King by and Through Warren v. State

481 S.E.2d 330, 125 N.C. App. 379, 1997 N.C. App. LEXIS 98
CourtCourt of Appeals of North Carolina
DecidedFebruary 18, 1997
DocketCOA96-310
StatusPublished
Cited by4 cases

This text of 481 S.E.2d 330 (King by and Through Warren v. State) is published on Counsel Stack Legal Research, covering Court of Appeals of North Carolina primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
King by and Through Warren v. State, 481 S.E.2d 330, 125 N.C. App. 379, 1997 N.C. App. LEXIS 98 (N.C. Ct. App. 1997).

Opinion

WALKER, Judge.

On 3 March 1989, plaintiff, Ruth A. King, by and through her at-tomey-in-fact, submitted an application for a major development permit under the Coastal Area Management Act (CAMA), N.C. Gen. Stat. §§ 113A-100 to -134.3 (1994), to place between 10,000 and 20,000 cubic yards of fill material on her property, which consists of an eight-acre peninsula in Topsail Sound. Plaintiff planned to build a marl/rock road down the center of the property and a fifty lot subdivision along this road. Subsequently, plaintiff modified the permit application pursuant to a consent agreement with the Division of Coastal Management (DCM) to eliminate the proposed subdivision. Thereafter, the application covered only the filling of the road bed and construction of a bulkhead around the perimeter of the peninsula. Representatives of the United States Army Corps of Engineers (COE) later determined that the interior two acres of the peninsula contained freshwater wetlands subject to flooding by storm tides and surface water runoff. Since plaintiff intended to place fill in the wetlands, she was required to obtain a permit from COE pursuant to Section 404 of the Clean Water Act, 33 U.S.C.A. § 1344 (1986). According to Section 401 of the Clean Water Act, 33 U.S.C.A. § 1341 (1986), applicants for Section 404 permits must provide COE with certification that the discharge of fill material is consistent with state water quality standards. The Division of Environmental Management (DEM), part of the Department of Environment, Health and Natural Resources, reviews Section 401 certification requests, and the Environmental Management Commission (EMC) makes the final decision to grant or deny the certification. On 14 September 1990, DEM denied plaintiffs request for Section 401 certification, and on 3 October 1990, DCM denied plaintiffs application for a CAMA permit. Plaintiff appealed the denial of the CAMA permit application to the Coastal Resources Commission (CRC) and also appealed the denial of the Section 401 certification request to EMC. On 10 October 1991, *382 CRC ordered DCM to issue a CAMA permit to plaintiff, but directed DCM to condition the permit on whether plaintiff obtained Section 401 certification prior to the commencement of construction. DCM issued the permit to plaintiff on 20 November 1991.

On 28 October 1991, EMC denied plaintiff’s request for Section 401 certification, finding that the proposed wetland fill would degrade surrounding shellfish waters. EMC also found that there were less environmentally damaging alternatives for the construction of the road other than plaintiffs proposed plan. Plaintiff then sought judicial review of both EMC and CRC’s orders.

On judicial review, the trial court reversed EMC’s denial of Section 401 certification, but affirmed CRC’s decision to condition the CAMA permit on whether plaintiff acquired Section 401 certification prior to the commencement of construction. EMC appealed the trial court’s order to this Court, and in King v. N.C. Environmental Mgmt. Comm., 112 N.C. App. 813, 436 S.E.2d 865 (1993), we reversed the order of the trial court and upheld EMC’s findings of fact in support of its decision to deny plaintiff’s Section 401 certification.

On 5 February 1992, plaintiff filed the present action pursuant to N.C. Gen. Stat. § 113A-123(b), alleging that the decisions of EMC and CRC (collectively, the State) limited the use of her property so as to deny her all reasonable use of the property, thereby constituting a taking without compensation. The State subsequently moved for summary judgment. In response to the State’s motion for summary judgment, plaintiff presented the affidavit of James L. Powell, a registered land surveyor, who stated that the only practical way to subdivide the property was to build the road down the center of the property. Otherwise, houses would have to be constructed on “stilts” or bridges would have to be built from one side of the peninsula to the other. Plaintiff also presented the affidavit of Collice C. Moore, a licensed real estate appraiser, who opined that the property would have a fair market value of $1,360,000.00 if it were developed according to plaintiff’s proposed plan, but otherwise the property would have a fair market value of $3,700.00. Moore’s estimate of value was based on the approach that the property could only be developed with the road and utilities being constructed down the center of the property. The trial court granted the State’s motion for summary judgment on 24 August 1995.

On appeal, plaintiff first argues that the trial court erred by granting summary judgment in that the trial court erroneously treated the *383 findings of fact in the judicial review proceeding as established for purposes of this action. In Weeks v. N.C. Dept. of Nat. Resources and Comm. Development, 97 N.C. App. 215, 223, 388 S.E.2d 228, 232, cert. denied, 326 N.C. 601, 393 S.E.2d 890 (1990), this Court stated that “[t]he general rule is that an essential issue of fact which has been litigated and determined by an administrative decision is conclusive between the parties in a subsequent action.” In Weeks, CRC denied plaintiff’s application for a CAMA permit to build a 900-foot long pier in the tidal water adjacent to his property. Id. at 216-17, 388 S.E.2d at 229. Without seeking judicial review of CRC’s findings, plaintiff filed a complaint pursuant to N.C. Gen. Stat. § 113A-123(b) alleging that CRC’s actions were an unreasonable exercise of police power and amounted to an unconstitutional taking of his property. Id. at 217, 388 S.E.2d at 229. CRC moved for summary judgment based on its factual findings in plaintiff’s administrative appeal. Id. at 218, 388 S.E.2d at 230. This Court held that because plaintiff did not object to or seek judicial review of CRC’s findings of fact, he was “barred from reliti-gating the same issues of fact that the Commission resolved after hearing evidence concerning [his] application.” Id. at 224, 388 S.E.2d at 233.

In the present case, plaintiff sought judicial review of EMC’s findings of fact, which were upheld in the prior appeal. Since this Court upheld EMC’s findings, see King, 112 N.C. App. 813, 436 S.E.2d 865 (1993), they are now binding on plaintiff’s taking claim. Thus, the trial court did not err by treating the facts found in the judicial review proceeding as binding for purposes of this action.

N.C. Gen. Stat. § 113A-123(b) states that any person affected by a final order or decision of CRC may petition the superior court, whose duty is to

determine whether such order so restricts the use of his property as to deprive him of the practical uses thereof... and is therefore an unreasonable exercise of the police power because the order constitutes the equivalent of taking without compensation. The burden of proof shall be on petitioner as to ownership and the burden of proof shall be on the Commission to prove that the order is not an unreasonable exercise of the police power, as aforesaid.

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Bluebook (online)
481 S.E.2d 330, 125 N.C. App. 379, 1997 N.C. App. LEXIS 98, Counsel Stack Legal Research, https://law.counselstack.com/opinion/king-by-and-through-warren-v-state-ncctapp-1997.