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CMS Proposes Repeal of Certain Cost Reporting Requirements from the IPPS Final Rule for 2021 | Sheppard Mullin Richter & Hampton LLP

[co-author: Jarrod Brodsky ] On April 27, 2021, the Centers for Medicare and Medicaid Services (“CMS”) released the Hospital Inpatient Prospective Payment System (“IPPS”) and Long-Term Care Hospital (“LTCH”) unpublished Proposed Rule for 2022 (“Proposed Rule”). The Proposed Rule, if enacted, would eliminate the requirement from the Hospital IPPS and LTCH Final Rule for 2021 (“IPPS Final Rule for 2021”), as discussed in our September 11, 2020 blog post, that hospitals report the median payer-specific negotiated charge with Medicare Advantage (“MA”) payers, by MS-DRG, on its Medicare cost reports for cost reporting periods ending on or after January 1, 2021. CMS estimates that this will reduce the administrative burden on hospitals by approximately 64,000 hours.

CMS worked to keep hospital payments as steady as possible in inpatient rule

Photo by Helen King/Getty Images Healthcare experts, such as Caitlin Sheetz, director and head of Analytics for ADVI, are still combing through everything in the Center for Medicare and Medicaid Services Hospital Inpatient Prospective Payment System and Long Term Care Hospital proposed rule released last week. There s much for hospitals to like, as the inpatient rule stabilizes reporting requirements to pre-COVID-19 levels and extends add-on payments for 14 technologies. Everybody for the most part is pleased, Sheetz said, though it s still too early to know what hospitals will be submitting as comments to CMS, due June 28. One aspect that has gotten the attention of providers is CMS s repeal of the reporting mandate having to do with hospitals disclosing their privately-negotiated rates with insurers.

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