Opinion

Board of Education, Kewanee School District 229 v. Regional Board of School Trustees, Bureau, Henry & Stark Counties

  • 2019 IL App (3d) 170638
Court
Appellate Court of Illinois
Filed
Jun 15, 2020
Status
Published
Cited by
1 cases
Authority
More cited than 48.1%

The opinion

Digitally signed

by Reporter of

Decisions

Reason: I attest to

Illinois Official Reports the accuracy and

integrity of this

document

Appellate Court Date: 2020.06.12

14:34:44 -05'00'

Board of Education, Kewanee School District 229 v. Regional Board of School

Trustees, Bureau, Henry & Stark Counties, 2019 IL App (3d) 170638

Appellate Court THE BOARD OF EDUCATION, KEWANEE SCHOOL DISTRICT

Caption 229, Plaintiff-Appellee, v. THE REGIONAL BOARD OF SCHOOL

TRUSTEES, BUREAU, HENRY AND STARK COUNTIES;

ANGIE ZARVELL, Regional Superintendent of Schools; JEREMY

S. HELTON, KATIE MARIE HELTON, CHAD J. JOOS, JOANNA

R. JOOS, CAROL S. KERSEY, KEVIN W. ROSE, LAURA M.

ROSE, CONNIE SUE STETSON, MARK J. STETSON and

MICHAEL J. STETSON, in Their Capacities as Attorneys-in-Fact;

CONNIE SUE STETSON, Individually; LAURA M. ROSE,

Individually; STEVEN ENDRESS, Superintendent of Bureau Valley

School District 340; and BUREAU VALLEY SCHOOL DISTRICT

340, Defendants (Connie Sue Stetson and Laura M. Rose, Defendants-

Appellants).

District & No. Third District

No. 3-17-0638

Filed September 4, 2019

Decision Under Appeal from the Circuit Court of Henry County, No. 16-MR-73; the

Review Hon. Terence M. Patton, Judge, presiding.

Judgment Affirmed.

Counsel on Jacob J. Frost, of Spring Valley, for appellants.

Appeal Allen Wall, Caitlyn R. Culbertson, and Scott E. Nemanich, of Klein,

Thorpe & Jenkins, Ltd., of Chicago, for appellee.

Panel JUSTICE McDADE delivered the judgment of the court, with opinion.

Presiding Justice Schmidt and Justice Lytton concurred in the

judgment and opinion.

OPINION

¶1 Defendants Jeremy S. Helton, Katie Marie Helton, Chad J. Joos, Joanna R. Joos, Carol S.

Kersey, Kevin W. Rose, Laura M. Rose, Connie Sue Stetson, Mark J. Stetson, and Michael J.

Stetson (collectively, the petitioner defendants) filed a petition to detach 2010 acres of

Kewanee Community Unit School District 229’s (District 229) boundary and annex it to

Bureau Valley Community Unit School District 340 (District 340). In October 2015, a hearing

on the petition was held, and defendant, the Regional Board of School Trustees, Bureau, Henry

and Stark Counties (Board), issued a denial of the petition. Defendants Connie and Laura

(collectively, the individual defendants) submitted a petition for rehearing and placed a notice

of public hearing in the local newspaper. In December 2015, the Board granted the petition for

rehearing. In January 2016, a rehearing was held, and District 229 filed a motion to dismiss,

claiming that the Board lacked jurisdiction to review the petition for rehearing, which the

Board denied. Ultimately, the Board granted the detachment petition despite District 229’s

objections. In March 2016, District 229 filed a complaint for administrative review. The trial

court found that it could not review the Board’s decision on the petition for rehearing because

it failed to keep a record of the proceedings in accordance with the Administrative Review

Law (735 ILCS 5/3-101 et seq. (West 2016)) and reversed the Board’s grant of the petition for

detachment. The individual defendants filed a motion for vacation or modification of

judgment, which the trial court denied. The individual defendants appealed, and we affirm.

¶2 FACTS

¶3 The petitioner defendants and two other individuals filed a petition for school district

boundary change to detach 2010 acres of land from District 229 and annex it to District 340.

