Lawmakers in Congress are questioning reimbursements to certain physician-owned specialty hospitals, which they claim cut corners on basic care to save money. (Source)
Senator Charles Grassley, highest ranking Republican member of the Senate Finance Committee, told the Houston Chronicle, “The fundamental problem with physician-owned specialty hospitals is that decision-making is more likely driven by financial interests rather than what is best for patients.”
Their concern stems from an incident that took place at a specialty hospital in Abilene. A patient went into respiratory arrest after an operation, but instead of administering emergency procedures, staffers called 911. He later died at Abilene Regional Medical Center.
Although there was three-year moratorium on specialty hospital Medicare reimbursements, West Texas Hospital was given an exception, receiving $4.1 million. Grassley and Senator Max Baucus (both pictured), a Democrat, sent a letter to the Centers for Medicare and Medicaid Services (CMS), asking CMS to explain why. No answer yet.