Hospitals file lawsuit over Medicaid

Groups representing most of the nation's hospitals are suing federal health officials to block the enactment of regulations that would restrict federal Medicaid payments so they don't exceed the cost of providing care. Hospital officials say the rules would make it harder to offset the expense of treating the uninsured, and threatens their survival. The lawsuit, which will be filed in the United States District Court for the District of Columbia, would bar federal health agencies from enacting the regulations.