N.J. Admin. Code § 10:52-5.5

Current through Register Vol. 56, No. 21, November 4, 2024

Section 10:52-5.5 - Current Cost Base

(a) A hospital's Current Cost Base is defined as the actual costs and revenues as identified in the Financial Elements in the base reporting period as recognized by the Division for purposes of rate setting.

(b) The Current Cost Base is used to develop the Preliminary Cost Base (PCB) and Schedule of Rates through:

1. Determination of the costs of Medicaid patients treated in the 1988 base year;

2. Identification of fixed and variable components of the Preliminary Cost Base;

3. Calculation of the economic factor cost component as defined in 10:52-5.13(a);

4. Calculation of the technology factor as described in 10:52-5.13(b);

5. The costs used to set rates for the rate year will be based on 1988 costs.

(c) A hospital's actual cost reports cannot be substituted or rearranged once the Director has determined that the actual cost submission is suitable for entry into the data base.

N.J. Admin. Code § 10:52-5.5

Amended by R.1995 d.141, effective 3/6/1995.
See: 27 New Jersey Register 34(a), 27 New Jersey Register 908(a).
Recodified from N.J.A.C. 10:52-5.9 and amended by R.2000 d.29, effective 1/18/2000.
See: 31 New Jersey Register 3151(a), 32 New Jersey Register 276(a).
In (b), changed N.J.A.C. references in 3 and 4.