Value-Based Purchasing Tool Updated by Press Ganey

SOUTH BEND, Ind., Jan. 25, 2011 /PRNewswire/ — The recently unveiled Press
Ganey Value-Based Purchasing Calculator has been updated to reflect the latest
proposed VBP guidelines issued by CMS earlier this month. The calculator is a
solution which helps Press Ganey hospital clients understand how much they stand
to lose each year, as well as how to target the areas for improvement that are
most likely to optimize VBP reimbursement.

The Centers for Medicare and Medicaid Services (CMS) recently proposed
regulations to implement the Hospital Inpatient Value-based Purchasing Program
(VBP), which bases a portion of Medicare payment on hospitals’ performance on a
range of quality of care and patient satisfaction measures. Revised section 3001
of the 2010 Patient Protection and Affordable Care Act requires CMS to implement
the VBP program to reward hospitals for the quality of care they provide as
demonstrated by their performance or improvement on measures of care quality,
rather than simply adjusting payments for reporting on quality measures, as had
been the emphasis of previous national-level hospital quality initiatives.

“When we released our Value-Based Purchasing Calculator late last year, we knew
the legislation might continue to be refined,” said Richard B. Siegrist Jr., CEO
of Press Ganey. “We responded quickly to update our solution following the most
current CMS proposal so that clients would quickly be able to understand the
estimated impact of the revised guidelines. The updated calculator is combined
with other valuable resources to enable hospital leadership to really get a
clear picture of their position so they can effectively align improvement
initiatives.”

In addition to the revised VBP solution, Press Ganey offers additional resources
to assist clients with the impending legislation. Accessible via the Press Ganey
website, these resources include analysis and articles with insight from
hospital clients such as:

— Analysis of CMS’ VBP Proposal.
— “The Time to Prepare for Value-based Purchasing is Now.”
— “Integrating for Accountable Care: Under Reform, More Providers Look to
New Models for Delivering Better Value to Patients.”
— “The Grand Experiment: How Health Reform will Change the Health Care
Delivery System Forever.”
— Analysis of Key Provisions of the 2010 Health Reform Law.

The Press Ganey Value-Based Purchasing Calculator can help provide hospitals a
better understanding of a number of critical factors, including:

— What may be at risk if VBP were in effect today.
— How performance at the measure-level contributes to value-based
purchasing incentive payments.
o A one-point improvement on one measure’s VBP score may be
substantially more valuable in terms of reimbursement than a
five-point improvement on another measure.
— How to prioritize areas for improvement according to size of the
opportunity by comparing the investment required to the net effect of
improvement to the bottom line.

This program will impact payments for general, acute-care hospitals beginning
with Oct. 1, 2012 discharges. The baseline assessment year for all hospitals
subject to VBP is FY2012, which begins October 1, 2011. For further information
on Press Ganey’s Value-Based Purchasing solutions visit:

http://www.pressganey.com/ourSolutions/hospitalSettings/clinicalSuite/vbp_calculator.aspx

Press Ganey Associates, Inc.

Recognized as a leader in performance improvement for 25 years, Press Ganey
partners with more than 10,000 health care organizations to create and sustain
high performing organizations, and, ultimately, improve the overall health care
experience. The company offers a comprehensive portfolio of solutions to help
clients operate efficiently, improve quality, increase market share and optimize
reimbursement. Press Ganey works with clients from across the continuum of care
- hospitals, medical practices, home health agencies and other providers -
including 50% of all U.S. hospitals. For more information, visit
www.pressganey.com.

SOURCE Press Ganey Associates, Inc.