100-04 Medicare Claims Processing Manual: Chapter 9 - Rural Health Clinics/Federally Qualified Health Centers

us-cms-medicare-manuals-pub-100-04-clm104c09100-04 Medicare Claims Processing Manual: Chapter 9 - Rural Health Clinics/Federally Qualified Health CentersGuidance

Medicare Claims Processing Manual
Chapter 9 - Rural Health Clinics/
Federally Qualified Health Centers
Table of Contents
(Rev. 13803; Issued: 05-28-26)
Transmittals for Chapter 9
10 - Rural Health Clinic (RHC) and Federally Qualified Health Center (FQHC) General
Information
10.1 - RHC General Information
10.2 - FQHC General Information
20 - RHC and FQHC All-Inclusive Rate (AIR) Payment System
20.1 - Per Visit Payment and Exceptions under the AIR
20.2 - Payment Limit under the AIR
30 - FQHC Prospective Payment System (PPS) Payment System
30.1 - Per-Diem Payment and Exceptions under the PPS
30.2 - Adjustments under the PPS
40 - Deductible and Coinsurance
40.1 - Part B Deductible
40.2 - Part B Coinsurance
50 - General Requirements for RHC and FQHC Claims
60 - Billing and Payment Requirements for RHCs and FQHCs
60.1 - Billing Guidelines for RHC and FQHC Claims under the AIR System
60.2 - Billing for FQHC Claims Paid under the PPS
60.3 - Payments for FQHC PPS Claims
60.4 - Billing for Supplemental Payments to FQHCs under Contract with Medicare
Advantage (MA) Plans
60.5 - PPS Payments to FQHCs under Contract with MA Plans
60.6 - RHCs and FQHCs for Billing Hospice Attending Physician Services
60.7 - Virtual Communication Services
60.8 - Care Coordination Services – Chronic Care or Psychiatric Collaborative
Care Model (CoCM) Services
70 - General Billing Requirements for Preventive Services
70.1 - RHCs Billing Approved Preventive Services
70.2 - FQHCs Billing Approved Preventive Services under the PPS
70.3 - Preventive Vaccines
70.4 - Diabetes Self-Management Training (DSMT) and Medical Nutrition Services
(MNT)
70.5 - Initial Preventive Physical Examination (IPPE)
80 - Telehealth Services
90 - Services Non-covered on RHC and FQHC Claims
100 - Frequency of Billing and Same Day Billing
110 - Intensive Outpatient Program (IOP) Services
10 - Rural Health Clinic (RHC) and Federally Qualified Health Center
(FQHC) General Information
(Rev. 3434, Issued: 12-31-15, Effective: 03-31-16, Implementation: 03-31-16)
10.1 - RHC General Information
(Rev. 3434, Issued: 12-31-15, Effective: 03-31-16, Implementation: 03-31-16)
RHCs are facilities that provide services that are typically furnished in an outpatient
clinic setting. The statutory requirements that RHCs must meet to qualify for the
Medicare benefit are in §1861(aa) (2) of the Social Security Act (the Act).
A RHC visit is defined as a medically-necessary, face-to-face (one-on-one) medical or
mental health visit, or a qualified preventive health visit, with a RHC practitioner during
which time one or more RHC services are rendered. A RHC practitioner is a physician,
nurse practitioner (NP), physician assistant (PA), certified nurse midwife (CNM), clinical
psychologist (CP), and clinical social worker (CSW). A Transitional Care Management
(TCM) service can also be a RHC visit. A RHC visit can also be a visit between a home-
bound patient and an RN or LPN under certain conditions.
RHCs can be either independent or provider-based. Independent RHCs are stand-alone
or freestanding clinics and submit claims to a Medicare Administrative Contractor
(MAC). They are assigned a CMS Certification Number (CCN) in the range of XX3800-
XX3974 or XX8900-XX8999. Provider-based RHCs are an integral and subordinate part
of a hospital (including a critical access hospital (CAH), skilled nursing facility (SNF), or
a home health agency (HHA)).
Information on RHC covered services, visits, payment policies, and other information can
be found in Pub. 100-02, Medicare Benefit Policy Manual, chapter 13,
http://www.cms.gov/Regulations-and-Guidance/Guidance/Manuals/Downloads/
bp102c13.pdf.
Information on certification requirements can be found in Pub. 100-07, Medicare State
Operations Manual, Chapter 2, http://www.cms.gov/Regulations-and-Guidance/
Guidance/ Manuals/ Downloads/ som107c02.pdf.
10.2 - FQHC General Information
(Rev. 13264, Issued:06-09-25; Effective: 06-02-25; Implementation: 06-02-25)
FQHCs are facilities that provide services that are typically furnished in an outpatient
clinic setting. FQHC services consist of services that are similar to those furnished in
RHCs. The statutory requirements that FQHCs must meet to qualify for the Medicare
benefit are in §1861(aa) (4) of the Act. An entity that qualifies as a FQHC is assigned a
CCN in the range of XX1000-XX1199 or XX1800-XX1989.
NOTE: Information in this chapter applies to FQHCs that are Health Center Program
Grantees, Health Center Program Look-Alikes, and Tribal and Urban Indian organization
FQHCs. It does not necessarily apply to historically excepted tribal FQHCs.
20 - RHC and FQHC All-Inclusive Rate (AIR) Payment System
(Rev. 13264, Issued:06-09-25; Effective: 06-02-25; Implementation: 06-02-25)
20.1 - Per Visit Payment and Exceptions under the AIR
(Rev. 13264, Issued:06-09-25; Effective: 06-02-25; Implementation: 06-02-25)
RHCs are paid an AIR payment per visit. For RHCs billing under the AIR, more than
one medically necessary face-to-face visit with a RHC practitioner on the same day is
payable as one visit, except for the following circumstances:
• 	The patient, subsequent to the first visit, suffers an illness or injury that requires
additional diagnosis or treatment on the same day, (for example, a patient sees
their practitioner in the morning for a medical condition and later in the day has a
fall and returns to the RHC).
• 	The patient has a medical visit and a mental health visit on the same day.
• 	The patient has an Initial Preventive Physical Examination (IPPE) and a separate
qualified medical and/or mental health visit on the same day.
• 	The patient has an IOP service and medical visit on the same day.
• 	The patient has a dental visit and a medical visit on the same day.
20.2 - Payment Limit under the AIR
(Rev. 13264, Issued:06-09-25; Effective: 06-02-25; Implementation: 06-02-25)
For RHCs that bill under the AIR, Medicare pays 80 percent of the RHC AIR, subject to
a payment limit. At the end of the cost reporting period, the MAC determines the total
payment due and reconciles payments made during the period with the total payments
due.
RHCs that receive payments under the AIR must submit an annual cost report to establish
their payment rate. If a RHC is in its initial reporting period, the MAC calculates an
interim rate based on a percentage of the per-visit limit, which is then adjusted when the
cost report is filed.
For information on cost reporting requirements, see the Medicare Provider
Reimbursement Manual (PRM), at http://www.cms.gov/Regulations-and-
Guidance/Guidance/Manuals/Paper-Based-Manuals.html
30 - FQHC PPS Payment System
(Rev. 13264, Issued:06-09-25; Effective: 06-02-25; Implementation: 06-02-25)
30.1 - Per-Diem Payment and Exceptions under the PPS
(Rev. 13264, Issued:06-09-25; Effective: 06-02-25; Implementation: 06-02-25)
Section 10501(i)(3)(A) of the Affordable Care Act (Pub. L. 111-148 and Pub. L. 111-
152) added section 1834(o) of the Social Security Act to establish a Medicare PPS for
FQHC services. FQHCs transition to the Medicare PPS beginning on October 1, 2014,
based on their cost-reporting period. All FQHCs were transitioned to the PPS by
December 31, 2015.
FQHC payments are made under the PPS, the Medicare payment is based on the lesser of
the FQHC actual charge or the PPS rate, as determined by the MAC. The FQHC PPS
rate will be updated annually beginning January 1, 2016.
For FQHCs billing under the PPS, more than one medically necessary face-to-face visit
with a FQHC practitioner on the same day is payable as one visit, except for the
following circumstances:
• 	The patient, after the first visit, suffers an illness or injury that requires additional
diagnosis or treatment on the same day, (for example, a patient sees their
practitioner in the morning for a medical condition and later in the day has a fall
and returns to the FQHC).
• 	The patient has a medical visit and a mental health visit on the same day.
• 	The patient has an IOP service and medical visit on the same day.
• 	The patient has a dental visit and a medical visit on the same day.
Separate payment is not made to FQHCs under the PPS for an IPPE or DSMT/MNT visit
that is furnished on the same day as another FQHC medical visit.
30.2 - Adjustments under the PPS
(Rev. 3434, Issued: 12-31-15, Effective: 03-31-16, Implementation: 03-31-16)
The FQHC PPS rate will be adjusted to account for geographic differences in costs by the
FQHC geographic adjustment factor (FQHC GAF). In calculating the PPS rate, the
FQHC GAF will be based on the locality of the site where the services are furnished. For
FQHC organizations with multiple sites, the FQHC GAF may vary depending on the
location of the FQHC delivery site.
The FQHC PPS rate for a covered visit will be calculated as follows:
Base payment rate x FQHC GAF = PPS rate
Updates to the FQHC GAFs will be made in conjunction with updates to the Physician
Fee Schedule Geographic Practice Cost Indices for the same period and will be posted on
CMS’s FQHC PPS webpage at http://www.cms.gov/Medicare/Medicare-Fee-for-Service-
Payment/FQHCPPS/index.html.
The PPS per-diem rate will be adjusted by a factor of 1.3416 when a FQHC furnishes
care to a patient who is new to the FQHC (has not been a patient at any site that is part of
the FQHC organization within the previous 3 years) or to a beneficiary receiving an IPPE
or an annual wellness visit (AWV). This is a composite adjustment factor and only one
adjustment per day can be applied.
If the patient is new to the FQHC, or the FQHC furnishes an Initial Preventive Physical
Examination (IPPE) or Annual Wellness Visit (AWV), the FQHC PPS rate for a covered
visit will be calculated as follows:
Base payment rate x FQHC GAF x 1.3416 = PPS rate
For more information on the FQHC PPS, please see the FQHC PPS Final Rule located at:
https://www.cms.gov/Center/Provider-Type/Federally-Qualified-Health-Centers-FQHC-
Center.html
40 - Deductible and Coinsurance
(Rev. 13264, Issued:06-09-25; Effective: 06-02-25; Implementation: 06-02-25)
40.1 - Part B Deductible
(Rev. 13264, Issued:06-09-25; Effective: 06-02-25; Implementation: 06-02-25)
RHC services are subject to an annual deductible of twenty percent of charges for
covered services. Effective for dates of service on or after January 1, 2011, the
deductible is not applicable for certain preventive services. Please see section 70 for
more information on how to bill for preventive services.
RHCs collect the patient’s deductible or the portion of the patient’s deductible that has
not already been met. Once RHCs have billed the MAC for services, they do not collect
or accept any additional money from the patient for their deductible until the MAC
notifies the RHC of how much of the deductible has been met.
The Part B deductible does not apply to FQHC services.
40.2 - Part B Coinsurance
(Rev. 13264, Issued:06-09-25; Effective: 06-02-25; Implementation: 06-02-25)
After any applicable deductibles have been satisfied, RHCs paid under the AIR system
will be paid 80 percent of their AIR. The patient is responsible for a coinsurance amount
of 20 percent of the charges after deduction of the deductible, where applicable.
Effective for dates of service on or after January 1, 2011, coinsurance is not applicable
for certain preventive services. See section 70 of this manual for information on how to
bill for preventive services on a RHC and FQHC claims.
