Stowell v. Rollin Ives

Related Cases

USCA1 Opinion









September 28, 1992




_________________________

No. 92-1342

CHRISTINE STOWELL, ETC., ET AL.,
Plaintiffs, Appellants,

v.

H. ROLLIN IVES, ETC.,
Defendant, Appellee.

_________________________

APPEAL FROM THE UNITED STATES DISTRICT COURT

FOR THE DISTRICT OF MAINE

[Hon. Gene Carter, U.S. District Judge]
___________________

________________________

Before

Selya, Cyr and Stahl, Circuit Judges.
______________
_________________________

James R. Crotteau, with whom Pine Tree Legal Assistance,
__________________ ____________________________
Inc. was on brief, for appellants.
____
J. Paterson Rae and Hugh Calkins on joint brief for Robert
_______________ ____________
Avanzato, Michelle Turcotte, Maine Civil Liberties Union, and
Maine Chapter of the National Organization for Women, amici
curiae (in support of the appeal).
Christopher C. Leighton, Deputy Attorney General, State of
_______________________
Maine, with whom Michael E. Carpenter, Attorney General, and
_____________________
Thomas D. Warren, Deputy Attorney General, were on brief, for
_________________
appellee.
Richard A. Olderman, Attorney, Appellate Staff, Civil
______________________
Division, U.S. Dept. of Justice, with whom Stuart M. Gerson,
_________________
Assistant Attorney General, Barbara C. Biddle, Attorney,
____________________
Appellate Staff, and Richard S. Cohen, United States Attorney,
_________________
were on brief, for the United States, amicus curiae (in support
of the judgment below).

_________________________



_________________________














SELYA, Circuit Judge. Once the wheat is shaken from
SELYA, Circuit Judge.
_____________

the chaff, this apparently complex appeal can be resolved by

deciding a threshold question (albeit one that has not previously

been confronted by the courts of appeals). Consequently, we

affirm the district court's entry of judgment for the defendant

on the basis that a recipient of benefits under the Aid to

Families with Dependent Children program (AFDC), 42 U.S.C.

601-615 (1988 & Supp. I 1989), cannot bring an action pursuant to

42 U.S.C. 1983 (1988) to enforce the terms of 42 U.S.C.

1396a(c)(1) (1988).

I. BACKGROUND
I. BACKGROUND

Since this matter turns on a discrete question of

redressability, our burden of exegesis is considerably reduced.

We content ourselves, therefore, with sketching the contours of

the preliminary inquiry, forgoing detailed exposition of the

facts and substantive issues.

We start with section 1396a(c)(1), a statute enacted on

July 1, 1988 as part of the Medicare Catastrophic Coverage Act.

The statute reads in pertinent part:

[T]he Secretary [of the United States
Department of Health and Human Services]
shall not approve any State plan for medical
assistance if
(1) the State has in effect [AFDC]
payment levels that are less than the payment
levels in effect under such plan on May 1,
1988.

42 U.S.C. 1396a(c)(1).

On February 21, 1992, Christine Stowell brought suit

for declaratory and injunctive relief in Maine's federal district

2














court. She invoked 42 U.S.C. 1983, named a Maine state

official as a defendant,1 and claimed that Maine had violated

section 1396a(c)(1). The claim rested on the premise that

economy measures implemented by the Maine legislature had gone

too far, resulting in a de facto reduction of AFDC payment levels
__ _____

below those in effect on May 1, 1988. The State contested

Stowell's standing to sue and, moreover, asserted that payment

levels had been increased rather than decreased.2 On Stowell's

motion, the trial court certified a plaintiff class which it

described as follows:

All families in the State of Maine who would
be eligible for AFDC benefits and/or
supplemental payments under 42 U.S.C.
602(a)(28) under the AFDC payment levels in
effect in Maine on May 1, 1988 and who would
receive a smaller total AFDC plus
supplemental 602(a)(28) payment under the
AFDC payment levels proposed to be effective
March 1, 1992 than they would have received
under the May 1, 1988 payment levels.

Stowell v. Ives, 788 F. Supp. 40, 40 n.1 (D. Me. 1992).
_______ ____

In time, the case was submitted to the district court

____________________

1Stowell sued H. Rollin Ives, in his capacity as
Commissioner of the Maine Department of Human Services. Since
Maine is the real party in interest, we will sometimes refer to
Ives as "the State." Stowell also sued a federal official, the
Secretary of the Department of Health and Human Services
("Secretary"). However, she dropped the Secretary from the case
prior to the entry of judgment below. Thus, although the
Secretary filed an amicus brief and argued before us in support
of the judgment, he is not a party to this appeal.

