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Va. loses court bid for $11 million in Medicaid payments

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Virginia has lost a lawsuit seeking $11 million in federal reimbursement for fees charged by doctors at two public hospitals that serve a large number of indigent patients.


U.S. District Judge Rosemary Collyer in Washington, D.C., ruled late yesterday that the federal Department of Health and Human Services acted properly in denying the supplemental Medicaid payments.


The state sought payment for services provided by doctors at the University of Virginia Hospital and Virginia Commonwealth University's Medical College of Virginia in 1997 and 1998. Federal officials said those services were not "hospital services" as defined by the Medicaid law because they were provided by separate physician practice groups.


-- The Associated Press

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