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[Federal Register Volume 80, Number 31 (Tuesday, February 17, 2015)]
[Rules and Regulations]
[Pages 8247-8248]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2015-03072]

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DEPARTMENT OF HEALTH AND HUMAN SERVICES

Centers for Medicare & Medicaid Services

42 CFR Parts 401 and 405

[CMS-6037-RCN]
RIN 0938-AQ58

Medicare Program; Reporting and Returning of Overpayments; 
Extension of Timeline for Publication of the Final Rule

AGENCY: Centers for Medicare & Medicaid Services (CMS).

ACTION: Extension of timeline for publication of a final rule.

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SUMMARY: This document announces the extension of the timeline for 
publication of the ``Medicare Program; Reporting and Returning of 
Overpayments'' final rule. We are issuing this notice in accordance 
with the Social Security Act (the Act) which requires notice to be 
provided in the Federal Register if there are exceptional circumstances 
that cause us to publish a final rule more than 3 years after the 
publication date of the proposed rule. In this case, the complexity of 
the rule and scope of comments warrants the extension of the timeline 
for publication.

DATES: As of February 17, 2015, CMS extends by 1 year the timeline for 
publication of a final rule concerning policies and procedures for 
reporting and returning overpayments to the Medicare program for 
providers and suppliers of services under Parts A and B of title XVIII 
as outlined in the proposed rule published February 16, 2012, at 77 FR 
9179.

FOR FURTHER INFORMATION CONTACT: Joe Strazzire, (410) 786-2775.

SUPPLEMENTARY INFORMATION: 

I. Background

    Section 1871(a)(3)(A) of the Social Security Act (the Act) requires 
the Secretary, in consultation with the Director of the Office of 
Management and Budget (OMB), to establish a regular timeline for the 
publication of a final rule based on the previous publication of a 
proposed rule or an interim final rule. In accordance with section 
1871(a)(3)(B) of the Act, such regular timeline may vary among 
different final rules, based on the complexity of the rule, the number 
and scope of the comments received, and other relevant factors. The 
timeline for publishing the final rule, however, cannot exceed 3 years 
from the date of publication of the proposed or interim final rule, 
unless

[[Page 8248]]

there are exceptional circumstances. After consultation with the 
Director of OMB, the Department, through CMS, published a notice in the 
December 30, 2004 Federal Register (69 FR 78442) establishing a general 
3-year timeline for publishing Medicare final rules after the 
publication of a proposed or interim final rule.

II. Notice of Continuation

    The Medicare program (title XVIII of the Act) is the primary payer 
of health care for approximately 50 million enrolled beneficiaries. 
Providers and suppliers furnishing Medicare items and services must 
comply with the Medicare requirements set forth in the Act and in CMS 
regulations. The requirements are meant to ensure compliance with 
applicable statutes, promote the furnishing of high quality care, and 
to protect the Medicare Trust Funds against fraud and improper 
payments.
    On March 23, 2010, the Affordable Care Act was enacted. Section 
6402(a) of the Affordable Care Act established a new section 1128J(d) 
of the Act. Section 1128J(d)(1) of the Act requires a person who has 
received an overpayment to report and return the overpayment to the 
Secretary, the State, an intermediary, a carrier, or a contractor, as 
appropriate, at the correct address, and to notify the Secretary, 
State, intermediary, carrier or contractor to whom the overpayment was 
returned in writing of the reason for the overpayment. Section 
1128J(d)(2) of the Act requires that an overpayment be reported and 
returned by the later of-- (A) the date which is 60 days after the date 
on which the overpayment was identified; or (B) the date any 
corresponding cost report is due, if applicable. Section 1128J(d)(3) of 
the Act specifies that any overpayment retained by a person after the 
deadline for reporting and returning an overpayment is an obligation 
(as defined in 31 U.S.C. 3729(b)(3)) for purposes of 31 U.S.C. 3729.
    In the February 16, 2012 Federal Register (77 FR 9179), we 
published a proposed rule that would implement the provisions of 
section 1128J(d) of the Act as to Medicare Parts A and B. This notice 
extends by 1 year the timeline for publication of a final rule 
concerning policies and procedures for reporting and returning 
overpayments to the Medicare program for providers and suppliers of 
services under Parts A and B of title XVIII as outlined in the February 
16, 2012 proposed rule. However we continue to remind all stakeholders 
that even without a final regulation they are subject to the statutory 
requirements found in section 1128J(d) of the Act and could face 
potential False Claims Act liability, Civil Monetary Penalties Law 
liability, and exclusion from Federal health care programs for failure 
to report and return an overpayment.
    Based on both public comments received and internal stakeholder 
feedback, we have determined that there are significant policy and 
operational issues that need to be resolved in order to address all of 
the issues raised by comments to the proposed rule and to ensure 
appropriate coordination with other government agencies. Specifically, 
the development of the final rule requires collaboration among both the 
Department of Health and Human Services' (HHS') Office of the Inspector 
General and the Department of Justice.
    Our decision to extend the timeline for issuing a final regulation 
related to the reporting and returning of Medicare overpayments should 
not be viewed as a diminution of the Department's commitment to timely 
and effective rulemaking in this area. Our goal remains to publish a 
final rule that provides clear requirements for persons to report and 
return Medicare overpayments. At this time, we believe we can best 
achieve this balance by issuing this continuation notice.
    This notice extends the timeline for publication of the final rule 
for this rulemaking for 1 year--until February 16, 2016.

III. Collection of Information

    This document does not impose information collection requirements, 
that is, reporting, recordkeeping or third-party disclosure 
requirements. Consequently, there is no need for review by the Office 
of Management and Budget under the authority of the Paperwork Reduction 
Act of 1995.

IV. Regulatory Impact Statement

    This document extends the timeline for publication of the Medicare 
Program; Reporting and Returning of Overpayments final rule; and 
therefore, there are no regulatory impact implications associated with 
this notice.

    Authority:  Section 1871 of the Social Security Act (42 U.S.C. 
1395hh).

    Dated: February 9, 2015.
C'Reda Weeden,
Executive Secretary to the Department, Department of Health and Human 
Services.
[FR Doc. 2015-03072 Filed 2-13-15; 8:45 am]
BILLING CODE 4120-01-P
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