Free Oregon, Inc. v. Oregon Health Authority

CourtCourt of Appeals of Oregon
DecidedDecember 13, 2023
DocketA176977
StatusPublished

This text of Free Oregon, Inc. v. Oregon Health Authority (Free Oregon, Inc. v. Oregon Health Authority) is published on Counsel Stack Legal Research, covering Court of Appeals of Oregon primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Free Oregon, Inc. v. Oregon Health Authority, (Or. Ct. App. 2023).

Opinion

460 December 13, 2023 No. 649

IN THE COURT OF APPEALS OF THE STATE OF OREGON

FREE OREGON, INC. and Mandate Free Oregon, Inc., Oregon non-profit corporations; Doctors for Freedom, an unincorporated association; Health Freedom Defense Fund; and Tamara Dimmick; Rasa Sidagyte; Michelle Davis; Lisa Nave; Charlotte Persinger; Chrystal Gervais; Aaron Harris; Roy McGrath; Glenn Campbell; Jessica Cox; Brittany Wilson; Joshua Williams; and Molly Valdez, individuals, Petitioners, v. OREGON HEALTH AUTHORITY, Respondent. Oregon Health Authority A176977

Argued and submitted December 2, 2022; on respondent’s motion to dismiss as moot filed July 5, 2023; and petitioners’ response to motion to dismiss as moot filed July 12, 2023. Tyler D. Smith argued the cause for petitioners. Also on the briefs were Yasha Renner and Tyler Smith & Associates, P.C. Phillip Thoennes, Assistant Attorney General, argued the cause for respondent. Also on the brief were Ellen F. Rosenblum, Attorney General, and Benjamin Gutman, Solicitor General. Before Aoyagi, Presiding Judge, and Lagesen, Chief Judge, and Jacquot, Judge.*

______________ * Jacquot, J., vice James, J. pro tempore. Cite as 329 Or App 460 (2023) 461

LAGESEN, C. J. Motion to dismiss as moot denied; former OAR 333-019- 1010 (Jan 31, 2022) and former OAR 333-019-1030 (Jan 28, 2022) held valid. 462 Free Oregon, Inc. v. Oregon Health Authority

LAGESEN, C. J. This is a rule challenge under ORS 183.400. Petitioners seek judicial review of former OAR 333-019-1010 (Jan 31, 2022) and former OAR 333-019-1030 (Jan 28, 2022),1 rules adopted by the Oregon Health Authority (OHA) that imposed COVID-19 vaccination requirements on providers and staff in healthcare settings, and on teachers and staff in school settings, respectively. The rules have since been repealed. Petitioners argue that OHA exceeded its statutory authority by adopting those rules and, furthermore, that the rules are preempted by federal law, violate the principle of separation of powers, violate due process requirements, and violate the Contract Clause of the Oregon Constitution. OHA responds that the repeal of the rules renders this pro- ceeding moot and that all of petitioners’ challenges fail. For the reasons that follow, we conclude that (1) OHA has not demonstrated that this proceeding is moot; and (2) petition- ers’ arguments do not present grounds for invalidating the rules. Accordingly, we hold the rules valid. I. BACKGROUND OHA first adopted OAR 333-019-1010 and OAR 333-019-1030 as temporary rules in 2021, then as perma- nent rules in 2022.2 Identifying the statutory source of its authority to adopt both rules, OHA listed ORS 413.042, ORS 431A.010, and ORS 431.110, statutes which pertain specif- ically to OHA, and ORS 433.004, which pertains to public health and safety more generally.3 Relevant to petitioners’ challenges, subsection 3 of both OAR 333-019-1010 and OAR 333-019-1030 instructed

1 When this case began, the rules at issue had been promulgated as tempo- rary rules. When OHA promulgated permanent rules, the court permitted peti- tioners to amend their petition for judicial review to challenge the permanent rules. This opinion addresses the permanent rules. 2 OAR 333-019-1010 was in effect as a temporary rule from August 5, 2021, until January 31, 2022. OAR 333-019-1030 was in effect as a temporary rule from August 25, 2021, until January 28, 2022. Both rules were adopted as permanent in January 2022, temporarily suspended in May 2023, and repealed in June 2023. 3 For OAR 333-019-1010, OHA also cited ORS 426.415, ORS 443.085, ORS 443.315, ORS 443.450, ORS 443.745, ORS 443.790, ORS 443.860, and ORS 441.025, which pertain to healthcare licensing and facility rules. Consideration of those statutes as sources of authority is not necessary to resolve this matter. Cite as 329 Or App 460 (2023) 463

schools and healthcare facilities that they “may not employ, contract with, or accept the volunteer services of” individuals unless they “are fully vaccinated against COVID-19 or have an approved or accepted medical or religious exception.” The rules also required those individuals to provide proof of vac- cination or documentation of a medical or religious excep- tion to their respective school or healthcare facility and set forth the standards applicable to the required documenta- tion. OAR 333-019-1010(6) and OAR 333-019-1030(10). The rules further explained that employers of school and health- care facility employees were responsible for “tak[ing] rea- sonable steps to ensure that unvaccinated” individuals with exceptions to the vaccination requirement “are protected from contracting and spreading COVID-19.” OAR 333-019- 1010(4); OAR 333-019-1030(4), (6). Additionally, each rule provided that employers “who violate any provision of this rule are subject to civil penalties of $500 per day per viola- tion.” OAR 333-019-1010(7); OAR 333-019-1030(11). Petitioners assert that those rules are invalid on several distinct grounds. They first argue that the statutes cited by OHA as authority for the promulgation of the two rules do not grant such authority. Next, petitioners contend that the rules conflict with two other statutes: ORS 431.180 and ORS 433.416. Petitioners then assert that the rules are preempted by section 564 of the Food, Drug, and Cosmetic Act (FDCA), codified at 21 USC § 360bbb-3.4 Petitioners fur- ther argue that the rules offend separation-of-powers prin- ciples. Petitioners also contend that the rules violate the Due Process Clause of the Fourteenth Amendment to the United States Constitution by threatening public employ- ees’ protected property interest in continued employment by “mandat[ing] a predetermined outcome without any right to a hearing.” Finally, petitioners argue that the rules impermissibly impair employment contracts, in violation of the Contract Clause of Article I, section 21, of the Oregon Constitution. For the reasons that follow, we reject each of petitioners’ challenges and hold former OAR 333-019-1010 and former OAR 333-019-1030 valid.

4 For the sake of readability, except where citing to specific sections of the statute, we refer to 21 USC § 360bbb-3 as “section 564” throughout this opinion. 464 Free Oregon, Inc. v. Oregon Health Authority

II.

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Bluebook (online)
Free Oregon, Inc. v. Oregon Health Authority, Counsel Stack Legal Research, https://law.counselstack.com/opinion/free-oregon-inc-v-oregon-health-authority-orctapp-2023.