Medicare Program; Additions To and Deletions From the Current List of Covered Surgical Procedures for Ambulatory Surgical Centers

Federal RegisterJan 26, 1995

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SUMMARY: This final notice with comment period implements section

1833(i)(1) of the Social Security Act, which requires, in part, that

the list of covered ambulatory surgical center (ASC) procedures be

reviewed and updated at least every 2 years.

This notice announces the specific additions to and deletions from

the list of surgical procedures for which facility services are covered

when the procedures are performed in a Medicare-participating ASC, as

well as the assigned payment groups for each addition. The notice also

announces a change in our criteria for deleting procedures from the ASC

list. This notice also responds to public comments received in response

to our proposed notice published December 14, 1993 (58 FR 65357). In

that notice, we requested comments on the proposed additions to and

deletions from the list of covered surgical procedures for ASCs; the

proposed quantitative change in our deletion criteria; the development

of alternatives to the proposed quantitative deletion criteria; and the

assignment of payment groups for each addition.

Finally, this notice solicits public comment on certain additions

to and deletions from the ASC list that had not been suggested in our

December 1993 proposed notice. It also solicits public comment on the

assignment of payment groups for certain new procedure codes.

EFFECTIVE DATE: The effective date of this notice is February 27, 1995,

except as follows. The effective date for the procedures that are being

deleted from the ASC list, as listed in Addendum A, is April 26, 1995.

The effective date for the procedures that were deleted from the

list as a result of deletions from the 1992 Physicians' Current

Procedural Terminology (CPT), as listed in part 1 of Addendum C, is

March 31, 1992. The effective date for the procedures that were added

to the list as a result of additions to the 1992 CPT, as listed in part

2 of Addendum C, is January 30, 1992.

The effective date for the procedures that were deleted from the

list as a result of deletions from the 1993 CPT, as listed in part 3 of

Addendum C, is July 7, 1993. The effective date for the procedures that

were added to the list as a result of additions to the 1993 CPT, as

listed in part 4 of Addendum C, is January 1, 1993.

The effective date for the procedures that were deleted from the

list as a result of deletions from the 1994 CPT, as listed in part 5 of

Addendum C, is April 11, 1994. The effective date for the procedures

that were added to the list as a result of additions to the 1994 CPT,

as listed in part 6 of Addendum C, is January 1, 1994.

COMMENT DATES: We are requesting public comment on the addition of, and

assignment of payment groups for, the following new CPT codes, which

are listed in Addendum B (since these codes were not suggested in our

December 1993 proposed notice): CPT codes 29804, 43259, 51040, 52450,

56309, 56316, 56317, 56351, 56356, and 64421. We are requesting public

comment on the appropriateness of the deletion of the CPT codes listed

in Addendum C, part 5, and the deletion of CPT code 36522, listed in

Addendum A, because these codes were not suggested in our December 1993

proposed notice. Additionally, we are requesting public comment on the

appropriateness of the addition of, and assignment of payment groups

for, the CPT codes listed in part 6 of Addendum C. Comments will be

considered if we receive them at the appropriate address, as provided

below, no later than 5 p.m. on March 27 1995.

ADDRESSES: Mail written comments (1 original and 3 copies) to the

following address: Health Care Financing Administration, Department of

Health and Human Services, Attention: BPD-776-FNC, P.O. Box 26688,

Baltimore, MD 21207.

If you prefer, you may deliver your written comments (1 original

and 3 copies) to one of the following addresses:

Room 309-G, Hubert H. Humphrey Building, 200 Independence Avenue, SW.,

Washington, DC 20201, or

Room 132, East High Rise Building, 6325 Security Boulevard, Baltimore,

MD 21207.

Because of staffing and resource limitations, we cannot accept

comments by facsimile (FAX) transmission. In commenting, please refer

to file code BPD-776-FNC. Comments received timely will be available

for public inspection as they are received, generally beginning

approximately 3 weeks after publication of a document, in Room 309-G of

the Department's offices at 200 Independence Avenue, SW., Washington,

DC, on Monday through Friday of each week from 8:30 a.m. to 5 p.m.

(phone: (202) 690-7890).

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FOR FURTHER INFORMATION CONTACT: Jackie Sheridan, (410) 966-4635 for

Additions or Deletions. Joan Sanow, (410) 966-5723 for Payment Groups.

SUPPLEMENTARY INFORMATION:

I. Background

Section 934 of the Omnibus Reconciliation Act of 1980 (Public Law

96-499), enacted on December 5, 1980, amended sections 1832(a)(2) and

1833 of the Social Security Act (the Act) to authorize the Secretary to

provide benefits for services furnished in an ambulatory surgical

center (ASC). Section 1833(i)(1) of the Act requires the Secretary to

specify, in consultation with appropriate medical organizations,

surgical procedures that, although appropriately performed in an

inpatient hospital setting, can also be performed safely on an

ambulatory basis. The report accompanying the legislation explained

that the Congress intended that procedures currently performed on an

ambulatory basis in a physician's office, which do not generally

require the more elaborate facilities of an ASC, should not be included

in the list of covered procedures (H.R. Rep. No. 1167, 96th Congress,

2d Session 390 (1980), reprinted in 1980 U.S.C.C.A.N. 5526, 5753).

On August 5, 1982, we published a final rule in the Federal

Register (47 FR 34094) to establish Medicare coverage for ASC services

at 42 CFR part 416. These regulations were amended on November 14, 1986

(51 FR 41351), June 12, 1987 (52 FR 22454), and April 7, 1988 (53 FR

11508). We implement the [[Page 5186]] provision requiring the

Secretary to publish a list of procedures covered in an ASC through

issuance of periodic notices in the Federal Register.

Section 9343 of the Omnibus Budget Reconciliation Act of 1986 (OBRA

'86) (Public Law 99-509), enacted on October 21, 1986, amended section

1833(i)(1) of the Act to require that the ASC list of procedures be

reviewed and updated by April 21, 1987, and not less often than every 2

years thereafter. As a result, we published updates in the Federal

Register on April 21, 1987 (52 FR 13176), June 1, 1989 (54 FR 23540),

and December 31, 1991 (56 FR 67666). These updates supplement the

original list of covered ASC procedures published on August 5, 1982 (47

FR 34099).

In line with the Congressional intent, current regulations (42 CFR

416.65(a)) list the following general requirements regarding the range

of covered ASC services:

Procedures on the list are commonly performed on an

inpatient basis but, consistent with accepted medical practice, also

may be performed in an ASC.

The list excludes procedures that are commonly performed,

or may be safely performed, in a physician's office.

Procedures are limited to those requiring a dedicated

operating room and generally do not require an overnight stay.

The list does not contain procedures excluded from

Medicare coverage.

In addition, current regulations (Sec. 416.65(b)) list the

following specific requirements:

Covered surgical procedures are limited to those that do

not generally exceed--

+ A total of 90 minutes operating time; and

+ A total of 4 hours recovery or convalescent time.

If the covered surgical procedures require anesthesia, the

anesthesia must be--

+ Local or regional anesthesia; or

+ General anesthesia of 90 minutes or less duration.

Covered surgical procedures may not be of a type that--

+ Generally result in extensive blood loss;

+ Require major or prolonged invasion of body cavities;

+ Directly involve major blood vessels; or

+ Are generally emergency or life-threatening in nature.

Currently, ASC covered procedures are classified according to an

eight group payment classification system, as follows:

Group 1--$295

Group 2--$395

Group 3--$453

Group 4--$558

Group 5--$637

Group 6--$750 ($600+$150)

Group 7--$883

Group 8--$880 ($730+$150)

(The $150 payment allowance in Groups 6 and 8 is for intraocular lenses

(IOLs).) A ninth payment group allotted exclusively to extracorporeal

shock wave lithotripsy (ESWL) services was established in the notice

with comment period published December 31, 1991 (56 FR 67666). The

decision in American Lithotripsy Society v. Sullivan, 785 F. Supp. 1034

(D.D.C. 1992) prohibits us from paying for these services under the ASC

benefit at this time. ESWL payment rates are the subject of a separate

Federal Register proposed notice, which was published October 1, 1993

(58 FR 51355).

The ASC facility payment for all procedures in each group is

established at a single rate adjusted for geographic variation. This

prospectively determined facility group rate does not include

physicians' fees and other medical items and services (for example,

prosthetic devices, except IOLs) for which separate payment is

authorized under other provisions of the Medicare program. Rather, the

rate is a standard overhead amount that covers the cost of services

such as nursing, supplies, equipment, and use of the facility.

Section 9343 of OBRA '86 amended section 1833(i)(2)(A) of the Act

to require updating of the ASC payment rates annually beginning no

later than July 1, 1987. In addition, so that the most current wage

index values can be used in determining payment amounts for ASC

facility services, annual ASC payment rate updates are implemented

concurrently with the annual update of the inpatient hospital

prospective payment system (PPS) wage index published in the Federal

Register.

Section 13531 of the Omnibus Budget Reconciliation Act of 1993

(OBRA '93) (Public Law 103-66), enacted on August 10, 1993, prohibited

the Secretary from providing for any inflation update in the ASC

payment rates for fiscal year 1995. In addition, the legislation

reduced the allowance for an IOL furnished during or subsequent to

cataract surgery performed in an ASC from $200 to $150 beginning

January 1, 1994, and before January 1, 1999. As a result, the payment

rates and the $150 payment allowance for an IOL in Groups 6 and 8 will

remain the same in fiscal year 1995.

In our December 1991 notice, we stated that changes in ASC payment

rates and the list of ASC covered procedures would be implemented

concurrently during the years in which both are updated (56 FR 67677).

The ASC payment rates and the ASC procedure list were updated

concurrently for the first time effective for ASC services furnished

beginning December 31, 1991. Because of the OBRA '93 freeze on the ASC

payment rates for fiscal year 1995, the ASC payment rate update notice

will not be published this year although we will instruct our carriers

to adopt the fiscal year 1995 hospital inpatient PPS wage index,

published in the Federal Register on September 1, 1994 (59 FR 45330),

to adjust payment rates for regional wage differences.

II. Provisions of the Proposed Notice

In the proposed notice, which was published December 14, 1993 (58

FR 65357), we proposed specific procedures for addition to or deletion

from the ASC list. These proposed changes were the result of our

consideration of data on site of service from the National Claims

History File (NCHF) and general correspondence received from the public

and medical community over the few years preceding publication of the

proposed notice. (The NCHF is a database maintained by our Bureau of

Data Management and Strategy. The data in the NCHF are derived from 100

percent of the Medicare Part A and Part B claims processed.) For each

proposed addition, we proposed a payment group based on payment rates

for codes on the existing ASC list, and in the same Physicians' Current

Procedural Terminology (CPT) grouping, that are similar in surgical

method and resource consumption. (The CPT is published annually by the

American Medical Association.)

With the advice of our medical staff, we proposed to add surgical

procedures that are performed in ASCs and meet certain standards

contained in existing regulations. We also proposed to modify our

criteria for deleting procedures from the ASC list. As the practice of

medicine has changed over the years, procedures that were at one time

commonly performed on an inpatient basis gradually have shifted to the

hospital outpatient department (OPD) as the most common site of

service, and a few eventually have shifted to the physician's office as

the primary site of service. Procedures that are not performed on an

inpatient basis or are primarily performed in a physician's

[[Page 5187]] office no longer meet the conditions specified in

regulations. This development results in a corresponding change in

claims data to lower inpatient and higher physician's office site-of-

service performance percentages, and these procedures no longer meet

our 20/50 site-of-service criteria. By 20/50 site-of-service criteria,

we mean that if a procedure is performed on an inpatient basis 20

percent of the time or less, or in a physician's office 50 percent of

the time or more, it should not be covered when performed in an ASC. We

may make exceptions and override the criteria if we believe the data

are inaccurate or if there are medical reasons to override the data.

If we had strictly applied the 20/50 criteria to our current ASC

list without making exceptions, we would have been proposing deletion

of a number of procedures, such as cataract removal, that we believe

are appropriate to the ASC setting. We were also concerned with what

might be termed a ``ping-pong'' situation; that is, adding a procedure

during one update with 49 percent physician's office performance and

then deleting it during the next update if it reached 51 percent

physician's office performance. Consequently, we proposed the following

criteria for deleting a procedure from ASC coverage: The combined

inpatient, OPD, and ASC site-of-service percentage is less than 46

percent of the total volume; and either--

The procedure is performed 50 percent of the time or more

in a physician's office; or

The procedure is performed 10 percent of the time or less

in an inpatient hospital setting.

This proposed change would allow the site of service for procedures

in the physician's office to grow from below 50 percent (when it is

added) to as high as 54 percent, as long as the percentage of time the

procedure is performed in a facility with a dedicated operating room

remains at 46 percent. Similarly, the criteria allow procedures to move

from an inpatient hospital site of service to an OPD site of service

and still remain on the ASC list. To determine whether a procedure

should be added to the ASC list, we indicated that we would continue to

use the 20/50 site-of-service criteria.

We incorporate annual revisions of the CPT into our list of

procedures covered in an ASC. Therefore, we also proposed for public

comment the procedure codes that were added to or deleted from the ASC

list through changes to the Medicare Carriers Manual as a result of

updates of the 1992 and 1993 editions of the CPT.

In addition, we proposed to remove from the ASC list five CPT codes

that involve procedures relating to the usage of implantable infusion

pumps not covered by Medicare.

III. Analysis of and Responses to Public Comments

In our December 1993 proposed notice, we requested comments on the

proposed quantitative change in our deletion criteria; the development

of alternatives to the proposed quantitative deletion criteria;

proposed additions to and deletions from the ASC list; and the

assignment of payment groups for each addition. In response, we

received 558 timely public comments from 191 urologists, 107 ASCs, 52

anesthesiologists, 50 patients, 30 ophthalmologists, 26 psychiatrists,

28 plastic surgeons, 14 obstetrician/ gynecologists, 8

gastroenterologists, 6 dermatologists, 19 professional/medical

societies, and 27 others (that is, neurologists, attorneys,

radiologists, a Medicare director, a podiatrist, an accountant,

otolaryngologists, a supplier, and an oncologist). A summary of these

comments and our responses to them follows:

Criteria for Determining Procedures for Coverage in an ASC

In our December 1993 proposed notice, we announced our intention to

apply alternative utilization threshold criteria for deleting

procedures from ASC coverage. That is, rather than deleting procedures

that fall below the current coverage threshold, we proposed alternative

criteria for deleting procedures that examine the incidence of

dedicated operating room use (combined ASC, OPD, and inpatient site-of-

service utilization) in determining if a procedure that has dropped

below the 20 percent inpatient criteria should remain covered in an

ASC. We specifically solicited comments on the alternative criteria.

