John Zamora and PCM Investments, Inc. D/B/A Junior's Beer & Wine v. City of Austin

CourtCourt of Appeals of Texas
DecidedDecember 12, 2002
Docket03-02-00377-CV
StatusPublished

This text of John Zamora and PCM Investments, Inc. D/B/A Junior's Beer & Wine v. City of Austin (John Zamora and PCM Investments, Inc. D/B/A Junior's Beer & Wine v. City of Austin) is published on Counsel Stack Legal Research, covering Court of Appeals of Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

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John Zamora and PCM Investments, Inc. D/B/A Junior's Beer & Wine v. City of Austin, (Tex. Ct. App. 2002).

Opinion

TEXAS COURT OF APPEALS, THIRD DISTRICT, AT AUSTIN

NO. 03-02-00377-CV

John Zamora and PCM Investments, Inc. d/b/a Junior=s Beer & Wine, Appellants

v.

City of Austin, Appellee

FROM THE DISTRICT COURT OF TRAVIS COUNTY, 201ST JUDICIAL DISTRICT NO. GN000441, HONORABLE PAUL DAVIS, JUDGE PRESIDING

This case involves a writ of certiorari in the district court from a decision of the Austin

Board of Adjustment interpreting certain Austin zoning regulations. Appellants John Zamora and PCM

Investments, Inc., d/b/a Junior=s Beer & Wine, (collectively AJunior=s@) appeal the district court=s summary

judgment. See Tex. R. Civ. P. 166a(b), (i). The issue for our determination is whether the district court

erred by upholding the Board of Adjustment=s zoning decision that Junior=s may not make ice for wholesale

distribution in a general commercial services zoning district. We will affirm.

BACKGROUND

Junior=s is located on property that is currently zoned for general commercial services

(hereinafter ACS@) under the City zoning regulations. Junior=s has sold beer, wine, and ice at this location for approximately twenty years.1 Appellants and the City agree that the on-site retail sale of beer, wine, and ice

from this property is a permitted use in CS zoning. Junior=s sells about 15,000 forty-pound bags of ice per

year as part of its retail business. Until 1997, Junior=s also sold between 25,000 and 30,000 bags at off-site

locations. In total, Junior=s was producing about 45,000 bags of ice a year. In 1997, Junior=s received a

building permit to install a new, larger ice machine on its premises to replace three older and smaller ice

machines. Since that installation, eighty percent of the ice Junior=s now manufactures, approximately 65,000

bags, has been distributed wholesale from refrigerated trucks which are often kept, fully stocked and with

their refrigerator units running, in the alley between the business and the neighborhood residences. Junior=s

ice-making capacity was, at the time suit was brought, approximately 80,000 bags per year.

In 1999, neighbors complained to the City about the impact of increased ice production at

Junior=s on the enjoyment of their property. See Austin, Tex., Code ' 25-2-2(A) (2001). The complaints

included grievances against the new machine=s noise and the traffic and noise disturbances caused by

appellants= trucks. In response to such complaints, a city building official is to formally determine the

appropriate use classification. Id. Janet Gallegher, a City Inspection Services Manager, acting as a city

building official, determined that the appropriate use classification for producing ice for off-site distribution

was limited industrial services (hereinafter ALI@). On October 2, 1999, the City notified appellants that

wholesale distribution of ice at Junior=s was a violation of the City Code.

1 Zamora and PCM Investments, Inc., acquired the property in the early nineteen nineties.

2 Appellants appealed the City=s determination to the Austin Board of Adjustment (Athe

Board@). See Austin, Tex., Code ' 25-2-2(C) (2001). Appellants argued that the wholesale distribution of

ice could be conducted on the property under an appropriate interpretation of CS zoning. Appellants also

argued that the wholesale distribution for off-site use is an Aaccessory use@ to CS zoning and therefore

allowed. See Austin, Tex., Code ' 25-2-891 (2000). In support of the earlier determination, Gregory

Gneusey, a City Principal Planner, submitted a response letter on behalf of the City taking the position that

the off-site ice distribution was not an authorized accessory use in a CS zoned district. This argument was

based in part on a 1982 determination of this property=s principal use and associated accessory uses, and in

part on a earlier determination, involving a different property, that the wholesale distribution requires, at

minimum, an LI zoning designation.2 Appellants responded that this interpretation constituted arbitrary

enforcement of the zoning requirements, affecting their property rights, because other businesses located in

CS zoned districts in Austin were conducting similar businesses, i.e., wholesale product distribution.

2 Section 25-2-891 defines an Aaccessory use@ as a use that Ais incidental to and customarily associated with a principal use.@ Austin, Tex., Code ' 25-2-891 (2000). In 1982, a Board decision regarding the addition of a cooler on appellants= property determined that its principal use was retail sales of beer and wine. The Board permitted the coolers in that case because they were considered accessory uses to the retail commercial operation of this property since they were used for cooling kegs of beer. The manufacturing and selling of retail ice was also considered an Aaccessory use@ to the primary use of the sale of beer and wine.

3 The Board is responsible for hearing and deciding appeals of a building official=s

interpretation of the meaning or intent of the zoning regulations, including determinations of the appropriate

use classifications of any existing or proposed use or activity.3 Austin, Tex., Code ' 25-2-475 (2000).

After a contested-case hearing, the Board denied the appeal and upheld the City=s interpretation of the

zoning ordinances prohibiting Junior=s wholesale ice distribution operation. The Board determined that,

pursuant to the CS zoning designation, Junior=s could continue to manufacture and sell ice, but only on-

premises. Furthermore, the Board decided that Junior=s wholesale distribution of ice off-premises was a

violation of the Austin City Code.4

Appellants then sought judicial review of the Board=s decision. See Tex. Loc. Gov=t Code

Ann. ' 211.011 (West Supp. 2002). The trial court granted the City=s motion for summary judgment and

upheld the Board=s interpretation. In this appeal, appellants argue that the Board abused its discretion by

upholding the City staff=s zoning interpretation that Junior=s may not make ice for wholesale distribution in a

CS zoned district.

DISCUSSION

3 The Board is a citizen board established and appointed by the City Council to assist the City in certain land use decisions under the City Code. See Austin, Tex., Code ' 2-4-543 (2000). 4 The issue the Board had to decide was whether the wholesale distribution of ice was a commercial or industrial use under the City=s zoning district classifications. Commercial CS zoning serves different purposes than the industrial LI zoning. Although the City code permits Alimited warehouse and distribution@on property in a CS zoning district, the Board concluded that appellants wholesale distribution of ice did not fall into this Alimited@ category. Instead, the Board agreed with the City=s application of the zoning ordinances and determined that the wholesale distribution of ice was an industrial use proper only in an industrial zoning district.

4 The primary issue in this case is whether the Board=s determination was a reasonable

interpretation of permitted uses of this property under the City=s zoning district classifications. A City

building official determined that ice manufacture with off-site distribution was an industrial use that was

impermissible in a CS zoning district. The Board affirmed that interpretation. Appellants propose an

alternative interpretation of the CS zoning classification, given the facts of this case.

Appellants contend that the property=s CS zoning classification expressly permits the use of

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