Meriter Hospital, Inc. v. Dane County, 02-2837.

• Decision Date: 07 December 2004
• Docket Number: No. 02-2837.,02-2837.
• Citation: 277 Wis.2d 1,2004 WI 145,689 NW 2d 627
• Parties: Meriter Hospital, Inc., Plaintiff-Appellant-Cross-Respondent-Petitioner, v. Dane County, Defendant-Respondent-Cross-Appellant.
• Court: Wisconsin Supreme Court

2004 WI 145

689 NW 2d 627

277 Wis.2d 1

Meriter Hospital, Inc., Plaintiff-Appellant-Cross-Respondent-Petitioner, v. Dane County, Defendant-Respondent-Cross-Appellant.

No. 02-2837.

Supreme Court of Wisconsin.

Oral Argument: September 22, 2004.

Opinion Filed: December 7, 2004.

For the plaintiff-appellant-cross-respondent-petitioner there were briefs by John Walsh, Guy DuBeau and Axley Brynelson, LLP, Madison, and oral argument by Guy DuBeau.

For the defendant-respondent-cross-appellant there was a brief and oral argument by Kristi A. Gullen, assistant corporation counsel.

An amicus curiae brief was filed by Laura J. Leitch, Madison, on behalf of Wisconsin Hospital Association, Inc.

An amicus curiae brief was filed by Andrew T. Phillips, Evan N. Claditis and Prentice & Phillips LLP, Milwaukee, on behalf of Wisconsin Counties Association.

¶1 N. PATRICK CROOKS, J

The petitioner, Meriter Hospital (Meriter), seeks review of a published decision of the court of appeals, Meriter Hospital, Inc. v. Dane County, 2003 WI App 248, 268 Wis. 2d 658, 673 N.W.2d 328, affirming the circuit court of Dane County, Judge Gerald C. Nichol presiding. The issues we address are, first, whether Wis. Stat. § 302.38¹ (2001-02) requires the respondent, Dane County, to pay all of the medical and hospital bills incurred on behalf of an indigent prisoner, Michael Gibson (Gibson), who was a prisoner in the Dane County jail upon admittance to the hospital, but had the criminal charges pending against him dismissed on the third day of his extended hospitalization, after his parole hold had also been lifted. Second, we determine whether the Dane County Sheriff complied with his statutory obligations under Wis. Stat. §§ 59.27(1) and 302.38(1).

¶2 We conclude that the plain reading of Wis. Stat. § 302.38² does not require Dane County (County) to pay for all of the medical and hospital bills of Gibson, an indigent prisoner, once the parole hold had been cancelled and the circuit court had granted the motion of the State of Wisconsin (State) to dismiss the pending charges against him. Gibson lost his prisoner status and was no longer "held" under the criminal laws of Wisconsin, when the circuit court dismissed the charges. We also conclude that Gibson's status did not change when the Department of Corrections issued an apprehension request for him. This request to bring Gibson into custody only had the effect of making him a "potential prisoner," and did not render him "held under the state criminal laws or for contempt of court," as set forth in § 302.38(2). In so holding, we decline to expand the County's liability under § 302.38(1) and require it to pay for all of Gibson's care.

¶3 Finally, we conclude that the Dane County Sheriff³ met his statutory obligations in dealing with Gibson. The sheriff kept the prisoner secure, pursuant to Wis. Stat. § 59.27(1), while Gibson was "held under the state criminal laws." Additionally, we hold that the sheriff met the "appropriate care" standard under Wis. Stat. § 302.38(1). Thus, we affirm the court of appeals.

I

¶4 The relevant facts of this case are not in dispute. Michael Gibson, an indigent inmate at the Dane County jail, became gravely ill on December 16, 1998, and was transported by the sheriff to Meriter Hospital. Meriter's staff treated Gibson for a bacterial infection and septic shock, leading to multiorgan dysfunction failure. The parties agree that he likely would have died within 24 hours had he not received proper medical attention, and that all treatment rendered was necessary.

¶5 Gibson was treated at Meriter for 34 days. Because he was in custody for a parole violation and as a result of pending criminal charges, it was necessary that a deputy provide security outside of Gibson's hospital room 24 hours per day.⁴ The total cost for Gibson's care and treatment at Meriter, not including the overtime pay for the security provided, amounted to $187,569.37.

¶6 During the first three days of Gibson's hospitalization, the sheriff informed the Dane County prosecutor and Gibson's parole officer that Gibson had been hospitalized. On December 17, 1998, the Wisconsin Division of Community Corrections issued a cancellation of the order to detain Gibson. The State then moved to dismiss the charges against Gibson on December 18, 1998. The Deputy District Attorney, Judy Schwaemle, indicated in her motion that the decision to drop the charges was based on Gibson's grave illness, and that it was no longer in the public interest to maintain the prosecution against him on charges of resisting or obstructing an officer. The circuit court, Judge Patrick J. Fiedler presiding, granted the motion and dismissed Gibson's pending criminal charges and ordered his release from custody.

