Hospitals Say Proposed Rate Increase Proposal too Low - WBOC-TV 16, Delmarvas News Leader, FOX 21 -

Hospitals Say Proposed Rate Increase Proposal too Low

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BALTIMORE (AP)- Hospitals in Maryland say regulators' latest proposed rate increase is less than half of what they need.

Maryland's Health Services Cost Review Commission meets Wednesday to vote on the annual rate adjustment.
    
The staff of the commission, which sets rates and budgets for hospitals, is recommending that hospitals be allowed to increase their revenues by 1.63 percent per state resident for the coming fiscal year.
    
The Maryland Hospital Association is asking commissioners for a 2.75 percent rate increase, arguing that the proposed rate increase will leave hospitals unable to provide necessary pay increases and make new investments.
    
A five-year, global-budgeting experiment that caps hospital revenues each year aims to give them an incentive to reduce costs, focus on preventive care and reduce unnecessary hospitalizations.

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