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CMS-1403-FC
In the CY 2008 ESRD composite payment system final
rule (72 FR 66280), we established ESRD wage index values
for CY 2008 calculated from the same data (collected from
cost reports submitted by hospitals for cost reporting
periods beginning during FY 2004) used to compute the
FY 2008 acute care hospital inpatient wage index, without
taking into account geographic reclassification under
sections 1886(d)(8) and (d)(10) of the Act. However, the
IPPS policy that apportions the wage data for multi-campus
hospitals was not finalized before the ESRD composite
payment system final rule. Therefore, the CY 2008 ESRD
wage index values reflected the IPPS wage data that were
based on a hospital’s actual location without regard to the
urban or rural designation of any related or affiliated
provider. Accordingly, all wage data from different
campuses of a multi-campus hospital were included in the
calculation of the CBSA wage index of the main hospital.
In the proposed rule, we noted that the IPPS wage data used
to determine the proposed CY 2009 ESRD wage index values
were computed from wage data submitted by hospitals for
cost reporting periods beginning in FY 2005, and reflect
our policy adopted under the IPPS beginning in FY 2008,
which apportions the wage data for multi-campus hospitals
located in different labor market areas, CBSAs, to each
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