Texas Administrative Code › Title 1 - ADMINISTRATION › Part 15 - TEXAS HEALTH AND HUMAN SERVICES COMMISSION › Chapter 355 - REIMBURSEMENT RATES › Subchapter A - COST DETERMINATION PROCESS › Section 355.103 - Specifications for Allowable and Unallowable Costs

Current through Reg. 49, No. 28; July 12, 2024
(a) Introduction. The following list of
				  allowable and unallowable costs is not comprehensive but serves as a guide and
				  clarifies certain key expense areas. If a particular type of expense is
				  classified as unallowable for purposes of reporting on a cost report, it does
				  not mean that individual contracted providers may not make such expenditures.
				  Except where specific exceptions are noted, the allowability of all costs is
				  subject to the general principles specified in §
										RSA
				  355.102 of this title (relating to General
				  Principles of Allowable and Unallowable Costs). In addition, refer to
				  program-specific allowable and unallowable costs, as applicable.
(1) Accounting and audit fees. See subsection
				  (b)(3)(A) of this section.
(2)
				  Advertising and public relations. See subsection (b)(16) of this
				  section.
(3) Amortization expense.
				  See subsection (b)(10) of this section.
(4) Bad debt expense. See subsection
				  (b)(20)(M) of this section.
(5)
				  Boards of directors and trustees. See subsection (b)(5) of this
				  section.
(6) Bonuses. See
				  subsection (b)(1)(A)(i) of this section.
(7) Central office costs. See subsection
				  (b)(7) of this section.
(8) Charity
				  allowance. See subsection (b)(20)(N) of this section.
(9) Compensation of employees. See subsection
				  (b)(1) of this section.
(10)
				  Compensation of owners and related parties. See subsection (b)(2) of this
				  section.
(11) Compensation of
				  outside consultants. See subsection (b)(3) of this section.
(12) Courtesy allowance. See subsection
				  (b)(20)(N) of this section.
(13)
				  Depreciation expense. See subsection (b)(10) of this section.
(14) Donated revenues. See subsection (b)(18)
				  of this section.
(15) Donated
				  services, supplies, and assets. See subsection (b)(19) of this
				  section.
(16) Dues or contributions
				  to organizations. See subsection (b)(14) of this section.
(17) Employee relations expenses. See
				  subsection (b) (20) (A) of this section.
(18) Employment-related taxes. See subsection
				  (b)(12) (B) of this section.
(19)
				  Endowment income. See subsection (b)(18) of this section.
(20) Expenses not related to contracted
				  services. See subsection (b)(20)(H) of this section.
(21) Fines and penalties. See subsection
				  (b)(20)(G) of this section.
(22)
				  Franchise tax. See subsection (b)(12)(C) of this section.
(23) Finance charges. See subsection
				  (b)(11)(E) of this section.
(24)
				  Franchise fees. See subsection (b)(20)(C) of this section.
(25) Fringe benefits. See subsection
				  (b)(1)(A)(iii) of this section.
(26) Fundraising activities. See subsection
				  (b)(17) of this section.
(27) Gains
				  on disposal of assets. See subsection (b)(10) (F) of this section.
(28) Gifts. See subsection (b)(18) of this
				  section.
(29) Goodwill. See
				  subsection (b)(10) and (20)(C)(ii) of this section.
(30) Grants, gifts and income from
				  endowments. See subsection (b)(18) of this section.
(31) In-kind donations. See subsection
				  (b)(19) of this section.
(32)
				  Insurance expense. See subsection (b)(13) of this section.
(33) Interest expense. See subsection (b)(11)
				  of this section.
(34) Legal fees.
				  See subsection (b)(3)(B) of this section.
(35) Life insurance. See subsection (b)(13)
				  (G) of this section.
(36)
				  Litigation expenses and awards. See subsection (b)(20)(I) of this
				  section.
(37) Lobbying costs. See
				  subsection (b)(20)(J) of this section.
(38) Losses on disposal of assets. See
				  subsection (b)(10)(F) of this section.
(39) Losses due to theft or embezzlement. See
				  subsection (b)(20)(L) of this section.
(40) Management fees. See subsection (b)(6)
				  of this section.
(41) Medicaid as
				  payor of last resort. See subsection (b)(21) of this section.
(42) Medical supplies and medical costs. See
				  subsection (b)(20)(F) of this section.
(43) Nonpaid workers. See subsection (b)(4)
				  of this section.
(44) Operating
				  revenue. See subsection (b)(18)(D) of this section.
(45) Organization costs. See subsection
				  (b)(20)(B) of this section.
(46)
				  Payroll taxes and insurance. See subsection (b)(1)(A)(ii) of this
				  section.
(47) Penalties. See
				  subsection (b)(20)(G) of this section.
(48) Planning and evaluation expenses. See
				  subsection (b)(10)(E) of this section.
(49) Promotional activities. See subsection
				  (b)(17) of this section.
(50)
				  Public relations. See subsection (b)(16) of this section.
(51) Repairs and maintenance. See subsection
				  (b)(9) of this section.
(52)
				  Research and development costs. See subsection (b)(20)(E) of this
				  section.
(53) Salaries and wages.
				  See subsection (b)(1) and (2) of this section.
(54) Self-insurance. See subsection
				  (b)(13)(B) of this section.
(55)
				  Staff training costs. See subsection (b)(15)(A) of this section.
(56) Startup costs. See subsection (b)(20)(D)
				  of this section.
(57) Tax expense
				  and credits. See subsection (b)(12) of this section.
(58) Travel costs. See subsection (b)(15)(B)
				  of this section.
(59) Utilities.
				  See subsection (b)(8) of this section.
(60) Volunteers. See subsection (b)(4) of
				  this section.
(61) Voucher-paid
				  expenses. See subsection (b)(20)(K) of this section.
(62) Workers' compensation insurance. See
				  subsection (b)(13) of this section.