Baker Bus Service v. MLRB and Teamsters Local 48, No. CV-78-702, 
affirming Board Case No. 78-A-05; Affirmed 416 A.2d 727 (Me. 1980).

STATE OF MAINE                                           SUPERIOR COURT
KENNEBEC,SS                                              CIVIL ACTION
                                                         Docket No. CV78-702


BAKER BUS SERVICE, INC.,             )
                                     )
           Plaintiff-Appellant       )
                                     )
v.                                   )
                                     )
EDWARD W. KEITH,                     )
MICHAEL SCHOONJANS and               )
KENNETH T. WINTERS, in               )
their capacity as the Maine          )             DECISION
Labor Relations Board,               )
                                     )
           Defendants-Respondents    )
                                     )
and                                  )
                                     )
TEAMSTERS LOCAL UNION NO. 48,        )
                                     )
           Intervenor                )
       
       
     This case is before the Court on an appeal, pursuant to 80B M.R.Civ.P.
and 26 M.R.S.A. 968(4), by Baker Bus Service from a representation decision
of the Maine Labor Relations Board.
       
     By an agreement, dated August 19, 1977, the Augusta Board of Education
subcontracted its school bus operation to the Baker Bus Service.  Baker
Bus is a private corporation organized under the Laws of Maine.  On
December 28, 1977 Teamsters Local Union No. 48 filed a petition with the
Maine Labor Relations Board (M.L.R.B.) seeking the formation of a proposed
bargaining unit composed of all bus drivers and bus driver aids employed by
Baker Bus in its "Augusta District" 26 M.R.S.A. 966.  At the hearing held
on the union's petition, Baker Bus moved to dismiss on grounds that the
M.L.R.B. lacked jurisdiction because Baker Bus was not a public employer
as defined in 26 M.R.S.A. 962(7).  The hearing examiner denied the motion.

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     Baker Bus appealed the denial of its motion to the full M.L.R.B.
on May 12, 1978.  On July 11, 1978 the M.L.R.B. held a hearing on the matter.
Based on the testimony and evidence adduced at the hearing the M.L.R.B.
affirmed the decision of the hearing examiner.
       
     The decision of the M.L.R.B. involves an interpretation of the statutory
definition of a public employer.  Under the terms of the Municipal
Public Employees Labor Relations Act, 26 M.R.S.A. 961 et seq., the jurisdiction
of the M.L.R.B. in unit determination questions is limited to disputes
between public employers and public employees:
       
             "Public employer" means any officer, board,
              commission, council, committee or other persons
              or body acting on behalf of any municipality or
              town or any subdivision thereof, or of any school.
              water, sewer, or other district. 26 M.R.S.A. 962(7).
      
The hearing examiner and the M.L.R.B. held that the phrase "acting on behalf
of" must be interpreted to mean that any entity acting as an agent of a
school district is subject to the jurisdiction of the M.L.R.B.  The M.L.R.B.
concluded that the Board of Education retained enough control over the
day to day operation of the bus system to make Baker Bus an agent of the
School District.
       
     The M.L.R.B. based its finding of an agency relationship between the
Augusta Board of Education and Baker Bus Service on the following finding
of facts.[fn]1
____________________       
       
     1 The M.L.R.B. concluded that a School Board which decides to subcontract
its school bus operation should be able to do so and yet continue such
function as the setting of bus routes, disciplining students, and communicating
with drivers about road conditions, accidents etc. without these facts being
considered indicia of control for purposes of establishing an agency relationship
     The M.L.R.B. also did not consider the fact that a majority of the
drivers hired by Baker Bus were formerly employed by the Augusta Board of
Education to be significant since there was no evidence that the Board of
Education required Baker Bus to hire its former employees.

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               1.  By agreement dated August 19, 1977, the term of
          which is to run to August 31, 1982, the Augusta, Maine
          Board of Education ("Board of Education") subcontracted
          its school bus operation to Baker Bus Service, a privately
          owned business corporation organized under the laws of
          the State of Maine.  Besides operating the school bus
          transportation system for the Board of Education, Baker
          Bus Service provides school bus transportation services
          for the Town of Winthrop, Maine and also operates a
          bus charter business.
       
               2.  Under the terms of the August 19, 1977 agreement,
          Baker Bus Service leased 24 school buses for the term
          of the agreement from the Board of Education for a total
          of $1.00.  The Board of Education is required to provide
          all other buses needed to perform the transportation
          services required by the agreement, with a minimum of
          two new buses to be provided each school year except
          for the 1977-78 school year.  Printed on the sides of
          the buses provided by the Board of Education are the
          words "City of Augusta School Department," while the
          words "Baker Bus Service, East Winthrop, Maine" appear
          on the sides of Baker Bus Service's own buses.
       
