Medicaid : Determining Cost-effectiveness of Home and Community-based Services: Report to the Administrator, Health Care Financing Administration

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Page 3 - HCB care for nursing home care is unrealistic because separate populations utilize each service. Consider the following: • General Accounting Office ( 1987): "HCFA now assumes that all those receiving home and community-based care otherwise would use nursing homes ... HHS funded research and demonstration projects do not support this assumption. Many people who have participated in community care demonstration projects would not have entered a nursing home had the community based care been unavailable.
Page 18 - This study concluded that overall long term care costs associated with adding a HCB care benefit increased between 6 and 18 percent. (10) •General Accounting Office (1987): -For the majority of ... clients receiving home and community-based services under the project, these services represented added costs for a new Medicaid benefit rather than a cost-effective substitute for nursing home care.
Page 1 - HCFA'S revised reporting requirements should improve the accuracy of states' program information, we recommend that HCFA develop information on the extent to which the program prevents or postpones the need for nursing home care. Without such information, the program's cost-effectiveness cannot be adequately evaluated.
Page 8 - The act authorized the Secretary of Health and Human Services to waive traditional Medicaid requirements and allow states to provide HCBS.
Page 17 - Medicaid and could offset any savings realized by providing HCBS at a lower per capita cost than nursing home services.
Page 18 - To screen potential clients and identify those at risk of being institutionalized, the projects used a variety of client assessment instruments combining measures of dependence, disability, diagnosis, prognosis, and living arrangements.
Page 18 - HCFA evaluates waiver cost-effectiveness by assuming that all HCBS recipients would otherwise use nursing home care. We believe this assumption is unrealistic.
Page 17 - Services provided to individuals who would not have entered a nursing home represent additional costs to...

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