Dignity Health hospital pays $10M to settle improper billing allegations

Dignity Health's St. Joseph's Hospital in Phoenix and a surgical group on its campus agreed to pay $10 million to resolve allegations of improper billing, the U.S. Justice Department said May 5. 

The settlement resolves allegations that Dignity Health and Neurosurgical Associates billed Medicare for concurrent and overlapping surgeries in violation of federal regulations and reimbursement policies. Prosecutors claim that the surgeries were often doubly or triply concurrent. 

As part of the settlement, Neurosurgical Associates also entered into a corporate integrity agreement with HHS that requires the company to maintain a compliance program, implement a risk assessment program and hire an organization to review its Medicare and Medicaid claims. 

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