MedicaidReimbursementHigh impact
Reminder: Unlicensed Interns, Residents and Foreign Physicians in Training Programs are Authorized Prescribers for New York State Medicaid Members
NY Medicaid·NY · Dentistry, Psychiatry, Internal Medicine·Provider Bulletin
We identified it
Sep 17, 2026
Summary
This 1-day-old bulletin contains multiple NYS Medicaid policy updates affecting denture billing coordination of benefits, HPV testing coverage and billing, lung cancer screening prior auth removal (effective March 1, 2026), and rate increases for behavioral health settings (effective July 1, 2026 for FFS, November 1, 2026 for MMC). The most immediately actionable item is the denture coordination of benefits rule for FQHCs with third-party insurance, requiring pro-rated calculations across primary and secondary claims.
Action Required
IMMEDIATE ACTIONS (effective now per policy): 1) Billing Team: For all FQHC denture claims involving NYS Medicaid members with third-party insurance, implement pro-rated coordination of benefits calculations. Calculate primary insurance payment per visit by dividing total primary payment by number of denture fabrication visits (up to 5). Subtract pro-rated primary amount from PPS rate per visit to determine NYS Medicaid secondary payment. Update billing system logic and staff training on the provided calculation methodology. Failure to pro-rate will result in overpayment or underpayment and potential recovery actions. 2) Laboratory/Clinical Staff: Implement HPV testing billing for CPT codes 87623, 87624, 87625, 87626 when specimens are collected in healthcare settings (provider-collected or patient self-collected). Clinical labs may bill directly to NYS Medicaid. Do not bill separate specimen collection fees. Providers may continue billing E&M codes if documentation supports the visit level. 3) Billing Team: Remove prior authorization requirements for CPT 71271 (low-dose chest CT) for lung cancer screening effective March 1, 2026. Update billing software and preauthorization workflows. Ensure screenings are processed without copay. 4) Behavioral Health Providers: Prepare for July 1, 2026 (FFS) or November 1, 2026 (MMC) implementation of 20% rate enhancement for physical health E&M services in OASAS and developmental disability/TBI waiver settings. Identify qualifying CPT codes that group to Medical Visit APG (E/M 491) and prepare to append P1, P2, or P3 modifiers (health status) or HE/HF modifiers (mental health/substance use disorder) per service type. Contact NYS Medicaid for specific rate tables and CPT code lists before effective dates.