ames, IA .............................................................................................................................
Anchorage, AK ...................................................................................................................
Ann Arbor, MI .....................................................................................................................
Atlanta-Sandy Springs-Marietta, GA ..................................................................................
Atlanta-Sandy Springs-Marietta, GA ..................................................................................
Austin-Round Rock, TX ......................................................................................................
Bangor, ME .........................................................................................................................
Baton Rouge, LA ................................................................................................................
Bay City, MI ........................................................................................................................
Bethesda-Frederick-Gaithersburg, MD ...............................................................................
Bethesda-Frederick-Gaithersburg, MD ...............................................................................
Bethesda-Frederick-Gaithersburg, MD ...............................................................................
Binghamton, NY .................................................................................................................
Birmingham-Hoover, AL .....................................................................................................
Bismarck, ND ......................................................................................................................
Blacksburg-Christiansburg-Radford, VA .............................................................................
Bloomington, IN ..................................................................................................................
Boise City-Nampa, ID .........................................................................................................
Boise City-Nampa, ID .........................................................................................................
Boston-Quincy, MA .............................................................................................................
Boston-Quincy, MA .............................................................................................................
Bradenton-Sarasota-Venice, FL .........................................................................................
Bremerton-Silverdale, WA ..................................................................................................
Bridgeport-Stamford-Norwalk, CT ......................................................................................
Buffalo-Niagara Falls, NY ...................................................................................................
Burlington-South Burlington, VT .........................................................................................
Cambridge-Newton-Framingham, MA ................................................................................
Carson City, NV ..................................................................................................................
Casper, WY ........................................................................................................................
Champaign-Urbana, IL .......................................................................................................
Charleston, WV ..................................................................................................................
Charleston-North Charleston-Summerville, SC ..................................................................
Charlotte-Gastonia-Concord, NC-SC .................................................................................
Charlotte-Gastonia-Concord, NC-SC .................................................................................
Charlottesville, VA ..............................................................................................................
Chattanooga, TN-GA ..........................................................................................................
Chattanooga, TN-GA ..........................................................................................................
Chattanooga, TN-GA ..........................................................................................................
Chicago-Naperville-Joliet, IL ...............................................................................................
Chicago-Naperville-Joliet, IL ...............................................................................................
Chicago-Naperville-Joliet, IL ...............................................................................................
Cincinnati-Middletown, OH-KY-IN ......................................................................................
Cincinnati-Middletown, OH-KY-IN ......................................................................................
Clarksville, TN-KY ..............................................................................................................
Cleveland-Elyria-Mentor, OH ..............................................................................................
Coeur d’Alene, ID ...............................................................................................................
Colorado Springs, CO ........................................................................................................
Columbia, MO .....................................................................................................................
Columbia, SC .....................................................................................................................
Columbus, GA-AL ...............................................................................................................
Columbus, GA-AL ...............................................................................................................
Columbus, OH ....................................................................................................................
Corvallis, OR ......................................................................................................................
Dallas-Plano-Irving, TX .......................................................................................................
Davenport-Moline-Rock Island, IA-IL .................................................................................
Davenport-Moline-Rock Island, IA-IL .................................................................................
Dayton, OH .........................................................................................................................
Denver-Aurora, CO .............................................................................................................
Detroit-Livonia-Dearborn, MI ..............................................................................................
Dover, DE ...........................................................................................................................
Duluth, MN-WI ....................................................................................................................
Durham, NC ........................................................................................................................
Durham, NC ........................................................................................................................
Edison-New Brunswick, NJ ................................................................................................
Elizabethtown, KY ..............................................................................................................
Elkhart-Goshen, IN .............................................................................................................
Erie, PA ..............................................................................................................................
Eugene-Springfield, OR ......................................................................................................
Evansville, IN-KY ................................................................................................................
Evansville, IN-KY ................................................................................................................
IA ......
AK .....
MI ......
AL .....
GA .....
TX .....
ME ....
MS ....
MI ......
DC .....
PA .....
VA .....
PA .....
AL .....
ND .....
WV ....
IN ......
ID ......
NV .....
MA ....
RI ......
FL ......
WA ....
NY .....
NY .....
NY .....
NH .....
NV .....
SD .....
IL .......
WV ....
SC .....
NC .....
SC .....
VA .....
AL .....
GA .....
TN .....
IL .......
IN ......
WI .....
IN ......
OH ....
KY .....
OH ....
MT .....
CO ....
MO ....
SC .....
AL .....
GA .....
OH ....
OR ....
TX .....
IL .......
IA ......
OH ....
CO ....
MI ......
DE .....
MN ....
NC .....
VA .....
NJ .....
KY .....
IN ......
NY .....
OR ....
IN ......
KY .....
19:42 Apr 29, 2008
Jkt 214001
PO 00000
Frm 00270
Fmt 4701
Sfmt 4702
E:\FR\FM\30APP2.SGM
30APP2
Wage index
0.8881
1.1884
1.0113
0.9760
0.9760
0.9521
1.0115
0.8146
0.9472
1.1018
1.1006
1.1017
0.8560
0.8786
0.7336
0.7795
0.8791
0.9100
0.9824
1.1338
1.1338
0.9648
1.0576
1.2694
0.9593
0.9216
1.0807
0.9837
0.9618
0.8840
0.8398
0.9231
0.9570
0.9557
0.9449
0.8740
0.8740
0.8717
1.0334
1.0328
1.0315
0.9583
0.9581
0.8302
0.9266
0.8992
0.9738
0.8470
0.8984
0.8495
0.8495
0.9657
1.0572
0.9852
0.8606
0.8709
0.9321
1.0409
1.0052
1.0304
1.0401
0.9693
0.9694
1.1221
0.8230
0.9547
0.8420
1.1157
0.8479
0.8131
GAF
0.9219
1.1255
1.0077
0.9835
0.9835
0.9669
1.0079
0.8690
0.9635
1.0686
1.0678
1.0686
0.8990
0.9152
0.8088
0.8432
0.9155
0.9375
0.9879
1.0898
1.0898
0.9758
1.0391
1.1775
0.9719
0.9456
1.0546
0.9888
0.9737
0.9190
0.8873
0.9467
0.9704
0.9694
0.9619
0.9119
0.9119
0.9103
1.0228
1.0223
1.0215
0.9713
0.9711
0.8804
0.9491
0.9298
0.9820
0.8925
0.9293
0.8943
0.8943
0.9764
1.0388
0.9898
0.9023
0.9097
0.9530
1.0278
1.0036
1.0207
1.0273
0.9789
0.9789
1.0821
0.8751
0.9688
0.8889
1.0779
0.8932
0.8679
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23797
TABLE 4C.—WAGE INDEX AND CAPITAL GEOGRAPHIC ADJUSTMENT FACTOR (GAF) FOR HOSPITALS THAT ARE
RECLASSIFIED BY CBSA AND BY STATE—FY 2009—Continued
jlentini on PROD1PC65 with PROPOSALS2
CBSA
code
22020
22020
22180
22220
22220
22380
22420
22520
22520
22540
22660
22744
23020
23060
23104
23540
23844
24300
24340
24500
24540
24540
24580
24580
24660
24660
24780
24860
24860
25060
25420
25540
25540
25860
26180
26420
26580
26580
26580
26620
26620
26820
26820
26900
26980
27060
27140
27180
27180
27260
27260
27620
27780
27860
27860
27900
27900
28020
28140
28420
28420
28700
28700
28940
28940
29180
29460
29540
29620
29820
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
VerDate Aug<31>2005
Area
State
Fargo, ND-MN ....................................................................................................................
Fargo, ND-MN ....................................................................................................................
Fayetteville, NC ..................................................................................................................
Fayetteville-Springdale-Rogers, AR-MO ............................................................................
Fayetteville-Springdale-Rogers, AR-MO ............................................................................
Flagstaff, AZ .......................................................................................................................
Flint, MI ...............................................................................................................................
Florence-Muscle Shoals, AL ..............................................................................................
Florence-Muscle Shoals, AL ..............................................................................................
Fond du Lac, WI .................................................................................................................
Fort Collins-Loveland, CO ..................................................................................................
Ft Lauderdale-Pompano Beach-Deerfield Beach, FL ........................................................
Fort Walton Beach-Crestview-Destin, FL ...........................................................................
Fort Wayne, IN ...................................................................................................................
Fort Worth-Arlington, TX ....................................................................................................
Gainesville, FL ....................................................................................................................
Gary, IN ..............................................................................................................................
Grand Junction, CO ............................................................................................................
Grand Rapids-Wyoming, MI ...............................................................................................
Great Falls, MT ...................................................................................................................
Greeley, CO ........................................................................................................................
Greeley, CO ........................................................................................................................
Green Bay, WI ....................................................................................................................
Green Bay, WI ....................................................................................................................
Greensboro-High Point, NC ...............................................................................................
Greensboro-High Point, NC ...............................................................................................
Greenville, NC ....................................................................................................................
Greenville-Mauldin-Easley, SC ...........................................................................................
Greenville-Mauldin-Easley, SC ...........................................................................................
Gulfport-Biloxi, MS ..............................................................................................................
Harrisburg-Carlisle, PA .......................................................................................................
Hartford-West Hartford-East Hartford, CT ..........................................................................
Hartford-West Hartford-East Hartford, CT ..........................................................................
Hickory-Lenoir-Morganton, NC ...........................................................................................
Honolulu, HI ........................................................................................................................
Houston-Sugar Land-Baytown, TX .....................................................................................
Huntington-Ashland, WV-KY-OH ........................................................................................
Huntington-Ashland, WV-KY-OH ........................................................................................
Huntington-Ashland, WV-KY-OH ........................................................................................
Huntsville, AL ......................................................................................................................
Huntsville, AL ......................................................................................................................
Idaho Falls, ID ....................................................................................................................
Idaho Falls, ID ....................................................................................................................
Indianapolis-Carmel, IN ......................................................................................................
Iowa City, IA .......................................................................................................................
Ithaca, NY ...........................................................................................................................
Jackson, MS .......................................................................................................................
Jackson, TN ........................................................................................................................
Jackson, TN ........................................................................................................................
Jacksonville, FL ..................................................................................................................
Jacksonville, FL ..................................................................................................................
Jefferson City, MO ..............................................................................................................
Johnstown, PA ....................................................................................................................
Jonesboro, AR ....................................................................................................................
Jonesboro, AR ....................................................................................................................
Joplin, MO ..........................................................................................................................
Joplin, MO ..........................................................................................................................
Kalamazoo-Portage, MI ......................................................................................................
Kansas City, MO-KS ..........................................................................................................
Kennewick-Pasco-Richland, WA ........................................................................................
Kennewick-Pasco-Richland, WA ........................................................................................
Kingsport-Bristol-Bristol, TN-VA .........................................................................................
Kingsport-Bristol-Bristol, TN-VA .........................................................................................
Knoxville, TN ......................................................................................................................
Knoxville, TN ......................................................................................................................
Lafayette, LA ......................................................................................................................
Lakeland-Winter Haven, FL ................................................................................................
Lancaster, PA .....................................................................................................................
Lansing-East Lansing, MI ...................................................................................................
Las Vegas-Paradise, NV ....................................................................................................
ND .....
SD .....
NC .....
AR .....
OK .....
AZ .....
MI ......
AL .....
MS ....
WI .....
CO ....
FL ......
FL ......
IN ......
TX .....
FL ......
IN ......
CO ....
MI ......
MT .....
NE .....
WY ....
MI ......
WI .....
NC .....
VA .....
NC .....
NC .....
SC .....
MS ....
PA .....
CT .....
MA ....
NC .....
HI ......
TX .....
KY .....
OH ....
WV ....
AL .....
TN .....
ID ......
WY ....
IN ......
IA ......
NY .....
MS ....
MS ....
TN .....
FL ......
GA .....
MO ....
PA .....
AR .....
MO ....
KS .....
OK .....
MI ......
MO ....
ID ......
WA ....
KY .....
TN .....
KY .....
TN .....
LA .....
FL ......
PA .....
MI ......
AZ .....
19:42 Apr 29, 2008
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E:\FR\FM\30APP2.SGM
30APP2
Wage index
0.8212
0.8428
0.9567
0.8952
0.8950
1.1305
1.0810
0.7883
0.7883
0.9523
0.9581
1.0025
0.8633
0.9004
0.9684
0.9427
0.9320
0.9925
0.9305
0.8679
0.9611
0.9611
0.9412
0.9511
0.8984
0.8985
0.9174
0.9307
0.9294
0.8156
0.9185
1.1897
1.0972
0.8794
1.1608
0.9925
0.8767
0.8759
0.8748
0.8636
0.8614
0.9327
0.9327
0.9707
0.9107
0.9101
0.8095
0.8361
0.8339
0.9092
0.9112
0.8736
0.8342
0.8291
0.8470
0.9351
0.9349
1.0365
0.9444
0.9560
1.0164
0.7919
0.7957
0.7889
0.7957
0.8438
0.8715
0.9799
0.9652
1.1388
GAF
0.8738
0.8895
0.9701
0.9270
0.9268
1.0876
1.0548
0.8497
0.8497
0.9671
0.9711
1.0017
0.9042
0.9307
0.9783
0.9604
0.9529
0.9949
0.9519
0.9075
0.9732
0.9732
0.9594
0.9662
0.9293
0.9293
0.9427
0.9520
0.9511
0.8697
0.9434
1.1263
1.0656
0.9158
1.1075
0.9949
0.9138
0.9133
0.9125
0.9045
0.9029
0.9534
0.9534
0.9798
0.9380
0.9375
0.8653
0.8846
0.8830
0.9369
0.9383
0.9116
0.8833
0.8796
0.8925
0.9551
0.9549
1.0249
0.9616
0.9697
1.0112
0.8523
0.8551
0.8501
0.8551
0.8902
0.9101
0.9862
0.9760
1.0931
23798
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 4C.—WAGE INDEX AND CAPITAL GEOGRAPHIC ADJUSTMENT FACTOR (GAF) FOR HOSPITALS THAT ARE
RECLASSIFIED BY CBSA AND BY STATE—FY 2009—Continued
jlentini on PROD1PC65 with PROPOSALS2
CBSA
code
29820
30460
30620
30700
30780
30860
30980
31084
31140
31340
31420
31540
31700
32780
32820
32820
32820
33124
33340
33460
33460
33540
33700
33740
33740
33860
34060
34740
34820
34820
34980
34980
35004
35084
35084
35084
35300
35380
35644
35644
35644
35980
36084
36140
36220
36220
36420
36500
36740
37460
37700
37764
37860
37900
37964
37964
37964
38220
38300
38300
38300
38340
38340
38860
38900
38900
38940
39100
39140
39340
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
VerDate Aug<31>2005
Area
State
Las Vegas-Paradise, NV ....................................................................................................
Lexington-Fayette, KY ........................................................................................................
Lima, OH ............................................................................................................................
Lincoln, NE .........................................................................................................................
Little Rock-North Little Rock-Conway, AR .........................................................................
Logan, UT-ID ......................................................................................................................
Longview, TX ......................................................................................................................
Los Angeles-Long Beach-Glendale, CA ............................................................................
Louisville-Jefferson County, KY-IN .....................................................................................
Lynchburg, VA ....................................................................................................................
Macon, GA ..........................................................................................................................
Madison, WI ........................................................................................................................
Manchester-Nashua, NH ....................................................................................................
Medford, OR .......................................................................................................................
Memphis, TN-MS-AR .........................................................................................................
Memphis, TN-MS-AR .........................................................................................................
Memphis, TN-MS-AR .........................................................................................................
Miami-Miami Beach-Kendall, FL ........................................................................................
Milwaukee-Waukesha-West Allis, WI .................................................................................
Minneapolis-St. Paul-Bloomington, MN-WI ........................................................................
Minneapolis-St. Paul-Bloomington, MN-WI ........................................................................
Missoula, MT ......................................................................................................................
Modesto, CA .......................................................................................................................
Monroe, LA .........................................................................................................................
Monroe, LA .........................................................................................................................
Montgomery, AL .................................................................................................................
Morgantown, WV ................................................................................................................
Muskegon-Norton Shores, MI ............................................................................................
Myrtle Beach-North Myrtle Beach-Conway, SC .................................................................
Myrtle Beach-North Myrtle Beach-Conway, SC .................................................................
Nashville-Davidson-Murfreesboro-Franklin, TN .................................................................
Nashville-Davidson-Murfreesboro-Franklin, TN .................................................................
Nassau-Suffolk, NY ............................................................................................................
Newark-Union, NJ-PA ........................................................................................................
Newark-Union, NJ-PA ........................................................................................................
Newark-Union, NJ-PA ........................................................................................................
New Haven-Milford, CT ......................................................................................................
New Orleans-Metairie-Kenner, LA .....................................................................................
New York-White Plains-Wayne, NY-NJ .............................................................................
New York-White Plains-Wayne, NY-NJ .............................................................................
New York-White Plains-Wayne, NY-NJ .............................................................................
Norwich-New London, CT ..................................................................................................
Oakland-Fremont-Hayward, CA .........................................................................................
Ocean City, NJ ...................................................................................................................
Odessa, TX .........................................................................................................................
Odessa, TX .........................................................................................................................
Oklahoma City, OK .............................................................................................................
Olympia, WA .......................................................................................................................
Orlando-Kissimmee, FL ......................................................................................................
Panama City-Lynn Haven, FL ............................................................................................
Pascagoula, MS .................................................................................................................
Peabody, MA ......................................................................................................................
Pensacola-Ferry Pass-Brent, FL ........................................................................................
Peoria, IL ............................................................................................................................
Philadelphia, PA .................................................................................................................
Philadelphia, PA .................................................................................................................
Philadelphia, PA .................................................................................................................
Pine Bluff, AR .....................................................................................................................
Pittsburgh, PA .....................................................................................................................
Pittsburgh, PA .....................................................................................................................
Pittsburgh, PA .....................................................................................................................
Pittsfield, MA .......................................................................................................................
Pittsfield, MA .......................................................................................................................
Portland-South Portland-Biddeford, ME .............................................................................
Portland-Vancouver-Beaverton, OR-WA ............................................................................
Portland-Vancouver-Beaverton, OR-WA ............................................................................
Port St. Lucie, FL ...............................................................................................................
Poughkeepsie-Newburgh-Middletown, NY .........................................................................
Prescott, AZ ........................................................................................................................
Provo-Orem, UT .................................................................................................................
UT .....
KY .....
OH ....
NE .....
AR .....
UT .....
TX .....
CA .....
KY .....
VA .....
GA .....
WI .....
NH .....
OR ....
AR .....
MS ....
TN .....
FL ......
WI .....
MN ....
WI .....
MT .....
CA .....
AR .....
LA .....
AL .....
WV ....
MI ......
NC .....
SC .....
KY .....
TN .....
CT .....
NJ .....
NY .....
PA .....
CT .....
LA .....
CT .....
NJ .....
NY .....
RI ......
CA .....
DE .....
NM ....
TX .....
OK .....
WA ....
FL ......
AL .....
AL .....
NH .....
AL .....
IL .......
DE .....
NJ .....
PA .....
MS ....
OH ....
PA .....
WV ....
NY .....
VT .....
ME ....
OR ....
WA ....
FL ......
NY .....
AZ .....
UT .....
19:42 Apr 29, 2008
Jkt 214001
PO 00000
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E:\FR\FM\30APP2.SGM
30APP2
Wage index
1.1388
0.8756
0.9299
0.9336
0.8650
0.8827
0.8666
1.1822
0.9123
0.8646
0.9618
1.1014
1.0807
1.0298
0.8909
0.8909
0.8886
0.9865
1.0026
1.0997
1.0976
0.8909
1.1963
0.7789
0.7785
0.8192
0.8631
0.9455
0.8632
0.8609
0.9276
0.9252
1.2038
1.1316
1.1461
1.1449
1.1897
0.9140
1.2391
1.2693
1.2855
1.1587
1.5278
1.0909
0.9273
0.9283
0.8686
1.1297
0.9073
0.8322
0.8030
1.0807
0.8115
0.9043
1.0799
1.1221
1.0788
0.8150
0.8582
0.8579
0.8569
0.9901
0.9275
0.9644
1.1204
1.1186
0.9741
1.0709
1.0011
0.9052
GAF
1.0931
0.9130
0.9514
0.9540
0.9055
0.9181
0.9066
1.1214
0.9391
0.9052
0.9737
1.0684
1.0546
1.0203
0.9239
0.9239
0.9223
0.9907
1.0018
1.0672
1.0659
0.9239
1.1306
0.8427
0.8424
0.8723
0.9041
0.9623
0.9042
0.9025
0.9498
0.9482
1.1354
1.0884
1.0979
1.0971
1.1263
0.9403
1.1581
1.1774
1.1877
1.1061
1.3367
1.0614
0.9496
0.9503
0.9080
1.0871
0.9356
0.8818
0.8605
1.0546
0.8667
0.9334
1.0540
1.0821
1.0533
0.8693
0.9006
0.9004
0.8996
0.9932
0.9498
0.9755
1.0810
1.0798
0.9822
1.0480
1.0008
0.9341
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23799
TABLE 4C.—WAGE INDEX AND CAPITAL GEOGRAPHIC ADJUSTMENT FACTOR (GAF) FOR HOSPITALS THAT ARE
RECLASSIFIED BY CBSA AND BY STATE—FY 2009—Continued
jlentini on PROD1PC65 with PROPOSALS2
CBSA
code
Area
State
39580 .......
39740 .......
39820 .......
39900 .......
40060 .......
40140 .......
40220 .......
40220 .......
40380 .......
40420 .......
40484 .......
40660 .......
40900 .......
40980 .......
41060 .......
41100 .......
41140 .......
41180 .......
41180 .......
41620 .......
41700 .......
41884 .......
41940 .......
42044 .......
42100 .......
42140 .......
42220 .......
42340 .......
42340 .......
42644 .......
43300 .......
43340 .......
43580 .......
43620 .......
43780 .......
43900 .......
44060 .......
44180 .......
44180 .......
44940 .......
45060 .......
45220 .......
45300 .......
45500 .......
45780 .......
45820 .......
46140 .......
46220 .......
46340 .......
46700 .......
47260 .......
47644 .......
47894 .......
47940 .......
48140 .......
48620 .......
48620 .......
48700 .......
48864 .......
48864 .......
48900 .......
49180 .......
49340 .......
49660 .......
49660 .......
04 .............
05 .............
10 .............
14 .............
14 .............
Raleigh-Cary, NC ...............................................................................................................
Reading, PA .......................................................................................................................
Redding, CA .......................................................................................................................
Reno-Sparks, NV ................................................................................................................
Richmond, VA .....................................................................................................................
Riverside-San Bernardino-Ontario, CA ..............................................................................
Roanoke, VA ......................................................................................................................
Roanoke, VA ......................................................................................................................
Rochester, NY ....................................................................................................................
Rockford, IL ........................................................................................................................
Rockingham County-Strafford County, NH ........................................................................
Rome, GA ...........................................................................................................................
Sacramento—Arden-Arcade—Roseville, CA .....................................................................
Saginaw-Saginaw Township North, MI ..............................................................................
St. Cloud, MN .....................................................................................................................
St. George, UT ...................................................................................................................
St. Joseph, MO-KS .............................................................................................................
St. Louis, MO-IL .................................................................................................................
St. Louis, MO-IL .................................................................................................................
Salt Lake City, UT ..............................................................................................................
San Antonio, TX .................................................................................................................
San Francisco-San Mateo-Redwood City, CA ...................................................................
San Jose-Sunnyvale-Santa Clara, CA ...............................................................................
Santa Ana-Anaheim-Irvine, CA ..........................................................................................
Santa Cruz-Watsonville, CA ...............................................................................................
Santa Fe, NM .....................................................................................................................
Santa Rosa-Petaluma, CA .................................................................................................
Savannah, GA ....................................................................................................................
Savannah, GA ....................................................................................................................
Seattle-Bellevue-Everett, WA .............................................................................................
Sherman-Denison, TX ........................................................................................................
Shreveport-Bossier City, LA ...............................................................................................
Sioux City, IA-NE-SD .........................................................................................................
Sioux Falls, SD ...................................................................................................................
South Bend-Mishawaka, IN-MI ...........................................................................................
Spartanburg, SC .................................................................................................................
Spokane, WA ......................................................................................................................
Springfield, MO ...................................................................................................................
Springfield, MO ...................................................................................................................
Sumter, SC .........................................................................................................................
Syracuse, NY ......................................................................................................................
Tallahassee, FL ..................................................................................................................
Tampa-St. Petersburg-Clearwater, FL ...............................................................................
Texarkana, TX-Texarkana, AR ...........................................................................................
Toledo, OH .........................................................................................................................
Topeka, KS .........................................................................................................................
Tulsa, OK ............................................................................................................................
Tuscaloosa, AL ...................................................................................................................
Tyler, TX .............................................................................................................................
Vallejo-Fairfield, CA ............................................................................................................
Virginia Beach-Norfolk-Newport News, VA ........................................................................
Warren-Troy-Farmington-Hills, MI ......................................................................................
Washington-Arlington-Alexandria, DC-VA ..........................................................................
Waterloo-Cedar Falls, IA ....................................................................................................
Wausau, WI ........................................................................................................................
Wichita, KS .........................................................................................................................
Wichita, KS .........................................................................................................................
Williamsport, PA .................................................................................................................
Wilmington, DE-MD-NJ ......................................................................................................
Wilmington, DE-MD-NJ ......................................................................................................
Wilmington, NC ...................................................................................................................
Winston-Salem, NC ............................................................................................................
Worcester, MA ....................................................................................................................
Youngstown-Warren-Boardman, OH-PA ............................................................................
Youngstown-Warren-Boardman, OH-PA ............................................................................
Arkansas .............................................................................................................................
California .............................................................................................................................
Florida .................................................................................................................................
Illinois ..................................................................................................................................
Illinois ..................................................................................................................................
NC .....
PA .....
CA .....
NV .....
VA .....
AZ .....
VA .....
WV ....
NY .....
IL .......
ME ....
AL .....
CA .....
MI ......
MN ....
UT .....
MO ....
IL .......
MO ....
UT .....
TX .....
CA .....
CA .....
CA .....
CA .....
NM ....
CA .....
GA .....
SC .....
WA ....
OK .....
LA .....
NE .....
SD .....
IN ......
SC .....
ID ......
AR .....
MO ....
SC .....
NY .....
GA .....
FL ......
AR .....
OH ....
KS .....
OK .....
MS ....
TX .....
CA .....
NC .....
MI ......
VA .....
IA ......
WI .....
KS .....
OK .....
PA .....
DE .....
NJ .....
SC .....
NC .....
NH .....
OH ....
PA .....
LA .....
CA .....
FL ......
IL .......
KY .....
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
PO 00000
Frm 00273
Fmt 4701
Sfmt 4702
E:\FR\FM\30APP2.SGM
30APP2
Wage index
0.9557
0.9204
1.2730
1.0476
0.9203
1.1254
0.8750
0.8732
0.8911
0.9756
1.0007
0.9524
1.2710
0.8864
1.0638
0.9228
1.0267
0.8993
0.8986
0.9271
0.8949
1.4879
1.5758
1.1822
1.5766
1.0207
1.4497
0.8841
0.8827
1.1377
0.9291
0.8547
0.8761
0.9262
0.9353
0.9017
1.0315
0.8477
0.8470
0.8609
0.9471
0.8397
0.8993
0.8093
0.9267
0.8720
0.8652
0.8280
0.8901
1.3974
0.8868
0.9972
1.0669
0.9248
0.9823
0.8785
0.8784
0.8342
1.0645
1.1221
0.9074
0.9096
1.0807
0.8582
0.8559
0.7682
1.1822
0.8633
0.8428
0.8320
GAF
0.9694
0.9448
1.1797
1.0324
0.9447
1.0843
0.9126
0.9113
0.9241
0.9832
1.0005
0.9672
1.1785
0.9207
1.0433
0.9465
1.0182
0.9299
0.9294
0.9495
0.9268
1.3127
1.3654
1.1214
1.3658
1.0141
1.2896
0.9191
0.9181
1.0924
0.9509
0.8981
0.9134
0.9489
0.9552
0.9316
1.0215
0.8930
0.8925
0.9025
0.9635
0.8872
0.9299
0.8651
0.9492
0.9105
0.9056
0.8788
0.9234
1.2575
0.9210
0.9981
1.0453
0.9479
0.9878
0.9151
0.9150
0.8833
1.0437
1.0821
0.9356
0.9372
1.0546
0.9006
0.8989
0.8348
1.1214
0.9042
0.8895
0.8817
23800
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 4C.—WAGE INDEX AND CAPITAL GEOGRAPHIC ADJUSTMENT FACTOR (GAF) FOR HOSPITALS THAT ARE
RECLASSIFIED BY CBSA AND BY STATE—FY 2009—Continued
CBSA
code
14
16
17
22
23
25
26
30
33
34
36
37
38
39
39
44
44
45
49
49
50
53
Area
Illinois ..................................................................................................................................
Iowa ....................................................................................................................................
Kansas ................................................................................................................................
Massachusetts ....................................................................................................................
Michigan .............................................................................................................................
Mississippi ..........................................................................................................................
Missouri ..............................................................................................................................
New Hampshire ..................................................................................................................
New York ............................................................................................................................
North Carolina ....................................................................................................................
Ohio ....................................................................................................................................
Oklahoma ...........................................................................................................................
Oregon ................................................................................................................................
Pennsylvania ......................................................................................................................
Pennsylvania ......................................................................................................................
Tennessee ..........................................................................................................................
Tennessee ..........................................................................................................................
Texas ..................................................................................................................................
Virginia ................................................................................................................................
Virginia ................................................................................................................................
Washington .........................................................................................................................
Wyoming .............................................................................................................................
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
State
MO ....
MO ....
KS .....
MA ....
MI ......
MS ....
MO ....
VT .....
NY .....
TN .....
OH ....
OK .....
OR ....
NY .....
PA .....
KY .....
TN .....
TX .....
KY .....
VA .....
WA ....
NE .....
TABLE 4D–1.—RURAL FLOOR BUDGET
NEUTRALITY FACTORS—FY 2009
Rural floor
budget
neutrality
ajustment
factor
State
Alabama ................................
Alaska ...................................
Arizona ..................................
Arkansas ...............................
California ...............................
Colorado ...............................
Connecticut ...........................
Delaware ...............................
Washington, DC ...................
Florida ...................................
Georgia .................................
Hawaii ...................................
Idaho .....................................
Illinois ....................................
Indiana ..................................
Iowa ......................................
Kansas ..................................
Kentucky ...............................
Louisiana ..............................
Maine ....................................
Maryland ...............................
1.00000
0.99734
1.00000
1.00000
0.98552
0.99683
0.96390
1.00000
1.00000
0.99781
1.00000
1.00000
1.00000
0.99993
0.99928
0.99572
1.00000
1.00000
0.99945
1.00000
........................
TABLE 4D–1.—RURAL FLOOR BUDGET
NEUTRALITY FACTORS—FY 2009—
Continued
Massachusetts ......................
Michigan ...............................
Minnesota .............................
Mississippi ............................
Missouri ................................
Montana ................................
Nebraska ..............................
Nevada .................................
New Hampshire ....................
New Jersey ...........................
New Mexico ..........................
New York ..............................
North Carolina ......................
North Dakota ........................
Ohio ......................................
Oklahoma .............................
Oregon ..................................
Pennsylvania ........................
Puerto Rico ...........................
0.8470
0.8738
0.8086
1.0199
0.8864
0.7653
0.8470
0.9297
0.8308
0.8611
0.8582
0.8016
1.0298
0.8351
0.8342
0.7978
0.7957
0.8153
0.8062
0.8061
1.0164
0.9223
0.8925
0.9118
0.8646
1.0136
0.9207
0.8326
0.8925
0.9513
0.8808
0.9027
0.9006
0.8595
1.0203
0.8839
0.8833
0.8567
0.8551
0.8695
0.8628
0.8628
1.0112
0.9461
Rural floor
budget
neutrality
ajustment
factor
State
1.00000
1.00000
1.00000
1.00000
0.99910
1.00000
1.00000
1.00000
0.97787
0.98738
0.99875
1.00000
0.99983
0.99424
0.99906
0.99983
0.99955
0.99895
1.00000
GAF
TABLE 4D–1.—RURAL FLOOR BUDGET
NEUTRALITY FACTORS—FY 2009—
Continued
Rural floor
budget
neutrality
ajustment
factor
State
Wage index
Rhode Island ........................
South Carolina ......................
South Dakota ........................
Tennessee ............................
Texas ....................................
Utah ......................................
Vermont ................................
Virginia ..................................
Washington ...........................
West Virginia ........................
Wisconsin .............................
Wyoming ...............................
1.00000
0.99840
1.00000
0.99741
0.99980
1.00000
0.90100
0.99991
0.99791
0.99782
0.99809
1.00000
* Maryland
hospitals,
under
section
1814(b)(3) of the Act, are waived from the
IPPS ratesetting. Therefore, the rural floor
budget neutrality adjustment does not apply.
** The rural floor budget neutrality factor for
New Jersey is based on an imputed floor (see
Table 4B).
TABLE 4D–2.—URBAN AREAS WITH HOSPITALS RECEIVING THE STATEWIDE RURAL FLOOR OR IMPUTED FLOOR WAGE
INDEX—FY 2009
[*Only hospitals that are geographically located in the specified State receive the State’s rural or imputed floor wage index.]
jlentini on PROD1PC65 with PROPOSALS2
CBSA code
10900
11020
11260
11540
12220
12540
13900
15500
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
VerDate Aug<31>2005
Urban area
State *
Allentown-Bethlehem-Easton, PA–NJ ................................................
Altoona, PA .........................................................................................
Anchorage, AK ...................................................................................
Appleton, WI .......................................................................................
Auburn-Opelika, AL ............................................................................
Bakersfield, CA ...................................................................................
Bismarck, ND ......................................................................................
Burlington, NC ....................................................................................
NJ ...............................
PA ..............................
AK ..............................
WI ...............................
AL ...............................
CA ..............................
ND ..............................
NC ..............................
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30APP2
Rural or imputed floor
wage index
1.1221
0.8342
1.1884
0.9511
0.7647
1.1822
0.7336
0.8632
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23801
TABLE 4D–2.—URBAN AREAS WITH HOSPITALS RECEIVING THE STATEWIDE RURAL FLOOR OR IMPUTED FLOOR WAGE
INDEX—FY 2009—Continued
[*Only hospitals that are geographically located in the specified State receive the State’s rural or imputed floor wage index.]
jlentini on PROD1PC65 with PROPOSALS2
CBSA code
15540
15804
16940
17020
17860
19060
19060
19340
19500
20220
20764
20940
21820
22020
22140
22500
22900
23420
24220
24580
25260
25540
25620
27340
27780
28420
28700
28700
28940
29340
29740
30300
31460
31700
32780
34100
34580
34620
35300
35980
36100
36780
37100
37460
37620
37860
39380
39540
40140
40484
41740
42020
42044
42060
42540
43100
44180
44700
44940
45940
47020
47220
47300
48260
48300
48540
48540
48700
48864
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
.........................
VerDate Aug<31>2005
Urban area
State *
Burlington-South Burlington, VT .........................................................
Camden, NJ ........................................................................................
Cheyenne, WY ...................................................................................
Chico, CA ...........................................................................................
Columbia, MO .....................................................................................
Cumberland, MD–WV .........................................................................
Cumberland, MD–WV .........................................................................
Davenport-Moline-Rock Island, IA–IL .................................................
Decatur, IL ..........................................................................................
Dubuque, IA ........................................................................................
Edison-New Brunswick, NJ ................................................................
El Centro, CA .....................................................................................
Fairbanks, AK .....................................................................................
Fargo, ND–MN ...................................................................................
Farmington, NM ..................................................................................
Florence, SC .......................................................................................
Fort Smith, AR–OK .............................................................................
Fresno, CA .........................................................................................
Grand Forks, ND–MN .........................................................................
Green Bay, WI ....................................................................................
Hanford-Corcoran, CA ........................................................................
Hartford-West Hartford-East Hartford, CT ..........................................
Hattiesburg, MS ..................................................................................
Jacksonville, NC .................................................................................
Johnstown, PA ....................................................................................
Kennewick-Pasco-Richland, WA ........................................................
Kingsport-Bristol-Bristol, TN–VA ........................................................
Kingsport-Bristol-Bristol, TN–VA ........................................................
Knoxville, TN ......................................................................................
Lake Charles, LA ................................................................................
Las Cruces, NM ..................................................................................
Lewiston, ID–WA ................................................................................
Madera, CA ........................................................................................
Manchester-Nashua, NH ....................................................................
Medford, OR .......................................................................................
Morristown, TN ...................................................................................
Mount Vernon-Anacortes, WA ............................................................
Muncie, IN ..........................................................................................
New Haven-Milford, CT ......................................................................
Norwich-New London, CT ..................................................................
Ocala, FL ............................................................................................
Oshkosh-Neenah, WI .........................................................................
Oxnard-Thousand Oaks-Ventura, CA ................................................
Panama City-Lynn Haven, FL ............................................................
Parkersburg-Marietta-Vienna, WV–OH ..............................................
Pensacola-Ferry Pass-Brent, FL ........................................................
Pueblo, CO .........................................................................................
Racine, WI ..........................................................................................
Riverside-San Bernardino-Ontario, CA ..............................................
Rockingham County-Strafford County, NH ........................................
San Diego-Carlsbad-San Marcos, CA ...............................................
San Luis Obispo-Paso Robles, CA ....................................................
Santa Ana-Anaheim-Irvine, CA ..........................................................
Santa Barbara-Santa Maria-Goleta, CA .............................................
Scranton-Wilkes-Barre, PA .................................................................
Sheboygan, WI ...................................................................................
Springfield, MO ...................................................................................
Stockton, CA .......................................................................................
Sumter, SC .........................................................................................
Trenton-Ewing, NJ ..............................................................................
Victoria, TX .........................................................................................
Vineland-Millville-Bridgeton, NJ ..........................................................
Visalia-Porterville, CA .........................................................................
Weirton-Steubenville, WV–OH ...........................................................
Wenatchee, WA ..................................................................................
Wheeling, WV–OH .............................................................................
Wheeling, WV–OH .............................................................................
Williamsport, PA .................................................................................
Wilmington, DE–MD–NJ .....................................................................
VT ..............................
NJ ...............................
WY .............................
CA ..............................
MO .............................
MD .............................
WV .............................
IA ................................
IL ................................
IA ................................
NJ ...............................
CA ..............................
AK ..............................
MN .............................
NM .............................
SC ..............................
OK ..............................
CA ..............................
MN .............................
WI ...............................
CA ..............................
CT ..............................
MS ..............................
NC ..............................
PA ..............................
WA .............................
TN ..............................
VA ..............................
TN ..............................
LA ...............................
NM .............................
WA .............................
CA ..............................
NH ..............................
OR ..............................
TN ..............................
WA .............................
IN ...............................
CT ..............................
CT ..............................
FL ...............................
WI ...............................
CA ..............................
FL ...............................
OH ..............................
FL ...............................
CO ..............................
WI ...............................
CA ..............................
NH ..............................
CA ..............................
CA ..............................
CA ..............................
CA ..............................
PA ..............................
WI ...............................
MO .............................
CA ..............................
SC ..............................
NJ ...............................
TX ..............................
NJ ...............................
CA ..............................
OH ..............................
WA .............................
OH ..............................
WV .............................
PA ..............................
NJ ...............................
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Fmt 4701
Sfmt 4702
E:\FR\FM\30APP2.SGM
30APP2
Rural or imputed floor
wage index
0.9275
1.1221
0.9223
1.1822
0.8470
0.8795
0.7635
0.8709
0.8428
0.8709
1.1221
1.1822
1.1884
0.9120
0.8858
0.8609
0.8016
1.1822
0.9120
0.9511
1.1822
1.1897
0.7653
0.8632
0.8342
1.0164
0.7957
0.8061
0.7957
0.7682
0.8858
1.0164
1.1822
1.0807
1.0298
0.7957
1.0164
0.8479
1.1897
1.1897
0.8633
0.9511
1.1822
0.8633
0.8582
0.8633
0.9303
0.9511
1.1822
1.0807
1.1822
1.1822
1.1822
1.1822
0.8342
0.9511
0.8470
1.1822
0.8609
1.1221
0.8153
1.1221
1.1822
0.8582
1.0164
0.8582
0.7635
0.8342
1.1221
23802
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 4D–2.—URBAN AREAS WITH HOSPITALS RECEIVING THE STATEWIDE RURAL FLOOR OR IMPUTED FLOOR WAGE
INDEX—FY 2009—Continued
[*Only hospitals that are geographically located in the specified State receive the State’s rural or imputed floor wage index.]
Rural or imputed floor
wage index
CBSA code
Urban area
State *
49420 .........................
49700 .........................
Yakima, WA ........................................................................................
Yuba City, CA .....................................................................................
WA .............................
CA ..............................
TABLE 4E.—URBAN CBSAS AND
CONSTITUENT COUNTIES—FY 2009
CBSA
code
Urban area
(constituent counties)
10180 ......
Abilene, TX
Callahan County, TX
Jones County, TX
Taylor County, TX
´
Aguadilla-Isabela-San Sebastian,
PR
Aguada Municipio, PR
Aguadilla Municipio, PR
˜
Anasco Municipio, PR
Isabela Municipio, PR
Lares Municipio, PR
Moca Municipio, PR
´
Rincon Municipio, PR
´
San Sebastian Municipio, PR
Akron, OH
Portage County, OH
Summit County, OH
Albany, GA
Baker County, GA
Dougherty County, GA
Lee County, GA
Terrell County, GA
Worth County, GA
Albany-Schenectady-Troy, NY
Albany County, NY
Rensselaer County, NY
Saratoga County, NY
Schenectady County, NY
Schoharie County, NY
Albuquerque, NM
Bernalillo County, NM
Sandoval County, NM
Torrance County, NM
Valencia County, NM
Alexandria, LA
Grant Parish, LA
Rapides Parish, LA
Allentown-Bethlehem-Easton,
PA-NJ
Warren County, NJ
Carbon County, PA
Lehigh County, PA
Northampton County, PA
Altoona, PA
Blair County, PA
Amarillo, TX
Armstrong County, TX
Carson County, TX
Potter County, TX
Randall County, TX
Ames, IA
Story County, IA
Anchorage, AK
Anchorage Municipality, AK
Matanuska-SusitnaBorough,
AK
Anderson, IN
Madison County, IN
Anderson, SC
10380 ......
10420 ......
10500 ......
10580 ......
10740 ......
10780 ......
10900 ......
11020 ......
11100 ......
jlentini on PROD1PC65 with PROPOSALS2
11180 ......
11260 ......
11300 ......
11340 ......
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
TABLE 4E.—URBAN CBSAS AND CONSTITUENT COUNTIES—FY 2009—
Continued
CBSA
code
11460 ......
11500 ......
11540 ......
11700 ......
12020 ......
12060 ......
12100 ......
12220 ......
12260 ......
PO 00000
Frm 00276
Urban area
(constituent counties)
Anderson County, SC
Ann Arbor, MI
Washtenaw County, MI
Anniston-Oxford, AL
Calhoun County, AL
Appleton, WI
Calumet County, WI
Outagamie County, WI
Asheville, NC
Buncombe County, NC
Haywood County, NC
Henderson County, NC
Madison County, NC
Athens-Clarke County, GA
Clarke County, GA
Madison County, GA
Oconee County, GA
Oglethorpe County, GA
1 Atlanta-Sandy Springs-Marietta,
GA
Barrow County, GA
Bartow County, GA
Butts County, GA
Carroll County, GA
Cherokee County, GA
Clayton County, GA
Cobb County, GA
Coweta County, GA
Dawson County, GA
DeKalb County, GA
Douglas County, GA
Fayette County, GA
Forsyth County, GA
Fulton County, GA
Gwinnett County, GA
Haralson County, GA
Heard County, GA
Henry County, GA
Jasper County, GA
Lamar County, GA
Meriwether County, GA
Newton County, GA
Paulding County, GA
Pickens County, GA
Pike County, GA
Rockdale County, GA
Spalding County, GA
Walton County, GA
Atlantic City-Hammonton, NJ
Atlantic County, NJ
Hammonton County, NJ
Auburn-Opelika, AL
Lee County, AL
Augusta-Richmond County, GASC
Burke County, GA
Columbia County, GA
McDuffie County, GA
Fmt 4701
Sfmt 4702
1.0164
1.1822
TABLE 4E.—URBAN CBSAS AND CONSTITUENT COUNTIES—FY 2009—
Continued
CBSA
code
12420 ......
12540 ......
12580 ......
12620 ......
12700 ......
12940 ......
12980 ......
13020 ......
13140 ......
13380 ......
13460 ......
13644 ......
13740 ......
13780 ......
13820 ......
E:\FR\FM\30APP2.SGM
Urban area
(constituent counties)
Richmond County, GA
Aiken County, SC
Edgefield County, SC
1 Austin-Round Rock, TX
Bastrop County, TX
Caldwell County, TX
Hays County, TX
Travis County, TX
Williamson County, TX
Bakersfield, CA
Kern County, CA
1 Baltimore-Towson, MD
Anne Arundel County, MD
Baltimore County, MD
Carroll County, MD
Harford County, MD
Howard County, MD
Queen Anne’s County, MD
Baltimore City, MD
Bangor, ME
Penobscot County, ME
Barnstable Town, MA
Barnstable County, MA
Baton Rouge, LA
Ascension Parish, LA
East Baton Rouge Parish, LA
East Feliciana Parish, LA
Iberville Parish, LA
Livingston Parish, LA
Pointe Coupee Parish, LA
St. Helena Parish, LA
West Baton Rouge Parish, LA
West Feliciana Parish, LA
Battle Creek, MI
Calhoun County, MI
Bay City, MI
Bay County, MI
Beaumont-Port Arthur, TX
Hardin County, TX
Jefferson County, TX
Orange County, TX
Bellingham, WA
Whatcom County, WA
Bend, OR
Deschutes County, OR
1 Bethesda-Frederick-Gaithersburg, MD
Frederick County, MD
Montgomery County, MD
Billings, MT
Carbon County, MT
Yellowstone County, MT
Binghamton, NY
Broome County, NY
Tioga County, NY
1 Birmingham-Hoover, AL
Bibb County, AL
Blount County, AL
30APP2
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 4E.—URBAN CBSAS AND CONSTITUENT COUNTIES—FY 2009—
Continued
CBSA
code
13900 ......
13980 ......
14020 ......
14060 ......
14260 ......
14484 ......
14500 ......
14540 ......
14600 ......
14740 ......
14860 ......
15180 ......
15260 ......
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15500 ......
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15804 ......
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VerDate Aug<31>2005
TABLE 4E.—URBAN CBSAS AND CONSTITUENT COUNTIES—FY 2009—
Continued
Urban area
(constituent counties)
CBSA
code
Urban area
(constituent counties)
Chilton County, AL
Jefferson County, AL
St. Clair County, AL
Shelby County, AL
Walker County, AL
Bismarck, ND
Burleigh County, ND
Morton County, ND
Blacksburg-ChristiansburgRadford, VA
Giles County, VA
Montgomery County, VA
Pulaski County, VA
Radford City, VA
Bloomington, IN
Greene County, IN
Monroe County, IN
Owen County, IN
Bloomington-Normal, IL
McLean County, IL
Boise City-Nampa, ID
Ada County, ID
Boise County, ID
Canyon County, ID
Gem County, ID
Owyhee County, ID
1 Boston-Quincy, MA
Norfolk County, MA
Plymouth County, MA
Suffolk County, MA
Boulder, CO
Boulder County, CO
Bowling Green, KY
Edmonson County, KY
Warren County, KY
Bradenton-Sarasota-Venice, FL
Bradenton County, FL
Manatee County, FL
Sarasota County, FL
Bremerton-Silverdale, WA
Kitsap County, WA
Bridgeport-Stamford-Norwalk,
CT
Fairfield County, CT
Brownsville-Harlingen, TX
Cameron County, TX
Brunswick, GA
Brantley County, GA
Glynn County, GA
McIntosh County, GA
1 Buffalo-Niagara Falls, NY
Erie County, NY
Niagara County, NY
Burlington, NC
Alamance County, NC
Burlington-South Burlington, VT
Chittenden County, VT
Franklin County, VT
Grand Isle County, VT
1 Cambridge-Newton-Framingham, MA
Middlesex County, MA
1 Camden, NJ
Burlington County, NJ
Camden County, NJ
Gloucester County, NJ
Canton-Massillon, OH
Carroll County, OH
Stark County, OH
15980 ......
Cape Coral-Fort Myers, FL
Lee County, FL
Carson City, NV
Carson City, NV
Casper, WY
Natrona County, WY
Cedar Rapids, IA
Benton County, IA
Jones County, IA
Linn County, IA
Champaign-Urbana, IL
Champaign County, IL
Ford County, IL
Piatt County, IL
Charleston, WV
Boone County, WV
Clay County, WV
Kanawha County, WV
Lincoln County, WV
Putnam County, WV
Charleston-North
CharlestonSummerville, SC
Berkeley County, SC
Charleston County, SC
Dorchester County, SC
Summerville County, SC
1 Charlotte-Gastonia-Concord,
NC-SC
Anson County, NC
Cabarrus County, NC
Gaston County, NC
Mecklenburg County, NC
Union County, NC
York County, SC
Charlottesville, VA
Albemarle County, VA
Fluvanna County, VA
Greene County, VA
Nelson County, VA
Charlottesville City, VA
Chattanooga, TN-GA
Catoosa County, GA
Dade County, GA
Walker County, GA
Hamilton County, TN
Marion County, TN
Sequatchie County, TN
Cheyenne, WY
Laramie County, WY
1 Chicago-Naperville-Joliet, IL
Cook County, IL
DeKalb County, IL
DuPage County, IL
Grundy County, IL
Kane County, IL
Kendall County, IL
McHenry County, IL
Will County, IL
Chico, CA
Butte County, CA
1 Cincinnati-Middletown, OH-KYIN
Dearborn County, IN
Franklin County, IN
Ohio County, IN
Boone County, KY
Bracken County, KY
Campbell County, KY
Gallatin County, KY
19:42 Apr 29, 2008
Jkt 214001
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16220 ......
16300 ......
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TABLE 4E.—URBAN CBSAS AND CONSTITUENT COUNTIES—FY 2009—
Continued
CBSA
code
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17460 ......
17660 ......
17780 ......
17820 ......
17860 ......
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18020 ......
18140 ......
18580 ......
18700 ......
19060 ......
19124 ......
E:\FR\FM\30APP2.SGM
Urban area
(constituent counties)
Grant County, KY
Kenton County, KY
Pendleton County, KY
Brown County, OH
Butler County, OH
Clermont County, OH
Hamilton County, OH
Warren County, OH
Clarksville, TN-KY
Christian County, KY
Trigg County, KY
Montgomery County, TN
Stewart County, TN
Cleveland, TN
Bradley County, TN
Polk County, TN
1 Cleveland-Elyria-Mentor, OH
Cuyahoga County, OH
Geauga County, OH
Lake County, OH
Lorain County, OH
Medina County, OH
Coeur d’Alene, ID
Kootenai County, ID
College Station-Bryan, TX
Brazos County, TX
Burleson County, TX
Robertson County, TX
Colorado Springs, CO
El Paso County, CO
Teller County, CO
Columbia, MO
Boone County, MO
Howard County, MO
Columbia, SC
Calhoun County, SC
Fairfield County, SC
Kershaw County, SC
Lexington County, SC
Richland County, SC
Saluda County, SC
Columbus, GA-AL
Russell County, AL
Chattahoochee County, GA
Harris County, GA
Marion County, GA
Muscogee County, GA
Columbus, IN
Bartholomew County, IN
1 Columbus, OH
Delaware County, OH
Fairfield County, OH
Franklin County, OH
Licking County, OH
Madison County, OH
Morrow County, OH
Pickaway County, OH
Union County, OH
Corpus Christi, TX
Aransas County, TX
Nueces County, TX
San Patricio County, TX
Corvallis, OR
Benton County, OR
Cumberland, MD-WV
Allegany County, MD
Mineral County, WV
1 Dallas-Plano-Irving, TX
Collin County, TX
30APP2
23804
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TABLE 4E.—URBAN CBSAS AND CONSTITUENT COUNTIES—FY 2009—
Continued
CBSA
code
19140 ......
19180 ......
19260 ......
19340 ......
19380 ......
19460 ......
19500 ......
19660 ......
19740 ......
19780 ......
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20100 ......
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TABLE 4E.—URBAN CBSAS AND CONSTITUENT COUNTIES—FY 2009—
Continued
Urban area
(constituent counties)
CBSA
code
Dallas County, TX
Delta County, TX
Denton County, TX
Ellis County, TX
Hunt County, TX
Kaufman County, TX
Rockwall County, TX
Dalton, GA
Murray County, GA
Whitfield County, GA
Danville, IL
Vermilion County, IL
Danville, VA
Pittsylvania County, VA
Danville City, VA
Davenport-Moline-Rock Island,
IA-IL
Henry County, IL
Mercer County, IL
Rock Island County, IL
Scott County, IA
Dayton, OH
Greene County, OH
Miami County, OH
Montgomery County, OH
Preble County, OH
Decatur, AL
Lawrence County, AL
Morgan County, AL
Decatur, IL
Macon County, IL
Deltona-Daytona Beach-Ormond
Beach, FL
Volusia County, FL
1 Denver-Aurora, CO
Adams County, CO
Arapahoe County, CO
Broomfield County, CO
Clear Creek County, CO
Denver County, CO
Douglas County, CO
Elbert County, CO
Gilpin County, CO
Jefferson County, CO
Park County, CO
Des Moines-West Des Moines,
IA
Dallas County, IA
Guthrie County, IA
Madison County, IA
Polk County, IA
Warren County, IA
1 Detroit-Livonia-Dearborn, MI
Wayne County, MI
Dothan, AL
Geneva County, AL
Henry County, AL
Houston County, AL
Dover, DE
Kent County, DE
Dubuque, IA
Dubuque County, IA
Duluth, MN-WI
Carlton County, MN
St. Louis County, MN
Douglas County, WI
Durham, NC
Chatham County, NC
Durham County, NC
19:42 Apr 29, 2008
Jkt 214001
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21660 ......
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TABLE 4E.—URBAN CBSAS AND CONSTITUENT COUNTIES—FY 2009—
Continued
Urban area
(constituent counties)
CBSA
code
Orange County, NC
Person County, NC
Eau Claire, WI
Chippewa County, WI
Eau Claire County, WI
1 Edison-New Brunswick, NJ
Middlesex County, NJ
Monmouth County, NJ
New Brunswick County, NJ
Ocean County, NJ
Somerset County, NJ
El Centro, CA
Imperial County, CA
Elizabethtown, KY
Hardin County, KY
Larue County, KY
Elkhart-Goshen, IN
Elkhart County, IN
Elmira, NY
Chemung County, NY
El Paso, TX
El Paso County, TX
Erie, PA
Erie County, PA
Eugene-Springfield, OR
Lane County, OR
Evansville, IN-KY
Gibson County, IN
Posey County, IN
Vanderburgh County, IN
Warrick County, IN
Henderson County, KY
Webster County, KY
Fairbanks, AK
Fairbanks North Star Borough,
AK
Fajardo, PR
Ceiba Municipio, PR
Fajardo Municipio, PR
Luquillo Municipio, PR
Fargo, ND-MN
Clay County, MN
Cass County, ND
Farmington, NM
San Juan County, NM
Fayetteville, NC
Cumberland County, NC
Hoke County, NC
Fayetteville-Springdale-Rogers,
AR-MO
Benton County, AR
Madison County, AR
Washington County, AR
McDonald County, MO
Flagstaff, AZ
Coconino County, AZ
Flint, MI
Genesee County, MI
Florence, SC
Darlington County, SC
Florence County, SC
Florence-Muscle Shoals, AL
Colbert County, AL
Lauderdale County, AL
Fond du Lac, WI
Fond du Lac County, WI
Fort Collins-Loveland, CO
Larimer County, CO
22744 ......
Fmt 4701
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E:\FR\FM\30APP2.SGM
Urban area
(constituent counties)
1 Fort
Lauderdale-Pompano
Beach-Deerfield Beach, FL
Broward County, FL
Fort Smith, AR-OK
Crawford County, AR
Franklin County, AR
Sebastian County, AR
Le Flore County, OK
Sequoyah County, OK
Fort Walton Beach-CrestviewDestin, FL
Okaloosa County, FL
Fort Wayne, IN
Allen County, IN
Wells County, IN
Whitley County, IN
1 Fort Worth-Arlington, TX
Johnson County, TX
Parker County, TX
Tarrant County, TX
Wise County, TX
Fresno, CA
Fresno County, CA
Gadsden, AL
Etowah County, AL
Gainesville, FL
Alachua County, FL
Gilchrist County, FL
Gainesville, GA
Hall County, GA
Gary, IN
Jasper County, IN
Lake County, IN
Newton County, IN
Porter County, IN
Glens Falls, NY
Warren County, NY
Washington County, NY
Goldsboro, NC
Wayne County, NC
Grand Forks, ND-MN
Polk County, MN
Grand Forks County, ND
Grand Junction, CO
Mesa County, CO
Grand Rapids-Wyoming, MI
Barry County, MI
Ionia County, MI
Kent County, MI
Newaygo County, MI
Great Falls, MT
Cascade County, MT
Greeley, CO
Weld County, CO
Green Bay, WI
Brown County, WI
Kewaunee County, WI
Oconto County, WI
Greensboro-High Point, NC
Guilford County, NC
Randolph County, NC
Rockingham County, NC
Greenville, NC
Greene County, NC
Pitt County, NC
Greenville-Mauldin-Easley, SC
Greenville County, SC
Laurens County, SC
Pickens County, SC
30APP2
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TABLE 4E.—URBAN CBSAS AND CONSTITUENT COUNTIES—FY 2009—
Continued
CBSA
code
Urban area
(constituent counties)
25020 ......
Guayama, PR
Arroyo Municipio, PR
Guayama Municipio, PR
Patillas Municipio, PR
Gulfport-Biloxi, MS
Hancock County, MS
Harrison County, MS
Stone County, MS
Hagerstown-Martinsburg,
MDWV
Washington County, MD
Berkeley County, WV
Morgan County, WV
Hanford-Corcoran, CA
Kings County, CA
Harrisburg-Carlisle, PA
Cumberland County, PA
Dauphin County, PA
Perry County, PA
Harrisonburg, VA
Rockingham County, VA
Harrisonburg City, VA
1 Hartford-West
Hartford-East
Hartford, CT
Hartford County, CT
Middlesex County, CT
Tolland County, CT
Hattiesburg, MS
Forrest County, MS
Lamar County, MS
Perry County, MS
Hickory-Lenoir-Morganton, NC
Alexander County, NC
Burke County, NC
Caldwell County, NC
Catawba County, NC
Hinesville-Fort Stewart, GA
Liberty County, GA
Long County, GA
Holland-Grand Haven, MI
Ottawa County, MI
Honolulu, HI
Honolulu County, HI
Hot Springs, AR
Garland County, AR
Houma-Bayou Cane-Thibodaux,
LA
Lafourche Parish, LA
Terrebonne Parish, LA
1 Houston-Sugar Land-Baytown,
TX
Austin County, TX
Brazoria County, TX
Chambers County, TX
Fort Bend County, TX
Galveston County, TX
Harris County, TX
Liberty County, TX
Montgomery County, TX
San Jacinto County, TX
Waller County, TX
Huntington-Ashland, WV-KY-OH
Boyd County, KY
Greenup County, KY
Lawrence County, OH
Cabell County, WV
Wayne County, WV
Huntsville, AL
Limestone County, AL
25060 ......
25180 ......
25260 ......
25420 ......
25500 ......
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Continued
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19:42 Apr 29, 2008
Jkt 214001
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code
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27780 ......
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27900 ......
28020 ......
28100 ......
28140 ......
PO 00000
Frm 00279
Urban area
(constituent counties)
Madison County, AL
Idaho Falls, ID
Bonneville County, ID
Jefferson County, ID
1 Indianapolis-Carmel, IN
Boone County, IN
Brown County, IN
Hamilton County, IN
Hancock County, IN
Hendricks County, IN
Johnson County, IN
Marion County, IN
Morgan County, IN
Putnam County, IN
Shelby County, IN
Iowa City, IA
Johnson County, IA
Washington County, IA
Ithaca, NY
Tompkins County, NY
Jackson, MI
Jackson County, MI
Jackson, MS
Copiah County, MS
Hinds County, MS
Madison County, MS
Rankin County, MS
Simpson County, MS
Jackson, TN
Chester County, TN
Madison County, TN
1 Jacksonville, FL
Baker County, FL
Clay County, FL
Duval County, FL
Nassau County, FL
St. Johns County, FL
Jacksonville, NC
Onslow County, NC
Janesville, WI
Rock County, WI
Jefferson City, MO
Callaway County, MO
Cole County, MO
Moniteau County, MO
Osage County, MO
Johnson City, TN
Carter County, TN
Unicoi County, TN
Washington County, TN
Johnstown, PA
Cambria County, PA
Jonesboro, AR
Craighead County, AR
Poinsett County, AR
Joplin, MO
Jasper County, MO
Newton County, MO
Kalamazoo-Portage, MI
Kalamazoo County, MI
Van Buren County, MI
Kankakee-Bradley, IL
Kankakee County, IL
1 Kansas City, MO-KS
Franklin County, KS
Johnson County, KS
Leavenworth County, KS
Linn County, KS
Miami County, KS
Fmt 4701
Sfmt 4702
23805
TABLE 4E.—URBAN CBSAS AND CONSTITUENT COUNTIES—FY 2009—
Continued
CBSA
code
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28660 ......
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29940 ......
E:\FR\FM\30APP2.SGM
Urban area
(constituent counties)
Wyandotte County, KS
Bates County, MO
Caldwell County, MO
Cass County, MO
Clay County, MO
Clinton County, MO
Jackson County, MO
Lafayette County, MO
Platte County, MO
Ray County, MO
Kennewick-Pasco-Richland, WA
Benton County, WA
Franklin County, WA
Killeen-Temple-Fort Hood, TX
Bell County, TX
Coryell County, TX
Lampasas County, TX
Kingsport-Bristol-Bristol, TN-VA
Hawkins County, TN
Sullivan County, TN
Bristol City, VA
Scott County, VA
Washington County, VA
Kingston, NY
Ulster County, NY
Knoxville, TN
Anderson County, TN
Blount County, TN
Knox County, TN
Loudon County, TN
Union County, TN
Kokomo, IN
Howard County, IN
Tipton County, IN
La Crosse, WI-MN
Houston County, MN
La Crosse County, WI
Lafayette, IN
Benton County, IN
Carroll County, IN
Tippecanoe County, IN
Lafayette, LA
Lafayette Parish, LA
St. Martin Parish, LA
Lake Charles, LA
Calcasieu Parish, LA
Cameron Parish, LA
Lake County-Kenosha County,
IL-WI
Lake County, IL
Kenosha County, WI
Lake Havasu City-Kingman, AZ
Mohave County, AZ
Lakeland-Winter Haven, FL
Polk County, FL
Winter Haven County, FL
Lancaster, PA
Lancaster County, PA
Lansing-East Lansing, MI
Clinton County, MI
Eaton County, MI
Ingham County, MI
Laredo, TX
Webb County, TX
Las Cruces, NM
Dona Ana County, NM
1 Las Vegas-Paradise, NV
Clark County, NV
Lawrence, KS
30APP2
23806
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 4E.—URBAN CBSAS AND CONSTITUENT COUNTIES—FY 2009—
Continued
CBSA
code
30020 ......
30140 ......
30300 ......
30340 ......
30460 ......
30620 ......
30700 ......
30780 ......
30860 ......
30980 ......
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VerDate Aug<31>2005
TABLE 4E.—URBAN CBSAS AND CONSTITUENT COUNTIES—FY 2009—
Continued
Urban area
(constituent counties)
CBSA
code
Douglas County, KS
Lawton, OK
Comanche County, OK
Lebanon, PA
Lebanon County, PA
Lewiston, ID-WA
Nez Perce County, ID
Asotin County, WA
Lewiston-Auburn, ME
Androscoggin County, ME
Lexington-Fayette, KY
Bourbon County, KY
Clark County, KY
Fayette County, KY
Jessamine County, KY
Scott County, KY
Woodford County, KY
Lima, OH
Allen County, OH
Lincoln, NE
Lancaster County, NE
Seward County, NE
Little Rock-North Little RockConway, AR
Faulkner County, AR
Grant County, AR
Lonoke County, AR
Perry County, AR
Pulaski County, AR
Saline County, AR
Logan, UT-ID
Franklin County, ID
Cache County, UT
Longview, TX
Gregg County, TX
Rusk County, TX
Upshur County, TX
Longview, WA
Cowlitz County, WA
1 Los Angeles-Long Beach-Glendale, CA
Los Angeles County, CA
1 Louisville-Jefferson
County,
KY-IN
Clark County, IN
Floyd County, IN
Harrison County, IN
Washington County, IN
Bullitt County, KY
Henry County, KY
Jefferson County, KY
Meade County, KY
Nelson County, KY
Oldham County, KY
Shelby County, KY
Spencer County, KY
Trimble County, KY
Lubbock, TX
Crosby County, TX
Lubbock County, TX
Lynchburg, VA
Amherst County, VA
Appomattox County, VA
Bedford County, VA
Campbell County, VA
Bedford City, VA
Lynchburg City, VA
Macon, GA
Bibb County, GA
19:42 Apr 29, 2008
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Urban area
(constituent counties)
Crawford County, GA
Jones County, GA
Monroe County, GA
Twiggs County, GA
Madera, CA
Madera County, CA
Madison, WI
Columbia County, WI
Dane County, WI
Iowa County, WI
Manchester-Nashua, NH
Hillsborough County, NH
Mansfield, OH
Richland County, OH
¨
Mayaguez, PR
Hormigueros Municipio, PR
¨
Mayaguez Municipio, PR
McAllen-Edinburg-Mission, TX
Hidalgo County, TX
Medford, OR
Jackson County, OR
1 Memphis, TN-MS-AR
Crittenden County, AR
DeSoto County, MS
Marshall County, MS
Tate County, MS
Tunica County, MS
Fayette County, TN
Shelby County, TN
Tipton County, TN
Merced, CA
Merced County, CA
1 Miami-Miami Beach-Kendall, FL
Miami-Dade County, FL
Michigan City-La Porte, IN
LaPorte County, IN
Midland, TX
Midland County, TX
1 Milwaukee-Waukesha-West
Allis, WI
Milwaukee County, WI
Ozaukee County, WI
Washington County, WI
Waukesha County, WI
1 Minneapolis-St.
Paul-Bloomington, MN-WI
Anoka County, MN
Carver County, MN
Chisago County, MN
Dakota County, MN
Hennepin County, MN
Isanti County, MN
Ramsey County, MN
Scott County, MN
Sherburne County, MN
Washington County, MN
Wright County, MN
Pierce County, WI
St. Croix County, WI
Missoula, MT
Missoula County, MT
Mobile, AL
Mobile County, AL
Modesto, CA
Stanislaus County, CA
Monroe, LA
Ouachita Parish, LA
Union Parish, LA
Monroe, MI
Fmt 4701
Sfmt 4702
TABLE 4E.—URBAN CBSAS AND CONSTITUENT COUNTIES—FY 2009—
Continued
CBSA
code
33860 ......
34060 ......
34100 ......
34580 ......
34620 ......
34740 ......
34820 ......
34900 ......
34940 ......
34980 ......
35004 ......
35084 ......
35300 ......
35380 ......
35644 ......
E:\FR\FM\30APP2.SGM
Urban area
(constituent counties)
Monroe County, MI
Montgomery, AL
Autauga County, AL
Elmore County, AL
Lowndes County, AL
Montgomery County, AL
Morgantown, WV
Monongalia County, WV
Preston County, WV
Morristown, TN
Grainger County, TN
Hamblen County, TN
Jefferson County, TN
Mount Vernon-Anacortes, WA
Skagit County, WA
Muncie, IN
Delaware County, IN
Muskegon-Norton Shores, MI
Muskegon County, MI
Myrtle
Beach-North
Myrtle
Beach-Conway, SC
Horry County, SC
Napa, CA
Napa County, CA
Naples-Marco Island, FL
Collier County, FL
1 Nashville-DavidsonMurfreesboro-Franklin, TN
Cannon County, TN
Cheatham County, TN
Davidson County, TN
Dickson County, TN
Hickman County, TN
Macon County, TN
Robertson County, TN
Rutherford County, TN
Smith County, TN
Sumner County, TN
Trousdale County, TN
Williamson County, TN
Wilson County, TN
1 Nassau-Suffolk, NY
Nassau County, NY
Suffolk County, NY
1 Newark-Union, NJ-PA
Essex County, NJ
Hunterdon County, NJ
Morris County, NJ
Sussex County, NJ
Union County, NJ
Pike County, PA
New Haven-Milford, CT
New Haven County, CT
1 New
Orleans-Metairie-Kenner,
LA
Jefferson Parish, LA
Orleans Parish, LA
Plaquemines Parish, LA
St. Bernard Parish, LA
St. Charles Parish, LA
St. John the Baptist Parish, LA
St. Tammany Parish, LA
1 New York-White Plains-Wayne,
NY-NJ
Bergen County, NJ
Hudson County, NJ
Passaic County, NJ
Bronx County, NY
Kings County, NY
30APP2
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 4E.—URBAN CBSAS AND CONSTITUENT COUNTIES—FY 2009—
Continued
CBSA
code
35660 ......
35980 ......
36084 ......
36100 ......
36140 ......
36220 ......
36260 ......
36420 ......
36500 ......
36540 ......
36740 ......
36780 ......
36980 ......
37100 ......
37340 ......
jlentini on PROD1PC65 with PROPOSALS2
37380 ......
37460 ......
37620 ......
VerDate Aug<31>2005
TABLE 4E.—URBAN CBSAS AND CONSTITUENT COUNTIES—FY 2009—
Continued
Urban area
(constituent counties)
CBSA
code
Urban area
(constituent counties)
New York County, NY
Putnam County, NY
Queens County, NY
Richmond County, NY
Rockland County, NY
Westchester County, NY
Niles-Benton Harbor, MI
Berrien County, MI
Norwich-New London, CT
New London County, CT
1 Oakland-Fremont-Hayward, CA
Alameda County, CA
Contra Costa County, CA
Ocala, FL
Marion County, FL
Ocean City, NJ
Cape May County, NJ
Odessa, TX
Ector County, TX
Ogden-Clearfield, UT
Davis County, UT
Morgan County, UT
Weber County, UT
1 Oklahoma City, OK
Canadian County, OK
Cleveland County, OK
Grady County, OK
Lincoln County, OK
Logan County, OK
McClain County, OK
Oklahoma County, OK
Olympia, WA
Thurston County, WA
Omaha-Council Bluffs, NE-IA
Harrison County, IA
Mills County, IA
Pottawattamie County, IA
Cass County, NE
Douglas County, NE
Sarpy County, NE
Saunders County, NE
Washington County, NE
1 Orlando-Kissimmee, FL
Lake County, FL
Orange County, FL
Osceola County, FL
Seminole County, FL
Oshkosh-Neenah, WI
Winnebago County, WI
Owensboro, KY
Daviess County, KY
Hancock County, KY
McLean County, KY
Oxnard-Thousand Oaks-Ventura,
CA
Ventura County, CA
Palm Bay-Melbourne-Titusville,
FL
Brevard County, FL
Palm Coast, FL
Flager County, FL
Panama City-Lynn Haven, FL
Bay County, FL
Parkersburg-Marietta-Vienna,
WV-OH
Washington County, OH
Pleasants County, WV
Wirt County, WV
Wood County, WV
37700 ......
Pascagoula, MS
George County, MS
Jackson County, MS
Peabody, MA
Essex County, MA
Pensacola-Ferry Pass-Brent, FL
Escambia County, FL
Santa Rosa County, FL
Peoria, IL
Marshall County, IL
Peoria County, IL
Stark County, IL
Tazewell County, IL
Woodford County, IL
1 Philadelphia, PA
Bucks County, PA
Chester County, PA
Delaware County, PA
Montgomery County, PA
Philadelphia County, PA
1 Phoenix-Mesa-Scottsdale, AZ
Maricopa County, AZ
Pinal County, AZ
Pine Bluff, AR
Cleveland County, AR
Jefferson County, AR
Lincoln County, AR
1 Pittsburgh, PA
Allegheny County, PA
Armstrong County, PA
Beaver County, PA
Butler County, PA
Fayette County, PA
Washington County, PA
Westmoreland County, PA
Pittsfield, MA
Berkshire County, MA
Pocatello, ID
Bannock County, ID
Power County, ID
Ponce, PR
´
Juana Dıaz Municipio, PR
Ponce Municipio, PR
Villalba Municipio, PR
Portland-South Portland-Biddeford, ME
Cumberland County, ME
Sagadahoc County, ME
York County, ME
1 Portland-Vancouver-Beaverton,
OR-WA
Clackamas County, OR
Columbia County, OR
Multnomah County, OR
Washington County, OR
Yamhill County, OR
Clark County, WA
Skamania County, WA
Port St. Lucie, FL
Martin County, FL
St. Lucie County, FL
Poughkeepsie-Newburgh-Middletown, NY
Dutchess County, NY
Orange County, NY
Prescott, AZ
Yavapai County, AZ
1 Providence-New
Bedford-Fall
River, RI-MA
19:42 Apr 29, 2008
Jkt 214001
37764 ......
37860 ......
37900 ......
37964 ......
38060 ......
38220 ......
38300 ......
38340 ......
38540 ......
38660 ......
38860 ......
38900 ......
38940 ......
39100 ......
39140 ......
39300 ......
PO 00000
Frm 00281
Fmt 4701
Sfmt 4702
23807
TABLE 4E.—URBAN CBSAS AND CONSTITUENT COUNTIES—FY 2009—
Continued
CBSA
code
39340 ......
39380 ......
39460 ......
39540 ......
39580 ......
39660 ......
39740 ......
39820 ......
39900 ......
40060 ......
40140 ......
40220 ......
40340 ......
40380 ......
E:\FR\FM\30APP2.SGM
Urban area
(constituent counties)
Bristol County, MA
Bristol County, RI
Kent County, RI
Newport County, RI
Providence County, RI
Washington County, RI
Provo-Orem, UT
Juab County, UT
Utah County, UT
Pueblo, CO
Pueblo County, CO
Punta Gorda, FL
Charlotte County, FL
Racine, WI
Racine County, WI
Raleigh-Cary, NC
Franklin County, NC
Johnston County, NC
Wake County, NC
Rapid City, SD
Meade County, SD
Pennington County, SD
Reading, PA
Berks County, PA
Redding, CA
Shasta County, CA
Reno-Sparks, NV
Storey County, NV
Washoe County, NV
1 Richmond, VA
Amelia County, VA
Caroline County, VA
Charles City County, VA
Chesterfield County, VA
Cumberland County, VA
Dinwiddie County, VA
Goochland County, VA
Hanover County, VA
Henrico County, VA
King and Queen County, VA
King William County, VA
Louisa County, VA
New Kent County, VA
Powhatan County, VA
Prince George County, VA
Sussex County, VA
Colonial Heights City, VA
Hopewell City, VA
Petersburg City, VA
Richmond City, VA
1 Riverside-San
Bernardino-Ontario, CA
Riverside County, CA
San Bernardino County, CA
Roanoke, VA
Botetourt County, VA
Craig County, VA
Franklin County, VA
Roanoke County, VA
Roanoke City, VA
Salem City, VA
Rochester, MN
Dodge County, MN
Olmsted County, MN
Wabasha County, MN
1 Rochester, NY
Livingston County, NY
Monroe County, NY
Ontario County, NY
30APP2
23808
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 4E.—URBAN CBSAS AND CONSTITUENT COUNTIES—FY 2009—
Continued
CBSA
code
40420 ......
40484 ......
40580 ......
40660 ......
40900 ......
40980 ......
41060 ......
41100 ......
41140 ......
41180 ......
41420 ......
41500 ......
41540 ......
jlentini on PROD1PC65 with PROPOSALS2
41620 ......
41660 ......
41700 ......
VerDate Aug<31>2005
TABLE 4E.—URBAN CBSAS AND CONSTITUENT COUNTIES—FY 2009—
Continued
Urban area
(constituent counties)
CBSA
code
Orleans County, NY
Wayne County, NY
Rockford, IL
Boone County, IL
Winnebago County, IL
Rockingham
County-Strafford
County, NH
Rockingham County, NH
Strafford County, NH
Rocky Mount, NC
Edgecombe County, NC
Nash County, NC
Rome, GA
Floyd County, GA
1 Sacramento—Arden-Arcade—
Roseville, CA
El Dorado County, CA
Placer County, CA
Sacramento County, CA
Yolo County, CA
Saginaw-Saginaw
Township
North, MI
Saginaw County, MI
St. Cloud, MN
Benton County, MN
Stearns County, MN
St. George, UT
Washington County, UT
St. Joseph, MO-KS
Doniphan County, KS
Andrew County, MO
Buchanan County, MO
DeKalb County, MO
1 St. Louis, MO-IL
Bond County, IL
Calhoun County, IL
Clinton County, IL
Jersey County, IL
Macoupin County, IL
Madison County, IL
Monroe County, IL
St. Clair County, IL
Crawford County, MO
Franklin County, MO
Jefferson County, MO
Lincoln County, MO
St. Charles County, MO
St. Louis County, MO
Warren County, MO
Washington County, MO
St. Louis City, MO
Salem, OR
Marion County, OR
Polk County, OR
Salinas, CA
Monterey County, CA
Salisbury, MD
Somerset County, MD
Wicomico County, MD
Salt Lake City, UT
Salt Lake County, UT
Summit County, UT
Tooele County, UT
San Angelo, TX
Irion County, TX
Tom Green County, TX
1 San Antonio, TX
Atascosa County, TX
Bandera County, TX
19:42 Apr 29, 2008
Jkt 214001
41740 ......
41780 ......
41884 ......
41900 ......
41940 ......
41980 ......
PO 00000
Frm 00282
TABLE 4E.—URBAN CBSAS AND CONSTITUENT COUNTIES—FY 2009—
Continued
Urban area
(constituent counties)
CBSA
code
Urban area
(constituent counties)
Bexar County, TX
Comal County, TX
Guadalupe County, TX
Kendall County, TX
Medina County, TX
Wilson County, TX
1 San
Diego-Carlsbad-San
Marcos, CA
San Diego County, CA
Sandusky, OH
Erie County, OH
1 San Francisco-San Mateo-Redwood City, CA
Marin County, CA
San Francisco County, CA
San Mateo County, CA
´
San German-Cabo Rojo, PR
Cabo Rojo Municipio, PR
Lajas Municipio, PR
Sabana Grande Municipio, PR
´
San German Municipio, PR
1 San
Jose-Sunnyvale-Santa
Clara, CA
San Benito County, CA
Santa Clara County, CA
1 San
Juan-Caguas-Guaynabo,
PR
Aguas Buenas Municipio, PR
Aibonito Municipio, PR
Arecibo Municipio, PR
Barceloneta Municipio, PR
Barranquitas Municipio, PR
´
Bayamon Municipio, PR
Caguas Municipio, PR
Camuy Municipio, PR
´
Canovanas Municipio, PR
Carolina Municipio, PR
˜
Catano Municipio, PR
Cayey Municipio, PR
Ciales Municipio, PR
Cidra Municipio, PR
´
Comerıo Municipio, PR
Corozal Municipio, PR
Dorado Municipio, PR
Florida Municipio, PR
Guaynabo Municipio, PR
Gurabo Municipio, PR
Hatillo Municipio, PR
Humacao Municipio, PR
Juncos Municipio, PR
Las Piedras Municipio, PR
´
Loıza Municipio, PR
´
Manatı Municipio, PR
Maunabo Municipio, PR
Morovis Municipio, PR
Naguabo Municipio, PR
Naranjito Municipio, PR
Orocovis Municipio, PR
Quebradillas Municipio, PR
´
Rıo Grande Municipio, PR
San Juan Municipio, PR
San Lorenzo Municipio, PR
Toa Alta Municipio, PR
Toa Baja Municipio, PR
Trujillo Alto Municipio, PR
Vega Alta Municipio, PR
Vega Baja Municipio, PR
Yabucoa Municipio, PR
42020 ......
San Luis Obispo-Paso Robles,
CA
San Luis Obispo County, CA
1 Santa Ana-Anaheim-Irvine, CA
Orange County, CA
Santa Barbara-Santa MariaGoleta, CA
Santa Barbara County, CA
Santa Cruz-Watsonville, CA
Santa Cruz County, CA
Santa Fe, NM
Santa Fe County, NM
Santa Rosa-Petaluma, CA
Sonoma County, CA
Savannah, GA
Bryan County, GA
Chatham County, GA
Effingham County, GA
Scranton—Wilkes-Barre, PA
Lackawanna County, PA
Luzerne County, PA
Wyoming County, PA
1 Seattle-Bellevue-Everett, WA
King County, WA
Snohomish County, WA
Sebastian-Vero Beach, FL
Indian River County, FL
Sheboygan, WI
Sheboygan County, WI
Sherman-Denison, TX
Grayson County, TX
Shreveport-Bossier City, LA
Bossier Parish, LA
Caddo Parish, LA
De Soto Parish, LA
Sioux City, IA-NE-SD
Woodbury County, IA
Dakota County, NE
Dixon County, NE
Union County, SD
Sioux Falls, SD
Lincoln County, SD
McCook County, SD
Minnehaha County, SD
Turner County, SD
South Bend-Mishawaka, IN-MI
St. Joseph County, IN
Cass County, MI
Spartanburg, SC
Spartanburg County, SC
Spokane, WA
Spokane County, WA
Springfield, IL
Menard County, IL
Sangamon County, IL
Springfield, MA
Franklin County, MA
Hampden County, MA
Hampshire County, MA
Springfield, MO
Christian County, MO
Dallas County, MO
Greene County, MO
Polk County, MO
Webster County, MO
Springfield, OH
Clark County, OH
State College, PA
Centre County, PA
Fmt 4701
Sfmt 4702
42044 ......
42060 ......
42100 ......
42140 ......
42220 ......
42340 ......
42540 ......
42644 ......
42680 ......
43100 ......
43300 ......
43340 ......
43580 ......
43620 ......
43780 ......
43900 ......
44060 ......
44100 ......
44140 ......
44180 ......
44220 ......
44300 ......
E:\FR\FM\30APP2.SGM
30APP2
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 4E.—URBAN CBSAS AND CONSTITUENT COUNTIES—FY 2009—
Continued
TABLE 4E.—URBAN CBSAS AND CONSTITUENT COUNTIES—FY 2009—
Continued
CBSA
code
Urban area
(constituent counties)
CBSA
code
Urban area
(constituent counties)
44700 ......
Stockton, CA
San Joaquin County, CA
Sumter, SC
Sumter County, SC
Syracuse, NY
Madison County, NY
Onondaga County, NY
Oswego County, NY
Tacoma, WA
Pierce County, WA
Tallahassee, FL
Gadsden County, FL
Jefferson County, FL
Leon County, FL
Wakulla County, FL
1 Tampa-St.
Petersburg-Clearwater, FL
Hernando County, FL
Hillsborough County, FL
Pasco County, FL
Pinellas County, FL
Terre Haute, IN
Clay County, IN
Sullivan County, IN
Vermillion County, IN
Vigo County, IN
Texarkana, TX-Texarkana, AR
Miller County, AR
Bowie County, TX
Toledo, OH
Fulton County, OH
Lucas County, OH
Ottawa County, OH
Wood County, OH
Topeka, KS
Jackson County, KS
Jefferson County, KS
Osage County, KS
Shawnee County, KS
Wabaunsee County, KS
Trenton-Ewing, NJ
Mercer County, NJ
Tucson, AZ
Pima County, AZ
Tulsa, OK
Creek County, OK
Okmulgee County, OK
Osage County, OK
Pawnee County, OK
Rogers County, OK
Tulsa County, OK
Wagoner County, OK
Tuscaloosa, AL
Greene County, AL
Hale County, AL
Tuscaloosa County, AL
Tyler, TX
Smith County, TX
Utica-Rome, NY
Herkimer County, NY
Oneida County, NY
Valdosta, GA
Brooks County, GA
Echols County, GA
Lanier County, GA
Lowndes County, GA
46700 ......
Vallejo-Fairfield, CA
Solano County, CA
Victoria, TX
Calhoun County, TX
Goliad County, TX
Victoria County, TX
Vineland-Millville-Bridgeton, NJ
Cumberland County, NJ
1 Virginia Beach-Norfolk-Newport
News, VA-NC
Currituck County, NC
Gloucester County, VA
Isle of Wight County, VA
James City County, VA
Mathews County, VA
Surry County, VA
York County, VA
Chesapeake City, VA
Hampton City, VA
Newport News City, VA
Norfolk City, VA
Poquoson City, VA
Portsmouth City, VA
Suffolk City, VA
Virginia Beach City, VA
Williamsburg City, VA
Visalia-Porterville, CA
Tulare County, CA
Waco, TX
McLennan County, TX
Warner Robins, GA
Houston County, GA
1 Warren-Troy-Farmington
Hills,
MI
Lapeer County, MI
Livingston County, MI
Macomb County, MI
Oakland County, MI
St. Clair County, MI
1 Washington-Arlington-Alexandria, DC-VA-MD-WV
District of Columbia, DC
Calvert County, MD
Charles County, MD
Prince George’s County, MD
Arlington County, VA
Clarke County, VA
Fairfax County, VA
Fauquier County, VA
Loudoun County, VA
Prince William County, VA
Spotsylvania County, VA
Stafford County, VA
Warren County, VA
Alexandria City, VA
Fairfax City, VA
Falls Church City, VA
Fredericksburg City, VA
Manassas City, VA
Manassas Park City, VA
Jefferson County, WV
Waterloo-Cedar Falls, IA
Black Hawk County, IA
Bremer County, IA
Grundy County, IA
Wausau, WI
44940 ......
45060 ......
45104 ......
45220 ......
45300 ......
45460 ......
45500 ......
45780 ......
45820 ......
45940 ......
46060 ......
46140 ......
46220 ......
46340 ......
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46660 ......
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
47020 ......
47220 ......
47260 ......
47300 ......
47380 ......
47580 ......
47644 ......
47894 ......
47940 ......
48140 ......
PO 00000
Frm 00283
Fmt 4701
Sfmt 4702
23809
TABLE 4E.—URBAN CBSAS AND CONSTITUENT COUNTIES—FY 2009—
Continued
CBSA
code
Urban area
(constituent counties)
48260 ......
48300 ......
48424 ......
48540 ......
48620 ......
48660 ......
48700 ......
48864 ......
48900 ......
49020 ......
49180 ......
49340 ......
49420 ......
49500 ......
49620 ......
49660 ......
49700 ......
49740 ......
1 Large
E:\FR\FM\30APP2.SGM
Marathon County, WI
Weirton-Steubenville, WV-OH
Jefferson County, OH
Brooke County, WV
Hancock County, WV
Wenatchee, WA
Chelan County, WA
Douglas County, WA
1 West Palm Beach-Boca RatonBoynton Beach, FL
Palm Beach County, FL
Wheeling, WV-OH
Belmont County, OH
Marshall County, WV
Ohio County, WV
Wichita, KS
Butler County, KS
Harvey County, KS
Sedgwick County, KS
Sumner County, KS
Wichita Falls, TX
Archer County, TX
Clay County, TX
Wichita County, TX
Williamsport, PA
Lycoming County, PA
Wilmington, DE-MD-NJ
New Castle County, DE
Cecil County, MD
Salem County, NJ
Wilmington, NC
Brunswick County, NC
New Hanover County, NC
Pender County, NC
Winchester, VA-WV
Frederick County, VA
Winchester City, VA
Hampshire County, WV
Winston-Salem, NC
Davie County, NC
Forsyth County, NC
Stokes County, NC
Yadkin County, NC
Worcester, MA
Worcester County, MA
Yakima, WA
Yakima County, WA
Yauco, PR
´
Guanica Municipio, PR
Guayanilla Municipio, PR
˜
Penuelas Municipio, PR
Yauco Municipio, PR
York-Hanover, PA
York County, PA
Youngstown-Warren-Boardman,
OH-PA
Mahoning County, OH
Trumbull County, OH
Mercer County, PA
Yuba City, CA
Sutter County, CA
Yuba County, CA
Yuma, AZ
Yuma County, AZ
urban area.
30APP2
23810
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 4F.—PUERTO RICO WAGE INDEX AND CAPITAL GEOGRAPHIC ADJUSTMENT FACTOR (GAF) BY CBSA—FY 2009
[Note: The rural floor budget neutrality adjustment is not applicable to the Puerto Rico-specific wage index.]
CBSA code
10380
21940
25020
32420
38660
41900
41980
49500
.......
.......
.......
.......
.......
.......
.......
.......
Area
Wage index
´
Aguadilla-Isabela-San Sebastian, PR .......................................................
Fajardo, PR ...............................................................................................
Guayama, PR ............................................................................................
¨
Mayaguez, PR ...........................................................................................
Ponce, PR .................................................................................................
´
San German-Cabo Rojo, PR ....................................................................
San Juan-Caguas-Guaynabo, PR .............................................................
Yauco, PR .................................................................................................
The following list represents all hospitals
that are eligible to have their wage index
increased by the out-migration adjustment
listed in this table. Hospitals cannot receive
the out-migration adjustment if they are
reclassified under section 1886(d)(10) of the
Act or redesignated under section
1886(d)(8)(B) of the Act. Hospitals that have
already been reclassified under section
1886(d)(10) of the Act or redesignated under
section 1886(d)(8)(B) of the Act are
designated with an asterisk. We will
automatically assume that hospitals that have
already been reclassified under section
0.7845
0.9572
0.7472
0.9236
0.9757
1.0864
1.0348
0.7969
1886(d)(10) of the Act or redesignated under
section 1886(d)(8)(B) of the Act wish to retain
their reclassification/redesignation status and
waive the application of the out-migration
adjustment. Section 1886(d)(10) hospitals
that wish to receive the out-migration
adjustment, rather than their reclassification,
should follow the termination/withdrawal
procedures specified in 42 CFR 412.273 and
section III.I.3. of the preamble of this
proposed rule. Otherwise, they will be
deemed to have waived the out-migration
adjustment. Hospitals redesignated under
section 1886(d)(8)(B) of the Act will be
GAF
0.8469
0.9705
0.8191
0.9470
0.9833
1.0584
1.0237
0.8560
Wage
index—reclassified
hospitals
GAF—reclassified
hospitals
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
deemed to have waived the out-migration
adjustment, unless they explicitly notify
CMS that they elected to receive the outmigration adjustment instead within 45 days
from the publication of this proposed rule.
These notifications should be sent to the
following address: Centers for Medicare and
Medicaid Services, Center for Medicare
Management, Attn.: Wage Index Adjustment
Waivers, Division of Acute Care, Room C4–
08–06, 7500 Security Boulevard, Baltimore,
MD 21244–1850.
TABLE 4J.—OUT-MIGRATION ADJUSTMENT—FY 2009
Reclassified
for FY 2009
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
010005
010008
010009
010010
010012
010015
010021
010022
010025
010027
010029
010032
010035
010038
010040
010045
010046
010047
010049
010052
010054
010059
010061
010065
010078
010083
010085
010091
010100
010101
010109
010110
010125
010128
010129
010138
010143
010146
.............................................................
.............................................................
.............................................................
.............................................................
.............................................................
.............................................................
.............................................................
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.............................................................
.............................................................
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.............................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
Out-migration
adjustment
* ...................
.....................
* ...................
* ...................
* ...................
.....................
.....................
* ...................
* ...................
.....................
* ...................
.....................
* ...................
.....................
.....................
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.....................
.....................
.....................
* ...................
* ...................
* ...................
* ...................
* ...................
.....................
* ...................
* ...................
.....................
* ...................
* ...................
.....................
.....................
.....................
.....................
.....................
.....................
* ...................
.....................
0.0296
0.0174
0.0092
0.0296
0.0186
0.0046
0.0030
0.1128
0.0235
0.0015
0.0289
0.0325
0.0254
0.0047
0.0061
0.0222
0.0061
0.0127
0.0015
0.0103
0.0092
0.0069
0.0542
0.0103
0.0047
0.0134
0.0092
0.0046
0.0134
0.0211
0.0451
0.0215
0.0476
0.0046
0.0134
0.0066
0.0254
0.0047
PO 00000
Frm 00284
Fmt 4701
Qualifying county name
MARSHALL .....................................................
CRENSHAW ....................................................
MORGAN .........................................................
MARSHALL .....................................................
DE KALB .........................................................
CLARKE ..........................................................
DALE ...............................................................
CHEROKEE .....................................................
CHAMBERS ....................................................
COFFEE ..........................................................
LEE ..................................................................
RANDOLPH .....................................................
CULLMAN ........................................................
CALHOUN .......................................................
ETOWAH .........................................................
FAYETTE .........................................................
ETOWAH .........................................................
BUTLER ...........................................................
COFFEE ..........................................................
TALLAPOOSA .................................................
MORGAN .........................................................
LAWRENCE ....................................................
JACKSON ........................................................
TALLAPOOSA .................................................
CALHOUN .......................................................
BALDWIN ........................................................
MORGAN .........................................................
CLARKE ..........................................................
BALDWIN ........................................................
TALLADEGA ....................................................
PICKENS .........................................................
BULLOCK ........................................................
WINSTON ........................................................
CLARKE ..........................................................
BALDWIN ........................................................
SUMTER ..........................................................
CULLMAN ........................................................
CALHOUN .......................................................
Sfmt 4702
E:\FR\FM\30APP2.SGM
30APP2
County code
01470
01200
01510
01470
01240
01120
01220
01090
01080
01150
01400
01550
01210
01070
01270
01280
01270
01060
01150
01610
01510
01390
01350
01610
01070
01010
01510
01120
01010
01600
01530
01050
01660
01120
01010
01590
01210
01070
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23811
TABLE 4J.—OUT-MIGRATION ADJUSTMENT—FY 2009—Continued
Reclassified
for FY 2009
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
010150
010158
010164
030067
040014
040019
040039
040047
040067
040071
040076
040081
050002
050007
050008
050009
050013
050014
050016
050042
050043
050047
050055
050069
050070
050073
050075
050076
050084
050089
050090
050099
050101
050113
050118
050122
050129
050133
050136
050140
050150
050152
050167
050168
050173
050174
050193
050194
050195
050197
050211
050224
050226
050228
050230
050232
050242
050245
050264
050272
050279
050283
050289
050291
050298
050300
050305
050313
050320
050325
050327
.............................................................
.............................................................
.............................................................
.............................................................
.............................................................
.............................................................
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.............................................................
.............................................................
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.............................................................
.............................................................
.............................................................
.............................................................
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.............................................................
.............................................................
.............................................................
.............................................................
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.............................................................
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.............................................................
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.............................................................
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.............................................................
.............................................................
.............................................................
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.............................................................
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.............................................................
.............................................................
.............................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
Out-migration
adjustment
* ...................
* ...................
* ...................
.....................
* ...................
* ...................
* ...................
.....................
.....................
* ...................
* ...................
.....................
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* ...................
* ...................
* ...................
.....................
* ...................
.....................
.....................
.....................
* ...................
.....................
* ...................
.....................
* ...................
.....................
* ...................
* ...................
* ...................
* ...................
.....................
* ...................
.....................
* ...................
* ...................
* ...................
* ...................
* ...................
.....................
.....................
* ...................
* ...................
* ...................
* ...................
* ...................
.....................
* ...................
.....................
* ...................
* ...................
.....................
* ...................
