CMS Issues Updates to TEAM Model

On July 31, the Centers for Medicare & Medicaid Services (CMS) issued updates to the Transforming Episode Accountability Model (TEAM) as part of the Medicare Inpatient Prospective Payment System (IPPS) final rule. TEAM is a mandatory model for hospitals in selected geographic areas. Participating hospitals will receive bundled payments for selected surgical procedures for traditional Medicare patients. The 2026 IPPS final rule updates several policies for TEAM, including the removal of hospital health equity plans and Health Related Social Needs screening and reporting.

The TEAM model starts on January 1, 2026.