Other fields do this regularly - hospitals often organize their physicians into a distinct staffing org, for instance. Hospitals do this in the opposite direct

Other fields do this regularly - hospitals often organize their physicians into a distinct staffing org, for instance. Hospitals do this in the opposite direction. If you're in the suburbs a metro area (where cost indexes are higher, so Medicare reimburses at a higher rate), you try to make your own expenses look higher to convince CMS to include your hospital into the same cost index as the metro area itself. One tool to do this is to separate out unskilled workers (housekeeping and the like) into a separate corporation, thus moving the average pay rate higher. Source: wife managed Medicare and Budget at a large hospital just outside of the NYC area, and did exactly this.