November 5, 2007

Medicaid releases 'unit of government' final rule

On May 29, the Centers for Medicare and Medicaid Services finalized its
Jan. 18 Medicaid proposed rule regarding cost limits and "units of government." However, recent spending legislation, approved by Congress and the president, to fund the wars in Iraq and Afghanistan includes language delaying implementation of this regulation until May 25. CMS will seek public comment until July 13 on the revised definition of "unit of government." According to CMS, the comment period is not affected by the legislated delay. The final rule includes several changes/clarifications that address public comments on the proposed rule, such as an expanded definition of "unit of government" as it relates to state university teaching hospitals, and a clarification of the status of government providers lacking tax authority.

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