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MS-DRG 037 · MDC 01 · Surgical

MS-DRG 037: Extracranial Procedures with MCC

Reviewed by QuickIntell RCM Editorial Team · Last reviewed

Data effective
Data currency: IPPS Table 5 FY2027 final rule (effective October 1, 2026); Definitions Manual v44 (effective October 1, 2026). Next CMS release: April 1, 2027 (v44.1 mid-year update), then the FY2028 final rule in August 2027.

Key facts for DRG 037

FY2027 relative weight
3.4230
Higher than 82% of all MS-DRGs
Change vs FY2026
+4.0%
FY2026 weight 3.2920
Geometric mean LOS
4.9 days
Arithmetic mean 7.5 days
MDC
01
Assignment of Diagnosis Codes
Severity level
with MCC (major complication or comorbidity)
Transfer policy
Not a transfer DRG

TL;DR

MS-DRG 037 is a surgical group in MDC 01 (Assignment of Diagnosis Codes) at the highest-severity level of its family. CMS assigns it a FY2027 relative weight of 3.4230 with a geometric mean length of stay of 4.9 days and an arithmetic mean of 7.5. Its weight moved up 4.0% from FY2026 (3.2920). That weight is higher than 82% of all surgical and medical MS-DRGs. Its CC/MCC family (DRG 038, DRG 039) spans weights 1.1860 to 3.4230. The v44 Definitions Manual assigns it through 1035 operating room procedures codes.

What changed from FY2026 to FY2027

CMS recalibrates every MS-DRG weight annually from the prior year's MedPAR claims. For DRG 037 the FY2027 relative weight is 3.4230 against 3.2920 in FY2026, a rise of 3.98%, which exceeds the 2% threshold worth re-checking in contract models.

FY2026 versus FY2027 payment factors for MS-DRG 037
MetricFY2026FY2027Change
Relative weight3.29203.4230+0.1310
Geometric mean LOS (days)4.74.9+0.2
Arithmetic mean LOS (days)7.27.5+0.3
Weights shown are the FY2027 final values after the 10% cap on year-over-year reductions where applicable.

CC and MCC family

DRG 037 shares its base definition with 2 other MS-DRGs split by severity. The family's weights span 1.1860 to 3.4230, a 2.89× spread, which is the payment effect of documenting qualifying complications and comorbidities.

MS-DRGs in the same base group as DRG 037
DRGTitleFY2027 weightGMLOS
037Extracranial Procedures with MCC3.42304.9
038Extracranial Procedures with CC1.63101.8
039Extracranial Procedures without CC/MCC1.18601.2

Grouper logic (v44 Definitions Manual)

Operating Room Procedures: 1035 ICD-10 codes drive assignment to this group; the first 12 are shown.

Operating Room Procedures codes assigned to DRG 037 (sample)
ICD-10 codeDescription
021W08ABypass Thoracic Aorta, Descending to Innominate Artery with Zooplastic Tissue, Open Approach
021W08BBypass Thoracic Aorta, Descending to Subclavian with Zooplastic Tissue, Open Approach
021W08DBypass Thoracic Aorta, Descending to Carotid with Zooplastic Tissue, Open Approach
021W08GBypass Thoracic Aorta, Descending to Axillary Artery with Zooplastic Tissue, Open Approach
021W08HBypass Thoracic Aorta, Descending to Brachial Artery with Zooplastic Tissue, Open Approach
021W09ABypass Thoracic Aorta, Descending to Innominate Artery with Autologous Venous Tissue, Open Approach
021W09BBypass Thoracic Aorta, Descending to Subclavian with Autologous Venous Tissue, Open Approach
021W09DBypass Thoracic Aorta, Descending to Carotid with Autologous Venous Tissue, Open Approach
021W09GBypass Thoracic Aorta, Descending to Axillary Artery with Autologous Venous Tissue, Open Approach
021W09HBypass Thoracic Aorta, Descending to Brachial Artery with Autologous Venous Tissue, Open Approach
021W0AABypass Thoracic Aorta, Descending to Innominate Artery with Autologous Arterial Tissue, Open Approach
021W0ABBypass Thoracic Aorta, Descending to Subclavian with Autologous Arterial Tissue, Open Approach

