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2017 Home Health Final Rule Released

On October 31, the Centers for Medicare & Medicaid Services (CMS) released the final rule for the home health prospective payment system (HH PPS) for calendar year (CY) 2017. This rule reduces HH payments by 0.7%. This net cut includes a 2.8% market-basket update and 0.3 percentage point cut for productivity, as mandated by the Affordable Care Act (ACA). It also applies the second of three planned 0.9 percentage point cuts to account for estimated case mix growth from CYs 2012 through 2014 that the agency states was unrelated to increases in patient acuity. In addition, the rule implements the final year of the four-year phase-in of the rebasing of this payment system, a 2.3% cut, as mandated by the ACA.

The final rule can be found at https://federalregister.gov/d/2016-26290

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