.....................
* ...................
* ...................
.....................
* ...................
* ...................
.....................
.....................
* ...................
.....................
* ...................
.....................
.....................
.....................
.....................
* ...................
0.0127
0.0023
0.0211
0.0298
0.0199
0.0258
0.0172
0.0117
0.0007
0.0149
0.1000
0.0357
0.0010
0.0146
0.0026
0.0180
0.0180
0.0139
0.0103
0.0162
0.0010
0.0026
0.0026
0.0020
0.0146
0.0171
0.0010
0.0026
0.0132
0.0017
0.0058
0.0017
0.0171
0.0146
0.0132
0.0132
0.0017
0.0178
0.0058
0.0017
0.0342
0.0026
0.0132
0.0020
0.0020
0.0058
0.0020
0.0052
0.0010
0.0146
0.0010
0.0020
0.0020
0.0026
0.0020
0.0103
0.0052
0.0017
0.0010
0.0017
0.0017
0.0010
0.0146
0.0058
0.0017
0.0017
0.0010
0.0132
0.0010
0.0033
0.0017
PO 00000
Frm 00285
Fmt 4701
Qualifying county name
BUTLER ...........................................................
FRANKLIN .......................................................
TALLADEGA ....................................................
LAPAZ .............................................................
WHITE .............................................................
ST. FRANCIS ..................................................
GREENE ..........................................................
RANDOLPH .....................................................
COLUMBIA ......................................................
JEFFERSON ...................................................
HOT SPRING ..................................................
PIKE .................................................................
ALAMEDA ........................................................
SAN MATEO ...................................................
SAN FRANCISCO ...........................................
NAPA ...............................................................
NAPA ...............................................................
AMADOR .........................................................
SAN LUIS OBISPO .........................................
TEHAMA ..........................................................
ALAMEDA ........................................................
SAN FRANCISCO ...........................................
SAN FRANCISCO ...........................................
ORANGE .........................................................
SAN MATEO ...................................................
SOLANO ..........................................................
ALAMEDA ........................................................
SAN FRANCISCO ...........................................
SAN JOAQUIN ................................................
SAN BERNARDINO ........................................
SONOMA .........................................................
SAN BERNARDINO ........................................
SOLANO ..........................................................
SAN MATEO ...................................................
SAN JOAQUIN ................................................
SAN JOAQUIN ................................................
SAN BERNARDINO ........................................
YUBA ...............................................................
SONOMA .........................................................
SAN BERNARDINO ........................................
NEVADA ..........................................................
SAN FRANCISCO ...........................................
SAN JOAQUIN ................................................
ORANGE .........................................................
ORANGE .........................................................
SONOMA .........................................................
ORANGE .........................................................
SANTA CRUZ ..................................................
ALAMEDA ........................................................
SAN MATEO ...................................................
ALAMEDA ........................................................
ORANGE .........................................................
ORANGE .........................................................
SAN FRANCISCO ...........................................
ORANGE .........................................................
SAN LUIS OBISPO .........................................
SANTA CRUZ ..................................................
SAN BERNARDINO ........................................
ALAMEDA ........................................................
SAN BERNARDINO ........................................
SAN BERNARDINO ........................................
ALAMEDA ........................................................
SAN MATEO ...................................................
SONOMA .........................................................
SAN BERNARDINO ........................................
SAN BERNARDINO ........................................
ALAMEDA ........................................................
SAN JOAQUIN ................................................
ALAMEDA ........................................................
TUOLUMNE .....................................................
SAN BERNARDINO ........................................
Sfmt 4702
E:\FR\FM\30APP2.SGM
30APP2
County code
01060
01290
01600
03055
04720
04610
04270
04600
04130
04340
04290
04540
05000
05510
05480
05380
05380
05020
05500
05620
05000
05480
05480
05400
05510
05580
05000
05480
05490
05460
05590
05460
05580
05510
05490
05490
05460
05680
05590
05460
05390
05480
05490
05400
05400
05590
05400
05540
05000
05510
05000
05400
05400
05480
05400
05500
05540
05460
05000
05460
05460
05000
05510
05590
05460
05460
05000
05490
05000
05650
05460
23812
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 4J.—OUT-MIGRATION ADJUSTMENT—FY 2009—Continued
Reclassified
for FY 2009
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
050335
050336
050348
050366
050367
050385
050407
050426
050444
050454
050457
050476
050488
050494
050506
050512
050517
050526
050528
050541
050543
050547
050548
050551
050567
050570
050580
050584
050586
050589
050603
050609
050618
050633
050667
050668
050678
050680
050690
050693
050714
050720
050744
050745
050746
050747
050748
050754
050758
060001
060003
060010
060027
060030
060103
060116
060119
070006
070010
070018
070028
070033
070034
080001
080003
100014
100017
100045
100047
100068
100072
.............................................................
.............................................................
.............................................................
.............................................................
.............................................................
.............................................................
.............................................................
.............................................................
.............................................................
.............................................................
.............................................................
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.............................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
Out-migration
adjustment
* ...................
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* ...................
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* ...................
* ...................
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* ...................
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* ...................
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* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
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* ...................
* ...................
* ...................
* ...................
* ...................
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* ...................
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* ...................
* ...................
* ...................
* ...................
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* ...................
* ...................
* ...................
* ...................
* ...................
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* ...................
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* ...................
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* ...................
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* ...................
* ...................
.....................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
0.0033
0.0132
0.0020
0.0015
0.0171
0.0058
0.0026
0.0020
0.0233
0.0026
0.0026
0.0278
0.0010
0.0342
0.0103
0.0010
0.0017
0.0020
0.0233
0.0146
0.0020
0.0058
0.0020
0.0020
0.0020
0.0020
0.0020
0.0017
0.0017
0.0020
0.0020
0.0020
0.0017
0.0103
0.0180
0.0026
0.0020
0.0171
0.0058
0.0020
0.0052
0.0020
0.0020
0.0020
0.0020
0.0020
0.0132
0.0146
0.0017
0.0042
0.0069
0.0153
0.0069
0.0153
0.0069
0.0069
0.0153
0.0045
0.0045
0.0045
0.0045
0.0045
0.0045
0.0063
0.0063
0.0047
0.0047
0.0047
0.0028
0.0047
0.0047
PO 00000
Frm 00286
Fmt 4701
Qualifying county name
TUOLUMNE .....................................................
SAN JOAQUIN ................................................
ORANGE .........................................................
CALAVERAS ...................................................
SOLANO ..........................................................
SONOMA .........................................................
SAN FRANCISCO ...........................................
ORANGE .........................................................
MERCED .........................................................
SAN FRANCISCO ...........................................
SAN FRANCISCO ...........................................
LAKE ................................................................
ALAMEDA ........................................................
NEVADA ..........................................................
SAN LUIS OBISPO .........................................
ALAMEDA ........................................................
SAN BERNARDINO ........................................
ORANGE .........................................................
MERCED .........................................................
SAN MATEO ...................................................
ORANGE .........................................................
SONOMA .........................................................
ORANGE .........................................................
ORANGE .........................................................
ORANGE .........................................................
ORANGE .........................................................
ORANGE .........................................................
SAN BERNARDINO ........................................
SAN BERNARDINO ........................................
ORANGE .........................................................
ORANGE .........................................................
ORANGE .........................................................
SAN BERNARDINO ........................................
SAN LUIS OBISPO .........................................
NAPA ...............................................................
SAN FRANCISCO ...........................................
ORANGE .........................................................
SOLANO ..........................................................
SONOMA .........................................................
ORANGE .........................................................
SANTA CRUZ ..................................................
ORANGE .........................................................
ORANGE .........................................................
ORANGE .........................................................
ORANGE .........................................................
ORANGE .........................................................
SAN JOAQUIN ................................................
SAN MATEO ...................................................
SAN BERNARDINO ........................................
WELD ..............................................................
BOULDER .......................................................
LARIMER .........................................................
BOULDER .......................................................
LARIMER .........................................................
BOULDER .......................................................
BOULDER .......................................................
LARIMER .........................................................
FAIRFIELD ......................................................
FAIRFIELD ......................................................
FAIRFIELD ......................................................
FAIRFIELD ......................................................
FAIRFIELD ......................................................
FAIRFIELD ......................................................
NEW CASTLE .................................................
NEW CASTLE .................................................
VOLUSIA .........................................................
VOLUSIA .........................................................
VOLUSIA .........................................................
CHARLOTTE ...................................................
VOLUSIA .........................................................
VOLUSIA .........................................................
Sfmt 4702
E:\FR\FM\30APP2.SGM
30APP2
County code
05650
05490
05400
05040
05580
05590
05480
05400
05340
05480
05480
05160
05000
05390
05500
05000
05460
05400
05340
05510
05400
05590
05400
05400
05400
05400
05400
05460
05460
05400
05400
05400
05460
05500
05380
05480
05400
05580
05590
05400
05540
05400
05400
05400
05400
05400
05490
05510
05460
06610
06060
06340
06060
06340
06060
06060
06340
07000
07000
07000
07000
07000
07000
08010
08010
10630
10630
10630
10070
10630
10630
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23813
TABLE 4J.—OUT-MIGRATION ADJUSTMENT—FY 2009—Continued
Reclassified
for FY 2009
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
100077
100081
100102
100118
100156
100232
100236
100252
100290
100292
110023
110029
110040
110041
110100
110101
110142
110146
110150
110187
110189
110190
110205
130003
130024
130049
130066
130067
140001
140026
140043
140058
140110
140116
140160
140161
140167
140176
140234
150006
150015
150022
150030
150072
150076
150088
150091
150102
150113
150133
150146
160013
160030
160032
160080
170137
170150
180012
180017
180049
180064
180066
180070
180079
190003
190015
190017
190034
190044
190050
190053
.............................................................
.............................................................
.............................................................
.............................................................
.............................................................
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.............................................................
.............................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
Out-migration
adjustment
* ...................
* ...................
.....................
* ...................
* ...................
* ...................
* ...................
* ...................
.....................
* ...................
* ...................
* ...................
* ...................
* ...................
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* ...................
* ...................
* ...................
* ...................
.....................
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* ...................
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* ...................
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* ...................
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* ...................
* ...................
* ...................
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* ...................
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* ...................
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* ...................
* ...................
.....................
* ...................
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* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
.....................
.....................
.....................
* ...................
* ...................
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* ...................
* ...................
* ...................
.....................
* ...................
.....................
.....................
* ...................
* ...................
* ...................
.....................
.....................
.....................
.....................
0.0028
0.0022
0.0125
0.0177
0.0125
0.0054
0.0028
0.0151
0.0582
0.0022
0.0416
0.0052
0.1455
0.0623
0.0790
0.0067
0.0185
0.0805
0.0227
0.0643
0.0066
0.0241
0.0507
0.0235
0.0675
0.0319
0.0319
0.0725
0.0369
0.0315
0.0056
0.0126
0.0315
0.0007
0.0332
0.0168
0.0632
0.0007
0.0315
0.0113
0.0113
0.0158
0.0192
0.0105
0.0215
0.0111
0.0050
0.0108
0.0111
0.0193
0.0319
0.0179
0.0040
0.0235
0.0066
0.0336
0.0166
0.0080
0.0035
0.0488
0.0314
0.0439
0.0240
0.0259
0.0085
0.0243
0.0187
0.0189
0.0261
0.0044
0.0101
PO 00000
Frm 00287
Fmt 4701
Qualifying county name
CHARLOTTE ...................................................
WALTON .........................................................
COLUMBIA ......................................................
FLAGLER ........................................................
COLUMBIA ......................................................
PUTNAM ..........................................................
CHARLOTTE ...................................................
OKEECHOBEE ................................................
SUMTER ..........................................................
WALTON .........................................................
GORDON .........................................................
HALL ................................................................
JACKSON ........................................................
HABERSHAM ..................................................
JEFFERSON ...................................................
COOK ..............................................................
EVANS .............................................................
CAMDEN .........................................................
BALDWIN ........................................................
LUMPKIN .........................................................
FANNIN ...........................................................
MACON ...........................................................
GILMER ...........................................................
NEZ PERCE ....................................................
BONNER .........................................................
KOOTENAI ......................................................
KOOTENAI ......................................................
BINGHAM ........................................................
FULTON ..........................................................
LA SALLE ........................................................
WHITESIDE .....................................................
MORGAN .........................................................
LA SALLE ........................................................
MC HENRY .....................................................
STEPHENSON ................................................
LIVINGSTON ...................................................
IROQUOIS .......................................................
MC HENRY .....................................................
LA SALLE ........................................................
LA PORTE .......................................................
LA PORTE .......................................................
MONTGOMERY ..............................................
HENRY ............................................................
CASS ...............................................................
MARSHALL .....................................................
MADISON ........................................................
HUNTINGTON .................................................
STARKE ..........................................................
MADISON ........................................................
KOSCIUSKO ...................................................
NOBLE .............................................................
MUSCATINE ....................................................
STORY ............................................................
JASPER ...........................................................
CLINTON .........................................................
DOUGLAS .......................................................
COWLEY .........................................................
HARDIN ...........................................................
BARREN ..........................................................
MADISON ........................................................
MONTGOMERY ..............................................
LOGAN ............................................................
GRAYSON .......................................................
HARRISON ......................................................
IBERIA .............................................................
TANGIPAHOA .................................................
ST. LANDRY ...................................................
VERMILION .....................................................
ACADIA ...........................................................
BEAUREGARD ................................................
JEFFERSON DAVIS .......................................
Sfmt 4702
E:\FR\FM\30APP2.SGM
30APP2
County code
10070
10650
10110
10170
10110
10530
10070
10460
10590
10650
11500
11550
11610
11540
11620
11311
11441
11170
11030
11701
11450
11710
11471
13340
13080
13270
13270
13050
14370
14580
14988
14770
14580
14640
14970
14610
14460
14640
14580
15450
15450
15530
15320
15080
15490
15470
15340
15740
15470
15420
15560
16690
16840
16490
16220
17220
17170
18460
18040
18750
18860
18700
18420
18480
19220
19520
19480
19560
19000
19050
19260
23814
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 4J.—OUT-MIGRATION ADJUSTMENT—FY 2009—Continued
Reclassified
for FY 2009
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
190054
190078
190086
190088
190099
190106
190116
190133
190140
190144
190145
190184
190190
190191
190246
190257
190277
200024
200032
200034
200050
210001
210023
210028
210043
210061
220001
220002
220010
220011
220019
220025
220029
220033
220035
220049
220058
220062
220063
220070
220080
220082
220084
220090
220095
220098
220101
220105
220163
220171
220174
220176
230003
230005
230013
230015
230019
230021
230022
230029
230035
230037
230047
230069
230071
230072
230075
230078
230092
230093
230096
.............................................................
.............................................................
.............................................................
.............................................................
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VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
Out-migration
adjustment
.....................
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* ...................
* ...................
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* ...................
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* ...................
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* ...................
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* ...................
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* ...................
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* ...................
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* ...................
* ...................
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* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
.....................
* ...................
.....................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
.....................
* ...................
* ...................
.....................
* ...................
0.0085
0.0187
0.0061
0.0387
0.0189
0.0102
0.0085
0.0102
0.0035
0.0387
0.0090
0.0161
0.0161
0.0187
0.0161
0.0061
0.0387
0.0094
0.0466
0.0094
0.0227
0.0187
0.0079
0.0512
0.0079
0.0188
0.0067
0.0271
0.0355
0.0271
0.0067
0.0067
0.0355
0.0355
0.0355
0.0271
0.0067
0.0067
0.0271
0.0271
0.0355
0.0271
0.0271
0.0067
0.0067
0.0271
0.0271
0.0271
0.0067
0.0271
0.0355
0.0067
0.0220
0.0473
0.0025
0.0295
0.0025
0.0101
0.0212
0.0025
0.0095
0.0210
0.0021
0.0210
0.0025
0.0220
0.0047
0.0101
0.0223
0.0058
0.0295
PO 00000
Frm 00288
Fmt 4701
Qualifying county name
IBERIA .............................................................
ST. LANDRY ...................................................
LINCOLN .........................................................
WEBSTER .......................................................
AVOYELLES ....................................................
ALLEN .............................................................
MOREHOUSE .................................................
ALLEN .............................................................
FRANKLIN .......................................................
WEBSTER .......................................................
LA SALLE ........................................................
CALDWELL .....................................................
CALDWELL .....................................................
ST. LANDRY ...................................................
CALDWELL .....................................................
LINCOLN .........................................................
WEBSTER .......................................................
ANDROSCOGGIN ...........................................
OXFORD .........................................................
ANDROSCOGGIN ...........................................
HANCOCK .......................................................
WASHINGTON ................................................
ANNE ARUNDEL ............................................
ST. MARYS .....................................................
ANNE ARUNDEL ............................................
WORCESTER .................................................
WORCESTER .................................................
MIDDLESEX ....................................................
ESSEX .............................................................
MIDDLESEX ....................................................
WORCESTER .................................................
WORCESTER .................................................
ESSEX .............................................................
ESSEX .............................................................
ESSEX .............................................................
MIDDLESEX ....................................................
WORCESTER .................................................
WORCESTER .................................................
MIDDLESEX ....................................................
MIDDLESEX ....................................................
ESSEX .............................................................
MIDDLESEX ....................................................
MIDDLESEX ....................................................
WORCESTER .................................................
WORCESTER .................................................
MIDDLESEX ....................................................
MIDDLESEX ....................................................
MIDDLESEX ....................................................
WORCESTER .................................................
MIDDLESEX ....................................................
ESSEX .............................................................
WORCESTER .................................................
OTTAWA .........................................................
LENAWEE .......................................................
OAKLAND ........................................................
ST. JOSEPH ....................................................
OAKLAND ........................................................
BERRIEN .........................................................
BRANCH ..........................................................
OAKLAND ........................................................
MONTCALM ....................................................
HILLSDALE .....................................................
MACOMB .........................................................
LIVINGSTON ...................................................
OAKLAND ........................................................
OTTAWA .........................................................
CALHOUN .......................................................
BERRIEN .........................................................
JACKSON ........................................................
MECOSTA .......................................................
ST. JOSEPH ....................................................
Sfmt 4702
E:\FR\FM\30APP2.SGM
30APP2
County code
19220
19480
19300
19590
19040
19010
19330
19010
19200
19590
19290
19100
19100
19480
19100
19300
19590
20000
20080
20000
20040
21210
21010
21180
21010
21230
22170
22090
22040
22090
22170
22170
22040
22040
22040
22090
22170
22170
22090
22090
22040
22090
22090
22170
22170
22090
22090
22090
22170
22090
22040
22170
23690
23450
23620
23740
23620
23100
23110
23620
23580
23290
23490
23460
23620
23690
23120
23100
23370
23530
23740
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23815
TABLE 4J.—OUT-MIGRATION ADJUSTMENT—FY 2009—Continued
Reclassified
for FY 2009
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
230099
230121
230130
230151
230174
230195
230204
230207
230208
230217
230222
230223
230227
230254
230257
230264
230269
230277
230279
230301
240018
240044
240064
240069
240071
240117
240211
250023
250040
250117
250128
250162
260059
260064
260097
260116
260163
280077
280123
290002
300011
300012
300017
300020
300023
300029
300034
310002
310009
310010
310011
310015
310017
310018
310021
310031
310038
310039
310044
310050
310054
310057
310061
310069
310070
310076
310083
310091
310092
310093
310096
.............................................................
.............................................................
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VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
Out-migration
adjustment
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
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* ...................
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* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
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* ...................
* ...................
* ...................
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* ...................
* ...................
* ...................
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* ...................
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* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
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* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
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* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
.....................
* ...................
* ...................
0.0231
0.0678
0.0025
0.0025
0.0220
0.0021
0.0021
0.0025
0.0095
0.0047
0.0035
0.0025
0.0021
0.0025
0.0021
0.0021
0.0025
0.0025
0.0210
0.0025
0.0805
0.0625
0.0134
0.0267
0.0385
0.0527
0.0812
0.0541
0.0021
0.0541
0.0446
0.0014
0.0077
0.0089
0.0300
0.0087
0.0087
0.0080
0.0123
0.0277
0.0069
0.0069
0.0102
0.0069
0.0102
0.0102
0.0069
0.0268
0.0268
0.0092
0.0115
0.0203
0.0203
0.0268
0.0092
0.0153
0.0209
0.0209
0.0092
0.0203
0.0268
0.0153
0.0153
0.0096
0.0209
0.0268
0.0268
0.0096
0.0092
0.0268
0.0268
PO 00000
Frm 00289
Fmt 4701
Qualifying county name
MONROE .........................................................
SHIAWASSEE .................................................
OAKLAND ........................................................
OAKLAND ........................................................
OTTAWA .........................................................
MACOMB .........................................................
MACOMB .........................................................
OAKLAND ........................................................
MONTCALM ....................................................
CALHOUN .......................................................
MIDLAND .........................................................
OAKLAND ........................................................
MACOMB .........................................................
OAKLAND ........................................................
MACOMB .........................................................
MACOMB .........................................................
OAKLAND ........................................................
OAKLAND ........................................................
LIVINGSTON ...................................................
OAKLAND ........................................................
GOODHUE ......................................................
WINONA ..........................................................
ITASCA ............................................................
STEELE ...........................................................
RICE ................................................................
MOWER ...........................................................
PINE ................................................................
PEARL RIVER .................................................
JACKSON ........................................................
PEARL RIVER .................................................
PANOLA ..........................................................
HANCOCK .......................................................
LACLEDE ........................................................
AUDRAIN .........................................................
JOHNSON .......................................................
ST. FRANCOIS ...............................................
ST. FRANCOIS ...............................................
DODGE ............................................................
GAGE ..............................................................
LYON ...............................................................
HILLSBOROUGH ............................................
HILLSBOROUGH ............................................
ROCKINGHAM ................................................
HILLSBOROUGH ............................................
ROCKINGHAM ................................................
ROCKINGHAM ................................................
HILLSBOROUGH ............................................
ESSEX .............................................................
ESSEX .............................................................
MERCER .........................................................
CAPE MAY ......................................................
MORRIS ..........................................................
MORRIS ..........................................................
ESSEX .............................................................
MERCER .........................................................
BURLINGTON .................................................
MIDDLESEX ....................................................
MIDDLESEX ....................................................
MERCER .........................................................
MORRIS ..........................................................
ESSEX .............................................................
BURLINGTON .................................................
BURLINGTON .................................................
SALEM .............................................................
MIDDLESEX ....................................................
ESSEX .............................................................
ESSEX .............................................................
SALEM .............................................................
MERCER .........................................................
ESSEX .............................................................
ESSEX .............................................................
Sfmt 4702
E:\FR\FM\30APP2.SGM
30APP2
County code
23570
23770
23620
23620
23690
23490
23490
23620
23580
23120
23550
23620
23490
23620
23490
23490
23620
23620
23460
23620
24240
24840
24300
24730
24650
24490
24570
25540
25290
25540
25530
25220
26520
26030
26500
26930
26930
28260
28330
29090
30050
30050
30070
30050
30070
30070
30050
31200
31200
31260
31180
31300
31300
31200
31260
31150
31270
31270
31260
31300
31200
31150
31150
31340
31270
31200
31200
31340
31260
31200
31200
23816
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 4J.—OUT-MIGRATION ADJUSTMENT—FY 2009—Continued
Reclassified
for FY 2009
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
310108
310110
310119
320003
320011
320018
320085
330004
330008
330010
330027
330033
330047
330073
330094
330103
330106
330126
330132
330135
330144
330151
330167
330175
330181
330182
330191
330198
330205
330224
330225
330235
330259
330264
330276
330277
330331
330332
330372
330386
340020
340021
340024
340027
340037
340038
340039
340068
340069
340070
340071
340073
340085
340096
340104
340114
340126
340129
340133
340138
340144
340145
340151
340173
360002
360010
360013
360025
360036
360040
360044
.............................................................
.............................................................
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VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
Out-migration
adjustment
* ...................
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* ...................
* ...................
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* ...................
* ...................
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* ...................
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* ...................
* ...................
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* ...................
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* ...................
* ...................
* ...................
* ...................
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* ...................
* ...................
* ...................
* ...................
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* ...................
* ...................
* ...................
* ...................
* ...................
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* ...................
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* ...................
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* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
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* ...................
* ...................
* ...................
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* ...................
* ...................
* ...................
.....................
* ...................
.....................
* ...................
* ...................
* ...................
* ...................
.....................
.....................
0.0209
0.0092
0.0268
0.0629
0.0442
0.0024
0.0024
0.0633
0.0126
0.0067
0.0123
0.0223
0.0067
0.0151
0.0503
0.0131
0.0123
0.0642
0.0131
0.0642
0.0054
0.0054
0.0123
0.0260
0.0123
0.0123
0.0017
0.0123
0.0642
0.0633
0.0123
0.0306
0.0123
0.0642
0.0036
0.0054
0.0123
0.0123
0.0123
0.0745
0.0156
0.0162
0.0177
0.0128
0.0162
0.0253
0.0101
0.0087
0.0015
0.0395
0.0226
0.0015
0.0250
0.0250
0.0162
0.0015
0.0100
0.0101
0.0308
0.0015
0.0101
0.0336
0.0052
0.0015
0.0141
0.0074
0.0135
0.0077
0.0126
0.0387
0.0127
PO 00000
Frm 00290
Fmt 4701
Qualifying county name
MIDDLESEX ....................................................
MERCER .........................................................
ESSEX .............................................................
SAN MIGUEL ..................................................
RIO ARRIBA ....................................................
DONA ANA ......................................................
DONA ANA ......................................................
ULSTER ...........................................................
WYOMING .......................................................
MONTGOMERY ..............................................
NASSAU ..........................................................
CHENANGO ....................................................
MONTGOMERY ..............................................
GENESEE .......................................................
COLUMBIA ......................................................
CATTARAUGUS ..............................................
NASSAU ..........................................................
ORANGE .........................................................
CATTARAUGUS ..............................................
ORANGE .........................................................
STEUBEN ........................................................
STEUBEN ........................................................
NASSAU ..........................................................
CORTLAND .....................................................
NASSAU ..........................................................
NASSAU ..........................................................
WARREN .........................................................
NASSAU ..........................................................
ORANGE .........................................................
ULSTER ...........................................................
NASSAU ..........................................................
CAYUGA ..........................................................
NASSAU ..........................................................
ORANGE .........................................................
FULTON ..........................................................
STEUBEN ........................................................
NASSAU ..........................................................
NASSAU ..........................................................
NASSAU ..........................................................
SULLIVAN .......................................................
LEE ..................................................................
CLEVELAND ...................................................
SAMPSON .......................................................
LENOIR ...........................................................
CLEVELAND ...................................................
BEAUFORT .....................................................
IREDELL ..........................................................
COLUMBUS ....................................................
WAKE ..............................................................
ALAMANCE .....................................................
HARNETT ........................................................
WAKE ..............................................................
DAVIDSON ......................................................
DAVIDSON ......................................................
CLEVELAND ...................................................
WAKE ..............................................................
WILSON ...........................................................
IREDELL ..........................................................
MARTIN ...........................................................
WAKE ..............................................................
IREDELL ..........................................................
LINCOLN .........................................................
HALIFAX ..........................................................
WAKE ..............................................................
ASHLAND ........................................................
TUSCARAWAS ...............................................
SHELBY ...........................................................
ERIE ................................................................
WAYNE ............................................................
KNOX ...............................................................
DARKE ............................................................
Sfmt 4702
E:\FR\FM\30APP2.SGM
30APP2
County code
31270
31260
31200
32230
32190
32060
32060
33740
33900
33380
33400
33080
33380
33290
33200
33040
33400
33540
33040
33540
33690
33690
33400
33210
33400
33400
33750
33400
33540
33740
33400
33050
33400
33540
33280
33690
33400
33400
33400
33710
34520
34220
34810
34530
34220
34060
34480
34230
34910
34000
34420
34910
34280
34280
34220
34910
34970
34480
34580
34910
34480
34540
34410
34910
36020
36800
36760
36220
36860
36430
36190
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23817
TABLE 4J.—OUT-MIGRATION ADJUSTMENT—FY 2009—Continued
Reclassified
for FY 2009
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
360065
360071
360086
360096
360107
360125
360156
360175
360185
360187
360245
370014
370015
370023
370065
370072
370083
370100
370149
370156
370169
370172
370214
380022
380029
380051
380056
390008
390016
390030
390031
390044
390052
390056
390065
390066
390079
390086
390096
390110
390113
390117
390122
390125
390130
390138
390146
390150
390151
390162
390183
390201
390236
390313
390316
420002
420007
420009
420019
420020
420027
420030
420036
420039
420043
420053
420054
420062
420068
420069
420070
.............................................................
.............................................................
.............................................................
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VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
Out-migration
adjustment
* ...................
.....................
* ...................
* ...................
* ...................
* ...................
.....................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
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* ...................
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* ...................
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* ...................
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* ...................
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* ...................
* ...................
.....................
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* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
* ...................
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* ...................
* ...................
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* ...................
* ...................
* ...................
* ...................
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* ...................
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* ...................
* ...................
.....................
* ...................
* ...................
* ...................
* ...................
* ...................
.....................
.....................
.....................
* ...................
* ...................
* ...................
* ...................
0.0075
0.0035
0.0186
0.0071
0.0119
0.0133
0.0119
0.0183
0.0071
0.0186
0.0133
0.0361
0.0366
0.0090
0.0096
0.0258
0.0051
0.0100
0.0302
0.0121
0.0163
0.0258
0.0121
0.0067
0.0075
0.0075
0.0075
0.0060
0.0060
0.0284
0.0284
0.0191
0.0047
0.0036
0.0532
0.0372
0.0003
0.0047
0.0191
0.0003
0.0053
0.0002
0.0053
0.0022
0.0003
0.0218
0.0022
0.0031
0.0218
0.0200
0.0284
0.1170
0.0003
0.0284
0.0191
0.0004
0.0027
0.0113
0.0158
0.0007
0.0108
0.0069
0.0064
0.0153
0.0157
0.0035
0.0003
0.0109
0.0027
0.0052
0.0052
PO 00000
Frm 00291
Fmt 4701
Qualifying county name
HURON ............................................................
VAN WERT ......................................................
CLARK .............................................................
COLUMBIANA .................................................
SANDUSKY .....................................................
ASHTABULA ...................................................
SANDUSKY .....................................................
CLINTON .........................................................
COLUMBIANA .................................................
CLARK .............................................................
ASHTABULA ...................................................
BRYAN ............................................................
MAYES ............................................................
STEPHENS .....................................................
CRAIG .............................................................
LATIMER .........................................................
PUSHMATAHA ................................................
CHOCTAW ......................................................
POTTAWATOMIE ............................................
GARVIN ...........................................................
MCINTOSH ......................................................
LATIMER .........................................................
GARVIN ...........................................................
LINN .................................................................
MARION ..........................................................
MARION ..........................................................
MARION ..........................................................
LAWRENCE ....................................................
LAWRENCE ....................................................
SCHUYLKILL ...................................................
SCHUYLKILL ...................................................
BERKS .............................................................
CLEARFIELD ...................................................
HUNTINGDON ................................................
ADAMS ............................................................
LEBANON ........................................................
BRADFORD .....................................................
CLEARFIELD ...................................................
BERKS .............................................................
CAMBRIA ........................................................
CRAWFORD ....................................................
BEDFORD .......................................................
CRAWFORD ....................................................
WAYNE ............................................................
CAMBRIA ........................................................
FRANKLIN .......................................................
WARREN .........................................................
GREENE ..........................................................
FRANKLIN .......................................................
NORTHAMPTON .............................................
SCHUYLKILL ...................................................
MONROE .........................................................
BRADFORD .....................................................
SCHUYLKILL ...................................................
BERKS .............................................................
YORK ...............................................................
SPARTANBURG .............................................
OCONEE .........................................................
CHESTER ........................................................
GEORGETOWN ..............................................
ANDERSON ....................................................
COLLETON .....................................................
LANCASTER ...................................................
UNION .............................................................
CHEROKEE .....................................................
NEWBERRY ....................................................
MARLBORO ....................................................
CHESTERFIELD .............................................
ORANGEBURG ...............................................
CLARENDON ..................................................
SUMTER ..........................................................
Sfmt 4702
E:\FR\FM\30APP2.SGM
30APP2
County code
36400
36820
36110
36140
36730
36030
36730
36130
36140
36110
36030
37060
37480
37680
37170
37380
37630
37110
37620
37240
37450
37380
37240
38210
38230
38230
38230
39450
39450
39650
39650
39110
39230
39380
39000
39460
39130
39230
39110
39160
39260
39100
39260
39760
39160
39350
39740
39370
39350
39590
39650
39550
39130
39650
39110
42450
42410
42360
42110
42210
42030
42140
42280
42430
42100
42350
42340
42120
42370
42130
42420
23818
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 4J.—OUT-MIGRATION ADJUSTMENT—FY 2009—Continued
Reclassified
for FY 2009
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
420082
420083
420098
430008
430048
430094
440007
440008
440012
440016
440017
440024
440025
440030
440031
440033
440035
440047
440050
440051
440057
440060
440067
440070
440081
440084
440109
440115
440137
440144
440148
440153
440174
440176
440180
440181
440182
440185
450032
450039
450052
450059
450064
450087
450090
450099
450135
450137
450144
450163
450192
450194
450210
450224
450236
450270
450283
450324
450347
450348
450370
450389
450393
450395
450419
450438
450451
450460
450469
450497
450539
.............................................................
.............................................................
.............................................................
.............................................................
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VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
Out-migration
adjustment
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* ...................
* ...................
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* ...................
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* ...................
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* ...................
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* ...................
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* ...................
* ...................
* ...................
* ...................
.....................
* ...................
* ...................
* ...................
* ...................
.....................
.....................
.....................
* ...................
.....................
.....................
0.0008
0.0027
0.0007
0.0535
0.0129
0.0129
0.0219
0.0449
0.0007
0.0144
0.0007
0.0230
0.0007
0.0056
0.0019
0.0027
0.0301
0.0338
0.0007
0.0082
0.0021
0.0338
0.0056
0.0109
0.0052
0.0025
0.0070
0.0338
0.0738
0.0219
0.0296
0.0007
0.0312
0.0007
0.0027
0.0365
0.0144
0.0230
0.0254
0.0024
0.0276
0.0075
0.0024
0.0024
0.0650
0.0145
0.0024
0.0024
0.0559
0.0054
0.0271
0.0213
0.0151
0.0195
0.0389
0.0271
0.0653
0.0132
0.0370
0.0059
0.0235
0.0618
0.0132
0.0441
0.0024
0.0235
0.0536
0.0053
0.0132
0.0375
0.0067
PO 00000
Frm 00292
Fmt 4701
Qualifying county name
AIKEN ..............................................................
SPARTANBURG .............................................
GEORGETOWN ..............................................
BROOKINGS ...................................................
LAWRENCE ....................................................
LAWRENCE ....................................................
COFFEE ..........................................................
HENDERSON ..................................................
SULLIVAN .......................................................
CARROLL ........................................................
SULLIVAN .......................................................
BRADLEY ........................................................
GREENE ..........................................................
HAMBLEN .......................................................
ROANE ............................................................
CAMPBELL ......................................................
MONTGOMERY ..............................................
GIBSON ...........................................................
GREENE ..........................................................
MC NAIRY .......................................................
CLAIBORNE ....................................................
GIBSON ...........................................................
HAMBLEN .......................................................
DECATUR .......................................................
SEVIER ............................................................
MONROE .........................................................
HARDIN ...........................................................
GIBSON ...........................................................
BEDFORD .......................................................
COFFEE ..........................................................
DE KALB .........................................................
COCKE ............................................................
HAYWOOD ......................................................
SULLIVAN .......................................................
CAMPBELL ......................................................
HARDEMAN ....................................................
CARROLL ........................................................
BRADLEY ........................................................
HARRISON ......................................................
TARRANT ........................................................
BOSQUE .........................................................
COMAL ............................................................
TARRANT ........................................................
TARRANT ........................................................
COOKE ............................................................
GRAY ...............................................................
TARRANT ........................................................
TARRANT ........................................................
ANDREWS ......................................................
KLEBERG ........................................................
HILL .................................................................
CHEROKEE .....................................................
PANOLA ..........................................................
WOOD .............................................................
HOPKINS .........................................................
HILL .................................................................
VAN ZANDT ....................................................
GRAYSON .......................................................
WALKER ..........................................................
FALLS ..............................................................
COLORADO ....................................................
HENDERSON ..................................................
GRAYSON .......................................................
POLK ...............................................................
TARRANT ........................................................
COLORADO ....................................................
SOMERVELL ...................................................
TYLER .............................................................
GRAYSON .......................................................
MONTAGUE ....................................................
HALE ...............................................................
Sfmt 4702
E:\FR\FM\30APP2.SGM
30APP2
County code
42010
42410
42210
43050
43400
43400
44150
44380
44810
44080
44810
44050
44290
44310
44720
44060
44620
44260
44290
44540
44120
44260
44310
44190
44770
44610
44350
44260
44010
44150
44200
44140
44370
44810
44060
44340
44080
44050
45620
45910
45160
45320
45910
45910
45340
45563
45910
45910
45010
45743
45651
45281
45842
45974
45654
45651
45947
45564
45949
45500
45312
45640
45564
45850
45910
45312
45893
45942
45564
45800
45582
23819
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 4J.—OUT-MIGRATION ADJUSTMENT—FY 2009—Continued
Reclassified
for FY 2009
Provider No.
450547
450563
450565
450573
450596
450615
450639
450641
450672
450675
450677
450698
450747
450755
450770
450779
450813
450838
450872
450880
450884
450886
450888
460001
460013
460017
460023
460039
460043
460052
460055
490019
490084
490110
500003
500007
500019
500039
500041
510012
510018
510047
510077
520028
520035
520044
520057
520059
520071
520076
520095
520096
520102
520116
670015
670023
.............................................................
.............................................................
.............................................................
.............................................................
.............................................................
.............................................................
.............................................................
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.............................................................
Out-migration
adjustment
* ...................
* ...................
* ...................
.....................
* ...................
.....................
* ...................
.....................
* ...................
* ...................
* ...................
.....................
* ...................
.....................
* ...................
* ...................
* ...................
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* ...................
* ...................
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* ...................
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* ...................
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* ...................
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* ...................
* ...................
.....................
* ...................
* ...................
.....................
* ...................
* ...................
* ...................
* ...................
.....................
.....................
.....................
* ...................
* ...................
* ...................
.....................
* ...................
* ...................
* ...................
.....................
.....................
0.0195
0.0024
0.0486
0.0126
0.0743
0.0032
0.0024
0.0375
0.0024
0.0024
0.0024
0.0127
0.0126
0.0276
0.0182
0.0024
0.0126
0.0126
0.0024
0.0024
0.0049
0.0024
0.0024
0.0023
0.0023
0.0383
0.0023
0.0383
0.0023
0.0023
0.0023
0.1088
0.0187
0.0185
0.0166
0.0166
0.0131
0.0094
0.0020
0.0124
0.0188
0.0269
0.0021
0.0286
0.0076
0.0076
0.0193
0.0195
0.0161
0.0146
0.0193
0.0195
0.0242
0.0161
0.0024
0.0024
Qualifying county name
County code
WOOD .............................................................
TARRANT ........................................................
PALO PINTO ...................................................
JASPER ...........................................................
HOOD ..............................................................
CASS ...............................................................
TARRANT ........................................................
MONTAGUE ....................................................
TARRANT ........................................................
TARRANT ........................................................
TARRANT ........................................................
LAMB ...............................................................
ANDERSON ....................................................
HOCKLEY ........................................................
MILAM .............................................................
TARRANT ........................................................
ANDERSON ....................................................
JASPER ...........................................................
TARRANT ........................................................
TARRANT ........................................................
UPSHUR ..........................................................
TARRANT ........................................................
TARRANT ........................................................
UTAH ...............................................................
UTAH ...............................................................
BOX ELDER ....................................................
UTAH ...............................................................
BOX ELDER ....................................................
UTAH ...............................................................
UTAH ...............................................................
UTAH ...............................................................
CULPEPER .....................................................
ESSEX .............................................................
MONTGOMERY ..............................................
SKAGIT ............................................................
SKAGIT ............................................................
LEWIS ..............................................................
KITSAP ............................................................
COWLITZ .........................................................
MASON ............................................................
JACKSON ........................................................
MARION ..........................................................
MINGO .............................................................
GREEN ............................................................
SHEBOYGAN ..................................................
SHEBOYGAN ..................................................
SAUK ...............................................................
RACINE ...........................................................
JEFFERSON ...................................................
DODGE ............................................................
SAUK ...............................................................
RACINE ...........................................................
WALWORTH ...................................................
JEFFERSON ...................................................
TARRANT ........................................................
TARRANT ........................................................
45974
45910
45841
45690
45653
45260
45910
45800
45910
45910
45910
45751
45000
45652
45795
45910
45000
45690
45910
45910
45943
45910
45910
46240
46240
46010
46240
46010
46240
46240
46240
49230
49280
49600
50280
50280
50200
50170
50070
51260
51170
51240
51290
52220
52580
52580
52550
52500
52270
52130
52550
52500
52630
52270
45910
45910
jlentini on PROD1PC65 with PROPOSALS2
TABLE 5.—LIST OF MEDICARE SEVERITY DIAGNOSIS-RELATED GROUPS (MS–DRGS), RELATIVE WEIGHTING FACTORS,
AND GEOMETRIC AND ARITHMETIC MEAN LENGTH OF STAY
MS–DRG
FY 2009
proposed
rule postacute DRG
FY 2009
proposed
rule
special pay
DRG
MDC
Type
MS–DRG title
001 ...........
No ............
No ............
PRE
SURG ......
002 ...........
No ............
No ............
PRE
SURG ......
Heart transplant or implant of heart
assist system w MCC.
Heart transplant or implant of heart
assist system w/o MCC.
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
PO 00000
Frm 00293
Fmt 4701
Sfmt 4702
E:\FR\FM\30APP2.SGM
Weights
Geometric
mean LOS
Arithmetic
mean LOS
23.4061
29.1
40.2
12.8956
18.4
24.7
30APP2
23820
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 5.—LIST OF MEDICARE SEVERITY DIAGNOSIS-RELATED GROUPS (MS–DRGS), RELATIVE WEIGHTING FACTORS,
AND GEOMETRIC AND ARITHMETIC MEAN LENGTH OF STAY—Continued
FY 2009
proposed
rule
special pay
DRG
MDC
Type
MS–DRG title
003 ...........
Yes ..........
No ............
PRE
SURG ......
004 ...........
Yes ..........
No ............
PRE
SURG ......
005 ...........
No ............
No ............
PRE
SURG ......
006 ...........
007 ...........
008 ...........
No ............
No ............
No ............
No ............
No ............
No ............
PRE
PRE
PRE
SURG ......
SURG ......
SURG ......
009 ...........
010 ...........
011 ...........
No ............
No ............
No ............
No ............
No ............
No ............
PRE
PRE
PRE
SURG ......
SURG ......
SURG ......
012 ...........
No ............
No ............
PRE
SURG ......
013 ...........
No ............
No ............
PRE
SURG ......
020 ...........
No ............
No ............
01
SURG ......
021 ...........
No ............
No ............
01
SURG ......
022 ...........
No ............
No ............
01
SURG ......
023 ...........
No ............
No ............
01
SURG ......
024 ...........
No ............
No ............
01
SURG ......
025 ...........
Yes ..........
No ............
01
SURG ......
026 ...........
Yes ..........
No ............
01
SURG ......
027 ...........
Yes ..........
No ............
01
SURG ......
028 ...........
029 ...........
Yes ..........
Yes ..........
Yes ..........
Yes ..........
01
01
SURG ......
SURG ......
030
031
032
033
Yes
Yes
Yes
Yes
..........
..........
..........
..........
Yes ..........
No ............
No ............
No ............
01
01
01
01
SURG
SURG
SURG
SURG
034 ...........
035 ...........
036 ...........
No ............
No ............
No ............
No ............
No ............
No ............
01
01
01
SURG ......
SURG ......
SURG ......
037
038
039
040
...........
...........
...........
...........
No ............
No ............
No ............
Yes ..........
No ............
No ............
No ............
Yes ..........
01
01
01
01
SURG
SURG
SURG
SURG
041 ...........
Yes ..........
Yes ..........
01
SURG ......
042 ...........
jlentini on PROD1PC65 with PROPOSALS2
MS–DRG
FY 2009
proposed
rule postacute DRG
Yes ..........
Yes ..........
01
SURG ......
052 ...........
053 ...........
No ............
No ............
No ............
No ............
01
01
MED .........
MED .........
054 ...........
055 ...........
056 ...........
Yes ..........
Yes ..........
Yes ..........
No ............
No ............
No ............
01
01
01
MED .........
MED .........
MED .........
057 ...........
Yes ..........
No ............
01
MED .........
ECMO or trach w MV 96+ hrs or PDX
exc face, mouth & neck w maj O.R.
Trach w MV 96+ hrs or PDX exc face,
mouth & neck w/o maj O.R..
Liver transplant w MCC or intestinal
transplant.
Liver transplant w/o MCC ....................
Lung transplant ....................................
Simultaneous pancreas/kidney transplant.
Bone marrow transplant ......................
Pancreas transplant ............................
Tracheostomy for face,mouth & neck
diagnoses w MCC.
Tracheostomy for face,mouth & neck
diagnoses w CC.
Tracheostomy for face,mouth & neck
diagnoses w/o CC/MCC.
Intracranial vascular procedures w
PDX hemorrhage w MCC.
Intracranial vascular procedures w
PDX hemorrhage w CC.
Intracranial vascular procedures w
PDX hemorrhage w/o CC/MCC.
Cranio w major dev impl/acute complex CNS PDX w MCC or chemo
implant.
Cranio w major dev impl/acute complex CNS PDX w/o MCC.
Craniotomy
&
endovascular
intracranial procedures w MCC.
Craniotomy
&
endovascular
intracranial procedures w CC.
Craniotomy
&
endovascular
intracranial procedures w/o CC/
MCC.
Spinal procedures w MCC ..................
Spinal procedures w CC or spinal
neurostimulators.
Spinal procedures w/o CC/MCC .........
Ventricular shunt procedures w MCC
Ventricular shunt procedures w CC ....
Ventricular shunt procedures w/o CC/
MCC.
Carotid artery stent procedure w MCC
Carotid artery stent procedure w CC ..
Carotid artery stent procedure w/o
CC/MCC.
Extracranial procedures w MCC .........
Extracranial procedures w CC ............
Extracranial procedures w/o CC/MCC
Periph/cranial nerve & other nerv syst
proc w MCC.
Periph/cranial nerve & other nerv syst
proc w CC or periph neurostim.
Periph/cranial nerve & other nerv syst
proc w/o CC/MCC.
Spinal disorders & injuries w CC/MCC
Spinal disorders & injuries w/o CC/
MCC.
Nervous system neoplasms w MCC ...
Nervous system neoplasms w/o MCC
Degenerative nervous system disorders w MCC.
Degenerative nervous system disorders w/o MCC.
...........
...........
...........
...........
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
PO 00000
......
......
......
......
......
......
......
......
Frm 00294
Fmt 4701
Sfmt 4702
E:\FR\FM\30APP2.SGM
Weights
Geometric
mean LOS
Arithmetic
mean LOS
18.3635
32.5
39.6
11.1684
23.5
28.8
10.7436
15.9
21.2
4.8292
9.7325
4.8917
8.9
15.9
10.1
10.2
19.7
11.9
6.6398
3.7508
4.8900
18.2
9.1
13.1
21.9
10.8
16.7
3.0563
8.9
10.7
1.9057
5.9
6.9
8.3276
14.8
18.4
6.3534
13.7
15.4
4.2072
7.6
9.4
5.0763
8.9
12.7
3.4757
6.3
9.0
5.0324
9.9
13.0
3.0107
6.5
8.2
2.1083
3.5
4.5
5.1853
2.7949
10.7
5.1
14.3
7.1
1.5395
4.3899
1.9471
1.3334
2.8
9.4
4.0
2.3
3.7
13.1
6.0
3.0
3.2182
2.0258
1.5706
4.6
2.1
1.3
7.2
3.3
1.6
3.0208
1.5585
1.0057
3.9691
5.9
2.5
1.5
9.7
8.5
3.8
1.8
13.3
2.1517
5.3
7.2
1.6771
2.5
3.6
1.6271
0.8617
4.9
3.2
6.7
4.0
1.5844
1.0781
1.6311
5.2
3.8
5.7
7.0
5.1
7.8
0.8755
3.9
5.0
30APP2
23821
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 5.—LIST OF MEDICARE SEVERITY DIAGNOSIS-RELATED GROUPS (MS–DRGS), RELATIVE WEIGHTING FACTORS,
AND GEOMETRIC AND ARITHMETIC MEAN LENGTH OF STAY—Continued
MS–DRG
FY 2009
proposed
rule postacute DRG
FY 2009
proposed
rule
special pay
DRG
MDC
058 ...........
No ............
No ............
059 ...........
No ............
060 ...........
Type
MS–DRG title
01
MED .........
No ............
01
MED .........
No ............
No ............
01
MED .........
061 ...........
No ............
No ............
01
MED .........
062 ...........
No ............
No ............
01
MED .........
063 ...........
No ............
No ............
01
MED .........
064 ...........
Yes ..........
No ............
01
MED .........
065 ...........
Yes ..........
No ............
01
MED .........
066 ...........
Yes ..........
No ............
01
MED .........
067 ...........
No ............
No ............
01
MED .........
068 ...........
No ............
No ............
01
MED .........
069 ...........
070 ...........
No ............
Yes ..........
No ............
No ............
01
01
MED .........
MED .........
071 ...........
Yes ..........
No ............
01
MED .........
072 ...........
Yes ..........
No ............
01
MED .........
073 ...........
No ............
No ............
01
MED .........
074 ...........
No ............
No ............
01
MED .........
075
076
077
078
079
No
No
No
No
No
No
No
No
No
No
............
............
............
............
............
01
01
01
01
01
MED
MED
MED
MED
MED
Multiple sclerosis & cerebellar ataxia
w MCC.
Multiple sclerosis & cerebellar ataxia
w CC.
Multiple sclerosis & cerebellar ataxia
w/o CC/MCC.
Acute ischemic stroke w use of
thrombolytic agent w MCC.
Acute ischemic stroke w use of
thrombolytic agent w CC.
Acute ischemic stroke w use of
thrombolytic agent w/o CC/MCC.
Intracranial hemorrhage or cerebral infarction w MCC.
Intracranial hemorrhage or cerebral infarction w CC.
Intracranial hemorrhage or cerebral infarction w/o CC/MCC.
Nonspecific cva & precerebral occlusion w/o infarct w MCC.
Nonspecific cva & precerebral occlusion w/o infarct w/o MCC.
Transient ischemia ..............................
Nonspecific cerebrovascular disorders
w MCC.
Nonspecific cerebrovascular disorders
w CC.
Nonspecific cerebrovascular disorders
w/o CC/MCC.
Cranial & peripheral nerve disorders w
MCC.
Cranial & peripheral nerve disorders
w/o MCC.
Viral meningitis w CC/MCC .................
Viral meningitis w/o CC/MCC ..............
Hypertensive encephalopathy w MCC
Hypertensive encephalopathy w CC ...
Hypertensive encephalopathy w/o CC/
MCC.
Nontraumatic stupor & coma w MCC
Nontraumatic stupor & coma w/o
MCC.
Traumatic stupor & coma, coma >1 hr
w MCC.
Traumatic stupor & coma, coma >1 hr
w CC.
Traumatic stupor & coma, coma >1 hr
w/o CC/MCC.
Traumatic stupor & coma, coma <1 hr
w MCC.
Traumatic stupor & coma, coma <1 hr
w CC.
Traumatic stupor & coma, coma <1 hr
w/o CC/MCC.
Concussion w MCC .............................
Concussion w CC ................................
Concussion w/o CC/MCC ...................
Other disorders of nervous system w
MCC.
Other disorders of nervous system w
CC.
Other disorders of nervous system w/
o CC/MCC.
Bacterial & tuberculous infections of
nervous system w MCC.
Bacterial & tuberculous infections of
nervous system w CC.
...........
...........
...........
...........
...........
............
............
............
............
............
.........
.........
.........
.........
.........
No ............
No ............
No ............
No ............
01
01
MED .........
MED .........
082 ...........
No ............
No ............
01
MED .........
083 ...........
No ............
No ............
01
MED .........
084 ...........
No ............
No ............
01
MED .........
085 ...........
Yes ..........
No ............
01
MED .........
086 ...........
Yes ..........
No ............
01
MED .........
087 ...........
Yes ..........
No ............
01
MED .........
088
089
090
091
jlentini on PROD1PC65 with PROPOSALS2
080 ...........
081 ...........
...........
...........
...........
...........
No ............
No ............
No ............
Yes ..........
No
No
No
No
............
............
............
............
01
01
01
01
MED
MED
MED
MED
092 ...........
Yes ..........
No ............
01
MED .........
093 ...........
Yes ..........
No ............
01
MED .........
094 ...........
No ............
No ............
01
MED .........
095 ...........
No ............
No ............
01
MED .........
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19:42 Apr 29, 2008
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.........
.........
.........
.........
Frm 00295
Fmt 4701
Sfmt 4702
E:\FR\FM\30APP2.SGM
Weights
Geometric
mean LOS
Arithmetic
mean LOS
1.5373
5.7
7.6
0.9404
4.2
5.1
0.6978
3.4
4.0
2.8759
6.8
8.9
1.9505
5.3
6.3
1.5168
3.9
4.5
1.8446
5.5
7.5
1.1748
4.3
5.2
0.8426
3.1
3.7
1.3899
4.4
5.8
0.8449
2.7
3.4
0.7143
1.8241
2.4
6.0
3.0
7.9
1.1307
4.4
5.6
0.7629
2.8
3.5
1.3037
4.7
6.2
0.8406
3.4
4.3
1.6738
0.8544
1.6225
1.0050
0.7377
5.7
3.4
5.2
3.6
2.8
7.3
4.1
6.7
4.4
3.4
1.1007
0.7094
3.8
2.7
5.1
3.5
2.0177
3.7
6.4
1.3027
3.7
5.0
0.8720
2.4
3.1
2.0942
5.5
7.6
1.2049
3.9
5.0
0.8008
2.6
3.3
1.5774
0.9162
0.6736
1.5641
4.2
3.0
2.0
4.6
5.9
3.8
2.5
6.4
0.9195
3.5
4.5
0.6753
2.6
3.2
3.3477
9.2
11.9
2.1934
6.9
8.6
30APP2
23822
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 5.—LIST OF MEDICARE SEVERITY DIAGNOSIS-RELATED GROUPS (MS–DRGS), RELATIVE WEIGHTING FACTORS,
AND GEOMETRIC AND ARITHMETIC MEAN LENGTH OF STAY—Continued
MS–DRG
FY 2009
proposed
rule postacute DRG
FY 2009
proposed
rule
special pay
DRG
MDC
096 ...........
No ............
No ............
097 ...........
No ............
098 ...........
Type
MS–DRG title
01
MED .........
No ............
01
MED .........
No ............
No ............
01
MED .........
099 ...........
No ............
No ............
01
MED .........
100
101
102
103
113
114
115
116
117
121
122
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
Yes ..........
Yes ..........
No ............
No ............
No ............
No ............
No ............
No ............
No ............
No ............
No ............
No
No
No
No
No
No
No
No
No
No
No
............
............
............
............
............
............
............
............
............
............
............
01
01
01
01
02
02
02
02
02
02
02
MED .........
MED .........
MED .........
MED .........
SURG ......
SURG ......
SURG ......
SURG ......
SURG ......
MED .........
MED .........
123
124
125
129
...........
...........
...........
...........
No
No
No
No
No
No
No
No
............
............
............
............
02
02
02
03
MED .........
MED .........
MED .........
SURG ......
Bacterial & tuberculous infections of
nervous system w/o CC/MCC.
Non-bacterial infect of nervous sys
exc viral meningitis w MCC.
Non-bacterial infect of nervous sys
exc viral meningitis w CC.
Non-bacterial infect of nervous sys
exc viral meningitis w/o CC/MCC.
Seizures w MCC .................................
Seizures w/o MCC ..............................
Headaches w MCC .............................
Headaches w/o MCC ..........................
Orbital procedures w CC/MCC ...........
Orbital procedures w/o CC/MCC ........
Extraocular procedures except orbit ...
Intraocular procedures w CC/MCC .....
Intraocular procedures w/o CC/MCC ..
Acute major eye infections w CC/MCC
Acute major eye infections w/o CC/
MCC.
Neurological eye disorders ..................
Other disorders of the eye w MCC .....
Other disorders of the eye w/o MCC ..
Major head & neck procedures w CC/
MCC or major device.
Major head & neck procedures w/o
CC/MCC.
Cranial/facial procedures w CC/MCC
Cranial/facial procedures w/o CC/
MCC.
Other ear, nose, mouth & throat O.R.
procedures w CC/MCC.
Other ear, nose, mouth & throat O.R.
procedures w/o CC/MCC.
Sinus & mastoid procedures w CC/
MCC.
Sinus & mastoid procedures w/o CC/
MCC.
Mouth procedures w CC/MCC ............
Mouth procedures w/o CC/MCC .........
Salivary gland procedures ...................
Ear, nose, mouth & throat malignancy
w MCC.
Ear, nose, mouth & throat malignancy
w CC.
Ear, nose, mouth & throat malignancy
w/o CC/MCC.
Dysequilibrium .....................................
Epistaxis w MCC .................................
Epistaxis w/o MCC ..............................
Otitis media & URI w MCC .................
Otitis media & URI w/o MCC ..............
Other ear, nose, mouth & throat diagnoses w MCC.
Other ear, nose, mouth & throat diagnoses w CC.
Other ear, nose, mouth & throat diagnoses w/o CC/MCC.
Dental & oral diseases w MCC ...........
Dental & oral diseases w CC ..............
Dental & oral diseases w/o CC/MCC ..
Major chest procedures w MCC .........
Major chest procedures w CC ............
Major chest procedures w/o CC/MCC
Other resp system O.R. procedures w
MCC.
............
............
............
............
130 ...........
No ............
No ............
03
SURG ......
131 ...........
132 ...........
No ............
No ............
No ............
No ............
03
03
SURG ......
SURG ......
133 ...........
No ............
No ............
03
SURG ......
134 ...........
No ............
No ............
03
SURG ......
135 ...........
No ............
No ............
03
SURG ......
136 ...........
No ............
No ............
03
SURG ......
137
138
139
146
No
No
No
No
No
No
No
No
............
............
............
............
03
03
03
03
SURG ......
SURG ......
SURG ......
MED .........
...........
...........
...........
...........
............
............
............
............
147 ...........
No ............
No ............
03
MED .........
148 ...........
No ............
No ............
03
MED .........
149
150
151
152
153
154
No
No
No
No
No
No
No
No
No
No
No
No
............
............
............
............
............
............
03
03
03
03
03
03
MED
MED
MED
MED
MED
MED
...........
...........
...........
...........
...........
...........
............
............
............
............
............
............
.........
.........
.........
.........
.........
.........
No ............
No ............
03
MED .........
156 ...........
jlentini on PROD1PC65 with PROPOSALS2
155 ...........
No ............
No ............
03
MED .........
157
158
159
163
164
165
166
No ............
No ............
No ............
Yes ..........
Yes ..........
Yes ..........
Yes ..........
No
No
No
No
No
No
No
03
03
03
04
04
04
04
MED .........
MED .........
MED .........
SURG ......
SURG ......
SURG ......
SURG ......
...........
...........
...........
...........
...........
...........
...........
VerDate Aug<31>2005
19:42 Apr 29, 2008
............
............
............
............
............
............
............
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Fmt 4701
Sfmt 4702
E:\FR\FM\30APP2.SGM
Weights
Geometric
mean LOS
Arithmetic
mean LOS
1.8297
5.0
6.2
3.2101
9.9
12.6
1.8564
6.8
8.4
1.2533
4.6
5.9
1.5064
0.7594
0.9594
0.6224
1.5656
0.8313
1.0625
1.1338
0.6699
0.9556
0.6127
4.7
2.9
3.3
2.5
3.8
1.9
3.3
2.6
1.6
4.4
3.4
6.4
3.7
4.5
3.1
5.6
2.6
4.3
4.1
2.2
5.5
4.0
0.6840
1.0620
0.6660
2.0147
2.3
3.9
2.8
3.7
2.9
5.3
3.5
5.2
1.1588
2.4
2.9
1.9768
1.1041
4.0
2.1
5.7
2.7
1.5491
3.6
5.3
0.8243
1.7
2.2
1.6842
3.8
5.8
0.9023
1.7
2.3
1.2668
0.7368
0.8176
2.0489
3.8
1.9
1.4
6.7
5.4
2.5
1.8
9.4
1.2486
4.3
6.1
0.8181
2.7
3.8
0.6086
1.2243
0.6018
0.8976
0.5948
1.3768
2.2
3.7
2.3
3.4
2.6
4.6
2.7
5.2
2.9
4.5
3.2
6.3
0.8779
3.5
4.4
0.6306
2.5
3.2
1.4793
0.8615
0.5952
4.9951
2.5982
1.8086
3.6865
4.7
3.4
2.4
12.2
6.7
4.3
10.0
6.7
4.5
3.1
14.9
8.1
5.1
12.9
30APP2
23823
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 5.—LIST OF MEDICARE SEVERITY DIAGNOSIS-RELATED GROUPS (MS–DRGS), RELATIVE WEIGHTING FACTORS,
AND GEOMETRIC AND ARITHMETIC MEAN LENGTH OF STAY—Continued
MS–DRG
FY 2009
proposed
rule postacute DRG
FY 2009
proposed
rule
special pay
DRG
MDC
167 ...........
Yes ..........
No ............
168 ...........
Yes ..........
175 ...........
176 ...........
177 ...........
MS–DRG title
04
SURG ......
No ............
04
SURG ......
Yes ..........
Yes ..........
Yes ..........
No ............
No ............
No ............
04
04
04
MED .........
MED .........
MED .........
178 ...........
Yes ..........
No ............
04
MED .........
179 ...........
Yes ..........
No ............
04
MED .........
180
181
182
183
184
185
186
187
188
189
190
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
No ............
No ............
No ............
No ............
No ............
No ............
Yes ..........
Yes ..........
Yes ..........
No ............
Yes ..........
No
No
No
No
No
No
No
No
No
No
No
............
............
............
............
............
............
............
............
............
............
............
04
04
04
04
04
04
04
04
04
04
04
MED
MED
MED
MED
MED
MED
MED
MED
MED
MED
MED
191 ...........
Yes ..........
No ............
04
MED .........
192 ...........
Yes ..........
No ............
04
MED .........
193 ...........
194 ...........
195 ...........
Yes ..........
Yes ..........
Yes ..........
No ............
No ............
No ............
04
04
04
MED .........
MED .........
MED .........
196
197
198
199
200
201
202
203
204
205
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
Yes ..........
Yes ..........
Yes ..........
No ............
No ............
No ............
No ............
No ............
No ............
Yes ..........
No
No
No
No
No
No
No
No
No
No
............
............
............
............
............
............
............
............
............
............
04
04
04
04
04
04
04
04
04
04
MED
MED
MED
MED
MED
MED
MED
MED
MED
MED
206 ...........
Yes ..........
No ............
04
MED .........
207 ...........
Yes ..........
No ............
04
MED .........
208 ...........
No ............
No ............
04
MED .........
215 ...........
216 ...........
No ............
Yes ..........
No ............
No ............
05
05
SURG ......
SURG ......
217 ...........
Yes ..........
No ............
05
SURG ......
218 ...........
jlentini on PROD1PC65 with PROPOSALS2
Type
Yes ..........
No ............
05
SURG ......
219 ...........
Yes ..........
Yes ..........
05
SURG ......
220 ...........
Yes ..........
Yes ..........
05
SURG ......
Other resp system O.R. procedures w
CC.
Other resp system O.R. procedures
w/o CC/MCC.
Pulmonary embolism w MCC ..............
Pulmonary embolism w/o MCC ...........
Respiratory infections & inflammations
w MCC.
Respiratory infections & inflammations
w CC.
Respiratory infections & inflammations
w/o CC/MCC.
Respiratory neoplasms w MCC ..........
Respiratory neoplasms w CC .............
Respiratory neoplasms w/o CC/MCC
Major chest trauma w MCC ................
Major chest trauma w CC ...................
Major chest trauma w/o CC/MCC .......
Pleural effusion w MCC ......................
Pleural effusion w CC .........................
Pleural effusion w/o CC/MCC .............
Pulmonary edema & respiratory failure
Chronic obstructive pulmonary disease w MCC.
Chronic obstructive pulmonary disease w CC.
Chronic obstructive pulmonary disease w/o CC/MCC.
Simple pneumonia & pleurisy w MCC
Simple pneumonia & pleurisy w CC ...
Simple pneumonia & pleurisy w/o CC/
MCC.
Interstitial lung disease w MCC ..........
Interstitial lung disease w CC .............
Interstitial lung disease w/o CC/MCC
Pneumothorax w MCC ........................
Pneumothorax w CC ...........................
Pneumothorax w/o CC/MCC ...............
Bronchitis & asthma w CC/MCC .........
Bronchitis & asthma w/o CC/MCC ......
Respiratory signs & symptoms ...........
Other respiratory system diagnoses w
MCC.
Other respiratory system diagnoses w/
o MCC.
Respiratory system diagnosis w ventilator support 96+ hours.
Respiratory system diagnosis w ventilator support <96 hours.
Other heart assist system implant ......
Cardiac
valve
&
oth
maj
cardiothoracic proc w card cath w
MCC.
Cardiac
valve
&
oth
maj
cardiothoracic proc w card cath w
CC.
Cardiac
valve
&
oth
maj
cardiothoracic proc w card cath w/o
CC/MCC.
Cardiac
valve
&
oth
maj
cardiothoracic proc w/o card cath w
MCC.
Cardiac
valve
&
oth
maj
cardiothoracic proc w/o card cath w
CC.
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
PO 00000
.........
.........
.........
.........
.........
.........
.........
.........
.........
.........
.........
.........
.........
.........
.........
.........
.........
.........
.........
.........
.........
Frm 00297
Fmt 4701
Sfmt 4702
E:\FR\FM\30APP2.SGM
Weights
Geometric
mean LOS
Arithmetic
mean LOS
2.0256
6.3
8.0
1.3443
3.9
5.3
1.5777
1.0696
2.0391
6.0
4.6
7.2
7.3
5.3
9.1
1.4979
6.0
7.4
1.0409
4.6
5.6
1.6938
1.2293
0.8712
1.5304
0.9405
0.6755
1.6200
1.0940
0.8121
1.3473
1.3004
6.0
4.5
3.2
5.8
3.8
2.9
5.7
4.1
3.1
4.8
5.0
7.9
5.9
4.2
7.2
4.6
3.4
7.4
5.3
4.0
6.1
6.3
0.9734
4.1
5.0
0.7239
3.3
4.0
1.4303
1.0041
0.7301
5.4
4.4
3.5
6.8
5.3
4.1
1.6006
1.0973
0.8158
1.7383
1.0118
0.7399
0.8135
0.5938
0.6533
1.2427
5.9
4.4
3.3
6.4
3.9
3.1
3.5
2.8
2.2
4.0
7.4
5.4
4.1
8.3
5.1
4.1
4.4
3.4
2.9
5.5
0.7266
2.7
3.4
5.1153
12.8
15.1
2.1827
5.2
7.2
12.3351
1..1072
7.8
15.7
14.2
18.4
7.0028
10.9
12.3
5.4355
8.4
9.1
8.0764
11.5
14.0
5.3066
7.7
8.6
30APP2
23824
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 5.—LIST OF MEDICARE SEVERITY DIAGNOSIS-RELATED GROUPS (MS–DRGS), RELATIVE WEIGHTING FACTORS,
AND GEOMETRIC AND ARITHMETIC MEAN LENGTH OF STAY—Continued
MS–DRG
FY 2009
proposed
rule postacute DRG
FY 2009
proposed
rule
special pay
DRG
MDC
221 ...........
Yes ..........
Yes ..........
222 ...........
No ............
223 ...........
MS–DRG title
05
SURG ......
No ............
05
SURG ......
No ............
No ............
05
SURG ......
224 ...........
No ............
No ............
05
SURG ......
225 ...........
No ............
No ............
05
SURG ......
226 ...........
No ............
No ............
05
SURG ......
227 ...........
No ............
No ............
05
SURG ......
228 ...........
Yes ..........
No ............
05
SURG ......
229 ...........
230 ...........
Yes ..........
Yes ..........
No ............
No ............
05
05
SURG ......
SURG ......
231 ...........
232 ...........
233 ...........
No ............
No ............
Yes ..........
No ............
No ............
No ............
05
05
05
SURG ......
SURG ......
SURG ......
234 ...........
Yes ..........
No ............
05
SURG ......
235 ...........
Yes ..........
No ............
05
SURG ......
236 ...........
Yes ..........
No ............
05
SURG ......
237 ...........
No ............
No ............
05
SURG ......
238 ...........
No ............
No ............
05
SURG ......
239 ...........
Yes ..........
No ............
05
SURG ......
240 ...........
Yes ..........
No ............
05
SURG ......
241 ...........
Yes ..........
No ............
05
SURG ......
242 ...........
Yes ..........
No ............
05
SURG ......
243 ...........
Yes ..........
No ............
05
SURG ......
244 ...........
Yes ..........
No ............
05
SURG ......
245 ...........
246 ...........
No ............
No ............
No ............
No ............
05
05
SURG ......
SURG ......
247 ...........
No ............
No ............
05
SURG ......
248 ...........
No ............
No ............
05
SURG ......
249 ...........
No ............
No ............
05
SURG ......
250 ...........
jlentini on PROD1PC65 with PROPOSALS2
Type
No ............
No ............
05
SURG ......
251 ...........
No ............
No ............
05
SURG ......
252 ...........
253 ...........
254 ...........
No ............
No ............
No ............
No ............
No ............
No ............
05
05
05
SURG ......
SURG ......
SURG ......
255 ...........
Yes ..........
No ............
05
SURG ......
Cardiac
valve
&
oth
maj
cardiothoracic proc w/o card cath w/
o CC/MCC.
Cardiac defib implant w cardiac cath
w AMI/HF/shock w MCC.
Cardiac defib implant w cardiac cath
w AMI/HF/shock w/o MCC.
Cardiac defib implant w cardiac cath
w/o AMI/HF/shock w MCC.
Cardiac defib implant w cardiac cath
w/o AMI/HF/shock w/o MCC.
Cardiac defibrillator implant w/o cardiac cath w MCC.
Cardiac defibrillator implant w/o cardiac cath w/o MCC.
Other cardiothoracic procedures w
MCC.
Other cardiothoracic procedures w CC
Other cardiothoracic procedures w/o
CC/MCC.
Coronary bypass w PTCA w MCC .....
Coronary bypass w PTCA w/o MCC ..
Coronary bypass w cardiac cath w
MCC.
Coronary bypass w cardiac cath w/o
MCC.
Coronary bypass w/o cardiac cath w
MCC.
Coronary bypass w/o cardiac cath w/o
MCC.
Major cardiovasc procedures w MCC
or thoracic aortic aneurysm repair.
Major cardiovasc procedures w/o
MCC.
Amputation for circ sys disorders exc
upper limb & toe w MCC.
Amputation for circ sys disorders exc
upper limb & toe w CC.
Amputation for circ sys disorders exc
upper limb & toe w/o CC/MCC.
Permanent cardiac pacemaker implant
w MCC.
Permanent cardiac pacemaker implant
w CC.
Permanent cardiac pacemaker implant
w/o CC/MCC.
AICD generator procedures ................
Perc cardiovasc proc w drug-eluting
stent w MCC or 4+ vessels/stents.
Perc cardiovasc proc w drug-eluting
stent w/o MCC.
Perc cardiovasc proc w non-drugeluting stent w MCC or 4+ ves/
stents.
Perc cardiovasc proc w non-drugeluting stent w/o MCC.
Perc cardiovasc proc w/o coronary artery stent w MCC.
Perc cardiovasc proc w/o coronary artery stent w/o MCC.
Other vascular procedures w MCC .....
Other vascular procedures w CC ........
Other vascular procedures w/o CC/
MCC.
Upper limb & toe amputation for circ
system disorders w MCC.
VerDate Aug<31>2005
19:42 Apr 29, 2008
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Fmt 4701
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E:\FR\FM\30APP2.SGM
Weights
Geometric
mean LOS
Arithmetic
mean LOS
4.4089
6.0
6.4
8.6586
10.7
13.1
6.3035
4.6
6.3
7.9767
9.2
11.4
5.9123
4.5
5.6
6.7278
6.2
9.3
5.0145
1.8
2.8
7.8191
12.1
14.7
5.0358
4.0677
7.9
5.6
9.1
6.5
7.6801
5.5460
7.0378
11.2
8.3
12.4
13.3
9.2
14.2
4.6193
8.3
8.9
5.6992
9.5
11.2
3.6122
6.1
6.6
5.0881
7.5
10.8
2.8962
3.2
4.6
4.4798
12.0
15.3
2.6706
8.3
10.4
1.5740
5.6
6.8
3.7041
6.7
8.8
2.5934
3.8
5.1
2.0098
2.2
2.9
4.0022
3.1498
2.1
3.6
3.2
5.3
1.9134
1.7
2.2
2.8065
4.2
6.0
1.6397
1.9
2.5
2.9923
5.4
7.8
1.6023
2.1
2.8
2.9526
2.2593
1.5485
5.5
4.2
2.0
8.5
6.0
2.7
2.4040
7.1
9.7
30APP2
23825
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 5.—LIST OF MEDICARE SEVERITY DIAGNOSIS-RELATED GROUPS (MS–DRGS), RELATIVE WEIGHTING FACTORS,
AND GEOMETRIC AND ARITHMETIC MEAN LENGTH OF STAY—Continued
MS–DRG
FY 2009
proposed
rule postacute DRG
FY 2009
proposed
rule
special pay
DRG
MDC
256 ...........
Yes ..........
No ............
257 ...........
Yes ..........
258 ...........
MS–DRG title
05
SURG ......
No ............
05
SURG ......
No ............
No ............
05
SURG ......
259 ...........
No ............
No ............
05
SURG ......
260 ...........
No ............
No ............
05
SURG ......
261 ...........
No ............
No ............
05
SURG ......
262 ...........
No ............
No ............
05
SURG ......
263 ...........
264 ...........
No ............
Yes ..........
No ............
No ............
05
05
SURG ......
SURG ......
265 ...........
280 ...........
No ............
Yes ..........
No ............
No ............
05
05
SURG ......
MED .........
281 ...........
Yes ..........
No ............
05
MED .........
282 ...........
Yes ..........
No ............
05
MED .........
283 ...........
No ............
No ............
05
MED .........
284 ...........
No ............
No ............
05
MED .........
285 ...........
No ............
No ............
05
MED .........
286 ...........
No ............
No ............
05
MED .........
287 ...........
No ............
No ............
05
MED .........
288 ...........
Yes ..........
No ............
05
MED .........
289 ...........
290 ...........
Yes ..........
Yes ..........
No ............
No ............
05
05
MED .........
MED .........
291
292
293
294
...........
...........
...........
...........
Yes ..........
Yes ..........
Yes ..........
No ............
No
No
No
No
............
............
............
............
05
05
05
05
MED
MED
MED
MED
295 ...........
No ............
No ............
05
MED .........
296 ...........
297 ...........
298 ...........
No ............
No ............
No ............
No ............
No ............
No ............
05
05
05
MED .........
MED .........
MED .........
299 ...........
300 ...........
301 ...........
jlentini on PROD1PC65 with PROPOSALS2
Type
Yes ..........
Yes ..........
Yes ..........
No ............
No ............
No ............
05
05
05
MED .........
MED .........
MED .........
302
303
304
305
306
No
No
No
No
No
No
No
No
No
No
............
............
............
............
............
05
05
05
05
05
MED
MED
MED
MED
MED
Upper limb & toe amputation for circ
system disorders w CC.
Upper limb & toe amputation for circ
system disorders w/o CC/MCC.
Cardiac pacemaker device replacement w MCC.
Cardiac pacemaker device replacement w/o MCC.
Cardiac pacemaker revision except
device replacement w MCC.
Cardiac pacemaker revision except
device replacement w CC.
Cardiac pacemaker revision except
device replacement w/o CC/MCC.
Vein ligation & stripping ......................
Other circulatory system O.R. procedures.
AICD lead procedures .........................
Acute myocardial infarction, discharged alive w MCC.
Acute myocardial infarction, discharged alive w CC.
Acute myocardial infarction, discharged alive w/o CC/MCC.
Acute myocardial infarction, expired w
MCC.
Acute myocardial infarction, expired w
CC.
Acute myocardial infarction, expired
w/o CC/MCC.
Circulatory disorders except AMI, w
card cath w MCC.
Circulatory disorders except AMI, w
card cath w/o MCC.
Acute & subacute endocarditis w
MCC.
Acute & subacute endocarditis w CC
Acute & subacute endocarditis w/o
CC/MCC.
Heart failure & shock w MCC .............
Heart failure & shock w CC ................
Heart failure & shock w/o CC/MCC ....
Deep vein thrombophlebitis w CC/
MCC.
Deep vein thrombophlebitis w/o CC/
MCC.
Cardiac arrest, unexplained w MCC ...
Cardiac arrest, unexplained w CC ......
Cardiac arrest, unexplained w/o CC/
MCC.
Peripheral vascular disorders w MCC
Peripheral vascular disorders w CC ...
Peripheral vascular disorders w/o CC/
MCC.
Atherosclerosis w MCC .......................
Atherosclerosis w/o MCC ....................
Hypertension w MCC ..........................
Hypertension w/o MCC .......................
Cardiac congenital & valvular disorders w MCC.
Cardiac congenital & valvular disorders w/o MCC.
Cardiac arrhythmia & conduction disorders w MCC.
Cardiac arrhythmia & conduction disorders w CC.
...........
...........
...........
...........
...........
............
............
............
............
............
.........
.........
.........
.........
.........
.........
.........
.........
.........
307 ...........
No ............
No ............
05
MED .........
308 ...........
No ............
No ............
05
MED .........
309 ...........
No ............
No ............
05
MED .........
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
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Frm 00299
Fmt 4701
Sfmt 4702
E:\FR\FM\30APP2.SGM
Weights
Geometric
mean LOS
Arithmetic
mean LOS
1.5895
5.8
7.5
1.0216
3.6
4.8
2.8434
5.4
7.4
1.6944
2.0
2.8
3.4221
8.1
11.2
1.4398
3.0
4.2
1.0173
2.0
2.6
1.5392
2.5265
3.4
5.8
5.4
8.9
2.2140
1.9395
2.2
5.8
3.5
7.3
1.2210
3.9
4.8
0.8698
2.6
3.2
1.6979
3.4
5.5
0.9130
2.2
3.2
0.6059
1.7
2.2
1.9745
5.2
6.9
1.0225
2.4
3.1
3.0720
9.2
11.8
1.9524
1.4507
7.0
5.2
8.7
6.5
1.4576
1.0053
0.7205
0.9564
5.0
4.1
3.1
4.6
6.5
5.0
3.7
5.5
0.6347
3.7
4.3
1.1910
0.6502
0.4438
1.9
1.4
1.1
3.0
1.8
1.3
1.4326
0.9245
0.6580
5.0
4.1
3.0
6.7
5.0
3.7
1.0307
0.5666
1.0808
0.5900
1.5655
3.2
2.0
3.9
2.3
4.4
4.4
2.5
5.2
2.9
6.3
0.7476
2.7
3.4
1.2981
4.1
5.5
0.8320
3.1
3.9
30APP2
23826
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 5.—LIST OF MEDICARE SEVERITY DIAGNOSIS-RELATED GROUPS (MS–DRGS), RELATIVE WEIGHTING FACTORS,
AND GEOMETRIC AND ARITHMETIC MEAN LENGTH OF STAY—Continued
MS–DRG
FY 2009
proposed
rule postacute DRG
FY 2009
proposed
rule
special pay
DRG
MDC
310 ...........
No ............
No ............
311
312
313
314
...........
...........
...........
...........
No ............
No ............
No ............
Yes ..........
No
No
No
No
315 ...........
MS–DRG title
05
MED .........
............
............
............
............
05
05
05
05
MED
MED
MED
MED
Yes ..........
No ............
05
MED .........
316 ...........
Yes ..........
No ............
05
MED .........
326 ...........
Yes ..........
No ............
06
SURG ......
327 ...........
Yes ..........
No ............
06
SURG ......
328 ...........
Yes ..........
No ............
06
SURG ......
329 ...........
Yes ..........
No ............
06
SURG ......
330 ...........
Yes ..........
No ............
06
SURG ......
331 ...........
Yes ..........
No ............
06
SURG ......
332
333
334
335
336
337
338
...........
...........
...........
...........
...........
...........
...........
Yes ..........
Yes ..........
Yes ..........
Yes ..........
Yes ..........
Yes ..........
No ............
No
No
No
No
No
No
No
............
............
............
............
............
............
............
06
06
06
06
06
06
06
SURG
SURG
SURG
SURG
SURG
SURG
SURG
339 ...........
No ............
No ............
06
SURG ......
340 ...........
No ............
No ............
06
SURG ......
341 ...........
No ............
No ............
06
SURG ......
342 ...........
No ............
No ............
06
SURG ......
343 ...........
No ............
No ............
06
SURG ......
344 ...........
No ............
No ............
06
SURG ......
345 ...........
No ............
No ............
06
SURG ......
346 ...........
No ............
No ............
06
SURG ......
347 ...........
348 ...........
349 ...........
No ............
No ............
No ............
No ............
No ............
No ............
06
06
06
SURG ......
SURG ......
SURG ......
350 ...........
No ............
No ............
06
SURG ......
351 ...........
No ............
No ............
06
SURG ......
352 ...........
No ............
No ............
06
SURG ......
353 ...........
jlentini on PROD1PC65 with PROPOSALS2
Type
No ............
No ............
06
SURG ......
354 ...........
No ............
No ............
06
SURG ......
355 ...........
No ............
No ............
06
SURG ......
356 ...........
Yes ..........
No ............
06
SURG ......
357 ...........
Yes ..........
No ............
06
SURG ......
Cardiac arrhythmia & conduction disorders w/o CC/MCC.
Angina pectoris ....................................
Syncope & collapse .............................
Chest pain ...........................................
Other circulatory system diagnoses w
MCC.
Other circulatory system diagnoses w
CC.
Other circulatory system diagnoses w/
o CC/MCC.
Stomach, esophageal & duodenal
proc w MCC.
Stomach, esophageal & duodenal
proc w CC.
Stomach, esophageal & duodenal
proc w/o CC/MCC.
Major small & large bowel procedures
w MCC.
Major small & large bowel procedures
w CC.
Major small & large bowel procedures
w/o CC/MCC.
Rectal resection w MCC .....................
Rectal resection w CC ........................
Rectal resection w/o CC/MCC ............
Peritoneal adhesiolysis w MCC ..........
Peritoneal adhesiolysis w CC .............
Peritoneal adhesiolysis w/o CC/MCC
Appendectomy w complicated principal diag w MCC.
Appendectomy w complicated principal diag w CC.
Appendectomy w complicated principal diag w/o CC/MCC.
Appendectomy w/o complicated principal diag w MCC.
Appendectomy w/o complicated principal diag w CC.
Appendectomy w/o complicated principal diag w/o CC/MCC.
Minor small & large bowel procedures
w MCC.
Minor small & large bowel procedures
w CC.
Minor small & large bowel procedures
w/o CC/MCC.
Anal & stomal procedures w MCC ......
Anal & stomal procedures w CC .........
Anal & stomal procedures w/o CC/
MCC.
Inguinal & femoral hernia procedures
w MCC.
Inguinal & femoral hernia procedures
w CC.
Inguinal & femoral hernia procedures
w/o CC/MCC.
Hernia procedures except inguinal &
femoral w MCC.
Hernia procedures except inguinal &
femoral w CC.
Hernia procedures except inguinal &
femoral w/o CC/MCC.
Other digestive system O.R. procedures w MCC.
Other digestive system O.R. procedures w CC.
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
PO 00000
.........
.........
.........
.........
......
......
......
......
......
......
......
Frm 00300
Fmt 4701
Sfmt 4702
E:\FR\FM\30APP2.SGM
Weights
Geometric
mean LOS
Arithmetic
mean LOS
0.5829
2.3
2.8
0.4969
0.7082
0.5312
1.7517
1.9
2.5
1.7
5.0
2.3
3.1
2.1
7.0
0.9922
3.5
4.6
0.6513
2.4
3.0
5.8025
13.2
17.1
2.8389
7.8
10.1
1.4576
3.2
4.4
5.1793
12.8
16.0
2.5644
8.3
9.7
1.6250
5.2
5.9
4.5358
2.4487
1.6247
4.0903
2.2387
1.4519
3.1787
12.0
7.7
4.7
11.6
7.5
4.4
8.8
14.3
8.8
5.5
14.1
9.1
5.6
10.7
1.8625
6.0
7.0
1.2267
3.5
4.2
2.1659
5.3
7.1
1.3154
3.2
4.1
0.9067
1.8
2.2
3.0822
9.2
11.8
1.6391
6.2
7.2
1.1869
4.4
4.9
2.1823
1.2860
0.7681
6.4
4.4
2.4
8.8
5.7
3.1
2.2486
5.8
8.0
1.2638
3.4
4.6
0.8131
2.0
2.5
2.4935
6.4
8.4
1.4046
4.0
5.1
0.9675
2.4
2.9
3.8574
9.5
12.9
2.1703
6.2
8.1
30APP2
23827
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 5.—LIST OF MEDICARE SEVERITY DIAGNOSIS-RELATED GROUPS (MS–DRGS), RELATIVE WEIGHTING FACTORS,
AND GEOMETRIC AND ARITHMETIC MEAN LENGTH OF STAY—Continued
MS–DRG
FY 2009
proposed
rule postacute DRG
FY 2009
proposed
rule
special pay
DRG
MDC
358 ...........
Yes ..........
No ............
368 ...........
369 ...........
370 ...........
No ............
No ............
No ............
371 ...........
MS–DRG title
06
SURG ......
No ............
No ............
No ............
06
06
06
MED .........
MED .........
MED .........
Yes ..........
No ............
06
MED .........
372 ...........
Yes ..........
No ............
06
MED .........
373 ...........
Yes ..........
No ............
06
MED .........
374
375
376
377
378
379
380
381
382
383
384
385
386
387
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
Yes ..........
Yes ..........
Yes ..........
Yes ..........
Yes ..........
Yes ..........
Yes ..........
Yes ..........
Yes ..........
No ............
No ............
No ............
No ............
No ............
No
No
No
No
No
No
No
No
No
No
No
No
No
No
............
............
............
............
............
............
............
............
............
............
............
............
............
............
06
06
06
06
06
06
06
06
06
06
06
06
06
06
MED
MED
MED
MED
MED
MED
MED
MED
MED
MED
MED
MED
MED
MED
.........
.........
.........
.........
.........
.........
.........
.........
.........
.........
.........
.........
.........
.........
388
389
390
391
...........
...........
...........
...........
Yes ..........
Yes ..........
Yes ..........
No ............
No
No
No
No
............
............
............
............
06
06
06
06
MED
MED
MED
MED
.........
.........
.........
.........
392 ...........
No ............
No ............
06
MED .........
393 ...........
No ............
No ............
06
MED .........
394 ...........
No ............
No ............
06
MED .........
395 ...........
No ............
No ............
06
MED .........
405 ...........
Yes ..........
No ............
07
SURG ......
406 ...........
Yes ..........
No ............
07
SURG ......
407 ...........
Yes ..........
No ............
07
SURG ......
408 ...........
No ............
No ............
07
SURG ......
409 ...........
No ............
No ............
07
SURG ......
410 ...........
No ............
No ............
07
SURG ......
411 ...........
412 ...........
413 ...........
No ............
No ............
No ............
No ............
No ............
No ............
07
07
07
SURG ......
SURG ......
SURG ......
414 ...........
Yes ..........
No ............
07
SURG ......
415 ...........
jlentini on PROD1PC65 with PROPOSALS2
Type
Yes ..........
No ............
07
SURG ......
416 ...........
Yes ..........
No ............
07
SURG ......
417 ...........
No ............
No ............
07
SURG ......
418 ...........
No ............
No ............
07
SURG ......
Other digestive system O.R. procedures w/o CC/MCC.
Major esophageal disorders w MCC ...
Major esophageal disorders w CC ......
Major esophageal disorders w/o CC/
MCC.
Major gastrointestinal disorders &
peritoneal infections w MCC.
Major gastrointestinal disorders &
peritoneal infections w CC.
Major gastrointestinal disorders &
peritoneal infections w/o CC/MCC.
Digestive malignancy w MCC .............
Digestive malignancy w CC ................
Digestive malignancy w/o CC/MCC ....
G.I. hemorrhage w MCC .....................
G.I. hemorrhage w CC ........................
G.I. hemorrhage w/o CC/MCC ............
Complicated peptic ulcer w MCC ........
Complicated peptic ulcer w CC ...........
Complicated peptic ulcer w/o CC/MCC
Uncomplicated peptic ulcer w MCC ....
Uncomplicated peptic ulcer w/o MCC
Inflammatory bowel disease w MCC ..
Inflammatory bowel disease w CC .....
Inflammatory bowel disease w/o CC/
MCC.
G.I. obstruction w MCC .......................
G.I. obstruction w CC ..........................
G.I. obstruction w/o CC/MCC ..............
Esophagitis, gastroent & misc digest
disorders w MCC.
Esophagitis, gastroent & misc digest
disorders w/o MCC.
Other digestive system diagnoses w
MCC.
Other digestive system diagnoses w
CC.
Other digestive system diagnoses w/o
CC/MCC.
Pancreas, liver & shunt procedures w
MCC.
Pancreas, liver & shunt procedures w
CC.
Pancreas, liver & shunt procedures w/
o CC/MCC.
Biliary tract proc except only cholecyst
w or w/o c.d.e. w MCC.
Biliary tract proc except only cholecyst
w or w/o c.d.e. w CC.
Biliary tract proc except only cholecyst
w or w/o c.d.e. w/o CC/MCC.
Cholecystectomy w c.d.e. w MCC ......
Cholecystectomy w c.d.e. w CC .........
Cholecystectomy w c.d.e. w/o CC/
MCC.
Cholecystectomy
except
by
laparoscope w/o c.d.e. w MCC.
Cholecystectomy
except
by
laparoscope w/o c.d.e. w CC.
Cholecystectomy
except
by
laparoscope w/o c.d.e. w/o CC/
MCC.
Laparoscopic cholecystectomy w/o
c.d.e. w MCC.
Laparoscopic cholecystectomy w/o
c.d.e. w CC.
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
PO 00000
Frm 00301
Fmt 4701
Sfmt 4702
E:\FR\FM\30APP2.SGM
Weights
Geometric
mean LOS
Arithmetic
mean LOS
1.3493
3.3
4.5
1.6184
1.0703
0.7835
5.1
3.8
2.8
6.6
4.7
3.4
1.9062
6.7
8.7
1.3025
5.6
6.9
0.8646
4.2
4.9
1.9057
1.2523
0.8820
1.6069
1.0048
0.7567
1.7995
1.1138
0.8208
1.1789
0.7818
1.8541
1.0601
0.7746
6.3
4.6
3.2
4.9
3.7
2.9
5.6
4.2
3.1
4.4
3.1
6.5
4.5
3.5
8.6
6.0
4.2
6.4
4.4
3.4
7.3
5.2
3.7
5.5
3.7
8.8
5.7
4.3
1.5392
0.9244
0.6333
1.0810
5.5
4.0
3.0
3.9
7.3
5.0
3.6
5.2
0.6685
2.8
3.5
1.5367
4.9
6.9
0.9489
3.8
4.8
0.6745
2.6
3.3
5.6481
12.4
17.0
2.7895
7.0
9.2
1.8411
4.2
5.5
4.2539
12.1
15.0
2.5819
8.3
9.8
1.6374
5.4
6.5
3.7602
2.3633
1.6896
10.4
7.5
5.0
12.4
8.6
5.9
3.5777
9.7
11.7
2.0372
6.5
7.6
1.3290
4.1
4.8
2.4851
6.5
8.4
1.6541
4.5
5.6
30APP2
23828
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 5.—LIST OF MEDICARE SEVERITY DIAGNOSIS-RELATED GROUPS (MS–DRGS), RELATIVE WEIGHTING FACTORS,
AND GEOMETRIC AND ARITHMETIC MEAN LENGTH OF STAY—Continued
MS–DRG
FY 2009
proposed
rule postacute DRG
FY 2009
proposed
rule
special pay
DRG
MDC
419 ...........
No ............
No ............
420 ...........
No ............
421 ...........
MS–DRG title
07
SURG ......
No ............
07
SURG ......
No ............
No ............
07
SURG ......
422 ...........
No ............
No ............
07
SURG ......
423 ...........
No ............
No ............
07
SURG ......
424 ...........
No ............
No ............
07
SURG ......
425 ...........
No ............
No ............
07
SURG ......
432 ...........
433 ...........
434 ...........
No ............
No ............
No ............
No ............
No ............
No ............
07
07
07
MED .........
MED .........
MED .........
435 ...........
No ............
No ............
07
MED .........
436 ...........
No ............
No ............
07
MED .........
437 ...........
No ............
No ............
07
MED .........
438 ...........
No ............
No ............
07
MED .........
439 ...........
No ............
No ............
07
MED .........
440 ...........
No ............
No ............
07
MED .........
441 ...........
Yes ..........
No ............
07
MED .........
442 ...........
Yes ..........
No ............
07
MED .........
443 ...........
Yes ..........
No ............
07
MED .........
444 ...........
445 ...........
446 ...........
No ............
No ............
No ............
No ............
No ............
No ............
07
07
07
MED .........
MED .........
MED .........
453 ...........
No ............
No ............
08
SURG ......
454 ...........
No ............
No ............
08
SURG ......
455 ...........
No ............
No ............
08
SURG ......
456 ...........
No ............
No ............
08
SURG ......
457 ...........
No ............
No ............
08
SURG ......
458 ...........
No ............
No ............
08
SURG ......
459 ...........
460 ...........
461 ...........
Yes ..........
Yes ..........
No ............
No ............
No ............
No ............
08
08
08
SURG ......
SURG ......
SURG ......
462 ...........
jlentini on PROD1PC65 with PROPOSALS2
Type
No ............
No ............
08
SURG ......
463 ...........
Yes ..........
No ............
08
SURG ......
464 ...........
Yes ..........
No ............
08
SURG ......
465 ...........
Yes ..........
No ............
08
SURG ......
466 ...........
Yes ..........
No ............
08
SURG ......
Laparoscopic cholecystectomy w/o
c.d.e. w/o CC/MCC.
Hepatobiliary diagnostic procedures w
MCC.
Hepatobiliary diagnostic procedures w
CC.
Hepatobiliary diagnostic procedures
w/o CC/MCC.
Other hepatobiliary or pancreas O.R.
procedures w MCC.
Other hepatobiliary or pancreas O.R.
procedures w CC.
Other hepatobiliary or pancreas O.R.
procedures w/o CC/MCC.
Cirrhosis & alcoholic hepatitis w MCC
Cirrhosis & alcoholic hepatitis w CC ...
Cirrhosis & alcoholic hepatitis w/o CC/
MCC.
Malignancy of hepatobiliary system or
pancreas w MCC.
Malignancy of hepatobiliary system or
pancreas w CC.
Malignancy of hepatobiliary system or
pancreas w/o CC/MCC.
Disorders of pancreas except malignancy w MCC.
Disorders of pancreas except malignancy w CC.
