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Congress on inpatient cuts

This article was originally published in The Gray Sheet

Executive Summary

An amendment passed with the House's fiscal 2008 HHS, labor and education appropriations bill July 19 prohibits CMS from offsetting inpatient payments with 2.4% cuts in both 2008 and 2009 to reflect expected coding changes from a proposed new severity-adjusted payment classification system. The American Hospital Association, which has lobbied hard to prevent the offsetting adjustment, says the cuts would total $24 billion over five years (1"The Gray Sheet" June 18, 2007, p. 8). CMS is expected to release a final inpatient payment rule, effective in October, by Aug. 1...

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