A recently announced CMS repeal of ambulance fee rates will not actually impact most ambulance services in the US. The repeal only affects a limited regulation that was directed at the time in 2000-2002 that was involved in litigation over late implementation.

Originally, the regulations were put in place following a court order in the Lifestar Ambulance Service, Inc. v US class action lawsuit that wanted the payment structure to be retroactive to the date that the law said CMS should have the regulations ready since CMS was late in issuing the regulations. The trial court ruled in favor of Lifestar and ordered CMS to issue regulations for retroactive payment.

In a recent decision of the 11th Circuit Court of Appeals, the trial court decision was overturned, and the US Supreme Court declined to take the appeal. CMS has now acted to remove the retroactive payment regulations.

The potential effect of the repeal could have resultied in ambulance services having to repay any payments under the rules, but the CMS announcement of the repeal indicates that no services were paid under the retroactive rules, so no services will be affected by the repeal of the regulations.

Bottom line -- Ominous headline for ambulance services will actually not change anything. The existing fee structure is unaffected.