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Phoenix Mem. Hosp. v. Sebelius, No. 09-15506

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By FindLaw Staff on September 23, 2010 2:58 PM

In Phoenix Mem. Hosp. v. Sebelius, No. 09-15506, an action against the Secretary of Health and Human Services arguing that the adjustment plaintiff-hospitals received for serving disproportionately high numbers of low-income patients should be increased because the reimbursement did not account for all low-income patients included under the Arizona Health Care Cost Containment System, the court affirmed summary judgment for defendant where the Secretary's decision that Medically Needy/Medically Indigent patient days were properly excluded from the Medicaid Low Income Proxy was not contrary to law, arbitrary or capricious, or unsupported by substantial evidence.

As the court wrote:  "Eight Arizona hospitals that all receive federal reimbursement for treating Medicare patients appeal the district court's grant of summary judgment in favor of the Secretary of Health and Human Services. The hospitals argue that the adjustment they receive for serving disproportionately high numbers of low-income patients should be increased because the reimbursement does not account for all low-income patients included under the Arizona Health Care Cost Containment System. We have jurisdiction under 28 U.S.C. § 1291 and we affirm."

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