Healthcare Innovation August 1, 2024
Provider associations criticize CMS’s Inpatient Prospective Payment System payment update
On Aug. 1, the federal Centers for Medicare & Medicaid Services (CMS) announced its final rule for Medicare fiscal year 2025 Hospital Inpatient Prospective Payment System (IPPS) payment. As the fact sheet for the announcement of the final rule explained, “The increase in operating payment rates for general acute care hospitals paid under the IPPS that successfully participate in the Hospital Inpatient Quality Reporting (IQR) program and are meaningful electronic health record (EHR) users is 2.9 percent. This reflects a projected FY 2025 hospital market basket percentage increase of 3.4 percent, reduced by a 0.5 percentage point productivity adjustment. If hospitals fail to successfully participate in the report to IQR...