Pennsylvania Protection & Advocacy, Inc. v. Houston

136 F. Supp. 2d 353, 2001 U.S. Dist. LEXIS 3617, 2001 WL 313600
CourtDistrict Court, E.D. Pennsylvania
DecidedMarch 29, 2001
Docket2:00-cv-04332
StatusPublished
Cited by14 cases

This text of 136 F. Supp. 2d 353 (Pennsylvania Protection & Advocacy, Inc. v. Houston) is published on Counsel Stack Legal Research, covering District Court, E.D. Pennsylvania primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Pennsylvania Protection & Advocacy, Inc. v. Houston, 136 F. Supp. 2d 353, 2001 U.S. Dist. LEXIS 3617, 2001 WL 313600 (E.D. Pa. 2001).

Opinion

OPINION AND ORDER

VAN ANTWERPEN, District Judge.

Presently before this Court is the Defendant’s Motion to Dismiss the Amended Complaint pursuant to Fed.R.Civ.P. 12(b)(1) (lack of subject matter jurisdiction). For the reasons set forth below, the Motion is denied.

I. BACKGROUND

A. Factual Background

Title XIX of the Social Security Act, 42 U.S.C. § 1396 et seq., establishes the federal Medical Assistance program. The program is a cost sharing arrangement between the states and the federal government, whereby the federal government reimburses some state expenses if a state elects to provide financial assistance to those individuals whose incomes and re *358 sources are insufficient to cover the costs of their medical care. 42 U.S.C. § 1396, Am. Compl. ¶¶ 20-21. Pennsylvania has chosen to participate in the program and has adopted a state plan pursuant to the federal regulations. Id. at ¶ 24.

Under the program, state expenses for nonresidential community-based services are not automatically part of the cost sharing arrangement. Id. at ¶¶ 25-28. States can obtain a “home and community-based services” (“HCB”) waiver from the federal Health Care Financing Administration. 42 U.S.C. § 1396n(C). This waiver allows states to include services which prevent individuals from being institutionalized as Medical Assistance, and thereby receive additional reimbursement from the federal government. Id.

Pennsylvania applied for and received an HCB waiver. This waiver is known as Person/Family Directed Support (“P/ FDS”) Waiver. Am. Compl. at ¶ 1. In Count I of the Amended Complaint, Plaintiff alleges that the Defendant has failed to fully implement the waiver. Id. at ¶¶ 35, 43-63. Count II contends that the Pennsylvania Department of Public Welfare (“DPW”) violated federal regulations to furnish medical assistance with “reasonable promptness.” Id. at ¶¶ 64-65. In Count III, Plaintiff alleges that the Defendant has failed to allow applications for services under the P/FDS Waiver. Id. at ¶¶ 66-68. Finally, Count IV asserts that the Defendant failed to allow for evaluations of individuals in violation of Title XIX. Id. at ¶¶ 69-70.

B. Procedural Background

This action commenced on August 24, 2000, by and on behalf of plaintiffs Derek DeLong, Mitchell Landsman, and Saul Vasquez. These three plaintiffs sought to have the case certified as a class action lawsuit. We denied this request in an order dated October 25, 2000. We allowed the parties ninety days 'to conduct additional discovery as to whether the threshold requirements for the certification of a class action could be satisfied. This time period elapsed on January 23, 2001, and this Court has not been presented with any evidence that there is a group of plaintiffs who meet the threshold requirements for class certification.

While this action has been pending, Mr. DeLong, Mr. Vasquez, and Mr. Landsman, each became enrolled in and began receiving HCB waiver services under the P/FDS Waiver. On January 9, 2001, an Amended Complaint was filed. Mr. DeLong and Mr. Vasquez were dropped as plaintiffs apparently because they had become enrolled in and began receiving services under the P/FDS Waiver. Pl.’s Mem. at 3. Through the agreement of counsel, Pennsylvania Protection and Advocacy, Inc. (PP & A), was added. Def.’s Mem. at 2. The Defendants consented to the addition of PP & A on the express condition that they would retain the right to challenge the group’s standing to bring this action. Id. Therefore, in the Amended Complaint, Mitchell Landsman, suing on his own behalf through his parents and without the aid of PP & A, became the sole individual alleging an injury in fact.

On February 9, 2001, the Defendant filed an uncontested motion seeking summary judgment as to Mr. Landsman’s claims. The parties agreed that his claims were rendered moot by his enrollment in the P/FDS Waiver program on December 15, 2000. We granted this motion in an order dated February 14, 2001.

Thus, PP & A is now the sole plaintiff in this action. Although it is unclear from the face of the Amended Complaint, the Plaintiff argues in its Memorandum that it is suing both on its own behalf and as a representative suing on behalf of its constituents. Pl.’s Mem. at 10, 17. The De *359 fendant moves for dismissal on the grounds that PP & A lacks standing.

C. Standard of Review

Fed.R.Civ.P. 12(b)(1) allows parties to file motions when a court’s jurisdiction over the subject matter of the action is in question. A Rule 12(b)(1) motion may challenge jurisdiction based on the face of the complaint or its existence in fact. See Mortensen v. First Fed. Savings and Loan Ass’n, 549 F.2d 884, 891 (3d Cir.1977); Hunter v. United States, No. 3:CV-00-0036, 2000 WL 1880257, *3-4 (M.D.Pa. Dec. 15, 2000). A factual challenge occurs, when a party disputes the existence of certain jurisdictional facts alleged in the complaint. Carpet Group Int’l. v. Oriental Rug Imp. Ass’n, iNc., 227 F.3d 62, 69 (3d Cir.2000). In such a situation, the court is free to consider and weigh evidence outside the pleadings to resolve factual issues bearing on jurisdiction. 549 F.2d at 891, Gould Elecs., Inc. v. United States, 220 F.3d 169, 176 (3d Cir. 2000). Therefore, with a factual challenge, “no presumptive truthfulness attaches to plaintiffs allegations, and the existence of disputed material facts will not preclude the trial court from evaluating for itself the merits of jurisdictional claims.” 549 F.2d at 891; Daily v. City of Philadelphia, 98 F.Supp.2d 634, 636 (E.D.Pa.2000). However, when the challenge is facial, the court must accept as true all well-pleaded allegations in the complaint and draw reasonable inferences in favor of the plaintiff. 549 F.2d at 891. This presumption of truthfulness does not force courts to credit “bald assertions,” “unsupported conclusions,” “unwarranted inferences,” or “legal conclusions masquerading as factual conclusions.” Morse v. Lower Merion School Dist., 132 F.3d 902, 906 (3d Cir.1997); Hunter, 2000 WL 1880257 at *3. Nor must a court presume that the plaintiff can prove facts it has not alleged. City of Pittsburgh v. West Penn Power Co., 147 F.3d 256, 263 (3d Cir.1998).

Regardless of whether the challenge is facial or factual, the plaintiff still bears the burden of persuasion. 549 F.2d at 891. Plaintiff is the one seeking to invoke the jurisdiction of this court, and it must demonstrate that the case is within our competence. Turner v.

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Bluebook (online)
136 F. Supp. 2d 353, 2001 U.S. Dist. LEXIS 3617, 2001 WL 313600, Counsel Stack Legal Research, https://law.counselstack.com/opinion/pennsylvania-protection-advocacy-inc-v-houston-paed-2001.