FQHCs paid under the PPS will be paid 80 percent of the lesser of the FQHC actual
charge for the specific payment code or the adjusted PPS rate. The patient is responsible
for a coinsurance amount of 20 percent of the lesser of the FQHCs actual charge for the
specific payment code or the adjusted PPS rate. See section 60.2 for more information on
the FQHC specific payment codes.
50 - General Requirements for RHC and FQHC Claims
(Rev. 13264, Issued:06-09-25; Effective: 06-02-25; Implementation: 06-02-25)
See Pub. 100-02, Medicare Benefit Policy Manual, Chapter 13 for coverage requirements
for RHCs and FQHCs. This section addresses requirements for claim submission only.
Section §1862 (a)(22) of the Act requires that all claims for Medicare payment must be
submitted in an electronic form specified by the Secretary of Health and Human Services,
unless an exception described at §1862 (h) applies. The electronic format required for
billing RHC and FQHC services is the ASC X12 837 institutional claim transaction.
Instructions relative to the data element names on the Form CMS-1450 hardcopy form
are described below. Each data element name is shown in bold type. Information
regarding the form locator numbers that correspond to these data element names is found
in Chapter 25.
Not all data elements are required or utilized by all payers. Detailed information is given
only for items required for Medicare RHC and FQHC claims. Only the items listed
below are required for RHCs and FQHCs.
Provider Name, Address, and Telephone Number, Form Locator
The RHC/FQHC enters this information for their agency.
Type of Bill
This four-digit alphanumeric code gives three specific pieces of information. The first
digit is a leading zero. 	CMS ignores the first digit. The second digit identifies the type
of facility. The third classifies the type of care. The fourth indicates the sequence of this
bill in this particular benefit period. It is referred to as a “frequency” code.
Code Structure
1st Digit – Leading Zero
CMS ignores the first digit
2nd Digit - Type of Facility
7 - Special facility (Clinic)
3rd Digit - Classification (Special Facility Only)
1 – Rural Health Clinic
7 – Federally Qualified Health Centers
4th Digit – Frequency 	Definition
0 - Nonpayment/Zero Claims 	Used when no payment from Medicare is
anticipated.
l - Admit Through Discharge Claim 	This code is used for a billing for a confined
treatment.
7 - Replacement of Prior Claim 	This code is used by the provider when it
wants to correct a previously submitted bill.
This is the code used on the corrected or
“new” bill.
For additional information on replacement
bills see Chapter 3.
8 - Void/Cancel of a Prior Claim 	This code is used to cancel a previously
processed claim.
For additional information on void/cancel
bills see Chapter 3.
Statement Covers Period (From-Through)
The RHC/FQHC shows the beginning and ending dates of the period covered by this bill
in numeric fields (MM-DD-YY).
Patient Name/Identifier
The RHC/FQHC enters the beneficiary’s name exactly as it appears on the Medicare
card.
Patient Address
The RHC/FQHC enters the mailing address of the patient. Enter the complete mailing
address.
Patient Birth date
The RHC/FQHC enters the date of birth of the patient.
Patient Sex
The RHC/FQHC enters the sex of the patient as recorded at the start of care.
Priority (Type) of Admission or Visit
The RHC/FQHC enters the most appropriate NUBC approved code indicating the
priority of the visit.
Point of Origin for Admission or Visit
The RHC/FQHC enters the most appropriate NUBC approved code indicating the point
of origin for this admission or visit.
Patient Discharge Status
The RHC/FQHC enters the most appropriate NUBC approved code indicating the
patient’s status as of the “Through” date of the billing period.
Condition Codes
The RHC/FQHC enters any appropriate NUBC approved code(s) identifying conditions
related to this bill that may affect processing.
Value Codes and Amounts
The RHC/FQHC enters any appropriate NUBC approved code(s) and the associated
value amounts identifying numeric information related to this bill that may affect
processing.
Revenue Codes
The RHC/FQHC assigns a revenue code for each type of service provided and enters the
appropriate four-digit numeric revenue code to explain each charge.
For FQHC claims with dates of service on or after January 1, 2010, FQHCs may report
additional revenue codes when describing services rendered during an encounter.
However, Medicare payment will continue to be reflected only on claim lines with the
revenue codes in the following table:
When billing for additional services rendered during the FQHCs encounter or RHC visit,
a valid revenue code is required with an appropriate HCPCS code. However, the
following revenue codes are not allowed on FQHC or RHC claims:
Rev
Code
Description
0521 	Clinic visit by member to RHC/FQHC
0522 	Home visit by RHC/FQHC practitioner
0524 	Visit by RHC/FQHC practitioner to a member in a covered Part A stay at the SNF
0525 	Visit by RHC/FQHC practitioner to a member in a SNF (not in a covered Part A
stay) or NF or ICF MR or other residential facility
0527 	RHC/FQHC Visiting Nurse Service(s) to a member’s home when in a home
health shortage area
0528 	Visit by RHC/FQHC practitioner to other non RHC/FQHC site (e.g., scene of
accident)
0519 	Clinic, Other Clinic (only for the FQHC supplemental payment)
0900 	Mental Health Treatment/Services
002x-024x, 029x, 045x, 054x, 056x, 060x, 065x, 067x-072x, 080x-088x, 093x, or 096-
310x.
HCPCS/Accommodation Rates/HIPPS Rate Codes
For all services provided in a FQHC on or after January 1, 2010, and for approved
preventive services provided in a RHC, HCPCS codes are required to be reported on the
service lines.
The following HCPCS codes must be reported on FQHC PPS claims:
HCPCS
Code
Definition
G0466 	FQHC visit, new patient
A medically necessary, face-to-face encounter (one-on-one) between a new patient
and a FQHC practitioner during which time one or more FQHC services are
rendered and includes a typical bundle of Medicare-covered services that would be
furnished per diem to a patient receiving a FQHC visit.
G0467 	FQHC visit, established patient
A medically necessary, face-to-face encounter (one-on-one) between an
established patient and a FQHC practitioner during which time one or more FQHC
services are rendered and includes a typical bundle of Medicare-covered services
that would be furnished per diem to a patient receiving a FQHC visit.
G0468 	FQHC visit, IPPE or AWV
A FQHC visit that includes an IPPE or AWV and includes a typical bundle of
Medicare-covered services that would be furnished per diem to a patient receiving
an IPPE or AWV.
G0469 	FQHC visit, mental health, new patient
A medically necessary, face-to-face mental health encounter (one-on-one)
between a new patient and a FQHC practitioner during which time one or more
FQHC services are rendered and includes a typical bundle of Medicare-covered
services that would be furnished per diem to a patient receiving a mental health
visit.
G0470 	FQHC visit, mental health, established patient
A medically necessary, face-to-face mental health encounter (one-on-one)
between an established patient and a FQHC practitioner during which time one or
more FQHC services are rendered and includes a typical bundle of Medicare-
covered services that would be furnished per diem to a patient receiving a mental
health visit.
Modifiers
The FQHC or RHC reports modifier 59 when billing for a subsequent injury or illness.
This is not to be used when a patient sees more than one practitioner on the same day or
has multiple encounters with the same practitioner on the same day, unless the patient,
subsequent to the first visit, leaves the FQHC or RHC and then suffers an illness or injury
that requires additional diagnosis or treatment on the same day.
Modifier 59 is the FQHC and RHC’s attestation that the patient, after the first visit,
suffers an illness or injury that requires additional diagnosis or treatment on the same
day. Modifier 59 should only be used when reporting unrelated services that occurred at
separate times during the day (e.g., the patient had left the FQHC or RHC and returned
later in the day for an unscheduled visit for a condition that was not present during the
first visit).
For claims subject to the FQHC PPS, modifier 59 is only valid with FQHC Payment
Code G0467. Please see section 60.2 of this manual for more information on the FQHC
Payment Codes.
Modifier CG - RHCs should report modifier CG on one line with a medical and/or mental
health HCPCS code that represents the primary reason for the medically necessary face-
to-face visit.
Service Date
Medicare requires a line-item date of service for all outpatient claims. Medicare
classifies RHC/FQHC claims as outpatient claims. Non-payment service revenue codes –
report dates as described in the table above under Revenue Codes.
Line items on outpatient claims under HIPAA require reporting of a line-item service
date for each iteration of revenue code. A single date must be reported on a line item for
the date the service was provided, not a range of dates.
For services that do not qualify as a billable visit, the usual charges for the services are
added to those of the qualified visit. RHCs/FQHCs use the date of the visit as the single
date on the line item. If there is no is billable visit associated with the services, then no
claim is filed.
Service Units
The RHC/FQHC enters the number of units for each type of service. Units represent
visits, which are paid based on the AIR or the FQHC PPS, no matter how many services
are delivered. Only one visit is billed per day unless the patient leaves and later returns
with a different illness or injury suffered later the same day.
Total Charges
The RHC/FQHC enters the total charge for the service described on each revenue code
line.
Payer Name
The RHC/FQHC identifies the appropriate payer(s) for the claim.
National Provider Identifier (NPI) – Billing Provider
The RHC/FQHC enters its own NPI. When more than one encounter/visit is reported on
the same claim i.e., medical and mental health visits, please choose the NPI of the
provider that furnished most of the services.
Principal Diagnosis Code
The RHC/FQHC enters diagnosis coding as required by ICD-9-CM or ICD-10-CM
Coding Guidelines.
Other Diagnosis Codes
The RHC/FQHC enters diagnosis coding as required by ICD-9-CM or ICD-10-CM
Coding Guidelines.
Attending Provider Name and Identifiers
The RHC/FQHC enters the NPI, and name of the attending physician designated by the
patient as having the most significant role in the determination and delivery of the
patient’s medical care.
Other Provider Name and Identifiers
The RHC/FQHC enters the NPI and name
NOTE: For electronic claims using version 5010 or later, this information is reported in
Loop ID 2310F – Referring Provider Name.
See the link to Publication 100-04, Medicare Claims Processing Manual, Chapter 25 for
additional information on form 1450:
https://www.cms.gov/Regulations-and
Guidance/Guidance/Manuals/downloads/clm104c25.pdf
60 - Billing Requirements for RHCs and FQHCs
(Rev. 13264, Issued:06-09-25; Effective: 06-02-25; Implementation: 06-02-25)
RHCs and FQHCs are institutional claims and are submitted to the MAC on TOB 71X
and 77X. Generally, only those services that are included in the RHC and FQHC benefits
are billed on these claims.
• 	The RHC and FQHC benefits are defined in Pub. 100-02, Medicare Benefit
Policy Manual, Chapter 13
(http://www.cms.hhs.gov/manuals/Downloads/bp102c13.pdf.)
All professional services in the RHC and FQHC benefit are paid through the AIR system
or the FQHC PPS payment for each patient encounter or visit. Technical services (or
technical components of services with both professional and technical components) are
not billed on RHC/FQHC claims.
60.1 - Billing Guidelines for RHCs Claims under the AIR System
(Rev. 13264, Issued:06-09-25; Effective: 06-02-25; Implementation: 06-02-25)
When billing Medicare, RHCs must report all services provided during the
encounter/visit by listing the appropriate revenue and HCPCS code. The additional
revenue lines with detailed HCPCS code(s) are for information and data gathering
purposes.
Encounters with more than one health professional and multiple encounters with the same
health professionals that take place on the same day and at a single location generally
constitute a single visit. For RHCs, the payment is applied to the service line with
revenue code 052X for medical and revenue code 0900 for mental health visits with
modifier (MOD) CG.
For example:
Appropriate
Rev Code
Appropriate
HCPCS code
MOD 	DOS 	Charges
0521 	99213 -Evaluation
and Management
(E&M)
CG 	01/01 	300.00
Note: The examples in this chapter may vary and are subject to change as needed.
