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CMS proposes $375M reimbursement cut to home health agencies

5 Jul 2023 2:22 PM | Deborah Hodges (Administrator)

Update ...

The CMS is proposing to cut Medicare reimbursements to home health agencies by 2.2% next year, or $375 million less than providers received in 2023, according to draft regulation released Friday. [Healthcare Dive]

The agency said the proposed rule includes a 2.7% payment bump that’s offset by a 5.1% cut related to the Patient-Driven Groupings Model, which aimed to better sort patients into different payment categories by clinical need, and other factors.

The reimbursement changes also reflect an estimated 0.2% increase due to an updated fixed-dollar loss ratio, according to regulators.

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