Cape Fear Valley Medical Center Averts Medicare Defunding

Cape Fear Valley Medical Center in Fayetteville, NC has entered into a systems improvement agreement with the Centers for Medicare & Medicaid Services that will allow the 485-bed safety-net hospital to retain its Medicare funding while it works to correct deficiencies that have resulted in three immediate jeopardy status reports since October 2011.

"The SIA agreement is effective immediately and outstanding notice of termination for this facility is stayed/lifted," CMS said in an email Thursday night.

CMS confirmed that until reaching the "rare agreement" with CFVMC, it had intended to publish a public notice that "the Medicare provider agreement between Cape Fear Valley Medical Center (CFVMC) and the Secretary of Health and Human Services (HHS) would be terminated effective January 19, 2012."

In an e-mail exchange, Vince Benbenek, vice president of marketing and outreach at CFVMC, said the agreement "is not a typical SIA. CMS has accepted Cape Fear Valley Medical Center's Plans of Corrections. Cape Fear Valley has voluntarily entered into this SIA to allow us the opportunity to step back and take a methodical, comprehensive review of all policies and procedures before completing a CMS survey. We estimate our review will take around 180 days, after which we will have a Medicare certification survey."

Benbenek declined to release any additional details of the agreement.