T.J. Samson Community Hospital in Glasgow is set to receive more than $10 million in state and federal funding from a state settlement with Medicaid.
“Ultimately, this is money that our hospital earned through quality care over the years since the dispute began,” said Stacey Biggs, T.J. Samson executive vice president of marketing.
“The funding comes at a time that will be tremendously helpful to our organization, especially now with the added financial pressures related to COVID-19,” she said.
The hospital is among 54 receiving payouts from the settlement. The Medical Center, based in Bowling Green, will receive more than $16 million, and Logan Memorial Hospital will receive more than $1.5 million.
A spokesperson for the Medical Center declined to comment on the funding.
On Wednesday, Gov. Andy Beshear said in a news release that he settled a 13-year dispute over Medicaid funding rates, which resulted in $383 million for rural hospitals.
“The funding is much-needed relief to our rural hospitals and health care workers that have been on the frontlines helping to fight the global pandemic,” Beshear said.
Hospitals filed an administrative action in 2007, and a lawsuit followed in 2013, over “invalid” methodology used to set Medicaid inpatient rates in acute care hospitals.
Franklin Circuit Court and Kentucky Court of Appeals ruled in favor of the hospitals.
Earlier this year, the governor requested to recover federal match rates and funds to help pay for millions in damages awarded in a state court order.
The payouts range from just more than $64,000 to more than $31 million, and hospitals will reportedly start receiving them as early as next week.