Knowledge Base Article
January Medicare Transmittals and Other Updates
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January Medicare Transmittals and Other Updates
Wednesday, January 29, 2020
MEDICARE TRANSMITTALS – RECURRING UPDATES
Calendar Year (CY) 2020 Annual Update for Clinical Laboratory Fee Schedule and Laboratory Services Subject to Reasonable Charge Payment
Provider Type Affected: Clinical Diagnostic Labs
Provider Action Needed: Change Request (CR) 11598 provides instructions for CY 2020, mapping for new codes, and updates for lab costs subject to reasonable charge payment.
MLN Article MM11598: https://www.cms.gov/files/document/mm11598.pdf
January 2020 Update of the Ambulatory Surgical Center (ASC) Payment System
Provider Type Affected: ASCs billing Medicare Administrative Contractors
Provider Action Needed: CR 11607 informs MACs about updates to the ASC payment system for Calendar Year (CY) 2019 and describes changes to and billing instructions for various payment policies in the January 2020 ASC payment system update. This notification also includes updates to the HCPCS. Be sure your billing staffs are aware of these changes.
MLN Article MM11607: https://www.cms.gov/files/document/MM11607.pdf
January 2020 Integrated Outpatient Code Editor (I/OCE) Specifications Version 21.0
Provider Type(s) Affected: Hospitals, Other Providers and Suppliers Billing MACs
What You Need to Know: This article is based on CR 11564, informs MACs, including Home Health MACs, and the Fiscal Intermediary Shared System (FISS) that the I/OCE is being updated for January 1, 2010.
MLN Article MM11564: https://www.cms.gov/files/document/mm11564.pdf
Clinical Laboratory Fee Schedule – Medicare Travel Allowance Fees for Collection of Specimens
What You Need to Know: This Change Request (CR) revises the payment of travel allowances when billed on a per mileage basis using Health Care Common Procedure Coding System (HCPCS) code P9603 and when billed on a flat rate basis using HCPCS code P9604 for calendar year 2020.
MLN Article MM11641: https://www.cms.gov/files/document/mm11641.pdf
Quarterly Update to the National Correct Coding Initiative (NCCI) Procedure-to-Procedure (PTP) Edits, Version 26.1, Effective Date: April 1, 2020
MLN Article MM11628: https://www.cms.gov/files/document/mm11628.pdf
OTHER MEDICARE TRANSMITTALS
Internet Only Manual Update to Pub 100-04, Chapter 16, Section 40.8 – Laboratory date of Service Policy
Provider Type Affected: Laboratories & other providers
What You Need to Know: In response to comments, CMS finalized excluding blood banks or centers from the laboratory DOS exception at 42 CFR 414.510(b)(5) in the CY 2020 OPPS/ASC final rule published on November 12, 2019. CMS also adopted a definition of “blood bank or center” and clarified that this policy change categorically excludes molecular pathology testing performed by laboratories that are blood banks or blood centers from the laboratory DOS exception at 42 CFR 414.510(b)(5).
MLN Article MM11574: https://www.cms.gov/files/document/mm11574.pdf
Revised Medicare Transmittals
January 2020 Update of the Hospital Outpatient Prospective Payment System (OPPS)
Transmittal 266 replaces transmittal 264 released on December 20, 2019. Corrections made include:
- Section 5: change “removing 12 procedures from IPO list” to “removing 11 procedures from IPO list”
- Add a new section, number 18, “Correction of deductible and Coinsurance for HCPCS code, G0404,” and
- Change section 18 “Coverage Determinations” to section 19.
MLN Matters Article MM11605: https://www.cms.gov/files/document/mm11605.pdf
MEDICARE SPECIAL MLN & SPECIAL EDITION ARTICLES
SE18006 Reissued: New Medicare Beneficiary Identifier (MBI) Get It, Use It
On January 2, 2020 to update language reflected the use of the MBI number is fully implemented.
SE19006 Revised: Medicare Part B Clinical Laboratory Fee Schedule: Revised Information for Laboratories on Collecting and Reporting Data for the Private Payor Rate-Based Payment System
Article Release Date: January 8, 2020
The Data Reporting Period has been delayed one year and as such all references to the 2020 data reporting period have been changed to 2021.
SE20002: Appropriate Use Criteria (AUC) for Advanced Diagnostic Imaging – Approval of Using the K3 Segment for Institutional Claims
Article Release Date: January 10, 2020
Provider Action Needed: This article provides guidance for processing claims for certain institutional claims that are subject to the Appropriate Use Criteria (AUC) program for advanced diagnostic imaging services. The CMS will begin to accept claims with this information as of January 1, 2020. This SE article contains an attached advanced diagnostic imaging UB-04 claim examples to help better understand the claims-based reporting concept of the AUC program.
https://www.cms.gov/files/document/se20002.pdf
MEDICARE EDUCATIONAL RESOURCES
January 2020 MLN Catalog
2020 marks the Medicare Learning Network’s® (MLN’s) 20th anniversary and the January 2020 Edition of the MLN Catalog is now available. Resources you will find in the catalog:
- MLN Matters® Articles
- Publications and Educational Tools
- MLN Connects® Newsletter
- Web-based Training Courses, and
- Provider Association Partnerships.
