CMS finalizes small payment update for home health agencies

CMS issued its final 2023 rule for the home health prospective payment system, according to an Oct. 31 article on the American Hospital Association website.

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The new rule will increase home health payments by a net 0.7 percent, or $125 million, in 2023. It also includes a cut to all payments of 7 percent to achieve budget neutrality for the patient-driven groupings model on a prospective basis. The budget-neutrality cut will phase in over two years, meaning half of the cut, or 3.5 percent, will be implemented in 2023.

CMS also finalized its proposal to require home health agencies to report all-payer patient assessment data but will provide a grace period until 2025, through which a penalty will not be enforced, according to the article.

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