STATE OF FLORIDA

DIVISION OF ADMINISTRATIVE HEARINGS

DEPARTMENT OF HEALTH AND )

REHAHBILITATIVE SERVICES, )

)

Petitioner, )

)

vs. ) CASE NO. 77-2160

) SANTA ROSA CONVALESCENT CENTER, )

)

Respondent. )

)

RECOMMENDED ORDER

Pursuant to notice a hearing was held in the above styled cause at Witness Room 194, Juvenile Justice Center, 1800 St. Marys Street, Pensacola, Florida, beginning at 1:30 p.m., February 23, 1978, before Delphene C. Strickland, Hearing Officer, Division of Administrative Hearings, Department of Administration.

APPEARANCES

For Petitioner: John Searcy, Esquire

Department of Health and Rehabilitative Services, District 1

Juvenile Justice Center

1800 St. Marys Street, Box 8

Pensacola, Florida 32501

For Respondent: Mr. Pasco Gibson, In Proper Person

Santa Rosa Convalescent Center

500 Broad Street Milton, Florida 32570

ISSUE

Was the cost report for fiscal year ending June 30, 1976, filed by the Petitioner correct.

FINDINGS OF FACT

1. On November 5, 1977, the Respondent requested an administrative appeal hearing, pursuant to Chapter 120, Florida Statutes, contending that several items in the Auditor's Report on Statement of Costs of Operations of Santa Rosa Convalescent Center were incorrect and in error.

   
   

2. After some discussion between the parties at the hearing the Respondent Santa Rosa Convalescent Center abandoned all claims of error in the Petitioner's Report, which was filed as Petitioner's Exhibit 2 at the hearing. with the exception of the claim of error in paragraph 4 as to the amount of computed mortgage interest to be deducted as a reasonable cost in computing the amount of

   medicaid reimbursement. Petitioner's Report computed the allowable deductible costs for property interest at $24,766.00. Respondent contended that Petitioner did not consider all allowable mortgage interest costs expended by the Respondent in the audited period. The Petitioner agreed at the hearing that if the Respondent could provide adequate documentation in substantiation of actual mortgage interest payments in excess of that computed by the Petitioner, that the Petitioner would include the excess amount as an allowable cost and the Petitioner would recompute the Respondent's medicaid reimbursement rate and make the necessary adjustments in the total amount of Respondent's overpayment currently calculated at $12,148.00.

   
   

3. The Respondent presented no objection to the method and manner of Petitioner's computation of allowable mortgage interest expenses and the authority upon such computation was made. The Respondent admitted at the hearing that it accepted the Petitioner's Report in all other respects and acknowledged that it would be liable for and agreed to pay the recomputed amount.

   
   

4. The Respondent requested the Petitioner to allow as much time as possible to repay the medicaid reimbursement overpayment as recomputed. The Petitioner, the Department of Health and Rehabilitative Services, agreed to consider the request and establish a mutually agreeable payment schedule.

RECOMMENDATION

Recompute the medicaid reimbursement overpayment, if any, establish a mutually agreeable repayment schedule if any monies are due and owing by Petitioner.

DONE and ORDERED this 7th day of April, 1978, in Tallahassee, Florida.

DELPHENE C. STRICKLAND

Hearing Officer

Division of Administrative Hearings

530 Carlton Building Tallahassee, Florida 32304 (904) 488-9675

COPIES FURNISHED:

John Searcy, Esquire District 1 Department of HRS

Juvenile Justice Center 1800 St. Marys Street Box 8

Pensacola, Florida 32501

Mr. Pasco Gibson

Santa Rosa Convalescent Center

500 Broad Street Milton, Florida 32570

Docket for Case No: 77-002160

Orders for Case No: 77-002160