Julio Cesar Cabrera, as Personal Representative of the Estate of Yisell Cabrera Rodriguez v. State of Florida, Agency for Health Care Administration
CourtDistrict Court of Appeal of Florida
Date FiledMarch 26, 2021
Docket1D18-0755
StatusPublished
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Full Opinion
FIRST DISTRICT COURT OF APPEAL
STATE OF FLORIDA
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No. 1D18-755
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JULIO CESAR CABRERA, as
Personal Representative of the
Estate of Yisell Cabrera
Rodriguez, deceased,
Appellant,
v.
STATE OF FLORIDA, AGENCY FOR
HEALTH CARE ADMINISTRATION,
Appellee.
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On appeal from an order of the Division of Administrative
Hearings.
Cathy M. Sellers, Judge.
March 26, 2021
B.L. THOMAS, J.
Appellant challenges the dismissal of his petition filed under
section 409.910(17)(b), Florida Statutes. We affirm.
Appellant is the father and duly appointed personal
representative of the estate of Yisell Cabrera Rodriquez, the
deceased. Appellee is the Agency for Health Care Administration,
which is the state agency charged with administering the Florida
Medicaid program, pursuant to chapter 409, Florida Statutes.
On October 30, 2015, Yisell Cabrera Rodriquez was a
passenger in a car that had been rebuilt without passenger side
airbags. As a result, Yisell suffered severe injuries when the car
was struck by another car, and she tragically died the day after the
accident. Yisell’s injury-related medical care was paid by Florida’s
Medicaid program, which totaled $86,491. The Agency asserted a
medical lien for this amount pursuant to section 409.910(6)(c)(1),
Florida Statutes.
Appellant filed a wrongful death action against the drivers
and the companies involved in rebuilding and selling the car
without the passenger side airbags. All of the insurers tendered
their respective policy limits, and the total amount of third-party
benefits received was $140,000. Appellant entered into settlement
agreements for the total amount of third-party benefits on July 14,
2017.
The Agency asserted it was owed $51,838.61 in a lien
repayment amount after applying the statutory formula under
section 409.910(11)(f), Florida Statutes, from the $140,000 that
Appellant received in total third-party benefits. Appellant
challenged this lien amount, asserting that the method in
Arkansas Department of Health and Human Services v. Ahlborn,
547 U.S. 268 (2006), should be applied. Under this analysis, only
$4,039.17 in past medical expenses would be payable to the
Agency. The Agency disagreed and contended that the opportunity
to rebut the medical expense allocation under section
409.910(17)(b) was not available where the Medicaid recipient died
before third-party benefits were recovered through settlement or
other means.
The administrative law judge dismissed Appellant’s petition,
ruling that the opportunity to challenge the amount of medical
expenses under section 409.910(11)(f) was limited to
circumstances where the recipient is living at the time the
Agency’s right to recover third-party benefits vests, and that
Florida caselaw held that where the recipient dies before a
settlement of an action in tort for third-party benefits is reached,
the federal anti-lien statute does not operate to preempt or negate
the applicability of section 409.910(11)(f). Thus, the formula in
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section 409.910(11)(f) applied and entitled the Agency to recoup
$51,838 from its total of $86,491 expended.
Appellant filed a timely notice of appeal and an “Unopposed
Motion to Stay Proceedings” pending this Court’s final resolution
of Al Batha v. Agency for Health Care Administration, 263 So. 3d
817 (Fla. 1st DCA 2019). This Court granted the motion. The
decision in Al Batha was issued on January 14, 2019, and this
appeal follows.
Analysis
We review administrative legal conclusions de novo. Al Batha,
263 So. 3d at 819. Findings of fact must be supported by competent,
substantial evidence. See § 120.68(10), Fla. Stat. (2019).
The Agency’s right to reimbursement from third-party
benefits vests when the settlement for third-party benefits is
executed. See Eady v. State, 279 So. 3d 1249, 1250 n.1 (Fla. 1st
DCA 2019) (citing Suarez v. Port Charlotte HMA, LLC, 171 So. 3d
740 (Fla. 2d DCA 2015)). Because the settlement here was not
reached until July 14, 2017, the Agency had no right to recovery
until that time. See Suarez, 171 So. 3d at 742. Accordingly, the
administrative law judge did not err by applying the 2017 version
of the statute.
This Court previously determined in Delgado v. Agency for
Health Care Administration, 237 So. 3d 432 (Fla. 1st DCA 2018)
and Al Batha that a deceased Medicaid recipient’s personal
representative could qualify as a “recipient” under section
409.901(19), Florida Statutes, and could file a petition to challenge
the Agency’s lien. Al Batha, 263 So. 3d at 819. In 2017, however,
the Legislature amended the statute concerning the process for
Medicaid recipients to contest the amount of the Agency’s
Medicaid lien, to provide:
If federal law limits the agency to reimbursement
from the recovered medical expense damages, a recipient,
or his or her legal representative, may contest the
amount designated as recovered medical expense
damages payable to the agency pursuant to the formula
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specified in paragraph (11)(f) by filing a petition under
chapter 120 . . . .
§ 409.910(17)(b), Fla. Stat. (2017) (emphasis added).
While nothing in section 409.910(17)(b) expressly prohibits a
deceased Medicaid recipient or her personal representative from
challenging the amount payable to the Agency, the statute
unambiguously states that a recipient may challenge the amount
payable “[i]f federal law limits the agency to reimbursement from
the recovered medical expense damages.” Federal law did not limit
the Agency to reimbursement in the present case.
