Lutz adds Coleman and Underberg

Lutz adds Coleman and Underberg

 

LUTZ BUSINESS INSIGHTS

 

Lutz adds coleman and underberg

Lutz, a Nebraska-based business solutions firm, recently added Emily Coleman and Maddison Underberg to its Lincoln and Omaha offices.

Emily Coleman joins Lutz’s Lincoln office as a Receptionist. She is responsible for creating an exceptional experience for clients and visitors. In addition, she will manage all client inquiries, coordinate communication, and perform other administrative duties as needed. Coleman received her Bachelor’s degree in marketing from the University of Nebraska-Lincoln.

Maddison Underberg joins the firm’s healthcare department as a Staff Accountant. She will work in Lutz’s Omaha office. Underberg is responsible for providing accounting and consulting services to healthcare organizations with a focus on outsourced CFO services and cost reports. She graduated from Midland University with a Bachelor’s degree in accounting.

 

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OMAHA

13616 California Street, Suite 300

Omaha, NE 68154

P: 402.496.8800

HASTINGS

747 N Burlington Avenue, Suite 401

Hastings, NE 68901

P: 402.462.4154

LINCOLN 

601 P Street, Suite 103

Lincoln, NE 68508

P: 531.500.2000

GRAND ISLAND

3320 James Road, Suite 100

Grand Island, NE 68803

P: 308.382.7850

Lutz adds 14 Staff Accountants

Lutz adds 14 Staff Accountants

 

LUTZ BUSINESS INSIGHTS

 

Lutz adds 14 Staff Accountants

Lutz, a Nebraska-based business solutions firm, recently added 14 staff accountants to its Omaha and Lincoln offices.

Ty Bardsley, Kaylee Hartman, Taylor Hoyt, Justin Oehm and Austin Sabaliauskas join the firm’s tax department. They are responsible for preparing individual and business income tax returns, as well as providing general accounting assistance to clients in a variety of industries. 

Ty Bardsley graduated from Nebraska Wesleyan University with a Bachelor’s degree in accounting and works in Lutz’s Lincoln office.

Kaylee Hartman interned with Lutz during tax season 2019 and now works in both the Omaha and Lincoln offices. She graduated from the University of Nebraska-Lincoln with a Bachelor’s degree in accounting and political science.

Taylor Hoyt graduated from the University of Nebraska-Lincoln with a Master of professional accountancy. Taylor works in Lutz’s Omaha office.

Justin Oehm interned with Lutz during tax season of 2018 and 2019 and works in the Omaha office. He graduated from the University of Nebraska-Omaha with a Master’s degree in business administration.

Austin Sabaliauskas interned with Lutz in the summer of 2017, as well as January 2018 through May of 2019. He graduated from the University of Nebraska-Omaha with a Master’s degree in accounting. Austin works in Lutz’s Omaha office.

Luke Biggs, Haley Carter, Joe Dahir, Matthew Gilg, Nikki Hullinger, Ryan Poppen and Ben Soukup join the firm’s audit department. They are responsible for providing credibility to clients through financial reporting.

Luke Biggs previously interned with Lutz during tax season in 2018 and 2019. He graduated from the University of Nebraska-Lincoln with a Bachelor’s degree in accounting. Luke works in Lutz’s Omaha office.

Haley Carter graduated from Ohio University with a Bachelor’s degree in accounting and business pre-law. Haley works in Lutz’s Omaha office.

Joe Dahir interned with Lutz during tax season in 2017. He graduated from the University of Nebraska-Lincoln with a Bachelor’s degree in accounting. Joe works in Lutz’s Omaha office.

Matthew Gilg interned with Lutz during the summer of 2018. Graduating from Doane University, Matthew received his Bachelor’s degree in accounting and business administration. Matthew works in Lutz’s Lincoln office.

Nikki Hullinger interned with Lutz during the summer of 2018, as well as, tax season 2018 and 2019. She received her Master’s in professional accountancy from the University of Nebraska-Lincoln. Nikki works in Lutz’s Omaha office.

Ryan Poppen interned with Lutz during tax season of 2018 and 2019. He graduated from the University of Nebraska-Lincoln with a Bachelor’s degree in accounting. Ryan works in Lutz’s Omaha office.

