CD145 R1958CP

User Manual: CD145

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CMS Manual System

Department of Health &
Human Services (DHHS)

Pub 100-04 Medicare Claims Processing

Centers for Medicare &
Medicaid Services (CMS)

Transmittal 1958

Date: April 28, 2010

Change Request 6916
NOTE: This instruction was inadvertently transmitted in the policy section of the business
requirement with incorrect final rules for FY of 2011. The correct FY is 2010. The business
requirement has been revised. The transmittal number, date issued and all other information remain
the same.
SUBJECT: Skilled Nursing Facility (SNF) Health Insurance Prospective Payment System (HIPPS)
Coding Updates Effective October 1, 2010
I. SUMMARY OF CHANGES: This instruction contains new HIPPS codes resulting from the conversion
to the new RUG-IV coding system
EFFECTIVE DATE: *October 1, 2010
IMPLEMENTATION DATE: October 4, 2010
Disclaimer for manual changes only: The revision date and transmittal number apply only to red italicized
material. Any other material was previously published and remains unchanged. However, if this revision
contains a table of contents, you will receive the new/revised information only, and not the entire table of
contents.
II. CHANGES IN MANUAL INSTRUCTIONS: (N/A if manual is not updated)
R=REVISED, N=NEW, D=DELETED-Only One Per Row.
R/N/D

CHAPTER / SECTION / SUBSECTION / TITLE

R

6/30/Billing SNF PPS Services

R

6/30.1/Health Insurance Prospective Payment System (HIPPS) Rate Code

R

6/30.6.2/SNF PPS Rate Components

R

6/30.6.3/Decision Logic Used by the Pricer on Claims

III. FUNDING:
For Fiscal Intermediaries (FIs), Regional Home Health Intermediaries (RHHIs) and/or Carriers:
No additional funding will be provided by CMS; Contractor activities are to be carried out within their
operating budgets.

For Medicare Administrative Contractors (MACs):
The Medicare Administrative Contractor is hereby advised that this constitutes technical direction as defined

in your contract. CMS does not construe this as a change to the MAC Statement of Work. The contractor is
not obligated to incur costs in excess of the amounts allotted in your contract unless and until specifically
authorized by the Contracting Officer. If the contractor considers anything provided, as described above, to
be outside the current scope of work, the contractor shall withhold performance on the part(s) in question
and immediately notify the Contracting Officer, in writing or by e-mail, and request formal directions
regarding continued performance requirements.
IV. ATTACHMENTS:
Business Requirements
Manual Instruction

*Unless otherwise specified, the effective date is the date of service.

Attachment - Business Requirements
Pub. 100-04

Transmittal: 1958

Date: April 28, 2010

Change Request: 6916

NOTE: This instruction was inadvertently transmitted in the policy section of the business requirement
with incorrect final rules for FY of 2011. The correct FY is 2010. The business requirement has been
revised. The transmittal number, date issued and all other information remain the same.
SUBJECT: Skilled Nursing Facility (SNF) Health Insurance Prospective Payment System (HIPPS)
Coding Updates Effective October 1, 2010
Effective Date: October 1, 2010
Implementation Date: October 4, 2010

I.

GENERAL INFORMATION

A.
Background: Effective October 1, 2010, the CMS is revising the SNF PPS case-mix system. The
revised system will include 66 resource utilization groups (RUGs). This revised system is called the RUG-IV
coding system.
This instruction contains new HIPPS codes resulting from the conversion to the new RUG-IV coding system.
The attached file contains the list of the newly added HIPPS codes. The 5-digit HIPPS code includes two
components: the 3-digit classification code assigned to each RUG group, and newly defined 2-digit assessment
indicators that specify the type of assessment used to support billing.

B.
Policy: Annual updates to the PPS rates for SNFs are required by section 1888(e) of the Social Security
Act (the Act), as added by section 4432 of the Balanced Budget Act of 1997 (BBA) (Pub. L. 105–33, enacted
on August 5, 1997), and amended by the Medicare, Medicaid, and State Children’s Health Insurance Program
(SCHIP) Balanced Budget Refinement Act of 1999 (BBRA) (Pub. L. 106–113, enacted on November 29,
1999), the Medicare, Medicaid, and SCHIP Benefits Improvement and Protection Act of 2000 (BIPA) (Pub. L.
106–554, enacted on December 21, 2000), and the Medicare Prescription Drug, Improvement, and
Modernization Act of 2003 (MMA) (Pub. L. 108–173, enacted on December 8, 2003). Our most recent annual
update occurred in a final rule (74 FR 40289, August 11, 2009) that set forth updates to the SNF PPS payment
rates for FY 2010. Under the BBA, each update of the SNF PPS payment rates must include the case-mix
classification methodology applicable for the coming Federal FY. The FY 2011 payment rates reflect the use of
the RUG-IV system (66 groups) that was discussed in detail in the proposed and final rules for FY 2010.
II.

