Alabama Medicaid Agency v. BEVERLY ENT.

This case concerns whether the appellees, Beverly Enterprises and Beverly Enterprises-Alabama, Inc. (Beverly), should be reimbursed by the Alabama Medicaid Agency (the Agency) for imputed interest resulting from Beverly's purchase of several nursing homes in Alabama. Beverly argues that the reimbursement should be granted pursuant to Agency Rule 560-X-22-.02(4), Alabama Medicaid Administrative Code.

After initially denying Beverly's reimbursement request, a hearing was held in accordance with the procedures outlined in the Alabama Administrative Procedure Act (the AAPA). The hearing officer…