Ben Soukup previously interned with Lutz during tax season in 2018 and 2019. He graduated from the University of Nebraska-Lincoln with a Bachelor’s degree in accounting. Ben works in Lutz’s Omaha office.

Tyler Daveline joins the firm’s healthcare department in Omaha. He is responsible for providing accounting and consulting services to healthcare organizations with a focus on outsourced CFO services and cost reports. Daveline graduated from Nebraska Wesleyan University with a Bachelor’s degree in accounting and sport management.

Matt Siedhoff joins the firm’s client accounting services department. He is responsible for providing outsourced accounting services to clients, including QuickBooks and payroll assistance. Matt previously interned with Lutz during tax season of 2019. He received his Bachelor’s degree in accounting from the University of Nebraska-Lincoln. Matt works in Lutz’s Omaha office.

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OMAHA

13616 California Street, Suite 300

Omaha, NE 68154

P: 402.496.8800

HASTINGS

747 N Burlington Avenue, Suite 401

Hastings, NE 68901

P: 402.462.4154

LINCOLN 

601 P Street, Suite 103

Lincoln, NE 68508

P: 531.500.2000

GRAND ISLAND

3320 James Road, Suite 100

Grand Island, NE 68803

P: 308.382.7850

2019 OPPS + ASC Proposed Federal Registers

2019 OPPS + ASC Proposed Federal Registers

 

LUTZ BUSINESS INSIGHTS

 

2019 opps + asc proposed federal registers

kirk delpeRdang, healthcare manager

 

Summary of Major Provisions

These highlights are by no means a comprehensive listing of all provisions within the OPPS Proposed Rule, but provide a listing of significant items applicable to multiple facilities.

 

General

A. Increasing Price Transparency of Hospital Standard Charges: On the heels of the Executive Order on Improving Price and Quality Transparency in American Health to Put Patients First, CMS has proposed a regulation to implement this order.  In CMS’ opinion, this proposed rule enhances the prior agency guidance requiring hospitals to publicize the standard changes in a machine-readable format effective January 1, 2019.  This rule proposes to 1) clarify the definitions of “hospital”, “standard charges”, and “items and services”; 2) require the machine-readable format for standard charges on all hospital items and services; 3) require making public payer-specific negotiated charges for a limited number of “shoppable” services displayed in a “consumer-friendly” manner and: 4) implement a monitoring mechanism for hospital noncompliance and penalties for noncompliance, including warnings, corrective action plans and civil monetary penalties. 

1. Hospital – An institution in any State in which State or applicable local law provides for the licensing of hospitals and which is licensed as a hospital pursuant to such law, or is approved by the agency of such State or locality responsible for licensing hospitals as meeting the standards established for such licensing

Standard Charge – Hospital’s gross charge and payer-specific negotiated charge for an item or service

Items and Services – All items and services (including individual items and services and service packages) provided by a hospital to a patient in connection with an inpatient admission or an outpatient department visit for which the hospital has established a charge

2. The proposal referencing all standard changes would require that hospitals make public their standard changes (both gross charges and payer-specific negotiated charges) for all items and services online in a machine-readable format.

3. Consumer-friendly – What exactly is “shoppable” and “consumer-friendly”? How does CMS attempt to qualify and quantify these criteria?

Shoppable is defined as a service that can be scheduled by a consumer in advance.

CMS goes on to propose the following requirements of hospitals:

– Display payer-specific negotiated charges for at least 300 shoppable services, including 70 CMS-selected services and 230 hospital -selected services. If the hospital does not provide the 70 CMS services, the hospital-selected services must compensate, such that the total of the listing is 300 services.

– Ensure this information is displayed prominently on a publicly-available webpage

– Updated annually

4. Monitoring and Enforcement

– Monitor

– Warnings

– CAP (Corrective Action Plan)

– Monetary penalty – Up to $300/day; publicized on CMS website; Appealable to the ALJ

B. Supervision of Hospital Outpatient Therapeutic Services: CMS is proposing to change the minimum required level of oversight from direct to general supervision for ALL hospital outpatient therapeutic services, ensuring a standard minimum level of guidance. This change is based on studies conducted with respect to the level of service provided between acute-care hospitals and critical access hospitals, which have recently had different levels of enforcement requirements, based on the moratorium on enforcement of this requirement for CAHs.

