One of many changes floated in the FY2017 IPPS Proposed Rule
CMS introduced a standard notice to be given to observation patients after 24 hours as such, the “Medicare Outpatient Observation Notice” (MOON) that would include all of the informational elements necessary to fulfill the NOTICE Act’s written notice requirement.
The MOON notice is CMS’ solution to implement the Notice of Observation Treatment and Implications for Care Eligibility Act (NOTICE Act) by specifying the process for hospitals and critical access hospitals to notify an individual, orally and in writing, regarding the individual’s receipt of observation services as an outpatient for more than 24 hours and the implications of receiving such services on cost sharing and post-hospitalization eligibility for Medicare coverage of skilled nursing facility services.
In addition, CMS addresses, among many other things: proposed changes to MS-DRG classifications and recalibration of relative weights, new technology add-on payment applications, rate-of-increase limits for certain hospitals excluded from the IPPS that are paid on a reasonable cost basis, and distribution of Medicare disproportionate share hospital (DSH) allotments.
The rule was published on April 27, 2016. CMS will accept comments on the proposed rule until June 17, 2016. Once finalized, the policies and rates will be published in the Final Rule, on or about October 1, 2016, and generally will apply to discharges occurring on or after that date.
Join us on “Finally Friday!” at 1pm ET on Friday, May 13 2016 for a free discussion and webinar about this new development.
Also join us on “Finally Friday!” at 1pm ET on Friday, May 27 2016 for a free discussion and webinar about other key changes in CMS’ FY2017 IPPS Proposed Rule.