CHA News Article

Palmetto Offers New Guidance on Sequestration Cuts for California Providers
User-friendly Q & A format

The Centers for Medicare & Medicaid Service (CMS) notified providers earlier this month that sequestration cuts to Medicare fee-for-service (FFS) payments will be applied to FFS claims with dates of service or dates of discharge on or after April 1. Yesterday, Palmetto GBA posted further guidance on how the sequestration cuts will be operationalized in Jurisdiction 1, including California. The user-friendly Q & A format answers questions about which payment rates the reduction applies to, how the reduction is identified on electronic and standard remittances, how payments will be calculated on the claims, and more.