Burden Estimates

CMS-1561 Burden Estimate 01.05.18.docx

(CMS-1561/1561A) Health Insurance Benefit Agreement and Supporting Regulations

Burden Estimates

OMB: 0938-0832

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PRA Package No. 0938-832

Burden Estimate for CMS-1561 and CMS-1561A Forms



Number of CHOWS in CY 2016: 2,454

  1. Time Burden Associated With Completion of the 1561 or 1561A forms


  1. Time required to review statutory and regulatory law assoc. with the CMS-1561 and CMS-1561A forms

  • 40 minutes by the facility CEO

  • 40 minutes x 2,454 CHOWS = 98,160 minutes per all CHOWS

  • 98,160 minutes divides by 60 min/hour = 1,636 hours per year across all facilities



  1. Time required to fill in and sign the 1561 or 1561A form

  • 10 min. by the facility CEO

  • 10 minutes x 2,454 CHOWS = 24,540 minutes per all CHOWS

  • 24,540 minutes divides by 60 min/hour = 409 hours per year across all facilities



  1. Time required to prepare completed CMS-1561 & 1561A forms for mailing and mail

  • 10 min by a Secretary or Office Clerk

  • 10 minutes x 2,454 CHOWS = 24,540 minutes per all CHOWS

  • 24,540 minutes divides by 60 min/hour = 409 hours per year across all facilities





  1. Total time burden associated with completion of EACH CMS-1561 / 1561A form:

  • Time required to review statutory and regulatory law: 40 min.

  • Time required to fill in and sign the 1561 or 1561A form 10 min

  • Time required to prepare form for mailing & mail 10 min

TOTAL 60 min.



  1. Total time burden associated with completion of ALL CMS-1561 / 1561A form:

  • Time required to review statutory and regulatory law: 1,636 hours

  • Time required to fill in and sign the 1561 or 1561A form 409 hours

  • Time required to prepare form for mailing & mail 409 hours

TOTAL 2,454 hours






PRA Package No. 0938-832

Revised Burden Estimate for CMS-1561 and CMS-1561A



  1. Financial Burden Associated With Completion of the 1561 or 1561A forms



  1. Costs Associated With Review Statutory and Regulatory Law Associated with the 1561/1561A Forms:

  • 40 minutes of time by the facility CEO at an average executive salary of $93.44 per hour1

  • $93.44 divided by 60 min. = $1.56 per min.

  • $1.56 x 40 min = $62.40 per 40 min.

  • $62.40 x 2454 CHOWS per year = $153,130 per year across all facilities



  1. Cost Required to Fill In and Sign the 1561 or 1561A Form

  • 10 minutes of time by the facility CEO at an average executive salary of $93.44 per hour

  • $93.44 divided by 60 min. = $1.56 per min.

  • $1.56 x 10 min = $15.60 per 10 min.

  • $15.60 x 2,454 CHOWS per year = $38,282 per year across all facilities



  1. Cost Associated with Preparation and Mailing of the 1561/1561A Form

  • 10 minutes of time by a Secretary of Office Clerk as an hourly salary of $16.22 per hour2

  • $16.22 divided by 60 min. = $0.27 per min.

  • $0.27 x 10 min = $2.70 per 10 min.

  • $2.70 x 2,454 CHOWS per year = $6,626 per year across all facilities completing form 1561 or 1561A



  1. Fringe Benefits

Fringe benefits in the amount of $198, 038 added to match 100% of the labor costs

($153,130 + $38,282 + $6,626 = $198,038)



  1. Other Non-Labor Related Costs

The cost of two 1st class postage stamps at $0.50 each = $1.00

$1.00 x 2,454 CHOW = $2,454 across all facilities completing form 1561 or 1561A







PRA Package No. 0938-832

Revised Burden Estimate for CMS-1561 and CMS-1561A



  1. Total Financial Burden Associated With Use of form 1561 and 1561(A)

Cost Required to Review Law Associated with the 1561/1561A Forms: $153,130

Cost Associated Filling In and Signing the 1561/1561A Form: $38,282

Cost Associated with Preparation and Mailing of 1561/1561A Form: $6,626

Labor Fringe Benefits $198,038

Other Non-Labor Related Costs: $2,454

Total Costs for Completion of form 1561/1561A across all new facilities: $398,530

1The wages for a facility CEO can be found on the U.S. Bureau of Labor Statistics website at https://www.bls.gov/oes/current/oes111011.htm.

2 The wages for a Medical Secretary can be found on the U.S. Bureau of Labor Statistics website at https://www.bls.gov/oes/current/oes436013.htm.

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File Typeapplication/vnd.openxmlformats-officedocument.wordprocessingml.document
AuthorCAROLINE GALLAHER
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File Created2021-01-21

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