Kennedy v. Board of Shawnee County Comm'rs
Case Date: 04/24/1998
Court: Supreme Court
Docket No: 79164
264 Kan. 776 No. 79,164 TIMOTHY KENNEDY, Appellant, v. BOARD OF COUNTY COMMISSIONERS OF SHAWNEE COUNTY, KANSAS; VICTOR MILLER, individually and in his official capacity as a Commissioner of Shawnee County, Kansas; and DONALD COOPER, individually and in his official capacity as a Commissioner of Shawnee County, Kansas, Appellees. SYLLABUS BY THE COURT 1. The statutory standard of review under the Act for Judicial Review and Civil Enforcement of Agency Actions, K.S.A. 77-601 et seq., is discussed and applied. 2. Under K.S.A. 19-431, governing the removal of a county appraiser from office, an order of termination is effective as a suspension with full benefits pending a hearing on the order before the Director of Property Valuation. 3. The question of what process is due in a given factual situation under the Due Process Clause of the United States Constitution is a legal one. 4. The record is examined, and it is held that the district court did not err in finding that (1) there was substantial evidence to support the findings of fact made by the presiding officer acting on behalf of the Director of Property Valuation; (2) just cause existed to remove the plaintiff from the office of county appraiser; (3) appointment to or removal from the office of county appraiser is controlled by statute; (4) plaintiff had no liberty or property interest in the term of office beginning on July 1, 1993; (5) the requirements of due process were met in the removal of the plaintiff from the office of county appraiser; (6) plaintiff's letter to the chairman of the Board of Tax Appeals was not constitutionally protected speech nor was it the motivating reason for his removal from the office of county appraiser; and (7) summary judgment was proper as there were no disputed facts material to the conclusive issues in this case. Appeal from Shawnee district court; FRANKLIN R. THEIS, judge. Opinion filed April 24, 1998. Affirmed. William G. Haynes, of Frieden, Haynes & Forbes, of Topeka, argued the cause and was on the briefs for appellant. Laura M. Graham, assistant county counselor, argued the cause, and Sandra L. Jacquot, county counselor, was with her on the brief for appellee Board of Shawnee County Commissioners. Anne Lamborn Baker and Thomas E. Wright, of Wright, Henson, Somers, Sebelius, Clark & Baker, L.L.P., of Topeka, were on the brief for appellee Victor Miller. Ann L. Hoover, of Bennett & Dillon, L.L.P., of Topeka, was on the brief for appellee Donald Cooper. The opinion of the court was delivered by ALLEGRUCCI, J.: Timothy Kennedy appeals his removal from the office of Shawnee County Appraiser. The Director of the Property Valuation Division of the Kansas Department of Revenue (Director) upheld the removal as being for just cause. Kennedy appealed that decision to the district court and filed a separate lawsuit against individuals Donald Cooper and Victor Miller, who were county commissioners, as well as against the Board of County Commissioners of Shawnee County, Kansas, (Board) in which he raised constitutional issues--some cast as violations of 42 U.S.C. § 1983 (1994)--and contract issues, and alleged retaliatory discharge. In the district court, the two suits were consolidated. The district court affirmed the administrative decision and granted defendants' motions for summary judgment on all other issues. Kennedy appeals from both rulings. Kennedy's motion to transfer the appeal from the Court of Appeals to this court was granted. The facts material to this appeal are not controverted. It is undisputed that Kennedy was appointed as Shawnee County Appraiser in August 1992. On January 4, 1993, the Board passed