Pulte Home Corp. v. Montgomery County

271 F. Supp. 3d 762
CourtDistrict Court, D. Maryland
DecidedAugust 26, 2017
DocketCase No.: GJH-14-3955
StatusPublished
Cited by8 cases

This text of 271 F. Supp. 3d 762 (Pulte Home Corp. v. Montgomery County) is published on Counsel Stack Legal Research, covering District Court, D. Maryland primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Pulte Home Corp. v. Montgomery County, 271 F. Supp. 3d 762 (D. Md. 2017).

Opinion

MEMORANDUM OPINION

GEORGE J. HAZEL, United States District Judge

Pulte Home Corporation and Shiloh Farm Investments, LLC (collectively, “Plaintiffs”), made a substantial investment in 541 acres of undeveloped land in Clarksburg, Maryland in hopes of developing the property. Steps taken by Montgomery County, Maryland (the “County”) and. the. Maryland-National Capital Park [767]*767and Planning Commission (the “Commission” and collectively, “Defendants”) to change zoning, impose new restrictions and delay or deny water and sewer service to Plaintiffs’ property have frustrated Plaintiffs’ efforts and led to this litigation. Specifically, Plaintiffs have asserted claims against Defendants, pursuant to 42 U.S.C. § 1983, alleging violations of substantive and procedural due process and equal protection and that the Defendants’ actions amounted to a taking for public use without just compensation. Plaintiffs have additionally asserted their claims pursuant to the Maryland Constitution. Pending before the Court is Defendants’ Motion for Judgment on the Pleadings Pursuant to Fed. R. Civ. P. 12(c). ECF Nos. 145 and 146.1 A hearing on the Motion was held on August 8, 2017. See Loe. Rule 105.6 (D. Md. 2016). For the' following reasons, Defendants’ Motion is granted.

I. BACKGROUND2

This1 dispute stems from zoning actions taken by the County regarding 541 acres of undeveloped land in Clarksburg. Maryland near the Ten Mile Creek, west of I-270, which is either owned by or under contract to be purchased - by Plaintiffs. .ECF No. 2 at 1-2. In 1994, the' County designed and approved the Clarksburg Master Plan (the “Master Plan”) to guide the development of Clarksburg along the 1-270 corridor, while implementing measures to protect the local water quality. Id. ¶ 10. Plaintiffs’ property was to be zoned for residential development, and was designated as a Transferable Development Rights (“TDR”) receiving area.' Id. ¶9. TDRs are development credits which, when purchased, allow property holders to develop their property at a,higher density. The Master Plan divided Clarksburg .development into four sequential stages, and Plaintiffs’ property was included in Stage 4. Id. ¶ 8. Included with the staging plan were a , number of “triggers” to be met before Stage 4 could proceed, id. ¶ 10, and the Master Plan directed that “[o]nc.e all of the ... conditions have been met, the County Council will consider Water and Sewer Plan amendments that would permit the extension of public facilities to the Ten Mile Creek area.” Id. ¶ 11. The Master Plan also provided that “after conducting various assessments,” “the County Council may” choose to “[djefer action on a Water and Sewer Plan category change, pending further study or consideration as deemed necessary and appropriate by the Council.” or “[consider such other land use actions, as. are deemed necessary.” ECF No. 191-1 at 23.

Plaintiffs allege that between July 2004 and February 2006, they invested nearly $50 million >in purchasing property to the west of 1-270, and spent an additional $12 million purchasing TDRs from Montgomery County farmers. ECF No. 2.¶ 15--16. Plaintiffs further allege that the “triggers” contained in the Master Plan for Stage 4 development were met in 2009, and that Plaintiffs filed a Water and Sewer Category Change Request application, on May 12, 2009. Id. ¶12. On September 17, 2010, sixteen months after Plaintiffs had submitted their application. Defendants stated that Plaintiffs’ application would1 not1 be processed until early Spring 2011. Id. ¶ 18. However, Defendants did not act on Plaintiffs’ application during that period either, nor did they act on it after Plaintiffs resubmitted the application in August 2012. Id. ¶ 19. In December 2012, Plaintiffs sub[768]*768mitted a “Pre-Application Concept Plan” to Defendants, seeking review of their plan for their property. ■ Id. ¶ 22; Defendants refused to review Plaintiffs’ application, and informed them that it was “too early to get into having pre-applications meetings on sites in the Stage 4 area.” Id. ¶ 23. Plaintiffs submitted a number of letters to various Montgomery County officials requesting a decision on their pre-application, but did not receive a substantive response. Id. ¶¶ 24-29.

On October 9', 2012, thb Montgomery County Council requested that the Planning Board study the Ten Mile Creek watershed and prepare an amendment to the Master Plan. Id. ¶ 36. Plaintiffs or their agents submitted a number of-letters to Defendants and appeared at public hearings, expressing concern over the proposed amendment. Id. ¶¶ 37-53. Despite Plaintiffs’ vigorous opposition, on October 25, 2013, the Planning Board submitted a draft amendment to the County Council, proposing a heightened limit on the amount of impervious terrain in any new development, a heightened open space requirement, and a downzoning of Plaintiffs’ property from a residential classification to an agricultural classification. Id. ¶ 54. The County Council subsequently held public hearings, during which Plaintiffs presented written and in-person testimony,, and conducted a number of closed working sessions. Id. ¶¶57, 63. In March and April 2014, the County Council approved the 10 Mile Creek Area Limited Amendment (the “Amendment”), id. ¶¶ 65-66, which was subsequently adopted by the Commission. Plaintiffs allege that the “cumulative effect of the severe and interrelated planning, zoning, and regulatory restrictions” is that “Pulte can develop no more than 17 percent of its property ...” ECF No. 2 ¶ 83.

On November 14, 2014. Plaintiffs filed a Complaint in Montgomery County Circuit Court. ECF No. 2. On December 18, 2014, with the consent of the County, the Commission removed the case to this Court. ECF No. 1. The Complaint alleges a litany of constitutional and state law violations including: violation of substantive due process rights under the Maryland and United States constitutions and the. Civil Rights Act of 1871 (Count I, ECF No. 2 at 54); violation of equal protection rights under the Maryland and United States constitutions and the Civil Rights Act of 1871 (Count II, ECF No. 2 at 57); violation of the takings clauses of the Maryland and United States constitutions (Count III. ECF No. 2 at 60); violation of procedural due process rights under the Maryland and United States constitutions and the Civil Rights Act of 1871 (Count IV, ECF No. 2 at 62); and violation of Article 19 of the Maryland constitution (Count V, ECF No. 2 at 64). The Commission, filed a Motion to Dismiss on January 2, 2015, and that motion was denied. ECF Nos. 19 and 33. The Commission then-filed a Motion for Reconsideration, which was also denied. ECF Nos. 36 and 46. The County did not originally move to dismiss the Complaint and instead filed a timely Answer on January 14, 2015. ECF No. 24. The Defendants now move for Judgment on the Pleadings.3 ECF No. 145-1. The [769]*769Court reviewed submissions from both parties and held a hearing on August 8, 2017. ECF No. 194.

II. STANDARD OF REVIEW

Pursuant tó Rule 12(e), “[a]fter the pleadings are' closed — but early-enough not to delay trial — a party may move for judgment on the pleadings.” Fed. R. Civ.

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271 F. Supp. 3d 762, Counsel Stack Legal Research, https://law.counselstack.com/opinion/pulte-home-corp-v-montgomery-county-mdd-2017.