AAP - Repayment Process
CMS issued payments to providers and suppliers to help ease financial strain due to a disruption in claims submission and/or claims processing related to the COVID-19 public health emergency.
The Congress amended repayment process for the accelerated and advance payments through the Continuing Appropriations Act, 2021 and Other Extensions Act:
Repayment will now begin one year after the date of the issuance of the payment.
During the first 11 months after repayment begins, repayment will occur through automatic recoupment of 25% of Medicare payments otherwise owed to you.
During the succeeding six months, repayment will occur through an automatic recoupment of 50% of Medicare payments otherwise owed to you.
If AAP payment is not completed within 29 months, the provider will receive a demand letter requiring repayment of any outstanding balance with an interest rate of 4%.