Planned Parenthood of Greater Wash. v. U.S. Dep't of Health & Human Servs.
Planned Parenthood of Greater Wash. v. U.S. Dep't of Health & Human Servs.
Opinion of the Court
BEFORE THE COURT are Plaintiffs' Motion for Preliminary or Permanent Injunction and Summary Judgment (ECF No. 16); Defendants' Cross-Motion to Dismiss or, in the alternative, for Summary Judgment and Opposition to Plaintiffs' Motions for Preliminary Injunction and Summary Judgment (ECF Nos. 19; 20); and Unopposed Motion for Leave to Appear and File Brief as Amici Curiae in Support of Plaintiffs by Members of Congress (ECF No. 26). These matters were submitted for consideration without oral argument. The Court has reviewed the record and files herein, and is fully informed. For the reasons discussed below, Plaintiffs' Motion for Preliminary or Permanent Injunction and Summary Judgment (ECF No. 16) is DENIED ; Defendants' Cross-Motion to Dismiss or, in the alternative, for Summary Judgment and Opposition to Plaintiffs' Motions for Preliminary Injunction and Summary Judgment (ECF Nos. 19; 20) is GRANTED ; and Unopposed Motion for Leave to Appear and File Brief as Amici Curiae in Support of Plaintiffs by Members of Congress (ECF No. 26) is DENIED as moot .
BACKGROUND
On June 21, 2018, Plaintiffs Planned Parenthood of Greater Washington and North Idaho, Planned Parenthood of the Great Northwest and Hawaiian Islands, and Planned Parenthood of the Heartland (collectively "Planned Parenthood") filed this Complaint against Defendants United States Department of Health and Human Services ("HHS"); the Secretary of HHS, Alex Michael Azar II; and the Assistant Secretary for Health at HHS, Valerie Huber. ECF No. 1. Plaintiffs seek to enjoin Defendants from allocating funding under the 2018 Funding Opportunity Announcements ("FOAs") associated with the Teen Pregnancy Prevention Program ("TPP Program"). Id.
In the instant motion, Plaintiffs move to enjoin HHS from using the 2018 FOAs to select grantees and award funding. ECF No. 16 at 9. Defendants oppose Plaintiffs' Motion and request the Court dismiss Plaintiffs' claims or grant Defendants summary judgment. ECF No. 19 at 9.
FACTS
Unless otherwise indicated, the following facts are primarily drawn from Plaintiffs' Complaint and documents appended to the instant motion, and are accepted as true *979for the purposes of the motion to dismiss. The TPP was created by Congress for the 2010 fiscal year ("FY"). ECF No. 1 at ¶ 2. The appropriations languages states: "$110,000,000 shall be for making competitive contracts and grants to public and private entities to fund medically accurate and age appropriate programs that reduce teen pregnancy and for the Federal costs associated with administering and evaluating such contracts and grants...." ECF Nos. 1 at ¶ 28-30; 16-2 at 180, 235 (Ex. 2); Consolidated Appropriations Act of 2010, Pub. L. No. 111-117,
Congress directed that "$4,455,000 shall be available to carry out evaluations ... of teenage pregnancy prevention approaches." ECF No. 1 at ¶ 32;
In April 2010, HHS, through OAH, issued two FOAs soliciting applications for Tier 1 and Tier 2 five-year grants. Id. at ¶ 37. The Tier 1 grant projects were designed to replicate programs that had demonstrated positive impact on key sexual behavior outcomes. Id. at ¶ 37. The Tier 2 grant programs were designed to develop and rigorously test new and innovative approaches to prevent teen pregnancy. Id. OAH funded 102 grantees through competitively awarded grants as part of the April 2010 FOAs. Id. at ¶ 43. Between FY 2010 and 2014, the projects reached more than half a million young people in 39 states and in the District of Columbia, trained a combined 6,100 facilitators, and created 3,800 community partnerships. Id. Plaintiffs allege that the number of evaluations with positive impacts exceeded the norm for large-scale evaluation efforts in other fields. Id. at ¶ 44. During the 2010 to 2015 grant cycle, teen pregnancy rates declined and many, including HHS, cited the TPP Program as contributing to this trend. Id. at ¶ 46.