BUSINESS REQUIREMENTS TABLE

Use“Shall" to denote a mandatory requirement
Number

Requirement

Responsibility (place an “X” in each
applicable column)
A D F C R
SharedOTH
/ M I A H
System
ER
B E
R H Maintainers

6916.1

III.

Medicare contractors shall add the attached list of new
HIPPS codes to their claims processing systems
effective for claims with dates of service on or after
October 1, 2010.

F M V C
I C M W
S S S F
S
X
COB
C

PROVIDER EDUCATION TABLE

Number

Requirement

6916.2

A provider education article related to this instruction
will be available at
http://www.cms.hhs.gov/MLNMattersArticles/ shortly
after the CR is released. You will receive notification
of the article release via the established "MLN Matters"
listserv.
Contractors shall post this article, or a direct link to this
article, on their Web site and include information about
it in a listserv message within one week of the
availability of the provider education article. In
addition, the provider education article shall be
included in your next regularly scheduled bulletin.
Contractors are free to supplement MLN Matters
articles with localized information that would benefit
their provider community in billing and administering
the Medicare program correctly.

IV.

R I
M M
I
A A
E
C C
R
X
X

Responsibility (place an “X” in each
applicable column)
A D F C R
SharedOTH
/ M I A H
System
ER
B E
R H Maintainers
R I F M V C
M M
I
I C M W
A A
E
S S S F
C C
R
S
X
X

SUPPORTING INFORMATION

Section a: for any recommendations and supporting information associated with listed requirements, use
the box below: N/A
Use "Should" to denote a recommendation.
X-Ref
Recommendations or other supporting information:
Requireme
nt
Number

Section B: For all other recommendations and supporting information, use this space: N/A

V. CONTACTS
Pre-Implementation Contact(s): Jason Kerr, Jason.Kerr@cms.hhs.gov (for SNF claims processing), Julie
Stankivic, Julie.Stankivic@cms.hhs.gov (for SNF PPS policy)
Post-Implementation Contact(s): Appropriate Regional Office.
http://www.cms.hhs.gov/MyHealthMyMedicare/Downloads/regionalmap.pdf or Medicare Administrative
Contractor Project Officer

VI. FUNDING
Section A: For Fiscal Intermediaries (FIs), Carriers, and Regional Home Health Intermedicaries (RHHIs)
use only one of the following statements:
No additional funding will be provided by CMS; contractor activities are to be carried out within their operating
budgets.

Section B: For Medicare Administrative Contractors (MACs), use the following statement:
The Medicare Administrative Contractor is hereby advised that this constitutes technical direction as defined in
your contract. CMS does not construe this as a change to the MAC Statement of Work. The contractor is not
obligated to incur costs in excess of the amounts allotted in your contract unless and until specifically
authorized by the Contracting Officer. If the contractor considers anything provided, as described above, to be
outside the current scope of work, the contractor shall withhold performance on the part(s) in question and
immediately notify the Contracting Officer, in writing or by e-mail, and request formal directions regarding
continued performance requirements.

ATTACHMENT

The following codes are added effective 10/01/10:
CD101
RUX06
CD104
RUX10
CD105
RUX12
CD106
RUX13
CD110
RUX14
CD111
RUX15
CD112
RUX16
CD113
RUX20
CD114
RUX21
CD115
RUX22
CD116
RUX23
CD117
RUX24
CD120
RUX25
CD121
RUX26
CD124
RUX36
CD125
RUX46
CD126
RUX50
CD130
RUX51
CD131
RUX52
CD134
RUX53
CD135
RUX55
CD136
RUX56
CD140
RUX60
CD141
RUL06
CD144
RUL10
CD145
RUL12
CD146
RUL13
CD150
RUL14
CD151
RUL15
CD154
RUL16
CD155
RUL20
CD156
RUL21
CD160
RUL22
CD201
RUL23
CD204
RUL24
CD205
RUL25
CD206
RUL26
CD210
RUL36
CD211
RUL46
CD212
RUL50
CD213
RUL51
CD214
RUL52
CD215
RUL53
CD216
RUL55
CD217
RUL56
CD220
RUL60

CD221
CD224
CD225
CD226
CD230
CD231
CD234
CD235
CD236
CD240
CD241
CD244
CD245
CD246
CD250
CD251
CD254
CD255
CD256
CD260
CE101
CE104
CE105
CE106
CE110
CE111
CE112
CE113
CE114
CE115
CE116
CE117
CE120
CE121
CE124
CE125
CE126
CE130
CE131
CE134
CE135
CE136
CE140
CE141
CE144
CE145
CE146

RVX06
RVX10
RVX12
RVX13
RVX14
RVX15
RVX16
RVX20
RVX21
RVX22
RVX23
RVX24
RVX25
RVX26
RVX36
RVX46
RVX50
RVX51
RVX52
RVX53
RVX55
RVX56
RVX60
RVL06
RVL10
RVL12
RVL13
RVL14
RVL15
RVL16
RVL20
RVL21
RVL22
RVL23
RVL24
RVL25
RVL26
RVL36
RVL46
RVL50
RVL51
RVL52
RVL53
RVL55
RVL56
RVL60
RHX06

