CMS to Offer New Settlement Option for Providers with Fewer than 500 Claims

The CMS announcement will be discussed in a conference call on Jan. 9, 2018.

Healthcare providers and suppliers with fewer than 500 appeals pending at the Office of Medicare Hearings and Appeals (OMHA) and the Medicare Appeals Council could be eligible to participate in a new low-volume appeals (LVA) settlement offer.

The Centers for Medicare & Medicaid Services (CMS) said this week that such appellants, as long as they have a total billed amount of $9,000 or less per appeal, could be eligible if certain other conditions are met. CMS officials said the agency would settle eligible appeals at 62 percent of the net allowed amount.

Separately, OMHA will be expanding the settlement conference facilitation (SCF) process for certain appellants that are not eligible for the LVA option.

“CMS has indicated that it will be discussing both the scope and mechanics of the LVA settlement process. Although CMS made a general announcement of this process in early November, until now, CMS has been largely silent on the specifics of the program,” healthcare attorney Andrew Wachler wrote in an email to RACmonitor. “We anticipate the mechanics of the LVA settlement process will be somewhat similar, although perhaps more streamlined, than the prior hospital appeals settlements and Settlement Conference Facilitation initiatives.”

According to Wachler, the prior settlement programs were fairly limited in scope, applying only to certain hospitals with eligible patient status claims.

“We will find out (during the Jan. 9 call) whether this opportunity applies to multiple provider classes,” Wachler said. “If so, CMS’s announcement of the LVA settlement process may signal recognition by CMS that to make meaningful and continued reduction in the appeals backlog, it must continue to broaden the scope of its settlement and alternative dispute resolution programs to cover a greater quantity and variety of appellants.”

Wachler said this new settlement offer could represent a pivotal opportunity for appellants that were previously ineligible for the prior settlements or alternative dispute resolution processes to obtain a meaningful resolution on their pending appeals short of proceeding to administrative law judge (ALJ) hearings.

In its announcement, CMS said the call would not include a question-and-answer session, and it advised those planning to participate in the call to submit questions in advance at [email protected]. CMS said speakers would discuss how to identify whether an appellant would be eligible and which of the pending appeals may be settled.

For additional information, visit the Low Volume Appeals Initiative website.

Facebook
Twitter
LinkedIn

Chuck Buck

Chuck Buck is the publisher of RACmonitor and is the program host and executive producer of Monitor Monday.

Related Stories

Leave a Reply

Please log in to your account to comment on this article.

Featured Webcasts

Inpatient Ulcers and Gangrene: Avoid FY 2027 ICD-10-CM Coding, Sequencing, and Documentation Errors

Avoid costly inpatient coding errors involving ulcers and gangrene. This practical FY 2027 ICD-10-CM webcast clarifies pressure injury staging, non-pressure ulcer severity, diagnosis sequencing, documentation requirements, and POA reporting. Through real-world cases, gain the confidence to make defensible coding decisions, reduce denials, strengthen compliance, and support accurate reimbursement.

November 4, 2026

One Chart, Five Truths: How CDI Prevents the Same Diagnosis from Becoming Five Different Outcomes

What happens when everyone reviews the same chart, but reaches a different conclusion? In this case-based clinical documentation integrity (CDI) webcast, Penny Jefferson examines how documentation involving clinical support, timing, causation, linkage, and terminology can produce very different outcomes for ICD-10 coding, reimbursement, quality, risk adjustment, medical necessity, denials, and compliance. Using cases involving postoperative respiratory failure, severe malnutrition, and encephalopathy, you’ll learn the practical CLEAR framework to help attendees learn to evaluate whether a diagnosis is codeable, consistent, specific, reportable, and ultimately defensible across the different teams and systems that rely on the medical record.

September 30, 2026

Mastering Spinal Fusion Coding for Inpatient Facilities: ICD-10-PCS Precision, Documentation, and MS-DRG Impact

Spinal fusion cases are among the most complex inpatient procedures to code, where even minor ICD-10-PCS errors can affect MS-DRG assignment, reimbursement, compliance, and audit outcomes. This practical webcast provides a step-by-step framework for interpreting operative reports, assigning accurate ICD-10-PCS codes, recognizing documentation gaps, and confidently coding complex fusion procedures. You’ll leave with practical tools that improve coding accuracy, reduce denials and audit risk, and strengthen documentation-driven reimbursement decisions.

July 29, 2026

AI, Audits, and the Future of the Revenue Cycle

Artificial intelligence is rapidly transforming healthcare revenue cycle operations, from coding and auditing to compliance and denials. Join industry leaders Pam Warren (MaineHealth) and Raemarie Jimenez (AAPC) for a live fireside chat exploring how AI is changing workflows, workforce roles, payer-provider dynamics, and compliance risk—and what organizations should be doing now to prepare.

Webcast Only Available On ICD10monitor Subscription – Subscribe Below

June 17, 2026

Trending News

Featured Webcasts

Radiation Oncology Fundamentals: Coding, Billing & Compliance for Hospital Outpatient & Professional Services

Join Michael Calahan, PA, MBA for this radiation oncology coding and compliance webcast as he explains the fundamentals of coding, billing, reporting, and documentation for hospital outpatient and professional services. Learn how the 2026 radiation therapy coding changes affect current practices, how to distinguish technical and professional services, and how to address bundling, units, frequency, modifiers, and documentation requirements. Michael will also help you identify radiation oncology coding and billing vulnerabilities that could lead to denials, overpayments, repayment demands, or federal audit exposure.

October 20, 2026

Preparing for 2027: Inpatient & Outpatient Policy Changes for Case Management and Utilization Review

The 2027 CMS policy changes will impact case management, utilization review, reimbursement, and patient status decision-making long before they officially take effect. Join nationally recognized physician advisor Dr. Ronald Hirsch as he explains the finalized and proposed inpatient and outpatient rule changes, expanding bundled payment initiatives, payment updates, and evolving payer expectations. Gain practical guidance to help your organization prepare early, strengthen compliance, reduce reimbursement risk, and confidently navigate the transition to 2027.

September 17, 2026

The Two-Midnight Rule: Strengthening Compliance Through the Fundamentals, 2026 Updates, & 2027 Proposed Changes.

The Two-Midnight Rule continues to be one of Medicare’s most closely monitored compliance areas and now the rules are changing again. Join compliance expert Michael Calahan for a practical review of the latest 2026 policy updates, the proposed 2027 OPPS changes affecting inpatient-only procedures, and the best practices hospitals need to reduce audit risk, strengthen admission decisions, and protect reimbursement. Leave with actionable strategies you can immediately apply to improve compliance and confidently prepare for increased federal and Medicare Advantage scrutiny.

August 11, 2026

Trending News

Celebrate Lab Week with MedLearn! Sign up to win one year of our Laboratory All Access Pass! Click here to learn more →

Have a Medicare regulation question you’d love Dr. Hirsch to answer? Now is your chance! CLICK HERE to learn more→

Happy National Doctor’s Day! Learn how to get a complimentary webcast on ‘Decoding Social Admissions’ as a token of our heartfelt appreciation! Click here to learn more →

This Memorial Day, we honor those who gave all for our freedom. Take 20% off sitewide through May 29 with code MEMORIAL26 at checkout

CYBER WEEK IS HERE! Don’t miss your chance to get 20% off now until Dec. 1 with code CYBER25

CYBER WEEK IS HERE! Don’t miss your chance to get 20% off now until Dec. 2 with code CYBER24