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(Eff. 2/1/2010, Register 193; am 1/1/2024, Register 248) Statutory Authority: Authority: AS 47.05.010 AS 47.07.071
AS 47.07.070 AS 47.07.073 7 AAC 150.150. Adjustment factors. (a) To calculate adjustment factors for facility fiscal years, the department will use the most recent quarterly publication of Global Insight’s Healthcare Cost Review available 60 days before the beginning of a facility’s fiscal year, as follows:
(1) for general acute care, specialty, and inpatient psychiatric hospitals’ noncapital allowable costs, the department will utilize the Global Insight Hospital Market Basket;
(2) for general acute care, specialty, and inpatient psychiatric hospitals’ allowable capital costs and allowable home office capital costs will be adjusted using the most recent CMS base year PPS Hospital Capital Input Price Index (IPI) reported in the IHS Markit Health Care Costs, Building Cost Index;
(3) for long-term care facilities’ noncapital allowable costs, the department will utilize the CMS Nursing Home without Capital Market Basket;
(4) long-term care facilities’ allowable capital costs, and allowable home office capital costs will be adjusted using the Skilled Nursing Facility Total Market Basket Capital Cost component. (b) For facility fiscal years beginning after December 31, 2000, and on each July 1 thereafter, the department will use the most recent quarterly publication available 60 days before July 1 of Global Insight’s Healthcare Cost Review, Hospital Market Basket for yearly adjustment factors applied to ambulatory surgical centers. (c) If the facility’s year-end report is submitted timely under 7 AAC 150.130, the adjustment factors calculated under (a) of this section will be effective for the prospective payment rates at the beginning of the facility’s fiscal year. (d) The adjustment factors calculated under (a) of this section will be effective 90 days after the beginning of the facility’s fiscal year if the facility’s year-end report is submitted not more than 30 days late under 7 AAC 150.130.