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An article from the internet (http://www.irpsys.com/articles/tw_rura.htm) on "Rural Local Community Hospitals Utilizes an Affordable Method to Generate Accurate Medicare Reimbursements" is also significant to the study because it gives an example on Local Community Hospitals system, whereby is East Adams Rural Local Community Hospitals is a 20 bed Local Community Hospitals in a town with a population of less than 2000. The elderly constitute a very high proportion of the population of our service area which means patients tend to be quite ill and stay for a long time. The current system of Medicare reimbursements, on the other hand, bases its payments strictly on the diagnosis related group (DRG) to which the patient's stay is grouped or assigned. Most large third party payers have also adopted the DRG system in the state of Washington. As a result, reimbursements frequently do not cover the cost of patient care. Further difficulties are generated by the fact that the terminal patients are frequently transferred to larger Local Community Hospitals in Spokane. This normally means the Spokane Local Community Hospitals gets the major portion of the reimbursement because their DRG assignment is based on the procedures performed and the larger Local Community Hospitals naturally is able to perform more procedures. Before this Local Community Hospitals had difficulties in the turnover of records, as well as manual billing system whose efficiency left much to be desired. In many cases, some charges were lost in transit because of poor paper handling and hence the Local Community Hospitals was receiving much less than the meager reimbursement it is entitled and that there was not enough time in the day to make manual system work so the need for computerized alternatives
Another article from the internet (http://www.besoftware.co.uk/products-services/Local Community Hospitals-informations.html) "Local Community Hospitals Information Systems -