Memorial Hospital-Ceres v. Belshé

*235Opinion

NEAL, J.—

Summary

The State Department of Health Services (Department) properly used a hospital’s average overall costs and not its psychiatric unit costs in computing reimbursements due the hospital for psychiatric services to Medi-Cal patients.

Facts and Proceedings Below

Appellant Memorial Hospital-Ceres provides care to patients insured by Medi-Cal, including short term psychiatric care. Medi-Cal is the State of California’s health insurance for the poor. Respondent Department administers the Medi-Cal program.

Medi-Cal employs two significantly different methods for determining the…