State of Indiana, Indiana Department of Correction, and Indiana State Employees' Appeals Commission v. Debra Mills

76 N.E.3d 861, 2017 WL 1493003, 2017 Ind. App. LEXIS 176
CourtIndiana Court of Appeals
DecidedApril 26, 2017
DocketCourt of Appeals Case 49A02-1605-PL-998
StatusPublished
Cited by3 cases

This text of 76 N.E.3d 861 (State of Indiana, Indiana Department of Correction, and Indiana State Employees' Appeals Commission v. Debra Mills) is published on Counsel Stack Legal Research, covering Indiana Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

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State of Indiana, Indiana Department of Correction, and Indiana State Employees' Appeals Commission v. Debra Mills, 76 N.E.3d 861, 2017 WL 1493003, 2017 Ind. App. LEXIS 176 (Ind. Ct. App. 2017).

Opinions

Riley, Judge.

STATEMENT OF THE CASE

Appellants-Respondents, State of Indiana (State), Indiana Department of Correction (DOC), and Indiana State Employees’ Appeals Commission (SEAC) (collectively, the State), appeal the trial court’s Order on Petition for Judicial Review, granting judgment in favor of Appellees-Petitioners, Debra Mills (Mills), Thomas Bird (Bird), Jay Matthews (Matthews), Chris Weeks (Weeks), Linda Rumple (Rumple), Darrel Miller (Miller), and Scott Gillenwater (Gillenwater) (collectively, the Employees).1

We affirm in part, reverse in part, and remand for further administrative proceedings.

ISSUE

The State raises three issues on appeal, which we consolidate and restate as the following single issue: Whether the trial court erred in reversing the. Final Order of the SEAC based on the fact that the State presented substantial evidence that the Employees were laid off from their positions at the DOC in accordance with statutory requirements.

FACTS AND PROCEDURAL HISTORY

In 2009, Indiana’s governor and the commissioner of the DOC implemented the “Facility Forward” initiative, which was designed to “enhance prison capacity, maximize current state property and assets, decrease spending through cost savings, and increase overall efficiencies, while still providing the utmost safety and security for the State of Indiana.” (Agency Record Vol. II, p. 342). Part of the Facility Forward plan called for transferring the juvenile inmates from the Indianapolis Juvenile Correctional Facility (IJCF) in Indianapolis, Marion County, Indiana, to a new facility—the Madison Juvenile Correctional Facility (MJCF)—in Madison, Jefferson County, Indiana. The MJCF was slated for opening in October of 2009. Part of the cost-saving measures of the Facility Forward initiative also included replacing certain DOC employees with private contractors.

On July 7, 2009, DOC administrators and representatives from the Indiana State Personnel Department (SPD) called for a meeting with the institutional teachers at the IJCF—ie., the Employees. The Employees were notified that, in conjunction with the transfer of the juvenile offenders to the MJCF, the institutional teaching positions at IJCF were being eliminated because the DOC intended to fill the teaching roles through contracts with universities. Accordingly, the Employees’ employment would be terminated as of August 14, 2009. During subsequent meetings with the Employees on July 10, 2009, and July 17, 2009, it was made clear to the Employees that they were being [865]*865laid off due to the elimination of their positions; they were not being terminated for cause.

At the time, Indiana’s State Personnel Act was in effect, which set forth specific procedures to be used in the event of a layoff of merit employees in the State’s classified service (which, as the parties agree, applies to the Employees). See Ind. Code § 4-15-2-32 (repealed by P.L. 229-2011, Sec. 269, effective July 1, 2011). Upon a department head’s determination that a layoff was necessary, the department head was required to notify the director of the SPD, who would then compute the retention points of each employee within the affected class based upon the employees’ seniority, service ratings, veterans’ preference status, and employment status. I.C. § 4-15-2-32(a) (repealed 2011). These retention scores were to be utilized to determine the order of layoff, whether employees were eligible to displace (ie., bump) others in the department, and the employees’ priority status on a re-employment list. I.C. § 4-15-2-32 (repealed 2011). At each of the meetings discussing their impending layoff, the Employees requested copies of their retention scores. While a few Employees recalled that the SPD representatives promised to provide the retention scores at a subsequent meeting but failed to do so, other Employees stated that they were explicitly told that retention scores would not be figured because their positions were being eliminated and they had no bumping or other layoff rights. Regardless, it is undisputed that the Employees were not provided with a copy of their retention scores until after litigation commenced.

On July 31, 2009, the Employees filed individual merit complaints with the DOC, indicating that they were wrongfully terminated without cause, that their terminations were retaliatory, that they had not been advised of their retention points, that their bumping/reassignment rights were ignored, and that the timing of the termination .created a hardship.2 Although not all of the Employees sought specific relief, others explicitly requested to be retained in their current positions at their current salaries or to otherwise be reassigned as an institutional teacher at another DOC facility. On August 3, 2009, the DOC responded to the Employees and advised that; it was unable to provide the requested relief. On August 14, 2009, the Employees were officially terminated from their institutional teaching positions with the DOC.

Sometime after the July meetings, the Employees received letters regarding their layoffs and were asked -to -submit a form indicating whether they wanted to be considered for re-employment should any other institutional teaching positions become available. All of the Employees opted to be placed on a re-employment list, with some of them specifying that they would be willing to work within any county in Indiana and with others indicating that they would accept employment only in certain counties. At the time he received his layoff letter, Bird also received notice that he was eligible to “bump” into a correctional sergeant or a correctional officer position; Bird declined these DOC employment opportunities. (Agency Tr. p. 155). In addition, shortly after the layoff, both Weeks and.Mellott received letters, inviting them to accept .an institutional teacher position in a DOC facility in Fort Wayne, Indiana. Weeks declined, but Mel-lott accepted the position; however, Mel-lott quit after thirteen weeks upon diseov-[866]*866ering that layoffs were imminent at that facility as well. Also, at some point after the layoff, both Miller and Hygh received letters from the SPD indicating that they had been declined for state jobs for which they had never applied.

On August 18, 2009, the Employees appealed their terminations to the SPD. On August 25, 2009, the SPD denied the Employees’' merit complaints because it found that the DOC had followed the proper procedures for layoffs. The SPD further informed the Employees that they had been’ “placed on a Recall list for the Institutional Teacher classification and will remain on the list for one (1) year from the date of the layoff.” (Agency Record Yol. I, P-7V

On September 9, 2009, the Employees filed requests for administrative review with the SEAC,3 which-would be heard by an administrative law judge (ALJ). On October 5, 2009, the-ALJ conducted a prehearing conference and issued a Scheduling Order on October 13, 2009. Pursuant to the Scheduling 'Order, the “[SPD] [was to] calculate retention scores for [the Employees], And [SPD] and/or [the DOC] [would] answer and document whether any institutional teacher positions exist currently in Marion County.

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76 N.E.3d 861, 2017 WL 1493003, 2017 Ind. App. LEXIS 176, Counsel Stack Legal Research, https://law.counselstack.com/opinion/state-of-indiana-indiana-department-of-correction-and-indiana-state-indctapp-2017.