CMS Proposes Cancellation of Cardiac, Orthopedic Bundled Payment Models

The Centers for Medicare and Medicaid Services (CMS) has submitted a proposed rule (“Cancellation of Advancing Care Coordination through Episode Payment and Cardiac Rehabilitation Incentive Payment Models; Changes to Comprehensive Care for Joint Replacement Payment Model”) to the Office of Management and Budget (OMB). The proposed rule is currently pending regulatory review.

Included in the proposed rule is the reduction of the number of mandatory geographic areas participating in the Center for Medicare and Medicaid Innovation’s (CMMI’s) Comprehensive Care for Joint Replacement (CJR) model from 67 to 34. In addition, CMS proposes to allow CJR participants in the 33 remaining areas to participate on a voluntary basis. In this rule, CMS also proposes to make participation in the CJR model voluntary for all low volume and rural hospitals in all of the CJR geographic areas.

CMS also is proposing through this rule to cancel the Episode Payment Models (EPMs) and the Cardiac Rehabilitation (CR) incentive payment model, which were scheduled to begin on January 1, 2018.

The proposed rule (CMS-5524-P) will be published in the Federal Register. Public comments will be due by October 16, 2017.