Anniston hospitals pelanized by Medicare

Anniston's two hospitals are facing penalties in the form of smaller Medicare reimbursement checks for re-admitting too many patients after they’ve already been treated and discharged. Beginning in October, the cuts could amount to $300,000. Meanwhile, efforts are underway to lower those re-admission rates and negate the penalties. Regional Medical Center and Stringfellow Memorial Hospital are two of 2,225 U.S. hospitals that will receive less in Medicare reimbursements starting Oct. 1 for the 2014 fiscal year for having too many patient re-admissions. The Medicare penalty program is part of an effort by the federal government to reduce health care costs through improved efficiency. Some health care industry experts say the program, which began in 2012, will benefit hospitals and patients through better care and lower costs. RMC will face a 0.4 percent cut in Medicare reimbursements in the 2014 fiscal year, amounting to about $300,000. The penalty is based on RMC's re-admission rate for this year. RMC received a 0.2 percent reduction in Medicare reimbursements at the start of the 2013 fiscal year based on its 2012 re-admission rates.
Stringfellow faces a 0.15 percent reduction in Medicare reimbursements in 2014, an increase from the 0.07 percent reduction it received in 2013.
RMC Jacksonville, which RMC purchased in December, received no penalty for the 2014 fiscal year after receiving a 0.4 percent decrease in reimbursements for this year.