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Central Regional in jeopardy of losing federal certification

Posted September 26, 2008

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— The state's new psychiatric hospital in Butner is in jeopardy of losing its certification to bill the federal government for Medicare and Medicaid services, the hospital's interim director told staff in a memo Thursday.

The issue has to do with how Central Regional Hospital was getting reimbursed for treating patients under the federal insurance plans, which according to Dr. Michael Lancaster is a violation of conditions of participation in the programs.

A Department of Health and Human Services spokesman said Friday the facility had been using a provider number for Dorothea Dix in Raleigh – which is scheduled to eventually close after all patients are transferred to Central Regional.

The move was scheduled for Oct. 1, but a Superior Court judge granted a temporary restraining order Thursday, delaying it for a fifth time, because of safety concerns.

Dix could also lose its certification because of the potential violation, Lancaster said in Thursday's memo.

DHHS spokesman Tom Lawrence said it is still unclear how a potential violation could affect the Dix move.

"We simply don't know where this is leading," he said. "We're on hold on the move, at least until the judge rules next week on the temporary injunction."

Before Dix patients are allowed to move, state law requires the hospital to have assurances from the Center for Medicare and Medicaid Services and another accrediting agency.


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  • commonsensical Sep 26, 2008

    Just close Dix and move the patients. Arrest Central Regional for breaking state law, and throw it in jail. It'll make bail within hours. At trial, Central Regional will be offered a plea deal to a reduced charge of 'improper equipment', pay the fine and be done with the entire matter. :)

  • nealsgirl Sep 26, 2008

    Mr.Right is just that. The management of DHHS in Raleigh should ALL resign. There doesn't seem to be any competent people to make these big decisions there. What seems to be the problem this time girls? 130 million dollar facility and nobody is going to be treated there. What a waste!

  • Sep 26, 2008

    "We simply don't know where this is leading,"

    The truth to that statement should read, "We simply don't know WHO is leading."

  • smitty Sep 26, 2008

    Maybe we should have a swap, put the state legislators in Dorthea Dix for a few weeks, and put the mental patients over in the general assembly building to write some laws. Couldn't get any worse.

  • Wake1 Sep 26, 2008

    What a mess! If Easly would have just put the right people in place who knew just a little bit about running this typ organization! It's just one thing after another after another after another........

  • Mr. Right Sep 26, 2008

    It seems like some senior State Employees should be loosing their jobs for this and for Cherry Point.