Medicare Payment Freeze Sept 22 - Sept 30, 2006 - Payments will be withheld from all Providers.....
September 2006

A directive from CMS to all carriers that is scheduled to be implemented on July 1, 2006 requires your Medicare carrier to freeze claim payment operations and hold any further payments to providers (Part A and Part B providers)that would normally be payable from September 22, 2006 through September 30, 2006. The frozen payments will be "thawed out" in time to be released to all providers on October 1, 2006 thus pushing them into the new fiscal year of the government. How can you prepare for this? A strong suggestion from BCS President, Lee S. Broadston, "...make certain your Medicare claims are all submitted as timely as possible prior to September 1, 2006 so that any delay in your practice's Medicare cash flow will be minimized. But no matter what you do there will be some negative cash flow impact on your practice, that is unless your practice's Medicare casemix percentage is zero." There appears to be no impact on submitting claims during this period of time and the payment floor will remain in place -the requirement to pay electronic claims in 14 days- during the "frozen" period of September 22 through September 30, 2006. The law prohibits the payment of any interest to any provider for claim payment held during this period. Since October 1, 2006 is a Sunday, payment will commence on October 2, 2006. Read more....

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