Suspension of the 2% Sequestration Payment Adjustment Through December

H.R. 1868, which extends the moratorium of the 2% sequestration payment adjustment, was passed by Congress and signed into law by the President on April 14, 2021. The moratorium will extend through December 21, 2021.  

Since the moratorium has been extended, the Coronavirus Aid, Relief, and Economic Security (CARES) Act suspended the sequestration payment adjustment percentage of 2% applied to all Medicare Fee-for-Service (FFS) claims from May 1 through December 31, 2021. Previous to this, the Consolidated Appropriations Act, 2021, extended the suspension period to March 31, 2021. Medicare Administrative Contractors (MACs) will release any previously held claims with dates of service on or after April 1; and reprocess claims paid with the reduction applied. Providers are not required to take any action regarding claims submitted for payment since April 1, 2021. 

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