By: Sharath Joji  May. 07, 2021

Lawrence + Memorial Hospital in New London, CT, reported a CMS Value Based Purchasing (VBP) Adjustment Factor of 0.9952 in the year 2021, which could result in an estimated penalty of $238,655. Medicare Spending Per Beneficiary (MSPB) accounts for 25% of overall VBP score and is a significant factor in driving VBP payments. MSPB costs include the costs from 3 days before hospitalization, index hospital stays, and 30 days post-discharge. The measure score of the Efficiency & Cost Reduction domain for Lawrence + Memorial Hospital during the period was 1/10. Dexur is an approved purchaser of CMS Medicare claims data and based on our simulator, we estimate that Pennsylvania Hospital can avoid VBP penalties by reducing MSPB Costs by 3.9%.