Great Rivers Habitat Alliance v. City of St. Peters

246 S.W.3d 556, 2008 WL 563440
CourtMissouri Court of Appeals
DecidedMarch 4, 2008
DocketWD 67047, WD 67048, WD 67049
StatusPublished
Cited by8 cases

This text of 246 S.W.3d 556 (Great Rivers Habitat Alliance v. City of St. Peters) is published on Counsel Stack Legal Research, covering Missouri Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Great Rivers Habitat Alliance v. City of St. Peters, 246 S.W.3d 556, 2008 WL 563440 (Mo. Ct. App. 2008).

Opinion

RONALD R. HOLLIGER, Judge.

This appeal challenges the City’s adoption of tax increment financing (“TIF”) for a 1,640-acre tract of farmland in the Northeast corner of the City (the “Area”). The circuit court granted summary judgment in favor of the City of St. Peters (the “City”) after a declaratory judgment action was filed by the Great Rivers Habitat Alliance, the Adolphus A. Busch Revocable Living Trust, and four individual plaintiffs 1 (collectively, “GRHA”) against the City contending that the City’s actions were unreasonable, arbitrary and capricious and also raising constitutional challenges, both facial and as applied, to the Real Property Tax Increment Allocation Redevelopment Act (the “TIF Act”). On appeal, GRHA claims that the trial court misapplied the summary judgment standard, the “fairly debatable” test, and the TIF Act. These errors, according to GRHA, resulted in an erroneous determination that the City properly adopted an ordinance declaring the existence of blight within the Area, declaring that development in the Area is not reasonably anticipated to occur without the adoption of TIF, and declaring that the redevelopment plan adopted conformed with the City’s existing comprehensive plan. Finally, GRHA claims that these errors, in combination, resulted in an erroneous entry of summary judgment in favor of the City. Finding merit in GRHA’s argument on appeal, we reverse the grant of summary judgment and remand to the trial court for further proceedings.

Our remand makes consideration of GRHA’s constitutional claims unnecessary. In the event that resolution of those claims ultimately is necessary, jurisdiction will presumably lie in the Missouri Supreme Court. Mo. Const, art. V, sec. 3.

Factual and Procedural Background

The primary issues to be decided in this appeal center around ordinance 3156, which was adopted pursuant to the TIF Act by the City’s Board of Aldermen in December of 1999. That ordinance approves a redevelopment plan for the Area and recites:

The Area on the whole is a blighted area and has not been subject to growth and development through investment by private enterprise and would not reasonably be anticipated to be developed without the adoption of tax increment financing. ... The Plan and the Projects conform to the Comprehensive Plan for the development of the City as a whole.

GRHA’s petition for declaratory judgment asserts that these legislative findings are arbitrary and capricious; that the City’s adoption of a subsequent ordinance violated the TIF Act and the public notice provisions of section 79.130; 2 and that the TIF Act itself is constitutionally infirm, both as applied and on its face. Because the suit involves a constitutional challenge to the validity of a state statute, the Attorney General was named as a defendant, and *559 the petition was filed in Cole County. St. Charles County (the “County”) was granted leave to intervene as an additional plaintiff.

GRHA and the County then filed a joint amended petition, pled in eleven counts, three of which consist of facial challenges to the TIF Act. Those three counts were the subject of cross-motions for judgment on the pleadings between the plaintiffs and the Attorney General. The trial court heard argument on those claims and granted the Attorney General’s motion.

Meanwhile, the City filed a motion for summary judgment on the remaining counts. GRHA filed a response to that motion and a reply and sur-reply followed. The trial court ultimately entered summary judgment in favor of the City, which then filed a motion to amend the judgment to include an award of attorneys’ fees. GRHA and the County each filed motions for new trial, which the trial court treated as motions to amend the judgment. All three motions were denied.

GRHA and the County filed notices of appeal to the Missouri Supreme Court, asserting that jurisdiction lay with that court based upon the constitutional challenges to the TIF Act. The City filed a cross-appeal, challenging the trial court’s denial of attorneys’ fees, and subsequently filed a motion to transfer to this court, which the Supreme Court granted. GRHA has not abandoned its constitutional challenges to the TIF Act, and all parties below remain parties on appeal. All plaintiffs below, however, have filed a joint brief before this court and the Attorney General’s brief addresses only the facial constitutional challenges to the TIF Act.

Standard of Review

On appeal from the entry of summary judgment, this court applies the same criteria as that “employed by the trial court to determine the propriety of sustaining the motion initially.” ITT Commercial Fin. Corp. v. Mid-Am. Marine Supply Corp., 854 S.W.2d 371, 376 (Mo. banc 1993). It is for this reason that appellate review of summary judgments is “essentially de novo.” Id. To the extent that we are required to review the trial court’s interpretation of state statutes, questions of law are presented, which we review de novo. Ochoa v. Ochoa, 71 S.W.3d 593, 595 (Mo. banc 2002). However, questions regarding the constitutional validity of such statutes are beyond the jurisdiction of this court. Mo. Const, art. V, sec. 3.

The City’s cross-appeal involves only the trial court’s denial of attorneys’ fees. This court reviews a trial court’s decision regarding attorneys’ fees for abuse of discretion. Union Ctr. Redevelopment Corp. v. Leslie, 733 S.W.2d 6, 9 (MoApp. E.D.1987) (collecting cases).

Discussion

I — Summary Judgment

GRHA claims, in six separate points on appeal, that the trial court misapplied the summary judgment standard to its claims that the City acted arbitrarily and capriciously in connection with creating the TIF district at issue. The first point asserts that the trial court misapplied the “fairly debatable” test in a way that improperly shifted the burden of proof on summary judgment. This assertion is intermingled and reasserted throughout all of GRHA’s points dealing with arbitrary and capricious action. Those points also assert various misapplications of the TIF Act.

To fully address these points, we must begin with an analysis of GRHA’s claims in the underlying suit. Setting aside the constitutional aspects of that suit, over which this court lacks jurisdiction and which *560 need not be reached in order to resolve the present appeal, that suit questions whether various actions of the City complied with the TIF Act or were otherwise arbitrary and capricious. Because questions of statutory application are inextricably intermingled with the trial court’s resolution of the City’s summary judgment motion, we begin where all questions of statutory application must begin: with the language of the Act itself.

(a) — The TIF Act

To properly authorize TIF, a municipality is required to make certain legislative findings.

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Related

Great Rivers Habitat Alliance v. City of St. Peters
384 S.W.3d 279 (Missouri Court of Appeals, 2012)
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Land Clearance for Redevelopment Authority v. Inserra
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258 S.W.3d 885 (Missouri Court of Appeals, 2008)

Cite This Page — Counsel Stack

Bluebook (online)
246 S.W.3d 556, 2008 WL 563440, Counsel Stack Legal Research, https://law.counselstack.com/opinion/great-rivers-habitat-alliance-v-city-of-st-peters-moctapp-2008.