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Wisconsin Physicians Service Insurance Corporation Claimed Unallowable Medicare Part A Administrative Costs for Fiscal Year 2013

Issued on  | Posted on  | Report number: A-05-16-00052

Administrative costs Wisconsin Physicians Service Insurance Corporation claimed on its fiscal year 2013 final administrative cost proposal were generally allowable and in accordance with its Medicare contract and applicable Federal regulations. Of the $4.0 million that we reviewed, we accepted $3.9 million as allowable, allocable, and reasonable and questioned the remaining $99,649 as unallowable costs.

18-A-05-134.01 to CMS - Closed Implemented
Closed on 09/21/2018
We recommend that WPS reduce its FACP for FY 2013 by $99,649 to eliminate the unallowable costs identified in this report.

18-A-05-134.02 to CMS - Closed Implemented
Closed on 09/21/2018
We recommend that WPS improve procedures to distinguish between allowable and unallowable costs in accordance with the applicable Medicare contract, CAS, and FAR provisions; specifically ensure that when an unallowable cost is incurred, its directly associated costs are properly identified and excluded, and ensure that revenue, payroll, and NBV of assets percentages used in developing 3FF rates are consistent with guidance defined in the CAS and the FAR provisions defining reasonableness.

View in Recommendation Tracker