City of Grangeville v. Haskin

777 P.2d 1208, 116 Idaho 535, 1989 Ida. LEXIS 122
CourtIdaho Supreme Court
DecidedJuly 27, 1989
Docket17675
StatusPublished
Cited by13 cases

This text of 777 P.2d 1208 (City of Grangeville v. Haskin) is published on Counsel Stack Legal Research, covering Idaho Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
City of Grangeville v. Haskin, 777 P.2d 1208, 116 Idaho 535, 1989 Ida. LEXIS 122 (Idaho 1989).

Opinions

JOHNSON, Justice.

This is a collection case brought by the City of Grangeville against the owner of property in the city. The city sued to recover charges for water, sewer and garbage services provided by the city to tenants of the owner. The sole issue presented is whether the city may impose liability on the owner for these charges. The district judge affirmed a decision of a magistrate, who had awarded judgment to the city after conducting a trial de novo on appeal from a small claims judgment in favor of the city. We hold that the city had no statutory authorization to impose a lien on the property of the owner for these charges or to collect the charges from the owner. We reverse and remand.

I.

THE BACKGROUND AND PRIOR PROCEEDINGS.

This action was commenced in the small claims department of the magistrate division. The city was granted adjudgment of $73.51 against the owner. In the appeal by the owner to a magistrate, the city and the owner stipulated to the facts to be considered in a trial de novo. No other evidence was presented, and the parties stipulated that the question before the magistrate was one entirely at law. The following were the stipulated facts:

1. The owner and his wife are the record owners of real property (the property) within the city. The property is the subject of the water, sewer and sanitation billings that are the basis of this action.
2. At the time of the billings in issue and for some months prior thereto tenants of the owner were in possession of the property.
3. Each tenant opened up his own water, sewer and sanitation account with the city, individually and in his own name.
4. A total of $73.51 in delinquent water, sewer and garbage bills accumulated under the accounts of the tenants while they were in possession of the property. The owner did not personally use any of the services provided to his tenants for which the outstanding bills remain.
5. The city was unsuccessful in collecting the delinquent bills from the tenants and, therefore, sought to require the owner to pay the delinquent bills pursuant to section 3-3-6 of the ordinances of the city, which provided in part:
Notwithstanding the fact that the customer might be a tenant and might receive the water, sewer or garbage bill, the owner and occupant of any premises using the water, sewer or garbage system, shall be jointly and severally liable for all fees and charges assessed by the .city. Any owner of real property renting the same to others, who shall desire to have notification of the monthly charges, shall make written application to the City Clerk for such duplicate billing, and shall be charged, in addition to the water, sewer or garbage services, the actual costs of such duplicate billing. This section was part of an ordinance adopted on July 10, 1987.
6. No contract, either oral or written existed between the owner and the city providing for the owner to pay the bills incurred by the tenants.
[537]*5377. The city has also adopted ordinances that are codified as sections 3-3-3 and 3-3-4. Section 3-3-3, which was adopted by the city on June 4, 1984, provided in part:
All charges for connections and for sewerage service ..., together with penalties ánd interest thereon, shall be a lien upon the property with which such connection is made or sewerage service rendered respectively, superior to all other liens and encumbrances whatsoever except for general taxes and local special assessments.
Section 3-3-4, which was adopted on August 9, 1979, provided in part: Independent of any other enforcement remedy for water connection or water service, the City is hereby declared to have a lien upon the property with which such water connection is made or water service rendered respectively, superior to all other liens and encumbrances whatsoever, except for general taxes and local special assessments.
8. The city did not file any liens against the property on account of the delinquent amounts owed by the tenants for water, sewer and garbage charges.

The owner conceded that if there were statutory authority for a lien against the property in this case, the city had the power to adopt an ordinance imposing personal liability on the owner. The magistrate interpreted I.C. § 50-1813 to authorize liens for assessments applicable to city domestic water systems and awarded the city the full amounts claimed against the owner for delinquent water, sewer and garbage bills.

On appeal of the judgment awarded by the magistrate, the district judge interpreted I.C. §§ 50-323 and 50-1030(f) to imply the power for the city “to prescribe such methods of collection as the imposition of a lien on property or direct personal liability of the property owner.” I.C. § 50-323 gives cities the power “to establish, create, develop, maintain and operate domestic water systems.” I.C. § 50-1030(f) is part of the Revenue Bond Act and includes the power for cities “[t]o prescribe and collect rates, fees, tolls, or charges ... for the services, facilities and commodities furnished by [water systems and sewerage systems], ... and to provide methods of collections and penalties, including denial of service for nonpayment of such rates, fees, tolls or charges.” The district judge also concluded that based on I.C. § 50-1813 “all assessments levied under Idaho Code Sections 50-323 and 50-1030 shall be a first and prior lien upon the property assessed.”

The owner has appealed the decision of the district judge affirming the judgment in favor of the city awarded by the magistrate.

II.

I.C. § 50-1813 DOES NOT AUTHORIZE CITIES TO IMPOSE LIENS FOR DELINQUENT CHARGES FOR WATER, SEWER AND GARBAGE SERVICES.

The district judge upheld the city’s contention that I.C. § 50-1813 permits cities to impose a lien upon the property of the owner based on delinquent charges for water, sewer and garbage services furnished to the tenants. We disagree.

The premise of the city’s position is that when the provisions now contained in I.C. § 50-1813 was reenacted as part of the recodification of the laws relating to municipal corporations in 1967, the reference to the application of this section to “[a]ll assessments levied under this act,” (emphasis added) included reference to the provisions that became I.C. §§ 50-323 and 50-1030(f). This is a faulty premise.

What is now I.C. § 50-1813 was originally enacted in 1939 as part of a bill providing for cities and villages to acquire and establish municipal irrigation systems. 1939 Idaho Sess.Laws, ch. 248, § 7, pp. 599, 604. When it was enacted in this form, it was clear that the reference to “this Act” referred only to the municipal irrigation act. When the municipal corporation code was recodified in 1967, all of the laws relating to municipal corporations, including the municipal irrigation system act, were included in 474 separate sections in one bill. 1967 Idaho Sess.Laws, ch. 429, p. 1249-[538]*5381415. Section 368 of this bill was what is now I.C. § 50-1813. It stated:

SECTION 368.

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City of Grangeville v. Haskin
777 P.2d 1208 (Idaho Supreme Court, 1989)

Cite This Page — Counsel Stack

Bluebook (online)
777 P.2d 1208, 116 Idaho 535, 1989 Ida. LEXIS 122, Counsel Stack Legal Research, https://law.counselstack.com/opinion/city-of-grangeville-v-haskin-idaho-1989.