Understanding Hospital VBP Program, Part 2:

Posted on by Ryan Bauhs

What is the methodology behind the Hospital’s Value-Based Purchasing (VBP) Program?

Centers for Medicare and Medicaid (CMS) will assess each hospital’s performance by comparing its achievement and improvement scores for each applicable Hospital VBP measure and awarding the higher score for each measure.  CMS will then aggregate each hospital’s score into the appropriate domain.

The fiscal year Hospital VBP Program will consist of two domains: 1) Clinical Process of Care and 2) Patient Experience of Care.  The Clinical process score is simply the sum of the measure of scores in that domain.  The Patient Experience of Care score is the sum of the hospital’s Hospital Consumer Assessment of Healthcare Providers and Systems (HCAHPS) base score and that hospital’s HCAHPS Consistency score.

CMS will then multiply each domain score by domain specific weights.  For fiscal year 2013, these weighted values are 70% of Clinical Process of Care and 30% for Patient Experience of Care.  After each domain score is multiplied by its percentage value, CMS will add the weighted domain scores to reach a hospital’s Total Performance Score.

Each hospital’s Total Performance Score will be converted into a value-based incentive payment adjusted percentage using a mathematical formula.

It is critical that we improve the patient experience.  Preventing infections and teaching our patients how to prevent infections will improve the patient experience.

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