Billing Correctly for Polysomnography
The January 16, 2020 edition of MLN Connects provided Polysomnography Compliance Information, noting in a recent report, the Office of Inspector General (OIG) determined that CMS improperly paid practitioners for some claims associated with polysomnography services that did not meet Medicare requirements. We revised the Provider Compliance Tips for Polysomnography (Sleep Studies) (PDF) Fact Sheet to help you bill correctly. Additional resources:
- Medicare Claims Processing Manual, Chapter 15 (PDF) , Section 70
- Questionable Billing for Polysomnography Services OIG Report
- Medicare Payments to Providers for Polysomnography Services Did Not Always Meet Medicare Billing Requirements OIG Report
OTHER MEDICARE UPDATES
2020 OPPS Correction Notice
On January 3, 2020, CMS published a correction notice in the Federal Register. This document corrects technical errors that appeared in the final rule that appeared in the November 12, 2019 issue of the Federal Register. Included in the notice is the inadvertent omission of two additional botulinum toxin injection codes J0586 and J0588 that have now been added to the codes in Table 65 – Final List of Outpatient Services That Require Prior Authorization.
You can read more about the new Prior Authorization requirement in a related MMP article at http://www.mmplusinc.com/news-articles/item/2020-opps-final-rule-supervision-of-therapeutic-services-and-prior-authorizations.
Palmetto GBA Jurisdiction J Medicare Advantage (MA) Plan Overpayments Update
On January 3, 2020, Phase III Settlement Offer Letters were mailed to affected providers. The settlement offer is intended to address all remaining unresolved “MA overpayment” claims.
https://www.palmettogba.com/palmetto/providers.nsf/ls/JJ%20Part%20A"AZ9J8M2780?opendocument
New Important Message from Medicare (IM) and Detailed Notice of Discharge
The Office of Management and Budget (OMB) has renewed the IM (CMS-10065) and DND (CMS-10066). The revised IM has a new CMS Form number (CMS-10065). It was formerly CMS-R-193. Hospitals are required to use the new forms as of April 1, 2020. Until then the previous and new versions are acceptable for use. You can access the forms at the following links:
- https://www.cms.gov/Medicare/Medicare-General-Information/BNI/Downloads/Important-Message-English-and-Spanish.zip
- https://www.cms.gov/Medicare/Medicare-General-Information/BNI/Downloads/Detailed-Notice-English-and-Spanish.zip
New Medicare Outpatient Observation Notice (MOON)
The OMB has renewed the MOON (CMS-10611). The only change made was the expiration date is now 12/31/2022. Similar to the IM and DND, hospitals are required to use the new MOON beginning April 1, 2020. Both previous and new versions are acceptable for use through March 31, 2020. You can access the MOON at the following link:
January 13, 2020 Memorandum: Informational Notice: Forthcoming Integration of the Psychiatric Hospital Program into the Hospital Program and State Operations Manual (SOM) Changes
Aims of Memorandum:
- To improve the identification of quality issues, the CMS is in the process of integrating the psychiatric hospital program survey into the hospital program survey,
- Update and relocation of the Interpretive Guidelines for Psychiatric Hospitals, and
- Develop training to provide the necessary competencies for all State Survey Agency surveyors to evaluate compliance with the psychiatric hospital CoPs.
Link to Memorandum: https://www.cms.gov/files/document/admin-info-20-05-hospitalpsych.pdf
Link to Related CMS Newsroom Fact Sheet: https://www.cms.gov/newsroom/fact-sheets/cms-reduces-psychiatric-hospital-burden-new-survey-process
2020 Updates to OIG Work Plan
OIG updates this dynamic, web-based Work Plan monthly to ensure that it more closely aligns with the work planning process. The monthly update includes the addition of newly initiated Work Plan items, which can be found on the Recently Added Items page. Beginning in January 2020, completed Work Plan items will remain in the active Work Plan for one month, after which they will be moved into the Archive. Recently completed reports can be found on OIG's What's New page. This web-based Work Plan will evolve as OIG continues to pursue complete, accurate, and timely public updates regarding our planned, ongoing, and published work.
January 2020 Medicare Quarterly Provider Compliance Newsletter
The January 2020 edition of this newsletter includes CERT review findings specific to the provision of Lumbar Sacral Orthosis (LSO) and Recovery Auditor findings from a review of Trastuzumab (Herceptin), J9355.
This material was compiled to share information. MMP, Inc. is not offering legal advice. Every reasonable effort has been taken to ensure the information is accurate and useful.
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