CHA News Article

Ways and Means Committee Drafts Legislation on Post-Acute Care

The U.S. House of Representatives Ways and Means Committee has released draft legislation that includes several provisions affecting payment policy for post-acute care (PAC) services. The committee held a hearing on the topic on June 14.   

The latest legislative proposals mirror PAC proposals put forth by President Obama in his FFY 2014 budget, as well as discussions by Simpson-Bowles and the Bipartisan Policy Commission. The committee’s draft legislation specifically addresses the following changes:

  1. Reducing market basket updates for home health agencies, skilled nursing facilities (SNFs), inpatient rehabilitation facilities (IRFs) and long-term care hospitals;
  2. Creating site-neutral payments between IRFs and SNFs for certain procedures;
  3. Modifying the criteria required for IRF status (the so-called “75 percent rule”);
  4. Establishing a SNF readmissions program; and
  5. Creating PAC bundled payments

The draft legislative text can be found at www.waysandmeans.house.gov/entitlementreform. CHA will submit comments, due Aug. 30, on behalf of members.

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