$1.6B Medicaid Cuts Crippled Nursing Home Biz, Suit Says

Law360, New York (February 12, 2013, 1:49 PM EST) -- An Illinois nursing home corporation sued state officials in federal court Monday over $1.6 billion in Medicaid cuts enacted last year as a budget-stabilization measure, saying the reductions crippled its business and flouted federal requirements that payments be sufficient to guarantee provider participation.

Prism Healthcare Management Group LLC says it defaulted on loans in 2011 because of meager reimbursements and that its financial condition deteriorated further after Gov. Pat Quinn in June signed a package of legislation curbing Medicaid spending, a move the Democrat described as...
To view the full article, register now.