Public Utility District No. 1 v. State

342 P.3d 308, 182 Wash. 2d 519
CourtWashington Supreme Court
DecidedJanuary 29, 2015
DocketNo. 88949-0
StatusPublished
Cited by16 cases

This text of 342 P.3d 308 (Public Utility District No. 1 v. State) is published on Counsel Stack Legal Research, covering Washington Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Public Utility District No. 1 v. State, 342 P.3d 308, 182 Wash. 2d 519 (Wash. 2015).

Opinions

Stephens, J.

¶1 This case arises from the protracted history between Public Utility District No. 1 of Okanogan County (PUD) and the Department of Natural Resources (DNR)1 over the installation of an electrical transmission line through school lands managed by DNR in the Methow Valley. At issue is whether PUD is statutorily authorized to condemn a right of way through school trust lands for the construction of a transmission corridor and, if so, whether the particular school lands are nonetheless exempt from condemnation as a result of their trust status as school lands or present use for cattle grazing. The trial court and Court of Appeals concluded that PUD is statutorily authorized to condemn school lands and that the particular school lands at issue are subject to condemnation. We affirm.

[525]*525FACTS AND PROCEDURAL HISTORY

¶2 PUD is a nonprofit public utility district tasked with the conservation of the state’s water and power resources and the supply of public utility services to residents in Okanogan County. See Laws of 1931, ch. 1, § 1. To supply electricity to the region, PUD operates a high voltage transmission line connecting Twisp, Okanogan, and Pateros (the Loup-Loup line) and a lower voltage distribution line from Pateros to Twisp (the Methow-Valley Floor line). The existing system has long experienced reliability, capacity, and line loss problems. Gebbers v. Okanogan County Pub. Util. Dist. No. 1, 144 Wn. App. 371, 375, 183 P.3d 324 (2008). As a result, residents have suffered excessive and costly line losses and frequent power outages. Id. These problems are expected to increase as the service population in that region grows. Id.

¶3 In 1996, PUD proposed the installation of a new higher capacity transmission line from Pateros to Twisp that would run roughly parallel to the existing Methow-Valley Floor line. Progress on the project slowed when PUD was required to conduct an extensive environmental impact study (EIS). In 2003, PUD and the United States Forest Service (USFS) held a public scoping period, encouraging members of the public, environmental groups, and governmental agencies to assist them in identifying areas of public concern. In 2004, PUD and USFS released a scoping report. The report identified 15 alternatives, but only 6 alternatives and a no-action alternative were ultimately approved for detailed consideration in light of the project’s objectives.2 In January 2005, PUD released an extensive draft EIS report describing the viability of each alternative [526]*526and its anticipated impact on air and soil quality, erosion, vegetation, fish, and wildlife. Id. at 376. PUD thereafter held several public hearings and meetings and responded to over 400 letters submitted during the comment period. Id.

¶4 In February 2006, PUD indicated its preferred plan was “Alternative 2,” which involved the installation of a new transmission line from Pateros to Twisp (the Pateros-Twisp line). Id. at 376-77. The Pateros-Twisp line meets all of the project’s objectives, provides a secondary backup power source for the area, and is significantly less expensive than simply upgrading the existing Loup-Loup line. Id. at 377-78. The Pateros-Twisp line is a modified version of the original 1996 plan. Pub. Util. Dist. No. 1 of Okanogan County & U.S. Dep’t of Agric., Methow Transmission Project Summary: Final Environmental Impact Statement S-6 (Mar. 2006), https:// ww.okanoganpud.org/sites /default/files /pdfs /environmental _ generation/methow_transmission/feis/Summary, pdf. The principal change eliminated all permanent road construction, requiring PUD to use temporary track roads, hand-dig holes, and deliver structures by helicopter. Id.

¶5 Installation of the Pateros-Twisp line requires PUD to obtain an 11.6-mile easement across school lands managed by DNR. Br. of Resp’t PUD-PUD Statutory Condemnation Auth. at 7-8. These lands were granted to the State in trust for the people and for the support of a common school fund. They comprise a portion of the largest publicly owned tract of shrub-steppe habitat in the Methow Valley. Appellant/Cross-Resp’t Conserv. Nw.’s Suppl. Br. at 1. The lands are currently leased for cattle grazing and generate approximately $3,000 of annual income for the benefit of Washington schools. Clerk’s Papers (CP) at 232, 252, 273, 298, 319. The grazing leases expressly recognize that they are subject to the easement rights of others and provide remedies in the event that all or part of the land is condemned by a public authority. See, e.g., id. at 233, 240.

[527]*527¶6 PUD released a final EIS report on March 7, 2006, indicating its preference for Alternative 2. Gebbers, 144 Wn. App. at 376. The PUD commissioners officially selected Alternative 2 for the project later that month. Id. Various citizen groups subsequently filed suit, challenging the sufficiency of the EIS report under the State Environmental Policy Act, chapter 43.21C RCW, and the prudence of the commissioners’ selection. 144 Wn. App. at 378-79. The trial court dismissed these challenges, and the Court of Appeals affirmed. Id. at 393. We denied review. Gebbers v. Okanogan County Pub. Util. Dist. No. 1, 165 Wn.2d 1004, 198 P.3d 511 (2008).

¶7 While the EIS challenges were pending, PUD applied for the necessary easements through the school lands using DNR’s easement application process. CP at 125-26. Between May 2007 and February 2010, PUD and DNR communicated extensively about the proposed easements. Id. PUD submitted a formal application in October 2008 and was told the application would take approximately two to three months to process. Id. at 126. PUD’s application has been pending now for over five years. PUD Answer to Amicus Curiae Br. of W. States Land Comm’rs Ass’n at 16. And, approximately 18 years have passed since the project was proposed in 1996.

¶8 In 2010, PUD filed a petition to condemn the necessary easements for the project. Prior to condemnation hearing on public use and necessity, Conservation Northwest (CNW), a group engaged in conservation activities, moved to intervene. CP at 594-606. DNR objected. The trial court granted CNW limited intervention to address the scope of PUD’s condemnation authority. Id. at 506-08. CNW and DNR filed separate motions for summary judgment, arguing PUD does not have the authority to condemn the subject school lands given their trust status and present use as grazing land. Id. at 460-505. The trial court denied [528]*528CNW’s and DNR’s motions and granted summary judgment in favor of PUD, concluding PUD has the authority to condemn the subject school lands. Id. at 22-24.3

¶9 The Court of Appeals affirmed the trial court’s determination that PUD has the authority to condemn the relevant school lands, but did not address the propriety of CNW’s intervention. Pub. Util. Dist. No. 1 of Okanogan County v. State, 174 Wn. App. 793, 301 P.3d 472 (2013). The court held that the subject school lands were not exempt from condemnation because they were not dedicated to a public use by virtue of their trust status or reserved for a particular purpose in light of their grazing leases. Id. at 802-07.

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Bluebook (online)
342 P.3d 308, 182 Wash. 2d 519, Counsel Stack Legal Research, https://law.counselstack.com/opinion/public-utility-district-no-1-v-state-wash-2015.