Disposition of the Withheld Funds

8.3.2.6 – Disposition of the Withheld Funds (Rev. 10228; Issued: 07-27-20; Effective: 08-27-20; Implementation: 08-27-20) The MAC and UPIC shall maintain an accurate, up-to-date record of the dollar amount withheld and the claims that comprise the withheld amount. The MAC and UPIC shall keep a separate accounting of payment on all claims affected by the payment suspension. They shall keep track of how much money is uncontested and due the provider. The amount needs to be known as it represents assets that may be applied to reduce or eliminate any overpayment. (See section 8.2 of this chapter.) The MAC and UPIC shall be able to provide, upon request, copies of the claims affected by the payment suspension. The MAC shall coordinate the issuance of the demand for the overpayment(s) and termination of the payment suspension with respect to approved action by CPI. The MAC shall apply the amount withheld first to the Medicare overpayment(s) and then apply any excess money to reduce any other obligation to CMS or to DHHS, unless otherwise directed by CMS. The MAC shall remit to the provider all monies held in excess of the amount the provider owes. If the provider owes more money than what was withheld as a result of the payment suspension, the MAC shall initiate recoupment action, unless otherwise directed by CMS. See 42 CFR §405.372(e).