Please see section 50 for more information on reporting modifier CG.
For example:
Appropriate
Rev Code
Appropriate
HCPCS Code
MOD 	DOS 	Charges
0521 	99213 - E&M 	CG 	01/01 	300.00
0770 	G0402 -
Preventive Service
(PS)
01/01 	50.00
Medicare will make an additional AIR payment for IPPE, when billed on the same day
with a qualified encounter/visit. When reporting an additional encounter/visit for IPPE,
the RHC reports the Appropriate HCPCS Code for the service. The revenue lines should
be reflected as follows:
For example:
Appropriate
Rev Code
Appropriate
HCPCS code
MOD 	DOS 	Charges
0521 	99213 - E&M 	CG 	01/01 	75.00
0419 	94640 - Breathing
treatment
01/01 	75.00
0521 	G0402 - Initial
Preventive
01/01 	150.00
Physical
Examination
(IPPE)
For RHCs, Medicare will make an additional AIR payment for a subsequent illness or
injury that occurs on the same day. This is reported on the claim with an additional
service line with revenue code 052X, a valid HCPCS code and modifier 59. Please see
section 50 for more information on reporting modifier 59.
For example:
Appropriate
Rev Code
Appropriate
HCPCS code
MOD 	DOS 	Charges
0521 	99213 - E&M 	CG 	01/01 	150.00
0479 	69209 - Removal
of Wax from Ear
01/01 	50.00
0521 	99212 - OV
(Office Visit)
59 	01/01 	135.00
0272 	A6402 - Surgical
Dressing
01/01 	25.00
0279 	29130 - Finger
Split
01/01 	95.00
60.2 - Billing for FQHC Claims Paid under the PPS
(Rev. 13803; Issued: 05-28-26; Effective: 10-01-26; Implementation: 10-05-26)
CMS established five FQHC payment specific codes to be used by FQHCs submitting
claims under the PPS. When reporting an encounter/visit for payment, the FQHC must
bill on the claim (77X TOB) a FQHC specific payment code.
FQHC Specific Payment Codes
G0466 – FQHC visit, new patient
A medically necessary, face-to-face encounter (one-on-one) between a new patient and a
FQHC practitioner during which time one or more FQHC services are rendered and
includes a typical bundle of Medicare-covered services that would be furnished per diem
to a patient receiving a FQHC visit.
G0467 – FQHC visit, established patient
A medically necessary, face-to-face encounter (one-on-one) between an established
patient and a FQHC practitioner during which time one or more FQHC services are
rendered and includes a typical bundle of Medicare-covered services that would be
furnished per diem to a patient receiving a FQHC visit.
G0468 – FQHC visit, IPPE or AWV
A FQHC visit that includes an IPPE or AWV and includes a typical bundle of Medicare-
covered services that would be furnished per diem to a patient receiving an IPPE or
AWV.
G0469– FQHC visit, mental health, new patient
A medically necessary, face-to-face mental health encounter (one-on-one) between a new
patient and a FQHC practitioner during which time one or more FQHC services are
rendered and includes a typical bundle of Medicare-covered services that would be
furnished per diem to a patient receiving a mental health visit.
G0470 – FQHC visit, mental health, established patient
A medically necessary, face-to-face mental health encounter (one-on-one) between an
established patient and a FQHC practitioner during which time one or more FQHC
services are rendered and includes a typical bundle of Medicare-covered services that
would be furnished per diem to a patient receiving a mental health visit.
FQHCs must use the specific payment code that corresponds to the type of visit that
qualifies the encounter for Medicare payment, and these codes will correspond to the
appropriate PPS rates. Each FQHC shall report a charge for the FQHC visit code that
would reflect the sum of regular rates charged to both beneficiaries and other paying
patients for a typical bundle of services that would be furnished per diem to a Medicare
beneficiary.
FQHC specific payment specific codes G0466, G0467 and G0468 must be reported under
revenue code 052X or 0519.
NOTE: Revenue code 0519 is used for Medicare Advantage (MA) Supplemental claims
only.
FQHC specific payment codes G0469 and G0470 must be reported under revenue code
0900 or 0519.
FQHCs must report HCPCS coding on the claim to describe all services that occurred
during the encounter. All service lines must be reported with their associated charges.
The additional services reported on the claim that are part of the FQHC encounter, will
not be paid. The payment for these services is included in the payment under the FQHC
payment code.
Payment for a FQHC encounter requires a medically necessary face-to-face visit. Each
FQHC specific payment code (G0466-G0470) must have a corresponding service line
with a HCPCS code that describes the qualifying visit. The link below contains the list of
the qualifying visits for each payment specific code:
https://www.cms.gov/Medicare/Medicare-Fee-for-Service-
Payment/FQHCPPS/Downloads/FQHC-PPS-Specific-Payment-Codes.pdf
For example:
Appropriate Rev Code 	Appropriate HCPCS Code 	MOD 	DOS
0521 	G0467 - FQHC Specific
Payment code (FSPC)
10/01
0521 	99213 - Qualifying visit
(QV)
10/01
When submitting a claim for a mental health visit furnished on the same day as a medical
visit, FQHCs must report a specific payment code for a medical visit (G0466, G0467, or
G0468) and a specific payment code for a mental health visit (G0470), and each specific
payment code must be accompanied by a service line with a qualifying visit.
For example:
Appropriate Rev Code 	Appropriate HCPCS Code 	MOD 	DOS
0521 	G0468 – FSPC 	10/01
0521 	G0439 – QV 	10/01
0900 	G0470 - FSPC 	10/01
0900 	90832 – QV 	10/01
When submitting a claim for a subsequent illness or injury, the FQHC reports G0467 for
a medical visit), with modifier 59. A qualifying visit is still required when reporting
modifier 59 with G0467.
Appropriate Rev Code 	Appropriate HCPCS Code 	MOD 	DOS
0521 	G0468 - FSPC 	10/01
0521 	G0439 - QV 	10/01
0521 	G0467 - FSPC 	59 	10/01
0900 	99214 - QV 	10/01
FQHCs must report all services that occurred on the same day on one claim. FQHCs
may submit claims that span multiple days of service.
FQHCs must report HCPCS codes for influenza and pneumococcal vaccines and their
administration on a FQHC claim, and these HCPCS codes will be considered
informational only. MACs shall continue to pay for the influenza and pneumococcal
vaccines through the cost report.
Beginning in 2020, FQHCs must report HCPCS codes for COVID-19 vaccines and their
administration on a FQHC claim, and these HCPCS codes will be considered
informational only. MACs shall pay for the COVID-19 vaccines and their administration
through the cost report.
Effective January 1, 2025, payment for the hepatitis B vaccine and its administration is
through the cost report and no longer included in the FQHC PPS rate. Therefore, FQHCs
must report HCPCS codes for the hepatitis B vaccine and their administration on a FQHC
claim, and these HCPCS codes will be considered informational only.
Effective for dates of service on or after July 1, 2025, FQHCs shall report all Part B
preventive vaccines and their administration – pneumococcal, influenza, hepatitis B, and
COVID-19 -- on the claim for payment at the time of service. A visit/encounter is not
required for these services; however, if reported on the same day, the vaccines and
administrations shall receive a separate payment. Coinsurance does not apply to these
vaccines or their administration. Although paid at the time of service, payments for these
services must be annually reconciled with the FQHC’s actual vaccine and vaccine
administration costs, to ensure these services are ultimately reimbursed at 100% of
reasonable costs through the cost report.
Each year, CMS updates the Seasonal Influenza Vaccines Pricing webpage:
https://www.cms.gov/medicare/medicare-part-b-drug-average-sales-price/vaccine-pricing
to reflect the seasonal influenza virus vaccines and their applicable payment allowances
that are effective August 1 through July 31 of the following year. FQHCs must refer to
this webpage to ensure they are billing the appropriate HCPCS codes for the applicable
influenza season.
Note: FQHCs can bill HCPCS code M0201 for an in-home additional payment for
influenza, pneumococcal, hepatitis B, COVID-19 vaccine administration, provided that a
home visit meets all the requirements of both part 405, subpart X, for FQHC services
provided in the home, and § 410.152(h)(3)(iii) for the in-home additional payment for
Part B preventive vaccine administration. See Pub. 100-02, Chapter 15, Section
50.4.4.2.E for more information.
60.3 - Payments for FQHC PPS Claims
(Rev. 13803; Issued: 05-28-26; Effective: 10-01-26; Implementation: 10-05-26)
Payment for FQHC PPS claims is made by comparing the adjusted FQHC PPS rate to the
total submitted covered charges reported for the specific payment codes G0466, G0467,
G0468, G0469, and G0470.
To calculate payment, follow the steps below:
Step 1: Determine the lesser of the provider’s submitted charges for the specific payment
code(s) and the fully adjusted PPS rate.
Step 2: Determine if preventive services for which the coinsurance is waived are
present.
Step 3: Subtract the charges for the preventive services from the lesser of the provider’s
charge for the specific payment code(s) or the PPS Rate.
(Lesser of the provider’s charge for the specific payment code or the PPS rate) -
(Preventive services charges) = Step 3 total
Note: If no preventive services are present, use the lesser of the providers charge for the
specific payment code(s) or the PPS rate as the Step 3 total.
Step 4: Multiply the total from Step 3 by 80%.
Step 3 total * 80% = Step 4 total
Note: If no preventive services are present, contractors will pay this amount and skip step
5.
Step 5: Add the charges for the approved preventive services to the total from step 4.
Contractors will pay this amount.
Step 4 total + preventive services charges = Medicare Payment
Note: If the charges for the approved preventive services are greater than the total
payment amount identified in Step 1 (i.e., the lesser of the charges for the specific
payment code or the PPS rate), pay 100% of the total payment amount determined in Step
1 and do not apply coinsurance. (Please see example 3)
To calculate coinsurance, follow the steps below:
Step 1: Determine the lesser of the submitted charges for the G-code (s) and the PPS rate.
Step 2: Determine if approved preventive services (i.e., preventive services for which
coinsurance is waived) are present.
Step 3: Subtract the charges for the preventive services from the lesser of the provider’s
charge for the specific payment code(s) or the PPS Rate.
(Lesser of the provider’s charge for the specific payment code or the PPS rate) -
(Preventive services charges) = Step 3 total
Note: If no approved preventive services are present, use the lesser the provider’s charge
for the specific payment code(s) or the PPS rate as the Step 3 total.
Step 4: Multiply the total from Step 3 by 20%.
Step 3 total * 20% = Coinsurance
Example: Payment based on the charges
PPS rate = 160.00
Note: The examples below may vary by description or HCPCS.
Provider’s actual charge for the specific payment code, G0467 = $150
Appropriate
Rev Code
Appropriate
HCPCS Code
MOD 	DOS 	Total
Charge
Covered
Charge
0521 	G0467 - FQHC
Specific
Payment Code
(FSPC)
10/01 	150.00 	150.00
0521 	99213 -
Qualifying
Visit (QV)
10/01 	135.00 	135.00
0300 	36415 -
Venipuncture
(VP)
10/01 	25.00 	25.00
0001 	310.00 	310.00
The comparison is between the PPS rate and the provider’s $150 actual charge for the
specific payment code, G0467. In this case, the sum of the line items exceeds the
provider’s actual charge for the payment code.
Payment based on the provider’s charge of 150.00
Appropriat
e Rev Code
Appropriate
HCPCS Code
MOD 	DOS 	Total
Charge
Covere
d
Charge
Payment 	Coinsurance
0521 	G0467 - FSPC 	10/01 	150.00 	150.00 	120.00 	30.00
0521 	99213 - QV 	10/01 	135.00 	135.00 	CO 97* 	0
0300 	36415 - VP 	10/01 	25.00 	25.00 	CO 97 	0
0001 	310.00 	310.00
Payment = 150.00 (charges) * 80%
Coinsurance = 150.00 (charges) * 20%
For service lines that do not receive payment, group code CO- contractual obligation and
the appropriate claim adjustment reason code (CARC) will be used.
