Notice2025-22203

Medicare and Medicaid Programs: Approval of Application by DNV Healthcare, Inc. for Initial CMS Approval of Its Ambulatory Surgical Center (ASC) Accreditation Program

Primary source

Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.

Published
December 8, 2025

Issuing agencies

Health and Human Services DepartmentCenters for Medicare & Medicaid Services

Abstract

This notice acknowledges the approval of an application from DNV Healthcare, Inc. for initial CMS approval of its Ambulatory Surgical Centers as a national accrediting organization that wishes to participate in the Medicare or Medicaid programs.

Full Text

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<title>Federal Register, Volume 90 Issue 233 (Monday, December 8, 2025)</title>
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[Federal Register Volume 90, Number 233 (Monday, December 8, 2025)]
[Notices]
[Pages 56766-56768]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2025-22203]


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DEPARTMENT OF HEALTH AND HUMAN SERVICES

Centers for Medicare & Medicaid Services

[CMS-3474-FN]


Medicare and Medicaid Programs: Approval of Application by DNV 
Healthcare, Inc. for Initial CMS Approval of Its Ambulatory Surgical 
Center (ASC) Accreditation Program

AGENCY: Centers for Medicare & Medicaid Services (CMS), HHS.

ACTION: Notice.

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SUMMARY: This notice acknowledges the approval of an application from 
DNV Healthcare, Inc. for initial CMS approval of its Ambulatory 
Surgical Centers as a national accrediting organization that wishes to 
participate in the Medicare or Medicaid programs.

DATES: The decision announced in this notice is applicable from 
December 8, 2025 to December 10, 2029.

FOR FURTHER INFORMATION CONTACT: 
    Joy Webb (410) 786-1667.
    Kristin Shifflett (410) 786-4133.

SUPPLEMENTARY INFORMATION:

I. Background

    Ambulatory Surgical Centers (ASCs) are distinct entities that 
operate exclusively for the purpose of furnishing outpatient surgical 
services to patients. Under the Medicare program, eligible 
beneficiaries may receive covered services from an ASC provided certain 
requirements are met. Section 1832(a)(2)(F)(i) of the Social Security 
Act (the Act) establishes distinct criteria for a facility seeking 
designation as an ASC. Regulations concerning provider agreements are 
at 42 CFR part 489, and those pertaining to activities relating to the 
survey and certification of facilities are at 42 CFR part 488. The 
regulations at 42 CFR part 416 specify the conditions that an ASC must 
meet in order to participate in the Medicare program, the scope of 
covered services, and the conditions for Medicare payment for ASCs.
    Generally, to enter into an agreement, an ASC must first be 
certified by a State survey agency (SA) as complying with the 
conditions or requirements set forth in part 416 of our Medicare 
regulations. Thereafter, the ASC is subject to regular surveys by an SA 
to determine whether it continues to meet these requirements.
    Section 1865(a)(1) of the Act provides that, if a provider entity 
demonstrates through accreditation by a Centers for Medicare & Medicaid 
Services (CMS) approved national accrediting organization (AO) that all 
applicable Medicare conditions are met or exceeded, we may deem that 
provider entity as having met the requirements. Accreditation by an AO 
is voluntary and is not required for Medicare participation.
    If an AO is recognized by the Secretary of the Department of Health 
and Human Services as having standards for accreditation that meet or 
exceed Medicare requirements, any provider entity accredited by the 
national accrediting body's approved program may be deemed to meet the 
Medicare conditions. The AO applying for approval of its accreditation 
program under part 488, subpart A, must provide CMS with reasonable 
assurance that the AO requires the accredited provider entities to meet 
requirements that are at least as stringent as the Medicare conditions. 
Our regulations concerning the approval of AOs are set forth at Sec.  
488.5.
    This is DNV Healthcare, Inc.'s (DNV's) initial application and does 
not

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have a current term for the ASC program.

