Inpatient Prospective Payment Systems (IPPS)

More than three-quarters of the nation's inpatient acute-care hospitals are paid under the inpatient prospective payment system, while nearly a quarter are paid based on costs and are called Critical Access Hospitals. The IPPS pays a flat rate based on the average charges across all hospitals for a specific diagnosis, regardless of whether that particular patient costs more or less. Everything from an aspirin to an artificial hip is included in the package price to the hospital.

Inpatient and outpatient prospective payment system hospitals, inpatient psychiatric facilities and PPS-exempt cancer hospitals have until Aug. 30 to preview their data for the October update to Care Compare.
We are pleased that CMS will provide hospitals and health systems with increased inpatient payments next year, rather than a cut as proposed, allowing them to better provide care for their patients and communities
we are deeply concerned that last week鈥檚 Centers for Medicare & Medicaid Services proposed rule would increase Medicare hospital outpatient prospective payment system rates by just 2.7% in calendar year 2023 compared to 2022. Given the current historic rates of inflation and continued labor and鈥
The deadline for signatures on the bipartisan 鈥淒ear Colleague鈥 letters circulating in the House and Senate that ask CMS to make critical changes to the hospital IPPS proposed rule for FY 2023 to more accurately reflect the cost of providing hospital care to patients has been extended to close of鈥
A pair of House lawmakers introduced a 鈥淒ear Colleague鈥 letter seeking critical changes to the CMS hospital inpatient prospective payment system proposed rule for fiscal year 2023.
Bipartisan 鈥淒ear Colleague鈥 letters are circulating in the House and Senate that would ask the Centers for Medicare & Medicaid Services (CMS) to make critical changes to the hospital inpatient prospective payment system proposed rule for fiscal year (FY) 2023 to more accurately reflect the cost鈥
The AHA has been making the case to CMS urging it to adjust the market-basket update to account for the unprecedented inflationary environment hospitals and health systems are experiencing, and eliminate the productivity cut. We also have asked Congress to weigh in with the agency to make these鈥
Sens. Bob Menendez, D-N.J., and Kevin Cramer, R-N.D., are spearheading a 鈥淒ear Colleague鈥 letter to the Centers for Medicare & Medicaid Services (CMS) urging the agency to make critical changes to the hospital inpatient prospective payment system proposed rule for fiscal year (FY) 2023 to more鈥
The AHA released a new fact sheet that hospital and health system leaders can use as they ask Congress to urge CMS to make two critical changes to the IPPS proposed rule.
America鈥檚 hospitals and health systems continue to face unprecedented financial pressures due to the ongoing effects of the COVID-19 pandemic and current inflationary economy. Historic inflation has extended and heightened the already severe economic instability brought on by the pandemic resulting鈥