Bennington v. Merit Systems Protection Board , 482 F. App'x 550 ( 2012 )


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  •    NOTE:   This disposition is nonprecedential.
    United States Court of Appeals
    for the Federal Circuit
    __________________________
    TIMOTHY C. BENNINGTON,
    Petitioner,
    and
    STEVEN R. HAYES,
    Petitioner,
    and
    TIMOTHY A. HUBAL,
    Petitioner,
    and
    RICHARD E. KIDWELL,
    Petitioner,
    and
    CARL C. WILLIAMS,
    Petitioner,
    v.
    MERIT SYSTEMS PROTECTION BOARD,
    Respondent,
    and
    UNITED STATES POSTAL SERVICE,
    Intervenor.
    __________________________
    2011-3222
    BENNINGTON   v. MSPB                                    2
    __________________________
    Petition for review of the Merit Systems Protection
    Board in consolidated case nos. CH0351100110-I-1,
    CH0351100117-I-1, CH0351100119-I-1, CH0351100128-I-
    1, and CH0351100127-I-1.
    ____________________________
    Decided: May 9, 2012
    ____________________________
    TIMOTHY C. BENNINGTON, of Lancaster, Ohio, pro se.
    STEVEN R. HAYES, of Pataskala, Ohio, pro se.
    TIMOTHY A. HUBAL, of Byesville, Ohio, pro se.
    RICHARD E. KIDWELL, of Somerset, Ohio, pro se.
    CARL C. WILLIAMS, of Springfield, Ohio, pro se.
    CALVIN M. MORROW, Attorney, Office of the General
    Counsel, Merit Systems Protection Board, of Washington,
    DC. With him on the brief were JAMES M. EISENMANN,
    General Counsel and KEISHA DAWN BELL, Deputy General
    Counsel.
    MICHAEL S. MACKO, Trial Attorney, Commercial Liti-
    gation Branch, Civil Division, United States Department
    of Justice, of Washington, DC, for Intervenor. With him
    on the brief were TONY WEST, Assistant Attorney General,
    JEANNE E. DAVIDSON, Director, and BRIAN M. SIMKIN,
    Assistant Director.
    __________________________
    3                                       BENNINGTON   v. MSPB
    Before RADER, Chief Judge, DYK and PROST, Circuit
    Judges.
    PER CURIAM.
    Thomas C. Bennington, Steven R. Hayes, Timothy A.
    Hubal, Richard E. Kidwell, and Carl C. Williams (collec-
    tively, “petitioners”) appeal a final decision of the Merit
    Systems Protection Board (“the Board”) dismissing their
    adverse agency action appeals for lack of subject matter
    jurisdiction. 1 Bennington v. U.S. Postal Serv. (“Final
    Decision”), Nos. CH-0351-10-0110-I-1, -0117-I-1, -0119-I-
    1, -0124-I-1, -0127-I-1, -0128-I-1 (M.S.P.B. July 27, 2011).
    In its decision, the Board denied review of the initial
    decision of the Administrative Judge (“AJ”) which had
    dismissed petitioners’ appeals as moot, but sua sponte
    dismissed petitioners’ appeals for lack of subject-matter
    jurisdiction. Because we find that the issues raised in
    this appeal are moot, we dismiss.
    BACKGROUND
    Petitioners were Tractor Trailer Operators for the
    United States Postal Service (“Postal Service”) in Colum-
    bus, Ohio. In 2009, the Postal Service abolished all of the
    Tractor Trailer Operator positions in Columbus when it
    elected to contract out the functions normally performed
    by persons in those positions. As a result, on October 10,
    2009, petitioners were reassigned to Mail Handler posi-
    tions. Petitioners appealed their reassignments to the
    Board, alleging that they had suffered a reduction in pay
    or grade or that they had been demoted pursuant to a
    reduction in force. See 5 U.S.C. §§ 7512, 7513(d); 5 C.F.R.
    § 351.901. While petitioners’ appeals to the Board were
    pending, the Postal Service rescinded petitioners’ Mail
    1  Petitioners’ appeals were consolidated by the
    Board for disposition.
