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November 15, 2004
Medicare Program; Prospective Payment
System for Inpatient Psychiatric Facilities; Final Rule
This final rule establishes a prospective payment system for Medicare payment of inpatient hospital services furnished in psychiatric hospitals, psychiatric units of acute care hospitals, and critical access hospitals. It implements section 124 of the Medicare, Medicaid, and SCHIP Balanced Budget Refinement Act of 1999 (BBRA). The prospective payment system described in this final rule will replace the reasonable cost-based payment system under which psychiatric hospitals and psychiatric units are paid under Medicare.

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