Home health operators and stakeholders have publicly criticized the U.S. Centers for Medicare and Medicaid Services’ (CMS) proposed home health payment rule for calendar year 2026 since its announcement in June. Now, interested parties are filing official comments as the public comment period for the proposed home health rule nears its end.
The public comment period will close at the end of the day on Friday, Eastern time, on Friday, Aug. 29. Over 10,000 comments have been submitted as of the time of this story’s publication.
Critics of the proposed rule, which amounts to a 9% payment cut to the 30-day base payment rate, say it will restrict access to care, hinder home health providers’ ability to invest in technology and strain home health providers’ referral partners.
Commenters warn that home health agencies already operate on slim margins and that the proposed cut would be disastrous for patients, agencies and Medicare itself.
Some comments from Industry leaders:
Axxess is deeply concerned about the significant reimbursement rate reductions in the CY 2026 Proposed Rule. While we understand CMS’s responsibility to ensure payment accuracy and budget neutrality, the scale of these cuts will be felt across the entire U.S. healthcare delivery ecosystem. Home health agencies already operate with razor-thin margins when considering total case mix and significant losses caring for Medicare Advantage and Medicaid patients. Reducing reimbursement further limits the provider’s ability to hire and retain staff, provide competitive wages and sustain services in rural and underserved communities. It also directly impacts their ability to invest in the technology enhancements that CMS policy changes increasingly require – from digital quality measurement to FHIR-based interoperability and all-payer OASIS reporting. – Axxess
This proposed cut – both the permanent and temporary adjustments – would result in an estimated $1.13 billion reduction in payments to home health agencies compared to CY 2025. This reduction comes on top of nearly 9% in cuts already implemented from CY 2023 through CY 2025. Such repeated and compounding reductions are unsustainable and directly threaten patient access to critical, cost-effective home health care. … When beneficiaries are unable to access home health care, Medicare often incurs higher costs because of increased emergency department visits, preventable hospital readmissions, and the need for more expensive institutional care. Such a result is untenable, as it both threatens patients’ ability to receive in the setting they most prefer – the home – and places unnecessary financial burden on the Medicare program. – The National Alliance for Care at Home
WellSky works closely with clinicians and healthcare leaders who are dedicated to compliant and effective care delivery. These providers are essential to helping Medicare beneficiaries stay in the home, even when they have complex care needs. Data-informed and risk-aligned home healthcare contributes extraordinary value to the Medicare program by reducing avoidable hospitalization and institutionalization costs. Therefore, we want to express our sincere concern with CMS’s proposed cuts to the home health program and its providers. The proposed payment adjustments will have a devastating impact on Medicare beneficiaries’ access to home health services, a crucial form of healthcare that is proven to deliver higher quality care at lower cost. – WellSky
source: Home health care news
