Sequester Payment Reductions to Medicare EHR Incentive Payments

CMS has confirmed that the mandatory reductions in federal spending aka the sequester will affect the Medicare EHR Incentive Program payments made in 2013.  Accordingly, all Medicare EHR Incentive Program payments made to hospitals and eligible professionals will have a 2% reduction.  This reduction applies to any hospital or eligible professional that participates in the program with a reporting period ending on or after April 1, 2013. 

The 2% reduction will not apply to the Medicaid EHR Incentive Program.  Therefore, those hospitals and eligible professionals expecting Medicaid EHR Incentive Program payments will receive the full amount without any sequester related reduction. 

If you have questions regarding the Medicare or Medicaid EHR Incentive Program please contact Elana Zana.