CE150
CE151
CE154
CE155
CE156
CE160
CE201
CE204
CE205
CE206
CE210
CE211
CE212
CE213
CE214
CE215
CE216
CE217
CE220
CE221
CE224
CE225
CE226
CE230
CE231
CE234
CE235
CE236
CE240
CE241
CE244
CE245
CE246
CE250
CE251
CE254
CE255
CE256
CE260
ES101
ES104
ES105
ES106
ES110
ES111
ES112
ES113

RHX10
RHX12
RHX13
RHX14
RHX15
RHX16
RHX20
RHX21
RHX22
RHX23
RHX24
RHX25
RHX26
RHX36
RHX46
RHX50
RHX51
RHX52
RHX53
RHX55
RHX56
RHX60
RHL06
RHL10
RHL12
RHL13
RHL14
RHL15
RHL16
RHL20
RHL21
RHL22
RHL23
RHL24
RHL25
RHL26
RHL36
RHL46
RHL50
RHL51
RHL52
RHL53
RHL55
RHL56
RHL60
RMX06
RMX10

ES114
ES115
ES116
ES117
ES120
ES121
ES124
ES125
ES126
ES130
ES131
ES134
ES135
ES136
ES140
ES141
ES144
ES145
ES146
ES150
ES151
ES154
ES155
ES156
ES160
ES201
ES204
ES205
ES206
ES210
ES211
ES212
ES213
ES214
ES215
ES216
ES217
ES220
ES221
ES224
ES225
ES226
ES230
ES231
ES234
ES235
ES236

RMX12
RMX13
RMX14
RMX15
RMX16
RMX20
RMX21
RMX22
RMX23
RMX24
RMX25
RMX26
RMX36
RMX46
RMX50
RMX51
RMX52
RMX53
RMX55
RMX56
RMX60
RML06
RML10
RML12
RML13
RML14
RML15
RML16
RML20
RML21
RML22
RML23
RML24
RML25
RML26
RML36
RML46
RML50
RML51
RML52
RML53
RML55
RML56
RML60
RLX06
RLX10
RLX12

ES240
ES241
ES244
ES245
ES246
ES250
ES251
ES254
ES255
ES256
ES260
ES301
ES304
ES305
ES306
ES310
ES311
ES312
ES313
ES314
ES315
ES316
ES317
ES320
ES321
ES324
ES325
ES326
ES330
ES331
ES334
ES335
ES336
ES340
ES341
ES344
ES345
ES346
ES350
ES351
ES354
ES355
ES356
ES360
HB101
HB104
HB105

RLX13
RLX14
RLX15
RLX16
RLX20
RLX21
RLX22
RLX23
RLX24
RLX25
RLX26
RLX36
RLX46
RLX50
RLX51
RLX52
RLX53
RLX55
RLX56
RLX60
RUC06
RUC10
RUC12
RUC13
RUC14
RUC15
RUC16
RUC20
RUC21
RUC22
RUC23
RUC24
RUC25
RUC26
RUC36
RUC46
RUC50
RUC51
RUC52
RUC53
RUC55
RUC56
RUC60
RUB06
RUB10
RUB12
RUB13

HB106
HB110
HB111
HB112
HB113
HB114
HB115
HB116
HB117
HB120
HB121
HB124
HB125
HB126
HB130
HB131
HB134
HB135
HB136
HB140
HB141
HB144
HB145
HB146
HB150
HB151
HB154
HB155
HB156
HB160
HB201
HB204
HB205
HB206
HB210
HB211
HB212
HB213
HB214
HB215
HB216
HB217
HB220
HB221
HB224
HB225
HB226

RUB14
RUB15
RUB16
RUB20
RUB21
RUB22
RUB23
RUB24
RUB25
RUB26
RUB36
RUB46
RUB50
RUB51
RUB52
RUB53
RUB55
RUB56
RUB60
RUA06
RUA10
RUA12
RUA13
RUA14
RUA15
RUA16
RUA20
RUA21
RUA22
RUA23
RUA24
RUA25
RUA26
RUA36
RUA46
RUA50
RUA51
RUA52
RUA53
RUA55
RUA56
RUA60
RVC06
RVC10
RVC12
RVC13
RVC14

HB230
HB231
HB234
HB235
HB236
HB240
HB241
HB244
HB245
HB246
HB250
HB251
HB254
HB255
HB256
HB260
HC101
HC104
HC105
HC106
HC110
HC111
HC112
HC113
HC114
HC115
HC116
HC117
HC120
HC121
HC124
HC125
HC126
HC130
HC131
HC134
HC135
HC136
HC140
HC141
HC144
HC145
HC146
HC150
HC151
HC154
HC155

