United States Federal Circuit

A decision invalidating an Office of Personnel Management (OPM) regulation addressing the manner in which OPM sets rates for health plans that provide benefits to federal employees and retirees is affirmed where, under Chevron analysis, the regulation was 1) in conflict with the statutory requirement that rates must reasonably and equitably reflect costs and 2) arbitrary and capricious.

Appellate Information

• Decided 08/13/2008
• Published 08/13/2008

Judges

• ZAGEL, District Judge., Before MICHEL, Chief Judge, LINN, Circuit Judge, and ZAGEL, District Judge.

Court

• United States Federal Circuit

Counsel

• For Appellees:
  
• Daniel B. Abrahams, Brown Rudnick Berlack Israels LLP, of Washington, DC, for plaintiff-appellee, GHS Health Maintenance Organization, Inc., Michael S. Nadel, McDermott Will & Emery LLP, of Washington, DC, for plaintiffs-appellees Texas Health Choice, L.C., et al, argued for all plaintiffs-appellees., Jane W. Vanneman, Senior Trial Counsel, Commercial Litigation Branch, Civil Division, United States Department of Justice, of Washington, DC, argued for defendant-appellant.   With her on the brief were Jeffrey S. Bucholtz, Acting Assistant Attorney General, and Jeanne E. Davidson, Director.   Of counsel on the brief was Susan Whitman, Senior Counsel, Office of the General Counsel, Office of Personnel Management, of Washington, DC.