Prospective Payment System (PPS) Specific

  • Payment Differentials: CMS is proposing to increase the policies to reduce the payment differentials between certain outpatient sites, with the goal of improving the quality of patient care while lowering costs.
  • Changes to the Inpatient Only List: There are proposed changes to the procedures covered by this listing.  For example, CMS is proposing to remove total hip arthroplasty from the inpatient-only list.  However, please review for the proposed Federal Register for a comprehensive listing.
  • Wage Index: CMS is proposing to use the FY 2020 IPPS wage index as the wage index for OPPS.  This includes the IPPS adjustment to address the wage index variations between high and low wage index value hospitals – increasing the wage index for certain low wage index hospitals.

ABOUT THE AUTHOR

402.496.8800

kdelperdang@lutz.us

LINKEDIN

KIRK DELPERDANG + HEALTHCARE MANAGER

Kirk Delperdang is a Healthcare Manager at Lutz with over 25 years of experience. He provides accounting and consulting services to healthcare and related organizations.

AREAS OF FOCUS
AFFILIATIONS AND CREDENTIALS
  • Healthcare Financial Management Association - Nebraska Chapter, Member
  • Nebraska Society of Certified Public Accountants, Member
EDUCATIONAL BACKGROUND
  • BA in Accounting, University of Northern Iowa, Cedar Falls, IA
COMMUNITY SERVICE
  • St. Vincent de Paul, Knights of Columbus, Member
  • Active in various youth sports leagues: Aldrich Elementary, Millard Athletic Association, Millard North Schools, Omaha FC, Skutt Catholic High School and YMCA

SIGN UP FOR OUR NEWSLETTERS!

We tap into the vast knowledge and experience within our organization to provide you with monthly content on topics and ideas that drive and challenge your company every day.

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All content © Lutz & Company, PC

 

OMAHA

13616 California Street, Suite 300

Omaha, NE 68154

P: 402.496.8800

HASTINGS

747 N Burlington Avenue, Suite 401

Hastings, NE 68901

P: 402.462.4154

LINCOLN 

601 P Street, Suite 103

Lincoln, NE 68508

P: 531.500.2000

GRAND ISLAND

3320 James Road, Suite 100

Grand Island, NE 68803

P: 308.382.7850

Rural Health Funding Opportunities

Rural Health Funding Opportunities

 

LUTZ BUSINESS INSIGHTS

 

rural health funding opportunities

amy evanich, healthcare consulting senior

 

The Health Resources and Services Administration (HRSA) and the United States Department of Agriculture (USDA) have announced new grant opportunities available to rural hospitals. The grants listed below are available in all 50 states.

 

Rural Health Network Development Planning Program

The purpose of the Network Planning program is to assist in the development of an integrated health care network, specifically with network participants who do not have a history of formal collaborative efforts.

Network Planning goals are:

(i) to achieve efficiencies

(ii) to expand access to, coordinate, and improve the quality of essential health care services

(iii) to strengthen the rural health care system as a whole

Eligible applicants must be rural nonprofit private or rural public entities that represent a consortium/network composed of three or more health care providers. Federally recognized tribal entities are eligible to apply as long as they are located in a non-metropolitan county or a rural census tract of a metropolitan county, and all services must be provided in a non-metropolitan county or rural census tract.

HRSA will invest approximately $2 million for this program that helps rural communities develop integrated health care networks. The deadline to apply is Friday, November 29.

 

Rural Health Network Development Program

The Rural Health Network Development (RHND) Program encourages innovative solutions to local health care needs identified by local communities. It supports rural communities in preparing for changes within the health care environment. Furthermore, the program creates an opportunity for rural health networks to collaboratively address the key priorities of the U.S. Department of Health and Human Services (HHS): mental health, substance use disorder, and value-based care.

The goals for the RHND Program are to:

  • Improve access and quality of health care in rural areas through sustainable health care programs created as a result of network collaboration
  • Prepare rural health networks for the transition to value-based payment and population health management
  • Demonstrate improved health outcomes and community impact
  • Promote the sustainability of rural health networks through the creation of diverse products and services
  • Utilize and/or adapt an evidence-based or promising practice model(s) in the delivery of health care services

Diverse network partners may include behavioral health organizations, critical access hospitals, rural health centers, community and social service organizations, and tribal organizations. HRSA will invest $13 million for this program to support integrated rural health care networks that combine the functions of the network entities to address the health care needs of the targeted rural community. The deadline to apply is Monday, November 25.

