Brooklyn Hospital Center v. Shah

Mercure, J.P.

Prior to December 1, 2008, respondent Department of Health (hereinafter DOH) calculated the detoxification reimbursement rate on a “per discharge” basis, involving a fixed payment for specific, diagnosis-related services provided to a patient, without regard to the length of stay. In order to reduce the costs associated with detoxification services, the Legislature directed that the reimbursement rate be calculated on a “per diem” basis for patients discharged after December 1, 2008, with the operating cost component of the new rate to be calculated using the regional average…