DOD Should Adopt a New Approach To Analyze the Cost Effectiveness of Small Hospitals
HRD-85-21
Published: Mar 15, 1985. Publicly Released: Mar 15, 1985.
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Highlights
GAO discussed the need for the Department of Defense (DOD) to adopt a new approach to analyzing the cost-effectiveness of providing inpatient services at small hospitals.
Recommendations
Recommendations for Executive Action
| Agency Affected | Recommendation | Status |
|---|---|---|
| Department of Defense | The Secretary of Defense should direct the Assistant Secretary of Defense for Health Affairs and the Surgeons General of the Army, Navy, and Air Force to: (1) develop criteria to determine when providing inpatient services at small military hospitals is economical and necessary to meet the wartime or peacetime benefit missions, and the criteria should include the minimum work load needed to justify offering inpatient care, the distance to other civilian or federal hospitals, alternative treatment settings for active duty patients who require limited care, and other relevant considerations; (2) use a methodology similar to the one discussed in this report, and analyze each small military hospital in the direct-care system to determine its potential for conversion to an outpatient clinic; and (3) perform such analyses before requesting funds from Congress, or before expending any already approved funds, for reconstructing or renovating any small hospital in the DOD system. |
Closed – Implemented
This recommendation is over 5-years old and has not been fully implemented. Because of the uncertainty of the future of new military hospital construction, GAO does not foresee full implementation in the near term.
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Topics
Cost analysisFunds managementHealth care cost controlHospital care servicesHospitalsVeterans hospitalsMilitary forcesMilitary hospitalsPatient careBeneficiaries