230.20 - BILLING OF PATIENT CHARGES -- COMPUTATION OF ACTUAL COSTS -- COST SETTLEMENT.

        230.20  BILLING OF PATIENT CHARGES -- COMPUTATION OF
      ACTUAL COSTS -- COST SETTLEMENT.
         1.  The superintendent of each mental health institute shall
      compute by February 1 the average daily patient charges and other
      service charges for which each county will be billed for services
      provided to patients chargeable to the county during the fiscal year
      beginning the following July 1.  The department shall certify the
      amount of the charges and notify the counties of the billing charges.

         a.  The superintendent shall separately compute by program the
      average daily patient charge for a mental health institute for
      services provided in the following fiscal year, in accordance with
      generally accepted accounting procedures, by totaling the
      expenditures of the program for the immediately preceding calendar
      year, by adjusting the expenditures by a percentage not to exceed the
      percentage increase in the consumer price index for all urban
      consumers for the immediately preceding calendar year, and by
      dividing the adjusted expenditures by the total inpatient days of
      service provided in the program during the immediately preceding
      calendar year.  However, the superintendent shall not include the
      following in the computation of the average daily patient charge:
         (1)  The costs of food, lodging, and other maintenance provided to
      persons not patients of the hospital.
         (2)  The costs of certain direct medical services identified in
      administrative rule, which may include but need not be limited to
      X-ray, laboratory, and dental services.
         (3)  The costs of outpatient and state placement services.
         (4)  The costs of the psychiatric residency program.
         (5)  The costs of the chaplain intern program.
         b.  The department shall compute the direct medical services,
      outpatient, and state placement services charges, in accordance with
      generally accepted accounting procedures, on the basis of the actual
      cost of the services provided during the immediately preceding
      calendar year.  The direct medical services, outpatient, and state
      placement services shall be billed directly against the patient who
      received the services.
         2. a.  The superintendent shall certify to the department the
      billings to each county for services provided to patients chargeable
      to the county during the preceding calendar quarter.  The county
      billings shall be based on the average daily patient charge and other
      service charges computed pursuant to subsection 1, and the number of
      inpatient days and other service units chargeable to the county.
      However, a county billing shall be decreased by an amount equal to
      reimbursement by a third party payor or estimation of such
      reimbursement from a claim submitted by the superintendent to the
      third party payor for the preceding calendar quarter.  When the
      actual third party payor reimbursement is greater or less than
      estimated, the difference shall be reflected in the county billing in
      the calendar quarter the actual third party payor reimbursement is
      determined.  For the purposes of this paragraph, "third party payor
      reimbursement" does not include reimbursement provided under
      chapter 249J.
         b.  The per diem costs billed to each county shall not exceed
      the per diem costs billed to the county in the fiscal year beginning
      July 1, 1996.  However, the per diem costs billed to a county may be
      adjusted annually to reflect increased costs to the extent of the
      percentage increase in the total of county fixed budgets pursuant to
      the allowed growth factor adjustment authorized by the general
      assembly for the fiscal year in accordance with section 331.439.
         3.  The superintendent shall compute in January the actual
      per-patient-per-day cost for each mental health institute for the
      immediately preceding calendar year, in accordance with generally
      accepted accounting procedures, by totaling the actual expenditures
      of the mental health institute for the calendar year and by dividing
      the total actual expenditures by the total inpatient days of service
      provided during the calendar year.
         4.  The department shall certify to the counties by February 1 the
      actual per-patient-per-day costs, as computed pursuant to subsection
      3, and the actual costs owed by each county for the immediately
      preceding calendar year for patients chargeable to the county.  If
      the actual costs owed by the county are greater than the charges
      billed to the county pursuant to subsection 2, the department shall
      bill the county for the difference with the billing for the quarter
      ending June 30.  If the actual costs owed by the county are less than
      the charges billed to the county pursuant to subsection 2, the
      department shall credit the county for the difference starting with
      the billing for the quarter ending June 30.
         5.  An individual statement shall be prepared for a patient on or
      before the fifteenth day of the month following the month in which
      the patient leaves the mental health institute, and a general
      statement shall be prepared at least quarterly for each county to
      which charges are made under this section.  Except as otherwise
      required by sections 125.33 and 125.34 the general statement shall
      list the name of each patient chargeable to that county who was
      served by the mental health institute during the preceding month or
      calendar quarter, the amount due on account of each patient, and the
      specific dates for which any third party payor reimbursement received
      by the state is applied to the statement and billing, and the county
      shall be billed for eighty percent of the stated charge for each
      patient specified in this subsection.  For the purposes of this
      subsection, "third party payor reimbursement" does not include
      reimbursement provided under chapter 249J.  The statement prepared
      for each county shall be certified by the department and a duplicate
      statement shall be mailed to the auditor of that county.
         6.  All or any reasonable portion of the charges incurred for
      services provided to a patient, to the most recent date for which the
      charges have been computed, may be paid at any time by the patient or
      by any other person on the patient's behalf.  Any payment made by the
      patient or other person, and any federal financial assistance
      received pursuant to Title XVIII or XIX of the federal Social
      Security Act for services rendered to a patient, shall be credited
      against the patient's account and, if the charges paid as described
      in this subsection have previously been billed to a county, reflected
      in the mental health institute's next general statement to that
      county.  However, any payment made under chapter 249J shall not be
      reflected in the mental health institute's next general statement to
      that county.
         7.  A superintendent of a mental health institute may request that
      the director of human services enter into a contract with a person
      for the mental health institute to provide consultation or treatment
      services or for fulfilling other purposes which are consistent with
      the purposes stated in section 226.1.  The contract provisions shall
      include charges which reflect the actual cost of providing the
      services or fulfilling the other purposes.  Any income from a
      contract authorized under this subsection may be retained by the
      mental health institute to defray the costs of providing the
      services.  Except for a contract voluntarily entered into by a county
      under this subsection, the costs or income associated with a contract
      authorized under this subsection shall not be considered in computing
      charges and per diem costs in accordance with the provisions of
      subsections 1 through 6 of this section.
         8.  The department shall provide a county with information, which
      is not otherwise confidential under law, in the department's
      possession concerning a patient whose cost of care is chargeable to
      the county, including but not limited to the information specified in
      section 229.24, subsection 3.  
         Section History: Early Form
         [R60, § 1487; C73, § 1428; C97, § 2292; S13, § 2292; C24, 27, 31,
      35, 39, § 3600; C46, 50, 54, 58, 62, 66, 71, 73, 75, 77, 79, 81,
      S81, § 230.20; 81 Acts, ch 78, § 20, 38, 39] 
         Section History: Recent Form
         83 Acts, ch 96, § 157, 159; 86 Acts, ch 1169, § 2; 87 Acts, ch 37,
      § 1; 88 Acts, ch 1249, § 9; 88 Acts, ch 1276, § 39; 95 Acts, ch 82,
      §5; 95 Acts, ch 120, §4; 96 Acts, ch 1183, § 25, 26; 98 Acts, ch
      1155, §11; 2001 Acts, ch 155, §23--25; 2005 Acts, ch 167, §31, 32, 66

         Referred to in § 218.78, 226.9C, 228.6, 230.21, 230.22, 904.201