CMS Issues Letters Regarding Sequestration and Life Safety Code Survey

CMS has issued two S&C letters. The first discusses the effects of sequestration on the survey process. The second letter outlines a process for use of a short form Life Safety Code (LSC) in certain instances, thereby allowing surveyors to focus on facilities where LSC compliance poses a greater risk to residents. The overall FY 2013 Survey and Certification Medicare budget is reduced by five percent from the FY 2012 level, amounting to approximately $19 million.  Of the total reduction, CMS expects expects State allocations to be reduced by two-and-a-half percent to three percent from the FY 2012 national budget level. The remaining reduction will be taken from CMS Central Office (CO) functions, contractual services, and one-time budget items.  It is not entirely clear at this time what specific actions will be taken by NYS, but the intent of the CMS letter is to ensure State Survey Agencies continue onsite complaint investigations and surveys of existing providers, while seeking to reduce expenses, suspend additions to the workload, and reduce time spent on lower risk areas. Areas mentioned in the letter include, obtaining CMS approval for a second revisit when the first revisit finds the facility out of compliance, making changes to the Special Focus Facility (SFF) program including speeding up resolution of facilities currently on the list and not adding to the existing list, and utilizing a short form for the Life Safety Code survey.

Contact:  Elliott Frost, efrost@leadingageny.org, 518-867-8832