In January 2015, HHS, through OAH, issued new FOAs for a second cohort of five-year grants. Id. at ¶ 47. A final award decision for the 2015 FOAs was made by the OAH Director. ECF No. 1 at ¶ 51. In July 2015, HHS awarded 81 new five-year TPP Program grants. Id. at ¶ 52. In May 2017, President Trump's proposed budget for FY 2018 called for eliminating the TPP Program and sought a $277 million investment in extending abstinence-only education. Id. at ¶ 57. On June 5, 2017, Valerie Huber was appointed as Chief of Staff for the Office of the Assistant Secretary of Health ("OASH"). Id. at ¶ 58. Ms. Huber is now the Senior Policy Adviser at OASH. Id.
In July 2017, HHS terminated all 81 TPP Program grants. ECF No. 1 at ¶ 63. In February 2018, nine of the grantees, including Plaintiffs, filed suit in four district courts to challenge the termination of their TPP Program grants. Id. The courts, including this Court, granted relief in favor of the grants and ordered HHS to process those grantees' applications for continued TPP Program funding. Id. Appeals are pending.
On March 23, 2018, Congress fully funded the TPP Program for FY 2018, directing that "$101,000,000 shall be for making competitive contracts and grants to public and private entities to fund medically accurate and age appropriate programs that reduce teen pregnancy and for the Federal *980costs associated with administering and evaluating such contracts and grants...." ECF No. 1 at ¶ 64; Consolidated Appropriations Act of 2018, Pub. L. No. 115-141,
Plaintiffs allege that Defendants seek to repurpose the TPP Program to fund abstinence-only content rather than evidence-based programs through the FOAs. Id. at ¶ 67. Plaintiffs assert that the 2018 Tier 1 FOA does not require applicants to replicate programs that have been proven effective through rigorous evaluation. Id. at ¶ 70. It deletes the definition of "Evidence-Based Teen Pregnancy Prevention Programs." Id. It eliminates all references to HHS's evidence review and the list of evidence-based programs culled from nearly a decade of analysis and evaluation, even though HHS released a new installment of the evidence review the same week as Defendants issued the FOAs. Id. The phrase "evidence-based" appears nowhere in that FOA, and the words "proven" and "rigorous evaluation" only appear when describing evaluations that will occur after funding. Id.
The 2018 Tier 1 FOA declares that it will "fund the evaluation of replication strategies that focus on protective factors shown to prevent teen pregnancy, improve adolescent health, and address youth sexual risk holistically." ECF Nos. 1 at ¶ 71; 16-2 at 23 (Ex. 2). It instructs prospective grantees to replicate "a risk avoidance approach or a risk reduction approach" that incorporates the common characteristics of either the "Center for Relationship Education's Systematic Method for Assessing Risk-Avoidance Tool (SMARTool)" or the "Tool to Assess the Characteristics of Effective Sex and STD/HIV Education Programs" ("TAC"). ECF Nos. 1 at ¶ 71; 16-2 at 18. "Sexual Risk Avoidance" is defined as "the natural approach for an emphasis on sexual delay." ECF Nos. 1 at ¶ 72; 16-2 at 21. "Sexual Risk Reduction" is "the natural approach for an emphasis on cessation support." ECF Nos. 1 at ¶ 72; 16-2 at 21. "Sexual risk" means "engaging in any behavior that increases one's risk for any of the unintended consequences of sexual activity, including, but not limited to pregnancy." ECF Nos. 1 at ¶ 72; 16-2 at 21-22.
Plaintiffs argue that SMARTool and TAC have not been evaluated as a program or incorporate any of the findings of the evidence review or the TPP Program. ECF No. 1 at ¶¶ 74-75. Plaintiffs emphasize that TAC could not incorporate any of the findings given that it was created two years before the TPP Program. Id. at ¶ 75. The 2018 Tier 1 FOA and guidance issued by OAH make clear that prospective grantees " 'have the freedom to choose any curriculum without regard to whether it has been proven effective, proven ineffective, or ever rigorously evaluated at all.' " Id. at ¶ 76 (emphasis in original). It does not require "replication" of the selected curriculum. Id. at ¶ 77.
