Nursing Homes: Cost Report, EO #38 Disclosures Due in July
Medicare cost reports for 2020 are due on Aug. 2nd for those organizations whose fiscal year aligns with the calendar year. This represents the blanket 60-day extension granted due to the pandemic. The Medicare Administrative Contractor (MAC) for New York State, National Government Services (NGS), maintains a dedicated cost report page here. Note that reports need to be submitted electronically. NGS warns that failure to submit a timely cost report results in payments being reduced and a demand letter issued for previous payments.
For free-standing nursing homes, the Medicaid RHCF-4 cost report due date is July 20th. Hospital-based homes that file the short-form RHCF-2 have until Aug. 2nd to submit. The Department of Health (DOH) recently extended the RHCF-2 due date in recognition that the Institutional Cost Report (ICR) filed by the sponsoring hospital is not due until Aug. 2nd. The step-downs inherent in the ICR provide some of the figures that are reported on the RHCF-2.
For nursing homes, the Medicaid cost report due date also signals the due date for Executive Order (EO) #38 disclosures. Providers are required to submit their EO #38 disclosures and any requested waivers 180 days after the close of their fiscal year or by the date their Medicaid cost reports are due, whichever is later. The State’s EO #38 website is here.
We remind members that in October 2018, the New York State Court of Appeals issued an opinion in LeadingAge New York et al v. Shah that upheld the Hard Cap and Administrative Expense Cap of EO #38 while striking down the “Soft Cap.” (While the Hard Cap applies exclusively to the use of State funds and State-authorized payments to pay executive compensation, the Soft Cap had prohibited executive compensation in excess of $199,000 from all sources of revenue unless the compensation met certain criteria.) For further detail on the ruling, please see this Hinman Straub summary.
We urge members to make sure that their Medicaid cost reports are complete, accurate, and filed on time. Although it is unclear what changes to the Nursing Home Quality Initiative (NHQI) the State may need to make due to the pandemic, failure to file the Medicaid cost report on time may impact a home’s NHQI score. Members should also make sure that staff retention/turnover data reported on the cost report is complete and accurate, as it may impact Advanced Training Initiative (ATI) eligibility.
Contact: Darius Kirstein, dkirstein@leadingageny.org, 518-867-8841