I R PInnovative Resources for Payors
CHAPTER II: CLAIMS PROCESSING SYSTEMS MODIFICATION

OBJECTIVE
 
Services Included within the scope of the hospital outpatient pps
Services Excluded from the scope of services paid under the hospital outpatient pps

OUTPATIENT PROSPECTIVE PAYMENT SYSTEM BILL TYPES

LINE ITEM DATES OF SERVICE

REPORTING OF SERVICE UNITS

DISCONTINUATION OF BILL TYPE 83X FOR SERVICES PAID UNDER OUTPATIENT PPS

HCFA COMMON PROCEDURE CODING SYSTEM (HCPCS)
HCPCS/Revenue Code Chart
Reporting of HCPCS Codes
Coding for Clinic and Emergency Visits
Radiation Therapy
Implanted DME and Prosthetic Devices and Diagnostic Devices and Implanted Diagnostic Devices

MODIFIERS
Special Guidelines for Using Modifiers with Radiology Services
Modifier for Bilateral Procedures
50 Bilateral Procedure
Payment Implications
Modifiers for Discontinued Services
52 Reduced Services
Special guidelines for Modifier 52
Payment Implications
Additional Instructions for Coding Discontinued Surgical Services
Modifier for Distinct Procedures
Modifiers for Repeat Procedures
Additional Guidelines for Coding Repeat Procedures
Modifier for Evaluation and Management Services
Modifier for Staged or Related Procedures
Modifier for a Return Trip to the Operating Room
Modifier for an Unrelated Procedure during a Postoperative Period
HCPCS Level II Modifiers
Guidelines for Level II Modifiers
Level II Modifiers
Condition Code G0 (zero)

OBSERVATION AND EMERGENCY ROOM
Emergency Room

HOSPITAL INPATIENT SERVICES COVERED UNDER PART B
Inpatient Part B Services – (Bill type 12x)
Changes to Billing Procedures for Inpatient Part B and Outpatient Hospital Services

BILLING CHANGES FOR CMHC AND PARTIAL HOSPITALIZATION SERVICES
Billing Requirements
Reporting of Service Units
Line Item Date of Service Reporting
Professional Services provided to
Partial Hospitalization Patients:
Payment
Provider Reporting Requirements
Professional Component
Corneal Tissue Acquisition Costs

CONDITION CODES 20 AND 21
Repetitive Services

PROCEDURES FOR SUBMITTING LATE CHARGES VS. ADJUSTMENTS
Payment under Outpatient Prospective Payment System(OPPS) for Certain Services Provided in Various Settings
Site

MISCELLANEOUS ISSUES
Designated Drugs or Biologicals
Designated Devices
Process for Identifying Items Potentially Eligible for Payment as New Technologies or Pass-Throughs
Process for Obtaining HCPCS Codes
Outliers

PROGRAM MANUALS ON THE INTERNET


CPT five-digit codes, descriptions, and all other data only are copyright 1999 Americal Medical Association. All rights reserved. No fee schedules, basic units, relative values, or related listings are included in CPT. AMA does not directly or indirectly practice medicine or dipense medical services. AMA assumes no liability for data contained or not contained herein.

CHAPTER II: CLAIMS PROCESSING SYSYEM MODIFICATION OBJECTIVE This chapter provides participants with an overview of the claims processing system and billing changes under the outpatient prospective payment system

Services Included within the scope of the hospital outpatient pps

The following services are included in the scope of hospital outpatient PPS:

  • Certain services for patients who have exhausted their Part A benefits
  • Partial hospitalization services for CMCHs
  • Services designated by the Secretary: surgical procedures, radiology (including radiation therapy), clinic visits, partial hospitalization for the mentally ill, surgical pathology and cancer chemotherapy
  • Specific hospital outpatient services furnished to a beneficiary who is admitted to a Medicare-participating SNF, but who is not considered to be a SNF resident for purposes of SNF consolidated billing, with respect to those services that are beyond the scope of SNF comprehensive care plans
  • Certain preventive services furnished to healthy persons, e.g., colorectal screening
  • Hospital outpatient PPS for certain medical and other health services when they are furnished by other providers, such as CORFS, and HHAs, or to hospice patients for the treatment of a non-terminal illness.
  • Implants

Services Excluded from the scope of services paid under the hospital outpatient pps

The following services are excluded from the scope of services paid under outpatient PPS:

  • Services already paid under fee schedules or other payment systems including, but not limited to:
  • Screening mammographies
  • ESRD paid under the ESRD composite rate
  • Professional services of physicians and non-physicians paid under the Medicare physician fee schedule
  • Laboratory services paid under the clinical diagnostic laboratory fee schedule
  • Non-implantable DME, orthotics, prosthetics and prosthetic devices, prosthetic implants, and take-home surgical dressings paid under the DMEPOS fee schedule
  • Hospital outpatient services furnished to SNF inpatients as part of his or her resident assessment or comprehensive care plan
  • Services and procedures that require inpatient care
  • Ambulance services, physical and occupational therapy, and speech/language services
  • Drugs and supplies that are used within a dialysis session where payment is not included in the composite rate
  • Take-home surgical dressings paid under the DMEPOS fee schedule

OUTPATIENT PROSPECTIVE PAYMENT SYSTEM BILL TYPES

The bill type is a code indicating the specific type of bill (inpatient, outpatient, adjustments, cancels, late charges). This is a three-position field and is mandatory for all outpatient bills paid under the Outpatient Prospective Payment System (OPPS).

The three-digit alphanumeric code gives three specific pieces of information. The first digit identifies the type of facility. The second classifies the type of care. The third indicates the sequence of this bill in this particular episode of care: it is referred to as the frequency code.

Data elements in the HCFA uniform billing specifications are consistent with the Form HCFA-1450. The type of bill is located in field 4 of the 1450. In the electronic specifications, the bill type is located in record type 40, position 25.

The bill types that will be affected by Outpatient Prospective Payment System are:

12x

Hospital Inpatient (Part B)

13x

Hospital Outpatient with CC 41

13x

Hospital Outpatient

14x

Hospital Referenced Diagnostics

34x

Home Health Agency (HHA)

75x

Comprehensive Outpatient Rehabilitation Facility (CORF)

76x

Community Mental Health Center (CMHC)

LINE ITEM DATES OF SERVICE

Under the hospital OPPS, hospitals and CMHCS are required to report all services utilizing HCPCS coding in order to assure proper payment. This requirement applies to:

  • Acute care hospitals
  • Hospital outpatient departments
  • Community mental health centers
  • Comprehensive outpatient rehabilitation facilities
  • Home Health Agencies
  • Hospice patients for the treatment of a non-terminal illness

Under OPPS, line item dates of service are to be reported on all outpatient bills for each line where a HCPCS code is required, including claims where the "from" and "through" dates are the same.

Claims will be returned to providers if submitted

  • With a HCPCS and no corresponding line item date of service, or
  • With a line item date of service outside the ‘statement covers’ period
  • Line item dates of service and no HCPCS code

42 REV.CD.

43 DESCRIPTION

44 HCPCS/RATES

45 SERV.DATE

46 SERV.UNITS

47 TOTAL CHARGES

250

1

200

00

510

92002

070100

1

100

00

519

95805

070100

1

200

00

510

92002

070100

1

300

00

943

93797

070100

1

500

00

943

93797

070100

1

500

00

REPORTING OF SERVICE UNITS

The definition of service units is revised for hospital outpatient services and CMHCS where HCPCS code reporting is required.

A unit is now redefined as the "number of times the service or procedure being reported was performed according to the HCPCS code definition."

EXAMPLE: If the following procedures are performed once on a specific date of service, the entry in the "service units" field is as follows:

90849

Multiple-family group psychotherapy

Units = 1

92265

Needle oculoelectro-myography, one or more extraocular muscles, one or both eyes, with interpretation and report

Units = 1

95004

Percutaneous tests (scratch, puncture, prick) with allergenic extracts, immediate type reaction, specify number of tests

Units = number of tests performed

95861

Needle electromyography two extremities with or without related paraspinal areas

Units = 1

EXAMPLE: If the HCPCS code has a 15-minute element, the entry in the service units field is as follows:

97530

Therapeutic activities, direct (one-on-one) patient contact by the provider (use of dynamic activities to improve functional performance), each 15 minutes

1 unit 8 min. to >23 min.

2 units 23 min. to <38 min.

3 units 38 min. to <53 min.

4 units 53 min. to <68 min.

5 units 68 min. to <83 min.

6 units 83 min. to < 98 min.

7 units 98 min. to <113 min.

8 units 113 min. to <128 min.

The pattern remains the same for treatment times in excess of two hours. Hospitals should not bill for services performed for less than 8 minutes. The expectation is that a provider’s time for each unit will average 15 minutes in length.

The beginning and ending time of the treatment should be recorded in the patient’s medical record along with the note describing the treatment. (The total length of the treatment to the minute could be recorded instead.)

If more than one CPT code is billed during a calendar day, then the total number of units that can be billed is constrained by the total treatment time.

For example, if 24 minutes of 97112 and 23 minutes of 97110 were furnished, then the total treatment time was 47 minutes; therefore, only three units can be billed for the treatment. The correct coding is two units of 97112 and one unit of 97110; thus assigning more units to the service that took more time.

42 REV.CD.

43 DESCRIPTION

44 HCPCS/RATES

45 SERV.DATE

46 SERV.UNITS

47 TOTAL CHARGES

420

97112

070100

2

500

00

420

97110

070100

1

300

00

Claims that do not contain service units for a given HCPCS code will be returned to the provider

DISCONTINUATION OF BILL TYPE 83X FOR SERVICES PAID UNDER OUTPATIENT PPS

Effective for dates of service July 1, 2000 and after, bill type 83x (ambulatory surgery center or ASC) will no longer be used for hospital ambulatory surgical claims. Hospitals must use 13x for ambulatory surgical claims submitted for outpatient prospective payment system (OPPS) payment. Claims submitted with bill type 13x will no longer be changed to 831 by the claims processing system.

The requirement to submit all charges for ASC services on the same claim has not changed. However, if preoperative lab services are included on the claim, the "from" date of the claim must include the date of the pre-op lab services.