Documentation and denial exposure

As a surgical DRG, assignment depends on a qualifying operating-room procedure being coded from the operative report; a missing or non-OR procedure code drops the stay into a medical DRG in MDC 01 with a lower weight. Because this family splits by severity, auditors target CC and MCC capture: each secondary diagnosis must be documented as present, monitored, evaluated or treated during the stay to survive a DRG-validation review. Typical inpatient denial codes for this group: CARC 16 (claim lacks information needed to group the stay), CARC 50 (the admission or procedure is judged not medically necessary), CARC 97 (a service is bundled into the DRG payment).

How QuickIntell uses DRG 037 data

QuickCode groups inpatient encounters against the current v44 logic, flags CC and MCC candidates that lack supporting documentation, and shows the weight difference across the family before the claim drops. QuickScribe captures the attending's language that supports severity, and QuickRCM works DRG-validation denials with the grouper evidence attached.

Frequently asked questions — DRG 037

What is MS-DRG 037?

MS-DRG 037 is "Extracranial Procedures with MCC", a surgical Medicare Severity Diagnosis-Related Group in MDC 01, Assignment of Diagnosis Codes. Medicare pays inpatient stays grouped here at the hospital's base rate multiplied by the DRG relative weight.

What is the FY2027 relative weight for DRG 037?

The FY2027 relative weight is 3.4230 (IPPS final rule Table 5, effective October 1, 2026). In FY2026 it was 3.2920, a change of +4.0%.

What is the average length of stay for DRG 037?

CMS reports a geometric mean length of stay of 4.9 days and an arithmetic mean of 7.5 days for FY2027. The geometric mean is used for transfer-payment calculations.

Which DRGs are in the same CC/MCC family as 037?

DRG 038 (Extracranial Procedures with CC, weight 1.6310); DRG 039 (Extracranial Procedures without CC/MCC, weight 1.1860). The family's weights range from 1.1860 to 3.4230, so documented complications and comorbidities change payment materially.

What documentation supports the severity level of DRG 037?

DRG 037 requires at least one secondary diagnosis on the CMS Major Complication or Comorbidity list, documented as present and clinically addressed during the stay (monitored, evaluated, treated or extending the stay). Conditions such as acute respiratory failure, severe sepsis or acute kidney injury with specified cause qualify only when the attending's note states the diagnosis itself, not just the lab values. Recovery auditors downgrade this group to the CC or base level when the MCC rests on an unconfirmed query or a resolved historical condition, so the query response and the discharge summary must agree.

Which codes group to DRG 037?

The v44 Definitions Manual lists 1035 operating room procedures codes for this group. Examples from the operating room procedures list: 021W08A (Bypass Thoracic Aorta, Descending to Innominate Artery with Zooplastic Tissue, Open Approach); 021W08B (Bypass Thoracic Aorta, Descending to Subclavian with Zooplastic Tissue, Open Approach); 021W08D (Bypass Thoracic Aorta, Descending to Carotid with Zooplastic Tissue, Open Approach); 021W08G (Bypass Thoracic Aorta, Descending to Axillary Artery with Zooplastic Tissue, Open Approach).

Is DRG 037 a post-acute transfer DRG?

No. DRG 037 is not on the FY2027 post-acute care transfer list, so the transfer per-diem policy does not apply to it.

Sources

Every figure on this page is taken from the CMS publications below, as released by the Centers for Medicare & Medicaid Services. Projection built 2026-10-01. Verify against the primary file before billing or contracting decisions.

Disclaimer

This page is an operational reference compiled from the CMS IPPS FY2027 final rule (Table 5) and the v44 ICD-10 MS-DRG Definitions Manual. Relative weights are national factors; actual payment depends on each hospital's wage-adjusted base rate, add-ons, outliers and transfer adjustments. Nothing here is legal, clinical or billing advice; verify grouping against your encoder and the published CMS files.