Medicare is taking the maximum 1% penalty from 307 of 2,217 hospitals identified as having readmission rates that are too high as part of the Affordable Care Act's push to rein in Medicare spending increases and prevent unneeded care. Readmission penalties have captured the attention of hospitals, many of which are attempting to enhance supervision after discharge. Readmissions should be regarded as a challenge to conquer, said Dr. Harlan Krumholz of Yale-New Haven Hospital's Center for Outcomes Research and Evaluation.