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Innovations : hscrc-total-patient-revenue

Supportive Financing Mechanisms

HSCRC Total Patient Revenue for Hospitals:

Total Patient Revenue is a Health Services Cost Review Commission (HSCRC) approved three-year program designed to implement a voluntary alternative hospital financing strategy for Maryland hospitals that have defined service areas (primary rural hospitals). Participating hospitals receive a global budget that covers all inpatient and outpatient services provided by the hospital. A global budget is based on the hospital’s revenue from the prior fiscal year. The approved revenue is adjusted by the Commission’s approved annual rate update factor and relative performance on specific quality (both process and outcome) measures. This global budget is the annual revenue target under which a participating hospital can charge all payers (including Medicare, Medicaid and private insurers) for services. If the hospital can increase efficiency, contain costs, and/or reduce avoidable admissions and readmissions, it will achieve financial savings. If costs increase beyond the global budget amount, then the hospital bears the financial risk

For a complete description of the TPR pilot project, Click Here .

Integrated projects that use TPR:


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