1. The adjustment factor must be applied to adjust historical costs. The adjustment factor must be used to adjust direct care, indirect care, and food and plant costs, exclusive of bad debt expense.

2. Historical costs must be adjusted to December thirty-first of a report year using the increase, if any, in the consumer price index, urban wage earners and clerical workers, United States city average, all items, over the period ending December thirty-first of the report year, and beginning at the end of the month within which the report period ends. The increase, if any, must be applied prior to any application of the adjustment factor.

History: Effective July 1, 1996; amended effective July 1, 2001; July 2, 2002; October 1, 2011; January 1, 2024; January 1, 2026.

General Authority: NDCC 50-06-16, 50-24.5-02(3)