  • In the field "statement covers period from date" ( 1450 form locator 6), enter the earliest date services were rendered.
  • Preoperative laboratory services must always have a line item date of service within the "from" and "thru" dates on the claim.
  • Include all related services on one claim. An adjustment must be submitted if all services were not included on the original claim. Late charge bills (XX5) are no longer acceptable.
  • Indian Health Services providers continue to bill surgeries utilizing bill type 83x.
  • Critical Access providers continue to bill surgeries utilizing bill type 85X. bill type.

HCFA COMMON PROCEDURE CODING SYSTEM (HCPCS)

In preparation for implementation of the hospital OPPS, hospitals and CMHCs are required to report services using HCPCS coding in order to receive proper outpatient payment. There are three levels of HCPCS codes:

    • Level I codes contain the American Medical Association’s Current Procedural Terminology (CPT) coding system. This level consists of all numeric codes.
    • Level II codes (national codes) contain the codes for physician and non-physician services which are not included in CPT 4 codes, (e.g., ambulance , DME, orthotics and prosthetics). These are alphanumeric codes maintained jointly by HCFA, Blue Cross and Blue Shield Association and the Health Insurance Association of America (HIAA).
    • Level III (local codes) contain the codes that Medicare fiscal intermediaries and carriers develop as needed.

There are certain HCPCS codes that are not used by Medicare. If hospitals report them on a claim with other services that are covered, the intermediary will deny the line item as non-covered.

HCPCS/Revenue Code Chart

The following chart represents all HCPCS coding to be reported and paid under the OPPS system.

*Revenue codes have not been identified for these procedures, as they can be performed in a number of revenue centers within a hospital, such as emergency room (450), operating room (360), or clinic (510). Providers are to report these HCPCS codes under the revenue center where they were performed.

The listing of HCPCS codes contained in the chart does not assure coverage of the specific service. Current coverage criteria applies.

It is intended to be used as a guide by hospitals to assist them in reporting services rendered. NOTE: this chart does not represent all HCPCS coding subject to OPPS but will be expanded at a later date.

* Please refer to page 48 for PHP codes.

Revenue Code

HCPCS Code

Description

*

10040-69990

Surgical Procedure

*

92950-92961

Cardiovascular

*

96570, 96571

Photodynamic Therapy

*

99170, 99185-99186

Other Services and Procedures

*

99291-99292

Critical Care

*

99440

Newborn Care

*

90782-90799

Therapeutic or Diagnostic Injections

*

D1050, D0240-D0274, D0277, D0460, D0472-D0999, D1510-D1550, D2970, D2999, D3460, D3999, D4260-D4264, D4270-D4273, D4355-D4381, D5911-D5912, D5983-D5985, D5987, D6920, D7110-D7260, D7291, D7940, D9630, D9930, D9940, D9950-D9952

Dental Services

*

92502-92596, 92599

Otorhinolaryngologic Services (ENT)

278

E0749, E0782-E0783, E0785

Implanted Durable Medical Equipment

278

E0751, E0753, L8600, L8603, L8610, L8612, L8614, L8619, L8630, L8641-L8642, L8658, L8670, L8699

Implanted Prosthetic Devices

302

86485-86586

Immunology

305

85060-85102, 86077-86079

Hematology

31X

80500-80502

Pathology – Lab

310

88300-88365, 88399

Surgical Pathology

311

88104-88125, 88160-88199

Cytopathology

32X

70010-76999

Diagnostic Radiology

333

77261-77799

Radiation Oncology

34X

78000-79999

Nuclear Medicine

37X

99141-99142

Anesthesia

413

99183

Other Services and Procedures

45X

99281-99285

Emergency

46X

94010-94799

Pulmonary Function

480

93600-93790, 93799, G0166

Intra Electrophysiological Procedures and Other Vascular Studies

481

93501-93571

Cardiac Catheterization

482

93015-93024

Stress Test

483

93303-93350

Echocardiography

51X

92002-92499

Opththalmological Services

51X

99201,99215,99241-99245,99271-99275

Clinic Visit

     

510, 517, 519

95144-95149,95163,95170,

95180,95199

Allergen Immunotherapy

519

95805-95811

Sleep Testing

530

98925-98929

Osteopathic Manipulative Procedures

636

A4642, A9500, A9605

Radionclides

636

90296-90379, 90385, 90389-90396

Immune Globulins

636

90476-90665, 90675-90749

Vaccines, Toxoids

73X

G0004-G0006, G0015

Event Recording ECG

730

93005-93014, 93040-93224, 93278

Electrocardiograms (ECGs)

731

93225-93272

Holter Monitor

74X

95812-95827, 95950-95962

Electroencephalo-gram (EEG)

762

99217-99220

Observation

771

G0008-G0010

Vaccine Administration

88X

90935-90999

Non-ESRD Dialysis

901

90870-90871

Psychiatry

903

90812-90815, 90823-90824, 90826-90829, 90910-90911,

Psychiatry

909

90880

Psychiatry

910

90801-90802, 90865, 90899

Psychiatry

914

90804-90809, 90816-90819, 90821, 90822, 90845, 90862

Psychiatry

915

90853, 90857

Psychiatry

916

90846-90847, 90849

Psychiatry

917

90901-90911

Biofeedback

918

96100-96117

Central Nervous System Assessments/Tests

92X

95829-95857, 95900-95937, 95970-95999

Miscellaneous Neurological Procedures

920, 929

93875-93990

Non Invasive Vascular Diagnosis Studies

922

95858-95875

Electromyography (EMG)

924

95004-95078

Allergy Test

940

96900-96999

Special Dermatological Procedures

940

98940-98942

Chiropractic Manipulative Treatment

940

99195

Other Services and Procedures

943

93797-93798

Cardiac Rehabilitation

Reporting of HCPCS Codes

Under OPPS, when basing payment on CPT codes, the range of cost reflects hospitals’ billing patterns in increasing levels of intensity. Increasing increments are due largely to hospitals’ use of ‘chargemaster’ systems, which generate bills using predetermined charges for codes.

Hospitals should not use the lowest level code (e.g., CPT code 99201) to bill for all clinic visits. This would distort the data causing inflation in both the volume and cost of low-level clinic visits.

It is important that hospitals use the appropriate level of intensity of their clinic visits and reporting codes properly based on internal assessment of the charges for those codes rather than failing to distinguish between low- and mid-level visits because the payment is the same.

The billing information that hospitals report during the first years of implementation of OPPS will be vitally important to the revision of weights and other adjustments that affect payment in future years.

Each facility will be accountable for following its own system for assigning the different level of HCPCS codes.

HCPCS Code 99291

Hospitals can use HCPCS code 99291 in place of, but not in addition to, a code for a medical visit/service in a clinic, emergency department.

The CPT definition of ‘critical care’ is the evaluation and management of a critically injured patient who requires periods of continual attendance of a physician.

Coding for Clinic and Emergency Visits

Prior to OPPS, hospitals could report CPT code 99201 to indicate a visit of any type. Under OPPS, 31 codes are used to indicate visits with payment differentials for more or less intense service. Hospitals should code the visit using the following HCPCS codes:

92002, 92004, 92012, 92014, 99201, 99202, 99203, 99204,99205,99211,99212,99213,99214,99215,99241,

99242,99243,99244,99245,99271,99272,99273,99274,

99275,99281,99282,99283,99284,99285,G0101 and G0175.

Hospitals should use CPT guidelines when applicable or crosswalk hospital coding structures to CPT codes. For example, a hospital that has 8 levels of emergency and trauma care depending on nursing ratios should walk those 8 levels to the CPT codes for emergency care.

HCPCS Code G0175

Hospitals can use HCPCS code G0175 in reporting a scheduled medical conference with the patient involving a combination of at least three health care professionals, and one of whom is a physician, but cannot be nurse.

Sterotatic Radiotherapy

Two new HCPCS codes have been developed to report radiation therapy in place of HCPCS code 61793.

Providers should use these codes beginning with dates of service July 1, 2000.

  • G0173 stereotactic radiosurgery, complete course of therapy in one session.
  • G0174 stereotactic radiosurgery, requiring more than one session.

Initially, both codes will pay the same however, expect differences in cost to become apparent during the first year or 18 months of OPPS.

Implanted DME and Prosthetic Devices and Diagnostic Devices and Implanted Diagnostic Devices

Implanted Durable Medical Equipment (DME) and implanted prosthetic devices are now paid under the Outpatient Prospective Payment System and no longer paid on fee schedule. The following are the appropriate HCPCS codes for payment under OPPS. Do not bill your local carrier for dates of service on and after July 1, 2000.

Implanted DME

E0749

E0782

E0783

E0785

Implanted

Diagnostic Devices

C1361

Implanted Prosthetic Devices

E0751

E0753

L8600

L8603

L8610

L8612

L8613

L8614

L8630

L8641

L8642

L8658

L8670

L8699

MODIFIERS

A modifier is a two position alpha or numeric code that is added to the end of a HCPCS code to clarify the services being billed.

Modifiers provide a means by which a service can be altered without changing the procedure code. They add more information, such as the anatomical site, to the HCPCS code. In addition, they help to eliminate the appearance of duplicate billing and unbundling.

There are CPT-4 and Level II HCPCS modifiers. They are used to increase accuracy in reimbursement, coding consistency, editing, and to capture payment data. Billing accurately with modifiers is an integral part of the OPPS.

Use the modifiers identified below, when appropriate, for surgical procedures (HCPCS codes 10000–69999), radiology (HCPCS codes 70010–79999), and other diagnostic procedures (HCPCS codes 90700–99199).

Not all HCPCS codes will require modifiers

  • Do not use a modifier to indicate an anatomical site location on body (modifier 50 or Level II modifiers) if the narrative definition of a code indicates multiple occurrences.

EXAMPLE: The code definition indicates two to four lesions.

11056 – Paring or cutting hyperkeratolic lesion, leg (e.g., corn or callous); two or four lesions. The code definition indicates multiple lesions.

73565 – Radiologic examination; both knees, standing, anteroposterior. The code definition indicates the specific site.

