News alert: HCFA may delay outpatient PPS
News alert: HCFA may delay outpatient PPS
The Baltimore-based Health Care Financing Administration (HCFA) announced in July that it may need to postpone implementation of the prospective payment system for outpatient hospital care and home health agencies. HCFA Administrator Nancy-Ann DeParle told Congress on July 16 that some of the provisions of the Balanced Budget Act of 1997 might be postponed so that HCFA staff can work on the Year 2000 computer problem.
The Year 2000 problem, which will affect businesses and governments around the world, refers to computer crashes that may occur on Jan. 1, 2000. Computer systems were programmed to translate years into two digits, recognizing the year 1998 as 98. So when the year turns to 2000, it's possible the computers will recognize this as 1900 instead of 2000, resulting in lost coverage for beneficiaries and payments to providers. To prevent this from happening, HCFA is making the computer work a priority, DeParle says.
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