Justia Government & Administrative Law Opinion Summaries

The Supreme Court affirmed in part and reversed in part the amended report and order issued by the Public Service Commission (PSC) disallowing a portion of Spire Missouri, Inc.'s rate case expenses, including some of the proceeds from a sale of a facility in setting Spire's new rates, and determining that Spire Missouri East's prepaid pension was less than Spire contended, holding that an increase in the amount of Spire East's pension was warranted.Spire, an investor-owned public utility regulated by the PSC, filed tariff to increase its general rates for gas services in its Spire Missouri East and Spire Missouri West territories. The PSC suspended Spire's new tariffs and established a test year and then issued its contested amended report and order. The Supreme Court affirmed in part and reversed in part, holding (1) Spire's points challenging the PSC's decision to exclude a portion of Spire's rate case expenses were unavailing; (2) the PSC's order that relocation proceeds from the sale of the facility be used to reduce rates was not an abuse of discretion; but (3) the PSC's decision to extend the period in which it determined Spire East used cash accounting to value its pension asset from 1994 to 1996 was not supported by competent and substantial evidence. View "Spire Missouri, Inc. v. Public Service Commission" on Justia Law

The Supreme Court affirmed the order of rulemaking issued by the Public Service Commission (PSC), holding that the order fell within the PSC's statutory authority and that the private entity fiscal note accompanying the promulgated regulation complied with the applicable statutes.In 2018, the PSC promulgated a rule (the Rule) that provided new regulations related to certificates of convenience and necessity. Kansas City Power & Light Company and KCP&L Greater Missouri Operations Company appealed, arguing that the order promulgating the Rule exceeded PSC's authority and that the fiscal note was deficient, rendering the Rule void and unenforceable. The Supreme Court affirmed the order, holding (1) the order promulgated by the PSC was supported by statutory authority and was reasonable; and (2) the accompanying fiscal note was not deficient. View "Kansas City Power & Light v. Missouri Public Service Commission" on Justia Law

The Supreme Court affirmed the decision of the administrative hearing commission (AHC) determining that John Gott, who owned and operated a sole proprietorship providing portable toilets to customers, was liable for unpaid sales tax, use tax, and additions to tax and statutory interest as assessed by the director of revenue for the period of April 1, 2012 through March 31, 2017, holding that the AHC decision was authorized by law and supported by competent and substantial evidence on the record.Specifically, the Supreme Court held (1) the AHC did not impermissibly extend the reach of the sales tax law to include AHC's portable toilet service, and therefore, Gott's gross receipts were subject to sales tax; (2) Mo. Rev. Stat. 144.010's plain language is clear and resolved this dispute without the Court having to resort to the "true object" test; and (3) the AHC did not violate Mo. Const. art. X, 26 because Gott was not engaged in a service or transaction not subject to sales, use, or transaction-based taxation. View "Gott v. Director of Revenue" on Justia Law

The Supreme Court affirmed the decision of the Administrative Hearing Commission (AHC) affirming its previous order emergently suspending Dr. Blake Donaldson's license and finding cause for discipline and the Missouri State Board of Registration for the Healing Arts' subsequent decision to discipline Donaldson's license, holding that there was no error.From 1995 to 2017, the Board licensed Donaldson as an osteopathic physician and surgeon. In 2017, the Board filed a complaint alleging that Donaldson had engaged in several instances of sexual misconduct with a patient. The AHC, acting pursuant to the emergency procedures set forth in Mo. Rev. Stat. 334.102, found probable cause to believe Donaldson engaged in sexual contact with a patient and emergently suspended Donald's license. The AHC then affirmed its previous order. Thereafter, the Board revoked Donaldson's license and prohibited him from applying for reinstatement for seven years. The circuit court affirmed. The Supreme Court affirmed, holding that the AHC's decision was authorized by law and was not arbitrary and capricious. View "Donaldson v. Missouri State Board of Registration for Healing Arts" on Justia Law

The Supreme Court affirmed the decision of the Administrative Hearing Commission (AHC) determining that SEBA, LLC was liable for unpaid state sales tax, statutory interest, and a five percent addition to tax owed as assessed by the director of revenue, holding that the AHC's decision was supported by substantial and competent evidence on the record.The AHC determined that SEBA was liable for unpaid sales tax in the amount of $38,540, minus the sales tax assessed on $26,567 in income generated from SEBA's exempt sales to three organizations the auditor initially included. The AHC found SEBA liable for five percent statutory interest because it was was negligent in reporting its taxable sales. The Supreme Court affirmed, holding that substantial and competent evidence supported the AHC's decision. View "SEBA, LLC v. Director of Revenue" on Justia Law