All 12 individuals were registered voters and residents in District 229. In compliance with

statutory requirement, the petition identified a “committee of [10]” of the 12 individuals to act

for the petitioners. Before a hearing on the petition occurred, two of the petitioner defendants

moved outside of District 229.

¶4 In October 2015, a hearing was held, which Connie, Michael, Laura, and Carol attended.

The Board voted to deny the petition for detachment.

¶5 Before the Board issued its written decision, the individual defendants submitted a petition

for rehearing. In November 2015, the Board issued a written order denying this initial petition

for rehearing.

¶6 Subsequently, the individual defendants submitted a second petition for rehearing, alleging

that (1) counsel had rendered ineffective assistance, (2) the Board’s denial of the detachment

-2-

petition based on the individual defendants’ failure to provide notice to property owners was

error because notice was not statutorily required, and (3) the individual defendants were not

statutorily required to obtain signatures from all owners in the territory proposed to be

detached. A notice of public hearing on the request for rehearing was published in the

newspaper. The notice stated:

“NOTICE OF PUBLIC HEARING

Notice is hereby given that the Regional Board of School Trustees for Bureau, Henry,

and Stark Counties will conduct a public meeting on Wednesday, December 9, 2015

commencing at 1:00 p.m. The purpose of the meeting is to consider a request for a

rehearing. The meeting will be held at Regional Office of Education, 107 S. State

Street, Atkinson, Illinois.”

District 229 claims that its superintendent, Dr. Chris Sullens, did not receive notice of the

public hearing until he discovered the notice in the newspaper three days before the scheduled

public meeting date.

¶7 In December 2015, a hearing on whether to grant the second petition and schedule a new

detachment hearing was held. Minutes were taken at the hearing, which showed that Connie

had testified in support of a rehearing, that District 229 testified in opposition to rehearing, and

that the Board had voted to grant the rehearing.

¶8 In January 2016, a new hearing on detachment was convened. District 229 challenged the

Board’s jurisdiction to engage in the new hearing claiming there was no evidence that the

individual defendants had requested rehearing within the time period prescribed in section 7-

6(n) of the School Code (105 ILCS 5/7-6(n) (West 2016)). After the Board denied that motion

to dismiss, District 229 raised oral objections, alleging that the Board failed to create a record

of the proceedings on the petition for rehearing. The following discussion occurred:

“MS. VANDER BROEK: And then finally as just a matter for the record, because

there is no record of the rehearing, I would like to file our continuing objection to this

rehearing with the Board. And I do have copies for all the board members if you would

like them, or if you just want the one.

[REGIONAL SUPERINTENDENT] ZARVELL: Again, motion denied. The—

There was no obligation to have a hearing to determine if there needs to be a rehearing.

The Regional Board of School Trustees was required to meet per the Open Meetings

Act. We met those requirements. The Board met. We took public comment. The Board

has rendered their decision.”

Ultimately, the Board reversed its earlier decision and granted the individual defendants’

detachment petition.

¶9 In March 2016, District 229 filed a complaint for administrative review in the circuit court.

District 229 also filed a motion for default judgment against eight of the petitioner defendants,

Jeremy S. Helton, Katie Marie Helton, Chad J. Joos, Joanna R. Joos, Carol S. Kersey, Kevin

W. Rose, Mark J. Stetson, and Michael J. Stetson, for failing to file an appearance and against

the Board and Angie Zarvell, the regional superintendent of schools, for failing to timely file

a record of the proceedings. The court granted the default judgment against the eight petitioner

defendants and extended the time of the Board, Zarvell, and District 229 to file pleadings. In

August 2016, the parties filed a joint motion to extend the briefing schedule to allow the Board

additional time to file a complete administrative record, which the court allowed. In September

-3-

2016, the court entered another agreed order in which the briefing schedule was extended again

to allow the Board additional time to file an administrative record. District 229 filed a brief in

support of its complaint, and defendants filed a supplemental answer to the complaint.