Disorders of pancreas except malignancy w/o CC/MCC.
Disorders of liver except malig, cirr,
alc hepa w MCC.
Disorders of liver except malig, cirr,
alc hepa w CC.
Disorders of liver except malig, cirr,
alc hepa w/o CC/MCC.
Disorders of the biliary tract w MCC ...
Disorders of the biliary tract w CC ......
Disorders of the biliary tract w/o CC/
MCC.
Combined anterior/posterior spinal fusion w MCC.
Combined anterior/posterior spinal fusion w CC.
Combined anterior/posterior spinal fusion w/o CC/MCC.
Spinal fus exc cerv w spinal curv/
malig/infec or 9+ fus w MCC.
Spinal fus exc cerv w spinal curv/
malig/infec or 9+ fus w CC.
Spinal fus exc cerv w spinal curv/
malig/infec or 9+ fus w/o CC/MCC.
Spinal fusion except cervical w MCC
Spinal fusion except cervical w/o MCC
Bilateral or multiple major joint procs
of lower extremity w MCC.
Bilateral or multiple major joint procs
of lower extremity w/o MCC.
Wnd debrid & skn grft exc hand, for
musculo-conn tiss dis w MCC.
Wnd debrid & skn grft exc hand, for
musculo-conn tiss dis w CC.
Wnd debrid & skn grft exc hand, for
musculo-conn tiss dis w/o CC/MCC.
Revision of hip or knee replacement w
MCC.
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
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Frm 00302
Fmt 4701
Sfmt 4702
E:\FR\FM\30APP2.SGM
Weights
Geometric
mean LOS
Arithmetic
mean LOS
1.1296
2.5
3.2
4.0976
9.9
13.7
1.8978
5.6
7.7
1.2275
3.2
4.4
4.5535
11.8
15.9
2.5159
7.9
10.4
1.3760
4.0
5.4
1.6776
0.9378
0.6551
5.2
3.8
2.9
7.0
4.9
3.7
1.7117
5.7
7.6
1.1892
4.5
5.8
0.9506
3.2
4.3
1.6992
5.5
7.5
1.0223
4.2
5.3
0.6963
3.2
3.8
1.6580
5.1
7.0
0.9825
3.9
5.1
0.6945
3.0
3.8
1.5579
1.0375
0.7225
5.0
3.8
2.6
6.6
4.7
3.3
9.8724
12.0
15.7
7.0370
6.5
8.0
5.1744
3.7
4.4
8.5225
11.6
14.7
5.6672
6.2
7.5
4.7056
4.0
4.5
5.9847
3.5746
4.5636
7.6
3.6
6.8
9.4
4.2
8.4
3.1564
3.9
4.2
4.6669
12.0
16.6
2.6117
7.7
10.2
1.4955
4.4
5.9
4.5564
7.4
9.2
30APP2
23829
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 5.—LIST OF MEDICARE SEVERITY DIAGNOSIS-RELATED GROUPS (MS–DRGS), RELATIVE WEIGHTING FACTORS,
AND GEOMETRIC AND ARITHMETIC MEAN LENGTH OF STAY—Continued
MS–DRG
FY 2009
proposed
rule postacute DRG
FY 2009
proposed
rule
special pay
DRG
MDC
467 ...........
Yes ..........
No ............
468 ...........
Yes ..........
469 ...........
MS–DRG title
08
SURG ......
No ............
08
SURG ......
Yes ..........
No ............
08
SURG ......
470 ...........
Yes ..........
No ............
08
SURG ......
471
472
473
474
...........
...........
...........
...........
No ............
No ............
No ............
Yes ..........
No
No
No
No
............
............
............
............
08
08
08
08
SURG
SURG
SURG
SURG
475 ...........
Yes ..........
No ............
08
SURG ......
476 ...........
Yes ..........
No ............
08
SURG ......
477 ...........
Yes ..........
Yes ..........
08
SURG ......
478 ...........
Yes ..........
Yes ..........
08
SURG ......
479 ...........
Yes ..........
Yes ..........
08
SURG ......
480 ...........
Yes ..........
Yes ..........
08
SURG ......
481 ...........
Yes ..........
Yes ..........
08
SURG ......
482 ...........
Yes ..........
Yes ..........
08
SURG ......
483 ...........
Yes ..........
No ............
08
SURG ......
484 ...........
Yes ..........
No ............
08
SURG ......
485 ...........
No ............
No ............
08
SURG ......
486 ...........
No ............
No ............
08
SURG ......
487 ...........
No ............
No ............
08
SURG ......
488 ...........
Yes ..........
No ............
08
SURG ......
489 ...........
Yes ..........
No ............
08
SURG ......
490 ...........
No ............
No ............
08
SURG ......
491 ...........
No ............
No ............
08
SURG ......
492 ...........
Yes ..........
Yes ..........
08
SURG ......
493 ...........
Yes ..........
Yes ..........
08
SURG ......
494 ...........
Yes ..........
Yes ..........
08
SURG ......
495 ...........
Yes ..........
No ............
08
SURG ......
496 ...........
Yes ..........
No ............
08
SURG ......
497 ...........
jlentini on PROD1PC65 with PROPOSALS2
Type
Yes ..........
No ............
08
SURG ......
498 ...........
No ............
No ............
08
SURG ......
499 ...........
No ............
No ............
08
SURG ......
500
501
502
503
Yes ..........
Yes ..........
Yes ..........
No ............
Yes ..........
Yes ..........
Yes ..........
No ............
08
08
08
08
SURG
SURG
SURG
SURG
Revision of hip or knee replacement w
CC.
Revision of hip or knee replacement
w/o CC/MCC.
Major joint replacement or reattachment of lower extremity w MCC.
Major joint replacement or reattachment of lower extremity w/o MCC.
Cervical spinal fusion w MCC .............
Cervical spinal fusion w CC ................
Cervical spinal fusion w/o CC/MCC ....
Amputation for musculoskeletal sys &
conn tissue dis w MCC.
Amputation for musculoskeletal sys &
conn tissue dis w CC.
Amputation for musculoskeletal sys &
conn tissue dis w/o CC/MCC.
Biopsies of musculoskeletal system &
connective tissue w MCC.
Biopsies of musculoskeletal system &
connective tissue w CC.
Biopsies of musculoskeletal system &
connective tissue w/o CC/MCC.
Hip & femur procedures except major
joint w MCC.
Hip & femur procedures except major
joint w CC.
Hip & femur procedures except major
joint w/o CC/MCC.
Major joint & limb reattachment proc
of upper extremity w CC/MCC.
Major joint & limb reattachment proc
of upper extremity w/o CC/MCC.
Knee procedures w pdx of infection w
MCC.
Knee procedures w pdx of infection w
CC.
Knee procedures w pdx of infection w/
o CC/MCC.
Knee procedures w/o pdx of infection
w CC/MCC.
Knee procedures w/o pdx of infection
w/o CC/MCC.
Back & neck proc exc spinal fusion w
CC/MCC or disc device/neurostim.
Back & neck proc exc spinal fusion w/
o CC/MCC.
Lower extrem & humer proc except
hip,foot,femur w MCC.
Lower extrem & humer proc except
hip,foot,femur w CC.
Lower extrem & humer proc except
hip,foot,femur w/o CC/MCC.
Local excision & removal int fix devices exc hip & femur w MCC.
Local excision & removal int fix devices exc hip & femur w CC.
Local excision & removal int fix devices exc hip & femur w/o CC/MCC.
Local excision & removal int fix devices of hip & femur w CC/MCC.
Local excision & removal int fix devices of hip & femur w/o CC/MCC.
Soft tissue procedures w MCC ...........
Soft tissue procedures w CC ..............
Soft tissue procedures w/o CC/MCC ..
Foot procedures w MCC .....................
...........
...........
...........
...........
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
PO 00000
......
......
......
......
......
......
......
......
Frm 00303
Fmt 4701
Sfmt 4702
E:\FR\FM\30APP2.SGM
Weights
Geometric
mean LOS
Arithmetic
mean LOS
3.0720
4.8
5.5
2.4597
3.6
3.9
3.2979
6.9
8.2
2.0144
3.6
3.9
4.4277
2.6200
1.9213
3.4435
7.0
2.8
1.6
9.5
9.8
4.1
2.0
12.6
1.9768
6.5
8.4
1.1001
3.7
4.8
3.2545
8.9
11.9
2.1266
4.6
6.6
1.4779
1.9
2.8
2.9050
7.8
9.3
1.8204
5.4
5.9
1.4976
4.5
4.8
2.2601
3.4
4.2
1.7535
2.1
2.4
3.3033
9.8
12.1
2.1664
6.8
8.0
1.5507
4.9
5.7
1.6836
4.1
5.2
1.1604
2.6
3.0
1.7221
3.0
4.3
0.9413
1.8
2.2
2.7705
6.8
8.5
1.7631
4.3
5.3
1.2385
2.8
3.4
3.1782
8.1
11.0
1.7775
4.6
6.0
1.1277
2.3
3.0
2.0274
5.5
7.9
0.9097
2.3
3.0
2.8423
1.4718
0.9585
2.3059
7.8
4.5
2.3
7.2
10.8
6.0
2.9
9.5
30APP2
23830
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 5.—LIST OF MEDICARE SEVERITY DIAGNOSIS-RELATED GROUPS (MS–DRGS), RELATIVE WEIGHTING FACTORS,
AND GEOMETRIC AND ARITHMETIC MEAN LENGTH OF STAY—Continued
MS–DRG
504
505
506
507
...........
...........
...........
...........
FY 2009
proposed
rule postacute DRG
FY 2009
proposed
rule
special pay
DRG
No
No
No
No
No
No
No
No
............
............
............
............
MDC
Type
............
............
............
............
08
08
08
08
SURG
SURG
SURG
SURG
......
......
......
......
508 ...........
No ............
No ............
08
SURG ......
509 ...........
510 ...........
No ............
Yes ..........
No ............
No ............
08
08
SURG ......
SURG ......
511 ...........
Yes ..........
No ............
08
SURG ......
512 ...........
Yes ..........
No ............
08
SURG ......
513 ...........
No ............
No ............
08
SURG ......
514 ...........
No ............
No ............
08
SURG ......
515 ...........
Yes ..........
Yes ..........
08
SURG ......
516 ...........
Yes ..........
Yes ..........
08
SURG ......
517 ...........
Yes ..........
Yes ..........
08
SURG ......
533
534
535
536
537
...........
...........
...........
...........
...........
Yes ..........
Yes ..........
Yes ..........
Yes ..........
No ............
No
No
No
No
No
............
............
............
............
............
08
08
08
08
08
MED
MED
MED
MED
MED
538 ...........
No ............
No ............
08
MED .........
539
540
541
542
Yes
Yes
Yes
Yes
No
No
No
No
............
............
............
............
08
08
08
08
MED
MED
MED
MED
...........
...........
...........
...........
..........
..........
..........
..........
.........
.........
.........
.........
.........
.........
.........
.........
.........
Yes ..........
No ............
08
MED .........
544 ...........
Yes ..........
No ............
08
MED .........
545 ...........
546 ...........
547 ...........
Yes ..........
Yes ..........
Yes ..........
No ............
No ............
No ............
08
08
08
MED .........
MED .........
MED .........
548
549
550
551
552
553
...........
...........
...........
...........
...........
...........
No ............
No ............
No ............
Yes ..........
Yes ..........
No ............
No
No
No
No
No
No
............
............
............
............
............
............
08
08
08
08
08
08
MED
MED
MED
MED
MED
MED
554 ...........
No ............
No ............
08
MED .........
555 ...........
jlentini on PROD1PC65 with PROPOSALS2
543 ...........
No ............
No ............
08
MED .........
556 ...........
No ............
No ............
08
MED .........
557 ...........
558 ...........
Yes ..........
Yes ..........
No ............
No ............
08
08
MED .........
MED .........
559 ...........
Yes ..........
No ............
08
MED .........
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
PO 00000
.........
.........
.........
.........
.........
.........
MS–DRG title
Foot procedures w CC ........................
Foot procedures w/o CC/MCC ............
Major thumb or joint procedures .........
Major shoulder or elbow joint procedures w CC/MCC.
Major shoulder or elbow joint procedures w/o CC/MCC.
Arthroscopy .........................................
Shoulder,elbow or forearm proc, exc
major joint proc w MCC.
Shoulder,elbow or forearm proc, exc
major joint proc w CC.
Shoulder,elbow or forearm proc, exc
major joint proc w/o CC/MCC.
Hand or wrist proc, except major
thumb or joint proc w CC/MCC.
Hand or wrist proc, except major
thumb or joint proc w/o CC/MCC.
Other musculoskelet sys & conn tiss
O.R. proc w MCC.
Other musculoskelet sys & conn tiss
O.R. proc w CC.
Other musculoskelet sys & conn tiss
O.R. proc w/o CC/MCC.
Fractures of femur w MCC ..................
Fractures of femur w/o MCC ...............
Fractures of hip & pelvis w MCC ........
Fractures of hip & pelvis w/o MCC .....
Sprains, strains, & dislocations of hip,
pelvis & thigh w CC/MCC.
Sprains, strains, & dislocations of hip,
pelvis & thigh w/o CC/MCC.
Osteomyelitis w MCC ..........................
Osteomyelitis w CC .............................
Osteomyelitis w/o CC/MCC .................
Pathological
fractures
&
musculoskelet & conn tiss malig w
MCC.
Pathological
fractures
&
musculoskelet & conn tiss malig w
CC.
Pathological
fractures
&
musculoskelet & conn tiss malig w/o
CC/MCC.
Connective tissue disorders w MCC ...
Connective tissue disorders w CC ......
Connective tissue disorders w/o CC/
MCC.
Septic arthritis w MCC ........................
Septic arthritis w CC ...........................
Septic arthritis w/o CC/MCC ...............
Medical back problems w MCC ..........
Medical back problems w/o MCC .......
Bone diseases & arthropathies w
MCC.
Bone diseases & arthropathies w/o
MCC.
Signs & symptoms of musculoskeletal
system & conn tissue w MCC.
Signs & symptoms of musculoskeletal
system & conn tissue w/o MCC.
Tendonitis, myositis & bursitis w MCC
Tendonitis, myositis & bursitis w/o
MCC.
Aftercare, musculoskeletal system &
connective tissue w MCC.
Frm 00304
Fmt 4701
Sfmt 4702
E:\FR\FM\30APP2.SGM
Weights
Geometric
mean LOS
Arithmetic
mean LOS
1.4725
0.9882
1.0286
1.7188
5.1
2.6
2.5
3.7
6.5
3.4
3.4
5.1
1.1156
1.7
2.1
1.1762
1.9973
2.0
4.9
3.1
6.4
1.3434
3.2
4.0
0.9533
1.8
2.2
1.2813
3.6
5.0
0.8067
2.1
2.8
3.0601
7.9
10.4
1.8073
4.5
6.0
1.3326
2.1
3.0
1.4207
0.7318
1.3327
0.6934
0.8871
4.8
3.3
4.8
3.4
3.6
6.7
4.0
6.2
3.9
4.5
0.5787
2.7
3.2
2.0097
1.3457
0.9285
1.8953
7.5
5.7
4.2
6.7
9.7
7.1
5.4
8.8
1.1263
4.8
5.9
0.7672
3.7
4.4
2.3477
1.0951
0.7224
6.5
4.4
3.1
9.1
5.5
3.8
1.8776
1.1590
0.8006
1.5261
0.7623
1.0978
6.7
5.1
3.7
5.4
3.4
4.7
8.9
6.4
4.5
7.1
4.1
6.0
0.6305
3.0
3.7
1.0014
3.6
4.8
0.5738
2.5
3.1
1.4264
0.8009
5.2
3.5
6.6
4.3
1.7085
5.3
7.6
30APP2
23831
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 5.—LIST OF MEDICARE SEVERITY DIAGNOSIS-RELATED GROUPS (MS–DRGS), RELATIVE WEIGHTING FACTORS,
AND GEOMETRIC AND ARITHMETIC MEAN LENGTH OF STAY—Continued
MS–DRG
FY 2009
proposed
rule postacute DRG
FY 2009
proposed
rule
special pay
DRG
MDC
560 ...........
Yes ..........
No ............
561 ...........
Yes ..........
562 ...........
MS–DRG title
08
MED .........
No ............
08
MED .........
Yes ..........
No ............
08
MED .........
563 ...........
Yes ..........
No ............
08
MED .........
564 ...........
No ............
No ............
08
MED .........
565 ...........
No ............
No ............
08
MED .........
566 ...........
No ............
No ............
08
MED .........
573 ...........
Yes ..........
No ............
09
SURG ......
574 ...........
Yes ..........
No ............
09
SURG ......
575 ...........
Yes ..........
No ............
09
SURG ......
576 ...........
No ............
No ............
09
SURG ......
577 ...........
No ............
No ............
09
SURG ......
578 ...........
No ............
No ............
09
SURG ......
579 ...........
Yes ..........
No ............
09
SURG ......
580 ...........
Yes ..........
No ............
09
SURG ......
581 ...........
Yes ..........
No ............
09
SURG ......
582 ...........
No ............
No ............
09
SURG ......
583 ...........
No ............
No ............
09
SURG ......
584 ...........
No ............
No ............
09
SURG ......
585 ...........
No ............
No ............
09
SURG ......
592
593
594
595
596
597
598
599
...........
...........
...........
...........
...........
...........
...........
...........
Yes ..........
Yes ..........
Yes ..........
No ............
No ............
No ............
No ............
No ............
No
No
No
No
No
No
No
No
............
............
............
............
............
............
............
............
09
09
09
09
09
09
09
09
MED
MED
MED
MED
MED
MED
MED
MED
600 ...........
No ............
No ............
09
MED .........
601 ...........
No ............
No ............
09
MED .........
602 ...........
603 ...........
604 ...........
Yes ..........
Yes ..........
No ............
No ............
No ............
No ............
09
09
09
MED .........
MED .........
MED .........
605 ...........
jlentini on PROD1PC65 with PROPOSALS2
Type
No ............
No ............
09
MED .........
606 ...........
607 ...........
614 ...........
No ............
No ............
No ............
No ............
No ............
No ............
09
09
10
MED .........
MED .........
SURG ......
615 ...........
No ............
No ............
10
SURG ......
616 ...........
Yes ..........
No ............
10
SURG ......
Aftercare, musculoskeletal system &
connective tissue w CC.
Aftercare, musculoskeletal system &
connective tissue w/o CC/MCC.
Fx, sprn, strn & disl except femur, hip,
pelvis & thigh w MCC.
Fx, sprn, strn & disl except femur, hip,
pelvis & thigh w/o MCC.
Other musculoskeletal sys & connective tissue diagnoses w MCC.
Other musculoskeletal sys & connective tissue diagnoses w CC.
Other musculoskeletal sys & connective tissue diagnoses w/o CC/MCC.
Skin graft &/or debrid for skn ulcer or
cellulitis w MCC.
Skin graft &/or debrid for skn ulcer or
cellulitis w CC.
Skin graft &/or debrid for skn ulcer or
cellulitis w/o CC/MCC.
Skin graft &/or debrid exc for skin
ulcer or cellulitis w MCC.
Skin graft &/or debrid exc for skin
ulcer or cellulitis w CC.
Skin graft &/or debrid exc for skin
ulcer or cellulitis w/o CC/MCC.
Other skin, subcut tiss & breast proc
w MCC.
Other skin, subcut tiss & breast proc
w CC.
Other skin, subcut tiss & breast proc
w/o CC/MCC.
Mastectomy for malignancy w CC/
MCC.
Mastectomy for malignancy w/o CC/
MCC.
Breast biopsy, local excision & other
breast procedures w CC/MCC.
Breast biopsy, local excision & other
breast procedures w/o CC/MCC.
Skin ulcers w MCC ..............................
Skin ulcers w CC .................................
Skin ulcers w/o CC/MCC ....................
Major skin disorders w MCC ...............
Major skin disorders w/o MCC ............
Malignant breast disorders w MCC .....
Malignant breast disorders w CC ........
Malignant breast disorders w/o CC/
MCC.
Non-malignant breast disorders w CC/
MCC.
Non-malignant breast disorders w/o
CC/MCC.
Cellulitis w MCC ..................................
Cellulitis w/o MCC ...............................
Trauma to the skin, subcut tiss &
breast w MCC.
Trauma to the skin, subcut tiss &
breast w/o MCC.
Minor skin disorders w MCC ...............
Minor skin disorders w/o MCC ............
Adrenal & pituitary procedures w CC/
MCC.
Adrenal & pituitary procedures w/o
CC/MCC.
Amputat of lower limb for endocrine,
nutrit, & metabol dis w MCC.
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
PO 00000
.........
.........
.........
.........
.........
.........
.........
.........
Frm 00305
Fmt 4701
Sfmt 4702
E:\FR\FM\30APP2.SGM
Weights
Geometric
mean LOS
Arithmetic
mean LOS
0.9491
3.6
4.7
0.5794
2.1
2.8
1.3933
4.9
6.4
0.6749
3.1
3.7
1.4053
5.2
7.0
0.8848
3.9
5.0
0.6673
3.0
3.7
3.1703
9.6
13.1
1.9362
7.1
9.3
1.1176
4.7
5.9
3.4522
8.4
13.0
1.5788
4.2
6.1
0.9803
2.4
3.3
2.7821
7.8
10.7
1.4093
3.7
5.5
0.8606
1.9
2.6
0.9682
2.1
2.8
0.7498
1.6
1.8
1.4344
4.0
6.0
0.7995
1.7
2.2
1.7469
1.1021
0.7871
1.8159
0.8200
1.6001
1.0812
0.7309
6.6
5.2
4.1
6.2
3.8
5.9
4.3
2.7
8.9
6.4
5.1
8.3
4.8
8.2
5.7
3.7
0.9433
4.1
5.1
0.6539
3.1
3.9
1.3980
0.7988
1.1875
5.5
3.9
4.3
7.0
4.7
5.7
0.6739
2.8
3.5
1.2415
0.6434
2.5046
4.4
2.9
5.1
6.3
3.8
7.0
1.3782
2.7
3.2
4.6284
13.3
16.9
30APP2
23832
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 5.—LIST OF MEDICARE SEVERITY DIAGNOSIS-RELATED GROUPS (MS–DRGS), RELATIVE WEIGHTING FACTORS,
AND GEOMETRIC AND ARITHMETIC MEAN LENGTH OF STAY—Continued
MS–DRG
FY 2009
proposed
rule postacute DRG
FY 2009
proposed
rule
special pay
DRG
MDC
617 ...........
Yes ..........
No ............
618 ...........
Yes ..........
619 ...........
620 ...........
621 ...........
Type
MS–DRG title
10
SURG ......
No ............
10
SURG ......
No ............
No ............
No ............
No ............
No ............
No ............
10
10
10
SURG ......
SURG ......
SURG ......
622 ...........
Yes ..........
No ............
10
SURG ......
623 ...........
Yes ..........
No ............
10
SURG ......
624 ...........
Yes ..........
No ............
10
SURG ......
625 ...........
No ............
No ............
10
SURG ......
626 ...........
No ............
No ............
10
SURG ......
627 ...........
No ............
No ............
10
SURG ......
628 ...........
Yes ..........
No ............
10
SURG ......
629 ...........
Yes ..........
No ............
10
SURG ......
630 ...........
Yes ..........
No ............
10
SURG ......
637
638
639
640
Yes
Yes
Yes
Yes
No
No
No
No
............
............
............
............
10
10
10
10
MED
MED
MED
MED
Amputat of lower limb for endocrine,
nutrit, & metabol dis w CC.
Amputat of lower limb for endocrine,
nutrit, & metabol dis w/o CC/MCC.
O.R. procedures for obesity w MCC ...
O.R. procedures for obesity w CC ......
O.R. procedures for obesity w/o CC/
MCC.
Skin grafts & wound debrid for endoc,
nutrit & metab dis w MCC.
Skin grafts & wound debrid for endoc,
nutrit & metab dis w CC.
Skin grafts & wound debrid for endoc,
nutrit & metab dis w/o CC/MCC.
Thyroid, parathyroid & thyroglossal
procedures w MCC.
Thyroid, parathyroid & thyroglossal
procedures w CC.
Thyroid, parathyroid & thyroglossal
procedures w/o CC/MCC.
Other endocrine, nutrit & metab O.R.
proc w MCC.
Other endocrine, nutrit & metab O.R.
proc w CC.
Other endocrine, nutrit & metab O.R.
proc w/o CC/MCC.
Diabetes w MCC .................................
Diabetes w CC ....................................
Diabetes w/o CC/MCC ........................
Nutritional & misc metabolic disorders
w MCC.
Nutritional & misc metabolic disorders
w/o MCC.
Inborn errors of metabolism ................
Endocrine disorders w MCC ...............
Endocrine disorders w CC ..................
Endocrine disorders w/o CC/MCC ......
Kidney transplant .................................
Major bladder procedures w MCC ......
Major bladder procedures w CC .........
Major bladder procedures w/o CC/
MCC.
Kidney & ureter procedures for neoplasm w MCC.
Kidney & ureter procedures for neoplasm w CC.
Kidney & ureter procedures for neoplasm w/o CC/MCC.
Kidney & ureter procedures for nonneoplasm w MCC.
Kidney & ureter procedures for nonneoplasm w CC.
Kidney & ureter procedures for nonneoplasm w/o CC/MCC.
Minor bladder procedures w MCC ......
Minor bladder procedures w CC .........
Minor bladder procedures w/o CC/
MCC.
Prostatectomy w MCC ........................
Prostatectomy w CC ...........................
Prostatectomy w/o CC/MCC ...............
Transurethral procedures w MCC .......
Transurethral procedures w CC ..........
Transurethral procedures w/o CC/
MCC.
Urethral procedures w CC/MCC .........
Urethral procedures w/o CC/MCC ......
...........
...........
...........
...........
..........
..........
..........
..........
.........
.........
.........
.........
Yes ..........
No ............
10
MED .........
642
643
644
645
652
653
654
655
...........
...........
...........
...........
...........
...........
...........
...........
No ............
Yes ..........
Yes ..........
Yes ..........
No ............
Yes ..........
Yes ..........
Yes ..........
No
No
No
No
No
No
No
No
............
............
............
............
............
............
............
............
10
10
10
10
11
11
11
11
MED .........
MED .........
MED .........
MED .........
SURG ......
SURG ......
SURG ......
SURG ......
656 ...........
No ............
No ............
11
SURG ......
657 ...........
No ............
No ............
11
SURG ......
658 ...........
No ............
No ............
11
SURG ......
659 ...........
Yes ..........
No ............
11
SURG ......
660 ...........
Yes ..........
No ............
11
SURG ......
661 ...........
Yes ..........
No ............
11
SURG ......
662 ...........
663 ...........
664 ...........
jlentini on PROD1PC65 with PROPOSALS2
641 ...........
No ............
No ............
No ............
No ............
No ............
No ............
11
11
11
SURG ......
SURG ......
SURG ......
665
666
667
668
669
670
No
No
No
No
No
No
No
No
No
No
No
No
............
............
............
............
............
............
11
11
11
11
11
11
SURG
SURG
SURG
SURG
SURG
SURG
No ............
No ............
11
11
SURG ......
SURG ......
...........
...........
...........
...........
...........
...........
671 ...........
672 ...........
VerDate Aug<31>2005
............
............
............
............
............
............
No ............
No ............
19:42 Apr 29, 2008
Jkt 214001
PO 00000
......
......
......
......
......
......
Frm 00306
Fmt 4701
Sfmt 4702
E:\FR\FM\30APP2.SGM
Weights
Geometric
mean LOS
Arithmetic
mean LOS
2.0940
7.0
8.8
1.3234
5.1
6.4
3.3383
1.8739
1.4269
5.2
2.9
1.9
8.2
3.7
2.2
3.1268
9.4
13.2
1.8728
6.7
8.6
1.0877
4.8
6.0
2.1260
4.7
7.1
1.1284
2.1
3.1
0.7378
1.3
1.5
3.2732
7.5
11.2
2.2931
6.9
8.7
1.5069
4.0
5.5
1.3538
0.8135
0.5577
1.1105
4.5
3.4
2.5
3.9
6.1
4.3
3.0
5.4
0.6798
3.1
3.8
1.0169
1.6408
1.0437
0.7164
2.9787
5.8091
2.9531
2.0241
3.7
5.8
4.4
3.1
6.6
13.6
8.7
5.7
5.2
7.6
5.5
3.9
7.8
16.9
9.9
6.5
3.2762
8.0
10.1
1.8655
5.0
6.0
1.3790
3.3
3.7
3.3225
8.0
11.2
1.8913
4.8
6.5
1.2600
2.6
3.3
2.7078
1.4443
0.9940
7.4
3.7
1.6
10.3
5.3
2.1
2.5635
1.5553
0.8259
2.2348
1.2049
0.7672
8.2
4.3
2.1
6.2
3.1
1.9
11.1
6.4
2.9
8.5
4.4
2.5
1.4136
0.7962
4.1
1.9
5.9
2.5
30APP2
23833
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 5.—LIST OF MEDICARE SEVERITY DIAGNOSIS-RELATED GROUPS (MS–DRGS), RELATIVE WEIGHTING FACTORS,
AND GEOMETRIC AND ARITHMETIC MEAN LENGTH OF STAY—Continued
MS–DRG
FY 2009
proposed
rule postacute DRG
FY 2009
proposed
rule
special pay
DRG
MDC
673 ...........
No ............
No ............
674 ...........
No ............
675 ...........
682
683
684
685
686
Type
MS–DRG title
11
SURG ......
No ............
11
SURG ......
No ............
No ............
11
SURG ......
...........
...........
...........
...........
...........
Yes ..........
Yes ..........
Yes ..........
No ............
No ............
No
No
No
No
No
............
............
............
............
............
11
11
11
11
11
MED
MED
MED
MED
MED
687 ...........
No ............
No ............
11
MED .........
688 ...........
No ............
No ............
11
MED .........
689 ...........
Yes ..........
No ............
11
MED .........
690 ...........
Yes ..........
No ............
11
MED .........
691 ...........
No ............
No ............
11
MED .........
692 ...........
No ............
No ............
11
MED .........
693 ...........
No ............
No ............
11
MED .........
694 ...........
No ............
No ............
11
MED .........
695 ...........
No ............
No ............
11
MED .........
696 ...........
No ............
No ............
11
MED .........
697 ...........
698 ...........
No ............
Yes ..........
No ............
No ............
11
11
MED .........
MED .........
699 ...........
Yes ..........
No ............
11
MED .........
700 ...........
Yes ..........
No ............
11
MED .........
707 ...........
No ............
No ............
12
SURG ......
708 ...........
No ............
No ............
12
SURG ......
709
710
711
712
713
No
No
No
No
No
No
No
No
No
No
............
............
............
............
............
12
12
12
12
12
SURG
SURG
SURG
SURG
SURG
Other kidney & urinary tract procedures w MCC.
Other kidney & urinary tract procedures w CC.
Other kidney & urinary tract procedures w/o CC/MCC.
Renal failure w MCC ...........................
Renal failure w CC ..............................
Renal failure w/o CC/MCC ..................
Admit for renal dialysis ........................
Kidney & urinary tract neoplasms w
MCC.
Kidney & urinary tract neoplasms w
CC.
Kidney & urinary tract neoplasms w/o
CC/MCC.
Kidney & urinary tract infections w
MCC.
Kidney & urinary tract infections w/o
MCC.
Urinary stones w esw lithotripsy w
CC/MCC.
Urinary stones w esw lithotripsy w/o
CC/MCC.
Urinary stones w/o esw lithotripsy w
MCC.
Urinary stones w/o esw lithotripsy w/o
MCC.
Kidney & urinary tract signs & symptoms w MCC.
Kidney & urinary tract signs & symptoms w/o MCC.
Urethral stricture ..................................
Other kidney & urinary tract diagnoses
w MCC.
Other kidney & urinary tract diagnoses
w CC.
Other kidney & urinary tract diagnoses
w/o CC/MCC.
Major male pelvic procedures w CC/
MCC.
Major male pelvic procedures w/o CC/
MCC.
Penis procedures w CC/MCC .............
Penis procedures w/o CC/MCC ..........
Testes procedures w CC/MCC ...........
Testes procedures w/o CC/MCC ........
Transurethral prostatectomy w CC/
MCC.
Transurethral prostatectomy w/o CC/
MCC.
Other male reproductive system O.R.
proc for malignancy w CC/MCC.
Other male reproductive system O.R.
proc for malignancy w/o CC/MCC.
Other male reproductive system O.R.
proc exc malignancy w CC/MCC.
Other male reproductive system O.R.
proc exc malignancy w/o CC/MCC.
Malignancy, male reproductive system
w MCC.
Malignancy, male reproductive system
w CC.
Malignancy, male reproductive system
w/o CC/MCC.
Benign prostatic hypertrophy w MCC
...........
...........
...........
...........
...........
............
............
............
............
............
.........
.........
.........
.........
.........
......
......
......
......
......
No ............
No ............
12
SURG ......
715 ...........
No ............
No ............
12
SURG ......
716 ...........
No ............
No ............
12
SURG ......
717 ...........
No ............
No ............
12
SURG ......
718 ...........
jlentini on PROD1PC65 with PROPOSALS2
714 ...........
No ............
No ............
12
SURG ......
722 ...........
No ............
No ............
12
MED .........
723 ...........
No ............
No ............
12
MED .........
724 ...........
No ............
No ............
12
MED .........
725 ...........
No ............
No ............
12
MED .........
VerDate Aug<31>2005
19:42 Apr 29, 2008
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PO 00000
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Fmt 4701
Sfmt 4702
E:\FR\FM\30APP2.SGM
Weights
Geometric
mean LOS
Arithmetic
mean LOS
2.7645
5.8
9.7
2.1527
4.6
7.2
1.3137
1.5
2.1
1.6374
1.1270
0.7278
0.8578
1.6240
5.2
4.5
3.2
2.5
5.6
7.2
5.7
3.9
3.5
7.6
1.0719
4.1
5.4
0.6816
2.5
3.3
1.2271
4.9
6.2
0.7559
3.5
4.2
1.4503
2.9
4.0
1.1528
1.9
2.4
1.1915
3.6
4.8
0.6573
2.0
2.6
1.1723
4.2
5.5
0.6308
2.6
3.3
0.6938
1.4719
2.4
5.0
3.1
6.7
0.9700
3.7
4.8
0.6813
2.8
3.6
1.6265
3.4
4.4
1.1839
1.8
2.1
1.8803
1.2586
2.0318
0.8077
1.1188
3.8
1.4
5.5
2.2
2.9
6.5
1.8
8.2
3.0
4.2
0.6333
1.7
1.9
1.7120
3.9
6.3
0.9713
1.2
1.4
1.8091
5.1
7.2
0.7849
2.2
2.8
1.5588
5.7
7.6
0.9901
4.1
5.3
0.6006
2.4
3.2
1.0462
4.2
5.5
30APP2
23834
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 5.—LIST OF MEDICARE SEVERITY DIAGNOSIS-RELATED GROUPS (MS–DRGS), RELATIVE WEIGHTING FACTORS,
AND GEOMETRIC AND ARITHMETIC MEAN LENGTH OF STAY—Continued
MS–DRG
FY 2009
proposed
rule postacute DRG
FY 2009
proposed
rule
special pay
DRG
MDC
726 ...........
No ............
No ............
727 ...........
No ............
728 ...........
MS–DRG title
12
MED .........
No ............
12
MED .........
No ............
No ............
12
MED .........
729 ...........
No ............
No ............
12
MED .........
730 ...........
No ............
No ............
12
MED .........
734 ...........
No ............
No ............
13
SURG ......
735 ...........
No ............
No ............
13
SURG ......
736 ...........
No ............
No ............
13
SURG ......
737 ...........
No ............
No ............
13
SURG ......
738 ...........
No ............
No ............
13
SURG ......
739 ...........
No ............
No ............
13
SURG ......
740 ...........
No ............
No ............
13
SURG ......
741 ...........
No ............
No ............
13
SURG ......
742 ...........
No ............
No ............
13
SURG ......
743 ...........
No ............
No ............
13
SURG ......
744 ...........
No ............
No ............
13
SURG ......
745 ...........
No ............
No ............
13
SURG ......
746 ...........
No ............
No ............
13
SURG ......
747 ...........
No ............
No ............
13
SURG ......
748 ...........
No ............
No ............
13
SURG ......
749 ...........
No ............
No ............
13
SURG ......
750 ...........
No ............
No ............
13
SURG ......
754 ...........
No ............
No ............
13
MED .........
755 ...........
No ............
No ............
13
MED .........
756 ...........
No ............
No ............
13
MED .........
757 ...........
No ............
No ............
13
MED .........
758 ...........
No ............
No ............
13
MED .........
759 ...........
No ............
No ............
13
MED .........
760 ...........
jlentini on PROD1PC65 with PROPOSALS2
Type
No ............
No ............
13
MED .........
761 ...........
No ............
No ............
13
MED .........
765 ...........
766 ...........
767 ...........
No ............
No ............
No ............
No ............
No ............
No ............
14
14
14
SURG ......
SURG ......
SURG ......
768 ...........
No ............
No ............
14
SURG ......
Benign prostatic hypertrophy w/o
MCC.
Inflammation of the male reproductive
system w MCC.
Inflammation of the male reproductive
system w/o MCC.
Other male reproductive system diagnoses w CC/MCC.
Other male reproductive system diagnoses w/o CC/MCC.
Pelvic evisceration, rad hysterectomy
& rad vulvectomy w CC/MCC.
Pelvic evisceration, rad hysterectomy
& rad vulvectomy w/o CC/MCC.
Uterine & adnexa proc for ovarian or
adnexal malignancy w MCC.
Uterine & adnexa proc for ovarian or
adnexal malignancy w CC.
Uterine & adnexa proc for ovarian or
adnexal malignancy w/o CC/MCC.
Uterine, adnexa proc for non-ovarian/
adnexal malig w MCC.
Uterine, adnexa proc for non-ovarian/
adnexal malig w CC.
Uterine, adnexa proc for non-ovarian/
adnexal malig w/o CC/MCC.
Uterine & adnexa proc for non-malignancy w CC/MCC.
Uterine & adnexa proc for non-malignancy w/o CC/MCC.
D&C, conization, laparoscopy & tubal
interruption w CC/MCC.
D&C, conization, laparoscopy & tubal
interruption w/o CC/MCC.
Vagina, cervix & vulva procedures w
CC/MCC.
Vagina, cervix & vulva procedures w/o
CC/MCC.
Female reproductive system reconstructive procedures.
Other female reproductive system
O.R. procedures w CC/MCC.
Other female reproductive system
O.R. procedures w/o CC/MCC.
Malignancy, female reproductive system w MCC.
Malignancy, female reproductive system w CC.
Malignancy, female reproductive system w/o CC/MCC.
Infections, female reproductive system
w MCC.
Infections, female reproductive system
w CC.
Infections, female reproductive system
w/o CC/MCC.
Menstrual & other female reproductive
system disorders w CC/MCC.
Menstrual & other female reproductive
system disorders w/o CC/MCC.
Cesarean section w CC/MCC .............
Cesarean section w/o CC/MCC ..........
Vaginal delivery w sterilization &/or
D&C.
Vaginal delivery w O.R. proc except
steril &/or D&C.
VerDate Aug<31>2005
19:42 Apr 29, 2008
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PO 00000
Frm 00308
Fmt 4701
Sfmt 4702
E:\FR\FM\30APP2.SGM
Weights
Geometric
mean LOS
Arithmetic
mean LOS
0.6675
2.7
3.5
1.3016
5.0
6.4
0.6911
3.3
4.0
1.0993
4.0
5.6
0.5963
2.4
3.1
2.3505
6.0
8.0
1.1311
2.9
3.4
4.1736
11.2
13.8
1.9577
6.0
7.2
1.1577
3.5
3.9
3.0131
7.8
10.2
1.4661
4.3
5.2
1.0021
2.7
3.0
1.3433
3.5
4.5
0.8469
2.0
2.3
1.3918
4.1
5.8
0.7460
2.1
2.6
1.2662
3.0
4.2
0.8403
1.6
1.9
0.8193
1.5
1.7
2.4919
6.7
9.3
0.9660
2.5
3.1
1.7520
6.2
8.3
1.0769
4.3
5.7
0.6327
2.5
3.1
1.5775
6.5
8.1
1.0621
4.9
6.1
0.7646
3.6
4.5
0.7917
3.0
4.0
0.5008
1.9
2.4
1.0606
0.7486
0.9741
4.0
3.0
2.6
5.0
3.2
3.4
1.7321
0.0
0.0
30APP2
23835
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 5.—LIST OF MEDICARE SEVERITY DIAGNOSIS-RELATED GROUPS (MS–DRGS), RELATIVE WEIGHTING FACTORS,
AND GEOMETRIC AND ARITHMETIC MEAN LENGTH OF STAY—Continued
MS–DRG
FY 2009
proposed
rule postacute DRG
FY 2009
proposed
rule
special pay
DRG
MDC
769 ...........
No ............
No ............
770 ...........
No ............
774 ...........
Type
MS–DRG title
14
SURG ......
No ............
14
SURG ......
No ............
No ............
14
MED .........
775 ...........
No ............
No ............
14
MED .........
776 ...........
No ............
No ............
14
MED .........
777
778
779
780
781
No
No
No
No
No
No
No
No
No
No
............
............
............
............
............
14
14
14
14
14
MED
MED
MED
MED
MED
Postpartum & post abortion diagnoses
w O.R. procedure.
Abortion w D&C, aspiration curettage
or hysterotomy.
Vaginal delivery w complicating diagnoses.
Vaginal delivery w/o complicating diagnoses.
Postpartum & post abortion diagnoses
w/o O.R. procedure.
Ectopic pregnancy ...............................
Threatened abortion ............................
Abortion w/o D&C ................................
False labor ...........................................
Other antepartum diagnoses w medical complications.
Other antepartum diagnoses w/o medical complications.
Neonates, died or transferred to another acute care facility.
Extreme immaturity or respiratory distress syndrome, neonate.
Prematurity w major problems ............
Prematurity w/o major problems .........
Full term neonate w major problems ..
Neonate w other significant problems
Normal newborn ..................................
Splenectomy w MCC ...........................
Splenectomy w CC ..............................
Splenectomy w/o CC/MCC .................
Other O.R. proc of the blood & blood
forming organs w MCC.
Other O.R. proc of the blood & blood
forming organs w CC.
Other O.R. proc of the blood & blood
forming organs w/o CC/MCC.
Major hematol/immun diag exc sickle
cell crisis & coagul w MCC.
Major hematol/immun diag exc sickle
cell crisis & coagul w CC.
Major hematol/immun diag exc sickle
cell crisis & coagul w/o CC/MCC.
Red blood cell disorders w MCC ........
Red blood cell disorders w/o MCC .....
Coagulation disorders .........................
Reticuloendothelial & immunity disorders w MCC.
Reticuloendothelial & immunity disorders w CC.
Reticuloendothelial & immunity disorders w/o CC/MCC.
Lymphoma & leukemia w major O.R.
procedure w MCC.
Lymphoma & leukemia w major O.R.
procedure w CC.
Lymphoma & leukemia w major O.R.
procedure w/o CC/MCC.
Lymphoma & non-acute leukemia w
other O.R. proc w MCC.
Lymphoma & non-acute leukemia w
other O.R. proc w CC.
Lymphoma & non-acute leukemia w
other O.R. proc w/o CC/MCC.
Myeloprolif disord or poorly diff neopl
w maj O.R. proc w MCC.
Myeloprolif disord or poorly diff neopl
w maj O.R. proc w CC.
...........
...........
...........
...........
...........
............
............
............
............
............
.........
.........
.........
.........
.........
782 ...........
No ............
No ............
14
MED .........
789 ...........
No ............
No ............
15
MED .........
790 ...........
No ............
No ............
15
MED .........
791
792
793
794
795
799
800
801
802
No
No
No
No
No
No
No
No
No
No
No
No
No
No
No
No
No
No
............
............
............
............
............
............
............
............
............
15
15
15
15
15
16
16
16
16
MED .........
MED .........
MED .........
MED .........
MED .........
SURG ......
SURG ......
SURG ......
SURG ......
...........
...........
...........
...........
...........
...........
...........
...........
...........
............
............
............
............
............
............
............
............
............
803 ...........
No ............
No ............
16
SURG ......
804 ...........
No ............
No ............
16
SURG ......
808 ...........
No ............
No ............
16
MED .........
809 ...........
No ............
No ............
16
MED .........
810 ...........
No ............
No ............
16
MED .........
811
812
813
814
No
No
No
No
No
No
No
No
............
............
............
............
16
16
16
16
MED
MED
MED
MED
...........
...........
...........
...........
............
............
............
............
.........
.........
.........
.........
No ............
No ............
16
MED .........
816 ...........
No ............
No ............
16
MED .........
820 ...........
No ............
No ............
17
SURG ......
821 ...........
No ............
No ............
17
SURG ......
822 ...........
No ............
No ............
17
SURG ......
823 ...........
jlentini on PROD1PC65 with PROPOSALS2
815 ...........
No ............
No ............
17
SURG ......
824 ...........
No ............
No ............
17
SURG ......
825 ...........
No ............
No ............
17
SURG ......
826 ...........
No ............
No ............
17
SURG ......
827 ...........
No ............
No ............
17
SURG ......
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
PO 00000
Frm 00309
Fmt 4701
Sfmt 4702
E:\FR\FM\30APP2.SGM
Weights
Geometric
mean LOS
Arithmetic
mean LOS
1.2935
3.2
4.6
0.6677
1.6
2.2
0.6571
2.6
3.2
0.4830
2.0
2.2
0.6192
2.5
3.3
0.7721
0.4373
0.4871
0.1962
0.6154
1.9
2.0
1.6
1.3
2.6
2.2
3.0
2.1
1.5
3.8
0.3926
1.7
2.5
1.4227
0.0
0.0
4.6916
0.0
0.0
3.2042
1.9334
3.2914
1.1650
0.1577
4.7602
2.5819
1.6484
3.3539
0.0
0.0
0.0
0.0
0.0
10.8
6.2
3.8
8.9
0.0
0.0
0.0
0.0
0.0
14.1
7.9
4.9
12.2
1.7689
4.7
6.7
1.0613
2.5
3.4
1.9850
6.3
8.2
1.1737
4.2
5.3
0.8957
3.2
4.0
1.2742
0.7629
1.3556
1.4932
4.0
2.8
3.7
5.0
5.7
3.7
5.1
6.7
0.9973
3.8
5.0
0.6989
2.8
3.5
5.6401
13.3
17.7
2.2489
5.5
7.9
1.2399
2.6
3.5
4.0990
12.1
15.4
2.1791
6.6
8.7
1.2059
3.0
4.3
4.6385
11.1
15.0
2.2759
5.9
8.0
30APP2
23836
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 5.—LIST OF MEDICARE SEVERITY DIAGNOSIS-RELATED GROUPS (MS–DRGS), RELATIVE WEIGHTING FACTORS,
AND GEOMETRIC AND ARITHMETIC MEAN LENGTH OF STAY—Continued
MS–DRG
FY 2009
proposed
rule postacute DRG
FY 2009
proposed
rule
special pay
DRG
MDC
828 ...........
No ............
No ............
829 ...........
No ............
830 ...........
MS–DRG title
17
SURG ......
No ............
17
SURG ......
No ............
No ............
17
SURG ......
834 ...........
No ............
No ............
17
MED .........
835 ...........
No ............
No ............
17
MED .........
836 ...........
No ............
No ............
17
MED .........
837 ...........
No ............
No ............
17
MED .........
838 ...........
No ............
No ............
17
MED .........
839 ...........
No ............
No ............
17
MED .........
840 ...........
Yes ..........
No ............
17
MED .........
841 ...........
Yes ..........
No ............
17
MED .........
842 ...........
Yes ..........
No ............
17
MED .........
843 ...........
No ............
No ............
17
MED .........
844 ...........
No ............
No ............
17
MED .........
845 ...........
No ............
No ............
17
MED .........
846 ...........
No ............
No ............
17
MED .........
847 ...........
No ............
No ............
17
MED .........
848 ...........
No ............
No ............
17
MED .........
849 ...........
853 ...........
No ............
Yes ..........
No ............
No ............
17
18
MED .........
SURG ......
854 ...........
Yes ..........
No ............
18
SURG ......
855 ...........
Yes ..........
No ............
18
SURG ......
856 ...........
Yes ..........
No ............
18
SURG ......
857 ...........
Yes ..........
No ............
18
SURG ......
858 ...........
Yes ..........
No ............
18
SURG ......
862 ...........
Yes ..........
No ............
18
MED .........
863 ...........
Yes ..........
No ............
18
MED .........
864
865
866
867
jlentini on PROD1PC65 with PROPOSALS2
Type
...........
...........
...........
...........
No ............
No ............
No ............
Yes ..........
No
No
No
No
............
............
............
............
18
18
18
18
MED
MED
MED
MED
868 ...........
Yes ..........
No ............
18
MED .........
869 ...........
Yes ..........
No ............
18
MED .........
870 ...........
Yes ..........
No ............
18
MED .........
871 ...........
Yes ..........
No ............
18
MED .........
Myeloprolif disord or poorly diff neopl
w maj O.R. proc w/o CC/MCC.
Myeloprolif disord or poorly diff neopl
w other O.R. proc w CC/MCC.
Myeloprolif disord or poorly diff neopl
w other O.R. proc w/o CC/MCC.
Acute leukemia w/o major O.R. procedure w MCC.
Acute leukemia w/o major O.R. procedure w CC.
Acute leukemia w/o major O.R. procedure w/o CC/MCC.
Chemo w acute leukemia as sdx or w
high dose chemo agent w MCC.
Chemo w acute leukemia as sdx w
CC or high dose chemo agent.
Chemo w acute leukemia as sdx w/o
CC/MCC.
Lymphoma & non-acute leukemia w
MCC.
Lymphoma & non-acute leukemia w
CC.
Lymphoma & non-acute leukemia w/o
CC/MCC.
Other myeloprolif dis or poorly diff
neopl diag w MCC.
Other myeloprolif dis or poorly diff
neopl diag w CC.
Other myeloprolif dis or poorly diff
neopl diag w/o CC/MCC.
Chemotherapy w/o acute leukemia as
secondary diagnosis w MCC.
Chemotherapy w/o acute leukemia as
secondary diagnosis w CC.
Chemotherapy w/o acute leukemia as
secondary diagnosis w/o CC/MCC.
Radiotherapy .......................................
Infectious & parasitic diseases w O.R.
procedure w MCC.
Infectious & parasitic diseases w O.R.
procedure w CC.
Infectious & parasitic diseases w O.R.
procedure w/o CC/MCC.
Postoperative or post-traumatic infections w O.R. proc w MCC.
Postoperative or post-traumatic infections w O.R. proc w CC.
Postoperative or post-traumatic infections w O.R. proc w/o CC/MCC.
Postoperative & post-traumatic infections w MCC.
Postoperative & post-traumatic infections w/o MCC.
Fever of unknown origin ......................
Viral illness w MCC .............................
Viral illness w/o MCC ..........................
Other infectious & parasitic diseases
diagnoses w MCC.
Other infectious & parasitic diseases
diagnoses w CC.
Other infectious & parasitic diseases
diagnoses w/o CC/MCC.
Septicemia or severe sepsis w MV
96+ hours.
Septicemia or severe sepsis w/o MV
96+ hours w MCC.
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
PO 00000
.........
.........
.........
.........
Frm 00310
Fmt 4701
Sfmt 4702
E:\FR\FM\30APP2.SGM
Weights
Geometric
mean LOS
Arithmetic
mean LOS
1.3050
3.0
3.8
2.8972
7.0
10.7
1.0802
2.5
3.7
4.5854
9.5
15.5
2.5840
6.2
10.4
1.2085
3.4
5.2
6.4047
17.6
23.1
2.9669
7.9
12.3
1.4181
5.0
6.4
2.6031
7.7
10.4
1.5529
5.2
6.9
1.0261
3.4
4.6
1.8203
6.1
8.5
1.2030
4.6
6.1
0.8143
3.3
4.3
2.1299
5.8
8.4
0.9436
2.7
3.4
0.7995
2.5
3.1
1.2021
5.4286
4.4
12.7
6.0
16.7
2.9171
9.1
11.1
1.8093
5.6
7.0
4.7315
11.5
15.4
2.0472
6.6
8.5
1.3563
4.5
5.7
1.9123
6.1
8.2
0.9575
4.2
5.2
0.8224
1.4950
0.6673
2.3423
3.2
4.7
2.8
7.0
4.1
6.7
3.5
9.6
1.0761
4.5
5.8
0.7628
3.5
4.3
5.7422
12.9
15.5
1.8211
5.5
7.5
30APP2
23837
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 5.—LIST OF MEDICARE SEVERITY DIAGNOSIS-RELATED GROUPS (MS–DRGS), RELATIVE WEIGHTING FACTORS,
AND GEOMETRIC AND ARITHMETIC MEAN LENGTH OF STAY—Continued
MS–DRG
FY 2009
proposed
rule postacute DRG
FY 2009
proposed
rule
special pay
DRG
MDC
872 ...........
Yes ..........
No ............
876 ...........
No ............
880 ...........
Type
MS–DRG title
18
MED .........
No ............
19
SURG ......
No ............
No ............
19
MED .........
881 ...........
882 ...........
883 ...........
No ............
No ............
No ............
No ............
No ............
No ............
19
19
19
MED .........
MED .........
MED .........
884 ...........
Yes ..........
No ............
19
MED .........
885
886
887
894
No
No
No
No
No
No
No
No
............
............
............
............
19
19
19
20
MED
MED
MED
MED
Septicemia or severe sepsis w/o MV
96+ hours w/o MCC.
O.R. procedure w principal diagnoses
of mental illness.
Acute adjustment reaction & psychosocial dysfunction.
Depressive neuroses ...........................
Neuroses except depressive ...............
Disorders of personality & impulse
control.
Organic disturbances & mental retardation.
Psychoses ...........................................
Behavioral & developmental disorders
Other mental disorder diagnoses ........
Alcohol/drug abuse or dependence,
left ama.
Alcohol/drug abuse or dependence w
rehabilitation therapy.
Alcohol/drug abuse or dependence w/
o rehabilitation therapy w MCC.
Alcohol/drug abuse or dependence w/
o rehabilitation therapy w/o MCC.
Wound debridements for injuries w
MCC.
Wound debridements for injuries w
CC.
Wound debridements for injuries w/o
CC/MCC.
Skin grafts for injuries w CC/MCC ......
Skin grafts for injuries w/o CC/MCC ...
Hand procedures for injuries ...............
Other O.R. procedures for injuries w
MCC.
Other O.R. procedures for injuries w
CC.
Other O.R. procedures for injuries w/o
CC/MCC.
Traumatic injury w MCC ......................
Traumatic injury w/o MCC ...................
Allergic reactions w MCC ....................
Allergic reactions w/o MCC .................
Poisoning & toxic effects of drugs w
MCC.
Poisoning & toxic effects of drugs w/o
MCC.
Complications of treatment w MCC ....
Complications of treatment w CC .......
Complications of treatment w/o CC/
MCC.
Other injury, poisoning & toxic effect
diag w MCC.
Other injury, poisoning & toxic effect
diag w/o MCC.
Extensive burns or full thickness
burns w MV 96+ hrs w skin graft.
Full thickness burn w skin graft or
inhal inj w CC/MCC.
Full thickness burn w skin graft or
inhal inj w/o CC/MCC.
Extensive burns or full thickness
burns w MV 96+ hrs w/o skin graft.
Full thickness burn w/o skin grft or
inhal inj.
Non-extensive burns ...........................
O.R. proc w diagnoses of other contact w health services w MCC.
...........
...........
...........
...........
............
............
............
............
.........
.........
.........
.........
No ............
No ............
20
MED .........
896 ...........
Yes ..........
No ............
20
MED .........
897 ...........
Yes ..........
No ............
20
MED .........
901 ...........
No ............
No ............
21
SURG ......
902 ...........
No ............
No ............
21
SURG ......
903 ...........
No ............
No ............
21
SURG ......
904
905
906
907
...........
...........
...........
...........
No ............
No ............
No ............
Yes ..........
No
No
No
No
............
............
............
............
21
21
21
21
SURG
SURG
SURG
SURG
908 ...........
Yes ..........
No ............
21
SURG ......
909 ...........
Yes ..........
No ............
21
SURG ......
913
914
915
916
917
...........
...........
...........
...........
...........
No ............
No ............
No ............
No ............
Yes ..........
No
No
No
No
No
............
............
............
............
............
21
21
21
21
21
MED
MED
MED
MED
MED
918 ...........
Yes ..........
No ............
21
MED .........
919 ...........
920 ...........
921 ...........
No ............
No ............
No ............
No ............
No ............
No ............
21
21
21
MED .........
MED .........
MED .........
922 ...........
No ............
No ............
21
MED .........
923 ...........
No ............
No ............
21
MED .........
927 ...........
No ............
No ............
22
SURG ......
928 ...........
No ............
No ............
22
SURG ......
929 ...........
jlentini on PROD1PC65 with PROPOSALS2
895 ...........
No ............
No ............
22
SURG ......
933 ...........
No ............
No ............
22
MED .........
934 ...........
No ............
No ............
22
MED .........
935 ...........
939 ...........
No ............
No ............
No ............
No ............
22
23
MED .........
SURG ......
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
PO 00000
......
......
......
......
.........
.........
.........
.........
.........
Frm 00311
Fmt 4701
Sfmt 4702
E:\FR\FM\30APP2.SGM
Weights
Geometric
mean LOS
Arithmetic
mean LOS
1.1188
4.7
5.7
2.4279
7.8
11.9
0.5867
2.4
3.2
0.5784
0.6086
1.0102
3.1
3.1
4.4
4.2
4.4
7.4
0.8923
4.1
5.5
0.8380
0.7479
0.7275
0.3842
5.5
4.0
3.0
2.1
7.6
6.1
4.6
3.0
0.8727
8.1
10.5
1.3787
4.8
6.6
0.6152
3.3
4.1
3.8708
9.9
15.1
1.6889
5.5
7.7
0.9976
3.4
4.6
2.9204
1.1156
0.9941
3.6871
7.0
3.4
2.1
8.0
11.2
4.7
3.1
11.6
1.9162
4.9
6.8
1.1372
2.7
3.6
1.2246
0.6625
1.2354
0.4409
1.4143
4.2
2.7
3.3
1.7
3.7
5.7
3.4
4.7
2.1
5.2
0.5809
2.1
2.7
1.5200
0.9220
0.6097
4.5
3.3
2.3
6.4
4.4
3.0
1.3580
4.1
6.0
0.6142
2.4
3.2
14.0060
23.4
31.1
5.0621
11.7
16.0
2.1574
5.3
7.7
2.1246
2.3
4.3
1.2949
4.4
6.2
1.2209
2.6570
3.6
6.6
5.4
10.1
30APP2
23838
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 5.—LIST OF MEDICARE SEVERITY DIAGNOSIS-RELATED GROUPS (MS–DRGS), RELATIVE WEIGHTING FACTORS,
AND GEOMETRIC AND ARITHMETIC MEAN LENGTH OF STAY—Continued
MS–DRG
FY 2009
proposed
rule postacute DRG
FY 2009
proposed
rule
special pay
DRG
MDC
940 ...........
No ............
No ............
941 ...........
No ............
945
946
947
948
949
950
951
955
...........
...........
...........
...........
...........
...........
...........
...........
MS–DRG title
23
SURG ......
No ............
23
SURG ......
Yes ..........
Yes ..........
Yes ..........
Yes ..........
No ............
No ............
No ............
No ............
No
No
No
No
No
No
No
No
............
............
............
............
............
............
............
............
23
23
23
23
23
23
23
24
MED .........
MED .........
MED .........
MED .........
MED .........
MED .........
MED .........
SURG ......
956 ...........
Yes ..........
No ............
24
SURG ......
957 ...........
No ............
No ............
24
SURG ......
958 ...........
No ............
No ............
24
SURG ......
959 ...........
No ............
No ............
24
SURG ......
963 ...........
No ............
No ............
24
MED .........
964 ...........
No ............
No ............
24
MED .........
965 ...........
No ............
No ............
24
MED .........
969 ...........
No ............
No ............
25
SURG ......
970 ...........
No ............
No ............
25
SURG ......
974 ...........
975 ...........
976 ...........
No ............
No ............
No ............
No ............
No ............
No ............
25
25
25
MED .........
MED .........
MED .........
977 ...........
981 ...........
No ............
Yes ..........
No ............
No ............
25
........
MED .........
SURG ......
982 ...........
Yes ..........
No ............
........
SURG ......
983 ...........
Yes ..........
No ............
........
SURG ......
984 ...........
No ............
No ............
........
SURG ......
985 ...........
No ............
No ............
........
SURG ......
986 ...........
No ............
No ............
........
SURG ......
987 ...........
Yes ..........
No ............
........
SURG ......
988 ...........
Yes ..........
No ............
........
SURG ......
989 ...........
Yes ..........
No ............
........
SURG ......
998 ...........
jlentini on PROD1PC65 with PROPOSALS2
Type
No ............
No ............
........
** ..............
999 ...........
No ............
No ............
........
** ..............
O.R. proc w diagnoses of other contact w health services w CC.
O.R. proc w diagnoses of other contact w health services w/o CC/MCC.
Rehabilitation w CC/MCC ...................
Rehabilitation w/o CC/MCC ................
Signs & symptoms w MCC .................
Signs & symptoms w/o MCC ..............
Aftercare w CC/MCC ...........................
Aftercare w/o CC/MCC ........................
Other factors influencing health status
Craniotomy for multiple significant
trauma.
Limb reattachment, hip & femur proc
for multiple significant trauma.
Other O.R. procedures for multiple
significant trauma w MCC.
Other O.R. procedures for multiple
significant trauma w CC.
Other O.R. procedures for multiple
significant trauma w/o CC/MCC.
Other multiple significant trauma w
MCC.
Other multiple significant trauma w
CC.
Other multiple significant trauma w/o
CC/MCC.
HIV w extensive O.R. procedure w
MCC.
HIV w extensive O.R. procedure w/o
MCC.
HIV w major related condition w MCC
HIV w major related condition w CC ...
HIV w major related condition w/o CC/
MCC.
HIV w or w/o other related condition ..
Extensive O.R. procedure unrelated to
principal diagnosis w MCC.
Extensive O.R. procedure unrelated to
principal diagnosis w CC.
Extensive O.R. procedure unrelated to
principal diagnosis w/o CC/MCC.
Prostatic O.R. procedure unrelated to
principal diagnosis w MCC.
Prostatic O.R. procedure unrelated to
principal diagnosis w CC.
Prostatic O.R. procedure unrelated to
principal diagnosis w/o CC/MCC.
Non-extensive O.R. proc unrelated to
principal diagnosis w MCC.
Non-extensive O.R. proc unrelated to
principal diagnosis w CC.
Non-extensive O.R. proc unrelated to
principal diagnosis w/o CC/MCC.
Principal diagnosis invalid as discharge diagnosis.
Ungroupable ........................................
Weights
Geometric
mean LOS
Arithmetic
mean LOS
1.6379
3.6
5.4
1.0782
2.1
2.7
1.2869
1.0861
1.0525
0.6473
0.7925
0.5548
0.7442
5.0969
8.6
6.9
3.8
2.8
2.6
2.4
2.2
8.6
10.5
7.9
5.0
3.5
4.1
3.5
4.7
12.3
3.5263
7.6
9.3
6.0787
10.2
14.9
3.6129
8.0
10.4
2.3808
4.9
6.3
2.8713
6.7
9.5
1.6024
4.9
6.2
0.9832
3.4
4.1
5.3749
12.9
18.8
2.4892
6.5
9.8
2.5595
1.3571
0.8910
7.3
5.3
3.8
10.4
7.0
4.9
1.0965
5.0175
3.9
11.7
5.3
15.1
3.0780
7.5
9.7
1.9959
3.9
5.4
3.3256
11.8
14.6
2.2113
7.3
9.7
1.2767
3.5
5.3
3.4336
9.8
13.0
1.8752
5.8
7.8
1.1032
2.9
4.1
0.0000
0.0
0.0
0.0000
0.0
0.0
MS–DRGs 998 and 999 contain cases that could not be assigned to valid DRGs.
NOTE: If there is no value in either the geometric mean length of stay or the arithmetic mean length of stay columns, the volume of cases is insufficient to obtain a meaningful computation of these statistics.
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30APP2
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23839
TABLE 6A.—NEW DIAGNOSIS CODES
Description
CC
046.11 ......
046.19 ......
046.71 ......
Variant Creutzfeldt-Jakob disease ..............................................................................................
Other and unspecified Creutzfeldt-Jakob disease ......................................................................
¨
Gerstmann-Straussler-Scheinker syndrome ...............................................................................
CC ....
CC ....
CC ....
046.72 ......
Fatal familial insomnia .................................................................................................................
CC ....
046.79 ......
Other and unspecified prion disease of central nervous system ................................................
CC ....
051.01 ......
051.02 ......
059.00 ......
059.01 ......
059.09 ......
059.10 ......
059.11 ......
059.12 ......
059.19 ......
059.21 ......
059.22 ......
059.29 ......
059.8 ........
059.9 ........
078.12 ......
136.21 ......
136.29 ......
199.2 ........
203.02 ......
Cowpox ........................................................................................................................................
Vaccinia not from vaccination .....................................................................................................
Orthopoxvirus infection, unspecified ...........................................................................................
Monkeypox ..................................................................................................................................
Other orthopoxvirus infections .....................................................................................................
Parapoxvirus infection, unspecified .............................................................................................
Bovine stomatitis .........................................................................................................................
Sealpox ........................................................................................................................................
Other parapoxvirus infections ......................................................................................................
Tanapox .......................................................................................................................................
Yaba monkey tumor virus ...........................................................................................................
Yatapoxvirus infection, unspecified .............................................................................................
Other poxvirus infections .............................................................................................................
Poxvirus infections, unspecified ..................................................................................................
Plantar wart .................................................................................................................................
Specific infection due to acanthamoeba .....................................................................................
Other specific infections by free-living amebae ..........................................................................
Malignant neoplasm associated with transplant organ ...............................................................
Multiple myeloma, in relapse .......................................................................................................
N .......
N .......
N .......
CC ....
N .......
N .......
N .......
N .......
N .......
CC ....
N .......
N .......
N .......
N .......
N .......
N .......
CC ....
CC ....
CC ....
01
01
01
25
01
25
01
25
18
18
18
18
18
18
18
18
18
18
18
18
18
18
09
18
18
17
17
203.12 ......
Plasma cell leukemia, in relapse .................................................................................................
CC ....
17
203.82 ......
Other immunoproliferative neoplasms, in relapse .......................................................................
CC ....
17
204.02 ......
Acute lymphoid leukemia, in relapse ..........................................................................................
CC ....
17
204.12 ......
Chronic lymphoid leukemia, in relapse .......................................................................................
CC ....
17
204.22 ......
Subacute lymphoid leukemia, in relapse ....................................................................................
CC ....
17
204.82 ......
Other lymphoid leukemia, in relapse ...........................................................................................
CC ....
17
204.92 ......
Unspecified lymphoid leukemia, in relapse .................................................................................
CC ....
17
205.02 ......
Acute myeloid leukemia, in relapse ............................................................................................
CC ....
17
205.12 ......
Chronic myeloid leukemia, in relapse .........................................................................................
CC ....
17
205.22 ......
Subacute myeloid leukemia, in relapse ......................................................................................
CC ....
17
205.32 ......
jlentini on PROD1PC65 with PROPOSALS2
Diagnosis
code
Myeloid sarcoma, in relapse .......................................................................................................
CC ....
17
205.82 ......
Other myeloid leukemia, in relapse .............................................................................................
CC ....
17
205.92 ......
Unspecified myeloid leukemia, in relapse ...................................................................................
CC ....
17
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E:\FR\FM\30APP2.SGM
30APP2
MDC
MS–DRG
056, 057
056, 057
056, 057
974, 975, 976
056, 057
974, 975, 976
056, 057
974, 975, 976
865, 866
865, 866
865, 866
865, 866
865, 866
865, 866
865, 866
865, 866
865, 866
865, 866
865, 866
865, 866
865, 866
865, 866
606, 607
867, 868, 869
867, 868, 869
843, 844, 845
820, 821, 822,
823, 824, 825,
840, 841, 842
820, 821, 822,
823, 824, 825,
840, 841, 842
820, 821, 822,
823, 824, 825,
840, 841, 842
820, 821, 822,
834, 835, 836,
837 1, 838 1,
839 1
820, 821, 822,
823, 824, 825,
840, 841, 842
820, 821, 822,
823, 824, 825,
840, 841, 842
820, 821, 822,
823, 824, 825,
840, 841, 842
820, 821, 822,
823, 824, 825,
840, 841, 842
820, 821, 822,
834, 835, 836,
837 1, 838 1,
839 1
820, 821, 822,
823, 824, 825,
840, 841, 842
820, 821, 822,
823, 824, 825,
840, 841, 842
820, 821, 822,
823, 824, 825,
840, 841, 842
820, 821, 822,
823, 824, 825,
840, 841, 842
820, 821, 822,
823, 824, 825,
840, 841, 842
23840
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 6A.—NEW DIAGNOSIS CODES—Continued
Description
CC
206.02 ......
Acute monocytic leukemia, in relapse .........................................................................................
CC ....
17
206.12 ......
Chronic monocytic leukemia, in relapse .....................................................................................
CC ....
17
206.22 ......
Subacute monocytic leukemia, in relapse ...................................................................................
CC ....
17
206.82 ......
Other monocytic leukemia, in relapse .........................................................................................
CC ....
17
206.92 ......
Unspecified monocytic leukemia, in relapse ...............................................................................
CC ....
17
207.02 ......
Acute erythremia and erythroleukemia, in relapse .....................................................................
CC ....
17
207.12 ......
Chronic erythremia, in relapse ....................................................................................................
CC ....
17
207.22 ......
Megakaryocytic leukemia, in relapse ..........................................................................................
CC ....
17
207.82 ......
Other specified leukemia, in relapse ...........................................................................................
CC ....
17
208.02 ......
Acute leukemia of unspecified cell type, in relapse ....................................................................
CC ....
17
208.12 ......
Chronic leukemia of unspecified cell type, in relapse .................................................................
CC ....
17
208.22 ......
Subacute leukemia of unspecified cell type, in relapse ..............................................................
CC ....
17
208.82 ......
Other leukemia of unspecified cell type, in relapse ....................................................................
CC ....
17
208.92 ......
Unspecified leukemia, in relapse ................................................................................................
CC ....
17
209.00
209.01
209.02
209.03
209.10
209.11
......
......
......
......
......
......
Malignant
Malignant
Malignant
Malignant
Malignant
Malignant
carcinoid
carcinoid
carcinoid
carcinoid
carcinoid
carcinoid
tumor
tumor
tumor
tumor
tumor
tumor
of
of
of
of
of
of
the
the
the
the
the
the
small intestine, unspecified portion ........................................
duodenum ...............................................................................
jejunum ...................................................................................
ileum .......................................................................................
large intestine, unspecified portion ........................................
appendix .................................................................................
CC
CC
CC
CC
CC
CC
....
....
....
....
....
....
06
06
06
06
06
06
209.12
209.13
209.14
209.15
209.16
209.17
209.20
209.21
209.22
209.23
209.24
jlentini on PROD1PC65 with PROPOSALS2
Diagnosis
code
......
......
......
......
......
......
......
......
......
......
......
Malignant
Malignant
Malignant
Malignant
Malignant
Malignant
Malignant
Malignant
Malignant
Malignant
Malignant
carcinoid
carcinoid
carcinoid
carcinoid
carcinoid
carcinoid
carcinoid
carcinoid
carcinoid
carcinoid
carcinoid
tumor
tumor
tumor
tumor
tumor
tumor
tumor
tumor
tumor
tumor
tumor
of
of
of
of
of
of
of
of
of
of
of
the cecum .....................................................................................
the ascending colon .....................................................................
the transverse colon .....................................................................
the descending colon ...................................................................
the sigmoid colon .........................................................................
the rectum .....................................................................................
unknown primary site ...................................................................
the bronchus and lung ..................................................................
the thymus ....................................................................................
the stomach ..................................................................................
the kidney .....................................................................................
CC
CC
CC
CC
CC
CC
CC
CC
CC
CC
CC
....
....
....
....
....
....
....
....
....
....
....
06
06
06
06
06
06
17
04
17
06
11
209.25
209.26
209.27
209.29
209.30
209.40
209.41
......
......
......
......
......
......
......
Malignant carcinoid tumor of foregut, not otherwise specified ...................................................
Malignant carcinoid tumor of midgut, not otherwise specified ....................................................
Malignant carcinoid tumor of hindgut, not otherwise specified ...................................................
Malignant carcinoid tumor of other sites .....................................................................................
Malignant poorly differentiated neuroendocrine carcinoma, any site .........................................
Benign carcinoid tumor of the small intestine, unspecified portion ............................................
Benign carcinoid tumor of the duodenum ...................................................................................
CC ....
CC ....
CC ....
CC ....
CC ....
N .......
N .......
06
06
06
17
17
06
06
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E:\FR\FM\30APP2.SGM
30APP2
MDC
MS–DRG
820, 821, 822,
834, 835, 836,
837 1, 838 1,
839 1
820, 821, 822,
823, 824, 825,
840, 841, 842
820, 821, 822,
823, 824, 825,
840, 841, 842
820, 821, 822,
823, 824, 825,
840, 841, 842
820, 821, 822,
823, 824, 825,
840, 841, 842
820, 821, 822,
834, 835, 836,
837 1, 838 1,
839 1
820, 821, 822,
823, 824, 825,
840, 841, 842
820, 821, 822,
823, 824, 825,
840, 841, 842
820, 821, 822,
823, 824, 825,
840, 841, 842
820, 821, 822,
834, 835, 836,
837 1, 838 1,
839 1
820, 821, 822,
823, 824, 825,
840, 841, 842
820, 821, 822,
823, 824, 825,
840, 841, 842
820, 821, 822,
823, 824, 825,
840, 841, 842
820, 821, 822,
823, 824, 825,
840, 841, 842
374, 375, 376
374, 375, 376
374, 375, 376
374, 375, 376
374, 375, 376
338, 339, 340,
374, 375, 376
374, 375, 376
374, 375, 376
374, 375, 376
374, 375, 376
374, 375, 376
374, 375, 376
843, 844, 845
180, 181, 182
843, 844, 845
374, 375, 376
656, 657, 658,
686, 687, 688
374, 375, 376
374, 375, 376
374, 375, 376
843, 844, 845
843, 844, 845
393, 394, 395
393, 394, 395
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23841
TABLE 6A.—NEW DIAGNOSIS CODES—Continued
Diagnosis
code
Description
209.42
209.43
209.50
209.51
209.52
209.53
209.54
209.55
209.56
209.57
209.60
209.61
209.62
209.63
209.64
......
......
......
......
......
......
......
......
......
......
......
......
......
......
......
Benign
Benign
Benign
Benign
Benign
Benign
Benign
Benign
Benign
Benign
Benign
Benign
Benign
Benign
Benign
209.65
209.66
209.67
209.69
238.77
249.00
......
......
......
......
......
......
06
06
06
06
06
06
06
06
06
06
17
04
16
06
11
N .......
N .......
N .......
N .......
CC ....
N .......
249.01 ......
Benign carcinoid tumor of foregut, not otherwise specified ........................................................
Benign carcinoid tumor of midgut, not otherwise specified ........................................................
Benign carcinoid tumor of hindgut, not otherwise specified .......................................................
Benign carcinoid tumor of other sites .........................................................................................
Post-transplant lymphoproliferative disorder (PTLD) ..................................................................
Secondary diabetes mellitus without mention of complication, not stated as uncontrolled, or
unspecified.
Secondary diabetes mellitus without mention of complication, uncontrolled ..............................
249.10 ......
Secondary diabetes mellitus with ketoacidosis, not stated as uncontrolled, or unspecified ......
MCC
249.11 ......
Secondary diabetes mellitus with ketoacidosis, uncontrolled .....................................................
MCC
249.20 ......
Secondary diabetes mellitus with hyperosmolarity, not stated as uncontrolled, or unspecified
MCC
249.21 ......
Secondary diabetes mellitus with hyperosmolarity, uncontrolled ...............................................
MCC
249.30 ......
Secondary diabetes mellitus with other coma, not stated as uncontrolled, or unspecified ........
MCC
249.31 ......
Secondary diabetes mellitus with other coma, uncontrolled .......................................................
MCC
249.40 ......
Secondary diabetes mellitus with renal manifestations, not stated as uncontrolled, or unspecified.
Secondary diabetes mellitus with renal manifestations, uncontrolled ........................................
N .......
Secondary diabetes mellitus with ophthalmic manifestations, not stated as uncontrolled, or
unspecified.
Secondary diabetes mellitus with ophthalmic manifestations, uncontrolled ...............................
N .......
Secondary diabetes mellitus with neurological manifestations, not stated as uncontrolled, or
unspecified.
Secondary diabetes mellitus with neurological manifestations, uncontrolled .............................
N .......
Secondary diabetes mellitus with peripheral circulatory disorders, not stated as uncontrolled,
or unspecified.
Secondary diabetes mellitus with peripheral circulatory disorders, uncontrolled .......................
N .......
Secondary diabetes mellitus with other specified manifestations, not stated as uncontrolled,
or unspecified.
Secondary diabetes mellitus with other specified manifestations, uncontrolled .........................
N .......
N .......
249.91 ......
Secondary diabetes mellitus with unspecified complication, not stated as uncontrolled, or unspecified.
Secondary diabetes mellitus with unspecified complication, uncontrolled .................................
259.50 ......
259.51 ......
259.52 ......
275.5 ........
279.50 ......
279.51 ......
279.52 ......
279.53 ......
289.84 ......
Androgen insensitivity, unspecified .............................................................................................
Androgen insensitivity syndrome .................................................................................................
Partial androgen insensitivity .......................................................................................................
Hungry bone syndrome ...............................................................................................................
Graft-versus-host disease, unspecified .......................................................................................
Acute graft-versus-host disease ..................................................................................................
Chronic graft-versus-host disease ...............................................................................................
Acute on chronic graft-versus-host disease ................................................................................
Heparin-induced thrombocytopenia (HIT) ...................................................................................
N .......
N .......
N .......
N .......
CC ....
CC ....
CC ....
CC ....
N .......
06
06
06
17
21
PRE
10
PRE
10
PRE
10
PRE
10
PRE
10
PRE
10
PRE
10
PRE
10
PRE
11
PRE
11
PRE
02
PRE
02
PRE
01
PRE
01
PRE
05
PRE
05
PRE
10
PRE
10
PRE
10
PRE
10
10
10
10
10
16
16
16
16
15
16
249.50 ......
249.51 ......
249.60 ......
249.61 ......
249.70 ......
249.71 ......
249.80 ......
249.81 ......
jlentini on PROD1PC65 with PROPOSALS2
249.90 ......
VerDate Aug<31>2005
19:42 Apr 29, 2008
tumor
tumor
tumor
tumor
tumor
tumor
tumor
tumor
tumor
tumor
tumor
tumor
tumor
tumor
tumor
of
of
of
of
of
of
of
of
of
of
of
of
of
of
of
the jejunum .......................................................................................
the ileum ...........................................................................................
the large intestine, unspecified portion .............................................
the appendix .....................................................................................
the cecum .........................................................................................
the ascending colon ..........................................................................
the transverse colon .........................................................................
the descending colon ........................................................................
the sigmoid colon ..............................................................................
the rectum .........................................................................................
unknown primary site ........................................................................
the bronchus and lung ......................................................................
the thymus ........................................................................................
the stomach ......................................................................................
the kidney ..........................................................................................
Jkt 214001
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Fmt 4701
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E:\FR\FM\30APP2.SGM
N
N
N
N
N
N
N
N
N
N
N
N
N
N
N
MDC
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
249.41 ......
carcinoid
carcinoid
carcinoid
carcinoid
carcinoid
carcinoid
carcinoid
carcinoid
carcinoid
carcinoid
carcinoid
carcinoid
carcinoid
carcinoid
carcinoid
CC
N .......
N .......
N .......
N .......
N .......
N .......
N .......
30APP2
MS–DRG
393, 394, 395
393, 394, 395
393, 394, 395
393, 394, 395
393, 394, 395
393, 394, 395
393, 394, 395
393, 394, 395
393, 394, 395
393, 394, 395
843, 844, 845
180, 181, 182
814, 815, 816
393, 394, 395
656, 657, 658,
686, 687, 688
393, 394, 395
393, 394, 395
393, 394, 395
843, 844, 845
919, 920, 921
008, 010
637, 638, 639
008, 010
637, 638, 639
008, 010
637, 638, 639
008, 010
637, 638, 639,
008, 010
637, 638, 639
008, 010
637, 638, 639
008, 010
637, 638, 639
008, 010
637, 638, 639
008, 010
698, 699, 700
008, 010
698, 699, 700
008, 010
124, 125
008, 010
124, 125
008, 010
073, 074
008, 010
073, 074
008, 010
299, 300, 301
008, 010
299, 300, 301
008, 010
637, 638, 639
008, 010
637, 638, 639
008, 010
637, 638, 639
008, 010
637, 638, 639
643, 644, 645
643, 644, 645
643, 644, 645
640, 641
808, 809, 810
808, 809, 810
808, 809, 810
808, 809, 810
791 2, 793 2
813
23842
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 6A.—NEW DIAGNOSIS CODES—Continued
Diagnosis
code
Description
337.00 ......
337.01 ......
337.09 ......
339.00 ......
339.01 ......
339.02 ......
339.03 ......
339.04 ......
339.05 ......
339.09 ......
339.10 ......
339.11 ......
339.12 ......
339.20 ......
339.21 ......
339.22 ......
339.3 ........
339.41 ......
339.42 ......
339.43 ......
339.44 ......
339.81 ......
339.82 ......
339.83 ......
339.84 ......
339.85 ......
339.89 ......
346.02 ......
346.03 ......
346.12 ......
346.13 ......
346.22 ......
Idiopathic peripheral autonomic neuropathy, unspecified ...........................................................
Carotid sinus syndrome ...............................................................................................................
Other idiopathic peripheral autonomic neuropathy .....................................................................
Cluster headache syndrome, unspecified ...................................................................................
Episodic cluster headache ..........................................................................................................
Chronic cluster headache ............................................................................................................
Episodic paroxysmal hemicrania .................................................................................................
Chronic paroxysmal hemicrania ..................................................................................................
Short lasting unilateral neuralgiform headache with conjunctival injection and tearing .............
Other trigeminal autonomic cephalgias .......................................................................................
Tension type headache, unspecified ...........................................................................................
Episodic tension type headache .................................................................................................
Chronic tension type headache ...................................................................................................
Post-traumatic headache, unspecified ........................................................................................
Acute post-traumatic headache ...................................................................................................
Chronic post-traumatic headache ...............................................................................................
Drug induced headache, not elsewhere classified .....................................................................
Hemicrania continua ....................................................................................................................
New daily persistent headache ...................................................................................................
Primary thunderclap headache ...................................................................................................
Other complicated headache syndrome .....................................................................................
Hypnic headache .........................................................................................................................
Headache associated with sexual activity ...................................................................................
Primary cough headache ............................................................................................................
Primary exertional headache .......................................................................................................
Primary stabbing headache .........................................................................................................
Other headache syndromes ........................................................................................................
Migraine with aura, without mention of intractable migraine with status migrainosus ...............
Migraine with aura, with intractable migraine, so stated, with status migrainosus .....................
Migraine without aura, without mention of intractable migraine with status migrainosus ..........
Migraine without aura, with intractable migraine, so stated, with status migrainosus ................
Variants of migraine, not elsewhere classified, without mention of intractable migraine with
status migrainosus.
Variants of migraine, not elsewhere classified, with intractable migraine, so stated, with status migrainosus.
Hemiplegic migraine, without mention of intractable migraine without mention of status
migrainosus.
Hemiplegic migraine, with intractable migraine, so stated, without mention of status
migrainosus.
Hemiplegic migraine, without mention of intractable migraine with status migrainosus ............
Hemiplegic migraine, with intractable migraine, so stated, with status migrainosus ..................
Menstrual migraine, without mention of intractable migraine without mention of status
migrainosus.
Menstrual migraine, with intractable migraine, so stated, without mention of status
migrainosus.
Menstrual migraine, without mention of intractable migraine with status migrainosus ..............
Menstrual migraine, with intractable migraine, so stated, with status migrainosus ....................
Persistent migraine aura without cerebral infarction, without mention of intractable migraine
without mention of status migrainosus.
Persistent migraine aura without cerebral infarction, with intractable migraine, so stated, without mention of status migrainosus.
Persistent migraine aura without cerebral infarction, without mention of intractable migraine
with status migrainosus.
Persistent migraine aura without cerebral infarction, with intractable migraine, so stated, with
status migrainosus.
Persistent migraine aura with cerebral infarction, without mention of intractable migraine without mention of status migrainosus.
Persistent migraine aura with cerebral infarction, with intractable migraine, so stated, without
mention of status migrainosus.
Persistent migraine aura with cerebral infarction, without mention of intractable migraine with
status migrainosus.
Persistent migraine aura with cerebral infarction, with intractable migraine, so stated, with
status migrainosus.
Chronic migraine without aura, without mention of intractable migraine without mention of
status migrainosus.
Chronic migraine without aura, with intractable migraine, so stated, without mention of status
migrainosus.
Chronic migraine without aura, without mention of intractable migraine with status
migrainosus.
Chronic migraine without aura, with intractable migraine, so stated, with status migrainosus ..
346.23 ......
346.30 ......
346.31 ......
346.32 ......
346.33 ......
346.40 ......
346.41 ......
346.42 ......
346.43 ......
346.50 ......
346.51 ......
346.52 ......
346.53 ......
346.60 ......
346.61 ......
346.62 ......
jlentini on PROD1PC65 with PROPOSALS2
346.63 ......
346.70 ......
346.71 ......
346.72 ......
346.73 ......
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.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
25
01
01
01
01
01
01
01
01
01
01
01
01
01
01
01
01
01
01
01
01
01
01
01
01
01
01
01
01
01
01
01
01
977
073,
073,
073,
102,
102,
102,
102,
102,
102,
102,
102,
102,
102,
102,
102,
102,
102,
102,
102,
102,
102,
102,
102,
102,
102,
102,
102,
102,
102,
102,
102,
102,
N .......
01
102, 103
N .......
01
102, 103
N .......
01
102, 103
N .......
N .......
N .......
01
01
01
102, 103
102, 103
102, 103
N .......
01
102, 103
N .......
N .......
N .......
01
01
01
102, 103
102, 103
102, 103
N .......
01
102, 103
N .......
01
102, 103
N .......
01
102, 103
CC ....
01
102, 103
CC ....
01
102, 103
CC ....
01
102, 103
CC ....
01
102, 103
N .......
01
102, 103
N .......
01
102, 103
N .......
01
102, 103
N .......
01
102, 103
N
N
N
N
N
N
N
N
N
N
N
N
N
N
N
N
N
N
N
N
N
N
N
N
N
N
N
N
N
N
N
N
30APP2
074
074
074
103
103
103
103
103
103
103
103
103
103
103
103
103
103
103
103
103
103
103
103
103
103
103
103
103
103
103
103
103
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23843
TABLE 6A.—NEW DIAGNOSIS CODES—Continued
Diagnosis
code
Description
CC
346.82 ......
346.83 ......
362.20 ......
362.22 ......
362.23 ......
362.24 ......
362.25 ......
362.26 ......
362.27 ......
364.82 ......
372.34 ......
414.3 ........
511.81 ......
511.89 ......
Other forms of migraine, without mention of intractable migraine with status migrainosus .......
Other forms of migraine, with intractable migraine, so stated, with status migrainosus ............
Retinopathy of prematurity, unspecified ......................................................................................
Retinopathy of prematurity, stage 0 ............................................................................................
Retinopathy of prematurity, stage 1 ............................................................................................
Retinopathy of prematurity, stage 2 ............................................................................................
Retinopathy of prematurity, stage 3 ............................................................................................
Retinopathy of prematurity, stage 4 ............................................................................................
Retinopathy of prematurity, stage 5 ............................................................................................
Plateau iris syndrome ..................................................................................................................
Pingueculitis .................................................................................................................................
Coronary atherosclerosis due to lipid rich plaque .......................................................................
Malignant pleural effusion ...........................................................................................................
Other specified forms of effusion, except tuberculous ................................................................
N .......
N .......
N .......
N .......
N .......
N .......
N .......
N .......
N .......
N .......
N .......
N .......
CC ....
CC ....
569.44 ......
571.42 ......
599.70 ......
Dysplasia of anus ........................................................................................................................
Autoimmune hepatitis ..................................................................................................................
Hematuria, unspecified ................................................................................................................
N .......
N .......
N .......
599.71 ......
Gross hematuria ..........................................................................................................................
N .......
599.72 ......
Microscopic hematuria .................................................................................................................
N .......
611.81 ......
611.82 ......
611.83 ......
611.89 ......
612.0 ........
612.1 ........
625.70 ......
Ptosis of breast ............................................................................................................................
Hypoplasia of breast ....................................................................................................................
Capsular contracture of breast implant .......................................................................................
Other specified disorders of breast .............................................................................................
Deformity of reconstructed breast ...............................................................................................
Disproportion of reconstructed breast .........................................................................................
Vulvodynia, unspecified ...............................................................................................................
N
N
N
N
N
N
N
.......
.......
.......
.......
.......
.......
.......
01
01
02
02
02
02
02
02
02
02
02
05
04
04
15
06
07
11
15
11
15
11
15
09
09
09
09
09
09
13
625.71 ......
Vulvar vestibulitis .........................................................................................................................
N .......
13
625.79 ......
Other vulvodynia ..........................................................................................................................
N .......
13
649.70 ......
649.71 ......
Cervical shortening, unspecified as to episode of care or not applicable ..................................
Cervical shortening, delivered, with or without mention of antepartum condition ......................
CC ....
CC ....
14
14
649.73 ......
678.00 ......
678.01 ......
Cervical shortening, antepartum condition or complication ........................................................
Fetal hematologic conditions, unspecified as to episode of care or not applicable ...................
Fetal hematologic conditions, delivered, with or without mention of antepartum condition .......
CC ....
N .......
N .......
14
14
14
678.03 ......
678.10 ......
678.11 ......
Fetal hematologic conditions, antepartum condition or complication .........................................
Fetal conjoined twins, unspecified as to episode of care or not applicable ...............................
Fetal conjoined twins, delivered, with or without mention of antepartum condition ...................
N .......
N .......
N .......
14
14
14
678.13 ......
679.00 ......
Fetal conjoined twins, antepartum condition or complication .....................................................
Maternal complications from in utero procedure, unspecified as to episode of care or not applicable.
Maternal complications from in utero procedure, delivered, with or without mention of
antepartum condition.
Maternal complications from in utero procedure, delivered, with mention of postpartum complication.
Maternal complications from in utero procedure, antepartum condition or complication ...........
Maternal complications from in utero procedure, postpartum condition or complication ...........
Fetal complications from in utero procedures, unspecified as to episode of care or not applicable.
Fetal complications from in utero procedures, delivered, with or without mention of
antepartum condition.
Fetal complications from in utero procedures, delivered, with mention of postpartum complication.
Fetal complications from in utero procedures, antepartum condition or complication ...............
Fetal complications from in utero procedures, postpartum condition or complication ...............
Erythema multiforme, unspecified ...............................................................................................
Erythema multiforme minor .........................................................................................................
Erythema multiforme major .........................................................................................................
Stevens-Johnson syndrome ........................................................................................................
Stevens-Johnson syndrome-toxic epidermal necrolysis overlap syndrome ...............................
Toxic epidermal necrolysis ..........................................................................................................
Other erythema multiforme ..........................................................................................................
Exfoliation due to erythematous condition involving less than 10 percent of body surface .......
N .......
N .......
14
14
N .......
14
N .......
14
N .......
N .......
N .......
14
14
14
N .......
14
N .......
14
N .......
N .......
N .......
N .......
CC ....
CC ....
CC ....
CC ....
N .......
N .......
14
14
09
09
09
09
09
09
09
09
679.01 ......
679.02 ......
679.03 ......
679.04 ......
679.10 ......
679.11 ......
jlentini on PROD1PC65 with PROPOSALS2
679.12 ......
679.13
679.14
695.10
695.11
695.12
695.13
695.14
695.15
695.19
695.50
......
......
......
......
......
......
......
......
......
......
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MS–DRG
102, 103
102, 103
124, 125
124, 125
124, 125
124, 125
124, 125
124, 125
124, 125
124, 125
124, 125
302, 303
180, 181, 182
186, 187, 188
791 2, 793 2
393, 394, 395
441, 442, 443
695, 696
791 2, 793 2
695, 696
791 2, 793 2
695, 696
791 2, 793 2
600, 601
600, 601
600, 601
600, 601
600, 601
600, 601
742, 743, 760,
761
742, 743, 757,
758, 759
742, 743, 760,
761
998
765, 766, 767,
768, 774, 775
781, 782
998
765, 766, 767,
768, 774, 775
781, 782
998
765, 766, 767,
768, 774, 775
781, 782
765, 766, 767,
768, 774, 775
765, 766, 767,
768, 774
765, 766, 767,
768, 774
781, 782
769, 776
998
765, 766, 767,
768, 774, 775
765, 766, 767,
768, 774, 775
781, 782
769, 776
595, 596
595, 596
595, 596
595, 596
595, 596
595, 596
595, 596
606, 607
23844
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 6A.—NEW DIAGNOSIS CODES—Continued
Diagnosis
code
Description
CC
......
......
......
......
......
......
......
......
......
......
Exfoliation due to erythematous condition involving 10–19 percent of body surface ................
Exfoliation due to erythematous condition involving 20–29 percent of body surface ................
Exfoliation due to erythematous condition involving 30–39 percent of body surface ................
Exfoliation due to erythematous condition involving 40–49 percent of body surface ................
Exfoliation due to erythematous condition involving 50–59 percent of body surface ................
Exfoliation due to erythematous condition involving 60–69 percent of body surface ................
Exfoliation due to erythematous condition involving 70–79 percent of body surface ................
Exfoliation due to erythematous condition involving 80–89 percent of body surface ................
Exfoliation due to erythematous condition involving 90 percent or more of body surface .........
Pressure ulcer, unspecified stage ...............................................................................................
N .......
N .......
CC ....
CC ....
CC ....
CC ....
CC ....
CC ....
CC ....
N .......
09
09
09
09
09
09
09
09
09
09
707.21 ......
Pressure ulcer, stage I ................................................................................................................
N .......
09
707.22 ......
Pressure ulcer, stage II ...............................................................................................................
N .......
09
707.23 ......
Pressure ulcer, stage III ..............................................................................................................
MCC 3
09
707.24 ......
Pressure ulcer, stage IV ..............................................................................................................
MCC 3
09
729.90
729.91
729.92
729.99
760.61
760.62
760.63
760.64
777.50
777.51
777.52
777.53
780.72
788.91
788.99
795.07
......
......
......
......
......
......
......
......
......
......
......
......
......
......
......
......
Disorders of soft tissue, unspecified ...........................................................................................
Post-traumatic seroma ................................................................................................................
Nontraumatic hematoma of soft tissue .......................................................................................
Other disorders of soft tissue ......................................................................................................
Newborn affected by amniocentesis ...........................................................................................
Newborn affected by other in utero procedure ...........................................................................
Newborn affected by other surgical operations on mother during pregnancy ............................
Newborn affected by previous surgical procedure on mother not associated with pregnancy ..
