Document bavq3xv9ednJKGR5rLkNN9mJ0
M_E_M 0 R A N D U U June 13, 1946
DR. ARMST DR. UOtUr
uiIVIT2Xi Ocrc^^_iBiiCuimsjm77i
After eur Nursing Conference yesterday, Ulaa Baupt showed ne the file that ahe has collected'of ell the asnoranda commenting upon the pro posed community ret* heals for reimbursing nursing associations. This vea the first time I bed seen the written consent of others in which they raise questions we here often reviewed Is the pest.
A hasty review of our files has produced the attached naterial which gives soae idea of the consideration we (and also the John Hancock) have previously given to varloua methods of pavaeqt to nursing associ
ations. Sons of these eethods say be suunarized as follows t
1. Feynent at a fired monthly rate based on policies In force,
j 2. Paynent at a aonthly rate based on ratio of visits reported
I as eonpared with visits expected.
j 3. Paynent of a fixed percent of organization's
budget.
4. Paynent at cost per case, oost per hour, etc.
' 5. Paynent at cost per visit based on average salary plus a
fixed rate of overhead.
6. Paynent at cost per visit based on average visit production.
7. Paynent at cost per visit based on visits weighted eoeording
to type.
8. Paynent according to standing of the association as regards
quality of ssrviee.
9. Paynent on the heels f thsifee charged to 1&#. eomnmlty.
10. Various oonbinations of the-foregoing.
Among the problens we have considered in the put is our
nw
paynent end our ability to demonstrate that we have received equivalent
value In terns of specific service -rendered to policyholders. Our expe
rience with the Prepayment -wi prwido an excellent gauge of what ney
happen when ww dispense with a unit of neasure for our paynent. Our ex
perience with ---r<n
ridw similarly demonstrates the difficulty of
observing a fixed Unit whether it'be based on a rate per visit or the gross
payment.
Without definite eantrnla on the eomnity rate we agree to pay, I beUeve
we will be confronted with similar problems, sons petty but otheaof consid
erable importance. These should be kept In
in our further discussion
of the subject with Hiss Nelson.