RVC15
RVC16
RVC20
RVC21
RVC22
RVC23
RVC24
RVC25
RVC26
RVC36
RVC46
RVC50
RVC51
RVC52
RVC53
RVC55
RVC56
RVC60
RVB06
RVB10
RVB12
RVB13
RVB14
RVB15
RVB16
RVB20
RVB21
RVB22
RVB23
RVB24
RVB25
RVB26
RVB36
RVB46
RVB50
RVB51
RVB52
RVB53
RVB55
RVB56
RVB60
RVA06
RVA10
RVA12
RVA13
RVA14
RVA15

HC156
HC160
HC201
HC204
HC205
HC206
HC210
HC211
HC212
HC213
HC214
HC215
HC216
HC217
HC220
HC221
HC224
HC225
HC226
HC230
HC231
HC234
HC235
HC236
HC240
HC241
HC244
HC245
HC246
HC250
HC251
HC254
HC255
HC256
HC260
HD101
HD104
HD105
HD106
HD110
HD111
HD112
HD113
HD114
HD115
HD116
HD117

RVA16
RVA20
RVA21
RVA22
RVA23
RVA24
RVA25
RVA26
RVA36
RVA46
RVA50
RVA51
RVA52
RVA53
RVA55
RVA56
RVA60
RHC06
RHC10
RHC12
RHC13
RHC14
RHC15
RHC16
RHC20
RHC21
RHC22
RHC23
RHC24
RHC25
RHC26
RHC36
RHC46
RHC50
RHC51
RHC52
RHC53
RHC55
RHC56
RHC60
RHB06
RHB10
RHB12
RHB13
RHB14
RHB15
RHB16

HD120
HD121
HD124
HD125
HD126
HD130
HD131
HD134
HD135
HD136
HD140
HD143
HD144
HD145
HD146
HD150
HD151
HD154
HD155
HD156
HD160
HD201
HD204
HD205
HD206
HD210
HD211
HD212
HD213
HD214
HD215
HD216
HD217
HD220
HD221
HD224
HD225
HD226
HD230
HD231
HD234
HD235
HD236
HD240
HD241
HD244
HD245

RHB20
RHB21
RHB22
RHB23
RHB24
RHB25
RHB26
RHB36
RHB46
RHB50
RHB51
RHB52
RHB53
RHB55
RHB56
RHB60
RHA06
RHA10
RHA12
RHA13
RHA14
RHA15
RHA16
RHA20
RHA21
RHA22
RHA23
RHA24
RHA25
RHA26
RHA36
RHA46
RHA50
RHA51
RHA52
RHA53
RHA55
RHA56
RHA60
RMC06
RMC10
RMC12
RMC13
RMC14
RMC15
RMC16
RMC20

HD246
HD250
HD251
HD254
HD255
HD256
HD260
HE101
HE104
HE105
HE106
HE110
HE111
HE112
HE113
HE114
HE115
HE116
HE117
HE120
HE121
HE124
HE125
HE126
HE130
HE131
HE134
HE135
HE136
HE140
HE141
HE144
HE145
HE146
HE150
HE151
HE154
HE155
HE156
HE160
HE201
HE204
HE205
HE206
HE210
HE211
HE212

RMC21
RMC22
RMC23
RMC24
RMC25
RMC26
RMC36
RMC46
RMC50
RMC51
RMC52
RMC53
RMC55
RMC56
RMC60
RMB06
RMB10
RMB12
RMB13
RMB14
RMB15
RMB16
RMB20
RMB21
RMB22
RMB23
RMB24
RMB25
RMB26
RMB36
RMB46
RMB50
RMB51
RMB52
RMB53
RMB55
RMB56
RMB60
RMA06
RMA10
RMA12
RMA13
RMA14
RMA15
RMA16
RMA20
RMA21

HE213
HE214
HE215
HE216
HE217
HE220
HE221
HE224
HE225
HE226
HE230
HE231
HE234
HE235
HE236
HE240
HE241
HE244
HE245
HE246
HE250
HE251
HE254
HE255
HE256
HE260
LB101
LB104
LB105
LB106
LB110
LB111
LB112
LB113
LB114
LB115
LB116
LB117
LB120
LB121
LB124
LB125
LB126
LB130
LB131
LB134
LB135

RMA22
RMA23
RMA24
RMA25
RMA26
RMA36
RMA46
RMA50
RMA51
RMA52
RMA53
RMA55
RMA56
RMA60
RLB06
RLB10
RLB12
RLB13
RLB14
RLB15
RLB16
RLB20
RLB21
RLB22
RLB23
RLB24
RLB25
RLB26
RLB36
RLB46
RLB50
RLB51
RLB52
RLB53
RLB55
RLB56
RLB60
RLA06
RLA10
RLA12
RLA13
RLA14
RLA15
RLA16
RLA20
RLA21
RLA22

