tci Medicare Compliance & Reimbursement - 2005 Issue 33

REHAB: Rule Reduces IRF Outlier Thresholds

...but it will also cut standard payments.Good news for inpatient rehab facilities: The Centers for Medicare and Medicaid Services has cut the IRF outlier threshold amount in half - but facilities will also see a 1.9 percent across-the-board reduction in standard payment amounts in fiscal year 2006.CMS issued its final rule on Aug. 1, which outlines FY 2006's policy and payment-rate changes for IRFs. The final rule provides a 3.6 percent market-basket increase - 0.5 percentage points higher than the increase CMS projected in its proposed rule.The outlier threshold for unusually costly cases...

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