However, we did not receive any comments on this issue.

In addition, we requested comments on developing alternatives to

the quantitative criteria we currently use in developing the ASC list.

We received 64 comments regarding our current site-of-service-based

criteria. The commenters included 35 ASCs, 16 urologists, 4

anesthesiologists, and 9 professional societies.

Comment: Several commenters stated that our criteria are outdated,

reflecting a period when surgery was rarely performed on an outpatient

basis. They noted an absence of scientific or medical literature

supporting the thresholds used. Therefore, they believed the criteria

are arbitrary.

Response: The inpatient and physician's office utilization

thresholds serve as a reasonable interpretation of the statutory

language ``appropriately performed on an inpatient basis.'' That is, we

believe that if a procedure is performed at least 20 percent of the

time on an inpatient basis and no more than 50 percent of the time in a

physician's office, we can reasonably regard the procedure as

appropriate to the inpatient setting. Section 1833(i)(1) of the Act

requires the Secretary to ``specify those surgical procedures which are

appropriately (when considered in terms of the proper utilization of

hospital inpatient facilities) performed on an inpatient basis in a

hospital but which also can be performed safely on an ambulatory

basis'' in an ASC. Thus, section 1833(i)(1) of the Act is clear that

procedures included on the ASC list of covered procedures must be those

that are appropriately performed on an inpatient basis.

In developing regulations that implemented section 1833(i)(1) of

the Act, we prepared the criteria set forth at 42 CFR 416.65 (``Covered

surgical procedures''). Those regulations specify conditions for

coverage of procedures that are commonly performed on an inpatient

basis but may be safely performed on an outpatient basis. These

conditions include requirements such as operating room time not

exceeding 90 minutes, recovery period not exceeding 4 hours, limited

blood loss, and limited invasion of body cavities. We believe that

these criteria reasonably meet the conditions set forth in the

legislation.

For several years, we used only the qualitative criteria described

in the regulations. We added procedures to the list based on

physicians' review of procedures recommended by medical organizations.

This system resulted in only a limited number of procedures being added

to the ASC list.

Patient variability made it difficult for our physicians to

accurately determine procedures that should be added to the list,

especially procedures that are close to the cut-off of the qualitative

criteria; for example, a surgery time of 2 hours or a recovery time of

4\1/2\ hours. A given procedure varies with patient condition. That is,

a procedure that may be accomplished in 90 minutes for one patient may

take 120 minutes for another.

In developing the 1987 update of the ASC list, we determined that a

numerical threshold based on site of service should be used to assist

us in implementing section 1833(i)(1) of the [[Page 5188]] Act. We

believed criteria based on site of service, as shown in our current

claims data, would yield a range of procedures for review by our staff

of physicians to include on the ASC list. In this way, we would have

support for the addition of procedures physicians generally perform on

an inpatient basis. Our physicians then review the complete list of

procedures that meet the threshold criteria and determine which meet

the qualitative criteria in our regulations.

We acknowledge that utilization of outpatient surgical settings has

increased considerably since we first initiated the threshold criteria

in 1987. For this reason, we proposed altering the criteria for

deleting procedures from the ASC covered procedures list. We thus

recognize some movement to the outpatient setting without eliminating

coverage. However, once a procedure is performed in a physician's

office the majority of the time and does not require the setting of an

ASC, OPD, or inpatient hospital 46 percent of the time, we believe that

section 1833(i)(1) of the Act requires that we delete ASC coverage of

the procedure.

When preparing the December 1993 proposed notice, we considered

policy alternatives and discussed reverting to physician judgment

exclusively. However, we believe that this option is too subjective,

leaving policy decisions solely to the discretion of a few. If we were

challenged by another physician's opinion, we could be presented with

the situation of two equally qualified professionals with different

opinions. Thus, we believe that some objective criteria are essential

in determining coverage of procedures in an ASC.

Comment: Some commenters believed that the Common Working File

(CWF) is inadequate for assessing site of service. (The CWF is a

Medicare Part A and Part B benefit coordination and prepayment claims

validation system that uses localized databases maintained by

designated carriers. The CWF indicates site of service for surgical

procedures.) The commenters believed that the data produced are skewed,

especially for periods before the last 2 years when site-of-service

data had been emphasized. They stated that CPT coding practices vary

greatly, resulting in the same procedure being coded differently in

different areas.

Response: We acknowledge that the early data using site-of-service

codes contained errors. Those data may have skewed results,

particularly for low-volume procedures or procedures near the threshold

levels. Consequently, our criteria allow for exceptions if the data

appear flawed, or our physicians, after consultation with medical

societies and local experts, believe a procedure is appropriate to the

inpatient setting despite the data. Under this exceptions authority, we

have retained procedures such as cataract extractions, which have not

met the inpatient criterion for several years. In addition, the public

has an opportunity to comment, through our rulemaking process, on what

they believe are errors in the data.

With regard to the issue of varying CPT coding practices, we

acknowledge that not all physicians code a particular procedure

identically. Unfortunately, this variation in coding is often the

result of an attempt to maximize Medicare payment to the physician for

the procedure, rather than the result of ambiguous coding guidelines.

While this upcoding occasionally affects the ASC list, we attempt to

identify these situations and retain the procedure on the ASC list

through the exceptions authority if the procedure is appropriate to the

inpatient setting. We ask physicians to encourage their peers to code

procedures appropriately to avoid these situations.

Comment: One commenter believed we should use a 10 percent

inpatient criterion for adding procedures to the list. The commenter

also suggested that any procedure generally requiring the prior or

concurrent administration of general, spinal, or regional anesthesia,

or of sedation or analgesia sufficient to compromise a patient's

protective reflexes, be included on the ASC list regardless of

utilization data.

Response: The type of anesthesia necessary for a given procedure

varies among patients. Some patients have very low pain thresholds,

special psychological needs, or anatomical conditions warranting a

higher level of anesthesia than others. We encourage every physician to

use his or her judgment in selecting the appropriate anesthesia. We do

not encourage the use of anesthesia in settings not appropriately

equipped for emergency situations.

The need for an operating room setting for a particular patient is

not equivalent to a procedure meeting the conditions of section

1833(i)(1) of the Act for ASC coverage. As discussed above, section

1833(i)(1) requires that we cover procedures in an ASC only if they are

appropriately performed on an inpatient basis. Thus, if a patient

requires a higher degree of anesthesia than is reflected in the

utilization data, that procedure would be covered in an OPD, or, if

necessary, in an inpatient hospital setting.

We had considered revising the criterion for adding procedures on

the ASC list to 10 percent inpatient utilization. However, we believe

that the current threshold of 20 percent represents a reasonable

portion of use necessary to meet the statutory requirement of

appropriately performed on an inpatient basis.

Comment: One commenter believed that our physician's office

threshold should focus on the percentage of physicians performing the

procedure in the office, rather than the percentage of procedures being

performed in the office.

Response: We do not believe that the percentage of physicians

performing a procedure in their offices, rather than the total site-of-

service utilization data, is preferable for determining ASC coverage.

Many physicians perform a given procedure only once or twice during the

year. These physicians are not likely to maintain the specialized

equipment necessary to perform the procedure in their offices, and,

therefore, are not likely to perform it in that location. Also, a

particular physician may not be proficient with the procedure and may

desire to perform the procedure where there are resources available,

should a mishap occur.

We do not believe that a large percentage of physicians performing

a few procedures should serve as the basis for determining whether a

procedure meets the conditions of section 1833(i)(1) of the Act. It is

difficult to ignore the data indicating a procedure is commonly

performed in a physician's office, if only relatively few physicians

perform the majority of the procedures, in favor of those physicians

performing the same procedure on an occasional basis. In addition,

accurately determining the percentage of physicians performing a

procedure in their offices would be extremely difficult.

Comment: One commenter believed that the criteria result in a

competitive advantage to an OPD over an ASC. The commenter recommended

that if a procedure can be safely performed in an OPD, it can be safely

performed in an ASC and should be on the list.

Response: Section 1833(i)(1) of the Act established criteria for

coverage in an ASC when the ASC services were added as a Medicare

benefit in 1980. Section 1833(i)(1) of the Act requires that we develop

a list of procedures covered in an ASC and base the list on procedures

that are appropriately performed on an inpatient basis.

These requirements for ASC coverage are not applicable to an OPD.

The original Medicare statute provided for coverage of all services

furnished by an [[Page 5189]] OPD, but it did not provide for any

limitations on the appropriateness of a procedure for the inpatient

setting or for the establishment of a list of procedures. Consequently,

it is reasonable to expect that procedures covered in an OPD will not

always be the same as procedures covered by section 1833(i)(1) of the

Act. For example, there is no limitation on an OPD to perform only

surgical procedures. Thus, adopting the suggestion would result in a

significant expansion of the ASC benefit beyond that contemplated in

section 1833(i)(1).

Comment: One commenter believed that operating and recovery time

usage are inaccurate indicators of the complexity of procedures, and

clinical criteria should be used instead. The commenter stated that the

overriding guideline should be that the patient can return home by the

close of the business day.

Response: We recognize the commenter's concern that clinical

criteria be considered in establishing the ASC list. However, we

believe that general operating and recovery times are related to

clinical criteria. That is, we do not look at operating and recovery

room times on an isolated basis, but rather review the clinical

information indicating that generally patients require 90 minutes or

less operating time and 4 hours or less recovery time. We believe that

these criteria are good indicators of a patient's ability to go home by

the close of the business day. Procedures requiring longer times than

those included in the criteria are unlikely to be completed within the

business day. For example, we would expect that patients arrive at

least 1 hour before the surgery begins. Thus, our criteria involve 6\1/

2\ hours of an 8 hour work day, allowing 1\1/2\ hours leeway for any

delays.

Comment: Some commenters believed that the Medicare program should

allow for overnight stays in an ASC. The commenters stated that,

initially, the inclusion of overnight stays could be part of a study

with a Medicare review at the annual certification survey or a review

by the Peer Review Organization (PRO).

Response: Section 1833(i)(i) of the Act provides for coverage of

surgical procedures that, in addition to other criteria, ``can be

performed safely on an ambulatory basis.'' We believe section

1833(i)(1) is clear that coverage of overnight stays under the ASC

benefit is prohibited. Rather, ambulatory care implies care that is

furnished with the patient going home by the end of the day. Thus, it

would require a legislative change to extend Medicare ASC benefits to

overnight care or recovery care.

Our Office of Research and Demonstrations has the authority to

waive certain portions of the statute in order to study alternative

means of furnishing or paying for services under the Medicare program.

We solicit research proposals annually through a notice published in

the Federal Register, and projects are selected on a competitive basis.

ASCs are welcome to submit their research proposals for consideration

under the routine solicitation process.

Comment: One commenter suggested that Medicare develop an

alternative list of procedures that could be covered in an ASC upon

precertification from the fiscal intermediary or the PRO. Another

commenter suggested we establish ``severity levels'' that allow

physician discretion for procedures and settings. The commenter

believed that, as certain CPT codes are deleted from the list, the

codes should continue to justify a facility fee if certain ``severity

levels'' and health risks apply. The same commenter stated that these

codes can be billed with a modifier or with the accompanying

International Classification of Diseases, Ninth Revision, Clinical

Modification (ICD-9-CM) diagnostic codes explaining the patient's

condition. Yet a third commenter suggested that an ASC site of service

could be justified by evaluating certain parameters. The commenter

believed that an outpatient setting, rather than a physician's office,

would be appropriate if certain conditions, such as intravenous therapy

or expensive equipment, are involved.

Response: For a procedure to be covered in an ASC, the procedure

must meet the conditions set forth in section 1833(i)(1) of the Act.

That is, procedures covered in an ASC must be appropriately furnished

on an inpatient basis but also can be performed safely on an ambulatory

basis.

There are some patients who, because of medical conditions, may

require surgery in an ASC-like setting, that is, a dedicated operating

room with a recovery area and emergency equipment, etc. Although some

patients may require this setting because of health status, the

procedure may still not meet the conditions for ASC coverage set forth

in section 1833(i)(1) of the Act. That is, a procedure that is

routinely performed in a physician's office is still not appropriate

for the inpatient setting, although an occasional patient requires

hospitalization for the procedure. Precertification of the specific

needs of the patient does not make the procedure inpatient. Rather, it

means that a particular physician attests that a patient requires a

more intensive setting for the procedure.

Moreover, there are no commonly accepted severity levels that we

could easily accommodate in the development of the list of covered

procedures for ASCs. Section 1833(i)(1) of the Act does not provide for

an evaluation of individual patient conditions, such as severity, in

the development of the ASC list. The list is required to reflect common

practices. We would not expect physicians to perform procedures in

offices not adequately equipped for the procedure. These cases should

be handled in an OPD if the procedure is not on the ASC list.

Comment: One commenter stated that we should be aware that our ASC

list is used by virtually all Medicaid programs in the U.S., as well as

private insurers.

Response: The Medicare ASC list is not intended to be a list of all

procedures performed in an ASC. Rather, it is a list of procedures that

meet the requirements of section 1833(i)(1) of the Act. When we develop

our list, we consider section 1833(i)(1) and the appropriateness of a

given procedure for the Medicare population. For example, our list

contains no pediatric procedures. Yet these procedures would be

appropriate for Medicaid patients.

The Medicare program cannot be responsible for the actions of third

party payers. Any programs that have decided to adopt our list should

do so with appropriate modifications, keeping in mind the limitations

of section 1833(i)(1) of the Act and the requirements of their

customers.

Comment: Another commenter requested that we consider a list of

approved procedures and minor surgeries that can be safely performed in

a physician's office. The commenter believed that this list should

contain no procedures requiring anesthesia or sedation of any kind.

Response: We do not believe it is appropriate to develop a list of

procedures that can safely be performed in physicians' offices.

Physicians' offices vary significantly in equipment and staffing. We

have not established standards for physicians' offices, nor do we

survey them. Because there is broad variability in these offices, the

development of a list is likely to result in the exclusion of

procedures that are safely performed in some locations and the unfair

restriction of physicians' practices. We believe that physicians will

not perform a procedure in their offices unless they maintain

appropriate facilities, equipment, and staff to perform the procedure

safely.

