It’s official now - cut freeze until May 31. The Centers for Medicare & Medicaid Services (CMS) released the following statement this morning:

On April 15, 2010, President Obama signed into law the “Continuing Extension Act of 2010.” This law extends through May 31, 2010, the zero percent update to the Medicare Physician Fee Schedule that was in effect for claims with dates of service January 1, 2010 through March 31, 2010.  The law is retroactive to April 1, 2010.  Consequently, effective immediately, claims with dates of service April 1 and later, which were being held by Medicare contractors, are being released for processing and payment.  Please keep in mind that the statutory payment floors still apply and, therefore, clean electronic claims cannot be paid before 14 calendar days after the date they are received by Medicare contractors (29 calendar days for clean paper claims).

Below is a summary of the Continuing Extension Act of 2010:

• Extension of Unemployment Insurance Programs - Extends Federal Unemployment Programs retroactively, including the Emergency Unemployment Compensation Program, through June 2, 2010.
• Extension of COBRA Assistance - Extends eligibility for 65% subsidy for COBRA premiums through May 31, 2010 and provides transition relief for individuals who lost their jobs between March 31, 2010 and the date of enactment.
• Extension of Medicare Physician Update - Extends current Medicare payment rates for physicians (preventing a 21% payment reduction) through May 31, 2010.
• Clarification of Health IT Incentives - Ensures certain doctors in outpatient facilities are eligible for health IT payments under Medicare and Medicaid.
• Extension of Poverty Guidelines - Extends current provision maintaining 2009 poverty guidelines through May 31, 2010 (to prevent a lowering of the poverty line).
• Extension of National Flood Insurance Program - Extends provision through May 31, 2010.
• Satellite Television Extension - Extends the copyright license used by satellite television providers through May 31, 2010.
• Compensation for Furloughed Employees - Provides compensation for federal employees furloughed during March 1st and 2nd as the result of the lapse in expenditure authority from the Highway Trust Fund.
• Extension of Small Business Administration Programs - continues funding for loan programs that provide small businesses with the capital they need to succeed and grow. The bill extends funding to reduce or eliminate fees under the Small Business Administration’s 7(a) loan guarantee program and the 504 loan program through May 31, 2010.