Volume 26.16
CMS recently published a statement stating: “We have discovered a technical error that affected the FY 2027 hospice wage index. As a result of this technical error, we have recalculated the FY 2027 hospice wage index values for all core-based statistical areas (CBSAs) and rural areas which required updates to the wage index standardization factors, and subsequently, the national payment rates for each level of hospice care.”
CMS is in the process of developing a correction notice to update the wage index and hospice payment rates for all four levels of care. This will not require another proposed rule.
MODEL ELECTION STATEMENT REVISED BY CMS
CMS has posted a revised model election statement and election statement addendum. The revisions reflect the change from the addendum being furnished upon request to being furnished for every Medicare hospice election made on October 1, 2026, and after. Hospices may use their own forms provided they meet all content requirements found here, as amended by the FY 2027 hospice payment rate update final rule. Amendments can be found here.
AI AND THE IDENTIFICATION OF POTENTIAL FRAUD AND ABUSE
Be advised, in February 2026, CMS proposed the use of a new AI enforcement tool to identify potential instances of fraud, waste, and abuse. The Comprehensive Regulations to Uncover Suspicious Healthcare (CRUSH) proposal was included in a Request for Information (RFI). The initiative would consider the use of data analytics to track billing claims and enrollment in tandem with law enforcement, among other provisions.
CRUSH is only one example of where regulators may be headed in terms of AI regulatory tools. The proposal is available here.
HOSPICE FINANCIAL & COMPLIANCE MANAGEMENT CONFERENCE IS SOLD-OUT
The 2026 Hospice Financial & Compliance Management Conference is completely sold out. If you have an interest in attending, please contact us at conference@healthgroup.com. Should a registrant cancel, we would be pleased to contact you regarding the open space. Information regarding the program is available here.
We look forward to spending time with those who have registered. Registrants with any special needs are encouraged to contact us.