CMS issues FY 2023 proposed rule for inpatient psychiatric facilities

The Centers for Medicare & Medicaid Services late yesterday issued a proposed rule for the inpatient psychiatric facility prospective payment system for fiscal year 2023.

CMS proposes to increase IPF payments by a net 2.7%, equivalent to $50 million, in FY 2023. The 2.7% payment update reflects a 3.1% market basket update minus a 0.4-percentage-point productivity adjustment, and maintains a 0.2-percentage-point adjustment for the outlier fixed dollar loss threshold amount. CMS also proposes to cap wage index decreases at 5% to mitigate instability in IPF PPS payments; and solicits comments on refinements to the adjustment model used to calculate IPF PPS payments.

CMS does not propose any changes to the IPF Quality Reporting Program, but does request feedback on how it can use measurement and stratification as tools to address health care disparities. CMS will accept comments on the rule through May 31.