Plaintiffs insist that the substance of the 2018 Tier 1 FOA is nearly indistinguishable from the 2018 Tier 2 FOA, which instructs applicants to choose a curriculum so long as it "implement[s] protective factors and/or either elements from the SMARTool or the Tool to Assess the Characteristics of Effective Sex and STD/HIV Education Programs." ECF Nos. 1 at ¶ 78; 16-2 at 113.
Plaintiffs state that the 2018 Tier 1 FOA also incorporate several changes to the scoring metric for grant applicants. ECF No. 1 at ¶ 79. It added a new application criterion worth a quarter of the available points for "Realistic, Practical, and Meaningful Application of Project Expectations and Priorities." ECF Nos. 1 at *981¶ 80; 16-2 at 65. This criterion rewards "clearly communicating that teen sex is a risk," integrate "optimal health into every component of the project," and provide "cessation support" for those who are already sexually active "to make healthier and risk-free choices in the future." ECF Nos. 1 at ¶ 80; 16-2 at 65-66.
The FOAs also allow the grantee to determine what is or is not "age appropriate" as they are meant to conduct their own review of all materials to ensure they are age appropriate. ECF No. 1 at ¶ 84. Plaintiffs emphasize that the 2010 and 2015 FOAs relied upon scientifically determined cognitive and social development of young people at various ages. ECF No. 1 at ¶ 84. The 2018 Tier 1 FOA also changed the definition of "Medical Accuracy," where the information is no longer required to be "[v]erified or supported by the weight of research conducted in compliance with accepted scientific methods." ECF Nos. 1 at ¶ 85; 16 at 43. The 2018 Tier 2 FOA does away with the definition of the term entirely. ECF No. 1 at ¶ 85. Contrary to the previous two FOAs, final award decisions will be made by the Director of OAH "in consultation with the Assistant Secretary of Health." ECF Nos. 1 at ¶ 87; 16-2 at 69. Once issued, award decisions are final and may not be appealed. ECF Nos. 1 at ¶ 87; 16-2 at 69.
Plaintiffs assert that they considered applying for grants under the 2018 FOAs because they were unsure if they would receive continued funding under their TPP Program grants as Defendants would not commit before July 1, 2018. ECF No. 1 at ¶ 93. Plaintiffs argue that the new 2018 FOAs put them at such a disadvantage for 2018 TPP Program funding that they cannot compete. Id. at ¶ 94. Thus, Plaintiffs have not submitted 2018 TPP Program applications. Id. at ¶ 99.
DISCUSSION
I. Defendants' Motion to Dismiss
A motion to dismiss under Federal Rule of Civil Procedure 12(b)(1) addresses the court's subject matter jurisdiction. Fed. R. Civ. P. 12(b)(1). A Rule 12(b)(1) motion may be either facial, where the court's inquiry is limited to the allegations in the complaint; or factual, where the court may look beyond the complaint to consider extrinsic evidence. Safe Air for Everyone v. Meyer ,
Federal Rule of Civil Procedure 12(b)(6) provides that a defendant may move to dismiss the complaint for "failure to state a claim upon which relief can be granted." Fed. R. of Civ. P. 12(b)(6). To survive dismissal, a plaintiff must allege "sufficient factual matter, accepted as true, to 'state a claim to relief that is plausible on its face.' " Ashcroft v. Iqbal ,
A. Standing
As an initial matter, the Court addresses whether Plaintiffs have standing to assert their claims. To satisfy Article III's standing requirements, the plaintiff must show the follow three elements: (1) the "plaintiff must have suffered an injury in fact-an invasion of a legally protected interest which is (a) concrete and particularized and (b) actual or imminent, not conjectural or hypothetical;" (2) there must be a "causal connection between the injury and the conduct complained of-the injury has to be 'fairly traceable' to the challenged action of the defendant, and not the result of the independent action of some third party not before the court;" and (3) "it must be likely, as opposed to speculative, that the injury will be redressed by a favorable decision." Lujan v. Defenders of Wildlife ,
A plaintiff must have "a personal stake in the outcome, distinct from a generally available grievance about government." Gill v. Whitford , --- U.S. ----,
1. Injury in Fact
