Medicare DSH Update and Recent Developments TAHFA & HFMA Lone Star Chapter West Texas Seminar * Winds of Change * February 13, 2015

Similar documents
Medicare DSH & Worksheet S-10. Kentucky HFMA March 29, 2018

The Medicare DSH Adjustment

W O R K S H E E T S - 10: K E Y P O I N T S A N D C O N S I D E R AT I O N S F O R C A L C U L AT I N G H O S P I TA L U N C O M P E N S AT E D C A R

Medicare Disproportionate Share Reimbursement. Under the Affordable Care Act. Prepared By: Southwest Consulting Associates.

Uncompensated Care Payments and Worksheet S-10. HFMA Maine Chapter

What Medicare Providers Need To Know About the IPPS/OPPS Final Rules and the Bipartisan Budget Act

NY HFMA Cost Report Seminar

AHLA. LL. PRRB Appeals The View from the Board

Medicare DSH Dissecting Uncompensated Care Cost

Medicare Advantage Reimbursement Issues. Presented by: Jason Johnson John Garcia

OVERVIEW OF THE MEDICAID DISPROPORTIONATE SHARE HOSPITAL (DSH) PROGRAM

Medicare Reimbursement Update: Hot Trends for 2018 and Beyond. Mark D. Polston King & Spalding (202)

John Hellow Robert Roth Martin Corry

CMS RULING 1498-R LITIGATION:

Tips and Tricks For Understanding Worksheet S-10. Presented By Ellen Donahue, Senior Manager October 3, 2017

OPPS Webinar Information

Medicare Inpatient Prospective Payment System

P. Medicaid Supplemental Payments and Financing Issues

AHLA March Hospital IPPS Legislative and Regulatory Policy Update. John R. Hellow

J11 Part A Provider Audit and Reimbursement Update. February 5, 2014

(Cont.) FORM CMS Line For cost reporting periods that overlap October 1, 2013 and subsequent years, enter the amount of the

Current State of Medicare. Robert Roth & John Hellow Hooper, Lundy & Bookman, PC

Current State of Medicare

Medicaid Program; Disproportionate Share Hospital Payments Uninsured Definition

Medicare Inpatient Prospective Payment System

Oklahoma Health Care Authority Oklahoma City, Oklahoma

New IPPS Regulations & Cost Report Forms ( ) Hospital Finance & Reimbursement Workshop Columbia, SC November 15, 2011

Interactive Crash Course Long Range Financial Planning and Implications of Changes in Key Performance Drivers

Jim Frizzera, Principal Health Management Associates

DECODING CHALLENGES FOR GOVERNMENT REIMBURSEMENT

Primer: Disproportionate Share Hospitals

Medicaid Program; Disproportionate Share Hospital Payments Treatment of Third. AGENCY: Centers for Medicare & Medicaid Services (CMS), HHS.

CPAs & ADVISORS. experience perspective // WHAT 2 WATCH 4

Using Analytics to Maximize Revenue and Minimize Out-of-pocket Burden on Patients The underinsured and how hospitals can meet the challenges

Hospital Cost Report Training Level II Critical Reimbursement Strategies // General Session Dallas - Hilton Dallas/Southlake Town Square

FORM CMS This page is reserved for future use Rev. 8

Coverage Expansion [Sections 310, 323, 324, 341, 342, 343, 344, and 1701]

HFMA DISCUSSION RECENT DEVELOPMENTS IN TEXAS SUPPLEMENTAL PAYMENTS JANUARY 2019 BILL GALINSKY & JASON DURRETT

Wisconsin Hospital Association

Ref: CMS-2399-P: Medicaid Program; Disproportionate Share Hospital Payments Treatment of Third-Party Payers in Calculating Uncompensated Care Costs

Small Rural Hospital Transition (SRHT) Project Guide

Government Shutdown. The first day of the federal government shutdown occurred on October 1, 2013.

