DEER VAL. UNIFIED SCH. D. v. Superior Ct.

760 P.2d 537, 157 Ariz. 537
CourtArizona Supreme Court
DecidedJune 30, 1988
DocketCV-86-0577-T
StatusPublished

This text of 760 P.2d 537 (DEER VAL. UNIFIED SCH. D. v. Superior Ct.) is published on Counsel Stack Legal Research, covering Arizona Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
DEER VAL. UNIFIED SCH. D. v. Superior Ct., 760 P.2d 537, 157 Ariz. 537 (Ark. 1988).

Opinion

157 Ariz. 537 (1988)
760 P.2d 537

DEER VALLEY UNIFIED SCHOOL DISTRICT NO. 97 OF MARICOPA COUNTY, Petitioner,
v.
SUPERIOR COURT of the State of Arizona, In and For the COUNTY OF MARICOPA, Honorable Ruth Hilliard, a Judge Thereof, Respondent Judge, STATE of Arizona, ex rel., Robert K. LANE, Commissioner, State Land Department, Real Party in Interest.

No. CV-86-0577-T.

Supreme Court of Arizona.

June 30, 1988.
Reconsideration Denied September 20, 1988.

Heron, Burchette, Ruckert & Rothwell by Kenneth C. Sundlof, Jr., Douglas G. Zimmerman, Gary L. Lassen, Phoenix, for petitioner.

Robert K. Corbin, Atty. Gen. by Melinda L. Garrahan, Michael N. Harrison, Phoenix, for real party in interest.

Larry J. Richmond, Ltd. by Larry J. Richmond, Julie M. Lemmon, Phoenix, for amicus curiae Flood Control Dist. of Maricopa County.

Johnson & Shelley by J. LaMar Shelley, Robert M. Jarrett, Jr., Phoenix, for amicus curiae League of Arizona Cities and Towns.

Arizona School Boards Ass'n by Robert M. Jarrett, Jr., Phoenix, for amicus curiae Arizona School Boards Assn.

FELDMAN, Vice Chief Justice.

This case requires us to review the propriety of a school district's condemnation of state school trust land, a matter of first impression in our state. We transferred the appeal to this court to examine important questions concerning the disposition of our state school trust lands. Rule 19, Ariz.R.Civ.App.P., 17A A.R.S. We have jurisdiction under Ariz. Const. art. 6, § 5(3) and A.R.S. § 12-120.24.

FACTUAL AND PROCEDURAL SUMMARY

Plaintiff, Deer Valley Unified School District ("Deer Valley"), is located in northern Maricopa County. Due to a dramatic rise in elementary school student enrollments in the eastern portion of their district, Deer Valley officials investigated possible sites for a new school in that area. They finally located a suitable fifteen-acre parcel owned by the state school trust. Deer Valley contacted the Arizona State Land Department (the "Department") to see if the district could obtain the land. However, the Department preferred to hold the property in the hope of obtaining a higher yield for the state school trust through future commercial leases. The Department refused to hold a public auction and allow Deer Valley an opportunity to buy the property.

*538 When further negotiations proved fruitless, Deer Valley filed an action seeking to condemn the proposed school site. The action was brought under the eminent domain provisions of A.R.S. §§ 12-1111 et seq. In its complaint, Deer Valley also sought an interlocutory order allowing it to take immediate possession of the property upon the deposit of money or the posting of a bond. A.R.S. § 12-1116. The trial court issued an order requiring the Department to show cause why Deer Valley should not take immediate possession of the property. See A.R.S. § 12-1116. When the Department moved to dismiss the complaint, the trial court vacated the show cause hearing and granted the dismissal motion.

The trial court dismissed the complaint on the grounds that the proposed condemnation violated § 28 of the Arizona-New Mexico Enabling Act, Act of June 20, 1910, Pub.L. No. 219 (ch. 310), 36 Stat. 557 (the "Enabling Act") and its rescript in Ariz. Const. art. 10. Those provisions prohibit the sale of state school trust lands for less than the appraised true value to the highest and best bidder at a duly advertised public auction. The trial court concluded that these rules applied in full to acquisitions by eminent domain, effectively preventing the condemnation of school trust land. The court concluded also that condemnation would deprive the Department of the opportunity to obtain a price higher than the appraised value, hinder the Department's obligation to manage and maximize the trust benefits and give Deer Valley trust benefits to the detriment of other beneficiaries. Finally, the court ruled that the school trust land did not belong to the state and was therefore not subject to condemnation under A.R.S. § 12-1114. The court held, therefore, that neither the state nor its subdivisions could condemn land held in the school trust.

Deer Valley filed a timely notice of appeal and sought special action relief[1] in the court of appeals. The court of appeals stayed the appeal pending resolution of the special action. After briefing and oral argument, on July 23, 1986 the court of appeals declined to accept special action jurisdiction without comment as to the merits of the case. The appeal itself became at issue in the court of appeals on September 30, 1986. Deer Valley sought relief from this court either by review of the denial of special action jurisdiction or by transfer of the appeal. We denied special action review, but ordered transfer of the appeal to this court. Rule 19, Ariz.R.Civ.App.P., 17A A.R.S.

DISCUSSION

The central issue in this case is whether either the Enabling Act or the Arizona Constitution allows Deer Valley to condemn state school trust land.

A. The State School Trust Lands

As Arizona approached statehood in 1910, Congress proposed to transfer millions of acres of federal land directly to the new state for the support of its common schools. Enabling Act § 24. Congress had made similar grants to other states with untoward results. Some states improvidently leased and sold their lands with little or no benefit to the public schools. See Murphy v. State, 65 Ariz. 338, 351, 181 P.2d 336, 344 (1947). As a result, when Congress agreed to give the land to Arizona, it required Arizona to accept and hold the land in trust and prohibited the sale or other disposal of such trust land except under extremely restrictive and detailed conditions. See Kadish v. Arizona State Land Department, 155 Ariz. 484, 487, 747 P.2d 1183, 1186 (1987).

The members of Arizona's constitutional convention fully appreciated the value of the proposed school grant. The delegates therefore drafted an unambiguous clause accepting the gift and restrictions of the Enabling Act:

The State of Arizona and its people hereby consent to all and singular the provisions of the Enabling Act ... concerning *539 the lands thereby granted or confirmed to the State, the terms and conditions upon which said grants and confirmations are made, and the means and manner of enforcing such terms and conditions, all in every respect and particular as in the aforesaid Enabling Act provided.

Ariz. Const. art. 20, ¶ 12.

The framers of our constitution, however, went beyond mere acceptance of the terms and benefits of a federal statute. They independently replicated the essential restrictions of the Enabling Act in Article 10 of the Arizona Constitution.

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Bluebook (online)
760 P.2d 537, 157 Ariz. 537, Counsel Stack Legal Research, https://law.counselstack.com/opinion/deer-val-unified-sch-d-v-superior-ct-ariz-1988.