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New CMS Transmittal Regarding the Use of RAs to Report Recoupments

Last month, we published a post regarding the new protocols that CMS is requiring RACs to use on Remittance Advice (RAs) when identifying and recouping overpayments. CMS has also issued the additional Transmittal 659, which sets forth the two-step process of utilizing RAs to report amounts to be recovered.

  • Step I: Reversal and Correction to report the new payment and negate the original payment (actual recoupment does not happen at this step)
  • Step II: Report the actual recoupment

Additionally, CMS is hosting a National Call on the issue of recoupment on May 26, 2010 from 1:30 p.m. to 3:30 p.m. EST. For more information, visit the CMS RAC website.

Additionally, please visit the HLP’s RAC page, or contact Abby Pendleton, Esq. or Jessica L. Gustafson, Esq. at (248) 996-8510.

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