Computation and Notice of Total Penalty Amount

10005.17 - Computation and Notice of Total Penalty Amount (Rev. 221; Issued: 05-10-24; Effective: 05-10-24; Implemetation:05-10-24) When a CMP is imposed on a per day basis and the HHA or hospice program achieves compliance with the conditions of participation as determined by an onsite revisit survey, CMS sends a final notice to the HHA or hospice program containing all the following information: • The amount of penalty assessed per day. • The total number of days of noncompliance. • The total amount due. • The due date of the penalty. • The rate of interest to be assessed on any unpaid balance beginning on the due date. The rate of interest is the higher of either the rate fixed by the Secretary of the Treasury after taking into consideration private consumer rates of interest prevailing on the date of the notice of the penalty amount due and this rate is published quarterly in the “Federal Register” by the Department of Health and Human Services under 45 CFR 30.13(a); or the current value of funds rate which is published annually in the “Federal Register” by the Secretary of the Treasury, subject to quarterly revisions. (The CMS Locations are notified by the CMS Office of Financial Management for the rate of interest information.) • Instructions for submitting payment (see also “Method of Payment” section). When a CMP is imposed on a per day basis and the HHA’s or hospice program’s provider agreement has been involuntarily terminated, CMS will send the penalty information, including the total amount of the CMP due, after one of the following actions has occurred: • A final administrative decision is made; • The HHA or hospice program has waived its right to a hearing in accordance with the regulations; or, • The time for requesting a hearing has expired and CMS has not received a hearing request from the HHA or hospice program. When a per instance CMP is assessed, a notice is sent to the HHA or hospice program containing all of the following information after the provider is in substantial compliance or its provider agreement has been terminated: • The amount of the penalty or penalties that was assessed; • The total amount due; • The due date of the penalty; • The rate of interest to be assessed on any unpaid balance beginning on the due date. The rate of interest is the higher of either the rate fixed by the Secretary of the Treasury after taking into consideration private consumer rates of interest prevailing on the date of the notice of the penalty amount due and this rate is published quarterly in the “Federal Register” by the Department of Health and Human Services under 45 CFR 30.13(a); or the current value of funds rate which is published annually in the “Federal Register” by the Secretary of the Treasury, subject to quarterly revisions. (The CMS Locations are notified by the CMS Division of Financial Management for the annual rate of interest information); and • Instructions for submitting payment (see also “Method of Payment” section).