News & Press: Latest News

Medicare Payment Advisory Commission (MedPAC) Releases March 2016 Report to Congress

Tuesday, March 15, 2016  
Share |

Medicare Payment Advisory Commission (MedPAC) Releases March 2016 Report to Congress

This week the Medicare Payment Advisory Commission (MedPAC) released its March 2016 Report to Congress, outlining its 2017 Medicare payment update recommendations for nine fee-for-service provider payment systems. The Commission also provided recommendations on Medicare Advantage (MA) as well as a status update on the Part D Program.
 
Some major points include:

 
Hospital Inpatient and Outpatient Services; 340B Drug Payment: The Commission recommended that hospital payment be updated with a 10 percent reduction off of the average sales price (ASP) for separately payable Part B drugs for 340B hospitals.

Inpatient Rehabilitation Facility (IRF) Coding Practices: MedPAC found that patient selection and assessment, and coding practices may contribute to differences in costs and profitability across providers.

Medicare Advantage (MA) Status Report:MedPAC provides its annual review of the program, which you can view, on page two, here.

Status of Part D Program: The commission noted that Medicare spent $78 billion for the Part D benefit in 2014, an increase of 15 percent from 2013. It was noted that while generics played an important role in limiting overall drug price growth, brand price growth began to have a more dominating effect. 

You may view additional payment update recommendations in the report here, in the executive summary here, or the fact sheet here. 

You may view additional payment update recommendations in the report here, in the executive summary here, or the fact sheet here