HHS miscalculated hospital DSH payments

Fierce HealthCare ^ | January 9, 2013 | Alicia Carimenico

[Makana]

The U.S Department of Health & Human Services will recalculate disproportionate share hospitals (DSH) payments for more than 100 hospitals, as well as pay interest on any additional amounts owed, according to an order from the U.S. District Court for the District of Columbia.

Last week, U.S. District Judge Emmet Sullivan ordered two cases be vacated and remanded to HHS for recalculation of reimbursement amounts for healthcare services rendered to low-income patients.

According to the judge, the additional proceedings must be consistent with Northeast Hospital Corp. v. Sebelius, in which the agency's decision to exclude Medicare Advantage patient days from the Medicaid fraction of DSH calculations prior to Oct. 1, 2004, violates the rule against retroactive rulemaking, AHA News Now reported.

[Makana]

The "new math" of the Obama Administration's healthcare savings gets an "F".

[buckalfa]

With this administration, one plus one equals ten dollars to spend. Of course disportionate share payments are one of the dirty little secrets in the hospital business. The federal government reimburses a part of “uncompensated” care provided by hospitals, so take it with a grain of salt when a hospital reports it provided $xx.xxx.xxx dollars in free care. It is my understanding though that the DSH provision will be phased out under Obamacare.