With the 2022 update to the Arkansas Provider Reimbursement Manual, the Department of Human Services made significant changes to the property component of the Medicaid rate. These changes were driven by the Arkansas Health Care Association, and were needed because the existing rate components were outdated and because of a desire to permit providers who want to ready their facilities for the next generation of elders to do so in a fiscally responsible way. Those changes have also given rise to a number of frequently asked questions and considerations, as operators consider renovating, rebuilding, converting and changing bed certifications. In this session, we will tackle those frequently asked questions to help facility operators refine their approaches to such investments and changes. Following this session, participants will: • Gain an understanding of how the Property Rate Component is computed and what activities affect that rate • Obtain insight into rate impacts of considerations such as converting semi-private rooms to private rooms, facility renovations and remodeling, and financing • Become informed about the Permit of Approval requirements, and impacts on the Property Rate Component’s occupancy adjustment