R 418.101023
R 418.101023 Reimbursement for ASC or FSOF.
Cite as Mich. Admin. Code R 418.101023
Rule 1023. (1) Reimbursement for surgical procedures performed in an ASC or FSOF shall
be determined by using the ASC rate published by CMS. The formula for determining the
maximum allowable paid (MAP) for a surgical procedure in an ASC or FSOF is determined by
multiplying the (Medicare ASC rate) X (1.30). The MAP shall be published in the health care
services fee schedule.
(2) When 2 or more surgical procedures are performed in the same operative session, the
facility shall be reimbursed at 100% of the maximum allowable payment or the facility's usual
and customary charge, whichever is less, for the procedure classified with the highest payment
rate. Any other surgical procedures performed during the same session shall be reimbursed at
50% of the maximum allowable payment or 50% of the facility's usual and customary charge,
whichever is less, unless the procedure is not subject to the multiple procedure discount as
indicated by CMS in the health care services ASC fee schedule. A facility shall not unbundle
surgical procedure codes when billing the services.
(3) When an eligible procedure is performed bilaterally, each procedure shall be listed on a
separate line of the claim form and shall be identified with LT for left and RT for right. At no
time shall modifier 50 be used by the facility to describe bilateral procedures.
(4) Implants are included in the maximum allowable paid unless the CMS list it as a pass
through
item.
Pass
through
items
will
be
provided
on
the
agency’s
website,
www.michigan.gov/wca. If an item is implanted during the surgical procedure and the ASC or
FSOF bills the implant and includes the copy of the invoice, then the implant shall be reimbursed
at the cost of the implant plus a percent markup as follows:
(a) Cost of implant: $1.00 to $500.00 shall receive cost plus 50%.
(b) Cost of implant: $500.01 to $1000.00 shall receive cost plus 30%.
(c) Cost of implant: $1000.01 and higher shall receive cost plus 25%.
(5) Laboratory services shall be reimbursed by the maximum allowable payment as
determined in R 418.101503.
(6) When a radiology procedure is performed intra-operatively, only the technical
component shall be billed by the facility and reimbursed by the carrier when allowed separate
payment by CMS. The MAP for the technical component shall be published in the health care
services ASC fee schedule. The professional component shall be included with the surgical
procedure. Pre-operative and post-operative radiology services may be globally billed.
(7) When the freestanding surgical facility provides durable medical equipment, the items
shall be reimbursed in accord with R 418.101003b.