Rural Health Network Development Planning Program. (2019). Department of Health and Human Services Health Resources and Services Administration. Retrieved on October 14, 2019, from https://www.grants.gov/web/grants/view-opportunity.html?oppId=315914

Rural Health Network Development Planning Program. (2019). Department of Health and Human Services Health Resources and Services Administration. Retrieved on October 14, 2019, from https://www.grants.gov/web/grants/search-grants.html?keywords=HRSA-20-025

ABOUT THE AUTHOR

402.769.7055

aevanich@lutz.us

LINKEDIN

AMY EVANICH + HEALTHCARE CONSULTING SENIOR

Amy Evanich is a Healthcare Consulting Senior at Lutz with over 10 years of professional experience in the Healthcare industry. She specializes in the areas of medical chart reviews, appeal preparation, Medicare regulation guidance, interpretation and education, and healthcare billing policies and procedures.

AREAS OF FOCUS
  • Healthcare Reimbursement
  • Audit Response Assistance and Appeal Preparation
  • Medical Chart Review Including Medical Necessity
  • Healthcare Billing
AFFILIATIONS AND CREDENTIALS
  • Registered Nurse (RN)
EDUCATIONAL BACKGROUND
  • Bachelor of Science in Nursing (BSN), Clarkson College, Omaha, NE
  • Master of Science in Nursing Health Care Administration (MSN), Clarkson College, Omaha, NE
COMMUNITY SERVICE
  • Nebraska Action Coalition, Leadership Team

SIGN UP FOR OUR NEWSLETTERS!

We tap into the vast knowledge and experience within our organization to provide you with monthly content on topics and ideas that drive and challenge your company every day.

Toll-Free: 866.577.0780  |  Privacy Policy

All content © Lutz & Company, PC

 

OMAHA

13616 California Street, Suite 300

Omaha, NE 68154

P: 402.496.8800

HASTINGS

747 N Burlington Avenue, Suite 401

Hastings, NE 68901

P: 402.462.4154

LINCOLN 

601 P Street, Suite 103

Lincoln, NE 68508

P: 531.500.2000

GRAND ISLAND

3320 James Road, Suite 100

Grand Island, NE 68803

P: 308.382.7850

Telehealth and Telemedicine: What You Need to Know

Telehealth and Telemedicine: What You Need to Know

 

LUTZ BUSINESS INSIGHTS

 

telehealth and telemedicine: what you need to know

kim kaye, healthcare consulting senior

 

Telehealth and telemedicine have made it so providers and patients have a new way to communicate. Telehealth is defined as the provision of healthcare remotely by means of telecommunications technology. Telemedicine is defined as the remote diagnosis and treatment of patients by means of telecommunications technology.

Telemedicine can be performed by different applications, for example, real-time or face to face communication. Store and forward video conferencing is typically used by healthcare providers to share patient diagnostic and treatment information. This is popular with specialties like dermatology, ophthalmology and radiology. Remote Patient Monitoring or ‘telemonitoring’ is a method that allows providers to track a patient’s vital signs and activities from a distance. This is typically used for patients who are at high risk for health-related complications, for example, cardiac patients. The American Medical Association (AMA) reports the top three specialists who use telemedicine the most as of January 2019 are:

  • Radiologists—39.5 percent
  • Psychiatrists—27.8 percent
  • Cardiologists—24.1 percent

Telehealth services bring value to providers and patients in many ways. Telemedicine increases access to care, especially those patients who do not have access to transportation. Studies have shown it improves the quality of care for patients. Telemedicine is cost-effective compared to face to face in-office visits. Patients value the convenience, flexibility and real-time care with their providers.

