OIG 2016 Sleep Disorder Clinics and High Use of Sleep-testing Procedures

The OIG states “We will examine Medicare payments to physicians, hospital outpatient departments, and independent diagnostic testing facilities for sleep-testing procedures to assess the appropriateness of Medicare payments for high-use sleep-testing procedures and determine whether they were in accordance with Medicare requirements. An OIG analysis of CY 2010 Medicare payments for Current Procedural Terminology codes 95810 and 95811, which totaled approximately $415 million, showed high utilization associated with these sleep-testing procedures. Medicare will not pay for items or services that are not “reasonable and necessary.” To the extent that repeated diagnostic testing is performed on the same beneficiary and the prior test results are still pertinent, repeated tests may not be reasonable and necessary.”[1]

Final Rule on Medicare Reporting and Returning of Self-Identified Overpayments

The Centers for Medicare & Medicaid Services (CMS) announced mid-February its final rule that will necessitate Medicare Parts A and B health care providers and suppliers alike to report and return self identified overpayments. This Final Rule will be implemented under sections of the Affordable Care Act (ACA). Below lists a synopsis of the major provisions that are set to become effective March, 2016.

Medicare Fraud and Abuse—Savings and Prevention

The United States government has been committed to curtailing fraud, waste, and abuse across the realm of federal healthcare, since the Health Care Fraud and Abuse Control (HCFAC) Program was implemented in 1997. Since the creation of the HCFAC, more than $27.8 billion dollars has been returned to the Medicare Trust Fund due to the efforts of fraud, waste, and abuse programs.

EHR Audit Trails – OIG Encourages Contractors to Dig Deeper

By now, most of the medical industry has made the transition to electronic health records (EHR) to store patient health information.  Most platforms have a multitude of options to contain information through tabs, templates, and working documents. Although this may create a better means of sharing and cataloging data, it also enables new functionality that that changes the role of traditional auditing.  Back in January 2014, Inspector General Daniel Levinson conducted a study to understand contractor audit practices relating to identification of improper billing practices and billing fraud (see EXECUTIVE SUMMARY: CMS AND ITS CONTRACTORS HAVE ADOPTED FEW PROGRAM INTEGRITY PRACTICES TO ADDRESS VULNERABILITIES IN EHRSOEI-01-11-00571).  The results were somewhat surprising given the technologic capabilities of the government and the push for meaningful use compliance across the US.  Bottom line, the OIG concluded that CMS contractors have adopted few practices to address EHR vulnerabilities.