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Attorney General Marty Jackley

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Avera Gregory Hospital Settles with State on Improper Medicaid Claims


FOR IMMEDIATE RELEASE :   Wednesday, November 26, 2014
CONTACT:  Sara Rabern (605)773-3215   

Avera Gregory Hospital Settles with State on Improper Medicaid Claims

PIERRE, S.D –   Attorney General Marty Jackley and Avera Gregory Hospital announced today that they have reached a settlement involving Medicaid payments.

 According to the settlement agreement, the State contends that Avera Gregory Hospital submitted allegedly improper claims to Medicaid involving coding errors during the approximate time period from January 1, 2005, through April 30, 2014. The settlement is neither an admission of liability by Avera Gregory Hospital, nor a concession by South Dakota that its claims are not well founded.

“Avera fully cooperated throughout the entire process,” said Jackley. “Because the coding errors were mistakes and not made intentionally, we worked with the provider to resolve the matter.  In this case, we were able to ensure Medicaid funds were properly utilized while treating the provider fairly.”
Avera Gregory Hospital paid $84,711.89 to South Dakota. The Medicaid program will be fully reimbursed for the covered claims.

 The case was handled by the South Dakota Attorney General’s Medicaid Fraud Control Unit and the South Dakota Department of Social Services, with assistance from the United States Department of Health and Human Services – Office of Inspector General.

Lindsey Meyers with Avera Health can be reached at 605-690-5062 for additional questions regarding this settlement.