Phase 1: Enactment & build · Step 1.8

Set hospital global budgets

Months 6–18; annual negotiation thereafter · UHA regional offices; Payment Rates BoardDiscuss this step

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Task 1.8.3 of 7

Set volume corridors: budgets adjust up if volume rises more than 3% (to avoid rationing) and down if it falls more than 3%.

Who does it

Rates Board

When

Month 9

Trade-off

Volume corridors prevent rationing but weaken the budget's cost control when demand surges.

Part of: Set hospital global budgets

Each hospital gets an annual operating budget covering all UHP patients, negotiated with its regional office. In aggregate, hospital spending goes from $1.63T to $1.62T (price effect −$69.9B, utilization +$51.5B).

This step changes 7 existing laws, programs, or institutions. See the list.