CMS Releases the 2024 IPPS Final Rule

The Medicare 2024 Final Inpatient Prospective Payment Rule has been published.  Some notable changes for the upcoming year include:

  • 3.1% increase in operating payments for acute care hospitals (an increase from the proposed rule projection of 2.8%)
    • Individual hospitals may receive a 1% reduction for poor quality performance
    • Individual hospitals may receive reductions for excessive readmissions
    • Individual hospitals may receive additional positive or negative adjustments based on the Value-Based Purchasing Program
  • Expiration of the New COVID-19 Treatments Add-on Payment (NCTAP)
  • Revisions to quality reporting measures
  • Numerous ICD-10 and MS-DRG changes:
 # Added in 2024# Removed in 2024
ICD-10 Diagnosis Codes39525
ICD-10 Procedure Codes785
CC & MCC Conditions9711
Post-acute care transfer MS-DRGs20

We recommend reviewing the changes in their entirety and begin preparing for necessary updates and start the education and training process for your clinical and administrative staff.  

As a reminder, the ICD-10 changes become effective on October 1, 2023.

The Final Rule may be found here:

The Fact Sheet may be found here:

The Tables to the Final Rule may be found here:

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