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April 24, 2015 12:00 AM

Psychiatric hospitals to get modest Medicare rate bump

Virgil Dickson
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    The CMS is proposing that inpatient psychiatric facilities get a 1.6% rate increase from Medicare in fiscal 2016 under a proposed rule issued Friday.

    The proposed policy means Medicare would spend $80 million more on psychiatric facilities (PDF) in fiscal 2016 than in fiscal 2015. However, the increase is smaller than the 2.5% raise they received for the current year.

    The proposed rule also introduces new quality metrics that will affect psychiatric facility payments, starting in fiscal 2018. They include determining whether providers attempted to place a patient in a tobacco cessation program after discharge, whether substance-abuse intervention was provided, if there was a screening for metabolic disorders and two other measures related to the transition of medical records.

    They agency is also proposing to change how the facilities report data on quality measures. The CMS wants to require inpatient psychiatric facilities to report once a year rather than by quarter and beneficiary age, which was deemed too burdensome to providers.

    The CMS is accepting comments on the proposed rule until June 23.

    There are more than 1,600 inpatient psychiatric facilities in the U.S., and they treat about 300,000 Medicare beneficiaries each year.

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