A federal court in Washington DC recently ruled against the National Association for Home Care & Hospice (NAHC) in a lawsuit filed against the Department of Health and Human Services (HHS) over a payment system that has reduced reimbursements for numerous home health agencies since 2020. The US District Court for the District of Columbia made this decision in a memorandum opinion on April 26, stating that the plaintiffs did not follow proper procedures by failing to exhaust their administrative remedies before filing the lawsuit.
In addition to dismissing the lawsuit, the court also denied NAHC’s own motion, which sought to have the payment system declared unlawful. The ruling indicates that the agency’s process for seeking expedited judicial review should have been pursued by the plaintiffs before resorting to legal action. By bypassing this process, the court found that the plaintiffs did not meet the necessary requirements to bring their case before it.
Despite this setback for NAHC and home health agencies affected by the payment system, it is important for individuals and organizations challenging government actions to be aware of proper procedures. By emphasizing the need to exhaust administrative remedies before seeking judicial review, this ruling serves as a reminder of legal steps that must be taken in such cases. It is likely that NAHC and other organizations will be more careful to adhere to these procedures when challenging government policies in the future.
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