Opinion ID: 1929306
Heading Depth: 1
Heading Rank: 3

Heading: The Director's Jurisdiction To Review the Hearing Examiner's Compensation Order

Text: WHC argues that the Director lacked jurisdiction to reverse the hearing examiner's order because his decision was not made within forty-five days after the hearing examiner's order was issued. WHC contends that the forty-five day period set forth in § 36-322(b)(2) is mandatory and not directory. The District maintains that the forty-five day period is not mandatory. Section 36-322(b)(2) provides in pertinent part: The Mayor is authorized to establish an administrative procedure for review of compensation orders raising a substantial question of law or fact. Application for such review shall be made by any party within 30 days from the date a compensation order is filed.... Final decisions issued pursuant to such review shall be rendered within 45 days from the date of the application and shall be based upon the record of the hearing. If a final decision is not rendered within such 45-day period the compensation order shall be considered a final decision for purposes of appeal.... Section 36-322 is silent as to what happens if there is no appeal and the Director does not issue a decision within the forty-five day period. If we construe the forty-five day provision in § 36-322(b)(2) as mandatory, the Director had no jurisdiction to issue a decision almost three years after the hearing examiner's order. On the other hand, if we interpret the forty-five day provision as directory, the Director had jurisdiction to decide the matter. We do not approach this issue on a clean slate. We have consistently declared that: Administrative and judicial efficiency require that all claims be first raised at the agency level to allow appropriate development and administrative response before judicial review. Hughes v. Department of Employment Servs., 498 A.2d 567, 570 (D.C. 1985). For this reason we have regarded specific statutory time limits for agency action as directory rather than mandatory. In Georgetown University Hospital v. Department of Employment Services, 659 A.2d 832 (D.C.1995), we commented on the forty-five day period at issue in this case, saying: If the Director does not decide the appeal within 45 days, the compensation order is deemed a `final decision' for purposes of allowing a party to appeal the compensation order to this court.... Absent such appeal, the compensation order is not final until the Director rules. Id. at 834 (citations omitted). These comments were not the holding of the court; however, they are consistent with our cases involving time limits for administrative decisions in other agencies. See, e.g., In re Morrell, 684 A.2d 361, 370 (D.C. 1996) (D.C. Bar rule specifying that the hearing committee shall submit its report within sixty days presumed to be directory, rather than mandatory); M.B.E., Inc. v. Minority Bus. Opportunity Com'n, 485 A.2d 152, 155 n. 1 (D.C.1984) (regulation stating Commission's final decision must be issued in writing within ninety (90) days interpreted as directory, rather than mandatory or jurisdictional). Accordingly, we now hold that the forty-five day requirement set forth in § 36-322(b)(2) is directory, not mandatory. [1] Thus, the Director had jurisdiction to consider the employee's challenge to the hearing examiner's compensation order.