Let’s Discuss Reclassification

Hospitals play a vital role in health and economy of communities, but many are dealing with challenges associated with size, ability to attract and retain resources, and financial stability. Being classified as a Critical Access Hospital (CAH) may have benefits that are unique to those organizations that qualify including higher reimbursement rates, additional Capital Funding Resources, and extended flexibility for some staffing requirements.

Critical Access Hospital Reclassification

Regulations have changed.

Effective January 1, 2023, the Conditions of Participation for Critical Access Hospitals changed as stated in 42 CFR Section 485 Subpart F of the Centers for Medicare & Medicaid Services. The traditional primary road rule is newly defined in CAH CoP (42 CFR. 485.610).

With these recent changes, a conversion to a Critical Access Hospital classification might be a consideration for your facility.

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    • Transition smoothly to a Critical Access Hospital classification.

We are going to have debt reduction. The settlements were critical to keeping our hospital open. Otherwise, we would have been the 28th hospital to close in Texas. Not the case now. Forever grateful to you and your team.

Ted D. Matthews
Interim CEO at Anson General Hospital


Will provision of care change when our hospital converts to Critical Access?

No. Provision of care will not change when the hospital converts to Critical Access.

What are some of the changes that take place with reclassification?

The Administrative and Reporting thought process evolves.

How does Inpatient/Outpatient payment change?

Payments will be based on a cost basis reimbursement basis.

How long does it take to complete the CAH Application and Certification?

The entire process is usually 6 to 9 months from initial submission.

Can we gain certification as a Critical Access Hospital under the Revised Medicare Final Rule FFY 2023?

It is based on several criteria for the nearest like-kind hospital and definition of a primary road. Meet with a Discovery Consultant for specific guidelines.

Does Discovery offer any other services?

Discovery does Cost Reporting services, DSH services and Price Transparency among just a few. Visit daacg.com for additional professional assistance.

What hospitals do you work with?

We work with approximately 150 government, non-government, and non-profit hospitals.

We currently work with other firms for our Hospital Reporting Services. Can you still help us with this?

Yes, we can support your hospital through this analysis and/or potential conversion.

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    Brent Fuller

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    Together, we can discover the solutions your organization needs.