Eustance JO 2-231

Vermont Superior Court·Decided February 16, 2007·No. 13-1-06 Vtec·Published

Opinion

STATE OF VERMONT

ENVIRONMENTAL COURT

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Eustance Act 250 Jurisdictional Opinion (#2-231) } Docket No. 13-1-06 Vtec (Appeal of Eustance) } (Cross-Appeal of Solomon) } }

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Decision and Order on Cross-Motions for Partial Summary Judgment Appellants Robert and Lourdes Eustance and Cross-Appellants Harold and Valerie Solomon appealed from Jurisdictional Opinion #2-231, issued by the District 2 Environmental Coordinator on December 23, 2005. Appellants are represented by Elizabeth A. Boepple, Esq.; Cross-Appellants are represented by David L. Grayck, Esq. and Christopher J. Smart, Esq.; the Vermont Natural Resources Board is represented by Melanie Kehne, Esq.; and the Vermont Agency of Agriculture is represented by Michael O. Duane, Esq.

Appellants and Cross-Appellants have both moved for summary judgment on the applicability of Act 250 and former Environmental Board Rule 34(A) to Appellants’ activities. The following facts are undisputed unless otherwise noted.

An approximately 162-acre parcel of undeveloped land on French Hollow Road in the Town of Winhall was purchased by Arthur Hurst and James Ellis in 1985; they appear to have divided1 it into two parcels in 1986: approximately 79.55 acres owned by Mr. Hurst and approximately 82.55 acres owned by Mr. Ellis. Mr. Hurst constructed a vacation home on his parcel in 1986; Mr. Ellis constructed a vacation home on his parcel in 1987.

1 The permit status of this division is not at issue in the present case.

A 40.05-acre portion of the original Hurst parcel, including the house, will be referred to in this decision as the Hurst Lot or the Hurst/Solomon Lot; it is now owned by Cross-Appellants Solomon. A 47.64-acre portion of the original Ellis parcel, including the house, will be referred to in this decision as the Ellis Lot or the Ellis/Eustance Lot; it is now owned by Appellants Eustance.

Cross-Appellants Solomon entered into a purchase and sale agreement to purchase the Hurst Lot, including the house, in January of 1991. In April and July of 1991, Mr. Hurst and Mr. Ellis (the Hurst/Ellis Applicants) applied for an Act 250 permit for what is described in their 1993 Motion to Alter as a ten-lot project. However, by September 9, 1991, they had filed a new or revised application2 for the project, known as the “Settlement at French Hollow,” described in the 1993 Act 250 Permit as a proposal to subdivide the original 162-acre property into fourteen3 lots (thirteen residential lots, including the Hurst house lot and the Ellis house lot, plus a lot containing the roadway and club area).

The Hurst/Ellis Applicants had obtained state subdivision permits (showing that the lots could support wastewater disposal systems) from the Agency of Natural Resources for five of those lots: Lots 1, 2, 3, 4, and 11; these lots are 5.06 acres, 7.40 acres, 5.03 acres, 5.0

2 As described on pages 2–3 of the District 2 Commission’s May 7, 1993 ruling on the Motion to Alter, in August of 1991 the District Coordinator had requested information on “all lots served by the road, all contiguous land owned by the applicants and any lots sold by the applicants after the intent to subdivide was evident.” The Hurst/Ellis Applicants’ response to this request by letter dated September 9, 1991 is the basis for the inclusion of the Hurst/Solomon and Ellis/Eustance parcels in the overall project and in the coverage of the Act 250 Permit.

3 The lot numbers used in this decision are taken from page 3 of the Findings of Fact and Conclusions of Law for Act 250 Permit #2W0908 issued on February 23, 1993. The parties have not provided a plan of the original 162-acre project, such as the December 30, 1989 subdivision plan referred to as Exhibit 30 on page 3 of the District 2 Commission’s May 7, 1993 ruling on the Motion to Alter, nor have they provided any of the 1991 Act 250 permit applications.

acres, and 5.02 acres in size, respectively. Under the state subdivision program, so-called deferrals of permit had been issued for a further five lots: Lots 5, 6, 7, 8, and 14; these lots are 5.13 acres, 5.10 acres, 5.09 acres, 5.09 acres, and 5.0 acres in size, respectively. The deferrals of permit allowed those lots to be subdivided but did not allow any development on the lots until water supply and wastewater disposal permits would have been obtained. Lot 14 was not proposed as a residential building lot; rather, it contained the project roadway and a storage building/club area which later was issued a water supply and wastewater disposal permit. The remaining four lots were Lot 9 (10.42 acres), Lot 10 (10.05 acres), Lot 12 (the Hurst Lot: 39.014 acres) and Lot 13 (the Ellis Lot: 47.64 acres).

In July of 1989, the Hurst/Ellis Applicants had received municipal approval of three lots, described in their 1993 Motion to Alter as a 33.94-acre lot and a 40.05-acre lot (some form of the Ellis Lot and the Hurst Lot), together with a 5.02-acre lot that later received a state subdivision permit and appears to be the same lot as that referred to as Lot 11 in the 1993 Act 250 permit. Mr. Hurst transferred the 40.05-acre Hurst/Solomon Lot to the Solomons on May 29, 1992. The Hurst/Ellis Applicants formed the Hurst/Ellis Development Corporation on September 8, 1992.

The District 2 Environmental Commission issued Act 250 Land Use Permit #2W0908 (the 1993 Act 250 Permit) on February 23, 1993, authorizing the Hurst/Ellis Applicants as permittees “to create” the five lots (Lots 1, 2, 3, 4 and 11) that had received state permits; to construct the portion of the road and utilities needed to serve Lots 1 through 4; and to construct the storage building, tennis courts and parking in the “Club Area.” The 1993 Act 250 Permit specifically stated that “any sale, further construction, or subdivision of the remaining eight lots comprising the balance of this 162 acre tract of land” (including the Hurst/Solomon Lot and the Ellis Lot) “is specifically not approved without an amendment”

4 The 1993 Motion to Alter stated that its correct acreage is 40.05 acres; this correction was made in the Revised 1993 Permit.

to the 1993 Act 250 Permit.

The Hurst/Ellis Applicants moved to alter the 1993 Act 250 decision. They requested that the permit be issued to the Hurst/Ellis Development Corporation. With respect to the so-called “scope of review,” the Motion to Alter laid out a chronology of the development; stated that the permit as issued included the “Hurst residence parcel now owned by Solomon” as well as a “5.02 acre parcel . . . also no longer owned by Hurst or Ellis;” and requested that the District Commission “delete all conditions and restrictions imposed on lots created and developed prior to the submission of Act 250 application 2W0908.” With respect to Finding of Fact 1(B)(4), the Motion to Alter stated that:

The lands listed as the 39.01 acres (correct acreage is 40.05 acres) and the 47.64 acre lots refer to the Solomon and Ellis home sites. Both parcels were developed six or seven years ago and are not part of The Settlement at French Hollow. (See above chronology.) The applicants request that the Commission delete any reference to these parcels and the requirement for permit amendment prior to any further use of those lands.

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