Issue: June 2012
June 20, 2012
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HHS announces rules to reduce costs, focus on care

Issue: June 2012
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The Department of Health and Human Services announced rules issued by the CMS to cut costs and reduce burdens on hospitals and health care providers.

“We are cutting red tape and improving health care for all Americans,” HHS Secretary Kathleen Sebelius said in a press release. “Now it will be easier for health care providers to do their jobs and deliver quality care.”

The first rule is designed to revise the Medicare Conditions of Participation (CoPs) for hospitals and critical access hospitals (CAHs). Under the first rule, CoPs and CAHs will save approximately $940 million per year, according to the release.

The Medicare Regulatory Reform rule is estimated to save $200 million the first year, eliminating duplications, overlapping and outdated regulatory requirements for health care providers.

Through increased flexibility, efficiency and an emphasis on updated regulations, HHS announced the rules will save more than $5 billion. The full list of final rules can be found at www.ofr.gov/inspection.aspx.