Hospitals Sue HHS Over Medicare Rule SCOTUS Allegedly Axed (1)

Capital Health System Inc. and other hospitals allege in a Nov. 21 suit that the U.S. Health and Human Services Department has continued to pursue a Medicare reimbursement policy that was struck down by the U.S. Supreme Court.

The suit stems from a 2014 change in the way the HHS calculated payments to providers that care for a large number of patients who can’t pay. Under the rule that the hospitals challenged, days spent serving low-income patients were calculated differently, which plaintiffs say unlawfully changed reimbursement rates.

The suit comes less than seven months after the nation’s highest court, in ...