Today, CMS announced a delay in the implementation of a recently-finalized regulation that would have created three new episode payment models for inpatient hospital care, established the Cardiac Rehabilitation Incentive payment model, and also made technical changes to the Comprehensive Care for Joint Replacement (CJR) model. The final regulation, which was released in December 2016 in the final days of the Obama Administration, was scheduled to take effect February 18, 2017. It will now take effect March 21, 2017. Our summary of the final rule is available here.

This is the first regulation signed by new Secretary of Health and Human Services Tom Price. Secretary Price was a vocal opponent of bundled payment models while serving in the House of Representatives, so today’s action may be more of a stay of execution for the programs instead of a simple delay.