Duke City Lumber Co. v. New Mexico Environmental Improvement Division

681 P.2d 727, 101 N.M. 301
CourtNew Mexico Court of Appeals
DecidedJune 28, 1983
Docket5954, 6066
StatusPublished
Cited by8 cases

This text of 681 P.2d 727 (Duke City Lumber Co. v. New Mexico Environmental Improvement Division) is published on Counsel Stack Legal Research, covering New Mexico Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Duke City Lumber Co. v. New Mexico Environmental Improvement Division, 681 P.2d 727, 101 N.M. 301 (N.M. Ct. App. 1983).

Opinion

OPINION

BIVINS, Judge.

Ironically, what started out as an application for a one-year variance continues to wind its way through the legal and administrative process and four years later comes before this Court for the second time. Following review of the denial of a variance by the New Mexico Environmental Improvement Board (Board) on the first appeal, we remanded “with instructions to the Board to conduct further proceedings to determine whether the wood smoke, in the volume being emitted from appellant's wigwam burner is ‘injurious to health or safety’.” Duke City Lumber Co. v. N.M. Env. Imp. Bd., 95 N.M. 401, 407, 622 P.2d 709 (Ct.App.1980), cert. denied, 95 N.M. 426, 622 P.2d 1046 (1981) (hereinafter “Duke City I”). Pursuant to that mandate, the Board held a second hearing and again denied the application for a variance filed by Duke City Lumber Co. (Duke City). Duke City appeals.

It raises the following points:

1. Duke City made a prima facie showing that wood smoke, in the volume emitted, is not injurious to health or safety;

2. The Board’s ruling that the Environmental Improvement Division (Division) rebutted Duke City’s showing is not supported by substantial evidence;

3. The Board acted arbitrarily and capriciously in considering undue economic burden and unsworn “citizen testimony”.

I. Standard of Review.

NMSA 1978, § 74-2-9(A) (Repl.Pamp. 1981) provides: “Any person to whom the board denies a variance, after a hearing, may appeal to the court of appeals. All appeals shall be upon the record made at the hearing * * *.” (Emphasis added.) Subsection C of § 74-2-9 provides:

Upon appeal, the court of appeals shall set aside the board’s denial of the variance request only if found to be:
(1) arbitrary, capricious or an abuse of discretion;
(2) not supported by substantial evidence in the record; or
(3) otherwise not in accordance with law.

(Emphasis added.)

The Board in its brief reminds us that on review, “In deciding whether a finding has substantial support, we must view the evidence in the most favorable light to support the finding * * *. Further, only favorable evidence and the inferences to be drawn therefrom, will be considered, and any evidence unfavorable to the findings will not be considered.” United Veterans Org. v. New Mexico Prop. App. Dept., 84 N.M. 114, 500 P.2d 199 (Ct.App.1972). This approach can be contrasted to a review based on the record as a whole. See, e.g., NMSA 1978, § 27-3-4 (Repl.Pamp.1982) (“record as a whole”); New Mexico Human Services Dept. v. Garcia, 94 N.M. 175, 608 P.2d 151 (1980) (review of the whole record); see also NMSA 1978, § 12-8-22(A) (This portion of the Administrative Procedures Act requires consideration of “the entire record”, but only the Human Rights Commission has elected to come under it). The Air Quality Control Act, NMSA 1978, §§ 74-2-1 to 74-2-17 (Repl.Pamp.1981), under which this appeal was taken, provides for review only of whether substantial evidence “in the record” supports the Board’s finding. Section 74-2-9(C). Hence, under the language of that section, we must limit our review to only favorable evidence in support of the Board’s ruling, disregarding any unfavorable evidence. Duke City does not contest this approach but claims this Court may not “completely disregard the deficiencies in the factual evidence upon which the Board relies.”

While we limit our review in this ease to the record, not the record as a whole, we take this opportunity to note some of the shortcomings of this limited review as applied to administrative appeals. First, it would appear that New Mexico’s position is not only outdated, but contrary to the rule followed by other jurisdictions and the federal courts. See Utton, The Use Of The Substantial Evidence Rule to Review Administrative Findings Of Fact In New Mexico, 10 N.M.L.Rev. 103 (1979-80). The. United States Supreme Court in Universal Camera Corp. v. National Labor Rel. Bd., 340 U.S. 474, 71 S.Ct. 456, 95 L.Ed. 456 (1951), discussed the question in depth and held that the Administrative Procedure Act (federal) and the Taft-Hartley Act direct the courts to assume more responsibility for the reasonableness and fairness of N.L. R.B. decisions than some have shown in the past. The Court said, “Congress has merely made it clear that a reviewing court is not barred from setting aside a Board decision when it cannot conscientiously find that the evidence supporting that decision is substantial, when viewed in the light that the record in its entirety furnishes, including the body of evidence opposed to the Board’s view.” 340 U.S. at 488, 71 S.Ct. at 465 (emphasis added). Of course, Universal Camera dealt with a statute requiring review based on the whole record, whereas the Air Quality Control Act provides review as to “substantial evidence in the record.” Section 74-2-9(C). The language, “substantial evidence in the record,” would suggest a legislative intent to prescribe the more narrow review. This assumption is borne out by the broader standard of review required under the Public Assistance Appeals Act, NMSA 1978, §§ 27-3-1 to 27-3-4 (Repl.Pamp.1982), and the New Mexico Administrative Procedures Act, NMSA 1978, §§ 12-8-1 to 12-8-25. It is not clear, however, why the legislature requires different standards of review for different administrative agencies.

A uniform approach to judicial review of administrative determinations could be accomplished by the legislature or perhaps by court interpretation. 10 N.M.L.Rev. at 120. Such an approach has the advantage of facilitating judicial economy as well as promoting even-handed treatment by all state administrative agencies. Aside from uniformity, a review of the entire record is clearly indicated in those cases where the administrative agency serves not only as the fact finder, but also as the complainant and prosecutor. See 73 C.J.S. Public Administrative Bodies and Procedure § 198 (3d ed. 1971). In the present case the role of the Board has been characterized as that of “judge” and the Division as “prosecutor.” While the Division had the responsibility for presenting the State’s case, the Board nonetheless filed a separate brief and vigorously argued the case. In fairness to the Board we point out that a review of the whole record demonstrates that the chairman and Board members did not lose sight of their statutory duty, and we do not direct these observations at this or any other administrative body in particular.

II. The Parameters for Review.

Duke City filed a petition for variance from Air Quality Control Regulation 402(A).

Free access — add to your briefcase to read the full text and ask questions with AI

Related

State Ex Rel. Battershell v. City of Albuquerque
777 P.2d 386 (New Mexico Court of Appeals, 1989)
BD. OF EDUC. OF TAOS MUN. SCH. v. Singleton
712 P.2d 1384 (New Mexico Court of Appeals, 1985)
Duke City Lumber Co. v. New Mexico Environmental Improvement Board
690 P.2d 451 (New Mexico Court of Appeals, 1984)
Parker v. Continental Casualty Co.
383 P.2d 937 (Supreme Court of Kansas, 1963)

Cite This Page — Counsel Stack

Bluebook (online)
681 P.2d 727, 101 N.M. 301, Counsel Stack Legal Research, https://law.counselstack.com/opinion/duke-city-lumber-co-v-new-mexico-environmental-improvement-division-nmctapp-1983.