OPPS Final Rules for 2026
Last week, the Centers for Medicare & Medicaid Services (CMS) released the Final Rule for The Hospital Outpatient Prospective Payment System (OPPS ) for calendar year 2026. The proposed rule includes several proposals that would reduce Medicare funding for some services provided by hospital outpatient departments. The following paragraphs summarize the "highlights" of this proposal. Conversion Factor: For CY 2026, CMS increased payment rates under the OPPS and the Ambulatory Surgical Center (ASC) Payment System by 2.6%. This increase factor is based on a hospital market basket percentage increase of 3.3%, reduced by a productivity adjustment of 0.7 percentage points. This update is slightly higher than the proposed 2.4% update. Based on the finalized policies, CMS estimates that total payments to OPPS and ASC providers (including beneficiary cost-sharing and estimated changes in enrollment, utilization, and case-mix) for CY 2026 will be approximately $101.0 billion and $9.2…