Hospice Quality Reporting Program: CMS Issues Non-Compliance Letters for FY 2022 APU 

Situation Report | July 20, 2021

The U.S. Centers for Medicare and Medicaid Services (CMS) has announced that non-compliance letters related to the hospice quality reporting program are now available in CASPER folders.

For the Fiscal Year (FY) 2022 payment update, all Medicare-certified hospice providers must have complied with two reporting requirements for Calendar Year 2020. These requirements are the Hospice Item Set (HIS) and the Hospice Consumer Assessment of Healthcare Providers and Systems (CAHPS) reporting requirements.

Failure to comply with either one of these requirements will result in a 2 percentage point reduction in a hospice’s annual payment update (APU) in FY 2022.

HCA member hospices should note that the penalty associated with HQRP submissions will increase to 4 percent beginning in FY 2024 payments. Any provider who is currently out of compliance with the HQRP should consider ways to improve compliance scores to avoid the 4 percent penalty in FY 2024.

Hospices that receive a letter of non-compliance may submit a request for reconsideration to CMS via email no later than 11:59 p.m., August 13, 2021. If you receive a notice of non-compliance and would like to request a reconsideration, see the instructions in your notification and on the Reconsideration Requests webpage.