The MedPAC report is the first of three PAC payment reform reports statutorily-mandated by the Improving Medicare Post-Acute Care Transformation (IMPACT) Act of 2014. The initial MedPAC report is intended to lay the foundation for more detailed work by the U.S. Department of Health and Human Services (DHHS) on the development of a unified PAC, cross-setting payment system.
In follow-up to the report, the DHHS is required respond to the June 2016 MedPAC document by 2020. A final proposal for a U-PAC payment system is due to Congress no later than 2023. MedPAC believes U-PAC could be implemented by 2025.
In its comments to the Commissioners, MedPAC staff laid out the topics of the report, including:
- Feasibility of a PAC PPS
- Impacts on payments
- Implementation issues
- Possible changes to regulatory requirements
- Companion policies to implement with PAC PPS
- Importance of monitoring provider responses
- Need to move toward episode-based payments
A summary of the session is available here.