On November 5, 2026, CMS released the Cutting Administrative Requirements for Excellence in Patient Care (CARE) proposed rule, which would revise policies related to Conditions of Participation (COPs) and reduce duplicative requirements wherever the Administration deems appropriate. CMS estimates the proposal would save providers approximately $320 million annually and reduce administrative burden by more than 3.26 million staff hours.

For hospitals and critical access hospitals (CAHs), CMS proposes to roll back several obstetrical services requirements finalized in 2024, including annual staff training related to emergency services readiness and transfer protocols, OB-specific training requirements, and quality assessment and performance improvement mandates. CMS would also establish new patient rights standards governing the collection, banking and release of birth tissue (like placentas and cord blood). The proposal would require informed consent, including disclosure of any third-party financial interests and support families requesting birth tissue for cultural, religious, or personal reasons.

CMS also proposes to clarify CAH distance eligibility policies and implement statutory exemptions from distance requirements for qualifying facilities. In addition, the Agency would eliminate COVID-19 and influenza data reporting requirements for rural emergency hospitals and long-term care facilities and remove the requirement that long-term care facilities offer COVID-19 vaccinations to residents. The proposed rule would also update fire and life safety standards, permit additional emergency power sources for hospitals and rescind Medicaid payment transparency reporting requirements. CMS is also seeking input on certified registered nurse anesthetist (CRNA) supervision and transplant program certification. Comments on the proposed rule are due January 11, 2027.

Topics: Access to Care, CMS, Workforce