Jacobson v. Tahoe Regional Planning Agency

558 F.2d 928
Court of Appeals for the Ninth Circuit·Decided August 5, 1977·No. Nos. 75-2400, 76-1182, 76-1289 and 76-1608·Published·Cited by 23 cases

Opinion

EUGENE A. WRIGHT, Circuit Judge: *

On this appeal we are once more concerned with that “centaur of legislation,”1 an offspring of both state and federal law, the Tahoe Regional Planning Compact (“Compact”). Appellants complain that zoning ordinances of the Tahoe Regional Planning Agency (“TRPA”), a separate legal entity created under the provisions of the Compact, amount to an inverse condemnation or “taking” of their lands.

In each of the four consolidated cases presently on appeal, the underlying complaint was dismissed by the district court for failure to state a claim upon which [934] relief can be granted.2 Additionally, some defendants were dismissed from each suit. Each determination is appealed. We vacate two judgments, two others we affirm in part and reverse in part, and all four appeals are remanded for further proceedings.

I.

THE TAHOE REGIONAL PLANNING COMPACT

Some background information is necessary for an understanding of this opinion. In 1968, California and Nevada entered into a compact to create a regional agency with powers to regulate and control development within the Lake Tahoe Basin. Cal. Gov’t Code § 66800 et seq. (West Supp.1974); Nev.Rev.Stat. § 277.190 et seq. (1973). The Compact was consented to by Congress in December 1969.3 Pub.Law 91-148, 83 Stat. 360.

The governing body of the TRPA was charged with adopting ordinances, rules, regulations and policies to effectuate a regional plan setting minimum standards for water purity, zoning, shoreline development and the like.4 the TRPA enacted a comprehensive Land Use Ordinance (“LUO”), effective February 10, 1972, in discharge of its duties under the Compact. This LUO limited the permitted uses of certain lands within the Basin, including those owned by appellants.

Under the LUO, “use districts” were established.5 Land belonging to appellants and previously zoned as residential, multiple residential, or commercial was rezoned as “General Forest District,”6 “Recreation District,”7 or “Conservation Reserve.”8 As a generalization, very limited residential and no tourist residential or commercial use was to be made of land zoned as one of the three districts. Among other permitted uses were these: hiking trails and campgrounds, stables, recreation camps, skiing facilities, timber growing, livestock grazing, and electrical substations. Additionally, outdoor recreation concessions and educational facilities were permitted in the Recreation District.

Appellants claim that these restrictions deprive them of “all beneficial use or development” of their land and they request injunctive, declaratory, and monetary relief. Their claims are based on the Fifth and Fourteenth Amendments to the Constitution and on the just compensation provisions of the respective state constitutions.

II.

DETERMINING THE PROPER CAUSE OF ACTION

(a) The Compact as Federal Law.

Before we can determine whether appellants’ complaints will withstand a Fed.R. Civ.Pro. 12(b)(6) motion, we must determine [935] under what law and what theories appellants can proceed to trial. The complaints are filled with a variety of constitutional references, state and federal, and allege actions of inverse condemnation and, more generally, of “taking.”

Although the Compact is in essence a bi-state contract,9 this circuit had held that congressional consent transforms the Compact into a law of the United States. League to Save Lake Tahoe v. TRPA, 507 F.2d 517, 519 (9th Cir. 1974), cert. denied, 420 U.S. 974, 95 S.Ct. 1398, 43 L.Ed.2d 654 (1975).10 Because the Compact is a federal law, the agency functioning under its terms is operating under federal law, although it is not necessarily a federal agency.11

Because it is the action of the TRPA which is the basis of these cases and because the TRPA acted under powers given it by the terms of the Compact, we are of the opinion that no cause of action has been stated under any state laws. Those causes of action grounded on the just compensation provisions of the California and Nevada state constitutions were therefore properly dismissed for failure to state a claim upon which relief can be granted.

(b) Actions Under the United States Constitution.

The complaints also mentioned the due process clause of the Fourteenth Amendment which safeguards personal rights against arbitrary and oppressive state action. Thus, if the TRPA’s enactment of the LUO was such an over-zealous use of its police powers as to amount to a taking of appellants’ property, it might, in the proper circumstances, fall under the due process clause of the Fourteenth Amendment.

This amendment applies also to acts of political subdivisions of the state. Lowe v. Manhattan Beach City School District, 222 F.2d 258 (9th Cir. 1955) (school district); Miller v. County of Los Angeles, 341 F.2d 964 (9th Cir. 1965) (county). Whether a cause of action under the Fourteenth Amendment can be stated against the TRPA would turn on whether it is an agent or political subdivision of the state.

Because of the complex nature of the Compact and the difficulties inherent in categorizing those operating under it, the district courts did not decide whether the agency was an arm of the state. We also do not find it necessary to decide this issue. [936] It is not relevant in deciding whether a cause of action is stated against the states because, as discussed hereafter, the states were properly dismissed as defendants because they did not waive their Eleventh Amendment immunity from suit.

[935] “Agencies established by interstate compact are identified administratively with the party states rather than with the federal government. They may develop close relations with federal departments . . but they are no more a part of the federal administrative organization than any ordinary department of a state government. The use of compacts is still too new, however, for any well-defined concept of the proper relations between a state and a compact agency to which it subscribes to have developed.”

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Jacobson v. Tahoe Regional Planning Agency, 558 F.2d 928 (9th Cir. 1977).

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