Massena (N.Y.) Memorial Hospital officials remain concerned about $1.6 million the hospital owes Medicare after the federal program overpaid MHH from 2010 through 2014, according to Bob Beckstead's report in the Watertown Daily Times.
The hospital's CFO, Patrick Facteau, said MHH received a payment adjustment from Medicare based on its designation as a sole community hospital, but federal officials "decided their calculations weren't right," and reportedly changed the calculation formula, according to the report.
Medicare previously told the hospital it owed $1.6 million, and to pay the amount by a certain time or it would be charged 9.635 percent interest. But, in the report, Mr. Facteau said the hospital worked out a six-month payback schedule with federal officials as MHH continues to see how they can fight the repayment. U.S. Sen. Chuck Schumer (D-NY) and the Healthcare Association of New York State are both involved in the fight, which Mr. Wolleben said impacts a number of hospitals in New York, along with some Maine hospitals.
Mr. Wolleben said in the report MHH and other hospitals that received the Medicare money has used it for equipment purchases and staff. Now, he said, after the money is gone, "and we’ve used it for various good reasons, the Medicare contractor says, 'Oops, pay us back.' It's a fairness issue where we stand," reports Watertown Daily Times.
He added, "Our interest and the HANYS position on this is simply to reduce the clawback because it's an after-the-fact take back of money that everybody has spent. At least in New York, nobody has stuck it in a bank account to gain interest. Everybody spent it."
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