Section 418.101101. Calculation and revision of payment ratio for Michigan hospitals.

(1) The workers' compensation agency shall annually calculate and revise, under the provisions of 1969 PA 306, 24.201 et seq. MCL, the payment ratios for all Michigan hospitals. The calculation shall be made using a hospital's most recent fiscal year information that is submitted to the Michigan department of community health, medical services administration, preceding each annual calculation.  The   information  used shall  be that reported to the Michigan department of community health, medical  services administration, on the hospital's statement of patient revenues and operating expenses, G2 worksheet. The workers' compensation agency shall complete the payment ratio calculation between September 1 and October 1, or the earliest date when the  figures  are   available from Michigan department of community health and shall annually  publish   the hospital ratio calculations in a separate manual effective for dates of service on or after the effective date of these rules.

(2)    The   workers'   compensation   agency   shall    calculate    a hospital's cost-to- charge ratio by dividing each hospital's total operating expenses by total patient revenues as reported on the  hospital's  statement of  patient revenues and operating expenses, G2 worksheet.

History: 1998-2000 AACS; 2004 AACS; 2005 AACS.