Topic: Medicare's Introduction of Severity-Adjusted DRGs for the Inpatient Prospective Payment System.
Date & Time: Monday, November 5, 2007, 12:00 pm to 1:00 pm
Location: Fourth floor of the Stetson Building at the corner of Martin Luther King and Highland, across from University Hospital. Free parking in the rear of the building. For directions go to http://www.HealthInstitute.uc.edu/Templates/Contacts.cfm.
Speaker(s): D. Patrick Redmon, Ph.D.
Xavier University, Graduate Program in Health Services Administration
Patrick Redmon is an Associate Professor in the Health Services Administration Program at Xavier University and a consultant for Navigant Consulting, Inc. Prior to moving to Cincinnati, he served as the Deputy Director for Maryland's Health Services Cost Review Commission. There he lead the introduction of a severity-adjusted payment system using APR-DRGs, the first effort to implement a broad-based severity-adjusted payment system in the U.S. Maryland's system has served as a laboratory for CMS's introduction of a severity-adjusted system nationally.
Prior to his service in Maryland, Dr. Redmon served as a senior economist for the U.S. Government Accountability Office in Washington, DC. He received a B.S. in Business Administration from the University of Tennessee in Knoxville, and his Ph.D. in Economics from Michigan State University.
Objectives: For years Medicare has recognized that considerable heterogeniety exists among cases grouped within diagnosis related groups (DRG) used as the basis for Medicare's Inpatient Prospective Payment System. As specialty hospitals for selected services have expanded, CMS and MedPAC have recognized the need to revamp the old DRG classification system and the method for establishing relative weights. In the Final Rule for FY08, CMS has introduced a new payment system called Medicare Severity DRGs (MS-DRGs). This new system is expected to substantially redistribute revenue across hospitals, but the transition poses a number of issues for Medicare. This Health Policy Forum will outline the reimbursement issues addressed in the final rule and the implications for Medicare payment in the coming years.