ANCHORAGE CITIZENS FOR TAXI REFORM, Appellant, v. MUNICIPALITY OF ANCHORAGE, and Greg Moyer, Clerk, and Anchorage Taxicab Permit Owners Association, Appellees.
No. S-11453
Supreme Court of Alaska
Dec. 22, 2006
Rehearing Denied April 12, 2007
151 P.3d 418
EASTAUGH, Justice.
Karen Bretz, Anchorage, and Kenneth B. Jacobus, Kenneth P. Jacobus, P.C., Anchorage, for Anchorage Citizens for Taxi Reform. Mary B. Pinkel, Assistant Municipal Attorney, and Frederick H. Boness, Municipal Attorney, Anchorage, for Municipality of Anchorage. James T. Brennan, Hedland, Brennan & Heideman, Anchorage, for Anchorage Taxicab Permit Owners Association. Before: BRYNER, Chief Justice, MATTHEWS, EASTAUGH, FABE, and CARPENETI, Justices.
The human rights commission reported that Doyon‘s contract with the municipality imposes “restrictions on hiring convicted felons.” The record indicates that the successful applicant had pleaded no contest to a misdemeanor charge of violating a protective order and had served no time in jail but served one year of probation.
Perkins originally believed that the person hired was a felon, but conceded at his deposition that if the applicant was not a felon “[t]hen he deserved that job.” Assuming that felons are ineligible to work for Doyon, the successful applicant was not ineligible for hire because the crime was in fact only a misdemeanor.17 Cather stated in her affidavit that she made no attempt to determine whether the domestic violence conviction was a felony or a misdemeanor. Although her failure to determine whether the crime might be a felony is potentially problematic, Cather offered a plausible explanation that she did not recall seeing the reference to criminal history on his application and did not then even know what “D.V. Time Served” meant. She stated that she had since learned D.V. refers to domestic violence.
The application form asks if the applicant has a driver‘s license, but the record does not indicate, and Perkins has not suggested, any reason why a license is relevant to the kennel technician position. We assume that this question is on the Doyon application form because some positions (such as the animal enforcement officer position) involve driving. The kennel technician position involves cleaning cages and caring for animals, and there is no indication it involves driving. Cather explained that the successful applicant‘s prior work “was directly in line with the duties” he would perform for Doyon. Her description of his prior work did not indicate driving was one of the duties at his prior employment, or would be one of his duties as kennel technician.
There is no indication that a misdemeanor conviction or the lack of a driver‘s license would have diminished an applicant‘s suitability, or rendered the applicant ineligible for the kennel technician position. The fact that Doyon hired someone with a prior misdemeanor conviction and without a driver‘s license does not imply discrimination against Perkins and there was no genuine dispute of material fact with regard to the criminal record or driver‘s license.
Perkins therefore did not meet “the burden of producing admissible evidence sufficient to raise a genuine issue of fact supporting [his] theory that [Doyon‘s] reasons were merely a pretext.”18 And our independent review of the record has failed to uncover any evidence permissibly giving rise to a reasonable inference that Doyon‘s articulated reasons are pretextual.
IV. CONCLUSION
For these reasons the judgment of the superior court is AFFIRMED.
OPINION
EASTAUGH, Justice.
I. INTRODUCTION
II. FACTS AND PROCEEDINGS
In February 2002 Anchorage Citizens filed a petition for ballot initiative entitled “Initiative Petition 2002 Taxi, Limousine and Vehicle for Hire Reformation Act” with the Municipality of Anchorage‘s municipal clerk. The initiative would require the municipality to issue taxicab permits to any qualified ap
Anchorage Citizens filed a complaint in superior court seeking a declaration that the municipality and clerk Greg Moyer erred by refusing to certify the initiative and an order placing the initiative on the next municipal ballot. The Anchorage Taxicab Permit Owners Association (Owners Association) filed a motion to intervene, and the superior court granted the motion. Anchorage Citizens and the Owners Association both moved for summary judgment, and the municipality joined the Owners Association‘s motion.
