DISCLAIMER: The following unofficial case summaries are prepared by the clerk's office
as a courtesy to the reader. They are not part of the opinion of the court.
183403P.pdf 04/14/2020 Lee Birchansky v. Gerd Clabaugh
U.S. Court of Appeals Case No: 18-3403
U.S. District Court for the Southern District of Iowa - Des Moines
[PUBLISHED] [[Erickson, Author, with Colloton and Shepherd, Circuit
Judges]
Civil case - Constitutional law. In action alleging Iowa's Certificate of
Need Requirement for new or changed outpatient surgery centers and its
capital expenditure exemptions violated plaintiffs' Fourteenth Amendment
rights, the district court did not err in dismissing plaintiffs'
Privileges and Immunities Clause claim for failure to state a claim as the
claim is foreclosed by the Slaughter-Houses cases, 83 U.S. 36 (1872); this
court would apply the "rational basis" standard of review and not the
"strict scrutiny" standard of review to the challenged Certificate of Need
regime and capital expenditures exemption; the court has previously held
that insulating existing entities from new competition in order to promote
quality services and protect infrastructure investment can survive
rational review - see Kansas City Taxi Cab Drivers Ass'n, 742 F.3d 807,
809 (8th Cir. 2013); the court holds Iowa's Certificate of Need
requirement is rationally related to a legitimate state interest in
full-service hospital viability; Iowa's decision to exempt competitors who
are non-hospital Certificate of Need holders is rationally related to the
same interest, and the district court's order granting defendants summary
judgment is affirmed.