Skilled nursing facilities will get an estimated $670 million boost in Medicare payments during fiscal year 2013 through the updated market basket rate, the Centers for Medicare & Medicaid Services (CMS) announced last Friday.
The prospective payment system (PPS) update for skilled nursing provides a 1.8% increase to the market basket rate for 2013, for an estimated economic impact of $670 million in increased payments to skilled nursing facilities that year.
Inpatient rehabilitation facilities will get a 1.9% increase to the market basket rate for 2013, resulting in an overall estimated economic impact of $140 million in increased payments during the fiscal year.
The updated payment rates, effective October 1, 2012, slightly reverse the average 11.1% cuts to Medicare reimbursements to SNFs that went into effect last October, shocking many industry players.
“After years of reimbursement volatility, today’s update to Medicare payments is welcome news to skilled nursing providers. AHCA appreciates CMS’ balanced approach to this year’s Medicare payment system after recognizing the many rounds of government reductions the profession has already endured,” said Mark Parkinson, president and CEO of nursing home trade group the American Health Care Association. “Stable Medicare funding will help ensure America’s seniors continue to have access to high quality, post-acute care.”
The PPS update notice for SNFs also provides more information on consolidated billing and touches on various other topics. It can be viewed here.
Written by Alyssa Gerace