[[Page 5190]]

Additions to the List

The proposed list of additions in our December 1993 proposed notice

received no negative comments. The few comments we received were

positive and were written as an introduction to letters opposing our

proposed deletions.

Additional Suggestions for Coverage

We received several comments recommending coverage for procedures

not proposed for addition to the list. Some comments included

procedures we addressed in the December 1993 proposed notice as having

been previously considered. The following section, arranged by body

system, responds to those comments.

Integumentary System

Comment: Some commenters proposed the addition of the following

procedures to the list:

------------------------------------------------------------------------

CPT

Code Description

------------------------------------------------------------------------

15820. Blepharoplasty, lower eyelid.

15821. Blepharoplasty, lower eyelid; with extensive herniated fat pad.

18522. Blepharoplasty, upper eyelid.

15823. Blepharoplasty, upper eyelid; with excessive skin weighting down

lid.

------------------------------------------------------------------------

Response: We proposed to add these procedures to the ASC list in

1991. Based on our review of the public comments and the advice of our

medical staff, we decided not to add these procedures to the list

because they are commonly performed for cosmetic purposes. Section

1862(a)(10) of the Act prohibits payment for cosmetic surgery or

expenses incurred in connection with cosmetic surgery. We recognize

that there are circumstances when surgery on the eyelids is performed

for noncosmetic reasons; for example, impairment of vision. Often these

circumstances require a more complex procedure than a simple

blepharoplasty. For that reason, we include on the ASC list all of the

blepharoptosis repair codes (CPT codes 67901 through 67908). These

procedures are performed less commonly for cosmetic purposes than the

blepharoplasty codes.

We also reviewed the most recent data regarding site of service and

noted that the blepharoplasty procedures are performed infrequently on

an inpatient basis (3 to 5 percent of blepharoplasty procedures are

performed on an inpatient basis). In light of this and our concern

about the cosmetic nature of the procedures, we have decided against

adding CPT codes 15820 through 15823 to the ASC list.

Comment: Commenters proposed the following procedures for the ASC

list. All of these procedures involve removal of various size skin

lesions from different anatomical locations. They are CPT codes 11400

through 11403, 11420 through 11423, 11440 through 11443 (all of which

involve excision of benign skin lesions); and CPT codes 11600 through

11603, 11620 through 11623, and 11640 through 11643 (all of which

involve excision of malignant skin lesions).

Response: A review of our billing data indicates that all these

procedures are performed in the physician's office from 70 percent to

91 percent of the time, with most of the procedures performed 80

percent of the time in the physician's office setting. They are

therefore appropriate to the physician's office and not the ASC.

Comment: One commenter proposed the following codes for addition to

the ASC list:

------------------------------------------------------------------------

CPT

Code Description

------------------------------------------------------------------------

19200. Mastectomy, radical, including pectoral muscles, axillary lymph

nodes.

19220. Mastectomy, radical, including pectoral muscles, axillary and

internal mammary lymph nodes (Urban type operation).

------------------------------------------------------------------------

Response: These procedures involve axillary node dissection. After

consultation with physicians in the community, our medical staff

believe these procedures do not meet the ASC criteria. Surgical time

frequently exceeds the 90 minutes specified for ASCs in

Sec. 416.65(b)(1)(i). In addition, since these procedures have

potential for greater complications, they generally require more

observation time than the 4 hours specified for inclusion on the ASC

list in Sec. 416.65(b)(1)(ii). We believe these procedures are

appropriately performed on an inpatient basis, and our data indicate

they are both performed 90 percent of the time in the inpatient

setting. Therefore, we are not adding them to the ASC list.

Comment: Commenters proposed addition of the following codes:

------------------------------------------------------------------------

CPT

Code Description

------------------------------------------------------------------------

19162. Mastectomy, partial; with axillary lymphadenectomy.

19240. Mastectomy, modified radical, including axillary lymph nodes,

with or without pectoralis minor muscle, but excluding

pectoralis major muscle.

------------------------------------------------------------------------

Response: Our billing data indicate that CPT code 19162 is

performed on an inpatient hospital basis 78 percent of the time, and

CPT code 19240 is performed on an inpatient hospital basis 92 percent

of the time. In addition, CPT code 19162 requires longer than the 4-

hour recovery time requirement, and CPT code 19240 requires longer than

the 90-minute operating time requirement for ASC coverage set forth at

Sec. 416.65(b)(1)(i). Therefore, they fail to meet our criteria for

coverage in an ASC.

Musculoskeletal System

Comment: One commenter suggested the addition of the following

codes to the ASC list:

------------------------------------------------------------------------

CPT

Code Description

------------------------------------------------------------------------

22110. Partial excision of vertebrae (eg, for osteomyelitis); cervical.

22114. Partial excision of vertebrae (eg, for osteomyelitis); lumbar.

------------------------------------------------------------------------

Response: CPT code 22110 is performed 80 percent of the time on an

inpatient basis; and CPT code 22114, 94 percent. CPT codes 22110 and

22114 are not appropriate for the ASC setting because the procedures

require extensive dissection and a recovery time of more than 4 hours.

Comment: One commenter proposed CPT code 29848 (arthroscopy, wrist

with release of transverse carpal ligament) for addition to the ASC

list.

Response: CPT code 29848 is performed 8 percent of the time on an

inpatient basis and does not meet our 20 percent inpatient criterion.

Respiratory System

Comment: One commenter proposed the addition of the following codes

to the ASC list:

------------------------------------------------------------------------

CPT

Code Description

------------------------------------------------------------------------

31231. Nasal endoscopy, diagnostic, unilateral or bilateral (separate

procedure).

31233. Nasal/sinus endoscopy, diagnostic with maxillary sinusoscopy

(via inferior meatus or canine fossa puncture).

31235. Nasal/sinus endoscopy, diagnostic with sphenoid sinusoscopy (via

puncture of sphenoidal face or cannulation of osteum).

------------------------------------------------------------------------

Response: CPT codes 31233 and 31235 were replacement codes to codes

previously on the ASC list. They were cross-referred from existing

codes in the 1994 CPT, and both have been added to the list by our

manual instructions. (These procedures are listed in Addendum C, part

6, at the end of this notice.) We are not adding CPT code 31231 to our

list because it replaced [[Page 5191]] CPT code 31250. This procedure

was performed 90 percent of the time in the physician's office setting,

thus failing to meet our criterion for inclusion on the ASC list.

Digestive System

Comment: Two commenters proposed the following codes for addition

to the ASC list:

------------------------------------------------------------------------

CPT

Code Description

------------------------------------------------------------------------

43030. Cricopharyngeal myotomy.

43830. Gastrostomy, temporary (tube, rubber or plastic) (separate

procedure).

------------------------------------------------------------------------

Response: CPT code 43030 is performed 79 percent of the time on an

inpatient basis, and CPT 43830 is performed 90 percent of the time on

an inpatient basis. There is concern about complications with these

procedures, and both also require a 23-hour observation period before

discharge. They are therefore not appropriate to the ASC list.

Comment: Commenters proposed adding the following 19

gastrointestinal endoscopy codes that were new CPT codes January 1,

1994: CPT codes 43205, 43216, 43244, 43248, 43250, 43259, 43261, 43458,

44365, 44376, 44377, 44378, 44394, 44500, 45308, 45309, 45338, 45339,

and 45384. Some of the codes involved editorial changes of existing CPT

procedures, and some were new CPT procedures.

Response: We have added 12 of these 19 gastrointestinal codes to

the ASC list by our manual instructions. They are CPT codes 43216,

43248, 43250, 43261, 43458, 43465, 44394, 45308, 45309, 45338, 45339,

and 45384. These 12 CPT codes with their descriptions are listed in

Addendum C, part 6, at the end of this notice. We were able to cross-

refer CPT codes deleted from our ASC list (which were identified in

Appendix B of the 1994 CPT, a summary of additions, deletions, and

revisions applicable to CPT 1994 codes) to these 12 codes. These codes

were replacement codes to codes previously on the ASC list. They were

cross-referred from existing codes in the 1994 CPT and have been added

to the list by our manual instructions.

With this notice, we are also adding from Appendix B of the CPT

another code that meets our criteria, CPT code 43259 (Upper

gastrointestinal endoscopy including esophagus, stomach, and either the

duodenum and/or jejunum as appropriate; with endoscopic ultrasound

examination). We are not, however, adding CPT codes 43205

(Esophagoscopy, rigid or flexible; with band ligation of esophageal

varices) and 43244 (Upper gastrointestinal endoscopy including

esophagus, stomach, and either the duodenum and/or jejunum as

appropriate; with band ligation of esophageal and/or gastric varices)

because the treatment of varices risks complications of severe, sudden

bleeding, which may require an immediate blood transfusion or the

introduction of a special tube to control the bleeding. These remedies

would not necessarily be available as quickly in the ASC setting. If

complications develop, the patient might require air evacuation to the

hospital setting. Also, the medical community does not fully accept the

use of band ligation in the treatment of varices because its success

and comparison to the standard treatment is yet to be completed.

We are not adding the following CPT codes to the ASC list:

------------------------------------------------------------------------

CPT

Code Description

------------------------------------------------------------------------

44376. Small intestinal endoscopy, enteroscopy beyond second portion of

duodenum, including ileum; diagnostic, with or without

collection of specimen(s) by brushing or washing (separate

procedure).

44378. Small intestinal endoscopy, enteroscopy beyond second portion of

duodenum, including ileum; with control of bleeding, any

method.

44500. Introduction of long gastrointestinal tube (eg, Miller-Abbott)

(separate procedure).

------------------------------------------------------------------------

These procedures require that an endoscopy tube be passed through

the gastrointestinal system while the patient waits 4 to 6 hours before

the physician performs the endoscopic study. The patient would need to

be in the ASC from 6 to 10 hours. We believe that this extended time

period for the procedure exceeds the spirit, if not the letter, of the

regulations set forth at Sec. 416.65(b), which establish 5 1/2 hours as

a maximum procedure/recovery time. In conclusion, our medical

consultants have determined that CPT codes 43205, 53244, 44376, 44378,

and 44500 are not appropriate for Medicare patients in the ASC setting.

Comment: Commenters proposed adding CPT code 45330 (flexible

sigmoidoscopy) to the ASC list.

Response: This procedure is performed 73 percent of the time in the

physician's office and is appropriate to that setting. Therefore, it

does not meet the criteria for the ASC list and will not be added.

Urinary System

Comment: One commenter recommended CPT code 51040 (cystostomy tube

replacement) for addition to the ASC list.

Response: This procedure meets our criteria and will be added to

the ASC list (see Addendum B).

Comment: One commenter proposed CPT code 51715 (injection of

implant material into the urethra) for addition to the ASC list.

Response: CPT code 51715 is a new CPT code effective January 1,

1994. This procedure was previously coded as ``unlisted'' and was not

covered under any other procedure on the ASC list. Our medical staff

are knowledgeable of this procedure, and we therefore do not require a

year of billing data to make a determination. Our medical staff advise

us that this is a physicians' office procedure, and it is not

appropriate to add it to the ASC list.

Comment: One commenter suggested CPT code 51845 (abdomino-vaginal

vesical neck suspension) for addition to the ASC list.

Response: CPT code 51845 is performed on an inpatient basis 92

percent of the time. Generally, there is also a 23-hour observation

period before discharge. Thus, it exceeds our criterion for the 4-hour

recovery time in Sec. 416.65(b)(1)(ii). We are, therefore, not adding

it to the ASC list.

Comment: Commenters proposed CPT code 52450 (transurethral incision

of prostate) for addition to the ASC list.

Response: CPT code 52450 is performed 1 percent of the time in a

physician's office and 70 percent of the time on an inpatient basis. It

thus meets our criteria and will be added to the ASC list.

Comment: Commenters proposed the addition to the ASC list of CPT

code 52601 (transurethral resection of the prostate (TURP)) when a

laser is used.

Response: CPT code 52601 does not specify use of a laser in its

coding description. Thus, the code represents TURPs done by all

methods, and it is not possible to identify those performed by laser.

CPT code 52601 is commonly performed on an inpatient basis with a 94

percent inpatient hospital site of service. Most cases require over 4

hours recovery time, and, thus, the procedure does not meet our

criteria for coverage in an ASC in Sec. 416.65(b)(1)(ii). Should the

CPT develop a new laser TURP code, we would consider this procedure's

appropriateness in the ASC.

Male Genital System

Comment: One commenter suggested the addition of radioactive seed

implantation to treat prostate cancer.

Response: There is presently no single surgical procedure code in

the CPT describing this procedure and [[Page 5192]] consequently no

billing data to determine site of service. We are uncertain which code

or codes the commenter is using when performing this procedure, but we

understand the procedure is often used in conjunction with a radiology

code. Radiology codes cannot be included in our ASC list because the

ASC list is restricted to surgical codes in the surgery section of the

CPT.

Comment: Commenters proposed the addition of the following codes:

------------------------------------------------------------------------

CPT

Code Description

------------------------------------------------------------------------

54400. Insertion of penile prosthesis; non-inflatable (semi-rigid).

54401. Insertion of penile prosthesis; inflatable (self-contained).

54405. Insertion of inflatable (multi-component) penile prosthesis,

including placement of pump, cylinders, and/or reservoir.

54407. Removal, repair, or replacement of inflatable (multi-component)

penile prosthesis, including pump and/or reservoir and/or

cylinders.

------------------------------------------------------------------------

Response: When we previously solicited public comment on penile

prostheses implant procedures, we received comments unanimously opposed

to the addition of these codes to the list. Commenters indicated that

these procedures were inappropriate for the Medicare population in the

ASC setting. The procedure recovery time exceeds the 4-hour limit, the

maximum allowed for coverage in an ASC. Surgeons performing these

procedures reported a recovery time of 24 to 72 hours.

We have given careful consideration to adding these procedures,

based on the new comments we received favoring their addition. One

commenter, who previously had written in strong opposition, stated that

penile prostheses implants should be added to the list since some

patients recover in less than 24 hours. Since our regulations indicate

a 4-hour recovery limit, we have determined that these procedures

remain inappropriate for the Medicare population in an ASC and should

not be added to the list.

