News & Events
St. Anthony Selected as One of 20 Hospitals Nationwide to Participate in CMS Demonstration Program

Friday, 04 March 2011

St. Anthony Regional Hospital has been selected to participate in the Centers for Medicare and Medicaid Services’ (CMS) Rural Community Hospital Demonstration Program which provides reimbursements to small rural hospitals that better reflect the true cost of providing care the Medicare beneficiaries. A total of just 20 hospitals from six states were selected to participate in the program.

“We are fortunate to be one of the 20 hospitals selected nationwide,” said Ed Smith, St. Anthony VP & CFO. “This program will ensure that St. Anthony is able to continue to provide quality healthcare services to the Carroll area. It will provide crucial funding to St. Anthony to correct the underpayment of inpatient operating and capital costs that have been underpaid by Medicare.”

The Rural Community Hospital Demonstration Program was originally authorized in 2003 in response to the financial concerns of small, rural hospitals that are too large to qualify as Critical Access Hospitals. The Affordable Care Act reauthorized the program for an additional five years, allowing the 20 most rural states to participate.

St. Anthony submitted the program’s complex application in mid-October and received the news of being accepted to participate in the program this week. In qualifying for the program’s increased Medicare reimbursement, hospitals are expected to use the additional funding toward creating strategies to decrease the cost of healthcare while improving the quality of care.

According to CMS, the Demonstration Program is aimed at increasing the capability of the selected rural hospitals to meet the needs of their service areas. To accomplish the goals of improved efficiency and clinical outcomes, hospitals in the program are being asked to participate in initiatives that will enhance efficiency and quality as a condition of participation.

 St. Anthony is reviewing the terms and conditions of the project, and identifying the actual impact on St. Anthony services. Gary Riedmann, hospital president, says, “St. Anthony looks forward to participating in this important program and believes it will significantly help us meet the healthcare needs of our region. We believe it will improve quality care for our patients and support our efforts to become more efficient.”

The Demonstration project will begin July 1, 2011 and last for five years.


St. Anthony Regional Hospital & Nursing Home
311 S. Clark
Carroll, IA 51401