Obligations for reporting and returning Medicare Part A & B overpayments

February 16, 2016 LeadingAge DC Executive Director

The final rule governing the ACA requirement to identify and return overpayments to CMS within 60 days was published today in the Federal Register ( https://www.gpo.gov/fdsys/pkg/FR-2016-02-12/pdf/2016-02789.pdf ). The rule will become effective and enforceable on March 14, 2016. Of key importance to LeadingAge members, we note that the 10-year look back period for identifying overpayments included in the proposed rule from 2012 has been trimmed to 6 years. We also note, however, that the standard for identifying overpayments, which in turn initiates the 60-day period for repayment of any such overpayments, is quite low: An overpayment has been identified when a person has or, through the exercise of reasonable diligence should have, determined that the person has received an overpayment. As a result, we urge members to revise their compliance plans and, specifically, the audit functions within those plans accordingly.