Implementation of the Ensuring Access to Medicaid Services (CMS-2442-F) Final Rule: Part 1
Payment Rate Transparency 42 CFR § 447.203(b)(1): Payment Rate Transparency Publication of Medicaid FFS Rates
Key Takeaways
Beginning July 1, 2026, state Medicaid agencies must publicly publish and maintain their Medicaid fee-for-service (FFS) payment rates in accordance with the requirements established under 42 CFR § 447.203(b)(1).
What State Agencies Need to Know: At a Glance
The new Medicaid FFS payment rate transparency requirements go beyond simply posting existing fee schedules online. States should evaluate whether their current rate publications include all applicable FFS rates, clearly identify rate variations, appropriately address bundled and value-based payments, and provide actual payment amounts for formula-based methodologies.
States may also need to update fee schedule templates, operational procedures, websites, and posting policies to meet the new requirements and maintain compliance on an ongoing basis.
Evaluate Payment Rate Transparency Requirements
Review the CMS final rule and Guide for States to understand the scope of the new Medicaid FFS rate publication requirements and identify the rate information that must be made publicly available.
Prepare for Ongoing Compliance
Develop processes for reviewing, updating, and publishing fee schedules, including procedures to ensure rate information is updated within 30 days of approved payment rate changes.
Stay Ahead
July 1, 2026
Initial Payment Rate Publication
States must publish and make readily accessible applicable Medicaid FFS payment rate schedules on a public-facing website.
Within 30 Days of a Rate Change
Ongoing Rate Updates
After July 1, 2026, states must update published rate information within 30 days of an approved payment rate change.
July 1, 2028
Second Two-Year Update
States should establish a routine process for updating rate publications on an ongoing basis. The second two-year update will occur July 1, 2028, consistent with the broader FFS payment rate transparency requirements.
Understanding the Payment Rate Transparency Requirements
The new requirements under 42 CFR § 447.203(b)(1) establish specific expectations for how states publish Medicaid FFS payment rates.
States must organize published rates in a manner that allows the public to easily understand Medicaid FFS payments. This includes all applicable FFS rates, including rates that states may not have historically published, such as certain provider-specific rates.
The publication requirements exempt Federally Qualified Health Center (FQHC) and Rural Health Clinic (RHC) rates, as well as Certified Community Behavioral Health Clinic (CCBHC) rates under the CCBHC demonstration.
Bundled and Value-Based Payments
When bundled or value-based payments are based on FFS rates, states must identify each component service, along with the applicable rates and allocations.
Certain alternative payment methodologies may also be subject to the publication requirements.
Formula-Based Methodologies
States must publish the actual payment amounts derived from formula-based payment methodologies rather than publishing only the underlying methodology or formula.
Variable Rates
FFS rates that vary based on factors such as population, provider type, geographic location, or other criteria must be clearly identified in each fee schedule publication.
States have flexibility in how they organize and format their FFS rate publications, provided the required information is included and readily accessible.
How Myers & Stauffer Can Help
Myers & Stauffer recommends that states begin evaluating their current Medicaid FFS rate publication practices and develop a plan for meeting the payment rate transparency requirements.
Review the final rule and CMS Guide for States to understand the numerous new requirements for Medicaid FFS payment rate publication.
States should assess their current fee schedule publication practices and determine whether existing publications meet the new requirements for rate coverage, accessibility, formatting, and ongoing updates.
The July 1, 2026 implementation date provides an important opportunity for states to evaluate their existing rate publication practices and establish sustainable processes for ongoing compliance. Myers & Stauffer is ready to help states navigate the requirements and develop practical solutions for accurate, accessible, and transparent Medicaid payment rate information.
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