CMS raises payment to inpatient psychiatric facilities 2.2% in final 2017 rule
CMS is also updating wage index values, which has seen some inpatient psychiatric facilities change status from rural to urban.
Inpatient psychiatric facilities payments will increase by 2.2 percent, or $100 million next year, the Centers for Medicare and Medicaid Services said in releasing its 2017 rates for the Inpatient Psychiatric Facilities Prospective Payment System.
CMS is also updating wage index values, which has seen some inpatient psychiatric facilities change status from rural to urban.
Fiscal 2016 represented a transition year in which CMS implemented a policy to gradually phase out the rural adjustment for these inpatient psychiatric facilities over three years.
[Also: CMS proposes payment rule for inpatient stays, long-term care]
The affected facilities received two-thirds of the rural adjustment in 2016, will receive one-third of the rural adjustment for 2017 and no rural adjustment for 2018 and subsequent years, CMS said.
For the Inpatient Psychiatric Facilities Prospective Payment System, amounts reflect a 2.8 percent market basket update less the productivity adjustment of 0.3 percent and less the 0.2 percentage point reduction required by law, for a net market basket update of 2.3 percent, CMS said.
Additionally, estimated payments to inpatient psychiatric facilities are reduced by 0.1 percent due to updating the outlier fixed-dollar loss threshold amount.
Twitter: @SusanJMorse