Resolution 93-1, stating that it desired to contract and reappoint Kennedy as county appraiser, pursuant to K.S.A. 19-430, for a 4-year term from July 1, 1993, through June 30, 1997. Newly elected County Commissioners Miller and Cooper were sworn in on January 11, 1993. Immediately, the Board passed Resolution 93-5, which repealed Resolution 93-1. In March 1993, the Board stated its resolve to search for a county appraiser for the 4-year term beginning July 1, 1993. The minutes of the Board for April 6, 1993, show that the majority approved a motion for "appointment of Tim Kennedy as Shawnee County Appraiser for four years." On May 27, 1993, the Board passed Resolution 93-72, terminating Kennedy as county appraiser. The "Order of Termination" attached to Resolution 93-72 stated, in part:
Also on May 27, 1993, the Board passed Resolution 93-71, rescinding the April vote to appoint Kennedy for 4 years. Additional facts will be stated as necessary to the discussion of particular issues. We first consider the district court's affirmance of the Director's decision that Kennedy's termination was for just cause. Kennedy's removal from office was effected by the Board's passage of Resolution No. 93-72 on May 27, 1993. The order of termination was attached to the resolution. K.S.A. 79-1412a(a) provides:
The Shawnee County Appraiser job description stated, in part:
The findings of fact made by the administrative hearing officer with respect to Kennedy's failure to perform his administrative duties satisfactorily can be summarized as follows: 1. Kennedy failed to provide lease information requested by the Board of Tax Appeals (BOTA) that he had agreed, under oath, to provide. 2. Temporary employees were assigned by Kennedy to work on 1993 values without Board authorization for their performing that task. 3. Under Kennedy's watch, temporary employees rolled values over to 1993 based on 1992 hearing values that were rejected by BOTA pending hearing or receipt of further documentation. 4. Kennedy failed to take the steps necessary to obtain an order from BOTA authorizing 1992 values, which had been set pursuant to a payment under protest hearing, to be frozen or rolled over to 1993. The order was required by the Director, and Kennedy had been advised by the county counselor that it was a necessity. 5. Although Kennedy had not requested or received an extension of the May 20 statutory deadline, K.S.A. 1993 Supp. 79-1448, he directed a memorandum to be prepared and circulated on May 21, informing his staff that the deadline for completing informal decisions on taxpayer appeals was June 8, 1993. 6. Kennedy told county commissioners in February 1993 that the value of new construction would be included in valuation notices to be mailed in March. Kennedy sent a memorandum to Commissioner Miller identifying several parcels for which the value of new construction had not been added before valuation notices were mailed. Records showed, however, that as of April 1993, there were 1,094 parcels on which 1992 building permits for new construction had been issued to which no value had been added. The task of picking up new construction continued into May 1993. 7. Kennedy requested and obtained an extension of the statutory deadline of March 1, K.S.A. 1993 Supp. 79-1460, for mailing valuation notices. When the notices were mailed on March 15, approximately 3,500 were erroneous and illegal. 8. Contrary to established practice, Kennedy instructed staff to use unvalidated sales in the valuation process. 9. Kennedy failed to forward files requested by the county clerk. Repeated attempts by the county clerk and her staff to resolve the problem were unsuccessful. Even when County Commissioner Cooper intervened, weeks passed without results.
