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Return to Provider-Based Regulations Information

Obligations of Hospital Outpatient Departments and
Hospital-Based Entities After January 10, 2001

Updated with August 12, 2005 amendments

Note these requirements are effective for a hospital at the start of its first cost reporting period after January 10, 2001

The provider-based regulations include the following obligations for hospital provider-based outpatient departments and, in some instances, hospital-based entities. The regulations do not define "hospital-based entities" and until we get clarification from CMS as to the difference, if any, between a hospital outpatient department and a "hospital-based entity" we assume it means any provider-based facility for which a hospital is the main provider.

Obligations of hospital outpatient departments and hospital-based entities Application
Link to EMTALA requirements. Note that these new requirements are effective November 10, 2003. Hospital outpatient departments on and off-campus
Physician services must be billed with the correct site-of-service indicator so that reductions to physician and practitioner payment amounts can be applied All with hospital-based status except RHCs
Hospital outpatient departments must comply with all the terms of the hospital's provider agreement. Hospital outpatient departments on and off-campus
Physicians are obligated to comply with the non-discrimination provisions of: 1) Title VI of the Civil Rights Act of 1964, as implemented by 45 CFR part 80, which provides that no person in the United States shall, on the ground of race, color, or national origin, be excluded from participation in, be denied the benefits of, or be subject to discrimination under, any program or activity receiving Federal financial assistance; 2)      Section 504 of the Rehabilitation Act of 1973, as implemented by 45 CFR part 84, which provides that no qualified handicapped person shall, on the basis of handicap, be excluded from participation in, be denied the benefits of, or otherwise be subject to discrimination under any program or activity receiving Federal financial assistance; 3) the Age Discrimination Act of 1975, as implemented by 45 CFR part 90, which is designed to prohibit discrimination on the basis of age in programs or activities receiving Federal financial assistance; and 4) other pertinent requirements of the Office of Civil Rights of HHS  All with hospital-based status
Hospitals must treat all Medicare patients, for billing purposes, as hospital outpatients; the hospital must not treat some Medicare patients as hospital outpatients and others as physician office patients Hospital outpatient departments on and off-campus, except RHC's
For patients admitted to the hospital the 72 hour window applies to PPS hospitals and the 24 hour rule for PPS-exempt hospitals or units Patients admitted to the hospital from hospital-based entities
When a Medicare beneficiary is treated in a hospital outpatient department that is not located on the main provider's campus, the treatment is not required to be provided by the antidumping rules in Sec. 489.24 of this chapter, and the beneficiary will incur a coinsurance liability for an outpatient visit to the hospital as well as for the physician service, the hospital must provide written notice to the beneficiary, before the delivery of services, of the amount of the beneficiary's potential financial liability; or, if the exact type and extent of care needed is not known, an explanation that the beneficiary will incur a coinsurance liability to the hospital that he or she would not incur if the facility were not provider-based, an estimate based on typical or average charges for visits to the facility, and a statement that the patient's actual liability will depend upon the actual services furnished by the hospital. The notice must be one that the beneficiary can read and understand. If the beneficiary is unconscious, under great duress, or for any other reason unable to read a written notice and understand and act on his or her own rights, the notice must be provided, before the delivery of services, to the beneficiary's authorized representative. In cases where a hospital outpatient department provides examination or treatment that is required to be provided by the antidumping rules of Sec. 489.24 of this chapter, notice, as described in this paragraph (g)(7), must be given as soon as possible after the existence of an emergency has been ruled out or the emergency condition has been stabilized. Hospital outpatient departments off-campus
Must meet applicable Medicare Conditions of Participation for hospitals Hospital outpatient departments on and off-campus

 

 

 

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