Justia Government & Administrative Law Opinion Summaries

The Board of Oil, Gas and Mining (Board) affirmed the approval by the Division of Oil, Gas and Mining (Division) of Alton Coal Development's (ACD) mining permit, which allowed ACD to conduct surface coal mining operations at the Coal Hollow Mine. Petitioners appealed, arguing that the Board erred in affirming ACD's permit because the permit application was deficient in several respects. The Supreme Court affirmed the Board's decision, holding (1) the Board properly concluded that the Division gave adequate consideration to cultural and historic resources in the adjacent area; (2) the Board properly concluded that the Division's cumulative hydrological Impact Assessment satisfied Utah's requirements; (3) the Board properly concluded that the hydrologic monitoring plan was adequate; and (4) therefore, the Board acted within its discretion in affirming the Division's conclusions that ACD's mining permit application satisfied all of the statutory and regulatory requirements. View "Sierra Club v. Bd. of Oil, Gas, & Mining" on Justia Law

This appeal concerned a challenge by a group of citizens (Citizens) to an ordinance passed by the Ground County Council (Council) approving amendments concerning a Planned Unit Development district. The district court granted summary judgment in favor of the Council and the developer. In the district court, Citizens claimed the Council had acted administratively in adopting the ordinance, and accordingly, the matter should be remanded to the county board of adjustments because Citizens weren't allowed to challenge an administrative decision in a district court until they had exhausted their administrative remedies. The Supreme Court affirmed, holding (1) the Council acted in its legislative capacity in adopting the ordinance because the ordinance created a new law of general applicability passed after the Council weighed policy considerations and because it had the formal nature of a legislative act; and (2) the ordinance should not be set aside because of illegality because, for each of Citizens' claims, the Council complied with applicable zoning ordinances. View "Suarez v. Grand County" on Justia Law

One of Summit Water Distribution Company's (SWDC) minority shareholders, Bear Hollow Restoration, filed a complaint requesting a review and investigation of SWDC's exemption from public regulation under the now-repealed Utah Admin. R. 746-331-1. The Public Service Commission dismissed the complaint on the basis that SWDC was not a public utility, and therefore, the Commission did not have jurisdiction. The Supreme Court affirmed the Commission's dismissal, holding (1) the allegations in Bear Hollow's complaint were insufficient to establish that SWDC served the public generally or that the Commission had jurisdiction; (2) Bear Hollow was not prejudiced by repeal of Rule 746-331-1 because the rule applied only to internal agency decisions and the underlying substantive law remained in place; and (3) the Commission did not abuse its discretion when it refused Bear Hollow's amended complaint after the original complaint had been dismissed.

The Point of the Mountain Aqueduct is a sixty-inch diameter pipeline that runs along the Draper Canal and transports culinary water to Salt Lake City and other cities in the Salt Lake Valley. Plaintiffs in this case were homeowners who asserted claims challenging Metropolitan Water District's construction of the aqueduct as exceeding the scope of its real property rights along the canal route. The district court granted summary judgment for the Water District. The Supreme Court affirmed the district court's decision in most respects, but reversed the district court's conclusion that (1) Reaches 16-17 were not limited by restrictive covenants; and (2) enclosing the Draper Canal within a buried pipeline was reasonable as a matter of law and so did not exceed the scope of the Water District's property rights in Reach 19. The Court then (1) held that warranty deeds imposed restrictive covenants that run with the land, limiting Reaches 16-17 to canal purposes only; and (2) remanded for a factual determination of whether the canal enclosure was reasonable and did not materially alter the burden to Appellants' land with respect to Reaches 16, 17, and 19.

