42 C.F.R. 42 CFR--PART 412


Title 42 - Public Health


Amendment from August 18, 2006

42 CFR--PART 412
View Printed Federal Register page 71 FR 48137 in PDF format.

Amendment(s) published August 18, 2006, in 71 FR 48137


Effective Date(s): October 1, 2006

12. Section 412.64 is amended by—

a. Revising paragraph (d)(2).

b. Adding a new paragraph (h)(6).

The revision and addition read as follows:

§ 412.64   Federal rates for inpatient operating costs for Federal fiscal year 2005 and subsequent fiscal years.

                   *                 *                 *                 *                 *

(d)  *  *  *

(2)(i) In the case of a “subsection (d) hospital,” as defined under section 1886(d)(1)(B) of the Act, that does not submit quality data on a quarterly basis to CMS, in the form and manner specified by CMS, the applicable percentage change specified in paragraph (d)(1) of this section is reduced—

(A) For fiscal years 2005 and 2006, by 0.4 percentage points; and

(B) For fiscal year 2007 and subsequent fiscal years, by 2.0 percentage points.

(ii) Any reduction of the percentage change will apply only to the fiscal year involved and will not be taken into account in computing the applicable percentage change for a subsequent fiscal year.

                   *                 *                 *                 *                 *

(h)  *  *  *

(6) If a new rural hospital that is subject to the hospital inpatient prospective payment system opens in a State that has an imputed rural floor and has rural areas, CMS uses the imputed floor as the hospital's wage index until the hospital's first cost report as an inpatient prospective payment system provider is contemporaneous with the cost reporting period being used to develop a given fiscal year's wage index.

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