Medicare Provider Reimbursement Manual … Chapter 41 Updates – Skilled Nursing Facility and Skilled Nursing Facility Health Care Complex Cost Reports

Mary Madison, RN, RAC-CT, CDP
Clinical Consultant – Briggs Healthcare

Transmittal 10 … June 11, 2021 updates Chapter 41, Skilled Nursing Facility and Skilled Nursing Facility Health Care Complex Cost Reports and Form CMS-2540-10 to clarify or revise the following:

Worksheet S, Part I:

  • Clarified lines 1 and 2 to read “Electronically prepared cost report” and “Manually prepared cost report,” respectively.

Worksheet S, Part II:

  • Revised to assign line numbers to accommodate data input, and to add cost report preparer information.

Worksheet S-2, Part II:

  • Added lines 19 through 21, to capture cost report preparer information.

Worksheet S-7:

  • Revised the first paragraph to clearly state that the Worksheet S-7 is no longer required to be completed by SNFs for cost reporting periods beginning on and after September 30, 2019.

Worksheet D, Part II:

  • Revised instructions for lines 1 and 2 to include COVID-19 and monoclonal antibody product costs for treatment of COVID-19 and removed vaccine administration paid under the physician fee schedule.

Worksheet E, Part I, lines 14.75 (new), 14.99, 15, and 28.99; and Worksheet J-3, line 17.01: 

  • Revised the sequestration adjustment instructions in accordance with §3709 of the Coronavirus Aid, Relief, and Economic Security (CARES) Act, as amended by §102 of the Consolidated Appropriations Acts of 2021, temporarily suspending the 2 percent payment adjustment currently applied to all Medicare Fee-For-Service (FFS) claims. The suspension is effective from May 1, 2020, through March 31, 2021.

Worksheet E, Part I, line 21:

  • Revised instructions to not apply LCC when provider is exempt in accordance with 42 CFR 413.13 for public or non-public providers.

Worksheet G-3:

Revised edit 1216S and 2000E.

Added edit 1056S.

REVISED ELECTRONIC SPECIFICATIONS EFFECTIVE DATE: Changes to the electronic reporting specifications are effective for cost reporting periods ending on or after March 31, 2021.

DISCLAIMER: The revision date and transmittal number apply to the red italicized material only. Any other material was previously published and remains unchanged.

This Transmittal is 238 pages in length.  As noted above, watch for the red italicized verbiage for the changes.

R10P241f (ZIP) is the location of the Form CMS-2540-10.  This form is the worksheet.  Instructions for the worksheet are published in CMS Pub. 15-2, Section 4140.