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Cape Cod Hosp. v. Sebelius, No. 09-5447

By FindLaw Staff on January 19, 2011 5:41 PM

Action Claiming that Medicare Payments Improperly Reduced

In Cape Cod Hosp. v. Sebelius, No. 09-5447, an action contending that the Secretary of Health and Human Services improperly implemented a statutory provision in a way that over the years had progressively reduced Medicare payments for inpatient services, the court vacated summary judgment for defendant where the Secretary failed to provide a reasoned response to the hospitals' comments regarding those rules.

 

As the court wrote:  "Five hospitals contend that the Secretary of Health and Human Services improperly implemented a statutory provision in a way that over the years has progressively reduced Medicare payments for inpatient services. In particular, they challenge rules governing reimbursements for the 2007 and 2008 fiscal years. Because the Secretary failed to provide a reasoned response to the hospitals' comments regarding those rules, we vacate the district court's grant of summary judgment in the Secretary's favor and remand for further proceedings in light of the guidance set forth in this opinion."

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