Justia Government & Administrative Law Opinion Summaries

This direct cross-appeal to the South Carolina Supreme Court involved the scope of the authority the Department of Revenue (DOR) to enforce various provisions of state law relating to the imposition of a transportation penny tax by Richland County (County) and the County's expenditure of the funds generated by the tax. After DOR conducted an audit and informed the County that DOR intended to cease future remittances to the County based on purported misuse of funds, the County filed a declaratory judgment action in circuit court, arguing DOR lacked the authority to stop payments and seeking a writ of mandamus compelling DOR to continue remitting revenues. DOR counterclaimed seeking a declaration that the County's expenditures were unlawful, an injunction to prohibit future unlawful expenditures, and alternatively, the appointment of a receiver to administer the County's tax revenues. Following a hearing, the circuit court issued a writ of mandamus compelling DOR to remit the tax revenues, denied injunctive relief, and refused to appoint a receiver. Both the County and DOR appealed. After review, the Supreme Court affirmed in all respects except it reversed the circuit court's denial of DOR's request for injunctive relief. DOR was entitled to an injunction requiring the County to expend the funds generated by the tax solely on transportation-related projects in accordance with the law. View "Richland County v. So. Carolina Dept. of Revenue" on Justia Law

Florence County challenged the validity of the West Florence Fire District, arguing that it violated the South Carolina Supreme Court's decision in Wagener v. Smith, 71 S.E.2d 1 (1952) and conflicted with the state's constitutional provisions concerning special legislation and home rule. The circuit court held in favor of Florence County on all three grounds, and the West Florence Fire District appealed. The South Carolina Supreme Court affirmed on constitutional grounds. View "County of Florence v. West Florence Fire District" on Justia Law

The court of appeals affirmed a jury verdict for Jacklyn Donevant in her wrongful termination action against the Town of Surfside Beach, finding her cause of action fit within the public policy exception to the at-will employment doctrine. Donevant was fired because she carried out her mandatory responsibility under the law to enforce the provisions of the South Carolina building code. Donevant discovered unpermitted construction work she determined to be in violation of the building code, and she issued a stop work order. She was fired a few days later. The Town appealed, contending the court of appeals misinterpreted the "public policy exception." The South Carolina Supreme Court determined the Town misinterpreted the public policy exception: "Donevant was enforcing the building code and therefore enforcing a clear mandate of public policy when she issued the stop-work order. ... Under the circumstances of this case, firing Donevant for carrying out her mandatory responsibility to enforce the building code violates public policy." View "Donevant v. Town of Surfside Beach" on Justia Law

The court of appeals affirmed a jury verdict for Jacklyn Donevant in her wrongful termination action against the Town of Surfside Beach, finding her cause of action fit within the public policy exception to the at-will employment doctrine. Donevant was fired because she carried out her mandatory responsibility under the law to enforce the provisions of the South Carolina building code. Donevant discovered unpermitted construction work she determined to be in violation of the building code, and she issued a stop work order. She was fired a few days later. The Town appealed, contending the court of appeals misinterpreted the "public policy exception." The South Carolina Supreme Court determined the Town misinterpreted the public policy exception: "Donevant was enforcing the building code and therefore enforcing a clear mandate of public policy when she issued the stop-work order. ... Under the circumstances of this case, firing Donevant for carrying out her mandatory responsibility to enforce the building code violates public policy." View "Donevant v. Town of Surfside Beach" on Justia Law

