MedicaidAdministrativeHigh impact
BT202341: Indiana nursing facility MDS assessment to require Optional State Assessment beginning Oct. 1
Indiana Medicaid (IHCP)·IN · Geriatrics·Specialty Services
Effective date
Oct 1, 2023
We identified it
Jun 19, 2026
Summary
Beginning October 1, 2023, Indiana nursing facilities must complete an Optional State Assessment (OSA) with each federally required MDS assessment to maintain RUG-based case mix reimbursement. Facilities without concurrent OSA submissions will have their assessment records deemed delinquent for all assigned days.
Action Required
By October 1, 2023: Nursing facility billing teams must ensure their MDS software systems are OSA-compatible and implement processes to complete concurrent OSA submissions with matching assessment reference dates (ARD) for all federally required MDS assessments. Contact software vendors to streamline data input for duplicated fields. Failure to submit concurrent OSA will result in delinquent record determinations and potential reimbursement penalties.