As if there wasn't already enough to like in the Deficit Reduction Act (DRA) of 2005, the U.S. Centers for Medicare and Medicaid Services (CMS) this week provided advance warning that it would be implementing a nine-day hold on Medicare payments in September, as mandated by the legislation.
The CMS said that the payment delay is specified in section 5203 of the DRA, and requires that a brief hold be placed on Medicare payments for all claims during the last nine days of the federal fiscal year (September 22-30, 2006). No interest will be accrued and no late penalties will be paid to an entity or individual by reason of the one-time hold, a CMS statement said. All claims held during the period will be paid on October 2, 2006.
The agency said the hold only applies to claims subject to payment. It does not apply to full denials, no-pay claims, and other nonclaim payments such as periodic interim payments, home health requests for anticipated payments, and cost report settlements. In addition, payments will not be staggered and no advance payments will be allowed during the nine-day hold.
By AuntMinnie.com staff writers
July 7, 2006
Related Reading
House bill seeks to delay DRA imaging cuts, June 29, 2006
Strategic planning considerations and the Deficit Reduction Act of 2005, June 27, 2005
House bill proposes repeal of DRA imaging cuts, May 3, 2006
House Democrats file suit against DRA, May 1, 2006
DRA 2005 in practice: Where the rubber meets the road, April 27, 2005
Copyright © 2006 AuntMinnie.com