¶7 On December 17, 1998, the Department of Corrections issued an apprehension request that, among other things, directed Meriter to contact either the Dane County Sheriff or a probation agent, so that Gibson could be returned to custody after his release from the hospital. On January 14, Meriter contacted the sheriff to inform him of Gibson's proposed release date, pursuant to the apprehension request. When Gibson finally left the hospital on January 18, 1999, the sheriff did not act on the apprehension request and take him into custody, until several weeks after his release from Meriter.⁵

¶8 With respect to the correct payment methodology, both parties agree that Wis. Stat. § 302.38 controls this review, that Gibson was an indigent prisoner when he was admitted to the hospital, and that Meriter may recoup from Dane County at least some of the costs of Gibson's hospital care. The total hospital bill for Gibson's 34-day stay amounted to $187,569.37. In response to this bill, Dane County paid Meriter $4,463.26, based on the discharge rate established by the State's fiscal agent for the medical assistance program. This amount was for the three days of Gibson's treatment during which the County conceded that he was formally "held." By contrast, Meriter claims that under the terms of § 302.38(3), it is owed the amount payable for the entirety of Gibson's stay under the Medical Assistance provisions of Wis. Stat. ch. 49, subch. IV.

¶9 Meriter bases its reimbursement expectations on a calculation method known as the Diagnostic Related Group (DRG) rate, determined by the Wisconsin Department of Health and Family Services. Under this methodology, providers are paid a set fee based on the diagnosis of the individual patient. That set fee can be increased when actual costs exceed a certain threshold. As noted, the actual costs for Gibson's treatment were $187,569.37, which brings this matter past the applicable threshold. Based on the DRG amount, before allowing the increase caused by exceeding the threshold, the payments due for Gibson's treatment would be $74,847.92.

¶10 Meriter filed a complaint against the County to compel increased compensation for Gibson's bill for his treatment. Both sides filed motions for summary judgment. The circuit court granted partial summary judgment to Meriter on the issue of payment methodology, ruling that Meriter was entitled to receive payment at the DRG rate under Wis. Stat. ch. 49, subch. IV. The rest of Meriter's motion for summary judgment was denied. A trial was held on April 18, 2002, and the circuit court ruled that "the County [was] liable to Meriter for Gibson's hospital costs only up to the time the pending charges were dismissed and the parole hold dropped." The court also held that the apprehension request did not alter Gibson's status. The circuit court determined that Gibson would be "held" for only the purposes of Wis. Stat. § 302.38 if the sheriff took him into custody.

¶11 The Court of Appeals, District IV, in an opinion by Judge Charles P. Dykman, affirmed, holding that the County was not liable for Gibson's treatment costs which were incurred after the parole hold was dropped and the charges against him were dismissed, since he was no longer "held" under Wis. Stat. § 302.38. The court also determined that Gibson was not "otherwise detained" under Wis. Stat. § 301.01, and that an apprehension request did not affect his status once the charges pending against him were dropped. Finally, the court of appeals decided that the County must pay Meriter according to the DRG rate, rather than the discharge rate, but prorated that amount to include only the three days in which Gibson received care. The County appealed the DRG payment issue, but we denied review. Accordingly, we decline to address it further.

II

¶12 We first address whether Wis. Stat. § 302.38 requires the County to pay for the medical and hospital bills of an indigent prisoner, if he or she is no longer "held under the state criminal laws." Wis. Stat. § 302.38(2). The interpretation of a statute presents a question of law, which we review de novo. State v. Williams, 198 Wis. 2d 516, 525, 544 N.W.2d 406 (1996). Although we consider this question independent of the decisions of the circuit court and the court of appeals, we nevertheless benefit from their analyses. Meyer v. Sch. Dist. of Colby, 226 Wis. 2d 704, 708, 595 N.W.2d 339 (1999).

¶13 When interpreting a statute, the primary objective "is to determine what the statute means so that it may be given its full, proper, and intended effect." State ex rel. Kalal v. Circuit Court, 2004 WI 58, ¶44, 271 Wis. 2d 633, 681 N.W.2d 110. Knowing this, the court's analysis should begin with the plain language of the statutory text. Id., ¶45. If the language of the statute is clear on its face, the court should apply the statute using the common and generally accepted meanings of the terms. Fox v. Catholic Knights Ins. Soc., 2003 WI 87, ¶19, 263 Wis. 2d 207, 665 N.W.2d 181. With an unambiguous statute, the court need not consult extrinsic sources of interpretation. Kalal, 271 Wis. 2d 633, ¶46; Bruno v. Milwaukee County, 2003 WI 28, ¶7, 260 Wis. 2d 633, 660 N.W.2d 656.

¶14...