II. Application Approval Process

    Section 1865(a)(3)(A) of the Act provides a statutory timetable to 
ensure that our review of applications for CMS approval of an 
accreditation program is conducted in a timely manner. The Act provides 
us 210 days after the date of receipt of a complete application, with 
any documentation necessary to make the determination, to complete our 
survey activities and application process. Within 60 days after 
receiving a complete application, we must publish a notice in the 
Federal Register that identifies the national accrediting body making 
the request, describes the request, and provides no less than a 30-day 
public comment period. At the end of the 210-day period, we must 
publish a notice in the Federal Register approving or denying the 
application. Due to the federal lapse in appropriated funding, certain 
parts of CMS operations were temporarily halted on September 30, 3025. 
This lapse in funding led to a government shutdown, and operations in 
particular areas have remained non-operational. Therefore, this notice 
was impacted and did not publish on or before October 15, 2025 (the 
210-day statutory requirement).

III. Provisions of the Proposed Notice

    On April 28, 2025, CMS published a proposed notice in the Federal 
Register (90 FR 17599), announcing DNV's request for initial approval 
of its Medicare ASC accreditation program. In the April 28, 2025, 
proposed notice, we detailed our evaluation criteria. Under section 
1865(a)(2) of the Act and in our regulations at Sec.  488.5, we 
conducted a review of DNV's initial ASC accreditation application in 
accordance with the criteria specified by our regulations, which 
include, but are not limited to the following:
    <bullet> An administrative review of DNV's: (1) corporate policies; 
(2) financial and human resources available to accomplish the proposed 
surveys; (3) procedures for training, monitoring, and evaluation of its 
ASC surveyors; (4) ability to investigate and respond appropriately to 
complaints against accredited ASCs; and (5) survey review and decision-
making process for accreditation.
    <bullet> The equivalency of DNV's standards for ASCs as compared 
with Medicare's Conditions for Coverage (CfCs) for ASCs.
    <bullet> DNV's survey process to determine the following:
    ++ The composition of the survey team, surveyor qualifications, and 
the ability of the organization to provide continuing surveyor 
training.
    ++ The comparability of DNV's processes to those of State agencies, 
including survey frequency, and the ability to investigate and respond 
appropriately to complaints against accredited facilities.
    ++ DNV's processes and procedures for monitoring an ASC found out 
of compliance with DNV's program requirements. These monitoring 
procedures are used only when DNV identifies noncompliance. If 
noncompliance is identified through validation reviews or complaint 
surveys, the State survey agency monitors corrections as specified at 
Sec.  488.9(c)(1).
    ++ DNV's capacity to report deficiencies to the surveyed facilities 
and respond to the facility's plan of correction in a timely manner.
    ++ DNV's capacity to provide CMS with electronic data and reports 
necessary for the effective validation and assessment of the 
organization's survey process.
    ++ The adequacy of DNV's staff and other resources, and its 
financial viability.
    ++ DNV's capacity to adequately fund required surveys.
    ++ DNV's policies with respect to whether surveys are announced or 
unannounced, to ensure that surveys are unannounced.
    ++ DNV's policies and procedures to avoid conflicts of interest, 
including the appearance of conflicts of interest, involving 
individuals who conduct surveys or participate in accreditation 
decisions.
    ++ DNV's agreement to provide CMS with a copy of the most current 
accreditation survey together with any other information related to the 
survey as CMS may require (including corrective action plans).

IV. Analysis of and Responses to Public Comments on the Proposed Notice

    In accordance with section 1865(a)(3)(A) of the Act, the April 28, 
2025, proposed notice also solicited public comments regarding whether 
DNV's requirements met or exceeded the Medicare CfCs for ASCs. No 
comments were received in response to our proposed notice.

V. Provisions of the Final Notice

A. Differences Between DNV's Standards and Requirements for 
Accreditation and Medicare Conditions and Survey Requirements

