October 2006

COLUMNS  
     

  Florida Caselaw Update
  Gary K. Hunter, Jr. & D. Kent Safriet

      

DEP’s construction of its coastal construction rules was implausible and unreasonable. Atlantis at Perdido Ass’n, Inc.v. Bobby L. Warner, 31 Fla. L. Weekly D1827 (Fla. 1st DCA July 6, 2006)

Two neighboring condominium associations challenged DEP’s issuance of a Coastal Construction Control Line Permit because the project was situated seaward of the Coastal Construction Control Line (CCCL) and the “reasonably continuous and uniform construction line.” Coastal construction cannot take place normally seaward of the surveyed CCCL. However, construction is allowed, under certain conditions, seaward of the CCCL when there are adjacent structures seaward of the CCCL. The new construction, however, cannot be any further seaward than the adjacent structures as measured by a “reasonably continuous and uniform construction line.” This “line of construction” is determined by looking at structures within 1500 feet on either side of the property.

The permit in this case authorized construction of a nine story condominium 45 feet seaward of the line of construction and 193 feet seaward of the CCCL. The new condominium would replace an existing duplex and quadriplex on the property. DEP argued that the project was not subject to the CCCL or “line of construction” setbacks because the project constituted a “rebuilding” of the existing structures (rather than new construction) and thus would not harm the dune system.

Despite the fact that the project involved razing the two existing one story structures and construction of a nine story condominium in a location that was more landward than the foundations of the original structures, DEP argued the project was “rebuilding” and authorized under its interpretation of its rules. The Court disagreed, holding that DEP misconstrued the word “rebuilding” which is plainly defined in DEP’s rules as a “substantial improvement of the existing structure.” “Substantial improvement” is further defined as a situation when the cost to repair a structure to its pre-damage condition is 50 percent or more of the market value of the structure. The Court found the definition of “rebuilding” was “clear and unambiguous” and that DEP’s interpretation was “implausible and unreasonable.” The Court found that the construction authorized under the permit was “new” construction and not “rebuilding.” As such, the Final Order authorizing the permit was reversed.

Definition of blight per sections 163.330-.436, F.S., was not unconstitutional and “structures” includes more than just “buildings.” Fulmore v. Charlotte County,
31 Fla. L. Weekly D1490 (Fla. 2d DCA, May 31, 2006).


Charlotte County Board of County Commissioners adopted a resolution in May 2003 that authorized and directed a consultant to analyze whether an area in unincorporated West Murdock constituted a slum or blighted area as defined in the Community Redevelopment Act of 1969 (sections 163.330-.436, F.S.). The Board held a public meeting at which uncontradicted evidence of blight was presented and the Board unanimously approved a resolution that contained findings of blight. The Board created the Murdock Village Community Redevelopment Agency to carry out the redevelopment purposes of the Act, including the powers of eminent domain. The Agency successfully negotiated the voluntary acquisition of some lots and began filing eminent domain petitions in January 2004. Several affected landowners filed a declaratory judgment action raising facial and as-applied challenges to the Act; other landowners asserted the same challenges through answers, affirmative defenses, and counterclaims.

The trial court, in response to the Agency’s motion, dismissed the action as it related to a facial challenge and reserved ruling on the as-applied challenge. After an evidentiary hearing, the trial court held the Act was not applied unconstitutionally and allowed the takings. The landowners appealed arguing that the condemnation did not serve a public purpose and that their property was not blighted because the definition of blighted was unconstitutional, facially and as-applied. The Court held the facial challenge failed because the landowners acknowledged that several of the blight factors are objective and quantifiable, and therefore it is not vague in all applications. Regarding the as-applied challenge, the Court agreed with the Agency’s assertion that “structures” encompasses more than simply “buildings” - it include roads and infrastructures. Though the landowners did not attempt to show the findings of blight were not supported by substantial competent evidence, the Court looked at each factor found by the trial court to indicate blight and concluded the application of blight to the particular circumstances by the Agency was constitutional.

Land previously annexed by City could still be affected by electorate of charter county and Court was unconvinced citizens have right to adopt and repeal land use ordinances. Seminole County v. City of Winter Springs, 31 Fla. L. Weekly D1465 (Fla. 5th DCA May 26, 2006).

In 1994, Seminole County amended its Comprehensive Plan and established an Urban/Rural boundary along the eastern edge of the City of Winter Springs to protect rural and environmentally-sensitive lands from urban sprawl. This boundary was not effective because Seminole County’s charter did not provide for County preemption of conflicting municipal land use regulations and so the City could simply annex land and change the land use designation once the property was within the City’s jurisdiction. In response to continuous growth in rural and environmentally-sensitive lands, the Seminole County Board of County Commissioners proposed a charter amendment that would provide for County preemption of land use regulation in the rural eastern area of the County, thereby protecting that land even if annexed by the City. The charter amendment was approved by the voters of Seminole County on November 2, 2004. The City challenged the amendment.

The trial court held the amendment invalid because the ballot summary language was misleading and the amendment violated the single subject rule. The trial court based its holding on its finding that the amendment implicitly eliminated the County electorates’ right to adopt or repeal ordinances regarding the protected land by initiative and referendum because the amendment provides that the Board of County Commissioners must approve all changes to the future land use designations in the eastern area of the county.

The District Court found the trial court erred in accepting the City’s argument that the charter amendment affected the county citizens’ right to adopt and repeal land use ordinances related to the protected land. The Court was unconvinced citizens could possess this right because the Local Government Comprehensive Planning and Land Development Regulation Act expressly designates the Board as the responsible body and thus a citizen initiative would not be workable. Even if the right existed, the Court found the amendment did not change this right because “enactments should not be read as amending non-referenced provisions by implication.” Because the Court found no effect on the citizens’ rights, it followed that the single subject rule was not violated.

