HHS Proposes Medicare Payment Rate Increase for Hospitals

April 10, 2026, 9:36 PM UTC

The Trump administration is seeking to increase Medicare reimbursement for outpatient services at acute care hospitals by 2.4%, or $1.4 billion in 2027, according to a proposed rule released Friday.

The proposal (RIN 0938-AV79) from the Centers for Medicare & Medicaid Services also includes a 2.3% reimbursement bump of $55 million for long-term care hospitals, along with several new hospital quality reporting measures.

The CMS said in a release that it was publishing the proposed rule to meet its legal obligation to update Medicare payment policies for hospitals.

The proposal imposes new prohibitions on race-based admissions in medical ...

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