EXECUTIVE SUMMARY
Extensive government regulation of hospital prices has placed pressure on health systems to cut costs as well as improve their quality of patient care.
In a pilot bundled payment program, Maryland has capped hospital spending and set prices in an effort to cut $330 million in Medicare spending over the five-year life of the program. This regulation marks a trend expected to expand to other states in the transition from a volume- to value-based health care system.
In this paper, we examine the challenges health systems face under new budget policies, such as the Global Budget Revenue cap, and key areas providers should address in acute and post-acute care settings …
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