On January 8, 2009, CMS announced that more than 3,000 hospitals – or 99.3 percent of participating hospitals — will receive the full Medicare payment update for calendar year (CY) 2009 as part of the new Hospital Outpatient Quality Data Reporting Program. The reporting program was mandated by the Tax Relief and Health Care Act of 2006, and applies to all hospitals paid under the hospital outpatient prospective payment system (OPPS). Under this program, eligible hospitals that successfully report outpatient quality data receive the full market basket update; those that do not receive an update that is reduced by 2.0 percentage points.