CMS Updates to Medicare Inpatient Psychiatric Facility Services

CMS just published its final rule that updates the fiscal year (FY) 2019 rates and policies for Medicare Inpatient Psychiatric Facility (IPF) services.

This final rule updates the prospective payment rates, the outlier threshold, and the wage index for Medicare inpatient hospital services provided by Inpatient Psychiatric Facilities (IPFs) for discharges occurring during the Fiscal Year (FY) beginning October 1, 2018 through September 30, 2019. Additionally, this final rule makes technical corrections to the IPF regulations and updates the Inpatient Psychiatric Facilities Quality Reporting (IPFQR) Program.
In this final rule, CMS estimates there will be an increase in payments by a total of $50 million (1.1%) compared to FY 2018 levels. Also note that while CMS proposed to remove eight IPFQR measures, as a result of the public comments CMS received, CMS is retaining three of the measures.
These measures include activities linked to the following three activities:
  • Physical Restraint Use,
  • Seclusion Use, and
  • Tobacco Use Treatment at Discharge.
Be prepared for October’s implementation and confirm with your clearinghouse or internal billing department for procedural changes with claims submission, activities linked to measure reporting, and revenue cycle management processes to track new payment rates.
SAE assists providers with processes and operational changes to stay current and viable in the integrated health care landscape. To learn about SAE’s operational work, go to “Agency Transformation” under the SERVICES tab of our website.