Campagnuolo ex rel. Campagnuolo v. Harder

319 F. Supp. 414, 1970 U.S. Dist. LEXIS 9534
CourtDistrict Court, D. Connecticut
DecidedNovember 13, 1970
DocketCiv. No. 13968
StatusPublished
Cited by9 cases

This text of 319 F. Supp. 414 (Campagnuolo ex rel. Campagnuolo v. Harder) is published on Counsel Stack Legal Research, covering District Court, D. Connecticut primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Campagnuolo ex rel. Campagnuolo v. Harder, 319 F. Supp. 414, 1970 U.S. Dist. LEXIS 9534 (D. Conn. 1970).

Opinion

RULING ON APPLICATION TO CONVENE A THREE-JUDGE DISTRICT COURT

BLUMENFELD. District Judge.

Prior to July 31, 1970, plaintiff, as the mother and supervising relative of a needy dependent child, was receiving aid under the Aid to Families with Dependent Children (AFDC) program. In June of 1970, she began fulltime employment as a secretary and was shortly thereafter notified that she was no longer eligible for AFDC benefits because of excess income. Following an evidentiary hearing in July, her benefits were terminated as of the end of that month. Defendant, who is charged with the administration of the AFDC program in Connecticut, relies upon a state statute, Conn.Gen.Stats. § 17-2 (1969), and a Welfare Department regulation of statewide application (Bulletin #2445) to sustain his determination of plaintiff’s ineligibility. Seeking to enjoin application of the statute and regulation on the ground of their unconstitutionality, plaintiff has moved for the convocation of a three-judge district court under 28 U.S.C. § 2281.

The dispute in this case revolves around the “incentive earnings” feature of the AFDC program, 42 U.S.C. §§ 602 (a) (7) and (8). To encourage those on public assistance to accept employment where possible, the program provides that in determining the net income available to the welfare recipient each month, the first $30 and one-third of the remainder of income derived from employment shall be disregarded. 42 U.S.C. § 602(a) (8) (A) (ii); Conn.Gen.Stats. § 17-2 (1969). Moreover, in arriving at “earned income” to be disregarded, the recipient may deduct certain employment expenses from gross earnings. 42 U.S.C. § 602(a) (7); Conn.Gen.Stats. § 17-2 (1969) . The calculation of this deduction provides the basis for this litigation. Plaintiff claims that § 17-2 and Bulletin #2445 require that self-employed persons be treated more favorably than employees with respect to allowable business expense deductions from gross income. The distinction, she claims, is without a rational basis and consequently denies her, an employee, the equal protection of the laws guaranteed by the fourteenth amendment.

Under the provisions of regulatory material transmitted by Bulletin #2445, employees may deduct from wages, salary and commissions, so-called “mandatory deductions — expenses of employment.” Conn.Welfare Man. § 332.31 (1970) . These deductions have been expressly delimited to withholding and social security taxes and, where mandatory, retirement plan payments, union dues, group life insurance, and hospital insurance for those under 65. Id. at § 332.32. S.elf-employed persons, on the other hand, may deduct from gross in[416]*416come “the total cost of production of the income.” Id. at § 332.31. Specifically, Mrs. Campagnuolo complains that transportation expenses, lunch costs, and expenses for work clothing are not deductible to the employee, but are counted as part of the cost of producing income and thus deductible for the self-employed. She submits in support of her claim a copy of a fair hearing decision in a case involving another welfare recipient. That decision allowed deduction of transportation expenses upon a finding that the recipient was self-employed and not an employee as she had been previously classified.

Section 17-2 of the Connecticut General Statutes requires the defendant to terminate AFDC assistance to any family of two whose total earned income (gross income less allowable deductions) exceeds $266.67 in any month. Plaintiff claims that this limitation compounds the first equal protection denial and of itself amounts to a second. Thus, the arbitrary calculation of her earned income (which results in an inflated figure vis a vis that of a similarly situated self-employed person) leads to an arbitrary termination of benefits, since others with the same amount of gross income and same degree of need will not be terminated simply because the nature of their employment allows them to take additional deductions and thus fit in under the income limitations.

Finally, plaintiff alleges that both § 17-2 and Bulletin #2445 conflict with the federal Social Security Act, 42 U.S. C. §§ 602(a)(7) and (8), and § 1396a (17)(B), and federal regulations promulgated thereunder, in a number of respects.

In any case in which application is made to a single federal judge for the convocation of a three-judge district court under 28 U.S.C. § 2281, the single judge has the authority, without first convening that expanded panel, to determine the court’s jurisdiction and assess the substantiality of the constitutional question presented for adjudication. Ex parte Poresky, 290 U.S. 30, 54 S.Ct. 3, 78 L.Ed. 152 (1933); Heaney v. Allen, 425 F.2d 869 (2d Cir. 1970); Lion Mfg. Corp. v. Kennedy, 117 U.S.App.D.C. 367, 330 F.2d 833, 840-41 (1964). Even where jurisdiction is not formally challenged by a motion to dismiss, the court should examine sua sponte the jurisdictional grounds relied upon. Thompson v. New York Cent. R. R., 361 F.2d 137, 144-45 (2d Cir. 1966); Cover v. Schwartz, 133 F.2d 541, 546 (2d Cir. 1942), cert. denied, 319 U.S. 748, 63 S.Ct. 1158, 87 L.Ed. 1703 (1943).

This case, like so many others presenting challenges in constitutional garb to the administration of this state’s welfare program,1 requires application to a specific set of facts of the judicial gloss imposed on 28 U.S.C. § 1343(3). That statute, the jurisdictional counterpart of the Civil Rights Act, 42 U.S.C. § 1983, provides jurisdiction in the federal court, without prior satisfaction of a jurisdictional amount, for suits “to redress the deprivation, under color of any State law * * * of any right, privilege or immunity secured by the Constitution of the United States * * So that § 1343(3) would not eclipse 28 U.S.C. § [417]*4171331(a), which provides federal question jurisdiction in cases where more than $10,000 is in controversy, courts have restricted application of § 1343(3) to cases where “the right or immunity [allegedly infringed] is one of personal liberty, not dependent for its existence upon the infringement of property rights.” Hague v. C.I.O., 307 U.S. 496, 518, 531, 59 S.Ct. 954, 971, 83 L.Ed. 1423 (1939) (opinion of Mr. Justice Stone). This circuit has recently adopted the Stone formulation in Eisen v. Eastman, 421 F.2d 560, 566 (2d Cir. 1969), and McCall v.

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Bluebook (online)
319 F. Supp. 414, 1970 U.S. Dist. LEXIS 9534, Counsel Stack Legal Research, https://law.counselstack.com/opinion/campagnuolo-ex-rel-campagnuolo-v-harder-ctd-1970.