MedicaidReimbursementMedium impact
FY 2023 Medicaid Rates for Administrative Days
Maryland Medicaid·MD · Critical Care, Psychiatry·Provider Transmittal
Effective date
Jul 1, 2022
We identified it
Jun 20, 2026
Summary
Maryland Medicaid has updated payment rates for hospital administrative days effective July 1, 2022. Three tiered rates now apply: $531.19/day for psychiatric patients awaiting placement, $837.60/day for ventilator patients no longer requiring hospital-level care, and $307.48/day for all other qualifying patients. Billing teams must ensure claims are submitted with the correct rate based on patient category.
Action Required
By September 30, 2022: Billing team must update all Medicaid billing systems and fee schedules to reflect the three new administrative day rates based on patient classification. Review all pending and in-process claims with administrative days to ensure they are billed at correct rates. Staff must be trained to identify patient categories (psychiatric/placement, ventilator, or other) and apply corresponding rates. Contact provider relations at 410-767-5457 with any billing questions. Failure to apply correct rates will result in underpayment or claim denials. Update billing templates and workflows to require staff to classify administrative day claims into one of the three categories before submission.