South Carolina              
Administrative Law Court
Edgar A. Brown building 1205 Pendleton St., Suite 224 Columbia, SC 29201 Voice: (803) 734-0550

SC Administrative Law Court Decisions

CAPTION:
MRI at Belfair, LLC, et al vs. SCDHEC, et al

AGENCY:
South Carolina Department of Health and Environmental Control

PARTIES:
Petitioners:
MRI at Belfair, LLC; Hilton Head Regional Medical Center; and Hilton Head Imaging, Inc.

Respondents:
South Carolina Department of Health and Environmental Control and Southern MRI
 
DOCKET NUMBER:
07-ALJ-07-0538-CC

APPEARANCES:
n/a
 

ORDERS:

CONSENT ORDER FOR DISMISSAL WITH PREJUDICE

This matter arose from Petitioners Hilton Head Regional Medical Center and MRI at Belfair, LLC’s petition for a contested case hearing to determine whether the South Carolina Department of Health & Environmental Control (“DHEC”) had properly issued a non-applicability determination (“NAD”) to Respondent Southern MRI, LLC for the acquisition of a 1.5T Magnetic Resonance Imaging (“MRI”) unit and a 4-slice Computed Tomography (“CT”) unit. Petitioner Hilton Head Imaging, LLC subsequently sought and was granted leave by this Court to intervene in this matter. MRI at Belfair does not contest DHEC’s grant of the NAD for the CT machine.

Pursuant to 24A S.C. Code Ann. Regs. 61-15, § 102.1(f), a Certificate of Need (“CON”) is required for “[t]he acquisition of medical equipment which is to be used for diagnosis or treatment if the total project costs is in excess of $600,000.” Discovery in this matter has revealed that the total project costs for the CT machine fall under the $600,000 threshold. Pursuant to this discovery, Petitioners Hilton Head Regional Medical Center and Hilton Head Imaging desire to dismiss with prejudice that portion of the contested case hearing related to the propriety of the grant of the NAD for the acquisition of the CT. Respondents have consented to this dismissal. Because MRI at Belfair has never contested the grant of an NAD for the CT, it is not a party to this Consent Order.

The undersigned parties agree only to the dismissal of the portion of the contested case hearing related to the acquisition of the CT machine and request that the contested case hearing regarding the propriety of the grant of the NAD for the acquisition of the MRI go forward, unaffected by the terms of this Order.

THEREFORE, IT IS ORDERED that Petitioners Hilton Head Regional Medical Center and Hilton Head Imaging’s request for a contested case hearing on the propriety of the grant of an NAD to Southern MRI for the purchase and installation of a CT machine is dismissed with prejudice with each party bearing its own fees and costs.

IT IS FURTHER ORDERED that the contested case hearing regarding DHEC’s issuance of an NAD for the purchase and installation of an MRI is unaffected by the dismissal of the CT claims and shall proceed as scheduled by this Court.

AND IT IS SO ORDERED.

__________________________________

Paige J. Gossett

Administrative Law Judge

Columbia, South Carolina

August 19, 2008

[signatures on following page]
WE SO MOVE & CONSENT:

HILTON HEAD REGIONAL MEDICAL CENTER

By:__________________________________________

Travis Dayhuff

Nelson Mullins Riley & Scarborough, LLP

1320 Main Street, 17th Floor

Post Office Box 11070(29211-1070)

Columbia, SC 29201

(803) 799-2000

Attorney for Hilton Head Regional Medical Center

HILTON HEAD IMAGING, LLC

By:___________________________________

Julie B. Overstreet

Parker Poe Adams & Bernstein LLP

1201 Main Street, Suite 1450 (29201)

Post Office Box 1509

Columbia, SC 29202-1509

(803) 255-8000

Attorney for Hilton Head Imaging, LLC

SOUTHERN MRI, LLC

By:____________________________________

E. Wade Mullins, III

Bruner, Powell, Robbins, Wall & Mullins

1735 St. Julian Place, Suite 200

Post Office Box 61110

Columbia, SC 29260

(803) 252-7693

Attorney for Southern MRI, LLC

SOUTH CAROLINA DEPARTMENT OF HEALTH & ENVIRONMENTAL CONTROL

By:____________________________________

Ashley C. Biggers

South Carolina Department of Health & Environmental Control

2600 Bull Street

Columbia, SC 29201

(803) 898-3309

Attorney for South Carolina Department of Health & Environmental Control


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