VICTORY, J.
This case comes to us on direct appeal pursuant to La. Const. art. V, § 5(D)(1) after a district court found La. R.S. 14:126.3.1(A)(3), pertaining to the unauthorized participation in medical assistance programs, facially unconstitutional. After reviewing the record and the applicable law, we reverse the judgment of the district court and uphold the constitutionality of La. R.S. 14:126.3.1(A)(3).
On February 23, 2012, Micah Smith was charged in the 19th JDC with a violation of La. R.S. 14:126.3.1, which provides:
Added by 2009 La. Acts. 337, eff. July 1, 2009.
Specifically, the state alleged:
The state alleges in its brief that it expects to prove at trial that Micah Smith
On February 4, 2013, defendant filed a motion to quash in which he challenged La. R.S. 14:126.3.1(A)(4) ("Seeks, obtains, or maintains a contract with a provider") as overbroad because it would "prohibit a substantial amount of free speech and actions which would be protected under the First Amendment." It is apparent that this provision was intended to prevent a person who is excluded from being employed by, contracting with, or having an ownership or management interest in, any entity that provides services which will be billed to any medical assistance program, from contracting with a provider of such services in order to continue to profit thereby. However, defendant argues that it goes too far in prohibiting any contractual arrangement between an excluded person and a Medicaid provider, which "can run the gamut from cutting a provider's grass, to cleaning their home or office, to cutting their hair, or selling them insurance." Therefore, defendant contended that the enactment prohibits a substantial amount of protected speech and the freedom to associate and is thus overbroad. In opposition, the state argued that contractual freedom is not constitutionally protected speech as contemplated by the overbreadth doctrine.
On April 9, 2013, defendant filed a second motion to quash in which he challenged La. R.S. 14:126.3.1(A)(3) ("Seeks, obtains, or retains any monies or payments derived in whole or in part from any state or federal medical assistance funds while excluded from participation in any state or federal medical assistance program") as overbroad. Defendant argued that this provision "is so sweeping in its proscription that it denies a wide range of protected benefits to which a majority of Americans are entitled." For example, defendant argued that "[a]n excluded provider would not be able to live in government subsidized housing and would not be able to obtain a home loan which was subsidized by the federal government in any way." In opposition, the state argued that the statute is not unconstitutional because it does not affect recipients of the government benefits as those payments are not "state or federal medical assistance funds" due to the fact that they are made directly to healthcare providers.
The state argues that the trial court erred in finding La. R.S. 14:126.3.1(A)(3) unconstitutional on its face on the basis of overbreadth because the statute does not prohibit protected speech. The state contends that La. R.S. 14:126.3.1(A)(3) prohibits conduct rather than any form of expression.
"As a general matter, the First Amendment means that government has no power to restrict expression because of its message, its ideas, its subject matter, or its content." United States v. Stevens, 559 U.S. 460, 468, 130 S.Ct. 1577, 176 L.Ed.2d 435 (2010) (citing Ashcroft v. American Civil Liberties Union, 535 U.S. 564, 573, 122 S.Ct. 1700, 152 L.Ed.2d 771 (2002)). The overbreadth doctrine applies to constitutional challenges made under the First Amendment:
State v. Sandifer, 95-2226 (La.9/5/96), 679 So.2d 1324, 1332.
The overbreadth doctrine has been described as "strong medicine," to be used "sparingly," and "only as a last resort." See Broadrick, supra, 413 U.S. at 613, 93 S.Ct. 2908. "In short, there must be a realistic danger that the statute itself will significantly compromise recognized First Amendment protections of parties not before the Court for it to be facially challenged on overbreadth grounds." Members of City Council of City of Los Angeles v. Taxpayers for Vincent, 466 U.S. 789, 801, 104 S.Ct. 2118, 2126, 80 L.Ed.2d 772 (1984). Thus, "[t]he overbreadth claimant bears the burden of demonstrating, `from the text of [the law] and from actual fact,' that substantial overbreadth exists." Virginia v. Hicks, 539 U.S. 113, 122, 123 S.Ct. 2191, 2198, 156 L.Ed.2d 148 (2003) (quoting New York State Club Assn., Inc. v. City of New York, 487 U.S. 1, 14, 108 S.Ct. 2225, 2234, 101 L.Ed.2d 1 (1988)).
"In a facial challenge to the overbreadth... of a law, a court's first task is to determine whether the enactment reaches a substantial amount of constitutionally protected conduct." Village of Hoffman Estates v. Flipside, Hoffman Estates, Inc., 455 U.S. 489, 494, 102 S.Ct. 1186, 1191, 71 L.Ed.2d 362 (1982). Although some academic commentators have advocated for the use of the overbreadth doctrine outside the context of the First Amendment, see, e.g., John F. Decker, Overbreadth Outside the First Amendment, 34 N.M. L.Rev. 53 (2004), Justice Scalia recently reiterated that "`[t]he fact that [a law] might operate unconstitutionally under some conceivable set of circumstances is insufficient to render it wholly invalid, since [the Supreme Court has] not recognized an `overbreadth' doctrine outside the limited context of the First Amendment.'" Arizona v. United States, 567 U.S. ___, ___, 132 S.Ct. 2492, 2515, 183 L.Ed.2d 351 (2012) (Scalia, J., dissenting) (quoting United States v. Salerno, 481 U.S. 739, 745, 107 S.Ct. 2095, 2100, 95 L.Ed.2d 697 (1987)) (emphasis added).
