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Skilled Nursing Facilities: Medicare Payments Need to Better Account for Nontherapy Ancillary Cost Variation

HEHS-99-185 Published: Sep 30, 1999. Publicly Released: Sep 30, 1999.
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Highlights

Pursuant to a congressional request, GAO provided information on the Medicare payments for skilled nursing facilities' (SNF) services under the new prospective payment system (PPS), focusing on: (1) whether the SNF payment rates incorporate the costs of nontherapy ancillary services; and (2) an analysis of the PPS design and nontherapy ancillary cost variation to assess whether payments are distributed appropriately.

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Health care costsHealth insurance cost controlMedical services ratesMedicarePatient care servicesPrices and pricingSkilled nursing facilitiesProspective paymentsTherapyPatient care