Home Health & Hospice Week

Industry Note:

OIG Targets Hospice Patients In ALFs, Nursing Homes

The HHS Office of Inspector General would like to see some reimbursement-lowering mechanisms put in place for hospices as well, it notes in its newly released annual report on unimplemented recommendations.

For example: The Centers for Medicare & Medicaid Services “should modify the payment system for hospice care in nursing facilities, seeking statutory authority, if necessary,” the OIG says. The same goes for Assisted Living Facilities, the OIG says in a separate recommendation.

And it should impose a hospital DRG proration penalty when a hospital discharges a patient early to hospice, the OIG adds. The agency judges that about 30 percent of all hospital discharges to hospice care are early discharges. Implementing this change would cut about $602 million in spending, the OIG estimates.

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