CMS Puts RACs on the Shelf

The Centers for Medicare & Medicaid Services (CMS) says it has delayed the National Recovery Audit Contractors (RAC) program while the Government Accountability Office (GAO) reviews protests about the RAC selection process filed by two vendors that lost the competition.

RACs conduct postpayment reviews of Medicare claims to make sure the program properly paid for services and products covered by Medicare. Congress ordered expansion of the RACs nationwide after a three-year pilot program. CMS says they are effective in identifying payment errors.

PRG-Schultz USA, Inc., and Viant, Inc., asked GAO to recommend that CMS redo the RAC selection process. GAO has 100 days to decide if the vendors are correct in claiming that CMS erred when it didn't choose them as RACs.

Action , Nov. 17, 2008

Last Updated On

June 15, 2010

Originally Published On

March 23, 2010

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