Write-off/Closed Debts Which Have Been Returned by Treasury or Recalled by

60.9 – Write-off/Closed Debts Which Have Been Returned by Treasury or Recalled by CMS and CMS Has Determined that No Further Collection Attempts are Appropriate (Rev. 12438; Issued: 01-04-24; Effective: 02-06-24; Implementation: 02-06-24) During the collection process, Treasury either collects debts or makes a final determination as to the status of the debts. Certain types of returned debts that are considered uncollectable can be eligible for Write Off/Closed. The MSP Contractor shall submit write-off requests to CMS for approval. Treasury returns debts to CMS for the following reasons: a) In Bankruptcy b) Uncollectible c) Out of Business d) Dispute Timer Expired e) Miscellaneous Dispute f) Manual Return to Agency g) Recall Approved h) Complaint i) Paid in Full k) Satisfied through Payment Agreement l) Satisfied through Compromise CMS will send monthly reports of these debts to the MSP Contractors for final resolution. The reports will state the reasons Treasury returned the debts. There are status codes in HIGLAS for each of the reasons the debts were RTA. The RTA reports, prepared by CMS, will reflect the new status codes. If Treasury returns debts and HIGLAS already shows the debts in a recall status, the system will not update the status code. However, the RTA reports will include the debts showing the existing HIGLAS recall status codes and the reason for the Treasury RTA. The RTA reports are sent out in Excel format so the MSP Contractors may sort them as appropriate. The MSP Contractors shall address all debts on the RTA reports and forward the completed report to CMS within 30 calendar days after receipt. NOTE: There will be instances when debts will be returned to agency due to unresolved issues. RTA status is not a guarantee that the debt will be approved for Write-off/Closed. Further information regarding this guidance is found in the Medicare Financial Manual, Chapter 4, Section 70.17, and provides a detailed description of current status codes for debts returned by Treasury.