FFY 2017 Medicare IPPS Final Rule Analysis available, webinar planned

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The federal fiscal year (FFY) 2017 Medicare Inpatient Prospective Payment System (IPPS) Final Rule Analysis is intended to show members how Medicare inpatient fee-for-service (FFS) payments will change from FFY 2016 to FFY 2017 based on the policies adopted in the FFY 2017 IPPS final 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:

  • The final rate reduction amount (-1.5 percent) for the Coding Offset adjustment, as mandated by the American Taxpayer Relief Act of 2012 (ATRA)
  • Updates to the program rules for the Value-Based Purchasing (VBP) and Hospital-Acquired Condition (HAC) programs
  • Updates to the payment penalties for non-compliance with the Electronic Health Record (EHR) Incentive Program
  • Updates to the Medicare Disproportionate Share Hospital (DSH) payment policies, as mandated in the Affordable Care Act of 2010 (ACA)
  • Implementation of a notification process for Medicare patients placed in observation for at least 24 hours

This analysis does not include estimates for outlier payments, payments for services provided to Medicare Advantage (MA) patients (including Indirect Medical Education (IME) payments for MA patients), electronic health record incentive payments or modifications in FFS payments as a result of hospital participation in new payment models being tested under Medicare demonstration/pilot programs.

Save the Date: SDAHO will host a webinar from 2 to 3 p.m. CDT on Wednesday, Sept. 14, for members to more fully understand what was covered in both the IPPS final rule and analysis. WebEx registration specifics will be sent out at a later date. Please contact Gil Johnson, (605) 789-7527, with any questions regarding the impact analysis or WebEx registration