Banks v. United States

94 Fed. Cl. 68, 2010 U.S. Claims LEXIS 487, 2010 WL 2947846
United States Court of Federal Claims·Decided July 21, 2010·No. Nos. No. 99-4451 L, 99-4452L, 99-4453L, 99-4454L, 99-4455L, 99-4456L, 99-4457L, 99-4458L, 99-4459L, 99-44510L, 99-44511L, 00-365L, 00-379L, 00-380L, 00-381L, 00-382L, 00-383L, 00-384L, 00-385L, 00-386L, 00-387L, 00-388L, 00-389L, 00-390L, 00-391L, 00-392L, 00-393L, 00-394L, 00-395L, 00-396L, 00-397L, 00-398L, 00-399L, 00-400L, 00-401L, 05-1353L, 05-1381L, 06-72L·Published·Cited by 1 cases

Opinion

ORDER and OPINION

HEWITT, Chief Judge.

Before the court are Plaintiffs’ Motion to Strike Defendant’s OHWM [Ordinary High Water Mark] Expert, Dr. Robert Nairn (plaintiffs’ Motion or Pis.’ Mot.) filed April 2, 2010, Docket Number (Dkt. No.) 397; United States’ Response in Opposition to Plaintiffs’ Motion to Strike United States’ OHWM Expert, Dr. Robert Nairn (defendant’s Response or Def.’s Resp.) filed April 26, 2010, Dkt. No. 402; and Plaintiffs’ Reply in Support of Their Motion to Strike Defendant’s OHWM Expert, Dr. Robert Nairn (plaintiffs’ Reply or Pis.’ Reply) filed May 10, 2010, Dkt. No. 404. For the following reasons, plaintiffs’ Motion is DENIED.

I. Background

Plaintiffs consist of several dozen individuals who own property in Michigan “along a four and one-half mile stretch of the eastern shoreline of Lake Michigan south of St. Joseph Harbor.” Banks v. United States (Banks II), 314 F.3d 1304, 1306 (Fed.Cir.2003).1 Plaintiffs allege that the United States Army Corps of Engineers (Corps), through its construction and maintenance of certain jetties within St. Joseph Harbor, [71]*71“haLs] interfered with the natural littoral flow of sand and river sediment and caused damage to the lakebed,” which has effected “a gradual and continued taking” of plaintiffs’ shoreline property. Id.

The activities of the Corps affecting St. Joseph Harbor and the eastern shoreline of Lake Michigan began in the 1830s. Id. The Corps constructed the jetties in 1903. Id. In 1950 the Corps began a “thirty-nine year construction project of installing [sandtight] steel sheet pilings” around the jetties. Banks v. United States (Banks III), 68 Fed. Cl. 524, 525, 535 (2005). The parties agree that the jetties in St. Joseph Harbor have “‘significantly increased the annual rate of shoreline erosion,’ which, without human intervention, occurs naturally at a rate of approximately one foot per year.” Banks II, 314 F.3d at 1306 (quoting Banks v. United States (Banks I), 49 Fed.Cl. 806, 818 (2001)). Since the mid-1970s, the Corps has “‘acknowledged the longstanding and significant exacerbation of erosion caused by its harbor jetties.’ ” Id. (quoting Banks I, 49 Fed.Cl. at 817). On summary judgment, the court determined that the claims were time-barred. Banks I, 49 Fed.Cl. at 825-26. On appeal, the United States Court of Appeals for the Federal Circuit (Federal Circuit) held that “[wjith the mitigation efforts underway, the accrual of plaintiffs’ claims remained uncertain until the Corps’ 1996 Report, 1997 Report, and 1999 Report collectively indicated that [the shoreline] erosion was permanent and irreversible.” Banks II, 314 F.3d at 1310. The Federal Circuit concluded that, because “[t]he statute of limitations did not begin to run until the Corps issued the 1996, 1997, and 1999 Reports,” plaintiffs’ complaints were timely. Id.

