(Medicare Claims Processing Manual)

1. Originating site defined    The term originating site means the location of an eligible Medicare beneficiary at the time the service being furnished via a telecommunications system occurs.  For asynchronous, store and forward telecommunications technologies, an originating site is only a Federal telemedicine demonstration program conducted in Alaska or Hawaii.    2. Facility fee for originating site    The originating site facility fee is a separately billable Part B payment.  The contractor pays it outside of other payment methodologies.  This fee is subject to post payment verification.    For telehealth services furnished from October 1, 2001, through December 31, 2002, the originating site facility fee was the lesser of $20 or the actual charge.  For services furnished on or after January 1 of each subsequent year, the originating site fac ility fee is updated by the Medicare Economic Index.  The updated fee is included in the Medicare Physician Fee Schedule (MPFS) Final Rule, which is published by November 1 prior to the start of the calendar year for which it is effective.  The updated fee for each calendar year is also issued annually in a Recurring Update Notification instruction for January of each year.   3. Payment amount:    The originating site facility fee is a separately billable Part B payment.  The payment amount to the originating site is the lesser of 80 percent of the actual charge or 80 percent of the originating site facility fee, except CAHs.  The beneficiary is res ponsible for any unmet deductible amount and Medicare coinsurance.    The originating site facility fee payment methodology for each type of facility is clarified below.    Hospital outpatient department.  When the originating site is a hospital outpatient department, payment for the originating site facility fee must be made as described above and not under the OPPS. Payment is not based on the OPPS payment methodology.    Hospital inpatient.  For hospital inpatients, payment for the originating site facility fee must be made outside the diagnostic related group (DRG) payment, since this is a Part B benefit, similar to other services paid separately from the DRG payment, (e.g., hemophilia blood clotting factor).    Critical access hospitals.  When the originating site is a critical access hospital, make payment separately from the cost -based reimbursement methodology.  For CAHs, the payment amount is 80 percent of the originating site facility fee.    Federally qualified health centers (FQHCs) and rural health clinics (RHCs).  The originating site facility fee for telehealth services is not an FQHC or RHC service.  When an FQHC or RHC serves as the originating site, the originating site facility fee mus t be paid separately from the center or clinic all -inclusive rate.    Physicians and practitioners offices.  When the originating site is a physicians or practitioners office, the payment amount, in accordance with the law, is the lesser of 80 percent of the actual charge or 80 percent of the originating site facility fe e, regardless of geographic location.  The A/B MAC (B) shall not apply the geographic practice cost index (GPCI) to the originating site facility fee.  This fee is statutorily set and is not subject to the geographic payment adjustments authorized under the MPFS.    Hospital -based or critical access -hospital based renal dialysis center (or their satellites).  When a hospital- based or critical access hospital -based renal dialysis center (or their satellites) serves as the originating site, the originating site facility  fee is covered in addition to any composite rate or MCP amount.    Skilled nursing facility (SNF).  The originating site facility fee is outside the SNF prospective payment system bundle and, as such, is not subject to SNF consolidated billing.  The originating site facility fee is a separately billable Part B payment.    Community Mental Health Center (CMHC).  The originating site facility fee is not a partial hospitalization or intensive outpatient service.  The originating site facility fee does not count towards the number of services used to determine payment for parti al hospitalization or intensive outpatient services.  The originating site facility fee is not bundled in the per diem payment for partial hospitalization or intensive outpatient programs.  The originating site facility fee is a separately billable Part B payment.    To receive the originating facility site fee, the provider submits claims with HCPCS code  Q3014, telehealth originating site facility fee; short description telehealth facility fee.  The type of service for the telehealth originating site facility fee is 9, other items and services.  For A/B MAC (B) processed claims, the office place of  service (code 11) is the only payable setting for code Q3014.  There is no participation payment differential for code Q3014.  Deductible and coinsurance rules apply to Q3014.  By submitting Q3014 HCPCS code, the originating site authenticates they are lo cated in either a rural HPSA or non -MSA county.    This benefit may be billed on bill types 12X, 13X, 22X, 23X, 71X, 72X, 73X, 76X, and 85X.  Unless otherwise applicable, report the originating site facility fee under revenue code 078X and include HCPCS code Q3014, telehealth originating site facility fee .    Hospitals and critical access hospitals bill their A/B/MAC (A) for the originating site facility fee.  Telehealth bills originating in inpatient hospitals must be submitted on a 12X TOB using the date of discharge as the line item date of service.    Independent and provider -based RHCs and FQHCs bill the appropriate A/B/MAC (A) using the RHC or FQHC bill type and billing number.  HCPCS code Q3014 is the only non- RHC/FQHC service that is billed using the clinic/center bill type and provider number.  All  RHCs and FQHCs must use revenue code 078X when billing for the originating site facility fee.  For all other non -RHC/FQHC services, provider based RHCs and FQHCs must bill using the base providers bill type and billing number.  