Ch. 37, § 6. General Reimbursement Methodology

(a) Base period allowable costs are considered to be reasonable costs which are related to providing covered services during the base period as determined pursuant to 42 U.S.C. 1396a(bb)(2). Graduate medical education costs shall be allowable costs for qualifying FQHCs and RHCs and shall be determined pursuant to 42 C.F.R. § 405.2468(f), except that the calculation shall be based on the FQHC's or RHC's Medicaid costs rather than Medicare costs. (b) In accordance with 42 U.S.C. § 1396a(bb) the Department shall reimburse FQHCs and RHCs for covered services using a prospective payment system based on each FQHC's or RHC's base period costs for that calendar year, per visit, inflated forward using the MEI, and adjusted for changes in services.