Common use of Provisions Governing Other Potential Modifications Clause in Contracts

Provisions Governing Other Potential Modifications. Any request to initiate a reevaluation of the Approved Regulated Revenue constraint by the Hospital shall be submitted in writing to HSCRC staff accompanied by supporting documentation. Similarly, the HSCRC has the right to open discussions with the Hospital, regarding modifications to the TPR constraint based on its on-going review and monitoring of the Hospital’s operation and service area market share. A decision to modify the Hospital's Approved Regulated Revenue is within the sound discretion of HSCRC staff, but with the caveat that the Hospital may terminate its participation in the TPR if it is unwilling to accept such a modification. If the Hospital applies and receives approval to provide a new service to its population area, the Hospital may petition the HSCRC staff for an adjustment to the Hospital's Approved Regulated Revenue if it can be demonstrated to the satisfaction of HSCRC Staff that provision of the new service cannot be managed within its existing revenue constraints. Such requests shall be evaluated by HSCRC staff on a case-by- case basis. Likewise, modifications to the TPR constraint can be initiated by HSCRC staff given other significant changes in the scope of regulated services provided by the Hospital. Decisions of staff on these matters represent a final decision. As described above, the HSCRC staff and the Hospital will monitor the Hospital’s market share of its Primary and Secondary Service Areas over time, as well as the overall volume and revenue for services outside of the Primary and Secondary Service Areas.7 If either party believes that change in market share and/or utilization is sufficient to justify reevaluation of the revenue cap, that party has the right to initiate such a reevaluation and potential modification to the hospitals TPR constraint.