Southwest Consulting Associates Blog

2020 Inpatient Psych Final Rule Update

Posted by Stacie Snider on Aug 13, 2019 4:53:34 PM

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know the rules whiteboard-1752406_1920_Image by Gerd Altmann from Pixabay The FY 2020 Inpatient Psych Final Rule was put on display for public inspection on July 30, 2019, and was published in the Federal Register August 6, 2019. The FY 2020 Psych Final Rule can be viewed here. As a reminder, this IPF rule affects discharges on or after October 1, 2019.


Each year, CMS publishes updates to the regulations for inflation factors, wage adjustments, etc. and they have finalized the following updates to the Psych rates for FFY 2020:



Current Rate

Proposed Rate

Final Rate

% Change from Current Rate

Federal Per Diem (for providers who reported quality data)





Federal Per Diem (for providers who failed to provide quality data)





Electroconvulsive Therapy (ECT) Payment (for providers who reported quality data)





Electroconvulsive Therapy (ECT) Payment (for providers who failed to report quality data)





Outlier Threshold






Notable items from our review of the Inpatient Psych final rule include:

  1. CMS finalized using the concurrent inpatient wage index for the psych payment calculation.
  2. CMS finalized new quality measures for FY2020.

If interested, you can find our post on the FY 2020 Inpatient Psych proposed rule here.  Additionally, the final 2020 IPPS, Rehab, SNF, ESRD and Hospice rules have been published.  You can expect posts on each of these in the coming days.


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Topics: Industry Updates, regulations, final rule, provider reimbursement, inpatient psych

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The climate of provider reimbursement is ever-changing and this blog is intended to keep you up-to-date on the latest information regarding:

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