Rural Health Care
About Rural Health Care:
- Overview of the Program
- Overview of the Process
- Monthly Conference Calls
- Site Visits
- Understanding Audits
- Filing Appeals
- Rural Health Care Pilot Program
Rural Health Care Tools:
Step 5: Mileage-based Charge Discount Request
The Rural Health Care Program calculates telecommunications support using one of two methods: using only a mileage-based calculation or comparing the differences between urban and rural rates.
A health care provider may choose either method depending on which is easier or provides the most support. USAC cannot make that determination for a health care provider. Processing of an application may be delayed if both methods are selected or support may be less than requested because USAC will process the request using the information in only one methodology.
To request a mileage-based discount, the health care provider must know the billed miles for each connection. The sum of billed miles for all connections equals the "total billed miles," found on Line 18 of the Funding Request and Certification Form (Form 466). (For complete instructions please go to Required Forms). If the billed miles exceed the maximum allowable distance (MAD), USAC will limit supportable mileage to the MAD. A health care provider will also need to know the Standard Urban Distance (SUD) for the health care provider's state. The SUD will be deducted from supportable billed miles. (A table of Standard Urban Distances can be found on the USAC website.)
The Standard Urban Distance is a mileage allowance for urban areas and determines health care provider support for mileage-sensitive charges. There is a single SUD for each state (e.g., Colorado = 14 miles). The Rural Health Care Program supports mileage charges beyond the SUD and up to the maximum allowable distance. The MAD is the distance from the HCP location to the far side of the largest city in the same state as the HCP. Below is an example of how this calculation is made.
Example:HCP located in Colorado.
Maximum Allowable Distance (MAD) = 100
Standard Urban Distance (SUD) for Colorado = 14 miles
Circuit distance = 110 miles
Cost per mile for circuit = $10 per mile per monthThe Rural Health Care Program supports mileage beyond the SUD up to the MAD. Therefore, support is as follows:
(100 miles - 14 miles) x $10 per mile = $860 per month
[MAD] - [SUD] x [Charge/mile] = [Monthly support]