    We compared DNV's ASC accreditation requirements and survey process 
with the Medicare CfCs at 42 CFR part 416, and the survey and 
certification process requirements of parts 488 and 489. Our review and 
evaluation of DNV's ASC application, which were conducted as described 
in section III. of this final notice, yielded the following areas 
where, as of the date of this notice, DNV has completed revising its 
standards and certification processes in order to do all of the 
following:
    <bullet> Meet the standard's requirements of all of the following 
regulations:
    ++ Section 416.42(a)(1)(ii) to clarify as defined at Sec.  
410.69(b) who must examine the patient for anesthesia risk.
    ++ Section 416.42(c)(1) to revise to include an attestation from 
the State's Governor to opt-out of the physician supervision 
requirements.
    ++ Sections 416.43(a)(2) and (c)(2) to revise to include how the 
ASC will measure, analyze and track adverse patent events.
    ++ Section 416.43(c)(3) to revise that staff are familiar with the 
ASC's preventive strategies.
    ++ Section 416.44(b)(1) to ensure ASCs meet the provisions 
applicable to Ambulatory Health Care Occupancies and address the Life 
Safety Code (LSC) Tentative Interim Amendments (TIAs), TIA 12-2, TIA 
12-3, and TIA 12-4 requirements.
    ++ Section 416.44(c) to incorporate the requirement for ASCs to 
comply with Health Care Facilities Code (HCFC) NFPA 99, and Tentative 
Interim Amendments (TIAs), TIA 12-2, TIA 12-3, TIA 12-4, TIA 12-5 and 
TIA 12-6 and remove for Ambulatory Health Care Occupancies for 
consistency.
    ++ Section 416.44(d) to clarify LSC policies to include the 
requirement that the ASC medical staff and governing body coordinates, 
develops, and revises ASC policies and procedures to specify the types 
of emergency equipment required for use in the ASC's operating room.
    ++ Section 416.44(e) to clarify policies to include the requirement 
that personnel trained in the use of emergency equipment and in 
cardiopulmonary resuscitation must be available whenever there is a 
patient in the ASC.
    ++ Section 416.45(a) to revise polices to allow the ASC's governing 
body to make privileging decisions and to solicit recommendations from 
qualified medical personnel.
    ++ Section 416.50(d)(5) to ensure that the ASC investigates all 
grievances made by the patient, patient representative and patient 
surrogate.
    ++ Section 416.51(a) to specify that infection control standards 
adhere to

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professionally acceptable standards of practice.
    ++ Section 416.51(b)(3) to ensure that the ASC's infection control 
program provides a plan of action for infections and communicable 
diseases and immediately implements corrective and preventive measures.
    ++ Section 416.52 to ensure that each patient has the appropriate 
pre-surgical and post-surgical assessments completed and that all 
elements of the discharge requirements are done.
    We also reviewed DNV's comparable survey processes, which were 
conducted as described in section III. of this final notice, and 
yielded the following areas where, as of the date of this notice, DNV 
has completed revising its survey processes in order to demonstrate 
that it uses survey processes that are comparable to state survey 
agency processes by:
    ++ Ensuring DNV's policies allow for the survey team to include at 
least one RN or Physician with hospital or ASC survey experience.
    ++ Updating DNV's policy and procedures to include 488.26(b) for 
determining manner and degree, when evaluating multiple standards and 
elevating to a higher deficiency level.
    ++ Providing clarification to DNV's policy on timeframes for 
notifying CMS of terminations and withdrawals.
    ++ A process to ensure that during survey, an Infection Control 
Worksheet is completed to confirm safe injection practices.

B. Term of Approval

    Based on our review described in section III. and section V. of 
this final notice, we approve DNV as an initial national accreditation 
organization for ASCs that request participation in the Medicare 
program. The decision announced in this final notice is effective 
December 8, 2025 to December 10, 2029. In accordance with Sec.  
488.5(e)(2)(i) the term of the approval will not exceed 6 years. 
Generally, when an AO is seeking an initial approval for a specific 
program type, CMS may approve for a term no greater than 4 years.

VI. Collection of Information and Regulatory Impact Statement

    This document does not impose information collection requirements, 
that is, reporting, recordkeeping or third-party disclosure 
requirements. Consequently, there is no need for review by the Office 
of Management and Budget under the authority of the Paperwork Reduction 
Act of 1995 (44 U.S.C. 3501 et seq.).
    The Administrator of the Centers for Medicare & Medicaid Services 
(CMS), Mehmet Oz, having reviewed and approved this document, 
authorizes Vanessa Garcia, who is the Federal Register Liaison, to 
electronically sign this document for purposes of publication in the 
Federal Register.

Vanessa Garcia,
Federal Register Liaison, Center for Medicare & Medicaid Services.
[FR Doc. 2025-22203 Filed 12-5-25; 8:45 am]
BILLING CODE 4120-01-P


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Indexed from Federal Register on December 8, 2025.

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