Payment Matters

September 15, 2011

CMS Wage Index Rules for FY 2012

By: Leslie Demaree Goldsmith

CMS’s revisions to the calculation of the Medicare wage index include a major change in how pension costs are calculated, as well as use of a new occupational mix survey, changes in how multicampus hospitals report their data and the unexpected continuation of the imputed rural floor adjustment. CMS published these revisions as part of the final inpatient prospective payment system rule for FY 2012 [PDF], in the August 18, 2011 Federal Register. A short description of some of the highlights is provided below.

DME Competitive Bidding - Get Prepared for Round Two

By: Donna J. Senft

Round Two of the competitive bidding program to become an approved supplier to provide certain DMEPOS items is approaching. CMS announced that bidder registration will begin in the fall, with bidding to occur in the winter.

The Round One categories were expanded by: (1) combining standard manual wheelchairs, standard power wheelchairs, and scooters to form a new expanded standard mobility device product category and (2) adding negative pressure wound therapy pumps and related supplies and accessories as a new product category. Additionally, the bidding for support surfaces was expanded to include all Round Two areas. The Round One complex rehabilitative power wheelchairs and related accessories category was, however, eliminated from the Round Two bidding.