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Revisions to the Method of Cost Settlement for Inpatient Services for Rural Hospitals Participating Under Demonstration Authorized by Section 410A of the Medicare Modernization Act. Sections 3123 and 10313 of the Affordable Care Act authorizes an expansion of the demonstration and an extension for an additional 5-year period. This CR makes revisions to CR 7505, which gives instructions for the additional 5-year period.

This Change Request makes 2 revisions to CR 7505, which specified the payment methodology and method of cost settlement for the Rural Community Hospital demonstration. 1) This CR adds one hospital to the set of hospitals to begin on the first cost report start date on or after April 1, 2011; 2) This CR deletes the requirement stated in CR 7505 that additional payments under section 1109 of the Affordable Care Act be subtracted from the cost-based payment for Medicare inpatient services calculated under the demonstration’s payment methodology.

Download the Guidance Document

Issued by: Centers for Medicare & Medicaid Services (CMS)

Issue Date: October 26, 2012

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