CMS has issued the final rule, “Medicare Program; FY 2022 Hospice Wage Index and Payment Rate Update, Hospice Conditions of Participation Updates, Hospice and Home Health Quality Reporting Program Requirements”.
This final rule:
- Updates the hospice wage index, payment rates, and aggregate CAP amount for Fiscal Year 2022. Makes changes to the labor shares of the hospice payment rates, including the calculation,
- Finalizes clarifying regulations text changes to the election statement addendum that was implemented on October 1, 2020,
- Makes permanent selected regulatory blanket waivers that were issued to Medicare-participating hospice agencies during the COVID-19 public health emergency (“PHE”),
- Updates the hospice conditions of participation, and
- Updates the Hospice Quality Reporting Program and finalizes changes beginning with the January 2022 public reporting for the Home Health Quality Reporting Program to address exceptions related to the COVID-19 PHE.
CMS arrived at the following proposed labor shares by level of care, as compared with current labor shares:
Continuous home care 75.2%, currently 68.71%
Routine home care 66.0%, currently 68.71%
Inpatient respite care 61.0%, currently 54.13%
General inpatient care 63.5%, currently 64.01%
Many comments were submitted to the proposed rule relating to the change in the determination of the labor component and the computation of the labor component. CMS made little change as a result of the comments; however, they did make modification for Contracted Physician Administrative and Nursing Administration services.
Final rates for FY 2022 are as follows, which were adjusted by a 2% factor from FY 2021:
Description FY 2021 FY 2022
Payment rates Payment rates
Routine Home Care
(days 1-60) $199.25 $203.40
Routine Home Care
(days 61+) $157.49 $160.74
Continuous Home Care
Full Rate = 24 hours of care $1,432.41 $1,462.52
($60.94 per hour)
Inpatient Respite Care $461.09 $473.75
General Inpatient Care $1,045.66 $1,068.28
The hospice CAP amount for the FY 2022 CAP year will be $31,297.61, which is equal to the FY 2021 CAP amount ($30,683.93) updated by the FY 2022 hospice payment update percentage of 2.0 percent.
2021-16311.pdf (federalregister.gov), Federal Register :: Public Inspection: Medicare Program: FY 2022 Hospice Wage Index and Payment Rate Update, Hospice Conditions of Participation Updates, Hospice and Home Health Quality Reporting Program Requirements
LIMITED SPOTS REMAIN FOR HOSPICE FINANCIAL MANAGEMENT ACADEMY
The Hospice Financial Management Academy, scheduled for Paris Hotel & Casino Las Vegas on September 13-14, 2021, has very few spots remaining. Additional information, including registration and hotel reservations, is available here.