Medicaid is a joint federal-state cooperative program, and
participating states must comply with certain statutory
requirements. Eady, 279 So. 3d at 1254–55 (citing Giraldo v.
Agency for Health Care Admin., 248 So. 3d 53 (Fla. 2018)). Among
those requirements are the anti-lien provision (42 U.S.C.
§ 1396p(a)), the anti-recovery provision (42 U.S.C. § 1396p(b)), and
the forced-assignment provisions (42 U.S.C. §1396k) of the Federal
Medicaid Act. As detailed below, none of these limits the Agency’s
reimbursement for purposes of section 409.910(17)(b) when a
Medicaid recipient is deceased.
The federal anti-lien provision states, “[n]o lien may be
imposed against the property of any individual prior to his death
on account of medical assistance paid or to be paid on his behalf
under the State plan . . . .” 42 U.S.C. § 1396(p)(a)(1) (2017). Thus,
by its express terms, the Medicaid Act’s anti-lien provision applies
only to living Medicaid recipients. Estate of Hernandez v. Agency
for Health Care Admin., 190 So. 3d 139, 143–46 (Fla. 3d DCA 2016)
(citing Austin v. Capital City Bank, 353 P.3d 469 (Kan. Ct. App.
2015)).
Appellant argues the administrative law judge erred by
reviewing only the anti-lien provision and not discussing the
applicability of the federal anti-recovery and forced-assignment
provisions. Although the final order did not discuss these
provisions, we affirm because neither the federal anti-recovery
provision nor the forced-assignment provision allows Appellant to
contest the amount designated as recovered medical damages
under section 409.910(17)(b), Florida Statutes. See Robertson v.
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State, 829 So. 2d 901, 906 (Fla. 2002) (holding the “tipsy coachman”
doctrine allows an appellate court to affirm a trial court that
reaches the right result, but for the wrong reasons, so long as there
is any basis which would support the judgment in the record).
While the anti-recovery and forced-assignment provisions do not
reference the death of the Medicaid recipient, neither of these
provisions limit the Agency’s recovery.
Unlike the anti-lien provision, which prohibits a state from
seeking reimbursement from the non-medical expense portion of a
recipient’s recovery during that recipient’s lifetime, the anti-
recovery statute prohibits “adjustment or recovery of any medical
assistance correctly paid on behalf of an individual under the State
plan,” except in certain circumstances not relevant here. 42 U.S.C.
§ 1396p(b); Goheagan v. Perkins, 197 So. 3d 112, 116 (Fla. 4th DCA
2016). However, the third-party liability provision (42 U.S.C. §
1396a(a)(25)) and the assignment provision (42 U.S.C. § 1396k(a))
are exceptions to the anti-lien and anti-recovery provision. See
Ahlborn, 547 U.S. at 284; see Tristani ex rel. Karnes v. Richman,
652 F.3d 360, 374 (3d Cir. 2011) (“[T]he only way to harmonize the
conflicting language of the anti-lien and anti-recovery provisions
with the later-enacted reimbursement and forced assignment
provisions is to conclude that the anti-lien and anti-recovery
provisions do not apply to medical costs recoverable from liable
third parties.”) (emphasis added). Thus, the anti-recovery
provision does not apply to limit the State’s recovery of medical
costs from liable third parties. See Tristani, 652 F.3d at 374.
Additionally, the forced-assignment provision does not apply.
The federal forced-assignment provision mandates that a State
require its Medicaid recipients—as a condition of receiving
benefits—to assign their rights to any third-party payments for
medical care. See 42 U.S.C. § 1396k(a) (“[A] State plan for medical
assistance shall--(1) provide that, as a condition of eligibility for
medical assistance under the State plan to an individual . . . , the
individual is required--(A) to assign the State any rights . . . to
payment for medical care from any third party;”). It operates to aid
“in the collection of medical support payments and other payments
for medical care owed to recipients of medical assistance under the
State plan . . . .” 42 U.S.C. §1396k(a); see Wos v. E.M.A. ex rel.
Johnson, 568 U.S. 627 (2013). The forced-assignment provision
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also “ensure[s] that Medicaid beneficiaries [do] not receive a
windfall by recovering medical costs they did not pay . . . .” See
Tristani, 652 F.3dat 375. It does not apply here to limit the
Agency’s reimbursement.
Nothing in the federal anti-lien, anti-recovery, or forced-
assignment provisions apply to limit the Agency’s reimbursement
or allow Appellant to challenge the amount of medical expenses
allocated under the formula in the present case. To hold otherwise
would contradict statutory provisions and clear legislative intent:
“it is the intent of the Legislature that Medicaid be repaid in full
and prior to any other person, program, or entity. Medicaid is to be
repaid in full from, and to the extent of, any third-party benefits,
regardless of whether a recipient is made whole or other creditors
paid.” § 409.910(1), Fla. Stat. (2017).
AFFIRMED.
LEWIS and NORDBY, JJ., concur.
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Not final until disposition of any timely and
authorized motion under Fla. R. App. P. 9.330 or
9.331.
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Floyd B. Faglie of Staunton & Faglie, PL, Monticello, for Appellant.
Alexander R. Boler of Boler Legal, PLLC, Tallahassee, for
Appellee.
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