North Kansas City Hospital Board of Trustees v. St. Luke's Northland Hospital

984 S.W.2d 113, 1998 Mo. App. LEXIS 1957, 1998 WL 761432
CourtMissouri Court of Appeals
DecidedNovember 3, 1998
DocketWD 54167
StatusPublished
Cited by17 cases

This text of 984 S.W.2d 113 (North Kansas City Hospital Board of Trustees v. St. Luke's Northland Hospital) is published on Counsel Stack Legal Research, covering Missouri Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
North Kansas City Hospital Board of Trustees v. St. Luke's Northland Hospital, 984 S.W.2d 113, 1998 Mo. App. LEXIS 1957, 1998 WL 761432 (Mo. Ct. App. 1998).

Opinion

ELLIS, Presiding Judge.

On July 31, 1996, James M. Brophy, president and chief executive officer of St. Luke’s Northland Hospital, sent a letter to the North Kansas City Hospital Board of Trustees making 24 different requests for documents under Missouri’s Sunshine Law §§ 610.010 to 610.032. 1 The specific information requested is reflected in Appendix A at the end of this opinion. Generally, the requested documents related to (1) the Board of Trustee’s involvement in a condemnation proceeding between St. Luke’s and the city of Smithville over St. Luke’s Smithville campus and (2) the general operation of North Kansas City Hospital and “related entities.”

On August 6, 1996, Michael E. Payne, President of NKC Hospital, as custodian of all hospital records, sent St. Luke’s a letter granting access to some of the requested documents but denying a majority of the requests. The substantive contents of that letter appear in Appendix B at the end of this opinion. The letter generally asserted that access to the records was denied pursuant to § 610.010 et. seq. On August 7, 1996, the Board of Trustees filed an action in the Circuit Court of Clay County requesting a declaratory judgment validating its refusal of access to St. Luke’s. Specifically, the Board asked the court to find (1) that NKC Hospital itself was not a “public governmental body;” (2) that certain requested records were not “public records;” and (3) that the actions of the Board in closing the records were proper. The Board also requested an award of attorneys’ fees and any other relief that the court deemed just and proper.

The trial court heard the cause on January 16, 1997. At that time, the Board delivered the requested documents to the court for in camera review. At some point prior to the entry of judgment, the Board provided St. Luke’s with access to further documents relating to the Smithville campus in response to certain requests. On February 21, 1997, the trial court entered a declaratory judgment in favor of the Board. The court found: (1) The Board and NKC Hospital are distinct entities and that NKC Hospital is not a public governmental agency. Accordingly, *116 the court found that those documents which are records of NKC Hospital, not the Board, are not public records; (2) Meritas Health Corporation and any other “related entities” are not quasi-public governmental entities under the Sunshine Law. Accordingly, the Trustees did not have to reveal any documents, contracts, or agreements with any related entity, including but not limited- to Meritas and Creekwood Ambulatory Surgery Center; (3) Many of the records requested by St. Luke’s were properly closed because they were protected from disclosure by law under Missouri and U.S. antitrust statutes, the Missouri Trade Secrets Act, common law relating to trade secrets and the Constitutional right to privacy. Based on these findings, the trial court held that the Board had fully complied -with the provisions of the Sunshine Law.

In its first point, St. Luke’s claims the trial court erred in finding that NKC Hospital was not a “public governmental body” and that the documents retained by the hospital were therefore not “public records.” While conceding that it is itself a public governmental body, the Board of Trustees maintains that the hospital is a separate entity, that the operation of a hospital is not governmental, and that the hospital’s records are not subject to the provisions of the Sunshine Law.

The trial court accepted the Board’s arguments, expressly finding that the Trustees do not control the day-to-day operation of NKC Hospital, hire physicians or nurses, enter into managed care contracts, hire consultants, or take care of sick people. The court found that these were things that NKC Hospital does as a separate entity in day-to-day operation of the hospital. The court found that the documents related to the day-to-day operation of the hospital do not “rise to the level” of the Board of Trustees, and were therefore not “retained by or of’ the Board of Trustees. The trial court found that North Kansas City Hospital was a separate entity from the Board of Trustees that does not “govern” anyone or anything, does not operate as a legislative or administrative governmental body, and is not deliberative in nature. The court found that the hospital does not have rule-making power and it is not quasi-judicial. Based on these findings, the trial court concluded that North Kansas City Hospital was not a “public governmental body” and its records were not subject to the Sunshine Law.

Both the trial court and the Board rely heavily on Tribune Publishing Co. v. Curators of the Univ. of Missouri, 661 S.W.2d 575 (Mo.App. W.D.1983), for the proposition that the governing board of an institution and the institution itself are separate entities and that the institution itself is not a public governmental body. Their reliance is misplaced. Tribune is readily distinguishable. Tribune held that the Board of Curators of the University of Missouri is sui generis and by the mandate found in Article IX, § 9(a) of the Missouri Constitution, is a separate entity from the university itself. Id. at 579. The constitutional mandate significantly differentiated the Board of Curators from a normal corporate board of directors. Id. No such constitutional mandate comes into play with regard to the Board of Trustees of North Kansas City Hospital. Furthermore, in determining that the university itself was not a public governmental body, the Tribune court construed a definition of “public governmental body” from an earlier version of the Sunshine Law which did not encompass administrative governmental entities. Tipton v. Barton, 747 S.W.2d 325, 329 (Mo.App. E.D.1988). Since Tribune, the Legislature has amended the Sunshine Law to, among other things, expand the definition of “public governmental body” to specifically include administrative or executive bodies. Id.

Section 610.010(4) currently provides that a “public governmental body” is:

[A]ny legislative, administrative or governmental entity created by the constitution or statutes of this state, by order or ordinance of any political subdivision or district, judicial entities when operating in an administrative capacity, or by executive order, including ... [a]ny department or division of the state, of any political subdivision of the state, of any county or of any municipal government, school district or special purpose district including but not limited to sewer districts, water districts, *117 and other subdivisions of any political subdivision.

The city of North Kansas City is clearly a public governmental body within the provisions of § 610.010(4), and the Board of Trustees readily concedes that it is itself a public governmental body. However, the Board contends, and the trial court agreed, that the hospital is a separate entity that has an existence of its own and is not a public governmental body. We disagree. It is conceded that NKC Hospital is a Chapter 96 hospital. As such, it is not a separate entity from its creator city. Younger v.

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984 S.W.2d 113, 1998 Mo. App. LEXIS 1957, 1998 WL 761432, Counsel Stack Legal Research, https://law.counselstack.com/opinion/north-kansas-city-hospital-board-of-trustees-v-st-lukes-northland-moctapp-1998.