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Rural Health Clinic Services Act Has Not Met Expectations

HRD-82-62 Published: May 14, 1982. Publicly Released: Jun 14, 1982.
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Highlights

GAO reviewed the progress made by the Department of Health and Human Services (HHS) to implement the Rural Health Clinic Services Act, the extent to which Medicare beneficiaries use the clinics, and any obstacles preventing broader implementation of the Act.

Recommendations

Recommendations for Executive Action

Agency Affected Recommendation Status
Department of Health and Human Services The Secretary of Health and Human Services should require the Health Care Financing Administration to: (1) eliminate the administrative cost screen, adopt more realistic and flexible productivity standards, and replace the current rate ceiling with the planned $32.10; and (2) replace the reimbursement system as soon as feasible with a prospective reimbursement system similar to the one currently being discussed: one without screens, with rates based upon the ratio of cost to charges, and with rates limited to the prevailing rate for similar services performed by physicians within the same geographical area.
Closed – Implemented
When we confirm what actions the agency has taken in response to this recommendation, we will provide updated information.

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Topics

Administrative costsHealth care costsHealth centersMedicaidMedicareState lawRural healthBeneficiariesPhysiciansPatient care