CMC budget cuts to home care industry.

The Centers for Medicare and Medicaid Services (CMS) proposed budget cuts this year that threaten to wreak havoc on the home health care industry.

The new policy, called the Home Health Groupings Model (HHGM), significantly reduces payments to home care providers.  If passed, the CMS estimates it will cut $80 million in payments in 2018 and $950 million by 2019.  An independent investigation estimates the cuts will be even higher.

According to the Partnership for Quality Home Healthcare, “This proposal, which was developed with almost no input from the home health community, is premature, not budget neutral and needs further refinement.”

The consequences of this policy could be devastating.  Agencies will be forced to choose between admitting all clients, regardless of the reduced payments, or turning clients away.  Agencies that cannot withstand the cuts may be forced to close their doors.

There has been a flood of backlash. As of today, there are 1347public comments registered on the docket at Regulations.gov.  Many of the comments echo what Elaine MacCollom of Florida writes.  She says,

I do not feel this is the right time to add another way to limit funds to home health . We have proven again and again this is a cost effective program for patients. The profit margin is so limited we can not afford this at all. It is very apparent to most people where the fraud and abuse takes place and that is where your focus should be not on the honest hard working agencies.

Forty-nine U.S. Senators signed a letter drafted by Marco Rubio (R-FL) and Bill Nelson (D-FL) urging CMS to keep the groupings model out of the 2018 proposal.

So, will the rule pass?

CMS is scheduled to decide on the rule this week.  The deadline is November 1, 2017.

Home Health Care News reports, “The chances of the groupings model being pulled or delayed by CMS are about 50/50, according to Bill Dombi, president of NAHC.”

What will this policy do to your agency?

What cuts/changes will you have to make as a result of this rule?

OUR MISSION

It's our mission to prepare your Caregivers to deliver the highest quality of care to your clientsleaving you with more time to grow your business!

All Rights Reserved. © Home Care Pulse |  Privacy Policy