The Administrative Burden in Hospice Care Keeps Expanding

by Jamie Daugherty, Executive Director

Every year, hospice providers adapt to new regulations, reporting requirements, compliance expectations, and operational changes.

That is not new.

What is changing is the scale and pace at which those expectations continue to grow.

The recently released CMS FY 2027 Hospice Wage Index and Payment Rate Update Proposed Rule is the latest example. (Centers for Medicare & Medicaid Services)

While the proposed rule includes a projected 2.4% payment update and adjustments to the hospice cap amount, it also contains significant operational and reporting proposals that providers now need to review, interpret, and potentially prepare to implement. (Centers for Medicare & Medicaid Services)

Comments on the proposed rule are due by June 1, 2026. Providers can review the rule and submit comments here:

Submit Comments on CMS-1851-P

This Is More Than a Payment Rule

Like many recent CMS proposals, this rule extends far beyond reimbursement.

The proposed rule includes:

  • Expanded quality reporting discussions
  • Additional transparency and oversight measures
  • Proposed operational workflow changes
  • New scrutiny around non-hospice Medicare spending
  • Updates related to telehealth face-to-face encounters
  • Requests for information on palliative care and medical aid in dying (MAID) (Federal Register)

CMS is also proposing a new Hospice Service and Spending Variation Index (SSVI), intended to monitor utilization patterns and support program integrity oversight. (Federal Register)

In addition, CMS proposes requiring the hospice election statement addendum to be provided to all Medicare beneficiaries at the time of election rather than only upon request. (Federal Register)

Individually, many of these proposals may appear manageable.

Operationally, they add to an already expanding compliance infrastructure providers are expected to maintain.

The Work Behind the Work

For hospice providers, administrative burden is not just paperwork.

It affects:

  • Staffing capacity
  • Leadership time
  • Clinical workflows
  • Documentation oversight
  • Audit preparedness
  • Operational sustainability

Every new requirement requires implementation:

  • Policies must be updated
  • Staff must be trained
  • Systems must be adjusted
  • Compliance must be monitored

And for many organizations—particularly smaller and rural providers—those responsibilities are being absorbed by teams already operating with limited bandwidth.

Oversight Continues to Increase

The proposed rule also reinforces a broader trend that providers are already experiencing:

Federal scrutiny of hospice care is continuing to intensify. (Federal Register)

Much of the recent national conversation has centered around program integrity, utilization patterns, and fraud prevention.

Those issues matter.

But there is also growing concern across healthcare that administrative complexity and oversight expectations are increasing faster than operational capacity.

That concern is especially relevant for providers serving rural communities and geographically large service areas where staffing and operational resources are already stretched thin.

Why Provider Feedback Matters

This is exactly why provider engagement during the comment period is important.

Providers understand operational reality in ways that are difficult to capture from policy discussions alone.

Feedback from agencies helps ensure that CMS hears directly from organizations responsible for implementing these changes in real-world environments.

That perspective matters—not only for compliance, but for access, workforce sustainability, and long-term viability of hospice care delivery.

Additional OAHC FAQ Resource Coming Soon

OAHC is also developing a separate FAQ resource regarding the recent CMS moratorium announcement and related federal oversight activity impacting hospice and home health providers.

That FAQ will focus on:

  • Operational implications
  • Oregon-specific considerations
  • Rural access concerns
  • Interaction with Oregon’s SB 1575
  • Frequently asked provider questions

We know providers are looking for practical guidance, not just headlines, and we’ll continue sharing updates as more information becomes available.

Moving Forward

Hospice providers have always adapted to change.

But the reality today is that compliance, reporting, and operational oversight are becoming increasingly central to how organizations function.

The challenge is no longer responding to occasional regulatory updates.

It is managing continuous operational complexity while continuing to deliver high-quality, compassionate care to patients and families.

And that balancing act is becoming one of the defining leadership challenges in healthcare.

OAHC will continue advocating for operationally realistic policies that support accountability while preserving access and sustainability for hospice providers across Oregon.