Mississippi Supreme Court orders Medicaid to pay $2M to hospitals after skimping reimbursements

The Mississippi Supreme Court ruled the state's Medicaid program must pay back $2 million to 12 state hospitals after illegally changing its payment formula for radiology and laboratory services, according to WTVA.

The state's Medicaid program did not adjust the reimbursement rates for 2001 until 2010, and Presiding Justice Mike Randolph attributes the misinformed reimbursement rates to this recalculation.

"The recalculation caused the hospitals' costs to be understated and the charges to be overstated, reducing their overall reimbursement rate. This was a clear violation of the language of the state plan," wrote Mr. Randolph, according to WTVA.

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