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HHS/CMS

RIN: 0938-AL50

Publication ID: Fall 2002

Title: Prospective Payment System for Psychiatric Hospitals (CMS-1213-P)
Abstract: This proposed rule would set forth a prospective payment system (PPS) for psychiatric hospitals.
Agency: Department of Health and Human Services(HHS)	Priority: Other Significant
RIN Status: Previously published in the Unified Agenda	Agenda Stage of Rulemaking: Proposed Rule Stage
Major: Undetermined	Unfunded Mandates: Undetermined
CFR Citation: Not Yet Determined (To search for a specific CFR, visit the Code of Federal Regulations.)
Legal Authority: PL 106-113, sec 124

Legal Deadline:

Action	Source	Description	Date
NPRM	Statutory	per section 124 of Public Law 106-113.	10/01/2002

Statement of Need: This proposed rule will set forth a PPS for psychiatric hospitals and distinct part units. It would replace the current TEFRA payment mechanism that is outdated and problematic for psychiatric facilities.

Summary of the Legal Basis: Section 124 of BBRA mandated implementation of an inpatient psychiatric facility (IPF) PPS.

Alternatives: An IPF PPS is required by statute.

Anticipated Costs and Benefits: The statute requires us to implement this PPS in a budget neutral fashion, however there will be CMS administrative costs associated with its implementation.

Risks: Redistributional effects inherent in a new payment system may adversely affects certain classes of facilities.

Timetable:

Action	Date	FR Cite
NPRM	02/00/2003

Regulatory Flexibility Analysis Required: Undetermined	Government Levels Affected: Federal, Local, State
Federalism: Undetermined
Included in the Regulatory Plan: Yes
Agency Contact: Lana Price Director, Division of Chronic Care Management, Chronic Policy Group Department of Health and Human Services Centers for Medicare & Medicaid Services C5-05-27, Center for Medicare Management, C5-05-27, 7500 Security Boulevard, Baltimore, MD 21244 Phone:410 786-4533 Email: lprice@cms.hhs.gov