Arizona State Board of Regents Ex Rel. Arizona State University v. Arizona State Personnel Board

985 P.2d 1032, 195 Ariz. 173, 307 Ariz. Adv. Rep. 16, 1999 Ariz. LEXIS 108
CourtArizona Supreme Court
DecidedOctober 4, 1999
DocketCV-98-0237-PR
StatusPublished
Cited by14 cases

This text of 985 P.2d 1032 (Arizona State Board of Regents Ex Rel. Arizona State University v. Arizona State Personnel Board) is published on Counsel Stack Legal Research, covering Arizona Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Arizona State Board of Regents Ex Rel. Arizona State University v. Arizona State Personnel Board, 985 P.2d 1032, 195 Ariz. 173, 307 Ariz. Adv. Rep. 16, 1999 Ariz. LEXIS 108 (Ark. 1999).

Opinion

0 PINION.

MARTONE, Justice.

¶ 1 We granted review to decide whether the Administrative Procedure Act allows an agency to exempt itself from the rights to counsel and subpoena contained in A.R.S. § 41-1062 (1992). We hold that it does not.

I.

¶ 2 In May 1994, Camille Kimball, an employee of public television station KAET, a department of Arizona State University, complained to the United States Department of Labor that Arizona State University failed to properly pay her for overtime. In December 1994, believing that Arizona State University had taken reprisal against her for complaining to the Department of Labor, Kimball filed a complaint with the State Personnel Board under A.R.S. § 38-532(H) and A.R.S. § 41-782(B), alleging reprisal in violation of the state Whistleblower Protection Act, A.R.S. § 38-531 et seq. She also filed a grievance with Arizona State University alleging violations of the University’s own Whistleblower Protection Policy.

¶3 Arizona State University moved to dismiss the complaint under § 38-532 before the State Personnel Board for the reason that § 38-533 expressly makes the whistle-blower statute inapplicable to claims against a state university that has its own rule for the protection of employees from reprisal for the disclosure of information to a public body. Because the Personnel Board denied the motion, the Board of Regents, on behalf of Arizona State University, filed a special action in the superior court contending, among other things, that the Board lacked jurisdiction because of the express exemption contained in § 38-533. Kimball claimed that the exemption did not apply because Arizona State University’s grievance procedure was insufficient, even to the point of violating due process. The superior court concluded that the exemption did apply and that Kimball’s due process claims were not yet ripe for adjudication. The superior court therefore ordered the State Personnel Board to dismiss Kimball’s whistleblower complaint and ordered Arizona State University to proceed with a hearing on Kimball’s grievance under the University’s own Whistleblower Protection Policy.

¶ 4 The court of appeals affirmed, holding that Arizona State University’s policy was sufficient to qualify for the exemption under A.R.S. § 38-533. It also held that Arizona State University’s grievance procedure complied with A.R.S. § 41-1062, even though it severely limited the right to counsel and denied the right to subpoena witnesses. Board of Regents v. Personnel Board, 191 Ariz. 160, 953 P.2d 904 (App.1996).

¶ 5 Because we agreed with the court of appeals that § 38-533 expressly exempts Arizona State University from whistleblower complaints brought before the State Personnel Board, we denied Kimball’s petition for review on that issue. Because we disagreed with the court of appeals’ conclusion that § 41-1062 allows an agency to exempt itself from the right to counsel and subpoena provisions of the statute, we granted review on that portion of Kimball’s petition for review. See Rule 23(c)(3), Ariz. R. Civ.App. P.

II.

¶ 6 A.R.S. § 41-1005(D) exempts the Board of Regents from specific articles of the Administrative Procedure Act, but not article 6, of which A.R.S. § 41-1062 is a part. Therefore, we agree with the court of appeals that § 41-1062, providing for hearings in adjudicative proceedings, is fully applicable to the Board of Regents.

*175 ¶ 7 Under A.R.S. § 41-1062(A)(1), “[e]very person who is a party to such proceedings shall have the right to be represented by counsel, to submit evidence in open hearing and shall have the right of cross-examination.” And, A.R.S. § 41-1062(A)(4) provides that the officer presiding at the hearing may issue subpoenas for the attendance of witnesses.

¶ 8 But Arizona State University adopted rules to the contrary. Its grievance policy 902 states that “[n]either the [American Arbitration Association] nor the hearing officer have [sic] subpoena authority to compel the attendance of witnesses or production of documents.” And although it allows grievants to retain counsel, it expressly prohibits them from participating during the hearing: “[a]d-visors may not participate or provide testimony during the hearing.”

¶ 9 Administrative agencies have no common law or inherent powers — their powers are limited by their enabling legislation. Kendall v. Malcolm, 98 Ariz. 329, 334, 404 P.2d 414, 417 (1965). Thus, if an agency rule conflicts with a statute, the rule must yield. See, e.g., Health Care Cost Containment Sys. v. Bentley, 187 Ariz. 229, 232, 928 P.2d 653, 656 (App.1996); Schwartz v. Superior Court, 186 Ariz. 617, 619, 925 P.2d 1068, 1070 (App.1996); and, Dioguardi v. Superior Court, 184 Ariz. 414, 417, 909 P.2d 481, 484 (App.1995).

¶ 10 The court of appeals recognized this but concluded that Arizona State University’s grievance policies controlled over the contrary provisions of § 41-1062 because that section is prefaced by “[u]nless otherwise provided by law.” A.R.S. § 41-1062(A) (emphasis added). It ruled that the inconsistent grievance policies were “law” within the meaning of § 41-1062(A), because § 41-1001(15) defines “provision of law” to include the rule of an administrative agency, and § 41-1001(17) defines “Rule” to include “an agency statement of general applicability that implements, interprets or prescribes law or policy, or describes the procedure or practice requirements of an agency.” 1 In short, tile court of appeals equated the “unless otherwise provided by law” language of § 41-1062 with the “provision of law” language of § 41-1001(15).

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Bluebook (online)
985 P.2d 1032, 195 Ariz. 173, 307 Ariz. Adv. Rep. 16, 1999 Ariz. LEXIS 108, Counsel Stack Legal Research, https://law.counselstack.com/opinion/arizona-state-board-of-regents-ex-rel-arizona-state-university-v-arizona-ariz-1999.