SNFs: Proposed FY 2017 Payment and Policy Changes

On April 21, the Centers for Medicare & Medicaid Services (CMS) issued a proposed rule (CMS-1645-P) outlining proposed FY 2017 Medicare payment rates and quality programs for Skilled Nursing Facilities (SNFs). CMS will accept comments on the proposed rule until June 20, 2016.

Based on proposed changes, CMS projects that aggregate payments to SNFs will increase in FY 2017 by $800 million, or 2.1 percent, from payments in FY 2016. This estimated increase is attributable to a 2.6 percent market basket increase reduced by 0.5 percentage points, in accordance with the multifactor productivity adjustment required by law.

The proposed rule also includes implementation of two quality reporting programs for nursing facilities, the SNF Quality Reporting Program (QRP) and the SNF Value-Based Purchasing (VBP) program.

For More Information from CMS:

• SNF PPS website
• SNF QRP Measures and Technical Information webpage
• SNF VBP Program webpage
• IMPACT Act Downloads and Videos webpage

The Society is currently reviewing the rule and will submit comments as necessary.