MedicaidReimbursementMedium impact
Fiscal Year 2027 Rates for Administrative Days
Maryland Medicaid·MD · Critical Care, Psychiatry·Hospital
Effective date
Jul 1, 2026
We identified it
Aug 18, 2026
Summary
Maryland Medical Assistance Program has updated reimbursement rates for hospital administrative days effective July 1, 2026. Rates vary by patient category: psychiatric patients awaiting placement ($799.13/day), ventilator patients no longer requiring hospital care ($976.35/day), and all other qualifying patients ($361.21/day). Billing teams must update rate tables in their systems to ensure accurate claim submission.
Action Required
By June 30, 2026: Billing team must update all hospital billing systems and rate tables to reflect the three new administrative day rates: $799.13 for psychiatric patients awaiting residential treatment placement, $976.35 for ventilator patients no longer requiring hospital-level care, and $361.21 for all other administrative day patients. Verify in billing software that claims submitted on or after July 1, 2026 automatically apply the correct rate based on patient category. Audit any pending administrative day claims from July 1, 2026 forward to ensure correct rate application. Train billing staff on the three rate categories to prevent misclassification. Contact mdh.institutionalpru@maryland.gov (410-767-5457) with questions about claim billing. Failure to update rates will result in underpayment or claim rejections.