The Faulkner Hospital Corporation v. Richard S. Schweiker, Secretary of Health and Human Services

In this case Faulkner Hospital seeks Medicare reimbursement for certain capital costs that it incurred as the result of the construction of its new hospital facility in Jamaica Plain, Massachusetts. Faulkner claims that it is entitled to a depreciation allowance for advances made to cover the operating deficit of Doctors Hospital. These advances were made by Faulkner because it was required to phase out all inpatient services at Doctors Hospital under the certificate of need for its new hospital. The Provider Reimbursement Review Board (PRRB) affirmed the decision, 537 F.Supp. 1058 of Blue…