UPMC previously submitted a reimbursement request to Medicaid after buying Braddock Hospital, based on the hospital “selling” at below fair market value, according to the report. The Department of Health and Human Services denied the $2.9 million claim, and a district court upheld the decision in 2008.
On Jan. 20, the case was brought back to life when a U.S. Circuit Court of Appeals overturned HHS’s decision, which sent the case back to court to determine if UPMC qualifies for the reimbursement, according to the report. According to the ruling, the fair market value for Braddock Hospital was $16.7 million and UPMC assumed the hospital for $12.9 million.
UPMC said that if it receives the reimbursement, the money will go to Heritage, according to the report.
The court’s ruling will not affect UPMC’s decision to close the hospital, which stopped seeing patients on Jan. 15.
Read the Tribune-Review’s report on UPMC Braddock Hospital.
