# 2026-06674: Medicare Proposes 2027 Payment Tweaks for Nursing Homes

2026-06674, Medicare Program; Prospective Payment System and Consolidated Billing for Skilled Nursing Facilities; Updates to the Quality Reporting Program for Federal Fiscal Year 2027, is a Federal Register proposed rule from Health and Human Services Department, Centers for Medicare & Medicaid Services published 2026-04-07, effective 2026-10-01; deemed significant under Executive Order 12866; PRIA reads it as touching household money (as of 2026-11-04).

- Canonical: https://policyrisk.com/federal-register/2026-06674
- As of: 2026-11-04
- Plain-text twin of the page above; the HTML and this file carry the same facts.

## Facts
- Document number: 2026-06674
- Title: Medicare Program; Prospective Payment System and Consolidated Billing for Skilled Nursing Facilities; Updates to the Quality Reporting Program for Federal Fiscal Year 2027
- Type: Proposed Rule
- Agencies: Health and Human Services Department; Centers for Medicare & Medicaid Services
- Citation: 91 FR 17678
- Published: 2026-04-07
- Effective: 2026-10-01
- Comments close: not stated
- Significant: yes (OIRA_API)
- Touches household money: yes
- Regulation identifier numbers: 0938-AV75
- Last updated: 2026-11-04

## In one line

Medicare Proposes 2027 Payment Tweaks for Nursing Homes

## Summary

Starting in fiscal year 2027, skilled nursing facilities will see updated payment rates and new rules to improve care quality. These changes affect how Medicare pays and measures skilled nursing homes, aiming to reward better care while keeping costs fair. Facilities and Medicare users should get ready for these updates, with feedback due by June 1, 2026.

## Abstract

This rule proposes changes and updates to the policies and payment rates used under the Skilled Nursing Facility (SNF) Prospective Payment System (PPS) for fiscal year 2027. This proposed rule also updates the requirements for the SNF Quality Reporting Program and the SNF Value-Based Purchasing Program.

## Effects PRIA read

- FY2027 SNF Payment Rate Increase: benefit, high. For Federal Fiscal Year (FY) 2027 (October 1, 2026–September 30, 2027), Medicare proposes updated Skilled Nursing Facility (SNF) Prospective Payment System rates that include a 2022-based SNF market basket increase of 3.2 percent, a projected productivity adjustment of 0.8 percentage points (result…
- SNF Value-Based Purchasing Payment Reduction: cost, medium. For FY 2027, updates to the Skilled Nursing Facility Value-Based Purchasing (SNF VBP) Program are estimated to reduce aggregate payments to SNFs by $203.41 million during FY 2027. CMS is also providing estimated performance standards for FY 2029 and FY 2030 and proposing updates to the review and c…
- Removal of Two COVID-19 QRP Measures (FY2028): cost, low. CMS proposes removing two SNF Quality Reporting Program (QRP) measures beginning with the FY 2028 SNF QRP: (1) COVID-19 Vaccination Coverage Among Healthcare Personnel, and (2) COVID-19 Vaccine: Percent of Patients/Residents Who Are Up to Date. CMS estimates this change would result in an overall d…
- MDS Submission Requirement for All Residents (FY2031): cost, medium. CMS proposes to require SNFs to submit Minimum Data Set (MDS) assessment data on every resident receiving covered skilled care regardless of payer, beginning with the FY 2031 SNF QRP. CMS estimates this requirement would increase annual costs to SNFs by $88 million beginning with the FY 2031 SNF QR…

## Related documents

- [2026-22381](https://policyrisk.com/federal-register/2026-22381): Medicare and Medicaid Programs; Organ Procurement Organizations Conditions for Coverage: Revisions to the Conditions for Coverage, 2026-11-03
- [2026-22194](https://policyrisk.com/federal-register/2026-22194): Medicare Program; CY 2027 Changes to the End-Stage Renal Disease (ESRD) Prospective Payment System, Acute Kidney Injury (AKI) Dialysis Paym…, 2026-10-30
- [2026-21420](https://policyrisk.com/federal-register/2026-21420): Medicare Program; Implementation of Sections 6219, 6220, and 6224 of the Consolidated Appropriations Act, 2026, 2026-10-20
- [2026-20281](https://policyrisk.com/federal-register/2026-20281): Global Benchmark for Efficient Drug Pricing (GLOBE) Model, 2026-10-02
- [2026-20131](https://policyrisk.com/federal-register/2026-20131): Medicare Program; Inpatient Rehabilitation Facility Prospective Payment System for Federal Fiscal Year 2027 and Updates to the IRF Quality…, 2026-10-01
- [2026-19959](https://policyrisk.com/federal-register/2026-19959): Medicare Program; Prospective Payment System and Consolidated Billing for Skilled Nursing Facilities; Updates to the Quality Reporting Prog…, 2026-09-30

## Sources
- [2026-06674 on federalregister.gov](https://www.federalregister.gov/documents/2026/04/07/2026-06674/medicare-program-prospective-payment-system-and-consolidated-billing-for-skilled-nursing-facilities)
- [2026-06674 as published (PDF)](https://www.govinfo.gov/content/pkg/FR-2026-04-07/pdf/2026-06674.pdf)

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Source: PRIA, https://policyrisk.com/federal-register/2026-06674 (as of 2026-11-04).