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An Analysis and Commentary on Federal Health Care Issues by Larry Goldberg

Proposed FY 2020 Medicare IPPS and LTCH Update Released

The Centers for Medicare and Medicaid Services (CMS) have released an extensive and very lengthy proposed rule to update both the Hospital Inpatient Prospective Payment System (IPPS) and the Long-Term Care Hospital (LTCH) Prospective Payment System for fiscal year (FY) 2020.

Among many items, the proposal addresses the following issues; (1) the hospital market basket increase; (2) the MS-DRG documentation and coding increase; (3) revisions to the calculation of the area wage index; (4) new technology add-on payments; (5) Medicare uncompensated carepayments; (6) hospital-acquired conditions; (7) the hospital readmission program; (8) the hospital inpatient quality reporting system (9) the hospital value-based purchasing program; (10) the Medicare and Medicaid promoting interoperability programs; (11) and changes to the LTCH system.

The document is currently on public display at the Federal Register office and is scheduled for publication May 3rd. A display version is available at: https://s3.amazonaws.com/public-inspection.federalregister.gov/2019-08330.pdf.

The IPPS tables are available through the on the CMS website at: http://www.cms.hhs.gov/Medicare/Medicare-Fee- for-Service-Payment/AcuteInpatientPPS/index.html. Click on the link on the left side of the screen titled, “FY 2020 IPPS Proposed Rule Home Page” or “Acute Inpatient—Files for Download.”

The LTCH PPS tables are available at: http://www.cms.gov/Medicare/Medicare-Fee-for-Servi... under the list item for Regulation Number CMS-1716-P.

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