Eli's Rehab Report

If you provide outpatient therapy services in a hospital setting, pay attention to the latest Medicaid rule from the Centers for Medicare & Medicaid Services. The rule, issued on Nov. 7, may create headaches in states that have established a separate benefit for therapy services in their state Medicaid plan, according to the Nov. 21 edition of PT Bulletin Online, the American Physical Therapy Association's weekly newswire.

In short, effective Dec. 8, 2008, physical therapy services will continue to be included under the Medicaid outpatient hospital benefit in states that don't have a separate benefit for PT. But in states with a separate outpatient PT benefit, the new rule requires the state to pay for PT services provided in the outpatient hospital setting "using the payment methodology defined in the separate benefit under the state Medicaid plan," the Bulletin reported.

Note: To read the Final Rule, go to http://edocket.access.gpo.gov/2008/pdf/E8-26554.pdf.