Justia Government & Administrative Law Opinion Summaries

Claimant worked for Employer as an underground coal miner. Claimant filed claims for work-related injuries and filed an occupational hearing loss claim. An ALJ tripled the income benefits awarded for Claimant's injury and hearing loss claims. The ALJ then determined that Ky. Rev. Stat. 342.703(1)(d) limited the combined weekly benefits to a maximum of $473, seventy-five percent of the state's average weekly wage. The Workers' Compensation Board affirmed the ALJ's decision to triple the income benefits but reversed the maximum combined weekly benefit sua sponte and remanded with directions to correct the amount. The Supreme Court affirmed, holding (1) substantial evidence showed that Claimant's hearing loss caused him to lack the physical capacity to perform the type of work performed at the time of injury, and therefore the evidence supported a triple benefit for the hearing loss claim; and (2) the Board did not exceed its authority by ordering the ALJ's misapplication of section 342.703(1)(d) to be corrected, as benefits under section 342.730(1)(c)(1) are limited to 100 percent rather than seventy-five percent of the state's average weekly wage.

Prestonsburg Industrial Corporation (PIC) was founded in 1968 as a private, nonprofit corporation to attract business and industry to the City for economic development. To accomplish this goal, PIC would buy property, make improvements, then sell the property to various businesses. The profits were rolled back into PIC for additional purchases and improvements. In 2001, PIC purchased a parcel from the City. The county property valuation administrator then sought to tax the property. PIC claimed it was tax exempt and filed for a tax exemption from the Kentucky Revenue Cabinet. Revenue denied the application. The board of tax appeals affirmed, concluding that the property was not tax exempt under section 170 of the Kentucky Constitution, which exempts institutions of purely public charity from paying ad valorem taxes. The circuit court reversed and found the property tax exempt. The court of appeals affirmed, concluding that PIC was a purely charitable organization as defined under section 170 and was thus exempt from taxation. The Supreme Court reversed, holding that the evidence did not establish that PIC was a purely public charity or that its property was employed for a purely charitable purpose. Remanded.

Claimant filed an application for workers' compensation, alleging injuries while working for Employer as a roofer. Having become a party because Employer was uninsured, the Uninsured Employers' Fund (UEF) denied the claim and stated that claimant's average weekly rate was unknown. Claimant asserted that his average weekly wage must be calculated under Ky. Rev. Stat. 342.140(1)(e) because he had worked for less than thirteen weeks when the injury occurred. The ALJ applied section 342.140(1)(e) and determined that Claimant's weekly wage was $400 per week. The Workers' Compensation Board vacated the average weekly rate calculation because the record contained insufficient evidence to apply section 342.140(1)(e) properly. The Board then remanded the claim for additional proceedings to include the taking of additional proof. The court of appeals affirmed. The Supreme Court reversed, holding that the Board exceeded its authority under Ky. Rev. Stat. 342.285(2)(c) by remanding the claim in order to provide Claimant with a second opportunity to meet his burden of proof.

Appellant, TECO Mechanical Contractor, Inc., filed a complaint and petition for declaration of rights against the Labor Cabinet, asserting that Kentucky's prevailing wage law (1) violated due process by authorizing the Cabinet to assess back wages and civil penalties without a hearing; and (2) failed to specify how workers should be classified and, as a result, improperly delegated legislative or judicial authority to the Cabinet. The circuit court ruled in favor of the Cabinet, and the court of appeals affirmed. The Supreme Court affirmed, holding that the prevailing wage law did not violate the state or federal Constitutions, as (1) TECO failed to establish that the Cabinet's actions under the prevailing wage law deprived it of a property or liberty interest that is protected by the due process clause; and (2) the law prescribes sufficient standards to prevent the Cabinet from abusing any legislative or judicial authority granted to it under the prevailing wage law.

Claimant injured his shoulder during his employment. Claimant and Employer agreed to settle the matter. Claimant subsequently underwent a surgery, which Employer failed to pre-authorize. Claimant then filed several motions, including a motion to reopen. An ALJ determined (1) the surgery was reasonable and necessary; (2) Employer must pay for the procedure and related expenses; (3) the parties' settlement precluded any claim for TTD benefits relative to the surgery; and (4) Employer's failure to pre-authorize or contest the surgery within thirty days did not warrant the imposition of sanctions. The workers' compensation board reversed with respect to future TTD benefits and affirmed otherwise. The court of appeals reversed with respect to future TTD and reinstated the ALJ's decision. The Supreme Court (1) affirmed the denial of a future TTD award, holding that the terms of the parties' agreement barred a future TTD claim; and (2) reversed with respect to the issue of sanctions, holding that the case must be remanded to the ALJ to reconsider the question of sanctions based on a correct understanding of Employer's obligations and any other considerations relevant to the reasonableness of its action under Ky. Rev. Stat. 342.310(1) and 803 Ky. Admin. Reg. 25:012, 2(1)(a).

