410-125-1060 Fiscal Audits (1) Year-end fiscal audits will include retrospective examination and verification of claims and the determination of allowable charges and costs of hospital services provided to Division clients. (2) The principal source document for the fiscal audit of Title XIX/Title XXI and General Assistance patient billings and payments for a given fiscal period is the Division’s data processing printout. This printout includes all transactions for the audit period. Using gross totals from this printout and applying other information from Division records, information received from the hospital, and other sources, the Division will compile detailed schedules of adjustments and revise the gross totals. A revised Calculation of Reasonable Cost Statement (DMAP 42) will be prepared using revised totals and information from the Medicare report. (3) Cost Settlements: The Division will send the hospital a letter stating the amount of underpayment or overpayment calculated by the Division for the fiscal year examined. The letter will also state the hospital's inpatient/outpatient interim reimbursement rate for the period from the effective date of the change until the next fiscal year's audit is completed. Payment of the cost-settlement amount is due and payable within 30 days from the date of the letter. (4) The Division, at its discretion, may grant a thirty-day (30) extension for the purpose of reviewing the cost settlement upon a written request by the hospital. If a thirty-day (30) extension is granted, payment of the cost settlement amount is due within sixty (60) days from the date of the letter. If the provider chooses to appeal the decision or rate, a written request for an administrative review, or contested case must be received by the Division within thirty (30) days of the date of the letter notifying the hospital of the settlement amount and interim rate, or within sixty (60) days if the Division has granted a thirty (30) day extension, not withstanding the time limits in OAR 410-120-1580(3) or 410-120-1660(1). Upon receipt of the request, the Division will attempt to resolve any differences informally with the provider before scheduling the administrative review or hearing. (5) Under extraordinary circumstances, the Division, at its discretion, may negotiate a repayment schedule with a hospital. The hospital may be required to submit additional information to support the hospital's request for a repayment schedule. The hospital will be required to pay interest associated with extended payments granted by the Division. (6) The revised Calculation of Reasonable Cost, copies of adjustment schedules, and a copy of the printout are available to the hospital upon request. For Type A rural hospitals the Calculation of Reasonable Cost Statement will reflect the difference between payment at 100% of costs and payment for dates-of-services on or after January 1, 2006 under the fee schedule for clinical laboratory services provided by the hospital. An adjustment to the Cost Settlement will be made to reimburse a Type A hospital at 100% of costs for laboratory and radiology services provided to Medical Assistance Program clients during the period the hospital was designated a Type A hospital. Settlements to Type B and Critical Access hospitals will be made within the legislative appropriation. (7) The adjusted Professional Component Cost-to-Charge ratio(s) will be applied to all corresponding revenue code charges as listed on the Hospital Claim Detail Reports for cost settlements finalized on or after October 1, 1999. (8) Hospital Based Rural Health Clinics shall be subject to the rules in the Hospital Services for the Oregon Health Plan Guide for Type A and B Hospitals. Hospital Based Rural Health Clinics cost settlements for dates of service from January 1, 2001 shall be finalized to cost. (9) No interim settlements will be made. No settlements will be made until after receipt and review of the audited Medicare cost report. Statutory/Other Authority: ORS 413.042 Statutes/Other Implemented: ORS 414.065 History: OMAP 73-2005, f. 12-29-05, cert. ef. 1-1-06 OMAP 35-2001, f. 9-24-01, cert. ef. 10-1-01 OMAP 28-2000, f. 9-29-00, cert. ef. 10-1-00 OMAP 34-1999, f. & cert. ef. 10-1-99 HR 3-1997, f. 1-31-97, cert. ef. 2-1-97 HR 24-1995, f. 12-29-95, cert. ef. 1-1-96 HR 36-1993, f. & cert. ef. 12-1-93 HR 42-1991, f. & cert. ef. 10-1-91 HR 15-1991(Temp), f. & cert. ef. 4-8-91 HR 43-1990, f. & cert. ef. 11-30-90 HR 33-1990(Temp), f. & cert. ef. 10-1-90 HR 21-1990, f. & cert. ef. 7-9-90, Renumbered from 461-015-0670 AFS 72-1989, f. & cert. ef. 12-1-89, Renumbered from 461-015-0122 AFS 49-1989(Temp), f. 8-24-89, cert. ef. 9-1-89 AFS 46-1987, f. & cert. ef. 10-1-87 AFS 52-1985, f. 9-3-85, cert. ef. 10-1-85 AFS 60-1982, f. & cert. ef. 7-1-82; Renumbered from 461-015-0120(3) AFS 18-1982(Temp), f. & cert. ef. 3-1-82 AFS 57-1980, f. 8-29-80, cert. ef. 9-1-80 AFS 14-1980, f. 3-27-80, cert. ef. 4-1-80