MEMORANDUM #01, 2011

Commonwealth of Massachusetts | Public Employee Retirement Administration Commission
Five Middlesex Avenue, Suite 304, Somerville, MA 02145
Ph 617 666 4446 | Fax 617 628 4002 | TTY 617 591 8917 | www.mass.gov/perac
Domenic J. F. Russo, Chairman | A. Joseph DeNucci, Vice Chairman
Paul V. Doane | James M. Machado | Donald R. Marquis | Robert B. McCarthy | Gregory R. Mennis
Joseph E. Connarton, Executive Director


M E M O R A N D U M

TO:                All Retirement Boards

FROM:          Joseph E. Connarton, Executive Director

RE:                840 CMR 10:10(3) & 10:15(4)–Annual Review of Medical Testing Fee

DATE:           January 5, 2011

As you know, 840 CMR 10:10(3) and 10:15(4) states “the medical panel may suggest ‘non-invasive’ medical tests, which the panel considers necessary to render an opinion of the member’s medical condition.” The regulation further states that the “Commission shall assume the cost of any non-invasive test suggested by the medical panel up to an amount that the Commission shall determine annually. This annual determination will be communicated to all retirement boards. No test, the cost of which exceeds the annual amount determined by the Commission, shall be ordered or required by the medical panel without the advance approval of the Commission”.

There are very few instances where reimbursements for medical services ordered by a Regional Medical Panel exceed $100.00.  Medical panel physicians conduct very few medical tests during the examination process. The member’s medical provider generally orders the necessary medical tests during the evaluation and treatment phase, and provides this information to the Regional Medical Panel. The Regional Medical Panel physicians consider the results of these studies as part of the panel examination.

Please be advised at their meeting held December 13, 2010, the Commission voted to continue the past practice of allowing PERAC staff to approve up to $100.00 per case for non-invasive medical testing associated with the medical panel process.

If you have questions, please contact PERAC’s Disability Unit at 617-666-4446.