2The parties' differing views as to the practical effect of
Maine's regulations stem from their differing interpretations of
the term "payment levels." See Stowell v. Ives, 788 F. Supp. 40,
___ _______ ____
41-42 (D. Me. 1992). Because we do not reach the merits, we
express no opinion on the proper resolution of this interpretive
conundrum.

3














on a stipulated record. The court ruled that the amended

complaint failed to state a cause of action cognizable under

section 1983. Id. at 44. This appeal ensued.
___

II. DISCUSSION
II. DISCUSSION

Section 1983 provides a federal cause of action for

"the deprivation of any rights, privileges, or immunities secured

by the Constitution and [federal] laws." 42 U.S.C. 1983.3 A

prospective plaintiff may bring suit under section 1983 not only

for a state actor's violation of his or her constitutional rights

but also to enforce federal statutory law in the face of

infringing state officialdom. See Maine v. Thiboutot, 448 U.S.
___ _____ _________

1, 4-8 (1980).

Nevertheless, not every violation of federal law gives

rise to a section 1983 claim. See Golden State Transit Corp. v.
___ __________________________

Los Angeles, 493 U.S. 103, 106 (1989). Exceptions include
____________

situations where "Congress has foreclosed such enforcement . . .

in the enactment itself" or where "the statute [does] not create

enforceable rights, privileges, or immunities within the meaning

of 1983." Suter v. Artist M., 112 S. Ct. 1360, 1366 (1992)
_____ __________

(quoting Wright v. Roanoke Redevelopment & Housing Auth., 479
______ _______________________________________

U.S. 418, 423 (1987)); accord Wilder v. Virginia Hosp. Ass'n, 496
______ ______ ____________________

U.S. 498, 508 (1990). Because 42 U.S.C. 1396a(c)(1) does not

expressly outlaw section 1983 actions, the first of these

exceptions is inapposite here. Accordingly, we focus the lens of


____________________

3For ease in reference, we will henceforth use "rights" as a
shorthand abbreviation for "rights, privileges, or immunities."

4














our perlustration on the second exception, bent on determining to

what extent (if at all) section 1396a(c)(1) creates any

enforceable rights.




A.
A.
__

Prior to 1992, cases such as Wilder v. Virginia Hosp.
______ _______________

Ass'n, 479 U.S. 418 (1990), Pennhurst State School & Hosp. v.
_____ _______________________________

Halderman, 451 U.S. 1 (1981), and Rosado v. Wyman, 397 U.S. 397
_________ ______ _____

(1970), guided judicial inquiry into whether a federal law did,

or did not, create a right falling within the ambit of section

1983. Under that framework, a court's first duty was to satisfy

itself that "the [statutory] provision in question was intend[ed]

to benefit the putative plaintiff." Wilder, 496 U.S. at 509
______

(citations and internal quotation marks omitted). If no such

benefit could be gleaned, the court's inquiry ended. If,

however, the court perceived an intended benefit, then it was

bound to find that the provision created an enforceable right

unless one of two conditions obtained: either (1) the statute,

fairly read, "reflect[ed] merely a congressional preference for a

certain kind of conduct rather than a binding obligation on the

governmental unit," or (2) the interest asserted by the putative

plaintiff was so "vague and amorphous" that enforcement would be

"beyond the competence of the judiciary. . . ." Id. (citations
___

and internal quotation marks omitted). Accord Playboy Enters.,
______ ________________

Inc. v. Public Serv. Comm'n, 906 F.2d 25, 32 (1st Cir.), cert.
____ ____________________ _____

denied, 111 S. Ct. 388 (1990).
______


5














During the last term, the old regime fell on hard

times. The Court decided Suter, 112 S. Ct. 1360, a case which
_____

shed new light on this fuliginous area of the law. Although some

respected jurists believe that Suter effected a sea change in the
_____

Court's approach to section 1983, e.g., id. at 1371 (Blackmun,
____ ___

J., dissenting) ("In my view, the [rationale of the Suter
_____

majority] is plainly inconsistent with this Court's decision just

two years ago in Wilder . . . ."), we think it is much too early
______

to post epitaphs for Wilder and its kin. For one thing, Suter
______ _____

offered no analytic framework to replace the structure erected in

the Court's previous decisions. For another thing, the Suter
_____

Court, while weakening earlier precedents in certain important

respects, was careful not explicitly to overrule them. Indeed,

the majority relied on those precedents as pertinent authority.

