Delaware Gov. John Carney last week issued an executive order establishing state health care spending and quality benchmarks beginning in calendar year 2019. The order also creates a Delaware Economic and Financial Advisory Council subcommittee to advise the governor and state agencies on adjustments to the annual spending benchmark.
 
“Our hospitals have always prioritized quality of care and efficiency in health care delivery,” said Wayne Smith, president and CEO of the Delaware Healthcare Association. “Long before any Benchmark discussion we have aggressively been expanding the number of patient encounters that are subject to value based payments as opposed to fee-for-service payments. Legislation we succeeded in enacting this session calls for reaching a goal that 60 percent of patient encounters occur under value based payment arrangements by 2021. Were a Benchmark to serve as a cost cap it would create significant access to care issues in a state that has the seventh oldest population in the nation and is costly to care for based on demographics. The spending benchmark is a target against which the Governor wants to measure total cost of care in the state. It is established by executive order and as such has no penalties nor regulatory requirements. We certainly support knowing the total cost of care in the state as a data point. The benchmark is an arbitrary figure that answers the budget question of ‘how much does the Administration want to spend on health care.’ It in no way answers the vital question of ‘what needs to be spent on health care to ensure the health and well-being of Delawareans.’"

Related News Articles

Headline
The median net launch price for 154 new drugs increased 51% between 2022 and 2024, after accounting for inflation and discounts, according to a report released…
Headline
Annual premiums for employer-sponsored family health coverage in 2025 increased 6% over last year to $26,993, according to KFF’s annual Employer Health…
Headline
A report by the Department of Health and Human Services Office of the Inspector General found that many Medicare Advantage and Medicaid managed care plans…
Blog
Public
Cross-industry insights and new technology are helping HCA Healthcare reduce risk, improve outcomes and lead the future of high-reliability careFor Randy Fagin…
Headline
The Food and Drug Administration has identified a Class I recall of Abiomed Automated Impella Controllers due to the potential for serious injury or death. The…
Headline
The AHA today released the Health Plan Accountability Update for the third quarter of 2025. The update covers the latest developments in Medicare…