On May 10, BOTA sent a list of over 600 rejected justifications to the county clerk and the Board. Only 23 were not attributable to Kennedy. On May 14, Kennedy announced appointments to an Appraisal Advisory Committee. Because all appointees resided west of Topeka Boulevard, state and county lawmakers expressed concern that the advisory committee was not representative and not in compliance with K.S.A. 79-1412a Eighth. 11. The price for potential additional office space for the county appraiser furnished by Kennedy to Commissioner Cooper did not match the price given by a real estate broker to Commissioner Miller, from which Miller concluded that Kennedy misrepresented the cost. 12. There was at the very least an appearance of a conflict of interest in Kennedy's connection with Foxcross Associates before he became county appraiser and his agreeing to reduce valuations by significant amounts on Foxcross Associates property after he became county appraiser. In this regard, the administrative hearing officer found: a. A March 1993 letter written to Commissioners Kingman and Cooper by attorney David Holstead "could reasonably be read as evidence Kennedy had been engaged by the Carpenter [law] firm to work on the Foxcross property" prior to his appointment as county appraiser. b. Prior to being appointed county appraiser in August 1992, Kennedy testified at a May 1992 BOTA hearing on Foxcross Associates. He was introduced by Foxcross Associates' attorney Holstead as his witness who would "'provide evidence concerning the Taxpayer's position on the value.'" c. Kennedy did not include in a March 1993 list of former clients he prepared for Commissioner Miller either Foxcross Associates or the Carpenter law firm. d. "On September 10, 1992, Kennedy, as Shawnee County Appraiser, signed stipulations reducing values on Foxcross Associates parcels from $507,100 to $300,386 and from $1,103,300 to $710,000." The stipulations were rejected by BOTA on the following grounds:
The district court determined that the "findings of fact in the August 9, 1994 Memorandum Opinion, Findings of Fact, Conclusions of Law and Order of Michael Barbara as Presiding Officer Acting on behalf of the Director of Property Valuation are supported by substantial evidence and are hereby affirmed." To what the administrative hearing officer had said, the district judge added his observations that Kennedy failed to grasp that his duties as a county officer included functioning as a part of the county system rather than in an adversarial position. The judge noted that some of Kennedy's actions jeopardized the health and integrity of the county's tax base as well as taxpayers' opportunities to challenge valuations. In the judge's view, the appearance of a conflict of interest in favor of a developer, Kennedy's failure to be forthright about it, and his appointment of an advisory committee composed entirely of "persons with a 'westside' interest" combined to contribute to the fraying of "the only real important bond the county commission could enjoy with a county appraiser[,] which was one of trust in his office." The district court elaborated on this erosion of trust:
The principles governing judicial review are established by statute. In Southwest Kan. Royalty Owners Ass'n v. Kansas Corporation Comm'n, 244 Kan. 157, 164-65, 769 P.2d 1 (1989), this court stated:
"Arbitrary or capricious conduct may be shown where an administrative order is not supported by substantial evidence. [Citations omitted.] 'Substantial evidence' is evidence which possesses both relevance and substance, and which furnishes a substantial basis of fact from which the issues can be reasonably resolved. [Citation omitted.]" Kansas Racing Management, Inc. v. Kansas Racing Comm'n, 244 Kan. 343, 365, 770 P.2d 423 (1989). Neither the district court nor an appellate court may substitute its judgment for that of the administrative agency. Pork Motel, Corp. v. Kansas Dept. of Health & Environment, 234 Kan. 374, 382, 673 P.2d 1126 (1983). This court's responsibility is to determine if the district court reviewed the administrative decision in accordance with its statutory responsibility. Shawnee Mission Med. Center v. Kansas Dept. of Health & Environment, 235 Kan. 983, 989, 685 P.2d 880 (1984). So long as the record contains competent evidence in support of the decision, it must be upheld by this court. Kansas Transport Co., Inc. v. State Corporation Commission, 202 Kan. 103, 105, 446 P.2d 766 (1968). Kennedy contends that the administrative hearing officer's findings of fact "are not supported by substantial evidence in light of the record as a whole and did not justify the vote to terminate Kennedy." What Kennedy means by "the record as a whole" seems to be his version of the incident or conduct as well as the Board's version. In some instances, he seems to be asking this court to reweigh the evidence, which is not within the scope of review. In other instances, however, he endeavors to show that findings are not supported by