One Year SGR Fix Official

December 17, 2010


This week Obama signed the bill that postpones any cuts in Medicare payment rates until 2012.  Congress approved the $15 billion bill and sent it to the White House last week. 


This is the fifth and longest extension of reductions to Medicare's rates passed this year, in keeping with the deadline-postponement cycle that has been in place for the past decade. 



In 2010, some of the SGR cuts were cancelled after they became effective, which meant that providers were in the position of resubmitting claims in order to capture the higher rates.  Unfortunately, at the time these retro-cancellations occured, Congress did not appropriate the money to pay the additional amounts on the claims. 



As part of the recently enacted one-year SGR "fix", Congress approved the release of $200 Million from the Medicare Trust Fund to pay these claims.  CMS intends to send formal guidance in the near future to the Contractors (MACs, Carriers and FIs) on the issue.  As soon as the information is available, we will keep you informed about how the Contractors are being directed to clear up the backlog. 


One of our strengths at MedFocus is helping clients stay current and compliant with the many changes in medical coding, medical billing and revenue cycle management today.

Contact us to find out more about how we can help you run your practice more easily and maximize your financial success.


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