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This bill amends Medicare's payment system for long-term care hospitals (LTCHs) to improve payment accuracy and predictability. It caps the growth of the fixed loss amount at $50,000 for fiscal years 2025–2026 and limits subsequent increases to 110 percent annually. The bill also establishes new payment adjustments for patients with high-complexity conditions (multiple major complications or comorbidities) and creates exceptions to payment restrictions for patients with severe wounds, specific respiratory or sepsis diagnoses, or COVID-19 treatment.
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