USC Care Medical Group, Inc. LAWSON ACCOUNTS RECEIVABLE -- NON PATIENT CLINICAL REVENUE

Transcription

1 USC Care Medical Group, Inc. LAWSON ACCOUNTS RECEIVABLE -- NON PATIENT CLINICAL REVENUE Melody Tuw, Mylam Le, Derrick Hsu 5/3/2010

2 NON PATIENT BILLING REVENUE Policy Statement The USC Care Finance Department is responsible for the proper accounting and reconciliation for all clinical revenues including patient billing (GE-IDX) and non patient billing related clinical revenues. The purpose of this policy is to provide guidelines and instructions of using the LAWSON Billing and LAWSON Accounts Receivable for processing non IDX clinical revenues. The clinical departments will utilize LAWSON Accounts Receivable as the one central system to record clinical revenues that is not billed on GECB system. Service Agreements Procedures The clinical departments often have contracts with the outside hospitals or medical entities for providing clinical service such as On Call Coverage, Directorship, etc. Revenue generated under this type of service agreement must be recognized and recorded based on the terms of the agreement. The contracted amount could be a fixed monthly fee or by number of hours/units provided. The Clinical Departments will use the Tract Manager system provided by USC Care as the contract depository for varies type of medical contracts or agreements. Once the contract is approved by USC General Counsel and executed by both parties, the Clinical departments will scan the service agreement into.pdf format and it to USC Care Finance Department. The pdf files will be indexed to a secured department folder. The departments can access the files on a secured website at anytime. USC Care contacts and addresses: Mylam Le Mylam.Le@med.usc.edu (or 74081) Derrick Hsu chiayuhs@usc.edu (or 74108) For the purpose of segregation of duties, the clinical department generates invoices to bill contracted payers on the Lawson AR system. USC Care Finance receives and posts payments. Clinical department generates invoice to contracted payers using Lawson AR system. Exception: to USC University Hospital will be generated centrally by USC Care. USC Care Medical Group TIN Pay To Address: USC Care Medical Group, Inc. Lockbox File , Los Angeles, CA

3 LAWSON AR System Setup When a new agreement, customer, service, or price is created, the department is to submit request to USC Care Finance for setting up the customer/item/price list in LAWSON System. Customer: Item: Price List: Outside hospital or medical institute to which the clinical departments render service Service such as directorship, on call coverage, case study, etc. For each service rendered, the department has the option to setup a default price in LAWSON * LAWSON intends to allow clinical department to track outstanding account receivable activities for non patient revenue at more of a summary level. It is crucial to have a central AR system to provide a holistic view of AR by individual customer or department. With the understanding that the outside payers may require detail report along with the invoice, the departments are allowed to use sub-system or database for providing necessary detail report. However the subsystem and/or data must be available for the annual financial audit. 2

4 LAWSON Processing Once setup is completed, clinical department will utilize general invoice to enter invoices with variable billing period or variable amount for each billing period. MHC will handle invoice information entered into LAWSON and route generated invoice to each clinical department s . The recurring invoice can be utilized for periodic invoices with pre-negotiated, fixed amount. At the time of creating the invoice, the department is responsible to dictate and review the LAWSON accounting unit and account for each invoice and item. The department can follow the fiscal year budget pre-load into LAWSON as a guideline when selecting the LAWSON accounting unit and account. If any question arises during the creation of invoice, such as the selection of LAWSON account, please contact USC Care Finance office for further assistance. The invoice will have a single central lockbox as the designated pay to address, no alteration. Once the invoice is created on MHC, the clinical department is responsible for sending out the invoice along with necessary backup to the payer. Receive Payment/Payment Posting All payments from outside payers will be scanned and deposited at the designated BofA lockbox. A copy of the check image will be sent to USC Care Finance Department for posting payment to Lawson AR. 3

5 Cash Receipts (Non-) Cash receipts that do not have corresponding invoices are submitted to USC Care Medical Finance for deposit and posting to the department revenue account on Lawson GL. This type of payment could include: Patient medical records or films copy fee Income from medical and pharmaceutical sales needs to be posted to IDX patient s account. Gifts donations need to be processed through University gift account, no exceptions. Procedures: Department prepares the deposit used the cash receipt log (attachment A). Indicate Lawson accounting unit and account for the deposit. Run two adding machine tapes. No endorsement stamp or deposit slip needed for deposit. Department sends the deposits in the blue bank bag with USC Care courier to USC Care Finance on Alhambra campus. Do not put deposits in the Front Office deposit bags. Verify deposit posting on Lawson GL revenue account. Roles and Responsibilities Roles Clinical Department USC Care Finance Responsibilities Generate invoice on Lawson AR (BL). Send invoice to payer. Receive and post payment to Lawson AR Exceptions Exceptions to this policy may be accommodated for special circumstances as allowed and defined in the respective policy and procedure section. 4

6 Non IDX Payment Deposit Log Attachment A Department Check # Amount Lawson Accounting Unit Date: Lawson Chart of Account Total: Description USC Care Medical Finance Use Only: Deposit Slip # Journal Entry # 5

7 Attachment B NON-IDX GROUP & CLIENT BILLING WORKFLOW SETUP <LAWSON AR> Submit Requirement Create/Maintain Customer Setup Item List Generate Pricing List Configure Terms USER TRAINING/SUPPORT USER TRAINING USER SUPPORT USER SUPPORT INVOICING <LAWSON BL> Do we bill the customer frequently? No Yes Enter General Lawson BL Enter Recurring Lawson BL Print MHC Print MHC Send Send REPORTING <LAWSON AR> Aging Report AR250 Aging Report AR250 USC CARE FINANCE LAWSON PROJECT TEAM PAYMENT POSTING <LAWSON AR> Receive Payment Lawson AR Do we have an invoice? No Yes Post Non-Inv Payment Lawson AR Post Payment to Open s Lawson AR CLINICAL DEPARTMENT 1. Dept will submit the following to USC CARE FINANCE - Customer List -Item List - Price List (Variable/Fixed) -Terms 2. USC CARE FINANCE will set up customer/item in LAWSON 3. Dept will enter/generate/print its own invoices 4. USC CARE FINANCE will post payment to open invoices 6

8 Attachment C NON-IDX GROUP & CLIENT INVOICING PROCESS GENERAL INVOICE ENTRY Entry BL20.1 Verify Entry BL120 Release Batch BL120 Print Edit BL121 Generate BL122 Print MHC Send Out AR/GL Update BL123 Backup Document RECURRING INVOICE ENTRY Setup Recurring BL31 Create Recurring BL130 Release Batch BL120 Print Edit BL121 Generate BL122 Print MHC Send Out AR/GL Update BL123 Submit Request To USC CARE FIN Backup Document LAWSON PROJECT TEAM CLINICAL DEPARTMENT AGING REPORT Aging Report AR250 DOCUMENT MANAGEMENT SYSTEM Upload Contract to TractManager 1. Dept will be in charge of entering and printing invoices 2. USC CARE FIN will review backup and usage of ACCOUNTS 3. All payments will be sent to a single remit address [Lockbox Non-IDX Revenue] 4. USC CARE FIN will post payment to departmental invoices 5. Department will be able to run aging report in LAWSON 6. Enable dept to track outstanding AR activity by customers 7