News Alert: CMS releases MPFS Final Rule, policies governing OPPS/ASC payment systems

Final Rule covers a wide range of payment and other provisions.

The Centers for Medicare & Medicaid Services (CMS) wrapped up last week by unveiling a final rule associated with the Medicare Physician Fee Schedule (MPFS) and new policies governing the functions of the payment systems for the Outpatient Prospective Payment System (OPPS) and Ambulatory Surgical Centers (ASCs).

The OPPS Final Rule includes updates of payment policies, payment rates, and quality provisions for services furnished under the MPFS on and after Jan. 1, 2020. The updates include changes to:

Payment Provisions:

  • Rate-setting and conversion factor
  • Medicare telehealth services
  • Evaluation and management services
  • Physician supervision requirements for physician assistants
  • Review and verification of medical record documentation
  • Care management services
  • Medicare coverage for opioid use disorder treatment services furnished by opioid treatment programs
  • Bundled payments under the PFS for opioid use disorders
  • Therapy services

Other Provisions:

  • Quality Payment Program
  • Ambulance services
  • Ground ambulance data collection system
  • Open Payments Program
  • Medicare Shared Savings Program

To review the full fact sheet published Friday by CMS on the MPFS final rule, go online to https://www.cms.gov/newsroom/fact-sheets/finalized-policy-payment-and-quality-provisions-changes-medicare-physician-fee-schedule-calendar.

The OPPS and ASC changes “aim to increase choices, encourage medical innovation, empower patients, and eliminate waste, fraud, and abuse to protect seniors and taxpayers,” CMS said in a press announcement. “The changes build on existing efforts to increase patient choice by making Medicare payment available for more services in different sites of services and adopting policy changes.”

CMS added that it is updating OPPS payment rates for hospitals that meet applicable quality reporting requirements by 2.6 percent; the figure is based on the projected hospital market basket increase of 3.0 percent, minus a 0.4 percentage point adjustment for Multi-Factor Productivity (MFP).

The update to ASC rates for 2020 was also listed at 2.6 percent, as CMS noted that it anticipates the move will “also help to promote site-neutrality between hospitals and ASCs, and encourage the migration of services from the hospital setting to the lower-cost ASC setting.”

The final rule associated with these updates, with statutorily required comment period, includes:

  • Increasing choices and encouraging site neutrality
  • Method to control for unnecessary increases in utilization of outpatient services
  • Changes to the inpatient-only list
  • ASC covered procedures list
  • Payment for procedures involving skin substitutes
  • Rethinking rural health
  • Changes in the level of supervision of outpatient therapeutic services in hospitals and critical access hospitals
  • Addressing wage index disparities
  • Unleashing innovation
  • Device pass-through applications
  • Protecting taxpayer dollars
  • Meaningful Measures/Patients Over Paperwork
  • Hospital Outpatient Quality Reporting Program
  • Ambulatory Surgical Center Quality Reporting Program
  • OPPS payment methodology for 340B purchased drugs
  • Partial Hospitalization Program (PHP) rate-setting
  • Update to PHP per diem rates
  • Revision to the organ procurement organization conditions for certification

To review the full fact sheet published by CMS on the OPPS and ASC changes, go online to https://www.cms.gov/newsroom/fact-sheets/cy-2020-medicare-hospital-outpatient-prospective-payment-system-and-ambulatory-surgical-center-0.

Facebook
Twitter
LinkedIn

Mark Spivey

Mark Spivey is a national correspondent for RACmonitor.com, ICD10monitor.com, and Auditor Monitor who has been writing and editing material about the federal oversight of American healthcare for more than a decade.

Related Stories

Leave a Reply

Please log in to your account to comment on this article.