LB136
LB140
LB141
LB144
LB145
LB146
LB150
LB151
LB154
LB155
LB156
LB160
LB201
LB204
LB205
LB206
LB210
LB211
LB212
LB213
LB214
LB215
LB216
LB217
LB220
LB221
LB224
LB225
LB226
LB230
LB231
LB234
LB235
LB236
LB240
LB241
LB244
LB245
LB246
LB250
LB251
LB254
LB255
LB256
LB260
LC101
LC104

RLA23
RLA24
RLA25
RLA26
RLA36
RLA46
RLA50
RLA51
RLA52
RLA53
RLA55
RLA56
RLA60
CC201
CC204
CC205
CC206
CC210
CC211
CC212
CC213
CC214
CC215
CC216
CC217
CC220
CC221
CC224
CC225
CC226
CC230
CC231
CC234
CC235
CC236
CC240
CC241
CC244
CC245
CC246
CC250
CC251
CC254
CC255
CC256
CC260
CC101

LC105
LC106
LC110
LC111
LC112
LC113
LC114
LC115
LC116
LC117
LC120
LC121
LC124
LC125
LC126
LC130
LC131
LC134
LC135
LC136
LC140
LC141
LC144
LC145
LC146
LC150
LC151
LC154
LC155
LC156
LC160
LC201
LC204
LC205
LC206
LC210
LC211
LC212
LC213
LC214
LC215
LC216
LC217
LC220
LC221
LC224
LC225

CC104
CC105
CC106
CC110
CC111
CC112
CC113
CC114
CC115
CC116
CC117
CC120
CC121
CC124
CC125
CC126
CC130
CC131
CC134
CC135
CC136
CC140
CC141
CC144
CC145
CC146
CC150
CC151
CC154
CC155
CC156
CC160
CB201
CB204
CB205
CB206
CB210
CB211
CB212
CB213
CB214
CB215
CB216
CB217
CB220
CB221
CB224

LC226
LC230
LC231
LC234
LC235
LC236
LC240
LC241
LC244
LC245
LC246
LC250
LC251
LC254
LC255
LC256
LC260
LD101
LD104
LD105
LD106
LD110
LD111
LD112
LD113
LD114
LD115
LD116
LD117
LD120
LD121
LD124
LD125
LD126
LD130
LD131
LD134
LD135
LD136
LD140
LD141
LD144
LD145
LD146
LD150
LD151
LD154

CB225
CB226
CB230
CB231
CB234
CB235
CB236
CB240
CB241
CB244
CB245
CB246
CB250
CB251
CB254
CB255
CB256
CB260
CB101
CB104
CB105
CB106
CB110
CB111
CB112
CB113
CB114
CB115
CB116
CB117
CB120
CB121
CB124
CB125
CB126
CB130
CB131
CB134
CB135
CB136
CB140
CB141
CB144
CB145
CB146
CB150
CB151

LD155
LD156
LD160
LD201
LD204
LD205
LD206
LD210
LD211
LD212
LD213
LD214
LD215
LD216
LD217
LD220
LD221
LD224
LD225
LD226
LD230
LD231
LD234
LD235
LD236
LD240
LD241
LD244
LD245
LD246
LD250
LD251
LD254
LD255
LD256
LD260
LE101
LE104
LE105
LE106
LE110
LE111
LE112
LE113
LE114
LE115
LE116

CB154
CB155
CB156
CB160
CA201
CA204
CA205
CA206
CA210
CA211
CA212
CA213
CA214
CA215
CA216
CA217
CA220
CA221
CA224
CA225
CA226
CA230
CA231
CA234
CA235
CA236
CA240
CA241
CA244
CA245
CA246
CA250
CA251
CA254
CA255
CA256
CA260
CA101
CA104
CA105
CA106
CA110
CA111
CA112
CA113
CA114
CA115

LE117
LE120
LE121
LE124
LE125
LE126
LE130
LE131
LE134
LE135
LE136
LE140
LE141
LE144
LE145
LE146
LE150
LE151
LE154
LE155
LE156
LE160
LE201
LE204
LE205
LE206
LE210
LE211
LE212
LE213
LE214
LE215
LE216
LE217
LE220
LE221
LE224
LE225
LE226
LE230
LE231
LE234
LE235
LE236
LE240
LE241
LE244

CA116
CA117
CA120
CA121
CA124
CA125
CA126
CA130
CA131
CA134
CA135
CA136
CA140
CA141
CA144
CA145
CA146
CA150
CA151
CA154
CA155
CA156
CA160
BB201
BB204
BB205
BB206
BB210
BB211
BB212
BB213
BB214
BB215
BB216
BB217
BB220
BB221
BB224
BB225
BB226
BB230
BB231
BB234
BB235
BB236
BB240
BB241

