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OIG finds billing errors for psychiatric services

Compliance Monitor, May 22, 2000

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In a new report, the Office of Inspector General's (OIG) Office of Audit Services determined that Danbury (CT) Hospital, an acute care facility, allegedly overstated billings to Medicare by $750,790 for outpatient psychiatric services for Fiscal Year 1997. In addition, government auditors alleged that Danbury claimed $126,480 on its FY 1997 Medicare cost report that was ineligible for reimbursement. Danbury's audit was in conjunction with the OIG's 10-state review of outpatient psychiatric services at acute care hospitals. "Additional audits of hospital specific outpatient psychiatric services are in process, and our results will be reported to you upon completion of each audit," Inspector General June Gibbs Brown said in a memo to Nancy-Ann Min DeParle, the HCFA administrator. The OIG found that Danbury allegedly charged for psychiatric services not certified by a physician in accordance with Medicare requirements, not properly supported by medical records, or not covered under Medicare, according to the report, titled Review of Outpatient Psychiatric Services Provided by the Danbury Hospital for Fiscal Year Ending September 30, 1997.

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