See, e.g., Suter, 112 S. Ct. at 1366-68 (citing, inter alia,
___ ____ _____ _____ ____

Wilder, Pennhurst, and Wright). Because we believe that it is
______ _________ ______

both prudent and possible to synthesize the teachings of Suter
_____

with the Court's prior precedents, we examine appellants' claims

under the Wilder framework as reconfigured by the neoteric
______

principles announced in Suter.
_____

B.
B.
__

AFDC and Medicaid, 42 U.S.C. 1396-1396u (1988 &

Supp. I 1989), as amended by Acts of Nov. 5, 1990 and Dec. 19,
__ _______ __

1989, 42 U.S.C.S. 1396-1396u (Law. Co-op. Supp. 1992), the

programs at issue here, are part of the Social Security Act.

Both endeavors represent examples of cooperative federal-state


6














social service programs which, though federally funded in whole

or in part, are administered by the States. See Alexander v.
___ _________

Choate, 469 U.S. 287, 289 n.1 (1985) (Medicaid); Doucette v.
______ ________

Ives, 947 F.2d 21, 23 (1st Cir. 1991) (AFDC). "Although
____

participation in [such programs] is voluntary, participating

States must comply with certain requirements imposed by the

[federal statutes] and regulations promulgated by the Secretary

of Health and Human Services." Wilder, 496 U.S. at 502; see also
______ ___ ____

King v. Smith, 392 U.S. 309, 316 (1968).
____ _____

To be sure, "the Supreme Court has implicitly and

explicitly held that rights under various provisions of the

Social Security Act are enforceable under section 1983." Lynch
_____

v. Dukakis, 719 F.2d 504, 510 (1st Cir. 1983). But that
_______

generality, without more, does not boost the appellants' stock.

Suter reminded us that each provision of the Social Security Act
_____

"must be interpreted by its own terms." Suter, 112 S. Ct. at
_____

1367 n.8. In performing this tamisage, the abecedarian principle

is that statutory interpretation always starts with the language

of the statute itself. Pennsylvania Dep't of Pub. Welfare v.
___________________________________

Davenport, 495 U.S. 552, 557-58 (1990); Consumer Prod. Safety
_________ ______________________

Comm'n v. GTE Sylvania, Inc., 447 U.S. 102, 108 (1980). A court
______ __________________

should "assum[e] that the ordinary meaning of [the statutory]

language accurately expresses the legislative purpose," see
___

Morales v. Trans World Airlines, Inc., 112 S. Ct. 2031, 2036
_______ ____________________________

(1992), and should "resort to the legislative history and other

aids of statutory construction only when the literal words of the


7














statute create ambiguity or lead to an unreasonable result."

United States v. Charles George Trucking Co., 823 F.2d 685, 688
_____________ ____________________________

(1st Cir. 1987) (citation and internal quotation marks omitted);

accord Barnhill v. Johnson, 112 S. Ct. 1386, 1391 (1992); Toibb
______ ________ _______ _____

v. Radloff, 111 S. Ct. 2197, 2200 (1991).
_______

We discern no ambiguity here. In order to establish

the existence of a right redressable under section 1983, a

plaintiff must allege that a particular statute (or federal

constitutional provision) imposes an obligation upon the State.

See Wilder, 498 U.S. at 509-10; Pennhurst, 451 U.S. at 19;
___ ______ _________

Playboy Enters., 906 F.2d at 32. This statute imposes none.
________________

Rather, it simply and forthrightly provides, in haec verba, that
____ _____

"the Secretary shall not approve any State plan for medical

assistance" if the State has reduced AFDC payment levels below

the level prevailing on May 1, 1988. 42 U.S.C. 1396a(c)(1).

By its express terms, section 1396a(c)(1) obliges the federal

government, in the person of the Secretary of Health and Human

Services not the State to take action. The statute could

scarcely be clearer.

