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MedicaidDocumentationMedium impact

Update to Seating Assessment Benefits Available April 1, 2026

Texas Medicaid·TX · Physical Therapy, Occupational Therapy, PM&R (Physical Medicine & Rehab)·General
Effective date
Apr 1, 2026
We identified it
Mar 27, 2026
Days to comply

Summary

Starting April 1, 2026, Texas Medicaid will allow seating assessments (97542) to be billed on the same date as PT/OT evaluations or re-evaluations, but only with distinct start/stop times documented for each service. Claims with overlapping service times will be denied and all same-day claims will undergo manual review.

Action Required

Action needed
By April 1, 2026: Billing team must update documentation requirements for seating assessments (97542) when billed with PT/OT evaluations. Ensure providers document distinct start and stop times for each service when billing same-day combinations. Update encounter forms and EMR templates to capture separate timing. Failure to document distinct times will result in claim denials.

Affected Billing Codes

97542
97161
97162
97163
97165
97166
97167
97164
97168