PLANS FOR A VALUE-BASED PURCHASING PROGRAM FOR SKILLED NURSING FACILITIES AND HOME HEALTH AGENCIES.

SEC. 3006. PLANS FOR A VALUE-BASED PURCHASING PROGRAM FOR SKILLED NURSING FACILITIES AND HOME HEALTH AGENCIES. (a) Skilled Nursing Facilities.— (1) In general.—The Secretary of Health and Human Services (in this section referred to as the “Secretary”) shall develop a plan to implement a value-based purchasing program for payments under the Medicare program under title XVIII of the Social Security Act for skilled nursing facilities (as defined in section 1819(a) of such Act (42 U.S.C. 1395i–3(a))). (2) Details.—In developing the plan under paragraph (1), the Secretary shall consider the following issues: (A) The ongoing development, selection, and modification process for measures (including under section 1890 of the Social Security Act (42 U.S.C. 1395aaa) and section 1890A such Act, as added by section 3014), to the extent feasible and practicable, of all dimensions of quality and efficiency in skilled nursing facilities. (B) The reporting, collection, and validation of quality data. (C) The structure of value-based payment adjustments, including the determination of thresholds or improvements in quality that would substantiate a payment adjustment, the size of such payments, and the sources of funding for the value-based bonus payments. (D) Methods for the public disclosure of information on the performance of skilled nursing facilities. (E) Any other issues determined appropriate by the Secretary. (3) Consultation.—In developing the plan under paragraph (1), the Secretary shall— (A) consult with relevant affected parties; and (B) consider experience with such demonstrations that the Secretary determines are relevant to the value-based purchasing program described in paragraph (1). (4) Report to congress.—Not later than October 1, 2011, the Secretary shall submit to Congress a report containing the plan developed under paragraph (1). (b) Home Health Agencies.— (1) In general.—The Secretary of Health and Human Services (in this section referred to as the “Secretary”) shall develop a plan to implement a value-based purchasing program for payments under the Medicare program under title XVIII of the Social Security Act for home health agencies (as defined in section 1861(o) of such Act (42 U.S.C. 1395x(o))). (2) Details.—In developing the plan under paragraph (1), the Secretary shall consider the following issues: (A) The ongoing development, selection, and modification process for measures (including under section 1890 of the Social Security Act (42 U.S.C. 1395aaa) and section 1890A such Act, as added by section 3014), to the extent feasible and practicable, of all dimensions of quality and efficiency in home health agencies. (B) The reporting, collection, and validation of quality data. (C) The structure of value-based payment adjustments, including the determination of thresholds or improvements in quality that would substantiate a payment adjustment, the size of such payments, and the sources of funding for the value-based bonus payments. (D) Methods for the public disclosure of information on the performance of home health agencies. (E) Any other issues determined appropriate by the Secretary. (3) Consultation.—In developing the plan under paragraph (1), the Secretary shall— (A) consult with relevant affected parties; and (B) consider experience with such demonstrations that the Secretary determines are relevant to the value-based purchasing program described in paragraph (1). (4) Report to congress.—Not later than October 1, 2011, the Secretary shall submit to Congress a report containing the plan developed under paragraph (1). (f) Ambulatory Surgical Centers.— (1) In general.—The Secretary shall develop a plan to implement a value-based purchasing program for payments under the Medicare program under title XVIII of the Social Security Act for ambulatory surgical centers (as described in section 1833(i) of the Social Security Act (42 U.S.C. 1395l(i))). (2) Details.—In developing the plan under paragraph (1), the Secretary shall consider the following issues: (A) The ongoing development, selection, and modification process for measures (including under section 1890 of the Social Security Act (42 U.S.C. 1395aaa) and section 1890A of such Act, as added by section 3014), to the extent feasible and practicable, of all dimensions of quality and efficiency in ambulatory surgical centers. (B) The reporting, collection, and validation of quality data. (C) The structure of value-based payment adjustments, including the determination of thresholds or improvements in quality that would substantiate a payment adjustment, the size of such payments, and the sources of funding for the value-based bonus payments. (D) Methods for the public disclosure of information on the performance of ambulatory surgical centers. (E) Any other issues determined appropriate by the Secretary. (3) Consultation.—In developing the plan under paragraph (1), the Secretary shall— (A) consult with relevant affected parties; and (B) consider experience with such demonstrations that the Secretary determines are relevant to the value-based purchasing program described in paragraph (1). (4) Report to congress.—Not later than January 1, 2011, the Secretary shall submit to Congress a report containing the plan developed under paragraph (1).