However, the District Court agreed with the trial court that the “Rook property” was included in the amendment. While the City had annexed the property, it had not assumed regulatory control over the Rook property because it had not amended its comprehensive plan to include the area. If the City had amended its comprehensive plan, it would not make a difference because a charter county’s electorate may preempt a city’s land use regulation by charter, without a dual vote of the city’s electorate.

Constitutionality of the Bert J. Harris, Jr. Private Property Protection Act, Section 70.001, F.S., is upheld. Brevard County v. Charles R. Stack, 31 Fla. L. Weekly D1895 (Fla. 5th DCA July 14, 2006)

Stack had purchased a four acre parcel of land zoned for commercial use for investment purposes. Nearly fifteen years later in September 2000, Brevard County adopted an “Ordinance” that prevented development in wetlands on properties designated for commercial use.

Stack entered into a contract to sell the parcel to a Developer for $1.1 million. The proposed development plan was in conformance with all of the County’s regulations except the Ordinance. The County denied the Developer’s proposed development and the Developer in turn canceled the contract to purchase the parcel from Stack. As a result, Stack filed a claim against the County under the Bert J. Harris, Jr. Private Property Protection Act, Section 70.001, F.S., (Act).

Thereafter, a lawsuit was filed and the circuit court found, on summary judgment, that the County was liable under the Act and reserved the issue of damages for trial. On appeal, the County asserted that the Act was unconstitutional as a violation of due process because it allows local governments to contract away their police powers and then requires them to “buy back” their ability to exercise those powers. The Court rejected these arguments because the Act itself was a valid exercise of the State’s police power, in protecting property rights, and did not affect a governmental entity’s inherent power; rather, it simply required the government entity to provide relief in certain circumstances. Additionally, because the Act established a new cause of action it cannot be characterized as a “buy-back” of a government’s inherent power nor can the Act constitute an illegal gift of public funds.

The Court rejected the County’s argument that the Act violates the separation of powers doctrine because the Act did not create or enlarge the judiciary’s interpretation of a taking but created a new cause of action independent of a taking. The Court also rejected the County’s argument that the Act unconstitutionally delegated legislative power to the judiciary because the Act lacked standards, criteria, and conditions to guide the judiciary, finding that the Act contained definitions, time periods, settlement options and other guidance that would allow the Court to make the determinations required by the Act. In sum, the Court found the County’s constitutional challenges lacked merit.

However, the Court did find the circuit court’s order lacking because it did not contain “findings” that Stack had “an existing use” or “vested right to a specific use” of the parcel or that the parcel had been “inordinately burdened” by the County’s Ordinance. As such, the case was remanded for the circuit court to address the required findings.

Judge reverses vote on rehearing and majority now finds no inverse condemnation when landfill was the cause of noxious odors; landfill constituted a public nuisance; owner unwilling to follow DEP’s closure requirements. Osceola County v. Best Diversified, Inc., 31 Fla. L. Weekly D2143 (Fla. 5th DCA, August 11, 2006).

The original opinion in this matter was published at 30 Fla. L. Weekly D1831 (July 29, 2005) and summarized in the September 2005 issue of the ELULS Section Reporter. On rehearing, one judge changed its position thereby altering the outcome of the previously reported decision.

Peter Huff and Best Diversified, Inc. (“Huff”) owned and operated a landfill in Osceola County. While the property had been used as a landfill since the 1960s, it was not regulated until the early 1990s. In 1991, the DEP granted Huff a five-year permit to operate a construction and demolition debris facility at the site and the Osceola Board of County Commissioners approved the activity as a conditional use of the property, limited to five years. In 1996, Huff applied to the DEP and County for new approvals to continue using the property as a landfill. Both requests were denied. DEP found the operation to be a public nuisance. Huff subsequently filed suit, claiming inverse condemnation and bringing a Bert J. Harris Act suit.

The trial court determined that the County and DEP weighed the interests of nearby residents against the interests of Huff and imposed impossible standards on Huff. A final judgment was entered vesting title in the property to the County and DEP and awarding Huff $1,415,000 in compensation. On motion for rehearing, the District Court held Huff was not entitled to compensation from the County and DEP since the request for a conditional use and permit were denied based on a determination that the facility was the cause of noxious odors and constituted a public nuisance. The Court also determined Huff should have sought administrative review if the County or DEP acted improperly.

The remaining question was whether there was a taking as a consequence of the County’s and DEP’s refusal to allow the landfill to be closed pursuant to DEP’s requirements so the property could be put to another use. The court concluded that there was no evidence that demonstrated that the County prevented Huff from closing the landfill. Huff never attempted to follow DEP’s regulations in closing the landfill, did not have the resources to close the landfill, and never notified DEP of his intent to close the landfill in accordance with DEP’s regulations. Huff only proposed re-opening and operating the landfill for another three to five years to generate income, part of which would be used to close the landfill properly at the end of the additional period.


Gary K. Hunter, Jr. is a Shareholder with Hopping Green & Sams, P.A. in Tallahassee, Florida. He received his B.B.A. and J.D. from the University of Georgia. D. Kent Safriet is an Associate with Hopping Green & Sams, P.A. in Tallahassee, Florida. He received his B.S. from Clemson University and his J.D. from the University of South Carolina. Mr. Hunter and Mr. Safriet practice primarily in the areas of environmental, land use and property rights law.


 

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