CMS proposes chopping $1 billion from home health reimbursement over two years
For the fourth straight year, the CMS is proposing to drop reimbursement for home healthcare agencies in the Medicare program, including a $950 million cut for 2019.
On Tuesday, the CMS proposed a 0.4% decrease, or $80 million cut for the providers in 2018.
That’s less than $130 million that was cut in 2017, but it is the latest in a succession of drops of reimbursement dating back to 2014.
Most of the cuts were called for in the Affordable Care Act, which mandated the reduction to address Medicare overpayments for home health services dating back to 2000.
The CMS cut payments by $260 million for 2016, $60 million for 2015 and $200 million for 2014.
The CMS is also proposing a major change in how it pays for home health services.
Medicare now pays for up to 60 days of home health services.