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CMS Transmittals: Medicare Claims Processing Manual, 100-04, Trans. No. 2634, January 11, 2013–Internet Only Manual (IOM) Update to Payment for Medical or Surgical Services Furnished by CRNAs. This CR rescinds and fully replaces CR 8027, (Jan. 15, 2013)

CMS released Transmittal No. 2634 to update the Medicare Claims Processing Manual in connection with the changes to payment for medical and surgical services furnished by CRNAs. In particular: 140.4.3 – Payment for Medical or Surgical Services Furnished by CRNAs (Rev.2634, Issued: 01-11-13, Effective: 01-01-13, Implementation: 02-12-13) B3-16003.H Payment shall…

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American Sleep Medicine Agrees to Pay $15.3 Million for Improperly Billing Sleep Tests to the Government

According to the US Department of Justice, Florida-based American Sleep Medicine LLC has agreed to pay the government approximately $15,300,000 to resolve allegations that it billed Medicare and other government payors for diagnostic sleep services that were not eligible for payment. The payment settles a qui tam or False Claims…

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HHS Announces First Settlement for Breach of HIPAA Privacy Rule Involving Fewer Than 500 Individuals

A press release from the U.S. Department of Health and Human Services (“HHS”) published on January 2, 2013 announced that the Department had reached its first settlement with a covered entity for a breach of the Health and Information Portability and Accountability Act (“HIPAA”) Privacy Rule affecting fewer than 500…

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Medicare Doc-Fix Offsets Include Reduced Payments for Advanced Imaging

As part of the deal to avert the fiscal cliff that was passed on New Year’s Day, Congress extended the 2012 Physician Fee Schedule (“PFS”) through December 31, 2013, effectively freezing implementation of the Sustainable Growth Rate (“SGR”) formula that would have decreased Medicare physician payments by 26.5%. To pay…

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Congress enacts “Doc Fix” as part of a Last Minute Bill to avoid the Fiscal Cliff

Late in the evening New Year’s Day, the House of Representatives passed a Senate Bill that avoids the fiscal cliff by making middle-class tax rates permanent and postponing automatic spending cuts for two months. As part of the deal, Congress included a Medicare “Doc Fix” necessary to avert a 26.5%…

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New York ACO Law Amended

New York State Governor Andrew Cuomo recently signed into law legislation that provides significant amendments to the state’s law governing accountable care organizations (“ACOs”). The new law became effective on October 3, 2012. New York’s ACO law, enacted in March 2011 as a demonstration program, provided that an entity that…

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OIG Advisory Opinion Provides Guidance on Electronic Health Record Connectivity Arrangements

On December 19, 2012, The Office of Inspector General (“OIG”) published an advisory opinion (“OIG AO 12-20“) wherein the agency concluded it will not impose sanctions under the Anti-kickback Statute (“AKS”) on a Hospital (“Hospital”) for its proposal to provide a free electronic interface (“the Interface”) to community physicians and…

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Hospital Employment of Surgeons on the Rise

It seems like every ten years or so the pendulum swings towards or away from physicians seeking employment from hospitals as opposed to heading off on their own or joining existing private physician practices. Over the last few years, the pendulum has swung towards hospital employment. A number of factors…

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CMS Releases Contractor Guidance on Applying the MPPR to Advanced Imaging Services Provided by Group Practices

On December 13, 2012, the Centers for Medicare and Medicaid Services (“CMS”) released Transmittal 1104. This Transmittal is a one-time update that provides guidance to contractors on applying the Multiple Procedure Payment Reduction (“MPPR”) to advanced imaging services provided for one beneficiary during one session by multiple providers in the…

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PTA in Detroit Sentenced to 30 Months for Her Role in Multi-Million Dollar Home Health Care Fraud

On December 11, 2012, Hetal Barot, a physical therapy assistant from Westland, Michigan, was sentenced today to serve 30 months in prison followed by 2 years of supervised release after pleading guilty to 1 count of conspiracy to commit health care fraud. She was also ordered to pay $1,336,739 in…