Laparoscopy/Peritoneoscopy/Hysteroscopy

Comment: One commenter proposed the following codes for addition to

the ASC list:

------------------------------------------------------------------------

CPT

Code Description

------------------------------------------------------------------------

56308. Laparoscopy, surgical; with vaginal hysterectomy with or without

removal of tube(s), with or without removal of ovary(s)

(laparoscopic assisted vaginal hysterectomy).

56309. Laparoscopy, surgical; with removal of leiomyomata subserosal

(single or multiple).

------------------------------------------------------------------------

Response: CPT code 56308 is performed on an inpatient basis 91

percent of the time. This procedures involves cutting a hole in the

pelvis floor and the severing of major arteries and veins. It also

requires longer than 4 hours recovery time. We are therefore not adding

it to the ASC list. CPT code 56309 meets our criteria and will be added

to the list (see Addendum B).

Comment: Commenters wrote proposing that the following laparoscopic

cholecystectomy procedure codes be added to the ASC list (21 commenters

for CPT code 56340, 18 for CPT code 56341, and 17 for CPT code 56342,

respectively):

------------------------------------------------------------------------

CPT

Code Description

------------------------------------------------------------------------

56340. Laparoscopy, surgical; cholecystectomy (any method).

56341. Laparoscopy, surgical; cholecystectomy with cholangiography.

56342. Laparoscopy, surgical; cholecystectomy with exploration of

common duct.

------------------------------------------------------------------------

Response: The medical information available indicates laparoscopic

cholecystectomy usually requires a 23-hour observation period or an

inpatient stay, and, therefore, exceeds the 4-hour recovery time

requirement in Sec. 416.65(b)(1)(ii). Therefore, we are not adding it

to the list.

Comment: Commenters also proposed the addition of the following

codes to the ASC list:

------------------------------------------------------------------------

CPT

Code Description

------------------------------------------------------------------------

56316. Laparoscopy, surgical; repair of initial inguinal hernia.

56317. Laparoscopy, surgical; repair of recurrent inguinal hernia.

------------------------------------------------------------------------

Response: These procedures meet our criteria and will be added to

the list (see Addendum B).

Comment: One commenter proposed the following codes for addition to

the ASC list:

------------------------------------------------------------------------

CPT

Code Description

------------------------------------------------------------------------

56351. Hysteroscopy, surgical; with sampling (biopsy) of endometrium

and/or polypectomy, with or without D & C.

56356. Hysteroscopy, surgical; with endometrial ablation (any method).

------------------------------------------------------------------------

Response: These procedures meet our criteria and will be added to

the list (see Addendum B).

Nervous System

Comment: Commenters proposed that we add to the ASC list the

following nerve injection codes: CPT codes 62298, 64400, 64402, 64405,

64408, 64412, 64413, 64418, 64425, 64435, 64440, 64441, 64445, 64450,

64505, and 64508.

Response: According to our claims data, most of these procedures

are performed less than 20 percent of the time on an inpatient basis

and over 50 percent of the time in a physician's office (most being

performed over 70 percent of the time in a physician's office). The

exceptions are CPT codes 62298 and 64425, which meet the physician's

office criterion but are performed less than 20 percent of the time in

the inpatient setting, and CPT code 64508, which meets the inpatient

criterion but is performed over 50 percent of the time in a physician's

office. Since all these nerve injection codes fail to meet at least one

of the criteria for addition, we are not adding them to the ASC list.

Comment: One commenter proposed the addition of CPT code 64421

(injection of intercostal nerves).

Response: CPT code 64421 is performed 31 percent of the time in a

physician's office and 22 percent of the time on an inpatient basis.

This procedure thus meets our criteria and will be added to the list

(see Addendum B).

Comment: Two commenters proposed the addition to the ASC list of

CPT code 64612, and one commenter proposed CPT code 64613. The

descriptions of these CPT codes follow:

------------------------------------------------------------------------

CPT

Code Description

------------------------------------------------------------------------

64612. Destruction by neurolytic agent (chemodenervation of muscle

endplate); muscles enervated by facial nerve (eg, for

blepharospasm, hemifacial spasm).

64613. Destruction by neurolytic agent (chemodenervation of muscle

endplate); cervical spinal muscles (eg, for spasmodic

torticollis).

------------------------------------------------------------------------

Response: CPT code 64612 is performed in the physician's office 84

percent of the time, and CPT code 64613 [[Page 5193]] is performed in

the physician's office 74 percent of the time. Thus, the codes fail to

meet the criteria for our list.

Eye and Ocular Adnexa

Comment: One commenter proposed the addition of CPT code 65770

(keratoprosthesis).

Response: CPT code 65770 is performed 10 percent of the time in a

physician's office and 62 percent of the time on an inpatient basis.

This procedure thus meets our criteria and will be added to the list

(see Addendum B).

Comment: Several commenters suggested adding CPT code 65772

(corneal relaxing incision for correction of surgically induced

astigmatism), and one suggested adding code CPT code 65775 (corneal

wedge resection for correction of surgically induced astigmatism).

Response: Neither procedure meets our inpatient criterion. CPT

codes 65772 is performed 1 percent of the time on an inpatient basis,

and CPT code 65775 is performed 3 percent of the time on an inpatient

basis. Therefore, we are not adding them to the ASC list.

Comment: Commenters proposed the addition of the following CPT

codes:

------------------------------------------------------------------------

CPT

Code Description

------------------------------------------------------------------------

65855. Trabeculoplasty by laser surgery, one or more sessions (defined

treatment series).

66761. Iridotomy/iridectomy by laser surgery (eg, for glaucoma) (one or

more sessions).

67145. Chemodenervation of extraocular muscle.

67210. Destruction of localized lesion of retina (eg, maculopathy,

choroidopathy, small tumors), one or more sessions;

photocoagulation (laser or xenon arc).

67228. Destruction of extensive or progressive retinopathy (eg,

diabetic retinopathy), one or more sessions; photocoagulation

(laser or xenon arc).

------------------------------------------------------------------------

Commenters stated that these codes are already performed from 25

percent to 40 percent of the time in the OPD, and their failure to meet

the 20 percent inpatient criterion should not preclude their addition

to the ASC list.

Response: A review of our most recent billing data indicates that

none of these procedures is performed 40 percent of the time in the

OPD; rather, they are performed from 14 percent to 30 percent of the

time in the OPD. However, each of these procedures is performed from 58

percent to 79 percent of the time in a physician's office. Since these

procedures not only fail to meet the 20 percent inpatient criterion but

also the 50 percent physician's office criterion, they will not be

added to the ASC list.

Comment: One commenter proposed the following CPT codes for

addition to the list:

------------------------------------------------------------------------

CPT

Code Description

------------------------------------------------------------------------

65125. Modification of ocular implant (eg, drilling receptacle for

prosthesis appendage) (separate procedure).

65860. Severing adhesions of anterior segment, laser technique

(separate procedure).

66172. Fistulization of sclera for glaucoma; trabeculectomy ab externo

with scarring from previous ocular surgery or trauma (includes

injection of antifibrotic agents).

66825. Repositioning of intraocular lens prosthesis, requiring an

incision (separate procedure).

------------------------------------------------------------------------

Response: CPT codes 65125 and 66825 do not meet the inpatient

criterion. CPT code 65125 is performed 5 percent of the time on an

inpatient basis, and CPT code 66825 is performed 7 percent of the time

on an inpatient basis. CPT code 65860 is performed in a physician's

office 65 percent of the time. CPT code 66172 is a new code added in

1994 and is not cross-referred to a procedure currently covered in an

ASC. We generally need a year of billing data before we can make a

decision as to the appropriate setting for performance. Therefore, none

of these codes will be added to the ASC list.

Comment: One commenter proposed the addition of CPT code 66820

(discission of secondary membraneous cataract, stab incision).

Response: CPT code 66820 is performed 5 percent of the time on an

inpatient basis and 53 percent of the time in a physician's office and,

thus, fails to meet our criteria and will not be added to the list.

Comment: Commenters proposed the addition of the following codes:

------------------------------------------------------------------------

CPT

Code Description

------------------------------------------------------------------------

67345. Chemodenervation of extraocular muscle.

67900. Repair of brow ptosis (supraciliary, mid-forehead or coronal

approach).

68115. Excision of lesion, conjunctiva; over 1 cm.

------------------------------------------------------------------------

Response: CPT code 67345 is a physician's office procedure,

performed 85 percent of the time in that setting. CPT codes 67900 and

68115 fail to meet our inpatient criterion with only 3 percent each

inpatient performance. Therefore, these codes will not be added to the

ASC list.

Auditory System

Comment: Commenters proposed the addition of CPT code 69433

(tympanostomy).

Response: This procedure is performed 91 percent of the time in a

physician's office. Therefore, it fails to meet the criteria for

inclusion on the ASC list.

Other Procedures

Comment: One commenter proposed the use of hyperbaric medical

treatment in an ASC with payment for an appropriate technical

component. The commenter stated that the routine care of wounds in

conjunction with the use of hyperbaric treatments is included under CPT

code 99183, but this code does not include coverage of technical costs

in an ASC.

Response: The Medicare list of surgical procedures covered in an

ASC includes only surgical procedures listed in the surgical section of

the CPT. Hyperbaric medical treatment is not surgery and is listed in

the CPT under miscellaneous, special services. Thus, we cannot add it

to the ASC list.

Proposed Deletions

Integumentary System

Comment: We proposed to delete nine skin lesion excision codes: CPT

codes 11042, 11424, 11604, 13101, 13121, 13132, 13152, 14040, and

14041. All nine codes received comments opposing their deletion.

Commenters stated that these procedures may sometimes involve

complications and compromise safety in the physician's office.

Response: The physician's office site of performance for these

procedures ranges from 53 percent to 71 percent. However, each of these

CPT procedure codes involves a range of lesion sizes and anatomical

sites. For example, CPT code 11424, representing a 3.1 to 4.0 cm.

lesion, includes scalp, neck, hands, feet, and genitalia. While a 4 cm.

foot or hand lesion may be excised in the physician's office, a 4 cm.

lesion on the genitalia requires a higher surgical setting. Larger size

lesions, especially if malignant, require the sterile environment of an

operating room, extensive anesthesia, and the monitoring of patient

cardiovascular parameters and vital signs. Our medical staff thus

believe the commenters are correct that our site-of-service data for

these codes are deceptive.

As we have stated earlier in this notice and in previous notices,

we may occasionally make an exception to our general criteria, if,

based on the advice of our medical staff, we believe that the site-of-

service data are deceptive. We [[Page 5194]] are making an exception to

the criteria and retaining all the referenced skin lesion codes, based

on the recommendation of our medical staff and consultants.

Cardiovascular System

Comment: Commenters opposed the deletion of the following codes:

------------------------------------------------------------------------

CPT

Code Description

------------------------------------------------------------------------

36530. Insertion of implantable intravenous infusion pump.

36531. Revision of implantable intravenous infusion pump.

36532. Removal of implantable intravenous infusion pump.

------------------------------------------------------------------------

Response: We stated in the proposed notice that the Office of

Health Technology Assessment (OHTA), a component of the Public Health

Service's Agency for Health Care Policy and Research, would be issuing

an assessment on the safety and efficacy of infusion pumps for certain

treatments and we would re-evaluate our policy on these pumps in light

of that assessment. OHTA issued its assessment, and consequently we

revised our manual instruction in section 60-14B of the Medicare

Coverage Issues Manual. According to this revision, the former

instruction limiting Medicare coverage of infusion pumps to intra-

arterial pumps for certain medical conditions has been revised to

include intravenous infusion pumps for a greater number of medical

indications. As a result, we are not deleting CPT codes 36530, 36531,

and 36532.

Comment: Several commenters were opposed to our deletion of CPT

code 63750 (insertion, subarachnoid catheter with reservoir and/or pump

for intermittent or continuous infusion of drug, including laminectomy)

and CPT code 63780 (insertion or replacement, subarachnoid or epidural

catheter, with reservoir and/or pump for drug infusion, without

laminectomy).

Response: Our medical advisors state that these procedures can be

performed safely, effectively, and appropriately in the ASC setting. We

are therefore retaining these procedures on the list.

Urinary System

Comment: We received over 300 comments in opposition to the

deletion of CPT code 52000 (cystourethroscopy (separate procedure)). Of

these comments, 200 were also against deleting the following CPT codes:

------------------------------------------------------------------------

CPT

Code Description

------------------------------------------------------------------------

52281. Cystourethroscopy, with calibration and/or dilation of urethral

stricture or stenosis, with or without meatotomy and injection

procedure for cystography, male or female.

52285. Cystourethroscopy for treatment of the female urethral syndrome

with any or all of the following: urethral meatotomy, urethral

dilation, internal urethrotomy, lysis of urethrovaginal septal

fibrosis, lateral incision of the bladder neck, and fulguration

of polyp(s) of urethra, bladder neck, and/or trigone.

------------------------------------------------------------------------

Most commenters opposed to the cystoscopy's deletion were

urologists. The main themes mentioned by the commenters were the

following: the differences in male and female cystoscopies, the

differences in type of cystoscopies, diagnostic versus therapeutic

cystoscopies, our deceptive data, and physician/patient access

problems.

Response: Although the three cystoscopies proposed for deletion

exceed our physician's office criterion, we are making an exception to

this standard and retaining these codes on the list, based on the

advice of our medical staff and consultants. Numerous commenters

offered significant medical evidence for retention of cystoscopies on

the ASC list, especially for male patients. Moreover, an exhaustive

review of our data supports the commenters' belief that female

cystoscopies skew the data in favor of the physician's office site of

service and many CPT code 52000 cystoscopies, when performed, are

upgraded to therapeutic cystoscopies and not reported under CPT code

52000.

Male Genital System

Comment: We received 136 comments in opposition to the deletion of

CPT code 55700 (prostate biopsy). The following were the main themes

mentioned in the comments: patient health, complications and infection,

sterilization problems, and the use of the ultrasound machine.

Response: As with cystoscopies, information indicates many patients

in need of a prostate biopsy have comorbidities or other complications

that necessitate close monitoring. Complications of prostate biopsy can

be serious. Infection and bleeding are not uncommon and, at times,

warrant hospital admission.

Although prostate biopsy exceeds our physician's office criterion,

we are making an exception to our standard and are retaining this

procedure on the list. We base our determination on the number of

comments received citing significant medical evidence, and the advice

of our medical staff and consultants that prostate biopsy is an

appropriate procedure for the ASC list.

