Washington
Update 
Regulatory update
MedPAC
questions BBA relief
The day before Congress approved a $35 billion Medicare "giveback" bill,
the Medicare Payment Advisory Commission questioned whether Medicare
providers truly needed such help. The federal advisory panel said hospital
finances are expected to improve dramatically this year. Hospitals have
trimmed unprofitable skilled nursing facilities and home health agencies
while also keeping costs down, experts said. Hospitals also have negotiated
better deals with private insurers, who sometimes pass along funds.
Extra
pay for heart-failure patients
The
Health Care Financing Administration announced guidelines for Medicare+Choice
organizations to receive extra risk-adjustment payment for outpatient
care of congestive heart failure payments starting next year. The clinical
quality indicators are contained in an operational policy letter (OPL
2000.129) issued by HCFA to health plans Nov. 22.
Qualifying
M+C organizations that meet or exceed these quality indicators will
receive extra payments in calendar years 2002 and 2003.
HCFA
wants less frequent M+C provider credentialing
The
Health Care Financing Administration has proposed requiring re- credentialing
of physicians and other healthcare providers for Medicare+ Choice groups
only every three years, instead of the current two. The proposed rule
would be more in line with managed care industry standards as well as
those of private quality-assurance-accrediting organizations, HCFA said.
Comments on the proposal are due by the end of this month.
HHS
Secretary rejects new drug reimportation law
"Flaws
and loopholes" in a new law that would allow for the reimportation of
pharmaceuticals for resale in the United States have prevented Health
and Human Services Secretary Donna E. Shalala from enacting the legislation,
she said in a Dec. 26 letter to President Clinton. Shalala said cost
and safety concerns for the public's health allow her to override the
law's enactment.

Device
update
FDA
approves non-stick electrosurgical technology
A
new non-stick electrosurgery instrument technology has been ap- proved
by the Food and Drug Administration, according to its maker, Seedling
Enterprises LLC, Newton, MA. The company said it developed patented
technology that keeps the tips of electrosurgical instruments cooler
than those that cause sticking or burning of tissue.

HPN
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