substantial evidence. As to the finding that Kennedy failed to provide lease information requested by BOTA, he contends that he "told the BOTA member he did not know whether any such leases existed but[,] if there were any, he would furnish them." There were no leases, he further contends, which explains why he furnished none. Kennedy's contention is not supported by the record. At the hearing before the administrative hearing officer, Kennedy testified, "Myra Gross asked me for leases, asked me if I had leases that I had used to compile the income analysis or to support the rents in the area, and I told her, yes, and to the extent we had them, I would send them to her." (Emphasis added.) Kennedy implies that his use of temporary employees was necessary to his carrying out his duties of office. The hearing officer's findings in this regard were that Kennedy sought and obtained authorization from the Board to employ temporary workers "to complete 1991 and 1992 payment under protest [PUP] informal hearings," and that he used the temporary workers for other tasks. With respect to the rollovers, Kennedy's position seems to be that there is an unresolved legal issue as to whether the values could be rolled over "while BOTA was deciding whether to set them for hearing." He states that Commissioner Miller, who was qualified as an expert witness on the State's appraisal system, testified that he believed that PUP decisions were not final until approved by BOTA and that K.S.A. 1993 Supp. 79-1460 precluded their being rolled over. What Kennedy has presented to this court does not show a lack of substantial evidence supporting the hearing officer's findings on this point. As to the May 21 staff memorandum, Kennedy quotes this portion of the memorandum in his brief:
Kennedy's contention seems to be that the Board proved neither that recipients of the memorandum believed that they were being instructed to make informal decisions after May 20 nor that any informal decisions were made between May 20 and May 27, when Kennedy was removed from office. Proof of either, however, is unnecessary to the finding. In response to Kennedy's failure to include the value of new construction in valuation notices to be mailed in March, he cites testimony of the Director to the effect that it would be possible to add the value of new construction up to June 15, when the county appraiser was required to certify the valuations. On this basis, Kennedy seems to be contending that the failure to include the value of new construction in the valuation notices mailed in March was inconsequential. With regard to his failing to do what he had told the Board would be done, he implies that the failure was not a reason given by the Board for removing him from office. He concedes, however, that Miller testified that he voted to terminate Kennedy due to his deceit. Kennedy raises two points with respect to the approximately 3,500 erroneous notices. First, he asserts that the Director predicted in June 1992 that approximately 3,500 incorrect valuation notices would be mailed in March 1993. It could be inferred from such a prediction, made well before Kennedy was appointed, that he was not responsible for the erroneous notices. Kennedy, however, failed to supply a record reference for the prediction. Second, he cites testimony of David Galloway, who became the acting county appraiser after Kennedy was removed from office, seemingly for the purpose of showing that the erroneous notices resulted from shortcomings in the computer system. Kennedy also directs the court's attention to Kansans for Fair Taxation, Inc. v. Miller, 20 Kan. App. 2d 470, 472, 889 P.2d 154, rev. denied 257 Kan. 1092 (1995), in which Judge (now Justice) Larson described problems created by the computer system after the valuation notices were sent out in March 1993. It is beyond question that the computer system caused its share of problems in the present case. Whether Kennedy is free of responsibility for the erroneous March 1993 notices is not clear from what has been presented to this court. Galloway testified with regard to the 3,500 erroneous notices, "[I]n comparison to the past, that wasn't really a great number." Establishing that the number of erroneous notices under Kennedy's supervision was not unusual goes a long way toward diminishing the significance of the hearing officer's finding on this point. Responding to the finding that Kennedy instructed staff to use unvalidated sales in the valuation process, he asserts that Phillip Rice, who supervised data collectors for the appraiser's office, "testified that when Kennedy took office in August 1992, he instructed staff not to pick up new construction but the record is devoid of evidence Rice testified Kennedy instructed staff not to validate sales used in neighborhood analysis." Kennedy's assertion is inaccurate. The following questions were asked of Rice, and he gave the following answers:
