1.    The department shall determine prospective payment rates for resident care costs.

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Terms Used In North Dakota Code 50-24.4-06

The department shall develop procedures for determining operating cost payment rates that take into account the mix of resident needs and other factors as determined by the department.

2.    The department shall establish, by rule, limitations on compensation recognized in the historical base for top management personnel. Compensation for top management personnel must be categorized as a general and administrative cost and is subject to any limits imposed on that cost category.

3.    For purposes of determining rates, the department shall:

a.    Include, contingent upon approval of the Medicaid state plan by the centers for Medicare and Medicaid services, allowable bad debt expenses in an amount not to exceed one hundred eighty days of resident care per year or an aggregate of three hundred sixty days of resident care for any one individual; and

b.    Include allowable bad debt expenses in the property cost category in the report year in which the bad debt is determined to be uncollectible with no likelihood of future recovery.

c.    Notwithstanding section 50-24.4-07, include as an allowable cost any tax paid by a basic care or nursing facility due to provisions of the federal Patient Protection and Affordable Care Act [Pub. L. 111-148], as amended by the Health Care and Education Reconciliation Act of 2010 [Pub. L. 111-152].