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CMS Announces Inpatient Psychiatric Facilities PPS Update
Proposal for FY 2018
The Centers for Medicare and Medicaid Services (CMS) have issued a proposal to update the Medicare Inpatient Psychiatric Facilities (IPFs) Prospective Payment System (PPS) for Fiscal Year (FY) 2019.
The rule is to be published in the May 8th Federal Register. A “display” copy of the 130-page document can currently be downloaded at: https://s3.amazonaws.com/public-inspection.federalregister.gov/2018- 09069.pdf. This link will change upon publication. A comment period ending June 26th is provided.
CMS says it estimates that the total impact of its proposed changes for
FY 2019 compared to FY 2018 will be a net increase of approximately
$50 million. This reflects a $60 million increase from the update to the
payment rates (+$130 million from the first quarter 2018 IGI forecast of
2.8 percent, -$40 million for the multifactor productivity adjustment of
0.8 percentage point, and -$30 million for another adjustment of 0.75 percentage point), as mandated
by the Affordable Care Act (ACA), as well as a $10 million decrease as a result of the update to the
outlier threshold amount. This results in a net increase of 1.25 percent.
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