Featured Webcasts

One Chart, Five Truths: How CDI Prevents the Same Diagnosis from Becoming Five Different Outcomes

What happens when everyone reviews the same chart, but reaches a different conclusion? In this case-based clinical documentation integrity (CDI) webcast, Penny Jefferson examines how documentation involving clinical support, timing, causation, linkage, and terminology can produce very different outcomes for ICD-10 coding, reimbursement, quality, risk adjustment, medical necessity, denials, and compliance. Using cases involving postoperative respiratory failure, severe malnutrition, and encephalopathy, you’ll learn the practical CLEAR framework to help attendees learn to evaluate whether a diagnosis is codeable, consistent, specific, reportable, and ultimately defensible across the different teams and systems that rely on the medical record.

September 30, 2026

Mastering Spinal Fusion Coding for Inpatient Facilities: ICD-10-PCS Precision, Documentation, and MS-DRG Impact

Spinal fusion cases are among the most complex inpatient procedures to code, where even minor ICD-10-PCS errors can affect MS-DRG assignment, reimbursement, compliance, and audit outcomes. This practical webcast provides a step-by-step framework for interpreting operative reports, assigning accurate ICD-10-PCS codes, recognizing documentation gaps, and confidently coding complex fusion procedures. You’ll leave with practical tools that improve coding accuracy, reduce denials and audit risk, and strengthen documentation-driven reimbursement decisions.

July 29, 2026

AI, Audits, and the Future of the Revenue Cycle

Artificial intelligence is rapidly transforming healthcare revenue cycle operations, from coding and auditing to compliance and denials. Join industry leaders Pam Warren (MaineHealth) and Raemarie Jimenez (AAPC) for a live fireside chat exploring how AI is changing workflows, workforce roles, payer-provider dynamics, and compliance risk—and what organizations should be doing now to prepare.

Webcast Only Available On ICD10monitor Subscription – Subscribe Below

June 17, 2026

Trending News

Featured Webcasts

Radiation Oncology Fundamentals: Coding, Billing & Compliance for Hospital Outpatient & Professional Services

Join Michael Calahan, PA, MBA for this radiation oncology coding and compliance webcast as he explains the fundamentals of coding, billing, reporting, and documentation for hospital outpatient and professional services. Learn how the 2026 radiation therapy coding changes affect current practices, how to distinguish technical and professional services, and how to address bundling, units, frequency, modifiers, and documentation requirements. Michael will also help you identify radiation oncology coding and billing vulnerabilities that could lead to denials, overpayments, repayment demands, or federal audit exposure.

October 20, 2026

CMS Compliance & Audit Readiness Bundle

Get two essential perspectives on CMS compliance for $199.

The Two-Midnight Rule helps you navigate short-stay admissions, patient status, and evolving 2026-2027 requirements, while CMS CRUSH explores the next wave of program integrity, payment oversight, and data-driven scrutiny.

Two RACmonitor webcasts. One practical approach to preparing for increased CMS oversight.

September 20, 2026

Preparing for 2027: Inpatient & Outpatient Policy Changes for Case Management and Utilization Review

The 2027 CMS policy changes will impact case management, utilization review, reimbursement, and patient status decision-making long before they officially take effect. Join nationally recognized physician advisor Dr. Ronald Hirsch as he explains the finalized and proposed inpatient and outpatient rule changes, expanding bundled payment initiatives, payment updates, and evolving payer expectations. Gain practical guidance to help your organization prepare early, strengthen compliance, reduce reimbursement risk, and confidently navigate the transition to 2027.

September 17, 2026

Trending News

Celebrate Lab Week with MedLearn! Sign up to win one year of our Laboratory All Access Pass! Click here to learn more →

Have a Medicare regulation question you’d love Dr. Hirsch to answer? Now is your chance! CLICK HERE to learn more→

Happy National Doctor’s Day! Learn how to get a complimentary webcast on ‘Decoding Social Admissions’ as a token of our heartfelt appreciation! Click here to learn more →

This Memorial Day, we honor those who gave all for our freedom. Take 20% off sitewide through May 29 with code MEMORIAL26 at checkout

CYBER WEEK IS HERE! Don’t miss your chance to get 20% off now until Dec. 1 with code CYBER25

CYBER WEEK IS HERE! Don’t miss your chance to get 20% off now until Dec. 2 with code CYBER24