MACs are reminding providers about the 2% payment adjustment now in effect due to the sequestration. Agencies were under a 1% cut from April 1 through June 30.
CGS issued this reminder to agencies in its 15 states:
The 2% payment reduction (sequestration) will be:
- Applied to all Medicare FFS claims with a date of service / ”through” date of service on or after July 1, 2022
- Calculated after the approved amount is determined and the deductible and coinsurance are applied
- Note: For claims with DOS that span July 1, 2022 (e.g., 061522 – 071522), the approved amount is determined based on the entire claim (not DOS on or after July 1 only).
- Reported with claim adjustment reason code (CARC) 253 (Sequestration – reduction in federal payment) on the remittance advice