NKC, INC., Plaintiff-Appellant, v. SECRETARY OF HEALTH AND HUMAN SERVICES, Defendant-Appellee

GEORGE CLIFTON EDWARDS, Jr., Circuit Judge.

NKC, Inc., plaintiff-appellant, in this appeal operates the Norton-Children’s Hospital, Inc., a 492 bed hospital in Louisville, Kentucky. As a part of its hospital operation, Norton’s operates a unit which it terms its Transitional Care Unit. Norton’s also operates in the same hospital an Intensive Care Unit, a Coronary Care Unit, a Burns Unit and a Neo-Natal Unit. From 1971 to 1976 all of these previously named units were treated by Blue Cross as “special care units” for purposes of reimbursement under the Medicare Program. However, for the years…