Medicare fee-for-service claims and the sequestration payment adjustment changes

This is to remind you that the Protecting Medicare and American Farmers from Sequester Cuts Act impacts payments for all Medicare fee-for-service claims. The Act put a suspension on the sequestration due to the PHE, and this lasted till 3/31/2022.

Now, the 1% sequestration payment adjustment applies for claims with dates of services 4/1/2022–6/30/2022.
Please note that the sequestration payment adjustment will revert to the 2% rate for claims with dates of services as of 7/1/2022. The total sequestration rate of 2% was the usual rate before the PHE.
The sequestration payment adjustment reduction will appear on the RA, with a CARC 253 used to report the sequestration reduction. The code appears as a CO 253 on the RA, “Sequestration – reduction in federal payment” as the description.
Source: 

https://www.ngsmedicare.com