Design of a prospective payment patient classification system for ambulatory care richard f averill ms norbert i goldfield md mark e wynn phd thomas . Background this analysis is especially timely because congress has mandated that the health care financing administration hcfa design a prospective payment system for ambulatory surgery to be implemented in 1990. The ambulatory patient groups apgs are a patient classification system that was developed to be used as the basis of a prospective payment system pps for the facility cost of outpatient care. A prospective payment system pps is a method of reimbursement in which medicare payment is made based on a predetermined fixed amount the payment amount for a particular service is derived based on the classification system of that service for example diagnosis related groups for inpatient hospital services. Prospective payment system a healthcare payment system used by the federal government since 1983 for reimbursing healthcare providers agencies for medical care provided to medicare and medicaid participants
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