Administrative Simplification Act Technical Bill

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Background

The Administrative Uniformity Committee is a voluntary group of health care industry payers, providers and government agencies. The mission of the AUC is to develop agreement among Minnesota payers and providers on standardized administrative processes when implementation of these processes will reduce administrative costs. The AUC requested this legislative change at their September 14, 2004, meeting.

The Centers for Medicare and Medicaid Services (CMS) (formerly known as the Health Care Financing Administration or HCFA) has renamed the healthcare billing forms. The billing forms are now called the “CMS 1450” and the “CMS 1500”. This initiative will update and add definitions of the uniform billing form CMS 1450 and the uniform billing form CMS 1500.

Minnesota Statutes, section 62J.54, was enacted before the federal rules on the National Provider Identifier were promulgated. This initiative updates the name of the unique identification number to be the “National Provider Identifier (NPI)” to match federal rules.

Current Minnesota law requires an NPI for health care providers and provider organizations that are ineligible under federal rule to obtain the NPI. This initiative updates Minnesota law so that only if a health care provider or organization is eligible under federal rule to obtain the NPI, then they must obtain the NPI.

The initiative further specifies that the NPI shall be used on all paper and electronic claims and remittance advice notices.

It also requires health care providers and organizations to make their NPI available to other health care providers when it is required to be included on an administrative transaction such as a claim form.

Laws 1998, chapter 316, section 4, is the only other section of Minnesota law that deals with the unique health identifier. Changes in this bill will bring this session law into compliance with the federal national provider identifier rules by renaming the unique health identifier to the national provider identifier and matching federal rule that are made effective and not adopted or established as the current session law reads.

Why this is an issue

This proposal is a technical change to keep Minnesota Statutes in line with federal regulation.

For more information

For information about this initiative, please contact Kristin Loncorich at 651.282.6343.

For more information:

Updated Tuesday, 16-Nov-2010 12:27:52 CST