2019 Proposed Rules IPPS Presentation

An Analysis and Commentary on Federal Health Care Issues by Larry Goldberg

Proposed FY 2019 IPPS Update

MB is 2.8 percent – Offsets: -0.8% for productivity -0.75% for ACA mandate • Subtotal = 1.25 percent increase +0.5 for documentation and coding per 21st Century Cures Act and MACRA Net Increase 1.75%

CMS says overall increase of update factors to be 2.1percent – increase is 1.75 percent???? Others would add 1.3 percent Uncompensated Care Capital Low volume Final Increase 3.4 percent Increase of $4 billion Bottom line – it’s still a numbers game

Other major factor reduction items VBP = 2.0 percent to all -- $1.9 billion (budget neutral) HAC = 1.0 percent 25 worst [802 hospitals] Readmissions = up to 3.0 percent [2,610 hospitals] DSH = $1.483 billion increase over FY 2018

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