Hospice CBSA Codes and Wage Indices
The Centers for Medicare and Medicaid Services (CMS) establishes payment amounts for the following categories of covered hospice care: routine home care, continuous home care, inpatient respite care, general inpatient care, and a service intensity add-on provided during routine home care during the last seven days of life. Hospice rates are determined annually on the Federal fiscal year basis.
CMS determines base rates. Final payment amounts for all hospice services are based upon the CBSA (Core-Based Statistical Area) where the service was furnished.
Each CBSA is assigned a wage index that reflects local geographical differences in wage levels. Payment for providers in each CBSA is determined when the wage index is applied to the payment calculation for each service. The wage index identifying the listing of CBSAs and multipliers is announced annually in the Federal Register and is posted at Hospice Wage Index | CMS. The Medicaid Hospice Rate Letters to states of the other components used in the rate calculations are posted at Hospice Payments | Medicaid. The Department posts the CBSAs pertinent to Illinois, with current rate information, at the links below.