There are certain barriers to overcome in telehealth. For example, limited access to smartphones and high-speed internet in rural areas. Also, state requirements for licensing and credentialing of telehealth providers vary widely. Lack of reimbursement is a key barrier to the use of telehealth services. Each state has different rules and regulations about the types of services that can be reimbursed by Medicaid. In addition, Medicare strictly regulates the types of providers who are reimbursed for providing telehealth services

Per the Centers for Medicare and Medicaid Services (CMS), Medicare pays for specific Part B provider services furnished through a telecommunications system. Telehealth services substitute for an in-person encounter, and the beneficiary must go to an originating site for services. An originating site is the location where the Medicare beneficiary gets medical services through a telecommunications system.

To be eligible, the originating site must be located either in a county outside a metropolitan statistical area or a rural health professional shortage area. Authorized originating sites include; physician and practitioners’ offices, hospitals, critical access hospitals, rural health clinics, federally qualified health centers, hospital-based or CAH-based renal dialysis centers (including satellites), skilled nursing facilities, community mental health centers, renal dialysis facilities, home of beneficiaries with end-stage renal disease receiving home dialysis and mobile stroke units.

Distant site practitioners who can furnish and get payment for covered telehealth services (subject to state law) include physicians, nurse practitioners, physician assistants, nurse-midwives, clinical nurse specialists, certified registered nurse anesthetist, clinical psychologists and clinical social workers, registered dietitians and nutritional professionals. Clinical psychologists and clinical social workers cannot bill Medicare for psychiatric diagnostic interview examinations with medical services or medical evaluation and management services. They cannot bill or get paid for CPT codes 90792, 90833, 90836, and 90838.

Per CMS, you must use an interactive audio and video telecommunications system that permits real-time communication between you at the distant site, and the beneficiary at the originating site. Transmitting medical information to a provider who reviews it later is permitted only in Alaska or Hawaii federal telemedicine demonstration programs.

Submit professional telehealth service claims using the appropriate CPT or HCPCS codes. If you performed telehealth services through a store and video telecommunications system, add the telehealth GQ modifier with the professional service CPT or HCPCS code (for example, 99202 GQ). Submit telehealth service claims, using place of service 02-Telehealth, to indicate you furnished the billed service as a professional telehealth service from a distant site. Distant site practitioners billing telehealth services under the CAH Optional Payment Method II must submit institutional claims using the GT modifier. HCPCS code Q3014 describes the Medicare telehealth originating sites facility fee. Bill your Medicare Administrative Contractor (MAC) for the separately billable Part B originating site facility fee, per CMS.

CMS also noted how the Substance Use-Disorder Prevention that Promotes Opioid Recovery and Treatment for Patients and Communities Act (SUPPORT Act) statutorily removed the geographic limitations for telehealth services furnished to individuals diagnosed with a substance use disorder (SUD) to treat the SUD or a co-occurring mental health disorder. The change also allows telehealth services for the treatment of a diagnosed SUD or co-occurring mental health disorder to be furnished to individuals at any telehealth originating site (other than a renal dialysis facility), including in a patient’s home. No originating site facility fee is paid when the beneficiary’s home is the originating site. These changes became effective July 1, 2019.

On July 29, CMS proposed the 2020 Physician Fee Schedule rule, which contains new telehealth services covered under Medicare. CMS proposed adding three codes to the covered Medicare telehealth service list:

GYYY1: Office-based treatment for opioid use disorder, including development of the treatment plan, care coordination, individual therapy, group therapy and counseling; at least 70 minutes in the first calendar month.

GYYY2: Office-based treatment for opioid use disorder, including care coordination, individual therapy, group therapy and counseling; at least 60 minutes in a subsequent calendar month.

GYYY3: Office-based treatment for opioid use disorder, including care coordination, individual therapy, group therapy and counseling; each additional 30 minutes beyond the first 120 minutes (List separately in addition to code for primary procedure).

These services are expected to be added to the list of Medicare telehealth services when the final rule is published and would go into effect January 1, 2020.

 

Resources:

CMS Medicare Learning Network MLN Booklet, ICN 901705, January 2019

The National Law Review, Emily H. Wein & Nathaniel M. Lacktman, August 12, 2019

Rural Health Information Hub, Online

ABOUT THE AUTHOR

402.827.2353

kkaye@lutz.us

LINKEDIN

KIM KAYE + HEALTHCARE CONSULTING SENIOR

Kim Kaye is a Healthcare Consulting Senior at Lutz with 16+ years of experience. She is responsible for providing professional coding assistance, chart audits and chargemaster reviews for clients with a focus on the healthcare industry.

