Appeals court knocks millions off amount HCA owes KC health foundation

A drawn-out legal battle between the Health Care Foundation of Greater Kansas City and the Hospital Corp. of America (HCA) came to another stopping point on Tuesday. The Missouri Court of Appeals reversed part of a 2015 ruling by the Jackson County Circuit Court, reducing the judgment to about $188.1 million.

In the original circuit court ruling, HCA Midwest Health was ordered to pay nearly $434 million to the foundation. It was based on an ongoing dispute as to whether HCA met capital spending requirements after it acquired Menorah Medical Center, Overland Park Regional Medical Center and Research Medical Center from Health Midwest for $1.125 billion in 2003. The Health Care Foundation was formed with proceeds from this transaction.

The agreement in question stated that HCA had to spend a minimum of $450 million over five years. HCA appealed the case in January 2016, on the grounds that it fulfilled the agreement by building Lee’s Summit Medical Center and Centerpoint Medical Center and that the Health Care Foundation did not have legal standing to sue.

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