State of Alabama
11/21/2024 | Press release | Distributed by Public on 11/21/2024 12:27
Facility Renovation Procedure and Forms
TO: Skilled Nursing Facilities
RE: Facility Renovation Procedure and Forms
The information contained in this ALERT is to provide clarity on established procedures.
Alabama Administrative Code 560-X-22-.14(10) outlines the procedures and requirements for requesting an adjustment to the current asset value (CAV) of a nursing facility.
Please take note of the following:
* Renovation for the purpose of the Chapter will be defined as real and fixed
property changes to a nursing facility.
* The American Hospital Association publication, "Estimated Useful Lives of
Depreciable Hospital Assets," Tables 2, 3, and 4 will be used to determine real
and fixed property affected by this rule. The Alabama Medicaid Agency has
also granted the use of Table 5.
* Renovation costs must exceed 5% of the CAV to qualify for a CAV
adjustment.
* Prior to beginning renovations, facilities must request approval. Use the
Proposed Nursing Facility Renovation Project Form to request a Certificate of
Approval.
* Renovation projects will be issued a Certificate of Approval or a Notice of
Denial.
* Upon approval and completion of a renovation project, use the Completed Nursing Facility Renovation Project Form to request a CAV adjustment.
* Forms can be emailed to [email protected]or mailed to:
Alabama Medicaid Agency
Attention: Director of Provider Audit
P. O. Box 5624
Montgomery, AL 36103-5624
Refer to Administrative Code 560-X-22-.14(10) in its entirety for additional guidance. Questions regarding this ALERT should be emailed to [email protected].
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