New Hospice Payment Rates Made Available by CMS

CMS made available this week the new Medicaid hospice payment rates for Federal Fiscal Year (FY) 2013. The new payment rates will go into affect October 1, 2012.

The Medicaid hospice payment rates for care and services provided from October 1, 2012, 
through September 30, 2013, are as follows: 

DESCRIPTION

DAILY RATE

WAGE COMPONENT SUBJECT TO INDEX

NON­WEIGHTED AMOUNT

Routine Home Care

$153.65

$105.57

$48.08

Continuous Home Care

$895.91 full rate=24hrs. of care/$37.33 hourly rate

$615.58

$280.33

Inpatient Respite Care

$167.07

$90.44

$76.63

General Inpatient Care

$682.59

$436.93

$245.66

On July 27, 2012, the Centers for Medicare & Medicaid Services (CMS) published a notice 
(CMS-1434-N) to update the Medicare Hospice Wage Index for FY 2013, 
http://www.cms.gov/Medicare/Medicare-Fee-for-Service-Payment/Hospice/HospiceRegulations-and-Notices-Items/CMS-1434-N.html. You may find the wage index at 
http://www.cms.gov/Medicare/Medicare-Fee-for-Service-payment/Hospice/index.html. (Scroll
down to “Downloads” section and click on FY 2013 Wage Index.)

This new wage index, effective October 1, 2012, should be used by states to adjust the wage component of the daily hospice payment rates to reflect local geographical differences in the wage levels. The daily hospice rates specified above are base rates, which must be revised accordingly when the wage component is adjusted.

Read the memorandum here or it can be found on CMS’ website at 
http://www.cms.gov/Center/Provider-Type/Hospice-Center.html. (Under “Important Links”, 
scroll down to “Medicaid Information.”)