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<strong>CMS</strong>-1403-FC<br />

privileges and assess any applicable overpayment for the<br />

difference in payment rates retroactive to the date the<br />

change in practice location occurred. We believe that the<br />

authority to revoke billing privileges <strong>has</strong> already <strong>been</strong><br />

established in §424.535(a)(5)(ii).<br />

We are finalizing the provision at proposed<br />

§424.535(a)(9) which would specify that failure to comply<br />

with the reporting requirements specified in §424.516(d)<br />

would be a basis for revocation. Additionally, we are also<br />

finalizing the provision we proposed in §424.565(a),<br />

“Failure to comply with the reporting requirements<br />

specified in §424.516(d) would result in a Medicare<br />

overpayment from the date of a final adverse action or a<br />

change in practice location.” In this situation, an<br />

overpayment for failure to timely report these changes<br />

would be calculated back to the date of the final adverse<br />

action or the date of the change in practice location.<br />

Once an overpayment <strong>has</strong> <strong>been</strong> assessed, we will follow the<br />

overpayment regulations established at 42 CFR Part 405<br />

subpart C.<br />

Based on public comments, we are adding a definition<br />

of final adverse action to §424.502(a). A final adverse<br />

action means one or more of the following actions: (1) A<br />

Medicare-imposed revocation of any Medicare billing<br />

309

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