Medicare Part A pay rates will rise 4.2% Oct. 1 under the finalized 2025 SNF PPS payment rule released July 31. It also codified broader fines, drawing immediate opposition from those in the nursing home sector.

“I’m disgusted. With Medicare utilization dropping to single digits in many states, the [rule] is an ‘enforcement rule’ more than a ‘payment rule,’” said Marc Zimmet, CEO of Zimmet Healthcare Services Group. “The average provider’s gross reimbursement will increase $100,000. That fixes nothing.” 

The leader of the largest US nursing home association ripped into regulators for giving themselves expanded powers to fine.

“[W]e are extremely disappointed in the Civil Monetary Penalties policy that CMS finalized in this rule,” said AHCA President and CEO Mark Parkinson, calling an added way to impose financial penalties “a clear indication of agency overreach“ when it comes to enforcement.