CMS to Rescind Final "Clarification" of Medicaid Outpatient Hospital Services Definition

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CMS's final "clarification" of the definition of Medicaid

Outpatient Hospital Services (OHS) published November 7, 2008 (effective December 8, 2008) substantially changed

the definition of Medicaid OHS and faced substantial opposition from, among others, the American Hospital Association (AHA). Congress, in response to the

strong opposition to the "clarification," blocked CMS from implementing that

final rule. Section 5003(c) of the American Recovery and Reinvestment Act

(ARRA) precluded CMS from taking any action to implement the final clarification. Thomas W. Coons and Joshua J. Freemire of Ober|Kaler discuss.

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DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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