Medicare IPPS

CMS proposes payment increases for IPPS hospitals and LTCHs

April 11, 2024 - CMS has proposed a 2.6 percent payment rate increase for acute care hospitals paid under the inpatient prospective payment system (IPPS) in FY 2025. The payment update reflects a hospital market basket percentage increase of 3.0 percent and a 0.4 percentage point reduction for productivity. IPPS hospitals that successfully participate in the...

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Inpatient Providers Will Receive 3.1% Reimbursement Increase in FY24

by Victoria Bailey

CMS has increased Medicare payment rates for inpatient providers and long-term care hospitals (LTCHs) in the fiscal year (FY) 2024 Medicare hospital inpatient prospective payment system (IPPS) and LTCH...

AHA Decries Inpatient Prospective Payment System Update

by Jacqueline LaPointe

The proposed market basket update in the Inpatient Prospective Payment System (IPPS) for the 2024 fiscal year (FY) is “woefully inadequate,” according to the American Hospital Association...

CMS Releases FY24 IPPS Proposed Rule, Seeks to Boost Rates by 2.8%

by Jacqueline LaPointe

CMS has released a proposed rule for the fiscal year (FY) 2024 Inpatient Prospective Payment System (IPPS). The proposed rule would update hospital payment rates by 2.8 percent next fiscal year and...

CMS Releases FY23 IPPS Rule, Boosts Hospital Reimbursement by 4.3%

by Jacqueline LaPointe

CMS has released the Inpatient Prospective Payment System (IPPS) rule for fiscal year (FY) 2023, increasing hospital reimbursement by 4.3 percent and making good on promises to advance health equity....

Hospitals Press CMS to Rethink Proposed FY23 Medicare IPPS Rates

by Jacqueline LaPointe

Medicare inpatient reimbursement cuts slated to take effect in the 2023 fiscal year would threaten access to care at hospitals, which are already facing substantially higher costs because of the...

AHA Responds to Proposed FY23 Hospital IPPS Payment Updates

by Victoria Bailey

The American Hospital Association (AHA) has asked CMS to make several adjustments to the proposed Hospital Inpatient Prospective Payment System (IPPS) payment updates for fiscal year 2023, including...

CMS Proposes $1.6B Increase in IPPS Payment Rates for FY23

by Victoria Bailey

CMS has released its Hospital Inpatient Prospective Payment System (IPPS) proposed rule for fiscal year 2023, which includes a payment rate boost for general acute care hospitals and new measures...

AHA Asks CMS to Amend Residency Slot Distribution in IPPS Final Rule

by Victoria Bailey

The American Hospital Association (AHA) has asked CMS to reconsider its methodology for distributing residency slots to teaching hospitals, which the agency finalized in the hospital inpatient...

OIG: CMS Should Remove IPPS New Hospital Capital Cost Exemption

by Jill McKeon

A recent Office of Inspector General (OIG) audit recommended that CMS remove the inpatient prospective payment system (IPPS) new hospital capital cost exemption, which in recent years resulted in new...

IPPS Final Rule Bumps Hospital Reimbursement, COVID-19 Rates

by Jacqueline LaPointe

CMS has finalized an approximate $2.3 billion increase in hospital payments next year, including a 2.5 percent bump for hospital reimbursement rates under Medicare’s Inpatient Prospective Payment...

AHA’s Recommendations for Inpatient Medicare Reimbursement in FY22

by Jill McKeon

The American Hospital Association (AHA) released comments on CMS’s FY 2022 Inpatient Prospective Payment System (IPPS) proposed rule, which would increase inpatient Medicare reimbursement rates...

CMS Proposes $2.5B IPPS Rate Hike, With Eye on Rural, Health Equity

by Jacqueline LaPointe

CMS is proposing to increase Medicare hospital inpatient rates by $2.5 billion next fiscal year, in addition to bolstering the rural healthcare workforce and health equity reporting. The rate increase...

OIG: Direct Wage Index Increases to Low-Margin Rural Hospitals

by Jacqueline LaPointe

Rural hospitals struggling the most financially are not benefitting from a Medicare reimbursement adjustment meant to help providers paying the lowest wages to their employees, according to a new...

Most Facilities in Hospital Readmissions Reduction Program Penalized

by Jacqueline LaPointe

The majority of facilities participating in the Hospital Readmissions Reduction Program (HRRP) in fiscal year (FY) 2021 have been penalized for readmitting too many patients according to CMS...

Closer Look at the Inpatient Prospective Payment System Final Rule

by Jacqueline LaPointe

Yesterday, CMS unveiled the highly anticipated Inpatient Prospective Payment System (IPPS) final rule for the 2021 fiscal year (FY). Chief among the rule’s updated policies is a 2.9 percent...

CMS Finalizes FY 2021 Inpatient Prospective Payment System Rule

by Jacqueline LaPointe

UPDATE 09/03/2020: For an in-depth analysis for the FY 2021 IPPS final rule, click here. CMS recently released the final FY 2021 Medicare Hospital Inpatient Prospective Payment System (IPPS) and...

CMS Updates Medicare Billing Rules for 20% Add-On COVID-19 Payment

by Jacqueline LaPointe

Claims eligible for the 20 percent add-on payment for COVID-19 hospitalizations will now have to have a positive laboratory test documented in the patient’s medical record, according to recent...

CMS Provides Medicare Wage Index Data for Reclassification

by Jacqueline LaPointe

UPDATE 08/24/2020: CMS has extended the deadline for hospitals to apply for reclassification of their Medicare wage index area for FY 2022 from Sept. 1, 2020, to 15 days after it releases the...

AHA Slams CMS for Advancing Hospital Price Transparency Rule

by Jacqueline LaPointe

A leading hospital group criticized CMS for its latest efforts to move forward with hospital price transparency requirements that will require hospitals to disclose their privately negotiated rates to...

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