More Than 100 Hospitals Suing HHS Over Alleged Underpayment
MedCity News
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Contributed by: Kate Gamble
Summary
There’s a new lawsuit added to the growing list of legal challenges hospitals have brought against the way CMS calculates payments to facilities that treat a large share of Medicare patients.
This week, 131 hospitals sued HHS Secretary Robert F. Kennedy Jr., arguing that CMS is wrongfully reducing billions in payments for hospitals serving vulnerable patient populations. The complaint, filed on Monday in the U.S. District Court for the District of Columbia, claims the agency’s methodology violates federal law and unfairly hurts hospitals that care for large numbers of low-income patients.
Medicare disproportionate share hospital (DSH) payments are intended to support hospitals that serve a high number of uninsured and low-income patients. These payments are meant to counterbalance safety net hospitals’ uncompensated care costs so that they can be more financially stable, as well as protect people’s access to care.
