IN RE HOSPITALS' PETITIONS


891 A.2d 641 (2006)

383 N.J. Super. 219

In the Matter of HOSPITALS' PETITIONS FOR ADJUSTMENT OF RATES FOR REIMBURSEMENT OF INPATIENT SERVICES TO MEDICAID BENEFICIARIES.

Superior Court of New Jersey, Appellate Division.

Decided February 17, 2006.


Attorney(s) appearing for the Case

Paul R. Murphy, Warren, argued the cause for appellants Atlantic City Medical Center, Barnert Hospital, Capital Health System at Fuld, Capital Health System at Mercer, Cathedral Healthcare System (St. Michaels/ St. James), CentraState Healthcare System, Columbus Hospital, Cooper Hospital/ University Medical Center, Deborah Heart & Lung Center, Hackettstown Community Hospital, Hospital Center at Orange, Liberty Health System-Greenville Hospital, Liberty Healthcare System-Jersey City Medical Center, Liberty Healthcare System-Meadowlands Hospital, Our Lady of Lourdes, Rancocas Valley/Zurbrugg, Raritan Bay Medical Center, Somerset Medical Center, St. Clare's Hospital at Dover, St. Clare's Hospital at Riverside/Denville, St. Clare's Hospital at Wallkill Valley, St. Francis Hospital-Jersey City, St. Francis Medical Center-Trenton, St. Mary's Hospital-Hoboken, St. Mary's Hospital-Passaic, St. Peter's University Hospital, UMDNJ-University Hospital, Englewood Hospital (Kalison, McBride, Jackson & Murphy attorneys; Mr. Murphy, of counsel; Mr. Murphy, James A. Robertson, Barry Liss, and John J. Deno, on the brief).

Steven B. Roosa, Princeton, argued the cause for appellants Mountainside Hospital, Morristown Memorial Hospital, Overlook Hospital, General Hospital Center at Passaic, Palisades Medical Center, Palisades General Hospital, St. Francis Hospital-Jersey City, St. Mary's Hospital-Hoboken, St. Mary's Hospital-Passaic, University Hospital-UMDNJ, St. Elizabeth Hospital, Elizabeth General, Trinitas Hospital, Cooper Health System, Christ Hospital, Kennedy Health System and Kennedy Memorial Hospital (Reed Smith attorneys; Murray J. Klein, of counsel; Mr. Klein and Mr. Roosa, on the brief).

Phyllis D. Thompson, of Covington & Burling, a member of the D.C. bar, admitted pro hac vice, argued the cause for respondent Division of Medical Assistance and Health Services (Peter C. Harvey, Attorney General attorney; Michael Haas, Assistant Attorney General, and Ms. Thompson of counsel; Steven L. Scher, Senior Deputy Attorney General and Ms. Thompson, on the brief).

Before Judges AXELRAD, PAYNE and SABATINO.


The opinion of the court was delivered by

PAYNE, J.A.D.

In these consolidated appeals, a substantial number of New Jersey acute care hospitals that participate in the Medicaid program and also receive supplemental payments because they serve a disproportionate share of the State's indigent population challenge final administrative determinations by the Division of Medical Assistance and Health Services (Division) denying their rate appeals. The Division found...

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