               3.  As provided in the agreement, Baker Bus
          Service submits to the Board of Education on the first
          and fifteenth days of each month a statement detailing
          the number of miles traveled in performance of the
          agreement and, in regard to co-curricular and field
          trips, the number of hours of driver "wait-time."
          The Board of Education then pays Baker Bus Service a
          flat rate per mile and per hour of driver "wait-time,"
          as specified in Exhibit A of the agreement.
        
               4.  Paragraph (4) of the August 19, 1977 agreement
          provides that "[t]he Board shall have the right to
          modify bus routes, to eliminate a bus route, or to combine
          bus routes, with appropriate notice to the Contractor.
          The Board shall also have the right to change any school
          time schedule."
       
               5.  Paragraph (6) of the agreement states that
          all buses provided by the Board of Education "shall be
          used only for services to the Board unless otherwise
          indicated by the Board. . . In no event shall these
          buses be used for anyone other than the Board or the
          City of Augusta."
       
               6.  Paragraph (7) of the agreement provides that
          the Board of Education is responsible for complying
          with any Federal or State regulations requiring that
          additional equipment for the buses be provided or that
          modifications be made in existing equipment.

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               7.  Paragraph (8) of the agreement provides that
          Baker Bus Service is responsible for the costs of
          providing the transportation services required by the
          agreement, with the exception of furnishing the buses,
          installing radios in the buses, and providing insurance
          coverage.  Such responsibility includes providing
          the bus drivers, operating and maintaining the buses,
          maintaining the bus radios, and parking the buses.
       
               8.  Paragraph (11) of the agreement states that
          Baker Bus Service will supply the Board of Education
          with copies of the school bus drivers' licenses and
          copies of the drivers' annual physical reports.
          Paragraph (12) of the agreement provides that Baker
          Bus Service will make character references for the
          school bus drivers available to the Board of Education
          at the Board's request, while paragraph (14) of the
          agreement requires that Baker Bus Service notify the
          Board of Education of the names of new drivers and
          the date of birth of the drivers for insurance purposes.
          
               9.  Paragraph (15) of the agreement provides
          that Baker Bus Service is responsible for the hiring
          and firing of school bus personnel.  According to
          the testimony of the President of Baker Bus Service
          at the July 11, 1978 hearing, the Board of Education
          has veto power over the hiring of any school bus driver.
         
              10.  Baker Bus Service sets the salaries of the
          school bus personnel, and is responsible for preparing
          the payroll, which is drawn upon Baker Bus Service's
          checking account.  Baker Bus Service pays workmen's
          compensation insurance and group insurance for the school
          bus personnel.
       
              11.  Paragraph (19) and (20) of the agreement provide,
          respectively, that the Board of Education has the right
          to audit the mileage records of Baker Bus Service at
          any reasonable time and to inspect any bus at any
          reasonable time.
       
              12.  Paragraph (24) of the agreement provides that
          the Board of Education will supply all gasoline required
          to carry out the provisions of the agreement.  The
          gasoline is supplied to Baker Bus Service at the pumps
          of the City of Augusta's City Garage.
       
              13.  Paragraph (27) of the agreement provides
          that the Board of Education will reimburse Baker Bus
          Service for any registration and excise taxes which
          Baker Bus Service pays for any of the leased buses.
          The buses are registered in the name of "City of Augusta,
          Lessor" and "Baker Bus Service, Lessee."

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              14.  Paragraph (29) of the agreement provides that
          the Board of Education will supply a parking lot for
          storage of the buses, and that Baker Bus Service
          may move a small building on the lot.  The buses
          are stored in a City of Augusta parking lot above the
          City Garage.  Baker Bus Service's office on the
          parking lot was constructed free-of-charge by
          vocational students.  The expenses for maintaining
          the lot and the office are borne by Baker Bus
          Service.
       
              15.  Paragraph (33) of the agreement states that
          the Board of Education shall assume the costs of
          installing radios in the buses and of purchasing and
          maintaining appropriate comprehensive and collision
          insurance coverage on each bus.  The stations on the
          radios installed in the buses are located in the City
          Garage, in the Superintendent of School's office
          and automobile, in Baker Bus Service's office at the
          parking lot, in the Baker Bus Service transportation
          foreman's automobile, and in a police vehicle.

              16.  Paragraph (34) of the agreement states
          that the Board of Education will add Baker Bus
          Service to the Board of Education's liability insurance
          policy covering the buses.  The addition of Baker
          Bus Service as an insured under the insurance policy
          has not caused the premiums for the liability insurance
          to increase.
       
              17.  Upon being awarded the subcontract to operate
          the school bus system, Baker Bus Service hired
          approximately 21 school bus drivers.  Approximately 18
          of these drivers were former school bus drivers for
          the Board of Education.  The supervisor which Baker
          Bus Service hired for the school bus operation was
          formerly the Board of Education's transportation foreman
          for its school bus system.
       