In March 2003 the superior court granted summary judgment to the municipality and the Owners Association. The court concluded that the initiative would result in an appropriation of public assets, for two reasons: first, the initiative would cause an “unconstitutional taking” that would require an appropriation by the Anchorage Assembly to pay “just compensation“; and second, the initiative would give away municipally controlled resources, the permits themselves. After entry of final judgment, the court clerk ordered Anchorage Citizens to pay the Owners Association‘s litigation costs in the amount of $3,292.39. The Owners Association then moved for attorney‘s fees. The superior court denied the motion, finding that Anchorage Citizens was a public interest litigant, but affirmed the award of costs against Anchorage Citizens.
Anchorage Citizens appeals the court‘s grant of summary judgment to the municipality and the cost order. The Owners Association and the municipality argue that even if the initiative is constitutionally valid, the initiative is stale. The Owners Association also argues that relief should be denied under the doctrine of laches.
III. DISCUSSION
Anchorage Citizens contends that the superior court erred in concluding that the initiative would make an appropriation. Anchorage Citizens argues that taxicab permits are not “public assets” that would be appropriated by the initiative. Anchorage Citizens also argues that this court does not need to decide whether the permits are property the taking of which would require just compensation. As to the latter argument, any constitutional takings discussion here would be premature and could unduly affect the initiative process.2 Thus, the main ques
A. Standard of Review
We review a superior court‘s grant of summary judgment de novo and affirm if the moving party is entitled to judgment as a matter of law.3 We draw all factual inferences in favor of, and view the facts in the light most favorable to, the non-prevailing party.4 We review questions of law, including the constitutionality of a ballot initiative, using our independent judgment, adopting the rule of law that is most persuasive in light of precedent, reason, and policy.5 In matters involving initiatives, we “construe voter initiatives broadly so as to preserve them whenever possible. However, initiatives touching upon the allocation of public revenues and assets require careful consideration because the constitutional right of direct legislation is limited by the
B. The Initiative Would Not Appropriate Municipal Assets.
Three classes of taxicab permits currently exist in Anchorage: “transferable general taxicab permits,” “limited taxicab permits,” and “non-transferable taxicab permits.”23 Transferable general permits may be transferred, leased, sold, or encumbered with security interests with the approval of the Anchorage Transportation Commission (commission).24 There are currently 158 transferable general permits. These permits have recently been valued for as much as $125,000 each. Limited and non-transferable permits may not be sold.25 The municipal code provides that the commission must issue additional limited or non-transferable permits if “public convenience and necessity would be best served by the issuance of one or more additional . . . permits.”26 The municipality claims, and Anchorage Citizens does not contest, that since 1994, the municipality has issued four non-transferable permits and no limited permits. The non-transferable permits were issued at public auction; each one sold for an amount between approximately $30,000 to $45,000.
