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In this issue:
Keystone Project Improves Safety in Michigan Hospital
ICUs
2007 State Budget Looks Grim
Legislation Requires State to Publish Comparison of Medicaid,
Medicare Rates
Sign-up Starts Nov. 15 for New Medicare Part D Prescription Drug
Benefit
Health-E View: No New Regulations Needed
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Michigan ICUs Now the Nation’s Safest
MHA Keystone Project Improves Patient Safety in Hospital
ICUs
Michigan
hospital intensive care units (ICUs) are safer today following a
two-year project to reduce medical errors and improve patient
safety directed by the state’s hospital association and The
Johns Hopkins University Quality & Safety Research Group.
Results of
the project were announced Oct. 13 by leaders of the Michigan
Health & Hospital Association (MHA) Keystone Center for Patient
Safety & Quality and patient safety experts from Johns Hopkins.
Keystone: ICU is believed
to be the largest patient safety collaborative of its kind
anywhere in the world, with more than 120 Michigan ICUs and 70
Michigan hospitals participating. The results
were shared at a conference in Dearborn for Michigan business
leaders, state lawmakers and hospital leaders. Using a
predictive model and data collected from project participants
between March 2004 and June 2005, the total savings in the
15-month span were:
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Patient Lives Saved — 1,578
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Hospital Days Saved — 81,020
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Health Care Dollars Saved — $165.5 million
“As a result
of Keystone: ICU, medical errors are being avoided, and
lives and health care costs are being saved,” said MHA President
Spencer Johnson. “Improving health care safety at the bedside
benefits all patients and the governments, employers and workers
that pay for health care services. Michigan hospitals are proud
to be at the forefront of patient safety and health care quality
improvement initiatives.”
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No Surprise: 2007 State Budget Looks Grim, Too
Michigan’s
stalled economy, combined with state tax cuts of recent years,
will force the legislature and governor to cut about $750
million from the 2007 state budget, economists and fiscal
experts are predicting.
Because the state continues to lose manufacturing jobs
and revenues to tax cuts, the 2007 budget will not be able to
cover skyrocketing Medicaid costs, higher public safety costs
and higher education costs.
Since 1998,
the state’s Medicaid budget has been cut by roughly $630
million, even as the Medicaid caseload has skyrocketed to a
record 1.5 million people. Tens of thousands of the new Medicaid
beneficiaries are former manufacturing industry workers who have
lost good jobs that included health care benefits.
“Where the
legislature and governor will cut is anyone’s guess, but they
should not look to balance the budget on the backs of our most
vulnerable residents,” said Michigan Health & Hospital
Association President Spencer Johnson. “Cutting Medicaid
directly affects children, the disabled and the elderly. Every
major cut to Medicaid also shifts higher costs to Michigan
employers and their workers and eliminates health care jobs that
pay good wages and support local communities.”
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Legislation Requires Published Comparison of Medicaid,
Medicare Rates
It’s well
known that the federal Medicare program and the state Medicaid
program pay vastly different rates to hospitals and physicians
for the same medical procedures, with Medicare rates almost
always higher.
Now state Rep. Kevin Green (R-Wyoming)
wants the state to issue an annual report documenting the
differences between the Medicare and Medicaid payments.
Public hearings on Green’s House Bill 5040 are expected to be
held in the coming weeks and months before the House Family &
Children’s Services Committee.
The Partnership for Michigan’s Health, a coalition that
includes the Michigan Health & Hospital Association, the
Michigan Osteopathic Association, and the Michigan State Medical
Society, supports the legislation.
In a letter to members of the House Family & Children’s Services
Committee, the Partnership wrote:
“Since the inception of the Medicaid program in 1966,
Michigan hospitals and physicians have embraced and
supported it; in 2005, all Michigan hospitals and most
Michigan physicians participate in Medicaid. However, the
ability of physicians and hospitals to continue their
support has been eroded, partly as a result of inadequate
payment rates, which are at historically low levels when
compared with standard benchmarks, such as Medicare.
“In
addition, inadequate Medicaid payment rates have begun to
jeopardize the very fabric of Michigan’s health care
delivery system, particularly those communities where
substantial numbers of residents rely upon Medicaid. In the
most extreme cases, the inadequacy of Medicaid reimbursement
is contributing to the financial failure of key health care
institutions and agencies. The end result is a Medicaid
program that has become destabilized.”
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Sign-up for New Medicare
Part D Prescription Drug Benefit Starts Nov. 15
Millions of
senior and disabled citizens across the nation and Michigan will
begin signing up for the new Medicare prescription drug benefit
on Nov. 15.
Michigan hospitals, Area Agencies on Aging, senior
centers, long-term-care facilities, churches and other venues
are hosting sign-up events between Nov. 15 and May 15, 2006, the
final day beneficiaries can enroll in one of the new Part D
plans without paying a financial penalty.
