Pioneer Square Hotel Company & Aph Corporation v. City Of Seattle

CourtCourt of Appeals of Washington
DecidedFebruary 18, 2020
Docket80000-1
StatusPublished

This text of Pioneer Square Hotel Company & Aph Corporation v. City Of Seattle (Pioneer Square Hotel Company & Aph Corporation v. City Of Seattle) is published on Counsel Stack Legal Research, covering Court of Appeals of Washington primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Pioneer Square Hotel Company & Aph Corporation v. City Of Seattle, (Wash. Ct. App. 2020).

Opinion

IN THE COURT OF APPEALS OF THE STATE OF WASHINGTON

PIONEER SQUARE HOTEL COMPANY and APH CORPORATION, DIVISION ONE Washington corporations, No. 80000-1 -l Appellants, PUBLISHED OPINION V.

THE CITY OF SEATTLE, acting through FILED: February 18, 2020 the SEATTLE PUBLIC UTILITIES,

Respondent.

DWYER, J. — Pioneer Square Hotel Company (Pioneer) appeals from the

trial court’s summary judgment order dismissing its declaratory and injunctive

relief claims against the City of Seattle (City). In dismissing the claims, the trial

court characterized Pioneer’s action as a land use petition subject to the 21-day

statutory limitation period of the Land Use Petition Act1 (LUPA). We reverse;

LUPA and its procedural rules do not govern this action.

Pioneer is improving a property in Seattle’s Pioneer Square neighborhood

located at 110 Alaskan Way South. As part of this process, Pioneer was

required to obtain a multiple use permit (MUP) and a building permit from the

Seattle Department of Construction and Inspections (SDCI) (formerly the

Department of Construction and Land Use). Once these permits were obtained,

1 Ch. 36.7oc RCW. No. 80000-1-1/2

Pioneer was required to obtain a water availability certificate (WAC) from Seattle

Public Utilities (SPU) before its property could be connected to the City’s water

supply system. SPU issued a WAC in 1999 certifying that water was available

from an existing 6-inch diameter water main on Alaskan Way South.

However, construction of the improvement, a 33-unit hotel addition, was

significantly delayed for reasons unrelated to the present litigation. During the

intervening period, the WAC issued in 1999 expired. Accordingly, when Pioneer

approached SPU seeking activation of a meter on the existing 6-inch water main

on Alaskan Way South, SPU required that Pioneer apply for a new WAC.

Pioneer did so. On January 29, 2018, SPU issued a new water availability

determination, coupled with WAC 20180049, which was not to take effect until

Pioneer contracted to install a new 8-inch water main running from Yesler Way,

north of the property, to the existing 6-inch main. SPU was to own and operate

this main upon its successful installation. Three days later, SPU issued a revised

determination, which required Pioneer to contract for construction of a 12-inch

main, with an accompanying WAC 20180136. The reason given for the change

was a clerical error in the prior determination—applicable regulations required 8-

inch mains to serve new developments in residentially zoned areas but required

12-inch mains for new developments that, as with Pioneer’s hotel, lie in

commercially zoned areas. Again, SPU was to own and operate the new main.

Pioneer appealed this determination to SPU’s manager level review

committee on February 15, 2018. Pioneer offered evidence that the 6-inch main

was adequate for its property’s needs and that requiring itto install a 12-inch

2 No. 80000-1-1/3

main was unnecessary and burdensome. On March 19, Pioneer received SPU’s

manager level determination, which stated:

The existing 6-inch water main in Alaskan East Roadway Way is not well documented and may not fully support new water services after the reconstruction of Alaskan Way. The new requirement is to design and install approximately 80 feet of 8-inch ductile iron restrained joint pipe from the existing 12-inch water main in Alaskan Way South, crossing Alaskan Way to the south Alaskan Way parcel boundary. New water services will be provided from the new 8-inch ductile iron pipe. A new Water Availability Certificate will be issued to reflect the changes in the water main extension requirement.

Pursuant to this decision, SPU issued WAC 20180570, again not to take

effect until these new requirements were met. This determination provided for

appeal to SPU’s director if Pioneer was unsatisfied. Pioneer so appealed. On

May 15, 2018, SPU Director Jeff Bingaman conveyed to Pioneer SPU’s director

level determination. This determination, again, rejected Pioneer’s proposal to

use the existing 6-inch water main, and clarified that WAC 20180570 should

require a 12-inch and not an 8-inch water main—one which would be owned,

operated, and maintained by SPU upon being completed. In the alternative,

Pioneer was offered the option of installing two private water lines, one 4-inch

main and one 2-inch main, connecting across Alaskan Way South to a 12-inch

main. The determination indicated that SPU would issue a new WAC reflecting

Pioneer’s preferred option.

Pioneer, instead, contacted both Bingaman and assistant city attorney

William Foster, restating its argument in favor of allowing the project to be served

by the existing water main. Foster replied that the director level determination

contained the City’s final position on the matter.

3 No. 80000-1-1/4

In August 2018, Pioneer commenced this action in superior court, seeking

a declaratory judgment that the conditions SPU placed on the issuance of a WAC

violated RCW 82.02.020, which limits municipal authority to require payments

from developers. Pioneer also sought an injunction requiring SPU to activate the meter on the existing 6-inch water main to serve the hotel addition.

The City’s answer raised several affirmative defenses: failure to state a

claim upon which relief may be granted, lack of subject matter jurisdiction, failure

to file a claim, and failure to assert the claim within the applicable statutory

limitation period. The City then moved to dismiss the complaint and moved for

judgment on the pleadings on the basis that the complaint sought review of a

land use decision pursuant to LU PA, and that such review was time-barred by

LUPA’s 21-day statutory limitation period.

Because Pioneer’s memorandum in opposition to this motion was

supplemented with a declaration and exhibits including photographs, the City’s

motion to dismiss was converted to a CR 56 motion for summary judgment. On

summary judgment, the trial court dismissed Pioneer’s declaratory and injunctive

relief claims with prejudice, holding them to be time-barred under LUPA. Pioneer

moved for reconsideration of this order on the basis that, because SPU’s director

level determination offered it two options for proceeding, it was not a final agency

determination. The trial court granted this motion and modified its order to

dismiss the complaint without prejudice.2 Pioneer appeals both the original

2 Since this time, the City has in fact issued a new determination and WAC, which has also been appealed to the superior court in a separate action. That action has been stayed pending the result of this proceeding.

4 No. 80000-1-1/5

dismissal order and the order on its motion for reconsideration, averring that both

orders incorrectly characterized its action as a LUPA petition.

Pioneer’s primary contention on appeal is that the City’s decisions that

give rise to this court challenge do not fall within the purview of LUPA because

they were not “land use decisions.” Accordingly, Pioneer argues, LUPA’s 21-day

limitation period is inapplicable. We agree.

A

The purpose of statutory interpretation is to determine, and give effect to,

the intent of the legislature. Columbia Riverkee~er v. Port of Vancouver USA,

188 Wn.2d 80, 91, 392 P.3d 1025 (2017).

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