DOH Monthly Briefing – Finance – June 2017

Carl J. Pucci in Finance & Reimbursement

DOH held its monthly briefing earlier today. The following is a brief summary of the topics discussed:

Bed Hold

As previously reported in NYSHFA member mailing, DOH is delaying the 4/1/17 bed hold cut until emergency regulations are enacted. NYSHFA and other statewide associations have provided legislative language (introduced by Senator Hannon) to restore bed hold provisions that were removed as a result of the Executive Budget.

Rate Package Update 

  • 7/1/17 Rates - updated for the 1/1/17 case mix collections, are at DOB and are expected to go to EMEDNY for processing in early July. DOH reported 100% provider compliance with respect to the January MDS collection.
  • 2018 Notice Rates – DOH expects to issue these rates on or around 9/1/17 with the goal being timely processing of the initial January 2018 rates.
  • Benchmark Rates – DOH has acknowledged the importance of prompt updates to the benchmark rates. They indicated the July 2017 benchmark rates would be published in early July, so as to parallel processing of the 7/1/17 rates by EMEDNY.

2016 RHCF

The software patch has been posted to the HCS. Providers should download the 5/23/17 update line (which includes the patch correcting the Sch. 17 mortgage amortization issue). Previously submitted RHCF data will be automatically saved. A reminder that the submission deadline is Monday, July 3, 2017.

Capital Reimbursement Webinar

DOH is in final stages of preparing a capital reimbursement webinar which will address the following issues: 

  • 2018 nursing home rate timeline
  • Overview of the attestation process
  • Complex attestation issues
  • Review of capital expense reimbursement
    • Real property rent & insurance
    • Return on and of equity
    • Land/leasehold improvement amortization
    • Real estate taxes/pilot
    • Moveable equipment depreciation, interest and rental payments
    • Mortgage principal amortization
    • Working capital interest & income offset
    • Organization/start-up costs and sales tax

The webinar is expected to be presented in late June and will be archived for later viewing.

The Capital Workgroup will then reconvene to address long standing capital rate issues.

ATI

The ATI Workgroup is meeting this week to focus on the DOH survey results, as well as evaluating metrics going forward.

Medicaid Lag Reinstatement

DOH has agreed to delay the Medicaid lag reinstatement until other rate-setting issues are resolved (i.e., 1% restoration). This will help minimize the resulting cash flow effects upon providers affected by the lag reinstatement.

Energy Workgroup Update

DOH is currently reviewing the final data analysis report issued by Enerlife Consulting. Once reviewed, DOH will develop an operational plan moving forward. 

NYSHFA will keep members updated on these issues moving forward.


NYSHFA/NYSCAL CONTACT:

Carl J. Pucci
Chief Financial Officer
518-462-4800 x36