1. (a) Nonoperating revenue and expenses include those revenues and expenses not directly related to patient care, related patient services, or the sale of related goods. The following accounts are required to be reported.
2. (b) 9010 GAINS OR LOSSES ON SALE OF HOSPITAL PROPERTY. This account is credited for gains and debited for losses arising as a result of the disposal of hospital property.
3. (c) 9020 UNRESTRICTED CONTRIBUTIONS. All contributions, donations, legacies and bequests, that are made to the hospital without restrictions by the donors, must be credited to this account. When a hospital receives contributions in significant amounts, such contributions should be clearly described and fully disclosed in the income statement.

4. (d) 9030 DONATED SERVICES. Many hospitals receive donated services of individuals. Fair value of donated services must be recorded when there is the equivalent of an employer-employee relationship and an objective basis for valuing such services. The value of services donated by organizations may be evidenced by a contractual relationship which may provide the basis for valuation.

   Donated services are most likely to be recorded in a hospital operated by a religious group. If members of the religious group are not paid (or are paid less than the fair value of the services rendered), the lay-equivalent value of their services (or the difference between lay-equivalent value of services rendered and compensation paid) must be recorded as an expense in the cost center in which the service was rendered, with the credit to this account.

5. (e) 9040 INCOME, GAINS AND LOSSES FROM UNRESTRICTED INVESTMENTS. Income, and gains and losses from investments of unrestricted funds must be recorded in this account.
6. (f) 9050 UNRESTRICTED INCOME FROM ENDOWMENT FUNDS. This account is credited with the unrestricted revenue and net realized gains on investments of endowment funds.
7. (g) 9060 UNRESTRICTED INCOME FROM OTHER RESTRICTED FUNDS. This account is credited with the revenue and net realized gains on investments of restricted funds (other than endowment funds) if the income is available for unrestricted purposes.
8. (h) 9070 TERM ENDOWMENT FUNDS BECOMING UNRESTRICTED. When restricted endowment funds become available for unrestricted purposes, they must be reported in this account.
9. (i) 9080 TRANSFERS FROM RESTRICTED FUNDS FOR NON-OPERATING EXPENSE. This account reflects the amounts of transfers from restricted funds to match non-operating expenses in the current period for restricted fund activities.
10. (j) 9110 DOCTORS' PRIVATE OFFICE RENTAL REVENUE. This account is credited with the revenue earned from rental of office space and equipment to physicians and other medical professionals for use in their private practice.
11. (k) 9120 OFFICE AND OTHER RENTAL REVENUE. This account is credited with rentals received from other than doctors, other medical professionals and other non-retail rental activities for office space located in the hospital and for other rental of property, plant and equipment not used in hospital operations.
12. (l) 9130 RETAIL OPERATIONS REVENUE. This account must be credited with revenue earned from other retail operations such as gift shop, barber shop, beauty shop, drug store or newsstand located in space owned by the hospital.
13. (m) 9150 OTHER NON-OPERATING REVENUE. This account is credited with non-operating revenue not specifically required to be included in the above accounts, including unrestricted tax revenue and funds appropriated by governmental entities.
14. (n) 9210 DOCTORS' PRIVATE OFFICE RENTAL EXPENSES. This account contains the expenses incurred in connection with the rental of office space and equipment to physicians, and other medical professionals for use in their private practice.
15. (o) 9220 OFFICE AND OTHER RENTAL EXPENSE. This cost center contains the expenses incurred in connection with the rental to other than physicians, other medical professionals and non-retail rental activities.
16. (p) 9230 RETAIL OPERATIONS EXPENSE. This cost center contains the expenses incurred in connection with retail operations such as gift shop, barber shop, drug store, beauty shop or newsstand.

17. (q) 9240 MAINTENANCE OF NON-PAID WORKERS.

    1. (1) This cost center is used to record the direct costs and accumulate the indirect costs of furnishing to nonpaid workers (as defined and described in 42 CFR 405-424) such fringe benefits, perquisites, maintenance and other items and services that are not furnished to paid employees occupying similar positions, and in situations where comparable fringe benefits, perquisites, maintenance and other items and services are furnished to paid employees occupying similar positions, and if the total cost applicable to nonpaid workers (imputed value of services, fringe benefits, perquisites, maintenance and other items and services) exceeds the total cost (salaries, fringe benefits, etc.) incurred on behalf of comparable paid employees, such excess is included in this cost center.
    2. (2) Effective date for this cost center: cost reporting periods beginning in 1981.
18. (r) 9250 OTHER NON-OPERATING EXPENSES. This cost center contains non-operating expenses not specifically required to be included in the above accounts.

19. (s) 9410 PROVISION FOR INCOME TAXES

    9411 Federal - Current

    9412 Federal - Deferred

    9413 State - Current

    9414 State - Deferred

    9415 Local - Current

    9416 Local - Deferred

    These cost centers contain income tax expense and related deferred taxes.

20. (t) 9500 EXTRAORDINARY ITEMS. Cost centers (accounts 9500-9599) should be used to segregate extraordinary items from the results of ordinary operations and to disclose the nature thereof. Each hospital is to follow “Generally Accepted Accounting Principles” (GAAP) to determine when items are to be considered extraordinary.

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