The CMS today proposed changing how inpatient psychiatric facilities are paid to a prospective payment system from a cost-based system over a three-year transition period. The proposal, required by the Balanced Budget Refinement Act of 1999 and initially expected in October 2002, would affect an estimated 2,000 free-standing facilities as well as psychiatric units in general acute-care hospitals. The three-year transition period would begin in April 1, 2004, and involve a mix of decreasing cost-based payments with increasing PPS payments. The proposal will be published in the Nov. 24 Federal Register, and comments will be accepted through Jan. 23. -- by Tony Fong
CMS proposes payment system for psych facilities
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