Pay-per-peformance legislation likely

Business Week reports that Senators Charles Grassley (R-Iowa) and Max Baucus (D-Mont.) will propose legislation today that would move all hospitals in the country to pay-per-performance plans. Providers who meet certain measurable quality goals will be rewarded with incentive payments. According to the magazine, the bill also calls for similar incentive programs for doctors, nursing homes and home healthcare providers.

The legislation is not the only bill in the works on what looks to be another big day on the Hill for healthcare. A companion bill sponsored by Ted Kennedy (D-Mass.) and Mike Enzi (R-Nev.) will reportedly provide hospitals with cash incentives for adopting information technology.

- see this story from BusinessWeek

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