LE245
LE246
LE250
LE251
LE254
LE255
LE256
LE260
PE201
PE204
PE205
PE206
PE210
PE211
PE212
PE213
PE214
PE215
PE216
PE217
PE220
PE221
PE224
PE225
PE226
PE230
PE231
PE234
PE235
PE236
PE240
PE241
PE244
PE245
PE246
PE250
PE251
PE254
PE255
PE256
PE260
PE101
PE104
PE105
PE106
PE110
PE111

BB244
BB245
BB246
BB250
BB251
BB254
BB255
BB256
BB260
BB101
BB104
BB105
BB106
BB110
BB111
BB112
BB113
BB114
BB115
BB116
BB117
BB120
BB121
BB124
BB125
BB126
BB130
BB131
BB134
BB135
BB136
BB140
BB141
BB144
BB145
BB146
BB150
BB151
BB154
BB155
BB156
BB160
BA201
BA204
BA205
BA206
BA210

PE112
PE113
PE114
PE115
PE116
PE117
PE120
PE121
PE124
PE125
PE126
PE130
PE131
PE134
PE135
PE136
PE140
PE141
PE144
PE145
PE146
PE150
PE151
PE154
PE155
PE156
PE160
PD201
PD204
PD205
PD206
PD210
PD211
PD212
PD213
PD214
PD215
PD216
PD217
PD220
PD221
PD224
PD225
PD226
PD230
PD231
PD234

BA211
BA212
BA213
BA214
BA215
BA216
BA217
BA220
BA221
BA224
BA225
BA226
BA230
BA231
BA234
BA235
BA236
BA240
BA241
BA244
BA245
BA246
BA250
BA251
BA254
BA255
BA256
BA260
BA101
BA104
BA105
BA106
BA110
BA111
BA112
BA113
BA114
BA115
BA116
BA117
BA120
BA121
BA124
BA125
BA126
BA130
BA131

PD235
PD236
PD240
PD241
PD244
PD245
PD246
PD250
PD251
PD254
PD255
PD256
PD260
PD101
PD104
PD105
PD106
PD110
PD111
PD112
PD113
PD114
PD115
PD116
PD117
PD120
PD121
PD124
PD125
PD126
PD130
PD131
PD134
PD135
PD136
PD140
PD141
PD144
PD145
PD146
PD150
PD151
PD154
PD155
PD156
PD160
PC201

BA134
BA135
BA136
BA140
BA141
BA144
BA145
BA146
BA150
BA151
BA154
BA155
BA156
BA160
AAA00
AAA01
AAA02
AAA03
AAA04
AAA05
AAA06
AAA07
AAA10
AAA11
AAA12
AAA13
AAA14
AAA15
AAA16
AAA17
AAA20
AAA21
AAA22
AAA23
AAA24
AAA25
AAA26
AAA30
AAA31
AAA32
AAA33
AAA34
AAA35
AAA36
AAA40
AAA41
AAA42

PC204
PC205
PC206
PC210
PC211
PC212
PC213
PC214
PC215
PC216
PC217
PC220
PC221
PC224
PC225
PC226
PC230
PC231
PC234
PC235
PC236
PC240
PC241
PC244
PC245
PC246
PC250
PC251
PC254
PC255
PC256
PC260
PC101
PC104
PC105
PC106
PC110
PC111
PC112
PC113
PC114
PC115
PC116
PC117
PC120
PC121
PC124

AAA43
AAA44
AAA45
AAA46
AAA50
AAA51
AAA52
AAA53
AAA54
AAA55
AAA56
AAA60

PC125
PC126
PC130
PC131
PC134
PC135
PC136
PC140
PC141
PC144
PC145
PC146
PC150
PC151
PC154
PC155
PC156
PC160
PB201
PB204
PB205
PB206
PB210
PB211
PB212
PB213
PB214
PB215
PB216
PB217
PB220
PB221
PB224
PB225
PB226
PB230
PB231
PB234
PB235
PB236
PB240
PB241
PB244
PB245
PB246
PB250
PB251

PB254
PB255
PB256
PB260
PB101
PB104
PB105
PB106
PB110
PB111
PB112
PB113
PB114
PB115
PB116
PB117
PB120
PB121
PB124
PB125
PB126
PB130
PB131
PB134
PB135
PB136
PB140
PB141
PB144
PB145
PB146
PB150
PB151
PB154
PB155
PB156
PB160
PA201
PA204
PA205
PA206
PA210
PA211
PA212
PA213
PA214
PA215

PA216
PA217
PA220
PA221
PA224
PA225
PA226
PA230
PA231
PA234
PA235
PA236
PA240
PA241
PA244
PA245
PA246
PA250
PA251
PA254
PA255
PA256
PA260
PA101
PA104
PA105
PA106
PA110
PA111
PA112
PA113
PA114
PA115
PA116
PA117
PA120
PA121
PA124
PA125
PA126
PA130
PA131
PA134
PA135
PA136
PA140
PA141