Kennedy's position on the appointments to the Appraisal Advisory Committee is that the appointments announced on May 14 were initial appointments, to be followed at some later date by additional ones that would "reach out to the entire community." In addition to his own testimony that his intent was to make the committee more representative by later adding members, Kennedy cites his May 14 memorandum for support. It is a memorandum to the appointees from Kennedy with copies to the county commissioners, which states in full:
What Kennedy has presented to this court does not show a lack of substantial evidence supporting the hearing officer's findings. Kennedy explains that the price discrepancy on office space arose because the price he gave was for a "triple net lease." Examination of the memorandum reveals no explanation of the price. It is a four-page memorandum listing 15 potential office spaces and recommending a building on Wanamaker Road as "clearly the most desirable. In addition to having the lowest rent, it can be occupied immediately, is fully handicapped accessible, has adequate parking, is wired for the computer, has a phone system, and is accessible from all parts of the county." Kennedy does not define a "triple net lease." Black's Law Dictionary 1040 (6th ed. 1990) defines a "net lease" as one requiring the tenant to pay insurance, taxes, and maintenance. If the prices Kennedy gave for the other 14 potential spaces were not on the same basis, the memorandum and its conclusion could be misleading with regard to which property was "most desirable" as well as somewhat generally misleading by not specifying what the price per square foot did not include. Kennedy has not presented anything that would undermine the hearing officer's findings. Finally, with respect to the conflict of interest finding, Kennedy states that he was never a paid consultant for either the Carpenter law firm or Foxcross Associates. This denial does not dispel the appearance of a conflict of interest. Kennedy has the burden of showing that the agency's decision was invalid based on determinations of fact not supported by substantial evidence or that it was otherwise unreasonable, arbitrary, or capricious. He has failed to do so. Kennedy also challenges the district court's interpretation of K.S.A. 19-431 and its conclusions that Kennedy had no enforceable agreement, express or implied, for employment as Shawnee County Appraiser for the 4-year term beginning July 1, 1993. K.S.A. 1997 Supp. 19-430(a) provides: "On July 1, 1993, and on July 1 of each fourth year thereafter, the board of county commissioners of each county shall by resolution appoint a county appraiser for such county who shall serve for a term of four years and until a successor is appointed." The statute in effect at the time Kennedy was employed as Shawnee County Appraiser was K.S.A. 1992 Supp. 19-430, which provided: "On January 15, 1977, and on July 1 of each fourth year thereafter the board of county commissioners . . . shall . . . appoint a county appraiser . . . who shall serve for a term of four years." It further provided that a vacancy was to be filled by appointment of the board of county commissioners "for the unexpired term and until a successor is appointed." The record shows that Kennedy was appointed to the position of Shawnee County Appraiser on August 11, 1992, to fill a vacancy for an unexpired term, or until June 30, 1993. Kennedy contends that the Board had committed to appoint him as county appraiser for the 4-year term from July 1, 1993, to June 30, 1997. Kennedy has not challenged the district court's findings of fact that relate to this contention. The district court found the following:
At the Board's regular, public meeting of May 27, 1993, Cooper and Miller passed Resolution No. 93-72, which removed Kennedy from the position of county appraiser. The district court further found: "On May 27, 1993, the Board passed Resolution No. 93-71 rescinding the April 6, 1993, action taken regarding Tim Kennedy's appointment and declared the April 6, 1993, action null and void." Based on the Board's actions with respect to appointing him for the 4-year term beginning July 1, 1993, Kennedy contends that he had an implied contract for that period. In the administrative proceedings, "Judge Barbara found . . . that [Kennedy] had no claim for the four-year term beginning July 1, 1993, as a matter of state law." The administrative hearing officer's conclusions of law included the following with respect to that four-year term:
In the appeal of the administrative decision, the district court agreed that "Kennedy's claim to a second term beginning July 1, 1993, was as a matter of state law foreclosed to him and consequently not properly a part of the K.S.A. 19-431 proceedings." The district court set out the following reasoning and conclusion that Kennedy did not have an implied contract and, in fact, never had more than an expectation for employment for the term beginning July 1, 1993:
With regard to why constitutional contentions Kennedy made for the term beginning July 1, 1993, lacked merit, the district court stated:
