The Medicare Payment Advisory Commission (MedPAC) is once again recommending a 5% Medicare base payment rate reduction for home health agencies. The determination was based on the "high margins" of freestanding agencies, according to MedPAC.
MedPAC also recommends a 2% reduction in Medicare base payment rates for hospice providers.
These
recommendations were included in MedPAC’s March 2019 Report to Congress.
Congress isn't required to follow to MedPAC's recommendations. MedPAC’s March 2018 Report to Congress recommended a 5% payment reduction to home health agencies. But the 2019 PPS final rule for home health resulted in a 2.2% payment increase for agencies.