FY 2027 Inpatient Rehabilitation Facility PPS Final Rule Summary

On August 3, 2026, the Centers for Medicare & Medicaid Services (CMS) published on the Federal Register website a final rule (CMS-1845-F) to update the Medicare inpatient rehabilitation facility prospective payment system (IRF PPS) for federal fiscal year (FY) 2027. Additionally, this rule includes updates for the IRF Quality Reporting Program. CMS finalizes proposals related to IRF therapy treatments or therapy evaluations, and interdisciplinary team meetings, but did not finalize a proposal related to documentation of functional status in the pre-admission screening. CMS also summarizes responses to two Requests for Information on alternative data sources for IRF PPS wage index and potential future IRF PPS payment reform. Finally, this rule includes changes to the DMEPOS Competitive Bidding Program. The IRF PPS Addenda, along with other supporting documents and tables referenced in this final rule, are available on the CMS website at CMS-1845-F.