CMS Finalizes FY 2027 Hospice Payment Rates and Quality Reporting Requirements

On July 30, 2026, the Centers for Medicare & Medicaid Services (CMS) released final rule CMS-1851-F, which establishes updated Medicare hospice payment rates and wage index values for fiscal year (FY) 2027. The rule also adjusts the hospice aggregate cap amount in accordance with existing statutory and regulatory requirements.

The final rule additionally addresses Hospice Quality Reporting Program (HQRP) requirements for FY 2027. The abstract does not detail specific payment rate percentages, quality measure changes, or cap figures; agency administrators should review the full rule and accompanying fact sheet at the CMS newsroom for complete details.

CMS-1851-F takes effect for the fiscal year beginning October 1, 2026. Hospice providers should examine the rule carefully to understand how updated wage index values will affect reimbursement across different geographic areas.

Why it matters

Hospice agency administrators should review CMS-1851-F promptly to assess the financial impact of revised payment rates, the updated wage index, and any changes to the aggregate cap on their organization. Adjustments to Hospice Quality Reporting Program requirements may also affect data submission obligations and potential payment adjustments, making early compliance planning essential before the October 1, 2026 effective date.