IHS told to pay $25M, plus interest, for contract

Tuesday, December 18, 2007  

The Indian Health Service has been ordered to pay $25 million, plus interest, for failing to fully fund a self-determination contract with the Yukon-Kuskokwim Health Corp. of Alaska.

YKHC operates a hospital in Bethel, 45 village-based clinics and four large clinics. The corporation says IHS shortchanged its contracts to manage the facilities for the federal government.

A settlement approved by the U.S. Civilian Board of Contract Appeals calls for IHS to pay up. With interest, the award could come to $48 million.

"That's why we are so happy," Dan Winkelman, vice president and general counsel of YKHC, told The Anchorage Daily News.

The U.S. Supreme Court has ruled that self-determination contracts are like any other government contract that must be paid in full.

Get the Story:
Government to pay millions for neglecting Native health care (The Anchorage Daily News 12/18)
pwlat

Contract Decision:
Yukon-Kuskokwim Health Corp. v. HHS (December 6, 2007)

Supreme Court Decision in Cherokee Nation v. Leavitt:
Syllabus | Opinion [Breyer] | Concurrence [Scalia]

Relevant Links:
Indian Health Service - http://www.ihs.gov
Contract Support Cost Litigation - http://www.cscclass.net
Contract Support Costs, NCAI - http://www.ncai.org/Contract_Support.36.0.html

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