CMS Finalizes FY 2027 IPPS Rule: What Hospitals Need to Know About Medicare Promoting Interoperability
CMS recently finalized several changes to the Medicare Promoting Interoperability Program that hospitals should be aware of as they plan for upcoming reporting years.*
The Centers for Medicare & Medicaid Services (CMS) issued the FY 2027 Hospital Inpatient Prospective Payment System (IPPS) and Long-Term Care Hospital (LTCH) Prospective Payment System final rule on July 31, 2026, which was published in the Federal Register on August 4, 2026.
The final rule includes changes across several hospital quality programs, including the Medicare Promoting Interoperability (PI) Program for eligible hospitals and critical access hospitals (CAHs). You can view and download the final rule and related documents at the CMS webpage below.
Visit the CMS 2027 IPPS Final Rule Home Page Here
What Hospitals Should Know
CMS finalized several changes that will affect future Medicare PI reporting periods, including:
• Removal of the ONC Direct Review and ONC-ACB Surveillance attestations beginning with the CY 2026 EHR reporting period
• Changes to the Electronic Prior Authorization measure, including its transition to a mandatory measure beginning with CY 2028
• Addition of a Unique Device Identifier (UDI) measure beginning with the CY 2027 EHR reporting period
• Changes to the electronic referral loop measures, with their removal delayed until CY 2029
• Updates to the Medicare PI eCQM measure set beginning with the FY 2030 payment determination
While some of these changes are still a few years away, hospitals should begin considering how they may affect their EHR capabilities, workflows, reporting processes, and overall Medicare PI strategy.
Don’t Wait Until the Next Reporting Period
The Medicare Promoting Interoperability Program continues to evolve, making it increasingly important for hospitals to understand not only their current requirements, but also what is coming next.
With changes to measures, certification requirements, electronic exchange, and eCQMs, now is a good time for hospitals to review their current PI processes and identify areas that may require attention before future requirements take effect.
Not sure what these changes mean for your hospital?
KENTUCKY REC Can Help
The Kentucky Regional Extension Center (KY REC) works directly with Kentucky hospitals and CAHs to help them understand and successfully navigate the Medicare Promoting Interoperability Program.
Our team can help your hospital:
• Understand current and upcoming Medicare PI requirements
• Identify potential compliance gaps
• Prepare for changes to future reporting periods
• Review your hospital’s PI performance and reporting strategy
• Navigate CMS and ONC requirements
Don’t navigate the changing Medicare Promoting Interoperability requirements alone.
Contact our Kentucky REC team today to learn how we can help your hospital prepare for current and future Medicare PI requirements. Call us at 859-323-3090.
*This article provides a high-level overview of finalized CMS policies and is intended for educational purposes. Hospitals should review official CMS guidance and program specifications when determining their specific Medicare Promoting Interoperability Program requirements.
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