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GAO-03-1086R 1 (2003-08-08)

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       Accountability * Integrity * Reliability
United States General Accounting Office
Washington, DC 20548

          B-292672


          August 8, 2003

          The Honorable Charles Grassley
          Chairman
          The Honorable Max Baucus
          Ranking Minority Member
          Committee on Finance
          United States Senate

          The Honorable William M. Thomas
          Chairman
          The Honorable Charles B. Rangel
          Ranking Minority Member
          Committee on Ways and Means
          House of Representatives

          Subject: Department of Health and Human Services, Centers for Medicare and
                  Medicaid Services: Medicare Program; Changes to the Inpatient
                  Rehabilitation Facility Prospective Payment System and Fiscal Year 2004
                  Rates

          Pursuant to section 801(a)(2)(A) of title 5, United States Code, this is our report on a
          major rule promulgated by the Department of Health and Human Services, Centers
          for Medicare and Medicaid Services (CMS), entitled Medicare Program; Changes to
          the Inpatient Rehabilitation Facility Prospective Payment System and Fiscal Year
          2004 Rates (RIN: 0938-AL95). We received the rule on July 31, 2003. It was
          published in the Federal Register as a final rule on August 1, 2003. 68 Fed. Reg.
          45674.

          The final rule establishes the prospective payment rates for inpatient hospital
          services furnished under Medicare by inpatient rehabilitation facilities (IRF) for
          fiscal year 2004.

          Enclosed is our assessment of the CMS's compliance with the procedural steps
          required by section 801(a)(1)(B)(i) through (iv) of title 5 with respect to the rule.
          Our review indicates that the CMS complied with the applicable requirements.

          If you have any questions about this report, please contact James W. Vickers,
          Assistant General Counsel, at (202) 512-8210. The official responsible for GAO


GAO-03-1086R

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