The Centers for Medicare & Medicaid Services (CMS) released the final Home Health prospective payment rule for CY2024. CMS backed off on their initial proposed cut, and finalized a -2.89% cut, offset by a slight increase to the market basket rate in the initial proposed rule to 3.3%.

While we appreciate that CMS did not go through with their full proposed cut, we remain concerned with the underlying methodology and its impact on our members as well as the impact of future cuts.

“A nearly 3.0% permanent cut to Medicare payment rates will be devastating for our nonprofit, mission-driven members, who are committed to serving all beneficiaries, including the poorest and most underserved. The impact of these reductions will be profound,” said LeadingAge president and CEO Katie Smith Sloan in a press statement following the rule’s release.  “Coming on the heels of last year’s 3.9% permanent rate reduction, the actions taken by the Centers for Medicare and Medicaid Services (CMS) today further threaten access at a time when demand for care at home is increasing.”

The LeadingAge summary article on the rule is available here.