The Health Care Foundation of Greater Kansas City and HCA Holdings Inc. concluded a drawn-out legal battle on Tuesday, agreeing to a settlement that will result in $160 million for the foundation.
The seven-year dispute centered on whether HCA met its $450 million capital spending requirement after it acquired four hospitals through nonprofit Health Midwest in 2003. The Health Care Foundation was formed with the proceeds from this transaction.
The Jackson County Circuit Court ruled in favor of the foundation on Dec. 9, 2015, requiring HCA Midwest Health to pay nearly $434 million to the foundation.
HCA appealed, arguing that it met the agreement by adding Lee’s Summit Medical Center and Centerpoint Medical Center to its network. The Missouri Court of Appeals reversed part of the lower court’s ruling, reducing the judgment to $188 million.
Combined with the results of a prior ruling on uncompensated care, the Health Care Foundation will see a total of $175 million.