McBee Associates has informed PCPA that the Health Care Financing Administration
plans to delay the start of the Medicare Outpatient Prospective Payment System
until August 1, 2000. Please see the following information compiled by McBee
Associates. For more information, please contact McBee Associates or Rebecca
Heidenheim at the Association.
Delay affects Medicare Reimbursement of
Partial Hospitalization Services
Highlights of HCFA's announcement:
1) Many provider organizations, including organizations that represent
partial hospitalization providers, have actively pushed HCFA to
delay the implementation of the Outpatient Prospective Payment
System (OPPPS).
2) Because the new OPPPS will result in lower Medicare coinsurance
for many Medicare beneficiaries, HCFA has also received pressure
from organizations representing older Americans to implement the
new system as soon as possible.
3) There has been concern on the part of providers as to whether
the Medicare Fiscal Intermediaries would be ready for OPPPS on
July 1.
4) HCFA has announced contingency plans if there is a delay in
the processing of claims. In summary, HCFA is prepared to make
accelerated payments, to providers who request them, at 70% of
the estimated Medicare payment.
McBee Associates, Inc., Harrisburg PA
Paul B. Stanalonis, Regional Manager Steven M. Kohler, Manager
Phone 717-540-9480 Fax 717-540-9474
*** McBee Associates, Inc. Client Alert ***
McBee Associates, Inc. is endorsed by the Pennsylvania Community
Providers Association, and by the New Jersey Association of Mental
Health Agencies