CMS boosts HHA rates 2.5%
BALTIMORE -- CMS announced a proposed 2.5 percent increase in Medicare payment rates to home health agencies for calendar year 2006. The increase would bring an extra $330 million in payments to home health agencies next year.
Home health payment rates are updated annually by either the full home health market basket percentage, or by the home health market basket percentage as adjusted by Congress. CMS establishes the home health market basket index, which measures inflation in the prices of an appropriate mix of goods and services included in home health services. For CY 2006, the proposed estimated home health market basket percentage is 3.3.