Stampfli v. Susanville Sanitary District

District Court, E.D. California·Decided June 16, 2021·No. 2:20-cv-01566·Unknown

Opinion

1 2 3 4 5 6 7 10 ----oo0oo---- 11 12 DEBORAH STAMPFLI, an individual, No. 2:20-cv-01566-WBS-DMC

13 Plaintiff, 14 MEMORANDUM AND ORDER RE: v. SUSANVILLE SANITARY DISTRICT, 15 STEVEN J. STUMP, JOHN MURRAY, SUSANVILLE SANITARY DISTRICT, a ERNIE PETERS, DAVID FRENCH, 16 political subdivision of the KIM ERB, AND MARTY HEATH’S State of California, STEVE J. MOTION TO DISMISS 17 STUMP, in his individual and official capacities, ERNIE 18 PETERS, in his individual and official capacities, DAVID 19 FRENCH, in his individual and official capacities, KIM ERB, in 20 his individual and official capacities, MARTY HEATH, in his 21 individual and official capacities, DOES I-V, inclusive, and ABLE & BAKER COMPANIES, 23 inclusive,, 24 Defendant. 25 26 ----oo0oo---- 27 Plaintiff Deborah Stampfli (“plaintiff”) brought this 28 action against the Susanville Sanitary District (“District”), 1 Steve J. Stump, John Murray, Ernie Peters, David French, Kim Erb, 2 Marty Heath, Black & White Corporations I-V, Able and Baker 3 Companies, and Does 1-5 inclusive, for breach of express 4 contract, breach of implied-in-fact contract, promissory 5 estoppel, violation of district laws, policies, and procedure, 6 deprivation of federal and state procedural due process rights, 7 conspiracy to deprive plaintiff of procedural due process rights, 8 and failure to produce public records. 9 Defendants now move to dismiss the Second Amended 10 Complaint pursuant to Federal Rule of Civil Procedure 12 (b)(6) 11 for failure to state a claim upon which relief can be granted. 12 (“Mot. to Dismiss” (Docket No. 42).) 13 I. Factual and Procedural Background 14 Plaintiff was hired as treasurer by the District in 15 2005. (See 2d. Am. Compl. (“SAC”) at ¶ 90 (Docket No. 38.)) At 16 the time of her hiring, plaintiff was informed that she would be 17 a member of Operating Engineers Local Union No. 3 and that she 18 would be entitled to the benefits and protections of the 19 agreements between the union and the District, including the 20 right to continued employment and termination only for good cause 21 and after the satisfaction of procedural requirements. (See id.) 22 From 2005 to 2013, plaintiff performed her assigned duties and a 23 host of additional duties typically performed by supervisory 24 personnel, and consistently received high performance 25 evaluations. (See id. at ¶ 91.) 26 By October 2013, plaintiff was performing many 27 management and administrative functions but, because she was a 28 union member, she could not participate in confidential meetings 1 of the District’s Board of Directors (“the board”). (See id. at 2 ¶ 94.) Her inability to participate in these meetings was 3 inconvenient because the board frequently had to stop meetings or 4 delay them to obtain information possessed only by plaintiff. 5 (See id.) Because of these difficulties, the board proposed the 6 creation of a new management level position with the District 7 entitled “Office Administrator” which would allow plaintiff to 8 participate in confidential board meetings but would require her 9 to relinquish her union membership. (See id.) 10 When plaintiff was offered this new position, she 11 declined it because she did not wish to lose the job security 12 offered by her union affiliation. (See id. at ¶ 96.) In 13 response to her concerns, plaintiff was advised by the General 14 Manager and the District’s general counsel that although she 15 could not remain a union member, she would not become an at-will 16 employee and would be afforded all the job security rights and 17 benefits available to union members. (See id. at ¶ 98.) 18 Plaintiff was promised that her employment with the District 19 would only be terminated for cause and in accordance with 20 established Skelly procedures.1 (See id.) Because of these 21 representations, plaintiff relinquished her position as treasurer 22 and accepted the new position of Office Administrator. (See id. 23 at ¶ 99.) 24 1 The term Skelly procedures refers to the California 25 Supreme Court case Skelly v. State Personnel Board, 15 Cal.3d 194 (1975). In Skelly, the California Supreme Court held that a 26 permanent public employee’s property rights (i.e. their vested 27 right to continued employment) cannot be taken away by an employer without first being afforded certain procedural 28 safeguards. See id. at 215. 1 During 2016, plaintiff performed many duties typically 2 performed by the General Manager. (See id. at ¶ 104.) By 3 October 2017, the General Manager recommended to the board that 4 plaintiff be provided a 20% salary increase to account for the 5 additional duties she performed and that she receive the 6 additional title of Assistant General Manager. (See id. at ¶ 7 109.) During an October 2017 board meeting, the board stated 8 that plaintiff’s additional duties would likely be temporary 9 until such time as a new general manager had obtained sufficient 10 experience. (See id. at ¶ 112.) Plaintiff was fully aware that 11 there might come a time when the new General Manager no longer 12 needed her assistance in performing the duties and functions of 13 General Manager, and was led to believe that if this change 14 occurred, she would be relieved of any additional Assistant 15 General Manager duties, but would continue to perform all the 16 functions she previously performed as Office Administrator. (See 17 id. at ¶ 114.) Plaintiff was never told that her position as 18 Office Administrator had somehow been converted to a position 19 terminable at will or that she could summarily be deprived of her 20 permanent position of Office Administrator. (See id.) However, 21 the board approved the recommended change and prepared a new job 22 description which stated that the plaintiff would work in 23 conjunction with the District’s General Manager. (See id. at ¶ 24 113.) 25 While the aforementioned events were unfolding, a 26 nearby local utility district discovered that its General Manager 27 had embezzled money from the district. (See id. at ¶ 116.) The 28 members of the District’s board wished to ensure that the 1 District not be victimized in the same fashion. (See id.) 2 Plaintiff was specifically instructed to keep the board apprised 3 of any changes which might impair the security of the District’s 4 financial accounting services. (See id.) 5 In March 2018, the District hired defendant Steve Stump 6 to the position of probationary General Manager, and he relied 7 heavily on plaintiff for matters pertaining to administrative 8 operations. (See id. at ¶ 118.) Following the completion of 9 General Manager Stump’s probationary period, he became 10 increasingly hesitant to work in conjunction with the plaintiff. 11 (See id. at ¶ 122.) As part of his efforts to strip plaintiff of 12 any perceived co-equal authority she may have had with him, he 13 unilaterally amended plaintiff’s job description to eliminate the 14 requirements that she work “in conjunction with” the General 15 Manager. (See id. at ¶ 123.) 16 In April 2019, General Manager Stump wanted plaintiff 17 to shift funds from various accounts to allow for the purchase of 18 a portable generator. (See id. at ¶¶ 125–26.) Given plaintiff’s 19 instructions from several board members regarding the financial 20 affairs of the District, she requested that General Manager Stump 21 delay this purchase until after a new budget for 2020 was created 22 or seek approval from the board for the purchase. (See id.) 23 This infuriated him because he believed plaintiff was refusing to 24 acknowledge his authority over her. (See id.) 25 General Manager Stump realized that plaintiff was in 26 control of the District’s finances because certain computer 27 programs which controlled the District’s finances were only on 28 the accounting department’s computers. (See id.

