CMS: Third year of value-based purchasing demonstration shows substantial improvement

The latest results of the Premier Hospital Quality Incentive Demonstration show dramatic across-the-board improvement in the performance of participating hospitals, according to the Centers for Medicare & Medicaid Services. Launched in October 2003 by CMS and the Premier Inc. Healthcare Alliance, HQID involves about 250 hospitals in 36 states. The demonstration was designed to test new payment systems under Medicare that would improve the safety, quality and efficiency of care delivered in the nation's hospitals, according to a CMS release.