Tenn. Comp. R. & Regs. 1200-13-08-.14 - INCENTIVE PAYMENT

An incentive payment will be included in the reimbursable costs of Level II providers that sufficiently contain costs and maintain an average occupancy rate of 80% or greater. Skilled providers with operating costs less than the maximum reimbursable rate shall be eligible to receive a fifty percent (50%) cost-containment incentive for every dollar they are below the maximum reimbursement rate, limited to three dollars per patient day and by the maximum reimbursement rate. Operating costs are defined as total costs less capital-related costs.

Notes

Tenn. Comp. R. & Regs. 1200-13-08-.14

Original rule filed March 7, 1989; effective April 21, 1989. Amendment filed August 17, 1990; effective October 1, 1990. Amendment filed July 15, 1996; effective September 28, 1996.

Authority: T.C.A. §§ 4-5-202, 12-4-301, 71-5-105, and 71-5-109.