* CARC 97 – the benefit for this service is included in the payment/allowance for another
service/procedure that has already been adjudicated.
Example: Payment based on the charges with approved preventive service
PPS rate = 160.00
Provider’s actual charge for the specific payment code, G0468 = $150
Preventive Service (PS) = 135.00
Appropriat
e Rev Code
Appropriate
HCPCS Code
MOD 	DOS 	Total
Charge
Covere
d
Charge
0521 	G0468 - FSPC 	10/01 	150.00 	150.00
0521 	G0439 - PS 	10/01 	135.00 	135.00
0300 	36415 - VP 	10/01 	25.00 	25.00
0001 	310.00 	310.00
Payment based on the provider’s actual charge of 150.00 for the specific payment code,
G0468.
Appropriat
e Rev Code
Appropriate
HCPCS Code
MOD 	DOS 	Total
Charge
Covere
d
Charge
Payment 	Coinsurance
0521 	G0468 - FSPC 	10/01 	150.00 	150.00 	147.00 	3.00
0521 	G0439 - PS 	10/01 	135.00 	135.00 	CO 97* 	0
0300 	36415 - VP 	10/01 	25.00 	25.00 	CO 97 	0
0001 	310.00 	310.00
Payment = (150.00 (charges) – 135.00 (preventive service G0439)) * 80% + 135.00
preventive service.
Coinsurance = (150.00 (charges) – 135.00 (preventive service G0439)) * 20%
• 	PS – Preventive Service -These are approved preventive services where the
coinsurance is waived based on the USPSTF recommendation.
Example: Payment based on the charges when preventive service is greater than G-
code
PPS rate = 160.00
Provider’s actual charge for the specific payment code, G0468 = $150 Preventive Service
= 155.00
Appropriate
Rev Code
Appropriate
HCPCS Code
MOD 	DOS 	Total
Charge
Covered
Charge
0521 	G0468 - FSPC 	10/01 	150.00 	150.00
0521 	G0439 - PS 	10/01 	155.00 	155.00
0300 	36415 - VP 	10/01 	25.00 	25.00
0001 	330.00 	330.00
Payment based on charges of 150.00
Appropriate
Rev Code
Appropriate
HCPCS
Code
MOD 	DOS 	Total
Charge
Covered
Charge
Payment 	Coinsurance
0521 	G0468 -
FPSC
10/
01
150.00 	150.00 	150.00 	0
0521 	G0439 - PS 	10/
01
155.00 	155.00 	CO 97* 	0
0300 	36415 - VP 	10/
01
25.00 	25.00 	CO 97 	0
0001 	330.00 	330.00
Payment = (150.00 (charges) * 100% = 150.00
Since the charges for the preventive service, G0439 are greater than the provider’s actual
charge for the specific payment code G0468, Medicare pays 100% of the provider’s
actual charge for the specific payment code, G0468.
Reporting Multiple G-codes
When a FQHC reports multiple specific payment codes (G-codes) on the same day, the
total payment amount will be determined by comparing the sum of the charges for all the
G-codes reported to the PPS rate. When a qualified mental health visit occurs on the
same day as a qualified medical visit, the G-codes will be totaled separately (see example
8).
Listed below is the order in which payment will be applied when multiple G-codes are
reported on the same day:
Medical visits:
• G0468-IPPE or AWV
• G0466-Medical, new patient
• G0467-Established patient
Mental health visits:
• 	G0469-Mental health, new patient
• 	G0470- Mental health, established patient
When G0466 (Medical, new patient) and G0468 (IPPE or AWV) are reported together,
the add-on payment will be applied to G0468.
Example: Payment based on PPS rate with multiple G-codes and preventive services
Because this scenario does not qualify for an exception to a per diem payment, the system
will calculate and apply a PPS rate to only one of the specific payment codes. However,
the FQHC may list its actual charges for both specific payment codes, and the
comparison would be between the PPS rate and the total of the provider’s charges for the
specific payment codes. Payment would be based on the lesser amount.
PPS RATE, reflecting a 1.3416 adjustment for new patients or a visit including an IPPE
or AWV = 215.00
Total of provider charges for the specific payment codes (170.00 + 65.00) = 235.00
Provider’s charge for the Preventive Service = 135.00
Appropriat
e Rev Code
Appropriate
HCPCS
Code
MOD 	DOS 	Total
Charge
Covered
Charge
0521 	G0468 -
FSPC
10/01 	170.00 	170.00
0521 	G0438 - PS 	10/01 	135.00 	135.00
0300 	36415 - VP 	10/01 	25.00 	25.00
0521 	G0466 -
FSPC
10/01 	65.00 	65.00
0521 	92004 -
Ophthalmo-
logical Exam
10/01 	45.00 	45.00
0001 	440.00 	440.00
Payment based on adjusted PPS rate of 215.00
Appropriat
e Rev Code
Appropriate
HCPCS
Code
MOD 	DOS 	Total
Charge
Covered
Charge
Payment 	Coinsurance
0521 	G0468 -
FSPC
10/01 	170.00 	170.00 	199.00 	16.00
0521 	G0438 - PS 	10/01 	135.00 	135.00 	CO 97 	0
0300 	36415 - VP 	10/01 	25.00 	25.00 	CO 97 	0
0521 	G0466 -
FSPC
10/01 	65.00 	65.00 	CO 97 	0
0521 	92004 -
Ophthalmo-
logical Exam
10/01 	45.00 	45.00 	CO 97 	0
0001 	440.00 	440.00
Payment = (215.00 (PPS rate) – 135.00 (preventive service G0438) * 80% + 135.00
preventive service
Coinsurance = (215.00 (PPS rate) – 135.00 (preventive service G0438)) * 20%
Reporting Multiple Preventive Services
When multiple preventive services are reported on the same day, the coinsurance will be
determined by carving out the total preventive services charges.
Example: Payment based on PPS rate with multiple G-codes and multiple
preventive services
PPS RATE =225.00
Total G code charges (140.00 + 75.00 + 55.00) = 270.00
Total Preventive Services (135.00 +60.00) =195.00
Appropriate
Rev Code
Appropriate
HCPCS Code
MOD 	DOS 	Total
Charge
Covered
Charge
0521 	G0468 - FSPC 	10/01 	140.00 	140.00
0521 	G0439 - PS 	10/01 	135.00 	135.00
0300 	36415 - VP 	10/01 	25.00 	25.00
0521 	G0467 - FSPC 	10/01 	75.00 	75.00
0521 	97802 - PS 	10/01 	60.00 	60.00
0521 	G0466 - FSPC 	10/01 	55.00 	55.00
0521 	92004 -
Ophthalmological
Exam
10/01 	45.00 	45.00
0001 	535.00 	535.00
Payment based on PPS rate of 225.00
Appropriate
Rev Code
Appropriate
HCPCS Code
MOD 	DOS 	Total
Charge
Covered
Charge
Payment 	Coinsurance
0521 	G0468 - FSPC 	10/01 	140.00 	140.00 	219.00 	6.00
0521 	G0439 - PS 	10/01 	135.00 	135.00 	CO 97 	0
0300 	36415 - VP 	10/01 	25.00 	25.00 	CO 97 	0
0521 	G0467 - FSPC 	10/01 	75.00 	75.00 	CO 97 	0
0521 	97802 - PS 	10/01 	60.00 	60.00 	CO 97 	0
0521 	G0466 - FSPC 	10/01 	55.00 	55.00 	CO 97 	0
0521 	92004 -
Ophthalmo-
logical Exam
10/01 	45.00 	45.00 	CO 97 	0
0001 	535.00 	535.00
Payment = (225.00 – (135.00 +60.00)) * 80% + 135.00 + 60.00
Coinsurance = (225.00 (PPS rate) – (135.00 + 60.00)) * 20%
Influenza and Pneumococcal Pneumonia Vaccination (PPV) (Prior to July 1, 2025)
Flu and PPV vaccines and their administration will continue to be paid through the cost
report. However, these services should be reported on the claim for information purposes
only. Flu and PPV vaccines and their administration codes will not be carved out of the
coinsurance calculation. See section 60.2 for updates regarding billing requirements for
Medicare Part B preventive vaccines and their administration.
Example: Payment based on charges with Flu and Flu administration code services
PPS rate = 160.00
Preventive Service = 135.00
Appropriate
Rev Code
Appropriate
HCPCS Code
MOD 	DOS 	Total
Charge
Covered
Charge
0521 	G0468 - FSPC 	10/01 	150.00 	150.00
0521 	G0438 - PS 	10/01 	135.00 	135.00
0636 	90655 -
Vaccine
10/01 	15.00 	15.00
771 	G0008 -
Admin
Vaccine
10/01 	5.00 	5.00
0001 	305.00 	305.00
Payment based on charges of 150.00
Appropriat
e Rev Code
Appropriate
HCPCS Code
MOD 	DOS 	Total
Charge
Covered
Charge
Payment 	Coinsurance
0521 	G0468 - FSPC 	10/0
1
150.00 	150.00 	150.00 	0
0521 	G0438 - PS 	10/0
1
135.00 	135.00 	CO 97 	0
0636 	90655 -
Vaccine ****
10/0
1
15.00 	15.00 	CO
246***
0
0771 	G0008 Admin
Vaccine ****
10/0
1
5.00 	5.00 	CO 246 	0
0001 	305.00 	305.00
Because flu and PPV are reported on the claim for information purposes only, G0438
remains as the only service payable on this claim. Because the claim consists solely of
preventive services for which coinsurance is waived, the contractor will pay 100% of the
provider’s actual charge for the specific payment code, G0468.
*** CARC 246- This non-payable code is for required reporting only.
**** Flu/PPV are reported on the claim for information purposes only, the payment and
coinsurance are not impacted by the charges associated with the Flu/PPV vaccine and
their administration code.
Hepatitis B (prior to January 1, 2025)
Hepatitis B should be reported on the claim and is included in the claim payment. These
services will be carved out of the coinsurance calculation.
Effective January 1, 2025, Hepatitis B is treated like flu, PPV and COVID. See section
60.2 for updates regarding billing requirements for Medicare Part B preventive vaccines
and their administration.
Example: Payment based on charges with Hepatitis B
PPS rate= 160.00
Preventive Services = 20.00 (15.00 +5.00)
Appropriate
Rev Code
Appropriate
HCPCS Code
MOD 	DOS 	Total
Charge
Covered
Charge
0521 	G0467 - FSPC 	10/01 	150.00 	150.00
0521 	99213 - E&M 	10/01 	135.00 	135.00
0300 	36415 - VP 	10/01 	5.00 	5.00
0636 	90746 - PS
Vaccine
10/01 	15.00 	15.00
771 	G0010 - PS
Admin
Vaccine
10/01 	5.00 	5.00
0001 	310.00 	310.00
Payment based on charges of 150.00
Appropriat
e Rev Code
Appropriate
HCPCS Code
MOD 	DOS 	Total
Charge
Covere
d
Charge
Payment 	Coinsurance
0521 	G0467 - FSPC 	10/01 	150.00 	150.00 	124.00 	26.00
0521 	99213 - E&M 	10/01 	135.00 	135.00 	CO 97 	0
0300 	36415 - VP 	10/01 	5.00 	5.00 	CO 97 	0
0636 	90746 - PS
Vaccine
10/01 	15.00 	15.00 	CO 97 	0
0771 	G0010 - PS
Admin
Vaccine
10/01 	5.00 	5.00 	CO 97 	0
0001 	310.00 	310.00
Payment = (150.00 (charges) – 20.00 (preventive service 90746 + G0010)) * 80% +
20.00 preventive
Coinsurance = (150.00 (charges) – 20.00 (preventive service 90746 + G0010)) * 20%
Mental Health Services
Qualified mental health visits billed under revenue code 0900 receive an additional
payment when billed on the same day as a medical visit.
