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Hawaii Home Health Medicare Margins on Steep Decline
Date:6/13/2013

HONOLULU, June 13, 2013 /PRNewswire-USNewswire/ -- By 2017, Hawaii is facing Medicare Home Healthcare payment at least 11.7% below cost, and up to 27.8% below cost if proposed rebasing takes effect. Even without rebasing, Hawaii will be one of 10 states where Medicare Home Healthcare payments are below cost.

The Healthcare Association of Hawaii, in coordination with the Partnership for Quality Home Healthcare, today released data demonstrating that the rebasing of Medicare home health payments within the proposed Home Health Prospective Payment System (HHPPS) rule for 2014 will negatively impact Hawaii's home health sector and the nearly 3,000 vulnerable Medicare beneficiaries receiving home health by driving Medicare margins to an all-time low.  Leaders are urging regulators to carefully consider the home health sector's current-law economics when implementing this policy.

"Home healthcare is a valuable and clinically-effective healthcare service to the seniors of Hawaii, who will be put at risk if home healthcare is subjected to more Medicare funding cuts," said George W. Greene, Esq., President & CEO of the Healthcare Association of Hawaii (HAH). "Our community has been impacted by significant cuts in the last four years, which data show will put Hawaii home health Medicare margins on track to reach an all-time low."

"Home health services are crucial in providing a smooth transition from hospitalization to home," added Emilie L. Smith, Administrator of CareResource Hawaii and HAH Board Chair.  "Services can be delivered in a more cost-effective manner in the comfort of home. With continued cuts, many home health agencies, particularly on the neighbor islands, will
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SOURCE Healthcare Association of Hawaii
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