N.M. Code R. § 8.310.4.15 - REIMBURSEMENT

FQHCs must submit claims for reimbursement on the UB-92 claim form or its successor. See 8.302.2 NMAC, Billing for Medicaid Services [MAD-702]. Once enrolled, providers receive instructions on documentation, billing, and claims processing. Interim reimbursement for services provided by an FQHC is made by MAD based on submitted claims.

A. Initial rates: The initial interim rate for new FQHC providers will be the interim rate set by medicare.
B. Cost settlement:
(1) FQHCs must submit cost reports on an annual basis to MAD or its designee within the time frames specified by medicare. FQHCs will not be granted an extension to the cost report filing time frames.
(2) A final cost settlement based on the audit data will be made in accordance with delineated medicaid requirements and/or applicable medicare cost reimbursement principles when medicaid requirements are not specified. Final cost settlements are based on the allowable cost as audited or desk reviewed costs by MAD or its designee. "Allowable costs" are costs incurred by an FQHC which are reasonable in amount, proper and necessary for the efficient delivery of services by the FQHC (MAD or its designee will follow the HCFA Pub. 15-1 in determining allowable costs). The supporting documentation for "allowable costs" must be available upon request from MAD or its designee.
(3) MAD or its designee may reopen cost reports per HCFA Pub. 15-1 Section 2931 through 2932.1. Providers will be notified on a case-by-case basis thirty (30) days prior to any reopening. MAD uses the productivity standards used in the medicare cost report. However, MAD does not use the costs limits imposed by medicare. If an FQHC disagrees with an audit settlement, the provider can request a reconsideration. See 8.350.4 NMAC, Reconsideration of Audit Settlement [MAD-955].
(4) HSD or its designee will complete their initial review of cost settlement materials within 150 days of the receipt of all required information.
C. What constitutes a visit: A visit is a face-to-face encounter between a center client and a physician, physician assistant, nurse practitioner, nurse midwife, visiting nurse, qualified clinical psychologist or qualified clinical social worker. Encounters with more than one health professional and multiple encounters with the same health professional on the same day and at a single location constitute a single visit, except when one of the following conditions exist:
(1) after the first encounter, the client suffers illness or injury requiring additional diagnosis or treatment;
(2) the client has a dental visit, or medical visit and another health visit (e.g., a face-to-face encounter between the client and a clinical psychologist, clinical social worker, or other health professional for mental health services listed in Subsection C of 8.310.4.12 NMAC [MAD 713.33].
D. Supplemental agreements: FQHCs which executed specific agreements with HSD will receive supplemental payments for services rendered to clients enrolled in managed care in the manner and amount specified under the terms of that agreement.
E. Termination or change of ownership: The human services department (HSD) reserves the right to withhold payment on all current and pending claims until HSD rights to recoup all or portions of such payments is determined from final cost reports when a change of ownership occurs. Payment will not be withheld if HSD is informed in writing the current (new) owner or the previous owner agrees to be responsible for any potential recoupment.


N.M. Code R. § 8.310.4.15
2/1/95; 1/1/00; 8.310.4.15 NMAC - Rn, 8 NMAC 4.MAD.713.6, 11/1/04

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