Hardy v. State Land Board

360 P.3d 647, 274 Or. App. 262, 2015 Ore. App. LEXIS 1227
CourtCourt of Appeals of Oregon
DecidedOctober 14, 2015
Docket083817Z7; A148195
StatusPublished
Cited by4 cases

This text of 360 P.3d 647 (Hardy v. State Land Board) is published on Counsel Stack Legal Research, covering Court of Appeals of Oregon primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Hardy v. State Land Board, 360 P.3d 647, 274 Or. App. 262, 2015 Ore. App. LEXIS 1227 (Or. Ct. App. 2015).

Opinion

ARMSTRONG, R J.

The State Land Board and the Department of State Lands (collectively, the state) appeal a judgment of the circuit court setting aside the board’s declaration of ownership of the bed and banks of the Rogue River between river miles (RM) 68.5 and 157.51 under the process established in ORS 274.400 to 274.412. It also appeals a supplemental judgment awarding petitioners their attorney fees and costs.2 The case was resolved by the circuit court on summary judgment in an other than contested case proceeding under ORS 183.484. On appeal, the state challenges the circuit court’s ruling that the board’s declaration of ownership did not adequately describe the nature and extent of the state’s claim, as required by ORS 274.408(l)(a) and OAR 141-121-0040, and that it “claims dry land in violation of Oregon law.” The state also contends that the circuit court erred in rejecting the board’s determination that the river was navigable at the time of statehood between river miles 100 and 157.5 — a predicate requirement for asserting state ownership to the riverbed.3 As to the supplemental judgment, the state contends that the court abused its discretion in awarding attorney fees and costs to petitioners — because the positions taken by the board were “objectively reasonable” — and in determining that a portion of the fee award was mandatory under ORS 183.497(l)(b).

We agree with the circuit court that the board’s declaration of ownership fails to satisfy the statutory requirements and, therefore, must be set aside in its entirety on that basis. For reasons of judicial efficiency, however, we also address the state’s challenge to the circuit court’s decision regarding the underlying navigability of RM 100 to 157.5 because, if that decision is correct — that is, if that segment of the river is not navigable — then the statutory deficiency is irremediable with respect to that segment. As explained [265]*265below, we affirm the portion of the general judgment setting aside the declaration of ownership, but we reverse and remand the portion holding that the board’s determination of navigability as to RM 100 to 157.5 “does not comply with state or federal law and is not supported by substantial evidence in the record.”4 Given that disposition, we also vacate and remand the supplemental judgment awarding petitioners attorney fees.

I. BACKGROUND

A. Legal Framework

To set this dispute in context, we begin with a brief description of the legal framework for determining state ownership of riverbeds; those principles are examined in greater detail in our analysis of the parties’ arguments on appeal.

1. Navigability under federal law

Under what is known as the “equal footing” doctrine, Oregon “gain[ed] title within its borders to the beds of waters then navigable” when it became a state in 1859. PPL Montana, LLC v. Montana, 565 US___,___, 132 S Ct 1215, 1227-28, 182 L Ed 2d 77 (2012) (PPL Montana). And, the state is entitled to “allocate and govern those lands according to state law subject only to ‘the paramount power of the United States to control such waters for purposes of navigation in interstate and foreign commerce.’” Id. (quoting United States v. Oregon, 295 US 1, 14, 55 S Ct 610, 79 L Ed 2d 1267 (1935)).5 Thus, generally, “[l]ands lying below [266]*266the ordinary high water mark of navigable rivers are * * * owned by the state and are considered to have been so held since the admission of that state to the Union.” Northwest Steelheaders Association v. Simantel, 199 Or App 471, 480, 112 P3d 383, rev den, 339 Or 407 (2005), cert den, 547 US 1003 (2006) (footnote omitted). The United States retains any title vested in it before statehood to land beneath waterways not then navigable. PPL Montana, 565 US at___, 132 S Ct at 1228.

Whether a river segment is navigable for purposes of determining state riverbed title is a question of federal law. United States v. Oregon, 295 US at 14 (“Since the effect upon the title to such lands is the result of federal action in admitting a state to the Union, the question, whether the waters within the state under which the lands lie are navigable or non-navigable, is a federal, not a local, one. It is, therefore, to be determined according to the law and usages recognized and applied in the federal courts, even though, as in the present case, the waters are not capable of use for navigation in interstate or foreign commerce.” (Citations omitted.)); United States v. Holt Bank, 270 US 49, 55-56, 46 S Ct 197, 70 L Ed 465 (1926) (“Navigability, when asserted as the basis of a right arising under the Constitution of the United States, is necessarily a question of federal law to be determined according to the general rule recognized and applied in the federal courts.”).

The test of navigability for that purpose is well established. In 1870, the United States Supreme Court explained:

“Those rivers must be regarded as public navigable rivers in law which are navigable in fact. And they are navigable in fact when they are used, or are susceptible of being used, in their ordinary condition, as highways for commerce, over which trade and travel are or may be conducted in the customary modes of trade and travel on water.”6

[267]*267The Daniel Ball, 77 US (10 Wall) 557, 563, 19 L Ed 999 (1870).7 Thus, the question of the navigability of a waterway is both factual and legal: whether the river segment is, in fact, navigable, also determines whether it is navigable for the legal purpose of determining state ownership under the equal-footing doctrine. See United States v. Utah, 283 US 64, 87, 51 S Ct 438, 75 L Ed 844 (1931) (navigability is essentially a question of fact determined by the particular circumstances of each case); Loving v. Alexander, 745 F2d 861, 865 (4th Cir 1984) (navigability involves “questions of law inseparable from the particular facts to which they are applied” (citing United States v. Appalachian Elec. Power Co., 311 US 377, 404, 61 S Ct 291, 85 L Ed 243 (1940))).

2. State process for asserting claim

The State of Oregon has established a mechanism for asserting the state’s claim of riverbed ownership under the federal doctrine. See ORS 274.400 - 274.412; OAR ch 141, div 121. That process vests in the board “exclusive jurisdiction to assert title to submerged or submersible lands in navigable waterways on behalf of the [state].”8 ORS 274.402(1).

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

Related

Dept. of Transportation v. Dietrich
Court of Appeals of Oregon, 2024
Kramer v. City of Lake Oswego
395 P.3d 592 (Court of Appeals of Oregon, 2017)

Cite This Page — Counsel Stack

Bluebook (online)
360 P.3d 647, 274 Or. App. 262, 2015 Ore. App. LEXIS 1227, Counsel Stack Legal Research, https://law.counselstack.com/opinion/hardy-v-state-land-board-orctapp-2015.