Cost Report Excusal and Extension Information

Cost Report Excusal

A provider may be excused from submitting a cost report if certain criteria have been met for their fiscal year. If the provider believes any of the below criteria have been met for their program, they must contact the Provider Finance Department (PFD) via email to be excused from the cost report submission requirement. To grant the excusal, the Texas Health and Human Services Commission (HHSC) PFD may request documentation or verify billing data. If the provider is excused from cost report submission but is a participant in the Attendant Compensation Rate Enhancement program or the Direct Care Staffing Enhancement program, they may be required at a later date to submit data related to attendants or direct care staff to determine if requisite program requirements were met.

Cost Report Excusal Criteria

Single Source Continuum Contractor (SSCC):

  • The total number of Department of Family and Protective Services (DFPS)-placed days and SSCC-placed days was 10 percent or less of the total days of service provided during the cost-reporting period.

For more information, please contact PFD-DFPSRates@hhs.texas.gov.

24-Hour Residential Child-Care (24RCC):

  • The provider has no current contract(s) within the state for the 24RCC program.
  • The total number of DFPS-placed days and SSCC-placed days was 10 percent or less of the total days of service provided during the cost-reporting period.
  • For facilities that provide only Emergency Care Services, the occupancy rate was less than 30 percent during the Cost Reporting period.
  • For all other facility types except child-placing agencies and those providing Emergency Care Services, the occupancy rate was less than 50 percent during the Cost Reporting period.

For more information, please contact PFD-DFPSRates@hhs.texas.gov.

Complete the 24RCC Excusal Request form.

Community Living Assistance & Support Services (CLASS) – Case Management Agency (CMA) and CLASS – Direct Service Agency (DSA):

  • If the provider performed no billable services during the provider’s cost-reporting period.
  • If the Cost Reporting period would be less than or equal to 30 calendar days or one entire calendar month.
  • If circumstances beyond the provider’s control, such as the loss of records due to natural disasters or removal of records from the provider’s custody by a regulatory agency, make Cost Report completion impossible.
  • If all the contracts that the provider is required to include in the cost report have been terminated before the Cost Report due date.

For more information, please contact PFD-LTSS@hhs.texas.gov.

Complete the CLASS Excusal Request form.

Day Activity and Health Services (DAHS):

  • If the provider performed no billable services during the provider's Cost Reporting period.
  • If the Cost Reporting period would be less than or equal to 30 calendar days or one entire calendar month.
  • If circumstances beyond the provider's control, such as the loss of records due to natural disasters or removal of records from the provider's custody by a regulatory agency, make Cost Report completion impossible.
  • If all of the contracts the provider must include in the cost report have been terminated before the cost-report due date.
  • If the provider’s total of units of service provided to HHSC recipients during the cost-reporting period is less than the total number of calendar days included in the cost-reporting period times 1.5.

For more information, please contact PFD-LTSS@hhs.texas.gov.

Complete the DAHS Excusal Request form.

Nursing Facility (NF):

  • If the provider performed no billable services during the provider's Cost Reporting period.
  • If the Cost Reporting period would be less than or equal to 30 calendar days or one entire calendar month.
  • If circumstances beyond the provider's control, such as the loss of records due to natural disasters or removal of records from the provider's custody by a regulatory agency, make Cost Report completion impossible.
  • If all of the contracts the provider must include in the cost report have been terminated before the cost-report due date.
  • If the total number of days the provider performed service for HHSC recipients during the cost-reporting period is less than the total number of calendar days included in the cost-reporting period.

For more information, please contact PFD-LTSS@hhs.texas.gov.

Complete the NF Excusal Request form.

Primary Home Care (PHC):

  • If the provider performed no billable services during the provider’s Cost Reporting period.
  • If the Cost Reporting period would be less than or equal to 30 calendar days or one entire calendar month.
  • If circumstances beyond the provider’s control, such as the loss of records due to natural disasters or removal of records from the provider’s custody by a regulatory agency, make Cost Report completion impossible.
  • If all the contracts the provider must include in the cost report have been terminated before the cost-report due date.