Meantime, a
new
report projects the number of seniors paying more than
$4,000 a year in out-of-pocket costs for prescription drugs
could decline to just 160,000 in 2006 under the Medicare drug
benefit. Currently, more than 1.5 million seniors lack
catastrophic coverage and pay more than $4,000 for prescription
drugs annually, according to the report by
PricewaterhouseCoopers. Medicare beneficiaries with supplemental
coverage, such as a Medigap plan, could see their average
out-of-pocket costs decline under the new drug benefit to less
than $900 from $1,300, the report estimates. Based on U.S.
Census and Medicare program data, the report was prepared for
Medicare Today, a partnership of more than 350 organizations
working to explain the new Medicare benefit through grassroots
efforts. The report projects 98 percent of Medicare
beneficiaries could have catastrophic coverage under the
benefit, up from 52 percent currently.
Michigan senior citizens with questions
about the new Medicare prescription drug benefit are encouraged
to contact the Michigan Medicare/Medicaid Assistance Program
(MMAP), a nonprofit organization that offers objective
information about the new benefit. MMAP has more
than 700 trained counselors who will answer questions by
telephone or make home visits to beneficiaries who request them.
MMAP will not try to sell any specific plan. Seniors are urged
to contact MMAP at (800) 803-7174 or at
www.mymmap.org.
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No New Regulations Needed:
Michigan Hospitals Boost Patient Safety
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Spencer Johnson, president Michigan
Health & Hospital Association
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When a major
employer has an obvious problem that is harming people and
driving costs higher, media scrutiny and increased government
regulation often result to push corrective measures. In some
instances, the responsible industry will step up to the plate
and solve the problem itself, with no additional motivation
other than to do what is right.
In November
1999, a landmark Institute of Medicine study concluded that at
least 44,000 people die in hospitals nationwide each year as a
result of medical errors. The report, which generated major
concern among America’s hospitals and with media nationwide,
called on Congress to enact new laws and challenged health care
providers to design safer delivery systems. Reducing medical
errors by 50 percent, the study said, would save lives and
reduce costs by billions of dollars.
While the
government pondered ways to turn the report into new
regulations, Michigan hospitals took action. We concluded that
if, as the report suggested, most medical errors “do not result
from individual recklessness,” but instead are caused by “faulty
systems, processes and mistakes,” then surely we have the power
to fix them.
In early
2003, the Michigan Health & Hospital Association (MHA)
established the Keystone Center for Patient Safety & Quality. A
few months later, a two-year, $1 million federal grant enabled
MHA Keystone to partner with national patient safety experts
from The Johns Hopkins University and Michigan intensive care
units (ICUs) in a pioneering effort to make ICUs safer.
Why ICUs?
More than five million people are treated each year in U.S.
hospital ICUs. Care delivered in ICUs costs about $180 billion a
year, representing nearly 30 percent of total annual acute-care
spending. ICU patients are also at risk for certain types of
preventable infections that can drive up costs, increase lengths
of stay and lead to death.
Keystone:
ICU became what we believe to be the largest patient safety
collaborative of its kind anywhere in the world, with more than
120 Michigan ICUs and 70 Michigan hospitals participating.
Hospitals in three other states also joined the project.
Working with hospital ICU teams,
Keystone project leaders did exactly what the report
recommended: they improved the delivery of medical treatments in
ICUs through simple interventions that have significantly
reduced infections and pneumonia. Central
intravenous (IV) lines are a major source of infections in ICUs
that harm patients and increase lengths of stay, which drive up
costs.
Prior to MHA
Keystone, Michigan’s rate of central line infections ranked
average in the nation. Now, Michigan’s performance ranks among
the nation’s best. Hospitals participating in Keystone: ICU
have reduced central IV line infections by nearly 50 percent. Of
the 127 participating ICUs, 68 have reported zero bloodstream
infections or ventilator-associated pneumonias for six months or
more. This achievement was once thought impossible, even
according to the U.S. Centers for Disease Control and
Prevention. Overall ventilator-associated pneumonia rates in the
project also continue to decrease. Each prevented infection
reduces costs, reduces the time a patient must stay in the ICU,
and often saves a life.
In fact,
using a predictive model and data collected from project
participants between March 2004 and June 2005, the total savings
in the 15-month span were:
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Patient Lives Saved — 1,578
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Hospital Days Saved — 81,020
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Health Care Dollars Saved — $165.5 million
The success
and expansion of the MHA Keystone Center are important because
every patient in every hospital deserves to get the best care
possible in the safest environment. Future projects will focus
on improving treatment delivered in other health care settings.
While the
nature of health care is to constantly seek improvement, we’re
proud to say that Michigan is now the best in the business. Our
doctors, nurses and administrators stepped up to the plate with
no new laws, but instead, with a new determination, spirit of
collaboration and renewed mission to deliver evidence-based
care. Today, if you need treatment in a hospital ICU, Michigan
is the place to be.
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