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CMS WatchOctober 9, 2026·7 min read

CR 14582: CMS will reprocess 2023-2024 POS 32 claims that overlap Part A SNF stays

CMS Transmittal R13995CP, issued October 8, 2026, tells the Common Working File to run a one-time look-back that flags Part B claim lines billed with POS 32 from May 11, 2023 through December 31, 2024 that overlap a covered Part A SNF or swing-bed stay. MACs will reprocess those lines and recoup any resulting overpayments, with implementation set for April 2027.

CMS Watchplace of serviceskilled nursing facilitytransmittalclaims processing
HCC Buddy

By the HCC Buddy Coding Team

Published October 9, 2026

A skilled nursing facility room with a made bed, a wall calendar with a shaded stay span, and claim folders, for a CMS POS 32 claims look-back
CMS will apply its POS 32 overlap check to Part B claim lines from May 11, 2023 through December 31, 2024 that overlap a covered Part A SNF or swing-bed stay. — Illustration: HCC Buddy

Key Takeaways

  • →CMS issued Transmittal R13995CP on October 8, 2026 (Pub. 100-04, Change Request 14582), titled "Enhancing Compliance and Payment Accuracy for Physician Services in Skilled Nursing Facilities-Update."
  • →The Common Working File will run a one-time utility that applies IUR 7303 to Part B claim lines with dates of service from May 11, 2023 through December 31, 2024 that were billed with POS 32 and fall within or overlap a posted Part A SNF claim (type of bill 21x) or swing-bed claim (18x), excluding CAH swing beds.
  • →Part B MACs will reprocess the claims that generate IUR 7303 and follow standard recoupment procedures for any resulting overpayments. The effective date is April 1, 2027 and the implementation date is April 5, 2027.
  • →The look-back extends CR 13767, which since dates of service on or after January 1, 2025 rejects POS 32 professional claims that overlap a covered Part A SNF stay and adjusts already-paid POS 32 lines to POS 31.
  • →CMS's rule is unchanged: POS 31 for services in a SNF during a covered Part A stay, POS 32 for nursing facility services and for SNF patients who have exhausted Part A, and POS 31 in mixed facilities unless the physician verifies no Part A payment will be made.

On October 8, 2026, CMS issued Transmittal R13995CP, Change Request 14582, in the Medicare Claims Processing manual (Pub. 100-04). It reaches back to professional claims with dates of service from May 11, 2023 through December 31, 2024 and checks one thing: was the line billed with place of service (POS) 32 while the patient was in a covered Part A skilled nursing facility (SNF) stay. If so, the claim is reprocessed and any overpayment is recouped.

What CMS issued

ItemTransmittal R13995CP
TitleEnhancing Compliance and Payment Accuracy for Physician Services in Skilled Nursing Facilities-Update
Change Request14582
IssuedOctober 8, 2026
Dates of service coveredMay 11, 2023 through December 31, 2024
Effective dateApril 1, 2027
Implementation dateApril 5, 2027
ContractorsA/B MAC Part A, A/B MAC Part B, Common Working File

CMS's transmittal listing page shows the CR number as 14682. The transmittal PDF itself, and every business requirement in it, uses 14582.

The look-back, step by step

The CR directs the Common Working File (CWF) to write a one-time utility that applies Informational Unsolicited Response (IUR) 7303 to Part B claims already in history. A line is caught when all of these are true:

  • the date of service is on or after May 11, 2023 and through December 31, 2024
  • the POS on the line is 32
  • the line's from and through dates fall within or overlap a posted Part A SNF claim (type of bill 21x) or a swing-bed claim (type of bill 18x)
  • the swing bed is not a critical access hospital (CAH) swing bed

Part B MACs then reprocess the claims that generated IUR 7303. The CR says contractors shall follow standard recoupment procedures for any resulting overpayments and keep following every business requirement already set under CR 13767.

Why CMS says it matters

The transmittal's background is short. Medicare pays practitioners separately for physician services, and practitioners report a two-digit POS code on each claim line. CMS says the Office of Inspector General's analysis found practitioners do not always follow CMS regulations and guidance when reporting POS, and that using the non-facility POS 32 when the beneficiary was covered under Part A increases the risk of Medicare overpayments for physician services to SNF inpatients. The correct code during a Part A SNF stay is POS 31.

The rule this builds on: CR 13767

CR 13767 (Transmittal R13391CP, August 27, 2025, which replaced R13073CP from March 13, 2025) set up the current process for dates of service on or after January 1, 2025, with an effective date of July 1, 2025:

  • Edit 7303. CWF rejects an incoming professional claim reported with POS 32 when it overlaps a previously posted covered Part A SNF claim (21x, or 18x swing bed excluding CAH swing beds). The MAC returns it as unprocessable with CARC 58 (treatment deemed rendered in an inappropriate or invalid place of service), group code CO.
  • IUR 7303. When a covered Part A SNF claim arrives after a POS 32 professional claim was already paid for overlapping dates, CWF flags the paid claim. MACs correct the POS only on lines where 32 should be 31, process the adjustment at the POS 31 payment rate, and follow normal recoupment.
  • Remittance messages. Adjusted claims carry RARC N692 (reversal due to an incorrect rate on the initial adjudication) and RARC M77 (missing, incomplete, invalid, or inappropriate place of service).