Example: Mental Health Services
PPS RATE for G0468: $225.00
PPS rate for G0470: $160
Total of provider’s actual charges for the specific payment codes representing medical
visits (140.00 + 75.00 + 55.00) = 270.00- This does not include charges for G0470
Provider’s charge for the specific payment code representing mental health services =
159.00
Appropriat
e Rev Code
Appropriate
HCPCS Code
MO
D
DOS 	Total
Charge
Covere
d
Charge
0521 	G0468 - FSPC 	10/01 	140.00 	140.00
0521 	G0439 - PS 	10/01 	135.00 	135.00
0300 	36415 - VP 	10/01 	25.00 	25.00
0521 	G0467 - FSPC 	10/01 	75.00 	75.00
0521 	97802 - PS 	10/01 	60.00 	60.00
0521 	G0466 - FSPC 	10/01 	55.00 	55.00
0521 	92004 -
Ophthalmo-
logical Exam
10/01 	45.00 	45.00
0900 	G0470 -
FSPC
10/01 	159.00 	159.00
0900 	90832 -
Psychotherapy
10/01 	139.00 	139.00
0636 	J3490 -
Injection
10/01 	15.00 	15.00
0001 	848.00 	848.00
Payment based on PPS rate of 225.00 for the specific payment codes describing the
medical visits and based on the provider’s actual charges for the specific payment code
describing the mental health visit.
Appropriat
e Rev Code
Appropriate
HCPCS Code
MO
D
DOS 	Total
Charge
Covere
d
Charge
Payment 	Coinsurance
0521 	G0468 - FSPC 	10/01 	140.00 	140.00 	219.00 	6.00
0521 	G0439 - PS 	10/01 	135.00 	135.00 	CO 97 	0
0300 	36415 - VP 	10/01 	25.00 	25.00 	CO 97 	0
0521 	G0467 - FSPC 	10/01 	75.00 	75.00 	CO 97 	0
0521 	97802 - PS 	10/01 	60.00 	60.00 	CO 97 	0
0521 	G0466 - FSPC 	10/01 	55.00 	55.00 	CO 97 	0
0521 	92004 -
Ophthalmo-
logical Exam
10/01 	45.00 	45.00 	CO 97 	0
0900 	G0470 -
FSPC
10/01 	159.00 	159.00 	127.20 	31.80
0900 	90832 -
Psychotherapy
10/01 	139.00 	139.00 	CO 97 	0
0636 	J3490 -
Injection
10/01 	15.00 	15.00 	CO 97 	0
0001 	848.00 	848.00
For Medical visit with revenue code 052X
Payment = (225.00 – (135.00 +60.00)) * 80% + 135.00 + 60.00
Coinsurance = (225.00 (PPS rate) – (135.00 + 60.00)) * 20%
For Mental Health visit with revenue code 0900
Payment = 159.00 *80% = 127.20
Coinsurance =159.00 * 20% = 31.80
Modifier 59
Medicare allows for an additional payment when an illness or injury occurs after the
initial visit, and the FQHC bills these visits with the specific payment codes and modifier
59. Services billed with a modifier 59 will be paid an additional per diem rate
Example: Modifier 59
PPS rate for G0468 = 225.00
Total G code charges (140.00 + 75.00 + 55.00) = 270.00 – This does not include charges
for G0470 and G-code charges for modifier 59
Total mental Health Services = 159.00
PPS rate for G0467 (billed with Modifier 59) = 160.00
Appropriate
Rev Code
Appropriate
HCPCS Code
MOD 	DOS 	Total
Charge
Covered
Charge
0521 	G0468 - FSPC 	10/01 	140.00 	140.00
0521 	G0438 - PS 	10/01 	135.00 	135.00
0300 	36415 - VP 	10/01 	25.00 	25.00
0521 	G0467 - FSPC 	10/01 	75.00 	75.00
0521 	97802 - PS 	10/01 	60.00 	60.00
0521 	G0466 - FSPC 	10/01 	55.00 	55.00
0521 	92004 -
Ophthalmological
Exam
10/01 	45.00 	45.00
0900 	G0470 - FSPC 	10/01 	159.00 	159.00
0900 	90832 -
Psychotherapy
10/01 	139.00 	139.00
0636 	J3490 - Injection 	10/01 	15.00 	15.00
0521 	G0467 - FSPC 	59 	10/01 	165.00 	165.00
0521 	99214 - E&M 	10/01 	105.00 	105.00
0001 	1118.00 	1118.00
Payment based on PPS rate of 225.00 for the G-codes, based on the charges for the
mental health visit and based on the PPS rate for G0467 billed with modifier 59.
Appropriat
e Rev Code
Appropriate
HCPCS Code
MOD 	DOS 	Total
Charge
Covere
d
Charge
Payment 	Coinsurance
0521 	G0468 - FSPC 	10/01 	140.00 	140.00 	219.00 	6.00
0521 	G0438 - PS 	10/01 	135.00 	135.00 	CO 97 	0
0300 	36415 - VP 	10/01 	25.00 	25.00 	CO 97 	0
0521 	G0467 - FSPC 	10/01 	75.00 	75.00 	CO 97 	0
0521 	97802 - PS 	10/01 	60.00 	60.00 	CO 97 	0
0521 	G0466 - FSPC 	10/01 	55.00 	55.00 	CO 97 	0
0521 	92004 -
Ophthalmological
Exam
10/01 	45.00 	45.00 	CO 97 	0
0900 	G0470 - FSPC 	10/01 	159.00 	159.00 	127.20 	31.80
0900 	90832 -
Psychotherapy
10/01 	139.00 	139.00 	CO 97 	0
0636 	J3490 - Injection 	10/01 	15.00 	15.00 	CO 97 	0
0521 	G0467 - FSPC 	59 	10/01 	165.00 	165.00 	128.00 	32.00
0521 	99214 - E&M 	10/01 	105.00 	105.00 	CO 97 	0
0001 	1118.00 	1118.00
For Medical visit with revenue code 052X
Payment = (225.00 – (135.00 +60.00)) * 80% + 135.00 + 60.00
Coinsurance = (225.00 (PPS rate) – (135.00 + 60.00)) * 20%
For Mental Health visit with revenue code 0900
Payment = 159.00 *80% = 127.20
Coinsurance =159.00 * 20% = 31.80
For G0467 billed with modifier 59
Payment = 160.00 * 80% = 128.00
Coinsurance = 160.00 * 20% = 32.00
60.4 - Billing for Supplemental Payments to FQHCs under Contract
with Medicare Advantage (MA) Plans
(Rev. 13264, Issued:06-09-25; Effective: 06-02-25; Implementation: 06-02-25)
Section 237 of the Medicare Modernization Act (MMA) requires CMS to provide
supplemental payments to FQHCs that contract with MA organizations to cover the
difference, if any, between the payment received by the FQHC for treating MA enrollees
and the payment to which the FQHC would be entitled to receive under the cost-based
all-inclusive payment rate as set forth in 42 CFR, Part 405, Subpart X.
This supplemental payment for covered FQHC services furnished to MA enrollees
augments the direct payments made by the MA organization to FQHCs for all covered
FQHC services. The Medicare per diem payment, which continues to be made for all
covered FQHC services furnished to Medicare beneficiaries participating in the original
Medicare program, is based on the FQHCs unique cost-per-visit as calculated by the
MAC. The MAC determines if the Medicare payments that the FQHC would be entitled
to exceed the amount of payments received by the FQHC from the MA organization and,
if so, pay the difference to the FQHC.
FQHCs seeking the supplemental payment are required to submit (for the first two rate
years) to the MAC an estimate of the average MA payments (per visit basis) for covered
FQHC services. They are required to submit a documented estimate of their average per
visit payment for their MA enrollees, for each MA plan they contract with, and any other
information as may be required to enable the MAC to accurately establish an interim
supplemental payment.
Expected payments from the MA organization would only be used until actual MA
revenue and visits collected on the FQHCs cost report can be used to establish the
amount of the supplemental payment.
Effective January 1, 2006, eligible FQHCs will report actual MA revenue and visits on
their cost reports. At the end of each cost reporting period the MAC shall use actual MA
revenue and visit data along with the FQHCs final all-inclusive payment rate, to
determine the FQHCs final actual supplemental per visit payment. Once this amount (per
visit basis) is determined it will serve as the interim rate for the next full rate year. Actual
aggregated supplemental payments will then be reconciled with aggregated interim
supplemental payments, and any underpayment or overpayment thereon will then be
accounted for in determining final Medicare FQHC program liability at cost settlement.
An FQHC is only eligible to receive this supplemental payment when FQHC services are
provided during a face-to-face encounter between an MA enrollee and one or more of the
following FQHC covered core practitioners: physicians, nurse practitioners, physician
assistants, certified nurse midwives, clinical psychologists, clinical social workers or a
certified diabetes self-management training/medical nutrition therapy (DSMT/MNT)
provider. The supplemental payment is made directly to each qualified FQHC through
the MAC.
Each FQHC seeking the supplemental payment is responsible for submitting a claim for
each qualifying visit to the MAC on type of bill (TOB) 77X with revenue code 0519 for
the interim supplemental payment rate (FQHC interim all-inclusive rate – estimated
average payment from the MA plan plus any beneficiary cost sharing = billed amount >
0). Do not submit revenue codes 052X and/or 0900 on the same claim as revenue code
0519.
For services of plan years beginning on and after January 1, 2006 and before, an interim
supplemental rate can be determined by the MAC based on cost report data, MACs shall
calculate an interim supplemental payment for each MA plan the FQHC has contracted
with using the documented estimate provided by the FQHC of their average MA payment
(per visit basis) under each MA plan they contract with. Once an interim supplemental
rate is determined for a previous plan year based on cost report data, use that interim rate
until the MAC receives information that changes in service patterns that will result in a
different interim rate. MACs shall calculate an interim supplemental payment rate for
each MA plan the FQHC has contracted with. Reconcile all interim payments at cost
settlement.
Do not apply the Medicare deductible when calculating the FQHC interim supplemental
payment. Do not apply the original Medicare co-insurance (20%) to the FQHC PPS rate
when calculating the FQHC interim supplemental payment. Any beneficiary cost sharing
under the MA plan is included in the calculation of the FQHC interim supplemental
payment rate.
MACs shall submit all claims to CWF for approval. CWF will verify each beneficiary’s
enrollment in an MA plan for the line-item date of service (LIDOS) on the claim. CWF
shall reject all claims for the FQHC interim supplemental payment for beneficiaries who
are not MA enrollees on the same date as the LIDOS on the claim. MACs shall RTP
such claims to the FQHCs. MACs shall accept TOB 77X with revenue code 0519 and
pay the interim supplemental payment rate for each qualified visit billed.
Billing for Supplemental Payments under the PPS
When billing for supplemental payment to the MAC under the PPS, a FQHC payment
specific code and a qualifying visit must be reported under revenue code 0519.
For example:
Appropriate
Rev Code
Appropriate HCPCS
Code
MOD 	DOS
0519 	G0467 – FQHC Payment
code
10/01
0519 	99213 – Qualifying visit 	10/01
60.5 - PPS Payments to FQHCs under Contract with MA Plans
(Rev. 13264, Issued:06-09-25; Effective: 06-02-25; Implementation: 06-02-25)
For claims with the 0519-revenue code, the wraparound payment is based on the PPS rate
without comparison to the provider’s charge. The rate is also NOT adjusted for
coinsurance or preventive services as the MA plan would have already assessed any
applicable coinsurance and related waivers of coinsurance.
