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How Hospitals can Prepare for the New MS-DRGs

The Centers for Medicare & Medicaid Services’ changes to Medicare are the most important since diagnosis related groups were introduced in 1983. CMS added 207 DRGs and replaced the two-tiered severity-adjustment system with a more complex three-tiered approach. This article assesses the financial impact and the implications of documenting “present on admission” conditions and shows how hospitals can maintain coding staff productivity.

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