Defendants argue that Plaintiffs cannot meet their standing burden because they have not suffered an injury in fact. ECF No. 19 at 20. Plaintiffs allege that they are harmed because the 2018 FOAs put Plaintiffs at a competitive disadvantage. ECF No. 1 at ¶¶ 94-99. Defendants emphasize that Plaintiffs chose not to compete for grants under those FOAs. ECF No. 19 at 20. Defendants argue that in the context of bid protests to government contract solicitations, only "an actual or prospective bidder" with "a direct economic interest ... has standing to challenge a contract award." ECF No. 19 at 20; see Orion Tech., Inc. v. United States ,
Plaintiffs assert that when agency conduct renders a competitor unable to fairly compete, that competitor has suffered a sufficient injury in fact. ECF No. 29 at 9; City of Los Angeles v. Sessions ,
*983Plaintiffs distinguish Orion Tech and Cohn by arguing that these are post-award bid protests, which means that the complaints were filed after the bid proposals were due. ECF No. 29 at 9. Plaintiffs here filed the Complaint before the application deadline for the 2018 FOAs, making the more appropriate analogy to cases where a complaint is filed before the bid proposal due date.
Defendants emphasize that Plaintiffs fail to address the second requirement in the context of bid protests, which is "a direct economic interest." ECF No. 34 at 10; Orion Tech. ,
The Court considers the parties' analogy to a bid protest. In Orion , only an "interested party" has standing.
In Cohn , the District of Arizona determined that the plaintiff lacked standing after he brought suit following the sale of his defaulted property. Cohn ,
In CGI Federal Inc. , the plaintiff was a prospective bidder with standing because it "promptly initiated and diligently pressed its protest" prior to the closing of the bid and thereafter diligently pursued its rights, filing for relief in court.
In Geo-Med, LLC , the plaintiff was a prospective bidder who protested twice and filed suit prior to the close of the solicitation period.
This Court finds that the post-award bid cases, Orion and Cohn , are less applicable than the prospective bidder standing found in CGI Federal Inc. and Geo-Med, LLC. Plaintiffs here are more akin to a prospective bidder who promptly initiated a protest by filing a Complaint in this Court prior to the closing of the grant process.
The situation here is most comparable to competitor standing. In City of Los Angeles , Los Angeles challenged a federal grant program that allocated bonus points if the city certified that it cooperated with federal immigration authorities.
The Ninth Circuit has recognized the doctrine of "competitor standing," which is "grounded in the basic law of economics that increased competition leads to actual injury." Int'l Bhd. of Teamsters v. U.S. Dep't of Transportation ,
Plaintiffs assert that the allegedly unlawful changes made by HHS in the 2018 FOAs put them at such a disadvantage for funding that they cannot compete. ECF No. 1 at ¶ 94. Plaintiffs explain that 2018 FOAs' largest amount of points are reserved for applicants proposing sexual risk avoidance, or abstinence-only programming, *985even if that programming is not evidence-based. Id. at ¶ 95. Plaintiffs state that their evidence-based, sexual risk reduction programming contradicts the abstinence-only messaging favored by the FOA such that they cannot incorporate it and maintain their respective programs' fidelity. Id. Plaintiffs argue that they are then automatically ineligible for one-quarter of the available points. Id. The new point system also reduces the number of points allocated according to an applicant's demonstration of the need of its target population or community from 20 to 15 points, depressing Plaintiffs' ability to compete by carefully identifying those young people most in need of their service areas and designing proposals tailored to those target populations. Id. at ¶ 96.
Plaintiffs assert that they are committed to implementing evidence-based and age-appropriate sexual and reproductive health programming that is consistent with their mission to provide complete and stigma-free education to young people in their communities. Id. at ¶ 97. Plaintiffs note that they provide abstinence education, but contend that their commitment to evidence-based and age-appropriate programming prevents them from promoting abstinence-only education. Id. Plaintiffs insist that none of Plaintiffs' programming can be made to be abstinence-only. Id.
