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request an administrative hearing to the commissioner of the department. The commissioner will consider the request for appeal as untimely filed if the commissioner has not received the request 30 days or less after the deputy commissioner’s mailing of the notice of the decision to the party or providing the notice of decision to the party by electronic mail. The exceptional relief granted by the deputy commissioner will be effective subject to adjustment based on the decision reached by the commissioner on the appeal. A copy of the commissioner’s decision on appeal will be provided to the facility, to the deputy commissioner, and to the department staff that oversees Medicaid payment rates. (j) The deputy commissioner shall send copies of the decision of the deputy commissioner concerning exceptional relief to the facility, to the director of the division of the department responsible for paying Medicaid program claims, and to the department staff that oversees Medicaid payment rates. The exceptional relief decision shall be accompanied by a certificate showing the date the decision was mailed or electronically delivered to the persons listed in this subsection. (Eff. 2/1/2010, Register 193; am 1/1/2024, Register 248) Statutory Authority: Authority: AS 47.05.010 AS 47.07.073

AS 47.07.070 AS 47.07.075 7 AAC 150.250. Inpatient prospective payment based on Diagnosis Related Groups (DRG). (a) For discharges on or after January 1, 2024, the department will reimburse inpatient hospital services provided by general acute care hospitals on a per-stay basis using a Diagnosis Related Groups (DRG) payment methodology. The department will apply the DRG payment methodology to in-state general acute care hospitals, except hospitals listed in (b) of this section, and to all out-of-state hospitals. The department will designate certain out-of-state hospitals with a high volume of Medicaid claims for this state as border hospitals for reimbursement purposes. Components of the DRG payment methodology are as follows:

(1) the department will determine and assign hospital-specific DRG base rates to in-state general acute care hospitals subject to the DRG payment methodology and to designated border hospitals; the department will determine and assign a single DRG base rate to all other out-of-state hospitals;

(2) the DRG grouper used to assign inpatient stays to a DRG is an All Patient Refined