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Department of Health and Human Services

Office of Inspector General -- AUDIT

"Review of Cardiac Rehabilitation Services at Community Memorial Healthcare, Inc., Marysville, Kansas," (A-07-03-00156)

February 4, 2004

Complete Text of Report is available in PDF format (237 KB). Copies can also be obtained by contacting the Office of Public Affairs at 202-619-1343.


The objectives of this review were to determine whether:  (1) Community Memorial Healthcare's (CMH) policies and procedures reflected Medicare cardiac rehabilitation coverage requirements for direct physician supervision, “incident to” services, and Medicare covered diagnoses; and (2) payments to CMH for outpatient cardiac rehabilitation services provided to Medicare beneficiaries during Calendar Year (CY) 2001 were for Medicare covered diagnoses, were supported by adequate documentation, and were otherwise allowable for reimbursement.  CMH did not designate a physician to supervise the services provided by its cardiac rehabilitation program.  In addition we could not identify the physician professional services to which the cardiac rehabilitation services were provided “incident to.”  With regard to the $6,474 of Medicare claims paid for the 18 beneficiaries receiving services during CY 2001, no other problems were noted.