In conclusion, the district court stated that because "Kennedy was never effectively appointed to the four-year term of office beginning July 1, 1993, he was not entitled to a due process hearing pursuant to the provisions of K.S.A. 19-431 nor entitled to any salary or benefits in connection with the term of office beginning July 1, 1993." In this appeal, Kennedy contends that the Board had the authority to agree to continue his employment for the term beginning July 1, 1993, and that it entered into either an expressed or implied contract with him to do so. His argument is comprised of nothing more than the bare assertion--he offers no suggestions for contravening the conclusions of the administrative hearing officer and the district court or for contriving an alternative rationale. He does, however, cite a number of cases. For the proposition that the Board had authority to agree to continue his employment, Kennedy invites the court to compare Edwards County Comm'rs v. Simmons, 159 Kan. 41, 151 P.2d 960 (1944), with the present case. The primary question in Edwards County was whether the contract--a contingency fee agreement--entered into by the county board in 1931 and under which Simmons performed services during the years that followed was valid and binding on subsequent boards. Attorneys J. S. Simmons and Harold Fatzer represented Edwards County in Reno County District Court on a tax claim against a railroad. A sizeable settlement was paid directly to the attorneys, who subtracted their fee from it before paying the balance to the county. There was
The court examined pertinent case law at length, concluding that the issue had to be decided on a case-by-case basis. It stated:
The court found that the board's contract with Simmons was of the latter type:
Given that the primary question in Edwards County was whether a contract survives a change of elected officials, its relevance for the present case would be to the question of whether Resolution 93-1 was binding on the county commissioners sworn in the following week. If the newly sworn-in board had not taken steps to revoke it, whether Resolution 93-1 was binding on the subsequent board might be of some interest. The subsequent board, however, did revoke the resolution, and there is every indication in Edwards County that it had the authority to do so. By extension, the Board that was sworn in in January 1993 also would have the authority to revoke or terminate a contract of its own making. Thus, even if it could be said that the motion passed by the Board on April 6 gave rise to a contract with Kennedy for the 4-year term beginning July 1, the Board's action of May 27 would have revoked it. Also for the proposition that the Board had authority to agree to continue his employment, Kennedy cites a number of other cases. Examination of those cases reveals none that offers any more support for his position than Edwards County does. In fact, in State, ex rel., v. Wyandotte County Comm'rs, 131 Kan. 747, 748, 293 Pac. 525 (1930), the court quoted the following:
The other proposition put forward by Kennedy is a compound one, stated as follows in his brief: "The offer to continue Kennedy's employment for the 4-year term beginning July 1, 1993, authorized by Resolution 93-1, accepted by Kennedy, was either an expressed or implied contract to continue Kennedy's employment through June 30, 1997, creating a 'property right' to the second 4-year term of office subject to due process protection." The Kansas cases he cites in support are employment contract cases. Brown v. United Methodist Homes for the Aged, 249 Kan. 124, 815 P.2d 72 (1991); Morriss v. Coleman Co., 241 Kan. 501, 738 P.2d 841 (1987); and Allegri v. Providence-St. Margaret Health Center, 9 Kan. App. 2d 659, 684 P.2d 1031 (1984). Each of these cases represents an installment in the development of various theories that have relaxed the former strict adherence to the employment-at-will doctrine in the courts of this state. In Brown, the court concluded that sufficient evidence of an implied contract of employment existed in the personnel manual plus testimony about the employer's philosophy and practice to submit the question to the jury. 249 Kan. at 138-39. In Morriss, the court concluded that summary judgment was improper where the personnel manual plus verbal and nonverbal conduct of the employer's supervisors and the employer's policies in dealing with its employees were sufficient to raise a genuine issue of material fact with respect to an implied contract. 