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LOUISIANA DEPT. OF HEALTH v. CENTER FOR MEDICARE

No. 02-60834.

346 F.3d 571 (2003)

LOUISIANA DEPARTMENT OF HEALTH AND HOSPITALS, Petitioner, v. CENTER FOR MEDICARE AND MEDICAID SERVICES; Thomas A. Scully, in his official capacity as Administrator of the Centers for Medicare and Medicaid Services; United States Department of Health and Human Services; Tommy G. Thompson, in his official capacity as Secretary of the U.S. Department of Health and Human Services, Respondents.

United States Court of Appeals, Fifth Circuit.

September 22, 2003.

Attorney(s) appearing for the Case

Caroline Montrose Brown (argued), Maura Ann Dalton, Charles A. Miller, Covington & Burling, Washington, DC, for Petitioner.

Carole Faith Kagan (argued), U.S. Dept. of Health & Human Services, Washington, DC, James R. Farris, U.S. Dept. of Health & Human Services, Office of Gen. Counsel, Region VI, Dallas, TX, for Respondents.

Jack Mark Stolier (argued), James Peter Kovata, Sullivan, Stolier & Resor, New Orleans, LA, for Rural Hosp. Coalition Inc., Amicus Curiae.

Before WIENER, CLEMENT, and PRADO, Circuit Judges.

EDITH BROWN CLEMENT, Circuit Judge:

This appeal arises following the determination, by the Administrator of the Center for Medicare and Medicaid Services, that Rural Health Clinics in Louisiana do not furnish "hospital services", and hence are not eligible for certain reimbursements. Because we find that interpretation to be unreasonable, we REVERSE.

I. FACTS AND PROCEEDINGS

A. Statutory and regulatory background

(1) The Medicaid...

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