Beware of Bureaucrats Bearing Gifts…

Good morning, ProviderNation.

Last night, the fine folks at CMS announced that they were raising the Medicare payment rate for nursing homes by 1.4 percent. That amounts to $500 million for the sector.

But don’t pop the corks yet. Industry advocates say they want to have a good think about this.

“However, there are many aspects to the rule that we will need to analyze before we declare success, including the forecast error correction, how the rule relates to therapy, and the rebasing and revision of the market basket,” American Health Care Association President & CEO Gov. Mark Parkinson said in a memo to his members last night.

Shortly after Parkinson’s memo went out, AHCA sent a news release. They seemed worried that the boost is not quite the gift it seems to be. “Skilled nursing has sustained too many cuts,” AHCA said in its news release.

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