Appeals Court Rules Against Hospices Seeking End to Sequestration

A U.S. court of appeals in California has upheld Medicare sequestration, ruling against hospice providers who sought an to end the practice.

Delaware-headquartered Silverado Hospice and ProCare Hospice in Nevada filed the suit earlier this year against U.S. Health and Human Services Secretary Xavier Becerra, alleging that sequestration violated federal rules, including the Budget Control Act. The appellate judges’ ruling affirms a lower court’s findings in the case.

“The panel held that [the U.S. Centers for Medicare & Medicare Services (CMS)] correctly concluded that the Budget Control Act required it to reduce the total annual amounts paid to hospices, not only the periodic reimbursements, and that the agency’s chosen method for implementing sequestration was consistent with the Medicare statute,” the judges indicated in their decision.

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