Nervous System

Comment: Several commenters were opposed to our proposed deletion

of the following codes:

------------------------------------------------------------------------

CPT

Code Description

------------------------------------------------------------------------

64442. Injection, anesthetic agent; paravertebral facet joint nerve,

lumbar, single level.

64510. Injection, anesthetic agent; stellate ganglion (cervical

sympathetic).

------------------------------------------------------------------------

They believed these codes should not be deleted because they

frequently require the standby of a crash cart, should a complication

occur during injection. CPT code 64442 requires a fluoroscopy, which

few physicians' offices own; CPT code 64510 may compromise the

patient's airway with the inadvertent block of a laryngeal nerve with a

local anesthetic; and both procedures cause patient cardiac arrhythmias

in 25 percent of patients. Commenters believed our data are erroneous

since the data exclude anesthesiologists from site-of-service data, and

anesthesiologists are the primary physicians performing these

procedures.

Response: In view of these stated medical concerns and because the

inclusion of anesthesiologists in a new claims data run resulted in the

two procedures falling below the 50 percent physician's office

criterion, both procedures will be retained on the list.

Eye and Ocular Adnexa

Comment: We received comments in opposition to our proposed

deletion of the following ophthalmologic procedures codes:

------------------------------------------------------------------------

CPT

Code Description

------------------------------------------------------------------------

66762. Iridoplasty by photocoagulation (one or more sessions) (eg, for

improvement of vision, for widening of anterior chamber angle).

67101. Repair of retinal detachment, one or more sessions; cryotherapy

or diathermy, with or without drainage of subretinal fluid.

67105. Repair of retinal detachment, photocoagulation (laser or xenon

arc, one or more sessions), with or without drainage of

subretinal fluid.

[[Page 5195]]

67208. Destruction of localized lesion of retina (eg, maculopathy,

choroidopathy, small tumors), one or more sessions;

cryotherapy, diathermy.

67921. Entropion repair; suture.

------------------------------------------------------------------------

Commenters were concerned that these procedures could not be

performed in a physician's office without the purchase of costly

equipment and they would now have to be performed in the more expensive

OPD setting.

Response: The billing data on site-of-service performance for four

of these five procedures (excluding CPT code 67921) range from 53

percent to 63 percent physicians' office performance. When considering

the combined ASC, OPD, and inpatient hospital performances, these four

procedures do not meet the new 46 percent threshold criterion; rather

their combined percentages range from 37 percent to 40 percent. In view

of these combined percentages, we believe we are justified in adhering

to our proposed intention to delete from the ASC list CPT codes 66762,

67101, 67105, and 67208.

The fifth code, CPT code 67921, has a 45 percent combined

percentage performance in the three settings. Yet, our medical staff

advise us that this procedure, which involves the inversion of the

border of the eyelid against the eyeball, is medically appropriate for

performance in the ASC. This code is also one of a series of

ophthalmological codes involving blepharoplasties mentioned both in

this notice and in the previous ASC final notice published in the

Federal Register on December 31, 1991 (56 FR 67666) as making

unnecessary our coverage of integumentary system blepharoplasties,

which are sometimes cosmetic. In view of these factors, we are making

an exception to our criteria and are retaining CPT code 67921.

Comment: Commenters believed that four of the ophthalmic procedures

proposed for removal from the list are subject to the interim practice

cost reductions. They are the following CPT codes:

------------------------------------------------------------------------

CPT

Code Description

------------------------------------------------------------------------

66762. Iridoplasty by photocoagulation (one or more sessions) (eg, for

improvement of vision, for widening of anterior chamber angle).

67101. Repair of retinal detachment, one or more sessions; cryotherapy

or diathermy, with or without drainage of subretinal fluid.

67105. Repair of retinal detachment, photocoagulation (laser or xenon

arc, one or more sessions), with or without drainage of

subretinal fluid.

67208. Destruction of localized lesion of retina (eg, maculopathy,

choroidopathy, small tumors), one ore more sessions;

cryotherapy, diathermy.

------------------------------------------------------------------------

The commenters stated that we should not remove any procedures

subject to the interim practice cost reductions from the ASC list until

the fee schedule for physicians' services accurately reflects practice

costs.

Response: The commenters are correct that four of the five

ophthalmic procedures (CPT codes 66762, 67101, 67105, and 67208)

proposed for deletion from the ASC list are subject to the practice

expense reduction. (CPT code 67921 (repair of entropion) is not subject

to the practice expense reduction.)

OBRA '93 provides for an adjustment to practice expense relative

value units (RVUs) for services for which practice expense RVUs exceed

128 percent of the work RVUs and that are performed less than 75

percent of the time in a physician's office setting. The 1994 practice

expense RVUs are reduced by 25 percent of the amount by which the

practice expense RVUs exceed the 1994 work RVUs. In 1995 and 1996, the

excess, as determined for 1994, will be reduced an additional 25

percent each year. Practice expense RVUs will not be reduced to an

amount less than 128 percent of the 1994 work RVUs for a service.

Services performed more than 75 percent of the time in a physician's

office setting are not subject to the reduction.

Services that are primarily performed in a physician's office

setting are subject to a payment limit, called the site-of-service

limitation, if they are performed in an inpatient hospital or OPD

setting. For these procedures, the practice expense RVUs are reduced by

50 percent. The limitation on the practice expense RVUs reflects lower

practice costs incurred in the OPD. Procedures on the approved ASC list

are automatically excluded from this site-of-service limitation.

We disagree that it is inappropriate to apply the site-of-service

limitation to procedures subject to the practice expense reduction.

These are two separate limitations established for different purposes.

The practice expense reduction is designed to reduce the basic practice

expense that has been determined by the Congress to be excessive;

whereas the site-of-service limitation applies to procedures primarily

performed in an office setting, when the procedures are performed in an

inpatient hospital or OPD setting.

Procedures Intended for Deletion

In Addendum E of our December 1993 proposed notice, we published a

list of procedures that we intended for deletion that were either

recent additions to the list or had low-volume ASC performance or both.

The following procedure codes in that addendum received comments.

Comment: Two commenters were opposed to the deletion of CPT code

64420, and one commenter opposed the deletion of CPT codes 65270 and

65272. The descriptions of these CPT codes follow:

------------------------------------------------------------------------

CPT

Code Description

------------------------------------------------------------------------

64420. Injection, anesthetic agent; intercostal nerve single.

65270. Repair of laceration; conjunctiva, with or without

nonperforating laceration sclera, direct closure.

65272. Repair of laceration; conjunctiva, by mobilization and

rearrangement, without hospitalization.

------------------------------------------------------------------------

Response: We are retaining these procedures on our list, but we

restate our intention to delete them in our next biennial update should

they continue to fail to meet our criteria.

Assignment of Payment Groups

Comment: Three commenters disagreed with the proposed payment group

assignment of CPT code 66180 (aqueous shunt to extraocular reservoir,

(eg, Molteno, Schocket, Denver-Krupin)) to payment group 4. Two

commenters, both physicians, recommended that the procedure be placed

in payment group 7 because of the time required to perform the

procedure and other factors related to postoperative recovery. One

commenter, a professional society, compared the procedure in terms of

complexity to a scleral buckling procedure for retinal detachment (CPT

code 67107) or the placement of a radioactive implant for an ophthalmic

malignancy (CPT 67218), both of which are assigned to payment group 5.

Response: After consultation with our medical advisor, we concur

with the professional society that CPT code 66180 more closely

resembles procedures currently in payment group 5 in terms of time and

resource consumption than it does those in payment group 4 or in

payment group 7. We have therefore assigned this procedure to payment

group 5. Payment for the aqueous shunt itself (HCFA

[[Page 5196]] Common Procedure Coding System (HCPCS) code L8612) is not

a part of the facility fee, but rather is made separately under

Medicare Part B.

Comment: A dozen commenters disagreed with the assignment of CPT

code 58990 (hysteroscopy, diagnostic) to payment group 1, recommending

that it be placed in payment group 3.

Response: CPT code 58990 was added as a payment group 1 procedure

to the list of Medicare-covered ASC procedures, effective for services

furnished beginning on January 30, 1992. CPT code 58990 was replaced by

CPT code 56350 (hysteroscopy, diagnostic (separate procedure)) in the

1993 CPT, and CPT code 58990 was deleted from both the CPT and the ASC

list. Because this change constituted essentially an editorial rather

than a substantive revision, we retained CPT code 56350 in payment

group 1, the same payment group to which its predecessor, CPT code

58990, had been assigned. CPT code 56350 is on the list of procedures

for which we are collecting resource cost data in Part II of the

Medicare ASC survey, and its payment group assignment, along with that

of all other procedures on the list of Medicare-covered ASC procedures,

will be reevaluated within the context of the survey data. In the

interim, CPT code 56350 will remain in payment group 1.

Additional Information

We received several dozen comments on payment issues that were not

raised in our December 1993 proposed notice. Primarily, commenters

recommended placing CPT codes that are currently on the ASC list in a

higher payment group. A few commenters expressed disappointment over

the lack of a payment rate update for inflation as a result of the 2-

year freeze enacted by the Congress in OBRA '93.

As indicated in our December 1993 proposed notice, we are deferring

changes of payment group assignments for individual procedures on the

current ASC list pending completion of Part II of the Medicare ASC

payment rate survey (Form HCFA 452B). On March 15, 1994, we mailed the

Medicare ASC survey, Part II, to 320 facilities that constitute a

randomly selected, representative sample of Medicare-participating

ASCs. The survey collects data on facility overhead and procedure-

specific costs. The payment group assignment and payment group amounts

for all CPT codes on the list of Medicare-covered ASC procedures will

be reviewed collectively, within the context of the survey data.

Therefore, while we are not making any changes in existing payment

group assignments in this notice, we will publish in the Federal

Register in accordance with notice and comment procedures any changes

that we propose to make on the basis of updated cost data collected in

the ASC survey.

IV. Provisions of the Final Notice

We are adopting the following new quantitative criteria, suggested

in our December 1993 proposed notice, for deleting a procedure from ASC

coverage: The combined inpatient, OPD, and ASC site-of-service

percentage is less than 46 percent of the total volume; and either--

The procedure is performed 50 percent of the time or more

in a physician's office; or

The procedure is performed 10 percent of the time or less

in an inpatient hospital setting.

This change allows the site of service for procedures in the

physician's office to grow from below 50 percent (when it is added) to

as high as 54 percent, as long as the proportion of time the procedure

is performed in the operating room remains at 46 percent. Similarly,

the criteria allow procedures to move from an inpatient hospital site

of service to an OPD site of service without being deleted from the ASC

list.

We are deleting 4 of the 25 procedure codes we had proposed for

deletion from the ASC list in our December 1993 proposed notice. For

the reasons discussed in the analysis of the public comments in section

III. of this notice, we are retaining the remaining 21 codes on the ASC

list. Addendum A lists the 4 CPT codes that we are deleting (with the

body system and description of each procedure, according to appropriate

CPT terminology). Addendum A also lists a fifth deletion, CPT code

36522 (photopheresis, extracorporeal), which was not suggested in our

December 1993 proposed notice. We are deleting this code based on

information from a provider that this procedure cannot be safely

performed in an ASC. Our review of the billing data indicates that,

although this procedure has been on the ASC list, it is performed 0

percent of the time in an ASC. It is performed 73 percent of the time

on an inpatient basis and 23 percent of the time in the OPD. We are

requesting public comment on the appropriateness of this deletion.

We are adding a total of 30 new procedure codes to the ASC list.

These codes are listed in Addendum B with the body system and

description of each procedure and the corresponding payment group. We

are adding the 20 procedure codes that we had proposed for addition to

the ASC list in our December 1993 proposed notice. For the reasons

discussed in the analysis of the public comments in section III. of

this notice, we are also adding 10 other procedure codes: CPT codes

29804, 43259, 51040, 52450, 56309, 56316, 56317, 56351, 56356, and

64421. We are requesting public comment on the appropriateness of the

addition of these 10 new CPT codes and the assignment of payment groups

for them since these codes were not suggested in our December 1993

proposed notice.

Further, the CPT is updated annually and some deletions and

additions affect the ASC list. Parts 1 and 3 of Addendum C list CPT

codes (with the body system and description of each procedure) that

were deleted by changes to the Medicare Carriers Manual as a result of

the update of the 1992 and 1993 editions of the CPT, respectively. We

had proposed these deletions in our December 1993 proposed notice and

received no comments on them. This notice makes these deletions final.

Parts 2 and 4 of Addendum C list CPT codes (with the body system and

description of each procedure and corresponding payment group) that

were added by changes to the Medicare Carriers Manual as a result of

the update of the 1992 and 1993 editions of the CPT. We had proposed

these additions in our December 1993 proposed notice and received no

comments on them. This notice makes these additions final. Part 5 of

Addendum C lists CPT codes (with the body system and description of

each procedure) that were deleted by changes to the Medicare Carriers

Manual as a result of the update of the 1994 edition of the CPT.

Because these codes were not suggested for deletion in our December

1993 proposed notice, we are now requesting public comment on the

appropriateness of these deletions. This list of deletions differs from

the Medicare Carriers Manual instruction that was effective April 11,

1994, in that we are retaining four of the nasal and sinus endoscopy

codes: CPT codes 31254 through 31256 and 31267. We are retaining these

codes since we anticipate that they will be reinstated by the CPT

Editorial Panel effective January 1995. Part 6 of Addendum C lists CPT

codes (with the body system and description of each procedure and

corresponding payment group) that were added by changes to the Medicare

Carriers Manual as a result of the update of the 1994 edition of the

CPT. Because these codes were not suggested for addition in our

December 1993 proposed notice, we are now requesting public comment on

the appropriateness [[Page 5197]] of, and assignment of payment groups

for, the additions.

V. Collection of Information Requirements

This document does not impose information collection and

recordkeeping requirements. Consequently, it need not be reviewed by

the Office of Management and Budget under the authority of the

Paperwork Reduction Act of 1980 (44 U.S.C. 3501 et seq.).

VI. Regulatory Impact Statement

A. Introduction

This final notice permits facility fees to be paid when the 30

surgical procedure codes being added by this notice are performed in an

ASC. We are also deleting 5 codes from the ASC list. We believe the net

effect of the addition and deletion of these codes will be negligible

because of the low number of changes we are making at this time and

because of the relatively low cost and volume of these codes.

