Tag Archive for: Reimbursement

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Power Through PDPM

By: Cassie Murray, OTR, ,QCP, Chief Operating Officer

It is no secret that PDPM will be a significant change for providers. HTS has successfully traversed reimbursement changes alongside our partners in the past and emerged strong. We were prepared to tackle the challenge while maintaining the highest quality of care. PDPM will be no different. HTS has a plan for success. When our partners succeed under the new SNF reimbursement methodology, we succeed. The core elements of the new model press us, as direct caregivers, to essentially return to our “roots” by focusing all care decisions based on patient conditions and needs.

Revenue will no longer be based on managing therapy minutes, but will be directly aligned with patient care delivery. HTS therapists are passionate about individualized clinical profiles and meeting the care needs associated with specific patient characteristics. This change in philosophy will assist in breaking down the unintentional silos built around departments and is an opportunity to promote collaboration with strategic clinical programs and processes. We understand that the PDPM transition is likely to put an extra level of stress on nursing and MDS—who will be under pressure to understand all of the intricacies of PDPM including coding and special rules such as the interrupted stay policy and variable per diem adjustment. The pressure is definitely on as the nursing role in reimbursement rises to the top of the pile. But not to worry, HTS’s partners will have access to exceptional resources and training opportunities as we navigate this change together.

We remain optimistic that quality care, remarkable customer service, and appropriate reimbursement will be achieved under the new model. As partners in therapy, our clients are confident in our resources and unmatched expertise to navigate this change while working together toward a successful transition from RUGs IV to PDPM.

We would be happy to provide complimentary training. If you would like us to schedule time to meet with your acute care providers and physicians, contact us at info@htstherapy.com.

 

 

Speak with your doctor to find out how therapy could benefit you!

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7 Things We Know Up-front About the Patient-Driven Payment Model (PDPM)

HTS is feeling optimistic as we read the latest reimbursement model change proposed by CMS and released late afternoon on Friday, April 27th. If you haven’t had the chance to dive into RSC-1, this was gearing up to be the biggest reimbursement overhaul since PPS.

The RSC-1 has now been modified and renamed to the Patient-Driven Payment Model (PDPM). The new model is designed to improve the incentives to treat the needs of the whole patient, instead of focusing on the volume of services the patient receives. CMS noted that RCS-1 received considerable feedback expressing concerns with the complexity of RCS-1. As a result, CMS has made significant changes that we are feeling pretty good about. If passed, this would take place starting October 1, 2019 — which means we don’t have much time before it becomes reality.

 

Here are 7 things we know up front about the PDPM changes to note:

  1. PDPM will be Much Less Complex than RSC-1
    Under the RSC-1, there were actually over 130,000 different possible classifications. The PDPM reduces this by nearly 80%. RUGs will certainly be going away, but this may make the reimbursement calculations much less of headache for all parties involved.
  2. Therapy is Detailed in the Discharge PPS Assessment
    A proposed modified section O requires PT, OT and ST details on all PPS discharge assessments for all Medicare A discharges (including those who DC from the facility). Therapy details include: start and end dates, total individual minutes provided, total concurrent minutes provided, total group minutes provided, and total days provided. This may be CMS’s way of safeguarding against underproviding and ensuring that patients receive what they need versus greatly reducing or eliminating necessary therapy services.
  3. PT & OT are Separate Payment Categories
    Under the RSC-1 model, PT and OT were a combined payment and ST was considered separate. Noting the obvious concerns, we are happy that each discipline will receive their own payment classification. Additionally, the new model eliminates the cognitive impairment factor from the PT and OT classification.
  4. Group & Concurrent Allow for a Total of 25%
     Under RSC-1, it was proposed to allow 25% group therapy and 25% concurrent therapy. Under the PDPM, there is a 25% group and concurrent therapy combined allotment.
  5. Section GG is Even MORE Important
     Replacing section G with GG for the functional component is required for PT & OT payment classifications, as well as,nursing case-mix classification. 6 areas are scored and totaled for the functional measure: eating, oral hygiene, toileting, sit-to-lying, lying-to-sitting on bed, sit-to-stand, chair/bed-to-chair, toilet transfer, walk 50 feet with 2 turns, and walk 150 feet. HTS implemented mandatory use of the CARE Tool for all therapists in 2014 to ensure that our outcomes and benchmarks are congruent with CMS.
  6. Reduced Burden of Multiple Assessments
     The reduction in required assessments as proposed with RCS-1 remains in the PDPM. Only 2 PPS assessments are required: 5-day assessment and D/C Assessment. PDPM adds an optional “Interim Payment Assessment” (IPA) which would allow for a resident to be re-classified if criteria are met.
  7. Reduction in Reimbursement with Length of Stay
    PDPM calls for reduction in reimbursement correlating with length of stay for PT, OT, and Non-Therapy Ancillary (NTA) classifications. For PT and OT, days 1-20 would be reimbursed at the full rate. On day 21, a decreasing adjustment factor of 2% is applied every 7 days throughout the remainder of the stay. NTA days 1-3 are reimbursed at an increased adjustment factor of 3. Day 4 through the remainder of the stay, the reimbursement is adjusted to a factor of 1. These adjustments are based on Medicare’s research indicating PT, OT, and NTA costs decrease the longer the resident stays.
Read More About the PDPM:

We Are Optimistic and Committed

We continue to be optimistic considering the enormous changes we are facing with this new payment model. CMS has an open forum and NASL and other groups are already collaborating on the details. CMS posted provider-specific impact data reflecting FY 2017 payment under RUG-IV compared with what the payment would have been under PDPM. After a full review, the total payment was indeed budget neutral.

You may view your SNF’s impact by following the link above (“CMS provided tools”). As we know more information, we will gladly pass it along. We are committed to being good partners in rehabilitation by informing our clients and colleagues with the most up to date information on rehabilitation and post-acute care.

Cassie Murray, OTR, QCP, IASSC CYB
Executive Director of Clinical Services
Healthcare Therapy Services, Inc.
cmurray@htstherapy.com | 800.486.4449 ext 210

HTS is a leading contract therapy and wellness provider in the Midwest. As the trusted authority in post-acute rehabilitation, our clients look to us to not only maintain exceptional clinical collaboration and outcomes, but also to be a trusted partner in helping their organizations perform better. Since 1988, HTS has been an independently owned, trusted, ethical provider of therapy services for senior living communities, home health agencies and hospitals.

Therapist owned and managed, our mission is to provide the very best people and programs to move our clients and employees forward so that together we can provide a “hope and a future” Jeremiah 29:11 to those we serve. We have grown from a single provider (who has been a longstanding client since 1988) to a company employing over 1,800 therapists in the Midwest and Southern states.

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