Revenue Cycle

Proposed amendment takes aim at RAC issues in three-day rule

Recovery Auditor Report, May 27, 2010

The three-day rule is the subject of a provision in the American Jobs and Closing Tax Loopholes Act, a proposed amendment to the American Workers, State, and Business Relief Act, before the House of Representatives last week.

This provision not only aims to stop RAC related reopenings and recoupments related to the three-day rule, but also would prevent hospitals from requesting payment for outpatient services they previously bundled in error and are not rebilled at the time of enactment of the provision unless they can demonstrate they are unrelated.

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