Document ID: ./input/supremecourt_opinions/opinions/boundvolumes/529bv.pdf
Page Number: 96

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Unit: $U32

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Cite as: 529 U. S. 1 (2000)

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Opinion of the Court

nation described in subsection (b)(2).”
(Emphasis added.)
And subsection (b)(2) authorizes the Secretary to terminate
an agreement, whenever she “has determined that the pro-
vider fails to comply substantially with” statutes, agree-
§ 1395cc(b)(2)(A) (emphasis added).
ments, or “regulations.”
The Secretary states in her brief that the relevant “de-
termination” that entitles a “dissatisﬁed” home to review
is any determination that a provider has failed to comply
substantially with the statute, agreements, or regulations,
whether termination or “some other remedy is imposed.”
Reply Brief for Petitioners 14 (emphasis added). The Secre-
tary’s regulations make clear that she so interprets the stat-
ute. See 42 CFR §§ 498.3(b)(12), 498.1(a)–(b) (1998). The
statute’s language, though not free of ambiguity, bears that
interpretation. And we are aware of no convincing counter-
vailing argument. We conclude that the Secretary’s inter-
pretation is legally permissible. See Chevron U. S. A. Inc.
v. Natural Resources Defense Council, Inc., 467 U. S. 837,
843 (1984); Your Home Visiting Nurse Services, 525 U. S.,
at 453; see also 42 U. S. C. § 1395i–3(h)(2)(B)(ii) (providing a
different channel for administrative and judicial review of
decisions imposing civil monetary penalties.)

The Council next argues that the regulations, as imple-
mented by the enforcement agencies, deny review in practice
by (1) insisting that a nursing home with deﬁciencies present
a corrective plan, (2) imposing no further sanction or remedy
if it does so, but (3) threatening termination if it does not.
See 42 CFR §§ 488.402(d), 488.456(b)(ii) (1998). Because a
home cannot risk termination, the Council adds, it must al-
ways submit a plan, thereby avoiding imposition of a rem-
edy, but simultaneously losing its opportunity to contest the
lawfulness of any remedy-related rules or regulations. See
§ 498.3(b)(12). And, the Council’s amici assert, compliance
actually harms the home by subjecting it to increased sanc-
tions later on by virtue of the unreviewed deﬁciency ﬁndings,