1175 Discontinuance of the Hospital Quality Incentive Pilot Program and the Hospital Quality Care Investment Grant Program

Discontinuance of the Hospital Quality Incentive Pilot Program and the Hospital Quality Care Investment Grant Program

[42 Pa.B. 3703]
[Saturday, June 23, 2012]

 The Department of Public Welfare (Department) is providing final notice of its discontinuance of the Hospital Quality Incentive Pilot Program (Pilot Program) and Hospital Quality Care Investment Grant Program (Grant Program). The Pilot Program was established to provide and reward a hospital's performance on various quality related measures. More specifically, the Department provided for incremental adjustments to the scheduled increases to be applied to inpatient disproportionate share hospital and Direct Medical Education payments based on the hospital's performance on these quality measures. Through an application process, the Grant Program provided an incentive for acute care general hospitals to initiate quality improvement projects by offsetting some of the costs related to the implementation of the project.

 The Department published notice of its intent to discontinue the Pilot and Grant Programs at 41 Pa.B. 3286 (June 25, 2011). The Department received no public comments during the 30-day comment period and implemented the changes as described in its notice of intent. The Department received State Plan Amendment approval from the Centers for Medicare and Medicaid Services to discontinue the Pilot and Grant Programs in February of 2012.

Fiscal Impact

 The Fiscal Year (FY) 2010-2011 fiscal impact, as a result of discontinuing the Pilot Program and the Grant Program, is a savings of $2.254 million ($1 million in State general funds and $1.254 million in Federal funds).

 The FY 2011-2012 fiscal impact, as a result of discontinuing the Pilot Program and the Grant Program, is a savings of $2.226 million ($1 million in State general funds and $1.226 million in Federal funds).

GARY D. ALEXANDER, 
Secretary

 Fiscal Note: 14-NOT-762. No fiscal impact; (8) recommends adoption.

[Pa.B. Doc. No. 12-1175. Filed for public inspection June 22, 2012, 9:00 a.m.]