At issue in this appeal was the Privilege Tax Statute, which provides that an entity may be taxed on the privilege of beneficially using or possessing property in connection with a for-profit business when the owner of that property is exempt from taxation. But the tax may not be imposed unless the entity using or possessing the exempt property has "exclusive possession" of that property. Alliant Techsystems (ATK) challenged the imposition of a privilege tax on its use of government property. The district court granted summary judgment against ATK, concluding that ATK had "exclusive possession" of federal government property because there was no evidence that anyone other than the government, the landowner, had any possession, use, management or control of the property. The Supreme Court reversed, holding (1) under the Statute, "exclusive possession" means exclusive as to all parties, including the property owner, and thus, exclusive possession exists when an entity has the present right to occupy and control property akin to that of an owner or lessee; and (2) because the record indicated disputed material facts regarding ATK's authority to control the government property, summary judgment was inappropriate in this case.

Petitioners in this case were Lehi City voters who sought to place on the municipal ballot initiatives regulating salaries and residency requirements for certain city employees. The City refused to accept the initiatives. Three of the initiatives' sponsors subsequently filed a petition for writ of extraordinary relief, contending that the initiatives were proper exercises of initiative power under Utah Const. art. VI. At issue before the Supreme Court was the scope of the people's initiative power under article VI. The Court upheld the initiatives after repudiating the framework set forth in Citizen's Awareness Now v. Marakis, holding (1) a ballot initiative should be deemed an appropriate legislative, and thus referable, act where it proposes a law of general applicability; (2) the subject matter of the initiatives in this case was legislative in nature; and (3) the initiatives did not conflict with state law because Utah Code 10-3-818, invoked by the City, did not apply to voter initiatives.

Ivory Homes purchased various concrete products from a company that, when it delivered the products, provided an invoice that charged a single sales price without indicating separate delivery charges. Ivory Homes then discovered if it structured its transactions with the company differently and bargained for separate and independent delivery charges, the charges would not be taxable. Subsequently, Ivory Homes filed a refund request with the Utah Taxpayer Services Division for sales tax it paid for several years on expenses associated with the concrete products. The Division denied the refund. The Utah State Tax Commission also denied the refund request. The Supreme Court affirmed the Tax Commission's decision that it did not erroneously receive any tax and that Ivory Homes was not entitled to a tax refund where (1) under a substantial evidence standard of review, the Commission correctly made findings of fact that the parties did not intend delivery charges in their original transactions; and (2) alternatively, a plain language interpretation of the Refund Statute requires that the Tax Commission commit some error in its receipt of taxes before a taxpayer is entitled to a refund.

Summit Water was a mutual water company providing culinary grade water to residential and commercial shareholders. After the Utah State Tax Commission audited Summit Water's annual property tax affidavit and concluded that the value of the distribution facilities was substantially higher than Summit Water reported that year, Summit County assessed Summit Water for the back taxes owed for the previous four years. In all, Summit County assessed Summit Water $204,020 in additional taxes. The Summit County Board of Equalization determined that Summit Water failed to establish that the taxation of the property was incorrect or illegal, concluding (1) Summit Water was not eligible for the constitutional tax exemption afforded to entities that own a water distribution system providing water for irrigating lands because the water used by Summit Water's shareholders was for nonagricultural purposes, and (2) there was no double taxation of Summit Water's property. The Commission affirmed. The district court reversed in part, holding that the constitutional exemption at issue includes any artificial watering of land, including nonagricultural properties. The Supreme Court affirmed, concluding that the constitutional exemption encompasses the nonagricultural watering of lands and that no double taxation occurred.

Marilyn Hamblin, the owner of a water right, filed a permanent change application with the state engineer seeking to change her water right's place of use and point of diversion. The state engineer denied the application, declaring that Hamblin had forfeited her water right. Hamblin filed a petition for judicial review. The district court granted the state engineer's motion for summary judgment and denied Hamblin's cross-motion for summary judgment, basing its decision primarily on the determination that Hamblin's water right had been forfeited by operation of law by her nonuse. The Supreme Court reversed and remanded, holding that the state engineer lacked statutory authority to consider non-adjudicated forfeiture when making a decision to approve or reject a permanent change application.