Hot Topics in Regulatory Reimbursement. Presented by Elizabeth A. Elias & Lauren G. Hulls and

RECENT COST REPORT APPEAL ISSUES PRRB AND CMS ADMINISTRATOR DECISIONS 2014 REVIEW. Leslie Demaree Goldsmith, Esquire Principal Ober Kaler

Estimating the Impact of Repealing the Affordable Care Act on Hospitals

DISPROPORTIONATE SHARE HOSPITAL (DSH) PAYMENT EXAMINATION UPDATE DSH YEAR 2014

Select Provisions of the Patient Protection and Affordable Care Act , H.R Overview: Disproportionate Share Hospital (DSH) Payments:

The Leader in Medicare Cost Report Software. HFS Update. Luke DiSabato Health Financial Systems

Wage Index Training NWO HFMA. February 15, 2018

Part D: The New Medicare Prescription Drug Law Implications for Medicaid

8 th Annual Oncology Economics Summit Estimating the Impact of Recent Legislation on Future Growth in the 340B Program

DEFICIT REDUCTION ACT OF 2005: IMPLICATIONS FOR MEDICAID PREMIUMS AND COST SHARING CHANGES

AHLA. R. Current Issues in Medicaid Supplemental Payments and Financing. Barbara D. A. Eyman Eyman Associates PC Washington, DC

Budget Uncertainty in Medicaid. Federal Funds Information for States

PRIVATE PAYOR OUTLOOK KELLI BACK, ATTORNEY AND APMA CONSULTANT

HIGHLIGHTS OF THE HEALTH REFORM RECONCILIATION BILL AS OF 3/15/2010

MEDICARE CROSSOVER BAD DEBTS CHANGE IN SOC METHODOLOGY PLUS UPDATED SSI RATIO

MEDICAID: STATE DISPROPORTIONATE SHARE HOSPITAL ALLOTMENT REDUCTIONS FOR FYs 2014 AND 2015 FINAL RULE SUMMARY. September 17, 2013

MEDICAID AND BUDGET RECONCILIATION: IMPLICATIONS OF THE CONFERENCE REPORT

Form CMS Update Transmittals 20 and 21

HFMA s Regulatory Sound Bites. An Overview of the Final 2019 Inpatient Prospective Payment System Rule & Quick look at the Proposed 2019 OPPS

HEALTH POLICY COLLOQUIUM BRIEF

Senate Bill No. 382 Committee on Health and Education

4 years after services are furnished.

Introduction. Incentive Payments for. Health Care Regulatory and Compliance Insights. Daniel F. Gottlieb, Esq.

CONTRACT YEAR 2018 MEDICARE ADVANTAGE PRIVATE FEE-FOR-SERVICE PLAN MODEL TERMS AND CONDITIONS OF PAYMENT

Enrollment and Claims Cost Impact to NH Medicaid from ACA. Notes on Estimates

Affordable Care Act Repeal and Replacement Legislation

Medicaid. (Title XIX and Title XXI) STATE REPORTS FY Division of Health Services Research TEXAS. SUK-FONG S TANG, PhD.

Medicaid. (Title XIX and Title XXI) STATE REPORTS FY Division of Health Services Research OKLAHOMA. SUK-FONG S TANG, PhD.

On 5 A u g u s t President Bill

Bipartisan Budget Act of 2013

U.S. Senate Finance Committee Coverage Policy Options Detailed Section by Section Summary May 18, 2009

2 General Information RE DRG Implementation Where can we get information about how the Agency is implementing DRGs in Florida FFS Medicaid?

TITLE XXXVII INSURANCE

Hooper, Lundy & Bookman, Inc. John R. Hellow

MEDICAID: STATE DISPROPORTIONATE SHARE HOSPITAL ALLOTMENT REDUCTIONS FOR FYs 2014 AND 2015 SUMMARY

Eligibility and Point of Service Collection Practices that Work

The Financial Impact of the American Health Care Act s Medicaid Provisions on Safety-Net Hospitals

How Would ACA Repeal Affect Frontier Communities? Potential Health Market Changes. July 27, 2017

Economic Report of The President 2014

Transition Guidance for Non-Special Needs Enrollees in MA Special Needs Plans Under the Disproportionate Share Policy

New financial statement reporting requirements for healthcare entities and insurers

