CMS releases final rule on IPF payments for FY 2026
The Centers for Medicare & Medicaid Services Aug. 1 issued a final rule for the inpatient psychiatric facility for fiscal year 2026. CMS will increase by a net 2.4%, or $70 million, in FY 2026 compared to FY 2025. The payment update reflects a market-basket update of 3.2% minus a productivity adjustment of 0.7 percentage points, as well as an additional cut of 0.1% due to the updated outlier threshold. In addition, the agency will increase the adjustment factors for IPFs with teaching status and in rural locations and recognize increases to IPF teaching caps as required by law. For the IPF Quality Reporting Program, CMS will remove three measures related to health equity and one on COVID-19 staff vaccination and revise the reporting period for its emergency department visit following IPF discharge measure. AHA members will receive a Regulatory Advisory with more details.