Medicare Benefit Policy Manual (Pub. 100-02), Ch. 9 § 90.2.1
New Hospices
90.2.1 – New Hospices
(Rev. 246, Issued: 09-14-18, Effective: 12-17- 18, Implementation: 12-17-18)
The hospice aggregate cap is calculated in a different manner for new hospices entering
the Medicare program if the hospice has not participated in the program for an entire cap
year. In this situation, the initial cap calculations for newly certified hospices must cover
a period of at least 12 months but less than 24 months.
Hospices and Medicare contractors shall use the proportional method when calculating
the aggregate cap for all hospices which are Medicare-certified on or after October 1,
2011 (as described in Section 90.2.2 below).