    BENNINGTON   v. MSPB                                      4
    Handler reassignments, retroactively restoring them to
    their former positions as Tractor Trailer Operators for a
    period of two weeks until they were reassigned to posi-
    tions as Letter Carriers. 2 In so doing, the Postal Service
    also removed all references to the Mail Handler reas-
    signments from petitioners’ personnel files, and petition-
    ers did not lose any pay or benefits as a result of their
    reassignments.
    Based on its rescission of the Mail Handler reassign-
    ments, the Postal Service moved to dismiss petitioners’
    appeals as moot. On July 2, 2010, the AJ granted the
    motion, finding that “the agency placed the [petitioners]
    in the exact situation they would have been in if they had
    won their [Board] appeals.” Bennington v. U.S. Postal
    Serv. (“Initial Decision”), Nos. CH-0351-10-0110-I-1, -
    0112-I-1, -0115-I-1, -0116-I-1, -0117-I-1, -0119-I-1, -0124-
    I-1, -0127-I-1, -0128-I-1, slip op. at 4 (M.S.P.B. July 2,
    2010). The AJ also noted that “[t]he Board has no author-
    ity to order the agency to re-establish [the Tractor Trailer
    Operator] positions or to review an agency’s decision to
    contract out functions it formerly performed.” Id. The AJ
    advised petitioners that if they wished to challenge their
    subsequent reassignment to Letter Carrier positions, they
    should file a separate appeal. Id. at 6.
    On July 21, 2010, petitioners petitioned the Board for
    review of the AJ’s initial decision. Additionally, on Au-
    gust 24, 2010, in response to the AJ’s comment, petition-
    ers filed separate appeals challenging their reassignment
    2    Petitioners were restored to their former positions
    on paper only because the actual Tractor Trailer Operator
    positions had already been abolished. During the two
    weeks that petitioners were classified as Tractor Trailer
    Operators, they did not perform any of the duties or
    responsibilities of a Tractor Trailer Operator, but actually
    attended Letter Carrier training.
    5                                       BENNINGTON   v. MSPB
    to the Letter Carrier positions as a reduction in grade or
    pay or a demotion due to a reduction in force. In a June
    30, 2011, final decision, these subsequent appeals were
    dismissed by the Board for lack of jurisdiction because the
    Board found that petitioners’ Letter Carrier reassign-
    ments were not appealable actions. See Bennington v.
    U.S. Postal Serv., Nos. CH-3330-10-0938-I-1, -0939-I-1, -
    0940-I-1, -0941-I-1, -0942-I-1 (M.S.P.B. June 30, 2011).
    Petitioners failed to timely appeal the Board’s decision
    dismissing their appeals of their Letter Carrier reassign-
    ments within sixty days. Accordingly, that decision is
    now binding on them. See Carson v. Dep’t of Energy, 
    398 F.3d 1369
    , 1375 (Fed. Cir. 2005).
    On July 27, 2011, after the Board’s final decision on
    petitioners’ Letter Carrier reassignments, but before the
    time to appeal that decision had expired, the Board issued
    its final decision on petitioners’ Mail Handler reassign-
    ments. The Board declined to “decide whether the [AJ]
    properly dismissed these appeals as moot,” and sua
    sponte dismissed petitioners’ appeals “for lack of jurisdic-
    tion upon finding that the record is fully developed on the
    question of whether the Board has jurisdiction over
    [petitioners’] assignments to the Mail Handler positions
    as demotions by reduction in force (RIF) or reductions in
    grade or pay.” Final Decision, slip op. at 2-3. Specifically,
    the Board found that the representative rates for the Mail
    Handler positions were greater than those for the Tractor
    Trailer Operator positions, and thus, “there [was] no
    indication that the [petitioners] were demoted by RIF.”
    Id. at 4. Similarly, the Board found that petitioners had
    failed to establish that they were reduced in grade or pay
    under 5 U.S.C. § 7512. Id. at 5. This appeal followed. We
    have jurisdiction pursuant to 28 U.S.C. § 1295(a)(9).
