CMS issued a final rule on July 23, 2010 that creates a new bundled prospective payment system (PPS) for facilities that furnish renal dialysis services and home dialysis to Medicare beneficiaries with End-Stage Renal Disease (ESRD). This new
rule replaces the current system, which pays facilities a composite rate for a defined set of items and services, while paying separately for drugs, laboratory tests, or other services that are not included in the composite rate. Under the new
ESRD PPS, CMS will make a single bundled payment to the dialysis facility for each dialysis treatment that will cover all renal dialysis services and home dialysis. The new bundled payment system will be effective for dialysis treatments furnished
to beneficiaries on or after Jan. 1, 2011. Ober|Kaler's Susan A. Turner explains.
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