Jason Bring and Brian Stimson Quoted in Healthcare IT News Discussing What Loper Bright Decision Means for HHS

AGG Healthcare partners Jason Bring and Brian Stimson were featured in a Q&A published in Healthcare IT News on September 23, 2024, discussing the Supreme Court of the United States’ recent decision in Loper Bright Enterprises v. Raimondo that overturned the Chevron doctrine, dealing a blow to the power of federal agencies to interpret the law.

Jason and Brian stated that, while the ruling likely won’t impact the day-to-day operations of federal healthcare programs, it will prompt Congress to draft new legislation containing broad, clear, and express delegations of authority. Loper Bright may also affect HHS agency rulemaking.

“It is no longer sufficient for an agency to publish a rule setting forth an interpretation of a statute that is not arbitrary or capricious,” said Jason and Brian. “The agency must now show that its interpretation is the best one.”

Additionally, regulated entities will have more opportunities to challenge agency rules premised on aggressive interpretations of statutes.

However, Jason and Brian explained that the risk is that regulated entities may become less selective in the challenges they bring, and courts may reach the same outcomes under the canons of construction that they would have reached under Chevron.

While Jason and Brian noted that it is possible we will see more administrative law challenges to agency rules and policies, it is unclear whether an increase in challenges would translate into an increase in the win-loss ratio for regulated entities.

“Plus, administrative law challenges cost hundreds of thousands of dollars,” said Jason and Brian. “Considerations such as cost, venue, and case selection are all likely to bear on the number and outcome of challenges to agency rules.”

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