New York State Health Care Reform Act (HCRA)

July 11, 2003

Dear Administrator/Comptroller:

Re: 1% Statewide Assessment Reporting for 2003

IMPORTANT NOTE!

Commencing with the July 2003 report month, the enclosed 2003 Statewide Remittance Advice must be used by hospitals to contribute 1.00% of net inpatient revenue for discharges incurred on January 1, 2003 and thereafter.

Enclosed please find the revised reporting form and instructions for hospitals to use when calculating and paying their 2003 liability to the Statewide Assessment. The form should be used by hospitals to contribute 1.00% OF NET INPATIENT REVENUE received for discharges incurred on January 1, 2003 and thereafter.

The documents have been revised to reflect modifications to the New York Health Care Reform Act (HCRA) enacted by Chapter 62 of the Laws of 2003. The modifications change the Indigent Care/Health Care Initiatives and Professional Education Pool surcharges assessed on net patient service revenue received for affected services provided on and after July 1, 2003. The 2003 Public Goods Pool Hospital Inpatient Service Report, which will be forwarded to hospitals under separate cover, has been segregated into two (2) six-month service period portions to reflect the increased surcharge percentages. Correspondingly, the 2003 Statewide Remittance Advice has been revised to provide page reference numbers for amounts derived from both service period portions of the 2003 Public Goods Pool Hospital Inpatient Service Report.

The statute also requires designated providers of services to submit reports electronically for periods on and after January 1, 2005. Providers are encouraged to submit reports electronically on a voluntary basis prior to that date. Before electronic filing can commence, the enclosed Attachment 2-W must be completed to obtain a secure user ID and password. If you have any questions concerning electronic filing, please contact the electronic filing help desk at (315) 671-3800 or via e-mail at webpools@hcrapools.org.

You are reminded to please utilize the 2002 reporting forms previously provided for monies received in calendar year 2003 for services provided to patients discharged during 2002. The 2002 reporting forms are required to be filed monthly during 2003 even if no activity is reported. For 2001 and prior service years, no report is required unless monies (including recoveries) are received relating to such periods, in which case the appropriate year´s reporting form would be submitted. To ease the reporting burden on hospitals, any recoveries received during 2003 related to discharges prior to January 1, 2003 may be added to the amounts otherwise reported on Line 1 of the 2002 reporting form.

All hospitals are reminded that a failure to timely submit reports and payments will result in Indigent Care distributions being withheld until the month following the date upon which all reporting requirements have been met.

Please be aware that all figures and calculations shown on your reporting forms are subject to audit by the New York State Department of Health and also by your independent accounting firm. Hospitals should endeavor to follow instructions closely and verify the accuracy of their calculations. The Department will be comparing reported net inpatient service revenues received for a program year with net inpatient services revenue from the institutional cost report for that same year. If large discrepancies exist, hospitals will be required to substantiate their figures.

All monthly Remittance Advices and checks should be submitted to:

Mr. Jerome Alaimo, Pool Administrator
Office of Pool Administration
Excellus BlueCross BlueShield, Central New York Region
344 South Warren Street
Syracuse, New York 13202-2008

Remittance Advices and checks are to be received (not postmarked) by the Pool Administrator in accordance with the enclosed schedule.

Should you have any questions concerning the foregoing or the enclosed forms, please contact Mr. Thomas Person of the Bureau of Financial Management and Information Support at (518) 474-1673.

Sincerely,

Mark H. Van Guysling
Assistant Director
Division of Health Care Financing

Enclosures