PEDIATRICS Vol. 78 No. 5 November 1986, pp. 820-828
This Article
Right arrow Full Text (PDF)
Right arrow Alert me when this article is cited
Right arrow Alert me when eLetters are posted
Right arrow Alert me if a correction is posted
Right arrow Citation Map
Services
Right arrow E-mail this article to a friend
Right arrow Similar articles in this journal
Right arrow Similar articles in PubMed
Right arrow Alert me to new issues of the journal
Right arrow Add to My File Cabinet
Right arrow Download to citation manager
Right arrowRequest Permissions
Citing Articles
Right arrow Citing Articles via HighWire
Right arrow Citing Articles via CrossRef
Right arrow Citing Articles via Google Scholar
Google Scholar
Right arrow Articles by Resnick, M. B.
Right arrow Articles by Curran, J. S.
Right arrow Search for Related Content
PubMed
Right arrow PubMed Citation
Right arrow Articles by Resnick, M. B.
Right arrow Articles by Curran, J. S.
Social Bookmarking
 Add to CiteULike   Add to Connotea   Add to Del.icio.us   Add to Digg   Add to Facebook   Add to Reddit   Add to Technorati   Add to Twitter  
What's this?

Prospective Pricing System for Tertiary Neonatal Intensive Care

Michael B. Resnick EdD1, Mario Ariet PhD1, Randy L. Carter PhD1, James W. Fletcher BS1, Janet H. Evans MSPA1, Robert R. Furlough PhD1, William W. Ausbon MD1, and John S. Curran MD1

1 From the University of Florida, College of Medicine and Department of Statistics, Gainesville; Florida Children's Medical Services, Tallahassee; and University of South Florida, College of Medicine, Tampa

This study assessed the potential impact of the federal neonatal diagnosis-related group (DRG) pricing system upon reimbursement to a state neonatal intensive care program. Data for length of intensive care unit stay, procedures, hospital charges, and audited cost reports from the state of Florida's ten regional neonatal intensive care centers were analyzed for 8,492 neonates whose charges totaled $118 million. Mean lengths of stay in these tertiary care centers were substantially longer than those reported for the federal DRGs, which were based on community hospital data. If federal DRG-based reimbursement to hospitals were implemented in Florida's perinatal intensive care program, compensation would range from 9% to 56% of actual hospital care charges. Federal DRG price rates were not predictive of hospital charges. Only 16% of the total variation in hospital charges was explained by differences among federal DRG rates (R2 = .16). Analysis of data by major determinants of resource consumption provided groups more homogeneous with respect to hospital charges and, hence, cost. Therefore, we developed a prospective pricing system that used modifications of federal newborn DRG system. These modifications resulted in a threefold increase in R2 (.52). Our proposed system permits prediction of cost and reimbursement for infants by three criteria: (1) birth weight, (2) need for mechanical ventilation and/or major surgery, and (3) survival status and length of survival for those who die.

Key Words: prospective pricing system • tertiary neonatal intensive care unit

Submitted on October 21, 1985
Accepted on March 14, 1986


Add to CiteULike CiteULike   Add to Connotea Connotea   Add to Del.icio.us Del.icio.us   Add to Digg Digg   Add to Facebook Facebook   Add to Reddit Reddit   Add to Technorati Technorati   Add to Twitter Twitter    What's this?


This article has been cited by other articles:


Home page
PediatricsHome page
L. Gortner, R. R. Wauer, H. Hammer, G.-J. Stock, F. Heitmann, H. L. Reiter, P. G. Kühl, J. C. Möller, H.-J. Friedrich, I. Reiss, et al.
Early Versus Late Surfactant Treatment in Preterm Infants of 27 to 32 Weeks' Gestational Age: A Multicenter Controlled Clinical Trial
Pediatrics, November 1, 1998; 102(5): 1153 - 1160.
[Abstract] [Full Text]


Home page
PediatricsHome page
J. Rogowski
Cost-effectiveness of Care for Very Low Birth Weight Infants
Pediatrics, July 1, 1998; 102(1): 35 - 43.
[Abstract] [Full Text]


Home page
PediatricsHome page
R. S. Broyles, J. E. Tyson, and J. M. Swint
Have Medicaid Reimbursements Been a Credible Measure of the Cost of Pediatric Care?
Pediatrics, March 1, 1997; 99(3): e8 - e8.
[Abstract] [Full Text] [PDF]


Home page
Arch Pediatr Adolesc MedHome page
J. S. Rawlings and J. S. Scott
Postconceptional Age of Surviving Preterm Low-Birth-Weight Infants at Hospital Discharge
Arch Pediatr Adolesc Med, March 1, 1996; 150(3): 260 - 262.
[Abstract] [PDF]


Home page
Arch Pediatr Adolesc MedHome page
R. P. Carzoli, M. Martinez-Cruz, L. L. Cuevas, S. Murphy, and T. Chiu
Comparison of Neonatal Nurse Practitioners, Physician Assistants, and Residents in the Neonatal Intensive Care Unit
Arch Pediatr Adolesc Med, December 1, 1994; 148(12): 1271 - 1276.
[Abstract] [PDF]


Home page
NEJMHome page
T. L. Callahan, J. E. Hall, S. L. Ettner, C. L. Christiansen, M. F. Greene, and W. F. Crowley
The Economic Impact of Multiple-Gestation Pregnancies and the Contribution of Assisted-Reproduction Techniques to Their Incidence
N. Engl. J. Med., July 28, 1994; 331(4): 244 - 249.
[Abstract] [Full Text]


Home page
Arch Pediatr Adolesc MedHome page
R. L. Gibson, J. C. Jackson, G. A. Twiggs, G. J. Redding, and W. E. Truog
Bronchopulmonary Dysplasia: Survival After Prolonged Mechanical Ventilation
Arch Pediatr Adolesc Med, July 1, 1988; 142(7): 721 - 725.
[Abstract] [PDF]


Home page
JAMAHome page
E. Bancalari
Care of the Infant With Prolonged Ventilator Dependency
JAMA, December 18, 1987; 258(23): 3430 - 3431.
[Abstract] [PDF]