Necrotizing enterocolitis in newborn, unspecified .......................................................................
Stage I necrotizing enterocolitis in newborn ...............................................................................
Stage II necrotizing enterocolitis in newborn ..............................................................................
Stage III necrotizing enterocolitis in newborn .............................................................................
Functional quadriplegia ...............................................................................................................
Functional urinary incontinence ...................................................................................................
Other symptoms involving urinary system ..................................................................................
Satisfactory cervical smear but lacking transformation zone ......................................................
N .......
N .......
N .......
N .......
N .......
N .......
N .......
N .......
MCC
MCC
MCC
MCC
MCC
N .......
N .......
N .......
08
08
08
08
15
15
15
15
15
15
15
15
01
11
11
13
795.10 ......
Abnormal glandular Papanicolaou smear of vagina ...................................................................
N .......
13
795.11 ......
N .......
13
N .......
13
795.13 ......
Papanicolaou smear of vagina with atypical squamous cells of undetermined significance
(ASC–US).
Papanicolaou smear of vagina with atypical squamous cells cannot exclude high grade squamous intraepithelial lesion (ASC–H).
Papanicolaou smear of vagina with low grade squamous intraepithelial lesion (LGSIL) ...........
N .......
13
795.14 ......
Papanicolaou smear of vagina with high grade squamous intraepithelial lesion (HGSIL) .........
N .......
13
795.15 ......
Vaginal high risk human papillomavirus (HPV) DNA test positive .............................................
N .......
13
795.16 ......
Papanicolaou smear of vagina with cytologic evidence of malignancy ......................................
N .......
13
795.18 ......
Unsatisfactory vaginal cytology smear ........................................................................................
N .......
13
795.19 ......
Other abnormal Papanicolaou smear of vagina and vaginal HPV .............................................
N .......
13
796.70 ......
796.71 ......
N .......
N .......
06
06
N .......
06
393, 394, 395
......
......
......
......
......
......
......
......
Abnormal glandular Papanicolaou smear of anus ......................................................................
Papanicolaou smear of anus with atypical squamous cells of undetermined significance
(ASC–US).
Papanicolaou smear of anus with atypical squamous cells cannot exclude high grade squamous intraepithelial lesion (ASC–H).
Papanicolaou smear of anus with low grade squamous intraepithelial lesion (LGSIL) .............
Papanicolaou smear of anus with high grade squamous intraepithelial lesion (HGSIL) ...........
Anal high risk human papillomavirus (HPV) DNA test positive ..................................................
Papanicolaou smear of anus with cytologic evidence of malignancy .........................................
Satisfactory anal smear but lacking transformation zone ...........................................................
Unsatisfactory anal cytology smear ............................................................................................
Other abnormal Papanicolaou smear of anus and anal HPV ....................................................
Ventilator associated pneumonia ................................................................................................
606, 607
606, 607
606, 607
606, 607
606, 607
606, 607
606, 607
606, 607
606, 607
573, 574, 575,
592, 593, 594
573, 574, 575,
592, 593, 594
573, 574, 575,
592, 593, 594
573, 574, 575,
592, 593, 594
573, 574, 575,
592, 593, 594
555, 556
555, 556
555, 556
555, 556
794
794
794
794
791 4, 793 4
791 4, 793 4
791 4, 793 4
791 4, 793 4
052, 053
695, 696
695, 696
742, 743, 760,
761
742, 743, 760,
761
742, 743, 760,
761
742, 743, 760,
761
742, 743, 760,
761
742, 743, 760,
761
742, 743, 760,
761
742, 743, 760,
761
742, 743, 760,
761
742, 743, 760,
761
393, 394, 395
393, 394, 395
N .......
N .......
N .......
N .......
N .......
N .......
N .......
CC ....
997.39 ......
Other respiratory complications ...................................................................................................
CC ....
998.30 ......
Disruption of wound, unspecified ................................................................................................
CC ....
06
06
06
06
06
06
06
04
15
04
15
21
393, 394, 395
393, 394, 395
393, 394, 395
393, 394, 395
393, 394, 395
393, 394, 395
393, 394, 395
205, 206
791 2, 793 2
205, 206
791 2, 793 2
919, 920, 921
695.51
695.52
695.53
695.54
695.55
695.56
695.57
695.58
695.59
707.20
795.12 ......
jlentini on PROD1PC65 with PROPOSALS2
796.72 ......
796.73
796.74
796.75
796.76
796.77
796.78
796.79
997.31
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MS–DRG
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23845
TABLE 6A.—NEW DIAGNOSIS CODES—Continued
Diagnosis
code
Description
CC
998.33 ......
999.81 ......
Disruption of traumatic wound repair ..........................................................................................
Extravasation of vesicant chemotherapy ....................................................................................
CC ....
CC ....
999.82 ......
Extravasation of other vesicant agent .........................................................................................
CC ....
999.88 ......
Other infusion reaction ................................................................................................................
N .......
999.89 ......
Other transfusion reaction ...........................................................................................................
N .......
V07.51 ......
V07.52 ......
V07.59 ......
V13.51 ......
V13.52 ......
V13.59 ......
V15.21 ......
V15.22 ......
V15.29 ......
V15.51 ......
V15.59 ......
V23.85 ......
V23.86 ......
V28.81 ......
V28.82 ......
V28.89 ......
V45.11 ......
V45.12 ......
V45.87 ......
V46.3 ........
V51.0 ........
V51.8 ........
V87.01 ......
V87.09 ......
V87.11 ......
V87.12 ......
V87.19 ......
V87.2 ........
V87.31 ......
V87.39 ......
V87.41 ......
V87.42 ......
V87.49 ......
V88.01 ......
Prophylactic use of selective estrogen receptor modulators (SERMs) ......................................
Prophylactic use of aromatase inhibitors ....................................................................................
Prophylactic use of other agents affecting estrogen receptors and estrogen levels ..................
Personal history of pathologic fracture ........................................................................................
Personal history of stress fracture ..............................................................................................
Personal history of other musculoskeletal disorders ..................................................................
Personal history of undergoing in utero procedure during pregnancy .......................................
Personal history of undergoing in utero procedure while a fetus ...............................................
Personal history of surgery to other organs ................................................................................
Personal history of traumatic fracture .........................................................................................
Personal history of other injury ...................................................................................................
Pregnancy resulting from assisted reproductive technology ......................................................
Pregnancy with history of in utero procedure during previous pregnancy .................................
Encounter for fetal anatomic survey ...........................................................................................
Encounter for screening for risk of pre-term labor ......................................................................
Other specified antenatal screening ............................................................................................
Renal dialysis status ....................................................................................................................
Noncompliance with renal dialysis ..............................................................................................
Transplanted organ removal status .............................................................................................
Wheelchair dependence ..............................................................................................................
Encounter for breast reconstruction following mastectomy ........................................................
Other aftercare involving the use of plastic surgery ...................................................................
Contact with and (suspected) exposure to arsenic .....................................................................
Contact with and (suspected) exposure to other hazardous metals ..........................................
Contact with and (suspected) exposure to aromatic amines ......................................................
Contact with and (suspected) exposure to benzene ..................................................................
Contact with and (suspected) exposure to other hazardous aromatic compounds ...................
Contact with and (suspected) exposure to other potentially hazardous chemicals ...................
Contact with and (suspected) exposure to mold ........................................................................
Contact with and (suspected) exposure to other potentially hazardous substances .................
Personal history of antineoplastic chemotherapy .......................................................................
Personal history of monoclonal drug therapy .............................................................................
Personal history of other drug therapy ........................................................................................
Acquired absence of both cervix and uterus ..............................................................................
N
N
N
N
N
N
N
N
N
N
N
N
N
N
N
N
N
N
N
N
N
N
N
N
N
N
N
N
N
N
N
N
N
N
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
21
05
15
05
15
05
15
15
16
23
23
23
23
23
23
23
23
23
23
23
14
14
23
23
23
23
23
23
23
09
09
23
23
23
23
23
23
23
23
23
23
23
13
V88.02 ......
Acquired absence of uterus with remaining cervical stump .......................................................
N .......
13
V88.03 ......
Acquired absence of cervix with remaining uterus .....................................................................
N .......
13
V89.01
V89.02
V89.03
V89.04
V89.05
V89.09
Suspected problem with amniotic cavity and membrane not found ...........................................
Suspected placental problem not found ......................................................................................
Suspected fetal anomaly not found .............................................................................................
Suspected problem with fetal growth not found ..........................................................................
Suspected cervical shortening not found ....................................................................................
Other suspected maternal and fetal condition not found ............................................................
N
N
N
N
N
N
23
23
23
23
23
23
......
......
......
......
......
......
.......
.......
.......
.......
.......
.......
MDC
MS–DRG
919, 920, 921
314, 315, 316
791 2, 793 2
314, 315, 316
791 2, 793 2
314, 315, 316
791 2, 793 2
791 2, 793 2
811, 812
951
951
951
951
951
951
951
951
951
951
951
998
998
951
951
951
951
951
951
951
606, 607
606, 607
951
951
951
951
951
951
951
951
949, 950
949, 950
949, 950
742, 743, 760,
761
742, 743, 760,
761
742, 743, 760,
761
951
951
951
951
951
951
1 Secondary
diagnosis of acute leukemia
diagnosis of major problem.
pressure ulcer site specific codes (707.00–707.09) will be non-CCs. The pressure ulcer stage III and IV codes will be classified as
2 Secondary
3 The
MCCs.
4 Principal or secondary diagnosis of major problem.
jlentini on PROD1PC65 with PROPOSALS2
TABLE 6B.—NEW PROCEDURE CODES
Procedure
code
00.49
00.58
00.59
00.67
00.68
00.69
........
........
........
........
........
........
VerDate Aug<31>2005
Description
O.R.
SuperSaturated oxygen therapy ..................................................................................................
Insertion of intra-aneurysm sac pressure monitoring device (intraoperative) .............................
Intravascular pressure measurement of coronary arteries .........................................................
Intravascular pressure measurement of intrathoracic arteries ....................................................
Intravascular pressure measurement of peripheral arteries .......................................................
Intravascular pressure measurement, other specified and unspecified vessels ........................
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N.
N.
N.
N.
N.
N.
30APP2
MDC
MS–DRG
23846
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 6B.—NEW PROCEDURE CODES—Continued
Procedure
code
17.11
17.12
17.13
17.21
17.22
17.23
........
........
........
........
........
........
17.24 ........
17.31 ........
Description
Laparoscopic
Laparoscopic
Laparoscopic
Laparoscopic
Laparoscopic
Laparoscopic
prosthesis.
Laparoscopic
fied.
Laparoscopic
O.R.
Y
Y
Y
Y
Y
Y
.......
.......
.......
.......
.......
.......
06
06
06
06
06
06
350,
350,
350,
350,
350,
350,
bilateral repair of inguinal hernia with graft or prosthesis, not otherwise speci-
Y .......
06
350, 351, 352
multiple segmental resection of large intestine ....................................................
Y .......
06
17
329, 330, 331
820, 821, 822,
826, 827, 828
907, 908, 909
957, 958, 959
264
329, 330, 331
907, 908, 909
957, 958, 959
264
329, 330, 331
820, 821, 822,
826, 827, 828
907, 908, 909
957, 958, 959
264
329, 330, 331
820, 821, 822,
826, 827, 828
907, 908, 909
957, 958, 959
264
329, 330, 331
628, 629, 630
820, 821, 822,
826, 827, 828
907, 908, 909
957, 958, 959
329, 330, 331
820, 821, 822,
826, 827, 828
907, 908, 909
957, 958, 959
264
329, 330, 331
820, 821, 822,
826, 827, 828
907, 908, 909
957, 958, 959
Laparoscopic cecectomy .............................................................................................................
Y .......
17.33 ........
Laparoscopic right hemicolectomy ..............................................................................................
Y .......
17.35 ........
17.36 ........
17.39 ........
Laparoscopic resection of transverse colon ................................................................................
Laparoscopic left hemicolectomy ................................................................................................
Laparoscopic sigmoidectomy ......................................................................................................
Other laparoscopic partial excision of large intestine .................................................................
21
24
05
06
21
24
05
06
17
Y .......
21
24
05
06
17
Y .......
21
24
05
06
10
17
Y .......
21
24
06
17
Y .......
21
24
05
06
17
21
24
37.36 ........
37.55 ........
Excision or destruction of left atrial appendage (LAA) ...............................................................
Removal of internal biventricular heart replacement system ......................................................
N.
Y .......
38.23 ........
45.81 ........
Intravascular spectroscopy ..........................................................................................................
Laparoscopic total intra-abdominal colectomy ............................................................................
N.
Y .......
jlentini on PROD1PC65 with PROPOSALS2
45.82 ........
45.83 ........
48.40 ........
VerDate Aug<31>2005
MS–DRG
repair of direct inguinal hernia with graft or prosthesis ........................................
repair of indirect inguinal hernia with graft or prosthesis .....................................
repair of inguinal hernia with graft or prosthesis, not otherwise specified ...........
bilateral repair of direct inguinal hernia with graft or prosthesis ..........................
bilateral repair of indirect inguinal hernia with graft or prosthesis .......................
bilateral repair of inguinal hernia, one direct and one indirect, with graft or
17.32 ........
17.34 ........
MDC
Open total intra-abdominal colectomy .........................................................................................
Other and unspecified total intra-abdominal colectomy ..............................................................
Pull-through resection of rectum, not otherwise specified ..........................................................
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PRE
05
05
06
17
Y .......
21
24
05
06
17
Y .......
21
24
05
06
17
Y .......
30APP2
21
24
06
351,
351,
351,
351,
351,
351,
352
352
352
352
352
352
001, 002
237, 238
264
329, 330, 331
820, 821, 822,
826, 827, 828
907, 908, 909
957, 958, 959
264
329, 330, 331
820, 821, 822,
826, 827, 828
907, 908, 909
957, 958, 959
264
329, 330, 331
820, 821, 822,
826, 827, 828
907, 908, 909
957, 958, 959
332, 333, 334
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23847
TABLE 6B.—NEW PROCEDURE CODES—Continued
Procedure
code
Description
O.R.
MDC
17
48.42 ........
48.43 ........
48.50 ........
48.51 ........
48.52 ........
48.59 ........
Laparoscopic pull-through resection of rectum ...........................................................................
Open pull-through resection of rectum ........................................................................................
Abdominoperineal resection of the rectum, not otherwise specified ..........................................
Laparoscopic abdominoperineal resection of the rectum ...........................................................
Open abdominoperineal resection of the rectum ........................................................................
Other abdominoperineal resection of the rectum ........................................................................
Y .......
21
24
06
17
Y .......
21
24
06
17
Y .......
21
24
06
17
Y .......
21
24
06
17
Y .......
21
24
06
17
Y .......
21
24
06
17
Laparoscopic repair of umbilical hernia with graft or prosthesis ................................................
Other laparoscopic umbilical herniorrhaphy ................................................................................
Y .......
Y .......
53.62 ........
Laparoscopic incisional hernia repair with graft or prosthesis ....................................................
Y .......
53.63 ........
53.71 ........
Other laparoscopic repair of other hernia of anterior abdominal wall with graft or prosthesis ..
Laparoscopic repair of diaphragmatic hernia, abdominal approach ...........................................
Y .......
Y .......
53.72 ........
Other and open repair of diaphragmatic hernia, abdominal approach .......................................
Y .......
53.75 ........
Repair of diaphragmatic hernia, abdominal approach, not otherwise specified .........................
Y .......
53.83 ........
Laparoscopic repair of diaphragmatic hernia, with thoracic approach .......................................
Y .......
53.84 ........
Other and open repair of diaphragmatic hernia, with thoracic approach ...................................
Y .......
80.53 ........
jlentini on PROD1PC65 with PROPOSALS2
53.42 ........
53.43 ........
Repair of the anulus fibrosus with graft or prosthesis ................................................................
Y .......
80.54 ........
VerDate Aug<31>2005
Other and unspecified repair of the anulus fibrosus ...................................................................
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Y .......
30APP2
21
24
06
06
21
24
06
21
24
06
04
06
21
24
04
06
21
24
04
06
21
24
04
06
21
24
04
06
21
24
01
08
17
21
24
01
08
17
MS–DRG
820, 821, 822,
826, 827, 828
907, 908, 909
957, 958, 959
332, 333, 334
820, 821, 822,
826, 827, 828
907, 908, 909
957, 958, 959
332, 333, 334
820, 821, 822,
826, 827, 828
907, 908, 909
957, 958, 959
332, 333, 334
820, 821, 822,
826, 827, 828
907, 908, 909
957, 958, 959
332, 333, 334
820, 821, 822,
826, 827, 828
907, 908, 909
957, 958, 959
332, 333, 334
820, 821, 822,
826, 827, 828
907, 908, 909
957, 958, 959
332, 333, 334
820, 821, 822,
826, 827, 828
907, 908, 909
957, 958, 959
353, 354, 355
353, 354, 355
907, 908, 909
957, 958, 959
353, 354, 355
907, 908, 909
957, 958, 959
353, 354, 355
163, 164, 165
326, 327, 328
907, 908, 909
957, 958, 959
163, 164, 165
326, 327, 328
907, 908, 909
957, 958, 959
163, 164, 165
326, 327, 328
907, 908, 909
957, 958, 959
163, 164, 165
326, 327, 328
907, 908, 909
957, 958, 959
163, 164, 165
326, 327, 328
907, 908, 909
957, 958, 959
028, 029, 030
490, 491
820, 821, 822,
826, 827, 828
907, 908, 909
957, 958, 959
028, 029, 030
490, 491
820, 821, 822,
826, 827, 828
23848
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 6B.—NEW PROCEDURE CODES—Continued
Procedure
code
Description
O.R.
MDC
21
24
MS–DRG
907, 908, 909
957, 958, 959
TABLE 6C.—INVALID DIAGNOSIS CODES
Diagnosis
code
Description
CC
........
........
........
........
........
........
Jakob-Creutzfeldt disease ...........................................................................................................
Cowpox ........................................................................................................................................
Specific infections by free-living amebae ....................................................................................
Androgen insensitivity syndrome .................................................................................................
Idiopathic peripheral autonomic neuropathy ...............................................................................
Other specified forms of pleural effusion, except tuberculous ....................................................
CC ....
N .......
MCC
N .......
CC ....
MCC
599.7 ........
Hematuria ....................................................................................................................................
N .......
611.8
695.1
729.9
760.6
777.5
788.9
795.1
997.3
........
........
........
........
........
........
........
........
Other specified disorders of breast .............................................................................................
Erythema multiforme ...................................................................................................................
Other and unspecified disorders of soft tissue ...........................................................................
Surgical operation on mother ......................................................................................................
Necrotizing enterocolitis in fetus or newborn ..............................................................................
Other symptoms involving urinary system ..................................................................................
Nonspecific abnormal Papanicolaou smear of other site ...........................................................
Respiratory complications ...........................................................................................................
N .......
CC ....
N .......
N .......
MCC
N .......
N .......
CC ....
999.8 ........
Other transfusion reaction ...........................................................................................................
CC ....
V13.5 ........
V15.2 ........
V15.5 ........
V28.8 ........
V45.1 ........
V51 ...........
Personal history of other musculoskeletal disorders ..................................................................
Personal history of surgery to other major organs .....................................................................
Personal history of injury .............................................................................................................
Encounter for other specified antenatal screening .....................................................................
Renal dialysis status ....................................................................................................................
Aftercare involving the use of plastic surgery .............................................................................
N
N
N
N
N
N
046.1
051.0
136.2
259.5
337.0
511.8
1
2
.......
.......
.......
.......
.......
.......
MDC
01
18
18
10
01
04
15
11
15
09
09
08
15
15
11
04
04
15
15
16
23
23
23
23
23
09
MS–DRG
056, 057
865, 866
867, 868, 869
643, 644, 645
073, 074
186, 187, 188
791 1, 793 1
695, 696
791 1, 793 1
600, 601
595, 596
555, 556
794
791 2, 793 2
695, 696
180, 181, 182
205, 206
791 1, 793 1
791 1, 793 1
811, 812
951
951
951
951
951
606, 607
Principal or secondary diagnosis of major problem.
Principal or secondary diagnosis of major problem.
TABLE 6D.—INVALID PROCEDURE CODES
Procedure
code
Description
O.R.
MDC
45.8 ..........
Total intra-abdominal colectomy .................................................................................................
Y .......
............
05
06
17
Y .......
21
24
06
17
Y .......
21
24
04
06
21
24
48.5 ..........
jlentini on PROD1PC65 with PROPOSALS2
53.7 ..........
Abdominoperineal resection of rectum ........................................................................................
Repair of diaphragmatic hernia, abdominal approach ................................................................
MS–DRG
264
329, 330, 331
820, 821, 822,
826, 827, 828
907, 908, 909
957, 958, 959
332, 333, 334
820, 821, 822,
826, 827, 828
907, 908, 909
957, 958, 959
163, 164, 165
326, 327, 328
907, 908, 909
957, 958, 959
TABLE 6E.—REVISED DIAGNOSIS CODE TITLES
Diagnosis
code
Description
CC
203.00 ......
Multiple myeloma, without mention of having achieved remission .............................................
CC ....
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30APP2
MDC
17
MS–DRG
820, 821, 822,
823, 824, 825,
840, 841, 842
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23849
TABLE 6E.—REVISED DIAGNOSIS CODE TITLES—Continued
Description
CC
203.10 ......
Plasma cell leukemia, without mention of having achieved remission .......................................
CC ....
17
203.80 ......
Other immunoproliferative neoplasms, without mention of having achieved remission .............
CC ....
17
204.00 ......
Acute lymphoid leukemia, without mention of having achieved remission .................................
CC ....
17
204.10 ......
Chronic lymphoid leukemia, without mention of having achieved remission .............................
CC ....
17
204.20 ......
Subacute lymphoid leukemia, without mention of having achieved remission ...........................
CC ....
17
204.80 ......
Other lymphoid leukemia, without mention of having achieved remission .................................
CC ....
17
204.90 ......
Unspecified lymphoid leukemia, without mention of having achieved remission .......................
CC ....
17
205.00 ......
Acute myeloid leukemia, without mention of having achieved remission ...................................
CC ....
17
205.10 ......
Chronic myeloid leukemia, without mention of having achieved remission ...............................
CC ....
17
205.20 ......
Subacute myeloid leukemia, without mention of having achieved remission .............................
CC ....
17
205.30 ......
Myeloid sarcoma, without mention of having achieved remission ..............................................
CC ....
17
205.80 ......
Other myeloid leukemia, without mention of having achieved remission ...................................
CC ....
17
205.90 ......
Unspecified myeloid leukemia, without mention of having achieved remission .........................
CC ....
17
206.00 ......
Acute monocytic leukemia, without mention of having achieved remission ...............................
CC ....
17
206.10 ......
Chronic monocytic leukemia, without mention of having achieved remission ............................
CC ....
17
206.20 ......
Subacute monocytic leukemia, without mention of having achieved remission .........................
CC ....
17
206.80 ......
Other monocytic leukemia, without mention of having achieved remission ...............................
CC ....
17
206.90 ......
Unspecified monocytic leukemia, without mention of having achieved remission .....................
CC ....
17
207.00 ......
Acute erythremia and erythroleukemia, without mention of having achieved remission ............
CC ....
17
207.10 ......
jlentini on PROD1PC65 with PROPOSALS2
Diagnosis
code
Chronic erythremia, without mention of having achieved remission ..........................................
CC ....
17
207.20 ......
Megakaryocytic leukemia, without mention of having achieved remission ................................
CC ....
17
207.80 ......
Other specified leukemia, without mention of having achieved remission .................................
CC ....
17
VerDate Aug<31>2005
19:42 Apr 29, 2008
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E:\FR\FM\30APP2.SGM
30APP2
MDC
MS–DRG
820, 821, 822,
823, 824, 825,
840, 841, 842
820, 821, 822,
823, 824, 825,
840, 841, 842
820, 821, 822,
834, 835, 836,
837 1, 838 1,
839 1
820, 821, 822,
823, 824, 825,
840, 841, 842
820, 821, 822,
823, 824, 825,
840, 841, 842
820, 821, 822,
823, 824, 825,
840, 841, 842
820, 821, 822,
823, 824, 825,
840, 841, 842
820, 821, 822,
834, 835, 836,
837 1, 838 1,
839 1
820, 821, 822,
823, 824, 825,
840, 841, 842
820, 821, 822,
823, 824, 825,
840, 841, 842
820, 821, 822,
823, 824, 825,
840, 841, 842
820, 821, 822,
823, 824, 825,
840, 841, 842
820, 821, 822,
823, 824, 825,
840, 841, 842
820, 821, 822,
834, 835, 836,
837 1, 838 1,
839 1
820, 821, 822,
823, 824, 825,
840, 841, 842
820, 821, 822,
823, 824, 825,
840, 841, 842
820, 821, 822,
823, 824, 825,
840, 841, 842
820, 821, 822,
823, 824, 825,
840, 841, 842
820, 821, 822,
834, 835, 836,
837 1, 838 1,
839 1
820, 821, 822,
823, 824, 825,
840, 841, 842
820, 821, 822,
823, 824, 825,
840, 841, 842
820, 821, 822,
823, 824, 825,
840, 841, 842
23850
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 6E.—REVISED DIAGNOSIS CODE TITLES—Continued
Diagnosis
code
Description
CC
208.00 ......
Acute leukemia of unspecified cell type, without mention of having achieved remission ..........
CC ....
17
208.10 ......
Chronic leukemia of unspecified cell type, without mention of having achieved remission .......
CC ....
17
208.20 ......
Subacute leukemia of unspecified cell type, without mention of having achieved remission ....
CC ....
17
208.80 ......
Other leukemia of unspecified cell type, without mention of having achieved remission ..........
CC ....
17
208.90 ......
Unspecified leukemia, without mention of having achieved remission .......................................
CC ....
17
346.00 ......
N .......
01
N .......
01
102, 103
N .......
01
102, 103
N .......
01
102, 103
N .......
01
102, 103
N .......
01
102, 103
N .......
01
102, 103
N .......
01
102, 103
......
......
......
......
......
......
Migraine with aura, without mention of intractable migraine without mention of status
migrainosus.
Migraine with aura, with intractable migraine, so stated, without mention of status
migrainosus.
Migraine without aura, without mention of intractable migraine without mention of status
migrainosus.
Migraine without aura, with intractable migraine, so stated, without mention of status
migrainosus.
Variants of migraine, not elsewhere classified, without mention of intractable migraine without
mention of status migrainosus.
Variants of migraine, not elsewhere classified, with intractable migraine, so stated, without
mention of status migrainosus.
Other forms of migraine, without mention of intractable migraine without mention of status
migrainosus.
Other forms of migraine, with intractable migraine, so stated, without mention of status
migrainosus.
´ `
Meniere’s disease, unspecified ...................................................................................................
´ `
Active Meniere’s disease, cochleovestibular ...............................................................................
´ `
Active Meniere’s disease, cochlear .............................................................................................
´ `
Active Meniere’s disease, vestibular ...........................................................................................
´ `
Inactive Meniere’s disease ..........................................................................................................
Pressure ulcer, unspecified site ..................................................................................................
820, 821, 822,
834, 835, 836,
837 1, 838 1,
839 1
820, 821, 822,
823, 824, 825,
840, 841, 842
820, 821, 822,
823, 824, 825,
840, 841, 842
820, 821, 822,
823, 824, 825,
840, 841, 842
820, 821, 822,
823, 824, 825,
840, 841, 842
102, 103
N .......
N .......
N .......
N .......
N .......
N 2 .....
03
03
03
03
03
09
707.01 ......
Pressure ulcer, elbow ..................................................................................................................
N 2 .....
09
707.02 ......
Pressure ulcer, upper back .........................................................................................................
N 2 .....
09
707.03 ......
Pressure ulcer, lower back ..........................................................................................................
N 2 .....
09
707.04 ......
Pressure ulcer, hip ......................................................................................................................
N 2 .....
09
707.05 ......
Pressure ulcer, buttock ................................................................................................................
N 2 .....
09
707.06 ......
Pressure ulcer, ankle ...................................................................................................................
N 2 .....
09
707.07 ......
Pressure ulcer, heel ....................................................................................................................
N 2 .....
09
707.09 ......
Pressure ulcer, other site ............................................................................................................
N 2 .....
09
776.9 ........
795.08 ......
Unspecified hematological disorder specific to newborn ............................................................
Unsatisfactory cervical cytology smear .......................................................................................
N .......
N .......
15
13
998.31 ......
V28.3 ........
V45.71 ......
Disruption of internal operation (surgical) wound .......................................................................
Encounter for routine screening for malformation using ultrasonics ..........................................
Acquired absence of breast and nipple ......................................................................................
CC ....
N .......
N .......
21
23
23
149
149
149
149
149
573, 574, 575,
592, 593, 594
573, 574, 575,
592, 593, 594
573, 574, 575,
592, 593, 594
573, 574, 575,
592, 593, 594
573, 574, 575,
592, 593, 594
573, 574, 575,
592, 593, 594
573, 574, 575,
592, 593, 594
573, 574, 575,
592, 593, 594
573, 574, 575,
592, 593, 594
794
742, 743, 760,
761
919, 920, 921
951
951
346.01 ......
346.10 ......
346.11 ......
346.20 ......
346.21 ......
346.80 ......
346.81 ......
jlentini on PROD1PC65 with PROPOSALS2
386.00
386.01
386.02
386.03
386.04
707.00
1
MDC
MS–DRG
Secondary diagnosis of acute leukemia.
The pressure ulcer site specific codes (707.00–707.09) will be non-CCs. The pressure ulcer stage III and IV codes will be classified as
MCCs.
2
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
PO 00000
Frm 00324
Fmt 4701
Sfmt 4702
E:\FR\FM\30APP2.SGM
30APP2
23851
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 6F.—REVISED PROCEDURE CODE TITLES
Procedure
code
37.52
37.53
37.54
45.71
........
........
........
........
Description
O.R.
Implantation of internal biventricular heart replacement system ................................................
Replacement or repair of thoracic unit of (total) replacement heart system ..............................
Replacement or repair of other implantable component of (total) replacement heart system ...
Open and other multiple segmental resection of large intestine ................................................
Y
Y
Y
Y
.......
.......
.......
.......
45.72 ........
Open and other cecectomy .........................................................................................................
Y .......
45.73 ........
Open and other right hemicolectomy ..........................................................................................
Y .......
45.74 ........
45.75 ........
45.76 ........
45.79 ........
........
........
........
........
........
........
........
........
........
........
Open and other left hemicolectomy ............................................................................................
Open and other sigmoidectomy ..................................................................................................
Other and unspecified partial excision of large intestine ............................................................
Y .......
21
24
05
06
17
Other open incisional hernia repair with graft or prosthesis .......................................................
Y .......
53.69 ........
81.65 ........
Other and open repair of other hernia of anterior abdominal wall with graft or prosthesis .......
Percutaneous vertebroplasty .......................................................................................................
Y .......
Y .......
81.66 ........
Percutaneous vertebral augmentation ........................................................................................
Y .......
.......
.......
.......
.......
.......
.......
.......
.......
.......
.......
Y .......
Y .......
MS–DRG change.
19:42 Apr 29, 2008
Jkt 214001
PO 00000
Frm 00325
Fmt 4701
Sfmt 4702
E:\FR\FM\30APP2.SGM
353,
353,
907,
957,
353,
907,
957,
353,
515,
907,
957,
515,
907,
957,
Y .......
21
24
06
17
53.61 ........
VerDate Aug<31>2005
06
06
21
24
06
21
24
06
08
21
24
08
21
24
Y .......
21
24
05
06
10
17
Y
Y
Y
Y
Y
Y
Y
Y
Y
Y
1 Note
21
24
06
06
06
06
06
06
06
06
06
06
21
24
05
06
21
24
05
06
17
Y .......
Other and open repair of direct inguinal hernia ..........................................................................
Other and open repair of indirect inguinal hernia .......................................................................
Other and open repair of direct inguinal hernia with graft or prosthesis ....................................
Other and open repair of indirect inguinal hernia with graft or prosthesis .................................
Other and open bilateral repair of direct inguinal hernia ............................................................
Other and open bilateral repair of indirect inguinal hernia .........................................................
Other and open bilateral repair of inguinal hernia, one direct and one indirect .........................
Other and open bilateral repair of direct inguinal hernia with graft or prosthesis ......................
Other and open bilateral repair of indirect inguinal hernia with graft or prosthesis ...................
Other and open bilateral repair of inguinal hernia, one direct and one indirect, with graft or
prosthesis.
Other and open repair of umbilical hernia with graft or prosthesis ............................................
Other open umbilical herniorrhaphy ............................................................................................
30APP2
MS–DRG
001 1, 002 1
215
215
329, 330, 331
820, 821, 822,
826, 827, 828
907, 908, 909
957, 958, 959
264
329, 330, 331
907, 908, 909
957, 958, 959
264
329, 330, 331
820, 821, 822,
826, 827, 828
907, 908, 909
957, 958, 959
264
329, 330, 331
820, 821, 822,
826, 827, 828
907, 908, 909
957, 958, 959
264
329, 330, 331
628, 629, 630
820, 821, 822,
826, 827, 828
907, 908, 909
957, 958, 959
329, 330, 331
820, 821, 822,
826, 827, 828
907, 908, 909
957, 958, 959
264
329, 330, 331
820, 821, 822,
826, 827, 828
907, 908, 909
957, 958, 959
350, 351, 352
350, 351, 352
350, 351, 352
350, 351, 352
350, 351, 352
350, 351, 352
350, 351, 352
350, 351, 352
350, 351, 352
350, 351, 352
PRE
05
05
06
17
21
24
05
06
17
53.41 ........
53.49 ........
jlentini on PROD1PC65 with PROPOSALS2
53.01
53.02
53.03
53.04
53.11
53.12
53.13
53.14
53.15
53.16
Open and other resection of transverse colon ............................................................................
MDC
354,
354,
908,
958,
354,
908,
958,
354,
516,
908,
958,
516,
908,
958,
355
355
909
959
355
909
959
355
517
909
959
517
909
959
23852
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 7A.—MEDICARE PROSPECTIVE PAYMENT SYSTEM SELECTED PERCENTILE LENGTHS OF STAY: FY 2007 MEDPAR
UPDATE—DECEMBER 2007 GROUPER V25.0 MS–DRGS
Number of
discharges
jlentini on PROD1PC65 with PROPOSALS2
MS-DRG
1 ...............................................................
2 ...............................................................
3 ...............................................................
4 ...............................................................
5 ...............................................................
6 ...............................................................
7 ...............................................................
8 ...............................................................
9 ...............................................................
10 .............................................................
11 .............................................................
12 .............................................................
13 .............................................................
20 .............................................................
21 .............................................................
22 .............................................................
23 .............................................................
24 .............................................................
25 .............................................................
26 .............................................................
27 .............................................................
28 .............................................................
29 .............................................................
30 .............................................................
31 .............................................................
32 .............................................................
33 .............................................................
34 .............................................................
35 .............................................................
36 .............................................................
37 .............................................................
38 .............................................................
39 .............................................................
40 .............................................................
41 .............................................................
42 .............................................................
52 .............................................................
53 .............................................................
54 .............................................................
55 .............................................................
56 .............................................................
57 .............................................................
58 .............................................................
59 .............................................................
60 .............................................................
61 .............................................................
62 .............................................................
63 .............................................................
64 .............................................................
65 .............................................................
66 .............................................................
67 .............................................................
68 .............................................................
69 .............................................................
70 .............................................................
71 .............................................................
72 .............................................................
73 .............................................................
74 .............................................................
75 .............................................................
76 .............................................................
77 .............................................................
78 .............................................................
79 .............................................................
80 .............................................................
81 .............................................................
82 .............................................................
83 .............................................................
84 .............................................................
85 .............................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
Arithmetic
mean LOS
655
287
23,205
21,267
635
229
356
483
1,346
163
1,264
1,907
1,268
885
530
212
3,730
2,092
8,697
11,781
13,695
1,666
3,070
3,398
1,024
2,780
3,623
765
2,239
6,947
4,841
14,146
51,927
4,766
7,573
4,859
1,163
587
5,240
16,289
8,250
47,224
736
2,752
4,068
1,586
2,464
1,323
55,734
105,000
89,325
1,397
11,402
101,817
7,341
9,526
5,739
9,223
31,500
1,238
873
1,211
1,405
931
1,861
7,124
1,757
2,049
2,769
5,879
PO 00000
Frm 00326
10th
percentile
40.2107
24.7456
39.6406
28.8412
21.1717
10.2576
19.6517
11.9337
21.9725
10.7791
16.7302
10.6754
6.9267
18.3525
15.4472
9.3726
12.6794
9.0263
13.0331
8.2206
4.5403
14.3055
7.1091
3.7310
13.1377
5.9781
3.0395
7.2261
3.2823
1.5949
8.5478
3.7666
1.8278
13.3479
7.2006
3.6300
6.7395
4.0102
6.9504
5.0708
7.7668
4.9743
7.5978
5.1432
3.9668
8.9426
6.2683
4.5110
7.4669
5.2179
3.7141
5.8232
3.4467
2.9920
7.8574
5.5568
3.5389
6.2394
4.3070
7.3021
4.1340
6.6821
4.4157
3.3845
5.1016
3.5267
6.4087
4.9551
3.1268
7.6399
Fmt 4701
12
9
16
11
7
6
8
6
8
6
6
4
3
6
8
2
2
1
4
2
1
4
1
1
3
1
1
1
1
1
2
1
1
3
1
1
2
1
2
1
2
2
2
2
2
2
3
2
2
2
1
2
1
1
2
2
1
2
1
2
2
2
2
1
1
1
1
1
1
2
Sfmt 4702
25th
percentile
50th
percentile
17
12
22
17
10
7
10
7
16
7
9
6
4
10
11
6
5
4
6
4
2
7
3
1
6
2
1
2
1
1
3
1
1
6
3
1
3
2
3
2
3
3
4
3
2
4
4
3
3
3
2
3
2
2
4
3
2
3
2
4
2
3
2
2
2
2
1
2
1
3
E:\FR\FM\30APP2.SGM
31
17
32
24
15
9
15
9
20
8
13
9
6
17
14
9
10
8
10
7
4
11
6
3
10
4
2
5
2
1
7
2
1
10
6
2
5
3
5
4
6
4
6
4
4
7
5
4
6
4
3
5
3
2
6
4
3
5
3
6
4
5
4
3
4
3
4
4
2
6
30APP2
75th
percentile
51
28
48
35
26
12
22
13
25
11
20
13
8
24
19
12
17
12
17
11
6
18
9
5
18
8
4
9
4
2
11
5
2
17
9
5
8
5
9
6
9
6
9
6
5
11
8
6
10
6
5
7
4
4
10
7
4
8
5
9
5
9
6
4
6
4
9
7
4
10
90th
percentile
83
48
68
49
42
17
38
20
35
19
30
18
11
32
25
15
25
18
25
15
9
27
14
7
27
14
6
15
8
3
17
9
3
25
14
8
14
7
14
10
14
9
15
9
7
17
11
8
15
9
7
11
6
5
15
10
7
12
8
14
7
12
8
6
10
6
15
10
6
15
23853
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 7A.—MEDICARE PROSPECTIVE PAYMENT SYSTEM SELECTED PERCENTILE LENGTHS OF STAY: FY 2007 MEDPAR
UPDATE—DECEMBER 2007 GROUPER V25.0 MS–DRGS—Continued
Number of
discharges
jlentini on PROD1PC65 with PROPOSALS2
MS-DRG
86 .............................................................
87 .............................................................
88 .............................................................
89 .............................................................
90 .............................................................
91 .............................................................
92 .............................................................
93 .............................................................
94 .............................................................
95 .............................................................
96 .............................................................
97 .............................................................
98 .............................................................
99 .............................................................
100 ...........................................................
101 ...........................................................
102 ...........................................................
103 ...........................................................
113 ...........................................................
114 ...........................................................
115 ...........................................................
116 ...........................................................
117 ...........................................................
121 ...........................................................
122 ...........................................................
123 ...........................................................
124 ...........................................................
125 ...........................................................
129 ...........................................................
130 ...........................................................
131 ...........................................................
132 ...........................................................
133 ...........................................................
134 ...........................................................
135 ...........................................................
136 ...........................................................
137 ...........................................................
138 ...........................................................
139 ...........................................................
146 ...........................................................
147 ...........................................................
148 ...........................................................
149 ...........................................................
150 ...........................................................
151 ...........................................................
152 ...........................................................
153 ...........................................................
154 ...........................................................
155 ...........................................................
156 ...........................................................
157 ...........................................................
158 ...........................................................
159 ...........................................................
163 ...........................................................
164 ...........................................................
165 ...........................................................
166 ...........................................................
167 ...........................................................
168 ...........................................................
175 ...........................................................
176 ...........................................................
177 ...........................................................
178 ...........................................................
179 ...........................................................
180 ...........................................................
181 ...........................................................
182 ...........................................................
183 ...........................................................
184 ...........................................................
185 ...........................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
Arithmetic
mean LOS
11,469
12,958
711
2,733
3,089
7,605
16,265
16,121
1,473
1,030
757
1,192
1,005
641
16,989
56,991
1,080
13,735
525
555
1,046
546
996
542
617
2,785
749
4,661
1,353
1,073
929
886
1,981
3,362
352
472
773
886
1,490
674
1,364
847
38,817
949
6,810
1,726
11,433
1,899
4,471
4,819
1,044
3,219
2,355
13,614
17,887
13,805
20,549
20,520
5,467
12,682
41,338
63,750
70,831
26,087
22,324
30,220
5,446
1,856
4,320
2,506
PO 00000
Frm 00327
10th
percentile
5.0021
3.2740
5.8748
3.7603
2.5494
6.3657
4.4647
3.2188
11.8547
8.6359
6.1744
12.6023
8.3522
5.8752
6.3526
3.6950
4.5306
3.1270
5.5981
2.6090
4.3222
4.0678
2.1596
5.4576
4.0454
2.8747
5.2697
3.5134
5.1803
2.9385
5.7492
2.6501
5.3296
2.2329
5.8295
2.3305
5.4062
2.5237
1.8456
9.4466
6.1320
3.8040
2.7185
5.1981
2.8921
4.4571
3.2168
6.3381
4.4187
3.1731
6.6542
4.5281
3.0522
14.9476
8.0977
5.1442
12.9161
7.9756
5.2532
7.2650
5.3283
9.1032
7.3794
5.5654
7.9001
5.9078
4.1761
7.2338
4.5829
3.4066
Fmt 4701
25th
percentile
1
1
1
1
1
2
1
1
4
3
2
4
3
2
2
1
1
1
1
1
1
1
1
2
2
1
1
1
1
1
1
1
1
1
1
1
1
1
1
2
1
1
1
1
1
1
1
2
1
1
1
1
1
5
3
2
4
2
1
3
2
3
3
2
2
2
1
2
2
1
Sfmt 4702
50th
percentile
3
2
3
2
1
3
2
2
6
5
4
7
5
3
3
2
2
2
2
1
2
1
1
3
2
2
2
2
2
1
2
1
2
1
2
1
2
1
1
4
2
1
1
2
1
2
2
3
2
2
3
2
1
8
5
3
7
4
2
4
3
5
4
3
4
3
2
4
3
2
E:\FR\FM\30APP2.SGM
4
3
4
3
2
5
4
3
10
7
6
11
7
5
5
3
3
2
4
2
4
2
1
4
3
2
4
3
4
2
4
2
4
1
4
1
4
2
1
7
4
3
2
4
2
3
3
5
4
3
5
3
2
13
7
5
10
7
4
6
5
7
6
5
6
5
3
6
4
3
30APP2
75th
percentile
6
4
7
5
3
8
6
4
15
11
8
16
10
8
8
5
6
4
8
3
5
5
2
7
5
4
7
4
6
4
8
3
7
3
8
3
7
3
2
12
8
5
3
6
4
5
4
8
6
4
8
6
4
19
10
6
16
10
7
9
7
12
9
7
10
8
5
9
6
4
90th
percentile
9
6
12
7
5
13
8
6
22
15
11
23
15
11
12
7
9
6
12
5
7
8
3
10
7
5
10
7
11
6
12
5
11
4
12
5
11
5
3
19
12
8
5
10
5
8
6
12
8
6
14
9
6
27
15
9
24
15
10
12
9
17
13
10
15
11
8
13
8
6
23854
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 7A.—MEDICARE PROSPECTIVE PAYMENT SYSTEM SELECTED PERCENTILE LENGTHS OF STAY: FY 2007 MEDPAR
UPDATE—DECEMBER 2007 GROUPER V25.0 MS–DRGS—Continued
Number of
discharges
jlentini on PROD1PC65 with PROPOSALS2
MS-DRG
186
187
188
189
190
191
192
193
194
195
196
197
198
199
200
201
202
203
204
205
206
207
208
215
216
217
218
219
220
221
222
223
224
225
226
227
228
229
230
231
232
233
234
235
236
237
238
239
240
241
242
243
244
245
246
247
248
249
250
251
252
253
254
255
256
257
258
259
260
261
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
Arithmetic
mean LOS
9,239
10,028
5,014
113,067
58,781
118,162
184,764
87,315
253,950
133,231
5,388
6,796
4,616
3,208
8,382
3,467
29,252
36,870
25,669
5,848
21,532
39,505
76,444
141
8,616
7,236
2,554
10,525
13,928
7,032
2,771
5,080
1,911
5,076
7,064
42,807
2,974
3,596
1,566
1,446
1,515
16,254
34,309
9,629
30,065
22,384
42,226
13,307
11,658
2,680
17,519
36,074
62,706
5,887
28,818
188,884
13,847
69,978
6,762
41,707
45,567
44,910
53,360
2,521
3,425
705
686
7,302
1,549
3,522
PO 00000
Frm 00328
10th
percentile
7.4006
5.3216
3.9928
6.1459
6.2972
5.0156
3.9705
6.7517
5.2660
4.0792
7.3537
5.3899
4.0804
8.3030
5.0894
4.0580
4.3530
3.3859
2.8746
5.5050
3.4393
15.0709
7.2241
14.1844
18.3713
12.3046
9.0568
13.9944
8.5619
6.4428
13.0949
6.2701
11.3673
5.6420
9.3342
2.8263
14.7078
9.1096
6.4757
13.3811
9.1868
14.1787
8.9262
11.2185
6.6177
10.8073
4.6444
15.3499
10.3695
6.7634
8.7738
5.0924
2.9268
3.3061
5.3370
2.1674
5.9831
2.4966
7.7798
2.8343
8.5378
6.0144
2.7299
9.6942
7.4762
4.8482
7.3761
2.8020
11.2214
4.2127
Fmt 4701
25th
percentile
2
2
1
2
2
2
1
2
2
2
3
2
1
2
1
1
1
1
1
1
1
6
1
1
8
6
5
6
5
4
5
1
4
2
1
1
6
4
3
6
5
7
5
5
4
2
1
5
3
3
3
1
1
1
1
1
1
1
1
1
1
1
1
2
2
1
2
1
3
1
Sfmt 4702
50th
percentile
4
3
2
3
3
3
2
4
3
2
4
3
2
4
2
2
2
2
1
2
2
9
3
3
11
8
6
8
6
5
7
3
6
3
3
1
8
6
4
8
7
9
6
7
5
5
2
8
5
4
4
2
1
1
2
1
2
1
3
1
3
2
1
4
4
2
3
1
5
1
E:\FR\FM\30APP2.SGM
6
4
3
5
5
4
3
6
4
4
6
4
3
7
4
3
4
3
2
4
3
13
6
9
16
11
8
11
7
6
11
5
9
5
7
1
13
8
6
11
8
12
8
9
6
9
3
12
8
6
7
4
2
2
4
1
4
2
6
2
6
5
2
8
6
4
6
2
8
3
30APP2
75th
percentile
9
7
5
8
8
6
5
8
7
5
9
7
5
11
7
5
5
4
4
7
4
18
10
17
23
15
11
17
10
7
17
8
14
7
12
3
18
11
8
17
11
17
11
14
8
14
6
19
13
8
11
7
4
4
7
3
8
3
10
4
11
8
3
12
9
7
9
4
14
6
90th
percentile
14
10
8
11
12
9
7
12
9
7
14
10
7
16
10
8
8
6
5
10
6
25
14
31
31
20
14
26
14
10
23
12
21
10
19
7
26
15
11
24
14
24
13
20
10
21
9
29
19
12
17
10
6
7
12
4
12
5
16
6
18
13
6
18
13
10
14
6
22
9
23855
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 7A.—MEDICARE PROSPECTIVE PAYMENT SYSTEM SELECTED PERCENTILE LENGTHS OF STAY: FY 2007 MEDPAR
UPDATE—DECEMBER 2007 GROUPER V25.0 MS–DRGS—Continued
Number of
discharges
jlentini on PROD1PC65 with PROPOSALS2
MS-DRG
262
263
264
280
281
282
283
284
285
286
287
288
289
290
291
292
293
294
295
296
297
298
299
300
301
302
303
304
305
306
307
308
309
310
311
312
313
314
315
316
326
327
328
329
330
331
332
333
334
335
336
337
338
339
340
341
342
343
344
345
346
347
348
349
350
351
352
353
354
355
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
Arithmetic
mean LOS
3,531
652
28,273
63,593
53,704
54,305
14,888
4,139
2,803
23,695
158,158
2,953
1,357
473
187,597
204,514
196,441
1,415
1,343
1,917
791
602
17,750
44,551
36,994
7,587
70,544
2,086
35,079
1,515
6,344
35,699
79,311
158,556
21,034
165,835
211,391
61,613
29,960
17,966
11,226
10,457
8,865
48,110
63,624
28,171
1,823
5,922
3,719
7,182
12,448
8,570
1,501
3,163
3,558
878
2,544
6,975
936
2,914
2,759
1,625
4,164
5,155
1,756
4,287
8,183
3,165
8,420
15,316
PO 00000
Frm 00329
10th
percentile
2.5902
5.4126
8.8998
7.3381
4.8075
3.2480
5.4547
3.2341
2.2112
6.9333
3.1457
11.7541
8.6610
6.4947
6.4926
4.9936
3.6816
5.5611
4.3291
3.0303
1.8217
1.3040
6.6518
5.0493
3.6992
4.3756
2.5315
5.1942
2.8628
6.2964
3.4455
5.5438
3.9373
2.7530
2.3089
3.1053
2.1067
7.0205
4.6041
2.9978
17.1201
10.0519
4.3610
15.9561
9.7138
5.8793
14.3489
8.8349
5.5052
14.0778
9.0917
5.5883
10.7082
7.0452
4.1521
7.1287
4.1395
2.1792
11.7575
7.2447
4.9467
8.8166
5.7366
3.0795
7.9897
4.5573
2.4793
8.4051
5.0816
2.8995
Fmt 4701
25th
percentile
1
1
1
2
2
1
1
1
1
2
1
4
3
2
2
2
1
2
2
1
1
1
2
2
1
1
1
1
1
1
1
1
1
1
1
1
1
2
1
1
6
3
1
6
4
3
6
4
2
5
3
1
4
3
2
2
1
1
4
3
2
2
2
1
2
1
1
2
2
1
Sfmt 4702
50th
percentile
1
1
3
4
3
2
1
1
1
3
1
6
5
4
3
3
2
3
3
1
1
1
3
3
2
2
1
2
1
3
2
2
2
1
1
2
1
3
2
1
9
5
2
9
6
4
8
6
4
8
5
3
6
4
2
3
2
1
6
4
3
4
3
1
3
2
1
4
3
1
E:\FR\FM\30APP2.SGM
2
3
6
6
4
3
3
2
1
5
2
9
7
5
5
4
3
5
4
1
1
1
5
4
3
3
2
4
2
4
3
4
3
2
2
2
2
5
4
2
14
8
3
13
8
5
12
8
5
12
8
5
9
6
4
5
3
2
9
6
5
7
5
2
6
4
2
7
4
2
30APP2
75th
percentile
3
7
11
9
6
4
7
4
3
9
4
14
11
8
8
6
5
7
6
3
2
1
8
6
5
5
3
7
4
8
4
7
5
4
3
4
3
9
6
4
21
13
6
20
12
7
18
10
7
18
11
8
13
9
5
9
5
3
15
9
6
11
7
4
10
6
3
11
6
4
90th
percentile
6
13
19
13
9
6
13
7
5
14
6
22
15
11
12
9
6
9
7
7
3
2
12
9
7
8
5
10
5
12
6
11
7
5
4
6
4
14
9
6
32
18
9
29
17
9
25
15
9
25
16
10
19
12
7
14
8
4
22
12
8
17
11
6
16
9
5
16
9
5
23856
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 7A.—MEDICARE PROSPECTIVE PAYMENT SYSTEM SELECTED PERCENTILE LENGTHS OF STAY: FY 2007 MEDPAR
UPDATE—DECEMBER 2007 GROUPER V25.0 MS–DRGS—Continued
Number of
discharges
jlentini on PROD1PC65 with PROPOSALS2
MS-DRG
356
357
358
368
369
370
371
372
373
374
375
376
377
378
379
380
381
382
383
384
385
386
387
388
389
390
391
392
393
394
395
405
406
407
408
409
410
411
412
413
414
415
416
417
418
419
420
421
422
423
424
425
432
433
434
435
436
437
438
439
440
441
442
443
444
445
446
453
454
455
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
Arithmetic
mean LOS
8,335
7,801
2,477
3,566
5,248
3,554
24,371
27,061
15,249
9,039
18,945
4,279
51,556
110,340
92,136
3,020
5,293
4,492
1,223
8,080
1,996
7,126
5,033
18,540
45,795
46,426
44,299
282,071
23,253
45,853
24,740
3,963
5,300
2,115
1,548
1,737
598
956
955
756
5,241
6,127
5,328
16,444
27,075
35,887
766
1,054
327
1,542
894
125
15,140
9,672
877
12,111
13,158
3,887
14,063
24,364
25,670
13,335
14,144
6,544
12,898
16,794
15,932
948
1,771
1,969
PO 00000
Frm 00330
10th
percentile
12.9146
8.1406
4.4719
6.5979
4.7487
3.3995
8.7488
6.8532
4.9382
8.5759
6.0287
4.1837
6.3806
4.4472
3.4088
7.2738
5.1734
3.6814
5.5200
3.7490
8.8191
5.6996
4.2935
7.3159
5.0160
3.5522
5.2367
3.4889
6.8917
4.8196
3.3344
17.0056
9.1566
5.4851
14.9961
9.8290
6.5033
12.4069
8.5696
5.9272
11.7296
7.6236
4.8281
8.3803
5.6341
3.1911
13.6606
7.6879
4.3609
15.8599
10.4172
5.3760
6.9542
4.8719
3.6933
7.5614
5.8396
4.2529
7.5128
5.3275
3.8103
7.0467
5.1103
3.7796
6.6243
4.7264
3.2658
15.6561
8.0237
4.4307
Fmt 4701
25th
percentile
3
2
1
2
2
1
3
3
2
2
2
1
2
2
1
2
2
1
2
1
3
2
1
2
2
1
1
1
2
1
1
5
2
1
6
4
2
5
4
2
5
3
2
3
2
1
3
2
1
4
3
1
2
1
1
2
2
1
2
2
1
2
2
1
2
1
1
5
3
1
Sfmt 4702
50th
percentile
6
4
2
3
3
2
4
4
3
4
3
2
3
3
2
3
3
2
3
2
4
3
2
3
3
2
2
2
3
2
2
8
5
3
8
6
4
7
6
4
7
5
3
4
3
1
6
3
2
7
5
2
3
2
2
3
3
2
3
3
2
3
2
2
3
2
2
7
4
3
E:\FR\FM\30APP2.SGM
10
6
4
5
4
3
7
6
4
7
5
3
5
4
3
6
4
3
4
3
6
5
4
6
4
3
4
3
5
4
3
13
7
5
12
8
6
10
8
5
10
7
4
7
5
3
10
6
4
12
8
4
5
4
3
6
5
3
5
4
3
5
4
3
5
4
3
12
6
4
30APP2
75th
percentile
16
10
6
8
6
4
11
8
6
11
8
5
8
5
4
9
6
5
7
5
11
7
5
9
6
4
6
4
8
6
4
21
11
7
18
12
8
15
11
7
14
9
6
10
7
4
17
10
6
20
14
7
9
6
5
10
8
6
9
7
5
9
6
5
8
6
4
19
10
5
90th
percentile
25
16
9
13
9
6
17
12
8
16
12
8
12
8
6
14
9
7
10
7
18
10
8
14
9
6
10
6
14
9
6
34
18
10
28
18
11
22
14
10
21
13
8
16
10
6
26
16
8
32
20
10
14
9
6
15
11
8
15
10
7
14
9
7
13
9
6
29
14
7
23857
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 7A.—MEDICARE PROSPECTIVE PAYMENT SYSTEM SELECTED PERCENTILE LENGTHS OF STAY: FY 2007 MEDPAR
UPDATE—DECEMBER 2007 GROUPER V25.0 MS–DRGS—Continued
Number of
discharges
jlentini on PROD1PC65 with PROPOSALS2
MS-DRG
456
457
458
459
460
461
462
463
464
465
466
467
468
469
470
471
472
473
474
475
476
477
478
479
480
481
482
483
484
485
486
487
488
489
490
491
492
493
494
495
496
497
498
499
500
501
502
503
504
505
506
507
508
509
510
511
512
513
514
515
516
517
533
534
535
536
537
538
539
540
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
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...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
Arithmetic
mean LOS
946
2,413
1,609
3,508
51,883
1,018
13,194
5,054
5,839
2,398
4,072
14,331
21,133
30,532
405,204
2,283
6,954
22,875
2,918
3,277
1,589
2,582
8,562
11,424
26,724
72,123
48,111
7,100
17,842
1,183
2,186
1,312
2,495
5,763
22,971
52,406
5,217
16,900
29,166
1,970
5,555
6,632
1,163
1,110
1,503
3,873
6,452
833
2,162
3,004
810
836
2,481
627
973
3,926
10,961
1,052
1,006
3,818
11,280
17,523
822
3,392
6,990
33,661
665
1,056
3,417
4,016
PO 00000
Frm 00331
10th
percentile
14.7061
7.4836
4.5438
9.4478
4.2180
8.4342
4.2178
16.5693
10.2197
5.8661
9.1717
5.4882
3.9306
8.2006
3.9281
9.7946
4.0913
1.9623
12.6453
8.3946
4.7885
11.8548
6.6119
2.8188
9.2958
5.9291
4.8427
4.2093
2.4311
12.1116
8.0425
5.6715
5.2236
3.0465
4.3437
2.2104
8.5338
5.2509
3.3992
10.9609
5.9802
3.0054
7.8865
2.9757
10.8283
5.9700
2.9416
9.4586
6.4510
3.3832
3.4074
5.1459
2.0512
3.1100
6.4070
3.9758
2.1581
5.0266
2.8191
10.4445
5.9870
3.0079
6.6861
4.0292
6.2365
3.9328
4.4722
3.2197
9.7085
7.1257
Fmt 4701
25th
percentile
5
3
2
4
2
3
3
5
3
1
3
3
2
3
3
2
1
1
4
3
1
3
1
1
4
3
3
2
1
4
3
3
2
1
1
1
3
2
1
3
2
1
2
1
3
2
1
3
2
1
1
1
1
1
2
1
1
1
1
3
1
1
2
1
2
2
2
1
3
3
Sfmt 4702
50th
percentile
7
4
3
5
3
5
3
7
5
3
5
3
3
5
3
4
1
1
6
4
2
6
3
1
5
4
4
2
2
6
5
3
3
2
1
1
5
3
2
5
3
1
3
1
5
3
1
5
3
2
1
2
1
1
3
2
1
2
1
5
3
1
3
2
3
3
3
2
5
4
E:\FR\FM\30APP2.SGM
11
6
4
7
4
6
4
12
8
5
7
4
3
7
3
7
3
1
10
7
4
9
6
1
8
5
4
3
2
10
7
5
4
3
3
2
7
4
3
8
5
2
6
2
8
5
2
7
6
3
2
4
1
2
5
3
2
4
2
8
5
2
5
3
5
3
4
3
8
6
30APP2
75th
percentile
19
9
6
11
5
9
5
20
12
7
11
6
4
10
4
13
5
2
15
11
6
15
9
4
11
7
6
5
3
15
10
7
6
4
5
3
11
6
4
14
7
4
10
4
14
8
4
11
8
4
4
6
2
3
8
5
3
6
3
13
8
4
8
5
8
5
5
4
12
8
90th
percentile
28
13
7
17
7
14
6
33
20
11
16
9
6
14
6
20
9
4
24
15
9
22
13
7
16
9
7
8
4
22
14
9
10
5
9
4
15
9
6
21
11
6
16
6
21
12
6
17
12
6
7
10
3
7
12
7
4
10
6
20
11
7
12
7
12
7
8
6
17
13
23858
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 7A.—MEDICARE PROSPECTIVE PAYMENT SYSTEM SELECTED PERCENTILE LENGTHS OF STAY: FY 2007 MEDPAR
UPDATE—DECEMBER 2007 GROUPER V25.0 MS–DRGS—Continued
Number of
discharges
jlentini on PROD1PC65 with PROPOSALS2
MS-DRG
541
542
543
544
545
546
547
548
549
550
551
552
553
554
555
556
557
558
559
560
561
562
563
564
565
566
573
574
575
576
577
578
579
580
581
582
583
584
585
592
593
594
595
596
597
598
599
600
601
602
603
604
605
606
607
614
615
616
617
618
619
620
621
622
623
624
625
626
627
628
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
Arithmetic
mean LOS
1,618
5,709
17,012
10,798
4,079
5,577
4,533
580
1,110
858
10,066
85,179
3,076
19,173
2,013
18,639
3,646
15,089
1,815
4,319
7,107
5,458
36,267
1,661
3,311
2,624
5,477
11,123
5,462
547
2,228
3,054
3,511
10,711
12,142
5,337
8,748
668
1,469
4,178
12,304
2,751
1,112
5,308
458
1,400
306
682
884
22,088
130,121
2,660
22,097
1,350
7,168
1,457
1,546
1,091
6,718
258
696
2,186
7,848
1,112
3,077
383
1,274
2,538
14,026
3,366
PO 00000
Frm 00332
10th
percentile
5.3745
8.7758
5.9463
4.4077
9.0924
5.5338
3.8083
8.9379
6.3874
4.4545
7.1058
4.1225
5.9620
3.6913
4.8405
3.1089
6.6100
4.2586
7.5444
4.7217
2.7680
6.3674
3.7016
6.9934
4.9795
3.6825
13.0933
9.3248
5.8521
12.9506
6.1104
3.3062
10.6830
5.5084
2.6146
2.8943
1.8056
5.9850
2.2321
8.8712
6.4415
5.0593
8.3327
4.7600
8.2009
5.7243
3.7320
5.0513
3.8541
7.0278
4.7073
5.6590
3.4622
6.3422
3.7913
7.0336
3.1572
16.9432
8.7904
6.3605
8.2011
3.6780
2.1617
13.1574
8.5707
6.0261
7.0879
3.1233
1.5172
11.1851
Fmt 4701
25th
percentile
2
3
2
2
2
2
1
3
2
2
2
1
2
1
1
1
2
2
2
1
1
2
1
2
2
1
4
3
2
2
1
1
3
1
1
1
1
1
1
3
2
2
2
1
2
2
1
2
1
2
2
1
1
1
1
2
1
6
3
2
2
1
1
3
3
2
1
1
1
2
Sfmt 4702
50th
percentile
3
4
3
3
4
3
2
4
3
2
3
2
3
2
2
2
3
2
3
2
1
3
2
3
3
2
6
5
3
4
2
1
5
2
1
1
1
2
1
4
3
3
4
2
3
3
1
3
2
4
3
3
2
3
2
3
2
9
5
3
3
2
1
6
4
3
2
1
1
4
E:\FR\FM\30APP2.SGM
4
7
5
4
6
4
3
7
5
4
6
3
5
3
4
3
5
4
6
4
2
5
3
5
4
3
9
7
5
9
4
2
8
4
2
2
1
4
1
7
5
4
6
4
6
4
3
4
3
6
4
4
3
4
3
5
3
13
7
6
5
3
2
9
7
5
5
2
1
8
30APP2
75th
percentile
7
11
7
5
11
7
5
11
8
6
9
5
7
5
6
4
8
5
9
6
3
8
4
9
6
5
16
11
7
17
8
4
14
7
3
3
2
8
2
10
8
6
10
6
10
7
4
7
5
9
6
7
4
7
5
8
4
20
11
8
9
4
3
16
10
7
9
3
2
14
90th
percentile
9
17
11
8
19
10
7
17
12
8
14
7
11
7
9
6
12
7
15
9
5
12
6
13
9
7
26
17
11
28
13
7
21
12
6
5
3
13
4
16
11
9
16
8
16
11
6
9
7
13
8
11
6
12
7
14
5
31
15
11
18
7
4
24
15
10
15
7
2
23
23859
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 7A.—MEDICARE PROSPECTIVE PAYMENT SYSTEM SELECTED PERCENTILE LENGTHS OF STAY: FY 2007 MEDPAR
UPDATE—DECEMBER 2007 GROUPER V25.0 MS–DRGS—Continued
Number of
discharges
jlentini on PROD1PC65 with PROPOSALS2
MS-DRG
629
630
637
638
639
640
641
642
643
644
645
652
653
654
655
656
657
658
659
660
661
662
663
664
665
666
667
668
669
670
671
672
673
674
675
682
683
684
685
686
687
688
689
690
691
692
693
694
695
696
697
698
699
700
707
708
709
710
711
712
713
714
715
716
717
718
722
723
724
725
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
Arithmetic
mean LOS
4,160
534
17,104
42,581
38,312
60,806
201,324
1,492
5,176
11,788
8,179
10,067
1,697
3,452
1,633
3,918
7,422
8,271
4,658
7,594
4,260
949
2,054
4,390
654
2,092
3,616
3,833
12,746
11,687
808
943
12,542
11,715
7,824
82,091
132,320
44,932
2,331
1,597
3,261
1,073
55,995
198,101
821
491
2,429
18,000
975
10,518
592
23,320
24,207
12,279
5,979
18,063
762
1,831
790
705
10,252
28,797
531
1,273
703
589
745
1,949
578
755
PO 00000
Frm 00333
10th
percentile
8.7418
5.5281
6.0581
4.2659
3.0382
5.4332
3.8256
5.1810
7.6103
5.4597
3.8912
7.7888
16.8981
9.8624
6.5150
10.1146
5.9603
3.7356
11.2003
6.5146
3.2758
10.2740
5.2639
2.1223
11.0627
6.3595
2.8695
8.5265
4.4236
2.5131
5.9468
2.5302
9.7323
7.1905
2.0675
7.1569
5.6544
3.8913
3.4822
7.5717
5.3502
3.2591
6.2004
4.2356
3.9586
2.3992
4.8345
2.5778
5.5251
3.2901
3.1115
6.6546
4.8302
3.5497
4.4131
2.1475
6.5341
1.7739
8.1684
3.0496
4.1916
1.9430
6.2806
1.4289
7.2319
2.7640
7.5852
5.2678
3.1522
5.5007
Fmt 4701
25th
percentile
3
1
2
1
1
1
1
1
2
2
1
4
7
5
3
4
3
2
3
2
1
2
1
1
3
1
1
2
1
1
1
1
1
1
1
2
2
1
1
2
1
1
2
2
1
1
1
1
1
1
1
2
1
1
1
1
1
1
1
1
1
1
1
1
2
1
2
1
1
2
Sfmt 4702
50th
percentile
5
2
3
2
2
2
2
2
4
3
2
5
9
7
5
5
4
2
5
3
2
4
2
1
5
2
1
4
2
1
2
1
3
2
1
3
3
2
1
3
3
1
3
2
2
1
2
1
3
2
1
3
2
2
2
1
2
1
3
1
2
1
2
1
3
1
3
3
1
3
E:\FR\FM\30APP2.SGM
7
4
5
3
2
4
3
4
6
4
3
6
13
8
7
8
5
3
8
5
3
8
4
1
9
4
2
7
3
2
4
2
7
5
1
5
5
3
2
6
4
2
5
4
3
2
4
2
4
3
2
5
4
3
3
2
4
1
6
2
3
2
4
1
5
2
6
4
2
4
30APP2
75th
percentile
11
7
7
5
4
7
5
6
9
7
5
9
21
11
8
12
7
5
14
8
4
14
7
2
14
9
3
11
6
3
8
3
13
9
2
9
7
5
4
9
7
4
8
5
5
3
6
3
7
4
4
8
6
4
5
3
8
2
10
4
5
2
8
1
9
3
10
7
4
7
90th
percentile
16
11
12
8
5
11
7
9
14
10
7
13
31
16
10
19
10
6
22
13
6
20
11
4
21
14
6
16
9
5
12
5
21
15
4
14
10
7
7
15
10
6
11
7
8
5
10
5
11
6
6
13
9
7
8
4
15
3
16
7
9
3
13
2
14
5
14
10
6
10
23860
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 7A.—MEDICARE PROSPECTIVE PAYMENT SYSTEM SELECTED PERCENTILE LENGTHS OF STAY: FY 2007 MEDPAR
UPDATE—DECEMBER 2007 GROUPER V25.0 MS–DRGS—Continued
Number of
discharges
jlentini on PROD1PC65 with PROPOSALS2
MS-DRG
726
727
728
729
730
734
735
736
737
738
739
740
741
742
743
744
745
746
747
748
749
750
754
755
756
757
758
759
760
761
765
766
767
768
769
770
774
775
776
777
778
779
780
781
782
790
799
800
801
802
803
804
808
809
810
811
812
813
814
815
816
820
821
822
823
824
825
826
827
828
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
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...........................................................
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...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
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...........................................................
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...........................................................
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...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
Arithmetic
mean LOS
3,716
1,294
6,158
591
471
1,362
1,130
854
3,293
863
1,013
4,326
6,014
10,950
32,325
1,520
1,694
2,634
10,409
19,857
982
435
978
2,933
677
1,393
1,605
1,239
1,700
1,749
2,754
2,686
132
6
98
202
1,506
5,768
511
206
474
110
40
3,017
171
1
566
705
557
765
1,070
987
6,088
12,869
2,786
21,404
89,951
14,232
1,554
3,297
2,147
1,299
2,474
1,893
2,178
2,974
1,748
524
1,254
799
PO 00000
Frm 00334
10th
percentile
3.4739
6.3995
4.0404
5.5736
3.0786
7.9941
3.3602
13.7752
7.1786
3.8714
10.1955
5.2305
2.9940
4.5175
2.2608
5.8355
2.5738
4.2134
1.8856
1.7358
9.3401
3.1103
8.3395
5.6870
3.1359
8.1436
6.0536
4.4722
3.9594
2.4351
5.0359
3.1601
3.3712
3.5000
4.6224
2.2277
3.1886
2.2394
3.3112
2.2136
3.0127
2.1182
1.4500
3.7630
2.4971
25.0000
14.0583
7.8610
4.9336
12.2706
6.6738
3.4215
8.2467
5.3247
4.0337
5.6912
3.7401
5.1669
6.7368
4.9706
3.5198
17.7229
7.8646
3.5288
15.4385
8.7492
4.3084
15.0401
7.9793
3.7722
Fmt 4701
1
2
1
1
1
3
1
5
3
2
3
2
1
2
1
1
1
1
1
1
2
1
2
2
1
3
2
2
1
1
2
2
2
1
1
1
2
1
1
1
1
1
1
1
1
125
5
3
2
3
1
1
3
2
1
1
1
1
2
1
1
5
1
1
5
2
1
4
2
1
Sfmt 4702
25th
percentile
2
3
2
2
1
4
2
7
4
3
5
3
2
2
2
2
1
2
1
1
4
1
4
3
1
4
3
2
2
1
3
2
2
2
2
1
2
2
2
1
1
1
1
1
1
125
7
4
2
5
3
1
4
3
2
2
2
2
3
2
2
8
3
1
8
4
1
7
4
2
E:\FR\FM\30APP2.SGM
50th
percentile
3
5
3
4
2
6
3
11
6
3
8
4
3
3
2
4
2
3
2
1
7
2
7
4
2
6
5
4
3
2
4
3
2
3
3
1
2
2
2
2
2
1
1
2
1
125
11
6
4
9
5
3
6
4
3
4
3
4
5
4
3
14
6
3
12
7
3
11
6
3
30APP2
75th
percentile
4
8
5
7
4
9
4
17
8
5
12
6
4
5
3
7
3
5
2
2
12
4
11
7
4
10
7
5
5
3
5
4
3
6
6
2
3
3
4
3
3
2
1
4
2
125
18
9
6
15
8
4
10
7
5
7
5
6
8
6
4
23
10
4
20
11
6
19
10
5
90th
percentile
6
12
7
10
6
15
5
25
13
6
20
9
5
8
3
12
5
8
3
3
19
6
16
11
6
16
11
8
8
5
7
4
5
6
11
5
5
3
7
4
5
3
3
7
4
125
26
15
9
25
14
6
16
10
7
11
7
10
13
9
7
34
16
7
29
17
9
29
16
7
23861
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 7A.—MEDICARE PROSPECTIVE PAYMENT SYSTEM SELECTED PERCENTILE LENGTHS OF STAY: FY 2007 MEDPAR
UPDATE—DECEMBER 2007 GROUPER V25.0 MS–DRGS—Continued
Number of
discharges
jlentini on PROD1PC65 with PROPOSALS2
MS-DRG
829
830
834
835
836
837
838
839
840
841
842
843
844
845
846
847
848
849
853
854
855
856
857
858
862
863
864
865
866
867
868
869
870
871
872
876
880
881
882
883
884
885
886
887
894
895
896
897
901
902
903
904
905
906
907
908
909
913
914
915
916
917
918
919
920
921
922
923
927
928
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
Arithmetic
mean LOS
1,171
521
4,028
2,703
1,622
1,043
1,320
1,467
9,659
10,035
5,310
1,350
2,412
804
2,113
23,862
1,723
1,477
34,852
6,643
459
5,892
9,614
3,246
7,929
21,420
18,946
1,705
8,182
5,062
2,641
1,103
21,199
216,384
90,892
857
9,282
4,623
1,556
757
19,006
80,806
404
393
4,369
6,958
5,490
36,053
924
2,031
1,500
1,047
811
712
8,462
8,319
5,447
804
6,609
1,078
5,508
15,775
35,653
11,089
13,970
9,423
1,047
3,952
211
818
PO 00000
Frm 00335
10th
percentile
10.6576
3.7179
15.4615
10.4351
5.1843
23.1419
12.2629
6.4104
10.4408
6.9221
4.5563
8.5222
6.0987
4.3022
8.4179
3.3508
3.1294
5.9709
16.6669
11.1072
7.0261
15.3839
8.4628
5.6741
8.1778
5.1976
4.0639
6.7009
3.5351
9.6254
5.7819
4.3128
15.4758
7.4839
5.7138
11.9498
3.1518
4.1888
4.4274
7.3725
5.4936
7.6211
6.0767
4.6209
2.9528
10.4997
6.6087
4.0582
15.0693
7.7371
4.5680
11.2178
4.6523
3.1657
11.6494
6.7682
3.6367
5.6629
3.4330
4.7356
2.1044
5.1645
2.7260
6.3723
4.3608
2.9687
5.9933
3.2338
31.1374
15.9694
Fmt 4701
25th
percentile
2
1
2
2
1
5
3
3
3
2
1
2
2
1
2
1
1
2
5
4
2
4
3
2
2
2
1
2
1
2
2
2
6
2
2
2
1
1
1
1
2
2
1
1
1
3
2
1
3
2
1
2
1
1
2
2
1
1
1
1
1
1
1
2
1
1
1
1
7
4
Sfmt 4702
50th
percentile
4
1
4
3
2
10
4
4
5
3
2
4
3
2
3
2
1
3
8
6
4
7
4
3
4
3
2
3
2
4
3
2
9
3
3
5
1
2
2
2
3
3
2
2
1
4
3
2
6
3
2
4
2
1
5
3
1
3
2
2
1
2
1
3
2
1
2
1
15
7
E:\FR\FM\30APP2.SGM
7
2
10
6
3
23
6
5
8
5
4
6
5
3
5
3
3
5
13
9
6
12
7
5
6
4
3
4
3
7
4
4
13
6
5
9
2
3
3
4
4
6
4
3
2
6
5
3
10
6
4
7
4
2
8
5
3
4
3
3
2
4
2
5
3
2
4
2
26
12
30APP2
75th
percentile
13
4
23
12
6
31
21
6
13
9
6
10
8
6
10
4
4
6
21
14
9
19
10
7
10
7
5
8
4
12
7
5
19
10
7
14
4
5
6
8
6
9
7
5
3
7
8
5
18
9
6
13
6
4
14
8
5
7
4
6
3
6
3
8
5
4
7
4
41
21
90th
percentile
22
8
36
28
10
42
29
10
21
13
9
17
12
8
18
6
5
12
30
20
13
30
16
10
16
9
7
14
7
19
11
7
27
14
10
24
6
8
9
15
10
14
12
8
4
9
13
6
30
16
9
23
8
6
23
13
7
12
6
9
4
11
5
13
8
6
12
6
60
31
23862
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 7A.—MEDICARE PROSPECTIVE PAYMENT SYSTEM SELECTED PERCENTILE LENGTHS OF STAY: FY 2007 MEDPAR
UPDATE—DECEMBER 2007 GROUPER V25.0 MS–DRGS—Continued
Number of
discharges
MS-DRG
929
933
934
935
939
940
941
945
946
947
948
949
950
951
955
956
957
958
959
963
964
965
969
970
974
975
976
977
981
982
983
984
985
986
987
988
989
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
Arithmetic
mean LOS
438
139
659
2,201
671
1,320
1,707
6,244
3,055
9,715
47,722
632
387
940
443
3,975
1,311
1,146
286
1,586
2,573
1,071
639
136
5,920
4,674
2,617
4,565
25,479
18,329
6,112
671
903
731
8,240
11,583
5,796
10th
percentile
7.6872
4.3453
6.1988
5.4330
10.0611
5.4220
2.7299
10.4947
7.8628
5.0101
3.4806
4.1092
3.4858
4.6436
12.2822
9.2896
14.8795
10.4031
6.2413
9.5214
6.2274
4.1391
18.8279
9.8309
10.3723
7.0148
4.9308
5.2931
15.1488
9.7455
5.3613
14.6811
9.6512
5.3338
13.0089
7.8090
4.1046
25th
percentile
1
1
1
1
2
1
1
4
3
1
1
1
1
1
2
4
2
3
2
2
2
1
4
2
2
2
2
1
5
3
1
5
2
1
4
2
1
50th
percentile
3
1
3
2
4
2
1
6
5
2
2
1
1
1
5
5
7
6
3
4
3
2
8
3
4
3
2
2
8
5
2
8
5
2
6
3
1
6
1
5
4
7
4
2
8
6
4
3
2
2
2
10
7
12
8
5
8
5
3
14
7
8
5
4
4
12
8
4
13
8
3
10
6
3
75th
percentile
10
4
8
7
13
7
3
12
7
6
4
4
4
3
16
11
19
13
8
13
8
5
22
12
13
9
6
6
19
12
7
18
13
7
16
10
6
90th
percentile
16
8
12
11
20
12
5
15
8
10
6
6
5
6
26
17
28
19
11
19
11
7
36
17
21
13
8
10
28
18
11
25
18
12
24
15
9
11,387,276
TABLE 7B.—MEDICARE PROSPECTIVE PAYMENT SYSTEM SELECTED PERCENTILE LENGTHS OF STAY: FY 2007 MEDPAR
UPDATE—DECEMBER 2007 GROUPER V26.0 MS–DRGS
Number of
discharges
jlentini on PROD1PC65 with PROPOSALS2
MS–DRG
1 ...............................................................
2 ...............................................................
3 ...............................................................
4 ...............................................................
5 ...............................................................
6 ...............................................................
7 ...............................................................
8 ...............................................................
9 ...............................................................
10 .............................................................
11 .............................................................
12 .............................................................
13 .............................................................
20 .............................................................
21 .............................................................
22 .............................................................
23 .............................................................
24 .............................................................
25 .............................................................
26 .............................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
Arithmetic
mean LOS
655
287
23,205
21,267
635
229
356
483
1,346
163
1,264
1,907
1,268
885
530
212
3,730
2,092
8,697
11,781
PO 00000
Frm 00336
10th
percentile
40.2107
24.7456
39.6406
28.8412
21.1717
10.2576
19.6517
11.9337
21.9725
10.7791
16.7302
10.6754
6.9267
18.3525
15.4472
9.3726
12.6794
9.0263
13.0331
8.2206
Fmt 4701
12
9
16
11
7
6
8
6
8
6
6
4
3
6
8
2
2
1
4
2
Sfmt 4702
25th
percentile
50th
percentile
17
12
22
17
10
7
10
7
16
7
9
6
4
10
11
6
5
4
6
4
E:\FR\FM\30APP2.SGM
31
17
32
24
15
9
15
9
20
8
13
9
6
17
14
9
10
8
10
7
30APP2
75th
percentile
51
28
48
35
26
12
22
13
25
11
20
13
8
24
19
12
17
12
17
11
90th
percentile
83
48
68
49
42
17
38
20
35
19
30
18
11
32
25
15
25
18
25
15
23863
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 7B.—MEDICARE PROSPECTIVE PAYMENT SYSTEM SELECTED PERCENTILE LENGTHS OF STAY: FY 2007 MEDPAR
UPDATE—DECEMBER 2007 GROUPER V26.0 MS–DRGS—Continued
Number of
discharges
jlentini on PROD1PC65 with PROPOSALS2
MS–DRG
27 .............................................................
28 .............................................................
29 .............................................................
30 .............................................................
31 .............................................................
32 .............................................................
33 .............................................................
34 .............................................................
35 .............................................................
36 .............................................................
37 .............................................................
38 .............................................................
39 .............................................................
40 .............................................................
41 .............................................................
42 .............................................................
52 .............................................................
53 .............................................................
54 .............................................................
55 .............................................................
56 .............................................................
57 .............................................................
58 .............................................................
59 .............................................................
60 .............................................................
61 .............................................................
62 .............................................................
63 .............................................................
64 .............................................................
65 .............................................................
66 .............................................................
67 .............................................................
68 .............................................................
69 .............................................................
70 .............................................................
71 .............................................................
72 .............................................................
73 .............................................................
74 .............................................................
75 .............................................................
76 .............................................................
77 .............................................................
78 .............................................................
79 .............................................................
80 .............................................................
81 .............................................................
82 .............................................................
83 .............................................................
84 .............................................................
85 .............................................................
86 .............................................................
87 .............................................................
88 .............................................................
89 .............................................................
90 .............................................................
91 .............................................................
92 .............................................................
93 .............................................................
94 .............................................................
95 .............................................................
96 .............................................................
97 .............................................................
98 .............................................................
99 .............................................................
100 ...........................................................
101 ...........................................................
102 ...........................................................
103 ...........................................................
113 ...........................................................