Payments to ASCs are generally lower than payments to hospitals for

surgery performed in a hospital, whether on an inpatient or OPD basis.

Although we do not anticipate that many services will shift from the

hospital inpatient setting to ASCs, we anticipate some program savings

because payments to ASCs for a given surgical procedure are generally

lower than payments to hospitals for the same procedure. Additional

savings will be realized as a result of lower payments to a hospital

when newly listed procedures continue to be performed on an OPD basis,

because the OPD rate (less deductible and coinsurance) would be the

lower of (1) the hospital's reasonable costs or charges, or (2) a blend

of the hospital's reasonable costs or customary charges and the amount

that would be paid to a free-standing ASC in the same area for the same

procedure. The blend is comprised of 42 percent hospital cost and 58

percent ASC payment rate. We believe payments based on the ASC blended

rate are approximately 10 percent lower than payments based solely on

reasonable cost. A factor that could offset some savings would be a

shift of services from the physician's office to the ASC setting as a

result of the expansion of the list of covered ASC services. Since a

facility fee is not paid when surgery is performed in a physician's

office, this shifting will result in slightly increased program costs.

The deletions to the ASC list could also result in some changes in

program costs and savings depending upon whether the deleted services

are shifted to the lower cost physician's office site or to the higher

cost OPD setting. We do not anticipate mass shifting of the site of

service associated with the procedure codes we are adding or deleting.

We believe this notice will result in no economic impact.

B. Regulatory Flexibility Act

We generally prepare a regulatory flexibility analysis that is

consistent with the Regulatory Flexibility Act (RFA) (5 U.S.C. 601

through 612) unless the Secretary certifies that a notice will not have

a significant economic impact on a substantial number of small

entities. For purposes of the RFA, all physicians, ASCs, and hospitals

are considered to be small entities.

In addition, section 1102(b) of the Act requires the Secretary to

prepare a regulatory impact analysis if a notice may have a significant

impact on the operations of a substantial number of small rural

hospitals. This analysis must conform to the provisions of section 604

of the RFA. For purposes of section 1102(b) of the Act, we define a

small rural hospital as a hospital that is located outside of a

Metropolitan Statistical Area and has fewer than 50 beds.

We will delete a procedure from the ASC list only if the combined

hospital inpatient, OPD, and ASC site-of-service percentage is less

than 46 percent of the total volume; and either the procedure is

performed 50 percent of the time or more in a physician's office, or

the procedure is performed 10 percent of the time or less in an

inpatient hospital setting. Because procedures will not be added or

deleted as a result of slight shifts of the site of service, we believe

we are adding stability to the list that should assist all small

entities to plan for the future.

Therefore, for the reasons cited above, we are not preparing

analyses for either the RFA or section 1102(b) of the Act since we have

determined, and the Secretary certifies, that this notice will not

result in a significant economic impact on a substantial number of

small entities and will not have a significant impact on the operations

of a substantial number of small rural hospitals.

In accordance with the provisions of Executive Order 12866, this

notice was not reviewed by the Office of Management and Budget.

(Section 1833(i)(1) of the Social Security Act (42 U.S.C.

1395l(i)(1))

(Catalog of Federal Domestic Assistance Program No. 93.774,

Medicare--Supplementary Medical Insurance Program)

Dated: October 28, 1994.

Bruce C. Vladeck,

Administrator, Health Care Financing Administration.

Dated: December 10, 1994.

Donna E. Shalala,

Secretary.

Addendum A

Deletions From the List of Covered Procedures for Ambulatory

Surgical Centers

The following addendum is the final list of deletions from the ASC

list. These deletions are effective April 26, 1995. In the first column

is the CPT code for the procedure; and in the second column, the body

system and description of the procedure. In this addendum, ``combined''

percentage refers to the total of inpatient hospital, hospital

outpatient department, and ASC site-of-service percentages.

We are requesting public comments only on CPT code 36522 in

Addendum A because we had not proposed this code for deletion in our

December 1993 proposed notice.

------------------------------------------------------------------------

CPT

Code Body system and description

------------------------------------------------------------------------

CARDIOVASCULAR SYSTEM

36522. Photopheresis, extracorporeal (73 percent inpatient, 2 percent

office, 96 percent combined)

EYE AND OCULAR ADNEXA

66762. Iridoplasty by photocoagulation (one or more sessions) (eg, for

improvement of vision, for widening of anterior chamber angle)

(2 percent inpatient, 59 percent office, 37 percent combined)

67101. Repair of retinal detachment, one or more sessions; cryotherapy

or diathermy, with or without drainage of subretinal fluid (8

percent inpatient, 62 percent office, 37 percent combined)

67105. Repair of retinal detachment, one or more sessions;

photocoagulation (laser or xenon arc, one or more sessions),

with or without drainage of subretinal fluid (6 percent

inpatient, 63 percent office, 36 percent combined)

67208. Destruction of localized lesion of retina (eg, maculopathy,

choroidopathy, small tumors), one or more sessions;

cryotherapy, diathermy (5 percent inpatient, 57 percent office,

40 percent combined)

------------------------------------------------------------------------

Addendum B

Additions to the List of Covered Procedures for Ambulatory Surgical

Centers

The following addendum is the final list of additions to the ASC

list and the [[Page 5198]] corresponding payment groups. These

additions are effective February 27, 1995. In the first column is the

CPT code for the procedure; in the second column, the payment group for

the procedure; and in the third column, the body system and description

of the procedure.

We are requesting public comments on the appropriateness of the

addition of, and assignment of payment groups for, only the following

CPT codes in Addendum B because we had not suggested them for addition

in our December 1993 proposed notice: CPT codes 29804, 43259, 51040,

52450, 56309, 56316, 56317, 56351, 56356, and 64421.

------------------------------------------------------------------------

CPT Payment

Code group Body system and description

------------------------------------------------------------------------

MUSCULOSKELETAL SYSTEM

20694. 1 Removal, under anesthesia, of external fixation system

20910. 3 Cartilage graft; costochondral

26416. 3 Removal of tube or rod and insertion of extensor

tendon graft (includes obtaining graft), hand or

finger

26587. 5 Reconstruction of supernumerary digit, soft tissue and

bone

28307. 4 Osteotomy, metatarsal, base or shaft, single, with or

without lengthening, for shortening or angular

correction; first metatarsal with autograft

28340. 4 Reconstruction, toe, macrodactyly; soft tissue

resection

28341. 4 Reconstruction, toe, macrodactyly; requiring bone

resection

28344. 4 Reconstruction, toe(s); polydactyly

28345. 4 Reconstruction, toe(s); syndactyly, with or without

skin graft(s), each web

28456. 2 Percutaneous skeletal fixation of tarsal bone fracture

(except talus and calcaneus); with manipulation, each

29804. 3 Arthroscopy, temporomandibular joint, surgical

RESPIRATORY SYSTEM

31084. 4 Sinusotomy frontal; obliterative, with osteoplastic

flap, brow incision

DIGESTIVE SYSTEM

43259. 3 Upper gastrointestinal endoscopy including esophagus,

stomach, and either the duodenum and/or jejunum as

appropriate; with endoscopic ultrasound examination

49250. 4 Umbilectomy, omphalectomy, excision of umbilicus

(separate procedure)

URINARY SYSTEM

51040. 4 Cystostomy, cystostomy with drainage

52450. 3 Transurethral incision of prostate

MALE GENITAL SYSTEM

54015. 4 Incision and drainage of penis, deep

54205. 4 Injection procedure for Peyronie disease; with

surgical exposure of plaque

LAPAROSCOPY/PERITONEOSCOPY/HYSTEROSCOPY

56309. 5 Laparoscopy, surgical; with removal of leiomyomata,

subserosal (single or multiple)

56316. 4 Laparoscopy, surgical; repair of initial inguinal

hernia

56317. 7 Laparoscopy, surgical; repair of recurrent inguinal

hernia

56351. 3 Hysteroscopy, surgical, with sampling (biopsy) of

endometrium and/or polypectomy, with or without D & C

56356. 4 Hysteroscopy, surgical; with endometrial ablation (any

method)

FEMALE GENITAL SYSTEM

56441. 1 Lysis of labial adhesions

NERVOUS SYSTEM

62275. 1 Injection of anesthetic substance (including

narcotics), diagnostic or therapeutic; epidural,

cervical or thoracic, single

64421. 1 Injection, anesthetic agent; intercostal nerves,

multiple, regional block

EYE AND OCULAR ADNEXA

65770. 7 Keratoprosthesis

66180. 5 Aqueous shunt to extraocular reservoir, (eg, Molteno,

Schocket, Denver-Krupin)

66185. 2 Revision of aqueous shunt to extraocular reservoir

67340. 4 Strabismus surgery involving exploration and/or repair

of detached extraocular muscle(s)

------------------------------------------------------------------------

Addendum C

1. Deletions From the List of Covered Procedures for Ambulatory

Surgical Centers, Deleted From the 1992 CPT

The CPT is updated annually, and some additions and deletions

affect the ASC list. The following part 1 of this addendum is the list

of procedures that were deleted from the ASC list because they were

deleted from the 1992 CPT. These deletions were effective March 31,

1992. In the first column is the CPT code for the procedure; and in the

second column, the body system and description of the procedure.

------------------------------------------------------------------------

CPT

code Body system and description

------------------------------------------------------------------------

INTEGUMENTARY SYSTEM

15410. Free transplantation of skin flap by microsurgical technique,

including microvascular anastomosis; 100 sq cm or less

15412. Free transplantation of skin flap by microsurgical technique,

including microvascular anastomosis, between 101 and 160 sq cm

15414. Free transplantation of skin flap by microsurgical technique,

including microvascular anastomosis; between 161 and 230 sq cm

15416. Free transplantation of skin flap by microsurgical technique,

including microvascular anastomosis; over 230 sq cm

15500. Formation of tube pedicle without transfer or major ``delay'' of

large flap without transfer; on trunk

15505. Formation of tube pedicle without transfer or major ``delay'' of

large flap without transfer; on scalp, arms, or legs

15510. Formation of tube pedicle without transfer, or major ``delay''

of large flap without transfer; on forehead, cheeks, chin,

mouth, neck, axillae, genitalia, hands, or feet

15515. Formation of tube pedicle without transfer, or major ``delay''

of large flap without transfer; on eyelids, nose, ears, or lips

15540. Primary attachment of open or tubed pedicle flap to recipient

site requiring minimal preparation; to trunk

15545. Primary attachment of open or tubed pedicle flap to recipient

site requiring minimal preparation; to scalp, arms, or legs

15550. Primary attachment of open or tubed pedicle flap to recipient

site requiring minimal preparation; to forehead, cheeks, chin,

mouth, neck, axillae, genitalia, or hands, feet

15555. Primary attachment of open or tubed pedicle flap to recipient

site requiring minimal preparation; to eyelids, nose, ears, or

lips

15700. Excision of lesion and/or excisional preparation of recipient

site and attachment of direct or tubed pedicle flap; trunk

[[Page 5199]]

15710. Excision of lesion and/or excisional preparation of recipient

site and attachment of direct or tubed pedicle flap; scalp,

arms, or legs

15720. Excision of lesion and/or excisional preparation of recipient

site and attachment of direct or tubed pedicle flap; forehead,

cheeks, chin, mouth, neck, axillae, genitalia, hands or feet

15730. Excision of lesion and/or excisional preparation of recipient

site and attachment of direct or tubed pedicle flap; eyelids,

nose, ears, or lips

15954. Excision, trochanteric pressure ulcer, with bipedicle flap

closure

15955. Excision, trochanteric pressure ulcer, with bipedicle flap

closure; with ostectomy

15960. Excision, heel pressure ulcer, with primary suture

15961. Excision, heel pressure ulcer, with primary suture; with

ostectomy

15964. Excision, heel pressure ulcer, with local skin flap closure

15965. Excision, heel pressure ulcer, with local skin flap closure;

with ostectomy

15966. Excision, heel pressure ulcer, with other flap closure

15967. Excision, heel pressure ulcer, with other flap closure; with

ostectomy

15970. Excision, leg pressure ulcer, with primary suture

15971. Excision, leg pressure ulcer, with primary suture; with

ostectomy

15972. Excision, leg pressure ulcer, with local skin flap(s)

15973. Excision, leg pressure ulcer, with local skin flap(s); with

ostectomy

15974. Excision, leg pressure ulcer, with muscle or myocutaneous flap

closure

15975. Excision, leg pressure ulcer, with muscle or myocutaneous flap

closure; with ostectomy

15980. Excision, knee pressure ulcer, with local skin flap closure

15981. Excision, knee pressure ulcer, with local skin flap closure;

with ostectomy

15982. Excision, knee pressure ulcer, with other flap closure

15983. Excision, knee pressure ulcer, with other flap closure; with

ostectomy

19360. Breast Reconstruction with muscle or myocutaneous flap

RESPIRATORY SYSTEM

30820. Cryosurgery of turbinates, unilateral or bilateral

CARDIOVASCULAR SYSTEM

36495. Insertion of implantable intravenous infusion pump or venous

access port

36496. Revision of implantable intravenous infusion pump or venous

access port

36497. Removal of implantable intravenous infusion pump or venous

access port

EYE AND OCULAR ADNEXA

66702. Ciliary body destruction, any method (eg, diathermy,

cryotherapy, laser, dialysis)

67907. Repair of blepharoptosis; superior rectus tendon transplant

------------------------------------------------------------------------

2. Additions to the List of Covered Procedures for Ambulatory Surgical

Centers, Added to the 1992 CPT (Added to the Medicare Carriers Manual

January 30, 1992)

The CPT is updated annually, and some additions and deletions

affect the ASC list. The following part 2 of this addendum is the list

of procedures that were added to the ASC list because of additions to

the 1992 CPT. These procedures were added to the ASC list by the

Medicare Carriers Manual and were effective January 30, 1992. In the

first column is the CPT code for the procedure; in the second column,

the payment group for the procedure; and in the third column, the body

system and description of the procedure.

