HHS Proposes 1 Year Delay of ICD-10
The Department of Health and Human Services (HHS) today announced a proposed rule that would delay, from October 1, 2013 to October 1, 2014, the compliance date for the International Classification of Diseases, 10th Edition diagnosis and procedure codes (ICD-10). The original compliance date was delayed in February by HHS Secretary Kathleen Sebelius, after a strong push back from provider-based groups like the American Medical Association (AMA).
The ICD-10 compliance date change is part of a proposed rule that would adopt a standard for a unique health plan identifier (HPID), adopt a data element that would serve as an “other entity” identifier (OEID), and add a National Provider Identifier (NPI) requirement. The proposed rule was developed by the Office of E-Health Standards and Services (OESS) as part of its ongoing role, delegated by HHS, to establish adopt standards for electronic health care transactions under the Health Insurance Portability and Accountability Act of 1996 (HIPAA). OESS is part of the Centers for Medicare & Medicaid Services (CMS).
In addition, the proposed changes would save health care providers and health plans up to $4.6 billion over the next ten years, according to estimates released by the HHS today. The estimates were included in a proposed rule that cuts red tape and simplifies administrative processes for doctors, hospitals and health insurance plans.
Read more from CMS’ fact sheet issued Monday, April 9, 2012.
CMS Delays 5010 Compliance, Again
CMS has decided it will not enforce the use of Version 5010 HIPAA transaction standards for an additional three months, extending the 5010 compliance deadline until June 30th, 2012.
This is the second 5010 delay in the last few months by the agency. CMS had initially announced on November 17 that it would not enforce penalties for 5010 noncompliance until March 31. At that time, CMS noted that the compliance deadline of Jan. 1, 2012, was still in effect, and that the Office of E-Health Standards and Services, which is in charge of enforcing 5010, would accept complaints associated with compliance with 5010 during the 90-day period beginning on that date.
“The deadline for the switch to the 5010 standards was Jan. 1. In November, the CMS announced that although it was not changing the actual deadline for complying with the standards, it would not initiate enforcement action until March 31,” Modern Healthcare reported.
According to the magazine, “CMS’ Office of E-Health Standards and Services said no action will be taken against noncompliant medical practices, hospitals and other healthcare entities through June 30.”
Medicare Reimbursement Cuts Delayed
Physicians will get a 10-month reprieve from a 27.4 percent cut in Medicare reimbursement scheduled for March 1, 2013. A payment freeze will be in effect through the end of 2012.
The provision is part of a deal to extend a payroll tax cut and added unemployment benefits. Under Medicare’s sustainable growth rate formula (SGR), the 27.4 Medicare payment cut was scheduled to go into effect Jan. 1, but was averted by a last-minute extension in late December of current payment rates.
This provision also requires the Government Accountability Office (GAO) and HHS to submit reports to assist Congress in the development of a long-term replacement to the current Medicare physician payment system.
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