114 ...........................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
Arithmetic
mean LOS
13,695
1,666
3,070
3,398
1,024
2,780
3,623
765
2,239
6,947
4,841
14,146
51,927
4,765
7,573
4,859
1,163
587
5,240
16,289
8,250
47,224
736
2,752
4,068
1,586
2,464
1,323
55,734
105,000
89,325
1,397
11,402
101,817
7,341
9,526
5,739
9,223
31,500
1,238
873
1,211
1,405
931
1,861
7,124
1,757
2,049
2,769
5,879
11,468
12,958
711
2,733
3,089
7,605
16,265
16,121
1,473
1,030
757
1,192
1,005
641
16,989
56,991
1,080
13,735
525
555
PO 00000
Frm 00337
10th
percentile
4.5403
14.3055
7.1091
3.7310
13.1377
5.9781
3.0395
7.2261
3.2823
1.5949
8.5478
3.7666
1.8278
13.3490
7.2006
3.6300
6.7395
4.0102
6.9504
5.0708
7.7668
4.9743
7.5978
5.1432
3.9668
8.9426
6.2683
4.5110
7.4669
5.2179
3.7141
5.8232
3.4467
2.9920
7.8574
5.5568
3.5389
6.2394
4.3070
7.3021
4.1340
6.6821
4.4157
3.3845
5.1016
3.5267
6.4087
4.9551
3.1268
7.6399
5.0024
3.2740
5.8748
3.7603
2.5494
6.3657
4.4647
3.2188
11.8547
8.6359
6.1744
12.6023
8.3522
5.8752
6.3526
3.6950
4.5306
3.1270
5.5981
2.6090
Fmt 4701
25th
percentile
1
4
1
1
3
1
1
1
1
1
2
1
1
3
1
1
2
1
2
1
2
2
2
2
2
2
3
2
2
2
1
2
1
1
2
2
1
2
1
2
2
2
2
1
1
1
1
1
1
2
1
1
1
1
1
2
1
1
4
3
2
4
3
2
2
1
1
1
1
1
Sfmt 4702
50th
percentile
2
7
3
1
6
2
1
2
1
1
3
1
1
6
3
1
3
2
3
2
3
3
4
3
2
4
4
3
3
3
2
3
2
2
4
3
2
3
2
4
2
3
2
2
2
2
1
2
1
3
3
2
3
2
1
3
2
2
6
5
4
7
5
3
3
2
2
2
2
1
E:\FR\FM\30APP2.SGM
4
11
6
3
10
4
2
5
2
1
7
2
1
10
6
2
5
3
5
4
6
4
6
4
4
7
5
4
6
4
3
5
3
2
6
4
3
5
3
6
4
5
4
3
4
3
4
4
2
6
4
3
4
3
2
5
4
3
10
7
6
11
7
5
5
3
3
2
4
2
30APP2
75th
percentile
6
18
9
5
18
8
4
9
4
2
11
5
2
17
9
5
8
5
9
6
9
6
9
6
5
11
8
6
10
6
5
7
4
4
10
7
4
8
5
9
5
9
6
4
6
4
9
7
4
10
6
4
7
5
3
8
6
4
15
11
8
16
10
8
8
5
6
4
8
3
90th
percentile
9
27
14
7
27
14
6
15
8
3
17
9
3
25
14
8
14
7
14
10
14
9
15
9
7
17
11
8
15
9
7
11
6
5
15
10
7
12
8
14
7
12
8
6
10
6
15
10
6
15
9
6
12
7
5
13
8
6
22
15
11
23
15
11
12
7
9
6
12
5
23864
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 7B.—MEDICARE PROSPECTIVE PAYMENT SYSTEM SELECTED PERCENTILE LENGTHS OF STAY: FY 2007 MEDPAR
UPDATE—DECEMBER 2007 GROUPER V26.0 MS–DRGS—Continued
Number of
discharges
jlentini on PROD1PC65 with PROPOSALS2
MS–DRG
115
116
117
121
122
123
124
125
129
130
131
132
133
134
135
136
137
138
139
146
147
148
149
150
151
152
153
154
155
156
157
158
159
163
164
165
166
167
168
175
176
177
178
179
180
181
182
183
184
185
186
187
188
189
190
191
192
193
194
195
196
197
198
199
200
201
202
203
204
205
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
Arithmetic
mean LOS
1,046
546
996
542
617
2,785
749
4,661
1,353
1,073
929
886
1,981
3,362
352
472
773
886
1,490
674
1,364
847
38,817
949
6,810
1,726
11,433
1,899
4,471
4,819
1,044
3,219
2,355
13,614
17,887
13,805
20,549
20,520
5,467
12,682
41,338
63,750
70,831
26,087
22,324
30,220
5,446
1,856
4,320
2,506
9,239
10,028
5,014
113,067
58,781
118,162
184,764
87,315
253,950
133,231
5,388
6,796
4,616
3,208
8,382
3,467
29,252
36,870
25,669
5,848
PO 00000
Frm 00338
10th
percentile
4.3222
4.0678
2.1596
5.4576
4.0454
2.8747
5.2697
3.5134
5.1803
2.9385
5.7492
2.6501
5.3296
2.2329
5.8295
2.3305
5.4062
2.5237
1.8456
9.4466
6.1320
3.8040
2.7185
5.1981
2.8921
4.4571
3.2168
6.3381
4.4187
3.1731
6.6542
4.5281
3.0522
14.9476
8.0977
5.1442
12.9161
7.9756
5.2532
7.2650
5.3283
9.1032
7.3794
5.5654
7.9001
5.9078
4.1761
7.2338
4.5829
3.4066
7.4006
5.3216
3.9928
6.1459
6.2972
5.0156
3.9705
6.7517
5.2660
4.0792
7.3537
5.3899
4.0804
8.3030
5.0894
4.0580
4.3530
3.3859
2.8746
5.5050
Fmt 4701
25th
percentile
1
1
1
2
2
1
1
1
1
1
1
1
1
1
1
1
1
1
1
2
1
1
1
1
1
1
1
2
1
1
1
1
1
5
3
2
4
2
1
3
2
3
3
2
2
2
1
2
2
1
2
2
1
2
2
2
1
2
2
2
3
2
1
2
1
1
1
1
1
1
Sfmt 4702
50th
percentile
2
1
1
3
2
2
2
2
2
1
2
1
2
1
2
1
2
1
1
4
2
1
1
2
1
2
2
3
2
2
3
2
1
8
5
3
7
4
2
4
3
5
4
3
4
3
2
4
3
2
4
3
2
3
3
3
2
4
3
2
4
3
2
4
2
2
2
2
1
2
E:\FR\FM\30APP2.SGM
4
2
1
4
3
2
4
3
4
2
4
2
4
1
4
1
4
2
1
7
4
3
2
4
2
3
3
5
4
3
5
3
2
13
7
5
10
7
4
6
5
7
6
5
6
5
3
6
4
3
6
4
3
5
5
4
3
6
4
4
6
4
3
7
4
3
4
3
2
4
30APP2
75th
percentile
5
5
2
7
5
4
7
4
6
4
8
3
7
3
8
3
7
3
2
12
8
5
3
6
4
5
4
8
6
4
8
6
4
19
10
6
16
10
7
9
7
12
9
7
10
8
5
9
6
4
9
7
5
8
8
6
5
8
7
5
9
7
5
11
7
5
5
4
4
7
90th
percentile
7
8
3
10
7
5
10
7
11
6
12
5
11
4
12
5
11
5
3
19
12
8
5
10
5
8
6
12
8
6
14
9
6
27
15
9
24
15
10
12
9
17
13
10
15
11
8
13
8
6
14
10
8
11
12
9
7
12
9
7
14
10
7
16
10
8
8
6
5
10
23865
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 7B.—MEDICARE PROSPECTIVE PAYMENT SYSTEM SELECTED PERCENTILE LENGTHS OF STAY: FY 2007 MEDPAR
UPDATE—DECEMBER 2007 GROUPER V26.0 MS–DRGS—Continued
Number of
discharges
jlentini on PROD1PC65 with PROPOSALS2
MS–DRG
206
207
208
215
216
217
218
219
220
221
222
223
224
225
226
227
228
229
230
231
232
233
234
235
236
237
238
239
240
241
242
243
244
245
246
247
248
249
250
251
252
253
254
255
256
257
258
259
260
261
262
263
264
265
280
281
282
283
284
285
286
287
288
289
290
291
292
293
294
295
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
Arithmetic
mean LOS
21,532
39,505
76,444
141
8,616
7,236
2,554
10,525
13,928
7,032
2,771
5,080
1,911
5,076
7,064
42,807
2,974
3,596
1,566
1,446
1,515
16,254
34,309
9,629
30,065
22,384
42,226
13,307
11,658
2,680
17,519
36,074
62,706
3,930
28,818
188,884
13,847
69,978
6,762
41,707
45,567
44,910
53,360
2,521
3,425
705
686
7,302
1,549
3,522
3,531
652
28,273
1,957
63,593
53,704
54,305
14,888
4,139
2,803
23,695
158,158
2,953
1,357
473
187,597
204,514
196,441
1,415
1,343
PO 00000
Frm 00339
10th
percentile
3.4393
15.0709
7.2241
14.1844
18.3713
12.3046
9.0568
13.9944
8.5619
6.4428
13.0949
6.2701
11.3673
5.6420
9.3342
2.8263
14.7078
9.1096
6.4757
13.3811
9.1868
14.1787
8.9262
11.2185
6.6177
10.8073
4.6444
15.3499
10.3695
6.7634
8.7738
5.0924
2.9268
3.2237
5.3370
2.1674
5.9831
2.4966
7.7798
2.8343
8.5378
6.0144
2.7299
9.6942
7.4762
4.8482
7.3761
2.8020
11.2214
4.2127
2.5902
5.4126
8.8998
3.4716
7.3381
4.8075
3.2480
5.4547
3.2341
2.2112
6.9333
3.1457
11.7541
8.6610
6.4947
6.4926
4.9936
3.6816
5.5611
4.3291
Fmt 4701
25th
percentile
1
6
1
1
8
6
5
6
5
4
5
1
4
2
1
1
6
4
3
6
5
7
5
5
4
2
1
5
3
3
3
1
1
1
1
1
1
1
1
1
1
1
1
2
2
1
2
1
3
1
1
1
1
1
2
2
1
1
1
1
2
1
4
3
2
2
2
1
2
2
Sfmt 4702
50th
percentile
2
9
3
3
11
8
6
8
6
5
7
3
6
3
3
1
8
6
4
8
7
9
6
7
5
5
2
8
5
4
4
2
1
1
2
1
2
1
3
1
3
2
1
4
4
2
3
1
5
1
1
1
3
1
4
3
2
1
1
1
3
1
6
5
4
3
3
2
3
3
E:\FR\FM\30APP2.SGM
3
13
6
9
16
11
8
11
7
6
11
5
9
5
7
1
13
8
6
11
8
12
8
9
6
9
3
12
8
6
7
4
2
2
4
1
4
2
6
2
6
5
2
8
6
4
6
2
8
3
2
3
6
2
6
4
3
3
2
1
5
2
9
7
5
5
4
3
5
4
30APP2
75th
percentile
4
18
10
17
23
15
11
17
10
7
17
8
14
7
12
3
18
11
8
17
11
17
11
14
8
14
6
19
13
8
11
7
4
4
7
3
8
3
10
4
11
8
3
12
9
7
9
4
14
6
3
7
11
4
9
6
4
7
4
3
9
4
14
11
8
8
6
5
7
6
90th
percentile
6
25
14
31
31
20
14
26
14
10
23
12
21
10
19
7
26
15
11
24
14
24
13
20
10
21
9
29
19
12
17
10
6
7
12
4
12
5
16
6
18
13
6
18
13
10
14
6
22
9
6
13
19
8
13
9
6
13
7
5
14
6
22
15
11
12
9
6
9
7
23866
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 7B.—MEDICARE PROSPECTIVE PAYMENT SYSTEM SELECTED PERCENTILE LENGTHS OF STAY: FY 2007 MEDPAR
UPDATE—DECEMBER 2007 GROUPER V26.0 MS–DRGS—Continued
Number of
discharges
jlentini on PROD1PC65 with PROPOSALS2
MS–DRG
296
297
298
299
300
301
302
303
304
305
306
307
308
309
310
311
312
313
314
315
316
326
327
328
329
330
331
332
333
334
335
336
337
338
339
340
341
342
343
344
345
346
347
348
349
350
351
352
353
354
355
356
357
358
368
369
370
371
372
373
374
375
376
377
378
379
380
381
382
383
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
Arithmetic
mean LOS
1,917
791
602
17,750
44,551
36,994
7,587
70,544
2,086
35,079
1,515
6,344
35,699
79,311
158,556
21,034
165,835
211,391
61,613
29,960
17,966
11,226
10,457
8,865
48,110
63,624
28,171
1,823
5,922
3,719
7,182
12,448
8,570
1,501
3,163
3,558
878
2,544
6,975
936
2,914
2,759
1,625
4,164
5,155
1,756
4,287
8,183
3,165
8,420
15,316
8,334
7,801
2,477
3,566
5,248
3,554
24,371
27,061
15,249
9,039
18,945
4,279
51,556
110,340
92,136
3,020
5,293
4,492
1,223
PO 00000
Frm 00340
10th
percentile
3.0303
1.8217
1.3040
6.6518
5.0493
3.6992
4.3756
2.5315
5.1942
2.8628
6.2964
3.4455
5.5438
3.9373
2.7530
2.3089
3.1053
2.1067
7.0205
4.6041
2.9978
17.1201
10.0519
4.3610
15.9561
9.7138
5.8793
14.3489
8.8349
5.5052
14.0778
9.0917
5.5883
10.7082
7.0452
4.1521
7.1287
4.1395
2.1792
11.7575
7.2447
4.9467
8.8166
5.7366
3.0795
7.9897
4.5573
2.4793
8.4051
5.0816
2.8995
12.9144
8.1406
4.4719
6.5979
4.7487
3.3995
8.7488
6.8532
4.9382
8.5759
6.0287
4.1837
6.3806
4.4472
3.4088
7.2738
5.1734
3.6814
5.5200
Fmt 4701
25th
percentile
1
1
1
2
2
1
1
1
1
1
1
1
1
1
1
1
1
1
2
1
1
6
3
1
6
4
3
6
4
2
5
3
1
4
3
2
2
1
1
4
3
2
2
2
1
2
1
1
2
2
1
3
2
1
2
2
1
3
3
2
2
2
1
2
2
1
2
2
1
2
Sfmt 4702
50th
percentile
1
1
1
3
3
2
2
1
2
1
3
2
2
2
1
1
2
1
3
2
1
9
5
2
9
6
4
8
6
4
8
5
3
6
4
2
3
2
1
6
4
3
4
3
1
3
2
1
4
3
1
6
4
2
3
3
2
4
4
3
4
3
2
3
3
2
3
3
2
3
E:\FR\FM\30APP2.SGM
1
1
1
5
4
3
3
2
4
2
4
3
4
3
2
2
2
2
5
4
2
14
8
3
13
8
5
12
8
5
12
8
5
9
6
4
5
3
2
9
6
5
7
5
2
6
4
2
7
4
2
10
6
4
5
4
3
7
6
4
7
5
3
5
4
3
6
4
3
4
30APP2
75th
percentile
3
2
1
8
6
5
5
3
7
4
8
4
7
5
4
3
4
3
9
6
4
21
13
6
20
12
7
18
10
7
18
11
8
13
9
5
9
5
3
15
9
6
11
7
4
10
6
3
11
6
4
16
10
6
8
6
4
11
8
6
11
8
5
8
5
4
9
6
5
7
90th
percentile
7
3
2
12
9
7
8
5
10
5
12
6
11
7
5
4
6
4
14
9
6
32
18
9
29
17
9
25
15
9
25
16
10
19
12
7
14
8
4
22
12
8
17
11
6
16
9
5
16
9
5
25
16
9
13
9
6
17
12
8
16
12
8
12
8
6
14
9
7
10
23867
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 7B.—MEDICARE PROSPECTIVE PAYMENT SYSTEM SELECTED PERCENTILE LENGTHS OF STAY: FY 2007 MEDPAR
UPDATE—DECEMBER 2007 GROUPER V26.0 MS–DRGS—Continued
Number of
discharges
jlentini on PROD1PC65 with PROPOSALS2
MS–DRG
384
385
386
387
388
389
390
391
392
393
394
395
405
406
407
408
409
410
411
412
413
414
415
416
417
418
419
420
421
422
423
424
425
432
433
434
435
436
437
438
439
440
441
442
443
444
445
446
453
454
455
456
457
458
459
460
461
462
463
464
465
466
467
468
469
470
471
472
473
474
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
Arithmetic
mean LOS
8,080
1,996
7,126
5,033
18,540
45,795
46,426
44,299
282,071
23,253
45,853
24,740
3,963
5,300
2,115
1,548
1,737
598
956
955
756
5,241
6,127
5,328
16,444
27,075
35,887
766
1,054
327
1,542
894
125
15,140
9,672
877
12,111
13,158
3,887
14,063
24,364
25,670
13,335
14,144
6,544
12,898
16,794
15,932
948
1,771
1,969
946
2,413
1,609
3,508
51,883
1,018
13,194
5,052
5,838
2,398
4,072
14,331
21,133
30,531
405,204
2,283
6,954
22,875
2,918
PO 00000
Frm 00341
10th
percentile
3.7490
8.8191
5.6996
4.2935
7.3159
5.0160
3.5522
5.2367
3.4889
6.8917
4.8196
3.3344
17.0056
9.1566
5.4851
14.9961
9.8290
6.5033
12.4069
8.5696
5.9272
11.7296
7.6236
4.8281
8.3803
5.6341
3.1911
13.6606
7.6879
4.3609
15.8599
10.4172
5.3760
6.9542
4.8719
3.6933
7.5614
5.8396
4.2529
7.5128
5.3275
3.8103
7.0467
5.1103
3.7796
6.6243
4.7264
3.2658
15.6561
8.0237
4.4307
14.7061
7.4836
4.5438
9.4478
4.2180
8.4342
4.2178
16.5713
10.2205
5.8661
9.1717
5.4882
3.9306
8.2004
3.9281
9.7946
4.0913
1.9623
12.6453
Fmt 4701
25th
percentile
1
3
2
1
2
2
1
1
1
2
1
1
5
2
1
6
4
2
5
4
2
5
3
2
3
2
1
3
2
1
4
3
1
2
1
1
2
2
1
2
2
1
2
2
1
2
1
1
5
3
1
5
3
2
4
2
3
3
5
3
1
3
3
2
3
3
2
1
1
4
Sfmt 4702
50th
percentile
2
4
3
2
3
3
2
2
2
3
2
2
8
5
3
8
6
4
7
6
4
7
5
3
4
3
1
6
3
2
7
5
2
3
2
2
3
3
2
3
3
2
3
2
2
3
2
2
7
4
3
7
4
3
5
3
5
3
7
5
3
5
3
3
5
3
4
1
1
6
E:\FR\FM\30APP2.SGM
3
6
5
4
6
4
3
4
3
5
4
3
13
7
5
12
8
6
10
8
5
10
7
4
7
5
3
10
6
4
12
8
4
5
4
3
6
5
3
5
4
3
5
4
3
5
4
3
12
6
4
11
6
4
7
4
6
4
12
8
5
7
4
3
7
3
7
3
1
10
30APP2
75th
percentile
5
11
7
5
9
6
4
6
4
8
6
4
21
11
7
18
12
8
15
11
7
14
9
6
10
7
4
17
10
6
20
14
7
9
6
5
10
8
6
9
7
5
9
6
5
8
6
4
19
10
5
19
9
6
11
5
9
5
20
12
7
11
6
4
10
4
13
5
2
15
90th
percentile
7
18
10
8
14
9
6
10
6
14
9
6
34
18
10
28
18
11
22
14
10
21
13
8
16
10
6
26
16
8
32
20
10
14
9
6
15
11
8
15
10
7
14
9
7
13
9
6
29
14
7
28
13
7
17
7
14
6
33
20
11
16
9
6
14
6
20
9
4
24
23868
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 7B.—MEDICARE PROSPECTIVE PAYMENT SYSTEM SELECTED PERCENTILE LENGTHS OF STAY: FY 2007 MEDPAR
UPDATE—DECEMBER 2007 GROUPER V26.0 MS–DRGS—Continued
Number of
discharges
jlentini on PROD1PC65 with PROPOSALS2
MS–DRG
475
476
477
478
479
480
481
482
483
484
485
486
487
488
489
490
491
492
493
494
495
496
497
498
499
500
501
502
503
504
505
506
507
508
509
510
511
512
513
514
515
516
517
533
534
535
536
537
538
539
540
541
542
543
544
545
546
547
548
549
550
551
552
553
554
555
556
557
558
559
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
Arithmetic
mean LOS
3,277
1,589
2,582
8,562
11,424
26,724
72,123
48,111
7,100
17,842
1,183
2,186
1,312
2,495
5,763
22,971
52,406
5,216
16,899
29,166
1,970
5,555
6,632
1,163
1,110
1,502
3,872
6,452
833
2,162
3,004
810
836
2,481
627
973
3,926
10,961
1,052
1,006
3,818
11,280
17,523
822
3,392
6,990
33,661
665
1,056
3,417
4,016
1,618
5,709
17,012
10,798
4,079
5,577
4,533
580
1,110
858
10,066
85,179
3,076
19,173
2,013
18,639
3,646
15,089
1,815
PO 00000
Frm 00342
10th
percentile
8.3946
4.7885
11.8548
6.6119
2.8188
9.2958
5.9291
4.8427
4.2093
2.4311
12.1116
8.0425
5.6715
5.2236
3.0465
4.3437
2.2104
8.5299
5.2510
3.3992
10.9609
5.9802
3.0054
7.8865
2.9757
10.8309
5.9698
2.9416
9.4586
6.4510
3.3832
3.4074
5.1459
2.0512
3.1100
6.4070
3.9758
2.1581
5.0266
2.8191
10.4445
5.9870
3.0079
6.6861
4.0292
6.2365
3.9328
4.4722
3.2197
9.7085
7.1257
5.3745
8.7758
5.9463
4.4077
9.0924
5.5338
3.8083
8.9379
6.3874
4.4545
7.1058
4.1225
5.9620
3.6913
4.8405
3.1089
6.6100
4.2586
7.5444
Fmt 4701
25th
percentile
3
1
3
1
1
4
3
3
2
1
4
3
3
2
1
1
1
3
2
1
3
2
1
2
1
3
2
1
3
2
1
1
1
1
1
2
1
1
1
1
3
1
1
2
1
2
2
2
1
3
3
2
3
2
2
2
2
1
3
2
2
2
1
2
1
1
1
2
2
2
Sfmt 4702
50th
percentile
4
2
6
3
1
5
4
4
2
2
6
5
3
3
2
1
1
5
3
2
5
3
1
3
1
5
3
1
5
3
2
1
2
1
1
3
2
1
2
1
5
3
1
3
2
3
3
3
2
5
4
3
4
3
3
4
3
2
4
3
2
3
2
3
2
2
2
3
2
3
E:\FR\FM\30APP2.SGM
7
4
9
6
1
8
5
4
3
2
10
7
5
4
3
3
2
7
4
3
8
5
2
6
2
8
5
2
7
6
3
2
4
1
2
5
3
2
4
2
8
5
2
5
3
5
3
4
3
8
6
4
7
5
4
6
4
3
7
5
4
6
3
5
3
4
3
5
4
6
30APP2
75th
percentile
11
6
15
9
4
11
7
6
5
3
15
10
7
6
4
5
3
11
6
4
14
7
4
10
4
14
8
4
11
8
4
4
6
2
3
8
5
3
6
3
13
8
4
8
5
8
5
5
4
12
8
7
11
7
5
11
7
5
11
8
6
9
5
7
5
6
4
8
5
9
90th
percentile
15
9
22
13
7
16
9
7
8
4
22
14
9
10
5
9
4
15
9
6
21
11
6
16
6
21
12
6
17
12
6
7
10
3
7
12
7
4
10
6
20
11
7
12
7
12
7
8
6
17
13
9
17
11
8
19
10
7
17
12
8
14
7
11
7
9
6
12
7
15
23869
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 7B.—MEDICARE PROSPECTIVE PAYMENT SYSTEM SELECTED PERCENTILE LENGTHS OF STAY: FY 2007 MEDPAR
UPDATE—DECEMBER 2007 GROUPER V26.0 MS–DRGS—Continued
Number of
discharges
jlentini on PROD1PC65 with PROPOSALS2
MS–DRG
560
561
562
563
564
565
566
573
574
575
576
577
578
579
580
581
582
583
584
585
592
593
594
595
596
597
598
599
600
601
602
603
604
605
606
607
614
615
616
617
618
619
620
621
622
623
624
625
626
627
628
629
630
637
638
639
640
641
642
643
644
645
652
653
654
655
656
657
658
659
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
Arithmetic
mean LOS
4,319
7,107
5,458
36,267
1,661
3,311
2,624
5,477
11,123
5,462
547
2,228
3,054
3,511
10,711
12,142
5,337
8,748
668
1,469
4,178
12,304
2,751
1,112
5,308
458
1,400
306
682
884
22,088
130,121
2,660
22,097
1,350
7,168
1,457
1,546
1,091
6,718
258
696
2,186
7,848
1,112
3,077
383
1,274
2,538
14,026
3,366
4,160
534
17,104
42,581
38,312
60,806
201,324
1,492
5,176
11,788
8,179
10,067
1,697
3,452
1,633
3,918
7,422
8,271
4,658
PO 00000
Frm 00343
10th
percentile
4.7217
2.7680
6.3674
3.7016
6.9934
4.9795
3.6825
13.0933
9.3248
5.8521
12.9506
6.1104
3.3062
10.6830
5.5084
2.6146
2.8943
1.8056
5.9850
2.2321
8.8712
6.4415
5.0593
8.3327
4.7600
8.2009
5.7243
3.7320
5.0513
3.8541
7.0278
4.7073
5.6590
3.4622
6.3422
3.7913
7.0336
3.1572
16.9432
8.7904
6.3605
8.2011
3.6780
2.1617
13.1574
8.5707
6.0261
7.0879
3.1233
1.5172
11.1851
8.7418
5.5281
6.0581
4.2659
3.0382
5.4332
3.8256
5.1810
7.6103
5.4597
3.8912
7.7888
16.8981
9.8624
6.5150
10.1146
5.9603
3.7356
11.2003
Fmt 4701
25th
percentile
1
1
2
1
2
2
1
4
3
2
2
1
1
3
1
1
1
1
1
1
3
2
2
2
1
2
2
1
2
1
2
2
1
1
1
1
2
1
6
3
2
2
1
1
3
3
2
1
1
1
2
3
1
2
1
1
1
1
1
2
2
1
4
7
5
3
4
3
2
3
Sfmt 4702
50th
percentile
2
1
3
2
3
3
2
6
5
3
4
2
1
5
2
1
1
1
2
1
4
3
3
4
2
3
3
1
3
2
4
3
3
2
3
2
3
2
9
5
3
3
2
1
6
4
3
2
1
1
4
5
2
3
2
2
2
2
2
4
3
2
5
9
7
5
5
4
2
5
E:\FR\FM\30APP2.SGM
4
2
5
3
5
4
3
9
7
5
9
4
2
8
4
2
2
1
4
1
7
5
4
6
4
6
4
3
4
3
6
4
4
3
4
3
5
3
13
7
6
5
3
2
9
7
5
5
2
1
8
7
4
5
3
2
4
3
4
6
4
3
6
13
8
7
8
5
3
8
30APP2
75th
percentile
6
3
8
4
9
6
5
16
11
7
17
8
4
14
7
3
3
2
8
2
10
8
6
10
6
10
7
4
7
5
9
6
7
4
7
5
8
4
20
11
8
9
4
3
16
10
7
9
3
2
14
11
7
7
5
4
7
5
6
9
7
5
9
21
11
8
12
7
5
14
90th
percentile
9
5
12
6
13
9
7
26
17
11
28
13
7
21
12
6
5
3
13
4
16
11
9
16
8
16
11
6
9
7
13
8
11
6
12
7
14
5
31
15
11
18
7
4
24
15
10
15
7
2
23
16
11
12
8
5
11
7
9
14
10
7
13
31
16
10
19
10
6
22
23870
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 7B.—MEDICARE PROSPECTIVE PAYMENT SYSTEM SELECTED PERCENTILE LENGTHS OF STAY: FY 2007 MEDPAR
UPDATE—DECEMBER 2007 GROUPER V26.0 MS–DRGS—Continued
Number of
discharges
jlentini on PROD1PC65 with PROPOSALS2
MS–DRG
660
661
662
663
664
665
666
667
668
669
670
671
672
673
674
675
682
683
684
685
686
687
688
689
690
691
692
693
694
695
696
697
698
699
700
707
708
709
710
711
712
713
714
715
716
717
718
722
723
724
725
726
727
728
729
730
734
735
736
737
738
739
740
741
742
743
744
745
746
747
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
Arithmetic
mean LOS
7,594
4,260
949
2,054
4,390
654
2,092
3,616
3,833
12,746
11,687
808
943
12,542
11,715
7,824
82,091
132,320
44,932
2,331
1,597
3,261
1,073
55,995
198,101
821
491
2,429
18,000
975
10,518
592
23,320
24,207
12,279
5,979
18,063
762
1,831
790
705
10,252
28,797
531
1,273
703
589
745
1,949
578
755
3,716
1,294
6,158
591
471
1,362
1,130
854
3,293
863
1,013
4,326
6,014
10,950
32,325
1,520
1,694
2,634
10,409
PO 00000
Frm 00344
10th
percentile
6.5146
3.2758
10.2740
5.2639
2.1223
11.0627
6.3595
2.8695
8.5265
4.4236
2.5131
5.9468
2.5302
9.7323
7.1905
2.0675
7.1569
5.6544
3.8913
3.4822
7.5717
5.3502
3.2591
6.2004
4.2356
3.9586
2.3992
4.8345
2.5778
5.5251
3.2901
3.1115
6.6546
4.8302
3.5497
4.4131
2.1475
6.5341
1.7739
8.1684
3.0496
4.1916
1.9430
6.2806
1.4289
7.2319
2.7640
7.5852
5.2678
3.1522
5.5007
3.4739
6.3995
4.0404
5.5736
3.0786
7.9941
3.3602
13.7752
7.1786
3.8714
10.1955
5.2305
2.9940
4.5175
2.2608
5.8355
2.5738
4.2134
1.8856
Fmt 4701
25th
percentile
2
1
2
1
1
3
1
1
2
1
1
1
1
1
1
1
2
2
1
1
2
1
1
2
2
1
1
1
1
1
1
1
2
1
1
1
1
1
1
1
1
1
1
1
1
2
1
2
1
1
2
1
2
1
1
1
3
1
5
3
2
3
2
1
2
1
1
1
1
1
Sfmt 4702
50th
percentile
3
2
4
2
1
5
2
1
4
2
1
2
1
3
2
1
3
3
2
1
3
3
1
3
2
2
1
2
1
3
2
1
3
2
2
2
1
2
1
3
1
2
1
2
1
3
1
3
3
1
3
2
3
2
2
1
4
2
7
4
3
5
3
2
2
2
2
1
2
1
E:\FR\FM\30APP2.SGM
5
3
8
4
1
9
4
2
7
3
2
4
2
7
5
1
5
5
3
2
6
4
2
5
4
3
2
4
2
4
3
2
5
4
3
3
2
4
1
6
2
3
2
4
1
5
2
6
4
2
4
3
5
3
4
2
6
3
11
6
3
8
4
3
3
2
4
2
3
2
30APP2
75th
percentile
8
4
14
7
2
14
9
3
11
6
3
8
3
13
9
2
9
7
5
4
9
7
4
8
5
5
3
6
3
7
4
4
8
6
4
5
3
8
2
10
4
5
2
8
1
9
3
10
7
4
7
4
8
5
7
4
9
4
17
8
5
12
6
4
5
3
7
3
5
2
90th
percentile
13
6
20
11
4
21
14
6
16
9
5
12
5
21
15
4
14
10
7
7
15
10
6
11
7
8
5
10
5
11
6
6
13
9
7
8
4
15
3
16
7
9
3
13
2
14
5
14
10
6
10
6
12
7
10
6
15
5
25
13
6
20
9
5
8
3
12
5
8
3
23871
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 7B.—MEDICARE PROSPECTIVE PAYMENT SYSTEM SELECTED PERCENTILE LENGTHS OF STAY: FY 2007 MEDPAR
UPDATE—DECEMBER 2007 GROUPER V26.0 MS–DRGS—Continued
Number of
discharges
jlentini on PROD1PC65 with PROPOSALS2
MS–DRG
748
749
750
754
755
756
757
758
759
760
761
765
766
767
768
769
770
774
775
776
777
778
779
780
781
782
790
799
800
801
802
803
804
808
809
810
811
812
813
814
815
816
820
821
822
823
824
825
826
827
828
829
830
834
835
836
837
838
839
840
841
842
843
844
845
846
847
848
849
853
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
Arithmetic
mean LOS
19,857
982
435
978
2,933
677
1,393
1,605
1,239
1,700
1,749
2,754
2,686
132
6
98
202
1,506
5,768
511
206
474
110
40
3,017
171
1
566
705
557
765
1,070
987
6,088
12,869
2,786
21,404
89,951
14,232
1,554
3,297
2,147
1,299
2,474
1,893
2,178
2,974
1,748
524
1,254
799
1,171
521
4,028
2,703
1,622
1,043
1,320
1,467
9,659
10,035
5,310
1,350
2,412
804
2,113
23,862
1,723
1,477
34,852
PO 00000
Frm 00345
10th
percentile
1.7358
9.3401
3.1103
8.3395
5.6870
3.1359
8.1436
6.0536
4.4722
3.9594
2.4351
5.0359
3.1601
3.3712
3.5000
4.6224
2.2277
3.1886
2.2394
3.3112
2.2136
3.0127
2.1182
1.4500
3.7630
2.4971
25.0000
14.0583
7.8610
4.9336
12.2706
6.6738
3.4215
8.2467
5.3247
4.0337
5.6912
3.7401
5.1669
6.7368
4.9706
3.5198
17.7229
7.8646
3.5288
15.4385
8.7492
4.3084
15.0401
7.9793
3.7722
10.6576
3.7179
15.4615
10.4351
5.1843
23.1419
12.2629
6.4104
10.4408
6.9221
4.5563
8.5222
6.0987
4.3022
8.4179
3.3508
3.1294
5.9709
16.6669
Fmt 4701
1
2
1
2
2
1
3
2
2
1
1
2
2
2
1
1
1
2
1
1
1
1
1
1
1
1
125
5
3
2
3
1
1
3
2
1
1
1
1
2
1
1
5
1
1
5
2
1
4
2
1
2
1
2
2
1
5
3
3
3
2
1
2
2
1
2
1
1
2
5
Sfmt 4702
25th
percentile
1
4
1
4
3
1
4
3
2
2
1
3
2
2
2
2
1
2
2
2
1
1
1
1
1
1
125
7
4
2
5
3
1
4
3
2
2
2
2
3
2
2
8
3
1
8
4
1
7
4
2
4
1
4
3
2
10
4
4
5
3
2
4
3
2
3
2
1
3
8
E:\FR\FM\30APP2.SGM
50th
percentile
1
7
2
7
4
2
6
5
4
3
2
4
3
2
3
3
1
2
2
2
2
2
1
1
2
1
125
11
6
4
9
5
3
6
4
3
4
3
4
5
4
3
14
6
3
12
7
3
11
6
3
7
2
10
6
3
23
6
5
8
5
4
6
5
3
5
3
3
5
13
30APP2
75th
percentile
2
12
4
11
7
4
10
7
5
5
3
5
4
3
6
6
2
3
3
4
3
3
2
1
4
2
125
18
9
6
15
8
4
10
7
5
7
5
6
8
6
4
23
10
4
20
11
6
19
10
5
13
4
23
12
6
31
21
6
13
9
6
10
8
6
10
4
4
6
21
90th
percentile
3
19
6
16
11
6
16
11
8
8
5
7
4
5
6
11
5
5
3
7
4
5
3
3
7
4
125
26
15
9
25
14
6
16
10
7
11
7
10
13
9
7
34
16
7
29
17
9
29
16
7
22
8
36
28
10
42
29
10
21
13
9
17
12
8
18
6
5
12
30
23872
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 7B.—MEDICARE PROSPECTIVE PAYMENT SYSTEM SELECTED PERCENTILE LENGTHS OF STAY: FY 2007 MEDPAR
UPDATE—DECEMBER 2007 GROUPER V26.0 MS–DRGS—Continued
Number of
discharges
jlentini on PROD1PC65 with PROPOSALS2
MS–DRG
854
855
856
857
858
862
863
864
865
866
867
868
869
870
871
872
876
880
881
882
883
884
885
886
887
894
895
896
897
901
902
903
904
905
906
907
908
909
913
914
915
916
917
918
919
920
921
922
923
927
928
929
933
934
935
939
940
941
945
946
947
948
949
950
951
955
956
957
958
959
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
Arithmetic
mean LOS
6,643
459
5,892
9,614
3,246
7,929
21,420
18,946
1,705
8,182
5,062
2,641
1,103
21,199
216,384
90,892
857
9,282
4,623
1,556
757
19,006
80,806
404
393
4,369
6,958
5,490
36,053
924
2,031
1,500
1,046
811
710
8,461
8,319
5,447
804
6,609
1,078
5,508
15,775
35,653
11,089
13,970
9,423
1,047
3,952
211
818
438
139
659
2,201
671
1,320
1,707
6,244
3,055
9,715
47,722
632
387
940
444
3,976
1,318
1,147
291
PO 00000
Frm 00346
10th
percentile
11.1072
7.0261
15.3839
8.4628
5.6741
8.1778
5.1976
4.0639
6.7009
3.5351
9.6254
5.7819
4.3128
15.4758
7.4839
5.7138
11.9498
3.1518
4.1888
4.4274
7.3725
5.4936
7.6211
6.0767
4.6209
2.9528
10.4997
6.6087
4.0582
15.0693
7.7371
4.5680
11.2237
4.6523
3.1451
11.6506
6.7682
3.6367
5.6629
3.4330
4.7356
2.1044
5.1645
2.7260
6.3723
4.3608
2.9687
5.9933
3.2338
31.1374
15.9694
7.6872
4.3453
6.1988
5.4330
10.0611
5.4220
2.7299
10.4947
7.8628
5.0101
3.4806
4.1092
3.4858
4.6436
12.2658
9.2912
14.8566
10.4080
6.2921
Fmt 4701
25th
percentile
4
2
4
3
2
2
2
1
2
1
2
2
2
6
2
2
2
1
1
1
1
2
2
1
1
1
3
2
1
3
2
1
2
1
1
2
2
1
1
1
1
1
1
1
2
1
1
1
1
7
4
1
1
1
1
2
1
1
4
3
1
1
1
1
1
2
4
2
3
2
Sfmt 4702
50th
percentile
6
4
7
4
3
4
3
2
3
2
4
3
2
9
3
3
5
1
2
2
2
3
3
2
2
1
4
3
2
6
3
2
4
2
1
5
3
1
3
2
2
1
2
1
3
2
1
2
1
15
7
3
1
3
2
4
2
1
6
5
2
2
1
1
1
5
5
7
6
3
E:\FR\FM\30APP2.SGM
9
6
12
7
5
6
4
3
4
3
7
4
4
13
6
5
9
2
3
3
4
4
6
4
3
2
6
5
3
10
6
4
7
4
2
8
5
3
4
3
3
2
4
2
5
3
2
4
2
26
12
6
1
5
4
7
4
2
8
6
4
3
2
2
2
10
7
12
8
5
30APP2
75th
percentile
14
9
19
10
7
10
7
5
8
4
12
7
5
19
10
7
14
4
5
6
8
6
9
7
5
3
7
8
5
18
9
6
13
6
4
14
8
5
7
4
6
3
6
3
8
5
4
7
4
41
21
10
4
8
7
13
7
3
12
7
6
4
4
4
3
16
11
19
13
8
90th
percentile
20
13
30
16
10
16
9
7
14
7
19
11
7
27
14
10
24
6
8
9
15
10
14
12
8
4
9
13
6
30
16
9
23
8
6
23
13
7
12
6
9
4
11
5
13
8
6
12
6
60
31
16
8
12
11
20
12
5
15
8
10
6
6
5
6
26
17
28
19
11
23873
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 7B.—MEDICARE PROSPECTIVE PAYMENT SYSTEM SELECTED PERCENTILE LENGTHS OF STAY: FY 2007 MEDPAR
UPDATE—DECEMBER 2007 GROUPER V26.0 MS–DRGS—Continued
Number of
discharges
MS–DRG
963
964
965
969
970
974
975
976
977
981
982
983
984
985
986
987
988
989
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
...........................................................
Arithmetic
mean LOS
1,586
2,573
1,072
639
136
5,920
4,674
2,617
4,565
25,478
18,329
6,112
671
903
731
8,240
11,583
5,796
10th
percentile
9.5214
6.2274
4.1371
18.8279
9.8309
10.3723
7.0148
4.9308
5.2931
15.1488
9.7455
5.3613
14.6811
9.6512
5.3338
13.0089
7.8090
4.1046
25th
percentile
2
2
1
4
2
2
2
2
1
5
3
1
5
2
1
4
2
1
50th
percentile
4
3
2
8
3
4
3
2
2
8
5
2
8
5
2
6
3
1
8
5
3
14
7
8
5
4
4
12
8
4
13
8
3
10
6
3
75th
percentile
90th
percentile
13
8
5
22
12
13
9
6
6
19
12
7
18
13
7
16
10
6
19
11
7
36
17
21
13
8
10
28
18
11
25
18
12
24
15
9
11,387,276
TABLE 8A.—PROPOSED STATEWIDE
AVERAGE OPERATING COST-TOCHARGE RATIOS—MARCH 2008
jlentini on PROD1PC65 with PROPOSALS2
State
Urban
Alabama ................
Alaska ...................
Arizona ..................
Arkansas ...............
California ...............
Colorado ...............
Connecticut ...........
Delaware ...............
District of Columbia * ...................
Florida ...................
Georgia .................
Hawaii ...................
Idaho .....................
Illinois ....................
Indiana ..................
Iowa ......................
Kansas ..................
Kentucky ...............
Louisiana ..............
Maine ....................
Maryland ...............
Massachusetts * ....
Michigan ...............
Minnesota .............
Mississippi ............
Missouri ................
Montana ................
Nebraska ..............
Nevada .................
New Hampshire ....
New Jersey * .........
New Mexico ..........
New York ..............
North Carolina ......
North Dakota ........
Ohio ......................
Oklahoma .............
Oregon ..................
Pennsylvania ........
Puerto Rico * .........
Rhode Island * ......
VerDate Aug<31>2005
Rural
0.261
0.401
0.288
0.32
0.225
0.281
0.399
0.495
0.33
0.745
0.418
0.368
0.303
0.437
0.528
0.513
0.345
0.238
0.329
0.382
0.468
0.305
0.39
0.357
0.288
0.37
0.299
0.498
0.726
0.471
0.364
0.391
0.302
0.33
0.422
0.335
0.22
0.457
0.178
0.377
0.346
0.402
0.428
0.338
0.293
0.452
0.267
0.474
0.388
..................
0.281
0.39
0.453
0.534
0.395
0.466
0.444
0.424
0.371
0.353
0.462
0.793
..................
0.462
0.53
0.355
0.399
0.465
0.46
0.478
0.427
..................
0.36
0.522
0.396
0.457
0.522
0.383
0.415
0.413
..................
..................
19:42 Apr 29, 2008
TABLE 8A.—PROPOSED STATEWIDE
AVERAGE OPERATING COST-TOCHARGE RATIOS—MARCH 2008—
Continued
Jkt 214001
State
Urban
South Carolina ......
South Dakota ........
Tennessee ............
Texas ....................
Utah ......................
Vermont ................
Virginia ..................
Washington ...........
West Virginia ........
Wisconsin .............
Wyoming ...............
0.284
0.335
0.297
0.257
0.414
0.543
0.358
0.385
0.471
0.425
0.431
Rural
0.301
0.43
0.371
0.342
0.572
0.619
0.357
0.443
0.462
0.458
0.562
* All counties in the State or Territory are
classified as urban, with the exception of Massachusetts, which has areas designated as
rural. However, no short-term acute care IPPS
hospitals are located in those areas as of
March 2008.
TABLE 8B.—PROPOSED STATEWIDE
AVERAGE
CAPITAL
COST-TOCHARGE RATIOS—MARCH 2008
State
Ratio
Alabama ......................................
Alaska .........................................
Arizona ........................................
Arkansas .....................................
California .....................................
Colorado .....................................
Connecticut .................................
Delaware .....................................
District of Columbia ....................
Florida .........................................
Georgia .......................................
Hawaii .........................................
Idaho ...........................................
Illinois ..........................................
Indiana ........................................
PO 00000
Frm 00347
Fmt 4701
Sfmt 4702
TABLE 8B.—PROPOSED STATEWIDE
AVERAGE
CAPITAL
COST-TOCHARGE RATIOS—MARCH 2008—
Continued
0.024
0.036
0.023
0.025
0.015
0.028
0.028
0.035
0.022
0.022
0.028
0.03
0.038
0.026
0.037
State
Iowa ............................................
Kansas ........................................
Kentucky .....................................
Louisiana ....................................
Maine ..........................................
Maryland .....................................
Massachusetts ............................
Michigan .....................................
Minnesota ...................................
Mississippi ..................................
Missouri ......................................
Montana ......................................
Nebraska ....................................
Nevada .......................................
New Hampshire ..........................
New Jersey .................................
New Mexico ................................
New York ....................................
North Carolina ............................
North Dakota ..............................
Ohio ............................................
Oklahoma ...................................
Oregon ........................................
Pennsylvania ..............................
Puerto Rico .................................
Rhode Island ..............................
South Carolina ............................
South Dakota ..............................
Tennessee ..................................
Texas ..........................................
Utah ............................................
Vermont ......................................
Virginia ........................................
Washington .................................
West Virginia ..............................
Wisconsin ...................................
Wyoming .....................................
E:\FR\FM\30APP2.SGM
30APP2
Ratio
0.028
0.03
0.029
0.026
0.03
0.058
0.031
0.03
0.028
0.027
0.029
0.034
0.039
0.021
0.032
0.013
0.032
0.026
0.032
0.037
0.028
0.026
0.031
0.022
0.042
0.02
0.024
0.032
0.03
0.026
0.032
0.045
0.036
0.03
0.034
0.037
0.044
23874
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 8C.—PROPOSED STATEWIDE
AVERAGE TOTAL COST-TO-CHARGE
RATIOS FOR LTCHS—MARCH 2008
State
Urban
Alabama ................
Alaska ...................
Arizona ..................
Arkansas ...............
California ...............
Colorado ...............
Connecticut ...........
Delaware ...............
District of Columbia * ...................
Florida ...................
Georgia .................
Hawaii ...................
Idaho .....................
Illinois ....................
Indiana ..................
Iowa ......................
Kansas ..................
Kentucky ...............
Louisiana ..............
Maine ....................
Maryland *** ..........
TABLE 8C.—PROPOSED STATEWIDE
AVERAGE TOTAL COST-TO-CHARGE
RATIOS
FOR
LTCHS—MARCH
2008—Continued
Rural
0.279
0.432
0.311
0.343
0.238
0.307
0.426
0.529
0.36
0.806
0.448
0.401
0.322
0.479
0.576
0.551
0.368
0.259
0.355
0.411
0.506
0.33
0.426
0.381
0.314
0.398
0.325
0.529
0.34
..................
0.311
0.424
0.487
0.576
0.427
0.507
0.483
0.463
0.401
0.38
0.49
0.434
State
Urban
Massachusetts ** ..
Michigan ...............
Minnesota .............
Mississippi ............
Missouri ................
Montana ................
Nebraska ..............
Nevada .................
New Hampshire ....
New Jersey ** .......
New Mexico ..........
New York ..............
North Carolina ......
North Dakota ........
Ohio ......................
Oklahoma .............
Oregon ..................
Pennsylvania ........
Puerto Rico ** .......
Rhode Island ** .....
0.502
0.393
0.418
0.328
0.357
0.453
0.371
0.24
0.489
0.19
0.408
0.372
0.434
0.461
0.365
0.318
0.484
0.287
0.514
0.408
TABLE 8C.—PROPOSED STATEWIDE
AVERAGE TOTAL COST-TO-CHARGE
RATIOS
FOR
LTCHS—MARCH
2008—Continued
Rural
State
..................
0.497
0.569
0.384
0.438
0.505
0.505
0.539
0.459
..................
0.394
0.558
0.431
0.505
0.563
0.414
0.444
0.443
..................
..................
South Carolina ......
South Dakota ........
Tennessee ............
Texas ....................
Utah ......................
Vermont ................
Virginia ..................
Washington ...........
West Virginia ........
Wisconsin .............
Wyoming ...............
Urban
Rural
0.308
0.365
0.326
0.282
0.445
0.594
0.393
0.414
0.505
0.462
0.467
0.327
0.466
0.406
0.374
0.622
0.657
0.398
0.473
0.496
0.497
0.616
* All counties in the State or Territory are
classified as urban, with the exception of Massachusetts, which has areas designated as
rural. However, no short-term acute care IPPS
hospitals or LTCHs are located in those areas
as of March 2008.
** National average IPPS total cost-to-charge
ratios, as discussed in section VI.E. of this
proposed rule.
TABLE 9A.—HOSPITAL RECLASSIFICATIONS AND REDESIGNATIONS—FY 2009
Geographic
CBSA
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
010001
010005
010009
010010
010012
010022
010025
010029
010035
010052
010054
010055
010059
010061
010065
010083
010085
010090
010100
010101
010102
010118
010126
010143
010150
010158
010164
020008
030007
030033
030055
030069
030101
040014
040017
040019
040020
040027
040039
040041
040069
040071
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
PO 00000
Frm 00348
Fmt 4701
Sfmt 4702
Reclassified
CBSA
20020
01
19460
01
01
01
01
12220
01
01
19460
20020
19460
01
01
01
19460
33660
01
01
01
01
01
01
01
01
01
02
39140
03
29420
29420
29420
04
04
04
27860
04
04
04
04
38220
E:\FR\FM\30APP2.SGM
30APP2
10500
26620
26620
13820
40660
12060
17980
17980
13820
33860
26620
37460
26620
16860
13820
37860
26620
37700
37860
13820
33860
33860
33860
26620
33860
22520
13820
11260
22380
22380
39140
40140
29820
30780
22220
32820
32820
44180
27860
30780
32820
30780
LUGAR
LUGAR
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23875
TABLE 9A.—HOSPITAL RECLASSIFICATIONS AND REDESIGNATIONS—FY 2009—Continued
Geographic
CBSA
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
040076
040078
040080
040085
040088
040091
040119
050006
050009
050013
050014
050022
050038
050042
050046
050054
050069
050071
050073
050076
050082
050089
050090
050099
050101
050102
050118
050125
050129
050131
050133
050136
050140
050150
050153
050159
050168
050173
050174
050188
050193
050194
050197
050224
050226
050230
050236
050242
050243
050245
050272
050279
050291
050292
050300
050301
050308
050327
050329
050335
050348
050360
050367
050380
050385
050390
050394
050423
050426
050441
050476
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
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................................................................................................................................
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................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
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................................................................................................................................
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................................................................................................................................
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................................................................................................................................
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VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
PO 00000
Frm 00349
Fmt 4701
Sfmt 4702
Reclassified
CBSA
04
26300
04
04
04
04
04
05
34900
34900
05
40140
41940
05
37100
40140
42044
41940
46700
41884
37100
40140
42220
40140
46700
40140
44700
41940
40140
41884
49700
42220
40140
05
41940
37100
42044
42044
42220
41940
42044
42100
41884
42044
42044
42044
37100
42100
40140
40140
40140
40140
42220
40140
40140
05
41940
40140
40140
05
42044
41884
46700
41940
42220
40140
37100
40140
42044
41940
05
E:\FR\FM\30APP2.SGM
30APP2
30780
30780
27860
32820
33740
45500
30780
39820
46700
46700
40900
42044
42100
39820
31084
42044
31084
42100
36084
36084
31084
31084
41884
31084
36084
42044
33700
42100
31084
36084
40900
41884
31084
40900
42100
31084
31084
31084
41884
42100
31084
41940
41940
31084
31084
31084
31084
41940
42044
31084
31084
31084
41884
42044
31084
42220
42100
31084
42044
33700
31084
36084
36084
42100
41884
42044
31084
42044
31084
42100
42220
LUGAR
LUGAR
23876
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 9A.—HOSPITAL RECLASSIFICATIONS AND REDESIGNATIONS—FY 2009—Continued
Geographic
CBSA
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
050494
050510
050517
050526
050534
050541
050543
050547
050548
050549
050551
050567
050570
050573
050580
050586
050589
050603
050604
050609
050616
050662
050667
050678
050680
050684
050686
050688
050690
050693
050694
050701
050709
050720
050744
050745
050746
050747
050749
050758
060003
060012
060023
060027
060031
060049
060075
060096
060103
060116
070001
070003
070004
070005
070006
070010
070011
070015
070016
070017
070018
070019
070022
070028
070031
070033
070034
070036
070038
070039
080001
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
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VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
PO 00000
Frm 00350
Fmt 4701
Sfmt 4702
Reclassified
CBSA
05
41884
40140
42044
40140
41884
42044
42220
42044
37100
42044
42044
42044
40140
42044
40140
42044
42044
41940
42044
37100
41940
34900
42044
46700
40140
40140
41940
42220
42044
40140
40140
40140
42044
42044
42044
42044
42044
37100
40140
14500
39380
24300
14500
17820
06
06
06
14500
14500
35300
07
07
35300
14860
14860
07
07
35300
35300
14860
35300
35300
14860
35300
14860
14860
25540
35300
35300
48864
E:\FR\FM\30APP2.SGM
30APP2
40900
36084
31084
31084
42044
41940
31084
41884
31084
31084
31084
31084
31084
42044
31084
31084
31084
31084
42100
31084
31084
42100
46700
31084
36084
42044
42044
42100
41884
31084
42044
42044
31084
31084
31084
31084
31084
31084
31084
31084
19740
17820
19740
19740
19740
22660
24300
19740
19740
19740
35004
25540
25540
35004
35644
35644
25540
35644
35004
35004
35644
35004
35004
35644
35004
35644
35644
35300
35004
35004
37964
LUGAR
LUGAR
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23877
TABLE 9A.—HOSPITAL RECLASSIFICATIONS AND REDESIGNATIONS—FY 2009—Continued
Geographic
CBSA
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
080003
080004
080006
080007
090001
090004
090011
100002
100014
100017
100022
100023
100024
100045
100047
100049
100068
100072
100077
100080
100081
100105
100109
100130
100139
100150
100156
100157
100160
100168
100176
100217
100232
100234
100236
100249
100252
100253
100258
100268
100269
100275
100287
100288
100292
110001
110002
110016
110023
110029
110038
110040
110041
110054
110069
110075
110095
110112
110121
110122
110125
110128
110146
110150
110153
110168
110187
110189
120028
130002
130003
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10
10
19660
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10
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48424
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10
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10
10
48424
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48424
10
19140
11
11
11
23580
11
11
11
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11
11
11
46660
11
11
11
11
47580
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11
11
12
13
30300
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20100
36140
13644
13644
13644
22744
36740
36740
22744
36740
33124
36740
14600
29460
36740
36740
14600
22744
23020
38940
36740
22744
23540
33124
23540
45300
33124
22744
22744
38940
27260
22744
14600
45300
38940
22744
22744
22744
22744
22744
22744
22744
23020
16860
12060
17980
12060
12060
45220
12060
12060
12060
31420
42340
10500
10500
45220
45220
31420
42340
27260
12060
31420
12060
12060
12060
26180
14260
28420
LUGAR
LUGAR
LUGAR
LUGAR
LUGAR
LUGAR
23878
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 9A.—HOSPITAL RECLASSIFICATIONS AND REDESIGNATIONS—FY 2009—Continued
Geographic
CBSA
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
130049
130067
140012
140015
140032
140034
140040
140043
140046
140058
140064
140084
140100
140110
140130
140135
140143
140155
140160
140164
140186
140202
140291
150002
150004
150006
150008
150011
150015
150018
150023
150026
150030
150034
150042
150045
150048
150051
150065
150069
150076
150088
150090
150091
150102
150112
150113
150115
150125
150126
150133
150146
150147
160001
160016
160057
160064
160080
160089
160147
170006
170012
170013
170020
170023
170068
170120
170142
170175
170190
170193
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14
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29404
29404
14
29404
19500
14
28100
14
14
28100
29404
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23844
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33140
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15
33140
21140
45460
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15
23844
15
15
15
14020
15
15
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11300
23844
15
15
18020
11300
15
23844
23844
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15
23844
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16
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16
16
16
17
17
17
17
17
17
17
17
17
17
17
E:\FR\FM\30APP2.SGM
30APP2
44060
26820
16974
41180
41180
41180
37900
19340
41180
41180
37900
16974
16974
16974
16974
16580
16974
16974
40420
41180
16974
16974
16974
16974
16974
43780
16974
26900
23844
43780
26900
43780
26900
16974
14020
23060
17140
26900
26900
17140
43780
26900
16974
23060
23844
26900
26900
21780
16974
16974
43780
21140
16974
11180
11180
26980
47940
19340
26980
11180
27900
48620
48620
48620
48620
11100
27900
45820
48620
45820
48620
LUGAR
LUGAR
LUGAR
LUGAR
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23879
TABLE 9A.—HOSPITAL RECLASSIFICATIONS AND REDESIGNATIONS—FY 2009—Continued
Geographic
CBSA
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
180002
180005
180011
180012
180013
180017
180024
180027
180029
180043
180044
180048
180049
180050
180066
180069
180078
180080
180093
180102
180104
180116
180124
180127
180132
190003
190015
190017
190086
190088
190106
190144
190164
190167
190184
190191
190208
190218
190257
200020
200024
200034
200039
200050
220001
220002
220008
220010
220011
220019
220020
220025
220029
220033
220035
220049
220058
220062
220063
220070
220073
220074
220077
220080
220082
220084
220090
220095
220098
220101
220105
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18
18
18
18
18
18
18
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18
14540
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19
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19
19
19
19
19
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19
38860
30340
30340
20
20
49340
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39300
37764
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49340
39300
49340
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37764
37764
15764
49340
49340
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39300
44140
37764
15764
15764
49340
49340
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15764
15764
E:\FR\FM\30APP2.SGM
30APP2
49
26580
30460
31140
34980
21060
31140
17300
30460
44
26580
31140
30460
28700
34980
26580
26580
28940
21780
17300
17300
14
34980
31140
30460
29180
35380
29180
33740
43340
10780
43340
10780
29180
33740
29180
04
43340
33740
40484
38860
38860
38860
12620
14484
14484
14484
14484
14484
14484
14484
14484
14484
14484
14484
14484
14484
14484
14484
14484
14484
14484
25540
14484
14484
14484
14484
14484
14484
14484
14484
LUGAR
23880
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 9A.—HOSPITAL RECLASSIFICATIONS AND REDESIGNATIONS—FY 2009—Continued
Geographic
CBSA
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
220163
220171
220174
220175
220176
230002
230003
230013
230019
230020
230021
230022
230024
230029
230030
230035
230036
230037
230038
230047
230053
230054
230059
230069
230071
230072
230077
230080
230089
230092
230095
230096
230097
230099
230104
23B104
230105
230106
230119
230121
230130
230135
230142
230146
230151
230165
230174
230176
230195
230204
230207
230208
230222
230223
230227
230236
230244
230254
230257
230264
230269
230270
230273
230277
230279
230301
240030
240036
240064
240069
240071
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19804
35660
23
19804
47644
23
23
23
23
24340
47644
19804
23
24340
47644
47644
26100
40980
23
19804
27100
23
23
23
33780
19804
47644
23
24340
19804
23
47644
19804
19804
19804
47644
19804
26100
19804
47644
47644
47644
23
23
47644
47644
24340
19804
47644
47644
47644
47644
19804
19804
47644
47644
47644
24
41060
24
24
24
E:\FR\FM\30APP2.SGM
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14484
14484
14484
14484
14484
11460
34740
19804
19804
11460
28020
29620
11460
19804
40980
24340
13020
11460
34740
19804
11460
24580
34740
22420
19804
34740
22420
13020
11460
11460
13020
28020
24340
11460
11460
19804
13020
34740
11460
29620
19804
11460
11460
11460
19804
11460
34740
11460
19804
19804
19804
24340
13020
19804
19804
34740
11460
19804
19804
19804
19804
11460
11460
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22420
19804
41060
33460
20260
33460
33460
LUGAR
LUGAR
LUGAR
LUGAR
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23881
TABLE 9A.—HOSPITAL RECLASSIFICATIONS AND REDESIGNATIONS—FY 2009—Continued
Geographic
CBSA
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
240075
240088
240093
240187
250002
250004
250006
250009
250023
250031
250034
250040
250042
250044
250069
250078
250081
250082
250094
250097
250099
250100
250104
250117
260009
260015
260017
260022
260025
260050
260064
260074
260094
260110
260113
260116
260119
260175
260183
260186
270003
270014
270017
270051
280009
280023
280032
280061
280065
280125
290002
290006
290008
290019
300001
300011
300012
300017
300019
300020
300023
300029
300034
310002
310009
310014
310015
310017
310018
310021
310022
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25
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25
25
25
37700
25
25
25
25620
25
25
25620
25
25
25
25
25
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26
26
26
26
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26
26
26
26
26
26
26
26
26
26
27
33540
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27
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28
28
28
28
28
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29
29
16180
30
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40484
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31700
40484
40484
31700
35084
35084
15804
35084
35084
35084
45940
15804
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41060
41060
33460
33460
22520
32820
32820
27180
25060
27140
32820
25060
32820
22520
46220
25060
46220
38220
25060
12940
27140
46220
46220
25060
28140
27860
27620
16
41180
41140
17860
17860
44180
44180
14
14
27860
28140
41180
44180
24500
17660
33540
33540
30700
30700
30700
53
24540
43580
16180
39900
14260
39900
31700
49340
49340
37764
15764
49340
37764
37764
49340
35644
35644
37964
35644
35644
35644
35084
37964
LUGAR
LUGAR
LUGAR
LUGAR
23882
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 9A.—HOSPITAL RECLASSIFICATIONS AND REDESIGNATIONS—FY 2009—Continued
Geographic
CBSA
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
310029
310031
310032
310038
310039
310048
310050
310054
310070
310076
310081
310083
310086
310093
310096
310108
310119
320003
320005
320006
320013
320033
320063
320065
330004
330008
330023
330027
330049
330067
330073
330085
330090
330094
330103
330106
330126
330136
330157
330167
330181
330182
330191
330198
330224
330225
330229
330235
330239
330250
330259
330277
330331
330332
330372
330386
340004
340008
340010
340013
340014
340015
340021
340023
340027
340039
340047
340050
340051
340068
340069
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35084
20764
35084
15804
35084
15804
35084
35084
20764
35084
32
22140
32
32
32
32
32
28740
33
39100
35004
39100
39100
33
33
21300
33
33
35004
39100
33
33
35004
35004
35004
24020
35004
28740
35004
33
33
33
33
35004
33
35004
35004
35004
33
24660
34
24140
34
49180
34
34
11700
34
34
49180
34
34
34
39580
E:\FR\FM\30APP2.SGM
30APP2
37964
20764
48864
35644
35644
35084
35644
35644
35644
35644
37964
35644
37964
35644
35644
35644
35644
42140
10740
10740
42140
42140
36220
36220
39100
15380
35644
35644
14860
14860
40380
45060
27060
38340
39
35644
35644
45060
45060
35644
35644
35644
10580
35644
39100
35644
21500
45060
21500
15540
35644
27060
35644
35644
35644
35084
49180
22180
39580
24860
24660
16740
16740
24860
24780
16740
24660
22180
25860
34820
20500
LUGAR
LUGAR
LUGAR
LUGAR
LUGAR
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23883
TABLE 9A.—HOSPITAL RECLASSIFICATIONS AND REDESIGNATIONS—FY 2009—Continued
Geographic
CBSA
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
340070
340071
340073
340091
340109
340114
340115
340126
340127
340129
340131
340138
340144
340145
340147
340148
340173
350003
350006
350009
360008
360010
360011
360013
360014
360019
360020
360025
360027
360036
360039
360054
360065
360078
360086
360095
360096
360107
360121
360150
360159
360175
360185
360187
360197
360211
360245
360253
370004
370006
370014
370015
370016
370018
370025
370026
370030
370047
370049
370113
370149
380001
380022
380027
380050
380051
380090
390006
390013
390016
390031
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
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................................................................................................................................
................................................................................................................................
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................................................................................................................................
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................................................................................................................................
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................................................................................................................................
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................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
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................................................................................................................................
................................................................................................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
PO 00000
Frm 00357
Fmt 4701
Sfmt 4702
Reclassified
CBSA
15500
34
39580
24660
34
39580
34
34
34
34
34
39580
34
34
40580
49180
39580
35
35
35
36
36
36
36
36
10420
10420
41780
10420
36
36
36
36
10420
44220
36
36
36
36
10420
36
36
36
44220
36
48260
36
19380
37
37
37
37
37
37
37
37
37
37
37
37
37
38
38
38
38
41420
38
39
39
39
39
E:\FR\FM\30APP2.SGM
30APP2
24660
39580
20500
49180
47260
20500
20500
39580
20500
16740
24780
20500
16740
16740
39580
24660
20500
13900
13900
22020
26580
10420
18140
30620
18140
17460
17460
45780
17460
17460
18140
26580
17460
17460
19380
45780
49660
45780
45780
17460
18140
18140
49660
19380
18140
38300
17460
17140
27900
48620
43300
46140
36420
46140
46140
36420
46140
36420
36420
22220
36420
38900
18700
21660
32780
38900
21660
25420
25420
49660
39740
LUGAR
LUGAR
LUGAR
LUGAR
LUGAR
LUGAR
LUGAR
LUGAR
LUGAR
23884
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 9A.—HOSPITAL RECLASSIFICATIONS AND REDESIGNATIONS—FY 2009—Continued
Geographic
CBSA
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
390044
390046
390048
390065
390066
390071
390079
390086
390091
390093
390096
390110
390113
390138
390150
390151
390162
390163
390185
390313
410001
410004
410005
410007
410010
410011
410012
410013
420007
420009
420020
420027
420030
420036
420039
420062
420067
420068
420069
420070
420071
420080
420083
420085
420098
430012
430013
430014
430077
440002
440008
440020
440024
440025
440035
440056
440059
440060
440067
440068
440072
440073
440144
440148
440151
440185
440192
450007
450039
450064
450080
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
PO 00000
Frm 00358
Fmt 4701
Sfmt 4702
Reclassified
CBSA
39740
49620
39
39
30140
39
39
39
39
39
39740
27780
39
39
39
39
10900
38300
42540
39
39300
39300
39300
39300
39300
39300
39300
39300
43900
42
42
11340
42
42
42
42
42
42
42
44940
42
42
43900
34820
42
43
43
43
39660
27180
44
44
17420
44
17300
34100
44
44
34100
44
44
44
44
44
44
17420
44
45
23104
23104
45
E:\FR\FM\30APP2.SGM
30APP2
37964
29540
25420
13644
25420
48700
13780
27780
49660
49660
37964
38300
49660
25420
38300
13644
35084
49660
10900
39740
14484
14484
14484
14484
14484
14484
14484
35980
24860
24860
16700
24860
16700
16740
43900
16740
42340
16700
44940
17900
24860
42340
24860
48900
34820
43620
43620
22020
16220
32820
27180
26620
16860
34
34980
28940
34980
27180
28700
16860
32820
34980
34980
34980
34980
16860
34980
41700
19124
19124
30980
LUGAR
LUGAR
LUGAR
LUGAR
LUGAR
LUGAR
LUGAR
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
23885
TABLE 9A.—HOSPITAL RECLASSIFICATIONS AND REDESIGNATIONS—FY 2009—Continued
Geographic
CBSA
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
450087
450099
450133
450135
450137
450148
450178
450187
450196
450211
450214
450224
450283
450324
450347
450351
450389
450393
450395
450419
450447
450465
450469
450484
450508
450547
450563
450565
450596
450639
450656
450672
450675
450677
450747
450770
450779
450813
450830
450872
450880
450886
460004
460005
460007
460021
460026
460039
460041
460042
470001
470012
490004
490005
490013
490018
490019
490040
490042
490043
490048
490063
490079
490097
490101
490107
490122
500002
500003
500007
500016
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
VerDate Aug<31>2005
19:42 Apr 29, 2008
Jkt 214001
PO 00000
Frm 00359
Fmt 4701
Sfmt 4702
Reclassified
CBSA
23104
45
33260
23104
23104
23104
45
45
45
45
45
45
45
43300
45
45
45
43300
45
23104
45
45
43300
45
45
45
23104
45
45
23104
45
23104
23104
23104
45
45
23104
45
45
23104
23104
23104
36260
36260
46
41100
46
46
36260
36260
47
47
25500
49020
49
49
49
47894
13980
47894
40220
47894
49
49
47894
47894
47894
50
34580
34580
48300
E:\FR\FM\30APP2.SGM
30APP2
19124
11100
36220
19124
19124
19124
36220
26420
19124
30980
26420
46340
19124
19124
26420
23104
19124
19124
26420
19124
19124
26420
19124
30980
30980
19124
19124
23104
23104
19124
30980
19124
19124
19124
46340
12420
19124
41700
36220
19124
19124
19124
41620
41620
41100
29820
39340
30860
41620
41620
30
38340
16820
47894
20500
16820
47894
13644
40220
13644
31340
13644
24660
40060
13644
13644
13644
28420
42644
42644
42644
LUGAR
LUGAR
LUGAR
LUGAR
23886
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 9A.—HOSPITAL RECLASSIFICATIONS AND REDESIGNATIONS—FY 2009—Continued
Geographic
CBSA
Provider No.
500021
500031
500039
500041
500072
500079
500108
500129
510001
510002
510006
510018
510024
510046
510047
510050
510062
510070
510071
510077
520002
520013
520021
520028
520037
520059
520071
520076
520096
520102
520107
520113
520116
520189
530014
530015
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
................................................................................................................................
45104
50
14740
31020
50
45104
45104
45104
34060
51
51
51
34060
51
51
48540
51
51
51
51
52
20740
29404
52
52
39540
52
52
39540
52
52
52
52
29404
16940
53
TABLE 9C.—HOSPITALS REDESIGNATED AS RURAL UNDER SECTION
1886(D)(8)(E) OF THE ACT—FY
TABLE 9C.—HOSPITALS REDESIGNATED AS RURAL UNDER SECTION
1886(D)(8)(E) OF THE ACT—FY
2009
2009—Continued
jlentini on PROD1PC65 with PROPOSALS2
Provider No.
050192
050528
050618
100048
100118
100134
140167
170137
220051
230078
250017
260006
260047
260195
330268
360125
370054
380040
390130
390183
440135
450052
450078
450243
..........
..........
..........
..........
..........
..........
..........
..........
..........
..........
..........
..........
..........
..........
..........
..........
..........
..........
..........
..........
..........
..........
..........
..........
VerDate Aug<31>2005
Geographic
CBSA
Redesignated
rural area
23420
32900
40140
37860
37380
27260
14
29940
38340
35660
25
41140
27620
44180
10580
36
36420
13460
27780
39
34980
45
10180
10180
19:42 Apr 29, 2008
05
05
05
10
10
10
14
17
22
23
25
26
26
26
33
36
37
38
39
39
44
45
45
45
Jkt 214001
Geographic
CBSA
Provider No.
450348 ..........
490116 ..........
500148 ..........
45
13980
48300
Redesignated
rural area
45
49
50
TABLE 10.—GEOMETRIC MEAN PLUS
THE LESSER OF .75 OF THE NATIONAL
ADJUSTED
OPERATING
STANDARDIZED PAYMENT AMOUNT
(INCREASED TO REFLECT THE DIFFERENCE BETWEEN COSTS AND
CHARGES) OR .75 OF ONE STANDARD DEVIATION OF MEAN CHARGES
BY MEDICARE SEVERITY DIAGNOSISRELATED GROUP (MS–DRG)—
MARCH 2008 1
Number of
cases
MS–DRG
1 ........................
2 ........................
PO 00000
Frm 00360
Fmt 4701
655
287
Sfmt 4702
Reclassified
CBSA
Threshold
$345,754
202,892
42644
36500
42644
38900
14740
42644
42644
42644
38300
40220
34060
16620
38300
13980
38300
38300
16620
16620
13980
26580
48140
33460
16974
31540
48140
33340
33340
31540
33340
33340
22540
24580
33340
16974
24540
26820
LUGAR
LUGAR
LUGAR
LUGAR
LUGAR
LUGAR
TABLE 10.—GEOMETRIC MEAN PLUS
THE LESSER OF .75 OF THE NATIONAL
ADJUSTED
OPERATING
STANDARDIZED PAYMENT AMOUNT
(INCREASED TO REFLECT THE DIFFERENCE BETWEEN COSTS AND
CHARGES) OR .75 OF ONE STANDARD DEVIATION OF MEAN CHARGES
BY MEDICARE SEVERITY DIAGNOSISRELATED GROUP (MS–DRG)—
MARCH 2008 1—Continued
MS–DRG
3 ........................
4 ........................
5 ........................
6 ........................
7 ........................
8 ........................
9 ........................
10 ......................
11 ......................
12 ......................
13 ......................
20 ......................
21 ......................
22 ......................
23 ......................
24 ......................
E:\FR\FM\30APP2.SGM
30APP2
Number of
cases
23,338
21,431
634
228
356
482
1,345
163
1,266
1,909
1,274
887
532
212
3,741
2,103
Threshold
258,756
156,815
172,190
95,919
167,452
96,343
104,341
77,500
77,654
55,617
39,624
149,490
115,973
81,500
88,473
62,851
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 10.—GEOMETRIC MEAN PLUS
THE LESSER OF .75 OF THE NATIONAL
ADJUSTED
OPERATING
STANDARDIZED PAYMENT AMOUNT
(INCREASED TO REFLECT THE DIFFERENCE BETWEEN COSTS AND
CHARGES) OR .75 OF ONE STANDARD DEVIATION OF MEAN CHARGES
BY MEDICARE SEVERITY DIAGNOSISRELATED GROUP (MS–DRG)—
MARCH 2008 1—Continued
Number of
cases
jlentini on PROD1PC65 with PROPOSALS2
MS–DRG
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
52
53
54
55
56
57
58
59
60
61
62
63
64
65
66
67
68
69
70
71
72
73
74
75
76
77
78
79
80
81
82
83
84
85
86
87
88
89
90
91
92
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
......................
VerDate Aug<31>2005
8,713
11,796
13,711
1,670
3,085
3,425
1,024
2,785
3,621
764
2,238
6,915
4,842
14,152
51,945
4,769
7,588
4,869
1,167
593
5,257
16,334
8,269
47,422
742
2,761
4,080
1,591
2,466
1,327
55,842
105,150
89,467
1,406
11,458
102,005
7,347
9,531
5,746
9,230
31,583
1,240
874
1,214
1,405
931
1,870
7,158
1,764
2,056
2,784
5,896
11,488
13,005
712
2,740
3,094
7,628
16,286
19:42 Apr 29, 2008
TABLE 10.—GEOMETRIC MEAN PLUS
THE LESSER OF .75 OF THE NATIONAL
ADJUSTED
OPERATING
STANDARDIZED PAYMENT AMOUNT
(INCREASED TO REFLECT THE DIFFERENCE BETWEEN COSTS AND
CHARGES) OR .75 OF ONE STANDARD DEVIATION OF MEAN CHARGES
BY MEDICARE SEVERITY DIAGNOSISRELATED GROUP (MS–DRG)—
MARCH 2008 1—Continued
Threshold
82,504
56,523
44,491
80,242
50,231
32,616
67,618
38,809
31,322
60,605
44,518
38,592
55,045
35,529
25,865
62,151
41,971
36,094
32,407
22,313
31,973
26,860
29,873
19,707
29,625
22,941
17,346
55,734
44,297
38,685
35,590
28,434
21,616
31,006
23,218
18,938
34,967
27,718
20,092
28,411
21,471
35,756
23,183
34,334
25,703
19,435
26,205
17,937
36,630
30,149
22,390
37,019
27,925
19,836
31,870
23,572
17,953
30,627
22,388
Jkt 214001
Number of
cases
MS–DRG
93 ......................
94 ......................
95 ......................
96 ......................
97 ......................
98 ......................
99 ......................
100 ....................
101 ....................
102 ....................
103 ....................
113 ....................
114 ....................
115 ....................
116 ....................
117 ....................
121 ....................
122 ....................
123 ....................
124 ....................
125 ....................
129 ....................
130 ....................
131 ....................
132 ....................
133 ....................
134 ....................
135 ....................
136 ....................
137 ....................
138 ....................
139 ....................
146 ....................
147 ....................
148 ....................
149 ....................
150 ....................
151 ....................
152 ....................
153 ....................
154 ....................
155 ....................
156 ....................
157 ....................
158 ....................
159 ....................
163 ....................
164 ....................
165 ....................
166 ....................
167 ....................
168 ....................
175 ....................
176 ....................
177 ....................
178 ....................
179 ....................
180 ....................
181 ....................
PO 00000
Frm 00361
Fmt 4701
16,162
1,476
1,034
761
1,195
1,007
642
17,058
57,248
1,086
13,854
527
562
1,060
566
1,140
549
623
2,789
753
4,693
1,359
1,074
933
889
1,988
3,379
353
474
775
891
1,498
680
1,369
860
38,942
955
6,839
1,735
11,517
1,906
4,498
4,851
1,048
3,229
2,376
13,622
17,895
13,816
20,575
20,538
5,478
12,686
41,375
63,876
71,036
26,205
22,369
30,299
Sfmt 4702
Threshold
17,182
57,294
44,072
37,723
56,725
38,018
30,539
30,273
19,211
24,512
16,849
33,475
20,755
26,332
26,098
16,472
22,487
14,246
18,857
25,197
16,936
40,771
29,912
39,603
28,315
32,709
21,267
36,814
24,169
29,030
18,731
20,992
36,795
27,392
20,935
16,006
25,517
13,767
21,825
15,282
28,847
21,959
16,219
29,382
21,572
15,149
83,366
50,966
40,520
60,767
42,190
32,296
34,823
26,341
38,177
31,805
25,015
34,979
28,647
23887
TABLE 10.—GEOMETRIC MEAN PLUS
THE LESSER OF .75 OF THE NATIONAL
ADJUSTED
OPERATING
STANDARDIZED PAYMENT AMOUNT
(INCREASED TO REFLECT THE DIFFERENCE BETWEEN COSTS AND
CHARGES) OR .75 OF ONE STANDARD DEVIATION OF MEAN CHARGES
BY MEDICARE SEVERITY DIAGNOSISRELATED GROUP (MS–DRG)—
MARCH 2008 1—Continued
MS–DRG
182
183
184
185
186
187
188
189
190
191
192
193
194
195
196
197
198
199
200
201
202
203
204
205
206
207
208
215
216
217
218
219
220
221
222
223
224
225
226
227
228
229
230
231
232
233
234
235
236
237
238
239
240
241
242
243
244
245
246
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
E:\FR\FM\30APP2.SGM
30APP2
Number of
cases
5,485
1,858
4,329
2,521
9,254
10,047
5,031
113,197
58,935
118,443
185,468
87,659
254,760
134,022
5,396
6,822
4,650
3,215
8,396
3,475
29,397
37,161
25,777
5,872
21,625
39,614
76,655
143
8,640
7,240
2,557
10,538
13,938
7,039
2,772
5,081
1,912
5,074
7,067
42,758
2,975
3,599
1,568
1,445
1,516
16,267
34,348
9,634
30,093
22,441
42,307
13,331
11,688
2,679
17,530
36,091
62,665
3,943
28,838
Threshold
22,812
32,624
23,386
16,595
33,122
27,117
20,564
30,640
28,961
24,100
18,078
30,876
24,785
18,110
32,914
27,198
20,752
34,978
25,022
17,803
20,216
14,886
17,542
27,528
18,717
87,097
43,557
173,781
168,323
124,423
104,181
136,802
99,436
87,477
156,334
119,825
145,014
113,498
118,743
93,475
132,326
95,382
80,590
149,264
114,499
125,690
93,360
99,860
73,812
88,481
57,831
62,725
43,263
32,205
66,838
52,897
44,466
73,686
67,069
23888
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 10.—GEOMETRIC MEAN PLUS
THE LESSER OF .75 OF THE NATIONAL
ADJUSTED
OPERATING
STANDARDIZED PAYMENT AMOUNT
(INCREASED TO REFLECT THE DIFFERENCE BETWEEN COSTS AND
CHARGES) OR .75 OF ONE STANDARD DEVIATION OF MEAN CHARGES
BY MEDICARE SEVERITY DIAGNOSISRELATED GROUP (MS–DRG)—
MARCH 2008 1—Continued
Number of
cases
jlentini on PROD1PC65 with PROPOSALS2
MS–DRG
247
248
249
250
251
252
253
254
255
256
257
258
259
260
261
262
263
264
265
280
281
282
283
284
285
286
287
288
289
290
291
292
293
294
295
296
297
298
299
300
301
302
303
304
305
306
307
308
309
310
311
312
313
314
315
316
326
327
328
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
VerDate Aug<31>2005
188,816
13,859
70,027
6,790
41,777
45,667
44,988
53,543
2,525
3,453
707
688
7,314
1,553
3,525
3,531
656
28,327
1,959
63,744
53,825
54,438
14,927
4,145
2,811
23,714
158,325
2,964
1,357
480
188,057
205,085
197,247
1,417
1,346
1,917
793
603
17,830
44,700
37,174
7,607
70,815
2,098
35,311
1,521
6,371
35,795
79,510
158,993
21,229
166,359
212,358
61,733
30,052
18,076
11,247
10,467
8,878
19:42 Apr 29, 2008
TABLE 10.—GEOMETRIC MEAN PLUS
THE LESSER OF .75 OF THE NATIONAL
ADJUSTED
OPERATING
STANDARDIZED PAYMENT AMOUNT
(INCREASED TO REFLECT THE DIFFERENCE BETWEEN COSTS AND
CHARGES) OR .75 OF ONE STANDARD DEVIATION OF MEAN CHARGES
BY MEDICARE SEVERITY DIAGNOSISRELATED GROUP (MS–DRG)—
MARCH 2008 1—Continued
Threshold
48,746
60,786
44,038
59,714
41,857
51,697
46,446
37,335
40,724
31,694
23,510
53,299
38,081
56,280
31,484
25,624
30,621
41,945
42,694
37,477
29,595
22,672
32,787
24,166
16,215
42,608
29,592
50,314
37,277
31,429
30,477
23,997
17,506
22,037
14,125
28,779
17,798
12,266
29,028
21,461
15,572
24,792
14,928
25,698
15,266
29,058
18,574
28,398
20,681
14,833
13,279
18,189
14,841
32,156
24,173
16,573
90,510
52,332
34,042
Jkt 214001
Number of
cases
MS–DRG
329
330
331
332
333
334
335
336
337
338
339
340
341
342
343
344
345
346
347
348
349
350
351
352
353
354
355
356
357
358
368
369
370
371
372
373
374
375
376
377
378
379
380
381
382
383
384
385
386
387
388
389
390
391
392
393
394
395
405
PO 00000
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
Frm 00362
Fmt 4701
48,192
63,720
28,246
1,828
5,926
3,736
7,186
12,464
8,586
1,501
3,167
3,566
882
2,548
6,990
933
2,919
2,766
1,628
4,174
5,178
1,760
4,293
8,211
3,172
8,433
15,386
8,357
7,827
2,484
3,570
5,250
3,562
24,424
27,117
15,293
9,082
19,032
4,321
51,664
110,502
92,325
3,027
5,304
4,499
1,227
8,101
1,998
7,139
5,041
18,589
45,899
46,538
44,419
282,973
23,327
45,966
24,872
3,972
Sfmt 4702
Threshold
83,718
49,785
37,251
76,442
48,536
36,301
70,724
45,785
34,468
60,013
42,250
31,529
45,033
33,808
24,135
54,766
36,119
28,030
40,240
30,100
19,260
42,667
30,824
20,507
47,221
33,349
23,911
61,777
42,844
32,598
34,021
26,848
20,098
34,233
28,743
20,505
35,802
28,329
22,907
32,372
24,239
18,668
35,357
27,876
21,070
29,549
21,207
34,976
26,903
20,238
31,113
23,260
16,397
26,016
17,753
30,889
23,957
17,482
86,374
TABLE 10.—GEOMETRIC MEAN PLUS
THE LESSER OF .75 OF THE NATIONAL
ADJUSTED
OPERATING
STANDARDIZED PAYMENT AMOUNT
(INCREASED TO REFLECT THE DIFFERENCE BETWEEN COSTS AND
CHARGES) OR .75 OF ONE STANDARD DEVIATION OF MEAN CHARGES
BY MEDICARE SEVERITY DIAGNOSISRELATED GROUP (MS–DRG)—
MARCH 2008 1—Continued
MS–DRG
406
407
408
409
410
411
412
413
414
415
416
417
418
419
420
421
422
423
424
425
432
433
434
435
436
437
438
439
440
441
442
443
444
445
446
453
454
455
456
457
458
459
460
461
462
463
464
465
466
467
468
469
470
471
472
473
474
475
476
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
E:\FR\FM\30APP2.SGM
30APP2
Number of
cases
5,304
2,120
1,549
1,737
601
957
961
760
5,248
6,133
5,338
16,454
27,098
35,942
768
1,057
331
1,545
897
126
15,201
9,723
898
12,164
13,203
3,911
14,096
24,418
25,766
13,382
14,214
6,593
12,947
16,870
16,037
950
1,778
1,988
947
2,416
1,617
3,516
52,310
1,018
13,179
5,060
5,853
2,416
4,073
14,326
21,140
30,544
405,849
2,288
7,009
23,109
2,925
3,287
1,595
Threshold
52,360
39,348
71,677
50,663
36,877
69,221
51,066
39,922
62,853
43,331
32,604
49,649
39,258
29,790
66,342
39,447
31,257
71,874
47,509
32,981
33,045
23,926
17,085
34,878
28,443
25,366
33,587
26,852
18,781
31,516
24,098
17,782
33,108
27,464
19,832
165,424
121,032
93,297
144,023
98,535
82,249
97,638
66,514
82,048
63,047
60,604
43,476
31,714
74,467
57,869
49,618
59,370
44,493
77,861
52,304
42,971
51,927
37,186
25,620
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 10.—GEOMETRIC MEAN PLUS
THE LESSER OF .75 OF THE NATIONAL
ADJUSTED
OPERATING
STANDARDIZED PAYMENT AMOUNT
(INCREASED TO REFLECT THE DIFFERENCE BETWEEN COSTS AND
CHARGES) OR .75 OF ONE STANDARD DEVIATION OF MEAN CHARGES
BY MEDICARE SEVERITY DIAGNOSISRELATED GROUP (MS–DRG)—
MARCH 2008 1—Continued
Number of
cases
jlentini on PROD1PC65 with PROPOSALS2
MS–DRG
477
478
479
480
481
482
483
484
485
486
487
488
489
490
491
492
493
494
495
496
497
498
499
500
501
502
503
504
505
506
507
508
509
510
511
512
513
514
515
516
517
533
534
535
536
537
538
539
540
541
542
543
544
545
546
547
548
549
550
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
VerDate Aug<31>2005
2,589
8,575
11,457
26,755
72,188
48,187
7,107
17,896
1,183
2,189
1,312
2,501
5,791
23,080
52,938
5,221
16,933
29,231
1,974
5,569
6,672
1,167
1,113
1,503
3,878
6,482
833
2,172
3,036
815
838
2,506
627
974
3,932
11,002
1,053
1,014
3,820
11,287
17,603
825
3,414
7,007
33,727
667
1,059
3,448
4,046
1,658
5,723
17,041
10,817
4,093
5,587
4,571
585
1,120
865
19:42 Apr 29, 2008
TABLE 10.—GEOMETRIC MEAN PLUS
THE LESSER OF .75 OF THE NATIONAL
ADJUSTED
OPERATING
STANDARDIZED PAYMENT AMOUNT
(INCREASED TO REFLECT THE DIFFERENCE BETWEEN COSTS AND
CHARGES) OR .75 OF ONE STANDARD DEVIATION OF MEAN CHARGES
BY MEDICARE SEVERITY DIAGNOSISRELATED GROUP (MS–DRG)—
MARCH 2008 1—Continued
Threshold
58,272
45,067
35,879
53,624
40,303
34,632
47,684
40,860
60,074
44,942
36,049
35,530
27,889
37,310
23,744
51,439
38,816
29,960
52,628
37,148
28,169
38,115
22,378
47,316
32,847
23,489
42,531
32,702
24,287
25,704
37,099
27,713
28,236
40,828
32,904
23,803
30,121
20,124
54,024
39,608
32,537
27,647
16,259
27,756
15,479
21,443
13,756
35,081
28,706
21,628
34,804
26,766
18,081
36,357
26,110
17,948
33,933
26,761
18,763
Jkt 214001
Number of
cases
MS–DRG
551
552
553
554
555
556
557
558
559
560
561
562
563
564
565
566
573
574
575
576
577
578
579
580
581
582
583
584
585
592
593
594
595
596
597
598
599
600
601
602
603
604
605
606
607
614
615
616
617
618
619
620
621
622
623
624
625
626
627
PO 00000
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
Frm 00363
Fmt 4701
10,077
85,429
3,084
19,284
2,025
18,715
3,658
15,153
1,816
4,334
7,125
5,476
36,406
1,667
3,334
2,646
5,490
11,156
5,477
549
2,233
3,065
3,521
10,746
12,188
5,347
8,780
670
1,499
4,197
12,368
2,786
1,119
5,334
465
1,413
321
686
893
22,195
130,827
2,679
22,207
1,358
7,223
1,460
1,550
1,091
6,743
262
696
2,183
7,840
1,113
3,081
387
1,276
2,544
14,040
Sfmt 4702
Threshold
30,882
18,705
25,449
15,035
23,819
14,407
29,996
19,455
30,350
21,234
13,644
28,172
15,527
28,585
21,320
16,029
45,601
34,288
25,545
51,383
32,911
24,256
45,095
31,153
22,362
24,362
19,177
31,432
20,658
31,149
23,904
17,143
31,375
19,449
30,971
25,450
18,124
22,523
15,565
28,410
18,332
26,853
16,438
25,667
15,152
47,701
34,632
65,719
38,652
29,334
56,060
41,545
34,898
43,197
34,355
24,651
41,939
28,873
19,271
23889
TABLE 10.—GEOMETRIC MEAN PLUS
THE LESSER OF .75 OF THE NATIONAL
ADJUSTED
OPERATING
STANDARDIZED PAYMENT AMOUNT
(INCREASED TO REFLECT THE DIFFERENCE BETWEEN COSTS AND
CHARGES) OR .75 OF ONE STANDARD DEVIATION OF MEAN CHARGES
BY MEDICARE SEVERITY DIAGNOSISRELATED GROUP (MS–DRG)—
MARCH 2008 1—Continued
MS–DRG
628
629
630
637
638
639
640
641
642
643
644
645
652
653
654
655
656
657
658
659
660
661
662
663
664
665
666
667
668
669
670
671
672
673
674
675
682
683
684
685
686
687
688
689
690
691
692
693
694
695
696
697
698
699
700
707
708
709
710
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
E:\FR\FM\30APP2.SGM
30APP2
Number of
cases
3,371
4,183
539
17,173
42,846
38,599
61,027
202,068
1,522
5,194
11,834
8,221
10,083
1,697
3,458
1,633
3,922
7,428
8,291
4,668
7,609
4,273
952
2,064
4,406
656
2,094
3,632
3,838
12,767
11,721
809
945
12,591
11,735
7,841
82,356
132,588
45,085
2,328
1,603
3,266
1,084
56,256
198,999
819
492
2,431
18,046
981
10,563
594
23,391
24,279
12,340
5,984
18,084
765
1,845
Threshold
53,828
42,434
33,189
28,050
19,293
13,546
25,018
16,467
23,787
31,972
25,437
17,977
61,353
89,458
56,337
42,874
58,696
41,203
33,644
53,703
38,883
31,713
45,713
31,902
24,778
47,408
32,797
20,211
42,144
30,048
19,264
31,091
19,988
45,199
41,821
34,014
31,292
26,544
17,817
19,847
31,947
26,251
18,135
27,047
18,127
33,914
26,929
28,697
18,013
25,865
15,132
17,528
29,470
23,424
16,877
37,222
30,416
35,528
29,560
23890
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 10.—GEOMETRIC MEAN PLUS
THE LESSER OF .75 OF THE NATIONAL
ADJUSTED
OPERATING
STANDARDIZED PAYMENT AMOUNT
(INCREASED TO REFLECT THE DIFFERENCE BETWEEN COSTS AND
CHARGES) OR .75 OF ONE STANDARD DEVIATION OF MEAN CHARGES
BY MEDICARE SEVERITY DIAGNOSISRELATED GROUP (MS–DRG)—
MARCH 2008 1—Continued
Number of
cases
jlentini on PROD1PC65 with PROPOSALS2
MS–DRG
711
712
713
714
715
716
717
718
722
723
724
725
726
727
728
729
730
734
735
736
737
738
739
740
741
742
743
744
745
746
747
748
749
750
754
755
756
757
758
759
760
761
765
766
767
769
770
774
775
776
777
778
779
780
781
782
799
800
801
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
VerDate Aug<31>2005
792
710
10,272
28,875
532
1,275
705
589
754
1,970
586
759
3,733
1,300
6,194
592
471
1,364
1,133
856
3,302
866
1,015
4,338
6,033
10,977
32,430
1,527
1,700
2,643
10,434
19,915
982
437
986
2,954
687
1,398
1,612
1,244
1,708
1,773
2,773
2,692
133
98
203
1,517
5,784
513
209
475
112
41
3,040
175
566
705
556
19:42 Apr 29, 2008
TABLE 10.—GEOMETRIC MEAN PLUS
THE LESSER OF .75 OF THE NATIONAL
ADJUSTED
OPERATING
STANDARDIZED PAYMENT AMOUNT
(INCREASED TO REFLECT THE DIFFERENCE BETWEEN COSTS AND
CHARGES) OR .75 OF ONE STANDARD DEVIATION OF MEAN CHARGES
BY MEDICARE SEVERITY DIAGNOSISRELATED GROUP (MS–DRG)—
MARCH 2008 1—Continued
Threshold
37,675
20,316
26,996
15,559
36,052
29,420
34,114
19,293
30,816
24,740
15,657
24,606
16,368
27,843
17,130
25,442
14,723
44,272
28,372
73,117
41,614
28,882
53,269
34,448
24,839
31,971
21,234
30,774
20,207
30,028
21,235
20,564
45,119
24,771
33,562
25,879
16,172
32,870
26,363
19,100
19,562
13,249
20,365
13,836
18,724
28,990
16,249
12,327
8,750
15,047
20,244
8,942
11,223
3,917
13,218
8,623
82,467
50,685
37,382
Jkt 214001
Number of
cases
MS–DRG
802
803
804
808
809
810
811
812
813
814
815
816
820
821
822
823
824
825
826
827
828
829
830
834
835
836
837
838
839
840
841
842
843
844
845
846
847
848
849
853
854
855
856
857
858
862
863
864
865
866
867
868
869
870
871
872
876
880
881
PO 00000
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
Frm 00364
Fmt 4701
764
1,071
995
6,092
12,879
2,801
21,482
90,369
14,238
1,564
3,315
2,154
1,301
2,478
1,894
2,182
2,976
1,756
524
1,256
802
1,175
524
4,031
2,707
1,623
1,044
1,321
1,466
9,683
10,060
5,341
1,354
2,414
811
2,117
23,925
1,725
1,478
34,961
6,662
459
5,904
9,631
3,258
7,955
21,482
19,034
1,707
8,201
5,076
2,659
1,139
21,356
216,894
91,026
860
9,304
4,658
Sfmt 4702
Threshold
53,613
36,134
27,223
37,130
27,509
22,786
26,846
18,397
27,095
30,406
25,805
18,432
89,835
43,777
30,581
69,584
44,341
30,652
76,715
44,122
32,076
47,921
28,158
58,295
37,287
25,573
96,925
47,431
30,443
43,346
32,240
25,445
34,538
27,673
21,496
38,966
26,844
23,146
29,110
80,838
52,593
38,661
65,124
37,513
30,272
34,329
22,129
20,781
29,217
17,149
38,916
25,425
18,507
94,830
35,333
27,030
42,167
15,133
12,046
TABLE 10.—GEOMETRIC MEAN PLUS
THE LESSER OF .75 OF THE NATIONAL
ADJUSTED
OPERATING
STANDARDIZED PAYMENT AMOUNT
(INCREASED TO REFLECT THE DIFFERENCE BETWEEN COSTS AND
CHARGES) OR .75 OF ONE STANDARD DEVIATION OF MEAN CHARGES
BY MEDICARE SEVERITY DIAGNOSISRELATED GROUP (MS–DRG)—
MARCH 2008 1—Continued
MS–DRG
882
883
884
885
886
887
894
895
896
897
901
902
903
904
905
906
907
908
909
913
914
915
916
917
918
919
920
921
922
923
927
928
929
933
934
935
939
940
941
945
946
947
948
949
950
951
955
956
957
958
959
963
964
965
969
970
974
975
976
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
....................
E:\FR\FM\30APP2.SGM
30APP2
Number of
cases
1,558
758
19,126
81,314
407
399
4,798
10,278
5,570
38,298
926
2,036
1,508
1,047
812
716
8,469
8,340
5,470
807
6,655
1,080
5,527
15,818
35,758
11,106
14,005
9,462
1,055
3,976
213
819
440
145
663
2,220
673
1,322
1,720
6,687
4,359
9,751
47,916
682
420
951
449
3,984
1,325
1,156
295
1,592
2,581
1,077
644
138
5,952
4,710
2,654
Threshold
12,634
17,971
19,197
15,242
13,905
16,694
7,599
12,773
26,933
13,086
54,456
33,188
23,579
43,056
26,185
24,257
56,134
36,960
27,977
27,237
16,360
26,134
10,518
29,720
14,390
30,394
22,313
14,923
28,288
15,419
182,484
65,145
37,218
31,568
24,756
22,937
46,257
33,961
26,932
20,290
15,730
24,756
15,920
18,328
12,682
15,279
87,860
57,503
101,860
67,071
47,759
50,127
34,357
25,020
78,213
45,746
41,989
29,607
22,430
23891
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 10.—GEOMETRIC MEAN PLUS
THE LESSER OF .75 OF THE NATIONAL
ADJUSTED
OPERATING
STANDARDIZED PAYMENT AMOUNT
(INCREASED TO REFLECT THE DIFFERENCE BETWEEN COSTS AND
CHARGES) OR .75 OF ONE STANDARD DEVIATION OF MEAN CHARGES
BY MEDICARE SEVERITY DIAGNOSISRELATED GROUP (MS–DRG)—
MARCH 2008 1—Continued
Number of
cases
MS–DRG
977
981
982
983
984
....................
....................
....................
....................
....................
4,633
25,506
18,355
6,144
671
TABLE 10.—GEOMETRIC MEAN PLUS
THE LESSER OF .75 OF THE NATIONAL
ADJUSTED
OPERATING
STANDARDIZED PAYMENT AMOUNT
(INCREASED TO REFLECT THE DIFFERENCE BETWEEN COSTS AND
CHARGES) OR .75 OF ONE STANDARD DEVIATION OF MEAN CHARGES
BY MEDICARE SEVERITY DIAGNOSISRELATED GROUP (MS–DRG)—
MARCH 2008 1—Continued
Threshold
25,054
78,693
55,049
40,105
59,501
Number of
cases
MS–DRG
985
986
987
988
989
....................
....................
....................
....................
....................
TABLE 10.—GEOMETRIC MEAN PLUS
THE LESSER OF .75 OF THE NATIONAL
ADJUSTED
OPERATING
STANDARDIZED PAYMENT AMOUNT
(INCREASED TO REFLECT THE DIFFERENCE BETWEEN COSTS AND
CHARGES) OR .75 OF ONE STANDARD DEVIATION OF MEAN CHARGES
BY MEDICARE SEVERITY DIAGNOSISRELATED GROUP (MS–DRG)—
MARCH 2008 1—Continued
Threshold
904
732
8,256
11,611
5,817
MS–DRG
42,990
29,607
55,744
37,995
27,744
999 ....................
Number of
cases
26
Threshold
15,387
1 Cases taken from the FY 2007 MedPAR
file; MS–DRGs are from GROUPER Version
26.0.
TABLE 11.—PROPOSED FY 2009 MS–LTC–DRGS, PROPOSED RELATIVE WEIGHTS, PROPOSED GEOMETRIC AVERAGE
LENGTH OF STAY, AND PROPOSED SHORT-STAY OUTLIER THRESHOLD
Proposed
base MS–
LTC–DRG
1 ...............
2 ...............
1 ...............
1 ...............
3 ...............
3 ...............
4 ...............
4 ...............
5 ...............
6 ...............
7 ...............
8 ...............
9 ...............
10 .............
11 .............
12 .............
13 .............
5 ...............
5 ...............
7 ...............
8 ...............
9 ...............
10 ............
11 ............
11 ............
11 ............
20 .............
20 ............
21 .............
20 ............
22 .............
20 ............
23 .............
23 ............
24 .............
23 ............
25 .............
25 ............
26 .............
27 .............
jlentini on PROD1PC65 with PROPOSALS2
Proposed
MS–LTC–
DRG
25 ............
25 ............
28
29
30
31
32
33
34
35
36
37
38
39
28
28
28
31
31
31
34
34
34
37
37
37
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
VerDate Aug<31>2005
............
............
............
............
............
............
............
............
............
............
............
............
FY 2007
LTCH cases
Proposed MS–LTC–DRG title
Heart transplant or implant of heart assist system w MCC
Heart transplant or implant of heart assist system w/o
MCC.
ECMO or trach w MV 96+ hrs or PDX exc face, mouth &
neck w maj O.R..
Trach w MV 96+ hrs or PDX exc face, mouth & neck w/o
maj O.R..
Liver transplant w MCC or intestinal transplant ..................
Liver transplant w/o MCC ....................................................
Lung transplant ....................................................................
Simultaneous pancreas/kidney transplant ...........................
Bone marrow transplant ......................................................
Pancreas transplant .............................................................
Tracheostomy for face, mouth & neck diagnoses w MCC
Tracheostomy for face, mouth & neck diagnoses w CC ....
Tracheostomy for face, mouth & neck diagnoses w/o CC/
MCC.
Intracranial vascular procedures w PDX hemorrhage w
MCC.
Intracranial vascular procedures w PDX hemorrhage w
CC.
Intracranial vascular procedures w PDX hemorrhage w/o
CC/MCC.
Craniotomy w major device implant or acute complex CNS
PDX w MCC*.
Craniotomy w major device implant or acute complex CNS
PDX w/o MCC*.
Craniotomy & endovascular intracranial procedures w
MCC.
Craniotomy & endovascular intracranial procedures w CC
Craniotomy & endovascular intracranial procedures w/o
CC/MCC.
Spinal procedures w MCC ...................................................
Spinal procedures w CC ......................................................
Spinal procedures w/o CC/MCC .........................................
Ventricular shunt procedures w MCC .................................
Ventricular shunt procedures w CC ....................................
Ventricular shunt procedures w/o CC/MCC ........................
Carotid artery stent procedure w MCC ...............................
Carotid artery stent procedurew CC ....................................
Carotid artery stent procedure w/o CC/MCC ......................
Extracranial procedures w MCC ..........................................
Extracranial procedures w CC* ...........................................
Extracranial procedures w/o CC/MCC ................................
19:42 Apr 29, 2008
Jkt 214001
PO 00000
Frm 00365
Fmt 4701
Sfmt 4702
Proposed
relative
weight
Proposed
geometric
average
length of
stay
Proposed
short-stay
outlier
(SSO)
threshold 1
0
0
0.0000
0.0000
0.0
0.0
0.0
0.0
286
4.5889
66.5
55.4
1,201
2.9992
44.4
37.0
0
0
0
0
0
0
1
1
0
0.0000
0.0000
0.0000
0.0000
1.2617
0.0000
1.7509
1.7509
1.7509
0.0
0.0
0.0
0.0
31.5
0.0
37.9
37.9
37.9
0.0
0.0
0.0
0.0
26.3
0.0
31.6
31.6
31.6
0
1.7509
37.9
31.6
0
1.7509
37.9
31.6
0
1.7509
37.9
31.6
2
1.2617
31.5
26.3
1
1.2617
31.5
26.3
1
1.7509
37.9
31.6
3
1
1.7509
0.8596
37.9
25.2
31.6
21.0
11
9
1
5
1
0
0
0
0
7
6
0
1.2617
1.2617
1.2617
1.7509
1.7509
1.7509
1.2617
1.2617
1.2617
1.2617
1.2617
1.2617
31.5
31.5
31.5
37.9
37.9
37.9
31.5
31.5
31.5
31.5
31.5
31.5
26.3
26.3
26.3
31.6
31.6
31.6
26.3
26.3
26.3
26.3
26.3
26.3
E:\FR\FM\30APP2.SGM
30APP2
23892
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 11.—PROPOSED FY 2009 MS–LTC–DRGS, PROPOSED RELATIVE WEIGHTS, PROPOSED GEOMETRIC AVERAGE
LENGTH OF STAY, AND PROPOSED SHORT-STAY OUTLIER THRESHOLD—Continued
Proposed
MS–LTC–
DRG
Proposed
base MS–
LTC–DRG
40 .............
41 .............
42 .............
40 ............
40 ............
40 ............
52
53
54
55
56
57
58
59
60
61
62
63
52
52
54
54
56
56
58
58
58
61
61
61
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
............
............
............
............
............
............
............
............
............
............
............
............
64 .............
65 .............
66 .............
64 ............
64 ............
64 ............
67 .............
67 ............
68 .............
67 ............
69
70
71
72
73
74
75
76
77
78
79
80
81
82
83
84
85
86
87
88
89
90
91
92
93
94
69
70
70
70
73
73
75
75
77
77
77
80
80
82
82
82
85
85
85
88
88
88
91
91
91
94
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
.............
............
............
............
............
............
............
............
............
............
............
............
............
............
............
............
............
............
............
............
............
............
............
............
............
............
............
94 ............
96 .............
94 ............
97 .............
97 ............
98 .............
jlentini on PROD1PC65 with PROPOSALS2
95 .............
97 ............
99 .............
97 ............
100
101
102
103
113
100
100
102
102
113
...........
...........
...........
...........
...........
VerDate Aug<31>2005
...........
...........
...........
...........
...........
FY 2007
LTCH cases
Proposed MS–LTC–DRG title
Periph & cranial nerve & other nerv syst proc w MCC .......
Periph & cranial nerve & other nerv syst proc w CC ..........
Periph & cranial nerve & other nerv syst proc w/o CC/
MCC*.
Spinal disorders & injuries w CC/MCC ...............................
Spinal disorders & injuries w/o CC/MCC ............................
Nervous system neoplasms w MCC ...................................
Nervous system neoplasms w/o MCC ................................
Degenerative nervous system disorders w MCC ................
Degenerative nervous system disorders w/o MCC .............
Multiple sclerosis & cerebellar ataxia w MCC .....................
Multiple sclerosis & cerebellar ataxia w CC ........................
Multiple sclerosis & cerebellar ataxia w/o CC/MCC ............
Acute ischemic stroke w use of thrombolytic agent w MCC
Acute ischemic stroke w use of thrombolytic agent w CC ..
Acute ischemic stroke w use of thrombolytic agent w/o
CC/MCC.
Intracranial hemorrhage or cerebral infarction w MCC .......
Intracranial hemorrhage or cerebral infarction w CC ..........
Intracranial hemorrhage or cerebral infarction w/o CC/
MCC.
Nonspecific cva & precerebral occlusion w/o infarct w
MCC.
Nonspecific cva & precerebral occlusion w/o infarct w/o
MCC.
Transient ischemia ...............................................................
Nonspecific cerebrovascular disorders w MCC ..................
Nonspecific cerebrovascular disorders w CC .....................
Nonspecific cerebrovascular disorders w/o CC/MCC .........