The Supreme Court affirmed the judgment of the circuit court declaring section 11.800 of House Bill No. 2011 (HB2011) invalid, holding that there was a direct conflict between the language of Mo. Rev. Stat. 208.153.2 and 208.152.1(6), (12) requiring the MO HealthNet Division of the Missouri Department of Social Services to pay its authorized providers for covered physicians' services and family planning provided to Medicaid-eligible individuals and the language of section 11.800 prohibiting MO HealthNet from doing so.Planned Parenthood of the St. Louis Region and Reproductive Health Services of Planned Parenthood (Planned Parenthood) was an authorized provider of physicians' services and family planning because it had an agreement with MO HealthNet to do so. MO HealthNet informed Planned Parenthood that it could not reimburse Planned Parenthood for those services during the fiscal year 2019 due to section 11.800, which stated that "No funds shall be expended to any abortion facility...." The circuit court concluded that section 11.800 of HB2011 violated Mo. Const. Art. III, 23 because it amended substantive law. The Supreme Court affirmed, holding (1) section 11.800 was invalid because article III, section 23 prohibits using an appropriation bill to amend a substantive statute; and (2) the circuit court properly severed that provision from the remainder of HB2011. View "Planned Parenthood of St. Louis Region v. Department of Social Services, Division of Medical Services" on Justia Law

The Supreme Court affirmed the decision of the clean water commission approving Trenton Farms' permit to establish a twin concentrated animal feeding operation (CAFO), holding that House Bill No. 1713 (HB 1713) does not violate the original purpose, single subject, or clear title requirements of the Missouri Constitution and that there was sufficient evidence regarding the CAFO's protection from a 100-year flood.The clean water commission affirmed the department of natural resource's issuance of a permit to Trenton Farms to establish a CAFO. Hickory Neighbors United, Inc. appealed, arguing (1) HB 1713, which amended Mo. Rev. Stat. 644.021.1 to change the criteria for members of the commission, violated Missouri Constitution article III's original purpose requirement and single subject and clear title requirements; and (2) there was insufficient evidence that CAFO's manure containment structures would be protected from inundation or damages in the event of a 100-year flood, a requirement of 10 C.S.R. 20-8.300. The Supreme Court affirmed, holding (1) HB 1713 is constitutionally valid; and (2) there was sufficient evidence that CAFO structures met regulatory requirements. View "In re Trenton Farms RE, LLC Permit No. MOGS10520" on Justia Law

The Supreme Court reversed the decision of the Administrative Hearing Commission (AHC) that certain equipment purchased by Dreyer Electric Co. was exempt from sales tax because it was "replacement equipment" "used directly in the manufacturing process," as those terms are used in Mo. Rev. Stat. 144.030.2(5), holding that the AHC erred.Specifically, the Supreme Court held (1) the AHC correctly applied the three-factor "integrated plant doctrine" test set out in Floyd Charcoal Co. v. Director of Revenue, 599 S.W.2d 173 (Mo. banc 1980), to determine whether the subject replacement parts and equipment were "used directly in manufacturing"; but (2) the AHC erred in making specific findings as to some parts and then grouping all the parts together, including those it had not mentioned specifically in its decision, to find they were collectively integral to the electrical system that powered the machinery. The Court remanded the case for application of the integrated plant test to each type of replacement part or equipment purchased. View "Dreyer Electric Co., LLC v. Director of Revenue" on Justia Law

The Supreme Court reversed the decision of the Administrative Hearing Commission (AHC) holding that The Kansas City Chiefs Football Club, Inc. (the team) was the "purchaser" of certain items used in the renovation of Arrowhead Stadium and its related facilities and was, therefore, liable for sales and use tax on those items, holding that the AHC erred in determining that the team was the purchaser of the items.After the renovation was complete, the Director of Revenue conducted a sales and use tax audit and determined that the team was liable for sales and use tax on seven categories of contested items purchased from the nine vendors at issue in this appeal. The team appealed to the AHC, which found the team liable for sales tax and use tax on the items. The Supreme Court reversed, holding that the team was not the source of the consideration for the contested items and, therefore, was not the purchaser of the items, as that term is used in Missouri's sales and use tax statutes. View "Kansas City Chiefs Football Club, Inc. v. Director of Revenue" on Justia Law

The Supreme Court affirmed the decision of the Labor and Industrial Relations Commission denying Employee's workers' compensation benefits on the grounds that she failed to prove her work injury was the prevailing or primary factor causing any permanent disability and denying Employee's claim against the Second Injury Fund as moot, holding that the Commission did not err.Employee was exposed to cypermethrin, an insecticide, while working for Employer. When Employee was at the doctor's office for testing, another patient's dog got loose and tripped Employee. Employee fell and allegedly sustained permanent injuries to her knees, lower back, hip and neck. Employee filed a claim for workers' compensation asserting that, in addition to cypermethrin exposure, she sustained injuries from being tripped while walking out of the doctor's office. An ALJ awarded Employee benefits. The Commission reversed, concluding that Employee failed to meet her burden of proving her exposure to cypermethrin was the prevailing or primary factor in causing any alleged injury from being tripped accidentally. The Supreme Court affirmed, holding (1) Employee was not entitled to workers' compensation for any injury sustained from her accidental tripping; and (2) because Employee's accidental tripping did not arise out of and in the course of her employment, the Fund was not implicated. View "Schoen v. Mid-Missouri Mental Health Center" on Justia Law