Excess Adjustment
Adjustment of excess amounts earned in a Fiscal Year (FY) beginning between March 12, 2020, and March 11, 2021, must be applied to the following FY.
Excess Example
Annual Compliance Level for FY 2022, Beginning July 1, 2020 = $738,600
Excess Uncompensated Services Provided in FY 2021 = $1,000
CPI adjustment between 2019 and 2020 = 4.1%
Excess + (Excess x Percent Change in CPI) = Adjusted Excess
$1,000 + ($1,000 x 4.1%) = $1,041 (Adjusted Excess)
Annual Compliance Level - Adjusted Excess = Adjusted Annual Compliance Level
$738,600 - $1,041 = $737,559 (Adjusted Annual Compliance Level)
Deficit Adjustment
Adjustment of deficits incurred in a FY beginning between March 12, 2020, and March 11, 2021, must be made up in the following FY.
Deficit Example
Annual Compliance Level for FY 2021, Beginning July 1, 2021 = $738,600
Deficit Amount from FY 2021 to be made up in FY 2022 = $1,000
CPI adjustment between 2019 and 2020 = 4.1%
Deficit + (Deficit x Percent Change in CPI) = Adjusted Deficit
$1,000 + ($1,000 x 4.1%) = $1,041 (Adjusted Deficit)
Annual Compliance Level + Adjusted Deficit = Adjusted Compliance Level
$738,600 + $1,041 = $739,641 (Adjusted Annual Compliance Level)
