Fidelity National Title Insurance v. Pima County

831 P.2d 426, 171 Ariz. 427, 111 Ariz. Adv. Rep. 72, 1992 Ariz. App. LEXIS 123
CourtCourt of Appeals of Arizona
DecidedApril 28, 1992
Docket2 CA-CV 88-0366
StatusPublished
Cited by1 cases

This text of 831 P.2d 426 (Fidelity National Title Insurance v. Pima County) is published on Counsel Stack Legal Research, covering Court of Appeals of Arizona primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Fidelity National Title Insurance v. Pima County, 831 P.2d 426, 171 Ariz. 427, 111 Ariz. Adv. Rep. 72, 1992 Ariz. App. LEXIS 123 (Ark. Ct. App. 1992).

Opinion

OPINION

LACAGNINA, Presiding Judge.

Pima County appeals from a declaratory judgment in a conditional rezoning case which gives the property owner the right to comply with the conditions without any time limitations and free from any additional, supplemental or subsequent conditions required by general land use ordinances enacted after approval of the conditional rezoning in 1972. The trial court found that the property owner had taken substantial action in reliance on the conditional rezoning and had a vested right to develop and use its property through a final ordinance confirming the conditional rezoning upon completing the original rezoning conditions without any time restrictions. We reverse because the action of the Pima County Board of Supervisors (the Board), placing a two-year time limit for completion of conditions previously imposed on conditionally approved rezoning, and applying general county land use ordinances enacted after approval of conditional rezoning to the conditions, was within its police power and was neither arbitrary nor capricious.

FACTS

On January 17, 1972, the Board granted the predecessor in interest to Fidelity National Title Insurance Company (Fidelity) conditional rezoning of approximately 480 acres in Pima County without any time limits for performance of the conditions. The conditions, which had to be completed before enactment of a final rezoning ordinance, were as follows:

1. A building setback of 200 feet from the centerline of Old Spanish Trail;

2. Leaving the drainageways in their natural state;

3. Recording an acceptable plat that would provide necessary rights-of-way for roads and drainage;

4. A suitable arrangement with Pima County Department of Sanitation regarding sanitary facilities; and

*429 5. Recording a covenant holding Pima County harmless in the event of flooding.

Prior to 1975, not all conditionally approved rezonings contained time limits for completion of the conditions. In 1987, Pima County reviewed conditional rezonings that did not have time limits and after review and public hearing on November 17, 1987, the Board imposed a one-year time limit on Fidelity for completion of the conditions. On April 5, after Fidelity brought this action for declaratory judgment and after a public hearing, the Board extended the time limit to two years.

Between December 1986 and May 1988, Fidelity incurred approximately $100,000 in expenses for the preparation and processing of plans related to the development of the property and engaged in preliminary negotiations with a water company to secure an assured water supply for the property. The record contains estimates that completion of the conditions within the two-year time limit would increase the cost of plans by approximately 40% and that the average time for development of plans for the size of the owner’s project was three years.

NO VESTED RIGHT

Fidelity asserted, and the trial court agreed, that it had acquired a vested right to the 1972 conditional rezoning by its $100,000 expenditure between 1986 and 1988 for preparation and processing of plans for development of the property. It is undisputed that nothing has been done pursuant to an issued permit for use or construction of any improvements on the undeveloped property and that none of the conditions of the 1972 rezoning have been completed. The law in Arizona clearly states that a property owner must physically construct improvements permitted by the use or incur substantial expenditures toward construction or establishment of the use. The physical construction of improvements or the expenditure of substantial sums toward the actual construction or establishment of the use must be accomplished in reliance on or in conformance with a previously issued permit authorizing the commencement of the use or construction. Vemer v. Redman, 77 Ariz. 310, 271 P.2d 468 (1954); City of Tucson v. Arizona Mortuary, 34 Ariz. 495, 272 P. 923 (1928); Burroughs v. Town of Paradise Valley, 150 Ariz. 570, 724 P.2d 1239 (App.1986); Town of Paradise Valley v. Gulf Leisure Corp., 27 Ariz.App. 600, 557 P.2d 532 (1976); Phoenix City Council v. Canyon Ford, Inc., 12 Ariz.App. 595, 473 P.2d 797 (1970).

In Town of Paradise Valley v. Gulf Leisure Corp., supra, where the property owner had both use and building permits, Division One of this court summarized the reasons for the rule as follows:

The position of these courts is succinctly summarized in Deer Park Civil [Civic] Ass’n v. City of Chicago, 347 Ill. App. 346, 106 N.E.2d 823 (1952), wherein it was stated:

“The general rule is that any substantial change of position, expenditures, or incurrence of obligations under a building permit entitles the permittee to complete the construction and use the premises for the purpose authorized irrespective of subsequent zoning or changes in zoning. 8 McQuillin Municipal Corporations, 272 (3rd ed.).” 347 IlLApp. at 351, 106 N.E.2d at 825.

Id. 27 Ariz.App. at 608, 557 P.2d at 540. Under the facts of this case, the owner has a long way to go before Pima County can even consider whether the conditions of the rezoning have been complied with in order to enact a final ordinance and issue any use or building permits.

In June 1987, Fidelity received approval for a cluster development. This is the only plan approval applied for and received since the 1972 adoption of conditional rezoning. Fidelity must still prepare plans for and obtain all of the approvals and permits required by state statutes and Pima County zoning codes governing subdivisions, including plans for streets, alleys, easements, utilities, grading, drainage, landscape and parking. In addition, it must complete the original rezoning conditions relating to sanitary facilities, flooding, washes and setbacks before a zoning *430 ordinance can be adopted and permits issued for construction. The expenditure incurred by the owner for development plans furthers the rezoning application but is insufficient to establish uses on the property because such uses have not yet been authorized by ordinance or permit. The owner has not established a vested right in the conditional rezoning which entitled it to develop the land free from the requirements of state statutes and county ordinances relating to zoning and subdivisions enacted since 1972. The changing needs of the public are reflected in the laws enacted since 1972. The exercise of the police power by the state and the county cannot be frozen in time to 1972 as the trial court erroneously concluded.

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

Related

Mehlhorn v. Pima County
978 P.2d 117 (Court of Appeals of Arizona, 1998)

Cite This Page — Counsel Stack

Bluebook (online)
831 P.2d 426, 171 Ariz. 427, 111 Ariz. Adv. Rep. 72, 1992 Ariz. App. LEXIS 123, Counsel Stack Legal Research, https://law.counselstack.com/opinion/fidelity-national-title-insurance-v-pima-county-arizctapp-1992.