Abstract
Background: Since the OIG report in July 2013 and issuance of the 2MN rule in August of 2013 there have been clarifications and changes in the regulations as they pertain to Observation status. Hospitals are challenged to meet financial and value indicators with these regulations. Segregating Observation patients was one solution to manage this challenge.|Objective:The purpose of this retrospective comparative design study was to explore the effect of segregating observation patients on the overall length of stay (LOS) and Observation LOS over a 10-month period.|Methods: The retrospective comparative design utilized a convenience sample of patients admitted to the facility from June-April 2016-17 to conduct a baseline assessment of overall acute care and Observation patient LOS and compare with post intervention (segregated Observation unit).|Results: Data analysis suggests that the effect of segregating Observation patients ranged from no change to a slight increase in LOS.|Conclusions: Segregating observation patients was not an effective strategy to manage LOS. The intervention had no effect and the investigator recognizes the financial and value indictors may not have had the sensitivity to detect a meaningful effect.