In this case, the South Carolina Supreme Court had to decide whether Petitioners Edward and Tammy Dalsing had standing to pursue a private action to adopt a child who had been placed in their foster care by the South Carolina Department of Social Services (DSS). Law enforcement took the minor child (Child) into emergency protective custody after discovering an active methamphetamine lab outside the home where Child resided with Allyssa and Jonathan Boulware. Child was sunburned, had several insect bites, suffered from severe diaper rash, and tested positive for methamphetamine, cocaine, and marijuana. DSS placed Child in foster care with Petitioners on the same day and then commenced an abuse and neglect removal action. Child's biological parents were Allyssa Boulware and John Stafford (Parents), and Child's legal father by marriage is Jonathan Boulware. The instant controversy began when DSS and Parents reached an agreement for Child to be placed with relatives Darryl and Ruth Ann Armstrong (Aunt and Uncle) in order to give Parents more time to work on a treatment plan. The proposed placement with Aunt and Uncle was not an adoptive placement. DSS intended to close its case after Parents completed the treatment plan. Petitioners immediately moved to intervene in DSS's removal action and commenced a private TPR and adoption action. The family court held a second permanency planning hearing, but declined to rule on DSS's new permanent plan of relative placement with Aunt and Uncle until the court ruled on Petitioners' motion to intervene. The family court found Petitioners did not have standing, and the court of appeals affirmed. S.C. Dep't of Soc. Servs. v. Boulware. The Supreme Court reversed and remanded to the family court, concluding Petitioners had standing to pursue a private adoption under the facts of this case. View "S.C. Dep't of Soc. Servs. v. Boulware" on Justia Law

Petitioners South Carolina Public Interest Foundation and Edward Sloan, individually and on behalf of all others similarly situated, filed a declaratory judgment action against Respondents the South Carolina Department of Transportation ("SCDOT") and John Walsh, Deputy Secretary of Transportation for Engineering of SCDOT. Petitioners sought a declaration that SCDOT's inspection of three privately owned bridges violated sections 5 and 11 of article X of the South Carolina Constitution, which Petitioners asserted prohibit the expenditure of public funds for a private purpose. The trial court granted Respondents' motion for summary judgment, finding: Petitioners lacked standing; the controversy was moot and did not fall under any of the exceptions to the mootness doctrine; and Respondents' actions were not ultra vires or unconstitutional. The Court of Appeals affirmed. The South Carolina Supreme Court concluded, after review: (1) Petitioners established public importance standing; (2) the Court of Appeals erred in concluding this matter was not justiciable because Respondents admitted their conduct was wrongful; (3) Respondents' inspection of the privately owned bridges was unconstitutional because it contravened the constitutional requirement that the expenditure of public funds serve a public purpose. The Court concluded Respondents' conduct was unconstitutional and ultra vires, and reversed the Court of Appeals' judgment. View "South Carolina Public Interest Foundation v. SCDOT" on Justia Law

Petitioner Daufuskie Island Utility Company ("DIUC") appeals an order of the South Carolina Public Service Commission ("Commission") granting only thirty-nine percent of the additional revenue requested in its application. DIUC applied to the Commission for approval of a new rate schedule which would provide a 108.9% revenue increase. Due to the substantial increase in its tax liability and its inability to seek further revenue increases until July 2014, DIUC entered into an agreement with Beaufort County to pay the back taxes for years 2012, 2013, 2014, and the projected tax for 2015. Critical to this case was the ownership of an elevated water tank, well, water pump, system pipes, and other DIUC equipment located on a site which was sold at a tax sale in 2010 (“Elevated Tank Site”). Due to a clerical error, tax on the property was not paid, and DIUC did not discover the property had been sold until 2012. Although the tax deed purported to convey the property "all and singular . . . with the appurtenances," DIUC presented testimony from the Beaufort County Treasurer, Maria Walls, that the tax deed did not convey "the elevated water tank, the well, the water pump, system pipes, or other DIUC property located on the Elevated Tank[] Site." Despite providing no evidence to the contrary to support its recommendation, ORS proposed excluding the value of the utility equipment located on the property when calculating DIUC's rate base and property taxes. A hearing on the merits of DIUC's application was held in October 2015. The day before the hearing, several intervening property owner associations (POAs) filed a Settlement Agreement they had entered with ORS for the Commission's consideration. Pursuant to the Agreement, ORS and the POAs stipulated to each party's testimony and exhibits in the record, and the parties agreed to accept all of ORS's adjustments and recommendations, with the exception of the bad debt expense for which they agreed to adopt DIUC's proposal.5 At the hearing, DIUC objected to the admission of the Settlement Agreement, arguing it was irrelevant and prejudicial because it bolstered ORS's recommendations without providing any new or additional evidence to support them. Over DIUC's objection, the Commission admitted the Agreement, reasoning it was more probative than prejudicial. The South Carolina Supreme Court found the Commission erred in admitting evidence of the POA settlement; and the Commission’s findings and conclusions with respect to DIUC’s property taxes were not supported by substantial evidence. The Court remanded for a new hearing. View "Daufuskie Island v. Regulatory Staff" on Justia Law

