United States of America v. Zachary D. Barnes

In the
United States Court of Appeals
For the Seventh Circuit
____________________
No. 24-2239
U NITED S TATES OF A MERICA,
Plaintiff-Appellee,
v.
Z ACHARY D. BARNES ,
Defendant-Appellant.
____________________
Appeal from the United States District Court for the
Northern District of Indiana, Fort Wayne Division.
No. 1:22-cr-00009-HAB-SLC-1 — Holly A. Brady, Chief Judge.
____________________
A RGUED A PRIL 3, 2025 — DECIDED J UNE 26, 2025
____________________
Before HAMILTON , BRENNAN , and S CUDDER , Circuit Judges.
HAMILTON , Circuit Judge. Zachary Barnes pleaded guilty to
conspiracy to distribute methamphetamine and to possess it
with intent to distribute in violation of 21 U.S.C. § 846. At sen-
tencing, the district court applied a two-level enhancement
under section 3B1.1(c) of the Sentencing Guidelines for
Barnes’ role as a manager or supervisor of the scheme. Be-
cause of the role enhancement, Barnes became ineligible for
the so-called “safety-valve” provision in 18 U.S.C. § 3553(f),

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2 No. 24-2239
which offers a path for some non-violent drug offenders with
minimal criminal histories to avoid mandatory minimum sen-
tences. Barnes was sentenced to the mandatory minimum ten
years in prison. He now appeals, challenging both the role en-
hancement and the denial of safety-valve relief.
We affirm. In applying the role enhancement under sec-
tion 3B1.1(c), the district court credited and relied on testi-
mony from a co-conspirator, Marquese Neal, that was corrob-
orated by other evidence. Neal’s testimony showed that
Barnes played a central role in the conspiracy. He negotiated
sales, coordinated logistics, supplied methamphetamine, di-
rected his co-conspirator to make deliveries, collected pro-
ceeds, and paid him in marijuana. This conduct fits squarely
within the scope of U.S.S.G. § 3B1.1(c). The district court did
not err in applying the enhancement. Because Barnes acted as
a supervisor, he was also ineligible for safety-valve relief.
I. Factual and Procedural History
Federal agents enlisted the help of a confidential source to
investigate a drug trafficking conspiracy in Fort Wayne, Indi-
ana. In February 2021, at the direction of law enforcement, the
source contacted Barnes to purchase methamphetamine.
When the source arrived at the agreed-upon location, Barnes
messaged that he was on his way outside. Instead, Marquese
Neal approached the source, exchanged drugs for money, and
then departed with Barnes.
In September 2021, law enforcement arranged a second
controlled buy using the same source. The transaction mir-
rored the earlier one: Barnes selected the meeting location,
and Neal delivered the methamphetamine, met with Barnes,
and departed in Barnes’ vehicle. Later that day, the source

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No. 24-2239 3
texted Barnes to ask why he had not personally participated
in the handoff. Barnes replied that he had been shopping in a
nearby store. The source also asked about buying a pistol.
Barnes responded that he could provide one for $500. The
next day, Barnes arranged the sale, met the source at the
agreed-upon location, and handed her a firearm concealed in
a video game box.
In the ensuing weeks, Barnes continued coordinating sales
with the source, frequently dispatching Neal to complete the
transactions. On one occasion, the source got into Barnes’ car,
where Neal delivered methamphetamine under Barnes’ di-
rection. During this exchange, Neal gave the source his phone
number, saying he could be contacted for marijuana, guns,
and fentanyl. When the source asked Barnes whether she
should contact Neal directly, Barnes responded that she
could, but he added that Neal would likely report back to him
if the source asked for guns or drugs. Shortly after that, Barnes
quoted the source a bundled price of $2,050 for some meth-
amphetamine and a pistol, but he later lowered the price. On
December 13, 2021, agents observed a blue Hyundai leaving
Barnes’ home. Neal exited the vehicle at the deal location and
handed the source both a gun and methamphetamine.
In February 2022, Barnes and the source arranged another
deal for methamphetamine and a pistol. Officers saw Neal
and an unidentified accomplice arrive at the meeting location.
Neal approached the source’s vehicle and exchanged the
drugs. When the source asked about a gun she had previously
discussed with Barnes, Neal responded that Barnes had been
unable to secure it in time. After the exchange, officers
watched Neal drive back to Barnes’ home. Law enforcement

