OIG finds errors in Louisiana hospital cost report
Healthcare Auditing Weekly, June 24, 2008
In a recent report, the OIG found Louisiana-based East Jefferson Hospital did not fully comply with Medicare requirements for reporting wage data in its fiscal year 2005 Medicare cost report.
According to the OIG report, the hospital did not sufficiently review its data to ensure accuracy and compliance, resulting in an wage data overstatement of approximately $4.8 million. The error also caused the hospital to calculate an average hourly wage rate of $28.99. With the OIG’s correction, the rate was decreased by 4% or to $27.85.
The OIG is recommending that the hospital:
- Submit a revised FY 2005 Medicare cost report to the fiscal intermediary to correct the wage data overstatement totaling $4,865,246
- Implement review and reconciliation procedures to ensure the wage data reported in future cost reports are accurate, supportable, and in compliance with Medicare requirements.
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