CMS releases FY 2024 SNF PPS final rule

The Centers for Medicare & Medicaid Services released its fiscal year 2024 final rule for the skilled nursing facility prospective payment system. The rule will increase payments by a net 4.0%, or $1.4 billion, in FY 2024 relative to FY 2023 levels. This includes a 3.0% market basket increase which was reduced by a 0.2% productivity cut, increased by a 3.6% market basket forecast error adjustment for FY 2022, and reduced by a 2.3% behavioral adjustment related to the transition to the patient-driven payment model. 

CMS also finalized nearly all proposals for the SNF Quality Reporting Program, including the adoption of two new measures. For the SNF Value-based Purchasing Program, the agency will adopt four measures and a health equity scoring adjustment to account for facilities that serve a disproportionate amount of Medicare and Medicaid eligible patients.