Eligibility
- Providers may request to not apply surplus revenues in funded, certified Part 822 Comprehensive Outpatient programs (program code 2950) for up to two consecutive fiscal years beginning with the year of certification.
- Revenues must be used for Part 822 Comprehensive Outpatient program purposes in the program (PRU) reporting the surplus revenues.
- Requests to not apply surplus revenues submitted by other program types will not be considered as part of this process.
Procedures
Not Apply Request
Providers must submit a written request to “not apply” surplus revenues to their Regional Office Program Manager (RO), with a cc: to the Local Governmental Unit if applicable, no later than 30 days before the submission due date of their annual Consolidated Fiscal Report (CFR).
- For calendar fiscal year providers, whose CFR is due on June 1, the submission of the Not Apply request would be due by May 15.
- For July-June fiscal year providers, whose CFR is due on December 1, the submission of the Not Apply request would be due by November 15.
The request must specify the following:
- The amount and source of the projected surplus.
- A rationale why the money is needed and specific details of how it will be spent to the betterment of the Part 822 Comprehensive Outpatient program.
- The total amount requested to not apply cannot exceed 10% of total program gross costs as identified in the current budget of record.
- Common uses might include:
- Hiring of staff including any related recruitment costs.
- Equipment
- Supplies
- Building renovations/maintenance. Building renovations are limited to a Part 822 Comprehensive Outpatient site and will be reviewed by the RO and other bureaus, as applicable. Approval may impact future minor maintenance eligibility.
- IT expenditures in the areas of equipment, software programs and required annual licenses, other related fees or needed system upgrades.
- The provider must acknowledge that any on-going costs, e.g., new staff or annual fees, will be included in the annual budget for the program and financed through revenues in future years and that no additional State Aid will be requested.
- The respective OASAS RO will review the request for reasonableness and follow-up for any necessary information. • The RO and other appropriate OASAS Divisions will review the complete request consistent with this policy along with all other appropriate programmatic and fiscal policies.
- The RO will notify the provider (with a cc: to the Local Governmental Unit if applicable) in writing of the Commissioner’s determination with a copy to the Bureau of Budget Management and the Payments Unit.
- If prior approval has not been obtained, all surplus revenues will be used to offset the State Aid. Claims will be adjusted to apply the revenue if prior approval was not obtained.
- Providers that received approval to “Not Apply” revenues will make a revenue adjustment on the DMH-2, line 39 Other Non-GAAP Adjustments and identify the entry as “OASAS Not Applied Revenues”. The amount entered must match the amount approved in writing by the RO. Any amount in excess of the approved amount will be used to offset State Aid.
Additional Information
- Approval to “Not Apply” revenue will be made on a case-by-case basis and is solely at the discretion of OASAS.
- OASAS cannot approve requests to not apply revenue that would cause a negative net revenue, and thus result in retention of unspent State Aid. Unspent State Aid will be recovered through the usual reconciliation process.
- Programs will still be subject to all reporting and performance monitoring.
- OASAS reserves the right to discontinue this procedure without notice.
For further information on appropriate uses of any surplus revenues, email [email protected] and [email protected].
Questions related to reporting the revenue adjustment on the DMH-2 should be sent to [email protected].