241 Kan. at 513-14. In Allegri, the Court of Appeals concluded that summary judgment was improper where the employee handbook plus favorable evaluations and salary increases, an administrator's statement that Allegri could work until retirement, and his accommodating the employer's needs constituted sufficient evidence to require the matter to be submitted to a jury. 9 Kan. App. 2d at 664. There is nothing comparable in any of these cases to the appointment of a county appraiser pursuant to K.S.A. 1997 Supp. 19-430 or his or her removal pursuant to K.S.A. 19-431. Under the statutory scheme, a county appraiser is appointed for a 4-year term beginning on a certain date, and there is no provision for continuing employment short of reappointment at the beginning of the next 4-year term. The hallmark of the circumstances of Brown, Morriss, and Allegri in which the court concluded an implied contract might be found was ongoing employment. The position of county appraiser, in contrast, is defined by the statutory 4-year terms. An implied contract of employment in that circumstance would be for the term. If, as Kennedy seems to argue, there were to be an implied contract for a next term, it would be a completely different species of contract from the ones described in Brown, Morriss, and Allegri. The federal district court cases cited by Kennedy are in the same category with the Kansas cases. Kansas law is applied in each, and the analysis involves ongoing employment. In the present case, Kennedy's expectations of reappointment arguably were fostered by the county commissioners on two occasions--the passage of Resolution 93-1 on January 4 and the passage of a motion on April 6. The resolution was passed by an outgoing county commission. It amounted to a gesture that could mean only that if the outgoing Board had the authority to bind the incoming Board, it would do so by reappointing Kennedy for the term that would begin 6 months hence. Even if Kennedy had misinterpreted the gesture, his expectation of being reappointed would have been rectified when the incoming Board immediately rescinded Resolution 93-1. The Board that passed a motion on April 6 for "appointment of Tim Kennedy as Shawnee County Appraiser for four years," in contrast to the Board that passed Resolution 93-1, by virtue of being the Board that would hold office on July 1, 1993, actually did have authority to reappoint Kennedy on that date. It did not have authority to do so in April, however. The statute provides for appointment or reappointment by resolution on July 1, 1993. No other means is available under the statute. Nor is any provision made for a county commission's committing itself in advance of the appointment date to appointing or reappointing a particular person on July 1. In these circumstances, any expectation Kennedy might have had of having his appointment renewed on July 1 was a mere subjective expectancy. In Perry v. Sindermann, 408 U.S. 593, 603, 33 L. Ed. 2d 570, 92 S. Ct. 2694 (1972), the United States Supreme Court made clear that "a mere subjective 'expectancy'" is not protected by procedural due process. On May 27, 1993, the Board passed Resolution 93-72, terminating Kennedy as county appraiser, and on the same day the Board revoked its action of April 6. By these actions, the Board quashed even the subjective expectancy Kennedy might have had. K.S.A. 1997 Supp. 19-430 gives no indication that a person appointed as a county appraiser has any expectation of being appointed for a succeeding term. The current statute, which does not vary in any material measure from the version in effect at the time of Kennedy's suspension, provides, in part:
There is nothing in the statute that supports a claim of entitlement to a renewed appointment. K.S.A. 19-431 governs removing a county appraiser from office. Subsection (a) provides, in part:
The United States Supreme Court has held that tenured public employees have a property interest in continued employment that is protected by the Due Process Clause. Cleveland Board of Education v. Loudermill, 470 U.S. 532, 84 L. Ed. 2d 494, 105 S. Ct. 1487 (1985). Kennedy contends that K.S.A. 19-431 does not satisfy due process requirements and that he was not afforded due process by the hearing held pursuant to K.S.A. 19-431. "The basic elements of procedural due process of law are notice and an opportunity to be heard at a meaningful time and in a meaningful manner. [Citation omitted.]" In re Petition of City of Overland Park for Annexation of Land, 241 Kan. 365, 370, 736 P.2d 923 (1987). The question of what process is due in a given factual situation under the Due Process Clause of the United States Constitution is a legal one. See Murphy v. Nelson, 260 Kan. 589, 594, 921 P.2d 1225 (1996). The constitutional shortcomings of K.S.A. 19-431 are, according to Kennedy, that it "fails to require notice of specific reasons for a proposed termination with an opportunity to be heard prior to removal [of the county appraiser] from office by the county commission." Kennedy misreads the statute with regard to notice. The statute expressly and clearly requires the Board's order terminating the county appraiser to "state the reasons" for the termination. With regard to an opportunity to be heard, the statute provides for a hearing after suspension or termination with the possibility of reinstatement in the event that the Director of Property Valuation concludes that the appraiser should not be terminated. The district court heeded the principle often repeated by this court:
