Hospital-Acquired Conditions (HAC) Section 5001(c) of Deficit Reduction Act of 2005 requires the Secretary to identify conditions that are: (a) high cost or high volume or both, (b) result in the assignment of a case to a DRG that has a higher payment when present as a secondary diagnosis, and (c) could reasonably have been prevented through the application of evidencebased guidelines.

Hospital-Acquired Conditions (HAC)
 
Section 5001(c) of Deficit Reduction Act of 2005 requires the Secretary to identify conditions that are: (a) high cost or high volume or both, (b) result in the assignment of a case to a DRG that has a higher payment when present as a secondary diagnosis, and (c) could reasonably have been prevented through the application of evidencebased guidelines.
 
On July 31, 2008, in the Inpatient Prospective Payment System (IPPS) Fiscal Year (FY) 2009 Final Rule, CMS included 10 categories of conditions that were selected for the HAC payment provision. Payment implications began October 1, 2008, for these Hospital Acquired Conditions.  The IPPS FY 2009 Final Rule is available in the  Statute/Regulations/Program Instructions section, accessible through the navigation menu at left.
 
These 14 categories of HACs listed below include the HACs from the IPPS FY 2013 Final Rule which are Surgical Site Infection Following Cardiac Implantable Electronic Device (CIED) and Iatrogenic Pneumothorax with Venous Catheterization. For FY 2014 through FY 2023, there are no additional HAC categories added:
 
· Foreign Object Retained After Surgery
 
· Air Embolism
 
· Blood Incompatibility
 
· Stage III and IV Pressure Ulcers
 
· Falls and Trauma
 
· Fractures
 
· Dislocations
 
· Intracranial Injuries
 
· Crushing Injuries
 
· Burn
 
· Other Injuries
 
· Manifestations of Poor Glycemic Control
 
· Diabetic Ketoacidosis
 
· Nonketotic Hyperosmolar Coma
 
· Hypoglycemic Coma
 
· Secondary Diabetes with Ketoacidosis
 
· Secondary Diabetes with Hyperosmolarity
 
· Catheter-Associated Urinary Tract Infection (UTI)
 
· Vascular Catheter-Associated Infection
 
· Surgical Site Infection, Mediastinitis, Following Coronary Artery Bypass Graft (CABG):
 
· Surgical Site Infection Following Bariatric Surgery for Obesity
 
· Laparoscopic Gastric Bypass
 
· Gastroenterostomy
 
· Laparoscopic Gastric Restrictive Surgery
 
· Surgical Site Infection Following Certain Orthopedic Procedures
 
· Spine
 
· Neck
 
· Shoulder
 
· Elbow
 
· Surgical Site Infection Following Cardiac Implantable Electronic Device (CIED)
 
· Deep Vein Thrombosis (DVT)/Pulmonary Embolism (PE) Following Certain Orthopedic Procedures:
 
· Total Knee Replacement
 
· Hip Replacement

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