Cranial & peripheral nerve disorders w MCC .....................
Cranial & peripheral nerve disorders w/o MCC ..................
Viral meningitis w CC/MCC .................................................
Viral meningitis w/o CC/MCC ..............................................
Hypertensive encephalopathy w MCC ................................
Hypertensive encephalopathy w CC ...................................
Hypertensive encephalopathy w/o CC/MCC .......................
Nontraumatic stupor & coma w MCC ..................................
Nontraumatic stupor & coma w/o MCC ...............................
Traumatic stupor & coma, coma >1 hr w MCC ..................
Traumatic stupor & coma, coma >1 hr w CC .....................
Traumatic stupor & coma, coma >1 hr w/o CC/MCC .........
Traumatic stupor & coma, coma <1 hr w MCC ..................
Traumatic stupor & coma, coma <1 hr w CC .....................
Traumatic stupor & coma, coma <1 hr w/o CC/MCC .........
Concussion w MCC .............................................................
Concussion w CC ................................................................
Concussion w/o CC/MCC ....................................................
Other disorders of nervous system w MCC ........................
Other disorders of nervous system w CC ...........................
Other disorders of nervous system w/o CC/MCC ...............
Bacterial & tuberculous infections of nervous system w
MCC.
Bacterial & tuberculous infections of nervous system w
CC.
Bacterial & tuberculous infections of nervous system w/o
CC/MCC.
Non-bacterial infect of nervous sys exc viral meningitis w
MCC.
Non-bacterial infect of nervous sys exc viral meningitis w
CC.
Non-bacterial infect of nervous sys exc viral meningitis w/
o CC/MCC.
Seizures w MCC ..................................................................
Seizures w/o MCC ...............................................................
Headaches w MCC ..............................................................
Headaches w/o MCC ...........................................................
Orbital procedures w CC/MCC ............................................
19:42 Apr 29, 2008
Jkt 214001
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Proposed
relative
weight
Proposed
geometric
average
length of
stay
Proposed
short-stay
outlier
(SSO)
threshold 1
143
87
6
1.2451
1.0890
1.0890
34.8
34.5
34.5
29.0
28.8
28.8
83
7
31
50
1,180
1,945
19
23
10
0
0
0
0.9943
0.8596
1.0109
0.6542
0.8022
0.6033
0.8596
0.6327
0.6327
0.8823
0.5770
0.4824
31.3
25.2
26.7
21.6
25.3
24.0
25.2
21.6
21.6
23.5
22.8
19.6
26.1
21.0
22.3
18.0
21.1
20.0
21.0
18.0
18.0
19.6
19.0
16.3
107
67
24
0.7831
0.6217
0.4824
24.5
24.0
19.6
20.4
20.0
16.3
4
0.4824
19.6
16.3
4
0.4824
19.6
16.3
13
87
52
8
116
173
15
0
4
1
1
47
110
9
12
3
78
81
15
0
1
0
218
138
43
203
0.4824
0.8823
0.5770
0.4824
0.8910
0.6057
0.6327
0.6327
1.2617
0.6327
0.4824
0.7859
0.7028
0.8596
0.6327
0.6327
0.8652
0.6630
0.4824
0.4824
0.4824
0.4824
0.9248
0.6661
0.6046
1.0466
19.6
23.5
22.8
19.6
24.6
23.1
21.6
21.6
31.5
21.6
19.6
29.2
28.2
25.2
21.6
21.6
26.1
24.1
19.6
19.6
19.6
19.6
25.9
25.0
22.0
29.2
16.3
19.6
19.0
16.3
20.5
19.3
18.0
18.0
26.3
18.0
16.3
24.3
23.5
21.0
18.0
18.0
21.8
20.1
16.3
16.3
16.3
16.3
21.6
20.8
18.3
24.3
106
0.9763
28.9
24.1
31
0.7559
27.6
23.0
48
1.0415
26.0
21.7
22
0.8596
25.2
21.0
6
0.6327
21.6
18.0
47
55
9
4
1
0.6380
0.6132
0.6327
0.6327
0.8596
21.8
25.4
21.6
21.6
25.2
18.2
21.2
18.0
18.0
21.0
E:\FR\FM\30APP2.SGM
30APP2
23893
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 11.—PROPOSED FY 2009 MS–LTC–DRGS, PROPOSED RELATIVE WEIGHTS, PROPOSED GEOMETRIC AVERAGE
LENGTH OF STAY, AND PROPOSED SHORT-STAY OUTLIER THRESHOLD—Continued
Proposed
MS–LTC–
DRG
Proposed
base MS–
LTC–DRG
114
115
116
117
121
122
123
124
125
129
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
113
115
116
116
121
121
123
124
124
129
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
130
131
132
133
...........
...........
...........
...........
129
131
131
133
...........
...........
...........
...........
jlentini on PROD1PC65 with PROPOSALS2
134 ...........
133 ...........
135
136
137
138
139
146
147
148
149
150
151
152
153
154
155
156
157
158
159
163
164
165
166
167
168
175
176
177
178
179
180
181
182
183
184
185
186
187
188
189
190
191
192
193
194
195
196
197
198
135
135
137
137
139
146
146
146
149
150
150
152
152
154
154
154
157
157
157
163
163
163
166
166
166
175
175
177
177
177
180
180
180
183
183
183
186
186
186
189
190
190
190
193
193
193
196
196
196
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
VerDate Aug<31>2005
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
FY 2007
LTCH cases
Proposed MS–LTC–DRG title
Orbital procedures w/o CC/MCC .........................................
Extraocular procedures except orbit ....................................
Intraocular procedures w CC/MCC .....................................
Intraocular procedures w/o CC/MCC ..................................
Acute major eye infections w CC/MCC ...............................
Acute major eye infections w/o CC/MCC ............................
Neurological eye disorders ..................................................
Other disorders of the eye w MCC .....................................
Other disorders of the eye w/o MCC ..................................
Major head & neck procedures w CC/MCC or major device.
Major head & neck procedures w/o CC/MCC .....................
Cranial/facial procedures w CC/MCC ..................................
Cranial/facial procedures w/o CC/MCC ...............................
Other ear, nose, mouth & throat O.R. procedures w CC/
MCC.
Other ear, nose, mouth & throat O.R. procedures w/o CC/
MCC.
Sinus & mastoid procedures w CC/MCC ............................
Sinus & mastoid procedures w/o CC/MCC* ........................
Mouth procedures w CC/MCC ............................................
Mouth procedures w/o CC/MCC .........................................
Salivary gland procedures ...................................................
Ear, nose, mouth & throat malignancy w MCC ...................
Ear, nose, mouth & throat malignancy w CC ......................
Ear, nose, mouth & throat malignancy w/o CC/MCC .........
Dysequilibrium .....................................................................
Epistaxis w MCC .................................................................
Epistaxis w/o MCC ..............................................................
Otitis media & URI w MCC ..................................................
Otitis media & URI w/o MCC ...............................................
Nasal trauma & deformity w MCC .......................................
Nasal trauma & deformity w CC ..........................................
Nasal trauma & deformity w/o CC/MCC .............................
Dental & Oral Diseases w MCC ..........................................
Dental & Oral Diseases w CC .............................................
Dental & Oral Diseases w/o CC/MCC .................................
Major chest procedures w MCC ..........................................
Major chest procedures w CC .............................................
Major chest procedures w/o CC/MCC .................................
Other resp system O.R. procedures w MCC ......................
Other resp system O.R. procedures w CC .........................
Other resp system O.R. procedures w/o CC/MCC .............
Pulmonary embolism w MCC ..............................................
Pulmonary embolism w/o MCC ...........................................
Respiratory infections & inflammations w MCC ..................
Respiratory infections & inflammations w CC .....................
Respiratory infections & inflammations w/o CC/MCC .........
Respiratory neoplasms w MCC ...........................................
Respiratory neoplasms w CC ..............................................
Respiratory neoplasms w/o CC/MCC* ................................
Major chest trauma w MCC .................................................
Major chest trauma w CC ....................................................
Major chest trauma w/o CC/MCC .......................................
Pleural effusion w MCC .......................................................
Pleural effusion w CC ..........................................................
Pleural effusion w/o CC/MCC* ............................................
Pulmonary edema & respiratory failure ...............................
Chronic obstructive pulmonary disease w MCC .................
Chronic obstructive pulmonary disease w CC ....................
Chronic obstructive pulmonary disease w/o CC/MCC ........
Simple pneumonia & pleurisy w MCC .................................
Simple pneumonia & pleurisy w CC ....................................
Simple pneumonia & pleurisy w/o CC/MCC .......................
Interstitial lung disease w MCC ...........................................
Interstitial lung disease w CC ..............................................
Interstitial lung disease w/o CC/MCC ..................................
19:42 Apr 29, 2008
Jkt 214001
PO 00000
Frm 00367
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Proposed
relative
weight
Proposed
geometric
average
length of
stay
Proposed
short-stay
outlier
(SSO)
threshold 1
0
0
1
0
10
1
0
2
8
0
0.8596
0.4824
0.8596
0.4824
0.6327
0.6327
0.4824
0.6327
0.4824
1.3344
25.2
19.6
25.2
19.6
21.6
21.6
19.6
21.6
19.6
30.2
21.0
16.3
21.0
16.3
18.0
18.0
16.3
18.0
16.3
25.2
0
0
1
10
0.4824
1.7509
1.7509
1.2617
19.6
37.9
37.9
31.5
16.3
31.6
31.6
26.3
0
1.2617
31.5
26.3
2
1
1
0
0
40
26
6
11
0
0
9
23
50
47
13
12
21
5
45
6
1
1,506
211
8
128
139
3,181
2,334
394
149
109
11
1
2
1
121
60
15
6,586
1,652
1,343
764
1,805
2,026
382
110
85
40
0.4824
0.4824
1.7509
1.7509
1.7509
1.3344
0.9930
0.4824
0.4824
0.8596
0.6327
0.8596
0.6327
0.7707
0.7011
0.6327
0.6327
0.6327
0.4824
2.5063
1.2617
0.8596
2.4992
1.8587
0.8596
0.6640
0.5479
0.8784
0.7414
0.6225
0.7975
0.6255
0.6255
0.4824
0.4824
0.4824
0.7576
0.6176
0.6176
0.9608
0.7477
0.6220
0.5358
0.7698
0.6368
0.5374
0.7122
0.5716
0.5059
19.6
19.6
37.9
37.9
37.9
30.2
22.4
19.6
19.6
25.2
21.6
25.2
21.6
22.0
21.1
21.6
21.6
21.6
19.6
33.5
31.5
25.2
41.8
36.2
25.2
21.9
20.0
22.8
22.1
19.4
20.9
18.7
18.7
19.6
19.6
19.6
20.5
20.5
20.5
23.9
20.5
19.4
17.3
21.6
20.1
17.4
20.1
17.6
15.9
16.3
16.3
31.6
31.6
31.6
25.2
18.7
16.3
16.3
21.0
18.0
21.0
18.0
18.3
17.6
18.0
18.0
18.0
16.3
27.9
26.3
21.0
34.8
30.2
21.0
18.3
16.7
19.0
18.4
16.2
17.4
15.6
15.6
16.3
16.3
16.3
17.1
17.1
17.1
19.9
17.1
16.2
14.4
18.0
16.8
14.5
16.8
14.7
13.3
E:\FR\FM\30APP2.SGM
30APP2
23894
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 11.—PROPOSED FY 2009 MS–LTC–DRGS, PROPOSED RELATIVE WEIGHTS, PROPOSED GEOMETRIC AVERAGE
LENGTH OF STAY, AND PROPOSED SHORT-STAY OUTLIER THRESHOLD—Continued
Proposed
MS–LTC–
DRG
Proposed
base MS–
LTC–DRG
199
200
201
202
203
204
205
206
207
199
199
199
202
202
204
205
205
207
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
208 ...........
208 ...........
215 ...........
216 ...........
215 ...........
216 ...........
217 ...........
216 ...........
218 ...........
216 ...........
219 ...........
219 ...........
220 ...........
219 ...........
221 ...........
219 ...........
222 ...........
222 ...........
223 ...........
222 ...........
224 ...........
224 ...........
225 ...........
224 ...........
226
227
228
229
230
231
232
233
234
235
236
237
238
239
226
226
228
228
228
231
231
233
233
235
235
237
237
239
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
239 ...........
241 ...........
239 ...........
242
243
244
245
246
jlentini on PROD1PC65 with PROPOSALS2
240 ...........
242
242
242
245
246
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
247 ...........
246 ...........
248 ...........
248 ...........
249 ...........
248 ...........
250 ...........
250 ...........
VerDate Aug<31>2005
FY 2007
LTCH cases
Proposed MS–LTC–DRG title
Pneumothorax w MCC ........................................................
Pneumothorax w CC ...........................................................
Pneumothorax w/o CC/MCC ...............................................
Bronchitis & asthma w CC/MCC .........................................
Bronchitis & asthma w/o CC/MCC ......................................
Respiratory signs & symptoms ............................................
Other respiratory system diagnoses w MCC ......................
Other respiratory system diagnoses w/o MCC ...................
Respiratory system diagnosis w ventilator support 96+
hours.
Respiratory system diagnosis w ventilator support <96
hours.
Other heart assist system implant .......................................
Cardiac valve & oth maj cardiothoracic proc w card cath w
MMCC.
Cardiac valve & oth maj cardiothoracic proc w card cath w
MCC.
Cardiac valve & oth maj cardiothoracic proc w card cath
w/o CC/MMCC.
Cardiac valve & oth maj cardiothoracic proc w/o card cath
w MMCC.
Cardiac valve & oth maj cardiothoracic proc w/o card cath
w MCC.
Cardiac valve & oth maj cardiothoracic proc w/o card cath
w/o CC/MCC.
Cardiac defib implant w cardiac cath w AMI/HF/shock w
MMCC.
Cardiac defib implant w cardiac cath w AMI/HF/shock w/o
MMCC.
Cardiac defib implant w cardiac cath w/o AMI/HF/shock w
MMCC.
Cardiac defib implant w cardiac cath w/o AMI/HF/shock w/
o MMCC.
Cardiac defibrillator implant w/o cardiac cath w MMCC .....
Cardiac defibrillator implant w/o cardiac cath w/o MMCC ..
Other cardiothoracic procedures w MMCC .........................
Other cardiothoracic procedures w MCC ............................
Other cardiothoracic procedures w/o CC/MMCC ................
Coronary bypass w PTCA w MMCC ...................................
Coronary bypass w PTCA w/o MMCC ................................
Coronary bypass w cardiac cath w MMCC .........................
Coronary bypass w cardiac cath w/o MMCC ......................
Coronary bypass w/o cardiac cath w MMCC ......................
Coronary bypass w/o cardiac cath w/o MMCC ...................
Major cardiovascular procedures w MMCC ........................
Major cardiovascular procedures w/o MMCC .....................
Amputation for circ sys disorders exc upper limb & toe w
MMCC.
Amputation for circ sys disorders exc upper limb & toe w
MCC.
Amputation for circ sys disorders exc upper limb & toe w/o
CC/MMCC.
Permanent cardiac pacemaker implant w MCC* ................
Permanent cardiac pacemaker implant w MCC ..................
Permanent cardiac pacemaker implant w/o CC/MMCC .....
AICD generator procedures .................................................
Percutaneous cardiovascular proc w drug-eluting stent w
MMCC.
Percutaneous cardiovascular proc w drug-eluting stent w/o
MMCC.
Percutaneous cardiovasc proc w non-drug-eluting stent w
MMCC.
Percutaneous cardiovasc proc w non-drug-eluting stent w/
o MCC*.
Perc cardiovasc proc w/o coronary artery stent or AMI w
MMCC.
19:42 Apr 29, 2008
Jkt 214001
PO 00000
Frm 00368
Fmt 4701
Sfmt 4702
Proposed
relative
weight
Proposed
geometric
average
length of
stay
Proposed
short-stay
outlier
(SSO)
threshold 1
49
32
5
88
21
233
324
171
13,186
0.7639
0.5906
0.4824
0.6509
0.6327
0.8315
0.8236
0.7182
2.0793
21.8
17.8
19.6
19.6
21.6
22.8
22.3
21.5
34.5
18.2
14.8
16.3
16.3
18.0
19.0
18.6
17.9
28.8
1,452
1.1752
23.6
19.7
0
0
0.8596
1.2617
25.2
31.5
21.0
26.3
0
0.8596
25.2
21.0
0
0.8596
25.2
21.0
0
1.2617
31.5
26.3
0
0.8596
25.2
21.0
0
0.8596
25.2
21.0
0
1.7509
37.9
31.6
0
1.7509
37.9
31.6
0
1.7509
37.9
31.6
0
1.7509
37.9
31.6
11
9
0
0
0
0
0
0
0
0
0
7
2
163
1.7509
1.7509
1.4637
1.2121
0.6327
1.2617
0.8596
1.2617
0.8596
1.2617
0.8596
1.2617
0.8596
1.5067
37.9
37.9
33.3
28.9
21.6
31.5
25.2
31.5
25.2
31.5
25.2
31.5
25.2
36.6
31.6
31.6
27.8
24.1
18.0
26.3
21.0
26.3
21.0
26.3
21.0
26.3
21.0
30.5
83
1.1559
34.1
28.4
10
0.8596
25.2
21.0
12
5
1
0
3
1.7509
1.7509
1.7509
1.7509
1.2617
37.9
37.9
37.9
37.9
31.5
31.6
31.6
31.6
31.6
26.3
1
1.2617
31.5
26.3
2
1.2617
31.5
26.3
1
1.2617
31.5
26.3
3
1.7509
37.9
31.6
E:\FR\FM\30APP2.SGM
30APP2
23895
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 11.—PROPOSED FY 2009 MS–LTC–DRGS, PROPOSED RELATIVE WEIGHTS, PROPOSED GEOMETRIC AVERAGE
LENGTH OF STAY, AND PROPOSED SHORT-STAY OUTLIER THRESHOLD—Continued
Proposed
MS–LTC–
DRG
Proposed
base MS–
LTC–DRG
251 ...........
250 ...........
252
253
254
255
252
252
252
255
...........
...........
...........
...........
...........
...........
...........
...........
255 ...........
257 ...........
255 ...........
258 ...........
259 ...........
260 ...........
258 ...........
258 ...........
260 ...........
261 ...........
260 ...........
262 ...........
260 ...........
263
264
265
280
281
282
jlentini on PROD1PC65 with PROPOSALS2
256 ...........
...........
...........
...........
...........
...........
...........
263
264
265
280
280
280
...........
...........
...........
...........
...........
...........
283
284
285
286
287
288
289
290
291
292
293
294
295
296
297
298
299
300
301
302
303
304
305
306
307
308
309
310
311
312
313
314
315
316
326
327
328
329
330
331
332
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
283
283
283
286
286
288
288
288
291
291
291
294
294
296
296
296
299
299
299
302
302
304
304
306
306
308
308
308
311
312
313
314
314
314
326
326
326
329
329
329
332
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
VerDate Aug<31>2005
FY 2007
LTCH cases
Proposed MS–LTC–DRG title
Perc cardiovasc proc w/o coronary artery stent or AMI w/o
MMCC.
Other vascular procedures w MMCC ..................................
Other vascular procedures w MCC .....................................
Other vascular procedures w/o CC/MMCC .........................
Upper limb & toe amputation for circ system disorders w
MMCC.
Upper limb & toe amputation for circ system disorders w
MCC.
Upper limb & toe amputation for circ system disorders w/o
CC/MMCC.
Cardiac pacemaker device replacement w MMCC .............
Cardiac pacemaker device replacement w/o MMCC ..........
Cardiac pacemaker revision except device replacement w
MMCC.
Cardiac pacemaker revision except device replacement w
CC*.
Cardiac pacemaker revision except device replacement w/
o CC/MCC*.
Vein ligation & stripping .......................................................
Other circulatory system O.R. procedures ..........................
AICD lead procedures .........................................................
Circulatory disorders w AMI, discharged alive w MMCC ....
Circulatory disorders w AMI, discharged alive w MCC .......
Circulatory disorders w AMI, discharged alive w/o CC/
MMCC.
Circulatory disorders w AMI, expired w MMCC ..................
Circulatory disorders w AMI, expired w CC* .......................
Circulatory disorders w AMI, expired w/o CC/MMCC .........
Circulatory disorders except AMI, w card cath w MMCC ...
Circulatory disorders except AMI, w card cath w/o MMCC
Acute & subacute endocarditis w MMCC ............................
Acute & subacute endocarditis w MCC ...............................
Acute & subacute endocarditis w/o CC/MMCC ..................
Heart failure & shock w MMCC ...........................................
Heart failure & shock w MCC ..............................................
Heart failure & shock w/o CC/MMCC ..................................
Deep vein thrombophlebitis w CC/MMCC ...........................
Deep vein thrombophlebitis w/o CC/MMCC ........................
Cardiac arrest, unexplained w MMCC ................................
Cardiac arrest, unexplained w MCC ...................................
Cardiac arrest, unexplained w/o CC/MMCC .......................
Peripheral vascular disorders w MMCC ..............................
Peripheral vascular disorders w MCC .................................
Peripheral vascular disorders w/o CC/MMCC .....................
Atherosclerosis w MMCC ....................................................
Atherosclerosis w/o MMCC .................................................
Hypertension w MMCC ........................................................
Hypertension w/o MMCC .....................................................
Cardiac congenital & valvular disorders w MMCC ..............
Cardiac congenital & valvular disorders w/o MMCC ...........
Cardiac arrhythmia & conduction disorders w MMCC ........
Cardiac arrhythmia & conduction disorders w MCC ...........
Cardiac arrhythmia & conduction disorders w/o CC/MCC ..
Angina pectoris ....................................................................
Syncope & collapse .............................................................
Chest pain ............................................................................
Other circulatory system diagnoses w MMCC ....................
Other circulatory system diagnoses w MCC .......................
Other circulatory system diagnoses w/o CC/MMCC ...........
Stomach, esophageal & duodenal proc w MMCC ..............
Stomach, esophageal & duodenal proc w MCC .................
Stomach, esophageal & duodenal proc w/o CC/MCC* ......
Major small & large bowel procedures w MMCC ................
Major small & large bowel procedures w MCC ...................
Major small & large bowel procedures w/o CC/MMCC ......
Rectal resection w MMCC ...................................................
19:42 Apr 29, 2008
Jkt 214001
PO 00000
Frm 00369
Fmt 4701
Sfmt 4702
Proposed
relative
weight
Proposed
geometric
average
length of
stay
Proposed
short-stay
outlier
(SSO)
threshold 1
0
1.7509
37.9
31.6
134
51
3
61
1.4637
1.2121
0.6327
1.2589
33.3
28.9
21.6
33.8
27.8
24.1
18.0
28.2
42
0.9416
30.0
25.0
1
0.4824
19.6
16.3
0
1
2
1.2617
1.2617
1.2617
31.5
31.5
31.5
26.3
26.3
26.3
1
0.8596
25.2
21.0
1
0.8596
25.2
21.0
3
608
0
259
110
35
0.4824
1.0954
1.2617
0.7832
0.5772
0.5060
19.6
31.1
31.5
23.0
20.6
19.9
16.3
25.9
26.3
19.2
17.2
16.6
56
17
0
8
9
594
217
48
1,728
901
362
6
0
0
0
0
587
751
78
59
61
6
15
59
38
96
107
36
7
58
6
1,305
285
72
19
3
1
31
12
1
0
0.7924
0.7924
0.7924
1.2617
0.8596
1.0060
0.7920
0.6873
0.7727
0.6294
0.5168
0.6327
0.6327
0.7924
0.7924
0.7924
0.7804
0.5847
0.5385
0.7597
0.5692
0.4824
0.4824
0.8224
0.7367
0.8384
0.5679
0.4590
0.4824
0.5083
0.4824
0.8758
0.6575
0.6026
1.7509
1.2617
1.2617
2.2757
1.7509
1.7509
1.6757
16.1
16.1
16.1
31.5
25.2
26.1
26.1
24.3
21.9
21.2
18.8
21.6
21.6
16.1
16.1
16.1
23.4
22.0
20.3
21.8
20.1
19.6
19.6
22.7
22.9
25.0
20.8
19.4
19.6
19.7
19.6
22.9
21.0
21.0
37.9
31.5
31.5
41.8
37.9
37.9
34.2
13.4
13.4
13.4
26.3
21.0
21.8
21.8
20.3
18.3
17.7
15.7
18.0
18.0
13.4
13.4
13.4
19.5
18.3
16.9
18.2
16.8
16.3
16.3
18.9
19.1
20.8
17.3
16.2
16.3
16.4
16.3
19.1
17.5
17.5
31.6
26.3
26.3
34.8
31.6
31.6
28.5
E:\FR\FM\30APP2.SGM
30APP2
23896
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 11.—PROPOSED FY 2009 MS–LTC–DRGS, PROPOSED RELATIVE WEIGHTS, PROPOSED GEOMETRIC AVERAGE
LENGTH OF STAY, AND PROPOSED SHORT-STAY OUTLIER THRESHOLD—Continued
Proposed
MS–LTC–
DRG
Proposed
base MS–
LTC–DRG
333
334
335
336
337
338
339
340
332
332
335
335
335
338
338
338
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
341 ...........
342 ...........
343 ...........
341 ...........
341 ...........
341 ...........
344
345
346
347
348
349
350
351
352
353
354
355
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
344
344
344
347
347
347
350
350
350
353
353
353
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
356
357
358
368
369
370
371
...........
...........
...........
...........
...........
...........
...........
356
356
356
368
368
368
371
...........
...........
...........
...........
...........
...........
...........
371 ...........
373 ...........
jlentini on PROD1PC65 with PROPOSALS2
372 ...........
371 ...........
374
375
376
377
378
379
380
381
382
383
384
385
386
387
388
389
390
391
392
393
394
395
405
406
407
408
374
374
374
377
377
377
380
380
380
383
383
385
385
385
388
388
388
391
391
393
393
393
405
405
405
408
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
409 ...........
VerDate Aug<31>2005
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
408 ...........
FY 2007
LTCH cases
Proposed MS–LTC–DRG title
Rectal resection w MCC ......................................................
Rectal resection w/o CC/MMCC ..........................................
Peritoneal adhesiolysis w MMCC ........................................
Peritoneal adhesiolysis w MCC ...........................................
Peritoneal adhesiolysis w/o CC/MMCC ...............................
Appendectomy w complicated principal diag w MMCC ......
Appendectomy w complicated principal diag w MCC .........
Appendectomy w complicated principal diag w/o CC/
MMCC.
Appendectomy w/o complicated principal diag w MMCC ...
Appendectomy w/o complicated principal diag w MCC ......
Appendectomy w/o complicated principal diag w/o CC/
MMCC.
Minor small & large bowel procedures w MMCC ................
Minor small & large bowel procedures w MCC ...................
Minor small & large bowel procedures w/o CC/MMCC ......
Anal & stomal procedures w MMCC ...................................
Anal & stomal procedures w MCC ......................................
Anal & stomal procedures w/o CC/MMCC ..........................
Inguinal & femoral hernia procedures w MMCC .................
Inguinal & femoral hernia procedures w MCC ....................
Inguinal & femoral hernia procedures w/o CC/MMCC ........
Hernia procedures except inguinal & femoral w MMCC .....
Hernia procedures except inguinal & femoral w MCC ........
Hernia procedures except inguinal & femoral w/o CC/
MMCC.
Other digestive system O.R. procedures w MMCC ............
Other digestive system O.R. procedures w MCC ...............
Other digestive system O.R. procedures w/o CC/MCC* ....
Major esophageal disorders w MMCC ................................
Major esophageal disorders w MCC ...................................
Major esophageal disorders w/o CC/MMCC .......................
Major gastrointestinal disorders & peritoneal infections w
MMCC.
Major gastrointestinal disorders & peritoneal infections w
MCC.
Major gastrointestinal disorders & peritoneal infections w/o
CC/MCC.
Digestive malignancy w MMCC ...........................................
Digestive malignancy w MCC ..............................................
Digestive malignancy w/o CC/MMCC .................................
G.I. hemorrhage w MMCC ..................................................
G.I. hemorrhage w MCC .....................................................
G.I. hemorrhage w/o CC/MMCC .........................................
Complicated peptic ulcer w MMCC .....................................
Complicated peptic ulcer w MCC ........................................
Complicated peptic ulcer w/o CC/MMCC ............................
Uncomplicated peptic ulcer w MMCC .................................
Uncomplicated peptic ulcer w/o MMCC ..............................
Inflammatory bowel disease w MMCC ................................
Inflammatory bowel disease w MCC ...................................
Inflammatory bowel disease w/o CC/MMCC .......................
G.I. obstruction w MMCC ....................................................
G.I. obstruction w MCC .......................................................
G.I. obstruction w/o CC/MMCC ...........................................
Esophagitis, gastroent & misc digest disorders w MMCC ..
Esophagitis, gastroent & misc digest disorders w/o MMCC
Other digestive system diagnoses w MMCC ......................
Other digestive system diagnoses w MCC .........................
Other digestive system diagnoses w/o CC/MMCC .............
Pancreas, liver & shunt procedures w MMCC ....................
Pancreas, liver & shunt procedures w CC* .........................
Pancreas, liver & shunt procedures w/o CC/MMCC ...........
Biliary tract proc except only cholecyst w or w/o c.d.e. w
MMCC.
Biliary tract proc except only cholecyst w or w/o c.d.e. w
MCC.
19:42 Apr 29, 2008
Jkt 214001
PO 00000
Frm 00370
Fmt 4701
Sfmt 4702
Proposed
relative
weight
Proposed
geometric
average
length of
stay
Proposed
short-stay
outlier
(SSO)
threshold 1
0
0
6
0
0
0
0
0
1.1606
1.1606
1.7509
1.7509
1.7509
0.9726
0.7768
0.5958
30.0
30.0
37.9
37.9
37.9
25.1
23.2
19.6
25.0
25.0
31.6
31.6
31.6
20.9
19.3
16.3
0
0
0
0.9726
0.7768
0.5958
25.1
23.2
19.6
20.9
19.3
16.3
5
0
0
3
3
0
0
0
0
1
1
0
1.7509
1.7509
1.7509
1.7509
1.2617
1.2617
1.2617
1.2617
1.2617
1.7509
0.6327
0.6327
37.9
37.9
37.9
37.9
31.5
31.5
31.5
31.5
31.5
37.9
21.6
21.6
31.6
31.6
31.6
31.6
26.3
26.3
26.3
26.3
26.3
31.6
18.0
18.0
141
36
4
26
14
4
722
1.6757
1.1606
1.1606
0.9161
0.8596
0.8596
0.9726
34.2
30.0
30.0
21.1
25.2
25.2
25.1
28.5
25.0
25.0
17.6
21.0
21.0
20.9
350
0.7768
23.2
19.3
68
0.5958
19.6
16.3
96
90
3
90
53
18
22
17
5
0
7
36
37
5
213
97
17
255
292
779
449
33
10
2
0
0
0.9011
0.7804
0.6327
0.8200
0.6902
0.6327
0.8596
0.6327
0.4824
0.8596
0.8596
0.8076
0.7126
0.4824
0.9486
0.7302
0.6327
0.7914
0.6568
1.0684
0.7872
0.5783
1.2617
1.2617
1.2617
0.6327
21.5
23.4
21.6
23.8
23.8
21.6
25.2
21.6
19.6
25.2
25.2
23.3
23.1
19.6
22.5
20.9
21.6
21.9
21.0
25.7
22.6
22.1
31.5
31.5
31.5
21.6
17.9
19.5
18.0
19.8
19.8
18.0
21.0
18.0
16.3
21.0
21.0
19.4
19.3
16.3
18.8
17.4
18.0
18.3
17.5
21.4
18.8
18.4
26.3
26.3
26.3
18.0
1
0.6327
21.6
18.0
E:\FR\FM\30APP2.SGM
30APP2
23897
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 11.—PROPOSED FY 2009 MS–LTC–DRGS, PROPOSED RELATIVE WEIGHTS, PROPOSED GEOMETRIC AVERAGE
LENGTH OF STAY, AND PROPOSED SHORT-STAY OUTLIER THRESHOLD—Continued
Proposed
MS–LTC–
DRG
Proposed
base MS–
LTC–DRG
410 ...........
408 ...........
411
412
413
414
411
411
411
414
...........
...........
...........
...........
...........
...........
...........
...........
415 ...........
414 ...........
416 ...........
414 ...........
417
418
419
420
421
422
423
417
417
417
420
420
420
423
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
424 ...........
425 ...........
423 ...........
423 ...........
432
433
434
435
436
437
...........
...........
...........
...........
...........
...........
432
432
432
435
435
435
...........
...........
...........
...........
...........
...........
438
439
440
441
442
443
...........
...........
...........
...........
...........
...........
438
438
438
441
441
441
...........
...........
...........
...........
...........
...........
444
445
446
453
454
455
456
...........
...........
...........
...........
...........
...........
...........
444
444
444
453
453
453
456
...........
...........
...........
...........
...........
...........
...........
456 ...........
458 ...........
456 ...........
459 ...........
460 ...........
461 ...........
459 ...........
459 ...........
461 ...........
462 ...........
461 ...........
463 ...........
463 ...........
464 ...........
463 ...........
465 ...........
jlentini on PROD1PC65 with PROPOSALS2
457 ...........
463 ...........
466
467
468
469
466
466
466
469
...........
...........
...........
...........
470 ...........
VerDate Aug<31>2005
...........
...........
...........
...........
469 ...........
FY 2007
LTCH cases
Proposed MS–LTC–DRG title
Biliary tract proc except only cholecyst w or w/o c.d.e. w/o
CC/MMCC.
Cholecystectomy w c.d.e. w MMCC ....................................
Cholecystectomy w c.d.e. w MCC .......................................
Cholecystectomy w c.d.e. w/o CC/MMCC ..........................
Cholecystectomy except by laparoscope w/o c.d.e. w
MMCC.
Cholecystectomy except by laparoscope w/o c.d.e. w
MCC.
Cholecystectomy except by laparoscope w/o c.d.e. w/o
CC/MMCC.
Laparoscopic cholecystectomy w/o c.d.e. w MCC* ............
Laparoscopic cholecystectomy w/o c.d.e. w MCC ..............
Laparoscopic cholecystectomy w/o c.d.e. w/o CC/MMCC ..
Hepatobiliary diagnostic procedures w MMCC ...................
Hepatobiliary diagnostic procedures w MCC ......................
Hepatobiliary diagnostic procedures w/o CC/MMCC ..........
Other hepatobiliary or pancreas O.R. procedures w
MMCC.
Other hepatobiliary or pancreas O.R. procedures w MCC
Other hepatobiliary or pancreas O.R. procedures w/o CC/
MMCC.
Cirrhosis & alcoholic hepatitis w MMCC .............................
Cirrhosis & alcoholic hepatitis w MCC ................................
Cirrhosis & alcoholic hepatitis w/o CC/MMCC ....................
Malignancy of hepatobiliary system or pancreas w MMCC
Malignancy of hepatobiliary system or pancreas w MCC ...
Malignancy of hepatobiliary system or pancreas w/o CC/
MMCC.
Disorders of pancreas except malignancy w MMCC ..........
Disorders of pancreas except malignancy w MCC .............
Disorders of pancreas except malignancy w/o CC/MMCC
Disorders of liver except malig,cirr,alc hepa w MMCC .......
Disorders of liver except malig,cirr,alc hepa w MCC ..........
Disorders of liver except malig,cirr,alc hepa w/o CC/
MMCC.
Disorders of the biliary tract w MMCC ................................
Disorders of the biliary tract w MCC ...................................
Disorders of the biliary tract w/o CC/MCC* .........................
Combined anterior/posterior spinal fusion w MMCC ...........
Combined anterior/posterior spinal fusion w MCC ..............
Combined anterior/posterior spinal fusion w/o CC/MMCC
Spinal fusion exc cerv w spinal curv, malig or 9+ fusions
w MMCC.
Spinal fusion exc cerv w spinal curv, malig or 9+ fusions
w MCC.
Spinal fusion exc cerv w spinal curv, malig or 9+ fusions
w/o CC/MMCC.
Spinal fusion except cervical w MMCC ...............................
Spinal fusion except cervical w/o MMCC ............................
Bilateral or multiple major joint procs of lower extremity w
MMCC.
Bilateral or multiple major joint procs of lower extremity w/
o MMCC.
Wnd debrid & skn grft exc hand, for musculo-conn tiss dis
w MMCC.
Wnd debrid & skn grft exc hand, for musculo-conn tiss dis
w MCC.
Wnd debrid & skn grft exc hand, for musculo-conn tiss dis
w/o CC/MCC.
Revision of hip or knee replacement w MMCC ..................
Revision of hip or knee replacement w MCC .....................
Revision of hip or knee replacement w/o CC/MMCC .........
Major joint replacement or reattachment of lower extremity
w MCC*.
Major joint replacement or reattachment of lower extremity
w/o MMCC.
19:42 Apr 29, 2008
Jkt 214001
PO 00000
Frm 00371
Fmt 4701
Sfmt 4702
Proposed
relative
weight
Proposed
geometric
average
length of
stay
Proposed
short-stay
outlier
(SSO)
threshold 1
0
0.6327
21.6
18.0
1
0
0
2
1.7509
1.7509
1.7509
1.7509
37.9
37.9
37.9
37.9
31.6
31.6
31.6
31.6
3
1.7509
37.9
31.6
0
1.7509
37.9
31.6
11
5
0
0
0
0
23
1.7509
1.7509
1.7509
0.8596
0.8596
0.8596
1.7509
37.9
37.9
37.9
25.2
25.2
25.2
37.9
31.6
31.6
31.6
21.0
21.0
21.0
31.6
2
0
0.8596
0.8596
25.2
25.2
21.0
21.0
73
24
0
53
26
4
0.6977
0.6327
0.6327
0.8340
0.4904
0.4824
20.9
21.6
21.6
22.0
17.2
19.6
17.4
18.0
18.0
18.3
14.3
16.3
243
144
24
123
62
14
1.0807
0.7533
0.6327
0.8206
0.7145
0.4824
23.5
22.0
21.6
23.1
21.7
19.6
19.6
18.3
18.0
19.3
18.1
16.3
104
35
8
0
0
0
1
0.8334
0.6140
0.6140
1.7509
1.7509
1.7509
1.7509
22.7
20.7
20.7
37.9
37.9
37.9
37.9
18.9
17.3
17.3
31.6
31.6
31.6
31.6
3
1.7509
37.9
31.6
0
1.7509
37.9
31.6
1
0
0
1.7509
1.7509
1.7509
37.9
37.9
37.9
31.6
31.6
31.6
0
0.8596
25.2
21.0
526
1.4126
38.7
32.3
311
1.0643
34.0
28.3
61
0.9863
34.0
28.3
3
4
1
3
1.2617
1.2617
0.4824
1.7509
31.5
31.5
19.6
37.9
26.3
26.3
16.3
31.6
3
1.7509
37.9
31.6
E:\FR\FM\30APP2.SGM
30APP2
23898
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 11.—PROPOSED FY 2009 MS–LTC–DRGS, PROPOSED RELATIVE WEIGHTS, PROPOSED GEOMETRIC AVERAGE
LENGTH OF STAY, AND PROPOSED SHORT-STAY OUTLIER THRESHOLD—Continued
Proposed
MS–LTC–
DRG
Proposed
base MS–
LTC–DRG
471
472
473
474
471
471
471
474
...........
...........
...........
...........
...........
...........
...........
...........
475 ...........
474 ...........
476 ...........
474 ...........
477 ...........
477 ...........
478 ...........
477 ...........
479 ...........
477 ...........
480
481
482
483
480
480
480
483
...........
...........
...........
...........
...........
...........
...........
...........
484 ...........
483 ...........
485
486
487
488
489
490
485
485
485
488
488
490
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
490 ...........
492 ...........
492 ...........
493 ...........
492 ...........
494 ...........
492 ...........
495 ...........
495 ...........
496 ...........
495 ...........
497 ...........
495 ...........
498 ...........
498 ...........
499 ...........
498 ...........
500
501
502
503
504
505
506
507
508
509
510
jlentini on PROD1PC65 with PROPOSALS2
491 ...........
500
500
500
503
503
503
506
507
507
509
510
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
511 ...........
510 ...........
512 ...........
510 ...........
513 ...........
513 ...........
514 ...........
513 ...........
VerDate Aug<31>2005
FY 2007
LTCH cases
Proposed MS–LTC–DRG title
Cervical spinal fusion w MMCC ..........................................
Cervical spinal fusion w MCC .............................................
Cervical spinal fusion w/o CC/MMCC .................................
Amputation for musculoskeletal sys & conn tissue dis w
MMCC.
Amputation for musculoskeletal sys & conn tissue dis w
MCC.
Amputation for musculoskeletal sys & conn tissue dis w/o
CC/MMCC.
Biopsies of musculoskeletal system & connective tissue w
MMCC.
Biopsies of musculoskeletal system & connective tissue w
MCC.
Biopsies of musculoskeletal system & connective tissue w/
o CC/MMCC.
Hip & femur procedures except major joint w MMCC ........
Hip & femur procedures except major joint w MCC ...........
Hip & femur procedures except major joint w/o CC/MMCC
Major joint & limb reattachment proc of upper extremity w
CC/MMCC.
Major joint & limb reattachment proc of upper extremity w/
o CC/MMCC.
Knee procedures w pdx of infection w MMCC ....................
Knee procedures w pdx of infection w MCC .......................
Knee procedures w pdx of infection w/o CC/MCC* ............
Knee procedures w/o pdx of infection w CC/MMCC ..........
Knee procedures w/o pdx of infection w/o CC/MMCC .......
Back & neck procedures except spinal fusion w CC/MCC
or disc devices.
Back & neck procedures except spinal fusion w/o CC/
MMCC.
Lower extrem & humer proc except hip, foot, femur w
MMCC.
Lower extrem & humer proc except hip, foot, femur w
MCC.
Lower extrem & humer proc except hip, foot, femur w/o
CC/MMCC.
Local excision & removal int fix devices exc hip & femur w
MMCC.
Local excision & removal int fix devices exc hip & femur w
CC*.
Local excision & removal int fix devices exc hip & femur
w/o CC/MCC*.
Local excision & removal int fix devices of hip & femur w
CC/MCC.
Local excision & removal int fix devices of hip & femur w/o
CC/MCC.
Soft tissue procedures w MMCC .........................................
Soft tissue procedures w MCC ............................................
Soft tissue procedures w/o CC/MMCC ...............................
Foot procedures w MMCC ..................................................
Foot procedures w MCC .....................................................
Foot procedures w/o CC/MMCC .........................................
Major thumb or joint procedures .........................................
Major shoulder or elbow joint procedures w CC/MMCC .....
Major shoulder or elbow joint procedures w/o CC/MMCC ..
Arthroscopy ..........................................................................
Shoulder, elbow or forearm proc, exc major joint proc w
MCC*.
Shoulder, elbow or forearm proc, exc major joint proc w
CC*.
Shoulder, elbow or forearm proc, exc major joint proc w/o
CC/MCC.
Hand or wrist proc, except major thumb or joint proc w
CC/MMCC.
Hand or wrist proc, except major thumb or joint proc w/o
CC/MCC*.
19:42 Apr 29, 2008
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Fmt 4701
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Proposed
relative
weight
Proposed
geometric
average
length of
stay
Proposed
short-stay
outlier
(SSO)
threshold 1
2
1
0
91
0.8596
0.8596
0.8596
1.5642
25.2
25.2
25.2
38.4
21.0
21.0
21.0
32.0
67
1.1116
33.9
28.3
4
0.8596
25.2
21.0
22
1.7509
37.9
31.6
12
1.2617
31.5
26.3
0
1.2617
31.5
26.3
21
11
2
0
1.7509
1.2617
0.8596
1.7509
37.9
31.5
25.2
37.9
31.6
26.3
21.0
31.6
0
0.8596
25.2
21.0
10
10
2
1
1
8
1.2617
1.2617
1.2617
1.7509
0.6327
1.2617
31.5
31.5
31.5
37.9
21.6
31.5
26.3
26.3
26.3
31.6
18.0
26.3
0
1.2617
31.5
26.3
10
1.2617
31.5
26.3
10
1.2617
31.5
26.3
1
0.8596
25.2
21.0
42
1.2616
36.9
30.8
20
1.2616
36.9
30.8
5
1.2616
36.9
30.8
9
1.7509
37.9
31.6
0
1.7509
37.9
31.6
68
28
4
15
22
3
0
1
0
0
1
1.3427
1.0746
0.8596
1.2617
0.8596
0.8596
1.2617
1.7509
1.7509
0.8596
0.8596
36.7
33.3
25.2
31.5
25.2
25.2
31.5
37.9
37.9
25.2
25.2
30.6
27.8
21.0
26.3
21.0
21.0
26.3
31.6
31.6
21.0
21.0
2
0.8596
25.2
21.0
0
0.8596
25.2
21.0
6
1.2617
31.5
26.3
1
1.2617
31.5
26.3
E:\FR\FM\30APP2.SGM
30APP2
23899
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 11.—PROPOSED FY 2009 MS–LTC–DRGS, PROPOSED RELATIVE WEIGHTS, PROPOSED GEOMETRIC AVERAGE
LENGTH OF STAY, AND PROPOSED SHORT-STAY OUTLIER THRESHOLD—Continued
Proposed
MS–LTC–
DRG
Proposed
base MS–
LTC–DRG
515 ...........
516 ...........
517 ...........
515 ...........
515 ...........
515 ...........
533
534
535
536
537
533
533
535
535
537
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
538 ...........
537 ...........
539
540
541
542
539
539
539
542
...........
...........
...........
...........
...........
...........
...........
...........
543 ...........
542 ...........
544 ...........
542 ...........
545
546
547
548
549
550
551
552
553
554
555
545
545
545
548
548
548
551
551
553
553
555
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
555 ...........
557 ...........
558 ...........
559 ...........
557 ...........
557 ...........
559 ...........
560 ...........
559 ...........
561 ...........
559 ...........
562 ...........
562 ...........
563 ...........
562 ...........
564 ...........
564 ...........
565 ...........
564 ...........
566 ...........
564 ...........
573 ...........
574 ...........
575 ...........
573 ...........
573 ...........
573 ...........
576 ...........
jlentini on PROD1PC65 with PROPOSALS2
556 ...........
576 ...........
577 ...........
578 ...........
576 ...........
576 ...........
579
580
581
582
583
579
579
579
582
582
...........
...........
...........
...........
...........
VerDate Aug<31>2005
...........
...........
...........
...........
...........
FY 2007
LTCH cases
Proposed MS–LTC–DRG title
Other musculoskelet sys & conn tiss O.R. proc w MMCC
Other musculoskelet sys & conn tiss O.R. proc w MCC ....
Other musculoskelet sys & conn tiss O.R. proc w/o CC/
MMCC.
Fractures of femur w MMCC ...............................................
Fractures of femur w/o MMCC ............................................
Fractures of hip & pelvis w MMCC .....................................
Fractures of hip & pelvis w/o MMCC ..................................
Sprains, strains, & dislocations of hip, pelvis & thigh w
CC/MMCC.
Sprains, strains, & dislocations of hip, pelvis & thigh w/o
CC/MCC.
Osteomyelitis w MMCC .......................................................
Osteomyelitis w MCC ..........................................................
Osteomyelitis w/o CC/MMCC ..............................................
Pathological fractures & musculoskelet & conn tiss malig
w MMCC.
Pathological fractures & musculoskelet & conn tiss malig
w MCC.
Pathological fractures & musculoskelet & conn tiss malig
w/o CC/MMCC.
Connective tissue disorders w MMCC ................................
Connective tissue disorders w MCC ...................................
Connective tissue disorders w/o CC/MMCC .......................
Septic arthritis w MMCC ......................................................
Septic arthritis w MCC .........................................................
Septic arthritis w/o CC/MMCC .............................................
Medical back problems w MMCC ........................................
Medical back problems w/o MMCC .....................................
Bone diseases & arthropathies w MMCC ...........................
Bone diseases & arthropathies w/o MMCC ........................
Signs & symptoms of musculoskeletal system & conn tissue w MMCC.
Signs & symptoms of musculoskeletal system & conn tissue w/o MCC.
Tendonitis, myositis & bursitis w MMCC .............................
Tendonitis, myositis & bursitis w/o MMCC ..........................
Aftercare, musculoskeletal system & connective tissue w
MMCC.
Aftercare, musculoskeletal system & connective tissue w
MCC.
Aftercare, musculoskeletal system & connective tissue w/o
CC/MMCC.
Fx, sprn, strn & disl except femur, hip, pelvis & thigh w
MMCC.
Fx, sprn, strn & disl except femur, hip, pelvis & thigh w/o
MMCC.
Other musculoskeletal sys & connective tissue diagnoses
w MMCC.
Other musculoskeletal sys & connective tissue diagnoses
w MCC.
Other musculoskeletal sys & connective tissue diagnoses
w/o CC/MMCC.
Skin graft &/or debrid for skn ulcer or cellulitis w MMCC ...
Skin graft &/or debrid for skn ulcer or cellulitis w MCC ......
Skin graft &/or debrid for skn ulcer or cellulitis w/o CC/
MMCC.
Skin graft &/or debrid exc for skin ulcer or cellulitis w
MMCC.
Skin graft &/or debrid exc for skin ulcer or cellulitis w MCC
Skin graft &/or debrid exc for skin ulcer or cellulitis w/o
CC/MMCC.
Other skin, subcut tiss & breast proc w MMCC ..................
Other skin, subcut tiss & breast proc w MCC .....................
Other skin, subcut tiss & breast proc w/o CC/MMCC .........
Mastectomy for malignancy w CC/MMCC ..........................
Mastectomy for malignancy w/o CC/MMCC .......................
19:42 Apr 29, 2008
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Frm 00373
Fmt 4701
Sfmt 4702
Proposed
relative
weight
Proposed
geometric
average
length of
stay
Proposed
short-stay
outlier
(SSO)
threshold 1
60
27
0
1.3728
0.9133
0.9133
31.5
28.0
28.0
26.3
23.3
23.3
3
6
16
25
1
0.6327
0.6327
0.8596
0.6130
0.4824
21.6
21.6
25.2
26.9
19.6
18.0
18.0
21.0
22.4
16.3
0
0.4824
19.6
16.3
1,317
848
227
23
0.9928
0.7632
0.6901
0.8596
30.2
27.6
27.1
25.2
25.2
23.0
22.6
21.0
42
0.5682
20.5
17.1
17
0.4824
19.6
16.3
50
38
5
172
200
73
83
156
15
59
3
0.9093
0.8478
0.4824
0.8843
0.7080
0.6067
0.8867
0.6146
0.6327
0.5022
0.8596
23.5
25.5
19.6
26.1
26.9
24.2
26.5
24.2
21.6
21.3
25.2
19.6
21.3
16.3
21.8
22.4
20.2
22.1
20.2
18.0
17.8
21.0
8
0.4824
19.6
16.3
84
134
1,368
0.8284
0.6519
0.8146
24.6
23.0
26.1
20.5
19.2
21.8
1,613
0.6469
24.7
20.6
730
0.5579
22.8
19.0
5
0.8596
25.2
21.0
9
0.4824
19.6
16.3
307
0.8803
24.2
20.2
199
0.6473
22.7
18.9
60
0.6236
22.5
18.8
1,814
1,761
200
1.3944
1.0779
0.9033
38.2
36.0
30.1
31.8
30.0
25.1
27
1.7840
37.6
31.3
28
11
0.8093
0.6327
27.3
21.6
22.8
18.0
476
398
34
1
0
1.3648
1.0585
0.8032
1.7509
1.7509
36.5
33.5
30.1
37.9
37.9
30.4
27.9
25.1
31.6
31.6
E:\FR\FM\30APP2.SGM
30APP2
23900
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 11.—PROPOSED FY 2009 MS–LTC–DRGS, PROPOSED RELATIVE WEIGHTS, PROPOSED GEOMETRIC AVERAGE
LENGTH OF STAY, AND PROPOSED SHORT-STAY OUTLIER THRESHOLD—Continued
Proposed
MS–LTC–
DRG
Proposed
base MS–
LTC–DRG
584 ...........
584 ...........
585 ...........
584 ...........
592
593
594
595
596
597
598
599
600
601
602
603
604
605
606
607
614
615
616
592
592
592
595
595
597
597
597
600
600
602
602
604
604
606
606
614
614
616
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
617 ...........
616 ...........
618 ...........
616 ...........
619
620
621
622
619
619
619
622
...........
...........
...........
...........
...........
...........
...........
...........
622 ...........
624 ...........
622 ...........
625 ...........
626 ...........
627 ...........
jlentini on PROD1PC65 with PROPOSALS2
623 ...........
625 ...........
625 ...........
625 ...........
628
629
630
637
638
639
640
641
642
643
644
645
652
653
654
655
656
657
658
659
660
661
628
628
628
637
637
637
640
640
642
643
643
643
652
653
653
653
656
656
656
659
659
659
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
662 ...........
663 ...........
664 ...........
VerDate Aug<31>2005
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
662 ...........
662 ...........
662 ...........
FY 2007
LTCH cases
Proposed MS–LTC–DRG title
Breast biopsy, local excision & other breast procedures w
CC/MMCC.
Breast biopsy, local excision & other breast procedures w/
o CC/MMCC.
Skin ulcers w MMCC ...........................................................
Skin ulcers w MCC ..............................................................
Skin ulcers w/o CC/MMCC ..................................................
Major skin disorders w MMCC ............................................
Major skin disorders w/o MMCC .........................................
Malignant breast disorders w MMCC ..................................
Malignant breast disorders w MCC .....................................
Malignant breast disorders w/o CC/MCC* ..........................
Non-malignant breast disorders w CC/MMCC ....................
Non-malignant breast disorders w/o CC/MMCC .................
Cellulitis w MMCC ...............................................................
Cellulitis w/o MMCC ............................................................
Trauma to the skin, subcut tiss & breast w MMCC ............
Trauma to the skin, subcut tiss & breast w/o MMCC .........
Minor skin disorders w MMCC ............................................
Minor skin disorders w/o MMCC .........................................
Adrenal & pituitary procedures w CC/MMCC ......................
Adrenal & pituitary procedures w/o CC/MMCC ...................
Amputat of lower limb for endocrine, nutrit,& metabol dis
w MMCC.
Amputat of lower limb for endocrine, nutrit,& metabol dis
w MCC.
Amputat of lower limb for endocrine, nutrit,& metabol dis
w/o CC/MMCC.
O.R. procedures for obesity w MMCC ................................
O.R. procedures for obesity w MCC ...................................
O.R. procedures for obesity w/o CC/MMCC .......................
Skin grafts & wound debrid for endoc, nutrit & metab dis
w MCC.
Skin grafts & wound debrid for endoc, nutrit & metab dis
w MCC.
Skin grafts & wound debrid for endoc, nutrit & metab dis
w/o CC/MMCC.
Thyroid, parathyroid & thyroglossal procedures w MMCC
Thyroid, parathyroid & thyroglossal procedures w MCC ....
Thyroid, parathyroid & thyroglossal procedures w/o CC/
MMCC.
Other endocrine, nutrit & metab O.R. proc w MMCC .........
Other endocrine, nutrit & metab O.R. proc w MCC ............
Other endocrine, nutrit & metab O.R. proc w/o CC/MMCC
Diabetes w MMCC ...............................................................
Diabetes w MCC ..................................................................
Diabetes w/o CC/MMCC .....................................................
Nutritional & misc metabolic disorders w MMCC ................
Nutritional & misc metabolic disorders w/o MMCC .............
Inborn errors of metabolism ................................................
Endocrine disorders w MMCC .............................................
Endocrine disorders w MCC ................................................
Endocrine disorders w/o CC/MCC ......................................
Kidney transplant .................................................................
Major bladder procedures w MCC ......................................
Major bladder procedures w MCC ......................................
Major bladder procedures w/o CC/MMCC ..........................
Kidney & ureter procedures for neoplasm w MMCC ..........
Kidney & ureter procedures forneoplasm w MCC ..............
Kidney & ureter procedures for neoplasm w/o CC/MMCC
Kidney & ureter procedures for non-neoplasm w MMCC ...
Kidney & ureter procedures for non-neoplasm w MCC ......
Kidney & ureter procedures for non-neoplasm w/o CC/
MMCC.
Minor bladder procedures w MMCC ...................................
Minor bladder procedures w MCC ......................................
Minor bladder procedures w/o CC/MCC .............................
19:42 Apr 29, 2008
Jkt 214001
PO 00000
Frm 00374
Fmt 4701
Sfmt 4702
Proposed
relative
weight
Proposed
geometric
average
length of
stay
Proposed
short-stay
outlier
(SSO)
threshold 1
2
0.6327
21.6
18.0
0
0.6327
21.6
18.0
3,044
2,805
435
28
39
7
7
1
17
6
829
1,634
29
53
63
93
0
0
70
0.9490
0.7171
0.6109
0.8138
0.6547
1.2617
0.8596
0.8596
0.8596
0.4824
0.6963
0.5333
0.8236
0.6053
0.8273
0.5599
1.0449
0.8596
1.4804
27.0
26.1
24.8
25.3
22.4
31.5
25.2
25.2
25.2
19.6
21.7
19.9
24.4
23.8
24.5
20.7
32.5
25.2
38.4
22.5
21.8
20.7
21.1
18.7
26.3
21.0
21.0
21.0
16.3
18.1
16.6
20.3
19.8
20.4
17.3
27.1
21.0
32.0
132
1.1478
33.1
27.6
2
0.4824
19.6
16.3
1
0
0
171
1.7509
1.7509
1.7509
1.2978
37.9
37.9
37.9
35.7
31.6
31.6
31.6
29.8
357
1.0065
30.9
25.8
21
0.6327
21.6
18.0
1
1
0
1.2617
0.8596
0.8596
31.5
25.2
25.2
26.3
21.0
21.0
48
110
2
421
1,052
71
638
548
5
30
28
1
0
2
0
0
1
0
0
6
6
1
1.3769
1.0449
0.8596
0.9264
0.6950
0.5777
0.8424
0.6217
0.4824
0.6833
0.5393
0.4824
0.0000
1.7509
1.7509
1.7509
1.7509
1.7509
1.7509
1.2617
1.2617
0.6327
32.3
32.5
25.2
26.6
24.5
20.8
23.1
21.5
19.6
24.0
21.1
19.6
0.0
37.9
37.9
37.9
37.9
37.9
37.9
31.5
31.5
21.6
26.9
27.1
21.0
22.2
20.4
17.3
19.3
17.9
16.3
20.0
17.6
16.3
0.0
31.6
31.6
31.6
31.6
31.6
31.6
26.3
26.3
18.0
2
2
0
1.7509
0.6327
0.6327
37.9
21.6
21.6
31.6
18.0
18.0
E:\FR\FM\30APP2.SGM
30APP2
23901
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 11.—PROPOSED FY 2009 MS–LTC–DRGS, PROPOSED RELATIVE WEIGHTS, PROPOSED GEOMETRIC AVERAGE
LENGTH OF STAY, AND PROPOSED SHORT-STAY OUTLIER THRESHOLD—Continued
Proposed
MS–LTC–
DRG
Proposed
base MS–
LTC–DRG
665
666
667
668
669
670
671
672
673
674
675
682
683
684
685
686
687
688
689
690
691
692
693
694
695
696
697
698
699
700
707
708
709
710
711
712
713
714
715
665
665
665
668
668
668
671
671
673
673
673
682
682
682
685
686
686
686
689
689
691
691
693
693
695
695
697
698
698
698
707
707
709
709
711
711
713
713
715
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
716 ...........
715 ...........
717 ...........
717 ...........
718 ...........
717 ...........
722
723
724
725
726
727
728
729
730
734
722
722
722
725
725
727
727
729
729
734
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
jlentini on PROD1PC65 with PROPOSALS2
735 ...........
734 ...........
736 ...........
736 ...........
737 ...........
736 ...........
738 ...........
736 ...........
739 ...........
739 ...........
VerDate Aug<31>2005
FY 2007
LTCH cases
Proposed MS–LTC–DRG title
Prostatectomy w MCC* .......................................................
Prostatectomy w CC* ..........................................................
Prostatectomy w/o CC/MMCC .............................................
Transurethral procedures w MMCC ....................................
Transurethral procedures w MCC .......................................
Transurethral procedures w/o CC/MMCC ...........................
Urethral procedures w CC/MMCC .......................................
Urethral procedures w/o CC/MMCC ....................................
Other kidney & urinary tract procedures w MMCC .............
Other kidney & urinary tract procedures w MCC ................
Other kidney & urinary tract procedures w/o CC/MMCC ....
Renal failure w MMCC ........................................................
Renal failure w MCC ...........................................................
Renal failure w/o CC/MMCC ...............................................
Admit for renal dialysis ........................................................
Kidney & urinary tract neoplasms w MMCC .......................
Kidney & urinary tract neoplasms w MCC ..........................
Kidney & urinary tract neoplasms w/o CC/MMCC ..............
Kidney & urinary tract infections w MMCC .........................
Kidney & urinary tract infections w/o MMCC ......................
Urinary stones w esw lithotripsy w CC/MMCC ...................
Urinary stones w esw lithotripsy w/o CC/MMCC ................
Urinary stones w/o esw lithotripsy w MMCC .......................
Urinary stones w/ot esw lithotripsy w/o MMCC ...................
Kidney & urinary tract signs & symptoms w MMCC ...........
Kidney & urinary tract signs & symptoms w/o MMCC ........
Urethral stricture ..................................................................
Other kidney & urinary tract diagnoses w MMCC ...............
Other kidney & urinary tract diagnoses w MCC ..................
Other kidney & urinary tract diagnoses w/o CC/MMCC .....
Major male pelvic procedures w CC/MMCC .......................
Major male pelvic procedures w/o CC/MMCC ....................
Penis procedures w CC/MMCC ..........................................
Penis procedures w/o CC/MMCC .......................................
Testes procedures w CC/MMCC .........................................
Testes procedures w/o CC/MMCC ......................................
Transurethral prostatectomy w CC/MMCC .........................
Transurethral prostatectomy w/o CC/MMCC ......................
Other male reproductive system O.R. proc for malignancy
w CC/MMCC.
Other male reproductive system O.R. proc for malignancy
w/o CC/MMCC.
Other male reproductive system O.R. proc exc malignancy
w CC/MMCC.
Other male reproductive system O.R. proc exc malignancy
w/o CC/MMCC.
Malignancy, male reproductive system w MMCC ...............
Malignancy, male reproductive system w MCC ..................
Malignancy, male reproductive system w/o CC/MMCC ......
Benign prostatic hypertrophy w MMCC ...............................
Benign prostatic hypertrophy w/o MMCC ............................
Inflammation of the male reproductive system w MMCC ...
Inflammation of the male reproductive system w/o MMCC
Other male reproductive system diagnoses w CC/MMCC
Other male reproductive system diagnoses w/o CC/MMCC
Pelvic evisceration, rad hysterectomy & rad vulvectomy w
CC/MMCC.
Pelvic evisceration, rad hysterectomy & rad vulvectomy w/
o CC/MMCC.
Uterine & adnexa proc for ovarian or adnexal malignancy
w MMCC.
Uterine & adnexa proc for ovarian or adnexal malignancy
w MCC.
Uterine & adnexa proc for ovarian or adnexal malignancy
w/o CC/MMCC.
Uterine,adnexa proc for non-ovarian/adnexal malig w
MMCC.
19:42 Apr 29, 2008
Jkt 214001
PO 00000
Frm 00375
Fmt 4701
Sfmt 4702
Proposed
relative
weight
Proposed
geometric
average
length of
stay
Proposed
short-stay
outlier
(SSO)
threshold 1
2
1
0
4
3
0
1
0
227
67
0
1,458
713
91
32
15
18
3
868
782
0
0
3
5
4
7
0
285
142
33
0
0
15
0
6
0
2
0
0
0.8596
0.8596
0.8596
0.8596
0.6327
0.6327
0.6327
0.6327
1.4418
1.1430
1.1430
0.8945
0.7478
0.6647
0.8341
0.8596
0.8596
0.6327
0.6712
0.5266
0.4824
0.4824
0.8596
0.4824
1.2617
0.6327
0.6327
0.9527
0.6606
0.5695
1.2617
0.6327
1.7509
1.7509
1.2617
1.2617
1.7509
1.7509
1.2617
25.2
25.2
25.2
25.2
21.6
21.6
21.6
21.6
33.8
29.1
29.1
23.8
22.8
20.6
25.1
25.2
25.2
21.6
22.6
20.5
19.6
19.6
25.2
19.6
31.5
21.6
21.6
23.5
22.0
21.1
31.5
21.6
37.9
37.9
31.5
31.5
37.9
37.9
31.5
21.0
21.0
21.0
21.0
18.0
18.0
18.0
18.0
28.2
24.3
24.3
19.8
19.0
17.2
20.9
21.0
21.0
18.0
18.8
17.1
16.3
16.3
21.0
16.3
26.3
18.0
18.0
19.6
18.3
17.6
26.3
18.0
31.6
31.6
26.3
26.3
31.6
31.6
26.3
0
1.2617
31.5
26.3
11
1.2617
31.5
26.3
0
1.2617
31.5
26.3
15
15
0
1
2
27
51
49
8
0
0.6327
0.4824
0.4824
0.8596
0.4824
0.7907
0.5259
0.8878
0.4824
1.2617
21.6
19.6
19.6
25.2
19.6
23.1
20.4
26.2
19.6
31.5
18.0
16.3
16.3
21.0
16.3
19.3
17.0
21.8
16.3
26.3
0
1.2617
31.5
26.3
0
1.2617
31.5
26.3
0
0.8596
25.2
21.0
0
0.4824
19.6
16.3
1
1.2617
31.5
26.3
E:\FR\FM\30APP2.SGM
30APP2
23902
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 11.—PROPOSED FY 2009 MS–LTC–DRGS, PROPOSED RELATIVE WEIGHTS, PROPOSED GEOMETRIC AVERAGE
LENGTH OF STAY, AND PROPOSED SHORT-STAY OUTLIER THRESHOLD—Continued
Proposed
MS–LTC–
DRG
Proposed
base MS–
LTC–DRG
740 ...........
739 ...........
741 ...........
739 ...........
742 ...........
743 ...........
744 ...........
742 ...........
742 ...........
744 ...........
745 ...........
744 ...........
746
747
748
749
746
746
748
749
...........
...........
...........
...........
...........
...........
...........
...........
750 ...........
749 ...........
754
755
756
757
758
759
760
754
754
754
757
757
757
760
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
761 ...........
760 ...........
765
766
767
768
769
770
774
775
776
777
778
779
780
781
782
789
790
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
765
765
767
768
769
770
774
775
776
777
778
779
780
781
782
789
790
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
791
792
793
794
795
799
800
801
802
...........
...........
...........
...........
...........
...........
...........
...........
...........
791
792
793
794
795
799
799
799
802
...........
...........
...........
...........
...........
...........
...........
...........
...........
802 ...........
804 ...........
jlentini on PROD1PC65 with PROPOSALS2
803 ...........
802 ...........
808 ...........
808 ...........
809 ...........
808 ...........
810 ...........
808 ...........
811 ...........
812 ...........
811 ...........
811 ...........
VerDate Aug<31>2005
FY 2007
LTCH cases
Proposed MS–LTC–DRG title
Uterine,adnexa proc for non-ovarian/adnexal malig w
MCC.
Uterine,adnexa proc for non-ovarian/adnexal malig w/o
CC/MMCC.
Uterine & adnexa proc for non-malignancy w CC/MMCC ..
Uterine & adnexa proc for non-malignancy w/o CC/MMCC
D&C, conization, laparascopy & tubal interruption w CC/
MMCC.
D&C, conization, laparascopy & tubal interruption w/o CC/
MMCC.
Vagina, cervix & vulva procedures w CC/MMCC ...............
Vagina, cervix & vulva procedures w/o CC/MMCC ............
Female reproductive system reconstructive procedures .....
Other female reproductive system O.R. procedures w CC/
MMCC.
Other female reproductive system O.R. procedures w/o
CC/MMCC.
Malignancy, female reproductive system w MMCC ............
Malignancy, female reproductive system w MCC ...............
Malignancy, female reproductive system w/o CC/MMCC ...
Infections, female reproductive system w MCC* ................
Infections, female reproductive system w CC* ...................
Infections, female reproductive system w/o CC/MCC* .......
Menstrual & other female reproductive system disorders w
CC/MMCC.
Menstrual & other female reproductive system disorders
w/o CC/MMCC.
Cesarean section w CC/MMCC ..........................................
Cesarean section w/o CC/MMCC .......................................
Vaginal delivery w sterilization &/or D&C ............................
Vaginal delivery w O.R. proc except steril &/or D&C ..........
Postpartum & post abortion diagnoses w O.R. procedure
Abortion w D&C, aspiration curettage or hysterotomy ........
Vaginal delivery w complicating diagnoses .........................
Vaginal delivery w/o complicating diagnoses ......................
Postpartum & post abortion diagnoses w/o O.R. procedure
Ectopic pregnancy ...............................................................
Threatened abortion ............................................................
Abortion w/o D&C ................................................................
False labor ...........................................................................
Other antepartum diagnoses w medical complications .......
Other antepartum diagnoses w/o medical complications ....
Neonates, died or transferred to another acute care facility
Extreme immaturity or respiratory distress syndrome,
neonate.
Prematurity w major problems .............................................
Prematurity w/o major problems ..........................................
Full term neonate w major problems ...................................
Neonate w other significant problems .................................
Normal newborn ..................................................................
Splenectomy w MCC ...........................................................
Splenectomy w CC ..............................................................
Splenectomy w/o CC/MMCC ...............................................
Other O.R. proc of the blood & blood forming organs w
MMCC.
Other O.R. proc of the blood & blood forming organs w
MCC.
Other O.R. proc of the blood & blood forming organs w/o
CC/MMCC.
Major hematol/immun diag exc sickle cell crisis & coagul
w MMCC.
Major hematol/immun diag exc sickle cell crisis & coagul
w MCC.
Major hematol/immun diag exc sickle cell crisis & coagul
w/o CC/MMCC.
Red blood cell disorders w MMCC ......................................
Red blood cell disorders w/o MMCC ...................................
19:42 Apr 29, 2008
Jkt 214001
PO 00000
Frm 00376
Fmt 4701
Sfmt 4702
Proposed
relative
weight
Proposed
geometric
average
length of
stay
Proposed
short-stay
outlier
(SSO)
threshold 1
0
1.2617
31.5
26.3
0
1.2617
31.5
26.3
0
0
1
0.8596
0.4824
0.8596
25.2
19.6
25.2
21.0
16.3
21.0
0
0.8596
25.2
21.0
1
0
0
4
1.7509
1.7509
1.2617
1.2617
37.9
37.9
31.5
31.5
31.6
31.6
26.3
26.3
0
1.2617
31.5
26.3
22
21
1
52
27
5
0
1.2617
0.8596
0.4824
0.7580
0.7580
0.7580
0.8596
31.5
25.2
19.6
23.7
23.7
23.7
25.2
26.3
21.0
16.3
19.8
19.8
19.8
21.0
0
0.8596
25.2
21.0
0
0
0
0
0
0
0
0
0
0
0
0
0
1
0
0
0
0.8596
0.8596
0.8596
0.8596
0.8596
0.8596
0.8596
0.8596
0.8596
0.8596
0.7580
0.7580
0.7580
0.4824
0.4824
0.4824
0.4824
25.2
25.2
25.2
25.2
25.2
25.2
25.2
25.2
25.2
25.2
23.7
23.7
23.7
19.6
19.6
19.6
19.6
21.0
21.0
21.0
21.0
21.0
21.0
21.0
21.0
21.0
21.0
19.8
19.8
19.8
16.3
16.3
16.3
16.3
0
0
0
0
0
0
1
0
4
0.4824
0.4824
0.4824
0.4824
0.4824
0.8596
0.8596
0.8596
1.2617
19.6
19.6
19.6
19.6
19.6
25.2
25.2
25.2
31.5
16.3
16.3
16.3
16.3
16.3
21.0
21.0
21.0
26.3
0
1.2617
31.5
26.3
0
1.2617
31.5
26.3
17
1.2617
31.5
26.3
11
0.8596
25.2
21.0
1
0.4824
19.6
16.3
43
58
0.7905
0.5349
22.8
20.4
19.0
17.0
E:\FR\FM\30APP2.SGM
30APP2
23903
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
TABLE 11.—PROPOSED FY 2009 MS–LTC–DRGS, PROPOSED RELATIVE WEIGHTS, PROPOSED GEOMETRIC AVERAGE
LENGTH OF STAY, AND PROPOSED SHORT-STAY OUTLIER THRESHOLD—Continued
Proposed
MS–LTC–
DRG
Proposed
base MS–
LTC–DRG
813
814
815
816
820
821
822
813
814
814
814
820
820
820
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
823 ...........
823 ...........
824 ...........
823 ...........
825 ...........
823 ...........
826 ...........
826 ...........
827 ...........
826 ...........
828 ...........
826 ...........
829 ...........
829 ...........
830 ...........
829 ...........
834
835
836
837
834
834
834
837
...........
...........
...........
...........
...........
...........
...........
...........
838 ...........
837 ...........
839 ...........
837 ...........
840
841
842
843
844
845
840
840
840
843
843
843
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
846 ...........
847 ...........
846 ...........
848 ...........
846 ...........
849 ...........
853 ...........
849 ...........
853 ...........
854 ...........
855 ...........
853 ...........
853 ...........
856 ...........
856 ...........
857 ...........
856 ...........
858 ...........
jlentini on PROD1PC65 with PROPOSALS2
846 ...........
856 ...........
862
863
864
865
866
867
868
869
862
862
864
865
865
867
867
867
...........
...........
...........
...........
...........
...........
...........
...........
VerDate Aug<31>2005
...........
...........
...........
...........
...........
...........
...........
...........
FY 2007
LTCH cases
Proposed MS–LTC–DRG title
Coagulation disorders ..........................................................
Reticuloendothelial & immunity disorders w MMCC ...........
Reticuloendothelial & immunity disorders w MCC ..............
Reticuloendothelial & immunity disorders w/o CC/MMCC ..
Lymphoma & leukemia w major O.R. procedure w MMCC
Lymphoma & leukemia w major O.R. procedure w MCC ...
Lymphoma & leukemia w major O.R. procedure w/o CC/
MMCC.
Lymphoma & non-acute leukemia w other O.R. proc w
MMCC.
Lymphoma & non-acute leukemia w other O.R. proc w
MCC.
Lymphoma & non-acute leukemia w other O.R. proc w/o
CC/MMCC.
Myeloprolif disord or poorly diff neopl w maj O.R. proc w
MMCC.
Myeloprolif disord or poorly diff neopl w maj O.R. proc w
MCC.
Myeloprolif disord or poorly diff neopl w maj O.R. proc w/o
CC/MMCC.
Myeloprolif disord or poorly diff neopl w other O.R. proc w
CC/MMCC.
Myeloprolif disord or poorly diff neopl w other O.R. proc w/
o CC/MMCC.
Acute leukemia w/o major O.R. procedure w MMCC .........
Acute leukemia w/o major O.R. procedure w CC* ..............
Acute leukemia w/o major O.R. procedure w/o CC/MCC*
Chemo w acute leukemia as sdx or w high dose chemo
agent w MMCC.
Chemo w acute leukemia as sdx or w high dose chemo
agent w MCC.
Chemo w acute leukemia as sdx or w high dose chemo
agent w/o CC/MMCC.
Lymphoma & non-acute leukemia w MMCC .......................
Lymphoma & non-acute leukemia w MCC ..........................
Lymphoma & non-acute leukemia w/o CC/MMCC .............
Other myeloprolif dis or poorly diff neopl diag w MMCC ....
Other myeloprolif dis or poorly diff neopl diag w MCC .......
Other myeloprolif dis or poorly diff neopl diag w/o CC/
MMCC.
Chemotherapy w/o acute leukemia as secondary diagnosis w MMCC.
Chemotherapy w/o acute leukemia as secondary diagnosis w MCC.
Chemotherapy w/o acute leukemia as secondary diagnosis w/o CC/MMCC.
Radiotherapy ........................................................................
Infectious & parasitic diseases w O.R. procedure w
MMCC.
Infectious & parasitic diseases w O.R. procedure w MCC
Infectious & parasitic diseases w O.R. procedure w/o CC/
MCC*.
Postoperative or post-traumatic infections w O.R. proc w
MMCC.
Postoperative or post-traumatic infections w O.R. proc w
MCC.
Postoperative or post-traumatic infections w O.R. proc w/o
CC/MMCC.
Postoperative & post-traumatic infections w MMCC ...........
Postoperative & post-traumatic infections w/o MMCC ........
Fever of unknown origin ......................................................
Viral illness w MMCC ..........................................................
Viral illness w/o MMCC .......................................................
Other infectious & parasitic diseases diagnoses w MMCC
Other infectious & parasitic diseases diagnoses w MCC ...
Other infectious & parasitic diseases diagnoses w/o CC/
MMCC.
19:42 Apr 29, 2008
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Proposed
relative
weight
Proposed
geometric
average
length of
stay
Proposed
short-stay
outlier
(SSO)
threshold 1
55
16
7
1
0
0
0
0.8402
0.8596
0.6327
0.4824
1.2617
0.8596
0.8596
23.2
25.2
21.6
19.6
31.5
25.2
25.2
19.3
21.0
18.0
16.3
26.3
21.0
21.0
11
1.2617
31.5
26.3
4
0.8596
25.2
21.0
0
0.8596
25.2
21.0
1
1.7509
37.9
31.6
1
1.7509
37.9
31.6
0
1.7509
37.9
31.6
7
1.7509
37.9
31.6
0
1.7509
37.9
31.6
14
14
2
0
0.8596
0.8596
0.8596
1.7509
25.2
25.2
25.2
37.9
21.0
21.0
21.0
31.6
0
1.7509
37.9
31.6
0
1.7509
37.9
31.6
133
63
7
20
11
3
0.9227
0.7247
0.6327
0.8596
0.6327
0.6327
23.1
19.7
21.6
25.2
21.6
21.6
19.3
16.4
18.0
21.0
18.0
18.0
49
1.4778
30.0
25.0
43
1.0877
23.8
19.8
0
1.0877
23.8
19.8
141
837
0.7949
1.7864
21.6
37.3
18.0
31.1
104
5
1.1703
1.1703
33.0
33.0
27.5
27.5
301
1.5591
36.7
30.6
213
1.0707
32.6
27.2
32
0.8943
26.8
22.3
1,163
1,231
11
36
14
357
86
7
0.9629
0.7018
0.4824
0.7998
0.6327
1.1296
0.7458
0.4824
25.3
23.8
19.6
22.2
21.6
23.4
22.6
19.6
21.1
19.8
16.3
18.5
18.0
19.5
18.8
16.3
E:\FR\FM\30APP2.SGM
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TABLE 11.—PROPOSED FY 2009 MS–LTC–DRGS, PROPOSED RELATIVE WEIGHTS, PROPOSED GEOMETRIC AVERAGE
LENGTH OF STAY, AND PROPOSED SHORT-STAY OUTLIER THRESHOLD—Continued
Proposed
MS–LTC–
DRG
Proposed
base MS–
LTC–DRG
870
871
872
876
880
881
882
883
884
885
886
887
894
895
870
871
871
876
880
881
882
883
884
885
886
887
894
895
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
896 ...........
896 ...........
897 ...........
896 ...........
901
902
903
904
905
906
907
908
909
913
914
915
916
917
918
919
920
921
922
923
927
901
901
901
904
904
906
907
907
907
913
913
915
915
917
917
919
919
919
922
922
927
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
928 ...........
928 ...........
933 ...........
934 ...........
935 ...........
939 ...........
934 ...........
935 ...........
939 ...........
940 ...........
939 ...........
941 ...........
jlentini on PROD1PC65 with PROPOSALS2
928 ...........
929 ...........
933 ...........
939 ...........
945
946
947
948
949
950
951
955
956
945
945
947
947
949
949
951
955
956
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
957 ...........
957 ...........
958 ...........
957 ...........
VerDate Aug<31>2005
FY 2007
LTCH cases
Proposed MS–LTC–DRG title
Septicemia w MV 96+ hours ...............................................
Septicemia w/o MV 96+ hours w MMCC ............................
Septicemia w/o MV 96+ hours w/o MMCC .........................
O.R. procedure w principal diagnoses of mental illness .....
Acute adjustment reaction & psychosocial dysfunction ......
Depressive neuroses ...........................................................
Neuroses except depressive ...............................................
Disorders of personality & impulse control ..........................
Organic disturbances & mental retardation .........................
Psychoses ............................................................................
Behavioral & developmental disorders ................................
Other mental disorder diagnoses ........................................
Alcohol/drug abuse or dependence, left ama .....................
Alcohol/drug abuse or dependence w rehabilitation therapy.
Alcohol/drug abuse or dependence w/o rehabilitation therapy w MMCC.
Alcohol/drug abuse or dependence w/o rehabilitation therapy w/o MMCC.
Wound debridements for injuries w MMCC ........................
Wound debridements for injuries w MCC ...........................
Wound debridements for injuries w/o CC/MMCC ...............
Skin grafts for injuries w CC/MMCC ...................................
Skin grafts for injuries w/o CC/MMCC ................................
Hand procedures for injuries ...............................................
Other O.R. procedures for injuries w MMCC ......................
Other O.R. procedures for injuries w MCC .........................
Other O.R. procedures for injuries w/o CC/MCC* ..............
Traumatic injury w MMCC ...................................................
Traumatic injury w/o MMCC ................................................
Allergic reactions w MMCC .................................................
Allergic reactions w/o MMCC ..............................................
Poisoning & toxic effects of drugs w MMCC .......................
Poisoning & toxic effects of drugs w/o MMCC ....................
Complications of treatment w MMCC ..................................
Complications of treatment w MCC .....................................
Complications of treatment w/o CC/MMCC ........................
Other injury, poisoning & toxic effect diag w MMCC ..........
Other injury, poisoning & toxic effect diag w/o MMCC .......
Extensive burns or full thickness burns w MV 96+ hrs w
skin graft.
Full thickness burn w skin graft or inhal inj w CC/MMCC ..
Full thickness burn w skin graft or inhal inj w/o CC/MMCC
Extensive burns or full thickness burns w MV 96+ hrs w/o
skin graft.
Full thickness burn w/o skin grft or inhal inj ........................
Non-extensive burns ............................................................
O.R. proc w diagnoses of other contact w health services
w MCC.
O.R. proc w diagnoses of other contact w health services
w MCC.
O.R. proc w diagnoses of other contact w health services
w/o CC/MMCC.
Rehabilitation w CC/MMCC .................................................
Rehabilitation w/o CC/MMCC ..............................................
Signs & symptoms w MMCC ...............................................
Signs & symptoms w/o MMCC ............................................
Aftercare w CC/MMCC ........................................................
Aftercare w/o CC/MMCC .....................................................
Other factors influencing health status ................................
Craniotomy for multiple significant trauma ..........................
Limb reattachment, hip & femur proc for multiple significant trauma.
Other O.R. procedures for multiple significant trauma w
MMCC.
Other O.R. procedures for multiple significant trauma w
MCC.
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Proposed
relative
weight
Proposed
geometric
average
length of
stay
Proposed
short-stay
outlier
(SSO)
threshold 1
894
4,507
1,608
12
11
14
16
12
146
1,218
18
0
0
2
2.2127
0.8713
0.6584
0.6327
0.4824
0.6327
0.4824
0.8596
0.5159
0.4206
0.4824
0.6327
0.6327
0.4824
33.0
23.4
21.8
21.6
19.6
21.6
19.6
25.2
25.4
23.9
19.6
21.6
21.6
19.6
27.5
19.5
18.2
18.0
16.3
18.0
16.3
21.0
21.2
19.9
16.3
18.0
18.0
16.3
7
1.2617
31.5
26.3
17
0.4824
19.6
16.3
217
129
23
78
6
1
91
63
6
37
66
0
0
8
9
1,235
841
117
7
11
1
1.5251
1.0552
0.8596
1.3404
0.8596
1.7509
1.6273
1.1167
1.1167
0.7480
0.6073
0.4824
0.4824
0.4824
0.4824
1.0924
0.8582
0.6163
0.8596
0.6327
1.7509
35.9
30.1
25.2
35.6
25.2
37.9
37.5
34.0
34.0
24.8
21.8
19.6
19.6
19.6
19.6
26.9
26.0
20.1
25.2
21.6
37.9
29.9
25.1
21.0
29.7
21.0
31.6
31.3
28.3
28.3
20.7
18.2
16.3
16.3
16.3
16.3
22.4
21.7
16.8
21.0
18.0
31.6
9
2
10
1.2617
0.6327
1.2617
31.5
21.6
31.5
26.3
18.0
26.3
40
46
267
0.7755
0.7815
1.3463
24.2
24.5
34.1
20.2
20.4
28.4
135
0.9993
30.6
25.5
15
0.8596
25.2
21.0
2,220
428
57
69
3,802
546
28
0
0
0.6154
0.4311
0.6548
0.5737
0.7034
0.5002
1.2726
1.7509
0.8596
22.1
18.9
22.2
22.2
22.5
19.2
27.0
37.9
25.2
18.4
15.8
18.5
18.5
18.8
16.0
22.5
31.6
21.0
1
1.2617
31.5
26.3
1
0.4824
19.6
16.3
E:\FR\FM\30APP2.SGM
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TABLE 11.—PROPOSED FY 2009 MS–LTC–DRGS, PROPOSED RELATIVE WEIGHTS, PROPOSED GEOMETRIC AVERAGE
LENGTH OF STAY, AND PROPOSED SHORT-STAY OUTLIER THRESHOLD—Continued
Proposed
MS–LTC–
DRG
Proposed
base MS–
LTC–DRG
959 ...........
957 ...........
963
964
965
969
970
974
975
976
977
981
963
963
963
969
969
974
974
974
977
981
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
...........
982 ...........
981 ...........
983 ...........
981 ...........
984 ...........
984 ...........
985 ...........
984 ...........
986 ...........
984 ...........
987 ...........
987 ...........
988 ...........
987 ...........
989 ...........
987 ...........
998 ...........
999 ...........
998 ...........
999 ...........
FY 2007
LTCH cases
Proposed MS–LTC–DRG title
Other O.R. procedures for multiple significant trauma w/o
CC/MMCC.
Other multiple significant trauma w MMCC .........................
Other multiple significant trauma w MCC ............................
Other multiple significant trauma w/o CC/MMCC ...............
HIV w extensive O.R. procedure w MMCC .........................
HIV w extensive O.R. procedure w/o MCC* .......................
HIV w major related condition w MMCC .............................
HIV w major related condition w MCC ................................
HIV w major related condition w/o CC/MMCC ....................
HIV w or w/o other related condition ...................................
Extensive O.R. procedure unrelated to principal diagnosis
w MMCC.
Extensive O.R. procedure unrelated to principal diagnosis
w MCC.
Extensive O.R. procedure unrelated to principal diagnosis
w/o CC/MMCC.
Prostatic O.R. procedure unrelated to principal diagnosis
w MMCC.
Prostatic O.R. procedure unrelated to principal diagnosis
w MCC.
Prostatic O.R. procedure unrelated to principal diagnosis
w/o CC/MMCC.
Non-extensive O.R. proc unrelated to principal diagnosis
w MMCC.
Non-extensive O.R. proc unrelated to principal diagnosis
w MCC.
Non-extensive O.R. proc unrelated to principal diagnosis
w/o CC/MMCC.
Ungroupable ........................................................................
Principal diagnosis invalid as discharge diagnosis .............
Proposed
relative
weight
Proposed
geometric
average
length of
stay
Proposed
short-stay
outlier
(SSO)
threshold 1
0
0.4824
19.6
16.3
15
5
3
13
3
196
85
16
45
1,143
0.8596
0.6327
0.4824
1.2617
1.2617
1.0056
0.6433
0.6327
0.6975
2.3516
25.2
21.6
19.6
31.5
31.5
21.9
18.3
21.6
19.0
43.1
21.0
18.0
16.3
26.3
26.3
18.3
15.3
18.0
15.8
35.9
290
1.4645
35.2
29.3
26
1.1662
31.9
26.6
16
1.2617
31.5
26.3
9
1.2617
31.5
26.3
0
1.2617
31.5
26.3
419
1.7561
36.4
30.3
218
1.1596
33.9
28.3
10
0.8596
25.2
21.0
0
0
0.0000
0.0000
0.0
0.0
0.0
0.0
1 The proposed SSO Threshold is calculated as 5⁄6th of the geometric average length of stay of the proposed MS–LTC–DRG (as specified at
§ 412.529 in conjunction with § 412.503).
* In determining the proposed MS–LTC–DRG relative weights, these proposed MS–LTC–DRGs were adjusted for nonmonotonicity as discussed in section II.I.4. (step 6) of the preamble of this proposed rule.
jlentini on PROD1PC65 with PROPOSALS2
Appendix A—Regulatory Impact Analysis
I. Overall Impact
We have examined the impacts of this
proposed rule as required by Executive Order
12866 (September 1993, Regulatory Planning
and Review) and the Regulatory Flexibility
Act (RFA) (September 19, 1980, Pub. L. 96–
354), section 1102(b) of the Social Security
Act, the Unfunded Mandates Reform Act of
1995 (Pub. L. 104–4), Executive Order 13132
on Federalism, and the Congressional Review
Act (5 U.S.C. 804(2)).
Executive Order 12866 (as amended by
Executive Order 13258) directs agencies to
assess all costs and benefits of available
regulatory alternatives and, if regulation is
necessary, to select regulatory approaches
that maximize net benefits (including
potential economic, environmental, public
health and safety effects, distributive
impacts, and equity). A regulatory impact
analysis (RIA) must be prepared for major
rules with economically significant effects
($100 million or more in any 1 year).
We have determined that this proposed
rule is a major rule as defined in 5 U.S.C.
804(2). We estimate that the proposed
changes for FY 2009 operating and capital
payments would redistribute in excess of
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19:42 Apr 29, 2008
Jkt 214001
$100 million among different types of
inpatient cases. The market basket update to
the IPPS rates required by the statute, in
conjunction with other payment changes in
this proposed rule, would result in an
approximate $4 billion increase in FY 2009
operating and capital payments. Our impact
estimate includes the ¥0.9 percent
adjustment for documentation and coding
changes to the IPPS standardized amounts
and capital Federal rates for FY 2009 in
accordance with section 7 of Pub. L. 110–90.
For purposes of the impact analysis, we also
assume an additional 1.8 percent increase in
case-mix between FY 2008 and FY 2009
because we believe the adoption of the MS–
DRGs will result in case-mix growth due to
documentation and coding changes that do
not reflect real changes in patient severity of
illness. The estimates of IPPS operating
payments do not reflect any changes in
hospital admissions or real case-mix
intensity, which would also affect overall
payment changes.
The RFA requires agencies to analyze
options for regulatory relief of small
businesses. For purposes of the RFA, small
entities include small businesses, nonprofit
organizations, and small government
jurisdictions. Most hospitals and most other
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Sfmt 4702
providers and suppliers are considered to be
small entities, either by being nonprofit
organizations or by meeting the Small
Business Administration definition of a small
business (having revenues of $31.5 million or
less in any 1 year). (For details on the latest
standards for heath care providers, we refer
readers to page 33 of the Table of Small
Business Size Standards at the Small
Business Administration Web site at: https://
www.sba.gov/services/
contractingopportunities/
sizestandardstopics/tableofsize/.)
For purposes of the RFA, all hospitals and
other providers and suppliers are considered
to be small entities. Individuals and States
are not included in the definition of a small
entity. We believe that this proposed rule
would have a significant impact on small
entities as explained in this Appendix.
Because we acknowledge that many of the
affected entities are small entities, the
analysis discussed throughout the preamble
of this proposed rule constitutes our initial
regulatory flexibility analysis. Therefore, we
are soliciting comments on our estimates and
analysis of the impact of the proposed rule
on those small entities.
In addition, section 1102(b) of the Act
requires us to prepare a regulatory impact
E:\FR\FM\30APP2.SGM
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jlentini on PROD1PC65 with PROPOSALS2
analysis for any proposed or final rule that
may have a significant impact on the
operations of a substantial number of small
rural hospitals. This analysis must conform
to the provisions of section 603 of the RFA.
With the exception of hospitals located in
certain New England counties, for purposes
of section 1102(b) of the Act, we now define
a small rural hospital as a hospital that is
located outside of an urban area and has
fewer than 100 beds. Section 601(g) of the
Social Security Amendments of 1983 (Pub. L.
98–21) designated hospitals in certain New
England counties as belonging to the adjacent
urban area. Thus, for purposes of the IPPS,
we continue to classify these hospitals as
urban hospitals.
Section 202 of the Unfunded Mandates
Reform Act of 1995 (Pub. L. 104–4) also
requires that agencies assess anticipated costs
and benefits before issuing any rule whose
mandates require spending in any 1 year of
$100 million in 1995 dollars, updated
annually for inflation. That threshold level is
currently approximately $130 million. This
proposed rule will not mandate any
requirements for State, local, or tribal
governments, nor will it affect private sector
costs.
Executive Order 13132 establishes certain
requirements that an agency must meet when
it promulgates a proposed rule (and
subsequent final rule) that imposes
substantial direct requirement costs on State
and local governments, preempts State law,
or otherwise has Federalism implications. As
stated above, this proposed rule would not
have a substantial effect on State and local
governments.
The following analysis, in conjunction
with the remainder of this document,
demonstrates that this proposed rule is
consistent with the regulatory philosophy
and principles identified in Executive Order
12866, the RFA, and section 1102(b) of the
Act. The proposed rule would affect
payments to a substantial number of small
rural hospitals, as well as other classes of
hospitals, and the effects on some hospitals
may be significant.
II. Objectives
The primary objective of the IPPS is to
create incentives for hospitals to operate
efficiently and minimize unnecessary costs
while at the same time ensuring that
payments are sufficient to adequately
compensate hospitals for their legitimate
costs. In addition, we share national goals of
preserving the Medicare Hospital Insurance
Trust Fund.
We believe the proposed changes in this
proposed rule would further each of these
goals while maintaining the financial
viability of the hospital industry and
ensuring access to high quality health care
for Medicare beneficiaries. We expect that
these proposed changes would ensure that
the outcomes of this payment system are
reasonable and equitable while avoiding or
minimizing unintended adverse
consequences.
III. Limitations of Our Analysis
The following quantitative analysis
presents the projected effects of our proposed
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Jkt 214001
policy changes, as well as statutory changes
effective for FY 2009, on various hospital
groups. We estimate the effects of individual
proposed policy changes by estimating
payments per case while holding all other
payment policies constant. We use the best
data available, but, generally, we do not
attempt to make adjustments for future
changes in such variables as admissions,
lengths of stay, or case-mix. However, in the
FY 2008 IPPS final rule, we indicated that we
believe that implementation of the MS–DRGs
would lead to increases in case-mix that do
not reflect actual increases in patients’
severity of illness as a result of more
comprehensive documentation and coding.
As explained in section II.D. of the preamble
of this proposed rule, the FY 2008 IPPS final
rule with comment period established a
documentation and coding adjustment of
¥1.2 percent for FY 2008, ¥1.8 percent for
FY 2009, and ¥1.8 percent for FY 2010 to
maintain budget neutrality for the transition
to the MS DRGs. Subsequently, Congress
enacted Pub. L. 110–90. Section 7 of Public
L. 110–90 reduced the IPPS documentation
and coding adjustment from ¥1.2 percent to
¥0.6 percent for FY 2008 and from ¥1.8
percent to ¥0.9 percent for FY 2009.
