Best Advice: Begin Now to Prepare for 2025

Best Advice: Begin Now to Prepare for 2025

I have been preparing for the three August webinars on the Inpatient Prospective Payment System (IPPS) for the 2025 fiscal year (FY). The final rule is scheduled to be released before or on Aug. 2. My experience is that the proposed rule provides an indication of the information in final rule; the proposed rule is 1,902 pages.

Your comments can be submitted at https://www.regulations.gov; follow the directions under the “Submit a Comment” tab. The proposed rule is numbered CMS-1808-P.

Diagnosis-Related Group (DRG) changes for consideration for FY 2026 must be submitted by Oct. 20 via MEARIS. The website is https://mearis.cms.gov/public/home.

Seven diagnosis codes that fall in the Social Determinants of Health (SDoH) range have been recommended to change from non-CC (complication or comorbidity) to CC severity status. These codes are Z59.10 (inadequate housing, unspecified); Z59.11 (inadequate housing environmental temperature); Z59.12 (inadequate housing utilities); Z59.19 (other inadequate housing); Z59.811 (housing instability, housed, with risk of homelessness); Z59.812 (housing instability, housed, homelessness in past 12 months); and Z59.819 (housing instability, housed, unspecified). It is important to discuss these codes with the coding staff, as well as in your facility-specific coding guidelines.

There are 13 changes recommended to MS-DRGs. There were no recommended changes for MS-DRGs 981-983 or 987-989.

With regards to New Technology Add-On Payments (NTAPs), 24 items are recommended to be continued from FY 2024, and seven items are listed as discontinued. Sixteen applications for NTAPs were received, but one was not eligible and three were withdrawn. For Alternative Pathways NTAPs, 23 applications were received. Seven applications did not meet the requirements, and two were withdrawn. Of the remaining applications, 12 are for Breakthrough Device designation and two are designated as Qualified Infectious Disease Product (QIDP).

It is important to review NTAPs with hospital departments on a regular basis to ensure that they are coded and that your facility receives additional reimbursement. The regular review will ensure that you capture any changes over the year. Another approach is to share the NTAP list with the chargemaster coordinator, so when an item on the NTAP list is added to the chargemaster, you will be notified. Document the NTAPs in your facility-specific coding guidelines, along with where the documentation may be found. The list of NTAPs for FY 2024 is found on the FY 2024 IPPS Final Rule website. The file is MAC (Medicare Administrative Contractor) Implementation File 8. In the August DRG session, we will review the final list for Oct. 1.

There is meaningful information in the IPPS Proposed Rule for FY 2025. This information can be used for preparation.

Resources:

IPPS FY25 Proposed Rule: https://www.cms.gov/medicare/payment/prospective-payment-systems/acute-inpatient-pps/fy-2025-ipps-proposed-rule-home-page

IPPS FY24 NTAP File:

https://www.cms.gov/medicare/payment/prospective-payment-systems/acute-inpatient-pps/fy-2024-ipps-final-rule-home-page#Tables

Facebook
Twitter
LinkedIn

Laurie M. Johnson, MS, RHIA, FAHIMA, AHIMA Approved ICD-10-CM/PCS Trainer

Laurie Johnson is currently a senior healthcare consultant for Revenue Cycle Solutions, based in Pittsburgh, Pa. Laurie is an AHIMA-approved ICD-10-CM/PCS trainer. She has more than 35 years of experience in health information management and specializes in coding and related functions. She has been a featured speaker in over 40 conferences. Laurie is a member of the ICD10monitor editorial board and is a permanent panelist on Talk Ten Tuesdays

Related Stories

Leave a Reply

Please log in to your account to comment on this article.

Featured Webcasts

AI, Audits, and the Future of the Revenue Cycle

Artificial intelligence is rapidly transforming healthcare revenue cycle operations, from coding and auditing to compliance and denials. Join industry leaders Pam Warren (MaineHealth) and Raemarie Jimenez (AAPC) for a live fireside chat exploring how AI is changing workflows, workforce roles, payer-provider dynamics, and compliance risk—and what organizations should be doing now to prepare.

June 17, 2026

Trending News

Featured Webcasts

CMS CRUSH: What You Need to Know About the Next Wave of Program Integrity and Payment Oversight

CMS CRUSH (Comprehensive Regulations to Uncover Suspicious Healthcare) signals a new era of data-driven program integrity oversight that extends far beyond coding and CDI. As federal scrutiny of claims, documentation, billing practices, provider enrollment, and payment accuracy intensifies, healthcare organizations must be prepared to identify and address vulnerabilities before they result in audits, denials, repayments, or enforcement actions. Join us for this timely webcast to learn what CMS CRUSH could mean for your organization and discover practical strategies to strengthen documentation, claims integrity, compliance readiness, and reimbursement defensibility.

July 14, 2026

Ask Dr. Hirsch: Clarifying Medicare’s Most Misunderstood Rules – Part 2

Medicare regulations are complex and even seasoned professionals struggle to apply them consistently. Due to overwhelming demand, Dr. Hirsch returns for Part 2 of Ask Dr. Hirsch: Clarifying Medicare’s Most Misunderstood Rules to answer even more of Medicare’s most misunderstood questions, covering inpatient status, observation, SNF access, Medicare Advantage denials, and more. Join Dr. Hirsch as he provides clear, referenced answers to real-world questions submitted by your peers, helping you navigate Medicare compliance with confidence and clarity.

June 18, 2026

Reengineering Utilization Management: Building an Adaptive Model for the New Payer Era

Traditional utilization management models can no longer keep pace with regulatory shifts, payer scrutiny, and operational pressures. In this webcast, Tiffany Ferguson, LMSW, CMAC, ACM, ACPA-C, introduces an Adaptive Model strategy that modernizes UM through role specialization, technology-driven workflows, and proactive, team-based processes. Attendees will learn how to restructure programs to improve efficiency, strengthen clinical collaboration, and enhance financial performance in a rapidly changing healthcare environment.

May 20, 2026

Compliance for the Inpatient Psychiatric Facility (IPF-PPS): Minimizing Federal Audit Findings by Strengthening Best Practices

Federal auditors are intensifying their focus on inpatient psychiatric facilities, using advanced data analytics to spotlight outliers and pursue high‑dollar repayments. In this high‑impact webcast, Michael Calahan, PA, MBA, Compliance Officer and V.P., Hospital & Physician Compliance, breaks down what regulators are really targeting in IPF-PPS admissions, documentation, treatment and discharge planning. Attendees will learn practical steps to tighten processes, avoid common audit triggers and protect reimbursement and reduce the risk of multimillion-dollar repayment demands.

April 9, 2026

Trending News

Prepare for the 2025 CMS IPPS Final Rule with ICD10monitor’s IPPSPalooza! Click HERE to learn more

Get 15% OFF on all educational webcasts at ICD10monitor with code JULYFOURTH24 until July 4, 2024—start learning today!

This Memorial Day, we honor those who gave all for our freedom. Take 20% off sitewide through May 29 with code MEMORIAL26 at checkout

CYBER WEEK IS HERE! Don’t miss your chance to get 20% off now until Dec. 1 with code CYBER25

CYBER WEEK IS HERE! Don’t miss your chance to get 20% off now until Dec. 2 with code CYBER24