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MS-DRG 500 · MDC 08 · Surgical

MS-DRG 500: Soft Tissue 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 500

FY2027 relative weight
3.3600
Higher than 82% of all MS-DRGs
Change vs FY2026
+6.2%
FY2026 weight 3.1650
Geometric mean LOS
7.8 days
Arithmetic mean 10.4 days
MDC
08
Diseases and Disorders of the Musculoskeletal System and Connective Tissue
Severity level
with MCC (major complication or comorbidity)
Transfer policy
Post-acute transfer DRG
Special-pay DRG

TL;DR

MS-DRG 500 is a surgical group in MDC 08 (Diseases and Disorders of the Musculoskeletal System and Connective Tissue) at the highest-severity level of its family. CMS assigns it a FY2027 relative weight of 3.3600 with a geometric mean length of stay of 7.8 days and an arithmetic mean of 10.4. Its weight moved up 6.2% from FY2026 (3.1650). That weight is higher than 82% of all surgical and medical MS-DRGs. Its CC/MCC family (DRG 501, DRG 502) spans weights 1.4330 to 3.3600. The v44 Definitions Manual assigns it through 4317 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 500 the FY2027 relative weight is 3.3600 against 3.1650 in FY2026, a rise of 6.16%, which exceeds the 2% threshold worth re-checking in contract models.

FY2026 versus FY2027 payment factors for MS-DRG 500
MetricFY2026FY2027Change
Relative weight3.16503.3600+0.1950
Geometric mean LOS (days)7.67.8+0.2
Arithmetic mean LOS (days)9.910.4+0.5
Weights shown are the FY2027 final values after the 10% cap on year-over-year reductions where applicable.

CC and MCC family

DRG 500 shares its base definition with 2 other MS-DRGs split by severity. The family's weights span 1.4330 to 3.3600, a 2.34× spread, which is the payment effect of documenting qualifying complications and comorbidities.

MS-DRGs in the same base group as DRG 500
DRGTitleFY2027 weightGMLOS
500Soft Tissue Procedures with MCC3.36007.8
501Soft Tissue Procedures with CC1.86604.1
502Soft Tissue Procedures without CC/MCC1.43302.3

Grouper logic (v44 Definitions Manual)

Operating Room Procedures: 4317 ICD-10 codes drive assignment to this group; the first 12 are shown.

Operating Room Procedures codes assigned to DRG 500 (sample)
ICD-10 codeDescription
0HDT0ZZExtraction of Right Breast, Open Approach
0HDU0ZZExtraction of Left Breast, Open Approach
0HDV0ZZExtraction of Bilateral Breast, Open Approach
0HDY0ZZExtraction of Supernumerary Breast, Open Approach
0J800ZZDivision of Scalp Subcutaneous Tissue and Fascia, Open Approach
0J803ZZDivision of Scalp Subcutaneous Tissue and Fascia, Percutaneous Approach
0J840ZZDivision of Right Neck Subcutaneous Tissue and Fascia, Open Approach
0J843ZZDivision of Right Neck Subcutaneous Tissue and Fascia, Percutaneous Approach
0J850ZZDivision of Left Neck Subcutaneous Tissue and Fascia, Open Approach
0J853ZZDivision of Left Neck Subcutaneous Tissue and Fascia, Percutaneous Approach
0J860ZZDivision of Chest Subcutaneous Tissue and Fascia, Open Approach
0J863ZZDivision of Chest Subcutaneous Tissue and Fascia, Percutaneous 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 08 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 500 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 500

What is MS-DRG 500?

MS-DRG 500 is "Soft Tissue Procedures with MCC", a surgical Medicare Severity Diagnosis-Related Group in MDC 08, Diseases and Disorders of the Musculoskeletal System and Connective Tissue. 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 500?

The FY2027 relative weight is 3.3600 (IPPS final rule Table 5, effective October 1, 2026). In FY2026 it was 3.1650, a change of +6.2%.

What is the average length of stay for DRG 500?

CMS reports a geometric mean length of stay of 7.8 days and an arithmetic mean of 10.4 days for FY2027. The geometric mean is used for transfer-payment calculations.

Which DRGs are in the same CC/MCC family as 500?

DRG 501 (Soft Tissue Procedures with CC, weight 1.8660); DRG 502 (Soft Tissue Procedures without CC/MCC, weight 1.4330). The family's weights range from 1.4330 to 3.3600, so documented complications and comorbidities change payment materially.

What documentation supports the severity level of DRG 500?

DRG 500 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 500?

The v44 Definitions Manual lists 4317 operating room procedures codes for this group. Examples from the operating room procedures list: 0HDT0ZZ (Extraction of Right Breast, Open Approach); 0HDU0ZZ (Extraction of Left Breast, Open Approach); 0HDV0ZZ (Extraction of Bilateral Breast, Open Approach); 0HDY0ZZ (Extraction of Supernumerary Breast, Open Approach).

Is DRG 500 a post-acute transfer DRG?

Yes. CMS flags DRG 500 under the post-acute care transfer policy, so a discharge to a qualifying post-acute setting before the geometric mean length of stay is paid a per-diem amount rather than the full DRG payment. It is also a special-pay DRG.

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.