Neighborhood Centers Inc. v. Doreatha Walker

499 S.W.3d 16, 41 I.E.R. Cas. (BNA) 670, 2016 Tex. App. LEXIS 5432, 2016 WL 3345484
CourtCourt of Appeals of Texas
DecidedMay 24, 2016
DocketNO. 01-14-00844-CV
StatusPublished
Cited by4 cases

This text of 499 S.W.3d 16 (Neighborhood Centers Inc. v. Doreatha Walker) is published on Counsel Stack Legal Research, covering Court of Appeals of Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Neighborhood Centers Inc. v. Doreatha Walker, 499 S.W.3d 16, 41 I.E.R. Cas. (BNA) 670, 2016 Tex. App. LEXIS 5432, 2016 WL 3345484 (Tex. Ct. App. 2016).

Opinion

OPINION ON REHEARING

Evelyn V. Keyes, Justice

Appellant and cross-appellee, Neighborhood Centers Inc. (“Neighborhood Centers”), moved for rehearing, asking that we address the effect of amendments to the Texas Education Code that became effective after oral argument in this case but before we issued our July 30, 2015 opinion. We grant the motion for rehearing, withdraw our previous opinion and judgment, and issue this opinion and judgment in their stead.

*19 Appellee and cross-appellant Doreatha Walker sued her former employer, Neighborhood Centers, for its alleged retaliation against her for filing a workers’ compensation claim. 1 She also sued Neighborhood Centers under the Whistleblower Protection Act. 2 Neighborhood Centers filed a plea to the jurisdiction asserting that it had. governmental immunity from Walker’s claims. The trial court granted the plea as to Walker’s workers’ compensation anti-retaliation claim, and it denied the plea as to Walker’s claim under the Whistleblower Protection Act.

In its sole issue on appeal, Neighborhood Centers argues that the trial court erred in denying its plea to the jurisdiction on Walker’s claim under the Whistleblower Protection Act. Walker argues in her sole issue on cross-appeal that' the trial court erred in granting Neighborhood Centers’ plea to the jurisdiction on her workers’ compensation anti-retaliation claim.

We affirm.

Background

Neighborhood Centers is a private, .nonprofit corporation that provides services— including Head Start, workforce career centers, meals and programs for seniors, immigration services, tax preparation services, and a community credit union—to low-income communities in Houston. Neighborhood Centers also operates the Promise Community School, an open-enrollment charter school established pursuant to Texas Education Code chapter 12. 3

Neighborhood Centers hired Walker, who has a master’s degree and is certified in mid-management as a school principal, for the 2013-2014 school year to work as a third-grade teacher at the Promise Community School. Walker alleged that while she was employed with Neighborhood Centers she observed health code violations and various testing irregularities, which she described as “cheating irregularities,” “fejpecial education testing irregularities,” and untimely provision of Individualized Education Plans. Walker also observed health code violations and eventually filed a workers’ compensation claim for health issues that she asserts were caused by the health code violations she observed at the school.

Walker alleged that after she filed her workers’ compensation claim- Neighborhood Centers forced her to accept a demotion and reassignment as “an Interventionist and a Girl Scout Leader,” and Neighborhood Centers’ insurer denied her workers’ compensation claim. Walker reported her observations regarding the testing violations and health code violations to the Texas Education Agency and the Texas Health Department, respectively. She asserts that once her report of these violations came to light, Neighborhood Centers terminated her employment on a pretext.

Walker filed suit against Neighborhood Centers, alleging that its actions in demoting and subsequently firing her violated Labor Code section 451.001—which prohibits retaliation against an employee for filing a workers’ compensation claim—and *20 Government Code section 554.002(a)—a provision of the Whistleblower Protection Act that prohibits a state or local governmental entity from retaliating against an employee who has reported a violation of law to an appropriate law enforcement authority.

Neighborhood Centers filed a plea to the jurisdiction, arguing that its immunity from suit and liability barred Walker’s workers’ compensation anti-retaliation claim. It argued that open enrollment charter schools, such as the Promise Community School, have the same immunity as a public school distinct. Relying on the Texas Supreme Court’s opinion in Travis Central Appraisal District v. Norman, 342 S.W.3d 54 (Tex.2011), it argued that governmental immunity is not waived for retaliatory discharge claims under Labor Code chapter 451. Neighborhood Centers also argued that it is not a “political subdivision” or “local governmental entity” under the Whistleblower Protection Act, as that act defines “local governmental entity” narrowly. It asserted that all of Walker’s claims must be dismissed for lack of subject-matter jurisdiction.

The trial court granted Neighborhood Centers’ plea to the jurisdiction as to Walker’s workers’ compensation anti-retaliation claim, and it denied the plea as to Walker’s claim under the Whistleblower Protection Act. Both Neighborhood Centers and Walker filed notices of appeal.

Open-Enrollment Charter Schools

Open-enrollment charter schools, such as Promise Community School operated by Neighborhood Centers, have been a part of the Texas public school system since 1995. LTTS Charter Sch., Inc. v. C2 Constr., Inc., 342 S.W.3d 73, 74 (Tex.2011). As the supreme court stated,

These nontraditional public schools, created and governed by Chapter 12 of the Education Code, receive government funding and comply with the state’s testing and accountability system, but they operate with greater flexibility than traditional public schools, in hopes of spurring innovation and improving student achievement.

Id.; see also Tex. Educ. Code Ann. § 12.001 (Vernon 2012) (describing purposes behind charter schools).

The Education Code unequivocally provides that “[a]n open-enrollment charter school is part of the public school system of this state.” Tex. Educ. Code Ann. § 12.105 (Vernon 2012); C2 Constr., Inc., 342 S.W.3d at 76. An open-enrollment charter school is a publicly funded institution. Tex. Educ. Code Ann. § 12.106 (Vernon 2012); C2 Constr., Inc., 342 S.W.3d at 77-78. The Education Code provides generally that “an open-enrollment charter school is subject to federal and state laws and rules governing public schools and to municipal zoning ordinances governing public schools.” Tex. Educ. Code Ann. § 12.103(a) (Vernon 2012).

The Education Code also “subjects open-enrollment charter schools to a host of statutes that govern governmental entities outside the Education Code.” C2 Constr., Inc., 342 S.W.3d at 78.

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499 S.W.3d 16, 41 I.E.R. Cas. (BNA) 670, 2016 Tex. App. LEXIS 5432, 2016 WL 3345484, Counsel Stack Legal Research, https://law.counselstack.com/opinion/neighborhood-centers-inc-v-doreatha-walker-texapp-2016.