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CMS Requirements of Participation and Contracted Third Party Management

On November 28, 2019, Phase 3 of CMS’ Requirements of Participation for Skilled Nursing Facilities and Long Term Care organizations goes into effect. With the requirements comes increased scrutiny around your organization’s business, including the need to maintain an effective compliance department and to enforce a Quality Assurance and Performance Improvement (QAPI) plan. A crucial aspect to both of these requirements is proper Contracted Third Party Management.

Section 483.70 of CMS’ Requirements for Long Term Care Facilities states that the Administration of each organization must conduct a Facility Assessment to determine necessary resources to appropriately care for its residents. This includes all “contracts, memorandums of understanding, or other agreements with third parties to provide services or equipment to the facility” as well as “health information technology resources, such as systems for electronically managing patient records and electronically sharing information with other organizations.” (CFR 483.70). Furthermore, a long term care organization is required to monitor the performance of all contracted third parties to ensure quality care is being given and that the third party is meeting all federal and
state regulatory requirements.

Business Data Applications, Inc, through its Healthy Contracts solution, is working with leading healthcare organizations around the country to help meet these requirements. By implementing BDA’s contract lifecycle management suite of tools, organizations are able to maintain an up-to-date list of all current third parties, gaining invaluable insight into contracted terms and provisions while also collecting assessment data and quality metrics.


  • Vendor and Contractor Relationship Management

  • Contract Type-Specific Data Requirements

    • i.e. Medical Directors, Purchased Services, Payor, Real Estate, etc

  • Provisions and Obligations Tracking

    • i.e Termination, Indemnity, and Business Associate Language

  •  Automated Assessments for Quality Data, Risk Mediation, and Cybersecurity

  • Collaborative Contract Authoring and Approval Workflow

  • Full Version History

  • Renewal Management

  • Automated Reports

  • Important Dates and Contract Milestone Notifications

  • Configurable Dashboards

  • Consulting, Implementation, and Abstraction Services Provided by Experienced Healthcare Contract and Compliance Professionals

Author: Business Data Applications

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