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OBJECTIVE To describe the exclusion criteria and updated risk adjustment model developed for the Change in Mobility quality measure in the inpatient rehabilitation facility (IRF) quality reporting program. Facility-level quality measures focused on patient outcome usually require risk adjustment to account for varied admission characteristics of patients across facilities. DESIGN This cohort study analyzed admission demographic and clinical factors associated with mobility change scores using the IRF-patient assessment instrument (IRF-PAI) data for Medicare patients discharged from IRFs in calendar year 2017. SETTING 1,129 IRFs in the United States PARTICIPANTS: A total of 493,209 Medicare fee-for-service and Medicare Advantage IRF patient stays discharged in calendar year 2017. INTERVENTIONS Not applicable. MAIN OUTCOME MEASURE(S) Mobility change scores using admission and discharge standardized assessment data from the IRF-PAI. RESULTS Approximately 53% of patients in the study were female, 67% were between 65 and 84 years old, and nearly 80% were White. In the final risk adjustment model, 105 covariates were included explaining 20% of variance in mobility change scores. Key risk adjusters included IRF primary diagnosis group, prior indoor ambulation functioning, age greater than 90 years, and 14 of the comorbidities. The model showed good calibration across the range of deciles of predicted IRF mobility change scores; the ratio of the average expected to observed change scores ranged from 0.93 to 1.03, with all but one within +/-0.03. CONCLUSION(S) The updated risk adjustment model uses IRF patients' demographic and clinical characteristics to predict their mobility change scores. The exclusion criteria and resulting risk model are used to calculate the risk adjusted Change in Mobility quality measure scores, enabling comparisons of Change in Mobility scores across IRFs.