Medicare will compare the PPS rate with the MA contract rate for a FQHC visit.
When the MA contract rate is lower than the applicable PPS rate that would otherwise
have been paid by traditional Medicare had the beneficiary not been covered by the MA
plan, the contractor will pay the difference as a supplemental wraparound payment.
The FQHC does not qualify for a supplemental wraparound payment when the MA
contract rate is higher than the applicable PPS rate that would otherwise have been paid
by traditional Medicare had the beneficiary not be covered by the MA plan.
Example: MA Claim that Qualifies for a Supplemental Wraparound Payment
PPS Rate = $225
Appropriate
Rev Code
Appropriate
HCPCS Code
MOD 	DOS 	Total
Charge
Covered
Charge
0519 	G0468 - FSPC 	10/01 	170.00 	170.00
0519 	G0439 - PS 	10/01 	150.00 	150.00
0001 	320.00 	320.00
If the MA contract rate is lower than the applicable PPS rate – e.g., $200:
Wraparound payment = PPS rate – MA contract rate = $225 - $200 = $25
Note that the charge of $170 would reflect the FQHCs typical charge for G0468 but
would not be used to calculate the supplemental payment.
Example: MA Claim that Does Not Qualify for a Supplemental Wraparound
Payment
PPS Rate = $225
Appropriate
Rev Code
Appropriate
HCPCS
Code
MOD 	DOS 	Total
Charge
Covered
Charge
0519 	G0468 -
FSPC
10/01 	170.00 	170.00
0519 	G0439 - PS 	10/01 	150.00 	150.00
0001 	320.00 	320.00
If the MA contract rate was higher than the applicable PPS rate – e.g., the MA contract
rate was $250- no wraparound payment is due to the FQHC.
60.6 - RHCs and FQHCs for billing Hospice Attending Physician
Services
(Rev. 11200, Issued :01-12-22, Effective: 01-01-22, Implementation: 01-03-22)
Effective for services furnished on or after January 1, 2022, RHCs or FQHCs can bill and
receive payment under the RHC All-Inclusive Rate (AIR) or FQHC Prospective Payment
System (PPS), when a designated attending physician employed by or working under
contract with the RHC or FQHC furnishes hospice attending physician services during a
patient’s hospice election.
RHCs must report a GV modifier on the claim line for payment (that is, along with the
CG modifier) each day a hospice attending physician service is furnished.
FQHCs must report a GV modifier on the claim line with the payment code (G0466 –
G0470) each day a hospice attending physician service is furnished.
The hospice attending physician services are subject to coinsurance and deductibles on
RHC claims and only coinsurance on FQHC claims.
60.7 - Virtual Communication Services
(Rev. 13803; Issued: 05-28-26; Effective: 10-01-26; Implementation: 10-05-26)
In the CY 2019 PFS final rule, CMS finalized a policy for payment to RHCs and FQHCs
for communication technology-based services (“virtual check-in”) or remote evaluation
services, effective January 1, 2019. CMS created a new Virtual Communications G Code,
G0071 for use by RHCs and FQHCs only, with the payment rate set at the average of the
PFS non-facility payment rate for communication technology-based services and remote
evaluation services.
RHCs and FQHCs receive an additional payment for the costs of communication
technology-based services or remote evaluation services that are not already captured in
the RHC AIR or the FQHC PPS payment when the requirements for these services are
met. Coinsurance and deductibles apply to RHC claims, and coinsurance applies to
FQHC claims for these services.
RHCs and FQHCs can bill HCPCS code G0071 alone or with other payable services on
an RHC or FQHC claim. The services should be billed with a revenue code 052x and
should not be billed with modifier CG for payment on RHC claims. HCPCS codes G0071
are paid based on the lesser of the charges or the rate from the Medicare Physician Fee
Schedule (MPFS).
Effective January 1, 2026, RHCs and FQHCs shall no longer report HCPCS code
G0071, the individual CPT/HCPCS base codes and add-on codes for each of the virtual
communication services should be used.
60.8 - Care Coordination Services – Chronic Care or Psychiatric
Collaborative Care Model (CoCM) Services
(Rev. 13803; Issued: 05-28-26; Effective: 10-01-26; Implementation: 10-05-26)
Effective for services furnished on or after January 1, 2018, RHCs and FQHCs are paid
for Care Coordination Services (previously referred to as “General Care Management”)
or Psychiatric CoCM services when G0511 or G0512 is billed alone or with other
payable services on an RHC or FQHC claim. HCPCS code G0511 or G0512 can only be
billed once per month per beneficiary and cannot be billed if other care management
services are billed for the same time frame.
HCPCS codes G0511 and G0512 are subject to coinsurance and deductibles on RHC
claims. Only coinsurance applies on FQHC claims. Coinsurance is 20 percent of the
lesser of the RHC or FQHC charge for HCPCS codes G0511 and G0512, or the
corresponding rate.
The allowable revenue code is 052X. These HCPCS codes of G0511 or G0512 should not
be billed with modifier CG for payment on RHC claims.
Effective for services furnished on or after January 1, 2025, RHCs and FQHCs shall bill
the individual CPT and HCPCS codes that describe care coordination services instead of
the single HCPCS G0511. However, there is a delay in compliance of this requirement.
RHCs and FQHCs may continue to bill HCPCS G0511 for care coordination services
through September 30, 2025, after which they will be required to bill the individual
HCPCS codes.
RHCs and FQHCs shall determine on a facility level basis whether they are continuing to
bill G0511 or the individual HCPCS codes and not by a claim by claim or patient by
patient basis.
Since the Advanced Primary Care Management (APCM) services are not included in
G0511, when furnishing APCM, RHCs and FQHCs shall report G0556, G0557, G0558
as appropriate effective January 1, 2025.
Effective January 1, 2026, RHCs and FQHCs can bill care coordination services
established under the Physician Fee Schedule (PFS) as designated care management
services. These care coordination codes can be found in the table entitled Designated
Care Management Services*, which is published annually with the PFS Final Rule
Addenda on the CMS website. The allowable revenue code for these services is 052X.
RHCs should not bill care coordination codes with modifier CG for payment.
Coinsurance is 20 percent of the lesser of the RHC or FQHC charge for each individual
HCPCS code, or the corresponding rate.
*Transitional Care Management services can be an RHC or FQHC visit (see section 10.1
of this Chapter and Pub. 100-02, Chapter 13, section 230.1).
The services should be submitted as:
TOB 	Appropriate
Rev Code
Appropriate HCPCS Code 	MODIFIER
77X 	052X 	Care Coordination Services HCPCS
Codes
No Modifier
71X 	052X 	Care Coordination Services HCPCS
Codes
With or Without
CG modifier
A list of all care coordination services for RHCs and FQHCs are available on the RHC
and FQHC websites at https://www.cms.gov/Center/Provider-Type/RuralHealth-Clinics-
Center and https://www.cms.gov/medicare/payment/prospectivepayment-
systems/federally-qualified-health-centers-fqhc-center, respectively.
Coinsurance and deductibles apply to RHC claims, and coinsurance applies to FQHC
claims for these services.
Please see Pub. 100-02, Chapter 13, Section 230 for more information on when Care
Coordination Services, including Psychiatric CoCM services, are furnished by RHCs and
FQHCs.
70 - General Billing Requirements for Preventive Services
(Rev. 13264, Issued:06-09-25; Effective: 06-02-25; Implementation: 06-02-25)
Professional components of preventive services are covered under the RHC and FQHC
benefit. The payment for most preventive services is included with a qualified visit as
part of the overall encounter/visit. To ensure coinsurance and deductible (deductible
applies to RHC claims only) are applied correctly, detailed HCPCS coding is required for
approved preventive services recommended by the USPSTF with a grade of A or B for
TOBs 71X or 77X. 	Additionally, there are some preventive services which are subject
to frequency limitations.
70.1 - RHCs Billing Approved Preventive Services
(Rev. 13264, Issued:06-09-25; Effective: 06-02-25; Implementation: 06-02-25)
An additional line with the appropriate site of service revenue code in the 052X series
should be submitted with the approved preventive service HCPCS code and the
associated charges. For example, if the total charge for the visit is $150.00, and $50.00
of that is a qualified preventive service, the service lines should be coded as follows:
Appropriate
Rev Code
Appropriate HCPCS Code 	MOD 	DOS 	Charges
0521 	99212 - Encounter Visit 	CG 	10/01 	100.00
0521 	G0439 - Preventive Service
Code (PS)
10/01 	50.00
In the example above, the encounter service line will receive the AIR payment. The
charges reported on this line should not include the charges for the approved preventive
service. Coinsurance and deductible will be accessed based on the charges reported on
this service line. The qualified preventive service reported on the additional service line
will not receive payment, as payment is made under the AIR for the services reported
under the encounter service line. Coinsurance and deductible are accessed based on the
charges reported on the preventive services line.
70.2 - FQHC Billing Approved Preventive Services under the PPS
(Rev. 13264, Issued:06-09-25; Effective: 06-02-25; Implementation: 06-02-25)
An additional line with the appropriate site of service revenue code in the 052X series
should be submitted with the approved preventive service (PS) HCPCS code and the
associated charges. For example, if the total charge for the visit is $150.00, report the
total charges for the encounter. NOTE: Do not carve out the charges for the approved
preventive services. The service lines should be coded as follows:
Appropriate
Rev Code
Appropriate HCPCS Code 	MOD 	DOS 	Charges
0521 	G0468 - FQHC Payment
Code (G-code)
10/01 	150.00
0771 	G0439 - PS code 	10/01 	75.00
In the example above, the services reported under the encounter/visit service line will
receive the PPS payment. The charges reported on this line should include the charges
for the approved preventive service. The coinsurance will be applied to the charges
reported on the encounter service line. Coinsurance will not be applied to the charges
reported for the approved preventive service. The qualified preventive service reported
on the second revenue line will not receive payment. NOTE: A qualified HCPCS code
visit must be reported if the preventive service is not a qualified visit.
70.3 - Preventive Vaccines
(Rev. 13547; Issued: 12-18-25; Effective: 01-20-26; Implementation: 01-20-26)
Prior to July 1, 2025, influenza virus, pneumococcal, and COVID-19 vaccines and their
administration did not count as RHC/FQHC visits. The cost for these vaccines and their
administration was included in the cost report and a visit was not billed for these services.
RHCs did not report vaccines on the claim, TOB 71X. However, for FQHCs, if there was
another reason for the visit, the vaccine and the administration code would be reported on
the claim, TOB 77X, for informational and data collection purposes only. Coinsurance
and deductible did not apply to these vaccines.
Prior to January 1, 2025, payment for the hepatitis B vaccine and its administration was
included in the RHC all-inclusive and the FQHC PPS rate. The charges of the vaccine
and its administration were included in the line item for the otherwise qualifying visit. A
visit could not be billed if the vaccine and its administration was the only service the
RHC/FQHC provides.
Effective January 1, 2025 through June 30, 2025, payment for the hepatitis B vaccine and
its administration is through the cost report and no longer included in the RHC all-
inclusive and FQHC PPS rate. The cost for these vaccines and their administration is
included in the cost report and a visit is not billed for these services. RHCs do not report
vaccines on the claim, TOB 71x. However, for FQHCs, if there was another reason for
the visit, the vaccine and the administration code should be reported on the claim, TOB
77x, for informational and data collection purposes only. Coinsurance and deductible do
not apply to these vaccines.
