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Welcome to the Jurisdiction 11 (J11) Part A World!

Welcome to the Jurisdiction 11 (J11) Part A World!. Audit and Reimbursement (AR). NGS AR Activities: Wage Index Desk Review-Audits Settlements Lead of the Process Reopening Primary Reviewer. Palmetto GBA AR Activities: Reimbursement Cost Report Receipt Settlements

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Welcome to the Jurisdiction 11 (J11) Part A World!

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  1. Welcome to the Jurisdiction 11 (J11) Part A World!

  2. Audit and Reimbursement (AR) • NGS AR Activities: • Wage Index • Desk Review-Audits • Settlements • Lead of the Process • Reopening • Primary Reviewer • Palmetto GBA AR Activities: • Reimbursement • Cost Report Receipt • Settlements • Issue the Settlement • Reopening • Filed Directly to Palmetto GBA • Cost Report Appeals • Payments

  3. Occupational Mix Survey • FY 2010-2012 wage index based on 2007-2008 Survey • FY 2013-wage based on 2010 survey • CY 2010 Occupational Mix Survey • Published in the January 15, 2010 Federal Register • Due to MAC no later than July 1, 2011

  4. Wage Index – Pension Expense • CMS instructions dated November 9, 2011 • Guidance for determining defined pension Plan cost for FY 2013 wage index • Different treatment for wage index and cost finding

  5. Pension Expense • ERISA rules changed, not standard actuarial basis or limit for pension costs • Previous Medicare treatment: Allow pension contributions • must be paid within one year to liquidate liability • New Medicare treatment: Allow cash contributions

  6. Wage Index – Pension Expense • Effective beginning FY 2013 wage index calculation • Use actual pension contributions funded during the reporting period on a cash basis • Trending • Use average of cash contributions for three years • Transition policy for “prefunded” pension plans • 10 year transition for cash contributions made in excess of wage index amounts for periods beginning on or after 10/01/2002 and prior to 10/01/2008

  7. FY 2012 IPPS Final Rule • Effective for cost report periods beginning on or after October 1, 2011 • Actual contributions to pension plan allowed on cash basis • No longer a one year period to liquate the liability • 150 percent limit on contributions • 150 % of three consecutive Medicare cost report periods out of five most recent cost report periods with the highest average • If contributions are in excess of limit, hospital must demonstrate costs are reasonable and necessary

  8. Electronic Format • Transition to paperless environment • More efficient for providers and MAC • Electronic workpapers • More secure • Encryption required for (PHI, PII) • Correspondence and NPRs sent through email • Need to ensure A & R email contacts are current

  9. Miscellaneous • DSH Eligibility • Medicaid eligibility must be confirmed by the state agency • Status of NPRs on hold • PS&R • SSI data

  10. Questions ?

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