Skilled Nursing Facility

CMS Updates Medicare Payment Policy for SNFs

CMS released a final rule [CMS-1737-F] on July 31 for FY 2021 that updates the Medicare payment rates and the value-based purchasing program for SNFs.

The rule includes routine technical rate-setting updates to the SNF PPS payment rates, finalizes adoption of the most recent OMB statistical area delineations, and applies a 5 percent cap on wage index decreases from FY 2020 to FY 2021.

Additionally, CMS finalized ICD-10 code mappings that will be applied in FY 2021.

Aggregate payments to SNFs are anticipated to increase by $750 million, or 2.2 percent for FY 2021 compared to FY 2020.