Payment Error Rate Measurement (PERM) Final Regulation
We wish to inform you that on October 5, 2005, the Centers for Medicare & Medicaid Services
(CMS) published the Medicaid Program and State Children’s Health Insurance Program
(SCHIP) Payment Error Rate Measurement regulation (70 Fed. Reg. 58260). This regulation
contains information on CMS’ plans to engage a national contracting strategy in order to
implement a portion of Public Law 107-300, the Improper Payments Information Act of 2002
(IPIA) in Medicaid and in SCHIP. We believe the national contracting approach for medical
and data processing reviews addresses some of the concerns expressed during public comment
on the August 27, 2004, proposed rule and is the most viable method to produce State-specific
and national error rates in compliance with IPIA. CMS will address estimating improper
payments for managed care and eligibility at a later date.
Issued by: Centers for Medicare & Medicaid Services (CMS)
Issue Date: October 06, 2005
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.