  • Do not use a modifier to indicate an anatomic site (modifier 50 or Level II modifiers) if the narrative definition of a code indicates the procedure applies to more than two sites.

EXAMPLE: Code 11600 (Excision, malignant lesion, trunk, arms, or legs; lesion diameter 0.5 cm or less)

Special Guidelines for Using Modifiers with Radiology Services

  • Use modifiers 50, 52, 59,, 76, 77, and level II modifiers.
  • Do not report a radiology procedure that was canceled.

Modifier for Bilateral Procedures

50 Bilateral Procedure

Modifier 50 is used to report bilateral procedures that are performed at the same session. Report the appropriate HCPCS code and add the modifier 50 to the procedure code to identify that the procedure was performed on a contralateral site. Units should be reported as one.

EXAMPLE: Procedure 19000 (Puncture aspiration of cyst of breast) was performed on the right and left breast during the same operative session. This is billed as 1900050.

42 REV.CD.

43 DESCRIPTION

44 HCPCS/RATES

45 SERV.DATE

46 SERV.UNITS

47 TOTAL CHARGES

360

1900050

070100

1

400

00

Use modifier 50 for;

  • surgical procedures (CPT 10000-69990)
  • radiology procedure if applicable
  • any bilateral procedure performed on both sides at the same session

Do not use modifier 50 for:

  • procedures identified by their terminology as "bilateral," e.g., 27395 (Lengthening of hamstring tendon, multiple, bilateral)
  • procedures identified as "unilateral or bilateral," e.g., 52290 (Cystourethroscopy, with meatotomy, unilateral or bilateral)

Do not:

  • submit two line items to report a bilateral procedure
  • submit with modifiers RT and LT when modifier 50 applies

Payment Implications

  • When modifier 50 is reported, reimbursement is for two procedures: PRICER will apply the rules for calculating payment for multiple procedures. The provider is Reimbursement at 150% of the group rate.
  • Radiology is reimbursed at 200%. (Reimbursed is for two procedures)

Modifiers for Discontinued Services

52 Reduced Services

Modifier 52 is for radiology and other diagnostic procedures. It can also be used for surgery when the use of anesthesia was not an inherent part of performing the procedure.
Example: If a colonoscopy, HCPCS code 45378, flexible, promimal to splenic flexure; diagnostic, with or without collection of specimen(s) by brushing or washing, with or without colon decompression (separate procedure) was started (conscious sedation had been administered), but is was found that the patient was inadequately prepped for the procedure, so the procedure was discontinued, and no exam of even the sigmoid was possible. This should be billed as 4537852

42 REV.CD.

43 DESCRIPTION

44 HCPCS/RATES

45 SERV.DATE

46 SERV.UNITS

47 TOTAL CHARGES

*

4538752

070100

1

500

00

*Revenue code should be billed where the services were performed.

However, it is not appropriate to use modifier 52 if a portion of the intended procedure was completed and a code exists which represents the completed portion of the intended procedure.

Example: If a colonoscopy, HCPCS code 45378, was partially completed, that is, the colonoscopy was advanced as far as the splenic flexion, to the extent that the procedure meets the definition of a sigmoidoscopy, HCPCS code 45330, it is appropriate to bill that code. Otherwise, if no codes exists for what has been done, report the intended code with modifier 52.

Special guidelines for Modifier 52

  • Code to the extent of the procedure that was performed and do not use modifier 52
  • If no code exists for what has been done, report the intended code with modifier 52

73 Discontinued Outpatient Hospital Surgical Procedure (ASC) or Diagnostic Procedure/Service Prior to the Administration of Anesthesia

Modifier 73 is used for surgical procedures for which anesthesia (general, regional, or local) is planned.

EXAMPLE: A patient is prepared for procedure 49590 "repair spigelian hernia". Before anesthesia is administered, the physician decides the procedure should not be performed. This is billed as 4959073.

42 REV.CD.

43 DESCRIPTION

44 HCPCS/RATES

45 SERV.DATE

46 SERV.UNITS

47 TOTAL CHARGES

360

4959073

070100

1

400

00

Use modifier 73 for:

  • procedures requiring anesthesia
  • an outpatient hospital procedure discontinued

- after the patient has been prepared for the procedure and/or

- before the induction of anesthesia (e.g., local, regional block(s) or general anesthesia)

Do Not:

  • use modifiers 52 and 73 together

Payment Implications

  • A terminated procedure with modifier 73 will be discounted at 50%

74 Discontinued Outpatient Hospital/Ambulatory Surgery Center (ASC) Procedure or Diagnostic Procedure or Service after the Administration of Anesthesia

Modifier 74 is used for surgical procedures for which anesthesia (general,regional or local) has been started.

Example: Anesthesia for procedure 38745 (Axillary lymphadenectomy: complete is given and the procedure has been started, but the physician terminates the procedure before it is complete. This is billed as 3874574.

42 REV.CD.

43 DESCRIPTION

44 HCPCS/RATES

45 SERV.DATE

46 SERV.UNITS

47 TOTAL CHARGES

360

3874574

070100

1

800

00

Use modifier 74 for:

  • procedures requiring anesthesia
  • an outpatient hospital/ambulatory surgery center (ASC) or diagnostic procedure discontinued after the administration of anesthesia

Additional Instructions for Coding Discontinued Surgical Services

When multiple procedures were planned and there was a termination:

  • If one of more of the procedures were completed, report the completed procedure(s) as usual. The other(s) planned and not started are not reported.
  • If none of the planned procedures were completed, report the first procedure that was planned with modifier 73 or modifier 74. The others are not reported.

Modifier for Distinct Procedures

59 Distinct Procedural Services

Modifier 59 is used for procedures/services that are not normally reported together, but may be performed under certain circumstances.

EXAMPLE: Procedures 23030 (Incision and drainage, shoulder area; deep abscess or hematoma) and 20103 (Exploration of penetrating wound; extremity) are performed on the same patient on the same date of service. The incision and drainage of the shoulder is the definitive procedure and any exploration of the area preceding this is considered an inherent part of the procedure. However, the exploration procedure was conducted on a different part of the same limb, adding the 59 modifier to code 23030 will explain the circumstance and prevent denial of the service. If these two codes were billed together without modifier 59, code 20103 would be denied.

42 REV.CD.

43 DESCRIPTION

44 HCPCS/RATES

45 SERV.DATE

46 SERV.UNITS

47 TOTAL CHARGES

360

23030

070100

1

800

00

360

2010359

070100

1

800

00

Use modifier 59 for:

  • Indicating that a procedure or service was distinct or independent from other services performed on the same day.
  • Representing
  • different procedure or surgery,
  • different site or organ system,
  • separate incision, or
  • separate injury (or area of injury in extensive injuries) not ordinarily encountered or performed on the same day by the same physician
  • different session or patient encounter

Do not use modifier 59 if:

  • a level II HCPCS modifier can be used to indicate different body areas

Modifiers for Repeat Procedures

76 Repeat Procedure by the Same Physician

Modifier 76 is used to indicate that a procedure or service was repeated in a separate session on the same day by the same physician. This modifier may be reported for services ordered by physicians but performed by technicians. The procedure code is listed once and then listed again with modifier 76 added (two line items). The number of times that the procedure was repeated is reported on separate lines.

Example: EKG 93005 (Electrocardiogram, routine EKG with at least 12 leads; with interpretation and report) is performed at 8 a.m. An EKG, 93005 is ordered and repeated at 1 p.m. The patient’s condition requires another EKG, the physician orders it and the EKG is done at 10 p.m. This is billed as 93005, one unit (first line) and 9300576, two units (next line).

Diagnostic Test

42 REV.CD.

43 DESCRIPTION

44 HCPCS/RATES

45 SERV.DATE

46 SERV.UNITS

47 TOTAL CHARGES

730

93005

070100

1

300

00

730

9300576

070100

2

600

00

For surgical procedures, report the HCPCS code without modifier 76 to indicate the first time the procedure was performed. For each additional time the procedure was performed, the HCPCS code is repeated with modifier 76 added. Do not use the units field to indicate that the procedure was repeated more than once on the same day.

EXAMPLE: Procedure 26615 open treatment of metacarpal fracture, single, with or without internal or external fixation,each bone. Later, while in the recovery room the internal fixation pin is dislodged, so that the operating surgeon needs to repeat the procedure. This is reported as 26615 (first line) and 2661576 (next line). Both will have units reported as one.

Surgical Procedure

42 REV.CD.

43 DESCRIPTION

44 HCPCS/RATES

45 SERV.DATE

46 SERV.UNITS

47 TOTAL CHARGES

360

26615

070100

1

200

00

360

2661576

070100

1

200

00

77 Repeat Procedure by Another Physician

Modifier 77 is used for a procedure performed that had to be repeated by a different physician in a separate session on the same day. The procedure code is listed once and then listed again with modifier 77 added. The number of times the procedure was repeated is reported on separate lines. Do not use the units field to indicate that the procedure was performed more than once on the same day.


For surgical procedures, report the HCPCS code without modifier 77 to indicate the first time the procedure was performed. For each additional time the procedure was performed, the HCPCS code is repeated with modifier 77 added. Do not use the units field to indicate that the procedure was performed more than once on the same day.

Example: Procedure 26615 Open treatment of metacarpal fracture, single, with or without internal or external fixation, each bone. Later, while in the recovery room the internal fixation pin is dislodged, and a different surgeon repeats the procedure. This is reported as 26615 (first line) and 2661577 (next line). Both will have units reported as one. The only difference is that a different physician repeats the procedure so that modifier 77 is used in place of 76.

42 REV.CD.

43 DESCRIPTION

44 HCPCS/RATES

45 SERV.DATE

46 SERV.UNITS

47 TOTAL CHARGES

360

26615

070100

1

200

00

360

2661577

070100

1

200

00


Additional Guidelines for Coding Repeat Procedures

Modifiers 76 and 77

  • If you are not sure who ordered the second procedure, or whether the same physician ordered both procedures, code based on the physician who performed the procedures.
  • The procedure repeated must be the same procedure.

