Expansion of Moratorium Exception on Classification of Long Term Care Hospitals or Satellites

The American Recovery and Reinvestment Act (ARRA), enacted on February 17, 2009, expands the exceptions to the three-year moratorium on LTCH or LTCH satellites previously enacted in the Medicare, Medicaid, and SCHIP Extension Act (MMSEA) (Pub. L. 110-173). The new exception permits an increase in the number of beds in an existing LTCH or LTCH satellite when the bed increase was authorized under a Certificate of Need (CON) issued within a specified timeframe. CMS is amending the guidance issued in S&C-08-26 to reflect this statutory change. CMS Regional Offices will determine whether a facility qualifies for the new exception to the moratorium.