Recent Updates with Section 504

In January, nine states led by Texas revised their challenge to Section 504 of the Rehabilitation Act and the integration mandate required by both Section 504 and the Americans with Disabilities Act (ADA) by arguing in an amended complaint that the mandate, which requires states to fund services in the most integrated setting, is unconstitutional. The Rehabilitation Act, including Section 504, is a landmark disability rights law prohibiting disability discrimination in programs receiving federal funding. The U.S. Supreme Court upheld the mandate in Olmstead v. L.C in 1999, and HHS enforcement of Olmstead has led to independent living success stories for members of the neuromuscular community.

This is a new iteration of the lawsuit Texas v. Kennedy, formerly Texas v. Becerra, in which the states argued that 2024 updates (described in Quest blog linked below) to Section 504 are unconstitutional. While some of the original states have withdrawn their claim, the remaining states – Texas, Alaska, Florida, Indiana, Kansas, Louisiana, Missouri, Montana, and South Dakota – continue to challenge the rule.

The Health and Human Services (HHS) rule at the heart of the action requires states and local governments, and any entity receiving HHS dollars, to serve people with disabilities in the most integrated setting appropriate, and that entities risk violation of Section 504 when people with disabilities are placed at risk of unnecessary institutionalization.

The revised complaint requests that the Court declare all of the Section 504 rule unlawful; prevent HHS from enforcing the rule in its entirety; and prevent HHS from requiring states to not take actions that lead to a serious risk of institutionalization for people with disabilities. If successful, it could make it harder for members of the neuromuscular community with disabilities to enforce their right to live in the community, not in isolating long-term care facilities, and receive equitable access to care and services.

Also, because Section 504 is incorporated into nondiscrimination provisions of federal law, this decision may have far reaching consequences such as limiting access to robust ACA plans or limiting accessibility standards in private healthcare settings. This is at odds with MDA’s mission, which is to empower people affected by neuromuscular conditions to live longer, more independent lives.

MDA continues to actively monitor the legal landscape and anticipates further developments to come as briefing continues. In late January, MDA submitted comments to the Department of Health and Human Services urging the Department not to repeal the expansion of nondiscrimination updates in the 2024 Final Rule, which Quest initially wrote about here.

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