Fletcher Allen Health Care, Burlington, Vt., reached a $1 million settlement with state and federal authorities, stemming from allegations that former hospital officials lied about the scope and cost of a construction project. The 510-bed hospital will pay $500,000 each to the state and the federal government. When state regulators gave Fletcher Allen's expansion plans a certificate of need, then-hospital officials pegged the project's cost at $173.4 million. Questions soon arose about the true scope and price of the expansion, which last was estimated at $356 million. In the wake of the controversy, three hospital officials and half of the board of trustees resigned. As a result of the settlement, the U.S attorney's office and Vermont's attorney general said they will not bring criminal charges against Fletcher Allen. At deadline, hospital officials were not available for comment. -- by Tony Fong
Vt. system to pay $1 million over alleged CON lies
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