Guptill Holding Corp. v. Williams

140 A.D.2d 12, 531 N.Y.S.2d 648, 1988 N.Y. App. Div. LEXIS 8044
CourtAppellate Division of the Supreme Court of the State of New York
DecidedJuly 28, 1988
StatusPublished
Cited by8 cases

This text of 140 A.D.2d 12 (Guptill Holding Corp. v. Williams) is published on Counsel Stack Legal Research, covering Appellate Division of the Supreme Court of the State of New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Guptill Holding Corp. v. Williams, 140 A.D.2d 12, 531 N.Y.S.2d 648, 1988 N.Y. App. Div. LEXIS 8044 (N.Y. Ct. App. 1988).

Opinions

OPINION OF THE COURT

Levine, J.

Petitioner is a domestic corporation that has operated a sand and gravel mine on its 110-acre parcel of land in the Town of Colonie, Albany County. Concededly, the mining operation was subject to regulation by respondent Department of Environmental Conservation (hereinafter DEC) under the Mined Land Reclamation Law (hereinafter MLRL) (ECL 23-2701 et seq.), which went into effect in April 1975 (L 1974, ch 1043, § 2). However, petitioner first applied for a permit from DEC to operate its mine in March 1981. Petitioner’s application sought permission to mine two specifically identified acres of the plot during an initial permit term of one year. In June 1981, petitioner filed an amended application to mine some eight acres for a three-year term. Each application was accompanied by a mined land-use plan and map as required by the statute (see, ECL 23-2713). DEC examined the plan to determine its potential environmental impact pursuant to the State Environmental Quality Review Act (hereinafter SEQRA) (ECL art 8), and found petitioner’s project to be an "unlisted action” (see, 6 NYCRR 617.12) which "will not have a significant effect on the environment”. In March 1982, the permit was granted, [15]*15applicable "only to the project defined by the Mined Land Use Plan”, to expire September 9,1984.

Shortly before the permit’s expiration date, petitioner submitted a formal request for a three-year renewal of its permit, which it designated as a "renewal with amendment application”. In the application, petitioner described the area to be affected by mining in the first year of the renewal period as 16 acres, including continued mining of the 8 acres licensed under the initial permit. At the same time, or soon thereafter, petitioner submitted a new mined land-use plan and maps. On September 27, 1984, DEC responded with a notice of incomplete application in which it advised petitioner that the project would be subject to SEQRA review, that the Town of Colonie was designated as lead agency for that purpose and that the application would not be considered complete until the town determined the environmental significance of the project. The notice also specified some 12 items of additional information to be furnished, including a long-form environmental assessment. Admittedly, the foregoing requirements were based in part on DEC’S application of its so-called "Life of Mine Review Policy”, in which a permit application is subjected to SEQRA review covering the long-term effects of the project over the entire estimated productive period of the mine. Subsequently, the town’s Planning Board sent petitioner a notice of its determination that the project would have a significant impact on the environment, listing 13 specific significant effects, and noted that the applicant proposed to extract sand and gravel from 89 acres of its property. The notice advised that a draft environmental impact statement would be required.

After almost two years of negotiations over the information that the town demanded, petitioner initiated a proceeding in Supreme Court and succeeded in obtaining a judgment declaring that the town lacked jurisdiction to act as lead agency. In January 1987, before the order in the foregoing litigation was granted, petitioner made a written demand on DEC for a decision on its renewal application. DEC responded by letter advising that petitioner’s application was still incomplete, inasmuch as it had never received the information requested in its September 1984 notice and SEQRA review by the town had not yet reached its ultimate conclusion. Thus, according to DEC, petitioner’s demand was premature. By letter of March 3, 1987, petitioner informed DEC of the judgment eliminating the town as lead agency and sent most of the [16]*16information previously, sought in DEC’s September 1984 notice, including a revised renewal application with amendment indicating an increase in affected land of over 44 acres for the three-year period of the renewal. In the same letter, petitioner, for the first time, challenged the need for a draft environmental impact statement and for other information allegedly sought pursuant to DEC’s Life of Mine Review Policy. In DEC’s reply, it advised that it had taken over lead agency status, that a positive declaration under SEQRA had been made and that the application remained incomplete until a draft environmental impact statement was submitted and approved. Following the foregoing exchange, petitioner initiated the present CPLR article 78 proceeding, in the nature of mandamus, to direct DEC to issue a renewal permit, to declare that petitioner is statutorily exempt from any SEQRA review and to restrain DEC from applying its Life of Mine Review Policy to petitioner’s application. Petitioner appeals from Supreme Court’s dismissal of its petition (137 Misc 2d 935).

Turning first to that portion of the petition in which the relief sought is based on petitioner’s claim that it is statutorily exempt from SEQRA review, we agree with Supreme Court’s rejection of this claim, but for a different reason than that of Supreme Court or that advanced by DEC on this appeal. The statutory provision relied upon is the so-called "grandfather clause” of SEQRA, ECL 8-0111 (5) (a), which exempts "[ajetions undertaken or approved prior to the effective date of this article”, i.e., September 1, 1976 (L 1975, ch 612, § 2, as amended by L 1976, ch 228, § 4). Petitioner submitted affidavits that it had continuously operated its sand and gravel mine on the subject property since the 1950’s. DEC contends that the exemption applies only to activities which were otherwise subject to regulation and approved by a regulatory authority before the effective date of SEQRA. Therefore, according to DEC, petitioner is ineligible because of its failure to obtain a permit under MLRL until 1981.

This argument is, in our view, precluded by our interpretation of the statutory exemption in Matter of Northeast Solite Corp. v Flacke (91 AD2d 57, 60). Nonetheless, the exemption does not apply upon "proof of change in the level of operation so substantial as to be sufficient to remove an activity from the exclusion clause * * * notwithstanding that the basic nature of the activity remains unchanged” (Matter of Salmon v Flacke, 61 NY2d 798, 800). Here, the interveners submitted [17]*17affidavits and photographs which would tend to establish such a difference in the level of petitioner’s mining activities pre1975 as compared to its currently proposed project. There was thus created a sharp conflict of fact on petitioner’s entitlement to the exemption, which Supreme Court could not resolve against petitioner, as it did, on the parties’ written submissions. However, the existence of a sharply disputed factual question on the exemption issue in and of itself was sufficient to preclude mandamus relief, which may be granted only to enforce a clear legal right (Matter of Colonial Beacon Oil Co. v Finn, 245 App Div 459, 461, affd 270 NY 591; Matter of Petz v Property Clerk of 68th Squad, 149 NYS2d 179, 180; McLaughlin, Practice Commentaries, McKinney’s Cons Laws of NY, Book 7B, CPLR C7801:4, at 31; 5 NY Jur 2d, Article 78 and Related Proceedings, § 58, at 447). The factual issue determining whether SEQRA can be applied to petitioner should, in the first instance, be resolved after a hearing by DEC, the administrative agency charged with the responsibility of implementing that legislation (see, Shine v Duncan Petroleum Transp., 60 NY2d 22, 26; Matter of Scanlon v State Ins. Fund, 141 AD2d 902).

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Bluebook (online)
140 A.D.2d 12, 531 N.Y.S.2d 648, 1988 N.Y. App. Div. LEXIS 8044, Counsel Stack Legal Research, https://law.counselstack.com/opinion/guptill-holding-corp-v-williams-nyappdiv-1988.