The Centers for Medicare and Medicaid Services (CMS) has released a new proposed rule protecting access to emergency care and additional outpatient services for people in rural communities.
CMS is establishing the Conditions of Participation (CoPs) for Rural Emergency Hospitals (REHs). The proposed rule will allow small rural hospitals to seek this new health care provider designation and provide continued access to emergency services, observation care and additional medical and outpatient services, including maternal health, behavioral health and substance use disorder services. In accordance with the statutory legislation, REHs will be eligible to receive payment for services provided on or after January 1, 2023.
Rural communities represent a fifth of the U.S. population. Since 2010, 138 rural hospitals have closed — with a record-breaking 19 hospitals closing in 2020 alone. These closures occur disproportionately within communities with higher poverty rates. Rural communities experience shorter life expectancy, higher mortality and have fewer local health care providers, leading to worse health outcomes than in other communities.
The REH provider type was established by the Consolidated Appropriations Act of 2021 to address the growing concern over closures of rural hospitals.
CMS anticipates including further discussion on important aspects for REHs, such as Medicare enrollment, payment, quality reporting, and more in the upcoming Calendar Year 2023 Outpatient Prospective Payment System and Ambulatory Surgical Center Payment System Proposed Rule.