2018 Medicare Supplement Insurance Plans

Medicaid: Current and Future Challenges

Health Coverage Programs 2018

Factors Affecting the Development of Medicaid Hospital Payment Policies

Health Care Reform & Medicare: The Basics (and a little more) Leslie Fried, Esq. ABA Commission on Law & Aging

CAMC Health System, Inc. and Subsidiaries

Governor s FY 2014 Budget: Articles. Staff Presentation to the House Finance Committee February 13, 2013

Impact of the MMA on Dual Eligible Beneficiaries and State Medicaid Programs. Joy Johnson Wilson, Health Policy Director, NCSL

Senate Health Bill Unveiled

RE: CMS-2394-P: Proposed Rule: Medicaid Program; State Disproportionate Share Hospital Allotment Reductions, (Vol. 82, No. 144, July 28, 2017)

KNG Health IPPS Modeling of BWC Claims for FYs /16/2016 Overview Data Approach

Health Care Reform Reference Guide

Subtitle B: Incentives for the Use of Health Information Technology SEC. 4311: INCENTIVES FOR ELIGIBLE PROFESSIONALS.

HFMA FALL MEETING Embassy Suites, Lexington October 23, Stephen P. Miller Vice President of Finance Kentucky Hospital Association

WebMemo22. Health Care Reform in Massachusetts: Medicaid Waiver Renewal Will Set a Precedent. Published by The Heritage Foundation

Public-Private Partnerships in Medicaid Long-Term Care

CMS 1607 P - Comments on the Medicare Hospital Inpatient Prospective Payment System Proposed Rule for FFY 2015

Transcription:

Medicare DSH Update and Recent Developments TAHFA & HFMA Lone Star Chapter West Texas Seminar * Winds of Change * February 13, 2015 Presented by: Manie Campbell, LLP. 1 The New DSH *** Manie Campbell, Partner 2 1

10 Truisms of Medicare 1. Just because it has a code doesn t mean it s covered. 2. Just because it s covered doesn t mean you can bill for it. 3. Just because you can bill for it doesn t mean you ll get paid for it. 4. Just because you ve been paid for it doesn t mean you can keep the money. 5. Just because you ve been paid once doesn t mean you ll get paid again. 3 10 Truisms for Medicare 6. Just because you got paid for it in one state doesn t mean you ll get paid in another state. 7. You will never know all the rules. 8. Not knowing the rules can land you in the slammer. 9. There s always somebody who doesn t get the message. 10. There s always somebody who gets the message and ignores it. 4 2

Medicare DSH Reimbursement Source: CMS, Office of the Actuary. 5 DSH Rule For FFY 2015 New DSH Formula FFY 2014 25% based on current formula 75% based on uncompensated care DSH cap of 12% does not apply to uncompensated care Does not impact Capital DSH 6 3

CMS s Definition Of Uncompensated Care 7 DSH Uncompensated Care Factor 1 75% of amount which would have been paid under old DSH formula CMS estimates this to be $14.234 billion DSH Payment under old rule = $14.234B x 75% = $10.68B 8 4

DSH Uncompensated Care Factor 2 1 minus percent change in uninsured population Uninsured percentages based on CBO estimates Uninsured in 2013 (based on 2010 report) = 18% Estimate for 2014 published in Feb 2014 = 16% Estimate for 2015 published in Feb 2014 = 13% Weighted FFY 2015 = 13.75% 1 [(0.1375-0.18)/0.18] = 1-0.2361 = 0.7639 less statutory reduction.002 = 0.7619 $10.037B x 0.7619 = $7.647B 9 DSH Uncompensated Care Factor 3 Percent of individual hospital uncompensated care costs to total uncompensated care costs This represents each hospital s piece of the pie CMS discusses the use of S-10 data CMS indicates S-10 data is not yet appropriate to use CMS proxy for uncompensated care is to count low income patients CMS to use Medicaid eligible days and SSI days as a proxy for uncompensated care Hospitals in States which have accepted Medicaid expansion will benefit compared to hospitals States without Medicaid expansion Cannot be appealed If at audit your % goes down, payback If it goes up, nothing 10 5

