Call for Comments to CMS on Case Mix, Other Important Issues

Issue:

The Home Care Alliance is asking all Medicare-certified agencies to submit comments on the Proposed Rule issued by CMS on July 16, 2010, which addresses a variety of subjects that raise numerous concerns for home health services. These matters include:

  • 2010 HH PPS payments rates with a 3.89% case mix creep adjustment
  • New standards for therapy coverage, patient assessment, and documentation
  • Requirements for physician face-to-face encounters for care plan certification
  • Modifications of the 36-month rule on ownership changes
  • Modification of claims coding and data collections
  • Consumer Assessment of Healthcare Providers and Systems (CAHPS) implementation

Case Mix Background:

CMS has implemented three case mix weight change adjustments to date—2.75% rate reductions in each of 2008, 2009, and 2010. It planned on an additional reduction of 2.71% in 2011. In its recent Proposed Rule, CMS proposes to increase the 2011 adjustment to 3.79% and to add a further 3.79% adjustment in 2012.

With these adjustments NAHC estimates that nearly 45% of home health agencies would receive Medicare payments that are below the cost of care. These rate cuts are in addition to the projected $39.7 billion in cuts coming from the 2010 federal health care reform legislation.

Action:

Please make sure you send your comments on these matters to three places:

1) CMS

  1. a. By Mail: Centers for Medicare & Medicaid Services, Department of Health and Human Services, Attention: CMS-1510-P, P.O. Box 1850, Baltimore, MD 21244-1850
  2. b. Or electronically by clicking here, then clicking “submit comment.”

2)      The Home Care Alliance of Massachusetts

3)      Your Congressperson

Also, please contact your congressperson and urge their support of the Home Health Planning Improvement Act and the Home Health Access Protection Act.

Aside from the obvious destination of sending comments to CMS, it is important for the Home Care Alliance to compile testimony for federal advocacy. Information is vital in making the argument against case mix adjustments, face-to-face encounters for care plan approval, and etcetera.

In addition, your agency sending comments to your Congressperson and asking that they in turn assist in this process is another very important step. HCA will follow up with your elected official once we have received your comments, but it is important for them to hear from businesses in their district that deliver care to their constituents.

Comments to CMS are due by September 14, and agencies are encouraged to have staff, patients and their families submit comments on these matters as well. The Home Care Alliance will have testimony available for agencies to view at least two weeks prior to the deadline.

Please contact James Fuccione at the Home Care Alliance if you have any questions.

Return to www.thinkhomecare.org.

New Medicare PPS Rates

The Alliance has calculated Medicare 2011 home health PPS rates for all CBSAs in Massachusetts, based on data from the Federal Register notice published on July 23, 2010.

Return to www.thinkhomecare.org.

Advocacy Alert: Home Health Care Access Protection Act

Please encourage your congressional legislators to add their names as cosponsors of the Home Health Care Access Protection Act (H.R. 5803; S. 3315) introduced by Reps. Jim McGovern (D-MA) and Walter Jones (R-NC) and Sens. Susan Collins (R-ME) and Russ Feingold (D-WI).

In light of the recent CMS rule that proposes to cut home health payments by 3.79 percent in 2010 and 3.79 in 2011 based on an unfounded allegation of “case mix creep,” this legislation is vitally important to preserve access to home health services because it would establish a fairer and more transparent process for evaluating case mix changes. Home health advocates also should ask their legislators to convey these significant concerns about payment cuts to CMS.

  • Click here and enter your address to find your federal legislators and their contact information. To access the text of the House bill and a list of House cosponsors, click here. To see the text of the Senate bill and a list of Senate cosponsors, click here.
  • If your legislators have not yet cosponsored H.R. 5803 (the House bill) or S. 3315 (the Senate bill), please contact their offices and encourage them to do so. When calling, ask to speak with the staffer who handles Medicare issues. For talking points, click here.
  • To send an email on this issue to your members of Congress using the NAHC Legislative Action Network, click here. We encourage you to edit the sample email provided there by adding information about your own background and experience and the impact these payment cuts could have on home health patients in your state.

Return to www.thinkhomecare.org.

CMS Publishes 2011 PPS Rate Update

The Centers for Medicare & Medicaid Services published the 2011 Home Health Prospective Payment System (PPS) Update Rule.

Combining the effects of a market basket update, a wage index update, reductions to the home health prospective payment system (HH PPS) rates to account for increases in aggregate case-mix that are unrelated to underlying changes in patients’ health status, and other provisions mandated by the Affordable Care Act, today’s rule proposed a 4.75 percent decrease in Medicare payments to home health agencies (HHAs) for calendar year (CY) 2011.  The rule also changes the existing home health outlier policy, with total outlier payments not to exceed 2.5 percent of the total payments estimated for a given year. HHAs are also permanently subject to a 10 percent agency-level cap on outlier payments.

Additionally, the proposed rule includes provisions mandated in the health care reform act, which states that a physician must document a face-to-face encounter with the patient, prior to certifying a patient’s eligibility for the Medicare home health benefit and that a hospice physician or nurse practitioner has seen a patient prior to recertifying the patient’s eligibility for hospice services.

In a separate notification, hospices serving Medicare beneficiaries will see an estimated 1.8 percent increase in their payments for fiscal year (FY) 2011.   The estimated hospice payment increase is the net result of a 2.6 percent increase in the “hospital market basket,” an indicator of input price increases. This is an offset by an estimated 0.8 percent decrease in payments to hospices due to updated wage index data and the second year of CMS’ 7-year phase-out of its wage index budget neutrality adjustment factor (BNAF).