Free access — add to your briefcase to read the full text and ask questions with AI

Stampfli v. Susanville Sanitary District, (E.D. Cal. 2021).

Stampfli v. Susanville Sanitary District (Stampfli v. Susanville Sanitary District) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

Related

Board of Regents of State Colleges v. Roth
408 U.S. 564 (Supreme Court, 1972)
Scheuer v. Rhodes
416 U.S. 232 (Supreme Court, 1974)
Monell v. New York City Dept. of Social Servs.
436 U.S. 658 (Supreme Court, 1978)
Harlow v. Fitzgerald
457 U.S. 800 (Supreme Court, 1982)
Pembaur v. City of Cincinnati
475 U.S. 469 (Supreme Court, 1986)
Bell Atlantic Corp. v. Twombly
550 U.S. 544 (Supreme Court, 2007)
Ashcroft v. Iqbal
556 U.S. 662 (Supreme Court, 2009)
Pearson v. Callahan
555 U.S. 223 (Supreme Court, 2009)
Larry J. Adams v. State of Indiana
795 F.2d 27 (Seventh Circuit, 1986)
James Gillette v. Duane Delmore, and City of Eugene
979 F.2d 1342 (Ninth Circuit, 1992)
Michael Lacey v. Joseph Arpaio
693 F.3d 896 (Ninth Circuit, 2012)
Skelly v. State Personnel Board
539 P.2d 774 (California Supreme Court, 1975)
Kleinecke v. Montecito Water District
147 Cal. App. 3d 240 (California Court of Appeal, 1983)
Loehr v. Ventura County Community College District
147 Cal. App. 3d 1071 (California Court of Appeal, 1983)
Dilts v. Cantua Elementary School District
189 Cal. App. 3d 27 (California Court of Appeal, 1987)
MONTEILH v. County of Los Angeles
820 F. Supp. 2d 1081 (C.D. California, 2011)
Eureka Teacher's Assn. v. Board of Education
202 Cal. App. 3d 469 (California Court of Appeal, 1988)
Galbiso v. Orosi Public Utility District
167 Cal. App. 4th 1063 (California Court of Appeal, 2008)