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 JURY rules against OHCA in lawsuit BARBARA HOBEROCK World Capitol Bureau
A $34.4 million judgment is awarded to a group of mental health providers. OKLAHOMA CITY -- A federal JURY has awarded a $34.4 million judgment against one former and two current Oklahoma Health Care Authority officials for violating the free speech rights of a group of mental health providers. The small, rural providers alleged that the state's Medicaid agency retaliated when they sought information and began asking funding and policy questions at the state Capitol. The providers received about half the Medicaid funding that others providing the same services received, said Steve Holden, a Tulsa attorney representing the plaintiffs. Nico Gomez, Health Care Authority spokesman, said because a final order has not been issued, "it would be premature to discuss the specifics of this ongoing case and the agency reaction at this time." "We have been involved in legal proceedings with these behavioral health providers because OHCA did not abandon its responsibilities to recipients and taxpayers," Gomez said. "The agency maintains its employees performed their duties legally and responsibly. We continue to prove our case and defend the state of Oklahoma through appropriate legal proceedings." Thursday's award was levied against Health Care Authority Director Mike Fogarty, Terrie Fritz, behavioral health services director, and Dana Brown, former government relations director. Fogarty declined to comment. The suit was filed in February 2001 and took five days to try, Holden said. The $34.4 million includes nearly $1.4 million in punitive damages. The plaintiffs are asking the court to issue an injunction preventing the Health Care Authority from undertaking similar action in the future. They are also seeking attorneys fees of up to an estimated $500,000, Holden said. "Today, let the word go out across Oklahoma and all of America a blow has been struck for the little guy," Holden said at a news conference Friday. "Corrupt backroom politics have been shown the exit sign in Oklahoma." The plaintiffs alleged that Fogarty called the father-in-law of one of the operators and asked him to silence his son-in-law. Fogarty also threatened to have the man's nursing home investigated for fraud, Holden said. The six corporate plaintiffs, two of whom went out of business, alleged their clients were impacted because they were paid $18 million less than other private providers. The corporate plaintiffs still in business include Southeastern Oklahoma Family Services, operating in Madill, Hugo and Durant; Rustling Winds, operating in McAlester, Poteau and Wilburton; Morning Star Mental Health Services, operating in Henryetta; and Diversified Family Services, operating in Elk City. Those that went out of business were Serenity Springs Mental Health Services, which operated out of Pryor, and JCH Inc., which operated out of Atoka. There were also nine individual plaintiffs. Nancy Graves-Thrift of Rustling Winds said three of her clients who were impacted were seriously abused children. "They had to have our help to survive day to day," she said. "When they can't get those services, they decompensate and their world gets worse." "These kids' doctor indicated what was needed to deal with the trauma of the child abuse," Holden said. "The OHCA cut it by 50 percent." A Tulsa attorney representing the plaintiffs, said the JURY was shown that discrimination was taking place because providers spoke out on behalf of the mentally ill. "We think we showed the JURY a very ugly side of politics. Now we have sent a message saying that type of politics will not be tolerated." Holden said it was the largest award for a civil case in the U.S. District Court for the Western District and the largest seen in Oklahoma in a First Amendment case. Leroy Wheeler of Serenity Springs Mental Health Services said his business went under as a result of the actions by the Health Care Authority employees. Wheeler said he thought more about what this verdict would do for the clients than the monetary award. "You can't do these little abused children this way." Holden said the funds to pay the judgment will come from the three and an insurance company. The award is likely to be appealed. Barbara Hoberock (405) 528-2465 |