The 2018 Tier 1 FOA's purpose is:
to replicate and scale up programs that include the protective factors shown to be effective in the prevention of risk behaviors, including teen pregnancy. The overall goal is to promote healthy adolescence and to address youth sexual risk holistically or across the interrelated factors that promote optimal health and result in healthy decision-making and teen pregnancy prevention.
ECF No. 16-2 at 11 (Ex. 1). All eligible applicants will be assessed according to the demonstrated need of the community and populations served for 15 points. Id. at 64. The program receives 20 points for its technical approach, 15 points for capacity and partnerships, 10 points for project management and experience, 10 points for performance measures and evaluation plan, and 5 points for reasonableness of budget. Id. at 64.
25 points are allotted to the realistic, practical, and meaningful application of project expectations and priorities. Id. This section requires the replication of one of the two effective programs, SMARTools or TAC. Id. at 65. It also requires "[w]eaving the goal of optimal health into every component of the project." Id. The program must clearly communicate that teen sex is a risk behavior for pregnancy and sexually transmitted infections, as well as sociological, economic, and other related risks. Id. The program must provide skills to avoid sexual risk and provide cessation support, which means provide "affirming and practical skills for those engaged in sexual risk to make healthier and risk-free choices in the future." Id. at 66, 22.
The purpose of the 2018 Tier 2 Program "is to develop and test new and innovative strategies to prevent teen pregnancy, promote healthy adolescence and address youth sexual risk holistically to result in healthy decision making and future thriving by enhancing protective factors...." Id. at 107 (Ex. 2). Applications are allotted 25 points for background and need; 30 points for project approach and alignment to expectations and priorities; 20 points for capacity, experience, and partnership; 10 points for project management; 10 points for performance measures and evaluation plan; and 5 points for reasonableness of budget. Id. at 155. Tier 2 also deems sexual risk avoidance and cessation support as priorities. Id. at 115.
*986The Court is not persuaded that the factors in the 2018 FOAs create an unequal footing for Plaintiffs to compete for the grant funding. See City of Los Angeles ,
2. Redressability
Even if Plaintiffs establish an injury in fact, the Court finds that Plaintiffs are unable to show redressability. Defendants insist that Plaintiffs lack standing because success on their claim would not redress their purported injury. ECF No. 19 at 21. Defendants contend that voiding the 2018 FOAs and enjoining HHS from disbursing funds pursuant to the FOAs would only prevent successful applicants from receiving funds and would not result in the receipt of any funds by non-applicants like Plaintiffs.
Plaintiffs respond that vacatur of the 2018 FOAs would not force Defendants to leave their appropriation unspent as they have numerous options for obligating the remaining funds. ECF No. 29 at 10. Plaintiffs suggest that once Defendants fully fund the 2015-2020 grantees with this year's appropriations, only a small fraction of the appropriation will remain.
Plaintiffs also argue that vacatur would alleviate their competitive injury caused by the immediate "increase" of competition and attendant burdens of competing on the 2018 FOAs' unlawful terms. ECF No. 29 at 10; Sherley ,
Defendants assert that Plaintiffs' failure to request affirmative relief is fatal to their showing of redressability. ECF No. 34 at 12. In regards to Plaintiffs' suggestion that HHS could fully fund the 2015-2020 grantees and use the remaining funds to grant carryover requests, Defendants insist that this "creative accounting" ignores that Plaintiffs have never sought to compel HHS to do so.
Defendants reject Plaintiffs' argument that vacatur would alleviate the competitive injury because the injury would only be redressed by HHS issuing TPP Program FOAs without the features Plaintiffs challenge as unfavorable to them.
In City of Houston , the court dismissed Houston's claim as moot because the grant funds were contractually obligated to another recipient and the appropriation had lapsed.
Here, Plaintiffs request that this Court enjoin HHS from awarding or disbursing any funds pursuant to the 2018 FOAs. ECF No. 1 at 38. Yet, a court may only enjoin a disbursement of funds pending a dispute's resolution. See City of Houston ,
The equity exception allows courts "to take action to preserve the status quo of a dispute and protect their ability to decide a case properly before them." City of Houston ,
In Natural Law Party , the court determined that the plaintiffs had standing to challenge their exclusion from presidential debates by the Federal Election Commission ("FEC") even though the election had passed.
