Definitions

1. "Administration" means the cost of activities performed by the facility employees in which the direct recipient of the activity is the organization itself. These include fiscal activities, statistical reporting, recruiting, and general office management which are indirectly related to services for which a rate is set. 2. "Allowable cost" means the facility's actual cost after appropriate adjustments as required by this chapter. 3. "Base rate" means a fee for service granted to the facility as a combination of allowable administrative and maintenance costs, such as salaries, fringe benefits, property costs, and other costs which allow the facility to operate and provide treatment and services to residents and their families. 4. "Bed hold" means a maximum fourteen-day reimbursable absence that is eligible to be included in census tracking when a resident absconds from placement or needs temporary hospitalization and the facility acknowledges acceptance of the resident back into placement when located or discharged from the hospital. 5. "Chain organization" means two or more program entities which are owned, leased, or, through any other device, controlled by one business entity. 6. "Department" means the North Dakota department of human services. 7. "Depreciable asset" means a capital asset or other asset for which the cost must be capitalized for statement of costs purposes. 8. "Depreciation" means an allocation of the cost of an asset over its estimated useful life. 9. "Difficulty of care" means the individual rate for each resident determined after the completion of the assessment administered by the department or designee. 10. "Facility" means a qualified residential treatment program. 11. "Property costs" means the allowable costs to operate the owned or leased property. 12. "Qualified residential treatment program" means a licensed or approved residence providing an out-of-home treatment placement for residents. 13. "Reasonable cost" means the cost of providing food, clothing, shelter, daily supervision, school supplies, and personal incidentals for residents, employee liability insurance with respect to residents, travel of a resident for visitation, and operation of the facility which must be incurred by an efficient and economically operated facility to provide services in conformity with applicable federal and state laws, regulations, rules, and quality and safety standards. Reasonable cost takes into account that the facility seeks to minimize costs and that actual costs do not exceed what a prudent and cost-conscious buyer pays for a given item or service. 14. "Resident" means an individual under the age of twenty-one admitted to and residing in the facility. 15. "Room and board" means the cost associated with the provision of shelter, food, dietary supplies, and housekeeping services and the maintenance thereof, including depreciation and interest or lease payments of a vehicle used for transportation of residents, included in the facility base rate.