BC Advantage - 2025 Issue 9

CMS Publishes the 2026 IPPS Final Rule

On August 1, 2025, the Centers for Medicare and Medicaid Services (CMS) issued the final rule to update Medicare payment policies and rates for Fiscal Year (FY) 2026 under the Inpatient Prospective Payment System (IPPS) and the Long-Term Care Hospital Prospective Payment System (LTCH PPS). This is part of CMS’s annual rulemaking that addresses reimbursement, policy, and quality reporting updates affecting inpatient and long-term care hospitals serving Medicare fee-for-service (FFS) patients.   Payment Rate Updates   Updated payment rates apply to:   IPPS (Acute Care Hospitals): Operating payment rates for acute care hospitals are to rise 2.6%...

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