Planned Parenthood Gulf Coast, Inc. v. Kliebert

141 F. Supp. 3d 604, 2015 U.S. Dist. LEXIS 146988, 2015 WL 6551836
CourtDistrict Court, M.D. Louisiana
DecidedOctober 29, 2015
DocketCIVIL ACTION No. 3:15-cv-00565-JWD-SCR
StatusPublished
Cited by14 cases

This text of 141 F. Supp. 3d 604 (Planned Parenthood Gulf Coast, Inc. v. Kliebert) is published on Counsel Stack Legal Research, covering District Court, M.D. Louisiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Planned Parenthood Gulf Coast, Inc. v. Kliebert, 141 F. Supp. 3d 604, 2015 U.S. Dist. LEXIS 146988, 2015 WL 6551836 (M.D. La. 2015).

Opinion

AMENDED RULING ON DEFENDANT’S MOTION TO DISMISS AND RULING ON PLAINTIFFS’ REQUEST FOR A PRELIMINARY INJUNCTION.

JUDGE JOHN W. deGRAVELLES,

UNITED STATES DISTRICT COURT, MIDDLE DISTRICT OF LOUISIANA

1. INTRODUCTION

Before the Court is the Renewed Motion for Temporary Restraining Order and Preliminary Injunction filed by Planned Parenthood Gulf Coast, Iric; (“PPGC” or “Planned Parenthood”), appearing on behalf of both itself and three patients— Jane Does #1, 2;- and’ 3 (“Individual Plaintiffs”)1 (collectively, “Plaintiffs”) — and based on Section 1396a(a)(23)(A) of the United States Code’s Forty-Second Title (“Medicaid Act”)2 and the First and Fourteenth Amendments of the United States Constitution. (Doc. 46 at 17-26; Doc. 53 ¶¶ 62-67 at 19-20; Doc. '45 at 1-2.) The [610]*610arguments made in support of this motion appear in the Memorandum of Law in Support of Plaintiffs’ Renewed Motion for Temporary Restraining Order and Preliminary Injunction (“Plaintiffs’ Renewed Memorandum”), (Doc. 46), and Memorandum Regarding Availability of State Remedy (“Plaintiffs’ Remedy Memorandum”), (Doc. 52). Plaintiffs’ request is opposed by Louisiana’s Department of Health and Hospitals (“DHH”), whose head, Secretary Kathy H. Kliebert, is being sued in her official capacity and is therefore this matter’s named defendant (“Kliebert” or “Defendant”).3 Defendant’s arguments are put forth in the Motion to Dismiss Complaint for Lack of Subject Matter Jurisdiction and Failure to State a Claim (“Motion to Dismiss”), (Doc. 53), supported by the attached Memorandum in Support of Motion to Dismiss Complaint for Lack of Subject Matter Jurisdiction and Failure to State a Claim (“Defendant’s Memorandum”), (Doc. 53-1). Although no evidentiary hearing was held, the matter was thoroughly briefed and argued. The Court has carefully considered the pleadings and briefings to date, which are discussed in more detail below.4 The Court also thoroughly considered the oral arguments and representations of counsel at hearings held on September 2, 2015 (“First Hearing”), and on October 16, 2015 (“Second Hearing”).

On Sunday, October 18, this Court issued an order denying Defendant’s motion to dismiss and granting Plaintiffs’ request for a temporary restraining order, (Doc. 55). It set a status conference for the following day. At that status conference, all parties agreed that no further discovery and no further argument was necessary for this Court to make its determination on whether to issue a preliminary injunction, (Doc. 58). Both parties expressed “no objection to converting the temporary restraining order to a preliminary injunction.” (Id.) This agreement was reaffirmed in a telephone status conference on October 28, 2015. (Doc. 62.) By the Parties’ express consent, the evidentiary record has therefore been finalized, and any factual allegations left uncontroverted must be accepted as true.

