New England Health Care Employees Union v. Rowland
| Decision Date | 13 September 2002 |
| Docket Number | No. Civ.A. 3-01-CV-464 J.,Civ.A. 3-01-CV-464 J. |
| Citation | 221 F.Supp.2d 297 |
| Court | U.S. District Court — District of Connecticut |
| Parties | NEW ENGLAND HEALTH CARE, EMPLOYEES UNION, DISTRICT 1199, SEIU/AFL — CIO, Plaintiff, v. Honorable John G. ROWLAND, Governor of State of Connecticut, individually and in his official capacity, et al., Defendants. |
John M. Creane, Michael E. Pssero, Law Offices of John M. Creane, Milford, CT, for Plaintiff.
Gary S. Starr, Sheila Huddleston, Brian Clemow, Gabriel Joseph Jiran, Shipman & Goodwin, Hartford, CT, James K. Robertson, Jr., Carmody & Torrance, Waterbury, CT, for Defendants.
TRIAL DECISION
In this action, the plaintiff, New England Health Care Employees Union, District 1199, SEIU/AFL — CIO ("District 1199"), seeks declaratory judgment and damages allegedly arising from the conduct of the defendants, the Honorable John G. Rowland ("Governor Rowland"), individually and in his official capacity as Governor of the State of Connecticut ("the State"), and Patricia Wilson-Coker, in her official capacity as Commissioner of the Department of Social Services, (collectively "defendants"), in connection with strikes by members of District 1199. District 1199 alleges that the defendants' use of state power in connection with an ongoing labor dispute between itself and Connecticut nursing homes in 2001 interfered with its members' rights protected by the National Labor Relations Act ("NLRA"). District 1199 further alleges that Governor Rowland violated its members' First Amendment rights. The action is brought pursuant to 42 U.S.C. § 1983.
The focus of District 1199's complaint is the State's payment of anticipatory subsidies to nursing homes for strike-related expenses under the umbrella of the Medicaid program. The State acknowledges that it funded nursing homes, according to the Medicaid portion of its strike-related expenses and before any cash outlay by the nursing home, but contends that its actions fell within its discretion to administer the State Medicaid program in order to safeguard the health and safety of nursing-home residents. The essence of the dispute is whether the Medicaid subsidies conflict with the rights of District 1199's members under the NLRA; the scope of the State's discretion, if any, to administer its Medicaid program; and whether the State acted within its discretion by providing anticipatory Medicaid subsidies to nursing homes.
Although in opposition in this case, the parties before the court stand unified in the often uncelebrated task of caring for frail, elderly members of our society. The State struggles to satisfy its legal and moral obligations to indigent nursing-home residents, while, every day, members of District 1199 work tirelessly to fulfill their exhausting and difficult duties. Accordingly, although this case focuses primarily on the legal complexities of NLRA preemption, the court in its decision does not mean to overlook the laudable efforts of all parties when those efforts are undertaken in service of the people of the State of Connecticut.
The State has currently licensed approximately 250 nursing homes, with 30,000 licensed nursing-home beds. District 1199 represents approximately 7000 union members who are employed at seventy-one nursing homes in Connecticut. Some members are employed as registered nurses, licensed practical nurses, nurses' aides, or housekeepers. Other members work in maintenance, laundry, clerical, or other positions.
Since 1999, the State has had a shortage of available nursing personnel, at all levels of certification and training, to work in nursing homes on a permanent or temporary basis. A job action involving several thousand replacement workers is beyond the capacity of the local private agencies, which number approximately two dozen and individually could only handle a demand in the range of 20-100 replacement personnel. The availability of staff from local agencies, during a strike, would be reduced further because local workers are often unwilling to cross picket lines.
During March and May 2001, District 1199 engaged in two job actions at forty nursing homes. Approximately seventy-six percent of the residents in the nursing homes affected by the strikes at issue in this case are covered by the federal Medicaid program.2 The percentage of residents receiving Medicaid at those nursing homes ranged from fifty-six to ninety-four percent at the time of the strikes in question. During the 2001 labor dispute, the State provided anticipatory subsidies, proportionate to a nursing home's Medicaid population, for the employer's strike-related expenses.
Nursing homes have the primary legal obligation to provide for the health and safety of their residents. Connecticut nursing homes are regulated by the State under the auspices of the Department of Public Health ("DPH"). DPH establishes and monitors the level of care and staffing required to maintain the safety, health, and welfare of nursing-home residents. DPH is responsible, under state statute, for assessing the care and services provided to nursing-home residents to determine whether nursing homes properly care for their residents' health, safety, and welfare.3
DPH inspects nursing homes to assess compliance with federal and state Medicaid and Medicare mandates on patient care and issues reports on those inspections. In addition, DPH determines whether a nursing home complies with laws and regulations for state licensure and federal certification. When nursing homes are not in compliance, DPH may issue letters ordering the nursing home to take immediate steps to remedy the non-compliance. DPH can also issue fines for noncompliance and can take steps to revoke or limit an operator's nursing-home license. If DPH determines that a nursing home has financial difficulties that affect its ability to care for its residents, the agency communicates that concern to the Department of Social Services ("DSS"), which handles fiscal issues related to nursing homes.
