CMS Releases IPPS Final Rule

August 15, 2008 - CMS recently released the final Inpatient Prospective Payment System rule for 2009. In the final rule, CMS deals with the critical issue of charge compression by separating higher cost devices, regardless of whether they remain within the patient upon discharge, from lower cost prices on Medicare cost reports. This separation will allow CMS to capture more accurate price data for higher cost devices and minimize price distortions that were adversely affecting reimbursement rates.

In addition, CMS finalized July 1 as the regulatory deadline by which new medical technologies must receive FDA approval to be eligible for new technology add-on payments.

MDMA supported both of these proposals and believe that they are positive steps to ensuring appropriate reimbursement rates for innovative, medical technologies.