Modifier for Evaluation and Management Services

  1. Significant, Separately Identifiable Evaluation and Management Service by the Same Physician on the Same Day of a Procedure of Other Service

Modifier 25 is billed with an evaluation and management (E & M) code to indicate that on the same day a procedure was performed, the patient’s condition required a significant, separately identifiable E & M service (even though the E & M service may be necessary because of the symptom or condition for which the procedure was provided).

Use modifier 25 for an E & M service:

  • that is above and beyond the procedure performed
  • that is beyond the usual pre-operative and post-operative care associated with the procedure
  • when a separate history was taken, a separate physical was performed, and a separate medical decision was made and is documented in the medical record

Modifier for Staged or Related Procedures

  1. A Staged Or Related Procedure Or Service By The Same Physician During The Postoperative

Period On the Same Day

An example of modifier 58 is one were a needle biopsy is performed in the morning and the plan, which subsequently carried out, is to perform an excisional biopsy later in the day depending on the results of the surgical pathology report. The post operative period refers to same calender day

  • planned prospectively at the time of the original procedure (staged)
  • more extensive than the original procedure
  • for therapy following a diagnostic surgical procedure

Do not use modifier 58 to report the treatment of a problem that requires a return to the operating room (see modifier 78).

Modifier for a Return Trip to the Operating Room

78 Return to the Operating Room for a Related Procedure during the Postoperative Period

Modifier 78 is used to indicate that another procedure was performed during the postoperative period of the initital procedure that was performed earlier in the same day.

Example;: Procedure 23500, Closed treatment of clavicular fracture with manipulation; and following this it is subsequently decided that another procedure is required, such as 23515, ( open treatment of clavicular fracture, with or without internal or external fixation. This is reported as 23500 on the first line and 2351578 on the next line.)

When reporting surgical procedures, each revenue code must have charges associated with the revenue code reported.

42 REV.CD.

43 DESCRIPTION

44 HCPCS/RATES

45 SERV.DATE

46 SERV.UNITS

47 TOTAL CHARGES

360

23500

070100

1

300

00

360

2351578

070100

1

300

00

Use modifier 78 if:

  • the subsequent procedure relates to the first procedure; and
  • the subsequent procedure requires the use of an operating room.

Modifier for an Unrelated Procedure during a Postoperative Period

79 Unrelated Procedure or Service by the Same Physician during a Postoperative Period

Modifier 79 is used to indicate that the performance of a procedure or service by the same physician during the post-operative period was unrelated to the original procedure that was performed earlier in the day.

EXAMPLE: Procedure 20100 (Exporation of penetrating wound, separate procedure; extremity followed later in the day by procedure 43227 esophagoscopy, rigid or flexible with control bleeding, any method.

42 REV.CD.

43 DESCRIPTION

44 HCPCS/RATES

45 SERV.DATE

46 SERV.UNITS

47 TOTAL CHARGES

360

20100

070100

1

800

00

360

4322779

070100

1

800

00

HCPCS Level II Modifiers

The following HCPCS level II modifiers are added, as appropriate, primarily to codes for procedures performed paired organs etc., on eyelids, fingers, toes, or arteries. These modifiers are used to prevent erroneous denials when duplicate HCPCS codes are billed to report separate procedures performed on different anatomical sites or different sides of the body.

Guidelines for Level II Modifiers

  • When a modifier is needed, the most specific modifier should be used first.

EXAMPLE: Use modifier E1 for the upper left eyelid, instead of modifier LT.

  • If more than one level II modifier applies, repeat the HCPCS code on another line with the appropriate level II modifier.

EXAMPLE: Code 26010 (drainage of finger abscess; simple) done on the left hand thumb and second finger would be billed: 26010FA (one line) and 26010F1 (separate line).

  • Modifiers LT and RT

- Apply to codes that identify procedures which can be performed on a contralateral anatomic sites (joints, bones) or on paired organs, extremities and, e.g., ears, eyes, nasal passages kidneys, lungs, ureters and ovaries

- Required when the procedure is performed on only one side, to identify the side operated upon

Level II Modifiers

E1 Upper left, eyelid
E2 Lower left, eyelid
E3 Upper right, eyelid
E4 Lower right, eyelid

FA Left hand, thumb
F1 Left hand, second digit
F2 Left hand, third digit
F3 Left hand, fourth digit
F4 Left hand, fifth digit
F5 Right hand, thumb
F6 Right hand, second digit
F7 Right hand, third digit
F8 Right hand, fourth digit
F9 Right hand, fifth digit

LC Left circumflex coronary artery (Hospitals use with codes 92980–92982, 92995, and 92996)

LD Left anterior descending coronary artery (Hospitals use with codes 92980–92982, 92995, and 92996)

LT Left side (used to identify procedures performed on the left side of the body)

RC Right coronary artery (Use with codes 92980–92982, 92995, and 92996.)

RT Right side (used to identify procedures performed on the right side of the body)

TA Left foot, great toe
T1 Left foot, second digit
T2 Left foot, third digit
T3 Left foot, fourth digit
T4 Left foot, fifth digit
T5 Right foot, great toe
T6 Right foot, second digit
T7 Right foot, third digit
T8 Right foot, fourth digit
T9 Right foot, fifth digit

Do not use modifiers LT and RT to report bilateral surgical procedures; use modifier 50 (Bilateral Procedure).

EXAMPLE:

Example Number

Right side?

Left side?

Same operative session?

Same doctor?

Repeat Procedure same day?

Code

Service Units

1

Y

       

XXXXXRT

1

2

 

Y

     

XXXXXLT

1

3

Y

Y

Y

   

XXXXX50

1

4

Y

Y

N

   

XXXXXRT
XXXXXLT

1
1

5

Y

Y

Y

Y

Y, right side* only

XXXXX50
XXXXXRT76

1
1

6

Y

Y

Y

N

Y, right side* only

XXXXX50

XXXXXRT77

1
1

7

Y

   

Y

Y, right side* only

XXXXXRT
XXXXXRT76

1
1

8

Y

   

N

Y, right side* only

XXXXXRT
XXXXXRT77

1
1

(XXXXX represents the five-digit CPT-4 code)

*Right side is used here for purposes of illustration only.

For the left side, the modifier LT should be used instead of RT.
Examples 4 through 8 above reflect very rare circumstances.

The use of modifier 50 (bilateral) or RT and LT as described in the grid above only applies to CPT4 codes where "bilateral" is not already inherent in the CPT code description.

Service

HCPCS Range

Modifier

Modifier Description

Hints

Surgery

10000-69999

50

Bilateral Procedure

  • Use to report a procedure done bilaterally in same operative session.
  • Use only for paired organs/body parts.
  • Do not use if code indicates multiple occurrences.
  • Do not use if the code indicates the procedure applies to different body parts.
  • Do not use if code description included "bilateral" or "unilateral or bilateral."
   

73

Discontinued Outpatient Hospital Procedure Prior to the Administration of Anesthesia

  • Use to report an outpatient procedure discontinued
    • When the physician terminates the procedure
    • After the patient is prepped for surgery and is in the surgery room, and
    • Before anesthesia is delivered.
  • If more than one procedure was planned, report only the procedure that was started.
   

74

Discontinued Outpatient Hospital/Ambulatory Center (ASC) Procedure after the Administration of Anesthesia

  • Use to report an outpatient procedure discontinued
    • When the physician terminates the procedure
    • After anesthesia is delivered.
  • If more than one procedure was planned, report only the procedure that was started.
   

59

Distinct Procedural Service

  • Use for procedures not normally reported together.
  • Use to indicate a procedure distinct or independent from other procedures performed on the same day.
  • Use to represent (not ordinarily performed on the same day):
    • Different procedure or surgery
    • Different site or organ system
    • Separate incision
    • Separate injury (or area of injury in extensive injuries)
    • Different session or patient encounter
  • Do not use if a level II modifier can be used.

76

Repeat Procedure by Same Physician

  • Use when a procedure is repeated:
    • In a separate session
    • On the same day
    • By the same physician
  • The procedure repeated must be the same procedure (same HCPCS code).
   

77

Repeat Procedure by Another Physician

  • Use when a procedure is repeated:
    • In a separate session
    • On the same day
    • By a different physician
  • The procedure repeated must be the same procedure (same HCPCS code).

58

A Staged or Related Procedure or Service by the Same Physician during the Postoperative Period of a previously performed procedure

  • Use when the performance of a procedure during the post-operative period was performed on the same day
    • Planned prospectively at the time of the original procedure (staged)
    • More extensive than the original procedure
    • For therapy following a diagnostic surgical procedure
  • Do not use to report the treatment of a problem that requires a return to the operating room (see modifier 78).
   

78

Return to the Operating Room for a Related Procedure during the Postoperative Period of a previously performed procedure

  • Use to indicate that another procedure was performed during the postoperative period of the initial procedure on the same day
  • Use if the subsequent procedure:
    • Relates to the first procedure; and
    • Requires the use of an operating room.
   

79

Unrelated Procedure or Service by the Same Physician during a Postoperative Period

  • Use to indicate that a procedure performed:
    • During the post-operative period on the same day
    • By the same physician
    • Is unrelated to the original procedure
   

RT/LT

Right Side/Left Side

  • Use to identify procedures performed on the right/left side of a paired organ or central lateral anatomic site body.
  • Use when the procedure is performed on only one side to identify the side operated upon
  • Do not use if code indicates multiple occurrences.
  • Do not use if the code indicates the procedure applies to different body sites or anatomic structures
  • Do not use RT/LT if a more specific modifier is available.
  • Do not use RT and LT when modifier 50 is appropriate.
   

E1 – E4, FA – F9, TA – T9

Eyelids

Fingers

Toes

  • Use the most specific modifier available.
  • If more than one level II modifier applies, repeat with each of the appropriate level II modifiers.
  • Do not use if code indicates multiple occurrences.
  • Do not use if the code indicates the procedure applies to different body parts.
 

Radiology

 

50

Bilateral Procedure

  • Use to report a procedure done bilaterally in same radiology session
  • Use only for paired organs/body parts
  • Do not use if code indicates multiple occurrences
  • Do not use if the code indicates the procedure applies to different body parts
  • Do not use if code description includes bilateral or unilateral
 

70010-79999

52

Reduced Services

  • Use to report a service that was:
    • Initiated
    • Partially rcompleted
    • No available HCPCS code describes the service performed
  • Do not report a radiology procedure that was canceled.
   

