12VAC30-90-240. Home office operating costs.
Subpart XIV
Home Office Costs
A. Home office operating costs shall be allowable to the extent they are reasonable, relate to patient care, and provide cost savings to the provider.
B. Provider purchases from related organizations, whether for services, or supplies, shall be limited to the lower of the related organizations actual cost or the price of comparable purchases made elsewhere.
C. Home office operating costs shall be allocated in accordance with § 2150.3, PRM-15.
D. Home office costs associated with providing management services to nonrelated entities shall not be recognized as allowable reimbursable cost.
E. Allowable and nonallowable home office costs shall be recognized in accordance with § 2150.2, PRM-15.
F. Item 398 D Chapter 723 of 1987 Acts of Assembly (as amended), effective April 8, 1987, eliminated reimbursement of return on equity capital to proprietary providers for periods or portions thereof on or after July 1, 1987.
Statutory Authority
§ 32.1-325 of the Code of Virginia and Item 319 (II) of Chapter 1073 of the 2000 Acts of Assembly.
Historical Notes
Derived from VR460-03-4.1940:1 Part XIV, eff. October 1, 1990; amended, Virginia Register Volume 12, Issue 16, eff. July 1, 1996; Volume 17, Issue 18, eff. July 1, 2001.