MedicaidAdministrativeHigh impact
Newsletter Vol. 25, No.02
New Jersey Medicaid·NJ·Reimbursement
Effective date
May 1, 2015
We identified it
Jun 20, 2026
Summary
The New Jersey Department of Human Services is notifying all NJ FamilyCare/Medicaid fee-for-service providers that they must respond to PERM (Provider Error Rate Measurement) audits conducted by CMS contractors within established timeframes. Failure to respond timely will result in recovery of previously paid claims by the State of New Jersey.
Action Required
Immediately: All billing and administrative staff must establish a process to monitor for and track PERM audit requests from CMS contractors. Designate a responsible party to receive audit correspondence and ensure responses are submitted within CMS-specified timeframes. Document all audit responses and maintain records for compliance verification. Failure to respond timely will trigger claim payment recovery by the State of New Jersey, directly impacting practice revenue.