McHenry Public Library District Digital Archives

McHenry Plaindealer (McHenry, IL), 14 Mar 1984, p. 9

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PAGE9-PLAINDEALER- WEDNESDAY, MARCH 14, lt84 State physicians suggest cost containment plan for Medicaid patients Hospitals would compete for tively contract with those troduced during the last session The ISMS plan calls for recipients. Health and Human Services Hospitals would compete for Medicaid patients under a cost containment plan offered to Gov. James R. Thompson and state legislative leaders by the Illinois State Medical Society (ISMS). The ISMS plan is designed to cut the average cost of a hospital stay for Medicaid patients, with projected annual savings for the state of $35-48 million dollars annually. "Hie key to the Society's plan is to allow the state to selec­ tively contract with those hospitals that agree to deliver Medicaid services at a lower cost," ISMS President-Elect Dr. Robert C. Hamilton said. "Stimulating competition among hospitals will provide hospitals with an incentive to control costs and operate more economically and efficiently," he added. The Society's plan is in response to the continuing debate over proposed cost containment legislation in- YOU'RE INVITED TO A LITTON MICROWAVE DEMONSTRATION r > A I U P D A V M A R C H 1 7 t h 1 9 : 3 0 A M - 1 : 3 0 P M Litton Generation II Microwave Ovens troduced during the last session of the Illinois General Assem­ bly. Under the plan, a hospital must have a contract with the state to be reimbursed for non­ emergency inpatient services. Hospitals could "bid" for state contracts on either a per-case or per-day basis. Hospitals also could be contracted with to provide only certain serviced to Medicaid patients (e.g. open heart surgery). Allowances would be made for teaching hospitals which historically charge higher rates due to ex­ penses involved in medical training. The ISMS plan calls for creation of a special state board to negotiate state contracts with hospitals and see that the total state fund appropriation for Medicaid impatient services is not exceeded. \ The board would be charged with assuring the Medicaid patients have access to quality medical care and designing contracts which protect against fraud and abuse. A concurrent utilization review system also would be provided under the ISMS plant to ensure ap­ propriate use of hospital facilities for Medicaid recipients. To prevent the possibility that some patients might be denied continued care by their personal physicians if that physician's hospital was needed a contract, the ISMS plan would grant limited staff privileges at contracting hospitals for a physician's Medicaid patients. Exempt from the contract program under the ISMS plan would be: state and federal hospitals, children's and rehabilitation hospitals, long- term care facilities and those defined as "sole community providers" under Department of Health and Human Services regulations. Medicaid recipients needing emergency care of whose access would be limited unfairly could seek care at non- contract facilities. "The ISMS plan offers a controllable program aimed at saving the state money without adversely affecting access to medical care and the quality of the treatment rendered," Dr. Hamilton said. "Its real strength is that it builds upon the current Medicaid system rather than making widescale untested revisions." TM Litt°n n Gcnc»tt°nU? Model 2052 y , / / ] \ \ A V x . .t I I .\ V 1' « Litton's new Multi-Wave™ cooking system works so well that you do not have to rotate the food. 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