Industry News

Bundled Payments from CMS

CMS has released a new proposal that would significantly expand its bundled payment model portfolio. Under the proposal, CMS will introduce new bundled payment models for acute myocardial infarction (heart attack), coronary artery bypass graft (bypass surgery), comprehensive joint replacements, and hip and femur fractures. The new models will be enacted in selected metropolitan areas beginning July 1, 2017 under the latest proposal. The “bundled payment” description is somewhat misleading as traditional fee for service payments will be issued for both physician and hospital care. However, these payments will be adjusted at the end of the performance year to reflect what the price per episode “should have been” had the bundled payment been issued initially.