Following enactment of Pub. L. 110–90, we
revised the FY 2008 standardized amounts
(as well as other affected payment factors and
thresholds) to reflect the ¥0.6 percent FY
2008 documentation and coding adjustment.
The proposed FY 2009 IPPS national
standardized amount included in this
proposed rule reflects the documentation and
coding adjustment of ¥0.9 percent for FY
2009. While we have adopted the statutorily
mandated documentation and coding
adjustments for payment purposes, we
continue to believe that an increase in casemix of 1.8 percent between FY 2008 and FY
2009 is likely as a result of the adoption of
the MS DRGs. The impacts shown below
illustrate the impact of the FY 2009 IPPS
changes on hospital operating payments,
including the ¥0.9 percent FY 2009
documentation and coding adjustment to the
IPPS national standardized amounts, both
prior to and following the expected 1.8
percent growth in case-mix between FY 2008
and FY 2009. As we have done in the
previous rules, we are soliciting comments
and information about the anticipated effects
of the proposed changes on hospitals and our
methodology for estimating them.
IV. Hospitals Included in and Excluded
From the IPPS
The prospective payment systems for
hospital inpatient operating and capitalrelated costs encompass most general shortterm, acute care hospitals that participate in
the Medicare program. There were 35 Indian
Health Service hospitals in our database,
which we excluded from the analysis due to
the special characteristics of the prospective
payment methodology for these hospitals.
Among other short-term, acute care hospitals,
only the 46 such hospitals in Maryland
remain excluded from the IPPS under the
waiver at section 1814(b)(3) of the Act.
As of March 2008, there are 3,528 IPPS
hospitals to be included in our analysis. This
represents about 58 percent of all Medicare-
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participating hospitals. The majority of this
impact analysis focuses on this set of
hospitals. There are also approximately 1,311
CAHs. These small, limited service hospitals
are paid on the basis of reasonable costs
rather than under the IPPS. There are also
1,219 specialty hospitals and 2,291 specialty
units that are excluded from the IPPS. These
specialty hospitals include IPFs, IRFs,
LTCHs, RNHCIs, children’s hospitals, and
cancer hospitals. Changes in payments for
IPFs and IRFs are made through other
separate rulemaking. Payment impacts for
these specialty hospitals and units are not
included in this proposed rule. There is also
a separate rule to update and make changes
to the LTCH PPS for its current July 1
through June 30 rate year (RY). However, we
have traditionally used the IPPS rule to
update the LTCH patient classifications and
relative weights because the LTCH PPS uses
the same DRGs as the IPPS, resulting in the
LTCH relative weights being reclassified and
recalibrated according to the same schedule
as the IPPS (that is, for each Federal fiscal
year). The impacts of our policy changes on
LTCHs, where applicable, are discussed
below. (We note that, as discussed in section
II.I. of the preamble of this proposed rule, in
the RY 2009 LTCH PPS proposed rule 73 FR
5351 through 5352), we proposed to move
the annual LTCH PPS RY update (currently
effective July 1) to be effective October 1
through September 30 (the Federal fiscal
year) each year beginning October 1, 2009.
Under this proposal, RY 2009 would be
extended 3 months, such that RY 2009 would
be the 15-month period of July 1, 2008
through September 30, 2009.)
V. Effects on Excluded Hospitals and
Hospital Units
As of March 2008, there were 1,219
hospitals excluded from the IPPS. Of these
1,219 hospitals, 314 IPFs, 78 children’s
hospitals, 11 cancer hospitals, and 19
RNHCIs are either being paid on a reasonable
cost basis or have a portion of the PPS
payment based on reasonable cost principles
subject to the rate-of-increase ceiling under
§ 413.40. The remaining providers, 221 IRFs,
394 LTCHs, and 182 IPFs, are paid 100
percent of the Federal prospective rate under
the IRF PPS and the LTCH PPS, respectively,
or 100 percent of the Federal per diem
amount under the IPF PPS. As stated above,
IRFs and IPFs are not affected by this
proposed rule. The impacts of the changes to
LTCHs are discussed separately below. In
addition, there are 1,319 IPFs co-located in
hospitals otherwise subject to the IPPS, 788
of which are paid on a blend of the IPF PPS
per diem payment and the reasonable costbased payment. The remaining 531 IPF units
are paid 100 percent of the Federal amount
under the IPF PPS. There are 972 IRFs (paid
under the IRF PPS) co-located in hospitals
otherwise subject to the IPPS.
In the past, hospitals and units excluded
from the IPPS have been paid based on their
reasonable costs subject to limits as
established by the Tax Equity and Fiscal
Responsibility Act of 1982 (TEFRA).
Hospitals that continue to be paid fully on a
reasonable cost basis are subject to TEFRA
limits for FY 2009. For these hospitals
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jlentini on PROD1PC65 with PROPOSALS2
(cancer and children’s hospitals), consistent
with section 1886(b)(3)(B)(ii) of the Act, we
are proposing an update that is the
percentage increase in the FY 2009 IPPS
operating market basket, which is estimated
to be 3.0 percent, based on Global Insights,
Inc.’s 2008 first quarter forecast of the IPPS
operating market basket increase. In addition,
in accordance with § 403.752(a) of the
regulations, RNHCIs are paid under § 413.40,
which also uses section 1886(b)(3)(B)(ii) of
the Act to update target amounts by the rateof-increase percentage. For RNHCIs, the
proposed update is the percentage increase in
the FY 2009 IPPS operating market basket
increase, which is estimated to be 3.0
percent, based on Global Insight, Inc.’s 2008
first quarter forecast of the IPPS operating
market basket increase.
The final rule implementing the IPF PPS
(69 FR 66922) established a 3-year transition
to the IPF PPS during which some providers
received a blend of the IPF PPS per diem
payment and the TEFRA reasonable costbased payment. This transitional period for a
blended payment amount for IPFs ended for
cost reporting periods that began on or after
January 1, 2008. Because the reasonable costbased amount is zero percent for cost
reporting periods beginning during CY 2008,
no IPF will have a portion of its PPS payment
that is based in part on reasonable cost
subject to the rate-of-increase ceiling during
FY 2009. Thus, there is no longer a need for
an update factor for IPFs’ TEFRA target
amount for FY 2009 and thereafter.
The impact on excluded hospitals and
hospital units of the proposed update in the
rate-of-increase limit depends on the
cumulative cost increases experienced by
each excluded hospital or unit since its
applicable base period. For excluded
hospitals and units that have maintained
their cost increases at a level below the rateof-increase limits since their base period, the
major effect is on the level of incentive
payments these hospitals and hospital units
receive. Conversely, for excluded hospitals
and hospital units with per-case cost
increases above the cumulative update in
their rate-of-increase limits, the major effect
is the amount of excess costs that will not be
reimbursed.
We note that, under § 413.40(d)(3), an
excluded hospital or unit whose costs exceed
110 percent of its rate-of-increase limit
receives its rate-of-increase limit plus 50
percent of the difference between its
reasonable costs and 110 percent of the limit,
not to exceed 110 percent of its limit. In
addition, under the various provisions set
forth in § 413.40, certain excluded hospitals
and hospital units can obtain payment
adjustments for justifiable increases in
operating costs that exceed the limit.
VI. Quantitative Effects of the Proposed
Policy Changes Under the IPPS for
Operating Costs
A. Basis and Methodology of Estimates
In this proposed rule, we are announcing
proposed policy changes and payment rate
updates for the IPPS for operating costs.
Changes to the capital payments are
discussed in section VIII. of this Appendix.
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Based on the overall percentage change in
payments per case estimated using our
payment simulation model, we estimate that
total FY 2009 operating payments will
increase 4.1 percent compared to FY 2008,
largely due to the statutorily mandated
update to the IPPS rates. This amount also
reflects the ¥0.9 percent FY 2009
documentation and coding adjustment to the
IPPS national standardized amounts and our
assumption of an additional 1.8 percent
increase in case-mix between FY 2008 and
FY 2009 as a result of improvements in
documentation and coding that do not
represent real increases in underlying
resource demands and patient acuity due to
the adoption of the MS–DRGs. The impacts
do not illustrate changes in hospital
admissions or real case-mix intensity, which
will also affect overall payment changes.
We have prepared separate impact analyses
of the changes to each system. This section
deals with changes to the operating
prospective payment system. Our payment
simulation model relies on the most recent
available data to enable us to estimate the
impacts on payments per case of certain
changes in this proposed rule. However,
there are other changes for which we do not
have data available that would allow us to
estimate the payment impacts using this
model. For those changes, we have attempted
to predict the payment impacts based upon
our experience and other more limited data.
The data used in developing the
quantitative analyses of changes in payments
per case presented below are taken from the
FY 2007 MedPAR file and the most current
Provider-Specific File that is used for
payment purposes. Although the analyses of
the changes to the operating PPS do not
incorporate cost data, data from the most
recently available hospital cost report were
used to categorize hospitals. Our analysis has
several qualifications. First, in this analysis,
we do not make adjustments for future
changes in such variables as admissions,
lengths of stay, or underlying growth in real
case-mix. Second, due to the interdependent
nature of the IPPS payment components, it is
very difficult to precisely quantify the impact
associated with each change. Third, we use
various sources for the data used to
categorize hospitals in the tables. In some
cases, particularly the number of beds, there
is a fair degree of variation in the data from
different sources. We have attempted to
construct these variables with the best
available source overall. However, for
individual hospitals, some
miscategorizations are possible.
Using cases from the FY 2007 MedPAR
file, we simulated payments under the
operating IPPS given various combinations of
payment parameters. Any short-term, acute
care hospitals not paid under the IPPS
(Indian Health Service hospitals and
hospitals in Maryland) were excluded from
the simulations. The impact of payments
under the capital IPPS, or the impact of
payments for costs other than inpatient
operating costs, are not analyzed in this
section. Estimated payment impacts of FY
2009 changes to the capital IPPS are
discussed in section VIII. of this Appendix.
The changes discussed separately below
are the following:
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23907
• The effects of the annual reclassification
of diagnoses and procedures, full
implementation of the MS–DRG system and
100 percent cost-based DRG relative weights,
• The effects of the changes in hospitals’
wage index values reflecting wage data from
hospitals’ cost reporting periods beginning
during FY 2005, compared to the FY 2004
wage data.
• The effects of the recalibration of the
DRG relative weights as required by section
1886(d)(4)(C) of the Act, including the wage
and recalibration budget neutrality factors.
• The effects of geographic
reclassifications by the MGCRB that will be
effective in FY 2009.
• The effects of the proposal to apply the
rural floor budget neutrality adjustment at
the State level, redistributing payments
within the State, rather than adjusting
payments to hospitals in other States.
• The effects of the proposal to apply the
imputed rural floor budget neutrality
adjustment to the wage index at the Statelevel, rather than applying it to the
standardized amount at the national level.
• The effects of section 505 of Pub. L. 108–
173, which provides for an increase in a
hospital’s wage index if the hospital qualifies
by meeting a threshold percentage of
residents of the county where the hospital is
located who commute to work at hospitals in
counties with higher wage indexes.
• The effect of the budget neutrality
adjustment being made for the adoption of
the MS–DRGs under section 1886(d)(3)(A)(iv)
of the Act for the change in aggregate
payments that is a result of changes in the
coding or classification of discharges that do
not reflect real changes in case-mix.
• The total estimated change in payments
based on the proposed FY 2009 policies
relative to payments based on FY 2008
policies.
To illustrate the impacts of the proposed
FY 2009 changes, our analysis begins with a
FY 2008 baseline simulation model using:
the proposed FY 2009 update of 3.0 percent;
the FY 2008 DRG GROUPER (Version 25.0);
the most current CBSA designations for
hospitals based on OMB’s MSA definitions;
the FY 2008 wage index; and no MGCRB
reclassifications. Outlier payments are set at
5.1 percent of total operating DRG and outlier
payments.
Section 1886(b)(3)(B)(viii) of the Act, as
added by section 5001(a) of Pub. L. 109–171,
provides that for FY 2007 and subsequent
years, the update factor will be reduced by
2.0 percentage points for any hospital that
does not submit quality data in a form and
manner and at a time specified by the
Secretary. At the time this impact was
prepared, 186 providers did not receive the
full market basket rate-of-increase for FY
2008 because they failed the quality data
submission process. For purposes of the
simulations shown below, we modeled the
proposed payment changes for FY 2009 using
a reduced update for these 186 hospitals.
However, we do not have enough
information to determine which hospitals
will not receive the full market basket rateof-increase for FY 2009 at this time.
Each policy change, statutorily or
otherwise, is then added incrementally to
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this baseline, finally arriving at an FY 2009
model incorporating all of the proposed
changes. This simulation allows us to isolate
the effects of each proposed change.
Our final comparison illustrates the
proposed percent change in payments per
case from FY 2008 to FY 2009. Three factors
not discussed separately have significant
impacts here. The first is the update to the
standardized amount. In accordance with
section 1886(b)(3)(B)(i) of the Act, we are
updating the standardized amounts for FY
2009 using the most recently forecasted
hospital market basket increase for FY 2009
of 3.0 percent. (Hospitals that fail to comply
with the quality data submission
requirements to receive the full update will
receive an update reduced by 2.0 percentage
points to 1.0 percent.) Under section
1886(b)(3)(B)(iv) of the Act, the updates to
the hospital-specific amounts for SCHs and
for MDHs are also equal to the market basket
increase, or 3.0 percent.
A second significant factor that affects the
proposed changes in hospitals’ payments per
case from FY 2008 to FY 2009 is the change
in a hospital’s geographic reclassification
status from one year to the next. That is,
payments may be reduced for hospitals
reclassified in FY 2008 that are no longer
reclassified in FY 2009. Conversely,
payments may increase for hospitals not
reclassified in FY 2008 that are reclassified
in FY 2009. Particularly with the expiration
of section 508 of Pub. L. 108–173, the
reclassification provision, these impacts can
be quite substantial, so if a relatively small
number of hospitals in a particular category
lose their reclassification status, the
percentage change in payments for the
category may be below the national mean.
A third significant factor is that we
currently estimate that actual outlier
payments during FY 2008 will be 4.8 percent
of total DRG payments. When the FY 2008
final rule was published, we projected FY
2008 outlier payments would be 5.1 percent
of total DRG plus outlier payments; the
average standardized amounts were offset
correspondingly. The effects of the lower
than expected outlier payments during FY
2009 (as discussed in the Addendum to this
proposed rule) are reflected in the analyses
below comparing our current estimates of FY
2008 payments per case to estimated FY 2009
payments per case (with outlier payments
projected to equal 5.1 percent of total DRG
payments).
geographic reclassifications (including
reclassifications under section 1886(d)(8)(B)
and section 1886(d)(8)(E) of the Act that have
implications for capital payments) are 2,584,
1,424, 1,160 and 944, respectively.
The next three groupings examine the
impacts of the proposed changes on hospitals
grouped by whether or not they have GME
residency programs (teaching hospitals that
receive an IME adjustment) or receive DSH
payments, or some combination of these two
adjustments. There are 2,485 nonteaching
hospitals in our analysis, 805 teaching
hospitals with fewer than 100 residents, and
238 teaching hospitals with 100 or more
residents.
In the DSH categories, hospitals are
grouped according to their DSH payment
status, and whether they are considered
urban or rural for DSH purposes. The next
category groups together hospitals considered
urban after geographic reclassification, in
terms of whether they receive the IME
adjustment, the DSH adjustment, both, or
neither.
The next five rows examine the impacts of
the proposed changes on rural hospitals by
special payment groups (SCHs, RRCs, and
MDHs). There were 197 RRCs, 355 SCHs, 156
MDHs, 102 hospitals that are both SCHs and
RRCs, and 12 hospitals that are both an MDH
and an RRC.
The next series of groupings are based on
the type of ownership and the hospital’s
Medicare utilization expressed as a percent
of total patient days. These data were taken
from the FY 2005 Medicare cost reports.
The next two groupings concern the
geographic reclassification status of
hospitals. The first grouping displays all
urban hospitals that were reclassified by the
MGCRB for FY 2009. The second grouping
shows the MGCRB rural reclassifications.
The final category shows the impact of the
proposed policy changes on the 20 cardiac
specialty hospitals in our analysis.
B. Analysis of Table I
Table I displays the results of our analysis
of the proposed changes for FY 2009. The
table categorizes hospitals by various
geographic and special payment
consideration groups to illustrate the varying
impacts on different types of hospitals. The
top row of the table shows the overall impact
on the 3,528 hospitals included in the
analysis.
The next four rows of Table I contain
hospitals categorized according to their
geographic location: all urban, which is
further divided into large urban and other
urban; and rural. There are 2,542 hospitals
located in urban areas included in our
analysis. Among these, there are 1,402
hospitals located in large urban areas
(populations over 1 million), and 1,140
hospitals in other urban areas (populations of
1 million or fewer). In addition, there are 986
hospitals in rural areas. The next two
groupings are by bed-size categories, shown
separately for urban and rural hospitals. The
final groupings by geographic location are by
census divisions, also shown separately for
urban and rural hospitals.
The second part of Table I shows hospital
groups based on hospitals’ FY 2009 payment
classifications, including any
reclassifications under section 1886(d)(10) of
the Act. For example, the rows labeled urban,
large urban, other urban, and rural show that
the number of hospitals paid based on these
categorizations after consideration of
TABLE I.—IMPACT ANALYSIS OF PROPOSED CHANGES FOR FY 2009
jlentini on PROD1PC65 with PROPOSALS2
(1)
(2)
All Hospitals ................................................
By Geographic Location:
Urban hospitals ....................................
Large urban areas ...............................
Other urban areas ................................
Rural hospitals .....................................
Bed Size (Urban):
0–99 beds ............................................
100–199 beds ......................................
200–299 beds ......................................
300–499 beds ......................................
500 or more beds ................................
Bed Size (Rural):
0–49 beds ............................................
50–99 beds ..........................................
100–149 beds ......................................
150–199 beds ......................................
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Proposed
FY 2009
wage
data 3
Proposed
FY 2009
DRG, rel.
wts. and
wage
index
changes 4
FY 2009
MGCRB
Reclassifications 5
(3)
Number of
hospitals 1
Proposed
FY 2009
cost based
DRG
Weights &
MS–DRG
changes 2
Application
of proposed rural
floor and
imputed
rural floor,
including
proposed
within state
budget
neutrality 6
(4)
(5)
(6)
Proposed
FY 2009
out-migration adjustment 7
All proposed FY
2009
changes
w/CMI adjustment
prior to estimated
CMI
growth 8
All proposed FY
2009
changes
w/CMI adjustment
and estimated CMI
growth 9
(7)
(8)
(9)
3,528
0.1
¥0.1
0
0
0
0
2.3
4.1
2,542
1,402
1,140
986
0.2
0.5
0
¥1
¥0.1
¥0.1
0
0
0.1
0.3
¥0.1
¥1.1
¥0.2
¥0.4
¥0.1
2.1
0
¥0.1
0.1
¥0.1
0
0
0
0.1
2.4
2.6
2.2
1.5
4.2
4.4
3.9
3.3
643
829
483
411
176
¥0.7
0.1
0.2
0.3
0.5
¥0.1
0
0
0
¥0.3
¥0.8
0
0.2
0.3
0.1
¥0.4
¥0.1
¥0.2
¥0.2
¥0.3
0.1
0.1
¥0.1
0
0
0
0
0
0
0
1.6
2.2
2.4
2.6
2.5
3.4
4
4.2
4.3
4.3
338
373
166
67
¥2.3
¥1.2
¥0.9
¥0.6
0.1
0
0.1
¥0.1
¥2.3
¥1.3
¥0.8
¥0.8
0.6
1.1
2.5
3
0
¥0.1
0
¥0.1
0.2
0.2
0.1
0
0.7
1.2
1.5
2
2.5
3
3.3
3.8
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TABLE I.—IMPACT ANALYSIS OF PROPOSED CHANGES FOR FY 2009—Continued
jlentini on PROD1PC65 with PROPOSALS2
(1)
(2)
200 or more beds ................................
Urban by Region:
New England ........................................
Middle Atlantic ......................................
South Atlantic .......................................
East North Central ...............................
East South Central ...............................
West North Central ..............................
West South Central ..............................
Mountain ..............................................
Pacific ...................................................
Puerto Rico ..........................................
Rural by Region:
New England ........................................
Middle Atlantic ......................................
South Atlantic .......................................
East North Central ...............................
East South Central ...............................
West North Central ..............................
West South Central ..............................
Mountain ..............................................
Pacific ...................................................
By Payment Classification:
Urban hospitals ....................................
Large urban areas ...............................
Other urban areas ................................
Rural areas ..........................................
Teaching Status:
Nonteaching .........................................
Fewer than 100 residents ....................
100 or more residents ..........................
Urban DSH:
Non-DSH ..............................................
100 or more beds ................................
Less than 100 beds .............................
Rural DSH:
SCH ......................................................
RRC .....................................................
100 or more beds ................................
Less than 100 beds .............................
Urban teaching and DSH:
Both teaching and DSH .......................
Teaching and no DSH .........................
No teaching and DSH ..........................
No teaching and no DSH .....................
Special Hospital Types:
RRC .....................................................
SCH ......................................................
MDH .....................................................
SCH and RRC .....................................
MDH and RRC .....................................
Type of Ownership:
Voluntary ..............................................
Proprietary ............................................
Government .........................................
Medicare Utilization as a Percent of Inpatient Days:
0–25 .....................................................
25–50 ...................................................
50–65 ...................................................
Over 65 ................................................
FY 2009 Reclassifications by the Medicare
Geographic Classification Review Board:
All Reclassified Hospitals .....................
Non-Reclassified Hospitals ..................
Urban Hospitals Reclassified ...............
Urban Nonreclassified, FY 2009 ..........
All Rural Hospitals Reclassified Full
Year FY 2009 ...................................
Rural Nonreclassified Hospitals Full
Year FY 2009 ...................................
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(4)
FY 2009
MGCRB
Reclassifications 5
Application
of proposed rural
floor and
imputed
rural floor,
including
proposed
within state
budget
neutrality 6
(5)
Proposed
FY 2009
wage
data 3
Proposed
FY 2009
DRG, rel.
wts. and
wage
index
changes 4
(3)
Number of
hospitals 1
Proposed
FY 2009
cost based
DRG
Weights &
MS–DRG
changes 2
(6)
Proposed
FY 2009
out-migration adjustment 7
All proposed FY
2009
changes
w/CMI adjustment
prior to estimated
CMI
growth 8
All proposed FY
2009
changes
w/CMI adjustment
and estimated CMI
growth 9
(7)
(8)
(9)
42
¥0.3
¥0.1
¥0.4
3.2
¥0.1
0
2.1
3.9
121
348
385
394
163
157
371
157
393
53
0
0
0.4
0.5
¥0.1
¥0.1
0.4
0.3
0.4
¥0.2
0
¥0.5
¥0.3
¥0.5
¥0.2
0.2
0
0.1
0.9
¥0.7
¥0.1
¥0.5
0.1
¥0.1
¥0.2
0.1
0.3
0.5
1.2
¥0.9
0.5
0.1
¥0.4
¥0.4
¥0.2
¥0.7
¥0.6
¥0.2
¥0.2
¥0.7
0.1
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
0
1.2
1.2
2.7
2.4
2.4
2.8
2.9
3.2
3.4
1.4
3
3
4.4
4.1
4.2
4.5
4.7
5
5.2
3.2
23
70
172
121
176
113
200
75
36
¥0.8
¥0.9
¥0.6
¥0.9
¥1.3
¥0.9
¥1.7
¥0.9
¥0.7
¥0.4
¥0.1
¥0.1
¥0.3
¥0.1
0.1
0.5
0
0.6
¥1.3
¥1.1
¥0.7
¥1.3
¥1.4
¥0.8
¥1.3
¥1
¥0.2
2.4
2
2.2
1.6
2.7
1.7
2.5
0.5
1.8
¥0.9
0
0
0
0
0
0
0
¥0.3
0
0.1
0.1
0.1
0.1
0.1
0.1
0.1
0
0.6
1.3
1.9
1.4
1.6
1.6
1.3
1.2
1.8
2.3
3.1
3.7
3.2
3.4
3.4
3.1
3.1
3.6
2,584
1,424
1,160
944
0.2
0.4
0
¥1
¥0.1
¥0.1
0
0
0.1
0.3
¥0.1
¥1.1
¥0.2
¥0.4
0
2
0
¥0.1
0.1
¥0.1
0
0
0
0.1
2.4
2.6
2.2
1.5
4.2
4.4
3.9
3.3
2,485
805
238
¥0.2
0.2
0.5
0
0
¥0.3
¥0.2
0.1
0.2
0.3
¥0.2
¥0.3
0
0
0
0
0
0
2.2
2.4
2.5
4
4.2
4.2
838
1,534
354
¥0.3
0.4
¥0.7
¥0.2
¥0.1
0
¥0.4
0.3
¥0.8
¥0.1
¥0.3
0
0
0
0
0
0
0
1.8
2.6
1.6
3.6
4.3
3.4
389
206
39
168
¥1.5
¥0.6
¥0.8
¥1.7
0
0
0
0
¥1.5
¥0.6
¥0.9
¥1.8
0.4
3.4
1.3
1.3
0
¥0.1
0
0
0.1
0
0.4
0.3
1.5
1.9
1.3
0.6
3.3
3.7
3.1
2.4
811
172
1,077
524
0.4
¥0.1
0.2
¥0.2
¥0.1
¥0.2
0
¥0.2
0.3
¥0.3
0.2
¥0.4
¥0.4
0
0
¥0.3
0
0
0.1
0
0
0
0
0
2.5
1.8
2.5
1.9
4.3
3.6
4.3
3.7
197
355
156
102
12
¥0.4
¥1.3
¥1.8
¥0.5
¥1.3
¥0.1
0.1
0.1
0.1
0.1
¥0.4
¥1.3
¥1.8
¥0.5
¥1.3
3.2
0.4
0.5
1.7
0.9
0
0
0
0
¥0.3
0
0.1
0.2
0
0
2.3
1.2
2
2.2
1
4.1
3
3.8
4.1
2.8
2,027
827
587
0.1
0
0.1
¥0.1
0
¥0.1
0
¥0.1
0
0
0
0.1
0
¥0.1
0.1
0
0
0
2.3
2.4
2.6
4
4.1
4.4
255
1,350
1,431
392
0.8
0.3
¥0.1
¥0.8
¥0.1
0
¥0.2
¥0.2
0.7
0.3
¥0.3
¥1
¥0.4
¥0.3
0.4
0.5
¥0.2
0
0.1
0
0
0
0
0.1
3.2
2.7
1.9
1.2
4.9
4.4
3.7
3
805
2,723
445
2,075
0
0.2
0.2
0.3
0
¥0.1
0
¥0.1
0
0
0.2
0.1
2
¥0.7
1.5
¥0.7
¥0.1
0
¥0.2
0.1
0
0
0
0
2.1
2.4
2.1
2.5
3.8
4.2
3.9
4.3
360
¥0.7
0
¥0.7
3.3
¥0
0
1.8
3.7
565
¥1.5
¥0
¥1.6
¥0.4
¥0.1
0.3
1
2.8
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TABLE I.—IMPACT ANALYSIS OF PROPOSED CHANGES FOR FY 2009—Continued
(1)
(2)
(4)
FY 2009
MGCRB
Reclassifications 5
Application
of proposed rural
floor and
imputed
rural floor,
including
proposed
within state
budget
neutrality 6
(5)
Proposed
FY 2009
wage
data 3
Proposed
FY 2009
DRG, rel.
wts. and
wage
index
changes 4
(3)
Number of
hospitals 1
Proposed
FY 2009
cost based
DRG
Weights &
MS–DRG
changes 2
(6)
Proposed
FY 2009
out-migration adjustment 7
All proposed FY
2009
changes
w/CMI adjustment
prior to estimated
CMI
growth 8
All proposed FY
2009
changes
w/CMI adjustment
and estimated CMI
growth 9
(7)
(8)
(9)
29
¥1.3
¥0.2
¥1.6
0.6
0
0
1.6
3.5
61
¥1
¥0.2
¥1.3
3.2
¥0.2
0.1
1
2.8
20
All Section 401 Reclassified Hospitals
Other Reclassified Hospitals (Section
1886(d)(8)(B)) ...................................
Specialty Hospitals
Cardiac specialty Hospitals ..................
¥2.2
¥0.1
¥2.4
¥0.7
0.1
0
0
1.8
1 Because
jlentini on PROD1PC65 with PROPOSALS2
data necessary to classify some hospitals by category were missing, the total number of hospitals in each category may not equal the national total. Discharge data are from FY 2007, and hospital cost report data are from reporting periods beginning in FY 2006 and FY 2005.
2 This column displays the payment impact of the changes to the V26 GROUPER and the recalibration of the DRG weights based on FY 2007 MedPAR data in accordance with section 1886(d)(4)(C)(iii) of the Act.
3 This column displays the payment impact of updating the wage index data to the FY 2005 cost report data.
4 This column displays the combined payment impact of the changes in column 2 and column 3 and the budget neutrality factors for DRG and wage index changes
in accordance with section 1886(d)(4)(C)(iii) of the Act and section 1886(d)(3)(E) of the Act.
5 Shown here are the effects of geographic reclassifications by the Medicare Geographic Classification Review Board (MGCRB). The effects demonstrate the FY
2009 payment impact of going from no reclassifications to the reclassifications scheduled to be in effect for FY 2008. Reclassification for prior years has no bearing
on the payment impacts shown here. This column reflects the geographic budget neutrality factor of 0.992333.
6 This column displays the effects of the rural floor and the imputed rural floor, including the proposal to apply the budget neutrality adjustment within State.
7 This column displays the impact of section 505 of Pub. L. 108–173, which provides for an increase in a hospital’s wage index if the hospital qualifies by meeting a
threshold percentage of residents of the county where the hospital is located who commute to work at hospitals in counties with higher wage indexes.
8 This column shows changes in payments from FY 2008 to FY 2009, including the proposed FY 2009 ¥0.9 percent documentation and coding adjustment, but not
the projected 1.8 percent increase in case-mix expected to occur in FY 2009 due to improvements in documentation and coding. It incorporates all of the changes
displayed in Columns 4, 5, 6, 7 (the changes displayed in Columns 2 and 3 are included in Column 4). It also reflects the impact of the FY 2009 update, and changes
in hospitals’ reclassification status in FY 2009 compared to FY 2008.
9 This column shows changes in payments from FY 2008 to FY 2009 including the proposed FY 2009 ¥0.9 percent documentation and coding adjustment and the
projected 1.8 percent increase in case-mix expected to occur in FY 2009 due to improvements in documentation and coding. It incorporates all of the changes displayed in Columns 4, 5, 6, 7, 8 (the changes displayed in Columns 2 and 3 are included in Column 4). It also reflects the impact of the FY 2008 update, and changes
in hospitals’ reclassification status in FY 2009 compared to FY 2008. The sum of these impacts may be different from the percentage changes shown here due to
rounding and interactive effects.
C. Effects of the Proposed Changes to the
MS–DRG Reclassifications and Relative CostBased Weights (Column 2)
In Column 2 of Table I, we present the
effects of the DRG reclassifications, as
discussed in section II. of the preamble to
this proposed rule. Section 1886(d)(4)(C)(i) of
the Act requires us annually to make
appropriate classification changes in order to
reflect changes in treatment patterns,
technology, and any other factors that may
change the relative use of hospital resources.
As discussed in the preamble of this
proposed rule, the FY2009 DRG relative
weights will be 100 percent cost-based and
100 percent MS–DRGs, thus completing our
three year transition to cost-based relative
weights and our two year transition to MS–
DRGs. For FY 2009, the MS–DRGs are
calculated using the FY2007 MedPAR data
grouped to the Version 26.0 (FY2009) DRGs.
The proposed methods of calculating the
relative weights and the reclassification
changes to the GROUPER are described in
more detail in section II.H. of the preamble
to this proposed rule. In previous years, this
column would also reflect the effects of the
recalibration budget neutrality factor that is
applied to the hospital-specific rates and the
Puerto Rico-specific standardized amount.
However, for this proposed rule, we show the
effects of the recalibration budget neutrality
factor of 0.998700 in column 4. We note that,
consistent with section 1886(d)(4)(C)(iii) of
the Act, we are applying a budget neutrality
factor to the national standardized amounts
to ensure that the overall payment impact of
the DRG changes (combined with the wage
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index changes) is budget neutral. This
proposed wage and recalibration budget
neutrality factor of 0.99525 is applied to
payments in Column 4 and not Column 2.
The proposed changes to the relative
weights and DRGs shown in column 2 are
prior to any offset for budget neutrality. The
‘‘All Hospitals’’ line indicates that proposed
changes in this column will increase
payments by 0.1 percent. However, as stated
earlier, the proposed changes shown in this
column are combined with revisions to the
wage index, and the budget neutrality
adjustments made for these changes are
shown in column 4. Thus, the impact after
accounting only for budget neutrality for
proposed changes to the DRG relative
weights and classification is somewhat lower
than the figures shown in this column
(approximately 0.1 percent).
D. Effects of Proposed Wage Index Changes
(Column 3)
Section 1886(d)(3)(E) of the Act requires
that, beginning October 1, 1993, we annually
update the wage data used to calculate the
wage index. In accordance with this
requirement, the wage index for FY 2009 is
based on data submitted for hospital cost
reporting periods beginning on or after
October 1, 2004 and before October 1, 2005.
The estimated impact of the proposed wage
data on hospital payments is isolated in
Column 3 by holding the other payment
parameters constant in this simulation. That
is, Column 3 shows the percentage changes
in payments when going from a model using
the FY 2008 wage index, based on FY 2004
wage data and having a 100-percent
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occupational mix adjustment applied, to a
model using the FY 2009 pre-reclassification
wage index, also having a 100-percent
occupational mix adjustment applied, based
on FY 2005 wage data (while holding other
payment parameters such as use of the
version 26.0 DRG grouper constant). The
wage data collected on the FY 2005 cost
report include overhead costs for contract
labor that were not collected on FY 2004 and
earlier cost reports. The impacts below
incorporate the effects of the FY 2005 wage
data collected on hospital cost reports,
including additional overhead costs for
contract labor compared to the wage data
from FY 2004 cost reports that were used to
calculate the FY 2008 wage index.
Column 3 shows the impacts of updating
the wage data using FY 2004 cost reports.
Overall, the new wage data will lead to a
¥0.1 percent change for all hospitals before
application of the wage and DRG
recalibration budget neutrality adjustment
shown in column 4. Thus, the figures in this
column are approximately 0.1 below what
they otherwise would be if they also
illustrated a budget neutrality adjustment
solely for changes to the wage index. Among
the regions, the largest increase is in the
urban Pacific region, which experiences a 0.9
percent increase before applying an
adjustment for budget neutrality. The largest
decline from updating the wage data is seen
in Puerto Rico (0.7 percent decrease).
In looking at the wage data itself, the
national average hourly wage increased 4.2
percent compared to FY 2008. Therefore, the
only manner in which to maintain or exceed
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the previous year’s wage index was to match
or exceed the national 4.2 percent increase in
average hourly wage. Of the 3,457 hospitals
with wage data for both FYs 2008 and 2009,
1,707, or 49.4 percent, experienced an
average hourly wage increase of 4.2 percent
or more.
The following chart compares the shifts in
wage index values for hospitals for FY 2009
relative to FY 2008. Among urban hospitals,
32 will experience an increase of more than
5 percent and less than 10 percent and 5 will
experience an increase of more than 10
percent. Among rural hospitals, none will
experience an increase of more than 5
percent and less than 10 percent, and none
will experience an increase of more than 10
percent. However, 972 rural hospitals will
experience increases or decreases of less than
5 percent, while 2,420 urban hospitals will
experience increases or decreases of less than
5 percent. Eighteen urban hospitals will
experience decreases in their wage index
values of more than 5 percent and less than
10 percent. Ten urban hospitals will
experience decreases in their wage index
values of greater than 10 percent. No rural
hospitals will experience decreases of more
than 5 percent. These figures reflect changes
in the wage index which is an adjustment to
either 69.7 percent or 62 percent of a
hospital’s standardized amount depending
upon whether its wage index is greater than
1.0 or less than or equal to 1.0. Therefore,
these figures are illustrating a somewhat
larger change in the wage index than would
occur to the hospital’s total payment.
The following chart shows the projected
impact for urban and rural hospitals.
Number of hospitals
Percentage change in area wage index values
Urban
Increase more than 10 percent .......................................................................................................................................
Increase more than 5 percent and less than 10 percent ................................................................................................
Increase or decrease less than 5 percent .......................................................................................................................
Decrease more than 5 percent and less than 10 percent ..............................................................................................
Decrease more than 10 percent ......................................................................................................................................
jlentini on PROD1PC65 with PROPOSALS2
E. Combined Effects of Proposed MS–DRG
and Wage Index Changes (Column 4)
primarily due to the changes to MS–DRGs
and the relative cost weights.
Section 1886(d)(4)(C)(iii) of the Act
requires that changes to MS–DRG
reclassifications and the relative weights
cannot increase or decrease aggregate
payments. In addition, section 1886(d)(3)(E)
of the Act specifies that any updates or
adjustments to the wage index are to be
budget neutral. As noted in the Addendum
to this proposed rule, in determining the
budget neutrality factor, we equated
simulated aggregate payments for FY 2008
and FY 2009 using the FY 2007 Medicare
utilization data after applying the changes to
the DRG relative weights and the wage index.
We computed a wage and MS–DRG
recalibration budget neutrality factor of
0.999525 (which is applied to the national
standardized amounts) and a recalibration
budget neutrality factor 0.998700 (which is
applied to the hospital-specific rates and the
Puerto Rico-specific standardized amount).
The 0.0 percent impact for all hospitals
demonstrates that the proposed MS–DRG and
wage changes, in combination with the
budget neutrality factor, are budget neutral.
In Table I, the combined overall impacts of
the effects of both the MS–DRG
reclassifications and the updated wage index
are shown in Column 4. The estimated
changes shown in this column reflect the
combined effects of the changes in Columns
2 and 3 and the budget neutrality factors
discussed previously.
We estimate that the combined impact of
the proposed changes to the relative weights
and DRGs and the updated wage data with
budget neutrality applied will increase
payments to hospitals located in large urban
areas (populations over 1 million) by
approximately 0.3. These proposed changes
would generally increase payments to
hospitals in all urban areas (0.1 percent) and
large teaching hospitals (0.2 percent). Rural
hospitals will generally experience a
decrease in payments (¥1.1 percent). Among
the rural hospital categories, rural hospitals
with less than 50 beds will experience the
greatest decline in payment (¥2.3 percent)
F. Effects of MGCRB Reclassifications
(Column 5)
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Our impact analysis to this point has
assumed hospitals are paid on the basis of
their actual geographic location (with the
exception of ongoing policies that provide
that certain hospitals receive payments on
other bases than where they are
geographically located). The proposed
changes in Column 5 reflect the per case
payment impact of moving from this baseline
to a simulation incorporating the MGCRB
decisions for FY 2009 which affect hospitals’
wage index area assignments.
By February 28 of each year, the MGCRB
makes reclassification determinations that
will be effective for the next fiscal year,
which begins on October 1. The MGCRB may
approve a hospital’s reclassification request
for the purpose of using another area’s wage
index value. Hospitals may appeal denials of
MGCRB decisions to the CMS Administrator.
Further, hospitals have 45 days from
publication of the IPPS rule in the Federal
Register to decide whether to withdraw or
terminate an approved geographic
reclassification for the following year. This
column reflects all MGCRB decisions,
Administrator appeals and decisions of
hospitals for FY 2009 geographic
reclassifications.
The overall effect of geographic
reclassification is required by section
1886(d)(8)(D) of the Act to be budget neutral.
Therefore, we are proposing to apply an
adjustment of 0.992333 to ensure that the
effects of the section 1886(d)(10)
reclassifications are budget neutral. (See
section II.A. of the Addendum to this
proposed rule.) Geographic reclassification
generally benefits hospitals in rural areas. We
estimate that geographic reclassification will
increase payments to rural hospitals by an
average of 2.1 percent.
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5
32
2,420
18
10
Rural
0
0
972
0
0
G. Effects of the Proposed Rural Floor and
Imputed Rural Floor, Including the Proposed
Application of Budget Neutrality at the State
Level (Column 6)
As discussed in section III.B. of the
preamble of this FY 2009 proposed rule,
section 4410 of Pub. L. 105–33 established
the rural floor by requiring that the wage
index for a hospital in any urban area cannot
be less than the area wage index determined
for the state’s rural area. In FY 2008, we
changed how we applied budget neutrality to
the rural floor. Rather than applying a budget
neutrality adjustment to the standardized
amount, a uniform budget neutrality
adjustment is applied to the wage index. For
FY 2009, we are proposing to apply the rural
floor budget neutrality adjustment at the
State level, which would redistribute
payments within the State rather than across
all other providers within the Nation.
Furthermore, the FY 2005 IPPS final rule
(69 FR 49109) established a temporary
imputed rural floor for all urban States from
FY 2005 to FY 2007. The rural floor requires
that an urban wage index cannot be lower
than the wage index for any rural hospital in
that State. Therefore, an imputed rural floor
was established for States that do not have
rural areas or rural IPPS hospitals. In the FY
2008 IPPS final rule with comment period
(72 FR 47321), we finalized our rule to
extend the imputed rural floor for 1
additional year. In this proposed rule, we are
proposing to extend the imputed rural floor
for an additional 3 years through FY 2011.
Furthermore, consistent with our proposal to
apply the rural floor budget neutrality
adjustment at the State level, we are
proposing to apply the imputed rural floor
budget neutrality adjustment to the wage
index at the State level.
Column 6 shows the projected impact of
the rural floor and the imputed rural floor,
including the proposed application of the
budget neutrality adjustment at the State
level. The column compares the postreclassification FY 2009 wage index of
providers before the rural floor adjustment
and the post-reclassification FY 2009 wage
index of providers with the rural floor and
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imputed rural floor adjustment. Only urban
hospitals can benefit from the rural floor
provision. Because the provision is budget
neutral, in prior years, all other hospitals
(that is, all rural hospitals and those urban
hospitals to which the adjustment is not
made) had experienced a decrease in
payments due to the budget neutrality
adjustment applied nationally. However,
under this proposal, States that have no
hospitals receiving a rural floor wage index
would no longer have a negative budget
neutrality adjustment applied to their wage
indices. Conversely, all hospitals in States
with hospitals receiving a rural floor would
have their wage indices downwardly
adjusted to achieve budget neutrality within
the State.
We project that, in aggregate, rural
hospitals will experience a 0.1 percent
decrease in payments. We project hospitals
located in other urban areas (populations of
1 million or fewer) will experience a 0.1
percent increase in payments because the
rural floor adjustment applies to urban
hospitals. Rural New England hospitals can
expect the greatest decrease in payment by
0.9 percent because hospitals in Vermont
will receive a rural floor budget neutrality
adjustment of 0.901 or a reduction of
approximately 10 percent, and hospitals in
Connecticut will receive a rural floor budget
neutrality adjustment of 0.9639 or a
reduction of approximately 4 percent. New
Jersey, which is the only State that benefits
from the imputed rural floor, is expected to
receive a rural floor budget neutrality
adjustment of 0.987838 or a reduction of
approximately 1.2 percent.
The table that appears in section III B.2.b.
of the preamble of this proposed rule shows
how payments would change, at the State
level, if we moved from our current policy
of applying rural floor budget neutrality at
the national level to our proposed policy to
apply the rural floor budget neutrality within
the State. The table shows that, under our
current policy of applying budget neutrality
at the national level, States that do not have
any hospitals receiving the rural floor wage
index would expect a decrease in payments
because, in order to maintain budget
neutrality nationally, these hospitals have to
pay for the hospitals in other States that do
receive a rural floor. For example, States such
as Arizona, New York, and Rhode Island,
which do not have hospitals receiving a rural
floor, would expect to lose 0.2 percent in
payments under a national rural floor budget
neutrality adjustment. However, under our
proposed policy to apply rural floor budget
neutrality within each State, States that do
not have hospitals receiving a floor would
see an increase in payments (compared with
our current policy of applying budget
neutrality at the national level) because they
would no longer have their wage indexes
adjusted to maintain budget neutrality.
However, all hospitals in States with
hospitals receiving a rural floor would expect
a decrease in their payments in order to
achieve budget neutrality within their States
(that is, the wage indices for hospitals in that
State would be decreased in order to make
the additional payments to hospitals in that
State receiving the rural floor). Therefore,
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compared with our current policy of
applying budget neutrality at the national
level, States such as Arizona, New York, and
Rhode Island could expect payment increases
of 0.3 percent under a rural floor budget
neutrality applied at the State level, while
States such as California and Connecticut,
which have several hospitals that benefit
from the rural floor, could expect decreases
in payments by 0.8 percent and 2.2 percent,
respectively.
H. Effects of the Proposed Wage Index
Adjustment for Out-Migration (Column 7)
Section 1886(d)(13) of the Act, as added by
section 505 of Pub. L. 108–173, provides for
an increase in the wage index for hospitals
located in certain counties that have a
relatively high percentage of hospital
employees who reside in the county, but
work in a different area with a higher wage
index. Hospitals located in counties that
qualify for the payment adjustment are to
receive an increase in the wage index that is
equal to a weighted average of the difference
between the wage index of the resident
county, post-reclassification and the higher
wage index work area(s), weighted by the
overall percentage of workers who are
employed in an area with a higher wage
index. With the out-migration adjustment,
rural providers will experience a 0.1 percent
increase in payments in FY 2009 relative to
no adjustment at all. We included these
additional payments to providers in the
impact table shown above, and we estimate
the impact of these providers receiving the
out-migration increase to be approximately
$20 million.
I. Effects of All Proposed Changes With CMI
Adjustment Prior to Estimated Growth
(Column 8)
Column 8 compares our estimate of
payments per case between FY 2008 and FY
2009 with all changes reflected in this
proposed rule for FY 2009, including a ¥0.9
percent documentation and coding
adjustment to the FY 2009 national
standardized amounts to account for
anticipated improvements in documentation
and coding that are expected to increase casemix. We generally apply an adjustment to the
DRGs to ensure budget neutrality assuming
constant utilization. However, in the FY 2008
IPPS final rule with comment period, we
indicated that we believe that the adoption
of MS–DRGs would lead to increases in casemix as a result of improved documentation
and coding. In the FY 2008 IPPS final rule
with comment period, we had finalized a
policy to apply a documentation and coding
adjustment to the standardized amount of
¥1.2 percent for FY 2008, ¥1.8 percent for
FY 2009, and ¥1.8 percent for FY 2010 to
offset the expected increase in case-mix and
achieve budget neutrality. However, in
compliance with section 7 of Pub. L. 110–90,
we reduced the documentation and coding
adjustment to ¥0.6 percent for FY 2008. In
accordance with section 7 of Pub. L. 110–90,
for FY 2009, we are applying a
documentation and coding adjustment of
¥0.9 percent to the FY 2009 national
standardized amounts (in addition to the
¥0.6 percent adjustment made for FY 2008).
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We are not proposing to apply the
documentation and coding adjustment to the
FY 2009 hospital-specific rates and the FY
2009 Puerto Rico-specific standardized
amount. However, we continue to believe
that case-mix growth of an additional 1.8
percent compared to FY 2008 is likely to
occur across all hospitals as a result of
improvements in documentation and coding.
Column 8 illustrates the total payment
change for FY 2009 compared to FY 2008,
taking into account the ¥0.9 percent FY
2009 documentation and coding adjustment
but not the projected 1.8 percent case-mix
increase itself. Therefore, this column
illustrates a total payment change that is less
than what is anticipated to occur.
J. Effects of All Proposed Changes With CMI
Adjustment and Estimated Growth (Column
9)
Column 9 compares our estimate of
payments per case between FY 2008 and FY
2009, incorporating all changes reflected in
this proposed rule for FY 2009 (including
statutory changes). This column includes the
FY 2009 documentation and coding
adjustment of ¥0.9 percent and the projected
1.8 percent increase in case-mix from
improved documentation and coding (with
the 1.8 percent case-mix increase assumed to
occur equally across all hospitals).
Column 9 reflects the impact of all FY 2009
changes relative to FY 2008, including those
shown in Columns 2 through 7. The average
increase for all hospitals is approximately 4.1
percent. This increase includes the effects of
the 3.0 percent market basket update. It also
reflects the 0.3 percentage point difference
between the projected outlier payments in FY
2008 (5.1 percent of total DRG payments) and
the current estimate of the percentage of
actual outlier payments in FY 2008 (4.8
percent), as described in the introduction to
this Appendix and the Addendum to this
proposed rule. As a result, payments are
projected to be 0.3 percentage points lower
in FY 2008 than originally estimated,
resulting in a 0.3 percentage point greater
increase for FY 2009 than would otherwise
occur. In addition, the impact of expiration
of section 508 of Pub. L. 108–173
reclassification accounts for a 0.1 percent
decrease in estimated payments. There might
also be interactive effects among the various
factors comprising the payment system that
we are not able to isolate. For these reasons,
the values in Column 9 may not equal the
product of the percentage changes described
above.
The overall change in payments per case
for hospitals in FY 2009 is proposed to
increase by 4.1 percent. Hospitals in urban
areas will experience an estimated 4.2
percent increase in payments per case
compared to FY 2008. Hospitals in large
urban areas will experience an estimated 4.4
percent increase and hospitals in other urban
areas will experience an estimated 3.9
percent increase in payments per case in FY
2008. Hospital payments per case in rural
areas are estimated to increase 3.3 percent.
The increases that are larger than the national
average for larger urban areas and smaller
than the national average for other urban and
rural areas are largely attributed to the
differential impact of adopting MS–DRGs.
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Among urban census divisions, the largest
estimated payment increases will be 5.2
percent in the Pacific region (generally
attributed to MS–DRGs and wage data) and
5.0 percent in the Mountain region (mostly
due to MS–DRGs). The smallest urban
increase is estimated at 3.0 percent in the
Middle Atlantic and New England regions.
Among the rural regions in Column 9, the
providers in the New England region
experience the smallest increase in payments
(2.3 percent) primarily due to the Statespecific rural floor budget neutrality
adjustment. The South Atlantic and Pacific
regions will have the highest increases
among rural regions, with 3.7 percent and 3.6
percent estimated increases, respectively.
Again, increases in rural areas are generally
less than the national average due to the
adoption of MS–DRGs.
Among special categories of rural hospitals
in Column 9, the SCH and RRC providers
will receive an estimated increase in
payments of 4.1 percent, and the MDH and
RRCs will experience an estimated increase
in payments by 2.8 percent.
Urban hospitals reclassified for FY 2009
are anticipated to receive an increase of 3.9
percent, while urban hospitals that are not
reclassified for FY 2009 are expected to
receive an increase of 4.3 percent. Rural
hospitals reclassifying for FY 2009 are
anticipated to receive a 3.7 percent payment
increase and rural hospitals that are not
reclassifying are estimated to receive a
payment increase of 2.8 percent.
K. Effects of Policy on Payment Adjustments
for Low-Volume Hospitals
For FY 2009, we are continuing to apply
the volume adjustment criteria we specified
in the FY 2005 IPPS final rule (69 FR 49099).
We expect that three providers will receive
the low-volume adjustment for FY 2009. We
23913
estimate the impact of these providers
receiving the additional 25-percent payment
increase to be approximately $2,300.
L. Impact Analysis of Table II
Table II presents the projected impact of
the proposed changes for FY 2009 for urban
and rural hospitals and for the different
categories of hospitals shown in Table I. It
compares the estimated payments per case
for FY 2008 with the proposed average
estimated payments per case for FY 2009, as
calculated under our models. Thus, this table
presents, in terms of the average dollar
amounts paid per discharge, the combined
effects of the proposed changes presented in
Table I. The proposed percentage changes
shown in the last column of Table II equal
the proposed percentage changes in average
payments from Column 9 of Table I.
TABLE II.—IMPACT ANALYSIS OF PROPOSED CHANGES FOR FY 2009 OPERATING PROSPECTIVE PAYMENT SYSTEM
[Payments per case]
All hospitals ....................................................................................................................
By Geographic Location:
Urban hospitals .......................................................................................................
Large urban areas (populations over 1 million) .....................................................
Other urban areas (populations of 1 million or fewer) ...........................................
Rural hospitals ........................................................................................................
Bed Size (Urban):
0–99 beds ...............................................................................................................
100–199 beds .........................................................................................................
200–299 beds .........................................................................................................
300–499 beds .........................................................................................................
500 or more beds ...................................................................................................
Bed Size (Rural):
0–49 beds ...............................................................................................................
50–99 beds .............................................................................................................
100–149 beds .........................................................................................................
150–199 beds .........................................................................................................
200 or more beds ...................................................................................................
Urban by Region:
New England ..........................................................................................................
Middle Atlantic ........................................................................................................
South Atlantic .........................................................................................................
East North Central ..................................................................................................
East South Central .................................................................................................
West North Central .................................................................................................
West South Central ................................................................................................
Mountain .................................................................................................................
Pacific .....................................................................................................................
Puerto Rico .............................................................................................................
Rural by Region:
New England ..........................................................................................................
Middle Atlantic ........................................................................................................
South Atlantic .........................................................................................................
East North Central ..................................................................................................
East South Central .................................................................................................
West North Central .................................................................................................
West South Central ................................................................................................
Mountain .................................................................................................................
Pacific .....................................................................................................................
By Payment Classification:
Urban hospitals .......................................................................................................
Large urban areas (populations over 1 million) .....................................................
Other urban areas (populations of 1 million or fewer) ...........................................
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Average FY
2008 payment per
case 1
Average
proposed
FY 2009
payment per
case 1
All proposed
FY 2009
changes
(1)
jlentini on PROD1PC65 with PROPOSALS2
Number of
hospitals
(2)
(3)
(4)
3,528
$9,144
$9,519
4.1
2,542
1,402
1,140
986
9,571
10,045
9,000
6,683
9,972
10,484
9,355
6,905
4.2
4.4
3.9
3.3
643
829
483
411
176
7,283
8,103
8,985
10,046
11,875
7,533
8,428
9,363
10,482
12,382
3.4
4
4.2
4.3
4.3
338
373
166
67
42
5,509
6,097
6,660
7,467
8,361
5,644
6,279
6,884
7,752
8,686
2.5
3
3.4
3.8
3.9
121
348
385
394
163
157
371
157
393
53
9,935
10,440
9,025
9,065
8,681
9,140
9,043
9,571
11,614
4,706
10,230
10,752
9,427
9,440
9,044
9,555
9,466
10,051
12,219
4,857
3
3
4.5
4.1
4.2
4.5
4.7
5
5.2
3.2
23
70
172
121
176
113
200
75
36
9,051
6,912
6,529
6,872
6,263
6,886
6,088
6,802
8,162
9,263
7,124
6,773
7,093
6,474
7,119
6,276
7,010
8,455
2.3
3.1
3.7
3.2
3.4
3.4
3.1
3.1
3.6
2,584
1,424
1,160
9,549
10,026
8,975
9,948
10,464
9,328
4.2
4.4
3.9
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TABLE II.—IMPACT ANALYSIS OF PROPOSED CHANGES FOR FY 2009 OPERATING PROSPECTIVE PAYMENT SYSTEM—
Continued
[Payments per case]
Number of
hospitals
Average FY
2008 payment per
case 1
Average
proposed
FY 2009
payment per
case 1
All proposed
FY 2009
changes
(1)
(2)
(3)
(4)
Rural areas .............................................................................................................
Teaching Status:
Non-teaching ..........................................................................................................
Fewer than 100 Residents .....................................................................................
100 or more Residents ...........................................................................................
Urban DSH:
Non-DSH ................................................................................................................
100 or more beds ...................................................................................................
Less than 100 beds ................................................................................................
Rural DSH:
SCH ........................................................................................................................
RRC ........................................................................................................................
100 or more beds ...................................................................................................
Less than 100 beds ................................................................................................
Urban teaching and DSH:
Both teaching and DSH ..........................................................................................
Teaching and no DSH ............................................................................................
No teaching and DSH ............................................................................................
No teaching and no DSH .......................................................................................
Rural Hospital Types:
RRC ........................................................................................................................
SCH ........................................................................................................................
MDH ........................................................................................................................
SCH and RRC ........................................................................................................
MDH and RRC .......................................................................................................
Type of Ownership:
Voluntary .................................................................................................................
Proprietary ..............................................................................................................
Government ............................................................................................................
Medicare Utilization as a Percent of Inpatient Days:
0–25 ........................................................................................................................
25–50 ......................................................................................................................
50–65 ......................................................................................................................
Over 65 ...................................................................................................................
Hospitals Reclassified by the Medicare Geographic Classification Review Board:
FY 2009 Reclassifications:
All Reclassified Hospitals FY 2009 ........................................................................
All Non-Reclassified Hospitals FY 2009 ................................................................
Urban Reclassified Hospitals FY 2009: .................................................................
Urban Non-reclassified Hospitals FY 2009: ...........................................................
Rural Reclassified Hospitals FY 2009: ...................................................................
Rural Nonreclassified Hospitals FY 2009: .............................................................
All Section 401 Reclassified Hospitals: ..................................................................
Other Reclassified Hospitals (Section 1886(d)(8)(B)) ............................................
Specialty Hospitals:
Cardiac Specialty Hospitals ....................................................................................
1 These
944
6,716
6,941
3.3
2,485
805
238
7,716
9,193
13,392
8,023
9,577
13,951
4
4.2
4.2
838
1,534
354
8,118
10,062
6,792
8,409
10,498
7,022
3.6
4.3
3.4
389
206
39
168
6,093
7,465
6,110
5,451
6,293
7,740
6,299
5,580
3.3
3.7
3.1
2.4
811
172
1,077
524
10,986
8,885
8,283
7,796
11,457
9,201
8,644
8,083
4.3
3.6
4.4
3.7
197
355
156
102
12
7,783
6,564
5,757
7,901
7,303
8,100
6,764
5,975
8,223
7,510
4.1
3
3.8
4.1
2.8
2,027
827
587
9,252
8,424
9,440
9,625
8,772
9,853
4
4.1
4.4
255
1,350
1,431
392
13,112
10,344
7,950
7,033
13,751
10,801
8,245
7,245
4.9
4.4
3.7
3
805
2,723
445
2,075
360
565
29
61
8,803
9,264
9,547
9,586
7,240
5,870
7,555
6,534
9,141
9,651
9,921
9,994
7,505
6,033
7,816
6,716
3.8
4.2
3.9
4.3
3.7
2.8
3.5
2.8
20
10,894
11,085
1.8
payment amounts per case do not reflect any estimates of annual case-mix increase.
jlentini on PROD1PC65 with PROPOSALS2
VII. Effects of Other Proposed Policy
Changes
A. Effects of Proposed Policy on HACs,
Including Infections
In addition to those policy changes
discussed above that we are able to model
using our IPPS payment simulation model,
we are proposing to make various other
changes in this proposed rule. Generally, we
have limited or no specific data available
with which to estimate the impacts of these
proposed changes. Our estimates of the likely
impacts associated with these other proposed
changes are discussed below.
In section II.F. of the preamble of this
proposed rule, we discuss our
implementation of section 5001(c) of Pub. L.
109–171, which requires the Secretary to
identify conditions that (1) are high cost,
high volume, or both, (2) result in the
assignment of a case to a MS–DRG that has
a higher payment when present as a
secondary diagnosis, and (3) could
reasonably have been prevented through
application of evidence-based guidelines. For
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discharges occurring on or after October 1,
2008, hospitals will not receive additional
payment for cases in which one of the
selected conditions was not present on
admission. That is, the case will be paid as
though the secondary diagnosis was not
present. However, the statute also requires
the Secretary to continue counting the
condition as a secondary diagnosis that
results in a higher IPPS payment when doing
the budget neutrality calculations for MS–
DRG reclassifications and recalibration.
Therefore, we do our budget neutrality
calculations as though the payment provision
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did not apply but Medicare will make a
lower payment to the hospital for the specific
case that includes the secondary diagnosis.
Thus, the provision will result in cost savings
to the Medicare program.
We note that the provision will only apply
when one or more of the selected conditions
are the only secondary diagnosis or diagnoses
present on the claim that will lead to higher
payment. Therefore, if at least one
nonselected secondary diagnosis that leads to
the same higher payment is on the claim, the
case will continue to be assigned to the
higher paying DRG and there will be no
savings to Medicare from the case. Medicare
beneficiaries will generally have multiple
secondary diagnoses during a hospital stay,
such that beneficiaries having one MCC or
CC will frequently have additional
conditions that also will generate higher
payment. Therefore, in only a small
percentage of the cases will the beneficiary
have only one secondary diagnosis that
would lead to higher payment.
The section 5001(c) payment provision
will go into effect on October 1, 2008. Our
savings estimate for the next 5 fiscal years
from this provision has changed from our
savings estimate published in the FY 2008
IPPS final rule with comment period because
of the potential addition to the list of selected
HACs for FY 2009 of the nine conditions
considered in section II.F. of this proposed
rule. We had estimated a savings of $20
million per year from this provision for the
eight conditions we originally selected in the
FY 2008 IPPS final rule with comment period
(72 FR 48168). We now estimate that this
provision will save $50 million per year for
the first 3 years beginning October 1, 2008.
Beginning in FY 2012, we estimate a savings
of $60 million per year as a result of this
provision. Our savings estimates for the next
5 fiscal years are shown below:
Savings
(in
millions)
Year
jlentini on PROD1PC65 with PROPOSALS2
FY
FY
FY
FY
FY
2009
2010
2011
2012
2013
......................................
......................................
......................................
......................................
......................................
$50
50
50
60
60
B. Effects of Proposed MS–LTC–DRG
Reclassifications and Relative Weights for
LTCHs
In section II.I. of the preamble to this
proposed rule, we discuss the proposed MS–
LTC–DRGs (proposed Version 26.0 of the
GROUPER) and development of the proposed
relative weights for use under the LTCH PPS
for FY 2009. We also discuss that when we
adopted the new severity adjusted MS–LTC–
DRG patient classification system under the
LTCH PPS in the FY 2008 IPPS final rule
with comment, we implemented a 2-year
transition, in which the MS–LTC–DRG
relative weights for FY 2009 would be based
completely on the MS–LTC–DRG patient
classification system (and no longer based in
part on the former LTC–DRG patient
classification system). Consistent with the
requirement at § 412.517 established in the
RY 2008 LTCH PPS final rule (72 FR 26880
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through 26884), the proposed annual update
to the classification and relative weights
under the LTCH PPS for RY 2009 was done
in a budget neutral manner, such that
estimated aggregate LTCH PPS payments
would be unaffected; that is, they would be
neither greater than nor less than the
estimated aggregate LTCH PPS payments that
would have been made without the MS–
LTC–DRG classification and relative weight
changes. To achieve budget neutrality under
§ 412.517, in determining the proposed FY
2009 MS–LTC–DRG relative weights, we
applied a factor of 1.038266 in the first step
of the budget neutrality process
(normalization), and we applied a budget
neutrality factor of 0.9965 after normalization
(see section II.I.4. (step 7) of the preamble of
this proposed rule). These proposed factors
that were applied to maintain budget
neutrality were based on the most recent
available LTCH claims data (FY 2007
MedPAR files) for the 387 LTCHs in our
database. Consistent with the budget
neutrality requirement under § 412.517, we
estimate that with the proposed changes to
the MS–LTC–DRG classifications and relative
weights for FY 2009, there would be no
change in aggregate LTCH PPS payments. In
applying the budget neutrality adjustment
described above, we assumed constant
utilization.
C. Effects of Proposed Policy Change Relating
to New Medical Service and Technology
Add-On Payments
In section II.J. of the preamble to this
proposed rule, we discuss proposed add-on
payments for new medical services and
technologies. As explained in that section,
add-on payments for new technology under
section 1886(d)(5)(K) of the Act are not
required to be budget neutral. As discussed
in section II.J.4. of this proposed rule, we
have yet to determine whether any of the four
applications we received will meet the
criteria for new technology add-on payments
for FY 2009. Consequently, it is premature to
estimate the potential payment impact in FY
2009 of any potential new technology add-on
payments for FY 2009. There are no
technologies receiving new technology addon payment in FY 2008. Therefore, at this
time, we estimate that Medicare’s new
technology add-on payments would remain
unchanged in FY 2009 compared to FY 2008.
If any of the four applicants are found to be
eligible for new technology add-on payments
for FY 2009 in the final rule, we would
discuss the estimated payment impact for FY
2009 in that final rule.
D. Effects of Proposed Policy Regarding
Postacute Care Transfers to Home Health
Services
In section IV.A. of the preamble to this
proposed rule, we noted that, under current
regulations, the postacute care transfer policy
applies to acute care discharges for which
home health care (for a related condition)
begins within 3 days of the discharge from
an acute care hospital where the patient was
discharged from the hospital prior to the
geometric mean length of stay for a
‘‘qualified’’ MS–DRG. In that section, we
discussed the reasons why we believe that
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23915
the 3-day timeframe is no longer an
appropriate threshold under the postacute
care transfer policy. We discussed our
rationale for extending the timeframe from
within 3 days to within 7 days. Accordingly,
we proposed to revise the timeframe in our
regulations to within 7 days of discharge to
home under a written plan for the provision
of home health services, effective with
discharges occurring on or after October 1,
2008.
To estimate the impact of this proposal, we
used acute care hospital claims from the FY
2005 MedPAR file and searched for claims
with a discharge destination code of ‘‘01’’
(Discharged to Home or Self-Care (Routine
Discharge)) or ‘‘06’’ (Discharged/Transferred
to Home under Care of Organized Home
Health Service Organization in Anticipation
of Covered Skilled Care). We then matched
the acute care hospital MedPAR claims with
HHA final action claims for 2005, using
beneficiary identification numbers. We then
compared the hospital discharge date with
the home health admission date and
determined a distribution by the difference in
these two dates. We found that, for those
patients for whom home health services
began within 60 days of hospital discharge,
in 6.7 percent of the cases, the services began
on days 4 through day 7 after the acute care
hospital discharge. We estimate that applying
the proposed change to the hospital
postacute care transfer policy would reduce
Medicare payments to acute care inpatient
hospitals by approximately $330 million over
5 years. For FY 2009, we estimate that
Medicare payments would be reduced by
approximately $50 million.
E. Effects of Proposed Requirements for
Hospital Reporting of Quality Data for
Annual Hospital Payment Update
In section IV.B. of the preamble of this
proposed rule, we discuss the requirements
for hospitals to report quality data in order
for hospitals to receive the full annual
hospital payment update for FY 2009 and FY
2010. There are an estimated 186 hospitals in
this analysis that may not receive the full
market basket update for FY 2009. Most of
these hospitals are either small rural or small
urban hospitals. However, at this time,
information is not available to determine the
hospitals that do not meet the requirements
for the full hospital market increase for FY
2009.
We also note that, for the FY 2009 payment
update, hospitals must pass our validation
requirement of a minimum of 80 percent
reliability, based upon our chart-audit
validation process, for the four quarters of
data from FY 2007. These data were due to
the QIO Clinical Warehouse by May 15, 2007
(fourth quarter CY 2006 discharges), August
15, 2007 (first quarter CY 2007 discharges),
November 15, 2007 (second quarter CY 2007
discharges), and February 15, 2008 (third
quarter CY 2007 discharges). We have
continued our efforts to ensure that QIOs
provide assistance to all hospitals that wish
to submit data. In the preamble of this
proposed rule, we are proposing to provide
additional validation criteria to ensure that
the quality data being sent to CMS are
accurate. The requirement of 5 charts per
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hospital will result in approximately 21,500
charts per quarter total submitted to the
agency. We reimburse hospitals for the cost
of sending charts to the Clinical Data
Abstraction Center (CDAC) at the rate of 12
cents per page for copying and approximately
$4.00 per chart for postage. Our experience
shows that the average chart received at the
CDAC is approximately 150 pages. Thus, the
agency will have expenditures of
approximately $597,600 per quarter to collect
the charts. Given that we reimburse for the
data collection effort, we believe that a
requirement for five charts per hospital per
quarter represents a minimal burden to the
participating hospital.
F. Effects of Proposed Policy Change to
Methodology for Computing Core Staffing
Factors for Volume Decrease Adjustment for
SCHs and MDHs
In section IV.D. of the preamble of this
proposed rule, we discuss a change to the
methodology we would use to compute the
average nursing staff factors (nursing hours
per patient days) for the volume decrease
adjustment for SCHs and MDHs. If certain
requirements are met, this adjustment may be
made if the hospital’s total discharges
decrease by more than 5 percent from one
cost reporting period to the next. We do not
believe this proposed change would have any
significant impact on Medicare payments to
these hospitals.
jlentini on PROD1PC65 with PROPOSALS2
G. Effects of Proposed Clarification of Policy
for Collection of Risk Adjustment Data From
MA Organizations
In section IV.H. of the preamble of this
proposed rule, we discuss our proposed
revision of our regulations to clarify that
CMS has the authority to require MA
organizations to submit encounter data for
each item and service provided to an MA
plan enrollee. The proposed revision also
would clarify that CMS will determine the
formats for submitting encounter data, which
may be more abbreviated than those used for
the Medicare fee-for-service claims data
submission process. At this time, we have
not yet determined an approach for
submission of the encounter data. Therefore,
we are not in a position to determine the
extent to which the cost impact of submitting
encounter data would differ from the current
costs to MA organizations of submitting risk
adjustment data.
H. Effects of Proposed Policy Changes
Relating to Hospital Emergency Services
Under EMTALA
In section IV.I. of the preamble of this
proposed rule, we are proposing to clarify
our policy regarding the applicability of
EMTALA to hospital inpatients. We are
proposing to amend the regulations to state
that when an individual covered by
EMTALA was admitted as an inpatient and
remains unstabilized with an emergency
medical condition, a receiving hospital with
specialized capabilities has an EMTALA
obligation to accept that individual,
assuming that the transfer of the individual
is an appropriate transfer and the
participating hospital with specialized
capabilities has the capacity to treat the
individual. In addition, we are proposing two
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changes relating to the requirements for oncall physicians in hospital emergency
departments. We are proposing to delete the
provision relating to maintaining a list of oncall physicians from the regulations referring
to EMTALA at § 489.24(j)(1) because a
provision addressing the on-call physician
list is already included in the regulations
relating to provider agreements at
§ 489.20(r)(2). We are proposing to
incorporate the language of § 489.24(j)(1) as
replacement language for the existing
§ 489.20(r)(2) and amend the regulatory
language to make it more consistent with the
statutory language found at section
1866(a)(1)(I)(iii) of the Act, which refers to
hospital CoPs and the requirement to
maintain an on-call list. These proposed
changes would make the regulations
consistent with the statutory basis for
maintaining an on-call list. In addition, we
are proposing to amend our regulations to
provide that hospitals may comply with the
on-call list requirement by participating in a
formal community call plan so long as the
plan includes a number of elements that are
specified in the preamble to the proposed
rule. Lastly, we are proposing to make a
technical change to the regulations to
conform them to the statutory language found
in the Pandemic and All-Hazards
Preparedness Act. These proposals do not
include any substantive new requirements.
Although hospitals choosing to participate in
a community call arrangement will be
required to devise a formal community call
plan, such a plan would increase a hospital’s
flexibility in meeting its on-call
requirements. We are estimating no impact
on Medicare expenditures and no significant
impact on hospitals with emergency
departments.
I. Effects of Implementation of Rural
Community Hospital Demonstration Program
In section IV.K. of the preamble to this
proposed rule, we discuss our
implementation of section 410A of Pub. L.
108–173 that required the Secretary to
establish a demonstration that will modify
reimbursement for inpatient services for up
to 15 small rural hospitals. Section
410A(c)(2) requires that ‘‘in conducting the
demonstration program under this section,
the Secretary shall ensure that the aggregate
payments made by the Secretary do not
exceed the amount which the Secretary
would have paid if the demonstration
program under this section was not
implemented.’’ There are currently nine
hospitals participating in the demonstration.
We are currently conducting a solicitation for
up to six additional hospitals to participate
in the demonstration program.
As discussed in section IV.K. of the
preamble to this proposed rule, we are
satisfying this requirement by adjusting
national IPPS rates by a factor that is
sufficient to account for the added costs of
this demonstration. We estimate that the
average additional annual payment for FY
2009 that would be made to each
participating hospital under the
demonstration would be approximately
$2,134,123. We based this estimate on the
recent historical experience of the difference
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between inpatient cost and payment for
hospitals that are participating in the
demonstration. As an estimate for the 15
hospitals that may participate, the total
annual impact of the demonstration program
for FY 2009 is projected to be $32,011,849.
(In the final rule, we should know the exact
number of hospitals participating in the
demonstration program and would revise our
estimates accordingly.) The adjustment factor
to the Federal rate used in calculating
Medicare inpatient prospective payments as
a result of the demonstration is 0.999903.
J. Effects of Proposed Policy Changes Relating
to Payments to Hospitals-Within-Hospitals
In section VI.F. of the preamble of this
proposed rule, we discuss our proposed
policy change to allow a HwH that cannot
meet the criteria in regulations for a separate
governing body solely because it is a State
hospital occupying space with another State
hospital or located on the same campus as
another State hospital and both hospitals are
under the same governing authority, or the
governing authority of a third entity that
controls both State hospitals, to nevertheless
qualify for an exclusion from the IPPS if the
hospital meets other applicable criteria for
HwHs in the regulations and the specified
proposed criteria in this proposed rule. We
are only aware of one hospital that would be
allowed qualify for exclusion from the IPPS
under the proposed criteria and to expand its
bed size under the proposed provisions.
Because any expansion would occur at some
point in the future, we are unable to quantify
the impact of this proposed change.
K. Effects of Proposed Policy Changes
Relating to Requirements for Disclosure of
Physician Ownership in Hospitals
In section VII. of the preamble of this
proposed rule, we discuss our proposals
concerning (1) the definition of a physicianowned hospital; (2) the requirement that
physician-owned hospitals disclose the
ownership to patients; and (3) the
requirement that all hospitals and CAHs
must furnish written notice to their patients
at the beginning of their hospital stay or
outpatient visit if a physician is not present
in the hospital 24 hours per day, 7 days per
week, and that the notice must indicate how
the hospital will meet the medical needs of
any patient who develops an emergency
medical condition at a time when there is no
physician present in the hospital. The
definition and the above requirements were
implemented in the FY 2008 IPPS final rule
with comment period (72 FR 47387 and
47391).
In this proposed rule, we are proposing to
revise the definition of a physician-owned
hospital at § 489.3 to include hospitals that
have an ownership or investment interests by
a physician and/or by an immediate family
member of a physician. (The existing
definition refers to an ownership or
investment interest by a physician only, and
not to an ownership or investment interest by
an immediate family member.) We are also
proposing to except from the definition of
physician-owned hospital those hospitals
that do not have at least one physician
owner/investor or immediate family member
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owner/investor who refers patients to the
hospital. We believe that the proposed
changes to the definition of physician-owned
hospital would result in no more than a de
minimis increase in the number of hospitals
that are subject to the disclosure
requirements applicable to physician-owned
hospitals. We believe that there would be
very few hospitals that would now meet the
definition of physician-owned hospital, if we
adopt our proposal to include immediate
family members within the group of owners
or investors that cause a hospital to be
considered physician-owned, that did not
already meet the definition. That is, we
believe there are very few hospitals for which
an immediate family member of a physician,
but not the physician himself or herself, or
any other physician, has an ownership or
investment interest. Moreover, to the extent
that such hospitals exist, that is, hospitals
that have no physician owner/investors but
which have owners/investors who are
immediate family members of one or more
physicians, such hospitals would not be
subject to the disclosure requirement if we
adopt our proposed exception to the
definition of a physician-owned hospital for
those hospitals that do not have at least one
referring physician whose immediate family
member is an owner/investor. Also, if we
adopt this proposed exception to the
definition of physician-owned hospital, the
number of hospitals that now are subject to
the disclosure requirement may be reduced
slightly as we understand that there are some
hospitals that have no referring physician
owner/investors but rather have physician
owner/investors who have retired from the
practice of medicine. Thus, if both our
proposed changes to the definition of
physician-owned hospital are adopted, the
net result may be no change, or a minimal
increase or decrease in the number of
hospitals that are subject to the disclosure
requirement. Finally, if our proposal to
change the definition of physician-owned
hospital is adopted to encompass immediate
family members, some hospitals that already
meet the definition based on the presence of
physician owner/investors may have to
amend their list of physician owner/investors
to add immediate family members, which we
believe would be a minimal burden.
We are proposing to clarify that the list of
the hospital’s owners or investors who are
physicians or immediate family members of
physicians must be provided to the patient at
the time the request for the list is made by
or on behalf of the patient. We note that
hospitals are already currently required to
furnish the list of physician owners or
investors and, thus, we believe that the
impact of stipulating a timeframe for
furnishing the list is negligible.
We are proposing to require all hospitals to
require that all physician owners who also
are members of the hospital’s medical staff to
agree, as a condition of continued medical
staff membership or admitting privileges, to
disclose, in writing, to all patients they refer
to the hospital any ownership or investment
interest that is held by themselves or by an
immediate family member (as defined in
§ 411.351). Disclosure would be required at
the time the referral is made. Both hospitals
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and physicians would participate in the
disclosure process. We believe this proposal
would have a small effect on physicianowned hospitals to the extent that it may
require them to change their bylaws or make
similar changes.
We do not anticipate that our proposals in
section VII. of the preamble of this proposed
rule would have a significant economic
impact on a substantial number of
physicians, other health care providers and
suppliers, or the Medicare or Medicaid
programs and their beneficiaries.
Specifically, we believe that this proposed
rule would affect mostly hospitals,
physicians, and beneficiaries. The proposed
changes concerning both the definition of a
physician-owned hospital and the disclosure
of physician ownership in hospitals are
consistent with the physician self-referral
statute and regulations as well as the current
practices of most hospitals. Thus, our
proposed requirement that the list of
physician owners be provided to the patient
at the time the request for the list is made by
or on behalf of the patient would present a
negligible economic impact on the hospital.
Similarly, the cost borne by individual
physicians to implement these provisions
would be limited to a one-time cost
associated with developing a disclosure
notice that would be shared with patients at
the time the referral is made in addition to
the negligible time associated with providing
the list to the patient and maintaining a copy
of the notice in the patient’s medical record.
We are also proposing to provide authority
for CMS to terminate the Medicare provider
agreement of any hospital that fails to furnish
the required written notice that a physician
is not available 24 hours per day, 7 days per
week and to describe how the hospital will
meet the medical needs of any patient who
develops an emergency medical condition at
a time when there is no physician present in
the hospital. We believe that the cost borne
by hospitals to implement this proposal
would be limited to a one-time cost
associated with completing minor revisions
to the hospital’s policies and procedures to
comply with the requirements of its Medicare
provider agreement. Most hospitals have
standard procedures to satisfy CMS by
correcting deficiencies (such as the failure to
furnish notice of physician ownership in the
hospital to patients) before action is taken by
CMS to terminate the Medicare provider
agreement.
Overall, we believe that beneficiaries
would be positively impacted by these
provisions. Specifically, disclosure of
physician ownership or investment interests
equips patients to make informed decisions
about where they elect to receive care. Our
proposals make no significant changes that
have the potential to impede patient access
to health care facilities and services. In fact,
we believe that our proposals would help
minimize anti-competitive behavior that can
affect the decision as to where a beneficiary
receives health care services and possibly the
quality of the services furnished.
L. Effects of Proposed Changes Relating to
Physician Self-Referral Provisions
In section VIII. of the preamble of this
proposed rule, we discuss our proposals
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23917
pertaining to physician self-referral
provisions, including: stand in the shoes,
period of disallowance, and reporting of
financial relationships between hospitals and
physicians. We do not anticipate that our
proposals would have a significant impact on
physicians, other health care providers and
suppliers, or the Medicare or Medicaid
programs and their beneficiaries.
With respect to the proposals to modify the
physician ‘‘stand in the shoes’’ provisions,
we do not anticipate that entities that include
one or more physician organizations would
find it necessary to restructure their
organizational relationships. We believe that
if either of our alternative approaches is
adopted, compliance with the ‘‘stand in the
shoes’’ provisions would be made easier by
simplifying the required analysis of
arrangements in which a physician
organization is interposed between the
referring physician and the entity furnishing
DHS. In addition to our proposals concerning
the physician ‘‘stand in the shoes’’
provisions, we are making an entity ‘‘stand
in the shoes’’ proposal, whereby an entity
that furnishes DHS would be deemed to
stand in the shoes of an organization in
which it has a 100-percent ownership
interest and would be deemed to have the
same compensation arrangements with the
same parties and on the same terms as does
the organization that it owns. We believe that
the entity stand in the shoes proposal may
result in more financial relationships
between entities and physicians being subject
to the physician self-referral provisions, but
we are unable to quantify at this time the
possible increase or determine the effect of
the proposal on the referral patterns or
organization structures of DHS entities and
their wholly-owned organizations. Rather, we
welcome public comments on these issues.
Our proposal pertaining to the period of
disallowance is a codification of what we
believe is existing law and reflects what we
believe most entities furnishing DHS are
already following. Therefore, we do not
anticipate a significant economic impact on
the industry.
M. Effects of Proposed Changes Relating to
Reporting of Financial Relationships Between
Hospitals and Physicians
As discussed in section IX. of the preamble
to this proposed rule, we are proposing to
require that 500 hospitals furnish
information concerning their financial
relationships with their physicians. The
financial relationships include ownership
and investment interests and compensation
arrangements. We are proposing that this
information be submitted in a collection of
information instrument that CMS has
developed—the ‘‘DFRR,’’ which is included
in Appendix C to this proposed rule. We are
unable to quantify the number of physicians
who have ownership and investment
interests and compensation arrangements
with hospitals. Even if we assume that the
500 hospitals have a substantial number of
financial relationships with physicians, we
believe that, in general, the economic impact
on these hospitals would not be substantial.
Because we are proposing that the DFRR be
completed by hospitals and that the
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physician information requested in the DFRR
will be on file at the hospital, we believe
there should be negligible, if any, impact
upon physicians or other health care
providers or suppliers. Specifically, we
believe that the cost to complete the DFRR
for each hospital would be approximately
$1,550, and the total cost burden for the
industry would be approximately $775,000.
We expect that this proposed rule may
result in savings to the Medicare program by
minimizing anti-competitive business
arrangements as well as financial incentives
that encourage overutilization. In addition, to
the extent that we determine that any
arrangements are noncompliant with the
physician self-referral statute and
regulations, there may be monies returned to
the Medicare Trust Fund. We cannot gauge
with any certainty the extent of these savings
to the Medicare program at this time. Finally,
we do not anticipate any financial burden on
beneficiaries or impact on beneficiary access
to medically necessary services because the
completion of the DFRR would be conducted
by hospitals.
VIII. Effects of Proposed Changes in the
Capital IPPS
jlentini on PROD1PC65 with PROPOSALS2
A. General Considerations
Fiscal year (FY) 2001 was the last year of
the 10-year transition period established to
phase in the PPS for hospital capital-related
costs. During the transition period, hospitals
were paid under one of two payment
methodologies: fully prospective or hold
harmless. Under the fully prospective
methodology, hospitals were paid a blend of
the capital Federal rate and their hospitalspecific rate (see § 412.340). Under the holdharmless methodology, unless a hospital
elected payment based on 100 percent of the
capital Federal rate, hospitals were paid 85
percent of reasonable costs for old capital
costs (100 percent for SCHs) plus an amount
for new capital costs based on a proportion
of the capital Federal rate (see § 412.344). As
we state in section V. of the preamble of this
proposed rule, with the 10-year transition
period ending with hospital cost reporting
periods beginning on or after October 1, 2001
(FY 2002), beginning in FY 2002 capital
prospective payment system payments for
most hospitals are based solely on the capital
Federal rate. Therefore, we no longer include
information on obligated capital costs or
projections of old capital costs and new
capital costs, which were factors needed to
calculate payments during the transition
period, for our impact analysis.
The basic methodology for determining a
capital PPS payment is set forth at § 412.312.
The basic methodology for calculating capital
IPPS payments in FY 2009 would be as
follows: (Standard Federal Rate) × (DRG
weight) × (GAF) × (COLA for hospitals
located in Alaska and Hawaii) × (1 +
Disproportionate Share Adjustment Factor +
IME Adjustment Factor, if applicable).
We note that, in accordance with
§ 412.322(c), the IME adjustment factor for
FY 2009 is equal to half of the current
adjustment, as discussed in section V.B.2. of
the preamble of this proposed rule. In
addition, hospitals may also receive outlier
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payments for those cases that qualify under
the threshold established for each fiscal year.
The data used in developing the impact
analysis presented below are taken from the
December 2007 update of the FY 2007
MedPAR file and the December 2007 update
of the Provider-Specific File that is used for
payment purposes. Although the analyses of
the proposed changes to the capital
prospective payment system do not
incorporate cost data, we used the December
2007 update of the most recently available
hospital cost report data (FYs 2005 and 2006)
to categorize hospitals. Our analysis has
several qualifications. We use the best data
available and make assumptions about casemix and beneficiary enrollment as described
below. In addition, as discussed in section
III. of the Addendum to this proposed rule,
as we established for FY 2008, we are
proposing to adjust the national capital rate
to account for improvements in
documentation and coding under the MS–
DRGs in FY 2009. (As discussed in section
III.A.6. of the Addendum to this proposed
rule, we are not proposing to adjust the
Puerto Rico specific capital rate to account
for improvements in documentation and
coding under the MS–DRGs in FY 2009.)
Furthermore, due to the interdependent
nature of the IPPS, it is very difficult to
precisely quantify the impact associated with
each proposed change. In addition, we draw
upon various sources for the data used to
categorize hospitals in the tables. In some
cases (for instance, the number of beds), there
is a fair degree of variation in the data from
different sources. We have attempted to
construct these variables with the best
available sources overall. However, for
individual hospitals, some
miscategorizations are possible.
Using cases from the December 2007
update of the FY 2007 MedPAR file, we
simulated payments under the capital PPS
for FY 2008 and FY 2009 for a comparison
of total payments per case. Any short-term,
acute care hospitals not paid under the
general IPPS (Indian Health Service hospitals
and hospitals in Maryland) are excluded
from the simulations.
As we explain in section III.A. of the
Addendum to this proposed rule, payments
are no longer made under the regular
exceptions provision under §§ 412.348(b)
through (e). Therefore, we no longer use the
actuarial capital cost model (described in
Appendix B of the August 1, 2001 proposed
rule (66 FR 40099)). We modeled payments
for each hospital by multiplying the capital
Federal rate by the GAF and the hospital’s
case-mix. We then added estimated payments
for indirect medical education (which are
reduced by 50 percent in FY 2009 in
accordance with § 412.322(c), as discussed in
section V.B.2. of the preamble of this
proposed rule), disproportionate share, and
outliers, if applicable. For purposes of this
impact analysis, the model includes the
following assumptions:
• We estimate that the Medicare case-mix
index will increase by 1.0 percent in both
FYs 2008 and 2009. (We note that this does
not reflect the expected growth in case-mix
due to improvement in documentation and
coding under the MS–DRGs, as discussed
below.)
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• We estimate that the Medicare
discharges will be 13.2 million in FY 2008
and 13.3 million in FY 2009 for an
approximately 0.4 percent increase from FY
2008 to FY 2009.
• The capital Federal rate was updated
beginning in FY 1996 by an analytical
framework that considers changes in the
prices associated with capital-related costs
and adjustments to account for forecast error,
changes in the case-mix index, allowable
changes in intensity, and other factors. As
discussed in section VIII. of the preamble and
section III.A.2.1. of the Addendum to this
proposed rule, the proposed FY–2009 update
is 0.7 percent.
• In addition to the proposed FY 2009
update factor, the proposed FY 2009 capital
Federal rate was calculated based on a
proposed GAF/DRG budget neutrality factor
of 1.0007, a proposed outlier adjustment
factor of 0.9427, and a proposed exceptions
adjustment factor of 0.9998.
• For FY 2009, as discussed in section
III.A. of the Addendum to this proposed rule,
the proposed FY 2009 national capital rate
was further adjusted by a factor to account
for anticipated improvements in
documentation and coding that are expected
to increase case-mix under the MS–DRGs. In
the FY 2008 IPPS final rule with comment
period (72 FR 47186), we established
adjustments to the IPPS rates based on the
Office of the Actuary projected case-mix
growth resulting from improved
documentation and coding of 1.2 percent for
FY 2008, 1.8 percent for FY 2009, and 1.8
percent for FY 2010. However, we reduced
the documentation and coding adjustment to
–0.6 percent for FY 2008, and for FY 2009,
we are proposing to apply an adjustment of
0.9 percent, consistent with section 7 of Pub.
L. 110–90. As noted above and as discussed
in section III.A.6. of the Addendum to this
proposed rule, we are not proposing to adjust
the Puerto Rico-specific capital rate to
account for improvements in documentation
and coding under the MS–DRGs in FY 2009.
B. Results
We used the actuarial model described
above to estimate the potential impact of our
proposed changes for FY 2009 on total
capital payments per case, using a universe
of 3,528 hospitals. As described above, the
individual hospital payment parameters are
taken from the best available data, including
the December 2007 update of the FY 2007
MedPAR file, the December 2007 update to
the PSF, and the most recent cost report data
from the December 2007 update of HCRIS. In
Table III, we present a comparison of total
payments per case for FY 2008 compared to
proposed FY 2009 based on the proposed FY
2009 payment policies. Column 2 shows
estimates of payments per case under our
model for FY 2008. Column 3 shows
estimates of payments per case under our
model for FY 2009. Column 4 shows the total
percentage change in payments from FY 2008
to FY 2009. The change represented in
Column 4 includes the proposed 0.7 percent
update to the capital Federal rate, other
changes in the adjustments to the capital
Federal rate (for example, the 50 percent
reduction to the teaching adjustment for FY
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2009), and the additional 0.9 percent
reduction to the national capital rate to
account for improvements in documentation
and coding (or other changes in coding that
do not reflect real changes in case-mix) for
implementation of the MS–DRGs. Consistent
with the impact analysis for the proposed
policy changes under the IPPS for operating
costs in section VI. of this Appendix, for
purposes of this impact analysis, we also
assume a 1.8 percent increase in case-mix
growth for FY 2009, as determined by the
Office of the Actuary, because we believe the
adoption of the MS–DRG will result in casemix growth due to documentation and
coding changes that do not reflect real
changes in patient severity of illness. The
comparisons are provided by: (1) Geographic
location; (2) region; and (3) payment
classification.
The simulation results show that, on
average, capital payments per case in FY
2009 can be expected to remain about the
same as capital payments per case in FY
2008. The proposed capital rate for FY 2009
would decrease 1.14 percent as compared to
the FY 2008 capital rate, and the proposed
changes to the GAFs are expected to result
in a slight decrease (0.3 percent) in capital
payments. In addition, the 50 percent
reduction to the teaching adjustment in FY
2009 will also result in a decrease in capital
payments from FY 2008 as compared to FY
2009. Countering these factors is the
projected case-mix growth as a result of
improved documentation and coding
(discussed above) as well as an estimated
increase in outlier payments in FY 2008 as
compared to FY 2009. The net result of these
changes is an estimated 0.0 percent change
in capital payments per discharge from FY
2008 to FY 2009 for all hospitals (as shown
below in Table III).
The results of our comparisons by
geographic location and by region are
consistent with the results we expected with
the decrease to the teaching adjustment in FY
2009 (§ 412.522(c)). The geographic
comparison shows that all urban hospitals
are expected to experience no change in
capital IPPS payments per case in FY 2009
as compared to FY 2008, while hospitals in
large urban areas are expected to experience
a slight decrease (0.3 percent) in capital IPPS
payments per case in FY 2009 as compared
to FY 2008. Capital IPPS payments per case
for rural hospitals are expected to increase
0.5 percent. These differences in payments
per case by geographic location are mostly
due to the decrease in the teaching
adjustment. Because teaching hospitals
generally tend to be located in urban or large
urban areas, we would expect that the 50
percent decrease in the teaching adjustment
for FY 2009 would have a more significant
impact on hospitals in those areas than those
hospitals located in rural areas.
Most regions are estimated to experience
an increase in total capital payments per case
from FY 2008 to FY 2009. These increases
vary by region and range from a 1.9 percent
increase in the Pacific urban and West South
Central urban regions to a 0.1 percent
increase in the East North Central urban
region. Two urban regions are projected to
experience a relatively larger decrease in
capital payments, with the difference mostly
due to proposed changes in the GAFs and the
50 percent reduction in the teaching
adjustment for FY 2009: ¥2.7 percent in the
Middle Atlantic urban region and ¥3.6
percent in the New England urban region.
The East North Central urban region is also
expected to experience a decrease of 0.1
percent in capital payments in FY 2009 as
compared to FY 2008, mostly due to
proposed changes in the GAFs. There are two
rural regions that expected to experience a
decrease in total capital payments per case:
A ¥4.5 percent decrease in the New England
rural region and a ¥1.0 percent decrease in
the Middle Atlantic rural region. Again, for
these two rural regions, the projected
decrease in capital payments is mostly due
to proposed changes in the GAF, as well as
a smaller than average increase in changes
payments due to the adoption of the MS–
DRGs.
By type of ownership, voluntary and
government hospitals are estimated to
experience a decrease of 0.2 percent and 0.8
percent, respectively. The projected decrease
in capital payments per case is primarily due
to the 50 percent teaching adjustment
reduction for FY 2009. Proprietary hospitals
are estimated to experience an increase in
capital payments per case of 1.6 percent. This
estimated increase in capital payments is
mostly due to a smaller than average decrease
in payments resulting from the 50 percent
teaching adjustment reduction for FY 2009.
Section 1886(d)(10) of the Act established
the MGCRB. Before FY 2005, hospitals could
apply to the MGCRB for reclassification for
purposes of the standardized amount, wage
index, or both. Section 401(c) of Pub. L. 108–
173 equalized the standardized amounts
under the operating IPPS. Therefore,
beginning in FY 2005, there is no longer
reclassification for the purposes of the
standardized amounts; however, hospitals
still may apply for reclassification for
purposes of the wage index for FY 2009.
Reclassification for wage index purposes also
affects the GAFs because that factor is
constructed from the hospital wage index.
To present the effects of the hospitals being
reclassified for FY 2009, we show the average
capital payments per case for reclassified
hospitals for FY 2008. Urban reclassified
hospitals are expected to have the largest
decrease in capital payments of 0.4 percent,
while rural reclassified hospitals are
expected to have the largest increase in
capital payments of 1.0 percent. Urban
nonreclassified hospitals are not expected to
experience any change in capital payment
from FY 2008 to FY 2009, while rural
nonreclassified hospitals are expected to
experience a slight decrease in capital
payments of 0.3 percent. The projected
changes in capital payments for rural
hospitals are mainly due to the proposed
changes to the GAF (including the proposal
to apply the rural floor budget neutrality at
a State level). The projected changes in
capital payments for urban hospitals are
mainly due to the 50 percent reduction in the
teaching adjustment in FY 2009.
TABLE III.—COMPARISON OF TOTAL CAPITAL PAYMENTS PER CASE
[FY 2008 payments compared to FY 2009 payments]
jlentini on PROD1PC65 with PROPOSALS2
Number of
hospitals
By Geographic Location:
All hospitals ..............................................................................................................
Large urban areas (populations over 1 million) .......................................................
Other urban areas (populations of 1 million or fewer) .............................................
Rural areas ...............................................................................................................
Urban hospitals .........................................................................................................
0–99 beds ..........................................................................................................
100–199 beds ....................................................................................................
200–299 beds ....................................................................................................
300–499 beds ....................................................................................................
500 or more beds ..............................................................................................
Rural hospitals ..........................................................................................................
0–49 beds ..........................................................................................................
50–99 beds ........................................................................................................
100–149 beds ....................................................................................................
150–199 beds ....................................................................................................
