Alpine County v. United States

59 Fed. Cl. 610, 2004 U.S. Claims LEXIS 42, 2004 WL 434175
CourtUnited States Court of Federal Claims
DecidedMarch 4, 2004
DocketNo. 02-1745C
StatusPublished
Cited by1 cases

This text of 59 Fed. Cl. 610 (Alpine County v. United States) is published on Counsel Stack Legal Research, covering United States Court of Federal Claims primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Alpine County v. United States, 59 Fed. Cl. 610, 2004 U.S. Claims LEXIS 42, 2004 WL 434175 (uscfc 2004).

Opinion

OPINION

WIESE, Judge.

This action comes before the court on defendant’s motion to dismiss or, in the alternative, for summary judgment. Plaintiffs, the California counties of Alpine, Amador, and El Dorado, sue here to obtain funds allegedly owed them by the United States Forest Service (the “Forest Service”) pursuant to 16 U.S.C. § 500 (2000), a statutory provision that awards a share of the revenue received from the logging of national forests to the states and territories in which those forests are located. The parties have fully briefed the issue, and the court heard oral argument on November 4, 2003. For the reasons set forth below, defendant’s motion to dismiss is granted.

BACKGROUND

The Eldorado National Forest covers approximately 677,905 acres in Northern California, over 90 percent of which are located in Alpine, Amador, and El Dorado counties. Between 1987 and 1992, the Forest Service entered into 24 contracts with various timber companies providing for the logging and sale of timber from the Eldorado National Forest. Before it had received any revenues from these timber contracts, however, the Forest Service became aware of the potentially adverse environmental impact of the proposed logging and suspended a majority of the contracts pending the outcome of an environmental impact review. Based on the results of that review, the Forest Service ultimately terminated 23 of the 24 contracts either in whole or in part.

Plaintiffs were not parties to the timber contracts with the Forest Service and do not challenge the legality of the contracts’ termination. Plaintiffs instead argue that they are entitled, both under statute and by contract, to a portion of the revenues that would have been received by the Forest Service had performance of the contracts been permitted to proceed. Plaintiffs seek to recover an amount equal to 25 percent of the uncollected revenues.

DISCUSSION

Plaintiffs base their claim on 16 U.S.C. § 500, which instructs the Secretary of the Treasury to pay to states and territories, for the benefit of those local jurisdictions whose lands comprise part of a national forest, a percentage of the revenue generated from the timber sold from such lands. Specifically, Section 500 provides:

[T]wenty-five [percent] of all moneys received during any fiscal year from each national forest shall be paid, at the end of such year, by the Secretary of the Treasury to the State or Territory in which such national forest is situated, to be expended as the State or Territorial legislature may prescribe for the benefit of the public schools and public roads of the county or counties in which such national forest is situated____

16 U.S.C. § 500. This provision, plaintiffs contend, invests them with a right to recover 25 percent of the revenues the Forest Service would have received had it not terminated the 23 timber contracts.

[612]*612In light of the statutory language, however, two defects in plaintiffs’ claim become immediately apparent. First, the statute, by its terms, directs disbursement only of monies “received” by the Secretary of the Treasury, but in the instant case, the Secretary received no monies at all. Second, the statute directs that a portion of such monies be paid to a “State or Territory,” a governmental status that plaintiffs, as counties, cannot claim. Relying, then, on the time-honored principle that the words of a statute are to be interpreted as being “used in their ordinary and usual sense, and with the meaning commonly attributed to them,” Caminetti v. United States, 242 U.S. 470, 485-86, 37 S.Ct. 192, 61 L.Ed. 442 (1917), we are bound to conclude that plaintiffs’ case does not, on its face, satisfy the most basic elements necessary for recovery.

Despite these divergences between their claim and the literal terms of 16 U.S.C. § 500, however, plaintiffs maintain that the relief they seek is implicitly sanctioned by the statute. In plaintiffs’ view, a right to recover monetary damages against the United States may be inferred under the Tucker Act, 28 U.S.C. § 1491 (2000) (this court’s basic jurisdictional statute), where the government stands in breach of a duty owed. Plaintiffs argue that in the instant case, the Forest Service’s award of the 24 timber sale contracts, whose proceeds are statutorily subject to revenue sharing, created a duty on the part of the government to administer those contracts in a manner that would ensure their expected revenue flow.1 Because the government did not fulfill this obligation, plaintiffs contend that it breached its implied duty and, thus, must now make plaintiffs whole.

In support of the proposition that a statute may confer an implicit cause of action where a duty is owed, plaintiffs rely on the Supreme Court’s decision in United States v. White Mountain Apache Tribe, 537 U.S. 465, 123 S.Ct. 1126, 155 L.Ed.2d 40 (2003). In White Mountain, the Court addressed the question of whether an Indian tribe could recover damages from the United States based on the government’s alleged mismanagement of trust assets in the absence of an explicit authorization of such a remedy in the underlying statute. In resolving this issue in the Tribe’s favor, the Court took account of statutory language directing that Fort Apache be held by the United States in trust for the Tribe and simultaneously granting the United States discretionary authority to make direct use of portions of the trust corpus. Based on these considerations, the Court explained that “the fact that the property occupied by the United States is expressly subject to a trust supports a fair inference that an obligation to preserve the property improvements was incumbent on the United States as trustee.” Id. at 475, 123 S.Ct. 1126. The Court went on to say: “Given this duty on the part of the [United States] to preserve [the trust] corpus, ‘it naturally follows that the Government should be liable in damages for the breach of its fiduciary duties.’ ” Id. at 475-76, 123 S.Ct. 1126 (quoting United States v. Mitchell, 463 U.S. 206, 226, 103 S.Ct. 2961, 77 L.Ed.2d 580 (1983)). Accordingly, the Court concluded that the lack of express statutory authorization notwithstanding, the Tribe had a substantive right enforceable against the United States in a suit for money damages.

In plaintiffs’ view, the government’s control over the timber sale contracts at issue here, like the government’s control over the trust corpus in White Mountain, must be exercised with due regard to all dependent interests. In White Mountain, however, the Court made clear that its conclusion was based on the existence of a statutorily defined fiduciary relationship between the government and the Tribe and on the government’s authorized use of the trust’s assets.

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Related

Alpine County, California v. United States
417 F.3d 1366 (Federal Circuit, 2005)

Cite This Page — Counsel Stack

Bluebook (online)
59 Fed. Cl. 610, 2004 U.S. Claims LEXIS 42, 2004 WL 434175, Counsel Stack Legal Research, https://law.counselstack.com/opinion/alpine-county-v-united-states-uscfc-2004.