---
title: CMS 2027 Inpatient Rehabilitation Facility (IRF) Proposed Rule
description: CMS releases CMS 2027 Inpatient Rehabilitation Facility (IRF) Proposed Rule.
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---

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[Chris Cusimano](https://public.govdataservices.com/the-scoop/author/chris-cusimano) Apr 7, 2026, 5:05:33 PM  \< 1 min read

# CMS 2027 Inpatient Rehabilitation Facility (IRF) Proposed Rule

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On April 6, 2026 CMS released the FY 2027 IRF Proposed Rule with a modest +2.4% net payment update. The real story are operational changes and signals about where reimbursement is heading.

Payment Update = +3.2% market basket update with -.8% productivity adjustment. (~$355M total impact of the net +2.4%)

Operational Changes =

- Therapies must begin within 36 hours
- New preadmission documentation of current functional status
- IDT meetings by Day 4 of admission

Financial Implications =

- Continued phase-out of rural adjustment
- Lower outlier threshold at $8,689 from $10,141 in FY 2026

Signals =

- Future payment reform- Potential shift toward Skilled Nursing Facility Patient Driven Payment Model (PDPM) style diagnosis-driven reimbursement

![avatar](https://public.govdataservices.com/hs-fs/hubfs/chriscusimano.jpg?width=290&name=chriscusimano.jpg)

#### [Chris Cusimano](https://public.govdataservices.com/the-scoop/author/chris-cusimano)

## RELATED ARTICLES

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### [Chris Cusimano Aug 1, 2025, 3:17:10 PM 2 min read FFY 2026 IPPS Final Rule on Public Inspection On July 31, 2025, CMS released the FFY 2026 Inpatient Prospective Payment System Final Rule (CMS-1833-F). Start Reading](https://public.govdataservices.com/the-scoop/ffy-2026-ipps-final-rule-on-public-inspection)

### [Chris Cusimano Aug 2, 2024, 1:43:35 PM 1 min read CMS FFY 2025 Inpatient PPS Final Rule On August 1, 2024, CMS released the FFY 2025 Inpatient Prospective Payment System Final Rule (CMS-1808-F). IPPS payments up ... Start Reading](https://public.govdataservices.com/the-scoop/cms-ffy-2025-inpatient-pps-final-rule)

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