KU and other hospitals say unfair Medicare rule will cost them hundreds of millions of dollars

The University of Kansas Hospital is one of 38 hospitals across the country challenging a rule cutting Medicare rates for outpatient hospital sites to match the lower rates paid to physicians’ offices. Under the rule, which took effect Jan. 1, Medicare will pay the same rates for medical services regardless of whether they’re provided in a physician’s office or in a hospital department that’s off the main campus of the hospital.