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Facts

In 1994, the New Mexico legislature amended the School Personnel Act to extend tenure rights and procedural protections to non-certified public school employees who had been employed for three consecutive years. The amendments became effective on May 18, 1994. Shortly before this date, the Gadsden Independent School District Board voted to terminate the employment of several non-certified employees under contracts that allowed termination without cause on ten days' notice. The employees received written termination notices on May 25, 1994, with termination effective June 4, 1994 (paras 1, 3-4).

Procedural History

  • District Court, July 12, 1995: The court issued an Order of Mandamus and Declaratory Judgment, holding that the 1994 amendments to the School Personnel Act applied to the employees and ordering the Board to grant a hearing to one employee. The court reserved the issue of damages (para 6).

Parties' Submissions

  • Appellants (Board and Superintendent): Argued that the 1994 amendments did not apply retroactively to the employees' terminations, as the contracts predated the amendments. They also contended that applying the amendments would impair vested contractual rights and violate the constitutional prohibition against laws impairing contracts (paras 2, 12).
  • Appellees (Employees and Federation): Asserted that the 1994 amendments applied to their terminations because the terminations occurred after the amendments' effective date. They argued that the statute was not retroactive as it applied to conditions existing on its effective date (paras 5, 18).

Legal Issues

  • Did the 1994 amendments to the School Personnel Act apply to the termination of non-certified employees whose contracts predated the amendments but whose terminations occurred after the amendments' effective date?

Disposition

  • The Court of Appeals reversed the district court's decision and held that the 1994 amendments did not apply to the employees' terminations (para 22).

Reasons

Per Hartz J. (Apodaca CJ and Bosson J. concurring):

  • The Court applied the presumption that statutes operate prospectively unless there is a clear legislative intent for retroactivity, which was absent in this case (para 13).
  • The employees' contracts, which allowed termination on ten days' notice, created vested rights for the Board. Applying the amendments retroactively would impair these rights, contrary to established principles of statutory interpretation (paras 14-15).
  • The Court distinguished prior case law cited by the employees, noting that those cases involved contracts entered into after the relevant statutes became effective. Here, the employees' contracts predated the amendments, and applying the amendments would improperly alter the terms of those contracts (paras 16-21).
  • The Court declined to address the constitutional argument regarding impairment of contracts, as the case was resolved on statutory interpretation grounds (para 12).
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