59

Distinct Procedural Service

  • Use for services not normally reported together.
  • Use to indicate a service distinct or independent from other services performed on the same day.
  • Use to represent (not ordinarily performed on the same day):
    • Different procedure,
    • Different site or organ system,
    • Separate incision
    • Separate injury (or area of injury in extensive injuries)
  • Do not use if a level II modifier can be used.
         
         
   

76

Repeat Procedure by Same Physician

  • Use when a service is repeated:
    • In a separate session
    • On the same day
    • By the same physician
  • The service repeated must be the same service (same HCPCS code).
   

77

Repeat Procedure by Another Physician

  • Use when a service is repeated:
    • In a separate session
    • On the same day
    • By a different physician
  • The service repeated must be the same service (same HCPCS code).
   

79

Unrelated Procedure or Service by the Same Physician during a Postoperative Period

  • Use to indicate that a service performed:
    • During the post-operative period of a procedure performed earlier in the day
    • By the same physician
    • Is unrelated to the original procedure
   

RT/LT

Right Side/Left Side

  • Use to identify services performed on the right/left side of a paired organ or central lateral anatomic site.
  • Apply to codes that identify services that can be performed on paired organs, e.g., ears, lungs, ovaries.
  • Use when the service is performed on only one side of a pair.
  • Do not use if code indicates multiple occurrences.
  • Do not use if the code indicates the procedure applies to different body parts.
  • Do not use RT/LT if a more specific modifier is available.
 

Other Diagnostic

90700-99199

59

Distinct Procedural Service

  • Use for services not normally reported together.
  • Use to indicate a service distinct or independent from other services performed on the same day.
  • Use to represent (not ordinarily performed on the same day):
    • Different procedure,
    • Different site or organ system,
    • Separate incision
    • Separate injury (or area of injury in extensive injuries)
    • Different session or patient encounter
  • Do not use if a level II modifier can be used.
   

76

Repeat Procedure by Same Physician

  • Use when a service is repeated:
    • In a separate session
    • On the same day
    • By the same physician
  • The service repeated must be the same service (same HCPCS code).

77

Repeat Procedure by Another Physician

  • Use when a service is repeated:
    • In a separate session
    • On the same day
    • By a different physician
  • The service repeated must be the same service (same HCPCS code).

79

Unrelated Procedure or Service by the Same Physician during a Postoperative Period

  • Use to indicate that a service/procedure performed earlier in the day
    • During the post-operative period
    • By the same physician
  • Is unrelated to the original procedure
   

RT/LT

Right Side/Left Side

  • Use to identify services performed on the right/left side of a paired organ or centra lateral anatomic site
  • Apply to codes that identify services that can be performed on paired organs, e.g., ears, lungs, ovaries.
  • Use when the service is performed on only one sideof a paired organ or centra lateral anatomic site.
  • Do not use if code indicates multiple occurrences.
  • Do not use if the code indicates the procedure applies to different body parts.
  • Do not use RT/LT if a more specific modifier is available.
 

92980-92982, 92995, 92996

LC

LD

RC

Left circumflex coronary artery

Left anterior descending coronary artery

Right coronary artery

  • Use to identify vessel upon which the procedure was performed.
  • If more than one level II modifier applies repeat the HCPC code in another line with the level II modifier

Evaluation and Management

99201-99499

25

Significant, Separately Identifiable Evaluation and Management Service by the Same Physician on the Same Day of a Procedure of Other Service

  • Use to indicate that the patient required a significant, separately identifiable E & M service on the same day a procedure was performed.
  • Use for an E & M service that:
    • Is beyond the usual pre-operative care associated with the procedure
    • A separate history was taken a separate physical performed, and medical separate decision made

Condition Code G0 (zero)

Hospitals must report condition code G0 in form locator 24-30 when distinct and independent visits on the same day in the same revenue center can be reported on separate claims with condition code G0 on the second and any subsequent claims.

EXAMPLE: A beneficiary went to the emergency room twice (morning and afternoon) on the same day for chest pain. This situation would apply if the beneficiary came back for a different or same reason.

Proper reporting of condition code G0 allows for payment under OPPS. If condition code G0 is not present and service units are greater than 1, the system will reject multiple medical visits on the same day with the same revenue code.

Billing Example 1 (one claim submitted)

One claim

Condition code G0 is one the claim

REV. CD. HCPCS/ SERV.DATE SERV.UNITS TOTALCHARGES

450 99281 070100 2 800.00

Billing Example 2 ( two claims submitted)

REV. CD. HCPCS/ SERV.DATE SERV.UNITS TOTALCHARGES

450 99281 070100 1 400.00

Claim Two (separate claim)

Condition Code

G0

REV. CD. HCPCS/ SERV.DATE SERV.UNITS TOTALCHARGES

450 99281 070100 2 800.00

Billing Example 3 (three claims submitted)

Claim one

REV. CD. HCPCS/ SERV.DATE SERV.UNITS TOTALCHARGES

510 99281 070100 1 400.00

Claim Two (separate claim)

Condition Code G0

REV. CD. HCPCS/ SERV.DATE SERV.UNITS TOTALCHARGES

510 99281 070100 1 400.00

Claim Three (separate claim)

Condition Code G0

REV. CD. HCPCS/ SERV.DATE SERV.UNITS TOTALCHARGES

510 99281 070100 1 400.00

OBSERVATION AND EMERGENCY ROOM

All claims that span more than one day are subdivided into multiple days by the outpatient code editor (except claims for emergency room or observation room, revenue codes 45x and 762).

Claims for emergency room or observation visits will always be treated as if they occurred on a single day unless condition code 41 is present or the bill type is 76x.

Outpatient claims submitted for observation room services must be billed in the following manner:

  • The service date is the date the patient occupied the observation bed.
  • The observation room is identified with revenue code 762.
  • The service units entered are the number of hours of observation room service.
  • The reporting of HCPCS code range 99217-99220 is optional

EXAMPLE: 27 hours in observation

 

2

3 PATIENT CONTROL NO.

4 TYPE

     

131

5 FED TAX NO

6 STATEMENT COVERS

PERIOD

FROM | THROUGH

7 COVD

8 N-CD

9 C-ID

10 L-R D

11

07012000

07022000

  1. PATIENT NAME

13 PATIENT ADDRESS

     

ADMISSION

     

CONDITION

 

14

BIRTH DATE

15

SEX

16

MS

17

DATE

18

HR

19

TYPE

20

SRC

21

D HR

22

STAT

23

MEDICAL RECORD NO

24

25

26

27

28

29

30

31

                                   

32

CODE

OCCURRENCE

DATE

33

CODE

OCCURRENCE

DATE

34

CODE

OCCURRENCE

DATE

35

CODE

OCCURRENCE

DATE

36

CODE

OCCURRENCE SPAN

FROM | THROUGH

37

A |

 
                     

B

 
                     

C

 
                     

38

 

39

CODE

VALUE

AMOUNT

40

CODE

VALUE CODES

AMOUNT

41

CODE

VALUE

AMOUNT

 

A

                 

B

                 
 

C

                 
 

D

                 
                     

42

REV CODE

43

DESCRIPTION

44

HCPCS/RATES

45

SERVICE

DATE

46

SERVICE

UNITS

47

TOTAL

CHARGES

48

NON-COVERED

CHARGES

49

762

 

99217

070100

27

350

00

     

360

11042

070100

1

800

00

Emergency Room

Outpatient claims submitted for emergency room must be billed in the following manner:

  • The emergency room is identified with revenue code 45x.
  • The HCPC code range is 99281-99285 and 99291.
  • The service date is the date the service was provided in the emergency room, unless it spans over one day.
  • Note: If the patient was in the emergency room after midnight, only one service date should be entered. (The date the patient entered the emergency room)
  • Service units should be one.

EXAMPLE: Emergency Room

 

2

3 PATIENT CONTROL NO.

4 TYPE

       

5 FED TAX NO

6 STATEMENT COVERS

PERIOD

FROM | THROUGH

7 COVD

8 N-CD

9 C-ID

10 L-R D

11

07012000

07022000

  1. PATIENT NAME

13 PATIENT ADDRESS

     

ADMISSION

     

CONDITION

 

14

BIRTH DATE

15

SEX

16

MS

17

DATE

18

HR

19

TYPE

20

SRC

21

D HR

22

STAT

23

MEDICAL RECORD NO

24

25

26

27

28

29

30

31

                                   

32

CODE

OCCURRENCE

DATE

33

CODE

OCCURRENCE

DATE

34

CODE

OCCURRENCE

DATE

35

CODE

OCCURRENCE

DATE

36

CODE

OCCURRENCE SPAN

FROM | THROUGH

37

A |

 
                     

B

 
                     

C

 
                     

38

 

39

CODE

VALUE

AMOUNT

40

CODE

VALUE CODES

AMOUNT

41

CODE

VALUE

AMOUNT

 

A

                 
 

B

                 
 

C

                 

D

                 
                     

42

REV CODE

43

DESCRIPTION

44

HCPCS/RATES

45

SERVICE

DATE

46

SERVICE

UNITS

47

TOTAL

CHARGES

48

NON-COVERED

CHARGES

49

450

 

99281

070100

1

350

00

     

320

 

70250

070100

1

100

00

     

HOSPITAL INPATIENT SERVICES COVERED UNDER PART B

Payment may be made under Part B for medical and other health services when furnished by a participating hospital to an inpatient of a hospital when payment for these services cannot be made under Part A.

Inpatient Part B Services – (Bill type 12x)

Under Outpatient Prospective Payment System, preventive care services have been added to the list of services billable on a 12x type of bill. Bill for the following services furnished directly or under arrangements to inpatients whose benefit days are exhausted or who are otherwise not entitled to have payment made under Part A.