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4 No. 24-2239
later searched Barnes’ home pursuant to a warrant and found
methamphetamine, marijuana, and ammunition.
Barnes pleaded guilty to one count of conspiracy to
distribute methamphetamine and to possess it with intent to
distribute in violation of 21 U.S.C. § 846. Other charges in the
indictment were dismissed. The Sentencing Guideline
calculations in the final version of the Presentence
Investigation Report (PSR) started with a base offense level of
32, holding Barnes responsible for at least 150 grams but less
than 500 grams of methamphetamine. The offense level was
increased by two levels for possession of a dangerous weapon
and by two more levels under section 3B1.1(c) for Barnes’ role
as an organizer or supervisor. Barnes also received a three-
level reduction for acceptance of responsibility, resulting in a
total offense level of 33. The leadership role enhancement
under section 3B1.1(c) also meant Barnes would not be
eligible for safety-valve relief under 18 U.S.C. § 3553(f). With
a criminal history category of I, Barnes’ guideline range was
135 to 168 months in prison, and he was subject to a statutory
mandatory minimum sentence of ten years (120 months) in
prison.
Barnes objected to the role enhancement and the denial of
safety-valve relief. He requested an evidentiary hearing. At
that hearing, Neal and a case agent testified, and the govern-
ment introduced text messages and video evidence from the
controlled buys. Neal testified that he had known Barnes
since high school and worked for Barnes’ lawn care business.
He further testified that Barnes paid him with marijuana for
delivering drugs as Barnes directed. For each transaction,
Barnes arranged logistics with the source, supplied the drugs,
and sent Neal to complete the exchange. Neal testified that he

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No. 24-2239 5
transferred the proceeds to Barnes and delivered drugs only
at Barnes’ direction.
Barnes challenged Neal’s credibility, citing inconsistencies
in his testimony, the absence of corroborating text messages,
and conflicting accounts about whether Neal had co-signed a
car loan. The district court, however, found Neal’s testimony
credible, explaining its findings in a written memorandum.
United States v. Barnes, No. 1:22-CR-9, 2024 WL 2105487, at *5
(N.D. Ind. May 10, 2024). Although the court acknowledged
some minor discrepancies, it emphasized that Neal’s
testimony was consistent on key points and supported by the
broader record. Id. at *4. The court overruled Barnes’
objections, found that Barnes acted as a supervisor in the
conspiracy for purposes of the role enhancement, and found
him ineligible for safety-valve relief. Id. at *5. The court later
sentenced Barnes to the mandatory minimum ten years (120
months) in prison. On appeal Barnes argues that he did not
qualify for the role enhancement and that he should be
deemed eligible for safety-valve relief.1
II. Analysis
We review de novo the district court’s application of the
Sentencing Guidelines, and we review its underlying factual
findings for clear error. United States v. Flores-Olague, 717 F.3d
526, 530 (7th Cir. 2013). This appeal turns on the clear-error
standard. “[W]hen a district court chooses between two per-
missible inferences from the evidence, the factual findings
cannot have been clearly erroneous.” United States v. Cruz-
1 We thank attorney Robert J. Palmer and Notre Dame law student
Alesondra Cruz for their able representation of Mr. Barnes on appeal by
appointment under the Criminal Justice Act.

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6 No. 24-2239
Rea, 626 F.3d 929, 938 (7th Cir. 2010). More to the point here,
“where a sentencing challenge boils down to a credibility de-
cision, … our review is especially deferential to the district
judge’s assessment of the testimony.” United States v. Etchin,
614 F.3d 726, 738 (7th Cir. 2010).
A. The District Court’s Credibility Determination
Before addressing whether Barnes qualified for the lead-
ership enhancement under section 3B1.1(c), we begin with the
district court’s finding that Neal testified credibly about
Barnes’ role in the drug distribution. We afford that determi-
nation “great deference.” United States v. Lovies, 16 F.4th 493,
497 (7th Cir. 2021). Credibility findings are not unassailable,
but we have said over and over that a district judge, having
observed the witness firsthand, is in the best position to assess
credibility. E.g., United States v. Salyers, 160 F.3d 1152, 1163
(7th Cir. 1998). Determinations of witness credibility “can vir-
tually never be clear error.” United States v. Ortiz, 431 F.3d
1035, 1039 (7th Cir. 2005) (internal quotation marks omitted),
quoting United States v. Blalock, 321 F.3d 686, 690 (7th Cir.
2003). “Discrepancies or inconsistent prior statements do not,
as a matter of law, render a witness’s testimony incredible.”
United States v. Hernandez, 544 F.3d 743, 747 (7th Cir. 2008).
This record supports the district court’s credibility deter-
mination. Neal testified consistently that Barnes arranged the
deals, supplied the drugs, directed the deliveries, and col-
lected the proceeds. The court was entitled to find this con-
sistency persuasive. See United States v. Zehm, 217 F.3d 506,
514–15 (7th Cir. 2000) (upholding credibility determination
because witness’s testimony was consistent with the testi-
mony of other witnesses and defendant). Neal’s account was
further corroborated by text messages and video evidence

