CMS Finalizes Medicare Payment Rule for Hospitals, Focuses on Equity, Safety, and Innovation

HIT Consultant August 5, 2024
Fred Pennic

What You Should Know:

– The U.S. Department of Health and Human Services (HHS) announced the final rule for Medicare payments and policies for inpatient hospitals and long-term care hospitals (LTCHs) for fiscal year (FY) 2025.

– The FY 2025 IPPS and LTCH PPS rule focuses on improving health outcomes, addressing social determinants of health, strengthening emergency preparedness, and promoting value-based care.

Increased Payments and Addressing Social Determinants of Health

• Acute care hospitals meeting specific criteria will see a projected 2.9% increase in operating payment rates. This aims to reflect rising healthcare costs while promoting quality care.
• LTCH payments will also increase by 3.0%.
• The rule recognizes the additional resources needed to care for patients experiencing homelessness...

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