What’s happening: CHA DataSuite issued a hospital-specific analysis of the federal fiscal year (FFY) 2025 Medicare inpatient prospective payment system (IPPS) proposed rule.
What else to know: The analysis is intended to show hospitals how Medicare fee-for-service payments would change from FFY 2024 to FFY 2025 based on the policies set forth in the proposed rule.
The analysis compares the year-over-year change in operating, capital, and uncompensated care IPPS payments and includes breakout sections that provide detailed insight into specific policies that influence IPPS payment changes, including:
- Impact of changes to index, including hospitals eligible for receiving the rural floor, the rural floor budget neutrality that is applied to wage indexes, and changes due to the proposed core-based statistical area delineation updates
- Impact of the Centers for Medicare & Medicaid Services’ (CMS) adjustment to the wage index of hospitals in bottom quartile of wage index values nationally to reduce wage disparities
- Year-over-year impact of CMS’ 5% cap on wage index decreases from FFY 2024
- Quality-based payment adjustments
- Potential payment penalties under the inpatient quality reporting and electronic health record incentive programs
- Disproportionate share hospital uncompensated care payments
Comments on the proposed rule are due to CMS by June 10 and can be submitted electronically.
CHA members are invited to register for a members-only webinar on the FFY 2025 IPPS proposed rule on May 15 at 9:30 a.m. While this event is complimentary to CHA members, registration is required.
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