Effective for dates of service on or after July 1, 2025, RHCs (bill type 71x) and FQHCs
(bill type 77x), shall report all Part B preventive vaccines and their administration –
pneumococcal, influenza, hepatitis B and COVID-19 -- on the claim. A visit/encounter is
not required for these services; however, if reported on the same day, the vaccines and
administrations shall receive a separate payment. Coinsurance and deductible do not
apply to these vaccines. Although paid at the time of service, payments for these services
must be annually reconciled with the RHC or FQHC’s actual vaccine and vaccine
administration costs, to ensure these services are ultimately reimbursed at 100% of
reasonable costs through the cost report.
• 	Each year, CMS updates the Seasonal Influenza Vaccines Pricing webpage to
reflect the seasonal influenza virus vaccines and their applicable payment
allowances that are effective August 1 through July 31 of the following year.
RHCs and FQHCs must refer to this webpage to ensure they are billing the
appropriate HCPCS codes for the applicable influenza season. See the CMS
Seasonal Influenza Vaccines Pricing webpage:
https://www.cms.gov/medicare/medicare-part-b-drug-average-sales-
price/vaccine-pricing
• 	Payment for the vaccine products is based on 95% of the Average Wholesale
Price. See the CMS webpage with the ASP pricing files:
https://www.cms.gov/medicare/payment/part-b-drugs/asp-pricing-files
• 	Payment for the vaccine administration is based on the National Vaccine
Administration Fee Schedule. See the CMS webpage for the geographically
adjusted payment rates for preventive vaccine administration:
https://www.cms.gov/medicare/payment/part-b-drugs/vaccine-pricing
Note: RHCs and FQHCs can bill HCPCS code M0201 for an in-home additional payment
for influenza, pneumococcal, hepatitis B, COVID-19 vaccine administration, provided
that a home visit meets all the requirements of both part 405, subpart X, for FQHC
services provided in the home, and § 410.152(h)(3)(iii) for the in-home additional
payment for Part B preventive vaccine administration. See Pub. 100-02, Chapter 15,
Section 50.4.4.2.E for more information.
Additional information on vaccines can be found in Chapter 18, section 10 of this
manual. Additional coverage requirements for pneumococcal vaccine, hepatitis B
vaccine, COVID-19, influenza virus vaccine can be found in Publication 100-02, the
Medicare Benefit Policy Manual, Chapter 13.
Covered monoclonal antibody products used as pre-exposure prophylaxis prevention of
COVID-19 and their administration are paid at 100 percent of reasonable cost through the
cost report. Monoclonal antibody products used for the treatment or for post-exposure
prophylaxis of COVID-19 (when they are not purchased by the government) and their
administration are paid through the cost report until the end of the calendar year in which
the Emergency Use Authorization declaration for drugs and biological products with
respect to COVID-19 ends.
70.4 - Diabetes Self-Management and Training (DSMT) and Medical
Nutrition Services (MNT)
(Rev. 13264, Issued:06-09-25; Effective: 06-02-25; Implementation: 06-02-25)
FQHCs billing under the PPS
DSMT and MNT are qualifying visits when billed under G0466 or G0467. For
additional information on the payment specific codes and qualifying visits, see section
60.2 of this manual. Under the FQHC PPS, DSMT and MNT do not qualify for a
separate payment when billed on the same day with another qualified visit.
RHCs
RHCs are not paid separately for DSMT and MNT services. All line items billed on
TOB 71X with HCPCS codes for DSMT and MNT services will be denied.
70.5 - Initial Preventive Physical Examination (IPPE)
(Rev. 13264, Issued:06-09-25; Effective: 06-02-25; Implementation: 06-02-25)
RHCs billing under the AIR system
Medicare provides for coverage for one IPPE for new beneficiaries only, subject to
certain eligibility and other limitations.
Payment for the professional services will be made under the RHC AIR. However,
RHCs can receive a separate payment for an encounter in addition, to the payment for the
IPPE when they are performed on the same day.
When IPPE is provided in an RHC, the professional portion of the service is billed on
TOBs 71X, respectively, and the appropriate site of service revenue code in the 052X
revenue code series and must include HCPCS code G0402. Additional information on
IPPE can be found in Chapter 18, section 80 of Pub. 100-04 of the Medicare Claims
Processing Manual.
EKGs
The professional component is included in the RHC AIR or FQHC PPS and is not
separately billable.
The technical component of an EKG performed at an RHC/FQHC is billed to Medicare
on professional claims (Form CMS-1500 or 837P) under the practitioner’s ID following
instructions for submitting practitioner claims for independent/freestanding clinics.
Practitioners at provider-based clinics bill the applicable TOB to the A/B MAC using the
base provider’s ID.
FQHCs billing under the PPS:
IPPE is qualifying visit when billed under G0468, for additional information on the
payment specific codes and qualifying visits, please refer to section 60.2 of this manual.
Under the FQHC PPS, IPPE does not qualify for a separate payment when billed on the
same day with another encounter/visit.
80 - Telehealth Services
(Rev. 13803; Issued: 05-28-26; Effective: 10-01-26; Implementation: 10-05-26)
RHCs and FQHCs may bill the Telehealth originating site facility fee on a RHC or
FQHC claim under revenue code 0780 and HCPCS code Q3014. Telehealth services are
the only services billed on FQHC claims that are subject to the Part B deductible.
Additionally, a FQHC payment code and qualifying visit HCPCS code are not required
when the only service reported on the claim is for Telehealth services.
Before March 27, 2020, Rural Health Clinics (RHCs) and Federally Qualified Health
Centers (FQHCs) were not permitted to serve as distant sites for telehealth consultations,
meaning they could not bill for these visits or include their costs in the cost report.
Section 3704 of the CARES Act authorized RHCs and FQHCs to provide distant site
telehealth services to Medicare patients during the COVID-19 PHE. Since then, there
have been several extensions of this authority through legislation.
For the duration of the extension, CMS is required to make payment for distant site
telehealth services that is similar to the national average payment rates for comparable
telehealth services under the Physician Fee Schedule (PFS). In 2021, CMS introduced a
new HCPCS code G2025 (payment for a telehealth distant site service furnished by a
RHC or FQHC only), which allows payment for non-behavioral telehealth services.
Certain services on the telehealth list waive cost sharing; RHCs and FQHCs identify
these services by utilizing the CS modifier with HCPCS G2025.
RHCs and FQHCs can temporarily continue offering non-behavioral health visits via
telecommunication technology under the existing methodology established during the
COVID-19 Public Health Emergency (PHE) until December 31, 2027, or later date if
extended. Specifically, they can bill for services delivered through telecommunication
technology by using HCPCS code G2025 on claims, which includes services provided
through audio-only communications technology until December 31, 2027, or later date if
extended.
Beginning January 1, 2022, RHCs and FQHCs may report and receive payment for
mental health visits furnished via telecommunication technology. These services are
billed in the same manner as in-person visits, rather than using HCPCS code G2025.
RHCs and FQHCs are instructed to append modifier 95 (Synchronous Telemedicine
Service Rendered via Real-Time Interactive Audio and Video Telecommunications
System) in instances where the mental health visit was furnished using audio-video
communication technology and to append modifier 93 (Synchronous Telemedicine
Service Rendered Via Telephone or Other Real-Time Interactive Audio-Only
Telecommunications System) in cases where the service was furnished using audio only
communication.
For more information on Telehealth services please see Pub. 100-04, Medicare Claims
Processing Manual, Chapter 12, Section 190: http://www.cms.gov/Regulations-and-
Guidance/Guidance/Manuals/Downloads/clm104c12.pdf 	and Pub. 100-02, Medicare
Benefit Policy Manual, Chapter 13, Section 200:
https://www.cms.gov/regulations-and-
guidance/guidance/manuals/downloads/bp102c13.pdf
90 - Services non-Covered on RHC and FQHC Claims
(Rev. 13264, Issued:06-09-25; Effective: 06-02-25; Implementation: 06-02-25)
Technical Services
RHCs/FQHCs do not bill using TOBs 71X or 77X for technical components of services
because they are not within the scope of Medicare-covered RHC/FQHC services. The
associated technical components of services furnished by the RHC/FQHC are billed on
other types of claims that are subject to applicable frequency limits edits.
For services that can be split into professional and technical components, RHCs and
FQHCs bill for the professional component as part of the AIR or the FQHC PPS payment
and bill the MAC separately for the technical component. See Pub. 100-04, Medicare
Claims Processing Manual Chapter 16, Section 30.1.1, for more information on how
RHCs and FQHCs can bill the MAC for laboratory service:
(http://www.cms.hhs.gov/manuals/downloads/clm104c16.pdf) and see Pub. 100-02,
Medicare Benefit Policy Manual, Chapter 13, Section 60, for more information on how to
bill the MAC for technical components of diagnostic services:
(https://www.cms.gov/regulations-and-
guidance/guidance/manuals/downloads/bp102c13.pdf.)
Technical services/components associated with professional services/components
performed by independent RHCs or FQHCs are submitted to the MAC in the designated
claim format (837P or Form CMS-1500.) See Pub. 100-04, Medicare Claims Processing
Manual, Chapter 12
(http://www.cms.hhs.gov/manuals/downloads/clm104c12.pdf) and Chapter 26
(http://www.cms.hhs.gov/manuals/downloads/clm104c26.pdf) of this manual for billing
instructions.
Technical services/components associated with professional services/components
performed by provider-based RHCs or FQHCs are submitted by the base-provider on the
appropriate TOB to the MAC in the designated claim format (837I or the UB-04 claim
form); see the applicable chapters of this manual based on the base-provider type, such as
for outpatient hospital services, see Pub. 100-04, Medicare Claims Processing Manual,
Chapter 4 (http://www.cms.hhs.gov/manuals/downloads/clm104c04.pdf), for inpatient
SNF services, chapter 6 (http://www.cms.hhs.gov/manuals/downloads/clm104c06.pdf),
and for outpatient SNF services, Chapter 7
(http://www.cms.hhs.gov/manuals/downloads/clm104c07.pdf)
Laboratory Services
RHCs must furnish the following lab services to be approved as an RHC. However,
these and other lab services that may be furnished are not included in the encounter rate
and must be billed separately.
• 	Chemical examinations of urine by stick or tablet method or both
• 	Stick or tablet urine examine or both
• 	Blood sugar.
• 	Pregnancy tests; and
• 	Collection of patient specimens to send to a certified lab for culturing.
RHCs/FQHCs bill all laboratory services to their MAC under the host provider’s bill type
and payment is made under the fee schedule. HCPCS codes are required for lab services.
Venipuncture is included in the AIR and the PPS per diem payment and is not separately
billable.
Refer to Pub. 100-04, Medicare Claims Processing Manual, Chapter 16 for general
billing instructions, (http://www.cms.hhs.gov/manuals/downloads/clm104c16.pdf.)
Durable Medical Equipment (DME), ambulance services, hospital-based services, group
services, and non-face-to-face services are also non-covered and are billed separately.
100 - Frequency of Billing and Same Day Billing
(Rev. 3434, Issued: 12-31-15, Effective: 03-31-16, Implementation: 03-31-16)
RHC and FQHC claims cannot overlap calendar years. Therefore, the statement dates, or
from and through dates of the claim, must always be in the same calendar year.
RHCs and FQHCs billing under the FQHC PPS may submit claims that span multiple
days of service.
FQHCs billing under the PPS must submit all services that are rendered on the same day
on one claim.
General information on basic Medicare claims processing can be found in this manual in:
Chapter 1, “General Billing Requirements,”
(http://www.cms.hhs.gov/manuals/downloads/clm104c01.pdf) for general claims
processing information;
Chapter 2, “Admission and Registration Requirements,”
(http://www.cms.hhs.gov/manuals/downloads/clm104c02.pdf) for general filing
requirements applicable to all providers.
