Texas Health & Human Services Commission v. McMillen
483 S.W.3d 576
Tex. App.2015Background
- McMillen, an attorney with 20+ years of experience, worked for HHSC OIG as Deputy Counsel from Nov 2009 to Apr 2012 and was placed on administrative leave Jan 2012, terminated Apr 2012.
- McMillen sued HHSC and HHSC Executive Commissioner in July 2012, alleging Texas Whistleblower Act and Texas Constitution free-speech violations.
- UK: He claimed termination and retaliation due to a June 2011 memorandum advising HHSC/OIG to cease accepting certain Medicaid repayments.
- The memorandum drew on a 1997 HHS/Center for Medicaid and State Operations letter and a California class action; copies were shared internally in 2011–2012.
- OIG Internal Affairs investigated McMillen’s allegations and found them unsubstantiated; HHSC filed a plea to the jurisdiction with Nelson’s affidavit.
- Trial court denied the plea; appellants appeal challenging jurisdiction over both whistleblower and free-speech claims.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether McMillen’s whistleblower claim shows jurisdictional violation | McMillen alleged a violation of the Whistleblower Act | McMillen failed to show an ‘appropriate law enforcement authority’ and good faith under §554.002 | Whistleblower claim lacks jurisdiction; recipients not an appropriate authority and no good-faith report. |
| Whether McMillen’s Texas free-speech claim has jurisdiction | McMillen’s speech implicated a matter of public concern | Speech was made as part of official duties; not protected under Garcetti | Free-speech claim dismissed for lack of jurisdiction; Garcetti applicable. |
Key Cases Cited
- Lueck v. State, 290 S.W.3d 876 (Tex. 2009) (immunity and Whistleblower Act elements are jurisdictional)
- Needham v. Texas Dept. of Transportation, 82 S.W.3d 314 (Tex.2002) (defining ‘appropriate law enforcement authority’ under §554.002)
- Gentilello v. University of Texas Sw. Med. Ctr., 398 S.W.3d 680 (Tex.2013) (limits on internal enforcement as ‘appropriate law enforcement authority’)
