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Toyon Associates, Inc.

OPPS – April 2012 Update

March 2, 2012

OPPS – April 2012 Update

From: CMS Transmittal 2418 (Medicare Claims Processing) – 3/2/12

Transmittal Summary of Changes

 This Recurring Update Notification describes changes to and billing instructions for various payment policies implemented in the April 2012 OPPS update. The April 2012 Integrated Outpatient Code Editor (I/OCE) and OPPS Pricer will reflect the Healthcare Common Procedure Coding System (HCPCS), Ambulatory Payment Classification (APC), HCPCS Modifier, and Revenue Code additions, changes, and deletions identified in this Change Request (CR).

Toyon Associates, Inc.

Claims Reprocessing for Section 508 Extension and Special Exception Hospitals Reclassifications

January 10, 2012

From: CMS E-mail Notification – 1/10/12

Text of CMS E-mail:

Section 302 of the Temporary Payroll Tax Cut Continuation Act of 2011 (TPTCCA) extends Section 508 reclassifications and certain special exception wage indexes for 2 months, from October 1, 2011, through November 30, 2011. For the period beginning on October 1, 2011, and ending on November 30, 2011, Section 302 also requires removing Section 508 and special exception wage data from the calculation of the reclassified wage index if doing so raises the reclassified wage index. All hospitals affected by Section 302 of the TPTCCA shall be assigned a special wage index effective for only October and November 2011. We will apply the provision to both inpatient and outpatient hospital payments. For hospital outpatient payments only, special exception hospitals and other reclassified hospitals that would have a higher wage index based on the removal of section 508 and special exception hospitals’ wage data will receive a special exception wage index from January 1, 2012, through February 29, 2012.

IPPS and OPPS claims from section 508 hospitals, IPPS special exception hospitals and IPPS non section 508 hospitals affected by section 302 with discharge dates on or after October 1, 2011, through November 30, 2011, will be reprocessed no later than December 31, 2012, in accordance with the TPTCCA.

OPPS claims for hospitals reclassified for special exceptions and other affected reclassified hospitals that completed processing before the wage index was updated will be reprocessed by early February, 2012.

 

Please note that for OPPS hospitals, a section 508 hospital that has geographic reclassification extended from October 1, 2011, to November 30, 2011, will revert to its previously scheduled October 1, 2011, reclassification or its home area wage index from December 1, 2011, to December 31, 2011. OPPS special exception hospitals and reclassified hospitals that benefit based on removal of section 508 and special exception hospital data shall revert to the CY2012 rule wage index, beginning March 1, 2012. IPPS hospitals shall revert to their wage index promulgated in the FY2012 rule located on our website at http://www.CMS.gov/AcuteInpatientPPS/FR2012/itemdetail.asp?itemID=CMS1250520.

 

Toyon Associates, Inc.

Hospital OPPS Payment Update – January 2012

December 29, 2011

MLN Matters Article MM7672 Revised – 12/29/11

MLN Summary:

This article is based on change request (CR) 7672 which describes changes to the OPPS to be implemented in the January 2012 OPPS update. CR7672, from which this article is taken:

  1. Describes changes to, and billing instructions for, various payment policies implemented in the January 2012 OPPS update; and
  2. Implements several changes and clarifications in the manual requirements for the provision of hospital outpatient therapeutic services, finalized in the Calendar Year (CY) 2012 OPPS/Ambulatory Surgical Center (ASC) Final Rule.

You should make sure your billing staffs are aware of these changes.

Toyon Associates, Inc.

Final Rules – OPPS & ASC for CY 2012, Value-Based Purchasing, Physician Self-Referrals & Patient Notification Requirements

November 30, 2011

Final Rules – OPPS & ASC for CY 2012, Value-Based Purchasing, Physician Self-Referrals & Patient Notification Requirements

CMS-1525-FC Federal Register 11/30/11

The final rule federal register was released on November 30, 2011.  Click here to view our previous post about these final rules.

Toyon Associates, Inc.

Final Rules – OPPS & ASC for CY2012, Value-Based Purchasing, Physician Self-Referral; & Patient Notification Requirements

November 1, 2011

Final Rules – OPPS & ASC for CY2012, Value-Based Purchasing, Physician Self-Referral; & Patient Notification Requirements

CMS-1525-FC; Posted 11/01/11; FR 11/30/11

 

Excerpts from CMS E-mail:

…CMS projects that total payments to more than 4,000 hospitals – which includes general acute care hospitals, inpatient rehabilitation facilities, inpatient psychiatric facilities, long-term acute care hospitals, children’s hospitals, and cancer hospitals – paid under the Outpatient Prospective Payment System (OPPS) in CY 2012 will be approximately $41.1 billion.  CMS also projects that payments to approximately 5,000 Medicare-participating ASCs paid under the ASC Payment System will be approximately $3.5 billion for CY 2012.

 

…The final rule also establishes an electronic reporting pilot that will allow additional hospitals, including critical access hospitals (CAHs), to report clinical quality measures in CY 2012 for purposes of participating in the Medicare Electronic Health Record Incentive Program.  

Provisions affecting payments to Hospital Outpatient Departments

The final rule will increase payment rates under the OPPS by 1.9 percent in CY 2012.  This increase is based on the projected hospital inpatient market basket percentage increase of 3.0 percent for inpatient services paid under the Hospital Inpatient Prospective Payment System (IPPS) minus the multifactor productivity adjustment of 1.0 percentage points and minus a 0.1 percentage point adjustment, both of which are required by the Affordable Care Act.

 

The final rule also provides a payment adjustment for designated cancer hospitals as required by the Affordable Care Act.  This payment adjustment is expected to increase payments to cancer hospitals by 11.3 percent (or approximately $71 million) over what they would have otherwise been paid…

 

Provisions affecting payments to Ambulatory Surgical Centers

The final rule increases payment rates to ASCs by 1.6 percent in CY 2012.  This reflects a consumer price index for all urban consumers estimated at 2.7 percent, minus a 1.1 percent productivity adjustment required by the Affordable Care Act.

 The final rule also establishes a quality reporting program for ASCs and adopts five quality measures, including four outcome measures and one surgical infection control measure beginning in CY 2012 for the CY 2014 payment determination… 

 

Provisions affecting the Hospital Value-Based Purchasing program

The Hospital VBP, which was required by section 3001(a) of the Affordable Care Act, was initially established in a final rule published in May 2011.  The final rule contained the measures, performance standards, and scoring methodology that would be used to determine the value-based incentive payments to hospitals in FY 2013.  The final rule announced today addresses the program requirements for the FY 2014 program. These changes include: adding one clinical process measure to guard against infections due to urinary catheters; and, establishing the weighting, performance periods, and performance standards for the clinical process, patient experience, and outcomes measures for FY 2014.

Toyon Associates, Inc.

October 2011 Update of the Hospital OPPS

September 6, 2011

October 2011 Update of the Hospital OPPS

MLN Matters – 9/6/11

This article describes the changes to OPPS that will be implemented on October 1, 2011.

Toyon Associates, Inc.

Medicare OP PPS; ASC; Hospital VBP; Physician Self-Referral: Provider Agreement Regulations

July 18, 2011

Proposed Rules CMS 1525-P; FR 7/18/11

The federal register publication was released on Monday 7/18/11.  The original reporting of this proposed rule was included in the week of July 4th, 2011 News You Need to Know.

The federal register publication was released on Monday 7/18/11.  This proposed rule was previously reported in the week of July 4th, 2011 News You Need to Know.