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Audit (A-07-11-00366)

Review of Medicare Contractor's Pension Segmentation Requirements for the Durable Medical Equipment Regional Carrier Segment at HealthNow New York, Inc., a Terminated Medicare Contractor, for the Period January 1, 2002, to January 1, 2007

Executive Summary

HealthNow New York, Inc. (HealthNow), a Centers for Medicare & Medicaid Services (CMS) contractor, understated the Durable Medical Equipment Regional Carrier (DMERC) Medicare segment pension assets by $498,000 and understated Medicare's share of the DMERC Medicare segment excess pension assets, as a result of the termination of the DMERC Medicare contracts, by $122,000. HealthNow administered Medicare Part B and DMERC operations under cost reimbursement contracts with CMS.

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