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This bill amends Medicare's payment system for long-term care hospitals by capping the fixed loss amount for high-cost outlier payments at $50,000 in fiscal years 2025 and 2026, and by creating a temporary exception allowing certain long-term care hospital discharges involving severe wounds to be paid at the standard federal rate rather than the site-neutral rate through fiscal year 2027. The bill also requires the Secretary of Health and Human Services to study the current high-cost outlier payment methodology and the effects of the severe wound exception, with reports due to Congress within one to two years.
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