Medicare Program; Hospital Inpatient Prospective Payment Systems for Acute Care Hospitals (IPPS) and the Long-Term Care Hospital Prospective Payment System and Policy Changes and Fiscal Year (FY) 2027 Rates; Requirements for Quality Programs; and Other Policy Changes

CMS has issued a proposed rule that would update Medicare payment rates and policies for acute care hospitals under the Inpatient Prospective Payment System (IPPS) and for Long-Term Care Hospitals (LTCHs) for fiscal year 2027. The proposal also includes modifications to graduate medical education funding for teaching hospitals and revisions to existing quality reporting programs. While not directly targeting physical therapy, these changes affect the inpatient settings where many PTs practice and could influence hospital budgets and staffing.

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