              18.  School bus drivers are involved in the
          disciplining of students who misbehave on the buses.
          The drivers issue such students misconduct forms, which
          must be returned to the driver with a parent's signature.
          If the student persists in his or her misbehavior,
          the driver may, depending upon the seriousness of the
          misbehavior, suspend the student's bus privileges for
          several days, or, after consultation with the principle
          of the student's school, suspend the student's bus
          privileges for an extended period of time.
       
     The issues raised by the appeal of the Baker Bus Service to this Court
are (1)  Did the M.L.R.B. erroneously interpret the statutory definition
       
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of public employer?; (2)  What is the standard of review of findings of
fact made by the M.L.R.B?; (3)  Did the M.L.R.B. err as a matter of fact
and law in holding Baker Bus to be an agent to the Board of Education?;
(4)  What is the effect on this case of the decision of the M.L.R.B. in a
related prohibited practices case?
       
       
                             DISCUSSION OF LAW
       
     The Court, and the parties are in complete agreement with the
conclusion of the M.L.R.B. that the phrase "acting on behalf of" in the
definition of public employer should be interpreted to mean that "any officer,
board, commission, council, committee or other person or body" acting as
an agent of a school district is a public employer.  cf. N.L.R.B. v.
United Insurance Company, 390 U.S. 254, 88 S.Ct. 988, 19 L.Ed.2d 1083
(1968).
       
      However, Baker Bus contends that the M.L.R.B. erred in interpreting
the statute to include private corporations which may be acting on behalf
of a school district in the definition.  Baker Bus argues that the statutory
definition of public employer provides that only agents of a school district
can be public employers, and school districts can only act through clearly
defined public entities such as the Board of Education.  Baker Bus concludes
that since it is not a public entity it cannot be a public employer even
if it is acting on behalf of a school district.
       
      The Court finds this interpretation of the statutory definition of
public employer to be incorrect.  School districts are expressly authorized
to make contracts for the transportation of school children with private
companies.  20 M.R.S.A. 220.  The statutory definition of public employer

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begins with a seemingly complete generic list of public entities which
might act on behalf of a school district or municipality.  This list is
followed by the phrase "or other person or body."  This wording, combined
with the fact subcontracts such as the one involved in this case are
expressly authorized, indicates the legislature intended to include private
entities such as Baker Bus Service within the definition of public employer.
This intent is consistent with the express policy of the Municipal Public Employ-
ees Labor Relation Act itself.  26 M.R.S.A. 961 states that the public
policy of the State and the purposes behind the Act is to promote a better
relationship between municipalities and their employees by providing a
uniform basis for recognizing the right of employees to join labor organizations,
and to be represented by such organizations in collective bargaining on
the terms and conditions of employment.  Therefore, if a private corporation
is found to be an agent of a municipality, that corporation will be a public
employer subject to the provisions of the Municipal Public Employees Relations
Act. 26 M.R.S.A. 961 et seq.
       
     Baker Bus Service next contends that the M.L.R.B. made errors of
fact and law in concluding that Baker Bus was an agent of the Augusta
School District.  The first issue raised by this contention is the standard
of review to be employed by this Court in reviewing the findings of fact
made by the M.L.R.B.  26 M.R.S.A. 968(4) indicates that review of a unit
determination decision of the M.L.R.B. shall be done in the manner specified
in 26 M.R.S.A. 972.  Section 972, which on its face relates to review of
arbitration decisions states:
       
                  Either party may seek review by the Superior
                  Court of a binding arbitration panel.  Such
                  review shall be sought in accordance with the
                  Rules of Civil Procedure Rule 8OB.

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                  The binding determination of an arbitration
                  panel, or an arbitrator, in the absense of fraud
                  upon all questions of fact shall be final.  The
                  Court may, after consideration, affirm, reverse,
                  or modify such binding determination or decision
                  based upon an erroneous ruling or finding of
                  law...
       
     One commentator has noted that this section, as it relates to
review of representation proceedings causes problems of interpretation
with regard to the standard of review to be applied to findings of fact
made by the M.L.R.B.  McGuire and Dench, "Public Employee Bargaining
Under the Maine Municipal Public Employees Labor Relations Law: The
First Five Years" 27 Me.L.R. 25, 76-8 (1975).  The statute on its face applies
to review of arbitration proceedings.  Since different considerations are
involved when the Court is reviewing a decision of the M.L.R.B. than when
review is being made of an arbitration decision, the intent of the legislature
is somewhat obscured.  The language of the statute seems to indicate
that findings of fact made by the M.L.R.B. are binding on the court
even if they are not supported by any evidence.  Clearly such a result
could not have been intended.  The statute also provides that representation
decisions are to be appealed under Rule 80B M.R.Civ.P.  The usual standard
of review under Rule SOB is that findings of fact will not be disturbed
if they are supported by substantial evidence.  McGuire and Dench,
supra at 77.  The suggestion has been made that the Court simply
ignore all of 26 M.R.S.A. 972 except insofar as it makes Rule 80B
applicable.  McGuire and Dench supra at 78.
       
