City of Broken Arrow v. Bass Pro Outdoor World, L.L.C.
2011 OK 1
| Okla. | 2011Background
- Stone Wood Hills BP leased property to Bass Pro for a Bass Pro store in Broken Arrow, funded by a $20.3 million construction loan from Bank of America.
- City of Broken Arrow approved Resolution No. 379, accepting the lease assignment, debt assumption, and property transfer for the Bass Pro project.
- Sales Tax Pledge Agreement pledged city sales tax revenues to Bank of America for debt service, renewals auto-renewed year-to-year on July 1 each year.
- Taxpayer filed a qui tam demand alleging Open Meeting Act violations, Competitive Bidding Act violations, anti-fraud statutes, and fraud in connection with the project.
- City sought declaratory judgment that its actions were lawful, arguing no constitutional violations and compliance with statutes.
- Taxpayer sought intervention; trial court denied intervention and granted summary judgment for the City; appellate court affirmed.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether Taxpayer may intervene in the declaratory judgment action | Taxpayer alleges City failed to present a justiciable controversy and actions were unlawful. | City contends it fairly presented the controversy and intervention is unwarranted. | Intervention denied; City fairly presented claims and controversy. |
| Whether the City diligently presented the controversy for adjudication | Taxpayer argues insufficient factual grounds and concealment undermine diligence. | City provided agendas, affidavits, and exhibits supporting lawfulness. | City fairly presented the claims; diligence satisfied. |
| Whether the qui tam allegations raised a justiciable constitutional/statutory claim | Taxpayer contends Open Meeting Act, Competitive Bidding Act, and constitutional provisions were violated. | City argues compliance and that arguments are conclusory or unfounded. | Justiciable issues presented; nonetheless intervention affirmed denial. |
| Effect of statutory defenses and limitations on intervention | Taxpayer challenges timeliness and applicability of limitations to intervention. | City argues limitations bar merits; City moved for summary judgment on lawfulness. | Limitations issue not reversed; intervention denial stands. |
Key Cases Cited
- State ex rel. Wright v. Oklahoma Corporation Commission, 170 P.3d 1024 (2007 OK 73) (diligence in presenting facts; intervene when petition insufficient)
- Tal v. City of Oklahoma City (Tal I), 988 P.2d 901 (1999 OK 71) (distinguishes conclusory vs. material facts for intervention)
- State ex rel. Moshe Tal v. City of Oklahoma City (Tal IV), 61 P.3d 234 (2002 OK 97) (intervention standards in public controversy)
- McPherson v. Oklahoma Corporation Commission, 232 P.3d 458 (2010 OK 31) (good faith and diligence in presenting the controversy)
- Wyatt-Doyle & Butler Engineers, Inc. v. City of Eufaula, 13 P.3d 474 (2000 OK 74) (Art. 10, § 26 and fiscal year limitations on obligations)
- In re Application of the Oklahoma Development Finance Authority, 94 P.3d 87 (2004 OK 51) (multiyear financing obligations and year-to-year pledges)