  • Diagnostic x-ray tests, diagnostic laboratory, and other diagnostic tests.
  • X-ray, radium, and radioactive isotope therapy, including materials and services of technicians.
  • Surgical dressings, splints, casts, and other devices used for the reduction of fractures and dislocations.
  • Prosthetic devices (other than dental) which replace all or part of an internal body organ (including contiguous tissue) or replace all or part of the functions of a permanently inoperative or malfunctioning internal body organ, including replacement or repair of such devices.
  • Leg, arm, back, and neck braces, trusses, and artificial legs, arms, and eyes, including adjustments, repairs, and replacements required because of breakage, wear, loss, or change in the patient’s physical condition.
  • Outpatient physical therapy services furnished inpatients.
  • Outpatient speech pathology services furnished inpatients.
  • Outpatient occupational therapy services furnished inpatients.
  • Screening mammography services. (Revenue Code 403)
  • Screening pap smears (Revenue Code 311) and pelvic exams. (Revenue Code 770)
  • Influenza, pneumococcal pneumonia, and hepatitis B vaccines. (Revenue Code 636)
  • Colorectal screening. (Revenue code as appropriate depending on procedure/test performed)
  • Bone mass measurements. (Revenue Code 320)
  • Diabetes self-management. (Revenue Code 942)
  • Prostate screening. (Revenue Code 30X and 770)

Changes to Billing Procedures for Inpatient Part B and Outpatient Hospital Services

  • The claim’s line items will be extended to 450 lines.
  • Hospitals are required to report a line item date of service for every line where a HCPCS code is required. This includes claims where the "from" and "through" dates are the same.
  • A line item date of service is required on all clinical diagnostic laboratory claims.
  • When HCPCS codes are required for hospital outpatient services, the units must be equal to the number of times the procedure/service being reported was performed according to the definition of the HCPCS code.

EXAMPLE:

 

2

3 PATIENT CONTROL NO.

4 TYPE

     

121

5 FED TAX NO

6 STATEMENT COVERS

PERIOD

FROM | THROUGH

7 COVD

8 N-CD

9 C-ID

10 L-R D

11

070100

070300

  1. PATIENT NAME

13 PATIENT ADDRESS

     

ADMISSION

     

CONDITION

 

14

BIRTH DATE

15

SEX

16

MS

17

DATE

18

HR

19

TYPE

20

SRC

21

D HR

22

STAT

23

MEDICAL RECORD NO

24

25

26

27

28

29

30

31

                                   

32

CODE

OCCURRENCE

DATE

33

CODE

OCCURRENCE

DATE

34

CODE

OCCURRENCE

DATE

35

CODE

OCCURRENCE

DATE

36

CODE

OCCURRENCE SPAN

FROM | THROUGH

37

A |

 
                     

B

 
                     

C

 
                     

38

 

39

CODE

VALUE

AMOUNT

40

CODE

VALUE CODES

AMOUNT

41

CODE

VALUE

AMOUNT

 

a

                 
 

b

                 
 

c

                 
 

d

                 
                     

42

REV CODE

43

DESCRIPTION

44

HCPCS/RATES

45

SERVICE

DATE

46

SERVICE

UNITS

47

TOTAL

CHARGES

48

NON-COVERED

CHARGES

49

320

 

71020

070100

5

300

00

     

480

 

93600

070300

1

500

00

     

730

 

93005

070300

1

300

00

     

BILLING CHANGES FOR CMHC AND PARTIAL HOSPITALIZATION SERVICES

The Balanced Budget Act (BBA) (P.L. 105-33), requires payment to be made under a prospective payment system for partial hospitalization services provided in a Community Mental Health Center (CMHC).

The following reporting requirements are required to assure proper payment under OPPS. Partial hospital services require the following information:

  • HCPCS codes and revenue codes that best describe the services furnished.
  • A line item date of service is required for each revenue line on claims that span more than one date-
  • "Service Units" are consistent with the HCPCS code definition.
  • Claims for partial hospitalization services must include a mental health diagnosis for each day of service.

Billing Requirements

CMHCs must submit charges for partial hospitalization services with bill type 76X. Hospital outpatient providers should submit using bill type 13X. Bill type 14X has been discontinued for partial hospitalization services.

Listed below are the acceptable HCPCS codes for each revenue code billable by a partial hospitalization program:

Revenue Codes

Description

HCPCS Code

250

Drugs

Not required

43X

Occupational Therapy (Partial Hospitalization)

G0129*

904

Activity Therapy (Partial Hospitalization)

Q0082**

910

Psychiatric General Services

90801, 90802, 90875, 90876, 90899, or 97770

914

Individual Psychotherapy

90816, 90818, 90821, 90823, 90826, or 90828

915

Group Psychotherapy

90849, 90853, or 90857

916

Family Psychotherapy

90846, 90847, or 90849

918

Psychiatric Testing

96100, 96115, or 96117

942

Education Training (Partial Hospitalization)

G0172***

*G0129 Occupational therapy services requiring skills of a qualified occupational therapist, furnished as a component of a partial hospitalization treatment program, per day.

**Q0082 Activity therapy furnished as a component of a partial hospitalization treatment program, [e.g., music, dance, art or play therapies that are not primarily recreational], per day (new narrative).

***G0172 Training and educational services furnished as a component of a partial hospitalization treatment program, per day.

The remaining items on the claim should be completed in accordance with the bill completion instructions in º414 of the Outpatient Physical Therapy/Comprehensive Outpatient Rehabilitation Facility/Community Mental Health Center Manual (HCFA-Pub. 9) for CMHCs and in accordance with (Hospital Manual).

Reporting of Service Units

The number of visits should not be reported as units. Report "Service Units," as the number of times the service or procedure was performed, as defined by the HCPCS code.

EXAMPLE: A beneficiary received psychological testing (HCPCS code 96100, which is defined in one hour intervals) for a total of 3 hours during one day. The CMHC/hospital reports revenue code 918, HCPCS code 96100, and three units.

42 REV.CD.

43 DESCRIPTION

44 HCPCS/RATES

45 SERV.DATE

46 SERV.UNITS

47 TOTAL CHARGES

918

Psychological Testing

96100

070100

3

180

00

When reporting service units for HCPCS codes where the definition of the procedure does not include any reference to time (minutes, hours or days), hospital outpatient departments/CMHCs should not bill for sessions of less than 45 minutes.

Claims will be returned to the provider that contain more than one unit for HCPCS codes G0129, Q0082, and G0172 or that do not contain service units for a given HCPCS code.

Use the most appropriate HCPCS code available to describe the service provided.

EXAMPLE: For example, if a beneficiary receives 50 minutes of individual psychotherapy in a single session, bill with HCPCS code 90818 (Individual psychotherapy,…, approximately 45 to 50 minutes…) as opposed to two units of 90816 (Individual psychotherapy,…, approximately 20 to 30 minutes…).

NOTE: Service units are required for drugs and biologicals (revenue code 250)

Line Item Date of Service Reporting

A line item date of service is required for each revenue code line for partial hospitalization claims that span two or more dates. This means each service (revenue code) provided must be repeated on a separate line item along with the date the service was provided for every occurrence. Service date format should be MMDDYY. Examples are shown below of reporting line item dates of service. These examples are for group therapy services provided twice during a billing period.

For the hard copy UB-92 (HCFA-1450), report as follows:

EXAMPLE

42 REV.CD.

43 DESCRIPTION

44 HCPCS/RATES

45 SERV.DATE

46 SERV.UNITS

47 TOTAL CHARGES

915

Group Therapy

90849

070500

1

80

00

918

Psychological Testing

96100

071200

3

180

00

915

Group Therapy

90849

072900

2

160

00

Claims that span two or more dates will be returned to the provider if a line item date of service is not entered for each HCPCS code reported, or if the line item dates of service reported are outside of the "statement covers" period.

Professional Services provided to

Partial Hospitalization Patients:

The services listed below are the only professional services that are separately covered in a hospital outpatient partial hospitalization program or CMHC. These professional services should be billed to the Medicare Part B carrier:

  • Physician services that meet the criteria of 42 CFR 415.102, for payment on a fee schedule basis;
  • PA services, as defined in º1861(s)(2)(K)(i) of the Act;
  • Nurse practitioner and clinical nurse specialist services, as defined in º1861(s)(2)(K)(ii) of the Act; and,
  • Clinical psychologist services, as defined in º1861(ii) of the Act.

The services of other practitioners, (including clinical social workers and occupational therapists) are bundled in the OPPS payment when furnished to CMHC/outpatient hospital patients. The CMHC/hospital must bill the intermediary for such non-physician practitioner services as part of the partial hospitalization services. Payment for these services is then made to the CMHC/hospital as part of the APC payment.

Payment

For services provided on or after July 1, 2000, reimbursement for partial hospitalization will be based on the partial hospitalization per diem APC amount. Hospitals/CMHCs must continue to maintain documentation to support medical necessity of each service provided, including the beginning and ending time of the service.

Provider Reporting Requirements

Providers receiving payments under the Outpatient Prospective Payment System (OPPS) cannot include July 2000 and August 2000 dates of service on the same claim. All services performed on the same day must be submitted on the same claim except: demand bills condition code 20 and 21, repetitive services and condition code GO. The "from" and "through" dates must reflect the day services are performed. Every effort should be made to report all services performed on the same day on the same claim to assure proper payment under OPPS.

Professional Component

Beginning with dates of service July 1, 2000, outpatient claims paid under OPPS will no longer need to report professional component charges reported in value code 05 to specific line items on the claim. With line item date of service reporting there is no way to correctly allocate professional component charges reported in value code 05 to a specific line item on the claim.

Corneal Tissue Acquisition Costs

HCFA has decided not to package payment for corneal tissue acquistion costs with the APC payment for corneal tissue transplant procedures. Payment will be based on the hospital’s reasonable cost incurred to acquire corneal tissue. Final payment will be subject to cost report settlement. To receive payment for corneal acquisition costs, hospitals must submit a bill using HCPCS code V2785. Providers should report their charges for corneal tissue on the bill.

CONDITION CODES 20 AND 21

Hospitals and CMHCs may report condition code 20 and 21 when they realize the services are excluded from coverage, but

  • The beneficiary has requested a formal determination (condition code 20)
  • The provider is requesting a denial notice from Medicare to bill Medicaid or other insurer (condition code 21)

When billing for condition code 20 or 21, a separate claim must be submitted for non –covered charges.

