Moratorium ends as a new set of prohibitions begins: CMS' plans could slow booming growth of new specialty hospitals.(Specialty Hospitals)

Publication: Medicine & Health

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COPYRIGHT 2005 Eli Research, Inc.

Just as specialty hospitals were breathing a sigh of relief when the 18-month moratorium ended on June 8, the Centers for Medicare & Medicaid Services put up a few more roadblocks.

CMS froze approvals for new physician-owned specialty hospitals beginning June 9 and ending in January 2006, essentially extending the moratorium until the end of the year. The agency is hoping this gives Congress more time to pass strict legislation on specialty hospitals.

CMS instructed its regional offices and survey agencies to suspend specialty hospital Medicare enrollment applications submitted after the moratorium's end-date in a June 9 letter. CMS ROs and SAs also should not issue any new provider agreements or authorize an initial survey in any...

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