NJ Hospital Loses Bid For Cut Of $24M Medical Ed Subsidy

Law360 (June 9, 2021, 2:01 PM EDT) -- The New Jersey state appeals court on Wednesday declined a hospital's bid for a graduate medical education subsidy, ruling that state health officials properly declined to consider revisions in the hospital's cost report.

A three-judge Appellate Division panel found "nothing arbitrary, capricious or unreasonable" in the New Jersey Department of Health's rejection of Inspira Medical Center-Vineland's administrative appeal seeking a cut of the $24 million supplemental graduate medical education subsidy, or GME-S, the state Legislature allocated under the state's 2020 Appropriations Act.

Inspira sought to revise the cost report it submitted after realizing that it included errors, but was informed that...

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