The Surface Water Withdrawal, Permitting, Use, and Reporting Act regulated surface water withdrawals in South Carolina. Surface water is defined as "all water that is wholly or partially within the State . . . or within its jurisdiction, which is open to the atmosphere and subject to surface runoff, including, but not limited to, lakes, streams, ponds, rivers, creeks, runs, springs, and reservoirs . . . ." Agricultural users are treated differently under the Act. Plaintiffs jointly filed this action against DHEC in Barnwell County, challenging the Act's registration system for agricultural users, contending, amongst other things, that the Act’s provisions were an unconstitutional taking, a violation of due process, and a violation of the public trust doctrine. The circuit court granted summary judgment against the plaintiffs on the grounds the case did not present a justiciable controversy, both because the plaintiffs lacked standing and the dispute was not ripe for judicial determination. Finding no reversible error with that holding, the South Carolina Supreme Court affirmed. View "Jowers v. SCDHEC" on Justia Law

The South Carolina Supreme Court answered two certified questions of South Carolina law, posed by the U.S. District Court for the District of South Carolina. These questions arose from two sets of litigation (“Fullbright” and “Chenard”) at the federal district court involving individuals (collectively, Plaintiffs) who entered into contracts with developers (collectively, Defendants) to purchase interests in vacation time sharing plans (timeshare plans) for real estate on Hilton Head Island. The federal court asked the Supreme Court whether: (1) the South Carolina Real Estate Commission had exclusive jurisdiction to determine whether there was a violation of the state Vacation Time Sharing Plans Act; (2) whether the Commission’s determination of a violation of the Timeshare Act was a condition precedent to a purchaser suing to enforce the Act; and (3) whether the Commission’s determinations as to whether the Timeshare Act was violated was binding on courts. The Supreme Court answered the first two questions in the negative; the Court answered the third question “no” too, provided the Commission’s decision had not bee subjected to judicial review. View "Fullbright v. Spinnaker Resorts" on Justia Law

Defendant Carus Corp. (Carus) was an international company that developed and sold chemical products for municipal and industrial applications. Defendant's products included a chemical called Totalox, which essentially, was designed as a deodorizer for sewer systems. The Town of Lexington (Town) used Totalox in its sewer treatment plants. In 2010, Plaintiff John Machin, a Town employee, was exposed to Totalox when a storage container valve broke during the delivery of Totalox to one of the Town's wastewater stations. Plaintiff suffered reactive airways syndrome, which was also known as chemically induced asthma or obstructive lung disease. As a result of his injuries, Plaintiff filed a workers' compensation claim and was awarded workers' compensation benefits. The South Carolina Supreme Court accepted four certified questions from the United States District Court for the District of South Carolina: (1) Under South Carolina law, when a Plaintiff seeks recovery from a person, other than his employer, for an injury sustained on the job, may the jury hear an explanation of why the employer is not part of the instant action?; (2) when a Plaintiff seeks recovery from a person, other than his employer, for an injury sustained on the job, may a defendant argue the empty chair defense and suggest that Plaintiff's employer is the wrongdoer?; (3) In connection with Question 2, if a defendant retains the right to argue the empty chair defense against Plaintiff's employer, may a court instruct the jury that an employer's legal responsibility has been determined by another forum, specifically, the South Carolina Workers' Compensation Commission?; and (4) when a Plaintiff seeks recovery from a person, other than his employer, for an injury sustained on the job, may the Court allow the jury to apportion fault against the nonparty employer by placing the name of the employer on the verdict form? The South Carolina Supreme Court answered these questions in the abstract, without any suggestion as to the resolution of the post-trial motion before the federal court: Questions 1, 2, and 3 "yes," provided a defense seeks to assign fault to the plaintiff's employer. The Court answered Question 4, "no." View "Machin v. Carus Corporation" on Justia Law