CMS
Reminds Providers of an End of the Fiscal Year Hold on Payments
CMS
has sent out a reminder that a hold will be placed on Medicare payments for all claims during the last nine days of the Federal
fiscal year (September 22 through September 30, 2006). These
payment delays were mandated by section 5203 of the Deficit
Reduction Act of 2005. No interest will be accrued and no
late penalties will be paid to an entity or individual by
reason of this one-time hold on payments. All claims held
during this time will be paid on October 2, 2006.
By postponing payments for Medicare
Part A and B benefits for six business days at the end of
fiscal year 2006, Congress
simply shifted an estimated $5.2 billion in spending from
FY 2006 to FY 2007.
The hold only applies to claims subject to payment. It does
not apply to full denials, no-pay claims, and other non-claim
payments such as periodic interim payments, home health requests
for anticipated payments, and cost report settlements. Payment
will not be staggered and no advance payments will be allowed
during this nine-day hold.
For more information, please view the MLN Matters Article. |
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