Administrative – Medicaid Contractor – Delegation of Authority – Local Review Procedure

Genesis Project 1 Inc. v. N.C. Department of Health & Human Services, Division of Medical Assistance (Lawyers Weekly No. 14-09-0073, 5 pp.) (Donald W. Overby, ALJ) 13DHR17094; OAH

Holding: The respondent-agency validly delegated its authority to the respondent-contractor to establish an administrative review process; therefore, petitioner’s failure to complete the contractor’s review process constituted a failure to exhaust its administrative remedies. Accordingly, the Office of Administrative Hearings lacks subject matter jurisdiction over petitioner’s contested case.

Summary judgment for respondents.