HHS Smacked Down Over Hospital Payment Calculations

Law360, New York (November 16, 2012, 6:28 PM EST) -- In another win for hospitals in the disproportionate share payment saga Thursday, the Washington federal court struck down a Medicare rule that changed how payments are calculated, saying the U.S. Department of Health and Human Services tried to use the complexity of Medicare to hide its bad rulemaking.

U.S. District Judge Rosemary Collyer vacated the flawed rulemaking in its entirety. If her ruling stands, hospitals could see repayments of hundreds of millions of dollars a year. At issue are the disproportionate share hospital, or DSH, payments...
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