Iowa State Dept. of Health v. Hertko

282 N.W.2d 744
CourtSupreme Court of Iowa
DecidedAugust 29, 1979
Docket62887
StatusPublished
Cited by19 cases

This text of 282 N.W.2d 744 (Iowa State Dept. of Health v. Hertko) is published on Counsel Stack Legal Research, covering Supreme Court of Iowa primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Iowa State Dept. of Health v. Hertko, 282 N.W.2d 744 (iowa 1979).

Opinion

282 N.W.2d 744 (1979)

IOWA STATE DEPARTMENT OF HEALTH and Norman Pawlewski, Commissioner, Appellants,
Polk County ex rel. Dan L. Johnston, Intervenor-Appellant,
v.
Edward J. HERTKO, Ronald R. Grooters, Hooshang Soltanzadeh, M.D.'s, and Iowa Methodist Medical Center, Appellees.
IOWA HEALTH SYSTEMS AGENCY, INC., Appellant,
Polk County ex rel. Dan L. Johnston, Intervenor-Appellant,
v.
IOWA METHODIST MEDICAL CENTER, Appellee.
Edward J. HERTKO, Ronald K. Grooters, Hooshang Soltanzadeh, M.D.'s and Iowa Methodist Medical Center, Appellees,
v.
HEALTH SYSTEMS AGENCY, INC., Iowa State Department of Health and Norman Pawlewski, Appellants.

No. 62887.

Supreme Court of Iowa.

August 29, 1979.

*746 Thomas J. Miller, Atty. Gen., Larry M. Blumberg, Fred M. Haskins and Sara K. Johnson, Asst. Attys. Gen., for appellants Iowa Department of Health and Norman Pawlewski.

Robert F. Holz, Jr. and Edwin N. McIntosh, of Thoma, Schoenthal, Davis, Hockenberg & Wine, Des Moines, for appellant Iowa Health Systems Agency, Inc.

Dan L. Johnston, Polk County Atty., and E. LaVon French, Asst. County Atty., for intervenor-appellant Polk County.

Edgar H. Bittle, of Belin, Harris, Helmick & Lovrien, Des Moines, for appellee Iowa Methodist Medical Center.

Michael H. Figenshaw and Marsha K. Ternus, of Bradshaw, Fowler, Proctor & Fairgrave, Des Moines, for appellees Edward J. Hertko, Ronald K. Grooters and Hooshang Soltanzadeh, M.D.'s.

Considered by REYNOLDSON, C. J., and LeGRAND, REES, McCORMICK and McGIVERIN, JJ.

*747 McGIVERIN, Justice.

These three consolidated cases involve questions arising from attempted enforcement of the Iowa Certificate of Need Law, sections 135.61-.83, The Code 1979. Appellants Iowa State Department of Health (ISDH) and Iowa Health System Agency, Inc. (HSA) appeal from adverse trial court judgments in two injunction actions by which they sought to prevent performance of open heart surgery at Iowa Methodist Medical Center (Methodist) in Des Moines until Methodist complied with the Certificate of Need Law. ISDH and HSA also claim the court erred in ruling in a separate declaratory judgment action by Methodist and three of its doctors that the Certificate of Need Law requirements do not apply to performance of open heart surgery at Methodist. Intervenor-appellant Polk County appeals from dismissal of its petitions of intervention on the side of ISDH and HSA in the two injunction actions. We affirm in part, reverse in part and remand.

The following main issues are presented for our review by the parties:

1. Whether the court properly denied the temporary injunction sought by ISDH and HSA against open heart surgery at the hospital;

2. Whether the court erred in disposing of the three cases on their merits by ruling on motions of Methodist and its doctors without granting appellants a hearing on the motions or a trial;

3. Whether the court erred in dismissing Polk County's petitions for intervention in the two injunction actions; and

4. Whether the court erred in denying the motion by HSA for discovery from Methodist.

These cases arose as July 1, 1978, the effective date of the Iowa Certificate of Need Law, drew near.

The Preamble to the 1977 Iowa Acts, Chapter 75, stated the policy of sections 135.61-.83 is, inter alia, to provide "necessary and adequate institutional health services to all the people of this state while avoiding unnecessary duplication of institutional health services and preventing or controlling increases in the cost of delivering these services."

Section 135.63(1) provided that a "new institutional health service" or "changed institutional health service" shall not be offered or developed in this state without proper application to the Iowa State Department of Health for and receipt of a certificate of need for such new service.

