Oregon Ass'n of Homes for the Aging, Inc. v. Oregon ex rel. Department of Human Resources

The state of Oregon appeals the district court’s partial summary judgment in favor of Medicaid Nursing Homes in the nursing homes’ 42 U.S.C. § 1983 action challenging the state’s reclassification of nursing services into rate categories receiving lower reimbursement under the state’s Medicaid plan (No. 91-36075). The state also asks that this court vacate the district court’s award of attorney’s fees to the nursing homes in the event that the panel reverses the district court’s summary judgment (No. 91-36371).

Because the district court determined expressly that there was no cause for delay and directed entry of its partial summary judgment pursuant to Fed.R.Civ.P. 54(b), we have jurisdiction over the state’s timely appeal pursuant to 28 U.S.C. § 1291 . Baker v. Limber, 647 F.2d 912, 916 (9th Cir.1981). We review de novo, Kruso v. International Tel. & Tel. Corp, 872 F.2d 1416 , 1421 (9th Cir.1989), cert. denied, 496 U.S. 937 , 110 S.Ct. 3217 , 110 L.Ed.2d 664 (1990), and we affirm.

I

Under the state’s Medicaid plan, nursing homes are reimbursed for services- according to the level of care provided. The plan and administrative regulations define five levels of care: Level 1…