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In order to make Medicare drug price negotiation a reality, the government has to have additional leverage to negotiate that it doesn't have, explained Ed F. Haislmaier, the Preston A. Wells Jr senior research fellow at the Institute for Family Community, and Opportunity at The Heritage Foundation.

This week, the top managed care stories included President Donald Trump signing an executive order requiring the poor to get jobs or lose food and healthcare benefits; a CMS report found ethnic, racial, and gender disparities in Medicare Advantage plans; CDC highlighted the impact of HIV on America's youth.

House Speaker Paul Ryan is leaving Congress at the end of the year without success on spending cuts to Medicare, Medicaid, and Social Security; the FDA is conducting a criminal investigation into research by a Southern Illinois University professor who injected people with his unauthorized herpes vaccine; the National Institutes of Health (NIH) is "aggressively" looking into reports that it solicited funding from the alcohol industry for a study on the benefits of moderate drinking.

With food insecurity attributing to $77 billion in excess healthcare expenditures annually, support services such as meal programs have been implemented. A study in Health Affairs found that meal delivery programs reduce the use of costly healthcare services, such as emergency department (ED) visits, and help cut costs for dually eligible Medicare and Medicaid beneficiaries.

Government programs, especially Medicare, are stuck in the past and are not designed to accommodate advancements in modern technology, said Ed F. Haislmaier, the Preston A. Wells Jr senior research fellow at the Institute for Family Community, and Opportunity at The Heritage Foundation.

CMS finalized its 2019 Medicare Advantage rates, raising payments it pays to insurers, and also made changes to a final rule aimed at curbing opioid misuse and abuse by Medicare beneficiaries. Payments to Medicare Advantage plans will rise an average of 3.4%, and with another 3.1% adjustment coming from a change in risk scores (which are a measure of the sickness or health of the population served) the payment increase could be as high as 6.5%.

With most accountable care organizations (ACOs) continuing to participate in the upside-only track, the Medicare Shared Savings Program has not netted the savings that the Congressional Budget Office estimated in 2010. But some findings indicate the program will see greater savings as more ACOs transition to the downside-risk tracks and gain more years of experience.

Condition-specific readmissions measures for heart failure, pneumonia, and heart attack may not accurately or fairly reflect hospital quality, according to a study published this week in the Annals of Internal Medicine. The study found significant differences in hospitals' performance when readmissions were assessed for non-Medicare patients and for conditions other than those currently reported, showing that when these additional factors are taken into account, half of the hospitals would be subject to a change in their financial penalty status.

In 2014, Maryland and CMS entered a 5-year agreement employing the All-Payer Hospital Model in the state to cut costs while improving quality. According to the year 3 performance data, Maryland has met or is on track to meet all model requirements, saving hundreds of millions of dollars as it lowers hospital readmissions and steers the state away from a volume-based system.