Northern Valley Indian Health v. Becerra

1 AHdoabmbs ,P S. tBraauilse,y D (eCaAn &B aWr Nalok.e 2r,7 L82L0P8 ) 1903 21st St., 3rd Floor Sacramento, CA 95811 Phone: (916) 442-9444 Fax: (916) 442-8344 Email: [email protected] Attorneys for Plaintiff PHILLIP A. TALBERT United States Attorney JOSEPH B. FRUEH Assistant United States Attorney 501 I Street, Suite 10-100 Sacramento, CA 95814 E-mail: [email protected] Telephone: (916) 554-2702 Facsimile: (916) 554-2900 Attorneys for Defendants

14 IN THE UNITED STATES DISTRICT COURT 15 EASTERN DISTRICT OF CALIFORNIA

17 NORTHERN VALLEY INDIAN HEALTH, No. 2:24-CV-02154-DJC-DMC INC., 18 JOINT STATUS REPORT, STIPULATION, Plaintiff, AND ORDER FOR STAYING CASE v. XAVIER BECERRA, in his official capacity as Secretary, U.S. Department of Health & Human Services, et al., Defendants.

1 JOINT STATUS REPORT, STIPULATION, AND ORDER 2 Pursuant to the Court’s Order (ECF 9) dated October 8, 2024, the parties provide this status report and stipulate, subject to Court approval, that this action be stayed while the Indian Health Service finalizes its methodology to value claims recently recognized by the Supreme Court in Becerra v. San Carlos Apache Tribe, 144 S. Ct. 1428 (June 6, 2024); and that the parties file a Joint Status Report on or before March 14, 2025. The reasons for this stipulation are as follows.

7 1. A court may stay proceedings as part of its inherent power “to control the disposition of the causes on its docket with economy of time and effort for itself, for counsel, and for litigants.”

9 Landis v. N. Am. Co., 299 U.S. 248, 254 (1936); see also, e.g., Clinton v. Jones, 520 U.S. 681, 706 (1997) (“The District Court has broad discretion to stay proceedings as an incident to its power to control its own docket.”).

12 2. This case involves claims for “contract support costs” associated with program income that a Tribal organization expends on health programs that it has contracted to operate under the Indian Self-Determination and Education Assistance Act (“ISDEAA”), 25 U.S.C. §§ 5301–5423. Plaintiff filed this action shortly after the Supreme Court recognized such claims as cognizable under the ISDEAA in Becerra v. San Carlos Apache Tribe, 144 S. Ct. 1428 (June 6, 2024).

17 3. Following the Supreme Court’s decision, the Indian Health Service convened meetings of a Contract Support Cost Advisory Group in July and August 2024. In those meetings, Tribal representatives and representatives of the Indian Health Service discussed possible methodologies for determining contract support costs following the Supreme Court’s decision. On September 10, 2024, the Indian Health Service initiated a national consultation seeking feedback from Tribes on the Agency’s proposals to calculate contract support costs related to expenditures of program income.1 23 4. The Indian Health Service’s national consultation with the Tribes concluded in mid- October 2024. Thereafter, the Contract Support Cost Advisory Group reconvened and finalized recommendations for the Director of the Indian Health Service. The Indian Health Service expects to See Letter from Indian Health Service to Tribal Leaders (Sept. 10, 2024), https://www.ihs.gov/ sites/newsroom/themes/responsive2017/display_objects/documents/2024_Letters/DTLL_091024.pdf.

1 finalize its methodology by the end of December 2024. Once a methodology is adopted, Defendants expect to be able to apply this methodology to Plaintiff’s claims and begin settlement discussions.

3 5. The parties propose filing a Joint Status Report on or before March 14, 2025.

5 Dated: December 13, 2024 HOBBS, STRAUS, DEAN & WALKER, LLP 6 By: /s/ Adam P. Bailey (authorized 12/13/2024) ADAM P. BAILEY Attorneys for Plaintiff Dated: December 13, 2024 PHILLIP A. TALBERT United States Attorney By: /s/ Joseph B. Frueh 11 JOSEPH B. FRUEH Assistant United States Attorney Attorneys for Defendants IT IS SO ORDERED.

17 Dated: December 13, 2024 /s/ Daniel J. Calabretta THE HONORABLE DANIEL J. CALABRETTA UNITED STATES DISTRICT JUDGE