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No. 24-2239 7
showing that Barnes negotiated prices, provided the drugs,
and was either present or closely involved in every transac-
tion.
Barnes argues that discrepancies in Neal’s testimony—
such as uncertainty about Barnes’ supplier, the difference in
weight between several ounces of methamphetamine and a
handgun, or whether Neal co-signed a car loan—undermined
his credibility entirely. But many witnesses contradict them-
selves or testify incorrectly about details. Sometimes the dis-
crepancies are honest human errors that do not undermine
the credibility of the core of their testimony. Sometimes they
indicate an unreliable memory or dishonesty. To account for
this reality, a trier of fact, including a sentencing judge, “may
credit some portions of a witness’s testimony while disre-
garding others.” United States v. Smith, 674 F.3d 722, 734 (7th
Cir. 2012).
In any event, the district court considered these discrepan-
cies and still found Neal’s testimony credible on key points.
That determination was well within the court’s judgment,
particularly where the inconsistencies did not bear on the cen-
tral question at issue—Barnes’ role in the conspiracy. See
United States v. Freeman, 691 F.3d 893, 900 (7th Cir. 2012) (up-
holding credibility finding despite “small inconsistencies” in
witness’s testimony about how often and in what manner de-
fendant hid drugs because the “most important aspects of [the
witness’s] testimony were internally consistent”); cf. Ray v.
Clements, 700 F.3d 993, 1013 (7th Cir. 2012) (district court
clearly erred where it based its “‘credibility’ finding on noth-
ing more than a string of speculative doubts, none of which
were based on any competent contradictory evidence pre-
sented by the state”). The district court appropriately

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8 No. 24-2239
distinguished between the inconsistent portions of Neal’s tes-
timony and those that were consistent and corroborated by
independent evidence. It did not clearly err. With the district
court’s credibility determination in mind, we turn to the role
enhancement.
B. The Role Enhancement
Section 3B1.1 allows for sentencing enhancements based
on a defendant’s aggravating leadership role in the offense. If
a crime involved five or more participants or was “otherwise
extensive,” a defendant receives a four-level enhancement if
he was an “organizer or leader” of the scheme under
section 3B1.1(a) or a three-level enhancement if he was a
“manager or supervisor” under section 3B1.1(b). Central to
this appeal, if the defendant was an “organizer, leader,
manager, or supervisor” but the crime did not involve five or
more participants and was not “otherwise extensive,” a
defendant receives a two-level enhancement under
section 3B1.1(c).
The Sentencing Guidelines do not expressly define the
terms “organizer,” “leader,” “manager,” or “supervisor,” but
decades of case law have shaped their meaning. Sentencing
courts can also look to the accompanying commentary, which
provides a list of relevant factors including: the exercise of de-
cision-making authority; the nature of the defendant’s partic-
ipation in the offense; the recruitment of accomplices; any
claim to a larger share of the criminal proceeds; the degree of
involvement in planning or organizing the offense; the overall
scope and structure of the criminal activity; and the extent of
control exercised over others. § 3B1.1 n.4. While those factors
can provide a useful framework, no one factor is required for
the enhancement to apply. United States v. House, 883 F.3d 720,

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No. 24-2239 9
724 (7th Cir. 2018). Stated plainly, the inquiry seeks to “make
a ‘commonsense judgment about the defendant’s relative cul-
pability given his status in the criminal hierarchy.’” United
States v. Craft, 99 F.4th 407, 414 (7th Cir. 2024), quoting House,
883 F.3d at 724. “A district court need find only by a prepon-
derance of the evidence facts sufficient to support an enhance-
ment.” United States v. Montgomery, 114 F.4th 847, 850 (7th Cir.
2024).
The district court did not err in applying the two-level or-
ganizer or leader enhancement to Barnes. A section 3B1.1 en-
hancement requires some hierarchy among participants,
United States v. Weaver, 716 F.3d 439, 444 (7th Cir. 2013), but it
does not demand proof that the defendant explicitly gave or-
ders. It may be sufficient if the defendant was “[o]rchestrating
or coordinating activities performed by others,” United States
v. Martinez, 520 F.3d 749, 752 (7th Cir. 2008), or delegating
tasks such as delivery or payment, United States v. Sainz-Pre-
ciado, 566 F.3d 708, 714 (7th Cir. 2009). That standard is readily
satisfied on this record.
Evidence that the district court credited showed that
Barnes brought Neal into the conspiracy and gave him mari-
juana in exchange for his services. We have recognized similar
recruitment as a relevant factor in applying section 3B1.1 en-
hancements. In Craft, although we ultimately remanded on
other grounds, we agreed with the district court’s application
of section 3B1.1(c). 99 F.4th at 414–15. We found it significant
that the defendant had enlisted the help of his co-conspirators
in the drug operation. Id. at 414. Similarly, in United States v.
Grigsby, we upheld application of the supervisory role en-
hancement in part because the defendant had “initiated the
scheme” and “played a leading role in recruiting the

