Orenstein v. Bond

528 F. Supp. 513, 1981 U.S. Dist. LEXIS 10019
CourtDistrict Court, E.D. Missouri
DecidedDecember 10, 1981
DocketNo. 81-1074C (5)
StatusPublished
Cited by2 cases

This text of 528 F. Supp. 513 (Orenstein v. Bond) is published on Counsel Stack Legal Research, covering District Court, E.D. Missouri primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Orenstein v. Bond, 528 F. Supp. 513, 1981 U.S. Dist. LEXIS 10019 (E.D. Mo. 1981).

Opinion

FINDINGS OF FACT, CONCLUSIONS OF LAW AND JUDGMENT

CAHILL, District Judge.

This matter is before the Court for judgment on the merits.

Julian Orenstein, plaintiff, brought this action against the defendants, Missouri Governor Christopher S. (Kit) Bond, and Director of Revenue Ray James, under 42 U.S.C. § 1983. Plaintiff alleges that his appointment as (motor vehicle license and tax) fee agent for the State of Missouri is being terminated because of plaintiff’s political affiliation, and thus, in violation of his First Amendment rights, as defined by recent decisions of the U.S. Supreme Court. The defendants contend that fee agents are not employees of the State of Missouri, and thus, their appointments may properly be terminated because of their political affiliation. Defendants contend that plaintiff was not terminated solely by reason of his political affiliation or beliefs but that other neutral decisional criteria were relied upon. Defendants also submit that even if fee agents are state employees, political affiliation is nonetheless an appropriate requirement for appointment.

This matter was taken up and considered by the Court without trial or evidentiary hearing on the representations and stipulations of the parties that the operational facts were primarily indistinguishable from the facts in Sweeney v. Bond, 519 F.Supp. 124 (E.D.Mo.1981), resulting in the Findings of Fact, Conclusions of Law and Judgment filed by this Court on May 19, 1981. The Court desired a prompt adjudication in order to facilitate federal court review of both cases.

FINDINGS OF FACT

1. The plaintiff, Julian Orenstein, is a resident of the State of Missouri within the jurisdiction of the United States District Court for the Eastern District of Missouri. The plaintiff is a fee agent for the Missouri Department of Revenue. The plaintiff is an active Democrat and was appointed as a fee agent during the first administration of defendant Governor Bond, a Republican.

2. Prior to his appointment as fee agent, the plaintiff was active in partisan party politics and supported the candidacies of persons running for public office under the Democratic ticket. The plaintiff contributed time or money, or both, to the 1976 gubernatorial candidacy of Joseph Teasdale. The plaintiff contributed time or money, or both, to the 1980 gubernatorial candidacy of Joseph Teasdale. The plaintiff is presently free to and does continue to assert his partisan support of the Democratic party.

3. Defendant Christopher Bond is now the Governor of the State of Missouri. Shortly after his inauguration on January 12, 1981, Governor Bond appointed defendant Ray S. James as the Director of Revenue. Both Bond and James are Republicans. The person appointed to succeed this specific fee agent is a Republican.

4. The plaintiff has been notified by defendant James that his appointment as fee agent is being terminated. Defendant James has appointed a successor to operate the fee agent office held by the plaintiff, entered into a contract with a successor to that office, and begun the training of the successor. The vast majority of new fee agents appointed by James are Republicans. However, not all fee agent appointments made by James have been Republicans, as evidenced by the appointment of a few Democrats and non-partisan civic organizations.

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5. Fee agents are authorized under Mo, Rev.Stat. 136.055 (1978) to issue licenses and collect taxes and fees. That statute provides:

1. Any person who is selected or appointed by the state director of revenue to act as an agent of the department of revenue, whose duties shall be the sale of motor vehicle licenses and the collection of motor vehicles sales and use taxes un[515]*515der the provisions of section 144.440, R.S. Mo., and who receives no salary from the department of revenue shall be authorized to collect from the party requiring such services additional fees as compensation in full and for all services rendered on the following basis:
(1) For each motor vehicle or trailer license sold, renewed or transferred— one dollar;
(2) For each application or transfer of title — one dollar;
(3) For each chauffeur’s, operator’s or driver’s license — one dollar;
(4) No notary fee or other fee or additional charge shall be paid or collected.
2. This section shall not apply to agents appointed by the state director of revenue in any city where the department of revenue maintains an office. (Emphasis added.)

There are 158 fee agent offices in Missouri. At the time of Governor Bond’s inauguration, 21 fee agent offices were operated by nonpartisan civic organizations, and one office was operated by a municipality. All other fee agent offices were held by Democrats who had been appointed, primarily, under the administrations of Democratic governors. That is not always the case as this plaintiff, a Democrat, was originally appointed by Governor Bond. Since his appointment as Director of Revenue, and as of September 1,1981, James has terminated 89 fee appointments held by Democrats and three nonpartisan civic organizations or municipalities. James has appointed agents to fill 104 fee agencies, including 10 reappointments of existing agents of which five were nonpartisan civic organizations. Four new agents appointed by James are civic organizations. The majority of ■ the remaining new appointees were Republicans although a few Democrats have also been appointed.

6. While the Department of Revenue does exercise a modicum of control over the general operation of the fee agent offices, it leaves management functions to the fee agents. Although fee agents are required to deposit the money collected for taxes and fees in state accounts, their own fees need not be accounted for. Accounting reports and bank statements must be filed. Relocation of a fee agent office requires prior notice to the Department of Revenue. Specific business hours are selected by the agent with notice to the Department of Revenue. The Department of Revenue also holds fee agent training seminars for fee agents and their employees which are attended at the expense of the agents. The Department of Revenue supplies most offices with the services of a photographer/vision tester, which persons are state employees, to assist customers in obtaining or renewing driver’s licenses. These testers do not assist fee agents in collecting fees. The Department of Revenue also supplies each of the offices with a Wide Area Telephone Service (WATS) line.

7. But the Department of Revenue does not supervise the daily operations of the fee agent offices. Fee agents are free to hire employees to operate the offices for them or they may operate the offices themselves without additional personnel. Plaintiff Orenstein has several employees. The state does not assert control over the selection or retention of the fee agents’ office employees. The plaintiff is responsible for withholding from his employees appropriate state and federal taxes. As provided for in Mo.Rev.Stat. § 136.055 (1978), fee agents are not compensated by the state but instead are authorized to charge persons requiring their services one dollar per transaction as compensation.

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Cite This Page — Counsel Stack

Bluebook (online)
528 F. Supp. 513, 1981 U.S. Dist. LEXIS 10019, Counsel Stack Legal Research, https://law.counselstack.com/opinion/orenstein-v-bond-moed-1981.