Rice v. City of Cleveland

541 N.E.2d 1067, 44 Ohio App. 3d 110, 29 Wage & Hour Cas. (BNA) 701, 1988 Ohio App. LEXIS 561
CourtOhio Court of Appeals
DecidedMarch 7, 1988
Docket53428
StatusPublished

This text of 541 N.E.2d 1067 (Rice v. City of Cleveland) is published on Counsel Stack Legal Research, covering Ohio Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Rice v. City of Cleveland, 541 N.E.2d 1067, 44 Ohio App. 3d 110, 29 Wage & Hour Cas. (BNA) 701, 1988 Ohio App. LEXIS 561 (Ohio Ct. App. 1988).

Opinion

*111 Dyke, J.

In 1986, the plaintiffs-appellants, Richard J. Rice, Frank Leciejewski, and Greg Marhavka, were fire fighters employed by the city of Cleveland. On May 9, 1986, the appellants filed suit in common pleas court against the defendants-appel-lees, the city of Cleveland, Mayor George V. Voinovich, Director of Personnel James Conrad, Director of Port Control Jacqueline Shuck, and the Civil Service Commission of the city of Cleveland. In their complaint, the appellants alleged that the appellees had not paid the appellants overtime pay for the two-year period immediately preceding the filing of their complaint in violation of Section 207, Title 29, U.S. Code, and that the appellees had not kept adequate employment records during this period of time in violation of Sections 211(c) and 215(a)(5), Title 29, U.S. Code.

On July 2, 1986, the appellees filed a motion to dismiss the appellants’ complaint. On January 20, 1987, the trial court granted the appellees’ motion.

The appellants now appeal the dismissal of their case and assign one error to the trial court. This assignment of error is:

“Whether the lower court erred in dismissing the plaintiffs’ complaint pursuant to Ohio Rules of Civil Procedure 12(B)(2) and (6).”

In their motion to dismiss, the ap-pellees argued that the appellants’ complaint failed to state a claim upon which relief could be granted, and that the court lacked jurisdiction over the appellees. Appellants argue under this assignment of error that the trial court erred in dismissing their case for these reasons.

The first count of the appellants’ complaint alleged that the appellees had failed to pay to the appellants overtime pay for the two-year period immediately preceding the filing of the appellants’ lawsuit. Section 207(a)(1), Title 29, U.S. Code provides in part:

“Except as otherwise provided in this section, no employer shall employ any of his employees who in any workweek is engaged in commerce or in the production of goods for commerce, or is employed in an enterprise engaged in commerce or in the production of goods for commerce, for a workweek longer than forty hours unless such employee receives compensation for his employment in excess of the hours above specified at a rate not less than one and one-half times the regular rate at which he is employed.”

In 1974, the Fair Labor Standards Act was amended so that the above-illustrated overtime provision would be applicable to the states and their political subdivisions. See Sections 203(d), (s)(5) (now [s][6]) and (x), Title 29, U.S. Code (Pub. L. 93-259, 88 Stat. 55, 58-60).

In National League of Cities v. Usery (1976), 426 U.S. 833, the United States Supreme Court held that Congress did not have the power under the Commerce Clause of the United States Constitution (Section 8, Article I) to regulate the states in their exercise of traditional governmental functions. The court, therefore, held that the minimum wage and overtime provisions of the Fair Labor Standards Act could not be applied to the states in the areas of traditional governmental functions such as fire protection, police protection, public health, and parks and recreation.

Almost nine years later in Garcia v. San Antonio Metropolitan Transit Auth. (1985), 469 U.S. 528, the court overruled its decision in National League of Cities, supra. The court held that the application of the Fair Labor Standards Act to state employees did not offend the concept of federalism, and, therefore, that the minimum wage and overtime provisions of the Act were applicable to the states.

*112 After Garcia, supra, was issued, Congress passed the Fair Labor Standards Amendments of 1985, Pub. L. 99-150, 99 Stat. 787. Section 2(c)(1) of this Act provides:

“No State, political subdivision of a State, or interstate governmental agency shall be liable under section 16 of the Fair Labor Standards Act of 1938 for a violation of section 6 (in the case of a territory or possession of the United States), 7, or 11(c) (as it relates to section 7) of such Act occurring before April 15, 1986, with respect to any employee of the State, political subdivision, or agency who would not have been covered by such Act under the Secretary of Labor’s special enforcement policy on January 1, 1985, and published in sections 775.2 and 775.4 of title 29 of the Code of Federal Regulations.” (99 Stat. 787, 788-789.)

Pursuant to the above, if an employee was not covered by the Secretary of Labor’s special enforcement policy as found in Sections 775.2 and 775.4, Title 29, Code of Federal Regulations, then that employee cannot recover damages for violations of the Fair Labor Standards Act which occurred prior to April 15, 1986.

Section 775.4(a), Title 29, Code of Federal Regulations provides:

“In the National League decision, it was made clear that schools and hospitals, fire prevention, police protection, sanitation, public health, and parks and recreation are traditional functions or activities of States and their political subdivisions.”

Section 775.2, Title 29, Code of Federal Regulations provides in part:

“(a) On June 24, 1976, the United States Supreme Court ruled in National League of Cities, et al. v. Usery, 426 U.S. 833, that the minimum wage and overtime compensation provisions of the Fair Labor Standards Act (FLSA) are not constitutionally applicable to the integral operations of the States and their political subdivisions in areas of traditional governmental functions. Such areas include, among others, schools and hospitals, fire prevention, police protection, sanitation, public health, and parks and recreation. * * *
“(b) In view of the National League decision, the Secretary will not file suit to enforce the minimum wage and overtime compensation provisions of the FLSA against a State or its political subdivisions unless at least 30 days notice has first been given that, in the opinion of the Administrator, the activities in question are not integral operations in areas of traditional governmental functions.* * *”

As these federal regulations make clear, prior to Garcia, supra, the Secretary of Labor did not apply the overtime provisions of the Fair Labor Standards Act to fire protection employees of the states or their political subdivisions. Therefore, the appellants were not covered by the Secretary of Labor’s special enforcement policy, and under Section 2(c)(1) of the 1985 Amendments to the Fair Labor Standards Act, the appellees cannot be held liable for alleged violations of the Act which occurred prior to April 15, 1986. Accord Rhinebarger v. Orr (S.D. Ind. 1987), 657 F. Supp. 1113; O’Quinn v.

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541 N.E.2d 1067, 44 Ohio App. 3d 110, 29 Wage & Hour Cas. (BNA) 701, 1988 Ohio App. LEXIS 561, Counsel Stack Legal Research, https://law.counselstack.com/opinion/rice-v-city-of-cleveland-ohioctapp-1988.