CR 13767 also lists conditions where the edit and IUR do not fire, including a POS 32 line on the SNF admission date or the SNF discharge date, and lines within certain occurrence span codes on the SNF claim.

CR 14582 is the history piece: the same IUR logic, applied to 2023 and 2024 dates of service that predate the CR 13767 edit.

POS 31 or POS 32: CMS's own wording

From the transmittal and MLN Matters MM13767:

SettingPOS
SNF, beneficiary in a covered Part A stay31
Nursing facility (NF)32
SNF, beneficiary has exhausted Part A coverage32
Mixed NF and SNF facility31, unless the physician can verify no Part A payment will be made

What this does not change

The CR does not change POS definitions or CPT codes, and it does not update a manual chapter. It is a claims-history correction run by the CWF and MACs, with provider education promised through MLN Connects after the CR. It also sits next to HCC Buddy's coverage of the SMRC nursing facility E/M review and the OIG Novitas nursing home Part B audit. Those are separate reviews; this one is about the POS on the line.

Where coders should look now

The implementation date is April 2027, so there is time to see what is coming. Pull professional claims for nursing facility and SNF visits with dates of service from May 11, 2023 through December 31, 2024 that were billed with POS 32, and match them against the facility's Part A stay dates for the same patients. Any line inside a covered Part A stay is the kind of line this utility is built to find. Going forward, confirm Part A status with the facility before choosing POS 31 or 32, and use Evidence Check to confirm what the visit note itself supports before the claim goes out.

What coders should do now

  1. 1Pull professional claims with dates of service from May 11, 2023 through December 31, 2024 billed with POS 32 for patients seen in SNFs or swing beds, and match them against the facility's covered Part A stay dates.
  2. 2Flag POS 32 lines that fall inside a covered Part A SNF stay (type of bill 21x) or a non-CAH swing-bed stay (18x), then check the CR 13767 conditions that keep IUR 7303 from setting, such as a POS 32 line dated on the SNF admission or discharge date, or a cancelled or no-pay Part A claim; only the lines left after those exclusions are set to be reprocessed starting April 2027, with recoupment of any resulting overpayment.
  3. 3Watch remittances after the April 5, 2027 implementation for adjustments carrying RARC N692 and M77, the messages CR 13767 requires on IUR 7303 adjustments.
  4. 4Before billing a current SNF visit, confirm Part A status: POS 31 during a covered Part A stay, POS 32 for nursing facility care or after Part A is exhausted, and POS 31 in a mixed facility unless the physician verifies no Part A payment.
  5. 5Expect CARC 58 rejections on new POS 32 claims that overlap a posted covered Part A SNF claim; correct the POS rather than resubmitting the same line.

Frequently Asked Questions

What does CMS Change Request 14582 do?

CR 14582, issued as Transmittal R13995CP on October 8, 2026, directs the Common Working File to run a one-time utility that applies IUR 7303 to Part B claims with dates of service from May 11, 2023 through December 31, 2024 where the POS is 32 and the line overlaps a posted Part A SNF claim (21x) or swing-bed claim (18x), excluding CAH swing beds. Part B MACs then reprocess those claims and follow standard recoupment for any resulting overpayments.

When does the POS 32 look-back take effect?

The transmittal lists an effective date of April 1, 2027 and an implementation date of April 5, 2027.

Which POS code is correct for a physician visit in a SNF?

CMS says to use POS 31 for services furnished in a SNF to a beneficiary with Part A coverage, and POS 32 for all services in a nursing facility and for SNF services when the beneficiary has exhausted Part A coverage. In a mixed facility with both NF and SNF settings, use POS 31 unless the physician can verify that no Part A payment will be made.

How is CR 14582 different from CR 13767?

CR 13767 (Transmittal R13391CP, August 27, 2025) created edit 7303 and IUR 7303 for dates of service on or after January 1, 2025: new POS 32 claims that overlap a covered Part A SNF stay are rejected, and already-paid POS 32 lines are adjusted to POS 31. CR 14582 applies the same IUR logic once to older claims in history, dated May 11, 2023 through December 31, 2024.

What will an adjusted claim show on the remittance?

CR 13767 requires RARC N692 (alert that the reversal is due to an incorrect rate on the initial adjudication) and RARC M77 (missing, incomplete, invalid, or inappropriate place of service) on claims adjusted through IUR 7303, and CR 14582 tells contractors to keep following the CR 13767 requirements.

Related topics:CMS Watchplace of serviceskilled nursing facilitytransmittalclaims processing
HCC Buddy

HCC Buddy Coding Team

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