North Dakota Administrative Code › Title 75 - Department of Human Services › Article 75-02 - Economic Assistance › Chapter 75-02-09 - Ratesetting for Psychiatric Residential Treatment Facilities › Section 75-02-09-16 - Revenue offsets

Current through Supplement No. 393, July, 2024
A facility must identify income to offset facility costs when
				  applicable so state financial participation does not supplant or duplicate
				  other funding sources. Any income whether in cash or in any other form received
				  by the facility, with the exception of the established rate, income from
				  payments made under the Workforce Investment Act, donations, and income from
				  charges for private rooms, special services, or bed holds will be offset up to
				  the total of the appropriate actual costs. If actual costs are not
				  identifiable, income will be offset in total to the appropriate cost category.
				  If costs relating to income are reported in more than one cost category, the
				  income must be offset based on the ratio of costs in each of the cost
				  categories. Sources of income include:
1. Income received from or on behalf of
				employees, guests, or other nonresidents for meals or snacks, or the income
				received for food and related costs from other government programs such as the
				United States department of agriculture or the department of public instruction
				must be offset against dietary costs.
2. Income received from the sale of
				beverages, candy, or other food items must be offset against dietary costs.
3. Any amount received from
				insurance for a loss incurred must be offset against the appropriate cost
				category regardless of when the cost was incurred if the facility did not
				adjust the basis for depreciable assets.
4. Any refund, rebate, or discount received
				for a reported cost must be offset against the appropriate cost.
5. Any amount received for use of the
				facility's vehicles must be offset against transportation costs.
6. Gain on the sale of an asset must be
				offset against depreciation expense.
7. Revenue received from outside sources for
				the use of facility buildings or equipment will be offset against property
				expenses.
8. Any amount received
				by the facility from outside sources for services provided by facility
				employees will be offset against salaries.
9. Revenue from investments will be offset
				against interest expense.
10.
				Grants, gifts, restricted donations, and awards from the federal, state, local,
				or philanthropic agencies will be offset against the appropriate cost.
11. Gifts or endowment income
				designated by a donor for paying specific operating costs incurred in providing
				contract services must be offset against costs in the year the cost is incurred
				regardless of when the gift or endowment is received.
12. Other cost-related income or
				miscellaneous income, including amounts generated through the sale of a
				previously expensed item, e.g., supplies or equipment, must be offset against
				the cost category where the item was expensed.
13. Other income to the facility from local,
				state, or federal units of government may be determined by the department to be
				an offset against costs.
General Authority: NDCC
					 50-24.1-04
Law Implemented:
					 42 USC
					 1396
					 a(a)(30)(A)