Issued by: Centers for Medicare & Medicaid Services (CMS)

Issue Date: January 01, 2020

Medicare Advantage Organizations (MAO), Medicare-Medicaid Plans (MMP), Section 1876 Cost Plans, Programs of All-Inclusive Care for the Elderly (PACE) organizations, and Prescription Drug Plan (PDP) Sponsors that contract with the Centers for Medicare & Medicaid Services (CMS) must comply with the Fiscal Soundness Reporting Requirements (FSRR). These organizations are required to satisfy all applicable state licensure, state and CMS financial requirements, and to submit their independently audited financial statements to CMS on an annual basis.

CMS monitors compliance with fiscal soundness requirements through audited annual financial statements of the organization’s legal entity and other required documentation submitted through the CMS Fiscal Soundness Module (FSM) in the Health Plan Management System (HPMS).

This page contains the FSRR instructions for the above organizations, which are updated annually. Organizations are required to submit to CMS independently audited annual financial statements, and any required quarterly financial statements by certain dates based on the organization’s fiscal year end. Guidance on the submission deadlines is provided in the FSRR instructions.

In addition to the FSRR, the FSM Plan User Guide provides valuable instructions describing how to access and upload the required materials in the FSM in HPMS. Other guidance documents, along with the Subordinated/Guaranteed Debt Attestation Form and instructions for PACE organizations and Section 1876 cost plans are provided below.

HHS is committed to making its websites and documents accessible to the widest possible audience, including individuals with disabilities. We are in the process of retroactively making some documents accessible. If you need assistance accessing an accessible version of this document, please reach out to the guidance@hhs.gov.

DISCLAIMER: The contents of this database lack the force and effect of law, except as authorized by law (including Medicare Advantage Rate Announcements and Advance Notices) or as specifically incorporated into a contract. The Department may not cite, use, or rely on any guidance that is not posted on the guidance repository, except to establish historical facts.