Tenn. Comp. R. & Regs. 1200-13-08-.09

Current through June 26, 2024

Section 1200-13-08-.09 - MAXIMUM COMPENSATION RANGES FOR OWNERS AND/OR THEIR RELATIVES

Effective for fiscal years ending June 30, 1984 and later, the following maximum compensation for owners and/or their relatives employed by an individual skilled care facility or by a parent company whose subsidiary or division participates in the Medicaid Skilled Care Program shall apply.

(1) MAXIMUM COMPENSATION FOR OWNERS AND/OR THEIR RELATIVES EMPLOYED IN AN INDIVIDUAL SKILLED NURSING FACILITY.

(a) Administrator:

	Base	Amount Per	In	To A
Bed Size	Allowance	Each Bed	Excess of	Maximum of
25 or under	$15,824	$--		$15,824
26 - 50	16,129	305.33	26 beds	23,457
51 - 75	23,741	283.29	51 beds	30,540
76 - 100	30,672	132.75	76 beds	33,858
101 - 150	33,922	61.96	101 beds	36,958
151 & above	37,019	61.96	151 beds	46,363
(b) Other Positions:
	1 - 50	51- 100	101- 150	151 & Above
	Beds	Beds	Beds	Beds
Assistant or Co-Administrator	$----	$20,471	$21,135	$22,020
Bookkeeper	13,611	15,824	17,483	19,143
Licensed Dietician	18,590	19,254	19,807	20,913
Dietary Supervisor	12,282	13,832	15,270	16,818
Dietary Worker	11,286	11,286	11,286	11,286
Housekeeping	11,618	12,946	14,052	15,381
Supervisor Housekeeper	11,286	11,286	11,286	11,286
Laundry Supervisor	---	---	13,611	14,052
Laundry & Linen	11,286	11,286	11,286	11,286
Worker Maintenance Man	15,381	15,381	15,381	15,381
Medical Director	26,114	26,114	26,114	26,114
Director of Nursing	21,244	22,130	23,457	26,114
Registered Nurse	19,585	20,249	20,913	21,909
Licensed Practical Nurse	15,159	15,824	16,265	16,818
Speech, Occupational, Physical, Recreational Therapist	20,913	20,913	20,913	20,913
Attendants, Orderlies, Aides	12,282	12,282	12,282	12,282
Recreational Director Activity Coordinator Social Activities
Director	12,835	12,835	12,835	12,835
Medical Records Clerk	13,832	14,385	14,938	15,381
Secretary	16,045	16,045	16,045	16,045

(c) The above are maximum limits of allowable compensation to owners and/or relatives who are actually performing these duties 100% of a normal work week. Part-time performance will be computed on percentage of time spent.

(d) If the facility has under 51 beds, only one (1) Administrator and/or Business Manager is allowed, and the rate is set according to bed size/Administrator table.

(e) Allowances for any position not specifically listed herein will be based on other comparable positions and other available information.

(f) Allowances for any position shall not exceed the administrator's compensation.

(g) Other items of consideration to be used in adjustments to these maximum allowances are:

1. necessity of services provided and duties performed by the individual,

2. the time period during which these duties were performed,

3. accounting period bed changes based on dates of change,

4. other relevant circumstances and data verified by the Comptroller of the Treasury.

(h) Allowable compensation amounts shown above will be adjusted annually effective with cost reports ending June 30 and later based on the preliminary Skilled Nursing Facility Market Basket Index as computed by Health Care Financing Administration, Office of the Actuary, Division of National Cost Estimate, current as of June 30, but in no case will the annual compensation adjustment exceed 10%.

(2) MAXIMUM COMPENSATION FOR OWNERS AND/OR THEIR RELATIVES EMPLOYED BY PARENT COMPANIES WHOSE SUBSIDIARY OR DIVISION PARTICIPATES IN THE MEDICAID SKILLED NURSING PROGRAM

(a) Chief Operating Executive:

Bed Size	Base Allowance	Amount Per Each Bed	In Excess of	To A Maximum of
200 & Under	$21,688	$---	---	$21,688
201 500	21,703	15.49	201 beds	26,335
501 1,000	26,349	14.61	501 beds	33,638
1,001 2,000	33,652	14.27	1,001 beds	47,912
2,001 & over	47,925	13.49	2,001 beds	125,479

(b) Other Positions

	Allowance as % of Chief Operating Executive Compensation	Maximum
Medical Director (M.D.)	90%
Assistant Chief Operating Executive, Controller, Corporate Secretary, Treasurer, Attorney	75%
Accountant, Business Manager, Purchasing Agent, Regional Administrator, Regional ice President, Regional Executive	70%	$28,437
Consultants, (Social Activities, Dietary (R.D.), Physical Therapist (RPT), Medical Records (RRA), Nursing (B.S.R.N.)	65%	22,794
Secretaries/Clerks		16,045
Bookkeepers		19,143

The above are maximum limits of allowable cost for owners and/or relatives who are actually performing these duties 100% of a normal work week. Part-time performance will be computed according to time spent.

(c) No assistant operating executive will be authorized for a chain with 200 beds or less.

(d) If chief operating executive is a licensed administrator and is actually performing the duties of administrator in one of the facilities, those owner/administrator guidelines will apply.

(e) Other items of consideration to be used in adjustments to these maximum allowances:

1. services provided to the facilities by home office,

2. positions filled and duties performed by other personnel in the home office compared to related positions and duties performed by other personnel in the individual facilities,

3. comparable salaries that would have to be paid to nonowners for the same services,

4. accounting period bed changes based on dates of change, and

5. Other relevant circumstances and data verified by the Comptroller of the Treasury.

(f) Allowable compensation amounts will be adjusted annually using the same percentage that is developed under rule 1200-13-8-.09(1)(h).

Tenn. Comp. R. & Regs. 1200-13-08-.09

Original rule filed March 7, 1989; effective April 21, 1989.

Authority: T.C.A. §§ 4-5-202, 71-5-105, and 71-5-109.