CMS Includes $3.3 Billion Increase in FY2024 IPPS Payment Rates in Proposed Rule

The Centers for Medicare and Medicaid Services (CMS) issued the federal fiscal year 2024 Inpatient Prospective Payment System (IPPS) and long-term care hospital prospective payment system (LTCH PPS) proposed rule April 10.

The proposed increase in operating payment rates for general acute care hospitals paid under the IPPS is 2.8% if they successfully participate in the Hospital Inpatient Quality Reporting (IQR) program and are meaningful electronic health record (EHR) users. This reflects a projected FY2024 hospital market basket percentage increase of 3%, reduced by a 0.2 percentage point productivity adjustment. The proposed increase in IPPS payment rates would increase hospital payments in FY2024 by $3.3 billion.

The American College of Radiology® (ACR®) will produce a detailed summary of this rule with additional information about radiology-related topics, such as new technology add-on payments (NTAP), payments for graduate medical education costs and changes to the IQR program.

For more information or if you have questions, contact Christina Berry, ACR Team Lead, Economic Policy, or Kimberly Greck, Senior ACR Economic Policy Analyst.