The Skilled Nursing Facility Value-Based Purchasing (SNF VBP) Program
SNF VBP Program Overview
The SNF VBP Program rewards skilled nursing facilities (SNFs) with incentive payments based on the quality of care they provide to Medicare beneficiaries, as measured by a hospital readmissions measure.
Section 215 of the Protecting Access to Medicare Act of 2014 (PAMA) added sections 1888(g) and (h) to the Social Security Act, which required the Secretary to establish a SNF VBP Program.
PAMA specifies that under the SNF VBP Program, SNFs:
- Are evaluated by their performance on a hospital readmission measure;
- Are scored on both improvement and achievement;
- Receive quarterly confidential feedback reports containing information about their performance; and
- Earn incentive payments based on their performance.
All SNFs paid under Medicare’s SNF Prospective Payment System (PPS) (PDF) are included in the SNF VBP Program.
SNF VBP Program Funding
As required by statute, CMS withholds 2% of SNFs’ fee-for-service (FFS) Part A Medicare payments to fund the program. This 2% is referred to as the “withhold”. CMS redistributes 60% of the withhold to SNFs as incentive payments.
CMS is required to redistribute between 50% and 70% of this withhold to SNFs as incentive payments. CMS redistributes 60% of the withhold to SNFs as incentive payments. This policy was finalized in the FY 2018 SNF PPS Final Rule, available in the “Resources” section of this web site.
- SNF VBP Frequently Asked Questions (PDF)
- MLN article (PDF) about the Program
- CMS.gov Twitter Channel
- SNF PPS Rules
- QIES Help Desk for obtaining access to SNF VBP reports in CASPER:
- Send inquires to our helpdesk at SNFVBP@rti.org
2019 Novel Coronavirus (COVID-19) pandemic
CMS is implementing for upcoming quality measure reporting and data submission deadlines, including for the SNF VBP Program, in response to the COVID-19 public health emergency (PHE). CMS also issued an interim final rule with comment period (IFC) which revised the FY 2022 SNF VBP Program performance period as a result of the PHE for COVID-19.
For more information on the temporary regulatory waivers and new rules for long term care facilities, reference the
For a complete and updated list of CMS actions, and other information specific to CMS, please visit the , and pages for up to date guidance, or contact should you have additional questions.