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10 No. 24-2239
coconspirators.” 692 F.3d 778, 791 (7th Cir. 2012). And in
United States v. Watts, we affirmed a section 3B1.1(c) enhance-
ment where the defendant “recruited his wife to participate
in the conspiracy.” 535 F.3d 650, 660 (7th Cir. 2008). Barnes’
recruitment of Neal reflected the kind of leadership and con-
trol that section 3B1.1 targets.
Barnes negotiated the terms of the drug sales and coordi-
nated logistical details—conduct we have previously recog-
nized as relevant under section 3B1.1(c). In United States v.
Fox, we affirmed the enhancement despite “obvious conflicts”
in testimony, deferring to the district court’s credibility deter-
minations. 548 F.3d 523, 529–30 (7th Cir. 2008). We upheld the
district court’s application of section 3B1.1(c) because the de-
fendant had arranged the terms of the deals, set the times and
places of the transactions, and dispatched a co-conspirator to
complete them. Id. That conduct closely resembles Barnes’ ac-
tions: he negotiated every deal, planned the logistical details,
supplied the drugs, and either directed or personally trans-
ported Neal to the handoffs.
To show further the absence of error here, it is useful to
compare a case where we reversed a section 3B1.1 enhance-
ment. In United States v. Vargas, we found that the district
court had clearly erred in applying the leadership enhance-
ment despite evidence that Vargas had supplied drugs and
negotiated terms. 16 F.3d 155, 160 (7th Cir. 1994). We recog-
nized that Vargas’ actions might, in some cases, support a role
enhancement, but we ultimately concluded that his conduct
fell short. The record lacked evidence that Vargas exercised
authority over others or coordinated their efforts. He was not
“principally responsible for arranging the logistics of cocaine
deliveries or payments,” a role that would have required him

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No. 24-2239 11
to direct or manage the conduct of his coconspirators. Id. Our
conclusion was reinforced by testimony showing that, when
Vargas objected to a proposed delivery plan, his co-conspira-
tors overruled him. Id.
The contrast between this case and Vargas is clear. In Var-
gas, the defendant occasionally supplied drugs and partici-
pated in negotiations. We found the role enhancement did not
apply, though we suggested it might have been warranted if
he had also arranged logistics. 16 F.4th at 160. Here, the record
contains no evidence that anyone other than Barnes coordi-
nated logistics, supplied methamphetamine, or negotiated
terms. Indeed, when the source asked whether she could deal
directly with Neal, Barnes told her in essence that Neal could
not supply drugs or guns on his own. Neal, for his part, testi-
fied that his one-time offer to supply drugs and guns was not
serious. Unlike in Vargas, Barnes was never overruled by oth-
ers.
Barnes’ claim that he and Neal operated as equal partners
is not so compelling on this record that the district court
clearly erred by rejecting it. Barnes points to a brief exchange
during one recorded delivery in which Neal told the source
that she could “hit him up” and that he would “work with”
her on price. But isolated remarks during a single transaction
do not outweigh the preponderance of the evidence in the rec-
ord in this instance. Those comments by Neal are also con-
sistent with the role of a subordinate acting under delegated
authority. As the government notes, Barnes never told the
confidential source that he had a partner or that someone else
would be handling the sales—facts that support the district
court’s finding that Barnes maintained primary control over
the operation.

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12 No. 24-2239
Because Barnes recruited Neal, negotiated sales, arranged
logistics, supplied methamphetamine, delegated delivery du-
ties, and collected proceeds, the district court did not err in
applying the section 3B1.1(c) enhancement. That enhance-
ment also renders Barnes ineligible for safety-valve relief. See
18 U.S.C. § 3553(f)(4) (excluding from safety-valve relief a de-
fendant who was an “organizer, leader, manager, or supervi-
sor of others in the offense, as determined under the sentenc-
ing guidelines”); United States v. May, 748 F.3d 758, 761 (7th
Cir. 2014) (defendant who “properly received the two-level
adjustment under § 3B1.1” was ineligible for safety-valve re-
lief as a matter of law). Accordingly, we need not—and do
not—reach the parties’ arguments regarding firearm posses-
sion and other aspects of eligibility for the safety valve.
AFFIRMED.

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