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CMS announces 0.9% hospital payment increase for 2016
Modern Healthcare

The CMS lowered its final increase for hospitals rates in 2016 to a scant 0.9%, down from the 1.1% increase it proposed in April. The move will heighten pressure on the nation’s 3,400 acute-care hospitals to rein in costs and reduce unnecessary spending.

The 435 long-term care hospitals certified by Medicare will see a 4.5% cut in their payments in fiscal 2016, which begins Oct. 1. The CMS on Friday posted a final rule that said long-term care hospitals can expect to see a decrease in payments by $250 million next year.