Two Pennsylvania hospitals have filed suit against HHS, claiming the agency's disproportionate share hospital program shorted them by more than $1.8 million since 1995, according to a Pittsburgh Tribune-Review report.
Monongahela (Pa.) Valley Hospital and St. Vincent Health Center in Erie filed suit in federal court last week, claiming HHS calculated the DSH subsidy in a way that excludes patients who receive medical assistance through Pennsylvania's general assistance program, even though those patients have incomes that fall below 50 percent of the federal poverty level.
The lawsuit also alleged HHS has granted waivers to other states, allowing them to count patients with incomes up to twice the federal poverty level for the DSH program.
The DSH program helps offset losses hospitals assume when they serve a significantly higher number of low-income patients. HHS calculates the subsidy amount each state receives. That amount is crafted to cover costs at DSH hospitals that are not paid for by other payors, such as Medicare or Medicaid, but to not exceed actual uncompensated costs.
The lawsuit said HHS' calculation has cost Monongahela Valley more than $1 million and St. Vincent more than $800,000 since 1995, according to the report.
HHS did not provide comment in the report.
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Monongahela (Pa.) Valley Hospital and St. Vincent Health Center in Erie filed suit in federal court last week, claiming HHS calculated the DSH subsidy in a way that excludes patients who receive medical assistance through Pennsylvania's general assistance program, even though those patients have incomes that fall below 50 percent of the federal poverty level.
The lawsuit also alleged HHS has granted waivers to other states, allowing them to count patients with incomes up to twice the federal poverty level for the DSH program.
The DSH program helps offset losses hospitals assume when they serve a significantly higher number of low-income patients. HHS calculates the subsidy amount each state receives. That amount is crafted to cover costs at DSH hospitals that are not paid for by other payors, such as Medicare or Medicaid, but to not exceed actual uncompensated costs.
The lawsuit said HHS' calculation has cost Monongahela Valley more than $1 million and St. Vincent more than $800,000 since 1995, according to the report.
HHS did not provide comment in the report.
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