Alternative payment models

Federal Health Policy Update for April 3

The following is the latest health policy news from the federal government for March 27 to April 3.  Some of the language used below is taken directly from government documents. Proposed and Final CMS Medicare Regulations Proposed FY 2027 Medicare Inpatient Rehabilitation Facilities Payment Rule CMS has published a proposed rule updating Medicare payment policies and rates for inpatient rehabilitation facilities (IRF) under its IRF prospective payment system and updating the IRF quality reporting program for FY 2027.  CMS proposes updating FY 2027 IRF rates by 2.4 percent based on a market basket update of 3.2 percent less a proposed [...]

Federal Health Policy Update for March 26

The following is the latest health policy news from the federal government for March 20-26.  Some of the language used below is taken directly from government documents. Congress Republican leadership is exploring a reconciliation bill as a potential vehicle to fund Immigrations and Customs Enforcement (ICE) and pass the Safeguard American Voter Eligibility Act (SAVE) voting rights act.  If pursued, this approach could increase the likelihood of additional health care cuts, including expanding site-neutral payment policies in both Medicare and Medicaid.  It is not clear whether there will be sufficient support in either chamber for Republicans to pursue a party-line [...]

Federal Health Policy Update for March 19

The following is the latest health policy news from the federal government for March 13-19.  Some of the language used below is taken directly from government documents. The White House President Trump has issued an executive order creating a Task Force to Eliminate Fraud that “…shall, on behalf of the President, coordinate and accelerate a comprehensive national strategy to stop fraud, waste, and abuse within Federal benefit programs, including programs administered jointly with State, local, tribal, and territorial partners.”  The vice president will chair the task force, the Secretary of the Department of Health and Human Services is among its [...]

CMS Will Continue Rolling Out Mandatory Models

The Centers for Medicare & Medicaid Services and its Center for Medicare and Medicaid Innovation intend to continue developing and introducing mandatory Medicare models with an emphasis on driving more value-based care. That is the message delivered by CMS administrator Mehmet Oz and CMMI director Abe Sutton during a recent conference. While the track record of CMMI’s models – both voluntary and mandatory – is not great, policymakers believe they remain the best way for government to continue encouraging health care providers to focus more on the delivery of value-based care.  To date, only four of the agency’s approximately 50 [...]

Federal Health Policy Update for March 5

The following is the latest health policy news from the federal government for February 27-March 6.  Some of the language used below is taken directly from government documents. Congress  On Thursday, the House Energy and Commerce Committee held a full committee markup of nine bills addressing cybersecurity and digital safety.  See that list here. Also on Thursday, the Senate HELP Committee conducted a hearing titled “Transforming Health Care with Data:  Improving Patient Outcomes Through Next-Generation Care.”  Find video of the hearing here. Speaker Mike Johnson (R-LA) expressed interest in passing another reconciliation bill this year that would include policies addressing [...]

Federal Health Policy Update for February 19

The following is the latest health policy news from the federal government for February 13-19.  Some of the language used below is taken directly from government documents. Congress Congress is not in session this week and will return on Monday, February 23. The House Ways and Means Committee will hold a hearing titled “Next Generation of Health Care Workforce” on Tuesday, February 24.  View a livestream of the hearing here. The Courts A federal court has vacated the Federal Trade Commission’s (FTC) 2024 overhaul of the Hart-Scott-Rodino Premerger Notification Rule.  That rule expanded disclosure requirements, requiring filings for transactions valued [...]

Federal Health Policy Update for December 29

The following is the latest health policy news from the federal government for December 19–December 29.  Some of the language used below is taken directly from government documents.  Rural Health Transformation Fund  CMS announced that all 50 states will receive awards under the Rural Health Transformation Program, a $50 billion initiative established under the 2025 reconciliation bill, H.R. 1, to strengthen and modernize health care in rural communities. In 2026, states will receive first-year awards averaging $200 million, ranging from $147 million to $281 million. The Rural Health Transformation Program’s $50 billion in funds will be allocated to approved states [...]

Federal Health Policy Update for December 18

The following is the latest health policy news from the federal government for December 12-18.  Some of the language used below is taken directly from government documents. Congress In a 216-211 vote yesterday, the House passed the Lower Health Care Premiums for All Americans Act, a Republican package aimed at addressing multiple health care policies.  The legislation includes provisions for employee tax-advantaged benefits like HSAs and FSAs, cost-sharing reductions (CSR) subsidies, and increased transparency requirements for pharmacy benefit managers (PBMs).  It notably did not include an extension of the enhanced Affordable Care Act premium tax credits that many of the [...]

Federal Health Policy Update for December 11

The following is the latest health policy news from the federal government for December 5-11.  Some of the language used below is taken directly from government documents. Congress The Senate voted today on competing proposals to address health care affordability:  Democrats sought a clean extension of the Affordable Care Act premium tax credits set to expire on December 31 while Republicans tried to consolidate support around an alternative plan.  Neither bill gained the 60-vote threshold needed for passage. In the House, Speaker Mike Johnson (R-LA) intends to bring a vote on a health care package next week but at this [...]

Medicare, Medicaid Regulations Logjam Should Soon End

The shutdown of the federal government brought the usual flow of Medicare and Medicaid regulations to an almost complete halt.  Now that the shutdown has ended, the logjam should end fairly quickly – and with a sense of urgency. Currently, a number of major Medicare and Medicaid regulations remain with the Office of Management and Budget for review.  Even though the shutdown has now ended, it is not yet clear when they will be addressed. By statute, the following regulations must be implemented by January 1. CY 2026 Hospital Outpatient Prospective Payment System Policy Changes and Payment Rates and Ambulatory [...]

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