Less than a year after the United States Court of Appeals for the First Circuit
issued the opinion in Rhode Island Hospital v. Leavitt, No. 07-2673 (1st Cir.
Nov. 17, 2008), upholding the Secretary of the Department of Health and
Human Services' ("Secretary") interpretation of the indirect medical education
(IME) regulation to exclude time spent by residents engaged in research
activities, the United States District Court for the Northern District of Illinois has
Thomas W. Coons
410-347-7389
twcoons@ober.com
Kristin Cilento Carter
410-347-7309
kccarter@ober.com
reached the opposite conclusion. In University of Chicago Medical Center v.
Sebelius, No. 1:07-cv-07016 (Aug. 3, 2009), the University of Chicago Medical
Center ("Hospital") challenged the Centers for Medicare and Medicaid
Services' (CMS) reduction of the Hospital's Medicare payments for fiscal year
(FY) 1996 by excluding time spent be residents engaged in educational
research from the IME full-time equivalent (FTE) resident count. Finding that
the reduction was improper, the Court issued summary judgment in favor of
the hospital finding that the IME resident count for FY 1996 should include
resident time engaged in research when the requirements of the IME
regulation are met.
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