Nyack Nursing Home v. Dowling

OPINION OF THE COURT

White, J. P.

Petitioner operates a residential health care facility and participates in the Federal/State Medicaid program (42 USC § 1396 et seq.). Under this program, residential health care facilities receive reimbursement for the services they provide to eligible patients in accordance with rates that are established on the basis of certain allowable costs (10 NYCRR 86-2.9 [a]). Sometime prior to 1986, the State Department of Health and/or Department of Social Services audited petitioner’s reported Medicaid costs for the rate years 1972 through 1981.1 One of the results…