¶ 10 A hearing on the complaint was held. The trial court found that, without a written finding

and record, it could not determine whether the Board’s allowance of the petition for rehearing

was proper and, consequently, remanded the case for a new hearing. District 229 objected and

filed a motion to reconsider, arguing that the court should reverse the Board’s decision rather

than remand the case because, under Strohl v. Macon County Zoning Board of Appeals, 411

Ill. 559, 565 (1952), the Board’s failure to keep a record of the proceedings on the petition for

rehearing constitutes a reversal of its decision. The court granted District 229’s motion to

reconsider and, amending its initial order, reversed the Board’s decision on the January 2016

hearing and the petition for rehearing, thereby reinstating the Board’s earlier decision denying

detachment.

¶ 11 The individual defendants filed a motion for vacation or modification of judgment, arguing

that (1) section 7-6(n) of the School Code did not require the Board to conduct a hearing on

the petition for rehearing, (2) section 7-6(n) did not require the individual defendants to provide

notice of the petition for rehearing to District 229, and (3) the Board had jurisdiction to hear

the claim under section 7-6(n) because the petition for rehearing was filed within 10 days from

the Board’s November 3, 2015, order. The individual defendants also claimed that the petition

for rehearing and the transcript of the January 2016 rehearing provided evidence to show the

Board had sufficient cause to grant rehearing or, in the alternative, remand was the appropriate

remedy. The individual defendants attached Connie’s affidavit to the motion. In the affidavit,

she claimed that she had made an audio recording, and subsequently a transcript, of the hearing

on the petition for rehearing. The court denied the individual defendants’ motion, and the

individual defendants solely appealed.

¶ 12 ANALYSIS

¶ 13 I. Jurisdiction

¶ 14 As a preliminary matter, we address District 229’s argument that the Board lacked

jurisdiction to review the petitioner defendants’ detachment petition because it did not have

statutory authority to review a petition when the designated committee of 10 fell below the

requisite number of committee members in violation of section 7-6(c) of the School Code (105

ILCS 5/7-6(c) (West 2016)).

¶ 15 A decision rendered by an administrative agency that lacks jurisdiction over the parties or

the subject matter or that lacks the inherent power to make or enter the decision involved is

void and may be attacked at any time or in any court, either directly or collaterally. City of

Chicago v. Fair Employment Practices Comm’n, 65 Ill. 2d 108, 112 (1976). As the supreme

court has explained:

“An administrative agency is different from a court because an agency only has the

authorization given to it by the legislature through the statutes. Consequently, to the

extent an agency acts outside its statutory authority, it acts without jurisdiction.

[Citation.] The term jurisdiction, while not strictly applicable to an administrative body,

may be employed to designate the authority of the administrative body to act ***.

[Citation.] Thus, in administrative law, the term jurisdiction has three aspects:

(1) personal jurisdiction—the agency’s authority over the parties and intervenors

-4-

involved in the proceedings, (2) subject matter jurisdiction—the agency’s power to

hear and determine causes of the general class of cases to which the particular case

belongs [citation], and (3) an agency’s scope of authority under the statutes. ***

***

We acknowledge that, theoretically, anytime an agency makes an erroneous

decision, it acts without statutory authority because the legislature and the statutes do

not give an agency the power to make erroneous decisions. [Citation.] We are

confident, however, that a reviewing court can make the appropriate distinction

between an erroneous decision and one which lacks statutory authority.” (Internal

quotation marks omitted.) Business & Professional People for the Public Interest v.

Illinois Commerce Comm’n, 136 Ill. 2d 192, 243-45 (1989).

¶ 16 Section 7-6 governs the procedures in detachment proceedings. Specifically, section 7-6(c)

states:

“When a petition contains more than 10 signatures the petition shall designate a

committee of 10 of the petitioners as attorney in fact for all petitioners, any 7 of whom

may make binding stipulations on behalf of all petitioners as to any question with

respect to the petition or hearing ***, and the regional board of school trustees *** may

accept such stipulation in lieu of evidence or ***. The committee of petitioners shall

have the same power to stipulate to accounting or waiver thereof between school

districts; however, the regional board of school trustees *** may refuse to accept such

stipulation. Those designated as the committee of 10 shall serve in that capacity until

such time as the regional superintendent of schools or the committee of 10 determines

that, because of death, resignation, transfer of residency from the territory, or failure to

qualify, the office of a particular member of the committee of 10 is vacant. Upon

determination that a vacancy exists, the remaining members shall appoint a petitioner

to fill the designated vacancy on the committee of 10. The appointment of any new

members by the committee of 10 shall be made by a simple majority vote of the

remaining designated members.” 105 ILCS 5/7-6(c) (West 2016).

