Hometown Home Health Care of Shelby County, LLC v. State Health Planning & Development Agency

190 So. 3d 44, 2015 WL 4600869
CourtCourt of Civil Appeals of Alabama
DecidedJuly 31, 2015
Docket2131022 and 2131050
StatusPublished
Cited by1 cases

This text of 190 So. 3d 44 (Hometown Home Health Care of Shelby County, LLC v. State Health Planning & Development Agency) is published on Counsel Stack Legal Research, covering Court of Civil Appeals of Alabama primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Hometown Home Health Care of Shelby County, LLC v. State Health Planning & Development Agency, 190 So. 3d 44, 2015 WL 4600869 (Ala. Ct. App. 2015).

Opinions

PITTMAN, Judge.

’ In appeal number 2131Ó22, Hometown Home Health1 Care of Shelby County, LLC (“Hométown Shelby”),’ appeals from a decision of the Certificate of Need Review Board (“the CONRB”) of the State Health Planning and Development Agency (“SHPDA”) insofar as it (1) denied Hometown Shelby’s application for a certificate of need (“CON”) authorizing it to establish a new’ home-health agency in Shelby County and (2) granted-the competing application of Partners Healthcare Group, LLC [46]*46(“Partners”),; for a CON authorizing it to establish such an agency in Shelby County. In appeal number 2131050, Gentiva Health Services, Inc. (“Gentiva”), appeals from the same decision insofar as it granted Partners’ application. We consolidated the appeals on the motion of SHPDA.,

In 2013, Hometown Shelby,. Partners, and Saad Héalthcare Services of Shelby County (“Saad”) each filed an application for a CON authorizing it to establish a home-health agency in Shelby County. Amedisys Home Health, Inc. of Alabama (“Amedisys”) and Gentiva, who were already providing home-health services in Shelby County, each intervened in the SHPDA proceedings relating to those three CON applications in order to oppose them. Hometown Shelby filed its opposition to Partners’ and Saad’s applications, and Saad filed its opposition to Hometown Shelby’s and'Partners’ applications.

The three competing applications of Hometown Shelby, Partnérs, and Saad were “batched” pursuant to Ala. Admin. Code (SHPDA), Rule 410-1-7-,19.1 After several of the parties requested a contested-case hearing, Terry L. Butts was appointed as an administrative-Mw judge (“the ALJ”) to conduct a contested-case hearing in which he would hear evidence supporting and opposing all three of the batched applications. Thereafter, the ALJ held the contested-case.hearing over a period of four days in December 2013. The ALJ subsequently issued a recommended order in May 2014 in which he found that there was an unmet need for home-health services in Shelby County, found that the unmet need justified the granting of all three applications, found that all three of the applicants were appropriate applicants who satisfied all the CON review criteria, and recommended that all three, applications be granted. .

All the parties filed exceptions to the ALJ’s recommended order, which the CONRB reviewed along with the ALJ’s recommended order and the record of the contested-case hearing. The CONRB then held a public hearing on June 18, 2014. After the parties had been heard at that public hearing, a member of the CONRB'' made a motion that the ALJ’s recommended order be approved in its entirety and that all three applications be granted. After the motion was seconded, another member of the CONRB stated that, in his opinion, SHPDA’s rules prohibited the granting of more than one application at a time. The CONRB then voted on the motion to approve the ALJ’s recommended order in its entirety and to grant all three applications. Four of the eight members of the CONRB who were present voted in favor of approving the motion, and four voted against it. Because the CONRB’s procedural rules required a favorable vote of a majority of the members who were present for approval of a motion, the motion was not approved.

One of the members of the CONRB then stated that he agreed with the ALJ’s finding that all three applicants were appropriate applicants but that he disagreed with the ALJ’s conclusion that more than one application could be granted at once. Thereafter, he made a motion to grant only Partners’ application on the ground that Partners was the most appropriate of the three applicants. After that motion was seconded, four members voted in favor of it, and four voted against it. Because a majority of the members who were pres[47]*47ent did not vote in favor of it, that motion was not approved. Thereafter, a member moved to deny all three applications. After that motion was seconded, five members voted in favor of it, and, accordingly, it was approved.

Further discussion ensued among the members following the approval of that motion, and a suggestion was made that the CONRB reconsider that motion. At that point, Amedisys’s counsel objected to the CONRB’s reconsidering that motion because, he said, under the CONRB’s procedural rules, a motion that had been approved could not be reconsidered at the same meeting at which it had been approved. The CONRB then decided to reconsider the motion at a later meeting if it received an application for reconsideration, and it adjourned.

Hometown Shelby, Partners, and Saad then filed -a joint request for reconsideration,-which the CONRB granted. The CONRB held another public hearing on August 20, 2014, which resulted in the CONRB’s voting to approve the ALJ’s recommended order insofar as he had found that a need for a new home-health agency in Shelby County existed, to approve the ALJ’s recommended order insofar as he had found that Partners was ah appropriate applicant who satisfied all the CON criteria, to reject the ALJ’s recommended order insofar as he had concluded that all three applications could be granted at once,' to grant Partners’ application because Partners was the most appropriate, applicant, and to deny Hometown Shelby’s and Saad’s applications. Subsequently, on September 4, 2014, the CONRB issued a written decision (“the CONRB’s September 4, 2014, decision”) stating, in pertinent part:

- “At the August -20, 2014 hearing on reconsideration,’ following oral -. argument, the Board ■ voted to. adopt the ALJ’s Recommended Order, in part, and reject it, in part. Specifically, the Board adopts that portion of the ALJ’s findings and conclusions recognizing the need for a new. home health agency in ■ Shelby County-and Partners’ qualifications and compliance with applicable CON . criteria, while rejecting .the ALJ’s finding that the State Health Plan and SHPDA’s administrative rules authorize the grant of more than one new home health agency in this case.- ■ The Board.also finds, based on [the] totality of [the] evidence, that Partners is the superior, most appropriate applicant and its application should thus be granted, and the applications of Hometown Shelby-, and [Saad] should thus be denied. The Board notes the evidence in this record of Partners’ professional, financial and managerial capability,- its innovative and forward looking business model, and its patient projections. v
“Therefore, based upon the forgoing, the totality of the evidence presented, as well as the oral arguments of counsel for the parties, the application of Partners Healthcare Group, LLC, ... Project No. AL2013-049, is hereby APPROVED, and the applications of Saad Healthcare Services of Shelby County, LLC, Project No. AL2013-054, and Hometown Home Health Care of Shelby County, LLC, Project No. AL2013-039, are hereby DENIED.”

Subsequently, Hometown'Shelby and Gentiva timely appealed from the CONRB’s decision to this court.2 We then consolidated the appeals on the motion of SHPDA. ,

[48]*48“Under the- Alabama Administrative Procedure Act (‘AAPA’), § 41-22-1 et seq., Ala.Code 1975, which governs judicial review of agency decisions,- -
“ ‘[ejxcept where judicial review is by .trial de novó, the agency order shall be taken as prima facie just and; reasonable and the court shall not substitute its judgment for that of the agency as 4o the weight of the evidence on questions of fact, except where otherwise authorized by statute.

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Cite This Page — Counsel Stack

Bluebook (online)
190 So. 3d 44, 2015 WL 4600869, Counsel Stack Legal Research, https://law.counselstack.com/opinion/hometown-home-health-care-of-shelby-county-llc-v-state-health-planning-alacivapp-2015.