For more information, please contact PFD-LTSS@hhs.texas.gov.

Complete the PHC Excusal Request form.

Home and Community-based Services (HCS) and Texas Home Living (TxHmL):

  • If the provider performed no billable services during the provider’s Cost Reporting period.
  • If the Cost Reporting period would be less than or equal to 30 calendar days or one entire calendar month.
  • If circumstances beyond the provider’s control, such as the loss of records due to natural disasters or removal of records from the provider’s custody by a regulatory agency, make Cost Report completion impossible.
  • If all the contracts that the provider is required to include in the cost report have been terminated before the cost-report due date.

For more information, please contact PFD-LTSS@hhs.texas.gov.

Complete the HCS/TxHmL Excusal Request form.

Intermediate Care Facilities for Individuals with an Intellectual Disability or Related Conditions (ICF/IID):

  • If the provider performed no billable services during the provider's Cost Reporting period.
  • If the Cost Reporting period would be less than or equal to 30 calendar days or one entire calendar month.
  • If circumstances beyond the provider's control, such as the loss of records due to natural disasters or removal of records from the provider's custody by a regulatory agency, make Cost Report completion impossible.
  • If all of the contracts that the provider is required to include in the cost report have been terminated before the cost-report due date.
  • If the total number of days that the provider performed service for HHSC recipients during the cost-reporting period is less than the total number of calendar days included in the cost-reporting period.

For more information, please contact PFD-LTSS@hhs.texas.gov.

Complete the ICF/ IID Excusal Request form.

Residential Care (RC):

  • If the provider performed no billable services during the provider's Cost Reporting period.
  • If the Cost Reporting period would be less than or equal to 30 calendar days or one entire calendar month.
  • If circumstances beyond the provider's control, such as the loss of records due to natural disasters or removal of records from the provider's custody by a regulatory agency, make Cost Report completion impossible.
  • If all of the contracts that the provider is required to include in the cost report have been terminated before the cost-report due date.
  • If the total number of days that the provider performed service for HHSC recipients during the Cost Reporting period is less than the total number of calendar days included in the Cost Reporting period.

For more information, please contact PFD-LTSS@hhs.texas.gov.

Complete the RC Excusal Request form.

Cost Report Extension

HHSC may grant due date extensions for good cause. A good cause is defined as a circumstance that the provider could not reasonably be expected to control and for which adequate advance planning and organization would not have been of any assistance. Providers must submit requests for extensions in writing to HHSC PFD.

Requests for extensions must be received by HHSC PFD before the cost report due date. HHSC staff will respond in writing to requests within 15 days of receipt. Only the owner or authorized signatory can submit an extension request. HHSC will not accept the extension request from a requestor who is not the owner or authorized signatory.

Rules regarding extension requests are located in Title 1 of the Texas Administration Code (TAC) Section 355.105 (c)(3) and 40 TAC Section 700.1751 (3) for DFPS contracts.

Extension Request Forms

Complete the Long-term Services and Supports (LTSS) Extension Request form for the following programs:

  • Community Living Assistance and Support Services (CLASS) – Direct Service Agency (DSA)
  • Community Living Assistance and Support Services (CLASS) – Case Management Agency (CMA)
  • Day Activity and Health Services (DAHS)
  • Deaf-Blind with Multiple Disabilities Waiver (DBMD)
  • Home and Community-based Services (HCS)
  • Intermediate Care Facilities for Individuals with Intellectual Disability or Related Conditions (ICF/IID)
  • Nursing Facilities (NF)
  • Primary Home Care (PHC)
  • Residential Care (RC)
  • Texas Home Living (TxHmL)

Complete the 24RCC Extension Request form.

Please contact PFD-DFPSRates@hhs.texas.gov for more information on SSCC extension requests.