CMS Proposes 2026 Home Health Payment Overhaul With 2.4% Update, Tighter Provider Rules
Home health agencies — many of which are small businesses — face a net payment reduction for 2026 despite the 2.4% market basket update, due to the combined permanent (-1.023%) and temporary (-3.0%) behavior adjustments. CMS acknowledged that some agencies, particularly those in rural areas, may need to reduce their service areas. DMEPOS suppliers also face more burdensome annual accreditation surveys (up from every 3 years) and stricter financial and enrollment requirements, which could squeeze smaller operations.
Document Type
Federal Rule
Official Title
Medicare and Medicaid Programs; Calendar Year 2026 Home Health Prospective Payment System (HH PPS) Rate Update; Requirements for the HH Quality Reporting Program and the HH Value-Based Purchasing Expanded Model; Durable Medical Equipment, Prosthetics, Orthotics, and Supplies (DMEPOS) Competitive Bidding Program Updates; DMEPOS Accreditation Requirements; Provider Enrollment; and Other Medicare and Medicaid Policies
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