[Federal Register Volume 67, Number 148 (Thursday, August 1, 2002)]
[Notices]
[Pages 49927-49928]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 02-19021]


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DEPARTMENT OF HEALTH AND HUMAN SERVICES

Centers For Medicare & Medicaid Services


Notice of Hearing; Reconsideration of Disapproval of Connecticut 
Medicaid State Plan Amendment (SPA) 01-011B

AGENCY: Centers for Medicare & Medicaid Services (CMS), HHS.

ACTION: Notice of Hearing.

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SUMMARY: This notice announces an administrative hearing on August 30, 
2002, at 10 a.m., at the JFK Federal Building; Room 2250, Boston, 
Massachusetts 02203-0003, to reconsider our decision to disapprove 
Connecticut SPA 01-011B.
    Closing Date: Requests to participate in the hearing as a party 
must be received by the presiding officer by August 16, 2002.

FOR FURTHER INFORMATION CONTACT: Kathleen Scully-Hayes, Presiding 
Officer, CMS, C1-09-13, 7500 Security Boulevard, Baltimore, Maryland 
21244, Telephone: (410)-786-2055.

SUPPLEMENTARY INFORMATION: This notice announces an administrative 
hearing to reconsider our decision to disapprove Connecticut SPA 01-
011B.
    Section 1116 of the Social Security Act (the Act) and 42 CFR part 
430 establish Department procedures that provide an administrative 
hearing for reconsideration of a disapproval of a State plan or plan 
amendment. The Centers for Medicare & Medicaid (CMS) is required to 
publish a copy of the notice to a State Medicaid agency that informs 
the agency of the time and place of the hearing and the issues to be 
considered. If we subsequently notify the agency of additional issues 
that will be considered at the hearing, we will also publish that 
notice.
    Any individual or group that wants to participate in the hearing as 
a party must petition the presiding officer within 15 days after 
publication of this notice, in accordance with the requirements 
contained at 42 CFR 430.76(b)(2). Any interested person or organization 
that wants to participate as amicus curiae must petition the presiding 
officer before the hearing begins in accordance with the requirements 
contained at 42 CFR 430.76(c). If the hearing is later rescheduled, the 
presiding officer will notify all participants.
    The issue is whether SPA 01-011B complies with requirements for 
publication of public notice and the effective date. Connecticut 
submitted SPA 01-011B on September 21, 2001. The amendment would 
provide an update factor for inpatient hospital rates as of July 1, 
2001. The State indicated in its response dated February 22, 2002, that 
it published a public notice on September 26, 2001. Under section 
1902(a)(13)(A) of the Act, payment rates for hospital services must be 
established through a public process which includes notice and a 
reasonable opportunity for review and comment. Federal regulations at 
42 CFR 447.205 state that the public notice must be published before 
the proposed effective date of any significant change in payment rates. 
The CMS interprets this advance public notice requirement to mean the 
notice must be published at least one calendar day prior to the 
proposed effective date.
    Therefore, the earliest approvable effective date for this 
amendment is September 27, 2001. Because the State requested an 
effective date of July 1, 2001, CMS was unable to approve the requested 
amendment.
    The notice to Connecticut announcing an administrative hearing to 
reconsider the disapproval of its SPA reads as follows:

Mr. Michael P. Starkowski, Deputy Commissioner, State of 
Connecticut, Department of Social Services, 25 Sigourney Street, 
Hartford, CT 06106-5033.

    Dear Mr. Starkowski: I am responding to your request for 
reconsideration of the decision to disapprove Connecticut State Plan 
Amendment (SPA) 01-011B.
    The issue involves publication of public notice and effective 
date. Connecticut submitted SPA 01-011B on September 21, 2001. The 
amendment would provide an update factor for inpatient hospital 
rates as of July 1, 2001. For the reasons stated below, the Centers 
for Medicare & Medicaid Services (CMS) was unable to approve this 
amendment.
    The issue is whether SPA 01-011B complies with requirements for 
publication of public notice and the effective date. Connecticut 
submitted SPA 01-011B on September 21, 2001. The amendment would 
provide an update factor for inpatient hospital rates as of July 1, 
2001. The State indicated in its response dated February 22, 2002, 
that it published a public notice on September 26, 2001. Under 
section 1902(a)(13)(A), payment rates for hospital services must be 
established through a public process which includes notice and a 
reasonable opportunity for review and comment. Federal regulations 
at 42 CFR 447.205 state that the public notice must be published 
before the proposed effective date of any significant change in 
payment rates. The CMS interprets this advance public notice 
requirement to mean the notice must be published at least one 
calendar day prior to the proposed effective date. Therefore, the 
earliest approvable effective date for this amendment is September 
27, 2001. Because

[[Page 49928]]

the State requested an effective date of July 1, 2001, CMS was 
unable to approve the requested amendment.
    I am scheduling a hearing on your request for reconsideration to 
be held on August 30, 2002, at 10 a.m., at the JFK Federal Building, 
Room 2250, Boston, Massachusetts 02203-0003, to reconsider our 
decision to disapprove Connecticut SPA 01-011B.
    If this date is not acceptable, we would be glad to set another 
date that is mutually agreeable to the parties. The hearing will be 
governed by the procedures prescribed at 42 CFR part 430.
    I am designating Ms. Kathleen Scully-Hayes as the presiding 
officer. If these arrangements present any problems, please contact 
the presiding officer. In order to facilitate any communication 
which may be necessary between the parties to the hearing, please 
notify the 2 presiding officer to indicate acceptability of the 
hearing date that has been scheduled and provide names of the 
individuals who will represent the State at the hearing. The 
presiding officer may be reached at (410) 786-2055.
    Sincerely,
Thomas A. Scully.

(Sec. 1116 of the Social Security Act (42 U.S.C. sec. 1316); 42 CFR 
430.18)

(Catalog of Federal Domestic Assistance Program No. 13.714, Medicaid 
Assistance Program)

    Dated: July 3, 2002.
Thomas A. Scully,
Administrator, Centers for Medicare & Medicaid Services.
[FR Doc. 02-19021 Filed 7-31-02; 8:45 am]
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