PA144
PA145
PA146
PA150
PA151
PA154
PA155
PA156
PA160

30 - Billing SNF PPS Services
(Rev., 1958; Issued: 04-28-10; Effective Date: 10-01-10; Implementation Date: 10-04-10)
SNFs and hospital swing bed providers are required to report inpatient Part A PPS billing data as
follows. Refer to the Medicare Claims Processing Manual, Chapter 25, “Completing and
Processing the UB-04 (CMS-1450) Data Set,” for further information about billing, as it contains
UB-04 data elements and the corresponding fields in the electronic record:
•

In addition to the required fields identified in the Medicare Claims Processing Manual,
Chapter 25, “Completing and Processing the UB-04 (CMS-1450) Data Set,” SNFs must
also report occurrence span code “70” to indicate the dates of a qualifying hospital stay of
at least three consecutive days which qualifies the beneficiary for SNF services.

•

Separate bills are required for each Federal fiscal year for admissions that span the annual
update effective date (October 1.)

•

Use Type of Bill 21X for SNF inpatient services or 18X for hospital swing bed services.

•

Revenue Code 0022. This code indicates that this claim is being paid under the SNF
PPS. This revenue code can appear on a claim as often as necessary to indicate different
HIPPS Rate Code(s) and assessment periods.

•

There must be a line item on the claim for each assessment period represented on the
claim with revenue code 0022. This code indicates that this claim is being paid under
SNF PPS. This revenue code can appear on a claim as often as necessary to indicate
different HIPPS rate code(s) and assessment periods.

•

The line item date of service date must contain an assessment reference date (ARD) when
revenue code 0022 is present unless the HIPPS rate code is AAA00.

•

HCPCS/Rates field must contain a 5-digit “HIPPS Code”. The first three positions of the
code contain the RUG group and the last two positions of the code contain a 2-digit
assessment indicator (AI) code. See Tables 1 and 2 below for valid RUG codes and AI
codes.

•

Service Units must contain the number of covered days for each HIPPS rate code.
NOTE: Fiscal Intermediary Shared System (FISS) requirement:
The sum of all covered units reported on all revenue code 0022 lines should be
equal to the covered days field less the number of days reported in an OSC 77.
(Note: The covered units field is utilized in FISS and has no mapping to the 837
or paper claim).

•

Total Charges should be zero for revenue code 0022.

•

When a HIPPS rate code of RUAxx, RUBxx , RUCxx, RULxx and/or RUXxx is present,
a minimum of two rehabilitation therapy ancillary codes are required (revenue code 042x
and/or, 043x and/or, 044x). When a HIPPS rate code of RHAxx, RHBxx, RHCxx,
RHLxx, RHXxx, RLAxx, RLBxx, RLXxx, RMAxx, RMBxx, RMCxx, RMLxx,
RMXxx, RVAxx, RVBxx, RVCxx, RVLxx, and/or RVXxx is present, a minimum of one
rehabilitation therapy ancillary revenue code is required (revenue code 042x, 043x, or
044x. Bills that are missing required rehabilitation therapy ancillary revenue codes are to
be returned to the SNF for resubmission.

•

The accommodation revenue code 018x, leave of absence is reported when the
beneficiary is on a leave of absence and is not present at the midnight census taking time.

•

Principal Diagnosis Code - SNFs enter the ICD-CM code for the principal diagnosis in
the appropriate form locator. The code must be reported according to Official ICD-CM
Guidelines for Coding and Reporting, as required by the Health Insurance Portability and
Accountability Act (HIPAA), including any applicable guidelines regarding the use of V
codes. The code must be the full ICD-CM diagnosis code, including all five digits where
applicable.

•

Other Diagnosis Codes Required – The SNF enters the full ICD-CM codes for up to eight
additional conditions in the appropriate form locator. Medicare does not have any
additional requirements regarding the reporting or sequence of the codes beyond those
contained in the ICD-CM guidelines.

NOTE: Information regarding the form locator numbers that correspond to these data element
names and a table to crosswalk UB-04 form locators to the 837 transaction is found in Chapter
25.

30.1 - Health Insurance Prospective Payment System (HIPPS) Rate Code
(Rev., 1958; Issued: 04-28-10; Effective Date: 10-01-10; Implementation Date: 10-04-10)
The HIPPS rate code consists of the three-character resource utilization group (RUG) code that is
obtained from the “Grouper” software program followed by a 2-digit assessment indicator (AI)
that specifies the type of assessment associated with the RUG code obtained from the Grouper.
SNFs must use the version of the Grouper software program identified by CMS for national PPS
as described in the Federal Register for that year. The Grouper translates the data in the Long
Term Care Resident Instrument into a case-mix group and assigns the correct RUG code.
Effective for dates of service on or after October 1, 2010, the Grouper will automatically assign
the 2-digit AI.
Providers may access the following link for HIPPS code information:
http://www.cms.hhs.gov/ProspMedicareFeeSvcPmtGen/02_HIPPSCodes.asp#TopOfPage
The above link includes documents that contain the complete list of RUG codes and AIs billed for
Part A SNF stays. Definitions and usage of each code are included. In addition, a master file of
all valid/termed HIPPS codes is provided.

