DOH to Resume Rollout of New Home Care Cost Report for CHHAs, LHCSAs, FIs

Last week, the state Department of Health (DOH) met with HCA and other provider associations to discuss its plans for implementing a new Home Care Cost Report that were put on hold pending the COVID-19 pandemic.

As reported to members, the new cost report will have to be completed by Licensed Home Care Services Agencies (LHCSAs), non-hospital-based Certified Home Health Agencies (CHHAs), and Fiscal Intermediaries (FIs).

In March of this year, DOH held some educational programs on the new cost report and postponed additional sessions. Also, KPMG, the state’s contractor for the report, sent a survey to all home care providers and FIs for certain agency and entity information so that it could send login information to agencies to get access to the report.

In last week’s meeting, DOH presented a draft rollout plan that included: provider outreach activities from May to the end of the year; provider submission of the report from mid-May through October 31 (previously from mid-March through June 31); KPMG desk audits with a few pilot field audits during November and December; and rate setting developed during January to February 2021.

HCA and the other associations raised a number of factors that affect the ability of agencies to complete a new cost report, including heavy concentration and resources devoted to care delivery during COVID-19, an upcoming new LHCSA Authorization process, the fall release of the LHCSA Statistical Report, recent and new expected budget cuts to home care providers, and more.

We suggested: combining the new report with the statistical report; only requiring completion of schedules that affect rate setting; and reconvening the Home Care Cost Report workgroup to obtain their input on the draft rollout plan.

DOH indicated that it would consider not penalizing providers on their rates developed through the report if they submit incomplete data, and instead developing an alternative method to develop their rates.

HCA will inform members on the next steps taken by DOH to roll out the cost report.