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Hospital Inpatient PPS Proposed Rule for FY 2017 Released

Hospital Inpatient PPS Proposed Rule for FY 2017 Released April 25, 2016

CMS released the proposed rule on April 18th to update payment policies and rates for inpatient stays at general acute care and long-term care hospitals (LTCHs).  Some of the proposed changes include:

  • Payment rate changes under IPPS
  • Rate adjustments for documentation and coding and the Two-Midnight policy
  • Payment changes for GME and IME hospitals with rural track training programs
  • New and revised requirements for quality reporting by specific providers participating in Medicare
    • Acute Care
    • PPS-exempt cancer hospitals
    • LTCH
    • Inpatient psychiatric facilities
  • Notification procedures for outpatients receiving observation services
  • Medicare uncompensated care payments
  • Electronic Health Record Incentive Programs and quality reporting
  • Hospital Acquired Conditions Reduction Program
  • Hospital Readmissions Reduction Program
  • Hospital Value-Based Purchasing Program

CMS is soliciting feedback and will accept comments until June 17, 2016.  The final rule will be issued August 1, 2016.  We encourage all hospitals to thoroughly review all the proposed changed and evaluate any potential implications they may have in your facility(ies).  To view the proposed rule in its entirety, go to:

DISCLAIMER:  This post contains only summary information and highlights; it should be read in conjunction with the full article or document provided as a link.  Any advice or recommendations given are general and specific questions should be directed to professional counsel.

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