Kentucky Did Not Correctly Calculate Payment Rates for Private Facilities or Report Cost Settlement Adjustments to CMS

Kentucky calculated its payment rates for State-operated intermediate care facilities for beneficiaries with intellectual and developmental disabilities in accordance with Federal and State requirements. However, Kentucky improperly calculated its payment rates for two of the three private facilities and incorrectly reported cost settlements for State-operated facilities, resulting in excess Medicaid reimbursement of $512,000 (Federal share) and $25,000 (Federal share), respectively.