Texas Medical Association Texas AFL-CLO Patient Advocates of Texas Allen J. Meril, M.D. And L. E. Richey v. Texas Workers Compensation Commission Richard F. Reynolds, Executive Director And Texas Association of Business
The Texas Court of Appeals, Third District, at Austin, affirmed a district court's judgment upholding the validity of the 2002 medical fee guidelines promulgated by the Texas Workers' Compensation Commission. Appellants, including the Texas Medical Association and Texas AFL-CIO, challenged the guidelines on substantive grounds (unlawful delegation of power to CMS and arbitrary/capricious rulemaking) and procedural grounds (failure to consult the Medical Advisory Committee and inadequate reasoned justification/public notice). The appellate court found no unlawful delegation of power, that the Commission's decision was not arbitrary and capricious, and that the Commission substantially complied with the reasoned-justification requirement of the APA. The court also found no requirement to consult the Medical Advisory Committee for initial fee guidelines and that a new public notice and comment period was not required.