131 Conn. App. 251
Conn. App. Ct.2011Background
- Ridgefield Housing Authority sought a permanent injunction prohibiting Ridgefield Water Pollution Control Authority from seeking further hookup fee payments and from collecting or refunding payments in excess of a fair and reasonable connection fee.
- PILOT statute § 8-119gg caps payments by housing authorities in lieu of taxes, assessments, and sewer charges; the PILOT agreement with Ridgefield incorporated that cap.
- Defendant imposed a $5,700 per unit hookup/connection fee to fund 14% of a sewer expansion; plaintiff paid installments and obtained occupancy certificates.
- The trial court treated the fee as an assessment, not a true connection fee, and held it subject to the PILOT cap; it ordered a refund for excess payments.
- Plaintiff argued the fee functioned as a special benefit assessment subject to the PILOT cap, making the injunction and refund proper; defendant argued the fee was a legitimate connection fee under § 7-255 not subject to the PILOT cap.
- The appellate court upheld subject matter jurisdiction and affirmed the injunction and refund order, finding the fee improperly shifted costs in contravention of PILOT provisions.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether plaintiff exhausted administrative remedies under § 7-255 | Plaintiff argues § 7-255 does not deprive court of jurisdiction and applicability depends on PILOT implications, not timing | Defendant argues plaintiff failed to exhaust under § 7-255 because the 1992 charge schedule required appeals within 21 days | § 7-255 exhaustion not required; court had jurisdiction to hear merits |
| Whether § 7-246a applies to bar the action | § 7-246a does not apply to this dispute over PILOT cap and hookup fees | § 7-246a applies to agency decisions; plaintiff did not pursue administrative appeal | § 7-246a did not deprive trial court of jurisdiction; jurisdiction proper; merits reviewed on statutory interpretation |
| Whether PILOT cap exempts plaintiff from the disputed fee and supports injunction and refund | PILOT cap exempts housing authorities from sewer charges related to capital costs; fee was effectively a special benefit assessment | Fee was a connection charge under § 7-255 not subject to PILOT cap; naming does not control outcome | PILOT agreement and § 8-119gg exempt plaintiff from the fee; injunction and refund proper |
Key Cases Cited
- Forest Walk, LLC v. Water Pollution Control Authority, 291 Conn. 271 (2009) (exhaustion of administrative remedies and scope of review for agency action)
- O & G Industries, Inc. v. Planning & Zoning Commission, 232 Conn. 419 (1995) (exhaustion of administrative remedies and subject matter jurisdiction)
- River Bend Associates, Inc. v. Water Pollution Control Authority, 262 Conn. 84 (2002) (limits of agency review and appeal procedures)
- Carpenter v. Planning & Zoning Commission, 176 Conn. 581 (1979) (independent action cannot substitute for statutory appeal)
- Cyr v. Coventry, 216 Conn. 436 (1990) (alternative funding methods for sewer projects; funding mechanisms)
- Shoreline Care Ltd. Partnership v. North Branford, 231 Conn. 344 (1994) (special benefit assessments; increase in property value)
- Bridge Street Associates v. Water Pollution Control Authority, 15 Conn.App. 140 (1988) (limits of special assessments vs. another funding method)
- Bridgeport v. New York & N.H. R. Co., 36 Conn. 255 (1869) (principles of special assessments and local improvements)
