Morgan v. Cohen
United States District Court for the Eastern District of Pennsylvania
665 F. Supp. 1164 (1987)
- Written by Samantha Arena, JD
Facts
The Pennsylvania Department of Public Welfare (DPW) (defendant) proposed a special transportation plan (STP) to provide transportation services to Medicaid recipients to obtain medical services. Under the STP, DPW distinguished between unexempted and exempted providers, the latter including those that specialized in particular services or offered services for which the average distance all clients were transported to the program was over 20 miles. The STP required unexempted providers to assure round-trip transportation without allowing transportation costs to affect treatment decisions. In return, DPW paid the provider a $1.45 increase per hour of treatment in addition to the standard hourly Medicaid treatment payments. Exempted service providers could decline both the increase and the obligation to assure transportation. Approximately 20 percent of providers declined to assure transportation services, whereas the remaining providers accepted the obligation and increased hourly payment. Individuals attending psychiatric partial hospitalization services (PPHS) sued, seeking to prohibit DPW from implementing the STP. The court granted a preliminary injunction prohibiting DPW from implementing the plan as proposed.
Rule of Law
Issue
Holding and Reasoning (Fullam, C.J.)
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