HFMA Comments on 501(r) Provisions
Chicago, IL - September 25, 2012 - The Healthcare Financial Management Association (HFMA) issued a comment letter yesterday directed to the Internal Revenue Service regarding the Department of the Treasury's and Internal Revenue Service's proposed regulations relating to the 501(r) provisions found in the Affordable Care Act (ACA).
In the letter, HFMA addresses the Treasury's efforts to more clearly define the additional procedures that 501 (c)(3) hospitals must follow for the financial assistance, billing, and collection requirements outlined in the ACA. HFMA notes that it believes clarification and change in the proposed rule is needed to address the following issues:
- Duplicative or conflicting procedures and requirements
- Burdensome processes and record keeping
- Inconsistent standards and unintended consequences
HFMA provides recommendations that address each of the aforementioned issues. The goal of the letter is to assist the Internal Revenue Service and Department of the Treasury in creating a simplified, standardized, and non-duplicative program.
"The burden of complying with these regulations will be far higher than may have been intended," says Richard L. Gundling, FHFMA, CMA, Vice President of Healthcare Financial Practices at HFMA. "We have given constructive advice that will help meet the intent of the law with less complexity."
The Healthcare Financial Management Association (HFMA) provides the resources healthcare organizations need to achieve sound fiscal health in order to provide excellent patient care. With more than 39,000 members, HFMA is the nation's leading membership organization of healthcare finance executives and leaders. HFMA helps its members achieve results by providing education, analysis, and guidance, and creating practical tools and solutions that optimize financial management. The organization is a respected and innovative thought leader on top trends and challenges facing the healthcare finance industry. From addressing capital access to improved patient care to technology advancement, HFMA is the indispensable resource for healthcare finance. hfma.org
Healthcare Financial Management Association