97-27194. Medicaid Program; Limitation on Provider-Related Donations and Health Care-Related Taxes; Revision of Waiver Criteria for Tax Programs Based Exclusively on Regional Variations; Correction  

  • [Federal Register Volume 62, Number 199 (Wednesday, October 15, 1997)]
    [Rules and Regulations]
    [Pages 53571-53572]
    From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
    [FR Doc No: 97-27194]
    
    
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    DEPARTMENT OF HEALTH AND HUMAN SERVICES
    
    Health Care Financing Administration
    
    42 CFR Part 433
    
    [MB-113-F]
    RIN: 0938-AI30
    
    
    Medicaid Program; Limitation on Provider-Related Donations and 
    Health Care-Related Taxes; Revision of Waiver Criteria for Tax Programs 
    Based Exclusively on Regional Variations; Correction
    
    AGENCY: Health Care Financing Administration (HCFA), HHS.
    
    ACTION: Correcting amendment.
    
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    SUMMARY: This document contains a correction to the final regulations 
    that were published in the Federal Register on August 13, 1993 (58 FR 
    43156). These regulations revised the Medicaid regulations relating to 
    limitations on federal financial participation (FFP) in State medical 
    assistance expenditures when States receive funds from provider-related 
    donations and revenues generated by certain health care-related taxes.
    
    EFFECTIVE DATE: September 13, 1993.
    
    FOR FURTHER INFORMATION CONTACT:
    Jim Frizzera, (410) 786-9535.
    
    SUPPLEMENTARY INFORMATION: On August 13, 1993, we published final 
    regulations that further implemented statutory provisions that limit 
    the amount of Federal financial participation (FFP) available for 
    medical assistance expenditures in a fiscal year when States receive 
    funds donated from providers and revenues generated by certain health 
    care related taxes. The August 13, 1993 final rule amended on interim 
    final rule that was published in the Federal Register on November 24, 
    1992 that established in regulations the statutory limitations.
        In general, the statute specified the types of health care related 
    taxes that a State is permitted to receive without a reduction in FFP. 
    Such taxes are broad-based taxes that apply in a uniform manner to all 
    health care providers in a class, and that do not hold providers 
    harmless for their tax costs. If, however, a State tax is not broad-
    based and uniform, a State may submit a waiver application to us 
    requesting that we
    
    [[Page 53572]]
    
    treat its tax as a broad-based and uniform health care-related tax. A 
    State application may be approved if the State established that, among 
    other things, the tax is generally redistributive. We established in 
    the regulation the waiver criteria under which we will determine 
    whether a tax, that does not meet the statutory defined broad-based or 
    uniform requirements, is generally redistributive.
        As published, the regulation at 42 CFR 433.68(e)(2)(iv) contains an 
    error in the percentage amount necessary to demonstrate that a State 
    tax that varies, based exclusively on regional variations, and enacted 
    and in effect prior to November 24, 1992, is generally redistributive 
    and can be considered to meet the criteria for waiver of the uniform 
    tax requirement.
    
    List of Subjects in 42 CFR Part 433
    
        Administrative practice and procedure, Child support, Claims, Grant 
    programs--health, Medicaid, Reporting and recordkeeping requirements.
    
        Accordingly, 42 CFR part 433 is corrected by making the following 
    correcting amendment:
    
    PART 433--STATE FISCAL ADMINISTRATION
    
        1. The authority citation for part 433 continues to read as 
    follows:
    
        Authority: Secs. 1102, 1137, 1902(a)(4), 1902(a)(18), 
    1902(a)(25), 1902(a)(45), 1902(t), 1903(A)(3), 1903(d)(2), 
    1903(d)(5), 1903(o), 1903(p), (1903(r), 1903(w), 1912, and 1919(e) 
    of the Social Security Act (42 U.S.C. 1302, 1320b-7, 1396a(a)(4), 
    1396a(a)(18), 1396a(a)(25), 1396a(a)(45), 1396a(t), 1396b(a)(3), 
    1396b(d)(2), 1396a(d)(5), 1396b(i), 1396b(o), 1396b(p), 1396b(r), 
    1396b(w), and 1396k.)
    
    
    Sec. 433.68  [Corrected]
    
        2. In Sec. 433.68, paragraph (e)(2)(iv), remove the percentage 
    ``0.85'' and add in its place ``0.70''.
    
    (Catalog of Federal Assistance Program No. 93.778, Medical 
    Assistance Program)
    
        Dated: September 12, 1997.
    Neil J. Stillman,
    Deputy Assistant Secretary for Information Resources Management.
    [FR Doc. 97-27194 Filed 10-9-97; 4:00 pm]
    BILLING CODE 4120-01-M
    
    
    

Document Information

Effective Date:
9/13/1993
Published:
10/15/1997
Department:
Health Care Finance Administration
Entry Type:
Rule
Action:
Correcting amendment.
Document Number:
97-27194
Dates:
September 13, 1993.
Pages:
53571-53572 (2 pages)
Docket Numbers:
MB-113-F
PDF File:
97-27194.pdf
CFR: (1)
42 CFR 433.68