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HUMANA OF SOUTH CAROLINA, INC. v. CALIFANO

Nos. 76-1953, 76-2125.

590 F.2d 1070 (1978)

HUMANA OF SOUTH CAROLINA, INC., doing business as Coleman-Aimar Hospital, a Corporation, Appellee, v. Joseph A. CALIFANO, Jr., Secretary of Health, Education and Welfare, Appellant. HUMANA OF SOUTH CAROLINA, INC., doing business as Coleman-Aimar Hospital, Appellant, v. Joseph A. CALIFANO, Jr., Secretary of Health, Education and Welfare, Appellee.

United States Court of Appeals, District of Columbia Circuit.

Decided September 18, 1978.

Rehearing Denied December 29, 1978.

Attorney(s) appearing for the Case

Alfred G. Lowe, James C. Pyles, Attys., Dept. of Health, Ed. and Welfare, Baltimore, Md., with whom Rex E. Lee and Barbara Allen Babcock, Asst. U. S. Attys. Gen., Earl J. Silbert, U. S. Atty., and John A. Terry, Asst. U. S. Atty., Washington, D. C., were on the brief, for appellant in No. 76-1953 and appellee in No. 76-2125. Joseph Guerrieri, Asst. U. S. Atty., and Morton Hollander, Atty., Dept. of Justice, Washington, D. C., entered appearances for appellant in No. 76-1953 and appellee in No. 76-2125.

John M. Bray, Washington, D. C., with whom Joseph E. Casson and Marc L. Fleischaker, Washington, D. C., were on the brief, for appellee in No. 76-2125 and appellant in No. 76-1953.

Before ROBINSON, ROBB and WILKEY, Circuit Judges.

Opinion for the Court filed by Circuit Judge SPOTTSWOOD W. ROBINSON, III.

SPOTTSWOOD W. ROBINSON, III, Circuit Judge:

Humana of South Carolina, Inc., a proprietary hospital, asserts procedural, statutory and constitutional challenges to a regulation promulgated by the Secretary of Health, Education and Welfare limiting the rate of return on equity capital recoverable as a cost item by providers of services under the Medicare Act.1

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