Title of Rule and Other Identifying Information: WAC 246-454-010 Definitions and 246-454-030 Submission of budget (hospital financial data and reports), the department of health (department) is proposing the repeal of WAC 246-454-030 to eliminate the department's requirement that each hospital submit a financial report related to hospitals' annual budgets, and is proposing the amendment of WAC 246-454-010 to remove the definition of "budget," which is related to the section being repealed. The department is also proposing the amendment of the statutory reference in WAC 246-454-010.

Purpose of the Proposal and Its Anticipated Effects, Including Any Changes in Existing Rules: The purpose for the proposal is to update rules regarding hospital financial reports in order to remove outdated requirements and reduce the regulatory burden on hospitals. The proposal also amends the definitions section to align with the proposed repeal of WAC 246-454-030 and updates the statutory reference in WAC 246-454-010.

Reasons Supporting Proposal: The submission of the hospital annual budget as required in WAC 246-454-030 is an outdated rule that imposes an undue regulatory burden on Washington state hospitals. The department proposes its repeal because: (1) The rule is not statutorily mandated; (2) the reporting period results in reporting difficulties for hospitals; and (3) the budget information provided yearly is no longer needed by data users. Based on these reasons, the department proposes amending the rule to eliminate the budget reporting and amending WAC 246-454-010 to remove reference to the term "budget," which is related to the section proposed for repeal. The proposed revision also amends the statutory reference in WAC 246-454-010.

Explanation of the Reason the Agency Believes the Expedited Rule-Making Process is Appropriate: The expedited rule-making process is appropriate for the proposed rules; the repeal is necessary because of changed circumstances as the budget information provided yearly in the required reports is no longer needed by data users; the amendments are necessary to provide clarification as a result of the proposed repeal.

THIS RULE IS BEING PROPOSED UNDER AN EXPEDITED RULE-MAKING PROCESS THAT WILL ELIMINATE THE NEED FOR THE AGENCY TO HOLD PUBLIC HEARINGS, PREPARE A SMALL BUSINESS ECONOMIC IMPACT STATEMENT, OR PROVIDE RESPONSES TO THE CRITERIA FOR A SIGNIFICANT LEGISLATIVE RULE. IF YOU OBJECT TO THIS USE OF THE EXPEDITED RULE-MAKING PROCESS, YOU MUST EXPRESS YOUR OBJECTIONS IN WRITING AND THEY MUST BE SENT TO Randall Huyck, Department of Health, P.O. Box 47853, Olympia, WA 98504-7853, phone 360-236-4210, fax 360-236-2830, email https://fortress.wa.gov/doh/policyreview, AND RECEIVED BY November 5, 2018.

As used in this chapter, unless the context requires otherwise.

(1) "Department" means the Washington state department of health created by chapter 43.70 RCW.

(2) "Hospital" means any health care institution which is required to qualify for a license under chapter 70.41 RCW ((70.41.020(2))); or as a psychiatric hospital under chapter 71.12 RCW.

(3) "Manual" means the Washington State Department of Health Accounting and Reporting Manual for Hospitals, third edition adopted under WAC 246-454-020.

(4) "System of accounts" means the list of accounts, code numbers, definitions, units of measure, and principles and concepts included in the manual.

(((5) "Budget" means the forecast of each hospital's total financial needs and the resources available to meet such needs for its next fiscal year and includes such information as shall be specified in the manual concerning volume and utilization projections, operating expenses, capital requirements, and deductions from revenue.))