Medicare Claims Processing Manual (Pub. 100-04), Ch. 32 § 50.3.1
Part A Payment Methods
50.3.1 – Part A Payment Methods
(Rev. 128, 03-26-04)
Payment for the inpatient procedure is under Diagnostic Related Group (DRG). The outpatient procedure is
outpatient prospective payment system. For critical access hospitals (CAH), the inpatient stay is on reasonable cost
and the outpatient procedures are also based on reasonable cost.