------------------------------------------------------------------------

CPT Payment

code group Body system and description

------------------------------------------------------------------------

INTEGUMENTARY SYSTEM

15570. 3 Formation of direct or tubed pedicle, with or without

transfer; trunk

15572. 3 Formation of direct or tubed pedicle, with or without

transfer; scalp, arms, or legs

15574. 3 Formation of direct or tubed pedicle, with or without

transfer; forehead, cheeks, chin, mouth, neck,

axillae, genitalia, hands, or feet

15576. 3 Formation of direct or tubed pedicle, with or without

transfer; eyelids, nose, ears, lips or intraoral

19357. 5 Breast reconstruction, immediate or delayed, with

tissue expander, including subsequent expansion

RESPIRATORY SYSTEM

30801. 1 Cauterization and/or ablation, mucosa of turbinates,

unilateral or bilateral, any method (separate

procedure); superficial

30802. 1 Cauterization and/or ablation, mucosa of turbinates,

unilateral or bilateral, any method (separate

procedure); intramural

CARDIOVASCULAR SYSTEM

36533. 3 Insertion of implantable venous access port, with or

without subcutaneous reservoir

36534. 2 Revision of implantable venous access port and/or

subcutaneous reservoir

36535. 1 Removal of implantable venous access port and/or

subcutaneous reservoir

EYE AND OCULAR ADNEXA

66700. 2 Ciliary body destruction; diathermy

66710. 2 Ciliary body destruction; cyclophotocoagulation

66720. 2 Ciliary body destruction; cryotherapy

66740. 2 Ciliary body destruction; cyclodialysis

66986. 6 Exchange of intraocular lens

------------------------------------------------------------------------

3. Deletions from the List of Covered Procedures for Ambulatory

Surgical Centers, Deleted From the 1993 CPT

The CPT is updated annually, and some additions and deletions

affect the ASC list. The following part 3 of this addendum is the list

of procedures that were deleted from the ASC list because they were

deleted from the 1993 CPT. These deletions were effective July 7, 1993.

In the first column is the CPT code for the procedure; and in the

second column, the body system and description of the procedure.

------------------------------------------------------------------------

CPT

Code Body system and description

------------------------------------------------------------------------

INTEGUMENTARY SYSTEM

10141. Incision and drainage of hematoma; complicated

MUSCULOSKELETAL SYSTEM

21455. Closed manipulative treatment by interdental fixation of closed

or open mandibular fracture

23510. Treatment of open clavicular fracture, with uncomplicated soft

tissue closure

23580. Treatment of open scapular fracture with uncomplicated soft

tissue closure

23610. Treatment of open humeral (surgical or anatomical neck)

fracture, with uncomplicated soft tissue closure

23658. Treatment of open shoulder dislocation, with uncomplicated soft

tissue closure

24506. Treatment of closed humeral shaft fracture; percutaneous

insertion of pin or rod

24510. Treatment of open humeral shaft fracture, with uncomplicated

soft tissue closure

[[Page 5200]]

24531. Treatment of closed humeral supracondylar or transcondylar

fracture, without manipulation; with traction (pin or skin)

24536. Treatment of closed humeral supracondylar or transcondylar

fracture, with manipulation; with traction (pin or skin)

24540. Treatment of open humeral supracondylar or transcondylar

fracture, with uncomplicated soft tissue closure

24542. Treatment of open humeral supracondylar or transcondylar

fracture, with uncomplicated soft tissue closure, with traction

(pin or skin)

24570. Treatment of open humeral epicondylar fracture, medial or

lateral, with uncomplicated soft tissue closure

24578. Treatment of open humeral condylar fracture, medial or lateral,

with uncomplicated soft tissue closure

24580. Treatment of closed comminuted elbow fracture (fracture distal

humerus and/or proximal ulna and/or proximal radius), treatment

with traction (pin or skin), without manipulation

24581. Treatment of closed comminuted elbow fracture (fracture distal

humerus and/or proximal ulna and/or proximal radius), treatment

with traction (pin or skin); with manipulation

24583. Treatment of open comminuted elbow fracture (fracture distal

humerus and/or proximal ulna and/or proximal radius), with

uncomplicated soft tissue closure

24585. Open treatment of closed or open comminuted elbow fracture

(fracture distal humerus and/or proximal radius), with or

without internal or external skeletal fixation

24588. Open treatment of closed or open comminuted elbow fracture

(fracture distal humerus and/or proximal radius), with implants

and fascia lata ligament reconstruction

24610. Treatment of open elbow dislocation, with uncomplicated soft

tissue closure

24625. Treatment of open Monteggia type of fracture dislocation at

elbow (fracture proximal end of ulna with dislocation of radial

head), with uncomplicated soft tissue closure

24660. Treatment of open radial head or neck fracture, with

uncomplicated soft tissue closure

24680. Treatment of open ulnar fracture, proximal end (olecranon

process), with uncomplicated soft tissue closure

25510. Treatment of open radial shaft fracture, with uncomplicated soft

tissue closure

25540. Treatment of open ulnar shaft fracture, with uncomplicated soft

tissue closure

25570. Treatment of open radial and ulnar shaft fractures, with

uncomplicated soft tissue closure

25610. Treatment of closed, complex, distal radial fracture (eg, Colles

or Smith type) or epiphyseal separation, with or without

fracture of ulnar styloid, requiring manipulation; without

external skeletal fixation or percutaneous pinning

25615. Treatment of open distal radial fracture (eg, Colles or Smith

type) or epiphyseal separation, with or without fracture of

ulnar styloid, with uncomplicated soft tissue closure

25626. Treatment of open carpal scaphoid (navicular) fracture, with

uncomplicated soft tissue closure

25640. Treatment of closed carpal bone fracture (excluding carpal

scaphoid (navicular), with uncomplicated soft tissue closure,

each bone

25665. Treatment of open radiocarpal or intercarpal dislocation, one or

more bones, with uncomplicated soft tissue closure

26610. Treatment of open metacarpal fracture, single, with

uncomplicated soft tissue closure, each bone

26655. Treatment of open carpometacarpal fracture dislocation, thumb

(Bennett fracture), with or without internal or external

skeletal fixation

26660. Treatment of open carpometacarpal fracture dislocation, thumb

(Bennett fracture), with skeletal fixation

26680. Treatment of open carpometacarpal dislocation, other than

Bennett fracture, single, with uncomplicated soft tissue

closure

26710. Treatment of open metacarpophalangeal dislocation, single, with

uncomplicated soft tissue closure

26730. Treatment of open phalangeal shaft fracture, proximal or middle

phalanx, finger or thumb, with uncomplicated soft tissue

closure, each

26744. Treatment of open articular fracture, involving

metacarpophalangeal or proximal interphalangeal joint, with

uncomplicated soft tissue closure, each

26780. Treatment of open interphalangeal joint dislocation, single,

with uncomplicated soft tissue closure

27190. Treatment of closed sacral fracture

27192. Open treatment of closed or open sacral fracture

27195. Treatment of sacroiliac and/or symphysis pubis dislocation,

without manipulation

27196. Treatment of sacroiliac and/or symphysis pubis dislocation, with

anesthesia and with manipulation

27201. Treatment of open coccygeal fracture

27210. Treatment of closed iliac, pubic or ischial fracture

27504. Treatment of open femoral shaft fracture (including

supracondylar), with uncomplicated soft tissue closure

27512. Treatment of open femoral fracture, distal end, medial or

lateral condyle, with uncomplicated soft tissue closure

27522. Treatment of open patellar fracture, with uncomplicated soft

tissue closure

27534. Treatment of open tibial fracture, proximal (plateau), with

uncomplicated soft tissue closure

27564. Treatment of open patellar dislocation, with uncomplicated soft

tissue closure

27754. Treatment of open tibial shaft fracture, with uncomplicated soft

tissue closure

27764. Treatment of open distal tibial fracture (medial malleolus),

with uncomplicated soft tissue closure

27782. Treatment of open proximal fibula or shaft fracture, with

uncomplicated soft tissue closure

27790. Treatment of open distal fibular fracture (lateral malleolus),

with uncomplicated soft tissue closure

27800. Treatment of closed tibia and fibula fractures, shafts; without

manipulation

27802. Treatment of closed tibia and fibula fractures, shafts; with

manipulation

27804. Treatment of open tibia and fibula fractures, shafts, with

uncomplicated soft tissue closure (eg ``pins above and below'')

27812. Treatment of open bimalleolar ankle fracture, with uncomplicated

soft tissue closure

27820. Treatment of open trimalleolar ankle fracture, with

uncomplicated soft tissue closure

27844. Treatment of open ankle dislocation, with uncomplicated soft

tissue closure

28410. Treatment of open calcaneal fracture, with uncomplicated soft

tissue closure

28440. Treatment of open talus fracture, with uncomplicated soft tissue

closure

28460. Treatment of open tarsal bone fracture (except talus and

calcaneous), with uncomplicated soft tissue closure, each

28480. Treatment of open metatarsal fracture, with uncomplicated soft

tissue closure, each

28500. Treatment of open fracture great toe, phalanx or phalanges, with

uncomplicated soft tissue closure

28520. Treatment of open fracture, phalanx or phalanges, other than

great toe, with uncomplicated soft tissue closure, each

28640. Treatment of open metatarsophalangeal joint dislocation, with

uncomplicated soft tissue closure

28670. Treatment of open interphalangeal joint dislocation, with

uncomplicated soft tissue closure

[[Page 5201]]

RESPIRATORY SYSTEM

31719. Transtracheal (percutaneous) introduction of indwelling tube for

therapy (eg, tickle tube, catheter for oxygen administration)

FEMALE GENITAL SYSTEM

56000. Incision and drainage of perineal abscess (nonobstetrical)

56100. Biopsy of perineum (separate procedure)

56200. Perineoplasty, repair of perineum, nonobstetrical (separate

procedure)

57451. Culdoscopy, diagnostic; with biopsy and/or lysis of adhesions or

tubal sterilization

58980. Laparoscopy, diagnostic (separate procedure)

58984. Laparoscopy, surgical; with fulguration or excision of lesions

of the ovary, pelvic viscera, or peritoneal surface by any

method

58985. Laparoscopy, surgical; with lysis of adhesions

58986. Laparoscopy, surgical; with biopsy (single or multiple)

58987. Laparoscopy, surgical; with aspiration (single or multiple)

58988. Laparoscopy, surgical; with removal of adnexal structures

(partial or total oophorectomy and/or salpingectomy)

58990. Hysteroscopy; diagnostic

58992. Hysteroscopy; with lysis of intrauterine adhesions or resection

of intrauterine septum (any method)

58994. Hysteroscopy; with removal of submucous leiomyomata (any method)

------------------------------------------------------------------------

4. Additions to the List of Covered Procedures for Ambulatory Surgical

Centers, Added to the 1993 CPT (Added to the Medicare Carriers Manual

January 1, 1993)

The CPT is updated annually, and some additions and deletions

affect the ASC list. The following part 4 of this addendum is the list

of procedures that were added to the ASC list because of additions to

the 1993 CPT. These procedures were added to the ASC list by the

Medicare Carriers Manual and were effective January 1, 1993. In the

first column is the CPT code for the procedure; in the second column,

the payment group for the procedure; and in the third column, the body

system and description of the procedure.

------------------------------------------------------------------------

CPT Payment

Code Group Body system and description

------------------------------------------------------------------------

MUSCOLOSKELETAL SYSTEM

23616. 4 Open treatment of proximal humeral (surgical or

anatomical neck) fracture, with or without internal

or external fixation, with or without repair of

tuberosity(-ies); with proximal humeral prosthetic

replacement

24516. 4 Open treatment of humeral shaft fracture, with

insertion of intramedullary implant, with or without

cerclage and/or locking screws

24546. 5 Open treatment of humeral supracondylar or

transcondylar fracture, with or without internal or

external fixation; with intercondylar extension

25520. 1 Closed treatment of radial shaft fracture, with

dislocation of distal radioulnar joint (Galeazzi

fracture/dislocation)

25525. 4 Open treatment of radial shaft fracture, with internal

and/or external fixation and closed treatment of

dislocation of distal radioulnar joint (Galeazzi

fracture/dislocation), with or without percutaneous

skeletal fixation

25526. 5 Open treatment of radial shaft fracture, with internal

and/or external fixation and open treatment, with or

without internal or external fixation of distal

radioulnar (Galeazzi fracture/ dislocation), includes

repair of triangular cartilage

25574. 3 Open treatment of radial and ulnar shaft fractures,

with internal or external fixation; of radius or ulna

27193. 1 Closed treatment of pelvic ring fracture, dislocation,

diastasis or subluxation; without manipulation

27194. 2 Closed treatment of pelvic ring fracture, dislocation,

diastasis or subluxation; with manipulation,

requiring more than local anesthesia

27501. 2 Closed treatment of supracondylar or transcondylar

femoral fracture with or without intercondylar

extension, without manipulation

27503. 3 Closed treatment of supracondylar or transcondylar

femoral fracture with or without intercondylar

extension; with manipulation, with or without skin or

skeletal traction

27507. 4 Open treatment of femoral shaft fracture with plate/

screws, with or without cerclage

27509. 3 Percutaneous skeletal fixation of supracondylar or

transcondylar femoral fracture, with or without

intercondylar extension

27511. 4 Open treatment of femoral supracondylar fracture

without intercondylar extension, with or without

internal or external fixation

27513. 5 Open treatment of femoral supracondylar or

transcondylar fracture with intercondylar extension,

with or without internal or external fixation

27535. 3 Open treatment of tibial fracture, proximal (plateau);

unicondylar, with or without internal or external

fixation

27759. 4 Open treatment of tibial shaft fracture (with or

without fibular fracture) by intermedullary implant,

with or without interlocking screws and/or cerclage

27824. 1 Closed treatment of fracture of weight bearing

articular portion of distal tibia (eg, pilon or

tibial plafond), with or without anesthesia; without

manipulation

27825. 2 Closed treatment of fracture of weight bearing

articular portion of distal tibia (eg, pilon or

tibial plafond), with or without anesthesia; with

skeletal traction and/or requiring manipulation

27826. 3 Open treatment of fracture of weight bearing articular

surface/portion of distal tibia (eg, pilon or tibial

plafond), with internal or external fixation; of

fibula only

27827. 3 Open treatment of fracture of weight bearing articular

surface/portion of distal tibia (eg, pilon or tibial

plafond), with internal or external fixation; of

tibia only

[[Page 5202]]