The district court construed removal from office under K.S.A. 19-431 as suspending rather than terminating a county appraiser and suspension as not affecting salary and benefits. The court stated:
In order to restore salary and benefits to Kennedy, the district court included the following provisions in its memorandum opinion and entry of judgment:
As a result of the district court's reasoning and remedy, the May 27, 1993, resolution and order of the county commission deprived Kennedy of no constitutionally protected interests. Thus, in due process terms, it may be said that no predeprivation hearing was required at that time. When the term of office expired June 30, 1993, Kennedy had no continuing constitutionally protected property interest in the position of county appraiser. We find the district court's reasoning to be sound and conclude that the due process requirements were met by the post-suspension hearing conducted by Michael Barbara as designee of the Director. Finally, we consider Kennedy's claim relative to his April 20 letter to Chairman Shriver. A public employee in Kennedy's situation nonetheless may establish a claim to reinstatement if the decision not to renew his appointment was made by reason of his exercise of constitutionally protected First Amendment freedoms. Perry v. Sindermann, 408 U.S. at 597-98. In Kennedy's petition in the district court that raised issues other than those connected to appeal of the administrative decision, he alleged retaliatory discharge. His theory was that he had "suffered a retaliatory discharge because he was terminated for making a statement protected by the First Amendment." The district court treated this count as a "claim that he was terminated from his position as Shawnee County Appraiser for the term ending June 30, 1993, for the exercise of his First Amendment right of freedom of speech." In Copp v. Unified School Dist. No. 501, 882 F.2d 1547, 1551-52 (10th Cir. 1989), one of the cases relied on by Kennedy, the federal appellate court concisely stated the appropriate analysis:
Whether the speech has protected status is a question of law. Riddle v. City of Ottawa, 12 Kan. App. 2d 714, 720, 754 P.2d 465, rev. denied 243 Kan. 780 (1988). Thus, this court makes an independent judgment as to whether the statements at issue are constitutionally protected. See Gillespie v. Seymour, 250 Kan. 123, Syl. 2, 823 P.2d 782 (1991). On the question of whether the letter commented on a matter of public concern, the district court noted that the letter was not free of Kennedy's personal grievances and its tone was defensive, but that the greater portion of its contents centered on tax matters of public concern. The district court concluded that the letter
As very ably observed by the district court, the revenue from property tax is critical to a county's stability, and close working relationships between and among the county appraiser, the county clerk, the county commission, and BOTA are needed to ensure its flow. Kennedy criticized his predecessors in the position of county appraiser, the Board, BOTA, and Chairman Shriver. Kennedy excepted himself from blame. He accused BOTA of being derelict in performance of its duties to taxpayers and questioned the legitimacy of its decisions in property valuation hearings. He stated that Shawnee County's valuations lacked justification, thereby undermining pending appeals. In the view of the district court, even if some discussion of these matters might have been called for in conjunction with efforts to eliminate problems, the time, manner, place, and tone of the letter were unsuitable for that purpose. The district court stated that Kennedy, by his letter,
Having concluded that the letter was not worthy of constitutional protection, the district court did not need to carry its analysis further. However, the district court did continue the three-prong test:
We conclude as follows: The findings of fact by the presiding officer acting on behalf of the Director are supported by substantial evidence, and just cause existed for termination of Kennedy as Shawnee County Appraiser. The appointment and termination or suspension of a county appraiser is controlled by statute, and there exists no independent basis for Kennedy's claim of expressed or implied contract for employment as county appraiser for the term commencing July 1, 1993. Thus, Kennedy has no liberty or property interest in the term commencing July 1, 1993. Under K.S.A. 19-431, the order of termination was effective as a suspension with full benefits pending a hearing on the order before the Director, and Kennedy's letter to Chairman Shriver was not constitutionally protected speech nor was the letter shown to be a substantial or motivating factor for termination of Kennedy from the office of county appraiser. There are no material disputed facts which preclude summary judgment, and we affirm the district court. Affirmed. |