We use this data along with State demographic data and other data to estimate the effect of nursing home payment schemes on the real Medicaid payment rate and the percent change in the Medicaid payment rate.
As discussed in the FY 2016 Hospice Wage Index and Payment Rate Update final rule (80 FR 47183), CMS implemented changes required by the Improving Medicare Post-Acute Care Transformation Act of 2014 (Pub.
Using Medicare cost reports from freestanding hospices, GAO determined that the per diem payment rate for all hospice care was about 8 percent higher than the estimated average per diem cost of providing care in 2000, and over 10 percent higher in 2001.
When CMS formulated payment rates for 2003, its methodology was inconsistent with the 2002 Medicare hospital outpatient prospective payment system (OPPS) that was supposed to gradually decrease beneficiary cost sharing to 20% of the payment rate for each hospital outpatient service, the letter says.
There might be analogous responses to increases in real fees, in that the costs of a payment rate increase might be partly offset by a decrease in volume (observed as a temporary slowing in the normal rate of growth).