¶ 17 Petitioner defendants complied with committee of 10 requirements under section 7-6(c).

That section does not require, as District 229 argues, that all 10 members must be present at

the hearing, that affidavits of the nonpresent members could not be used to represent the

committee, or that the committee must provide stipulations that all its members authorized

defendants to proceed with the petition for detachment. See Gillespie Community Unit School

District No. 7 v. Wight & Co., 2014 IL 115330, ¶ 31 (“It is improper for a court to depart from

the plain statutory language by reading into the statute exceptions, limitations, or conditions

that conflict with the clearly expressed legislative intent.”). The petitioner defendants initially

designated a committee of 10 in their petition, stating, “We further pray that Michael Stetson,

Connie Stetson, Laura Rose, Kevin Rose, Chad Joos, Joanna Joos, Jeremy Helton, Katie

Helton, Carol Kersey and Mark Stetson be appointed as a Committee of ten to act as attorney-

in-fact for us in this matter.” Moreover, there is no evidence that the committee membership

fell below 10 when 6 members were physically present at the January 2016 hearing and the

absent remaining 4 members submitted affidavits requesting the court to grant the petition.1

Petitioner defendants initially complied with the section 7-6(c)’s requirement that the petition

1

This issue may actually be moot in this case.

-5-

designate a committee of 10 when it contains more than 10 signatures and their petition had

12. This requirement ensures that each member in a large group of signatories is fully

represented through decisions of 7 out of 10 members of the group acting pursuant to what is

essentially a statutory power of attorney. When, as here, the number of signatories falls below

10, the statutory obligation becomes superfluous because the committee of 10 is no longer

necessary to serve the purpose of the statute. Therefore, we reject District 229’s challenge to

the Board’s jurisdiction.

¶ 18 II. Record

¶ 19 Next, the individual defendants allege that section 7-6(n) of the School Code, which

governs petitions for rehearing in detachment cases, does not require the Board to keep a record

of the hearing on whether to allow rehearing. Furthermore, the individual defendants argue

that the Board need not file a record of the hearing on the petition for rehearing when the

petition itself and the transcripts from the October 2015 hearing and the January 2016 hearing

show the Board had sufficient cause to grant the petition.

¶ 20 District 229 contends that the Board erred when it did not keep a record of the hearing on

the petition for rehearing because the trial court can only review the record under the

Administrative Review Law (735 ILCS 5/3-101 et seq. (West 2016)) and, without the record,

the court cannot determine whether the Board had sufficient cause to grant the petition. It

argues that the petition for rehearing does not show sufficient cause to grant the hearing and,

even so, the trial court cannot conduct judicial review without a record consisting of the

evidence presented at the hearing and the Board’s findings. District 229 also claims the Board’s

failure to show that it published notice to the public, posted an agenda of the hearing, and met

and approved the meeting minutes in compliance with the Open Meetings Act (5 ILCS

120/2.02(a)-(b) (West 2016)) supports its argument that the Board failed to provide a record in

accordance with the Administrative Law Review.

¶ 21 The question before us is whether the Board’s failure to provide a record precluded judicial

review of the petition for rehearing. “[W]here the historical facts are admitted or established,

but there is a dispute as to whether the governing legal provisions were interpreted correctly

by the administrative body, the case presents a purely legal question for which our review is

de novo.” Goodman v. Ward, 241 Ill. 2d 398, 406 (2011).

¶ 22 The individual defendants are correct that section 7-6(n) is devoid of any requirements that

the Board must keep a record of the hearing on the petition. However, in Illinois, it is well-

established that a trial court must not weigh the evidence when reviewing a final administrative

decision but rather it must determine whether, on the record, the administrative agency’s

decision was against the manifest weight of the evidence. Shallow v. Police Board, 60 Ill. App.