Independent RHCs and FQHCs  must bill the A/B MAC (B) for all other non -RHC/FQHC services.  If an RHC/FQHC visit occurs on the same day as a telehealth service, the RHC/FQHC serving as an originating site must bill for HCPCS code Q3014 telehealth originating site facility fee on a s eparate revenue line from the RHC/FQHC visit using revenue code 078X. Note that for patients in an intensive outpatient program, Q3014 is not considered an intensive outpatient service.    Hospital -based or CAH -based renal dialysis centers (including satellites) bill their A/B/MAC (A) for the originating site facility fee.  Telehealth bills originating in renal dialysis centers must be submitted on a 72X TOB.  All hospital -based or CAH -based  renal dialysis centers (including satellites) must use revenue code 078X when billing for the originating site facility fee.  The renal dialysis center serving as an originating site must bill for HCPCS code Q3014, telehealth originating site facility fee , on a separate revenue line from any other services provided to the beneficiary.    Skilled nursing facilities (SNFs) bill their A/B/MAC (A) for the originating site facility fee.  Telehealth bills originating in SNFs must be submitted on TOB 22X or 23X.  For SNF inpatients in a covered Part A stay, the originating site facility fee must be submitted on a 22X TOB.  All SNFs must use revenue code 078X when billing for the originating site facility fee.  The SNF serving as an originating site must bill for HCPCS code Q3014, telehealth originating site facility fee, on a separate revenue line from any other services provided to the beneficiary.    Community mental health centers (CMHCs) bill their A/B/MAC (A) for the originating site facility fee.  Telehealth bills originating in CMHCs must be submitted on a 76X TOB.  All CMHCs must use revenue code 078X when billing for the originating site facilit y fee.  The CMHC serving as an originating site must bill for HCPCS code Q3014, telehealth originating site facility fee, on a separate revenue line from any other services provided to the beneficiary.  Note that Q3014 does not count towards the number of services  used to determine per diem payments for partial hospitalization or intensive outpatient services.    The beneficiary is responsible for any unmet deductible amount and Medicare coinsurance.   190.6 - Payment Methodology for Physician/Practitioner at the Distant Site (Rev. 3586, Issued: 08- 12-16, Effective:  01 -01-17, Implementation: 01- 03-17)  1. Distant Site Defined   The term distant site means the site where the physician or practitioner, providing the professional service, is located at the time the service is provided via a telecommunications system.   2. Payment Amount (professional fee)   The payment amount for the professional service provided via a telecommunications system by the physician or practitioner at the distant site is equal to the current fee schedule amount for the service provided at the facility rate.  Payment for an office visit, consultation, individual psychotherapy or pharmacologic management via a telecommunications system should be made at the same facility amount as when these services are furnished without the use of a telecommunications system.  For Medicare payment to occur, the service must be within a practitioners scope of practice under State law.  The beneficiary is responsible for any unmet deductible amount and applicable coinsurance.   3. Medicare Practitioners Who May Receive Payment at the Distant Site (i.e., at a site other than where beneficiary is)   As a condition of Medicare Part B payment for telehealth services, the physician or practitioner at the distant site must be licensed to provide the service under state law.  When the physician or practitioner at the distant site is licensed under state la w to provide a covered telehealth service (i.e., professional consultation, office and other outpatient visits, individual psychotherapy, and pharmacologic management) then he or she may bill for and receive payment for this service when delivered via a telecommunications system.   If the physician or practitioner at the distant site is located in a CAH that has elected Method II, and the physician or practitioner has reassigned his/her benefits to the CAH, the CAH bills its regular A/B/MAC (A) for the professional services provided at the distant site via a telecommunications system, in any of the revenue codes 096x, 097x or 098x.  All requirements for billing distant site telehealth services apply.   4. Medicare Practitioners Who May Bill for Covered Telehealth Services are Listed Below (subject to State law)   Physician  Nurse practitioner  Physician assistant  Nurse -midwife  Clinical nurse specialist Clinical psychologist*  Clinical social worker*  Registered dietitian or nutrition professional  Certified registered nurse anesthetist   *Clinical psychologists and clinical social workers cannot bill for psychotherapy services that include medical evaluation and management services under Medicare.  These practitioners may not bill or receive payment for the following CPT codes: 90805, 90807, and 90809.  190.6.1 - Submission of Telehealth Claims for Distant Site Practitioners  (Rev. 3817; Issued; 07- 28-17 Effective; 01 -01-18 Implementation: 01- 02-18)  Claims for telehealth services are submitted to the contractors that process claims for the performing physician/practitioners service area. Physicians/practitioners submit the appropriate HCPCS procedure code for covered professional telehealth services with place of service code 02 (Telehealth). By billing place of service code 02 with a covered telehealth procedure code, the distant site physician/practitioner certifies that the beneficiary was present at an eligible originating site when the telehealth  service was furnished. By billing the place of service code 02 with a covered ESRD -related service telehealth code, the distant site physician/practitioner certifies that 1 visit per month was furnished face -to-face hands on to examine the vascular access site. Refer to section 190.3.4 of this chapter for the conditions of telehealth payment for ESRD -related services.