5th Circ. Nixes Medicare Hospitalization Rate Challenge

Law360, New York (June 18, 2012, 5:39 PM EDT) -- The Fifth Circuit ruled Friday that the Medicare Act expressly prohibits court challenges to the authority of the head of the U.S. Department of Health and Human Services to set Medicare payment rates for partial hospitalizations.

In a published opinion, a three-judge panel said a Texas federal judge properly dismissed the suit brought by Paladin Community Mental Health Center questioning the legality of the 2011 Medicare payment rate set by HHS Secretary Kathleen Sebelius for partial hospitalization services.

The appeals court rejected Paladin's argument that Sebelius...
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