Senate Passed Legislation to Extend the “Freeze.”

April 16, 2010

Tonight, the senate passed legislation to extend the “freeze” in the 21% SGR fee schedule cut. The freeze was in effect since 1/1/10. This new freeze will be in effect through the end of May. The House of Representatives was expected to remain in session tonight and after the House passes the bill, it will go immediately to the President and he has indicated he will immediately sign the bill.

CMS announced earlier today that they no longer had the authority (statutory authority) to delay payment of the provider claims and approved the Contractors to begin processing the oldest claims first. There will be some testing of the system prior to processing, so it is possible that some claims could be paid at the reduced rate. If this occurs, the contractor will automatically reprocess the claim if it was Pre-April 1 and pay the differential owed to the provider.

There are continued lobbying efforts to put in place a permanent fix for this persisting problem and we will keep you updated on them.

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