Here, Plaintiffs request that the Court find the 2018 FOAs contrary to law and enjoin HHS from using the 2018 FOAs to review applications for TPP Program grant funding. ECF No. 1 at 38-39. As discussed above, the Court finds that enjoining HHS from being able to disperse its funds during FY 2018 would be an overreach of this Court's power. The Court declines to order HHS to fully fund the 2015-2020 grantees when this relief was not specifically requested in Plaintiffs' Complaint, but is a mere suggestion on how HHS may alternatively spend its appropriations. The Court is also not persuaded that Natural Law is applicable to the situation at hand. Finding the new FOA requirements contrary to law and forcing HHS to re-examine its criteria is insufficient to address Plaintiffs' alleged competitive injury. Even assuming that Plaintiffs have a specific injury, this injury would not be redressed by Defendants reconsidering the 2018 FOA requirements when the Court has already deemed it inappropriate to enjoin HHS under the equitable exception. Plaintiffs fail to establish that their alleged injury is capable of redressability when they merely request that the Court find the FOAs contrary to law and enjoin HHS from reviewing applications and awarding funds under the FOA requirements. See ECF No. 1 at 38-39. The Court declines to unnecessarily extend the judicial power beyond its appropriate reach to enjoin Congress from allocating and spending money when Plaintiffs do not have a concrete injury capable of being redressed by a favorable decision.
The Court then need not address the parties' remaining arguments on the merits as Plaintiffs do not have standing to bring this suit. The Court denies as moot the Unopposed Motion for Leave to Appear and File Brief as Amici Curiae in Support of Plaintiffs by Members of Congress. ECF No. 26. The Court also notes that it does not consider the disputed Kantor Declaration (ECF No. 31), and thus Plaintiffs' Motion for Leave to File Sur-Reply is denied as moot. ECF No. 40.
II. Leave to Amend
Under Rule 15(a) of the Federal Rules of Civil Procedure, leave to amend a party's pleading "should [be] freely give[n] ... when justice so requires," because the purpose of the rule is "to facilitate decision on the merits, rather than on the pleadings or technicalities."
*989Novak v. United States ,
After fully considering Plaintiffs' Complaint, the Court finds that Plaintiffs cannot prevail and it would be futile to give them an opportunity to amend. Plaintiffs do not have standing to assert their claims and there are no set of facts Plaintiffs could allege to overcome their lack of standing. Plaintiffs' pleading then cannot possibly be cured by other facts and the Court dismisses their claims with prejudice.
ACCORDINGLY, IT IS HEREBY ORDERED:
1. Plaintiffs' Motion for Preliminary or Permanent Injunction and Summary Judgment (ECF No. 16) is DENIED .
2. Defendants' Cross-Motion to Dismiss or, in the alternative, for Summary Judgment and Opposition to Plaintiffs' Motions for Preliminary Injunction and Summary Judgment (ECF Nos. 19; 20) is GRANTED .
3. Unopposed Motion for Leave to Appear and File Brief as Amici Curiae in Support of Plaintiffs by Members of Congress (ECF No. 26) is DENIED as moot .
4. Plaintiffs' Motion for Leave to File Sur-Reply (ECF No. 40) is DENIED as moot .
5. The claims asserted in Plaintiffs' Complaint (ECF No. 1) are DISMISSED without leave to amend .
The District Court Executive is directed to enter this Order, enter JUDGMENT for Defendants, furnish copies to the parties, and CLOSE the file.
Reference
- Full Case Name
- PLANNED PARENTHOOD OF GREATER WASHINGTON AND NORTH IDAHO Planned Parenthood of the Great Northwest and the Hawaiian Islands and Planned Parenthood of the Heartland v. U.S. DEPARTMENT OF HEALTH AND HUMAN SERVICES Alex Michael Azar II in his official capacity as Secretary of the U.S. Department of Health and Human Services and Valerie Huber in her official capacity as Senior Policy Advisor for the Office of the Assistant Secretary for Health at the Department of Health and Human Services
- Cited By
- 1 case
- Status
- Published