Medicare Area Wage Index (AWI)

Executive Summary The Medicare hospital inpatient prospective payment system (PPS) is designed to pay hospitals for services provided to Medicare beneficiaries based on a national average payment amount, adjusted for two factors that affect hospitals' costs: the patient's condition and related…
Dear Colleague: Many issues, from quality improvement to delivery system reform to hospital payment, are on the agendas of hospital leaders. Over the past several months, an important issue for the hospital and health system field has been the Medicare area wage index (AWI), and it is likely to…