42 C.F.R. § 484.345
Definitions.
Cite as 42 C.F.R. § 484.345 (2026)
As used in this subpart—
Achievement threshold
means the median (50th percentile) of home health agency performance on a measure during a Model baseline year, calculated separately for the larger- and smaller-volume cohorts.
Applicable measure
means a measure (OASIS- and claims-based measures) or a measure component (HHCAHPS survey measure) for which a competing HHA has provided a minimum of one of the following:
(1) Twenty home health episodes of care per year for each of the OASIS-based measures.
(2) Twenty home health episodes of care per year for each of the claims-based measures.
(3) Forty completed surveys for each component included in the HHCAHPS survey measure.
Applicable percent
means a maximum upward or downward adjustment for a given payment year based on the applicable performance year, not to exceed 5 percent.
Benchmark
refers to the mean of the top decile of Medicare-certified HHA performance on the specified quality measure during the Model baseline year, calculated separately for the larger- and smaller-volume cohorts.
Competing home health agency or agencies (HHA or HHAs)
means an agency or agencies that meet the following:
(1) Has or have a current Medicare certification; and
(2) Is or are being paid by CMS for home health care services.
HHA baseline year
means the calendar year used to determine the improvement threshold for each measure for each individual competing HHA.
Home health prospective payment system (HH PPS)
refers to the basis of payment for HHAs as set forth in §§ 484.200 through 484.245.
Improvement threshold
means an individual competing HHA's performance level on a measure during the HHA baseline year.
Larger-volume cohort
means the group of competing HHAs that are participating in the HHCAHPS survey in accordance with § 484.245.
Linear exchange function
is the means to translate a competing HHA's Total Performance Score into a value-based payment adjustment percentage.
Model baseline year
means the calendar year used to determine the benchmark and achievement threshold for each measure for all competing HHAs.
Nationwide
means the 50 States and the U.S. territories, including the District of Columbia.
Payment adjustment
means the amount by which a competing HHA's final claim payment amount under the HH PPS is changed in accordance with the methodology described in § 484.370.
Payment year
means the calendar year in which the applicable percent, a maximum upward or downward adjustment, applies.
Performance year
means the calendar year during which data are collected for the purpose of calculating a competing HHA's performance on measures.
Pre-Implementation year
means CY 2022.
Smaller-volume cohort
means the group of competing HHAs that are exempt from participation in the HHCAHPS survey in accordance with § 484.245.
Total Performance Score (TPS)
means the numeric score ranging from 0 to 100 awarded to each competing HHA based on its performance under the expanded HHVBP Model.
[86 FR 62422, Nov. 9, 2021, as amended at 87 FR 66887, Nov. 4, 2022]
- Cross-references to the CFR
- 484.200484.245.484.370.