Claimant Randy Lewis sought benefits for work-related lumbar spine injuries sustained in 2001 and 2002 and a work-related cervical spine injury sustained in 2005. An ALJ awarded 425 weeks of partial disability benefits at the rate of $315 per week for the lumbar injuries beginning in 2004 and 425 weeks of partial disability benefits at the rate of $498 per week beginning in 2007. Employer filed a petition for reconsideration, noting that the combined weekly benefits would equal $813 during the weeks they overlapped and that Claimant was not entitled to receive combined weekly benefits totaling more than $607, the maximum benefit that Ky. Rev. Stat. 342.730(1)(a) allowed for total disability. The ALJ granted the petition and amended the claims, concluding that the separate partial disability awards did not entitle Claimant to receive at any time combined weekly benefits that exceeded the maximum for permanent total disability. The workers' compensation board and court of appeals affirmed. The Supreme Court affirmed, holding that the maximum benefit permitted by section 342.703(1)(a) applies to multiple partial disability awards and does not entitle a worker to be compensated at one time for more than total disability.

Appellants, a group of heirs who were entitled to receive the net proceeds of a judicial sale of four tracts of land, sued Appellees, a former master commissioner of the circuit court, a circuit court judge, and the administrative office of the courts, pursuant to the Kentucky Board of Claims Act, after the former master commissioner failed to disburse the proceeds of the sale. The Board of Claims (Board) entered a final order dismissing Appellants' claims for lack of jurisdiction. The circuit court and court of appeals affirmed. At issue on appeal was whether a claim involving judicial officers or court employes may proceed at the Board. The Supreme Court reversed, holding that the judge's continued use of the master commissioner, without reappointment, to perform significant functions in actions in the circuit court without a bond and without surety approved by the judge as statutorily mandated, was grounds for a claim in the Board of Claims based upon alleged negligence in the performance of a ministerial duty by an officer of the state. Remanded to the Board for a determination of whether Appellants suffered damages as a proximate cause of the alleged negligence.

Appellants, a county fiscal court, a county fire district, and ten municipal corporations, appealed from a final order of the circuit court that held (1) the state labor cabinet had jurisdiction to pursue an administrative agency action against Appellants to collect, on behalf of firefighters employed by Appellants, unpaid overtime compensation; and (2) the Appellant municipalities were not cloaked with governmental or sovereign immunity from such claims. The Supreme Court granted Appellants' motion to transfer and affirmed, holding (1) the relevant statutes directing city and county governments to pay their employees in a prescribed manner necessarily implies a waiver of immunity from liability to the employees for non-payment; and (2) the labor cabinet was authorized to proceed with its action against Appellants to recover the unpaid portion of the firefighters' overtime pay for firefighters pursuant to Commonwealth, Labor Cabinet v. Hasken.

Appellee Brooke Nelson brought suit against elementary public school teacher Dianne Turner after allegations that Nelson's five-year-old daughter had been sexually assaulted by another student. The complaint alleged, among other causes of action, that Turner failed to report to enforcement officials the alleged sexual assault. The circuit court entered summary judgment in favor of Turner, concluding that Turner was entitled to qualified official immunity because her action, i.e., determining whether the facts constituted abuse, was discretionary in nature. The court of appeals reversed and remanded with directions to reconsider the mandatory abuse reporting obligation of Kan. Rev. Stat. 620.030. On remand, the trial court again found qualified official immunity applicable. The court of appeals reversed, holding that the reporting requirement of the statute was mandatory and therefore ministerial, obviating any application for qualified official immunity. The Supreme Court reversed the decision of the court of appeals, holding that the trial court properly granted Turner's motion for summary judgment because Turner's actions were discretionary in nature rather than ministerial and, therefore, she was entitled to the defense of qualified official immunity under law.

The court of appeals affirmed the decision in which the Workers' Compensation Board ("Board") held that the Administrative Law Judge ("ALJ") erred by denying future medical benefits for claimant's work-related injury but that the evidence did not compel an award of permanent income benefits. At issue was whether substantial evidence supported an award of future medical benefits and whether the evidence compelled the ALJ to find that claimant's injury produced a permanent impairment rating and entitled him to permanent income benefits. The court held that KRS 342.020(1) entitled claimant to be awarded future medical benefits where evidence that he required no medical treatment as of the date he reached maximum medical improvement or the date that his claim was heard was an improper basis to deny future medical benefits. The court also held that the evidence the injury warranted a permanent impairment rating was not so overwhelming as to render the decision that was made unreasonable.