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Yvonne Anagnost v. Jane Garvey, Administrator of the Federal Aviation Administration

Citations: 170 F.3d 704; 1999 U.S. App. LEXIS 3960; 1999 WL 130193Docket: 98-3223

Court: Court of Appeals for the Seventh Circuit; March 12, 1999; Federal Appellate Court

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Yvonne Anagnost, a former attorney with the Interstate Commerce Commission (ICC), sought employment with the Federal Aviation Administration (FAA) after the ICC was dissolved. Under the ICC Termination Act, former ICC employees were promised placement on the Department of Transportation’s (DOT) priority employment list. Anagnost applied for a position within the FAA but was informed that the FAA operates its own independent employment system and does not recognize the DOT priority employment list for hiring purposes.

Anagnost filed a lawsuit under the Administrative Procedure Act, claiming she was entitled to employment priority at the FAA equivalent to that at other DOT components. The district court ruled in her favor, ordering the FAA to prioritize her for job openings over the next five years.

The FAA contended that placement on the DOT priority employment list does not confer employment rights at the FAA, emphasizing its autonomy in personnel matters under 49 U.S.C. 106(f). The FAA highlighted that the law grants the Administrator independent authority over hiring decisions, which includes not having to coordinate with the DOT. This independence is crucial for the FAA to recruit specialists in aviation without being constrained by regulations applicable to other transportation sectors.

The court concluded that the FAA and DOT are treated as separate agencies when it comes to employment, and that the priority employment list does not guarantee cross-agency hiring preferences. Federal regulations specify that priority employment lists apply within an agency and that such priority expires after two years, not five. Consequently, the FAA is not obligated to prioritize applicants from the DOT list, leading the appellate court to reverse the district court's decision.