Pursuant to Section 111 of the River and Harbor Act of 1968, Pub.L. No. 90-483, 82 Stat. 731, 735 (1970),2 the Corps prepared a proposal in 1974 to mitigate the shoreline erosion attributable to the jetties in St. Joseph Harbor. Banks II, 314 F.3d at 1306. The Corps’ mitigation efforts included: providing fine sand for “feeder beaches ‘to nourish the areas suffering shore damage’ ” for over fifteen years, depositing coarse sediment material on the St. Joseph Harbor shoreline at least five times between 1986 and 1993 and “placing barge-loads of large rocks into the lake in 1995.” Id. at 1306-07. Technical reports prepared by the Corps addressed the progress of the Corps’ mitigation efforts and indicated “that the [shoreline] erosion was permanent and irreversible.” Id. at 1307.

In Banks III, the court cited to the United States Court of Appeals for the Federal Circuit for the proposition that landowners may be compensated for damage to “ ‘land located above or outside ... the high water mark at the time of construction.’ ” Banks III, 68 Fed.Cl. at 534 (emphasis omitted) (quoting Owen v. United States, 851 F.2d 1404, 1412 (Fed.Cir.1988) (en banc)); see also Banks v. United States (Banks IV), 71 Fed.Cl. 501, 503 (2006) (“At issue is the extent of the United States’ navigational servitude, as defined by the high water mark or ordinary high water mark, within which the United States cannot be liable for an alleged taking.”). The court concluded that

the proper period for evaluation of a plaintiffs claim is from the date of the plaintiffs acquisition of the property to the claim accrual date of January 2000, and that the appropriate date on which to measure the high water mark is the date of the particular plaintiffs property acquisition, but not earlier than 1950, the date the Corps began its ... construction project at the St. Joseph Harbor pier.

Banks IV, 71 Fed.Cl. at 504 (citations omitted) (citing Banks III, 68 Fed.Cl. at 530-33). The court denied plaintiffs’ subsequent motion for clarification of the term “high water mark.” Id. at 509. In doing so, the court acknowledged that federal case law uses the terms ordinary high water mark and high water mark interchangeably and stated that “despite any distinction in nomenclature, federal case law and regulations, in them use of the different terms ‘high water mark’ and [72]*72‘ordinary high water mark,’ refer to the same boundary.” Id. at 506.

After the 2007 trial on liability, the court concluded that defendant is liable for a percentage of certain individual plaintiffs’ “total erosion above the ordinary high water mark that occurred after any such plaintiff’s acquisition of the property (but in no case earlier than 1950).” Banks v. United States (Banks VII), 78 Fed.Cl. 603, 656-57 (2007). Although the “location of the high water mark was not addressed in the trial of liability,” the court noted that “[t]he subject will, however, necessarily arise in any trial of damages.” Id. at 607 n. 8.

The parties are now engaged in discovery in preparation for the damages phase of litigation. On September 14, 2009, the court entered an expert discovery order establishing the dates for the parties’ disclosures of, inter alia, high water mark experts. See Order of Sept. 14, 2009, Dkt. No. 328. On November 17, 2009 plaintiffs filed an Unopposed Motion for an Enlargement of Time to Disclose Their OHWM Expert Witnesses (Pis.’ [First] Unopposed Mot.), Dkt. No. 366, because of defendant’s failure promptly to respond to plaintiffs’ requests for production of documents. Pis.’ [First] Unopposed Mot. 4-6. The court granted plaintiffs’ motion on November 20, 2009. Order of Nov. 20, 2009, Dkt. No. 368. On December 30, 2009 plaintiffs filed a second Unopposed Motion for an Extension of Time to Disclose Expert Witnesses (Pis.’ [Second] Unopposed Mot.), Dkt. No. 378, because of defendant’s three-month delay in “fully and completely satisfying] [plaintiffs’ discovery request, thereby delaying [plaintiffs’ OHWM expert’s ability to properly and adequately draft his expert report,” Pis.’ [Second] Unopposed Mot. 5.

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Banks v. United States, 94 Fed. Cl. 68, 2010 U.S. Claims LEXIS 487, 2010 WL 2947846 (uscfc 2010).

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