Survey Readiness Just Changed: What CMS's New Home Health Guidance Means for Providers

by Jamie Daugherty, Executive Director

Survey readiness is often treated as a periodic project—something an agency focuses on when a survey window approaches. But the strongest agencies understand that readiness is not a binder, a checklist, or a last-minute chart audit. It is the ability to demonstrate that written policies, daily operations, staff practices, and patient records all tell the same story.

New guidance from the Centers for Medicare & Medicaid Services makes that alignment especially important for home health agencies.

Effective August 5, 2026, CMS revised Appendix B of the State Operations Manual to give surveyors specific instructions for evaluating the home health acceptance-to-service requirements. The update also clarifies administrator qualifications and what agencies must do to keep publicly available service information accurate.

Although the new guidance applies specifically to Medicare-certified home health agencies, the broader readiness lessons are relevant across home health and hospice.

A New Survey Focus: Acceptance to Service

Home health agencies must have a written acceptance-to-service policy that is applied consistently to every prospective patient. At a minimum, the policy must address:

  • The anticipated needs of the prospective patient.
  • The agency’s current caseload and case mix.
  • Available staffing levels.
  • The skills and competencies of agency staff.

These requirements are intended to ensure that an agency accepts a patient only when it has the capacity and clinical expertise to meet that patient’s needs safely and appropriately.

CMS is now giving surveyors explicit instructions to review the agency’s policy and confirm that all four required elements are included. A compliant policy, however, is only the beginning. Agencies should also be prepared to demonstrate how the policy is used during actual referral and admission decisions.

That means survey readiness may include being able to answer questions such as:

  • Who determines whether the agency can safely accept a referral?
  • What information is reviewed before that decision is made?
  • How are staffing and competency limitations considered?
  • How are declined or delayed referrals documented?
  • Is the policy applied consistently, rather than differently based on the referral source?
  • Do intake staff, clinical managers, and agency leaders describe the same process?

If the written policy says one thing but staff members describe a different practice, that inconsistency can create survey risk.

Public Information Is Part of Compliance

The revised guidance also emphasizes that home health agencies must make accurate information available to the public about the services they offer and any limitations involving specialty services, service duration, or service frequency.

CMS does not prescribe a single method for making this information public. It may appear on an agency website, in brochures, on Care Compare, or through other publicly available materials. Agencies must review the information whenever their services change and at least annually.

This deserves more attention than it may initially appear to require. A staffing change, extended employee leave, discontinued service, or temporary restriction in capacity could affect whether public information remains accurate. CMS indicates that agencies should update their information when they anticipate that a service will be unavailable for three to six months.

Agencies should compare information across:

  • Their website.
  • Printed marketing materials.
  • Care Compare.
  • PECOS.
  • The CMS-1572 survey report.
  • Referral-source information.
  • Internal service and coverage descriptions.

CMS recognizes that Care Compare updates may take as long as six months. An agency should not be cited solely because Care Compare remains inaccurate if it can produce evidence that it requested the appropriate correction. That makes documentation essential: keep copies of correction requests, correspondence, submission confirmations, and follow-up efforts.

Administrator Qualifications Were Also Clarified

CMS also revised the interpretive guidance concerning home health administrator qualifications.

For individuals who began serving as an administrator before January 13, 2018, the earlier qualification requirements continue to apply. Individuals beginning employment as an administrator on or after that date must be a licensed physician, registered nurse, or hold an undergraduate degree and must have the required health-service administration and supervisory or administrative experience.

CMS clarified that “undergraduate degree” includes either an associate or bachelor’s degree.

Agencies should verify that personnel records clearly establish both education and qualifying experience. A résumé alone may not provide enough evidence. The file should contain the applicable license or degree documentation, employment history, job description, and other records supporting the individual’s qualifications.

Survey Readiness Is Operational Readiness

The new guidance illustrates a broader point: surveyors do not look only for the existence of a policy. They look for evidence that the agency follows it.

A strong readiness review should therefore examine several layers:

  1. The requirement: What does the regulation or interpretive guidance require?
  2. The policy: Does the agency’s written policy address every required element?
  3. The process: Does the agency’s actual workflow match the policy?
  4. The documentation: Can the agency produce evidence that the process is followed?
  5. Staff understanding: Can employees accurately explain their responsibilities?

This approach applies well beyond acceptance to service. It should be used when reviewing plans of care, medication management, infection prevention, emergency preparedness, complaints, QAPI, personnel qualifications, aide supervision, hospice interdisciplinary group processes, and other areas frequently examined during surveys.

A Practical Readiness Check for Home Health and Hospice

Agency leaders can begin with the following steps:

  • Review the home health acceptance-to-service policy against all four CMS criteria.
  • Confirm that the policy has been reviewed within the past year.
  • Audit a sample of accepted, declined, and delayed referrals.
  • Verify that intake and clinical staff can explain how capacity decisions are made.
  • Compare all public descriptions of available services.
  • Retain evidence of requested PECOS, iQIES, or Care Compare corrections.
  • Review administrator and clinical leadership personnel files for qualification documentation.
  • Select several active and discharged records for mock survey review.
  • Confirm that QAPI activities address actual agency risks and produce documented follow-up.
  • Ask staff survey-style questions instead of relying only on written tests or policy acknowledgments.
  • Check that corrective actions from previous complaints, incidents, audits, and surveys were completed and sustained.
  • Include both home health and hospice leadership in readiness exercises when programs share staff, systems, or administrative processes.

Readiness Should Be Continuous

A mock survey conducted once a year can identify problems, but it cannot create a culture of compliance by itself. Readiness is strongest when agencies routinely test whether policies, practices, documentation, and staff knowledge remain aligned.

The revised CMS guidance gives home health agencies an immediate reason to review acceptance practices, public information, and administrator files. It also offers every provider a useful reminder: the best time to prepare for a survey is before anyone knows when the surveyor will arrive.

Agencies that make readiness part of normal operations are better positioned not only for a successful survey, but also for safer care, more consistent decisions, and stronger organizational accountability.

Read the CMS Transmittal 245 and revised Appendix B.