Moreover, there is nothing unreasonable about

Congress's choosing to work its will in this way. States are not

obligated by federal law to sponsor medical assistance plans or

to accept federal funds for this purpose. See 42 U.S.C. 1396
___

(1988); see also Wilder, 496 U.S. at 502. Thus, section
___ ____ ______

1396a(c)(1), without mentioning state officials at all,

effectively gives them a choice: they may either maintain AFDC


8














benefits at or above the May 1, 1988 payment levels, or they may

reduce benefits. If they choose the former course and we

emphasize, at this juncture, that Maine adamantly insists that it

has maintained (or increased) AFDC payment levels the State's

medical assistance plan retains eligibility for continued federal

funding. If state officials choose the latter course, however,

continued federal funding will be jeopardized. In that event, it

becomes the Secretary's task, in due season, to implement

Congress's directive by withholding approval of the State's

medical assistance plan. The State's role under the statute is

purely procedural.

Phrased another way, section 1396a(c)(1) provides

incentives not commands to the States. That Congress would

name a federal intermediary (the Secretary) to implement these

federally created incentives is not surprising. The potential

reasons for such a delegation are multifarious. They include the

advantage of uniform interpretation, the yen to develop and

harness administrative expertise in the area, and the

desirability of maintaining an agent capable of face-to-face

discussions with state officials. Structuring the statute in

this fashion may neither suit plaintiffs' preference nor advance

their litigating position but there is nothing unreasonable,

absurd, or irrational about the model.

In a nutshell, then, a straightforward reading of the

statutory text ends this case. In Suter, the Court held that an
_____

intended recipient of programmatic benefits could not sue under


9














section 1983 if the federal statute merely required that the

State submit a plan to a federal agency satisfying certain

criteria, because such a "requirement only goes so far as to

ensure that the State have a plan approved by the Secretary which

contains [the listed criteria]." Suter, 112 S. Ct. at 1367.4
_____

Thus, Suter instructs that, when a provision in a statute fails
_____

to impose a direct obligation on the States, instead placing the

onus of compliance with the statute's substantive provisions on

the federal government, no cause of action cognizable under

section 1983 can flourish. Compare Clifton v. Schafer, ___ F.2d
_______ _______ _______

___, ___ (7th Cir. 1992) [1992 WL 164048 at *6-*7] (adopting

substantially identical view of Wilder/Suter interface in
______ _____

delineating scope of AFDC recipient's right to sue under section

1983 in order to enforce provisions of 42 U.S.C. 602(a)(4)

(1988)). So it is here.

C.
C.
__

Our holding today finds additional support in a line of

cases dealing with a closely related issue: implied private

rights of action. We are cognizant that the tests utilized in

ascertaining whether a section 1983 cause of action exists and

those utilized in determining the propriety of an implied right

of action are "analytically distinct." See Playboy Enters, 906
___ ______________


____________________

4In order to facilitate comparison with the statutory
provision before us today, we note that 42 U.S.C. 671(a), the
statute which was before the Suter Court, read as follows: "In
_____
order for a State to be eligible for payments under this part, it
shall have a plan approved by the Secretary which" satisfies
certain criteria.

10














F.2d at 31. However, these two legal theories bear a family

resemblance. See Victorian v. Miller, 813 F.2d 718, 720 n.3 (5th
___ _________ ______

Cir. 1987) ("Section 1983 . . . allows private parties to enforce

federal laws against a special class of defendants state and

municipal actors in much the same way that implied rights of

action permit private enforcement of federal statutory

obligations against any party, public or private."); Samuels v.
_______

District of Columbia, 770 F.2d 184, 194 (D.C. Cir. 1985)
______________________

(similar); Polchowski v. Gorris, 714 F.2d 749, 751 (7th Cir.
__________ ______

1983) (stating that the inquiry concerning a putative cause of

action under section 1983 "resembles the analysis used to

determine whether a private cause of action may be implied from

an enactment of Congress"); see also Wilder, 496 U.S. at 526
___ ____ ______

(Rehnquist, C.J., dissenting) (remarking on the "significant area

of overlap" between the two theories).5

In the context of implied rights of action, the Supreme

Court has held that "there 'would be far less reason to infer a

private remedy in favor of individual persons' where Congress,

rather than drafting the legislation 'with an unmistakable focus

on the benefitted class,' instead has framed the statute simply

____________________

5The major difference between the two doctrines concerns the
way in which Congress's intent must be manifested. There is a
presumption against implied rights of action a presumption that
will endure unless the plaintiff proffers adequate evidence of a
contrary congressional intent. The presumption works exactly the
other way in the section 1983 milieu; it is assumed that Congress
meant to allow such suits an assumption which persists unless
the defendant musters adequate evidence of Congress's prohibitory
intent. See Victorian, 813 F.2d at 721; Samuels, 770 F.2d at
___ _________ _______
194; Boatowners & Tenants Ass'n, Inc. v. Port of Seattle, 716
__________________________________ ________________
F.2d 669, 674 (9th Cir. 1983).

