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The Park at Cross Creek v. City of Malibu
B271620
Cal. Ct. App.
Jun 21, 2017
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Background

  • In November 2014 Malibu voters adopted Measure R to limit large commercial/mixed-use developments (>20,000 sq ft) and restrict “formula retail” (chain) establishments.
  • Measure R requires the city to prepare a specific plan and report for any covered development, hold a public hearing, and submit the specific plan to voters for approval; no discretionary approvals may be taken until voter approval.
  • Measure R also subjects formula retail establishments to size/percentage limits and requires an establishment-specific conditional use permit (CUP) whose issuance and transferability depend on the identity of the chain.
  • The Park at Cross Creek, LLC and Malibu Bay Company, developers of planned projects (including a Whole Foods store), petitioned for writs to declare Measure R facially invalid; the trial court granted relief and enjoined enforcement.
  • The City of Malibu and Measure R proponents appealed; the Court of Appeal affirmed, holding Measure R exceeded the initiative power and that the CUP provisions were unlawful.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Whether Measure R’s requirement that the city prepare a project‑specific plan and submit it to voters for approval exceeds the initiative power by impermissibly imposing administrative/adjudicative procedures Measure R unlawfully converts routine discretionary, project‑by‑project administrative land‑use decisions into voter decisions, exceeding initiative power Voter requirement is legislative in nature because adoption of specific plans is a legislative act; voters may require planning before permitting Held: Invalid. Requiring a specific plan and mandatory voter approval for each covered project is an administrative usurpation of city authority and exceeds initiative power
Whether Measure R’s sequencing (planning before permitting) and voter layers are permissible Such sequencing improperly annuls or delays executive/administrative conduct and adds unlawful layers of voter approval Sequencing is a legitimate policy choice and mirrors legislative prerogative over planning Held: Invalid — the sequencing is an administrative control that unlawfully removes the city’s discretionary authority and adds impermissible voter approval layers
Whether Measure R’s CUP provisions are lawful when they depend on the particular chain (establishment‑specific) and restrict transferability Establishment‑specific CUPs improperly condition permits on the identity/character of the business or permittee rather than the land/use; CUPs must run with the land The identity of a particular chain is a relevant land use consideration and voter goal to preserve local character; CUPs can limit chains to preserve diversity Held: Invalid. CUPs that are establishment‑specific and restrict transferability are contrary to the rule that CUPs relate to land use and run with the land
Whether invalid provisions are severable so the remainder of Measure R survives Severance would preserve much of the initiative’s purposes (e.g., chain limits) Measure R contains a severability clause; the invalid parts can be excised Held: Not sufficiently severable. The voter‑approval/specific‑plan requirement is volitionally inseparable from the measure’s core purpose, and CUP defects are not fully remediable by simple edits

Key Cases Cited

  • DeVita v. County of Napa, 9 Cal.4th 763 (1995) (initiative power coextensive with legislative power but limited to legislative acts)
  • Yost v. Thomas, 36 Cal.3d 561 (1984) (approval/adoption of specific plans is legislative and subject to referendum)
  • Chandis Sec. Co. v. City of Dana Point, 52 Cal.App.4th 475 (1996) (specific plans are legislative and may be subject to the electorate)
  • Wiltshire v. Superior Court, 172 Cal.App.3d 296 (1985) (invalid to withdraw administrative permitting authority by initiative requiring voter approval for administrative permits)
  • Citizens for Jobs & the Economy v. County of Orange, 94 Cal.App.4th 1311 (2002) (invalid to add voter approval layers that alter implementing decisions and administrative process)
  • Anza Parking Corp. v. City of Burlingame, 195 Cal.App.3d 855 (1987) (CUPs must run with the land; nontransferability conditioned on permittee is improper)
  • Sounhein v. City of San Dimas, 47 Cal.App.4th 1181 (1996) (conditions attaching to the applicant rather than the property are improper for land‑use permits)
  • Citizens for Planning Responsibly v. County of San Luis Obispo, 176 Cal.App.4th 357 (2009) (distinguishing measures that set substantive policy from measures that impose administrative project‑by‑project controls)
Read the full case

Case Details

Case Name: The Park at Cross Creek v. City of Malibu
Court Name: California Court of Appeal
Date Published: Jun 21, 2017
Docket Number: B271620
Court Abbreviation: Cal. Ct. App.