CMS issued a proposed rule for updates to Medicare payment policies and rates for skilled nursing facilities (SNFs) under the SNF Prospective Payment System (PPS) for FY 2027.
For FY 2027, CMS proposes updating SNF PPS rates by 2.4% based on the proposed SNF market basket of 3.2%, and a negative 0.8% productivity adjustment. Note that these impact figures do not incorporate the SNF Value-Based Purchasing (VBP) reductions for certain SNFs subject to the net reduction in payments under the SNF VBP Program. The SNF VBP adjustments are estimated to total $208.4M in FY 2026.
The proposed rule also includes:
- Proposed updates to the SNF Quality Reporting Program (QRP) and SNF VBP
- SNF QRP Request for Information (RFI)
- Updating the Patient Driven Payment Model payment system to address Case Mix Upcoding RFI
More Information:
- Full fact sheet
- Proposed rule: Submit comments by June 1
- SNF VBP Program webpage
- SNF QRP webpage