Judge Delays Medicaid UPL
Reduction
April 12, 2002 - Department of Health and Human Services
(HHS) Secretary Tommy Thompson must delay implementation of
a final Medicaid Upper Payment Limit (UPL) rule that would
reduce the UPL for non-state government owned or operated
hospitals from 150 percent to 100 percent of what Medicare
would pay for comparable services. This is according to a
partial ruling issued by an Arkansas federal district court
judge on April 10.
The ruling, which prohibits HHS from implementing the final
rule before May 14, came as the result of a March 7 lawsuit
filed by the AAMC, American Hospital Association (AHA), National
Association of Children's Hospitals and Related Institutions
(NACHRI), and National Association of Public Hospitals (NAPH).
The judge agreed with the plaintiffs' argument that HHS had
failed to deliver the final UPL rule to the Senate by March
15, 2002, thus failing to comply with the Congressional Review
Act, which mandates a 60-day review. The judge indicated that
he will rule on other issues raised by the case before May
14.
Information:
Ivy Baer, Director & Regulatory Counsel
AAMC Health Care Affairs
ibaer@aamc.orc
(202) 828-0490
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