With that background, and as stated above in Sandifer, this Court has found that overbreadth invalidation of statutes is generally inappropriate where statutes prohibit conduct rather than speech, especially where the conduct at issue is harmful or criminal. See also State v. Neal, 500 So.2d 374 (La.1987) (statutes prohibiting solicitation of prostitution and solicitation of crime against nature not unconstitutionally overbroad as they affect conduct rather than speech); State v. Brown, 94-1290 (La.1/17/95), 648 So.2d 872 (statute which enhances penalties for persons convicted of distributing narcotics within 1,000 feet of school property not unconstitutionally overbroad as the statute affects conduct rather than speech and the conduct is illegal); State v. Greco, 583 So.2d 825 (La.1991) (statute prohibiting commercial purchase of fish from a person who does not possess a valid fishing license not subject to overbreadth analysis). Defendant points to State v. Muschkat, 96-2922 (La.3/4/98), 706 So.2d 429, wherein this Court found a statute criminalizing certain conduct to be overbroad. The statute in Muschkat was a drug-traffic loitering statute, La. R.S. 40:981.4, under which a person could be arrested for merely being in a high-crime neighborhood. In Muschkat, we recognized that "the First Amendment protects more than just speech, such as the right of association," 706 So.2d at 435, citing to Coates v. City of Cincinnati, 402 U.S. 611, 91 S.Ct. 1686, 29 L.Ed.2d 214 (1971), where the United States Supreme Court had struck down a statute which prohibited people from loitering on a sidewalk as overbroad. We found the statute to be overbroad because it criminalized a substantial amount of constitutionally protected activities, such as: being in an area known for unlawful drug use; being on premises that have been reported as places suspected of unlawful drug activity; being within six feet of a vehicle registered to a known unlawful drug user; repeatedly beckoning to, stopping, or attempting to stop passersby or engaging passersby in conversation; repeatedly stopping or attempting to stop vehicle operators by hailing, waving of arms, or any other bodily gesture; and circling an area in a car and repeatedly beckoning to, contacting, or attempting to stop pedestrians. 706 So.2d at 436. Contrary to the statute at issue in Muschkat, the statute at issue here does not criminalize any constitutionally protected activities, and has nothing to do with the right to assemble. We find the Muschkat case to be clearly distinguishable.
Pursuant to the above line of cases, prohibiting defendant from serving
Vogelsong, 82 Ohio App.3d at 362, 612 N.E.2d at 467-68.
The overbreadth doctrine is "strong medicine" to be used "sparingly" and "only as a last resort." The overbreath argument fails here no matter how La. R.S. 14:126.3.1(A)(3) is interpreted because the statute does not reach "a substantial amount of constitutionally protected conduct." The First Amendment does not protect the conduct the statute clearly intends to prohibit, i.e., prohibiting defendant from serving as a billing agent for Medicaid providers after being excluded from doing so because of past fraud or misconduct. Nor is the First Amendment
For the reasons stated above, we reverse the district court ruling which found La. R.S. 14:126.3.1(A)(3) unconstitutional and remand the matter to the district court for further proceedings.
While it is settled that a new basis for an objection may not be urged for the first time on appeal, Louisiana High School Athletics Ass'n, Inc. v. State, 12-1471 (La.1/29/13), 107 So.3d 583, 596, Segura v. Frank, 93-1271 (La.1/14/94), 630 So.2d 714, 725, State v. Stoltz, 358 So.2d 1249, 1250 (La.1978), we have never refused to consider an argument made by a party defending the constitutionality of a statute after a district court has found the statute to be unconstitutional. In addition, while this Court has repeatedly cautioned the district courts against declaring a statute unconstitutional on grounds not advanced by the litigants, see, e.g., State v. Overstreet, 12-1854 (La.3/19/13), 111 So.3d 308; State v. Duheart, 12-0085 (La. 10/26/12), 125 So.3d 1054; State v. Camese, 11-2534 (La.9/12/12), 99 So.3d 636; State v. Bazile, 11-2201 (La.1/24/12), 85 So.3d 1; State v. Hatton, 07-2377 (La.7/1/08), 985 So.2d 709, these decisions rest on the principle that "a judge's sua sponte declaration of unconstitutionality is a derogation of the strong presumption of constitutionality accorded legislative enactments." Istre v. Meche, 00-1316 (La.10/17/00), 770 So.2d 776, 779 (cites omitted). Further, though we have long held that the unconstitutionality of a statute must be specially pleaded and the grounds for the claim particularized, these procedural rules exist to afford interested parties sufficient time to brief and prepare arguments defending the constitutionality of the challenged statute. Vallo v. Gayle Oil Co., Inc., 94-1238 (La.11/30/94), 646 So.2d 859, 865. This opportunity to fully brief and argue the issue provides the trial court with thoughtful and complete arguments relative to the issue of constitutionality and furnishes reviewing courts with an adequate record upon which to adjudge the constitutionality of the statute. Id. However, that principle is not implicated when the state wishes to advance additional arguments in support of the constitutionality of an enactment. This is especially true, in this case, where the defendant's argument to the district court was that the statute was unconstitutional based on overbreadth; thus, the district court necessarily found that the conduct prohibited by La. R.S. 14:126.3.1(A)(3) was protected speech under the First Amendment. Therefore, in spite of the fact that the state did not technically present this argument in the district court, in considering the correctness of the district court's ruling, we must consider whether the conduct prohibited by La. R.S. 14:126.3.1(A)(3) is subject to an overbreadth analysis. See La. C.C.P. art. 2164 ("the appellate court shall render any judgment which is just, legal, and proper upon the record on appeal").