BUL4602 Fall-2011 Lecture 4, Reading 9

BUL4602 Fall-2011 Lecture 4, Reading 9 - Court of Appeals...

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Court of Appeals of Washington, Division 3, Panel Four. CRESCENT CONVALESCENT CENTER, Respondent, v. DEPARTMENT OF SOCIAL AND HEALTH SERVICES, STATE OF WASHINGTON, Appellant. No. 15045-3-III. Aug. 19, 1997. Reconsideration Denied Sept. 17, 1997. Nursing home appealed from decision by Office of Appeals for Department of Social and Health Service (DSHS) denying its request for administrative review of DSHS citation. The Superior Court, Yakima County, F. James Gavin, J., reversed. DSHS appealed. The Court of Appeals, Schultheis, J., held that: (1) statutory scheme regulating nursing home industry creates property interests requiring due process, and (2) informal review process offered by DSHS after nursing home disputed DSHS citation was insufficient to satisfy due process. Affirmed. SCHULTHEIS, Judge. Crescent Convalescent Center sought administrative review of a citation issued by the Department of Social and Health Services (DSHS) for failure to meet a dietary assessment standard. An Administrative Law Judge (ALJ) dismissed the request after concluding Crescent does not have a regulatory, statutory or constitutional right to an administrative hearing, and the DSHS Office of Appeals affirmed. The superior court found a constitutional right and reversed. On appeal, DSHS contends the court erred in ruling DSHS deprived Crescent of a property interest without due process of law. It argues Crescent does not have a constitutionally protected property or liberty interest, but if it does, the informal review offered by DSHS satisfied due process requirements. We disagree and affirm the judgment of the superior court. As a state licensed nursing home caring for Medicaid recipients, Crescent must comply with numerous state and federal statutes and regulations. DSHS, the agency responsible for enforcing those regulations, is required by law to conduct at least one unannounced annual inspection of each nursing home and to investigate complaints. Following inspections, DSHS must give the facility written notice of any violations it finds, describing the reasons for noncompliance. RCW 18.51.091. DSHS must also (1) prominently post a copy of the citation in the nursing home, RCW 18.51.260; (2) publish an annual report, available to the public, that lists all licensed facilities, the nature of each citation issued, and any action taken, RCW 18.51.270; and (3) by February 1 of each year notify all public agencies that refer patients to nursing homes of all those homes in the area that had no violations during the preceding year, RCW 18.51.250. Public agencies are then required by law to give priority to citation-free nursing homes in referring publicly assisted patients. RCW 18.51.250.
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*356 DSHS may also take discretionary action against nursing homes cited for violations;**983 specifically, it may do any or all of the following: (a) deny, suspend, or revoke a license, (b) order stop placement, (c) assess fines, (d) deny payment for Medicaid residents, and (e) appoint temporary management. RCW 18.51.060; WAC 388-
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BUL4602 Fall-2011 Lecture 4, Reading 9 - Court of Appeals...

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