Court Rejects Hospitals Over Medicare Pay for Training Residents

A change in Medicare reimbursement policy under the Affordable Care Act for teaching hospitals’ costs of training residents didn’t apply to costs incurred before the ACA became law, the U.S. Circuit Court of Appeals for the 10th Circuit ruled Monday.

The lawsuit filed by three teaching hospitals challenged the Department of Health and Human Services’ denial of reimbursement for their shared costs of training residents at community clinics and other off-site locations from 2001 to 2006.

The Medicaid statute during that time provided for reimbursement for training costs at non-hospital sites only if an individual hospital covered all of the ...