Use revenue code 719 for overnight stay
APCs Weekly Monitor, July 14, 2006
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Use revenue code 719 for overnight stay
QUESTION: What is the proper revenue code to use for patients who have undergone a status S or T outpatient procedure, and are ordered to a hospital bed for overnight stay after normal recovery period? Consultants are telling us to use 719 for extended recovery, not 762 for observation. "Other recovery room" does not seem to be the proper code to use for a patient stay.
ANSWER: When a physician orders a patient to a hospital bed for an overnight stay after surgery for continued "normal recovery," bill this recovery time as an hourly charge using revenue code 719 as "other recovery room." This is appropriate for two reasons: The time is medically necessary, but the time does not meet the definition of observation services.
You can only bill hourly charges under revenue code 762 if the physician orders a patient to a hospital bed for an overnight stay after surgery for unintended/unexpected medical complications after surgery. This meets the definition of observation.
Note that it is important to appropriately bill all medically necessary services, including hourly monitoring in a hospital bed for an overnight stay as an outpatient, even if these services are not separately paid by Medicare under the OPPS.
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