City of Rockport v. City of Malvern

155 S.W.3d 9, 356 Ark. 393, 2004 Ark. LEXIS 162
CourtSupreme Court of Arkansas
DecidedMarch 11, 2004
Docket03-855
StatusPublished
Cited by7 cases

This text of 155 S.W.3d 9 (City of Rockport v. City of Malvern) is published on Counsel Stack Legal Research, covering Supreme Court of Arkansas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
City of Rockport v. City of Malvern, 155 S.W.3d 9, 356 Ark. 393, 2004 Ark. LEXIS 162 (Ark. 2004).

Opinion

Robert L. Brown, Justice.

Appellants City of Rockport XVa ^and certain taxpayers and citizens of the City appeal from an order finding that it had not complied with Arkansas Code Annotated § 14-40-2002 (Supp. 2003), in providing, or taking substantial steps to provide, requested municipal services to certain landowners who had since been annexed into the City of Malvern. Malvern and the landowners whose property was annexed are the appellees in this matter. Rockport raises four points on appeal: (1) the subject properties were not appropriate for annexation into Malvern under the procedures set out in Ark. Code Ann. §§ 14-40-2001— 14-40-2005 (Supp. 2003); (2) the detachment and annexation statute does not require that a municipality actually provide the services requested, but rather that the services be made available; (3) Rockport complied with the statutory requirements; and (4) the circuit court erred in finding that a stipulation of facts was agreed upon by the parties. We affirm.

The appellee landowners all own real property which, prior to this lawsuit, was located in Rockport. In 1999, Act 779 of 1999, now codified at Ark. Code Ann. §§ 14-40-2001 — 14-40-2002 (Supp. 2003), was enacted to provide the procedure for the annexation of land into an adjoining municipality in order to obtain municipal services. After passage of Act 779, the appellee landowners filed their statements under the Act in which they asserted that Rockport did not provide necessary services, including sewer service, a municipal water department, 24-hour police protection, 24-hour fire protection, animal-control programs, a street department, and a street-sweeper service. The statements said that the landowners’ land was contiguous to Malvern and that Malvern did provide these services. The landowners requested Rockport to commit within ninety days to taking substantial steps to making those services available and to continue to take such steps to provide that service within a reasonable time. The landowners subsequently requested annexation to Malvern to obtain those same services.

Rockport did respond to several landowners through its mayor by letter dated October 21, 1999, which stated that the city was making continued efforts to obtain sewer services. Thereafter, in 1999 and 2000, Malvern adopted several resolutions in which the city committed to making the requested services available to the landowners and in which it accepted the landowners’ property into the corporate city limits of Malvern.

On November 30, 2000, Rockport filed a second substituted and amended complaint for declaratory judgments. The complaint challenged the several Malvern resolutions annexing the landowners’ properties under Act 779 of 1999 and sought a declaratory judgment declaring the various resolutions “illegal, null, and void[.]”

Following motions to dismiss filed by several of the defendants/appellees named by Rockport, the circuit court, in a letter opinion, granted the motions as against all individual party plaintiffs on the basis that they had no standing to bring the action. Subsequently, the court entered a second letter opinion in which it concluded that although the prior rulings stood, Rockport could raise the issue that Malvern’s adoption of the annexation resolutions did not comport with the requirements of Act 779. An order of dismissal was entered memorializing these decisions and recognizing that a third substituted and amended complaint had been filed on February 16, 2001.

On July 3, 2002, a joint stipulation of facts was agreed to by the parties and by their counsel. The purpose of the stipulation was to avoid the necessity of calling witnesses and the general expense associated with a trial.

On July 11, 2002, Rockport’s attorneys filed a joint motion to withdraw from representation. On July 17, 2002, the appellees filed a response and asserted that they objected to any withdrawal “unless . . . Rockport makes it clear that it does not intend to withdraw from the settlement [to submit all issues for decision by stipulation] in this matter.” The circuit court granted the motion to withdraw the same day. Present counsel for Rockport entered their appearances on September 23, 2002.

A hearing was held on December 26, 2002, regarding the stipulation of facts, at which time an oral motion was made by the appellees to enforce the joint agreement made by the parties on July 3, 2002, to submit the matter on a stipulation of facts. Evidence was presented by both sides, and trial briefs were filed with the court. On December 31, 2002, judgment was entered by the circuit court which approved the annexations. The court concluded in pertinent part:

2. The parties are bound by a stipulation of fact per defendant’s Exhibit 1 or 2. The Exhibits differ only on slight detail and either represents the substance of the stipulation of these parties.
3. The City of Rockport is bound by the stipulation because the same was made by its attorney acting within the course and scope of his employment; and, for the further reason that the city was bound by the agreement ofits Mayor, who, as the chief executive officer of the city, was authorized to make a binding stipulation of facts.
6. More than three years have passed and Rockport has not provided nor taken substantial steps to provide the following municipal services:
a. The City of Rockport has never had a sanitary sewer system for residents and does not now. . . .
10. Plaintiffs have not met their burden of proof in showing the services requested by the defendants were already available or were reasonably available or that Rockport has otherwise complied with Act 779 of 1999.

Rockport’s primary contention on appeal is that because necessary services were already available to the landowners in question, it was unnecessary for the properties to be detached and annexed under Act 779. Thus, the detachments were invalid, and the annexations should be reversed. Rockport further contends that many of the services requested by the landowners were not included in the statutory definition of “services” in Act 779 and, thus, did not materially affect the landowners’ ability to develop their subject properties. Further, it maintains that Act 779 does not require that a municipality actually provide the services requested, but rather, that the services be made available. Rockport claims that it complied with the statutory requirements, as the services requested were already available. It additionally claims that the circuit court erred in concluding that the stipulation of facts submitted to the court was agreed to by the parties when Rock-port’s former attorney, Cliffjackson, lacked the authority to enter into an agreement to stipulate on behalf of the city.

We first address whether the circuit court correctly concluded that the stipulation of facts entered into by the parties was binding. The appellees assert that our standard of review is whether the circuit court abused its discretion in denying a motion to set aside the stipulation, as set forth in Haney v. Holt, 179 Ark. 403, 16 S.W.2d 463 (1929).

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Bluebook (online)
155 S.W.3d 9, 356 Ark. 393, 2004 Ark. LEXIS 162, Counsel Stack Legal Research, https://law.counselstack.com/opinion/city-of-rockport-v-city-of-malvern-ark-2004.