CMS releases final rule for FY 2007 IPPS
CMS releases final rule for FY 2007 IPPS
On August 1, the Centers for Medicare & Medicaid Services (CMS) issued a final rule regarding the hospital inpatient prospective payment system for FY 2007 that differs substantially from the proposed rule released earlier this year.
According to CMS, the payment reforms included in the final rule will "align hospital payments more closely with the costs of a patient's care by using hospital costs rather than charges, and by accounting more fully for the severity of the patient's condition."
The transition from using charges to using hospital costs to set payment will be phased on over three years, beginning Oct. 1, 2006.
With regard to severity-adjustment, in 2007, CMS will add 20 new groups to the current DRG system.
"In preparation for FY 2008, CMS will conduct an evaluation, with public input, of alternative systems for more comprehensive severity adjustment as a prelude to making more comprehensive changes to better account for severity in the DRG system by FY 2008. In selecting an alternative to the current system, CMS will require that hospital stakeholders have easy access to the new system," according to CMS statement.
On August 1, the Centers for Medicare and Medicaid Services (CMS) issued a final rule regarding the hospital inpatient prospective payment system for FY 2007 that differs substantially from the proposed rule released earlier this year.Subscribe Now for Access
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