The Centers for Medicare and Medicaid Services has announced that it has recently discovered an error in the calculation of the diagnosis-related group relative weights in the FY08 inpatient prospective payment system proposed rule. CMS revised the relative weights to correct the error and recalculated the IPPS standardized amounts; these changes will increase the IPPS standardized amounts by $0.18.
Also, the proposed FY08 outlier threshold will decrease by $85 to $22,940. In addition, there will be some minor changes to the wage index in the fourth decimal place for some hospitals.
CMS has posted new tables on its web site, and expects to publish a correction notice with the revised information in the Federal Register shortly. Download the IPPS public use data files.