EXAMPLE:

     

ADMISSION

     

CONDITION

 

14

BIRTH DATE

15

SEX

16

MS

17

DATE

18

HR

19

TYPE

20

SRC

21

D HR

22

STAT

23

MEDICAL RECORD NO

24

25

26

27

28

29

30

31

                 

20

             

32

CODE

OCCURRENCE

DATE

33

CODE

OCCURRENCE

DATE

34

CODE

OCCURRENCE

DATE

35

CODE

OCCURRENCE

DATE

36

CODE

OCCURRENCE SPAN

FROM | THROUGH

37

A |

 
                     

B

 
                     

C

 
                     

38

 

39

CODE

VALUE

AMOUNT

40

CODE

VALUE CODES

AMOUNT

41

CODE

VALUE

AMOUNT

 

a

                 
 

b

                 
 

c

                 
 

d

                 
                     

42

REV CODE

43

DESCRIPTION

44

HCPCS/RATES

45

SERVICE

DATE

46

SERVICE

UNITS

47

TOTAL

CHARGES

48

NON-COVERED

CHARGES

49

510

 

92591

070200

1

300

00

300

00

 

001

       

300

00

300

00

 

EXAMPLE:

     

ADMISSION

     

CONDITION

 

14

BIRTH DATE

15

SEX

16

MS

17

DATE

18

HR

19

TYPE

20

SRC

21

D HR

22

STAT

23

MEDICAL RECORD NO

24

25

26

27

28

29

30

31

                                   

32

CODE

OCCURRENCE

DATE

33

CODE

OCCURRENCE

DATE

34

CODE

OCCURRENCE

DATE

35

CODE

OCCURRENCE

DATE

36

CODE

OCCURRENCE SPAN

FROM | THROUGH

37

A |

 
                     

B

 
                     

C

 
                     

38

 

39

CODE

VALUE

AMOUNT

40

CODE

VALUE CODES

AMOUNT

41

CODE

VALUE

AMOUNT

 

a

                 
 

b

                 
 

c

                 
 

d

                 
                     

42

REV CODE

43

DESCRIPTION

44

HCPCS/RATES

45

SERVICE

DATE

46

SERVICE

UNITS

47

TOTAL

CHARGES

48

NON-COVERED

CHARGES

49

510

 

99201

070200

1

100

00

     

001

       

100

00

     

Repetitive Services

The following revenue categories are considered repetitive Part B services and must be continuously billed monthly to receive the proper reimbursement, although not all services are paid under OPPS.

Service

Revenue Code

Therapeutic Radiology

330-339

Therapeutic Nuclear Medicine

342

Respiratory Therapy

410-419

Occupational Therapy

430-439

Speech Therapy

440-449

Inpatient Renal Dialysis

800-804

Physical Therapy

420-429

Kidney Dialysis Treatments

820-859

Cardiac Rehabilitation Services

482 and 943

Psychological Services

910-919

Monthly billing is expected if the patient is being seen repeatedly during a monthly billing period. If the patient has an isolated service, that service may be billed as a single date of service claim.

PROCEDURES FOR SUBMITTING LATE CHARGES VS. ADJUSTMENTS

Providers billing under Outpatient Prospective Payment System (OPPS) may not submit a late charge bill for bill types 12x, 13x, 14x, 34x, 75x, 76x or any claim containing condition code 07 and certain HCPCS codes. They must submit an adjustment bill for any service required to be billed with HCPCS codes, units, and line item dates of service by reporting a "7" in the third position of the bill type.

The submission of an adjustment bill, instead of a late charge bill, will ensure proper duplicate detection, bundling, correct application of coverage policies and proper editing by OCE, and payment under OPPS.

One of the following claim change condition codes must be included on each adjustment. Adjustment claims should be coded to reflect the way the claim should process.

Condition Code

Bill Type

Explanation

D0 (zero)

XX7

Changes in service dates

D1

XX7

Changes in charges

D2

XX7

Changes in revenue codes/HCPCS

D3

XX7

Second or subsequent interim PPS bill

D4

XX7

Change in GROUPER input (diagnosis or procedure)

D5

XX8

Cancel only to correct a HICN or provider identification number

D6

XX8

Cancel only to repay a duplicate payment or OIG overpayment and DRG window

D7

XX7

Change to make Medicare the secondary payer

D8

XX7

Change to make Medicare the primary payer

D9

XX7

Any other change

E0

XX7

Change in patient status

EXAMPLE:

 

2

3 PATIENT CONTROL NO.

4 TYPE

XX7

5 FED TAX NO

6 STATEMENT COVERS

PERIOD

FROM | THROUGH

7 COVD

8 N-CD

9 C-ID

10 L-R D

11

07012000

07012000

  1. PATIENT NAME

 

13 PATIENT ADDRESS

     

ADMISSION

     

CONDITION

 

14

BIRTH DATE

15

SEX

16

MS

17

DATE

18

HR

19

TYPE

20

SRC

21

D HR

22

STAT

23

MEDICAL RECORD NO

24

25

26

27

28

29

30

31

                                 

32

CODE

OCCURRENCE

DATE

33

CODE

OCCURRENCE

DATE

34

CODE

OCCURRENCE

DATE

35

CODE

OCCURRENCE

DATE

36

CODE

OCCURRENCE SPAN

FROM | THROUGH

37

A |

ICN

                     

B

 
                     

C

 
                     

Payment under Outpatient Prospective Payment System (OPPS) for Certain Services Provided in Various Settings

Only certain services will be paid under OPPS for services provided in a CORF or HHA, and for hospice patients.

  • Condition code 07 is used to identify services rendered to a hospice patient that are unrelated to terminal care.
  • Vaccines, antigens, splints, and casts unrelated to terminal care that are provided to a hospice patient at a site other than a hospital outpatient department, are also paid under OPPS.
  • Community mental health centers bill type 76x, APC 33, is paid under OPPS.
  • Vaccines provided in a CORF are also paid under OPPS.

All other services are paid per diem.

Miscellaneous Services Paid Under OPPS

     

Service

 
             

Site

Type

of Bill

Condition

Code

Vaccine

Antigens

Splints

Casts

CORF

75x

 

X

     

HHA

34x

 

X

X

X

X

Not hospital, OPT, CHMC, CORF or HHA

Any bill type except 12x, 13x, 14x, 34, 74x, 75x or 76x

07

 

X

X

X

Vaccines, antigens, splints, and casts are specified by lists of HCPCS codes in the following chart.

Category

Code

Antigens

95144-95149,95165, 95170, 95180, 95199

Vaccines

90657- 90659, 90732, 90744, 90746, 90748, G0008, G0009, G0010

Splints

29105- 29131, 29505 – 29515

Casts

29000 –29085,29305,29450,29700 –29750, 29799

MISCELLANEOUS ISSUES

Designated Drugs or Biologicals

Certain designated drugs and biologicals will be identified by outpatient code editor as eligible for payment at 95% of the average wholesale price and assigned to a special APC. The Pricer program will determine the proper payment amount for these APCs as well as the coinsurance and any applicable deductible. All related payment calculations will be returned on the same APC line and identified as a designated drug and biological. Certain new designated drugs and biologicals may be approved for payment. The payment for the newly approved items will be calculated in the same manner as listed above for current designated drugs and biologicals. These new designated drugs and biologicals will be identified separately from the current designated drugs and biologicals.

Included in designated drugs and biologicals are:

  • Orphan drugs, as designated under section 526 of the Federal Food, Drug and Cosmetic Act
  • Current cancer therapy drugs, biologicals, and brachytherapy devices. These items are those drugs or biologicals that are used in cancer therapy including (but not limited to) chemotherapeutic agents, antiemetics, hematopietic growth factors, colony stimulating factors, biological response modifiers, bisphosonates, and brachytherapy devices.
  • Current radio/pharmaceutical drugs and biological products used for diagnostic, monitoring, or therapeutic purposes.
  • New drugs or biologicals.

In order to receive proper payment for drugs or biologicals, the provider must bill with revenue code 636 (drugs that require detail coding) and the HCPCS codes listed on the following pages.

Medicare Outpatient PPS Requests Received for Recognition As New Technology Or Pass Through Payments

CPT/HCPCS

Description

   

I. Pass-Through Items

 

A4642

Satumomab pendetide per dose

CPT/HCPCS

Description

A9502

Technetium Tc 99 M tetrofosmin

A9600

Strontium-89 chloride

A9605

Samarium sm 153 lexidronamm

J0130

Abciximab

J0205

Alglucerase injection

J0207

Amifostine

J0256

Alpha 1 proteinase inhibitor

J0286

Amphotericin B lipid complex

J0476

Baclofen intrathecal trial

J0585

Botulinum toxin a per unit

J0640

Leucovorin calcium injection

J0735

Clonidine hydrochloride

J0850

Cytomegalovirus imm IV /vial

J1190

Dexrazoxane HCl injection

J1260

Dolasetron mesylate

J1325

Epoprostenol injection

J1436

Etidronate disodium inj

J1440

Filgrastim 300 mcg injeciton

J1561

Immune globulin 500 mg

J1562

Immune globulin 5 gms

J1565

RSV-ivig

J1620

Gonadorelin hydroch/ 100 mcg

J1626

Granisetron HCl injection

J1745

Infliximab injection

J1785

imiglucerase /unit

J1825

Interferon beta-1a

J1830

Interferon beta-1b / .25 MG

J1950

Leuprolide acetate /3.75 MG

J2275

Morphine sulfate injection

J2352

Octreotide acetate injection

J2355

Oprelvekin injection

J2405

Ondansetron hcl injection

J2430

Pamidronate disodium /30 MG

J2545

Pentamidine isethionte/300mg

J2765

Metoclopramide hcl injection

J2790

Rho d immune globulin inj

J2820

Sargramostim injection

J2994

Retavase

J3010

Fentanyl citrate injeciton

J3280

Thiethylperazine maleate inj

J3305

Inj trimetrexate glucoronate

J7190

Factor viii

J7191

Factor VIII (porcine)

