CHILDREN'S HOSP. ASSOCIATION OF TEXAS v. AZAR

No. 18-5135.

933 F.3d 764 (2019)

CHILDREN'S HOSPITAL ASSOCIATION OF TEXAS, et al., Appellees v. Alex Michael AZAR, II, in his official capacity, Secretary, Department of Health and Human Services, et al., Appellants.

United States Court of Appeals, District of Columbia Circuit.

Decided August 13, 2019.


Attorney(s) appearing for the Case

Tara S. Morrissey , Attorney, United States Department of Justice, argued the cause for the appellants. Mark B. Stern and Samantha L. Chaifetz , Attorneys, Robert P. Charrow , General Counsel, United States Department of Health & Human Services, Janice L. Hoffman , Associate General Counsel, Susan M. Lyons , Deputy Associate General Counsel, and David L. Hoskins , Attorney, were with her on brief.

David B. Salmons , Washington, DC, argued the cause for the appellees. Geraldine E. Edens , Michael E. Kenneally , Washington, DC, and Susan Feigin Harris were with him on brief. Christopher H. Marraro , Washington, DC, entered an appearance.

Daniel G. Jarcho and Michael H. Park , Washington, DC, were on brief for the amicus curiae Children's Hospital Association in support of the appellees and in support of affirmance.

Before: Henderson and Rogers, Circuit Judges, and Sentelle, Senior Circuit Judge.


Under the Medicaid Act (Act), the federal government provides each state funds for distribution to hospitals that serve a disproportionate number of low-income patients. See 42 U.S.C. § 1396-1. A state distributes the funds through Disproportionate Share Hospital (DSH) payments. See id....

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