Hospital Value-Based Purchasing (HVBP)
Hospital Value-Based Purchasing (HVBP) will be funded through a reduction from participating hospitals Diagnosis-Related Group (DRG) payments for the applicable fiscal year. The money that is withheld will be redistributed to hospitals based on their Total Performance Scores (TPS), as required by statute, and the actual amount earned by hospitals will depend on the actual range and distribution of all eligible/participating hospitals TPSs. A hospital may earn back a value-based incentive payment percentage that is less than, equal to, or more than the applicable reduction for that program year.
Value-Based Incentive Payment Percentage by Program Fiscal Year
|Fiscal Year||Percent Reduction|
|2017 and subsequent Fiscal Years||2.0|