1. What is sequestration in Medicare payments? Sequestration is a 2% reduction in Medicare payments for services with dates of service on or after April 1, 2013, which continues until further notice, as indicated by the claim adjustment reason code (CARC) 253. 2. Which Medicare claims are af...
Medicare has sequestration exemptions limited to 2% maximum proposed cuts. Understanding Sequestration Under the Budget Control Act of 2011 (BCA), Congress agreed to a series of caps on increased spending for each year through 2021. Congress passed the BCA to help resolve thedebt ceiling crisis of...
The Budget Control Act of 2011 (and its later amendments) lowered Medicare payouts to providers by 2% through sequestration and will continue to restrict Medicare spending until 2031.10 The Bottom Line The Budget Control Act was created to address the 2011 debt ceiling crisis. It expanded the debt...