Due to a recent decision in the U.S. District Court for the District of Columbia, Milton S. Hershey Medical Center v. Becerra, hospitals’ Medicare reimbursements for training residents and fellows will be boosted. 

Within the Medicare Act, Congress created an avenue to reimburse hospitals for costs related to training residents and fellows. Reimbursable costs include resident stipends, supervisory physician salaries and administrative costs. These reimbursements are called the direct graduate medical education (DGME) payment.