Staff Contact: Andrew Wheeler
CMS released the proposed Medicare Inpatient and LTCH PPS payment and policy updates for FY 2025. CMS estimates that IPPS payments will increase $6.2 billion, which consists of $560 million more in Medicare DSH uncompensated care payments and market basket increase of 2.6%. CMS estimates that LTCH payments will increase 1.2% or $26 million. Other proposals include a request for information about the use of Medicare IPPS payment rates for maternity care by other payers, changes to wage index, updates to labor market areas and changes to the quality programs. MHA soon will publish an issue brief with additional information.