The Office of Management and Budget will accept comments on the updated Medicare Outpatient Observation Notice and instructions through Sept. 1, according to information now posted with the updated MOON. The inpatient prospective payment system final rule for fiscal year 2017, released Aug. 2, implemented the Notice of Observation Treatment and Implication for Care Eligibility Act, which requires hospitals and critical access hospitals to provide written and oral notification to Medicare beneficiaries receiving observation services as outpatients for more than 24 hours. The MOON is the standard written notice that hospitals and CAHs must provide to a Medicare beneficiary or enrollee no later than 36 hours after observation services are initiated, or sooner if the individual is transferred, discharged or admitted as an inpatient. Under the final rule, the notification requirements will take effect no later than 90 calendar days after the updated MOON is approved by OMB. For more on the provisions of the IPPS final rule, see the recent AHA Special Bulletin for members.

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