Marina Mercy Hospital v. Patricia Harris, Secretary of Health and Human Services

NORRIS, Circuit Judge:

Appellant Marina Mercy Hospital (the Hospital) is a qualified “provider of services” under the Medicare program. 1 It is a limited partnership whose sole general partner is Mercy Management Corporation (MMC). MMC has two shareholders, Frances Taylor, M.D., and William Born. Taylor and Born together also own 20.46% of the limited partnership interests in the Hospital; the remaining interests are dispersed in small blocs among 54 other limited partners.

As a “provider of services”, the Hospital is entitled to reimbursement for the “reasonable cost” of hospital services…