Critical Access Hospitals – Physician Compensation Costs

A critical access hospital (CAH) may claim reimbursement on its cost report for the costs of physician services furnished to the provider. These services include emergency room availability services. Anytime a CAH claims these costs, it must complete cost report worksheet A-8-2 (Provider-Based Physician Adjustments). This worksheet calculates a provider's allowable physician compensation costs by removing amounts paid a physician for services to individual patients from allowable costs.

If WPS Medicare notes that a CAH has not completed worksheet A-8-2, we will ask the CAH if it is claiming reimbursement for physician compensation. If the answer is yes, the CAH will need to submit an amended cost report with a completed A-8-2. If the answer is no and we later discover physician compensation on the cost report, all this compensation will be disallowed.

Page Last Updated: Monday, 08-Aug-2011 11:59:02 CDT