For Medicare institutional claims:
See the Medicare Claims Processing Manual on the CMS website for general
Medicare institutional claims processing requirements, such as for timely filing
and payment, admission processing, and Medicare Summary Notices.
Contact your MAC for basic training and orientation material if needed.
110 - Intensive Outpatient Program (IOP) Services
(Rev. 13264, Issued:06-09-25; Effective: 06-02-25; Implementation: 06-02-25)
Effective January 1, 2024, section 4124 of the Consolidated Appropriations Act of 2023
(CAA, 2023) establishes Medicare coverage and payment for Intensive Outpatient
Program (IOP) services for individuals with mental health needs when furnished by
hospital outpatient departments, Community Mental Health Centers (CMHCs), Rural
Health Clinics (RHCs), and Federally Qualified Health Centers (FQHCs).
Section 4124(c) of the CAA, 2023 requires payment for IOP services furnished by RHCs
and FQHCs to be made at the same payment rate as if it were furnished by a hospital.
For additional information regarding IOP benefits and services, see Pub. 100-02,
Medicare Benefit Policy Manual, Chapter 13, Section 250.
A. Billing Requirements
• 	TOB: 71X (RHC) or 77X (FQHC)
• 	Date of services for 3 or less services: on or after 01/01/24
• 	Date of services for 4 or more: on or after 01/01/25
• 	Revenue codes: 0905 or 0519 (MA claim).
• 	Condition code 92.
• 	HCPCS codes listed below for (a) primary services and (b) other services.
a. 	Primary Services:
90832, 90834, 90837, 90845, 90846, 90847, 90853, 90880, 96112, 96116,
96130, 96132, 96136, 96138, G0410, G0411
b. 	Other Services:
90785, 90791, 90792, 90832, 90833, 90834, 90836, 90837, 90838, 90839
,90840, 90845, 90846, 90847, 90849, 90853, 90880, 90899, 96112, 96116,
96130, 96131, 96132, 96133, 96136, 96137, 96138, 96139, 96146, 96156,
96158, 96164, 96167, 97151, 97152, 97153, 97154, 97155, 97156, 97157,
97158, G0129, G0176, G0177, G0410, G0411, G0451
c. 	At least one IOP HCPCS code from the (a) Primary Services above must
be included on the claim for payment. Additional IOP services listed on
the claim will be bundled for that specific day.
• 	A FQHC payment code and qualifying visit is not required with a IOP visit.
• 	FQHCs must report charges on the primary service line for all IOP services
furnished that day to be included in the calculation for coinsurance.
• 	RHCs must also report the CG modifier on the line for payment along with the
charges.
B. Multiple Visits
• 	Encounters with more than one health professional and multiple encounters with
the same health professional that take place on the same day and a single location
constitute a single visit, except when a patient has a medical visit and a mental
health visit on the same day or when a patient has an initial preventive physical
exam and a separate medical or mental health visit on the same day. Since IOP
services are behavioral health services, payment for a mental health visit and IOP
services on the same day is allowed but paid a single payment based on the IOP
rate. In the case of a medical visit, an encounter can include a medical visit and a
mental health visit or a medical visit and IOP services on the same day. However,
an encounter cannot include two mental health visits on the same day.
Note: Report a line-item date of service per revenue code line for IOP
claims. This means each service (revenue code) provided must be repeated on a
separate line item along with the specific date the service was provided for every
occurrence.
Examples:
• 	IOP services are furnished on the same day as a mental health visit, only one
payment will be considered at the IOP rate. That is, payment for the mental health
visit will be 	included under the IOP rate.
• 	IOP services are furnished on the same day as a medical visit, there will be one
payment for the medical visit under the FQHC PPS or under the RHC AIR
methodology and one payment for IOP services at the IOP rate.
Mental health services should continue to be reported with revenue code 0900. Do not
report IOP services with revenue code 0900. IOP services should be billed with revenue
code 0905.
C. FQHC Supplement Payments
To receive the wrap-around payment, FQHCs that contract with MA organizations must
report condition code 92, revenue code 0519 and a HCPCS code from the Primary List A.
Please see section 60.4 of this chapter for additional information on Supplement
Payments.
D. Payment
Payment for Intensive Outpatient (IOP) services provided by Rural Health Clinics
(RHCs) will be based on the rate established for hospital-based IOPs, which is the per
diem payment amount for three services per day or four or more-day services, rather than
the RHC All-Inclusive Rate (AIR).
Payment for IOP services furnished in FQHC will be the lesser of a FQHC actual charges
or the rate determined for hospital-based IOPs and not the FQHC PPS. Additionally,
historically excepted tribal FQHCs will have their payment based on the IHS Medicare
outpatient per visit rate when furnishing IOP services. That is, payment is based on the
lesser of a historically excepted tribal FQHC actual charges or the IHS Medicare
outpatient per visit rate.
Coinsurance and deductibles apply to RHC claims, and coinsurance applies to FQHC
claims for these services.
Only one payment rate is allowed per day for the IOP services.
Transmittals Issued for this Chapter
Rev # 	Issue Date 	Subject 	Impl Date 	CR#
R13803CP 	05/28/2026 Rural Health Clinics (RHCs) and
Federally Qualified Health Centers
(FQHCs) Updates for Shared System
Edits for Category II Codes, Care
Coordination Services and Revisions to
the Internet Only Manual (IOM)
Publications (Pub.) 100-04, Chapter 9
10/05/2026 	14452
R13772CP 	05/07/2026 Rural Health Clinics (RHCs) and
Federally Qualified Health Centers
(FQHCs) Updates for Shared System
Edits for Category II Codes, Care
Coordination Services and Revisions to
the Internet Only Manual (IOM)
Publications (Pub.) 100-04, Chapter 9-
Rescinded and replaced by Transmittal
13803
10/05/2026 	14452
R13547CP 	12/18/2025 Revisions to Publication 100-04,
Medicare Claims Processing Manual,
Chapters 9, 18, and Publication 100-02,
Medicare Benefit Policy Manual,
Chapter 13 To Include Updated
Information
01/20/2026 	14254
R13264CP 	06/09/2025 	Updates to Medicare Claims
Processing Manual for Rural Health
Clinics (RHC) and Federally Qualified
Health Centers (FQHC) Chapter 9
06/02/2025 	13964
R13200CP 	05/01/2025 	Updates to Medicare Claims
Processing Manual for Rural Health
Clinics (RHC) and Federally Qualified
Health Centers (FQHC) Chapter 9-
Rescinded and replaced by Transmittal
13264
06/02/2025 	13964
R12070CP 	06/07/2023 	Internet Only Manual Update to
Publication 100-04, Chapters 9 and 18
to Clarify Vaccine Payment
Instructions for Rural Health Clinics
(RHCs) and Federally Qualified Health
Centers (FQHCs)
07/10/2023 	13218
R11200CP 	01/12/2022 	Implementation of the GV Modifier for
Rural Health Clinics (RHCs) and
01/03/2022 	12357
Federally Qualified Health Centers
(FQHCs) for Billing Hospice Attending
Physician Services
R11095CP 	10/29/2021 	Implementation of the GV Modifier for
Rural Health Clinics (RHCs) and
Federally Qualified Health Centers
(FQHCs) for Billing Hospice Attending
Physician Services - Rescinded and
replaced by Transmittal 11200
01/03/2022 	12357
R11029CP 	09/29/2021 	Implementation of the GV Modifier for
Rural Health Clinics (RHCs) and
Federally Qualified Health Centers
(FQHCs) for Billing Hospice Attending
Physician Services - Rescinded and
replaced by Transmittal 11095
01/03/2022 	12357
R10907CP 	08/10/2021 	Implementation of the GV Modifier for
Rural Health Clinics (RHCs) and
Federally Qualified Health Centers
(FQHCs) for Billing Hospice Attending
Physician Services - Rescinded and
replaced by Transmittal 11029
01/03/2022 	12357
R10357CP 	09/18/2020 	Update to the Internet Only Manual
(IOM) Publication (Pub.) 100-04,
Chapter 9, Section 70.7 and 70.8.
10/19/2020 	11961
R3434CP 	12/31/2015 	Reorganization of Chapter 9 	03/31/2016 	9397
R3000CP 	07/25/2014 	Update to Pub. 100-04, Chapter 09 to
Provide Language-Only Changes for
Updating ASC X12
08/25/2014 	8670
R2186CP 	03/28/2011 	Waiver of Coinsurance and Deductible
for Preventive Services in Rural Health
Clinics (RHCs), Section 4104 of
Affordable Care Act (ACA)
04/04/2011 	7208
R2122CP 	12/21/2010 	Waiver of Coinsurance and Deductible
for Preventive Services in Rural Health
Clinics (RHCs), Section 4104 of
Affordable Care Act (ACA) –
Rescinded and replaced by Transmittal
2186
04/04/2011 	7208
R2093CP 	11/12/2010 	Waiver of Coinsurance and Deductible
for Preventive Services in Rural Health
Clinics (RHCs), Section 4104 of
Affordable Care Act (ACA) –
Rescinded and replaced by Transmittal
2122
04/04/2011 	7208
R2034CP 	08/24/2010 	Affordable Care Act (ACA) Mandated
Collection of Federally Qualified
Health Center (FQHC) Data and
Updates to Preventive Services
Provided by FQHCs
01/03/2011 	7038
R2013CP 	07/30/2010 	Affordable Care Act (ACA) Mandated
Collection of Federally Qualified
Health Center (FQHC) Data and
Updates to Preventive Services
Provided by FQHCs - Rescinded and
replaced by Transmittal 2034
01/03/2011 	7038
R1843CP 	10/30/2009 	Outpatient Mental Health Treatment
Limitation
01/04/2010 	6686
R1719CP 	04/24/2009 	Rural Health Clinic (RHC) and
Federally Qualified Health Clinic
(FQHC) Updates
10/05/2009 	6445
R1707CP 	03/27/2009 	Assignment of Initial Enrollment
FQHC’S, ESRD Facilities, and RHC’s
04/27/2009 	6207
R1472CP 	03/06/2008 	Update of Institutional Claims
References
04/07/2008 	5893
R1426CP 	02/01/2008 	Announcement of Medicare Rural
Health Clinics (RHCs) and Federally
Qualified Health Centers (FQHCs)
Payment Rate Increases
02/12/2008 	5896
R1421CP 	01/25/2008 	Update of Institutional Claims
References - Rescinded and Replaced
by Transmittal 1472
04/07/2008 	5893
R1255CP 	05/25/2007 	Guidelines for Payment of Diabetes
Self-Management Training DSMT)
07/02/2007 	5433
R1158CP 	01/19/2007 	Guidelines for Payment of Diabetes
Self-Management Training DSMT) –
Replaced by Transmittal 1255
07/02/2007 	5433
R820CP 	02/01/2006 	Sites of Service Revenue Codes for
Rural Health Clinics and Federally
Qualified Health Centers
07/03/2006 	4210
R794CP 	12/29/2005 	Announcement of Medicare
Supplemental Payments to Federally
Qualified Health Centers Under
Contract with Medicare Advantage
Plan
04/03/2006 	3886
R773CP 	12/02/2005 	Announcement of the Medicare
Federally Qualified Health Center
Supplemental Payment
04/03/2006 	3886
R771CP 	12/02/2005 	Revisions to Pub. 100-04, Medicare
Claims in Preparation for the National
Provider Identifier (NPI)
01/03/2006 	4181
R371CP 	11/19/2004 	Updated Billing Instructions for Rural
Health Clinics (RHCs) and Federally
Qualified Health Centers (FQHCs)
04/04/2005 	3487
R167CP 	04/30/2004 	Discontinued Use of Revenue Code
0910
10/04/2004 	3194
R001CP 	10/01/2003 	Initial Publication of Manual 	NA 	NA
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