ÿþ<html> <head> <meta http-equiv=Content-Type content="text/html; charset=unicode"> <meta name=Generator content="Microsoft Word 11 (filtered)"> <title>MEDICARE PAY CUT TEMPORARILY AVERTED</title> <style> <!-- /* Font Definitions */ @font-face {font-family:Tahoma; panose-1:2 11 6 4 3 5 4 4 2 4;} /* Style Definitions */ p.MsoNormal, li.MsoNormal, div.MsoNormal {margin:0in; margin-bottom:.0001pt; font-size:12.0pt; font-family:"Times New Roman";} p {margin-right:0in; margin-left:0in; font-size:12.0pt; font-family:"Times New Roman";} span.txt21 {color:#3B6276;} @page Section1 {size:8.5in 11.0in; margin:1.0in 1.25in 1.0in 1.25in;} div.Section1 {page:Section1;} --> </style> </head> <body lang=EN-US> <div class=Section1> <p class=MsoNormal><b><span style='font-size:10.0pt;font-family:Tahoma; color:#3B6276'>MEDICARE PAY CUT TEMPORARILY AVERTED!</span></b><b><span style='font-size:10.0pt;font-family:Tahoma;color:#3B6276'><br> </span></b><b><span style='font-size:10.0pt;font-family:Tahoma;color:#3B6276'>JANUARY - FEBRUARY 2012 MEDICARE FEES POSTED TO MAC WEB SITES FOR DOWNLOAD!</span></b><b><span style='font-size:10.0pt;font-family:Tahoma;color:#3B6276'><br> </span></b><b><span style='font-size:10.0pt;font-family:Tahoma;color:#3B6276'>Participation Enrollment/Disenrollment Period Extended.</span></b><span style='font-size: 10.0pt;font-family:Tahoma;color:#3B6276'><br> <br> </span><span style='font-size:10.0pt;font-family:Tahoma;color:#3B6276'>The 27.4 percent Medicare physician pay cut that was scheduled to take effect January 1, 2012 has been averted.</span><span style='font-size:10.0pt;font-family:Tahoma; color:#3B6276'><br> <br> </span><span style='font-size:10.0pt;font-family:Tahoma;color:#3B6276'>Congress has reached a deal on a bill that blocks the fee cut for two (2) months. This, of course, is just a temporary reprieve.</span><span style='font-size:10.0pt; font-family:Tahoma;color:#3B6276'><br> <br> </span><span style='font-size:10.0pt;font-family:Tahoma;color:#3B6276'>Even with this temporary fix, the fee schedule will change. A modified conversion factor will be utilized to calculate physician reimbursements during January and February and annual relative value units (RVUs) changes will be implemented January 1, 2012.</span><span style='font-size:10.0pt;font-family:Tahoma; color:#3B6276'><br> <br> </span><span style='font-size:10.0pt;font-family:Tahoma;color:#3B6276'>CMS instructed contractors to hold all 2012 claims for ten business days (until January 17) in order to allow time for the MACs to adjust the fee schedules on their web sites to reflect the recalculations based on the conversion factor and changes to any RVUs.</span><span style='font-size:10.0pt;font-family:Tahoma;color:#3B6276'><br> <br> </span><b><span style='font-size:10.0pt;font-family:Tahoma;color:#3B6276'>The fees with the updated RVUs for 2012 and the 0% update to the Conversion Factor have now been posted to the Medicare Administrative Contractor (MAC) web sites.</span></b><b><span style='font-size:10.0pt;font-family:Tahoma;color:#3B6276'><br> <br> </span></b><b><span style='font-size:10.0pt;font-family:Tahoma;color:#3B6276'>They are the fees to be used for services rendered from January 1, 2012 through February 29, 2012.</span></b><b><span style='font-size:10.0pt;font-family:Tahoma; color:#3B6276'><br> <br> </span></b><b><span style='font-size:10.0pt;font-family:Tahoma;color:#3B6276'>Again, unless Congress acts by March 1, 2012, the Conversion Factor will be reduced by 27.4%.</span></b><b><span style='font-size:10.0pt;font-family:Tahoma; color:#3B6276'><br> <br> </span></b><b><span style='font-size:10.0pt;font-family:Tahoma;color:#3B6276'>As more information becomes available, we will keep you posted. </span></b><span style='font-size:10.0pt;font-family:Tahoma;color:#3B6276'><br> <br> </span><span style='font-size:10.0pt;font-family:Tahoma;color:#3B6276'>As an adjunct to this reprieve, CMS is extending the 2012 Annual Participation Enrollment Period through February 14, 2012. The enrollment period now runs November 14, 2011, through February 14, 2012.</span><span style='font-size: 10.0pt;font-family:Tahoma;color:#3B6276'><br> <br> </span><span style='font-size:10.0pt;font-family:Tahoma;color:#3B6276'>The effective date for any participation status change during the extension, however, remains January 1, 2012, and will be in force for the entire year.</span><span style='font-size:10.0pt;font-family:Tahoma;color:#3B6276'><br> <br> </span><span style='font-size:10.0pt;font-family:Tahoma;color:#3B6276'>Contractors will accept and process any participation elections or withdrawals made during the extended enrollment period that are post-marked on or before February 14, 2012.</span><span style='font-size:10.0pt;font-family:Tahoma;color:#3B6276'><br> <br> </span><span style='font-size:10.0pt;font-family:Tahoma;color:#3B6276'>For guidance on this issue, contact us through the Third Party Insurance Help Program.</span></p> <p class=MsoNormal><span style='font-family:Arial'>&nbsp;</span></p> <p class=MsoNormal><span style='font-family:Arial'>--------------------------------</span></p> <p class=MsoNormal><i><span style='font-size:10.0pt;font-family:Arial; color:black'>James A. McNally, CPC</span></i></p> <p class=MsoNormal><i><span style='font-size:10.0pt;font-family:Arial; color:black'>Health Care Consultant Services</span></i></p> <p class=MsoNormal>&nbsp;</p> </div> </body> </html>