The State, through DSS, reimburses nursing homes for the cost of the food, shelter, and medical care of residents covered by Medicaid.4 The federal government reimburses the State for fifty percent of its allowable Medicaid costs. Approximately ten percent of the State's budget is spent on Medicaid for nursing homes.
DSS reimburses each Connecticut nursing home for care provided to Medicaid-eligible residents in accordance with the facility's "base rate." Each facility's "base rate" is determined by DSS periodically under a methodology that utilizes the historical costs of providing care at that particular nursing home. DSS establishes a facility's historical costs according to annual reports provided by the facility, which reports itemize all expenditures for the fiscal year ending on September 30.5 State law provides for calculation of each facility's base reimbursement rate once every two to four years.6 State law caps spending in many areas, which caps affect the provision in the law that allows reimbursement for reasonable costs mandated by collective bargaining agreements.7
DSS has had to advance monies from future Medicaid per diem payments to nursing homes having cash flow problems and without the resources to pay their bills, including payroll. These payments are based on the need to ensure that the care of residents is maintained at the levels required by both the federal and state governments. DSS has made such advance reimbursements under the "good cause" provision of the State's Medicaid Plan and Connecticut General Statutes § 17b-340.89
Before the 2001 job actions, nursing homes preparing for a strike had made alternative preparations for the care of residents: obtaining volunteers, hiring temporary replacement workers, or requiring supervisors to provide resident care. In some instances, nursing homes moved residents, stopped admitting new residents, or otherwise curtailed operations. During previous nursing-home strikes, the State has sent inspectors or monitors to the nursing homes to ensure that nursing-home operators continued to provide residents with adequate care during the strike. In addition, if a strike jeopardized the health and safety of nursing-home residents, the State, through the DPH Commissioner, could seek the appointment of a receiver, stop admissions, move nursing-home residents, or limit the license of a nursing home.10
To ensure the safety of nursing-home residents during a strike, Connecticut law requires that nursing homes submit strike contingency plans to DPH.11 The contingency plans include: the name and contact information for key personnel at the nursing home, including a liaison to the State for the duration of the strike; telephone numbers and other contact information for local emergency services, utility providers, and suppliers for medical services and supplies; descriptions of current residents, including census and diagnoses; details regarding staffing patterns expected during the strike and sources for replacement workers; security and transportation plans for residents, staff, and supplies; and other information necessary to ensure uninterrupted services. DPH does not require that nursing homes provide any financial data or sources of funding as part of the contingency plan. DPH has not shared the contingency plans with other agencies, but it has provided other agencies with summaries of the information in the nursing homes' plans.
DPH reviews the contingency plans to ensure compliance with minimum staffing requirements and other state and federal regulations. Also, DPH verifies the availability of sufficient staffing at listed sources for replacement workers. Although DPH does not interfere with a nursing home's choice of provider for replacement workers, the agency...
To continue reading
Request your trial
-
Metropolitan Milwaukee Ass'n v. Milwaukee County
...(refusing to question President's motive for issuing executive order affecting labor); New England Health Care Employees Union v. Rowland, 221 F.Supp.2d 297, 327 n. 39 (D.Conn.2002) (citing Colfax and stating that evidence of subjective motive is not relevant to market participant exception......
-
Estate of Morris ex rel. Morris v. Dapolito
...at 73; Kerman v. City of New York, 261 F.3d 229, 241-42 (2d Cir.2001); Connell, 153 F.3d at 79; New England Health Care, Employees Union v. Rowland, 221 F.Supp.2d 297, 343 (D.Conn.2002). Our analysis, therefore, incorporates that chilling element as well. For a discussion of different First......
-
Sommers v. Klug
...substations as may prove necessary to accomplish such purpose. Connecticut General Statutes § 29-7 applies only to state policemen. New England Health Care, Employees Union, District 1199, SEIU/AFL-CIO v. Rowland, 221 F.Supp.2d 297 (D.Conn. 2002); United States v. Markland, 635 F.2d 174 (2d......
-
Bartels v. the Inc. Vill. of Lloyd
...quite plainly shown no chilling of his First Amendment right to free speech.” Curley, 268 F.3d at 73; see also SEIU/AFL–CIO v. Rowland, 221 F.Supp.2d 297, 343 (D.Conn.2002) (“If the plaintiff continues to engage in the protected speech that allegedly motivated unconstitutional retaliation, ......