Hospice providers would receive a 2.8% Medicare reimbursement increase in fiscal 2024 under a proposed rule the Centers for Medicare and Medicaid Services issued Friday.

The draft regulation also would cap hospice reimbursement at $33,396.55 per patient. According to CMS, the proposed rule would result in hospice providers receiving a $720 million pay increase.

Hospices that fail to meet quality reporting requirements would take a 4 percentage point hit to their base reimbursement increase, resulting in a 1.2% net cut.

CMS proposes changes to the telehealth services provision for routine home care when the COVID-19 public health emergency ends May 11.

The draft regulation includes measures to combat hospice fraud and abuse. Under the rule, physicians who order or certify hospice services for Medicare enrollees would only be paid if they are Medicare providers themselves or if they validly opted out.

The agency will accept comments on the proposed rule until May 30.