New York ex rel. Perales v. Sullivan

CARDAMONE, Circuit Judge:

The sole legal question involved in this appeal is whether New York hospitals may include in their reimbursement rates under the Medicaid Act, 42 U.S.C.A. §§ 1396-1396s (West 1983 & Supp.1989), some of the costs incurred in obtaining excess medical malpractice insurance for attending physicians. In attempting to delve into the vast, cumbrous array of the Medicaid statute and its regulations, the relevance of Bacon’s observation that in humans generally there is “more of the fool than the wise” becomes apparent. F. Bacon, Essays, of Boldness, 3 Harv. Classics 33 (Eliot…