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Is the use of Random Moment Time Studies (RMTS) mandatory for administrative claiming, or do

No, while an RMTS is typically used to identify and allocate cost, it is not the only option. States also have the flexibility to utilize an alternative methodology for reimbursement and/or allocation, provided there is appropriate documentation for CMS review of the chosen methodology. Regulations on personnel expenses in 45 C.F.R. § 75.430(i) require that charges to federal awards must be based on records that reflect the actual work performed. The records must:

  • be supported by a system of internal controls that provides reasonable assurance charges are accurate, allowable, and properly allocated,
  • reflect the total activity for which the employee is compensated,
  • encompass both federally assisted and all other activities for which the employee is compensated, and
  • support the distribution of the employee's salary or wages among specific activities or cost objectives.
Date
FAQ ID
162316
FAQ Question
Is the use of Random Moment Time Studies (RMTS) mandatory for administrative claiming, or do States have the option to employ a different allocation methodology to identify time or cost applicable to medical and/or administrative activities?