11














as a . . . command to a federal agency." Universities Research
_____________________

Ass'n, Inc. v. Coutu, 450 U.S. 754, 772 (1981) (quoting Cannon v.
___________ _____ ______

University of Chicago, 441 U.S. 677, 690-92 (1979)). The Seventh
_____________________

Circuit has transposed this reasoning to section 1983 claims.

See Polchowski, 714 F.2d at 751. We think the soil is hospitable
___ __________

to such transplantation. A statute does not create rights

redressable under section 1983 when it is essentially

administrative in nature and imposes an obligation exclusively

upon federal officials, not upon state actors.

D.
__

Though their craft is irreparably holed, appellants

struggle gamely to stay afloat. We briefly address their more

buoyant authorities. First and foremost, appellants cling

tenaciously to a footnoted example of the Suter Court. See
_____ ___

Suter, 112 S. Ct. at 1369 n.12. But, had appellants looked
_____

closely, they would have discerned that, from their standpoint,

footnote 12 is more a hungry shark than a life raft.

In this respect, appellants' argument hinges on their

attempt to analogize section 1396a(c)(1) to 42 U.S.C. 672(e)

a statute identified by the Court as the sort of statutory

provision that would support a section 1983 action. Suter, 112
_____

S. Ct. at 1369 n.12. In point of fact, section 1396a(c)(1) is

identical, in relevant respects, not to section 672(e) but to

section 671(a)(15) the statutory provision that the Suter
_____

Court, in footnote 12, was contrasting with section 672(e). The
___________

Court deemed it noteworthy that section 671(a)(15) requires


12














"submission of a plan to be approved by the Secretary" while

section 672(e) provides that "[n]o Federal payment may be made"

unless certain conditions are met. Id. In other words, the
___

Suter Court distinguished between cases in which, on the one
_____

hand, a statutory provision is, in effect, a communication to a

specific federal official whose approval is required prior to

disbursement of federal funds (section 671(a)(15)), and cases in

which, on the other hand, a statutory provision is, in effect, a

communication from Congress to those States that elect to apply

for earmarked funds (section 672(e)). Provisions of the former

sort such as those at issue here and in Suter will not
_____

support a section 1983 action.

The other authorities cited by appellants to buttress

their contention that a right enforceable under section 1983 is

inherent in section 1396a(c)(1) are equally inapposite. Without

exception, those cases concern statutes that pin hard-and-fast

obligations on the States. In Wilder, for example, the Court
______

concluded that the Boren Amendment, 42 U.S.C. 1396a(a)(13)(A),

could support the maintenance of a section 1983 action. But, as

the Wilder Court found, the Boren Amendment requires States
______

participating in the Medicaid program to devise reimbursement

rates vis-a-vis health-care providers which "the State finds are

reasonable and adequate" to meet the cost which must be incurred

by efficiently and economically operated facilities. Wilder, 496
______






13














U.S. at 512 (quoting previous version of 42 U.S.C.

1396a(a)(13)(A)).6 Similarly, in Rosado, the Court dealt with a
______

statutory provision that mandated the States to reevaluate their

need equations and adjust levels of need accordingly. See
___

Rosado, 397 U.S. at 412. As we have explained, no comparable
______

obligation is imposed on the States by section 1396a(c)(1).



III. CONCLUSION
III. CONCLUSION

We need go no further. Having pegged our analysis of

this case on the Wilder framework, visualized through the Suter
______ _____

prism, we conclude that, because the Secretary is the only

government official, federal or state, directly bound by the

requirements of section 1396a(c)(1), appellants cannot bring

their suit within the ambit of section 1983.



Affirmed.
Affirmed.
________

















____________________

6The earlier version, 42 U.S.C. 1396a(a)(13)(A) (1982 ed.,
Supp. V), mirrors the present version in all respects material to
the case at hand.

14