WASHINGTON—The Supreme Court sided with a Midwestern hospital chain on June 3, finding that the U.S. Department of Health and Human Services changed its Medicare hospital reimbursement formula improperly because it failed to first conduct the required formal notice-and-comment rulemaking process.
Minneapolis-based Allina Health Services, a nonprofit health care system that runs 13 hospitals and more than 90 clinics in Minnesota and western Wisconsin, challenged the formula-changing decision made by the Obama administration in 2013.