MedicaidReimbursementMedium impact
Fiscal Year 2025 Medicaid Rates for Administrative Days
Maryland Medicaid·MD · Critical Care, Psychiatry·Hospital
Effective date
Jul 1, 2024
We identified it
Jun 20, 2026
Summary
Maryland Medicaid updated payment rates for hospital administrative days effective July 1, 2024. Rates now vary by patient type: $641.53/day for psychiatric patients awaiting residential placement, $931.77/day for ventilator patients no longer requiring hospital-level care, and $357.39/day for all other qualifying administrative day patients. Billing teams must apply the correct rate based on patient classification.
Action Required
By July 1, 2024 (retroactive - immediate action required): Billing team must update all billing system rate tables and claim submission logic to reflect the three new administrative day rates: $641.53 (psychiatric/residential placement), $931.77 (ventilator patients), and $357.39 (all other). Ensure claims submitted on or after July 1, 2024 use the correct rate based on documented patient status. Audit any claims submitted between July 1-present to verify correct rate application. Provider/clinical staff must document patient classification (psychiatric placement pending, ventilator status, or other) in medical records to support billing. Contact Provider Relations Unit at 410-767-5457 with billing questions. Failure to apply correct rates will result in claim denials and overpayment recovery.