27828. 4 Open treatment of fracture of weight bearing articular

surface/portion of distal tibia (eg, pilon or tibial

plafond), with internal or external fixation; of both

tibia and fibula

27829. 2 Open treatment of distal tibiofibular joint

(syndesmosis) disruption, with or without internal or

external fixation

28576. 3 Percutaneous skeletal fixation of talotarsal joint

dislocation, with manipulation

28636. 3 Percutaneous skeletal fixation of metatarsophalangeal

joint dislocation, with manipulation

28666. 3 Percutaneous skeletal fixation of interphalangeal

joint dislocation, with manipulation

29850. 4 Arthroscopically aided treatment of intercondylar

spine(s) and/or tuberosity fracture(s) of the knee,

with or without manipulation; without internal or

external fixation (includes arthroscopy)

29851. 4 Arthroscopically aided treatment of intercondylar

spine(s) and/or tuberosity fracture(s) of the knee,

with or without manipulation; with internal or

external fixation (includes arthroscopy)

29855. 4 Arthroscopically aided treatment of tibial fracture,

proximal (plateau); unicondylar, with or without

internal or external fixation (includes arthroscopy)

29856. 4 Arthroscopically aided treatment of tibial fracture,

proximal (plateau); bicondylar, with or without

internal or external fixation (includes arthroscopy)

RESPIRATORY SYSTEM

31730. 1 Transtracheal (percutaneous) introduction of needle

wire dilator/stent or indwelling tube for oxygen

therapy

FEMALE GENITAL SYSTEM

56300. 3 Laparoscopy, diagnostic (separate procedure)

56303. 5 Laparoscopy, surgical; with fulguration or excision of

lesions of the ovary, pelvic viscera, or peritoneal

surface by any method

56304. 5 Laparoscopy, surgical; with lysis of adhesions

56305. 4 Laparoscopy, surgical; with biopsy (single or

multiple)

56306. 4 Laparoscopy, surgical; with aspiration (single or

multiple)

56307. 5 Laparoscopy, surgical; with removal of adnexal

structures (partial or total oophorectomy and/or

salpingectomy)

56350. 1 Hysteroscopy, diagnostic (separate procedure)

56352. 2 Hysteroscopy, surgical; with lysis of intrauterine

adhesions (any method)

56354. 3 Hysteroscopy, surgical; with removal of leiomyomata

56405. 2 Incision and drainage of vulva or perineal abscess

56605. 1 Biopsy of vulva or perineum (separate procedure); one

lesion

56810. 5 Perineoplasty, repair of perineum, non-obstetrical

(separate procedure)

------------------------------------------------------------------------

5. Deletions From the List of Covered Procedures for Ambulatory

Surgical Centers, Deleted from the 1994 CPT

The CPT is updated annually, and some additions and deletions

affect the ASC list. The following part 5 of this addendum is the list

of procedures that were deleted from the ASC list because they were

deleted from the 1994 CPT. These deletions were effective April 11,

1994. This list of deletions differs from the Medicare Carriers Manual

instruction that was effective April 11, 1994, in that we have since

decided to retain four of the nasal and sinus endoscopy codes: CPT

codes 31254 through 31256 and 31267. We are retaining these codes since

we anticipate that they will be reinstated by the CPT Editorial Panel

effective January 1995.

In the first column is the CPT code for the procedure; and in the

second column, the body system and description of the procedure.

We are requesting public comments on the appropriateness of the

deletion of the CPT codes in Addendum C, part 5, because we had not

suggested them for deletion in our December 1993 proposed notice.

------------------------------------------------------------------------

CPT

Code Body system and description

------------------------------------------------------------------------

RESPIRATORY SYSTEM

31252. Nasal endoscopy, surgical; with nasal polypectomy

31258. Nasal endoscopy, surgical; with removal of foreign body(s)

31260. Maxillary sinus endoscopy, diagnostic, with or without biopsy

(separate procedure)

31263. Maxillary sinus endoscopy, surgical; with removal of foreign

body(s)

31265. Maxillary sinus endoscopy, surgical; with removal of cyst

31268. Maxillary sinus endoscopy, surgical; with removal of fungus ball

31270. Sphenoid endoscopy, diagnostic, with or without biopsy (separate

procedure)

31275. Sphenoid endoscopy, surgical

31277. Sphenoid endoscopy, surgical; with removal of mucous membrane

CARDIOVASCULAR SYSTEM

36820. Insertion of cannula for hemodialysis, other purpose;

arteriovenous, internal (Climino type)

DIGESTIVE SYSTEM

43451. Dilation of esophagus, by unguided sound or bougie, single or

multiple passes; subsequent session

43455. Dilation of esophagus, by balloon or dilator; under fluoroscopic

guidance

45310. Proctosigmoidoscopy; with removal of polyp or papilloma

45336. Sigmoidoscopy, flexible fiberoptic; with ablation of tumor or

mucosal lesion (eg, electrocoagulation, laser photocoagulation,

hot biopsy/fluguration)

46000. Fistulotomy, subcutaneous

49300. Peritoneoscopy; without biopsy

49301. Peritoneoscopy; with biopsy

49302. Peritoneoscopy with guided transhepatic cholangiography; without

biopsy

49303. Peritoneoscopy with guided transhepatic cholangiography; with

biopsy

49401. Pneumoperitoneum (separate procedure); subsequent

49510. Repair inguinal hernia, age 5 or over; with orchiectomy, with or

without implantation of prosthesis

49515. Repair inguinal hernia, age 5 or over; with orchiectomy, with

excision of hydrocele or spermatocele

49552. Repair femoral hernia, Henry approach

49575. Repair epigastric hernia, properitoneal fat (separate

procedure); complex

49581. Repair umbilical hernia; age 5 or over

------------------------------------------------------------------------

6. Additions to the List of Covered Procedures for Ambulatory Surgical

Centers, Added to the 1994 CPT (Added to the Medicare Carriers Manual

January 1, 1994)

The CPT is updated annually, and some additions and deletions

affect the ASC list. The following part 6 of this addendum is the list

of procedures that were added to the ASC list because of additions to

the 1994 CPT. These procedures were added to the ASC list by the

Medicare Carriers Manual and were effective January 1, 1994. In the

[[Page 5203]] first column is the CPT code for the procedure; in the

second column, the payment group for the procedure; and in the third

column, the body system and description of the procedure.

We are requesting public comments on the appropriateness of the

addition of, and assignment of payment groups for, the CPT codes in

Addendum C, part 6, because we had not suggested them for addition in

our December 1993 proposed notice.

------------------------------------------------------------------------

CPT Payment

code group Body system and description

------------------------------------------------------------------------

INTEGUMENTARY SYSTEM

19125. 3 Excision of breast lesion identified by pre-operative

placement of radiological marker; single lesion

19126. 3 Excision of breast lesion identified by pre-operative

placement of radiological marker; each additional

lesion separately identified by a radiological marker

MUSCULOSKELETAL SYSTEM

24566. 2 Percutaneous skeletal fixation of humeral epicondylar

fracture, medial or lateral, with manipulation

24582. 2 Percutaneous skeletal fixation of humeral condylar

fracture, medial or lateral, with manipulation

RESPIRATORY SYSTEM

31233. 2 Nasal/sinus endoscopy, diagnostic with maxillary

sinusoscopy (via inferior meatus or canine fossa

puncture)

31235. 1 Nasal/sinus endoscopy, diagnostic with sphenoid

sinusoscopy (via puncture of sphenoidal face or

cannulation of osteum)

31237. 2 Nasal/sinus endoscopy, surgical; with biopsy,

polypectomy or debridement (separate procedure)

31238. 1 Nasal/sinus endoscopy, surgical; with control of

epistaxis

31239. 4 Nasal/sinus endoscopy, surgical; with

dacryocystorhinostomy

31240. 2 Nasal/sinus endoscopy, surgical; with concha bullosa

resection

31245. 3 Nasal/sinus endoscopy, surgical, with osteomeatal

complex (OMC) resection and/or anterior

ethmoidectomy, with or without removal of polyp(s)

31246. 3 Nasal/sinus endoscopy, surgical, with osteomeatal

complex (OMC) resection and/or anterior

ethmoidectomy, with or without removal of polyp(s);

with antrostomy

31247. 3 Nasal/sinus endoscopy, surgical, with osteomeatal

complex (OMC) resection and/or anterior

ethmoidectomy, with or without removal of polyp(s);

with antrostomy and removal of antral mucosal disease

31248. 3 Nasal/sinus endoscopy, surgical, with osteomeatal

complex (OMC) resection and/or anterior

ethmoidectomy, with or without removal of polyp(s);

with frontal sinus exploration

31249. 3 Nasal/sinus endoscopy, surgical, with osteomeatal

complex (OMC) resection and/or anterior

ethmoidectomy, with or without removal of polyp(s);

with frontal sinus exploration and antrostomy

31251. 3 Nasal/sinus endoscopy, surgical, with osteomeatal

complex (OMC) resection and/or anterior

ethmoidectomy, with or without removal of polyp(s);

with frontal sinus exploration, antrostomy, and

removal of antral mucosal disease

31261. 5 Nasal/sinus endoscopy, surgical, with anterior and

posterior ethmoidectomy (APE), with or without

removal of polyp(s)

31262. 5 Nasal/sinus endoscopy, surgical, with anterior and

posterior ethmoidectomy (APE), with or without

removal of polyp(s); with antrostomy

31264. 5 Nasal/sinus endoscopy, surgical, with anterior and

posterior ethmoidectomy (APE), with or without

removal of polyp(s); with antrostomy and removal of

antral mucosal disease

31266. 5 Nasal/sinus endoscopy, surgical, with anterior and

posterior ethmoidectomy (APE), with or without

removal of polyp(s); with frontal sinus exploration

31269. 5 Nasal/sinus endoscopy, surgical, with anterior and

posterior ethmoidectomy (APE), with or without

removal of polyp(s); with frontal sinus exploration

and antrostomy

31271. 5 Nasal/sinus endoscopy, surgical, with anterior and

posterior ethmoidectomy (APE), with or without

removal of polyp(s); with frontal sinus exploration,

antrostomy, and removal of antral mucosal disease

31280. 5 Nasal/sinus endoscopy, surgical, with anterior and

posterior ethmoidectomy and sphenoidotomy (APS), with

or without removal of polyp(s)

31281. 5 Nasal/sinus endoscopy, surgical, with anterior and

posterior ethmoidectomy and sphenoidotomy (APS), with

or without removal of polyp(s); with antrostomy

31282. 5 Nasal/sinus endoscopy, surgical, with anterior and

posterior ethmoidectomy and sphenoidotomy (APS), with

or without removal of polyp(s); with antrostomy and

removal of antral mucosal disease

31283. 5 Nasal/sinus endoscopy, surgical, with anterior and

posterior ethmoidectomy and sphenoidotomy (APS), with

or without removal of polyp(s); with frontal sinus

exploration

31284. 5 Nasal/sinus endoscopy, surgical, with anterior and

posterior ethmoidectomy and sphenoidotomy (APS), with

or without removal of polyp(s); with frontal sinus

exploration and antrostomy

31286. 5 Nasal/sinus endoscopy, surgical, with anterior and

posterior ethmoidectomy and sphenoidotomy (APS), with

or without removal of polyp(s); with frontal sinus

exploration, antrostomy and removal of antral mucosal

disease

31287. 3 Nasal/sinus endoscopy, surgical, with sphenoidotomy

31288. 3 Nasal/sinus endoscopy, surgical, with sphenoidotomy;

with removal of tissue from the sphenoid sinus

[[Page 5204]]

DIGESTIVE SYSTEM

43216. 1 Esophagoscopy, rigid or flexible; with removal of

tumor(s), polyp(s), or other lesion(s) by hot biopsy

forceps or bipolar cautery

43248. 2 Upper gastrointestinal endoscopy including esophagus,

stomach, and either the duodenum and/or jejunum as

appropriate; with insertion of guide wire followed by

dilation of esophagus over guide wire

43250. 2 Upper gastrointestinal endoscopy including esophagus,

stomach, and either the duodenum and/or jejunum as

appropriate; with removal of tumor(s), polyp(s), or

other lesion(s) by hot biopsy forceps or bipolar

cautery

43261. 2 Endoscopic retrograde cholangiopancreatography (ERCP);

with biopsy, single or multiple

43458. 2 Dilation of esophagus with balloon (30 mm diameter or

larger) for achalasia

44365. 2 Small intestinal endoscopy, enteroscopy beyond second

portion of duodenum, not including ileum; with

removal of tumor(s), polyp(s), or other lesion(s) by

hot biopsy forceps or bipolar cautery

44394. 1 Colonoscopy through stoma; with removal of tumor(s),

polyp(s), or other lesion(s) by snare technique

45308. 1 Proctosigmoidosopy, rigid; with removal of single

tumor, polyp, or other lesion by hot biopsy forceps

or bipolar cautery

45309. 1 Proctosigmoidoscopy, rigid; with removal of single

tumor, polyp, or other lesion by snare technique

45338. 1 Sigmoidoscopy, flexible; with removal of tumor(s),

polyp(s), or other lesion(s) by snare technique

45339. 1 Sigmoidoscopy, flexible; with ablation of tumor(s),

polyp(s), other lesion(s) not amenable to removal by

hot biopsy forceps, bipolar cautery or snare

technique

45384. 2 Colonoscopy, flexible, proximal to splenic flexure;

with removal of tumor(s), polyp(s), or other

lesion(s) by hot biopsy forceps or bipolar cautery

46611. 1 Anoscopy; with removal of single tumor, polyp, or

other lesion by snare technique

49585. 4 Repair umbilical hernia, age 5 or over; reducible

LAPAROSCOPY/PERITONEOSCOPY/HYSTEROSCOPY

56360. 2 Peritoneoscopy; without biopsy

56361. 3 Peritoneoscopy; with biopsy

56362. 3 Peritoneoscopy; with guided transhepatic

cholangiography; with biopsy

56363. 3 Peritoneoscopy with guided transhepatic

cholangiography; with biopsy

EYE AND OCULAR ADNEXA

66172. 4 Fistulization of sclera for glaucoma; trabeculectomy

ab externo with scarring from previous ocular surgery

or trauma (includes injection of antifibrotic agents)

------------------------------------------------------------------------

[FR Doc. 95-1897 Filed 1-25-95; 8:45 am]

BILLING CODE 4120-01-P

This is a copy of a public record, reproduced as it was published. It is not legal advice, and it may not be the version a court would rely on. Check the official source before you cite it.

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