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AHA requests changes to CMS worksheet for reporting uncompensated care

October 11, 2012

The AHA yesterday recommended changes and clarifications to a new Centers for Medicare & Medicaid Services worksheet for reporting uncompensated care. Data reported on the Form CMS 2552-10 Worksheet S-10 will be used to determine a variety of future payments to hospitals, including payments to Disproportionate Share Hospitals beginning in 2014 and for hospitals qualifying as "meaningful users" of electronic health records. "For these reasons, it is essential that the data on Worksheet S-10 be reported accurately and consistently," AHA Executive Vice President Rick Pollack said in a letter to CMS, based on input from the association's workgroup on cost reporting. The letter recommends that CMS use a broad-based definition of uncompensated care that includes all the costs reported on worksheet line 31 (charity care, bad debt, and unreimbursed costs of Medicaid, the Children's Health Insurance Program and state and local indigent care programs) when considering any policy on uncompensated care costs. In addition, AHA recommends that the worksheet include the cost of graduate medical education in the formula used to calculate the cost to charge ratio, and use the charity care write-off amounts included in hospitals' audited financial statements.