AREAS OF FOCUS
  • Coding Assistance
  • Chart Audits
  • Chargemaster Reviews
  • Healthcare Consulting
AFFILIATIONS AND CREDENTIALS
  • Certified Professional Coder
  • Certified Evaluation & Management Auditor
  • American Academy of Professional Coders, Member
  • National Alliance of Medical Auditing Specialists, Member
EDUCATIONAL BACKGROUND
  • BA, Bellevue University, Bellevue, NE

SIGN UP FOR OUR NEWSLETTERS!

We tap into the vast knowledge and experience within our organization to provide you with monthly content on topics and ideas that drive and challenge your company every day.

Toll-Free: 866.577.0780  |  Privacy Policy

All content © Lutz & Company, PC

 

OMAHA

13616 California Street, Suite 300

Omaha, NE 68154

P: 402.496.8800

HASTINGS

747 N Burlington Avenue, Suite 401

Hastings, NE 68901

P: 402.462.4154

LINCOLN 

601 P Street, Suite 103

Lincoln, NE 68508

P: 531.500.2000

GRAND ISLAND

3320 James Road, Suite 100

Grand Island, NE 68803

P: 308.382.7850

External Financial Statement Audit and Medicare Cost Report Best Practices

External Financial Statement Audit and Medicare Cost Report Best Practices

 

LUTZ BUSINESS INSIGHTS

 

external financial statement audit + medicare cost report best practices

julianne kipple, healthcare director
Chase dudzinski, healthcare senior accountant

 

The few months after a facility’s fiscal year-end are always challenging. From closing the books to preparing for the external audit process to providing information for and completing the Medicare cost report, there is never enough time in the day to get everything done. We have all been through the experience – at the time, we have all said, “next year will be better” and “we will fix the bottlenecks.” Whether or not your facility has made progress in this area, the components below serve as a checklist of ways to plan, prioritize, and complete items throughout the year and before the audit. The goal is to make the year-end process easier for staff, more efficient for auditors and cost report preparers, and make your facility less prone to large audit adjustments and/or make costly mistakes in reimbursement.

Month End Close & Financial Statements

One of the best ways to avoid bottlenecks at year-end is to review your monthly close and financial statement preparation process. If not monthly, at least quarterly, a facility should reconcile all material balance sheet items back to a supporting schedule. Ideally, try to complete your monthly reconciliation schedule in the auditor’s preferred format, so you avoid having to take your reconciliations and input them into the auditors’ format at year-end.

Managing your close process monthly will enable your staff to complete the needed reconciliations and financial statements. Are the monthly board meetings being held at the appropriate time and/or day of the month? How long does it take to close accounts receivable (AR), payroll, and accounts payable? Do we have a month-end close schedule created that includes the closing schedule and gives the accounting staff time to prepare financial statements? Management should have at least three or four business days to review the prepared financials before presenting them at the monthly board meeting. This allows management to ask questions upon review and gives staff the time to make corrections as needed. Managing your month-end process will increase the accuracy and timeliness of your month-end financials, providing management and the board with a better ability to see trends. This enables them to make operating and strategic decisions throughout the year.

Material Accounting Estimates

By far, the most common material audit entries made among hospitals stems from the contractual adjustment, allowance for doubtful accounts, and the Medicare cost report 3rd party payable or receivable. These can significantly change the hospital’s net income and cash flow and therefore are critically important calculations for hospital management.

  1. Contractual Allowance: This is an estimate of how much cash the hospital will collect from their patients’ AR balances and establishing the net realizable value of the AR. Determining this amount is anything but simple because all payor classes will pay the hospital differently. We recommend establishing and monitoring actual contractual percentages by patient type and financial class based on reporting from your software system and/or contracts established by various payors.
  2. Allowance for Bad Debt: An estimate to evaluate the net realizable value of self-pay AR and bad debt based on age. With aging receivables, the expectation is as it ages, the balances will be less likely to be collected from patients. We recommend that hospitals review any self-pay AR for collectability and establish a methodology that accurately values AR and bad debt. Many audit firms will disallow 100% percent of the balances older than 365 days.
  3. Due to/from Third Party: Facilities should also prepare a Medicare and Medicaid interim cost report template at least quarterly. This will help a facility manage cash flow throughout the year by requesting Medicare interim rate changes and settlements as needed and avoid large auditor adjusting journal entries. Many facilities do not prepare an interim cost report, which can create cash flow large swings. With an accurate cost report settlement, management is better informed of their cash position for the year and can make strategic financial decisions on more accurate data. Preparing this entry is not only critical for audit but critical for the hospital’s strategic plan.

