Medicare Fixes Skilled Nursing Payment Calculation Errors
Published Date: 9/30/2026
Rule
Summary
This correction fixes some technical mistakes in Medicare payment rules for skilled nursing facilities starting October 1, 2026. It mainly affects how hospital data is used to calculate payments, making sure no current hospitals are wrongly excluded. These tweaks help keep Medicare payments fair and accurate for providers and patients.
Analyzed Economic Effects
2 provisions identified: 2 benefits, 0 costs, 0 mixed.
SNF payment calculations recalculated
CMS corrected a mistake that had accidentally treated a current hospital (CMS Certification Number 250078) as if it had converted to Rural Emergency Hospital status. Because the hospital's data were restored, CMS recalculated the SNF wage index budget neutrality factor, the unadjusted Federal per diem rates, and the case-mix adjusted SNF PPS rates, and updated multiple rate computation examples (for example, a wage index figure changed from 0.9989 to 0.9988 and an example total changed from $23,413.26 to $23,412.69). These corrections take effect October 1, 2026.
SNF quality reporting burden and wage numbers corrected
CMS corrected calculation errors in the SNF Quality Reporting Program (QRP) paperwork-burden and wage estimates where the MEAN Bureau of Labor Statistics (BLS) wage had been used instead of the MEDIAN. The correction updates many tables and figures (for example, a BLS wage figure changed from $43.82 to $42.92, and a national burden estimate changed from $7,831,860.96 to $7,671,005.76) and revises multiple tables labeled Table 18 through Table 33. These corrected burden and cost numbers apply as implemented for the FY 2027 SNF PPS and related QRP materials and are effective October 1, 2026.
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Key Dates
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