The HIPPS rate code that appears on the claim must match the assessment that has been
transmitted and accepted by the State in which the facility operates. The SNF may bill the
program only after:
•

An assessment has been completed and submitted to the State RAI Database;

•

A Final Validation Report indicating that the assessment has been accepted by the state;
and

•

The covered day has actually been used.

SNFs that submit claims that have not completed this process will not be paid. It is important to
remember that the record will be accepted into the State RAI database, even if the calculated
RUG code differs from the submitted values. The error will be flagged on the final validation
report by issuing a warning message and listing the correct RUG code. When such discrepancies
occur, the RUG code reported on the Final Validation Report shall be used for billing purposes.

30.6.2 – SNF PPS Rate Components
(Rev., 1958; Issued: 04-28-10; Effective Date: 10-01-10; Implementation Date: 10-04-10)
The SNF PPS rate for each RUG group consists of 3 components: a nursing component, a
therapy component and a non-case-mix adjusted component. The following describes the rate
components used for SNF PPS:
--The nursing per diem amount is a standard amount which includes direct nursing care
and the cost of non-therapy ancillary services required by Medicare beneficiaries.
--The nursing index is based on the amount of staff time, weighted by salary levels,
associated with each RUG group. This index represents the amount of nursing time
associated with caring for beneficiaries who qualify for the group.
The nursing per diem amount is case-mix adjusted by applying the nursing index. The result is
the nursing component for that RUG group.
--The therapy per diem amount is a standard amount which includes physical,
occupational, and speech-language therapy services provided to beneficiaries in a Part A
stay. Payment varies based on the actual therapy resource minutes received by the
beneficiary and reported on the MDS;
--The therapy index is based on the amount of staff time, weighted by salary levels,
associated with each RUG group. This index represents the amount of rehabilitation
treatment time associated with caring for beneficiaries who qualify for the group.

If the RUG group is in the Rehabilitation plus Extensive Services or Rehabilitation category, the
therapy per diem amount is case-mix adjusted by applying the therapy index. The result is the
therapy component for that Rehabilitation RUG group.
--The non-case-mix therapy component is a standard amount to cover the cost of therapy
assessments of beneficiaries who were determined not to need continued therapy
services.
If the RUG group is not in the Rehabilitation plus Extensive Services or Rehabilitation category,
this payment is added to the rate as therapy component for that RUG group.
--The non-case-mix component is also a standard amount added to the rate for each RUG
group to cover administrative and capital-related costs.
This standard amount is added to all RUG groups.

30.6.3 - Decision Logic Used by the Pricer on Claims
(Rev., 1958; Issued: 04-28-10; Effective Date: 10-01-10; Implementation Date: 10-04-10)
The SNF Pricer shall calculate the rate for each line item with revenue code 0022 on a SNF
claim. The SNF Pricer shall determine the rate using the following information:
- “HIPPS-CODE” on line item 0022;
-“CBSA”
- Per diem amounts defined within the Pricers as types of rate based on the statement
covers “THRU-DATE”:
Inpatient rate = Nursing case mix component
General service rate = Non-case-mix component
Therapy rate = Therapy non-case mix component
Rehabilitation rate = Therapy case-mix component
- Labor and non labor percentages based on the statement covers “THRU-DATE”;
- Wage index, “SNF-FED BLEND” year, and “SNF-FACILITY RATE” based on the
statement covers “THRU_DATE”
- Rate adjustments applicable to the specific RUG code;
- Nursing index based on the RUG code;
- Therapy index based on the rehabilitation RUG code;
On input records with TOB 21x (that is, all provider submitted claims and provider or FI
initiated adjustments), Pricer will perform the following calculations in numbered order for each
RUG code:
(1) Multiply the applicable urban or rural inpatient rate depending on CBSA by the nursing
index;

(2) Multiply the applicable urban or rural rehab rate by the therapy index, add to (1);
(3) For the top 23 RUG categories, add the general service rate to the sum of (1) and (2) for the
(non-wage-adjusted) total PPS rate and proceed to step (4); OR for the lower 43 RUG
categories, add the general service rate to the therapy rate to the sum of (1) and (2) for the
(non-wage- adjusted) total PPS rate and proceed to step (4);
(4) Multiply the sum of (3) by the labor percentage then multiply the product by the applicable
wage index;
(5) Multiply the sum of (3) by the non- labor percentage;
(6) Add the product of (5) to the non-labor product in (4) for the (wage-adjusted) total PPS
rate.
Conditional Steps completed if applicable after (6):
(6a) If diagnosis code 042 is present, multiply (6) by 2.28 and proceed to (7)– Effective October
1, 2004, for the FY 2005 Pricer, this represents the 128% AIDS adjustment implemented with
Section 511 of the MMA.



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