However, an institutional health facility, such as Methodist, would not need to obtain a certificate of need unless it was providing a new or changed institutional health service as defined in section 135.61(19)(e), which provides:

19. "New institutional health service" or "changed institutional health service" means any of the following:

......

e. Health services which are or will be offered in or through an institutional health facility or a health maintenance organization at a specific time but which were not offered on a regular basis in or through that institutional health facility or health maintenance organization within the twelve month period prior to that time.

In April 1978 Methodist advised ISDH of its intention to perform open heart surgery at its hospital. The question arose as to whether Methodist needed to apply to ISDH for a certificate of need before performing the surgery. ISDH is charged by the statutes with making a review and recommendation on each application for a new institutional health service to a five person state health facilities council, which makes the final decision on the application. Sections 135.62-.69, The Code 1979.

HSA is an Iowa non-profit corporation established pursuant to United States Public Law 93-641 (42 U.S.C. § 300l). Among its duties in serving its health service area in Iowa is to restrain increases in the cost of providing health services and to prevent unnecessary duplication of health resources. HSA also makes recommendations to the ISDH as to whether a certificate of need should be granted to an applicant.

*748 Sanctions for not complying with this law appear in section 135.73.

As July 1, 1978 approached, Methodist took the position it was not required to apply for a certificate of need. ISDH and HSA believed otherwise.

Within a one week period three suits were filed. On June 29, 1978 HSA petitioned for temporary and permanent injunctions to prevent Methodist from performing open heart surgeries until Methodist obtained a certificate of need. This petition was based on alternative grounds of promissory estoppel and the Certificate of Need Law. HSA alleged it was an "interested person" for the purposes of section 135.73(2).

On June 30 Doctors Hertko, Grooters and Soltanzadeh (Doctors) and Methodist filed a declaratory judgment petition at law against ISDH and HSA seeking a determination that the Certificate of Need Law had no application to open heart surgery performed at Methodist.

On July 5 ISDH filed a petition against the Doctors and Methodist seeking temporary and permanent injunctions against open heart surgery at Methodist until Methodist received a certificate of need.

On July 17, the three cases were consolidated by agreement of the parties and the court for determination of common issues. On that date hearing was held on the application by ISDH and HSA for temporary injunctions under the Iowa Certificate of Need Law. On July 18 the court denied the application.

On November 16 the court entered judgment against ISDH and HSA in all three cases. That ruling will be discussed later.

At present we will consider only the claim by ISDH and HSA that the temporary injunction should have been granted.

I. Was the temporary injunction properly denied?

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Wilson v. Bowser
District of Columbia Court of Appeals, 2025
State of Iowa v. Jill Tjernagel
Court of Appeals of Iowa, 2018
Barco v. School Bd. of Pinellas County
975 So. 2d 1116 (Supreme Court of Florida, 2008)
In Re the Marriage of Neff
675 N.W.2d 573 (Supreme Court of Iowa, 2004)
Fairview General Hospital v. Fletcher
591 N.E.2d 1312 (Ohio Court of Appeals, 1990)
Miller v. Continental Insurance Co.
392 N.W.2d 500 (Supreme Court of Iowa, 1986)
Kleman v. Charles City Police Department
373 N.W.2d 90 (Supreme Court of Iowa, 1985)
Mercy Health Center v. Iowa State Department of Health
356 N.W.2d 200 (Supreme Court of Iowa, 1984)
State Ex Rel. Iowa Department of Health v. Van Wyk
320 N.W.2d 599 (Supreme Court of Iowa, 1982)
Moser v. Thorp Sales Corp.
312 N.W.2d 881 (Supreme Court of Iowa, 1981)
Stearns v. Kean
303 N.W.2d 408 (Supreme Court of Iowa, 1981)
Patch v. Civil Service Commission of Des Moines
295 N.W.2d 460 (Supreme Court of Iowa, 1980)
Patch v. CIV. SERV. COM'N OF CITY OF DES MOINES
295 N.W.2d 460 (Supreme Court of Iowa, 1980)
Loras College v. Iowa Civil Rights Commission
285 N.W.2d 143 (Supreme Court of Iowa, 1979)

Cite This Page — Counsel Stack

Bluebook (online)
282 N.W.2d 744, Counsel Stack Legal Research, https://law.counselstack.com/opinion/iowa-state-dept-of-health-v-hertko-iowa-1979.