The 2021 final rule is a mixed bag, say experts. In Primary Care Coding Alert v22n10, we highlighted various proposals the Centers for Medicare & Medicaid Services (CMS) were considering implementing in the Physician Fee Schedule (PFS) for 2021. In this issue, we revisit some of those proposals to see whether CMS adopted them on Dec. 1, 2020 when they released their final rule. We also asked two coding experts how they felt the final policies will affect your coding and billing this year, and here’s what they had to say. The PHE Telehealth Expansion Becomes Permanent What was proposed: Due to the COVID-19 public health emergency (PHE), CMS proposed expanding the Medicare telehealth code list, which included adding a number of codes used in primary care: 99XXX, which would eventually become +99417 (Prolonged office or other outpatient evaluation and management service(s) beyond the minimum required time …); 99483 (Assessment of and care planning for a patient with cognitive impairment …); 99334-99335 (Domiciliary or rest home visit for the evaluation and management of an established patient …); and 99347-99348 (Home visit for the evaluation and management of an established patient …). What has been finalized: In total, CMS has permanently added nine new codes to the Medicare telehealth list for CY 2021, including all the above codes (substituting its new prolonged services code, G2212, for +99417) along with G2211 (Visit complexity inherent to evaluation and management associated with medical care services …), +96121 (Neurobehavioral status exam …), and 90853 (Group psychotherapy …). In addition, CMS added a number of new codes on a category 3 basis, meaning that the codes “would remain on the Medicare telehealth services list through the calendar year in which the PHE for COVID-19 ends.” Of these, the following may come into play for primary care coding this year: The impact for 2021: Both the permanent and temporary additions to the telehealth list will prove to be beneficial for primary care. That’s because “having the opportunity to provide these via telehealth and be paid accordingly offers much-needed flexibility,” according to Kent Moore, senior strategist for physician payment at the American Academy of Family Physicians. Office/Outpatient E/M Increases Finalized … What was proposed: The 2021 proposed rule called for “E/M [evaluation and management] wRVUs [work relative value units] to go up around 20 percent,” says Jan Blanchard, CPC, CPMA, pediatric solutions consultant at Vermont-based PCC reminded coders. What has been finalized: CMS followed through on their promise, and the increases over 2020 wRVUs remain intact. The impact for 2021: “This is very good news for primary care physicians, including employed primary care physicians whose salary may be tied to their RVU productivity, since the services they report most often, especially 99213 and 99214, will increase in value in 2021. This is part of the reason CMS projects family physicians, for example, will see a 13 percent increase in their Medicare allowed charges in 2021, even with the decrease in the conversion factor [CF] referenced below. Hopefully, other payers will follow suit,” Moore notes. … But Immunization Rates Continue to Decrease …. What was proposed: The proposal called for 90460 (Immunization administration through 18 years of age via any route of administration, with counseling …), 90471 (Immunization administration …), and HCPCS codes G0008-G0010 (Administration of influenza virus/ pneumococcal/hepatitis B vaccine) RVUs to be “based on a nonfacility total RVU value of 0.79 in place of the current nonfacility total RVU of 0.40. The corresponding add-on codes, +90461 and +90472, were to be valued at half of the RVUs of 90460/90471,” explains Blanchard. What has been finalized: CMS decided to “maintain the CY 2019 payment” for the codes, while “finalizing the value of the three add-on codes at 88 percent of the RVUs assigned to the immunization administration codes.” The impact for 2021: “Keeping the Medicare payment for the base immunization administration codes at the 2019 level is unfortunate. It results in payment rates substantially lower than current Centers for Disease Control and Prevention [CDC] regional maximum charges and reflects two years of reduced payment from the 2017 rates,” Moore notes. But the fact that “CMS is setting the rates of the add-ons at 88 percent of the base code, rather than 50 percent as they proposed this summer, is actually good news, as the reduction is only 12 percent,” Moore adds. … Along With the CF What was proposed: The original proposed rule called for “the conversion factor [CF] to go down by about 11 percent compared to 2020,” Blanchard notes. Absent an increase in RVUs, a decrease in the CF results in a corresponding decrease in the Medicare allowances under the resource-based relative value scale (RBRVS) — the formula by which CMS establishes payment for all services, including E/M. What has been finalized: CMS has held firm on the CF decrease, which will be set at 10.2 percent for the upcoming year. The 2021 conversion factor is $32.4085. This is slightly higher than the conversion factor that was listed in the proposed rule, but $3.681 lower than the 2020 conversion factor of $36.0896. The impact for 2021: Unsurprisingly, this means “bad news for everyone, as Medicare will pay less per RVU in 2021 than they did in 2020,” Moore concludes. To view the full final rule, go to www.cms.gov/files/document/12120-pfs-final-rule.pdf.