CHA News

CMS Approves 2019-21 Hospital Fee Program

For CEOs, CFOs

This post has been archived and contains information that may be out of date.

Earlier this week, the Centers for Medicaid & Medicare Services (CMS) approved the final components of the 2019-21 Hospital Fee Program package, which were submitted on Sept. 30, 2019. This approval comes after much hard work, negotiation, and collaboration between CHA, our constituent hospital associations, and the Department of Health Care Services (DHCS).

The 2019-21 Hospital Fee Program (CHA Model) — which runs from July 1, 2019, through Dec. 31, 2021 — will provide California’s hospitals a net benefit of approximately $10.4 billion over the 30-month period.

What’s next?

  • Over the next week: DHCS is expected to finalize the implementation schedule for the 2019-21 Hospital Fee Program.
  • By Wednesday, March 11: CHA will distribute individual schedules to every hospital participating in the 2019-21 Hospital Fee Program, which will include the timing and estimated amounts associated with every fee-for-service (FFS) and managed care cycle.
  • By Friday, March 20: DHCS will distribute all of the invoices associated with the first four quarterly FFS cycles.
    • The fees associated with the first FFS cycle are expected to be due the week of April 13.

Additional details and information are available in the CMS approval letters: