Appeals Court Rules On HHS Payment Cuts, Expanding Short-Term Health Plans
The U.S. Court of Appeals for the District of Columbia Circuit has ruled that HHS' payment cuts to hospitals' off-site outpatient departments were legal. The D.C. court also upheld the Trump administration's controversial expansion of short-term, limited-duration health plans.
Modern Healthcare:
HHS Site-Neutral Payments Are Legal, Appeals Court Rules
A panel of appellate judges on Friday ruled that HHS' site-neutral payment policy for 2019 can go forward, overturning a lower court decision. The U.S. Court of Appeals for the District of Columbia Circuit ruled that HHS' payment cuts to hospitals' off-site outpatient departments were legal because the changes were volume-control measures that don't have to be budget-neutral. The decision is a major loss for hospitals that are already facing revenue reductions due to the COVID-19 pandemic. (Cohrs, 7/17)
Modern Healthcare:
Appeals Court Upholds Trump's Expansion Of Short-Term Plans
A three-judge panel on Friday upheld the Trump administration's controversial expansion of short-term, limited-duration health plans. In a split decision, the U.S. Court of Appeals for the District of Columbia Circuit rejected insurer group Association for Community Affiliated Plans' claims that the administration didn't have the power to issue the 2018 rule and that its decision was an error in judgment because it was inconsistent with the intent of the Affordable Care Act. (Brady, 7/17)
