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Part B Provider Enrollment > Provider Enrollment Definitions
Provider Information Home

Part B Enrollment Definitions

  
Definitions Related to Enrollment

Applicant: The individual practitioner/provider/supplier who is applying for the Medicare number.

Authorized Official: An appointed official to whom the provider/supplier has granted the legal authority to enroll it in the Medicare program, to make changes and/or updates to its status in the Medicare program (e.g., new practice locations, change of address) and to commit the provider/supplier to fully abide by the laws, regulations, and program instructions of Medicare. The authorized official must be the provider's/supplier's general partner, chairman of the board, president, chief financial officer, or chief executive officer, or must hold a position of similar status and authority within the provider/supplier. An authorized official can also be anyone who is a direct owner of 5 percent or more of the provider/supplier. An entity can have only one designated authorized official at one time.

Bankruptcy: When a provider/supplier files for protection in a Federal bankruptcy court, it may choose, with the permission of the court, to cease operations (Chapter 7) or reorganize (Chapter 11). When a provider/supplier files under Chapter 7, it will liquidate its assets and cease operations and must notify the contractor of this fact. When the assets are sold to a different entity, that entity must enroll with the contractor if it wishes to bill the Medicare program.

Billing Agency: A company that the applicant contracts with to prepare or to edit the content of the claim.

Delegated Official: An individual who has been delegated the legal authority by the authorized official of that provider/supplier to make changes and/or updates to the organization's status in the Medicare program (e.g., new practice locations, change of address) and to commit the provider/supplier to fully abide by the laws, regulations and program instructions of Medicare.

Divestiture: The act of a provider/supplier selling off part or all of its assets, whether voluntarily or by court order. Whether or not a divestiture constitutes a change of ownership (CHOW) for a provider depends on the structure of the transaction.

Inactivate: The provider/supplier will be unable to use its billing number for claims processing. Upon taking this action, Medicare Services will notify the applicant of the reason.

Joint Venture: A business undertaking involving a one-time grouping of two or more entities. Although a joint venture is treated like a partnership for Federal income tax purposes, it is different from the latter in that it does not involve a continuing relationship among the parties. Joint ventures are, in a sense, short-term partnerships. In a joint venture where there is no transfer of legal title of assets, no CHOW occurs.

Legal Business Name: The name that is reported to the Internal Revenue Service (IRS).

Medicare Identification Number: A generic term for any number that uniquely identifies the enrolling individual or organization. Some examples of Medicare identification numbers include: Unique Physician Identification Numbers (UPINs), Provider Identification Numbers (PINs), Online Survey Certification and Reporting (OSCAR) numbers, and National Supplier Clearinghouse (NSC) numbers.

Mobile Facility/Portable Unit: These terms apply when a service that requires medical equipment is provided in a vehicle, OR the equipment for the service is transported to multiple locations within a geographic area. The most common types of mobile facilities/portable units are mobile independent diagnostic testing facilities, Portable X-ray units, portable mammography units and mobile clinics. Physical therapists and other medical practitioners (e.g., physicians, nurse practitioners, physician assistants) who perform services at multiple locations (e.g., house calls, assisted living facilities) are not considered mobile facilities/portable units.

Provider: A hospital, critical access hospital, skilled nursing facility, comprehensive outpatient rehabilitation facility, home health agency or a hospice that is seeking to have in effect an agreement to participate in Medicare; or a clinic, rehabilitation agency or public health agency that is seeking in effect a similar agreement, but only to furnish outpatient physical therapy or speech pathology services; or a community mental health center that is seeking in effect a similar agreement but only to furnish partial hospitalization services.

Supplier: A physician or other practitioner, or an entity other than a provider, that furnishes health care services under Medicare.

Tax Identification Number: The number that the individual or organization uses to report tax information to the IRS, such as a Social Security Number (SSN) or Employer Identification Number (EIN).


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