A recent Medicare transmittal spells out how to treat sequestration on home health agency cost reports for this year. In accordance with federal law, “the sequestration adjustment is 1 percent for the portion of the cost reporting period from April 1, 2022, through June 30, 2022; and 2 percent for the portion of the cost reporting period on or after July 1, 2022,” say the updated instructions in a 134-page transmittal issued Aug. 31 at . The revised cost report instructions also “include minor technical corrections,” the National Association for Home Care & Hospice notes in its member newsletter.