Maryland's Global Budget Revenue Program and Coronary Artery Bypass Surgery

Michael A Mazzeffi1, James S Gammie2, Kenichi Tanaka1

  • 1Department of Anesthesiology, University of Maryland School of Medicine, Baltimore, Maryland.

Insights

Maryland's global budget revenue (GBR) program reduced potentially preventable complications (PPCs) for coronary artery bypass grafting (CABG) patients but did not significantly impact readmissions. The initiative showed minimal charge growth.

Area of Science:

  • Health Services Research
  • Healthcare Policy
  • Cardiovascular Surgery

Background:

  • Maryland implemented a global budget revenue (GBR) program in 2014, assigning fixed annual budgets to hospitals.
  • The study investigated the GBR program's impact on coronary artery bypass grafting (CABG) patient outcomes and costs.

Purpose of the Study:

  • To evaluate the association of Maryland's GBR program with changes in CABG patient risk profiles.
  • To assess reductions in potentially preventable complications (PPCs) and 30-day hospital readmissions post-GBR implementation.
  • To analyze annual per-patient charge growth in CABG cases under the GBR program.

Main Methods:

  • Analysis of isolated CABG patient data in Maryland from fiscal years 2013 to 2017.
  • Comparison of patient characteristics, severity of illness, PPCs, readmissions, and hospital charges.
  • Interrupted time series analysis to evaluate the GBR program's effect on PPCs and readmissions.

Main Results:

  • A significant increase in patient severity of illness was observed (34.6% in 2013 vs. 46.1% in 2017).
  • A significant reduction in mean PPC incidence of -22.8% was found after GBR implementation.
  • No significant reduction in 30-day hospital readmissions was observed (-2.7%).
  • Annual per-patient charge growth remained between -1.4% and 2.6% without adjusting for inflation.

Conclusions:

  • Maryland's GBR program was associated with significant reductions in PPCs for CABG patients.
  • The program demonstrated minimal per-patient charge growth during the initial 14 fiscal quarters.
  • The GBR initiative did not significantly alter 30-day hospital readmissions for CABG patients, indicating partial achievement of its goals.
Abstract

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