Hundreds of Hospitals Sue HHS to Stop Medicare Pay Cuts

More than 600 hospitals sued the Health and Human Services Department in a District of Columbia federal court to force the agency to end a Medicare pay cut that they say cost them about $124.4 million per year in 2018 and 2019.

Hospitals from all over the country accused the HHS of going beyond Congressional directives on a program to recoup Medicare overpayments caused by a change in the Inpatient Prospective Payment System.

The Centers for Medicare & Medicaid Services’s 0.7% payment reduction to offset overpayments was supposed to end in 2017, but CMS continued it through 2018 and 2019, ...