A link to the notice, along with accompanying documents can be found here. Information on submitting comments is available within the notices.

Return to www.thinkhomcare.org.

HCA Offers Comments on PECOS

The Home Care Alliance joined agencies and organizations from across the country in submitting comments on the Interim Final Rule requiring physicians enroll in PECOS (Provider Enrollment, Chain and Ownership System).

The Alliance submitted comments because the regulation change, although directly related to physicians, would prohibit home health agencies from submitting claims to Medicare for reimbursement if the physician was not enrolled in the online PECOS system.

Due to inquiry from federal elected officials, letters and comments, the Centers for Medicare and Medicaid Services (CMS) issued a notice clarifying that they will, “for the time being, not implement changes that would automatically reject claims based on orders, certifications, and referrals made by providers that have not yet had their applications approved by July 6, 2010.”

The notice continued that “While the regulation will be effective July 6, 2010, CMS will not implement automatic rejections of claims submitted by providers that have attempted to enroll in PECOS.  However, until the automatic rejections are operational, providers should not see any change in the processing of submitted claims, they will continue to be reviewed and paid as they have historically been reviewed and paid.”

The Home Care Alliance’s comments call for a delay in the implantation of the regulation to October 1, 2010 and also to hold home health agencies and other Medicare part B providers harmless for claims submitted prior to that date for services ordered by physicians not listed in PECOS.

To take action, fill out this form and send an email to your federal elected officials.

Return to www.thinkhomecare.org.

HCA Issues PECOS Physician Notice for Agencies

In an effort to alert physicians referring patients for Medicare home health services about PECOS (Provider Enrollment, Chain and Ownership System), the Home Care Alliance has drafted an Important Notice to Physicians document for members to use.

The document summarizes the PECOS issue as well as instructions for physicians on the enrollment process.

For more information and background on PECOS, visit this blog post.

Return to www.thinkhomecare.org.

Comment to CMS on PECOS, and Lobby Congress

For those looking to comment on the PECOS (Provider Enrollment, Chain and Ownership System) issue, visit this link on regulations.gov and click on “submit comment.”

HCA strongly suggests that members also send a message to Congress (scroll all the way down to the last message on the list) and call the office of Senator John Kerry and US Representative to follow up on the Alliance’s letter and alerting their offices to the timeliness and urgency of the matter.

If you’re unsure who represents you in the US House of Representatives, click here.

Return to www.thinkhomecare.org.

Medicare Ruling Puts Home Health Patients at Risk

A provision in the Patient Protection and Affordable Care Act published recently by the Centers for Medicare and Medicaid Services (CMS) states that, as of July 6th, home health agencies will be prohibited from submitting claims for reimbursement from physicians who have not enrolled in a new online system.

Failure to register in the Medicare Provider Enrollment, Chain and Ownership System, or PECOS, would also block these physicians, who can still see Medicare patients, from referring new patients for Medicare-covered home health services.

At issue is that CMS has not adequately educated physicians about this new requirement.  The result is that as many as 50% of physicians in Massachusetts (NAHC estimates 20-40 percent nationally) have not registered on PECOS.  Moreover, the registration and approval process can take several weeks, so even if physicians were to register immediately, their status would not be approved by the July 6 deadline.

HCA, along with the VNA of Boston and other agencies and organizations are urging the Centers for Medicare and Medicaid Services and Congress to delay implementation of the rule until such time as physicians have ample time to enroll and also to hold harmless the home health providers that will suffer from the abrupt transition.

What to do:

Return to www.thinkhomecare.org.

New Federal Bill Would Ensure Timely Access to Home Care Services

Congresswoman Allyson Schwartz of Pennsylvania has submitted a major legislative priority of the National Association for Home Care & Hospice (NAHC) that would help ensure home health patients have timely access to care services.

The Home Health Care Planning Improvement Act (H.R. 4993) would allow nurse practitioners, physician assistants, certified nurse midwives, and clinical nurse specialists to order home health services. For more information, see NAHC’s  fact sheet or click the link to the bill language above.

Help advocate by calling the office your Congressional representative to have them sign on. If you are unsure who represents you in the US House, click here and enter your zip code in the top left hand corner.

Return to www.thinkhomecare.org.

March on Washington from Home

The Home Care Alliance will be in the nation’s capitol on April 11-13 for the NAHC “March on Washington.”

For those who cannot make it to Washington DC, you can still participate in the “March” by calling your federal representatives and asking for their support of home care. NAHC has made background information and recommendations available and the office information for the state’s federal legislators are below. Make the call or send an email from our Legislative Action Network!

Not sure who your elected officials are? Click here.

  • Congressman John Olver
    202-225-5335
  • Congressman Richard Neal
    202-225-5601
  • Congressman McGovern
    202-225-6101
  • Congresswoman Tsongas
    202-225-3411
  • Congressman Tierney
    202-225-8020
  • Congressman Barney Frank
    202-225-5931
  • Congressman Lynch
    202-225-8273
  • Congressman Capuano
    202-225-5111
  • Congressman Markey
    202-225-2836
  • Congressman Delahunt
    202-225-3111
  • Senator Brown
    202-224-4543
  • Senator Kerry
    202-224-2742