External Financial Statement Audit and Cost Report Process

If your facility has followed the recommendations for the monthly close and financial statement process, the external audit preparation time hopefully will already be reduced. However, gathering other information for the audit and Medicare cost report can still be overwhelming. Other recommendations to prioritize work and time during the external audit and Medicare cost report process include:

  1. Upon receiving the request of information from the auditor, meet with staff to identify responsibilities and due dates.
  2. Organize, review and send non-financial information as soon as you can after year-end close. This information should not change after the end of the fiscal year, so there is no reason to wait on pulling this information together as time permits. Some examples include monthly statistical reports, board of director minutes, leases, contracts, internal control checklists, payroll reports, etc.
  3. Accumulate Medicare cost report statistics and information monthly or at least quarterly to increase accuracy, reduce bottlenecks, and update monthly interim templates throughout the year. A few examples include a 96-hour compliance log for CAH, payroll information and FTEs, square footage, Emergency room and rural health clinic time studies, Laundry pounds, etc.

As you can see, if you are able to complete the list above well in advance of the scheduled audit date, it should help reduce stress and bottlenecks, allowing staff to focus on finalizing the correct year-end trial balance. If you can put in the time to review, research and correct accounts as needed, the facility will be in a better position to reduce any surprise auditor adjusting journal entries that can have a material impact to your bottom line and cash flow.

ABOUT THE AUTHOR

julianne kipple

402.827.2075

jkipple@lutz.us

LINKEDIN

JULIANNE KIPPLE + HEALTHCARE DIRECTOR

Julianne Kipple is a Healthcare Director at Lutz with over 10 years of professional experience in the healthcare industry. Her expertise is in accounting and consulting services for healthcare facilities, including outsourced CFO services, Medicare and Medicaid reimbursement, and Medicaid Disproportionate Share Surveys (DSH).

AREAS OF FOCUS
AFFILIATIONS AND CREDENTIALS
  • Healthcare Financial Management Association, Member
  • American Institute of Certified Public Accountants, Member
  • Nebraska Society of Certified Public Accountants, Member
  • Certified Public Accountant
  • Certified Healthcare Financial Professional
EDUCATIONAL BACKGROUND
  • BSBA in Accounting, with high distinction, Creighton University, Omaha, NE
  • MBA, Creighton University, Omaha, NE

402.778.7997

cdudzinski@lutz.us

LINKEDIN

CHASE DUDZINSKI + HEALTHCARE SENIOR ACCOUNTANT

Chase Dudzinski is a Healthcare Senior Accountant at Lutz. He is responsible for providing assurance and consulting services to clients with a focus on the healthcare industry.

AREAS OF FOCUS
  • Audit & Assurance
  • Healthcare Consulting
AFFILIATIONS AND CREDENTIALS
  • Certified Public Accountant
  • Hospital Financial Management Association, Member
  • Kansas Hospital Association Affiliate, Member
EDUCATIONAL BACKGROUND
  • MPA, University of Nebraska, Lincoln, NE
  • BS in Accounting, Minor in Finance and Spanish, University of Nebraska, Lincoln, NE

SIGN UP FOR OUR NEWSLETTERS!

We tap into the vast knowledge and experience within our organization to provide you with monthly content on topics and ideas that drive and challenge your company every day.

Toll-Free: 866.577.0780  |  Privacy Policy

All content © Lutz & Company, PC

 

OMAHA

13616 California Street, Suite 300

Omaha, NE 68154

P: 402.496.8800

HASTINGS

747 N Burlington Avenue, Suite 401

Hastings, NE 68901

P: 402.462.4154

LINCOLN 

601 P Street, Suite 103

Lincoln, NE 68508

P: 531.500.2000

GRAND ISLAND

3320 James Road, Suite 100

Grand Island, NE 68803

P: 308.382.7850