3d 113, 116 (1978). “An order of an administrative agency must thus contain findings to make

possible a judicial review of the agency’s decision.” Id. As the Fifth District explained in

Kozsdiy v. O’Fallon Board of Fire & Police Commissioners, 31 Ill. App. 3d 173, 177 (1975):

“It leaves us in the position of guessing what the Board deemed relevant in deciding to

discharge the appellant. There can be no decision on constitutional issues when it is not

clear what evidence was accepted or rejected or what ground the Board relied on in

reaching its decision. In short, it is impossible for us to fulfill our function under the

-6-

purpose and policy of the Administrative Review Act[2] without knowing the reasons

for the appellant’s discharge.”

¶ 23 The Administrative Review Law governs the trial court’s authority to review a final

decision of an administrative agency. Section 3-108 of the Administrative Review Law (735

ILCS 5/3-108 (West 2016)) concerns an administrative agency’s record on judicial review. It

states, in relevant part:

“(b) Answer. Except as herein otherwise provided, the administrative agency shall

file an answer which shall consist of the original or a certified copy of the entire record

of proceedings under review, including such evidence as may have been heard by it

and the findings and decisions made by it.” (Emphasis added.) Id. § 3-108(b).

¶ 24 As set out in section 3-108, the record of proceedings is the answer of the school district.

Absent a record, the District has not answered and is technically in default and cannot prevail.

Section 3-108 derives from Illinois Supreme Court Rule 291(e) (eff. Jan. 1, 2016), which

states:

“(e) Record on Appeal. The original copy of the answer of the administrative

agency, consisting of the record of proceedings (including the evidence and exhibits, if

any) had before the administrative agency, shall be incorporated in the record on appeal

unless the parties stipulate to less, or the trial court after notice and hearing, or the

reviewing court, orders less.” (Emphasis added.)

¶ 25 Our supreme court’s decision in Strohl, 411 Ill. at 563, also provides guidance on this issue.

In Strohl, the defendants challenged the trial court’s reversal of Macon County Zoning Board

of Appeals’ denial of the plaintiffs’ request to rezone their property. Id. at 560. The trial court

was not provided with a record. Id. at 561. Instead, the trial court conducted a trial de novo and

based its determination on the record made during the trial. Id. Our supreme court held that,

based on the Administrative Review Act and the Illinois Supreme Court rule, the trial court

failed to comply with the provisions that require the court to review the complete record of the

administrative proceedings. Id. at 562-63. The supreme court based its decision on the parties’

failure to incorporate the record of the proceedings as required by statute and failure to provide

any stipulation to shorten the record. Id. at 563. In particular, the court noted that the trial court

did not have a record of administrative proceedings, a written administrative decision, nor a

transcript or stipulation of the evidence before the administrative agency despite the statutory

requirement that the trial court must make a judicial review of the administrative decision. Id.

¶ 26 The Strohl court explained that the Administrative Review Act does not give an

independent remedy or create a new cause of action but denotes “a method of review, whereby

challenged decisions of the administrative body may be subjected to a review” and provides

for a review of the board’s decision on the record alone. Id. It further stated that section 3.2 of

the County Zoning Act (Ill. Rev. Stat. 1951, ch. 34, ¶ 152k.2) required the zoning board to

keep minutes of the proceedings, “keep records of its examinations and other official actions,”

and file any decision of the board. (Internal quotation marks omitted.) Strohl, 411 Ill. at 564.

The court stated that if the zoning board complied with section 3.2, “some record of the board’s

actions and of its decision must exist and a judicial review of the final administrative decision

must be predicated upon it.” (Internal quotation marks omitted.) Id. The supreme court stated

The Administrative Review Act (Ill. Rev. Stat. 1973, ch. 110, ¶ 264 et seq.) is now known as the

2

Administrative Review Law (735 ILCS 5/3-101 et seq. (West 2016)).

-7-

that if the procedures that the act established are not applied, the trial court would improperly

act as the zoning board of appeals and “[s]uch a result is not contemplated by either the

Administrative Review Act or the County Zoning Act.” Id. at 565.