    BENNINGTON   v. MSPB                                        6
    DISCUSSION
    Our review of Board decisions is limited. We may
    only set aside agency actions, findings, or conclusions that
    we find to be “(1) arbitrary, capricious, an abuse of discre-
    tion, or otherwise not in accordance with law; (2) obtained
    without procedures required by law, rule, or regulation
    having been followed; or (3) unsupported by substantial
    evidence.” 5 U.S.C. § 7703(c); see also Bennett v. Merit
    Sys. Prot. Bd., 
    635 F.3d 1215
    , 1218 (Fed. Cir. 2011). “The
    [Board’s] determination that it lacked jurisdiction is a
    question of law that the court reviews de novo.” Bennett,
    635 F.3d at 1218. Petitioners bear the burden of proof to
    establish jurisdiction over their appeals. See 5 C.F.R.
    § 1201.56(a)(2)(i).
    The Board dismissed petitioners’ appeals on a differ-
    ent ground from that adopted by the AJ. Rather than
    dismissing the appeals as moot, the Board held that
    petitioners had not established that they had been moved
    to positions with a lower “rate of pay” than their previous
    Tractor Trailer Operator positions, as required to estab-
    lish either a reduction in pay or grade or a demotion
    pursuant to a reduction in force.            See 5 U.S.C.
    § 7511(a)(3)-(4) (defining “grade” as “level of classification
    under a position classification system,” and “pay” as “the
    rate of basic pay fixed by law or administrative action”); 5
    C.F.R. § 210.102(b)(4) (defining “demotion” as “a change of
    an employee . . . [t]o a position with a lower rate of pay”).
    On review in this court, petitioners argue that the repre-
    sentative rates relied upon by the Board in making this
    determination were not the correct rates that should have
    been applied for purposes of determining whether peti-
    tioners were moved to positions with a lower rate of pay.
    We need not decide whether the Board applied the
    correct representative rates of pay in comparing the
    7                                       BENNINGTON   v. MSPB
    Tractor Trailer Operator and Mail Handler positions,
    because no live case or controversy is presented. “If an
    appealable action is canceled or rescinded by an agency,
    any appeal from that action becomes moot.” Cooper v.
    Dep’t of the Navy, 
    108 F.3d 324
    , 326 (Fed. Cir. 1997).
    Restoration of petitioners to their previous positions,
    without lost pay or benefits, and removal of all references
    to the reassignment in their records, would have “elimi-
    nated all the consequences of [those] action[s] and thus
    rendered [petitioners’] appeal[s] moot.” Id. In this case,
    the original Tractor Trailer Operator positions were no
    longer available, so petitioners were restored to their
    previous positions on paper only. Under those circum-
    stances, the employee cannot object to transfer to an
    equivalent position. See Local 2855 v. United States, 
    602 F.2d 574
    , 584 (3d Cir. 1979) (“Nothing in the civil service
    statute or regulations prohibits the government from
    abolishing positions held by veterans or other civil ser-
    vants and contracting out the work previously performed
    by them.”). However, petitioners argue that the Letter
    Carrier positions to which they were actually transferred
    have different duties and rates of pay, and thus are not
    equivalent positions. Where there is a dispute about the
    equivalence of the positions, the employee’s appeal is not
    moot. See Kerr v. Nat’l Endowment for the Arts, 
    726 F.2d 730
    , 733 & n.3 (Fed. Cir. 1984) (“The injured party is to be
    placed, as near as may be, in the situation he would have
    occupied if the wrong had not been committed.” (quoting
    Wicker v. Hoppock, 73 U.S. (6 Wall.) 94, 99 (1867))).
    Thus, the lack of equivalence in the positions was cer-
    tainly a proper issue to raise in the first appeal. Petition-
    ers’ problem is that they chose to raise the issue of their
    transfer to Letter Carrier positions in a separate appeal,
    which has now been resolved adversely. Under such
    circumstances, this aspect of the original appeal becomes
    BENNINGTON   v. MSPB                                      8
    moot. See generally In re Scruggs, 
    392 F.3d 124
    , 129 (5th
    Cir. 2004) (holding that where a judgment in another
    matter “lying at the heart of [the] federal litigation” at
    issue “became final and no longer appealable . . . the
    Article III case or controversy in the federal courts ceased
    to exist”).
    Petitioners have received the amount of back pay that
    they claimed, and the transfer issue has been resolved
    against them. The case is moot. See Hernandez v. Dep’t
    of the Air Force, 
    498 F.3d 1328
    , 1333 (Fed. Cir. 2007)
    (noting that claims are moot where a party “has already
    received complete relief under them”).
    COSTS
    No costs.