On October 28,2015, by way of Notice of Supplemental Authority, Plaintiffs brought to the Court’s attention a case decided the same day which addresses the identical issue confronting this Court, in which the court granted a preliminary injunction enjoining the Governor of Alabama and others from suspending Medicaid payments to Planned Parenthood Southeast, Inc. and from failing to reinstate the State’s provid[611]*611er agreement with that entity. (Doc. 61 (attaching Doc. 63, Planned Parenthood Se., Inc. v. Bentley, No. 2:15-cv-620-MHT-TFM (M.D. Ala. October 28, 2015) (Opinion) (“Bentley”)).)5

For the reasons first set out in the Order on Plaintiffs’ Motion for Temporary Restraining Order and Preliminary Injunction, (Doc. 55), and more fully set forth below, the Court determines that Plaintiffs have met their burden for a preliminary injunction to maintain the status quo. The Court therefore enjoins from suspending Medicaid payments to PPGC for services rendered to Medicaid beneficiaries, including but not limited to the Individual Plaintiffs pursuant to Federal Rule of Civil Procedure 65(b)(2).6 The preliminary injunction will remain in effect until it is revised, if at all, by this Court’s own further order or by a decision of the United States Court of Appeals for the Fifth Circuit (“Fifth Circuit”). For the reasons set forth hereinafter, the Court declines to require security under .Rule 65(c) from PPGC or the Individual Plaintiffs.

IL FACTUAL AND STATUTORY BACKGROUND

A. PARTIES

Defendant is sued in her official capacity, as she is the head of DHH, (Doc. 1 ¶ 19 at 4; Doc 43 ¶.20 at 6; Doc. 53-1 at 1). DHH administers this state’s Medicaid Program, a dual state-federal assistance program for families and individuals with low income and limited resources encoded in 42 U.S.C. 1396 et seq.7 ‘(See also, e.g., Doc. 1 ¶ 20 at 5; Doc. 13-1 ¶¶ 1-4 at 1-2; Doc. 43 ¶ 20 at 6; Doc. 53-1 at 1-4.) DHH does so by monitoring the allocation of federal-state funds in Louisiana and submitting a state plan for medical assistance for review and approval to the Centers for Medicare and Medicaid Services (“CMS”), operating under a delegation of authority from the Secretary for the Department of Health and Human Services (“DHHS”). La. R.S. §§ 46:437:2(B), 46:437.13;8 42 U.S.C. § 1396a(a); 42 C.F.R. 431.10. In accordance with the Louisiana Medical Assistance Programs Integrity Law (“MA-PIL”), Medicaid providers must sign a contract with DHH .and satisfy several requirements.- LA. R.S. §§ 46:437:11, 46:437.13. (See also Dóc. 13-1 ¶¶ 1-4 at 1-2.) DHH’s powers are circumscribed by statute while many of its relevant regulations appear in Title 50 of the Louisiana Administrative Code.9 (Doc. 53-1 at 2-4; see [612]*612also Doc! 13-1 ¶ 3 at 1.) In this case, DHH initially invoked Section 46:437.11(D) (1), (Doc. 13 at 1-2,13,18; Doc. 53-1 at 1; Hr’g Tr. 11:25-12:8, Sept. 2,2015), and presently relies upon Sections 46.437(D)(2) and 46:437.14(A) and Title 50, (Doc. 39-1 at 1-2, ■ 5-6, 8-9,11-12; Doc. 53-1 at 3-4, 24). •

■ PPGC is a charitable organization, so classified under section 501(c)(3) of the Internal Revenue Code, 26 U.S.C. § 501(c)(1), U.S. Dep’t of the Treasury, Internal Revenue Serv., Form 990 at .1 (2012). (Doc. 43 ¶ 10 at 4; see also Doc. 4-2 ¶ 5 at 2.) Headquartered in Houston, Texas, it maintains its legal domicile in the Lone Star State, FORM 990 át 1, but is licensed to do business in Louisiana, (Doc. 43 ¶ 10 at 4; see also, e.g., Doc. 1 ¶ 9 at 3; Doc. 4-2 ¶ 5 at 2.) PPGC operates family planning centers and clinics in the Houston area of Texas and in Louisiana. (Doc. 43 ¶¶ 10-11 at 4; see also Doc. 1 ¶ 10 at 3-4.) Its first center founded in 1984, PPGC’s two Louisiana clinics — the Baton Rouge Health Center (“BRHC”).

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141 F. Supp. 3d 604, 2015 U.S. Dist. LEXIS 146988, 2015 WL 6551836, Counsel Stack Legal Research, https://law.counselstack.com/opinion/planned-parenthood-gulf-coast-inc-v-kliebert-lamd-2015.