The CMS signed the settlement agreement on April 5. The settlement resolves several federal lawsuits that challenged the way in which the agency calculated the rural floor provision of the Balanced Budget Act of 1997. The underpayments occurred in federal fiscal years 1999 to 2011.
Four of the five largest investor-owned hospitals have now reported income from the settlement.
HCA, Nashville, said it received $271 million from the agreement, while Tenet Healthcare Corp, Dallas, recorded $84 million. Universal Health Services, King of Prussia, Pa., said its share amounted to $35 million.
Health Management Associates, Naples, Fla., did not report whether it received any piece of the settlement in an earnings release earlier this week.
The settlement disclosure was part of strong results overall for CHS. The hospital operator saw an 11.6% increase in net operating revenue to $3.3 billion in the first quarter. Total admissions increased 3.2% while adjusted admissions grew 8.1% over the same period in 2011, according to the earnings release.