Opinion ID: 1467144
Heading Depth: 2
Heading Rank: 2

Heading: The District Court's Calculation of Damages Was Supported by the Evidence

Text: Appellants argue that even if they are liable and the government has sustained damages, the district court's calculation of damages, based upon Potter's what if program, was incorrect because the intermediary never made any adjustments to the cost reports. As discussed above, none of the disputed costs was allowable, so the intermediary would have disallowed all of the disputed costs in determining CPMS' repayment obligation. Potter's what if program simulated this process because he removed all disputed costs from the cost reports, which resulted in a figure of $5,219,195 representing overpayments made to CPMS. Even if CPMS believed that some of the costs should have been allowed, CPMS would still have had to repay Medicare $5,219,195 at the time it filed the cost reports, because challenges to an intermediary's determination of liability do not postpone a provider's obligation to repay the government the amount an intermediary initially determines to be due. See 42 C.F.R. § 405.1803(c). Thus, Potter's calculation and the district court's ultimate damages award was supported by the admissible evidence.