Obama’s 2016 budget: HOPD rates to fall to ASC rates?

President Barack Obama’s budget plan for the fiscal year 2016 has been released and the impact on Medicare will be significant. The proposed budget aims to save Medicare $423 billion between 2016 and 2025, according to a report by The Kaiser Family Foundation.

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Amongst bold moves such as sustainable growth rate repeal and primary care incentive payments, hospital outpatient department payments would be subject to great change. The proposed budget would lower off-campus HOPD rates to physician fee schedule or ambulatory surgery center rates.

If the budget plan is enacted, this change could begin as early as 2017. The HOPD rate change is estimated to have a $29.5 million impact from 2017 to 2025.

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