CMS Proposes Eliminating RAPs for Home Health Agencies

Today CMS issued a proposed rule that has broad-reaching effects across the home health care industry.

CMS is proposing to address potential Medicare fraud by phasing out pre-payments for home health services. Under the proposal, RAP payments for existing providers would be phased out over the next year and eliminated completely for 2021. Eliminating RAP payments would have a major impact on cash flow for most home health agencies.

Under this rule, Medicare payments to home health agencies will increase by 1.3 percent in 2020.

In addition, the proposed rule includes:

  • Proposed payment rate changes for home infusion therapy temporary transitional payments for CY 2020
  • Payment proposals for new home infusion therapy benefit for CY 2021
  • Regulatory burden reduction – Patients over paperwork and enhance and modernize program integrity
  • Paraprofessional roles – Improving access to care
  • Home Health Quality Reporting Program – Support MyHealthEData Initiative
  • Home Health Value-Based Purchasing mode

We will break down and analyze the sweeping changes in the proposed rule in our next issue of Home Health Today. If you would like to receive a copy at no charge, contact us today!