This final rule will implement
section 3004 of the Affordable Care Act,
which establishes a new quality
reporting program that provides for a 2
percent reduction in the annual increase
factor beginning in 2014 for failure to
report quality data to the Secretary of
Health and Human Services. This final
rule will also update the prospective
payment rates for inpatient
rehabilitation facilities (IRFs) for
Federal fiscal year (FY) 2012 (for
discharges occurring on or after October
1, 2011 and on or before September 30,
2012) as required under section
1886(j)(3)(C) of the Social Security Act
(the Act). Section 1886(j)(5) of the Act
requires the Secretary to publish in the
Federal Register on or before the August
1 that precedes the start of each FY the
classification and weighting factors for
the IRF prospective payment system
(PPS) case-mix groups and a description
of the methodology and data used in
computing the prospective payment
rates for that fiscal year. We are also
consolidating, clarifying, and revising
existing policies regarding IRF hospitals
and IRF units of hospitals to eliminate
unnecessary confusion and enhance
consistency. Furthermore, in accordance
with the general principles of the
President’s January 18, 2011 Executive
Order entitled ‘‘Improving Regulation
and Regulatory Review,’’ we are
amending existing regulatory provisions
regarding ’’new’’ facilities and changes
in the bed size and square footage of
IRFs and inpatient psychiatric facilities
(IPFs) to improve clarity and remove
obsolete material.
Medicare Program: Inpatient Rehabilitation Facility Prospective Payment System for Federal Fiscal Year 2012
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