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CMS-1403-FC
The following is a description of the PE RVU
methodology.
(i) Setup File
First, we create a setup file for the PE methodology.
The setup file contains the direct cost inputs, the
utilization for each procedure code at the specialty and
facility/nonfacility place of service level, and the
specialty-specific survey PE per physician hour data.
(ii) Calculate the Direct Cost PE RVUs
Sum the costs of each direct input.
Step 1: Sum the direct costs of the inputs for each
service. The direct costs consist of the costs of the
direct inputs for clinical labor, medical supplies, and
medical equipment. The clinical labor cost is the sum of
the cost of all the staff types associated with the service;
it is the product of the time for each staff type and the
wage rate for that staff type. The medical supplies cost is
the sum of the supplies associated with the service; it is
the product of the quantity of each supply and the cost of
the supply. The medical equipment cost is the sum of the
cost of the equipment associated with the service; it is the
product of the number of minutes each piece of equipment is
used in the service and the equipment cost per minute. The
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