27 May 2025

🏥Updates to CHGME Payment Methodology Impacting Children's Hospitals

Children's Hospitals Graduate Medical Education Payment Program: Updated Methodology To Determine Full-Time Equivalent Resident Count

Summary

HRSA published a notice in the Federal Register on December 30, 2024, soliciting feedback for a proposed update to the Children's Hospitals Graduate Medical Education (CHGME) Payment Program's method of determining an eligible children's hospital's (as defined within the Public Health Service Act) weighted allopathic and osteopathic full- time equivalent (FTE) resident count when this count exceeds its direct graduate medical education (GME) FTE resident cap. This proposed change is being made to be consistent with the methodology used by the Centers for Medicare & Medicaid Services (CMS) consistent with CHGME Payment Program's long-standing practice of using the same methodology in calculating FTE counts as CMS does in Medicare GME and to minimize administrative burden on hospital who participate in both programs. This notice summarizes and responds to the comments received during the 30-day comment period.

Agencies

  • Health and Human Services Department
  • Health Resources and Services Administration

Business Impact ?

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The text discusses updates to the Children's Hospitals Graduate Medical Education (CHGME) Payment Program, affecting funding calculations for children's hospitals. These changes could lead to varying financial impacts on hospitals, improving payment models and compliance with CMS regulations, which directly affects their financial health and operational planning.

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