FFY 2015 Medicare DSH Source of Factor 3 DSH UCC allocation Same rules apply for counting Medicaid days Source for Medicaid days most recent available filed cost report Appears to be based on cost report period beginning in FFY 2012 for most providers HCRIS database from December 2014 Source for Medicare SSI days most recent available SSI ratios Currently the most recent SSI is 2012 (Part C issue) 11 FFY 2015 Medicare DSH No redistribution or reconciliation for UCC per 2014 final rule. If SCH received allocation and should not have, no retroactive change to other hospital percentages. Estimates made by Secretary are not subject to judicial review UCC payments made on a per discharge basis. Estimates in table. Settled on filed cost report. SCH Secretary estimates whether they will receive UCC. If this estimate is incorrect, the settlement will be made on filed cost report. 12 6

FFY 2015 Medicare DSH Recommendations Verify Medicaid days used in the rule table. Verify that they represent a full cost report period. Verify status of qualifying for DSH in Table. Include all appropriate Medicaid days in future filed cost reports. Depending on timing, amendments may not be included in the allocation. Protest anything and everything. 13 Issuance Of The NPRs NPR s: Being issued or have been issued for fiscal years 2007-2012 Various issues that may need to be appealed or reopened in the future: Disproportionate Share Hospital (DSH) Calculation SSI percentage Ratios (SSI%) Medicare Part C Days Dual Eligible Days Exhausted Days and Medicare Secondary/No Pay Days Systemic Errors DSH Eligible Days 14 7

Issuance Of The NPRs: Recommendations Order MEDPAR Data through the Centers for Medicare and Medicaid Services (CMS) Data Usage Agreement (DUA) process Appeal your NPRs for self-disallowed items or items adjusted during audit Whether through an Individual Appeal or Group Appeal Join Group Appeals Strength in numbers May not have a choice 15 The Appeals Game There are four (4) players in the Medicare cost report appeals arena The Provider Appeals adjustments The MAC Defends adjustments The PRRB Strong interest in docket management If a case can be dismissed, it will be dismissed The Courts 16 8

Jurisdictional Challenges The PRRB is currently questioning jurisdiction when a provider appeals an issue not adjusted or protested for all cost reporting periods ending on or after December 31, 2008. The PRRB is generally denying jurisdiction Need to amend cost reports that have not had an NPR issued MAC reluctant to amend cost reports for protest item only Protest It may be your only avenue to appeal an issue 17 Recent Legal Update Trouble s Brewing 18 9

Recent Updates Allina and Beyond Danbury Protest, Protest, Protest 19 Allina Procedural History Issue: Whether enrollees in Part C are entitled to benefits under Part A, such that they should be counted in Medicare fraction, or, if not entitled to Part A, should they be included in Medicaid fraction. Argued February 7, 2014 before United States Court of Appeals Decided April 1, 2014 Affirmed in-part, reversed in-part lower court decision Clarification: regulation effective FFY 2014 UPDATE: We are finalizing our proposal to readopt the policy of counting the days of patients enrolled in the MA plans in the Medicare fraction of the DPP for FY 2014 and subsequent years. 2015 IPPS Final Rule. 20 10

Danbury Arguments Decided by PRRB May 23, 2014 PRRB ruled in favor of MAC (surprise!!!!) Issue: Whether the PRRB has jurisdiction over Medicaid days when there was no adjustment? Provider Contention Claimed tantamount to Bethesda selfdisallowance futile, no support data Data not available from State to validate at cost report filing cited PRRB rule 7.2A Requires concise statement MAC Contention No adjustment or protest item on cost report i.e., no adjustment no protest NO JURISDICTION Provider has responsibility of submitting complete and accurate data on cost report Not CMS responsibility to collect Medicaid data It s yours!! 21 Danbury Danbury Lessons: Include protest item on cost report filing for Medicaid days Amend cost report if possible to include protest File appeal/reopening of adjustment 22 11

For more information please contact: Manie Campbell manie.campbell@campbellwilson.com Todd Prine todd.prine@campbellwilson.com, LLP 15770 Dallas, Parkway, Suite 500 Dallas, TX 75248 (214)373-7077 * * * * * 23 12