Medicare program; schedule of target rate percentages for limits on the rate of hospital cost increases and updating factors for transition prospective payments rates--HCFA. Interim final notice with comment period.

This interim notice sets forth target rate percentages needed to limit the rate of increase of hospital inpatient operating costs and related updating factors for use in computing the hospital-specific portions of transition payment rates under the prospective payment system. The notice also explains which hospitals are subject to the ceiling on the rate of hospital cost increases (as established by the Tax Equity and Fiscal Responsibility Act of 1982, and amended by the Social Security Amendments of 1983), and describes how the calendar year target rate percentages are applied to cost reporting periods that span two calendar years.