An estimated 67 hospitals will get additional discharge payment due to a partial settlement over two-midnight rule.
The Centers for Medicare and Medicaid Services did not specify the amount of money the hospitals will receive.
[Also: 55 hospitals sue HHS over two-midnight rule, payment cuts]
In the November 9 notice, CMS instructed its Medicare administrative contractors to ensure the hospitals are paid additional payment for discharges from June 1, 2017 to May 31, 2018.
Hospitals brought a case against CMS after the agency, in 2014, gave a 0.2 percent downward adjustment to its inpatient prospective payment system under the two-midnight rule.
[Also: CMS proposes payment rule for inpatient stays, long-term care, rolls back two-midnight cuts]
CMS believed the cut would be offset by an increase in hospital admissions as providers decreased the number of patients kept for observational stays.
Under the two-midnight rule, CMS said patients staying in the hospital for less than two midnights would be considered outpatient and hospitals could not get inpatient reimbursement. Hospitals could be paid under the inpatient prospective payment system only if patients stayed in the hospital for two or more midnights.
Hospitals opposed the payment cut and filed lawsuits.
CMS said the partial settlement agreement related to Oakwood Healthcare Center, Oakwood Healthcare Center, Dignity Health and Shands Jacksonville Medical Center.
Twitter: @SusanJMorse
Email the writer: susan.morse@himssmedia.com