42 C.F.R. 42 CFR--PART 412
Title 42 - Public Health
Effective Date(s): October 1, 2006 23. Section 412.316 is amended by— a. Revising paragraph (a). b. Revising paragraph (b)(2). c. Adding a new paragraph (b)(3). d. Revising paragraph (c). The revisions and addition read as follows: (a) Local cost variation. CMS adjusts for local cost variation based on the hospital wage index value that is applicable to the hospital under subpart D of this part. The adjustment factor equals the hospital wage index value applicable to the hospital raised to the .6848 power and is applied to 100 percent of the Federal rate. (b) * * * (2) For discharges occurring on or after October 1, 2004, the definition of large urban area under §412.63(c)(6) continues to be in effect for purposes of the payment adjustment under this section, based on the geographic classification under §412.64, except as provided for in paragraph (b)(3) of this section. (3) For purposes of this section, the geographic classifications specified under §412.64 apply, except that, effective for discharges occurring on or after October 1, 2006, for an urban hospital that is reclassified as rural as set forth in §412.103, the geographic classification is rural. (c) Cost-of-living adjustment. CMS provides an additional payment to a hospital located in Alaska and Hawaii equal to [0.3152 x (the cost-of-living adjustment factor used to determine payments under subpart D of this part—1)] percent.
Amendment from August 18, 2006
42 CFR--PART 412
Amendment(s) published August 18, 2006, in 71 FR 48140
§ 412.316 Geographic adjustment factors.