J7192

Factor viii recombinant

J7194

Factor ix complex

J7197

Antithrombin iii injection

J7198

Anti-inhibitor

J7310

Ganciclovir long act implant

J7505

Monoclonal antibodies

J7913

Daclizumab, Parenteral, 25 m

J8510

Oral busulfan

J8520

Capecitabine, oral, 150 mg

J8530

Cyclophosphamide oral 25 MG

J8560

Etoposide oral 50 MG

J8600

Melphalan oral 2 MG

J8610

Methotrexate oral 2.5 MG

J9000

Doxorubic hcl 10 MG vl chemo

J9001

Doxorubicin hcl liposome inj

J9015

Aldesleukin/single use vial

J9020

Asparaginase injection

J9031

Bcg live intravesical vac

J9040

Bleomycin sulfate injection

J9045

Carboplatin injection

J9050

Carmus bischl nitro inj

J9060

Cisplatin 10 MG injeciton

J9065

Cladribine per 1 MG

J9070

Cyclophosphamide 100 MG inj

J9093

Cyclophosphamide lyophilized

J9100

Cytarabine hcl 100 MG inj

J9120

Dactinomycin actinomycin d

J9130

Dacarbazine 10 MG inj

J9150

Daunorubicin

J9151

Daunorubicin citrate liposom

J9165

Diethylstilbestrol injection

J9170

Docetaxel

J9181

Etoposide 10 MG inj

J9185

Fludarabine phosphate inj

J9190

Fluorouracil injection

J9200

Floxuridine injection

J9201

Gemcitabine HCl

J9202

Goserelin acetate implant

J9206

Irinotecan injection

J9208

Ifosfomide injection

J9209

Mesna injection

J9211

Idarubicin hcl injeciton

J9212

Interferon alfacon-1

J9213

Interferon alfa-2a inj

J9214

Interferon alfa-2b inj

J9215

Interferon alfa-n3 inj

J9216

Interferon gamma 1-b inj

J9218

Leuprolide acetate injeciton

J9230

Mechlorethamine hcl inj

J9245

Melphalan hydrochl 50 MG

J9250

Methotrexate sodium inj

J9265

Paclitaxel injection

J9266

Pegaspargase/singl dose vial

J9268

Pentostatin injection

J9270

Plicamycin (mithramycin) inj

J9280

Mitomycin 5 MG inj

J9293

Mitoxantrone hydrochl / 5 MG

J9310

Rituximab

J9320

Streptozocin injection

J9340

Thiotepa injection

J9350

Topotecan

J9360

Vinblastine sulfate inj

J9370

Vincristine sulfate 1 MG inj

J9390

Vinorelbine tartrate/10 mg

J9600

Porfimer sodium

Q0136

Non esrd epoetin alpha inj

Q0160

Factor IX non-recombinant

Q0161

Factor IX recombinant

Q0163

Diphenhydramine HCl 50mg

Q0164

Prochlorperazine maleate 5mg

Q0166

Granisetron HCl 1 mg oral

Q0167

Dronabinol 2.5mg oral

Q0169

Promethazine HCl 12.5mg oral

Q0171

Chlorpromazine HCl 10mg oral

Q0173

Trimethobenzamide HCl 250mg

Q0174

Thiethylperazine maleate10mg

Q0175

Perphenazine 4mg oral

Q0177

Hydroxyzine pamoate 25mg

Q0179

Ondansetron HCl 8mg oral

Q0180

Dolasetron mesylate oral

Q0187

Factor viia recombinant

Q2002

Elliot's B solution

Q2003

Aprotinin, 10,000 kiu

Q2004

Treatment for bladder calcul

Q2005

Corticorelin ovine triflutat

Q2006

Digoxin immune FAB (Ovine),

Q2007

Ethanolamine oleate, 1000 ml

Q2008

Fomepizole, 1.5 G

Q2009

Fosphenytoin, 50 mg

Q2010

Glatiramer acetate, 25 mgeny

Q2011

Hemin, 1 mg

Q2012

Pegademase bovine inj 25 I.U

Q2013

Pentastarch 10% inj, 100 ml

Q2014

Sermorelin acetate, 0.5 mg

Q2015

Somatrem, 5 mg

Q2016

Somatropin, 1 mg

Q2017

Teniposide, 50 mg

Q2018

Urofollitropin, 75 I.U.

Q2019

Basiliximab

Q2020

Histrelin Acetate

Q2021

Lepirdin

Q3001

Brachytherapy Seeds

Q3002

Gallium Ga 67

Q3003

Technetium Tc99m Bicisate

Q3004

Xenon Xe 133

NOTE: Please refer to HCFA web site at www.hcfa.gov New information added to this list.

Designated Devices

Certain designated new devices will be identified by outpatient code editor as eligible for payment based on the reasonable cost of the new device. The Pricer program will determine the proper payment amount for these APCs, as well as the coinsurance and any applicable deductible. All related payment calculations will be returned on the same APC line and identified as a designated new device.

In order for providers to receive payment for designated devices, they must bill with the HCPCS code listed below:

New Technology Items

CPT/HCPCS

Description

53850

Prostatic Microwave Thermotx

53852

Prostatic RF Thermotx

   
   

G0125

Lung Image (PET)

G0126

Lung Image (PET)

G0163

Lung Image (PET) Staging

G0164

PET for Lymphoma Staging

G0165

PET for Rec of Melanoma/MET Ca

G0166

Extrnl Counterpulse, Per Tx

Process for Identifying Items Potentially Eligible for Payment as New Technologies or Pass-Throughs

A manufacturer or other interested party who wishes to bring items that may be eligible for payment as new technologies or under the pass-through provision to our attention should mail their requests for consideration to the following address ONLY:

PPS New Tech/Pass-Throughs, Division of Practitioner and Ambulatory Care
Mailstop C4-03-06
Health Care Financing Administration
7500 Security Boulevard
Baltimore, MD 21244-1850

 

To be considered, requests MUST include the following information:

  • Trade/brand name of item.
  • A detailed description of the clinical application of the item, including HCPCS code(s) to identify the procedure(s) with which the item is used.
  • Current wholesale cost of the item.
  • Current retail cost of the item (i.e., actual cost paid by hospitals net of .all discounts, rebates, and incentives in cash or in-kind).
  • For drugs, submit the most recent average wholesale price (AWP) of the drug and the date associated with the AWP quote.
  • If the item is a service, itemize the costs required to perform the procedure, e.g., labor, equipment, supplies, overhead, etc.
  • If the item requires FDA approval, submit information that confirms receipt of FDA approval and the date obtained.
  • If the item already has an assigned HCPCS code, include the code and its descriptor in your submission, plus a dated copy of the HCPCS code recommendation application previously submitted for this item.
  • If the item does not have an assigned HCPCS code, follow the procedure discussed, below, in section IV for obtaining HCPCS codes and submit a copy of the application with your payment request.
  • Name, address, and telephone number of the party making the request.

Process for Obtaining HCPCS Codes

Some items not yet known do not yet have assigned HCPCS codes. HCFA expects to use national HCPCS codes in the hospital outpatient PPS to the greatest extent possible. These codes are established by a well-ordered process that operates on an annual cycle, starting with submission of information by interested parties due by April 1 and leading to announcement of new codes in October of each year.

Considering the exigencies of implementing a new system, HCFA intends to establish temporary codes in 2000 to permit implementation of additional payments for other eligible items effective beginning October 1, 2000. The process for submitting information will be the same as for national codes.

For items that might be candidates for payment as new technologies or pass-throughs but that DO NOT have established HCPCS codes, submit the regular application for a national HCPCS code in accordance with the instructions found on the Internet at http://www.hcfa.gov/medicare/hcpcs.htm. Send applications for national HCPCS codes to:

C. Kaye Riley, HCPCS Coordinator, Health Care Financing Administration
Mailstop C5-08-27
7500 Security Boulevard
Baltimore, Maryland 21244-1850

Outliers

The Pricer program will calculate outlier payments on a claim- by-claim basis. The outlier payment will be calculated by:

  • Calculating the costs related to the OPPS service on the claim by multiplying the total charges for covered OPPS service by an outpatient cost-to-charge ratio;
  • Determining whether these cost exceed 2.5 times the OPPS payments (APC payment plus any transitional pass through amounts for drugs, biologicals and or devices) for the claim; and
  • If costs exceed 2.5 times the OPPS payments, the outlier payment is calculated as 75 percent of the amount by which the claim costs exceed the threshold.

The result will be output from Pricer for the standard system to capture and store as value code 17, which is currently used to identify outliers.

PROGRAM MANUALS ON THE INTERNET

The Health Care Financing Administration (HCFA) has posted its Medicare manuals on the Internet. These manuals are available to download as a "zip" file.

The HCFA homepage can be found at: http://www.hcfa.gov

To select and download a Medicare manual, use the following steps:

    1. Go to the HCFA homepage
    2. Click on Medicare
    3. Click on laws and regulations
    4. Click on professional and technical information
    5. Click on Medicare Prof/Tech Publication
    6. Choose selection 1 – General Information, or

Choose selection 2 – Medicare Manuals download

Manuals current available to be downloaded are:

HCFA-Pub. 6 Coverage Issues Manual

HCFA-Pub. 9 Outpatient Rehabilitation/CORF/CMHC Manual

HCFA-Pub. 10 Hospital Manual

HCFA-Pub. 11 Home Health Agency Manual

HCFA-Pub. 12 Skilled Nursing Facility Manual

HCFA-Pub. 15-1 Provider Reimbursement (PRM) Manual, Part I

HCFA-Pub. 15-2 Provider Reimbursement (PRM) Manual, Part II

HCFA-Pub. 19 Peer Review Organization (PRO) Manual

HCFA-Pub. 21 Hospice Manual

HCFA-Pub. 24 State Buy-In Manual

HCFA-Pub. 27 Rural Health Clinic Manual/FQHC

HCFA-Pub. 29 Renal Dialysis Facility Manual

HCFA-Pub. 45 State Medicaid Manual

HCFA-Pub. 75 Health Maintenance Organization Manual (HMO)

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