Medicaid Provider Reassignment Regulation Final Rule


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Today the Centers for Medicare & Medicaid Services (CMS) released the Medicaid Provider Reassignment Regulation final rule that, as proposed, removes a 2014 regulatory provision that allowed states to divert part of a Medicaid provider payment to third parties that could then be used to fund other costs on behalf of the provider. After further review, CMS determined that this provision may have resulted in provider payments being diverted in ways that do not comport with the law, and, in some cases, may have occurred without the express knowledge of the provider. CMS received more than 7,000 comments from the public, healthcare providers, unions, state agencies, and advocacy groups during the comment period for the proposed rule.