Home Health & Hospice Week

Industry Note:

MedPAC Wants Cuts

As expected, the Medicare Payment Advisory Commission has finalized its recommen­dations to Congress to cut home health and freeze hospice reimbursement, as well as reduce the hospice aggregate cap.

In its Jan. 16 meeting, MedPAC commis­sioners approved recommendations discussed in its December meeting: cutting home health payment by 7 percent in 2021 (see Eli’s HCW, Vol. XXVIII, No. 44) and freezing hospice rates for the same year (see Eli’s HCW, Vol. XXVIII, No. 45). The influential advisory body to Congress also approved recommendations to cut the hospice cap by 20 percent and adjust it for wage index.

MedPAC will include the recommendations in its March annual report to Congress. “These reports hold great sway with Congress and the Centers for Medicare and Medicaid Services,” say attorneys Kathleen Rubinstein, Kathleen McDermott, Jacob Harper, and Howard Young with law firm Morgan, Lewis & Bockius. “However, neither Congress nor CMS is required to follow the MedPAC recommen­dations,” the attorneys point out in online analysis.

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