From:                              MGMA Washington Connexion [mgmawashingtonconnexion@mgma.mmsend.com] on behalf of MGMA Washington Connexion [mgmawashingtonconnexion@mgma.com]

Sent:                               Wednesday, December 30, 2009 12:16 PM

Subject:                          12/30: 2010: Time for practices to prepare for the $44,000 Medicare EHR incentive

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In this issue 


2010: Time for practices to prepare for the $44,000 Medicare EHR incentive 

The federal government is expected to release regulations defining "meaningful use" and certification standards for electronic health records (EHR) in relation to the American Recovery and Reinvestment Act Medicare and Medicaid incentives for physicians, hospitals and others to adopt EHRs. Modeled broadly on the Physician Quality Reporting Initiative, eligible professionals who are “meaningful users” of an EHR can be reimbursed for up to $44,000 for adopting a “certified” system under the Medicare incentive program and up to $63,750 under the Medicaid program. Medicare penalties begin in 2015 for those who are not meaningful EHR users. With the first incentive payments available in 2011, a large number of medical groups are expected to begin the transition to EHRs in 2010.

MGMA has developed a comprehensive three-part Webinar series to help members understand the specifics of the incentive program and how to select and implement an EHR that best meets their organizations' clinical and administrative requirements.   


Important CMS information on 2010 conversion factor and claims processing

On Dec. 21, the president signed into a law the Department of Defense appropriations bill that freezes the Medicare conversion factor for 60 days. This language addresses only the conversion factor; and all other 2010 policy changes to the Medicare program become effective on Jan. 1.

Due to ongoing healthcare reform negotiations, the Centers for Medicare & Medicaid Services (CMS) recently announced that it would hold all Part B claims until Jan. 15, and that the Physician Annual Participation Enrollment Program would be extended from Jan. 31 to March 17. In the announcement, CMS said: 

“[It] is working with Congress, health care providers, and the beneficiary community to avoid disruption in the delivery of health care services and payment of claims for physicians, non-physician practitioners, and other providers of services paid under the Medicare physician fee schedule, beginning January 1, 2010. In this regard, CMS has instructed its contractors to hold claims for services paid under the Medicare Physician Fee Schedule (MPFS) for up to the first 10 business days of January (January 1 through January 15) for 2010 dates of service. This should have minimum impact on provider cash flow because, by law, clean electronic claims are not paid any sooner than 14 calendar days (29 days for paper claims) after the date of receipt. Meanwhile, all claims for services delivered on or before December 31, 2009, will be processed and paid under normal procedures.
 
The holding of claims allows Medicare contractors time to receive the new, updated payment files and perform necessary testing before paying claims at the new rates. CMS has instructed contractors to begin processing claims at the new rates no later than January 19, 2010. Please note that most contractors are closed on the January 18 Martin Luther King Day holiday. Therefore, even absent a new update, most claims likely would not have been paid any sooner than January 19, 2010, given the aforementioned statutory 14-day payment floor.

CMS has extended the 2010 Annual Participation Enrollment Program end date from January 31, 2010, to March 17, 2010– therefore, the enrollment period now runs from November 13, 2009, through March 17, 2010.
 
The effective date for any Participation status change during the extension, however, remains January 1, 2010, and will be in force for the entire year.
 
Contractors will accept and process any Participation elections or withdrawals, made during the extended enrollment period that are received or post-marked on or before March 17, 2010.
 
In addition, be on the alert for more information about other legislative provisions which may affect you.”
 
Additionally, CMS published educational articles pertaining to the Expiration of Various Payment Provisions Under the Medicare Program and the 2010 Annual Participation Enrollment Program Extension.

Dec. 30, 2009

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 Member Resources

 Healthcare Reform Resource Center
Medicare Provider Enrollment Toolkit
Physician Quality Reporting Initiative Resource Center
Recovery Audit Contractors Resource Center


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