Segrue v. City of Schenectady

132 A.D.2d 270, 522 N.Y.S.2d 692, 1987 N.Y. App. Div. LEXIS 51557
CourtAppellate Division of the Supreme Court of the State of New York
DecidedDecember 17, 1987
StatusPublished
Cited by12 cases

This text of 132 A.D.2d 270 (Segrue v. City of Schenectady) is published on Counsel Stack Legal Research, covering Appellate Division of the Supreme Court of the State of New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Segrue v. City of Schenectady, 132 A.D.2d 270, 522 N.Y.S.2d 692, 1987 N.Y. App. Div. LEXIS 51557 (N.Y. Ct. App. 1987).

Opinion

OPINION OF THE COURT

Mahoney, P. J.

Petitioner worked for seven years as purchasing agent for respondent and was responsible for purchasing all goods and materials utilized by respondent’s departments. His duties [272]*272also included mail distribution, photocopying, management of fixed assets and inventory, and disposal of inventory.

In February 1986, petitioner was served with a written notice of discipline alleging two sets of charges: (1) unjustified absence from work on 10 specific dates in December 1985 and January and February 1986 (hereinafter the time charges), and (2) misfeasance in the conduct of a surplus property sale on January 30, 1986. The second charge contained one specification consisting of 13 separate counts of misconduct (hereinafter the surplus property sale charges). Two preliminary sessions were held. At the conclusion of the first session, the Hearing Officer mandated that respondent furnish petitioner with a bill of particulars. The second session was held because a prosecuting attorney for respondent released statements to the press that petitioner was being investigated by the District Attorney’s office to determine if there were grounds for bringing criminal charges against petitioner. At such hearing, respondent admitted that there were no criminal charges pending, and that there was no evidence of any criminal activity.

At the conclusion of the hearings, the Hearing Officer found that the time charges were unfounded and that all but four counts of the surplus property sale charges were unfounded. The four counts to which the Hearing Officer assigned merit were (1) improper opening and lack of verification of bids (count [f]), (2) failure to require submission of a 10% deposit consisting of a verified check or money order (count [g]), (3) permitting bidders to reject their bids after the sale (count [i]), and (4) over-all improper conduct with regard to the public auction process (count [m]). On August 4, 1986, a 1,400-page transcript of the hearing along with 53 pages of findings of fact and recommendations of the Hearing Officer were delivered to respondent’s Mayor. Approximately four hours after delivery to her of the documents, the Mayor rendered her decision. She disagreed with the Hearing Officer with respect to the time charges and found an unspecified violation based on these charges. The Mayor adopted the Hearing Officer’s finding of guilt with respect to the four counts of the surplus property sale charges. As a result, she ordered that petitioner be discharged.

Petitioner commenced a CPLR article 78 proceeding challenging the determination and seeking reinstatement with back pay. Preliminarily, Supreme Court held that the Mayor’s determination overruling the Hearing Officer’s finding on the [273]*273time charges was not supported by any findings of her own and remitted the matter for such findings. Upon review of the Mayor’s supplemental findings of fact, Supreme Court concluded that there was insufficient evidence to support the violation based on the time charges. With respect to the surplus property sale charges, the court upheld the findings that petitioner failed to verify the bid process resulting in the acceptance of a low bid (count [f]) and accepted personal checks instead of certified check or money order (count [g]). Supreme Court also affirmed the finding that petitioner allowed a bidder to withdraw a winning bid, although the court found justification for this act. The court rejected the finding that petitioner allowed a bidder to change his bid so as to become the high bidder because such finding was "predicated solely on conjecture”. Although Supreme Court affirmed the finding that petitioner’s over-all conduct was improper (count [m]), it determined that said finding was so vague as to be meaningless. Finally, Supreme Court concluded that the penalty imposed was disproportionate to the offense and, accordingly, modified the penalty from dismissal to a two-month suspension without pay. This appeal by respondent ensued.

Initially, we agree with respondent that Supreme Court should have transferred the proceeding to this court. Where an agency determination is made after an adjudicatory hearing, judicial review of the factual findings is sought by way of a CPLR article 78 proceeding in the nature of certiorari (CPLR 7803 [4]). The standard of review is substantial evidence (CPLR 7803 [4]; Matter of Pell v Board of Educ., 34 NY2d 222, 230-231) and the proceeding must be transferred to the Appellate Division (CPLR 7804 [g]). Even where the proceeding raises other issues such as procedural challenges, review of which is in the nature of mandamus to review (CPLR 7803 [3]; see, Siegel, NY Prac § 561), the proceeding is a "certiorari” one and must be transferred to the Appellate Division (CPLR 7804 [g]; see, Siegel, NY Prac § 568, at 796). In determining the appropriate procedure, the petition must be examined to determine whether a substantial evidence issue is raised (see, Matter of Schanbarger v New York State Commr. of Social Servs., 109 AD2d 1037, lv denied 65 NY2d 604). However, the labels used by the petitioner are not dispositive. Rather, the substance of the petition must be examined. Here, although the petition challenges the Mayor’s action as "arbitrary, capricious and contrary to law”, it is apparent that a challenge is being made to the factual findings of the Mayor. [274]*274Thus, regardless of the terms used by petitioner, a substantial evidence issue has been raised, necessitating transfer to this court (see, Matter of Pratt v Melton, 72 AD2d 887, affd 51 NY2d 837; Matter of Mistler v Tofany, 39 AD2d 710, affd 30 NY2d 870). Under these circumstances, this court is not bound by Supreme Court’s findings and will treat the proceeding as if it had been properly transferred here initially (see, Matter of Smith v Coughlin, 111 AD2d 503, 504-505; see, CPLR 7804 [g]).

Turning to the merits, the Hearing Officer’s determination was rendered after hearing the testimony of 30 witnesses and analyzing 94 exhibits. Such evidence culminated in a 1,400-page transcript and a 53-page finding of fact and recommendations. Yet, less than four hours after receiving such materials, the Mayor claims to have "reviewed all of the relevant transcripts and evidence” and rendered a different decision. At this point, we note that it is clear from the record that the administration of respondent holds a great deal of animosity toward petitioner. Further, the majority of the charges are either extremely vague or concern hypertechnical alleged violations. These factors must be kept in mind when reviewing the Mayor’s decision. With respect to the time charges, the reports of two private investigators hired to follow petitioner were inadequate and deficient. The investigators did not know where petitioner lived, they monitored the whereabouts of his car rather than petitioner himself even though he owned two cars which were not used exclusively by petitioner, they failed to check if he was on business for respondent when he was out of the office, and they did not know there was a rear door entrance to the place of petitioner’s employment until four days into the investigation. The Mayor’s finding of guilt with respect to the time charges was unsupported by substantial evidence in the record and must be set aside.

With respect to the surplus property sale charges, we note that such charges initially consisted of 13 separate counts of alleged impropriety in the conduct of a surplus property sale conducted on January 30, 1986.

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Cite This Page — Counsel Stack

Bluebook (online)
132 A.D.2d 270, 522 N.Y.S.2d 692, 1987 N.Y. App. Div. LEXIS 51557, Counsel Stack Legal Research, https://law.counselstack.com/opinion/segrue-v-city-of-schenectady-nyappdiv-1987.