¶ 27 Turning to the instant case and looking at the plain statutory language and established case

law, the Board was required to file an answer consisting solely of the entire record of

proceedings during the hearing on the petition for rehearing, including the evidence that was

heard by the Board and the Board’s findings and decisions. Here, no record of proceedings in

accordance with the statutory provisions stated above was filed with petitioners’ three

supplemental answers even though District 229 twice requested that the Board attach the

record. The individual defendants did attach the minutes of the hearing on the petition for

rehearing in their motion to reconsider. However, the minutes do not comply with the statutory

requirements that the record include the evidence the Board heard and the findings and

decisions the Board made (see 735 ILCS 5/3-108(b) (West 2016); Ill. S. Ct. R. 291(e) (eff. Jan.

1, 2016)) nor did the parties stipulate to less in accordance with Rule 291(e).

¶ 28 The individual defendants cite Board of Education of Rich Township High School District

No. 227 v. Brown, 311 Ill. App. 3d 478, 486-87 (1999), for the proposition that the board was

not required to maintain a contemporaneous record of the proceeding. In that case, the plaintiffs

argued that the board erred in granting the defendants’ motion for rehearing under section 7-

6(n) because the defendants failed to make a showing of sufficient cause. The motion for

rehearing alleged that the board erred in denying the detachment based on the defendants’

failure to prove the number of registered voters in the territory proposed to be detached. The

First District held that the allegations in the motion were supported by case law and, therefore,

the board did not abuse its discretion in granting the motion. Id. at 487-88.

¶ 29 However, the court in Brown did not state whether a record of proceedings was available,

and without this critical information, we decline to extend Brown to this case. Therefore, we

find that the Board was required to provide a record of proceedings, including any evidence it

heard and any findings and decisions it made, and that the Board failed to provide an adequate

record for the trial court to properly review its rehearing determination. Because this issue is

dispositive of this appeal, we need not address District 229’s arguments that (1) the Board

violated the Open Meetings Act and (2) that it was not given proper notice of nor afforded an

opportunity to be heard on the petition for rehearing.

¶ 30 III. Remand

¶ 31 Also, the individual defendants argue that the trial court erred when it reversed rather than

remanded the Board’s decision. Specifically, the individual defendants allege that remand is

necessary because it will allow the Board to provide a reasoned explanation for its decision.

The individual defendants also assert that remand is necessary to allow the Board to review

the audio recording and transcript of the hearing on the petition for rehearing attached to their

motion for vacation or modification of judgment to determine whether they give a complete

account of the hearing and, if so, to allow the Board to prepare a memorandum of its findings

and conclusions based on the recording and transcript. Furthermore, the individual defendants

contend that reversal would be a harsh outcome because the Board, not the individual

defendants, was responsible for creating and filing a record of proceedings under section 3-

108(b).

-8-

¶ 32 In reversing and remanding the zoning board’s decision to determine whether a record of

the administrative proceedings were kept, the Strohl court noted that, under the Administrative

Review Act, technical errors in the administrative proceedings do not constitute grounds for

reversal “unless it appears to the trial court that such error or failure materially affected the

rights of any party and resulted in substantial injustice to him.” (Internal quotation marks

omitted.) Strohl, 411 Ill. at 565; 735 ILCS 5/3-111(b) (West 2016). It held that “[i]f the board

failed to keep a record of its proceedings as required, we consider their failure to be beyond

the scope of a technical error” constituting reversal of the zoning board’s decision. Strohl, 411

Ill. at 565. In accord with Strohl, we agree with the trial court’s decision that the Board’s failure

to keep a record in accordance with the Administrative Review Law constituted a reversal of

its decision. Therefore, we affirm the trial court’s decision to reverse the Board’s determination

on the petition for rehearing.

¶ 33 CONCLUSION

¶ 34 The judgment of the circuit court of Henry County is affirmed.

¶ 35 Affirmed.

-9-

This is a copy of a public record, reproduced as it was published. It is not legal advice, and it may not be the version a court would rely on. Check the official source before you cite it.

A word about cookies

We need a few to keep you signed in and the library working. The rest help us see which pages people use and where they get stuck. They stay off unless you say yes.