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Hospice Cap Process

This page outlines the process for hospices to file a self-determined aggregate cap.

Timeline

Hospices must file a self-determined aggregate cap 3 – 5 months after the end of each cap year (no earlier than December 31st and no later than February 28th).

Terminated Providers

Providers who terminate from the Medicare program in the following cap year (i.e., 2025) must submit both current year (i.e., 2024) and final (terminating) self-determined cap reviews at the same time. After we process the current year self-determined cap submission, we will complete all necessary final cap reviews for your agency.

The statutory cap amount for 2025 is $34,465.34.

PS&R Reports

To prepare the cap calculation, obtain your Provider Statistical & Reimbursement (PS&R) Summary and Hospice Cap reports from the CMS websiteExternal Website per these instructions.

CGS doesn't send copies of PS&R reports since hospices are responsible for obtaining them directly. However, if you're unable to obtain the reports, you may contact Tom Bisbee at 615.660.5560 for assistance.

Form & Instructions

Complete the Provider Self-Determined Aggregate Cap Limitation formExcel document per these instructions.

Calculation for New Hospices

For new hospices that enter the Medicare program and don't participate for an entire cap year, the initial cap calculations must cover a period of at least 12 but less than 24 months.

Example: A hospice enters the program on September 1, 2023. The first cap period is September 1, 2023, through September 30, 2024.

  • Order PS&R Summary and Hospice Cap reports from the agency's tie-in date to September 30th of the second cap year (i.e., September 1, 2023 – September 30, 2024).
  • To obtain the correct beneficiary count from the Hospice Cap report, add the count from the 2023 and 2024 cap years.
  • Calculate a prorated Hospice cap amount by completing each gray-shaded box in the Prorated Cap AmountExcel document form.

Submitting Cap Determinations

Send your completed Provider Self-Determined Aggregate Cap Limitation formExcel document, cover letter, and all supporting documents to one of the following:

Mailing Address Email Address Fax Number

Part A/HHH Audit & Reimbursement
CGS Administrators, LLC
PO Box 20015
Nashville, TN 37202

SDHOSPICECAPS@cgsadmin.com

615.660.5983

Attn: Tom Bisbee

IMPORTANT NOTE: If CGS doesn't receive the self-determined cap within 7 days of the February 28th due date, we will issue a Past Due letter and suspend payments.

Cap Overpayments

For any overpayment amount calculated as a result of the self-determined cap, send a check made payable to CGS with a cover letter that explains what the payment is for to:

CGS
P.O. Box 957124
St. Louis, MO 63195-7124

If you don't submit the overpayment at the same time as the self-determined aggregate cap, CGS will demand the overpayment reported on the self-determined aggregate cap.

Confirmation

Upon receipt of a self-determined aggregate cap, CGS will:

  • Perform a cursory review for obvious errors.
  • Send a confirmation letter within 45 days.
  • Perform a final review at a later date.

Updated: 12.23.24

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