     This Court declines to accept that suggestion.  Words in a statute
should not be ignored if there is a reasonable interpretation which gives

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meaning to all the words in the statute.  Fink v. Maine State Highway Commission
328 A.2d 791, 799 (Me. 1974).  Under 26 M.R.S.A. 972 findings of fact made
by the M.L.R.B. are to be final only if they are supported by any credible
evidence.  Findings of fact not so supported become errors of law, and are
thus reviewable under the terms of the statute.  See:  Dubois v. M.E.S.C.
150 Me. 494, 114 A.2d 359 (Me. 1955), compare 26 M.R.S.A. 1194(9).

     In the instant case, the Court finds all of the finding of fact made
by the M.L.R.B. to be supported by credible evidence.  Therefore, these
findings are final and binding on this Court.
       
     The next issue is whether or not the M.L.R.B. erred in concluding that
Baker Bus was an agent of the Board of Education.  This question is
clearly reviewable as the decision of the M.L.R.B. is a conclusion of law. cf.
N.L.R.B. v. United Insurance Company, supra.
       
     The critical factor distinguishing an agent from an independent
contractor is the right to control the details of the work to be performed.
N.L.R.B. v. United Insurance Company, supra; Pheonix Mutual Life Insurance
Company, 167 F.2d 983 (7th Cir. 1948); Desfosses v. Notis 333 A.2d 83
(Me. 1975); Murray's Case, 130 Me. 181 154 A. 352 (1931).  There is no
acid test for determining whether sufficient right to control exists in
any given situation.  However a number of factors are generally considered
including:
       
                  (1) The existence of a contract for the
                  performance by a person of a certain piece or
                  kind of work at a fixed price; (2) The
                  independent nature of his distinct calling
                  (3) his employment of assistants with the
                  right to supervise their activities; (4)
                  his obligation to furnish necessary tools,
                  supplies and materials; (5) his right to
                  control the progress of the work except or
                  to final results; (6) the time for which
                  the workman is employed; (7) the method of
                  payment, whether by time or by the job;

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                  (8) whether the work is part of the regular
                  business of the employer.  Murray's Case, supra
                  at 186.
       
     The M.L.R.B. clearly considered these factors in deciding that
Baker Bus is an agent of the Board of Education.  In making its finding of
agency, the M.L.R.B. held that the required control was shown by the
following facts:  1) the Board of Education supplied, and was under
obligation to continue to supply all the buses required to perform the
transportation services; 2) the buses supplied by the Board of Education
are to be used only for the transportation of Augusta school children;
3) the Board of Education is responsible for compliance with all State
and Federal regulations requiring additional or modified equipment on the
buses; 4) the Board of Education retains veto power over the hiring of
any school bus driver; 5) the Board of Education supplies all gasoline
required to operate the bus system; 6) the Board of Education pays all
registration fees and excise taxes on all the buses; 7) the Board of
Education provides a parking lot for storage of the buses; 8) the Board
of Education is responsible for supplying liability insurance coverage for
the bus system.
      
     The decision the M.L.R.B. was required to make in this case was not
an easy one.  There are no clear cut lines between agent and independent
contractors in this case.  The M.L.R.B. made a decision between two
conflicting views of the facts.  In such a case the Court should not
overturn the decision of the M.L.R.B.  cf. N.L.R.B. v. United Insurance
Company, supa; Joint Council of Teamsters v. N.L.R.B. 450 F.2d 1322
(D.C. Cir. 1971).
       
     Baker Bus claims that the M.L.R.B. resolved the agency issue in this
case in a related prohibited practice dispute between Teamster Local Union

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No. 48 and the Board of Education.  Teamster Local Union No. 48 v. City
of Augusta Board of Education.  M.L.R.B. case no. 78-04.  The Court
finds this argument to be completely without merit.  The prohibited practice
case involved claimed unfair labor practices arising from the decision of
the Board of Education to subcontract its school bus operation to Baker
Bus.  The issue of the relationship between Baker Bus and the Board of
Education was in no way considered by the M.L.R.B. in that case.

     Baker Bus is a public employer as defined in 26 M.R.S.A. 962(7),
and the M.L.R.B. has jurisdiction.
       
     The entry will be:
       
                                     Appeal DENIED.
                                     The decision of the Maine Labor
                                     Relations Board is AFFIRMED.
       
       
       
Dated:  November 19, 1979            /s/________________________________
                                             LEWIS I. NAIMAN
                                             JUSTICE, SUPERIOR COURT
       
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