200 or more beds ..............................................................................................
By Region:
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Average FY
2008 payments/case
Average FY
2009 payments/case
757
834
752
528
796
632
684
752
829
973
528
429
485
532
586
652
757
831
754
531
796
642
692
758
827
957
531
427
487
537
595
652
3,528
1,402
1,140
986
2,542
643
829
483
411
176
986
338
373
166
67
42
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Change
0.0
¥0.3
0.3
0.5
0.0
1.6
1.1
0.8
¥0.3
¥1.7
0.5
¥0.5
0.4
1.0
1.4
0.0
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TABLE III.—COMPARISON OF TOTAL CAPITAL PAYMENTS PER CASE—Continued
[FY 2008 payments compared to FY 2009 payments]
Average FY
2008 payments/case
Average FY
2009 payments/case
2,542
121
348
385
394
163
157
371
157
393
53
986
23
70
172
121
176
113
200
75
36
796
835
858
755
777
719
777
747
807
925
367
528
706
543
516
555
480
560
479
533
650
796
805
835
763
770
727
779
761
822
943
368
531
675
537
524
555
484
567
483
539
660
0.0
¥3.6
¥2.7
1.1
¥0.9
1.2
0.2
1.9
1.8
1.9
0.3
0.5
¥4.5
¥1.0
1.5
0.1
0.9
1.1
0.8
1.2
1.6
3,528
1,424
1,160
944
757
832
750
528
757
830
752
531
0.0
¥0.3
0.3
0.6
2,484
805
238
643
765
1,085
657
769
1,037
2.1
0.5
¥4.4
1,534
354
823
567
820
573
¥0.3
1.2
389
206
467
584
469
589
0.4
0.8
39
168
489
438
493
438
0.8
0.1
811
172
1,077
524
896
784
683
702
881
777
700
716
¥1.6
¥0.8
2.5
2.0
2,459
63
36
11
15
800
700
654
457
751
799
714
659
456
776
¥0.1
2.0
0.8
¥0.2
3.4
445
2,075
360
565
54
802
796
573
459
535
799
796
579
458
538
¥0.4
0.0
1.0
¥0.3
0.5
2,027
827
587
770
699
752
769
710
746
¥0.2
1.6
¥0.8
255
1,350
1,431
392
998
847
671
598
971
843
677
601
¥2.8
¥0.5
0.9
0.5
jlentini on PROD1PC65 with PROPOSALS2
Number of
hospitals
Urban by Region ......................................................................................................
New England .....................................................................................................
Middle Atlantic ...................................................................................................
South Atlantic ....................................................................................................
East North Central .............................................................................................
East South Central ............................................................................................
West North Central ............................................................................................
West South Central ...........................................................................................
Mountain ............................................................................................................
Pacific ................................................................................................................
Puerto Rico ........................................................................................................
Rural by Region ........................................................................................................
New England .....................................................................................................
Middle Atlantic ...................................................................................................
South Atlantic ....................................................................................................
East North Central .............................................................................................
East South Central ............................................................................................
West North Central ............................................................................................
West South Central ...........................................................................................
Mountain ............................................................................................................
Pacific ................................................................................................................
By Payment Classification:
All hospitals ..............................................................................................................
Large urban areas (populations over 1 million) .......................................................
Other urban areas (populations of 1 million or fewer) .............................................
Rural areas ...............................................................................................................
Teaching Status:
Non-teaching .....................................................................................................
Fewer than 100 Residents ................................................................................
100 or more Residents ......................................................................................
Urban DSH:
100 or more beds .......................................................................................
Less than 100 beds ...................................................................................
Rural DSH:
Sole Community (SCH/EACH) ...................................................................
Referral Center (RRC/EACH) ....................................................................
Other Rural:
100 or more beds ...............................................................................
Less than 100 beds ............................................................................
Urban teaching and DSH:
Both teaching and DSH ....................................................................................
Teaching and no DSH .......................................................................................
No teaching and DSH .......................................................................................
No teaching and no DSH ..................................................................................
Rural Hospital Types:
Non special status hospitals
RRC/EACH ........................................................................................................
SCH/EACH ........................................................................................................
Medicare-dependent hospitals (MDH) ..............................................................
SCH, RRC and EACH .......................................................................................
Hospitals Reclassified by the Medicare Geographic Classification Review Board:
FY 2009 Reclassifications:
All Urban Reclassified .......................................................................................
All Urban Non-Reclassified ...............................................................................
All Rural Reclassified ........................................................................................
All Rural Non-Reclassified ................................................................................
Other Reclassified Hospitals (Section 1886(d)(8)(B)) .......................................
Type of Ownership:
Voluntary ...........................................................................................................
Proprietary .........................................................................................................
Government .......................................................................................................
Medicare Utilization as a Percent of Inpatient Days:
0–25 ...................................................................................................................
25–50 .................................................................................................................
50–65 .................................................................................................................
Over 65 ..............................................................................................................
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Change
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 / Proposed Rules
IX. Alternatives Considered
This proposed rule contains a range of
proposed policies. The preamble of this
proposed rule provides descriptions of the
statutory provisions that are addressed,
identifies those proposed policies when
discretion has been exercised, and presents
rationale for our decisions and, where
relevant, alternatives that were considered.
X. Overall Conclusion
The changes we are proposing in this
proposed rule will affect all classes of
hospitals. Some hospitals are expected to
experience significant gains and others less
significant gains, but overall hospitals are
projected to experience positive updates in
IPPS payments in FY 2009. Table I of section
VI. of this Appendix demonstrates the
estimated distributional impact of the IPPS
budget neutrality requirements for proposed
MS–DRG and wage index changes, and for
the wage index reclassifications under the
MGCRB. Table I also shows an overall
increase of 4.1 percent in operating
payments. We estimate operating payments
to increase by $3.96 billion. This accounts for
the projected savings associated with the
postacute care transfer policy proposal and
the HACs policy, which each have an
estimated savings of $50 million. In addition,
this estimate includes the hospital reporting
of quality data program costs ($2.39 million)
and all proposed operating payment policies
as described in section VII. of this Appendix.
Capital payments are estimated to increase by
0.0 percent per case, as shown in Table III
of section VIII. of this Appendix. Therefore,
we project that the increase in capital
payments in FY 2009 compared to FY 2008
is negligible ($6 million). The proposed
23921
operating and capital payments should result
in a net increase of $3.967 billion to IPPS
providers. The discussions presented in the
previous pages, in combination with the rest
of this proposed rule, constitute a regulatory
impact analysis.
XI. Accounting Statement
As required by OMB Circular A–4
(available at https://www.whitehousegov/omb/
circulars/a004/a-4.pdf), in Table IV below,
we have prepared an accounting statement
showing the classification of the
expenditures associated with the provisions
of this proposed rule. This table provides our
best estimate of the increase in Medicare
payments to providers as a result of the
proposed changes to the IPPS presented in
this proposed rule. All expenditures are
classified as transfers to Medicare providers.
TABLE IV.—ACCOUNTING STATEMENT: CLASSIFICATION OF ESTIMATED EXPENDITURES FROM FY 2008 TO FY 2009
Category
Transfers
Annualized Monetized Transfers ..............................................................
From Whom to Whom ..............................................................................
Total ...................................................................................................
XII. Executive Order 12866
In accordance with the provisions of
Executive Order 12866, the Office of
Management and Budget reviewed this
proposed rule.
Appendix B: Recommendation of Update
Factors for Operating Cost Rates of Payment
for Inpatient Hospital Services
jlentini on PROD1PC65 with PROPOSALS2
I. Background
Section 1886(e)(4)(A) of the Act requires
that the Secretary, taking into consideration
the recommendations of the MedPAC,
recommend update factors for inpatient
hospital services for each fiscal year that take
into account the amounts necessary for the
efficient and effective delivery of medically
appropriate and necessary care and high
quality care. Under section 1886(e)(5)(B) of
the Act, we are required to publish update
factors recommended by the Secretary in the
proposed and final IPPS rules, respectively.
Accordingly, this Appendix provides the
recommendations for the update factors for
the IPPS national standardized amount, the
Puerto Rico-specific standardized amount,
the hospital-specific rates for SCHs and
MDHs, and the rate-of-increase limits for
hospitals and hospital units excluded from
the IPPS, as well as LTCHS, IPFs, and IRFs.
We also discuss our response to MedPAC’s
recommended update factors for inpatient
hospital services.
II. Inpatient Hospital Update for FY 2009
Section 1886(b)(3)(B)(i)(XX) of the Act, as
amended by section 5001(a) of Pub. L. 109–
171, sets the FY 2009 percentage increase in
the operating cost standardized amount equal
to the rate-of-increase in the hospital market
basket for IPPS hospitals in all areas, subject
to the hospital submitting quality
information under rules established by the
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$3.967 Billion.
Federal Government to IPPS Medicare Providers.
$3.967 Billion.
Secretary in accordance with
1886(b)(3)(B)(viii) of the Act. For hospitals
that do not provide these data, the update is
equal to the market basket percentage
increase less 2.0 percentage points.
Consistent with current law, based on Global
Insight, Inc.’s first quarter 2008 forecast of
the FY 2009 market basket increase, we are
estimating that the FY 2009 update to the
standardized amount will be 3.0 percent (that
is, the current estimate of the market basket
rate-of-increase) for hospitals in all areas,
provided the hospital submits quality data in
accordance with our rules. For hospitals that
do not submit quality data, we are estimating
that the update to the standardized amount
will be 1.0 percent (that is, the current
estimate of the market basket rate-of-increase
minus 2.0 percentage points).
Section 1886(d)(9)(C)(1) of the Act is the
basis for determining the percentage increase
to the Puerto Rico-specific standardized
amount. For FY 2009, we are applying the
full rate-of-increase in the hospital market
basket for IPPS hospitals to the Puerto Ricospecific standardized amount. Therefore, the
update to the Puerto Rico-specific
standardized amount is estimated to be 3.0
percent.
Section 1886(b)(3)(B)(iv) of the Act sets the
FY 2009 percentage increase in the hospitalspecific rates applicable to SCHs and MDHs
equal to the rate set forth in section
1886(b)(3)(B)(i) of the Act (that is, the same
update factor as for all other hospitals subject
to the IPPS, or the rate-of-increase in the
market basket). Therefore, the update to the
hospital-specific rates applicable to SCHs
and MDHs is estimated to be 3.0 or 1.0
percent, depending upon whether the
hospital submits quality data.
Section 1886(b)(3)(B)(ii) of the Act is used
for purposes of determining the percentage
increase in the rate-of-increase limits for
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children’s and cancer hospitals. Section
1886(b)(3)(B)(ii) of the Act sets the
percentage increase in the rate-of-increase
limits equal to the market basket percentage
increase. In accordance with § 403.752(a) of
the regulations, RNHCIs are paid under
§ 413.40, which also uses section
1886(b)(3)(B)(ii) of the Act to update the
percentage increase in the rate-of-increase
limits. Section 1886(j)(3)(C) of the Act
addresses the increase factor for the Federal
prospective payment rate of IRFs. Section
123 of Pub. L. 106–113, as amended by
section 307(b) of Pub. L. 106–554, provides
the statutory authority for updating payment
rates under the LTCH PPS. As discussed
below, for cost reporting periods beginning
on or after October 1, 2006, LTCHs that are
not defined as new under § 412.23(e)(4), and
that had not elected to be paid under 100
percent of the Federal rate are paid 100
percent of the adjusted Federal PPS rate.
Therefore, because no portion of LTCHs’
prospective payments will be based on
reasonable cost concepts for cost reporting
periods beginning on or after October 1,
2006, we are not proposing a rate-of-increase
percentage to the reasonable cost portion for
FY 2009 for LTCHs to be used under
§ 413.40. In addition, section 124 of Pub. L.
106–113 provides the statutory authority for
updating all aspects of the payment rates for
IPFs. Under this broad authority, IPFs that
are not defined as new under § 412.426(c) are
paid under a blended methodology for cost
reporting periods beginning on or after
January 1, 2005, and before January 1, 2008.
For cost reporting periods beginning on or
after January 1, 2008, existing IPFs are paid
based on 100 percent of the Federal per diem
rate. Therefore, because no portion of the
existing IPFs prospective payments will be
based on reasonable cost concepts for cost
reporting periods beginning on or after
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January 1, 2008, we are not proposing a rateof-increase percentage to the reasonable cost
portion for FY 2009 for IPFs to be used under
§ 412.426(c). New IPFs are paid based on 100
percent of the Federal per diem payment
amount.
Currently, children’s hospitals, cancer
hospitals, and RNHCIs are the remaining
three types of hospitals still reimbursed
under the reasonable cost methodology. We
are providing our current estimate of the FY
2009 IPPS operating market basket
percentage increase (3.0 percent) to update
the target limits for children’s hospitals,
cancer hospitals, and RNHCIs.
Effective for cost reporting periods
beginning on or after October 1, 2002, LTCHs
have been paid under the LTCH PPS.
Additionally, for cost reporting periods
beginning on or after October 1, 2006, no
portion of a LTCH’s PPS payments can be
based on reasonable cost concepts.
Consequently, there is no need to propose to
update the target limit under § 413.40
effective October 1, 2008, for LTCHs.
In the RY 2009 LTCH PPS proposed rule
(73 FR 5361 through 5362), we proposed an
update of 2.6 percent to the LTCH PPS
Federal rate for RY 2009, which is based on
a proposed market basket increase of 3.5
percent and a proposed adjustment of 0.9
percent to account for the increase in casemix in a prior year that resulted from changes
in coding practices rather than an increase in
patient severity. The proposed market basket
of 3.5 percent used in determining this
proposed update factor is based on our
proposal in the LTCH proposed rule to
extend the LTCH RY 2009 by 3 months (a
total of 15 months instead of 12 months)
through September 30, 2009. (A full
discussion of the reasons for this proposed
extension of RY 2009 can be found in the RY
2009 LTCH PPS proposed rule (73 FR 5351
through 5353).) However, if we were not
proposing to extend the 2009 LTCH PPS rate
year by 3 months, we would have proposed
a market basket update of 3.1 percent for a
12-month RY 2009 offset by the proposed
adjustment of 0.9 percent to account for the
increase in case-mix in a prior year that
resulted from changes in coding practices
rather than an increase in patient severity.
Effective for cost reporting periods
beginning on or after January 1, 2005, IPFs
are paid under the IPF PPS. IPF PPS
payments are based on a Federal per diem
rate that is derived from the sum of the
average routine operating, ancillary, and
capital costs for each patient day of
psychiatric care in an IPF, adjusted for
budget neutrality. For cost reporting periods
beginning on or after January 1, 2005, and
before January 1, 2008, existing IPFs (those
not defined as ‘‘new’’ under § 412.426(c)) are
paid based on a blend of the reasonable costbased PPS payments and the Federal per
diem base rate. For cost reporting periods
beginning on or after January 1, 2008,
existing IPFs are paid based on 100 percent
of the Federal per diem rate. Consequently,
there is no need to propose to update the
target limit under § 412.426(c) effective
October 1, 2008, for IPFs.
IRFs are paid under the IRF PPS for cost
reporting periods beginning on or after
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January 1, 2002. For cost reporting periods
beginning on or after October 1, 2002 (FY
2003), and thereafter, the Federal prospective
payments to IRFs are based on 100 percent
of the adjusted Federal IRF prospective
payment amount, updated annually (69 FR
45721). Section 1886(j)(3)(C) of the Act, as
amended by section 115 of Pub. L. 110–173
sets the FY 2009 IRF PPS update factor equal
to 0 percent. Thus, we are not applying an
update (market basket) to the IRF PPS rates
for FY 2009.
III. Secretary’s Recommendation
MedPAC is recommending an inpatient
hospital update equal to the market basket
rate of increase for FY 2009. MedPAC’s
rationale for this update recommendation is
described in more detail below. Based on the
FY 2009 President’s Budget, we are
recommending an update to the standardized
amount of 0 percent. We are recommending
that this same update factor apply to SCHs
and MDHs.
Section 1886(d)(9)(C)(1) of the Act is the
basis for determining the percentage increase
to the Puerto Rico-specific standardized
amount. For FY 2009, we are applying the
full rate-of-increase in the hospital market
basket for IPPS hospitals to the Puerto Ricospecific standardized amount. Therefore, the
update to the Puerto Rico-specific
standardized amount is estimated to be 3.0
percent.
In addition to making a recommendation
for IPPS hospitals, in accordance with
section 1886(e)(4)(A) of the Act, we are also
recommending update factors for all other
types of hospitals. Consistent with the
President’s Budget, we are recommending an
update based on the IPPS market basket
increase for children’s hospitals, cancer
hospitals, and RNHCIs of 0 percent. As
mentioned above, for cost reporting periods
beginning on or after January 1, 2008,
existing IPFs are paid based on 100 percent
of the Federal per diem rate (and are no
longer paid a blend of the reasonable costbased PPS payments and the Federal per
diem base rate). Consequently, we are no
longer recommending an update factor for
the portion of the payment that is based on
reasonable costs. Consistent with the
President’s Budget, based on Global Insight,
Inc.’s first quarter 2008 forecast of the RPL
market basket increase, we are
recommending an update to the IPF PPS
Federal rate for RY 2009 of 3.2 percent for
the Federal per diem payment amount.
In the RY 2009 LTCH PPS proposed rule
(73 FR 5361 through 5362), we proposed an
update of 2.6 percent to the LTCH PPS
Federal rate for RY 2009, which is based on
a proposed market basket increase of 3.5
percent and a proposed adjustment of 0.9
percent to account for the increase in casemix in a prior year that resulted from changes
in coding practices rather than an increase in
patient severity. The proposed market basket
of 3.5 percent used in determining this
proposed update factor is based on our
proposal in the LTCH proposed rule to
extend the LTCH RY 2009 by 3 months (a
total of 15 months instead of 12 months)
through September 30, 2009. (A full
discussion on the reasons for this proposed
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extension of RY 2009 can be found in the RY
2009 LTCH PPS proposed rule (73 FR 5351
through 5353).) However, if we were not
proposing to extend the 2009 LTCH PPS rate
year by 3 months, we would have proposed
a market basket update for a 12 month RY
2009 of 3.1 percent in determining the
proposed update factor for RY 2009 offset by
the proposed adjustment of 0.9 percent to
account for the increase in case-mix in a
prior year that resulted from changes in
coding practices rather than an increase in
patient severity.
Finally, consistent with the President’s FY
2009 Budget, we are recommending a zero
percent update to the IRF PPS Federal rate
for FY 2009. This recommendation is
consistent with the zero percent increase
factor specified in section 1886(j)(3)(C) of the
Act, as amended by section 115 of Pub. L.
110–173.
IV. MedPAC Recommendation for Assessing
Payment Adequacy and Updating Payments
in Traditional Medicare
In its March 2008 Report to Congress,
MedPAC assessed the adequacy of current
payments and costs, and the relationship
between payments and an appropriate cost
base, utilizing an established methodology
used by MedPAC in the past several years.
MedPAC recommended an update to the
hospital inpatient rates equal to the increase
in the hospital market basket in FY 2009,
concurrent with implementation of a quality
incentive program. Similar to last year,
MedPAC also recommended that CMS put
pressure on hospitals to control their costs
rather than accommodate the current rate of
cost growth, which is, in part, caused by a
lack of pressure from private payers.
MedPAC noted that indicators of payment
adequacy are almost uniformly positive.
MedPAC expects Medicare margins to remain
low in 2008. At the same time though,
MedPAC’s analysis finds that hospitals with
low non-Medicare profit margins have below
average standardized costs and most of these
facilities have positive overall Medicare
margins.
Response: Similar to our response last year,
we agree with MedPAC that hospitals should
control costs rather than accommodate the
current rate of growth. An update equal to
less than the market basket will motivate
hospitals to control their costs, consistent
with MedPAC’s recommendation. As
MedPAC noted, the lack of financial pressure
at certain hospitals can lead to higher costs
and in turn bring down the overall Medicare
margin for the industry.
As discussed in section II of the preamble
of this proposed rule, CMS implemented the
MS–DRGs in FY 2008 to better account for
severity of illness under the IPPS, and is
basing the DRG weights on costs rather than
charges. We continue to believe that these
refinements will better match Medicare
payment of the cost of care and provide
incentives for hospitals to be more efficient
in controlling costs.
We note that, because the operating and
capital prospective payment systems remain
separate, we are proposing to continue to use
separate updates for operating and capital
payments. The proposed update to the
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capital rate is discussed in section III of the
Addendum to this proposed rule.
Appendix C—Disclosure of Financial
Relationship Report (DFRR) Form
Disclosure of Financial Relationship Report
(DFRR)
jlentini on PROD1PC65 with PROPOSALS2
Requirement
Completion of the Disclosure of Financial
Relationship Report (DFRR or Report) is
required under section 1877(f) of the Social
Security Act. The Report must be completed,
certified by the appropriate officer of the
hospital, and received by CMS within 60
days of the date that appears on the cover
letter or e-mail transmission. Pursuant to 42
CFR 411.361(f), failure to timely submit the
requested information concerning an entity’s
ownership, investment, and compensation
arrangements may result in civil monetary
penalties of up to $10,000 for each day
beyond the deadline established for
disclosure.
Please be advised that the results from the
DFRR may be shared with other Federal
agencies and with Congressional committees,
as permitted or mandated by law. We intend
to protect from public disclosure, to the
fullest extent permitted by Exemptions 4 and
6 of the Freedom of Information Act, 5 U.S.C.
552(b)(4) and (6), any confidential business
information and any individual-specific
information collected. We note that CMS is
prevented by the Trade Secrets Act, 18 U.S.C.
1905, from releasing confidential business
information, except as authorized by law.
Information collected from each hospital
will be analyzed separately to determine
whether the financial relationships are in
compliance with the physician self-referral
laws and implementing regulations. At this
time, we do not plan to aggregate data.
Exception to Mandatory Reporting
An entity that furnishes 20 or fewer Part
A and/or Part B services during a calendar
year is excepted from this reporting
requirement pursuant to 42 CFR 411.361(b).
If you believe that the hospital qualifies for
this exception:
• The Chief Executive Officer, Chief
Financial Officer, or a comparable officer of
the Hospital must certify in writing that the
hospital furnishes 20 or fewer Part A and/or
Part B services during a calendar year.
• The certification statement must read as
follows: ‘‘I, (insert name), hereby certify that,
to the best of my knowledge and belief,
(insert name of Hospital) furnishes 20 or
fewer Part A and/or Part B services during a
calendar year. Therefore the hospital is
relying on the exception in 42 CFR
411.361(b) and will not be reporting financial
relationship data concerning the facility.’’
The certification statement must be signed
and dated, and include the title of the
signatory.
• If the hospital or entity qualifies for the
exception at 42 CFR 411.361(b), please mail
the original and one copy of the signed
certification statement to: Physician SelfReferral, Centers for Medicare & Medicaid
Services, 7500 Security Boulevard, Mailstop
C4–25–02, Baltimore, Maryland 21244–1850.
In addition, we request, but do not require,
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that you e-mail a PDF or other electronically
scanned version of the document to
HOSPITALDISCLOSURE@cms.hhs.gov. In
the subject line, please include the title
‘‘Exception to Disclosure Report.’’
General Instructions for DFRR
• The requested disclosures on Worksheets
1 through 6 pertain only to hospitals with
physician ownership or investment. For
purposes of this Report, ownership is
synonymous with investment.
• For any question pertaining to the
financial relationship between a physician
and the Hospital or entity or individual,
‘‘physician’’ shall include each immediate
family member of the physician, as defined
in 42 CFR 411.351.
• The terms, ‘‘physician-owner’’ and
‘‘physician-investor’’ are used
interchangeably throughout this report.
• Please provide the physician’s last name,
first name, and Medicare National Provider
Identifier (NPI). Only for those physicians
who have not yet received an NPI, may the
physician’s Unique Physician Identification
Number (UPIN) be submitted instead. We
will not accept a hospital created identifier
(for example, Physician 1, Physician 2, etc.).
• Where supporting documentation or an
explanation is requested, please include the
name of the physician-owner or physicianinvestor, and his/her NPI.
• Supplemental documents should be
provided only when specifically requested
on a worksheet. Supporting documentation
should be organized and clearly labeled to
reference the relevant worksheet. Please
include only information that responds to the
question asked; extraneous information
should not be included. For example, if only
a few pages of a large document are
responsive to a question, please only submit
those relevant pages.
• If a particular question does not apply to
the hospital, please type
‘‘N/A.’’
• If sufficient rows are not provided,
please save the Excel spreadsheet, insert the
necessary number of additional rows, and
print a copy of the revised Excel spreadsheet.
• Upon completion of the entire DFRR,
please verify all information presented
(including the totals for the respective fields
or columns) and return an original and one
copy to: Physician Self-Referral, Centers for
Medicare & Medicaid Services, 7500 Security
Boulevard, Mailstop C4–25–02, Baltimore,
Maryland 21244–1850. CMS also requests,
but does not require, that a PDF or other
electronically scanned version of the DFRR
and accompanying documentation be sent to
HOSPITALDISCLOSURE@cms.hhs.gov.
• Please enter all date fields in the
following format: MM/DD/YY. For example,
‘‘March 31, 2006’’ must be entered as follows:
03/31/06.
Report Contents
The attached report consists of the
following spreadsheets:
• Cover Sheet—(Certification Page)
• Worksheet 1—Hospital Characteristics
• Worksheet 2—Direct Ownership in
Hospital
• Worksheet 3—Indirect Ownership in
Hospital
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23923
• Worksheet 4—Payments Made to
Hospital by Direct Owners
• Worksheet 5—Payments Made to
Hospital by Indirect Owners
• Worksheet 6—Investment Reconciliation
• Worksheet 7—Compensation
Arrangements—Rentals, Personal Service
Arrangements, and Recruitment (See 42 CFR
411.357)
• Worksheet 8—Other Types of
Compensation Arrangements (See 42 CFR
411.357)
Key Terms
1. Additional Purchases: Stocks purchased
after initial or starting investment. Report the
total cost and number of additional shares of
stock purchased.
2. Assessments: Any cost or fee required
and paid by any investor of the hospital.
These fees usually do not involve any basis
or change in the owner’s investment in the
facility.
3. Back-up Guarantee: Physician-owner’s
risk of loss or liability related to the
ownership of his or her stock is guaranteed
by another entity. If the borrower has
problems in repayment, the payment is
guaranteed by a third party.
4. Basis of Stock/Shares: The cost of the
stock at the end of the cost reporting
period(s) ending in 2006.
5. Capital Calls: Each investor is asked/
required to put additional capital in the
company. Depending on the structure of the
call, if no additional shares are issued, the
basis (cost) of the investor’s stock will
increase, or if additional shares are issued,
the number of the investor’s shares will
increase.
6. Compilation of Financial Statements: A
compilation presents information in the form
of financial statements that are the
representation of management without
expressing assurances.
7. Direct Ownership or Investment Interest:
Direct ownership or investment interest is
defined at 42 CFR 411.354(a)(2).
8. Disproportionate Guarantee by Physician
Investor: Physician investor’s risk of loss or
liability related to the ownership of his/her
stock is guaranteed by the corporate investor
in a disproportionate percentage to the
percentage of stock owned by that physician
investor (i.e.: Physician investor owns 40%
of the stock of a hospital, but assumes risk
of loss or liability equal to 20%.)
9. Fair Market Value: Fair market value is
defined at 42 CFR 411.351.
10. Hospital: Hospital is synonymous with
operating entity (that is, the corporation or
legal entity through which the hospital
operates).
11. Immediate family member: An
immediate family member means: Husband
or wife; birth or adoptive parent, child, or
sibling; stepparent, stepchild, stepbrother, or
stepsister; father-in-law, mother-in-law, sonin-law, daughter-in-law, brother-in-law,
sister-in-law; grandparent or grandchild; and
spouse of a grandparent or grandchild. 42
CFR 411.351.
12. Indirect Ownership or Investment
Interest: An indirect ownership or
investment interest is defined at 42 CFR
411.354(b)(5).
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13. Internally prepared: Internally prepared
financial statements are prepared by
employees of the hospital, and are used
mostly to monitor the hospital’s performance.
14. Loan Guarantees: A situation when the
borrower’s liability is collateralized by a
third party.
15. NPI: Medicare National Provider
Identifier.
16. Other Capital Assessments: Report only
if shares of stock are involved. Fees assessed
should not be reported.
17. Relinquishments or Sales: For each
share of stock that is sold during the cost
reporting period(s) in 2006, report the dollar
amount of the sale and the number of shares
sold.
18. Reporting Period: The reporting period
refers to any cost reporting period(s) ending
in 2006.
19. Return of Capital Dividends: A
distribution that is not paid out of the
earnings and profits of the company. This
distribution reduces the basis of the stock.
20. Review of Financial Statements: A
review of financial statements is an
engagement that results in an accountant’s
opinion that expresses less assurance than
that of a certified audit, but more than a
compilation. Typically this involves limited
auditing, testing, analytical procedures, and/
or inquiries.
21. Stock/share: These terms are used
interchangeably throughout the worksheets.
22. Stock Dividends: Stock dividends are
distributions made by a corporation of its
own stock.
Worksheet 1—Hospital Characteristics
• Please include month, date, and year for
the beginning and end of your cost reporting
period(s).
jlentini on PROD1PC65 with PROPOSALS2
Worksheet 2—Direct Ownership in Hospital
• Identify the class of stock (if applicable)
and list all owners of that class within the
same grouping on the Worksheet.
• If the direct owner is the physician, enter
‘‘Self’’ in Column B.
• If the direct owner is not the physician,
please write the individual’s name in
Column A and in Column B indicate his/her
relationship to the physician and give the
physician’s name.
• The basis of the stock/shares is the cost
of the stock at the end of the cost reporting
period(s) ending in 2006. This amount
should equal Worksheet 6, Column B, Line
18.
• One hundred percent of ownership
should be identified for each individual class
of stock.
Worksheet 3—Indirect Ownership in
Hospital
• Report only indirect ownership interests
of physicians and immediate family members
on this Worksheet.
• In Column A, identify each entity with
ownership in the hospital and identify the
type of entity in Column B. The entity’s
percentage of direct ownership should be
listed in Column C.
• List each investor-owner of the group
entity in Column D. Indicate if the investorowner is a physician. If the investor-owner is
an immediate family member, please indicate
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the relationship to, and name of the
physician to whom the investor-owner is
related.
• Column E should indicate each investorowner’s percentage ownership in the entity at
the end of the cost reporting period(s) in
2006, with the number of shares owned (if
applicable) listed in Column F. Each type of
share owned (if applicable) should be listed
individually with the type of stock labeled in
Column G.
• To calculate the percent of indirect
ownership in Column H for each investorowner of the entity, multiply the percentage
in Column C by the percentage in Column E.
Worksheet 4—Payments Made to Hospital by
Direct Owners
• Report only payments to the hospital by
direct physician-owners and immediate
family member owners on this Worksheet.
• Complete one line for each payment
made by a physician-owner related to his or
her investment interest, including, but not
limited to: Initial investments, assessments,
capital calls, and loan guarantees. If
necessary, please insert additional lines.
• In Column B, indicate ‘‘Self’’ if the
physician is the direct owner. If the direct
owner is not the physician, please list the
direct owner’s name in Column A and in
Column B, indicate the immediate family
member’s relationship to the physician and
give the physician’s name.
• Do not group payments under one
physician name, but rather use a separate
line for each type of payment made by a
physician.
Worksheet 5—Payments Made to Hospital by
Indirect Owners
• Report only payments made by indirect
physician-owners and immediate family
member owners on this Worksheet.
• Complete one line for each payment
made by an entity related to an investment
interest, including, but not limited to: Initial
investments, assessments, capital calls, and
loan guarantees. If necessary, please insert
additional lines.
• List the name of the indirect ownership
entity in Column A. In Column B, list the
names of individuals that compose that
entity, placing only one person per line and
indicating his or her status, i.e. ‘‘Self’’ for
physician, or ‘‘IFM’’ for immediate family
member.
• For immediate family members, enter the
relationship to and name of, the physician
family member in Column C.
• Do not group payments under one entity
name, but rather use a separate line for each
type of payment made by an entity.
Worksheet 6—Investment Reconciliation
• Please complete a separate Worksheet for
each physician-owner or immediate family
member owner.
• Please provide the owner’s Social
Security Number (SSN) or NPI as
appropriate.
• If a physician owns more than one class
of stock/equity, a separate worksheet must be
completed for each class of stock/equity.
• Line 10, Column A—The begin date
must be the start of the cost reporting
period(s) that end(s) in 2006. That is, for a
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cost reporting period of July 1, 2005 to June
30, 2006, the begin date is
07/01/05.
• Line 10, Columns B, C, and D must
reflect the physician-owner’s total
investment for the class of stock/equity
described, as of the beginning of the period
being evaluated (all cost period(s) ending in
2006).
• Lines 11 through 17, Columns B, C, and
D must reflect any and all changes to the
physician-owner’s stock/equity during the
period being evaluated, so that line 18
reflects the owner’s total investment at the
end of the period.
• Line 17 must reflect all other capital
assessments that occurred during the cost
reporting period(s) ending in 2006.
• Line 18, Column A—The end date must
be the end date of the cost reporting period(s)
that end(s) in 2006. That is, for a cost
reporting period of July 1, 2005 to June 30,
2006, the end date is 06/30/06.
• Line 18, Column B—The amount entered
here should be equal to the amount listed on
Worksheet 2, Column C for each class of
stock for each physician owner.
Worksheet 7—Compensation
Arrangements—Rentals, Personal Service
Arrangements, and Recruitment (See 42 CFR
411.357)
• For all physicians who had one or more
of the compensation arrangements listed in
columns A through D list the physician’s
complete name in the first column, the
physician’s NPI, and insert either a Y or N
as to whether the physician is an owner/
investor of the hospital. In addition, please
insert the applicable number of
compensation arrangements in each
respective column.
• For those compensation arrangements
listed in columns A through D, include not
just those that you believe fit within an
exception in 42 CFR 411.357, but those that
are implicated by the referenced exception.
• The information requested in columns A
and B must include compensation
arrangements that occur in either direction
(i.e., rentals to/from physicians).
• Please indicate in the appropriate
column the number of compensation
arrangements that pertain to the physician
for the reporting period(s) ending in 2006.
• Note that each Column A–D that is filled
in with a number requires the submission of
supporting documentation for each
compensation arrangement. With the
exception of uniform personal service
arrangements, please submit a copy of the
written agreement(s) that were in effect
during the reporting period(s) ending in
2006.
• Personal Service Arrangements (PSA—
Column C)
Æ For each physician listed, please
indicate the number of PSAs in effect for the
cost reporting period(s) ending in 2006.
Æ In the next column indicate if the
physician used a uniform PSA prepared by
the hospital. We consider a PSA to be
uniform if all of the elements present in the
arrangements are materially the same. Only
one copy of the uniform PSA should be
included in the supplemental materials. The
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with the supplemental materials for this
Worksheet.
Worksheet 8—Other Types of Compensation
Arrangements (See 42 CFR 411.357)
• This Worksheet addresses other
compensation arrangements exceptions that
are found at 42 CFR 411.357.
• Please note that you may be required to
furnish an explanation or additional
documentation depending on the answer to
each question.
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• Submit only the information that is
necessary to answer the question by
removing extraneous documentation where
possible.
Questions
Questions regarding these instructions may
be directed to: DFRRQuestions@cms.hhs.gov.
BILLING CODE 4120–01–P
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one copy will satisfy the supporting
documentation requirement for all
physicians who entered into a uniform PSA
with the hospital.
Æ Indicate whether or not the hospital has
a signed copy of this agreement on file for
this physician in the next sub-column with
a Y or N.
Æ If the physician had a non-uniform PSA
in effect for the cost reporting period(s)
ending in 2006, please indicate this on the
Worksheet and provide a copy of the PSA
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[FR Doc. 08–1135 Filed 4–14–08; 9:19 am]
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Agencies
[Federal Register Volume 73, Number 84 (Wednesday, April 30, 2008)]
[Proposed Rules]
[Pages 23528-23938]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 08-1135]
[[Page 23527]]
-----------------------------------------------------------------------
Part II
Department of Health and Human Services
-----------------------------------------------------------------------
Centers for Medicare & Medicaid
-----------------------------------------------------------------------
42 CFR Parts 411, 412, 413 et al.
Medicare Program; Proposed Changes to the Hospital Inpatient
Prospective Payment Systems and Fiscal Year 2009 Rates; Proposed
Changes to Disclosure of Physician Ownership in Hospitals and Physician
Self-Referral Rules; Proposed Collection of Information Regarding
Financial Relationships Between Hospitals and Physicians; Proposed Rule
Federal Register / Vol. 73, No. 84 / Wednesday, April 30, 2008 /
Proposed Rules
[[Page 23528]]
-----------------------------------------------------------------------
DEPARTMENT OF HEALTH AND HUMAN SERVICES
Centers for Medicare & Medicaid Services
42 CFR Parts 411, 412, 413, 422, and 489
[CMS-1390-P]
RIN 0938-AP15
Medicare Program; Proposed Changes to the Hospital Inpatient
Prospective Payment Systems and Fiscal Year 2009 Rates; Proposed
Changes to Disclosure of Physician Ownership in Hospitals and Physician
Self-Referral Rules; Proposed Collection of Information Regarding
Financial Relationships Between Hospitals and Physicians
AGENCY: Centers for Medicare and Medicaid Services (CMS), HHS.
ACTION: Proposed rule.
-----------------------------------------------------------------------
SUMMARY: We are proposing to revise the Medicare hospital inpatient
prospective payment systems (IPPS) for operating and capital-related
costs to implement changes arising from our continuing experience with
these systems, and to implement certain provisions made by the Deficit
Reduction Act of 2005, the Medicare Improvements and Extension Act,
Division B, Title I of the Tax Relief and Health Care Act of 2006, and
the TMA, Abstinence Education, and QI Programs Extension Act of 2007.
In addition, in the Addendum to this proposed rule, we describe the
proposed changes to the amounts and factors used to determine the rates
for Medicare hospital inpatient services for operating costs and
capital-related costs. These proposed changes would be applicable to
discharges occurring on or after October 1, 2008. We also are setting
forth the proposed update to the rate-of-increase limits for certain
hospitals and hospital units excluded from the IPPS that are paid on a
reasonable cost basis subject to these limits. The proposed updated
rate-of-increase limits would be effective for cost reporting periods
beginning on or after October 1, 2008.
Among the other policy decisions and changes that we are proposing
to make are changes related to: Limited proposed revisions of the
classification of cases to Medicare severity diagnosis-related groups
(MS-DRGs), proposals to address charge compression issues in the
calculation of MS-DRG relative weights, the proposed revisions to the
classifications and relative weights for the Medicare severity long-
term care diagnosis-related groups (MS-LTC-DRGs); applications for new
medical services and technologies add-on payments; wage index reform
changes and the wage data, including the occupational mix data, used to
compute the proposed FY 2009 wage indices; submission of hospital
quality data; proposed changes to the postacute care transfer policy
relating to transfers to home for the furnishing of home health
services; and proposed policy changes relating to the requirements for
furnishing hospital emergency services under the Emergency Medical
Treatment and Labor Act of 1986 (EMTALA).
In addition, we are proposing policy changes relating to disclosure
to patients of physician ownership or investment interests in hospitals
and soliciting public comments on a proposed collection of information
regarding financial relationships between hospitals and physicians. We
are also proposing changes or soliciting comments on issues relating to
policies on physician self-referrals.
DATES: To be assured consideration, comments must be received at one of
the addresses provide below, no later than 5 p.m. E.S.T. on June 13,
2008.
ADDRESSES: When commenting on issues presented in this proposed rule,
please refer to filecode CMS-1390-P. Because of staff and resource
limitations, we cannot accept comments by facsimile (FAX) transmission.
You may submit comments in one of four ways (please choose only one
of the ways listed):
1. Electronically. You may submit electronic comments on this
regulation to https://www.regulations.gov. Follow the instructions for
``Comment or Submission'' and enter the file code CMS-1390-P to submit
comments on this proposed rule.
2. By regular mail. You may mail written comments (one original and
two copies) to the following address ONLY: Centers for Medicare &
Medicaid Services, Department of Health and Human Services, Attention:
CMS-1390-P, P.O. Box 8011, Baltimore, MD 21244-1850.
Please allow sufficient time for mailed comments to be received
before the close of the comment period.
3. By express or overnight mail. You may send written comments (one
original and two copies) to the following address ONLY: Centers for
Medicare & Medicaid Services, Department of Health and Human Services,
Attention: CMS-1390-P, Mail Stop C4-26-05, 7500 Security Boulevard,
Baltimore, MD 21244-1850.
4. By hand or courier. If you prefer, you may deliver (by hand or
courier) your written comments (one original and two copies) before the
close of the comment period to either of the following addresses:
a. Room 445-G, Hubert H. Humphrey Building, 200 Independence
Avenue, SW., Washington, DC 20201.
(Because access to the interior of the HHH Building is not readily
available to persons without Federal Government identification,
commenters are encouraged to leave their comments in the CMS drop slots
located in the main lobby of the building. A stamp-in clock is
available for persons wishing to retain a proof of filing by stamping
in and retaining an extra copy of the comments being filed.)
b. 7500 Security Boulevard, Baltimore, MD 21244-1850.
If you intend to deliver your comments to the Baltimore address,
please call telephone number (410) 786-7195 in advance to schedule your
arrival with one of our staff members.
Comments mailed to the addresses indicated as appropriate for hand
or courier delivery may be delayed and received after the comment
period.
Submission of comments on paperwork requirements. You may submit
comments on this document's paperwork requirements by following the
instructions at the end of the ``Collection of Information
Requirements'' section in this document.
For information on viewing public comments, see the beginning of
the SUPPLEMENTARY INFORMATION section.
FOR FURTHER INFORMATION, CONTACT:
Michele Hudson, (410) 786-4487, Operating Prospective Payment, MS-
DRGs, Wage Index, New Medical Service and Technology Add-On Payments,
Hospital Geographic Reclassifications, and Postacute Care Transfer
Issues.
Tzvi Hefter, (410) 786-4487, Capital Prospective Payment, Excluded
Hospitals, Direct and Indirect Graduate Medical Education, MS-LTC-DRGs,
EMTALA, Hospital Emergency Services, and Hospital-within-Hospital
Issues.
Siddhartha Mazumdar, (410) 786-6673, Rural Community Hospital
Demonstration Program Issues.
Sheila Blackstock, (410) 786-3502, Quality Data for Annual Payment
Update Issues.
Thomas Valuck, (410) 786-7479, Hospital Value-Based Purchasing and
Readmissions to Hospital Issues.
Anne Hornsby, (410) 786-1181, Collection of Managed Care Encounter
Data Issues.
Jacqueline Proctor, (410) 786-8852, Disclosure of Physician
Ownership in
[[Page 23529]]
Hospitals and Financial Relationships between Hospitals and Physicians
Issues.
Lisa Ohrin, (410) 786-4565, and Don Romano, (410) 786-1404,
Physician Self-Referral Issues.
SUPPLEMENTARY INFORMATION:
Inspection of Public Comments: All comments received before the
close of the comment period are available for viewing by the public,
including any personally identifiable or confidential business
information that is included in a comment. We post all comments
received before the close of the comment period on the following Web
site as soon as possible after they have been received: https://
www.regulations.gov. Follow the search instructions on that Web site to
view public comments.
Comments received timely will also be available for public
inspection, generally beginning approximately 3 weeks after publication
of a document, at the headquarters of the Centers for Medicare &
Medicaid Services, 7500 Security Boulevard, Baltimore, Maryland 21244,
Monday through Friday of each week from 8:30 a.m. to 4 p.m. To schedule
an appointment to view public comments, phone 1-800-743-3951.
Electronic Access
This Federal Register document is also available from the Federal
Register online database through GPO Access, a service of the U.S.
Government Printing Office. Free public access is available on a Wide
Area Information Server (WAIS) through the Internet and via
asynchronous dial-in. Internet users can access the database by using
the World Wide Web (the Superintendent of Documents' home page address
is https://www.gpoaccess.gov/), by using local WAIS client software, or
by telnet to swais.access.gpo.gov, then login as guest (no password
required). Dial-in users should use communications software and modem
to call (202) 512-1661; type swais, then login as guest (no password
required).
Acronyms
AARP American Association of Retired Persons
AAHKS American Association of Hip and Knee Surgeons
AAMC Association of American Medical Colleges
ACGME Accreditation Council for Graduate Medical Education
AF Artrial fibrillation
AHA American Hospital Association
AICD Automatic implantable cardioverter defibrillator
AHIMA American Health Information Management Association
AHIC American Health Information Community
AHRQ Agency for Healthcare Research and Quality
AMA American Medical Association
AMGA American Medical Group Association
AMI Acute myocardial infarction
AOA American Osteopathic Association
APR DRG All Patient Refined Diagnosis Related Group System
ASC Ambulatory surgical center
ASITN American Society of Interventional and Therapeutic
Neuroradiology
BBA Balanced Budget Act of 1997, Pub. L. 105-33
BBRA Medicare, Medicaid, and SCHIP [State Children's Health
Insurance Program] Balanced Budget Refinement Act of 1999, Pub. L.
106-113
BIPA Medicare, Medicaid, and SCHIP [State Children's Health
Insurance Program] Benefits Improvement and Protection Act of 2000,
Pub. L. 106-554
BLS Bureau of Labor Statistics
CAH Critical access hospital
CARE [Medicare] Continuity Assessment Record & Evaluation
[Instrument]
CART CMS Abstraction & Reporting Tool
CBSAs Core-based statistical areas
CC Complication or comorbidity
CCR Cost-to-charge ratio
CDAC [Medicare] Clinical Data Abstraction Center
CDAD Clostridium difficile-associated disease
CIPI Capital input price index
CMI Case-mix index
CMS Centers for Medicare & Medicaid Services
CMSA Consolidated Metropolitan Statistical Area
COBRA Consolidated Omnibus Reconciliation Act of 1985, Pub. L. 99-
272
CoP [Hospital] condition of participation
CPI Consumer price index
CY Calendar year
DFRR Disclosure of financial relationship report
DRA Deficit Reduction Act of 2005, Pub. L. 109-171
DRG Diagnosis-related group
DSH Disproportionate share hospital
DVT Deep vein thrombosis
ECI Employment cost index
EMR Electronic medical record
EMTALA Emergency Medical Treatment and Labor Act of 1986, Pub. L.
99-272
FAH Federation of Hospitals
FDA Food and Drug Administration
FHA Federal Health Architecture
FIPS Federal information processing standards
FQHC Federally qualified health center
FTE Full-time equivalent
FY Fiscal year
GAAP Generally Accepted Accounting Principles
GAF Geographic Adjustment Factor
GME Graduate medical education
HACs Hospital-acquired conditions
HCAHPS Hospital Consumer Assessment of Healthcare Providers and
Systems
HCFA Health Care Financing Administration
HCRIS Hospital Cost Report Information System
HHA Home health agency
HHS Department of Health and Human Services
HIC Health insurance card
HIPAA Health Insurance Portability and Accountability Act of 1996,
Pub. L. 104-191
HIPC Health Information Policy Council
HIS Health information system
HIT Health information technology
HMO Health maintenance organization
HPMP Hospital Payment Monitoring Program
HSA Health savings account
HSCRC [Maryland] Health Services Cost Review Commission
HSRV Hospital-specific relative value
HSRVcc Hospital-specific relative value cost center
HQA Hospital Quality Alliance
HQI Hospital Quality Initiative
HWH Hospital-within-a hospital
ICD-9-CM International Classification of Diseases, Ninth Revision,
Clinical Modification
ICD-10-PCS International Classification of Diseases, Tenth Edition,
Procedure Coding System
ICR Information collection requirement
IHS Indian Health Service
IME Indirect medical education
IOM Institute of Medicine
IPF Inpatient psychiatric facility
IPPS [Acute care hospital] inpatient prospective payment system
IRF Inpatient rehabilitation facility
LAMCs Large area metropolitan counties
LTC-DRG Long-term care diagnosis-related group
LTCH Long-term care hospital
MA Medicare Advantage
MAC Medicare Administrative Contractor
MCC Major complication or comorbidity
MCE Medicare Code Editor
MCO Managed care organization
MCV Major cardiovascular condition
MDC Major diagnostic category
MDH Medicare-dependent, small rural hospital
MedPAC Medicare Payment Advisory Commission
MedPAR Medicare Provider Analysis and Review File
MEI Medicare Economic Index
MGCRB Medicare Geographic Classification Review Board
MIEA-TRHCA Medicare Improvements and Extension Act, Division B of
the Tax Relief and Health Care Act of 2006, Pub. L. 109-432
MMA Medicare Prescription Drug, Improvement, and Modernization Act
of 2003, Pub. L. 108-173
MPN Medicare provider number
MRHFP Medicare Rural Hospital Flexibility Program
MRSA Methicillin-resistant Staphylococcus aureus
MSA Metropolitan Statistical Area
MS-DRG Medicare severity diagnosis-related group
MS-LTC-DRG Medicare severity long-term care diagnosis-related group
NAICS North American Industrial Classification System
NCD National coverage determination
[[Page 23530]]
NCHS National Center for Health Statistics
NCQA National Committee for Quality Assurance
NCVHS National Committee on Vital and Health Statistics
NECMA New England County Metropolitan Areas
NQF National Quality Forum
NTIS National Technical Information Service
NVHRI National Voluntary Hospital Reporting Initiative
OES Occupational employment statistics
OIG Office of the Inspector General
OMB Executive Office of Management and Budget
O.R. Operating room
OSCAR Online Survey Certification and Reporting [System]
PE Pulmonary embolism
PMSAs Primary metropolitan statistical areas
POA Present on admission
PPI Producer price index
PPS Prospective payment system
PRM Provider Reimbursement Manual
ProPAC Prospective Payment Assessment Commission
PRRB Provider Reimbursement Review Board
PSF Provider-Specific File
PS&R Provider Statistical and Reimbursement (System)
QIG Quality Improvement Group, CMS
QIO Quality Improvement Organization
RCE Reasonable compensation equivalent
RHC Rural health clinic
RHQDAPU Reporting hospital quality data for annual payment update
RNHCI Religious nonmedical health care institution
RRC Rural referral center
RUCAs Rural-urban commuting area codes
RY Rate year
SAF Standard Analytic File
SCH Sole community hospital
SFY State fiscal year
SIC Standard Industrial Classification
SNF Skilled nursing facility
SOCs Standard occupational classifications
SOM State Operations Manual
TEFRA Tax Equity and Fiscal Responsibility Act of 1982, Pub. L. 97-
248
TMA TMA [Transitional Medical Assistance], Abstinence Education, and
QI [Qualifying Individuals] Programs Extension Act of 2007, Pub. L.
110-09
TJA Total joint arthroplasty
UHDDS Uniform hospital discharge data set
VAP Ventilator-associated pneumonia
VBP Value-based purchasing
Table of Contents
I. Background
A. Summary
1. Acute Care Hospital Inpatient Prospective Payment System
(IPPS)
2. Hospitals and Hospital Units Excluded From the IPPS
a. Inpatient Rehabilitation Facilities (IRFs)
b. Long-Term Care Hospitals (LTCHs)
c. Inpatient Psychiatric Facilities (IPFs)
3. Critical Access Hospitals (CAHs)
4. Payments for Graduate Medical Education (GME)
B. Provisions of the Deficit Reduction Act of 2005 (DRA)
C. Provisions of the Medicare Improvements and Extension Act
under Division B, Title I of the Tax Relief and Health Care Act of
2006 (MIEA-TRHCA)
D. Provision of the TMA, Abstinence Education, and QI Programs
Extension Act of 2007
E. Major Contents of this Proposed Rule
1. Proposed Changes to MS-DRG Classifications and Recalibrations
of Relative Weights
2. Proposed Changes to the Hospital Wage Index
3. Other Decisions and Proposed Changes to the IPPS for
Operating Costs and GME Costs
4. Proposed Changes to the IPPS for Capital-Related Costs
5. Proposed Changes to the Payment Rates for Excluded Hospitals
and Hospital Units: Rate-of-Increase Percentages
6. Proposed Changes Relating to Disclosure of Physician
Ownership in Hospitals
7. Proposed Changes and Solicitation of Comments on Physician
Self-Referral Provisions
8. Proposed Collection of Information Regarding Financial
Relationships between Hospitals and Physicians
9. Determining Proposed Prospective Payment Operating and
Capital Rates and Rate-of-Increase Limits
10. Impact Analysis
11. Recommendation of Update Factors for Operating Cost Rates of
Payment for Inpatient Hospital Services
12. Disclosure of Financial Relationships Report (DFRR) Form
13. Discussion of Medicare Payment Advisory Commission
Recommendations
F. Public Comments Received on Issues in Related Rules
1. Comments on Phase-Out of the Capital Teaching Adjustment
under the IPPS Included in the FY 2008 IPPS Final Rule with Comment
Period
2. Policy Revisions Related to Medicare GME Group Affiliations
for Hospitals in Certain Declared Emergency Areas
II. Proposed Changes to Medicare Severity DRG (MS-DRG)
Classifications and Relative Weights
A. Background
B. MS-DRG Reclassifications
1. General
2. Yearly Review for Making MS-DRG Changes
C. Adoption of the MS-DRGs in FY 2008
D. MS-DRG Documentation and Coding Adjustment, Including the
Applicability to the Hospital-Specific Rates and the Puerto Rico-
Specific Standardized Amount
1. MS-DRG Documentation and Coding Adjustment
2. Application of the Documentation and Coding Adjustment to the
Hospital-Specific Rates
3. Application of the Documentation and Coding Adjustment to
Puerto Rico-Specific Standardized Amount
4. Potential Additional Payment Adjustments in FYs 2010 through
2012
E. Refinement of the MS-DRG Relative Weight Calculation
1. Background
2. Refining the Medicare Cost Report
3. Timeline for Revising the Medicare Cost Report
4. Revenue Codes used in the MedPAR File
F. Preventable Hospital-Acquired Conditions (HACs), Including
Infections
1. General
2. Statutory Authority
3. Public Input
4. Collaborative Process
5. Selection Criteria for HACs
6. HACs Selected in FY 2008 and Proposed Changes to Certain
Codes
a. Foreign Object Retained After Surgery: Proposed Inclusion of
ICD-9-CM Code 998.7 (CC)
b. Pressure Ulcers: Proposed Changes in Code Assignments
7. HACs Under Consideration as Additional Candidates
a. Surgical Site Infections Following Elective Surgeries
b. Legionnaires' Disease
c. Glycemic Control
d. Iatrogenic Pneumothorax
e. Delirium
f. Ventilator-Associated Pneumonia (VAP)
g. Deep Vein Thrombosis (DVT)/Pulmonary Embolism (PE)
h. Staphylococcus aureus Septicemia
i. Clostridium Difficile-Associated Disease (CDAD)
j. Methicillin-Resistant Staphylococcus aureus (MRSA)
8. Present on Admission (POA) Indicator Reporting
9. Enhancement and Future Issues
a. Risk Adjustment
b. Rates of HACs
c. Use of POA Information
d. Transition to ICD-10-PCS
e. Application of Nonpayment for HACs to Other Settings
f. Relationship to NQF's Serious Reportable Adverse Events
G. Proposed Changes to Specific MS-DRG Classifications
1. Pre-MDCs: Artificial Heart Devices
2. MDC 1 (Diseases and Disorders of the Nervous System)
a. Transferred Stroke Patients Receiving Tissue Plasminogen
Activator (tPA)
b. Intractable Epilepsy with Video Electroencephalogram (EEG)
3. MDC 5 (Diseases and Disorders of the Circulatory System)
a. Automatic Implantable Cardioverter-Defibrillators (AICD) Lead
and Generator Procedures
b. Left Atrial Appendage Device
4. MDC 8 (Diseases and Disorders of the Musculoskeletal System
and Connective Tissue): Hip and Knee Replacements and Revisions
a. Brief History of Development of Hip and Knee Replacement
Codes
b. Prior Recommendations of the AAHKS
c. Adoption of MS-DRGs for Hip and Knee Replacements for FY 2008
and AAHKS' Recommendations
d. AAHKS' Recommendations for FY 2009
e. CMS' Response to AAHKS' Recommendations
f. Conclusion
5. MDC 18 (Infections and Parasitic Diseases Systemic or
Unspecified Sites): Severe Sepsis
[[Page 23531]]
6. MDC 21 (Injuries, Poisonings and Toxic Effects of Drugs):
Traumatic Compartment Syndrome
7. Medicare Code Editor (MCE) Changes
a. List of Unacceptable Principal Diagnoses in MCE
b. Diagnoses Allowed for Male Only Edit c. Limited Coverage Edit
8. Surgical Hierarchies
9. CC Exclusions List
a. Background
b. CC Exclusions List for FY 2009
10. Review of Procedure Codes in MS-DRGs 981, 982, and 983; 984,
985, and 986; and 987, 988, and 989
a. Moving Procedure Codes from MS-DRG 981 through 983 or MS-DRG
987 through 989 to MDCs
b. Reassignment of Procedures among MS-DRGs 981 through 983, 984
through 986, and 987 through 989
c. Adding Diagnosis or Procedure Codes to MDCs
11. Changes to the ICD-9-CM Coding System
H. Recalibration of MS-DRG Weights
I. Proposed Medicare Severity Long-Term Care Diagnosis-Related
Group (MS-LTC-DRG) Reclassifications and Relative Weights for LTCHs
for FY 2009
1. Background
2. Proposed Changes in the MS-LTC-DRG Classifications
a. Background
b. Patient Classifications into MS-LTC-DRGs
3. Development of the Proposed FY 2009 MS-LTC-DRG Relative
Weights
a. General Overview of Development of the MS-LTC-DRG Relative
Weights
b. Data
c. Hospital-Specific Relative Value (HSRV) Methodology
d. Treatment of Severity Levels in Developing Proposed Relative
Weights
e. Proposed Low-Volume MS-LTC-DRGs
4. Steps for Determining the Proposed FY 2009 MS-LTC-DRG
Relative Weights
J. Proposed Add-On Payments for New Services and Technologies
1. Background
2. Public Input Before Publication of a Notice of Proposed
Rulemaking on Add-On Payments
3. FY 2009 Status of Technologies Approved for FY 2008 Add-On
Payments
4. FY 2009 Applications for New Technology Add-On Payments
a. CardioWestTM Temporary Total Artificial Heart
System (CardioWestTM TAH-t)
b. Emphasys Medical Zephyr[supreg] Endobronchial Valve
(Zephyr[supreg] EBV)
c. Oxiplex[supreg]
d. TherOx Downstream[supreg] System
5. Proposed Regulatory Change
III. Proposed Changes to the Hospital Wage Index
A. Background
B. Requirements of Section 106 of the MIEA-TRHCA
1. Wage Index Study Required Under the MIEA-TRHCA
2. CMS Proposals in Response to Requirements Under Section
106(b) of the MIEA-TRHCA
a. Proposed Revision of the Reclassification Average Hourly Wage
Comparison Criteria
b. Within-State Budget Neutrality Adjustment for the Rural and
Imputed Floors
c. Within-State Budget Neutrality Adjustment for Geographic
Reclassification
C. Core-Based Statistical Areas for the Hospital Wage Index
D. Proposed Occupational Mix Adjustment to the Proposed FY 2009
Wage Index
1. Development of Data for the Proposed FY 2009 Occupational Mix
Adjustment
2. Calculation of the Proposed Occupational Mix Adjustment for
FY 2009
3. 2007-2008 Occupational Mix Survey for the FY 2010 Wage Index
E. Worksheet S-3 Wage Data for the Proposed FY 2009 Wage Index
1. Included Categories of Costs
2. Excluded Categories of Costs
3. Use of Wage Index Data by Providers Other Than Acute Care
Hospitals Under the IPPS
F. Verification of Worksheet S-3 Wage Data
1. Wage Data for Multicampus Hospitals
2. New Orleans' Post-Katrina Wage Index
G. Method for Computing the Proposed FY 2009 Unadjusted Wage
Index
H. Analysis and Implementation of the Proposed Occupational Mix
Adjustment and the Proposed FY 2009 Occupational Mix Adjustment Wage
Index
I. Proposed Revisions to the Wage Index Based on Hospital
Redesignations
1. General
2. Effects of Reclassification/Redesignation
3. FY 2009 MGCRB Reclassifications
4. FY 2008 Policy Clarifications and Revisions
5. Redesignations of Hospitals under Section 1886(d)(8)(B) of
the Act
6. Reclassifications under Section 1886(d)(8)(B) of the Act
J. Proposed FY 2009 Wage Index Adjustment Based on Commuting
Patterns of Hospital Employees
K. Process for Requests for Wage Index Data Corrections
L. Labor-Related Share for the Proposed Wage Index for FY 2009
IV. Other Decisions and Proposed Changes to the IPPS for Operating
Costs and GME Costs
A. Proposed Changes to the Postacute Care Transfer Policy
1. Background
2. Proposed Policy Change Relating to Transfers to Home with a
Written Plan for the Provision of Home Health Services
3. Evaluation of MS-DRGs under Postacute Care Transfer Policy
for FY 2009
B. Reporting of Hospital Quality Data for Annual Hospital
Payment Update
1. Background
a. Overview
b. Voluntary Hospital Quality Data Reporting
c. Hospital Quality Data Reporting under Section 501(b) of Pub.
L. 108-173
d. Hospital Quality Data Reporting under Section 5001(a) of Pub.
L. 109-171
2. Proposed Quality Measures for FY 2010 and Subsequent Years
a. Proposed Quality Measures for FY 2010
b. Possible New Quality Measures, Measure Sets, and Program
Requirements for FY 2011 and Subsequent Years
c. Considerations in Expanding and Updating Quality Measures
Under the RHQDAPU Program
3. Form and Manner and Timing of Quality Data Submission
4. Current and Proposed RHQDAPU Program Procedures
a. RHQDAPU Program Procedures for FY 2009
b. Proposed RHQDAPU Program Procedures for FY 2010
5. Current and Proposed HCAHPS Requirements
a. FY 2009 HCAHPS Requirements
b. Proposed FY 2010 HCAHPS Requirements
6. Current and Proposed Chart Validation Requirements
a. Chart Validation Requirements for FY 2009
b. Proposed Chart Validation Requirements for FY 2010
c. Chart Validation Methods and Requirements Under Consideration
for FY 2011 and Subsequent Years
7. Data Attestation Requirements
a. Proposed Change to Requirements for FY 2009
b. Proposed Requirements for FY 2010
8. Public Display Requirements
9. Proposed Reconsideration and Appeal Procedures
10. Proposed RHQDAPU Program Withdrawal Deadline for FYs 2009
and 2010
11. Requirements for New Hospitals
12. Electronic Medical Records
C. Medicare Hospital Value-Based Purchasing (VBP)
1. Medicare Hospital VBP Plan Report to Congress
2. Testing and Further Development of the Medicare Hospital VBP
Plan
D. Sole Community Hospitals (SCHs) and Medicare-Dependent, Small
Rural Hospitals (MDHs): Volume Decrease Adjustment
1. Background
2. Volume Decrease Adjustment for SCHs and MDHs: Data Sources
for Determining Core Staff Values
a. Occupational Mix Survey
b. AHA Annual Survey
E. Rural Referral Centers (RRCs)
1. Case-Mix Index
2. Discharges
F. Indirect Medical Education (IME) Adjustment
1. Background
2. IME Adjustment Factor for FY 2009
G. Medicare GME Affiliation Provisions for Teaching Hospitals in
Certain Emergency Situations; Technical Correction
1. Background
2. Technical Correction
H. Payments to Medicare Advantage Organizations: Collection of
Risk Adjustment Data
I. Hospital Emergency Services under EMTALA
[[Page 23532]]
1. Background
2. EMTALA Technical Advisory Group (TAG): Recommendations
3. Proposed Changes Relating to Applicability of EMTALA
Requirements to Hospital Inpatients
4. Proposed Changes to the EMTALA Physician On-Call Requirements
a. Relocation of Regulatory Provisions
b. Shared/Community Call
5. Proposed Technical Change to Regulations
J. Application of Incentives To Reduce Avoidable Readmissions to
Hospitals
1. Introduction
2. Measurement
3. Accountability
4. Interventions
5. Financial Incentive: Direct Payment Adjustment
6. Financial Incentive: Performance-Based Payment Adjustment
7. Nonfinancial Incentive: Public Reporting
8. Conclusion
K. Rural Community Hospital Demonstration Program
V. Proposed Changes to the IPPS for Capital-Related Costs
A. Background
1. Exception Payments
2. New Hospitals
3. Hospitals Located in Puerto Rico
B. Revisions to the Capital IPPS Based on Data on Hospitals
Medicare Capital Margins
1. Elimination of the Large Add-On Payment Adjustment
2. Changes to the Capital IME Adjustment
a. Background and Changes Made for FY 2008
b. Public Comments Received on Phase Out of Capital IPPS
Teaching Adjustment Provisions Included in the FY 2008 Final Rule
With Comment Period and Further Solicitation of Public Comments
VI. Proposed Changes for Hospitals and Hospital Units Excluded From
the IPPS
A. Proposed Payments to Excluded Hospitals and Hospital Units
B. IRF PPS
C. LTCH PPS
D. IPF PPS
E. Determining Proposed LTCH Cost-to-Charge Ratios (CCRs) under
the LTCH PPS
F. Proposed Change to the Regulations Governing Hospitals-
Within-Hospitals
VII. Disclosure Required of Certain Hospitals and Critical Access
Hospitals Regarding Physician Ownership
VIII. Physician Self-Referrals Provisions
A. Stand in the Shoes Provisions
1. Physician ``Stand in the Shoes'' Provisions
a. Background
b. Proposals
2. DHS Entity ``Stand in the Shoes'' Provisions
3. Application of the Physician ``Stand in the Shoes'' and the
Entity ``Stand in the Shoes'' Provisions
4. Definitions: ``Physician'' and ``Physician Organization''
B. Period of Disallowance
C. Gainsharing Arrangements
1. Background
2. Statutory Impediments to Gainsharing Arrangements
3. Office of Inspector General (OIG) Approach Towards
Gainsharing Arrangements
4. MedPAC Recommendation
5. Demonstration Programs
6. Solicitation of Comments
D. Physician-Owned Implant and Other Medical Device Companies
1. Background
2. Solicitation of Comments
IX. Financial Relationships between Hospitals and Physicians
A. Background
B. Section 5006 of the Deficit Reduction Act (DRA) of 2005
C. Disclosure of Financial Relationships Report (DFRR)
D. Civil Monetary Penalties
E. Uses of Information Captured by the DFRR
F. Solicitation of Comments
X. MedPAC Recommendations
XI. Other Required Information
A. Requests for Data from the Public
B. Collection of Information Requirements
1. Legislative Requirement for Solicitation of Comments
2. Solicitation of Comments on Proposed Requirements in
Regulatory Text
a. ICRs Regarding Physician Reporting Requirements
b. ICRs Regarding Risk Adjustment Data
c. ICRs Regarding Basic Commitments of Providers
3. Associated Information Collections Not Specified in
Regulatory Text
a. Present on Admission (POA) Indicator Reporting
b. Proposed Add-On Payments for New Services and Technologies
c. Reporting of Hospital Quality Data for Annual Hospital
Payment Update
d. Occupational Mix Adjustment to the FY 2009 Index (Hospital
Wage Index Occupational Mix Survey)
4. Addresses for Submittal of Comments on Information Collection
Requirements
C. Response to Public Comments
Regulation Text
Addendum--Proposed Schedule of Standardized Amounts, Update Factors,
and Rate-of-Increase Percentages Effective With Cost Reporting Periods
Beginning On or After October 1, 2008
I. Summary and Background
II. Proposed Changes to the Prospective Payment Rates for Hospital
Inpatient Operating Costs for FY 2009
A. Calculation of the Adjusted Standardized Amount
B. Proposed Adjustments for Area Wage Levels and Cost-of-Living
C. Proposed MS-DRG Relative Weights
D. Calculation of the Proposed Prospective Payment Rates
III. Proposed Changes of Payment Rates for Acute Care Hospital
Inpatient Capital-Related Costs for FY 2009
A. Determination of Proposed Federal Hospital Inpatient Capital-
Related Prospective Payment Rate Update
B. Calculation of the Proposed Inpatient Capital-Related
Prospective Payments for FY 2009
C. Capital Input Price Index
IV. Proposed Changes to Payment Rates for Excluded Hospitals and
Hospital Units: Rate-of-Increase Percentages
V. Tables
Table 1A.--National Adjusted Operating Standardized Amounts,
Labor/Nonlabor (69.7 Percent Labor Share/30.3 Percent Nonlabor Share
If Wage Index Is Greater Than 1)
Table 1B.--National Adjusted Operating Standardized Amounts,
Labor/Nonlabor (62 Percent Labor Share/38 Percent Nonlabor Share If
Wage Index Is Less Than or Equal to 1)
Table 1C.--Adjusted Operating Standardized Amounts for Puerto
Rico, Labor/Nonlabor
Table 1D.--Capital Standard Federal Payment Rate
Table 2.--Hospital Case-Mix Indexes for Discharges Occurring in
Federal Fiscal Year 2007; Hospital Wage Indexes for Federal Fiscal
Year 2009; Hospital Average Hourly Wages for Federal Fiscal Years
2007 (2003 Wage Data), 2008 (2004 Wage Data), and 2009 (2005 Wage
Data); and 3-Year Average of Hospital Average Hourly Wages
Table 3A.--FY 2009 and 3-Year Average Hourly Wage for Urban
Areas by CBSA
Table 3B.--FY 2009 and 3-Year Average Hourly Wage for Rural
Areas by CBSA
Table 4A.--Wage Index and Capital Geographic Adjustment Factor
(GAF) for Urban Areas by CBSA and by State--FY 2009
Table 4B.--Wage Index and Capital Geographic Adjustment Factor
(GAF) for Rural Areas by CBSA and by State--FY 2009
Table 4C.--Wage Index and Capital Geographic Adjustment Factor
(GAF) for Hospitals That Are Reclassified by CBSA and by State--FY
2009
Table 4D-1.--Rural Floor Budget Neutrality Factors--FY 2009
Table 4D-2.--Urban Areas with Hospitals Receiving the Statewide
Rural Floor or Imputed Floor Wage Index--FY 2009
Table 4E.--Urban CBSAs and Constituent Counties--FY 2009
Table 4F.--Puerto Rico Wage Index and Capital Geographic
Adjustment Factor (GAF) by CBSA--FY 2009
Table 4J.--Out-Migration Wage Adjustment--FY 2009
Table 5.--List of Medicare Severity Diagnosis-Related Groups
(MS-DRGs), Relative Weighting Factors, and Geometric and Arithmetic
Mean Length of Stay
Table 6A.--New Diagnosis Codes
Table 6B.--New Procedure Codes
Table 6C.--Invalid Diagnosis Codes
Table 6D.--Invalid Procedure Codes
Table 6E.--Revised Diagnosis Code Titles
Table 6F.--Revised Procedure Code Titles
Table 6G.--Additions to the CC Exclusions List (Available
through the Internet on the CMS Web site at: https://www.cms.hhs.gov/
AcuteInpatientPPS/)
Table 6H.--Deletions From the CC Exclusions List (Available
Through the
[[Page 23533]]
Internet on the CMS Web site at: https://www.cms.hhs.gov/
AcuteInpatientPPS/)
Table 6I.--Complete List of Complication and Comorbidity (CC)
Exclusions (Available Only Through the Internet on the CMS Web site
at: http:/www.cms.hhs.gov/AcuteInpatientPPS/)
Table 6J.--Major Complication and Comorbidity (MCC) List
(Available Through the Internet on the CMS Web Site at: https://
www.cms.hhs.gov/AcuteInpatientPPS/)
Table 6K.--Complication and Comorbidity (CC) List (Available
Through the Internet on the CMS Web site at: https://www.cms.hhs.gov/
AcuteInpatientPPS/)
Table 7A.--Medicare Prospective Payment System Selected
Percentile Lengths of Stay: FY 2007 MedPAR Update--December 2007
GROUPER V25.0 MS-DRGs
Table 7B.--Medicare Prospective Payment System Selected
Percentile Lengths of Stay: FY 2007 MedPAR Update--December 2007
GROUPER V26.0 MS-DRGs
Table 8A.--Proposed Statewide Average Operating Cost-to-Charge
Ratios--March 2008
Table 8B.--Proposed Statewide Average Capital Cost-to-Charge
Ratios--March 2008
Table 8C.--Proposed Statewide Average Total Cost-to-Charge
Ratios for LTCHs--March 2008
Table 9A.--Hospital Reclassifications and Redesignations--FY
2009
Table 9B.--Hospitals Redesignated as Rural under Section
1886(d)(8)(E) of the Act--FY 2009
Table 10.--Geometric Mean Plus the Lesser of .75 of the National
Adjusted Operating Standardized Payment Amount (Increased to Reflect
the Difference Between Costs and Charges) or .75 of One Standard
Deviation of Mean Charges by Medicare Severity Diagnosis-Related
Groups (MS-DRGs)--March 2008
Table 11.--Proposed FY 2009 MS-LTC-DRGs, Proposed Relative
Weights, Proposed Geometric Average Length of Stay, and Proposed
Short-Stay Outlier Threshold
Appendix A--Regulatory Impact Analysis
I. Overall Impact
II. Objectives
III. Limitations on Our Analysis
IV. Hospitals Included in and Excluded From the IPPS
V. Effects on Excluded Hospitals and Hospital Units
VI. Quantitative Effects of the Proposed Policy Changes Under the
IPPS for Operating Costs
A. Basis and Methodology of Estimates
B. Analysis of Table I
C. Effects of the Proposed Changes to the MS-DRG
Reclassifications and Relative Cost-Based Weights (Column 2)
D. Effects of Proposed Wage Index Changes (Column 3)
E. Combined Effects of Proposed MS-DRG and Wage Index Changes
(Column 4)
F. Effects of MGCRB Reclassifications (Column 5)
G. Effects of the Proposed Rural Floor and Imputed Rural Floor,
Including the Proposed Application of Budget Neutrality at the State
Level (Column 6)
H. Effects of the Proposed Wage Index Adjustment for Out-
Migration (Column 7)
I. Effects of All Proposed Changes with CMI Adjustment Prior to
Estimated Growth (Column 8)
J. Effects of All Proposed Changes with CMI Adjustment and
Estimated Growth (Column 9)
K. Effects of Policy on Payment Adjustment for Low-Volume
Hospitals
L. Impact Analysis of Table II
VII. Effects of Other Proposed Policy Changes
A. Effects of Proposed Policy on HACs, Including Infections
B. Effects of Proposed MS-LTC-DRG Reclassifications and Relative
Weights for LTCHs
C. Effects of Proposed Policy Change Relating to New Medical
Service and Technology Add-On Payments
D. Effects of Proposed Policy Change Regarding Postacute Care
Transfers to Home Health Services
E. Effects of Proposed Requirements for Hospital Reporting of
Quality Data for Annual Hospital Payment Update
F. Effects of Proposed Policy Change to Methodology for
Computing Core Staffing Factors for Volume Decrease Adjustment for
SCHs and MDHs
G. Effects of Proposed Clarification of Policy for Collection of
Risk Adjustment Data From MA Organizations
H. Effects of Proposed Policy Changes Relating to Hospital
Emergency Services under EMTALA
I. Effects of Implementation of Rural Community Hospital
Demonstration Program
J. Effects of Proposed Policy Changes Relating to Payments to
Hospitals-Within-Hospitals
K. Effects of Proposed Policy Changes Relating to Requirements
for Disclosure of Physician Ownership in Hospitals
L. Effects of Proposed Changes Relating to Physician Self-
Referral Provisions
M. Effects of Proposed Changes Relating to Reporting of
Financial Relationships Between Hospitals and Physicians
VIII. Effects of Proposed Changes in the Capital IPPS
A. General Considerations
B. Results
IX. Alternatives Considered
X. Overall Conclusion
XI. Accounting Statement
XII. Executive Order 12866
Appendix B--Recommendation of Update Factors for Operating Cost Rates
of Payment for Inpatient Hospital Services
I. Background
II. Inpatient Hospital Update for FY 2009
III. Secretary's Recommendation
IV. MedPAC Recommendation for Assessing Payment Adequacy and
Updating Payments in Traditional Medicare
Appendix C--Disclosure of Financial Relationships Report (DFRR) Form
I. Background
A. Summary
1. Acute Care Hospital Inpatient Prospective Payment System (IPPS)
Section 1886(d) of the Social Security Act (the Act) sets forth a
system of payment for the operating costs of acute care hospital
inpatient stays under Medicare Part A (Hospital Insurance) based on
prospectively set rates. Section 1886(g) of the Act requires the
Secretary to pay for the capital-related costs of hospital inpatient
stays under a prospective payment system (PPS). Under these PPSs,
Medicare payment for hospital inpatient operating and capital-related
costs is made at predetermined, specific rates for each hospital
discharge. Discharges are classified according to a list of diagnosis-
related groups (DRGs).
The base payment rate is comprised of a standardized amount that is
divided into a labor-related share and a nonlabor-related share. The
labor-related share is adjusted by the wage index applicable to the
area where the hospital is located. If the hospital is located in
Alaska or Hawaii, the nonlabor-related share is adjusted by a cost-of-
living adjustment factor. This base payment rate is multiplied by the
DRG relative weight.
If the hospital treats a high percentage of low-income patients, it
receives a percentage add-on payment applied to the DRG-adjusted base
payment rate. This add-on payment, known as the disproportionate share
hospital (DSH) adjustment, provides for a percentage increase in
Medicare payments to hospitals that qualify under either of two
statutory formulas designed to identify hospitals that serve a
disproportionate share of low-income patients. For qualifying
hospitals, the amount of this adjustment may vary based on the outcome
of the statutory calculations.
If the hospital is an approved teaching hospital, it receives a
percentage add-on payment for each case paid under the IPPS, known as
the indirect medical education (IME) adjustment. This percentage
varies, depending on the ratio of residents to beds.
Additional payments may be made for cases that involve new
technologies or medical services that have been approved for special
add-on payments. To qualify, a new technology or medical service must
demonstrate that it is a substantial clinical improvement over
technologies or services otherwise available, and that, absent an add-
on
[[Page 23534]]
payment, it would be inadequately paid under the regular DRG payment.
The costs incurred by the hospital for a case are evaluated to
determine whether the hospital is eligible for an additional payment as
an outlier case. This additional payment is designed to protect the
hospital from large financial losses due to unusually expensive cases.
Any outlier payment due is added to the DRG-adjusted base payment rate,
plus any DSH, IME, and new technology or medical service add-on
adjustments.
Although payments to most hospitals under the IPPS are made on the
basis of the standardized amounts, some categories of hospitals are
paid in whole or in part based on their hospital-specific rate based on
their costs in a base year. For example, sole community hospitals
(SCHs) receive the higher of a hospital-specific rate based on their
costs in a base year (the higher of FY 1982, FY 1987, or FY 1996) or
the IPPS rate based on the standardized amount. Until FY 2007, a
Medicare-dependent, small rural hospital (MDH) has received the IPPS
rate plus 50 percent of the difference between the IPPS rate and its
hospital-specific rate if the hospital-specific rate based on their
costs in a base year (the higher of FY 1982, FY 1987, or FY 2002) is
higher than the IPPS rate. As discussed below, for discharges occurring
on or after October 1, 2007, but before October 1, 2011, an MDH will
receive the IPPS rate plus 75 percent of the difference between the
IPPS rate and its hospital-specific rate, if the hospital-specific rate
is higher than the IPPS rate. SCHs are the sole source of care in their
areas, and MDHs are a major source of care for Medicare beneficiaries
in their areas. Both of these categories of hospitals are afforded this
special payment protection in order to maintain access to services for
beneficiaries.
Section 1886(g) of the Act requires the Secretary to pay for the
capital-related costs of inpatient hospital services ``in accordance
with a prospective payment system established by the Secretary.'' The
basic methodology for determining capital prospective payments is set
forth in our regulations at 42 CFR 412.308 and 412.312. Under the
capital IPPS, payments are adjusted by the same DRG for the case as
they are under the operating IPPS. Capital IPPS payments are also
adjusted for IME and DSH, similar to the adjustments made under the
operating IPPS. However, as discussed in section V.B.2. of this
preamble, we are phasing out the IME adjustment beginning with FY 2008.
In addition, hospitals may receive outlier payments for those cases
that have unusually high costs.
The existing regulations governing payments to hospitals under the
IPPS are located in 42 CFR Part 412, Subparts A through M.
2. Hospitals and Hospital Units Excluded From the IPPS
Under section 1886(d)(1)(B) of the Act, as amended, certain
specialty hospitals and hospital units are excluded from the IPPS.
These hospitals and units are: Rehabilitation hospitals and units;
long-term care hospitals (LTCHs); psychiatric hospitals and units;
children's hospitals; and cancer hospitals. Religious nonmedical health
care institutions (RNHCIs) are also excluded from the IPPS. Various
sections of the Balanced Budget Act of 1997 (Pub. L. 105-33), the
Medicare, Medicaid and SCHIP [State Children's Health Insurance
Program] Balanced Budget Refinement Act of 1999 (Pub. L. 106-113), and
the Medicare, Medicaid, and SCHIP Benefits Improvement and Protection
Act of 2000 (Pub. L. 106-554) provide for the implementation of PPSs
for rehabilitation hospitals and units (referred to as inpatient
rehabilitation facilities (IRFs)), LTCHs, and psychiatric hospitals and
units (referred to as inpatient psychiatric facilities (IPFs)), as
discussed below. Children's hospitals, cancer hospitals, and RNHCIs
continue to be paid solely under a reasonable cost-based system.
The existing regulations governing payments to excluded hospitals
and hospital units are located in 42 CFR Parts 412 and 413.
a. Inpatient Rehabilitation Facilities (IRFs)
Under section 1886(j) of the Act, as amended, rehabilitation
hospitals and units (IRFs) have been transitioned from payment based on
a blend of reasonable cost reimbursement subject to a hospital-specific
annual limit under section 1886(b) of the Act and the adjusted facility
Federal prospective payment rate for cost reporting periods beginning
on or after January 1, 2002 through September 30, 2002, to payment at
100 percent of the Federal rate effective for cost reporting periods
beginning on or after October 1, 2002. IRFs subject to the blend were
also permitted to elect payment based on 100 percent of the Federal
rate. The existing regulations governing payments under the IRF PPS are
located in 42 CFR Part 412, Subpart P.
b. Long-Term Care Hospitals (LTCHs)
Under the authority of sections 123(a) and (c) of Pub. L. 106-113
and section 307(b)(1) of Pub. L. 106-554, the LTCH PPS was effective
for a LTCH's first cost reporting period beginning on or after October
1, 2002. LTCHs that do not meet the definition of ``new'' under Sec.
412.23(e)(4) are paid, during a 5-year transition period, a LTCH
prospective payment that is comprised of an increasing proportion of
the LTCH Federal rate and a decreasing proportion based on reasonable
cost principles. Those LTCHs that did not meet the definition of
``new'' under Sec. 412.23(e)(4) could elect to be paid based on 100
percent of the Federal prospective payment rate instead of a blended
payment in any year during the 5-year transition. For cost reporting
periods beginning on or after October 1, 2006, all LTCHs are paid 100
percent of the Federal rate. The existing regulations governing payment
under the LTCH PPS are located in 42 CFR Part 412, Subpart O.
c. Inpatient Psychiatric Facilities (IPFs)
Under the authority of sections 124(a) and (c) of Pub. L. 106-113,
inpatient psychiatric facilities (IPFs) (formerly psychiatric hospitals
and psychiatric units of acute care hospitals) are paid under the IPF
PPS. For cost reporting periods beginning on or after January 1, 2008,
all IPFs are paid 100 percent of the Federal per diem payment amount
established under the IPF PPS. (For cost reporting periods beginning on
or after January 1, 2005, and ending on or before December 31, 2007,
some IPFs received transitioned payments for inpatient hospital
services based on a blend of reasonable cost-based payment and a
Federal per diem payment rate.) The existing regulations governing
payment under the IPF PPS are located in 42 CFR part 412, Subpart N.
3. Critical Access Hospitals (CAHs)
Under sections 1814, 1820, and 1834(g) of the Act, payments are
made to critical access hospitals (CAHs) (that is, rural hospitals or
facilities that meet certain statutory requirements) for inpatient and
outpatient services are based on 101 percent of reasonable cost.
Reasonable cost is determined under the provisions of section
1861(v)(1)(A) of the Act and existing regulations under 42 CFR Parts
413 and 415.
4. Payments for Graduate Medical Education (GME)
Under section 1886(a)(4) of the Act, costs of approved educational
activities are excluded from the operating costs of inpatient hospital
services. Hospitals with approved graduate medical education (GME)
programs are paid for the direct costs of GME in accordance with
section 1886(h) of the Act. The amount of payment for direct GME costs
[[Page 23535]]
for a cost reporting period is based on the hospital's number of
residents in that period and the hospital's costs per resident in a
base year. The existing regulations governing payments to the various
types of hospitals are located in 42 CFR Part 413.
B. Provisions of the Deficit Reduction Act of 2005 (DRA)
Section 5001(b) of the Deficit Reduction Act of 2005 (DRA), Pub. L.
109-171, requires the Secretary to develop a plan to implement,
beginning with FY 2009, a value-based purchasing plan for section
1886(d) hospitals defined in the Act. In section IV.C. of the preamble
of this proposed rule, we discuss the report to Congress on the
Medicare value-based purchasing plan and the current testing of the
plan.
C. Provisions of the Medicare Improvements and Extension Act Under
Division B, Title I of the Tax Relief and Health Care Act of 2006
(MIEA-TRHCA)
Section 106(b)(2) of the MIEA-TRHCA instructs the Secretary of
Health and Human Services to include in the FY 2009 IPPS proposed rule
one or more proposals to revise the wage index adjustment applied under
section 1886(d)(3)(E) of the Act for purposes of the IPPS. The
Secretary was also instructed to consider MedPAC's recommendations on
the Medicare wage index classification system in developing these
proposals. In section III. of the preamble of this proposed rule, we
discuss MedPAC's recommendations in a report to Congress and present
our proposed changes to the FY 2009 wage index in response to those
recommendations.
D. Provision of the TMA, Abstinence Education, and QI Programs
Extension Act of 2007
Section 7 of the TMA [Transitional Medical Assistance], Abstinence
Education, and QI [Qualifying Individuals] Programs Extension Act of
2007 (Pub. L. 110-90) provides for a 0.9 percent prospective
documentation and coding adjustment in the determination of
standardized amounts under the IPPS (except for MDHs and SCHs) for
discharges occurring during FY 2009. The prospective documentation and
coding adjustment was established in FY 2008 in response to the
implementation of an MS-DRG system under the IPPS that resulted in
changes in coding and classification that did not reflect real changes
in case-mix under section 1886(d) of the Act. We discuss our proposed
implementation of this provision in section II.D. of the preamble of
this proposed rule and in the Addendum and in Appendix A to this
proposed rule.
E. Major Contents of This Proposed Rule
In this proposed rule, we are setting forth proposed changes to the
Medicare IPPS for operating costs and for capital-related costs in FY
2009. We also are setting forth proposed changes relating to payments
for IME costs and payments to certain hospitals and units that continue
to be excluded from the IPPS and paid on a reasonable cost basis. In
addition, we are presenting proposed changes relating to disclosure to
patients of physician ownership and investment interests in hospitals,
proposed changes to our physician self-referral regulations, and a
solicitation of public comments on a proposed collection of information
regarding financial relationships between hospitals and physicians.
The following is a summary of the major changes that we are
proposing to make:
1. Proposed Changes to MS-DRG Classifications and Recalibrations of
Relative Weights
In section II. of the preamble to this proposed rule, we are
including--
Proposed changes to MS-DRG reclassifications based on our
yearly review.
Proposed application of the documentation and coding
adjustment to hospital-specific rates resulting from implementation of
the MS-DRG system.
Proposed changes to address the RTI reporting
recommendations on charge compression.
Proposed recalibrations of the MS-DRG relative weights.
We also are proposing to refine the hospital cost reports so that
charges for relatively inexpensive medical supplies are reported
separately from the costs and charges for more expensive medical
devices. This proposal would be applied to the determination of both
the IPPS and the OPPS relative weights as well as the calculation of
the ambulatory surgical center payment rates.
We are presenting a listing and discussion of additional hospital-
acquired conditions (HACs), including infections, that are being
proposed to be subject to the statutorily required quality adjustment
in MS-DRG payments for FY 2009.
We are presenting our evaluation and analysis of the FY 2009
applicants for add-on payments for high-cost new medical services and
technologies (including public input, as directed by Pub. L. 108-173,
obtained in a town hall meeting).
We are proposing the annual update of the MS-LTC-DRG
classifications and relative weights for use under the LTCH PPS for FY
2009.
2. Proposed Changes to the Hospital Wage Index
In section III. of the preamble to this proposed rule, we are
proposing revisions to the wage index and the annual update of the wage
data. Specific issues addressed include the following:
Proposed wage index reform changes in response to
recommendations made to Congress as a result of the wage index study
required under Pub. L. 109-432. We discuss changes related to
reclassifications criteria, application of budget neutrality in
reclassifications, and the rural floor and imputed floor budget
neutrality at the State level.
Changes to the CBSA designations.
The methodology for computing the proposed FY 2009 wage
index.
The proposed FY 2009 wage index update, using wage data
from cost reporting periods that began during FY 2006.
Analysis and implementation of the proposed FY 2009
occupational mix adjustment to the wage index.
Proposed revisions to the wage index based on hospital
redesignations and reclassifications.
The proposed adjustment to the wage index for FY 2009
based on commuting patterns of hospital employees who reside in a
county and work in a different area with a higher wage index.
The timetable for reviewing and verifying the wage data
used to compute the proposed FY 2009 wage index.
The proposed labor-related share for the FY 2009 wage
index, including the labor-related share for Puerto Rico.
3. Other Decisions and Proposed Changes to the IPPS for Operating Costs
and GME Costs
In section IV. of the preamble to this proposed rule, we discuss a
number of the provisions of the regulations in 42 CFR Parts 412, 413,
and 489, including the following:
Proposed changes to the postacute care transfer policy as
it relates to transfers to home with the provision of home health
services.
The reporting of hospital quality data as a condition for
receiving the full annual payment update increase.
Proposed changes in the collection of Medicare Advantage
(MA) encounter data that are used for computing the risk payment
adjustment made to MA organizations.
Discussion of the report to Congress on the Medicare
value-based purchasing
[[Page 23536]]
plan and current testing and further development of the plan.
Proposed changes to the methodology for determining core
staff values for the volume decrease payment adjustment for SCHs and
MDHs.
The proposed updated national and regional case-mix values
and discharges for purposes of determining RRC status.
The statutorily-required IME adjustment factor for FY 2009
and technical changes to the GME payment policies.
Proposed changes to policies on hospital emergency
services under EMTALA to address EMTALA Technical Advisory Group (TAG)
recommendations.
Solicitation of public comments on Medicare policies
relating to incentives for avoidable readmissions to hospitals.
Discussion of the fifth year of implementation of the
Rural Community Hospital Demonstration Program.
4. Proposed Changes to the IPPS for Capital-Related Costs
In section V. of the preamble to this proposed rule, we discuss the
payment policy requirements for capital-related costs and capital
payments to hospitals. We acknowledge the public comments that we
received on the phase-out of the capital teaching adjustment included
in the FY 2008 IPPS final rule with comment period, and again are
soliciting public comments on this phase-out in this proposed rule.
5. Proposed Changes to the Payment Rates for Excluded Hospitals and
Hospital Units: Rate-of-Increase Percentages
In section VI. of the preamble to this proposed rule, we discuss
proposed changes to payments to excluded hospitals and hospital units,
proposed changes for determining LTCH CCRs under the LTCH PPS,
including a discussion regarding changing the annual payment rate
update schedule for the LTCH PPS, and proposed changes to the
regulations on hospitals-within-hospitals.
6. Proposed Changes Relating to Disclosure of Physician Ownership in
Hospitals
In section VII. of the preamble of this proposed rule, we present
proposed changes to the regulations relating to the disclosure to
patients of physician ownership or investment interests in hospitals.
7. Proposed Changes and Solicitation of Comments on Physician Self-
Referrals Provisions
In section VIII. of the preamble of this proposed rule, we present
proposed changes to the policies on physician self-referrals relating
to the ``Stand in Shoes'' provision, In addition, we solicit public
comments regarding physician-owned implant companies and gainsharing
arrangements.
8. Proposed Collection of Information Regarding Financial Relationships
Between Hospitals and Physicians
In section IX. of the preamble of this proposed rule, we solicit
public comments on our proposed collection of information regarding
financial relationships between hospitals and physicians.
9. Determining Proposed Prospective Payment Operating and Capital Rates
and Rate-of-Increase Limits
In the Addendum to this proposed rule, we set forth proposed
changes to the amounts and factors for determining the FY 2009
prospective payment rates for operating costs and capital-related
costs. We also establish the proposed threshold amounts for outlier
cases. In addition, we address the proposed update factors for
determining the rate-of-increase limits for cost reporting periods
beginning in FY 2009 for hospitals and hospital units excluded from the
PPS.
10. Impact Analysis
In Appendix A of this proposed rule, we set forth an analysis of
the impact that the proposed changes would have on affected hospitals.
11. Recommendation of Update Factors for Operating Cost Rates of
Payment for Inpatient Hospital Services
In Appendix B of this proposed rule, as required by sections
1886(e)(4) and (e)(5) of the Act, we provided our recommendations of
the appropriate percentage changes for FY 2009 for the following:
A single average standardized amount for all areas for
hospital inpatient services paid under the IPPS for operating costs
(and hospital-specific rates applicable to SCHs and MDHs).
Target rate-of-increase limits to the allowable operating
costs of hospital inpatient services furnished by hospitals and
hospital units excluded from the IPPS.
12. Disclosure of Financial Relationships Report (DFRR) Form
In Appendix C of this proposed rule, we present the reporting form
that we are proposing to use for the proposed collection of information
on financial relationships between hospitals and physicians discussed
in section IX, of the preamble of this proposed rule.
13. Discussion of Medicare Payment Advisory Commission Recommendations
Under section 1805(b) of the Act, MedPAC is required to submit a
report to Congress, no later than March 1 of each year, in which MedPAC
reviews and makes recommendations on Medicare payment policies.
MedPAC's March 2008 recommendations concerning hospital inpatient
payment policies address the update factor for inpatient hospital
operating costs and capital-related costs under the IPPS and for
hospitals and distinct part hospital units excluded from the IPPS. We
address these recommendations in Appendix B of this proposed rule. For
further information relating specifically to the MedPAC March 2008
reports or to obtain a copy of the reports, contact MedPAC at (202)
220-3700 or visit MedPAC's Web site at: www.medpac.gov.
F. Public Comments Received on Issues in Related Rules
1. Comments on Phase-Out of the Capital Teaching Adjustment Under the
IPPS Included in the FY 2008 IPPS Final Rule With Comment Period
In the FY 2008 IPPS final rule with comment period, we solicited
public comments on our policy changes related to phase-out of the
capital teaching adjustment to the capital payment update under the
IPPS (72 FR 47401). We received approximately 90 timely pieces of
correspondence in response to our solicitation. (These public comments
may be viewed on the following Web site: https://www.cms.hhs.gov/
eRulemaking/ECCMSR/list.asp under file code CMS-1533-FC.) In section V.
of the preamble of this proposed rule, we acknowledge receipt of these
public comments and again solicit public comments on the phase-out in
this proposed rule. We will respond to the public comments received in
response to both the FY 2008 IPPS final rule with comment period and
this proposed rule in the FY 2009 IPPS final rule, which is scheduled
to be published in August 2008.
2. Policy Revisions Related to Medi