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6 min readDataLily AI

Lily Agents · Procedure Library

One source of truth

Across CPT codes, surgeons, and payers.

The migration to outpatient is accelerating, the codes underneath it are changing, and the payer rules governing both are not standardized.

01The codes won't sit still

The codes won't sit still.

The 2026 CPT code set, released by the AMA in September 2025, added 288 new codes, deleted 84, and revised 46 — 418 total changes.1 For ASCs specifically, CMS finalized a 2026 Hospital Outpatient and ASC Final Rule that added 276 procedures to the ASC Covered Procedures List and began a three-year phaseout of the inpatient-only list, with 285 primarily musculoskeletal procedures moving to the outpatient bucket in 2026.2

The migration to outpatient is accelerating, the codes underneath it are changing, and the payer rules governing both are not standardized. This is, to put it mildly, a hard environment to run a business office in.

418

Total changes in the 2026 CPT code set — 288 new, 84 deleted, 46 revised.

276

Procedures added to the ASC Covered Procedures List for 2026.

285

Primarily musculoskeletal procedures moving to the outpatient bucket.

02The fragmentation problem

The knowledge lives in three places.

In most ASCs, the institutional knowledge for "what do we need to schedule and authorize this case?" lives in three places: the surgeon's preference card, a coordinator's memory, and a binder of payer rules that may or may not be current. A 2020 study on surgical preference card standardization documented substantial variability in average cost per case across surgeons performing the same procedure; an industry survey widely cited in ASC operations literature found 80% of surgeons and 70% of perioperative nurses dissatisfied with the accuracy of their cards.3,4

Now layer on payer fragmentation. Commercial payers, Medicare, and Medicaid each have different documentation requirements for the same CPT code. Medicare Advantage plans, which issued 52.8 million prior authorization determinations in 2024, add a layer of variability on top of fee-for-service Medicare.5 The same procedure can have meaningfully different scheduling, authorization, and documentation requirements depending on whose card the patient is carrying.

Dissatisfied with the accuracy of their preference cards

Surgeons80%
Perioperative nurses70%

Source · ASC operations industry survey

03What a real library looks like

One canonical reference, three configurable layers.

DataLily's Procedure Library is one canonical reference, structured by CPT code, with three configurable layers stacked on top. Once the library is configured for a surgeon, procedure, and payer combination, every case scheduled against that combination automatically inherits the right rules. The pre-op screening agent knows what to look for. The prior auth agent knows what to draft. The task management agent knows what to flag.

  1. 01

    Surgeon protocols

    What clearances does this surgeon require? What is their NPO instruction, preferred anesthesia approach, and pre-op imaging?

  2. 02

    Payer rules

    What does each payer require for medical necessity for this code? What documentation, what turnaround, what modifier adjustments?

  3. 03

    Center policies

    What is the BMI threshold? The age cutoff for unobserved discharge? What labs are required, within how many days?

04Why this beats a binder

Why this beats a binder.

The procedure library is what makes the rest of Lily's agents specific to your center rather than generic. For a multi-surgeon, multi-specialty ASC, this is the difference between training every new coordinator on every surgeon's preferences and trusting that the system already knows.

  1. 01

    Enforced automatically

    No risk of a coordinator using last year’s auth criteria because that’s what’s in the printed binder.

  2. 02

    Auditable

    Every rule applied to every case is logged — for compliance, and for tracking why a particular case got denied.

  3. 03

    Updates centrally

    When AAOS publishes a guideline change or CMS updates the ASC Covered Procedures List, the library updates and every downstream agent inherits the change.

The procedure library is what makes the rest of Lily's agents specific to your center rather than generic.

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Sources & notes

  1. 1American Medical Association — 2026 CPT code set, released September 2025: 288 new codes, 84 deletions, 46 revisions (418 total changes).
  2. 2CMS — 2026 Hospital Outpatient and ASC Final Rule (published November 21, 2025): 276 procedures added to the ASC Covered Procedures List; a three-year phaseout of the inpatient-only list, with 285 primarily musculoskeletal procedures moving to outpatient in 2026.
  3. 3Bath et al., 2020 — PubMed study on surgical preference card standardization: substantial variability in average cost per case across surgeons performing the same procedure.
  4. 4Industry survey widely cited in ASC operations literature — 80% of surgeons and 70% of perioperative nurses dissatisfied with the accuracy of their preference cards.
  5. 5KFF — Medicare Advantage plans issued 52.8 million prior authorization determinations in 2024 (January 2026 analysis).