Home Health & Hospice Week

Budget:

Year-End Budget Legislation Could Contain Presents For HH, Hospice — Or Lumps Of Coal

Major hospice cap cut, possible home health relief are in play.

The end of most years brings a flurry of holiday events, scheduling headaches — and potential reimbursement boosts or drops for Medicare providers via a federal budget package for the following year. This year, the stakes appear to be particularly high for home health and hospice agencies.

At press time, the scope of budget legislation was still in dispute, but at least a minimum effort to avoid a government shutdown was expected — and likely more.

For hospices: “As is often the case with large, year-end spending bills, there are many programs and policies Congress wants to ‘stuff in’ to an omnibus funding package before the close of the year,” the National Association for Home Care & Hospice notes in its member newsletter. “To pay for all these priorities, lawmakers must identify ‘offsets’ to fund them. A significant reduction of the hospice aggregate cap, as has been recommended by [the Medicare Payment Advisory Commission] in the past, is being considered for one such ‘offset,’” the trade group warns.

In this year’s report to Congress issued in March, MedPAC recommended a 20 percent cut to the hospice cap amount, plus a rate freeze for 2023 (see HHHW, Vol. XXXI, No. 10).

Hospices need “to tell Congress that cutting the cap in a major and rushed way is bad policy,” NAHC urges.

While MedPAC claims the cap cut will address hospices that are bad actors, instead the Centers for Medicare & Medicaid Services needs to crack down on the compliance front, industry representatives say.

NAHC, the National Hospice and Palliative Care Organization, LeadingAge, and the National Partnership for Healthcare and Hospice Innovation recently sent CMS Administrator Chiquita Brooks-LaSure a letter urging the agency to take “decisive action to maintain the integrity of the benefit through imposition of temporary moratoria on the admission of new agencies in select areas of the country,” according to the letter.

“We believe that targeted moratoria and similar actions directed toward high-risk providers could serve as a valuable means for blocking or eliminating from the hospice program those who engage in improper, unethical, and potentially illegal activities that harm patients and families and taint the reputation of the broader hospice provider community,” the groups say in the letter.

Bad timing: Unfortunately, these budget decisions are being made right when nonprofit news outlet ProPublica has published a scathing article on for-profit hospices, “Endgame: How the Visionary Hospice Movement Became a For-Profit Hustle.”

The piece “gives readers an inaccurate view of the Medicare hospice benefit” and “utilizes a few instances of abuse by bad actors to assert that hospice has lost its way,” NAHC criticizes. “While we condemn fraudulent or abusive behavior, the vast majority of hospice providers remain true to its historic mission of providing comfort and relief from suffering to individuals at the end of life and support to their loved ones,” the trade group maintains.

CMS should take “meaningful action,” against fraud and abuse in the industry, including increasing survey frequency, NAHC urges in its newsletter.

“Articles of this type may unwittingly discourage use of hospice care, thereby denying terminally ill patients and their families access to vital services that support and comfort them during and in the aftermath of one of life’s most difficult journeys,” laments NAHC President William Dombi.

For HHAs: Home health advocates among lawmakers are working to include home health-related legislative language in the year-end budget package, NAHC also reports. It would “suspend the behavioral adjustment rate cut to give Congress time to address the complex issues presented by the new payment model,” even just for one year, the trade group says.

Note: The ProPublica article is at www.propublica.org/article/hospice-healthcare-aseracare-medicare.

Other Articles in this issue of

Home Health & Hospice Week

View All