The municipality argues that taxicab permits are “municipally controlled resources and thus public assets.” It analogizes this initiative to the one we deemed unconstitutional in Pullen v. Ulmer,27 and suggests that the revenue-raising aspect of the taxicab permitting system makes the permits themselves municipal assets. The municipality does not, however, argue that an initiative that affects the municipality‘s power to permit would be an appropriation.28 We therefore only consider whether the permits themselves—at the moment they are transferred
In Pullen, we considered a proposed initiative that would have given subsistence, personal use, and sport fisheries priority over commercial fisheries to harvest salmon.29 We held that the initiative would make an appropriation because (a) salmon are public assets; and (b) the initiative reduced the government‘s discretion over the fisheries and appealed to the self-interest of sport, personal, and subsistence fishers.30 Although we noted that the state does not “own” salmon in the same way it owns land or other assets, we advanced two reasons why salmon are nonetheless public assets.31 First, the state benefits financially from the collection of taxes imposed on businesses involved in the fishing industry and from license fees imposed on sport, personal use, and commercial fishers.32 Alaska‘s economy and revenue base depend on the health of the salmon fisheries.33 And second, we noted that the public trust responsibility, imposed by article VIII of the Alaska Constitution, to take care of fish, wildlife, and water resources of the state, gives the state “property-like interests” in salmon.34 We concluded that “naturally occurring salmon are, like other state natural resources, state assets belonging to the state which controls them for the benefit of all its people.”35
Taxicab permits are not public assets. Unlike a license to fish, or a permit to extract mineral resources, a taxicab permit does not authorize the holder to take a public resource. The underlying things of value—the fares to be paid by taxicab riders—do not belong to the municipality. Moreover, it appears that taxicab permits are not issued to raise money for the municipality, but to serve a regulatory function. The code states that “public convenience and necessity” shall determine whether the municipality should issue additional permits.36 The fact that the municipality has issued only four permits since 1994 confirms that the permits are issued primarily as a public welfare and safety measure, not for revenue-raising purposes. Even though the purchasers of the four permits at auction paid as much as $45,000 for a permit, the total amount raised by selling the four permits is not significant. We assume that if the municipality intended revenue to be a major purpose for issuing taxicab permits, it would have sold more than four permits since 1994. Because issuing the permits served a regulatory rather than a revenue-raising function, and because the municipality does not own the underlying resource the permits authorize holders to take, we conclude that taxicab permits are not public assets.37
C. The Initiative Is Not Stale.
The municipality and the Owners Association argue that because so much time has passed since the petition was initially signed, the signers of the petition are no longer “qualified voters” as required by the charter. The charter requires that an initiative petition “be signed by a number of qualified voters equal to at least ten percent of the voters who cast ballots at the last regular mayoral election.”38 An initiative must be “submitted to the voters at the next regular election held at least 45 days after certification of the petition.”39 The code defines “qualified voter” as one who “at the moment he signs a petition for initiative or referendum, is legally entitled to vote and who, by virtue of a current, valid residence address, is registered to vote in state and Anchorage
We agree with the municipality that the municipal code expresses the intent that “the voters who have signed a petition are, to the extent possible, the same voters who will vote on it.” (Emphasis added.) But this proposition does not require exact congruence between the signers and the registered voters. And the Owners Association has failed to show that any substantial discrepancy actually exists. Only four years have passed since the clerk refused to certify the initiative. And Anchorage Citizens has been seeking relief during this time period, as expressly allowed in the municipal code, through the judicial system.42
Moreover, we have previously explained that “[b]ecause the
The municipality and the Owners Association also urge us to adopt the position taken by the California Supreme Court in Gage v. Jordan, 23 Cal. 2d 794, 147 P.2d 387 (1944), which held that an initiative measure that failed because it lacked the requisite number of signatures could not be automatically revitalized two years later by a subsequent decrease in the number of signatures required for certification.46 But Gage is distinguishable because the initiative sponsors here did not let the petition “lay dormant” as the petitioners did in Gage.47 Instead, Anchorage Citizens timely sought certification of its petition for initiative and upon the clerk‘s rejection, promptly filed a complaint in superior court. We therefore conclude that the initiative is not stale.
We also reject the Owners Association‘s laches argument. Laches operates to bar a claim when a court finds one party caused unreasonable delay in seeking relief that resulted in prejudice to the other party.48 A review of the record reveals that all three of the parties filed, and were granted, numerous requests for extensions of time with the superior court. And contrary to the Owners Association‘s suggestion, Anchorage Citizens, as the losing party below, had no obligation to seek a final, appealable judg
D. Costs May Not Be Awarded Against Anchorage Citizens.
The superior court found that Anchorage Citizens is a public interest litigant but affirmed the court clerk‘s award of litigation costs to the Owners Association against Anchorage Citizens. Anchorage Citizens argues that it was error to award costs against it. The municipality and the Owners Association do not contest the superior court‘s decision concerning Anchorage Citizens‘s public interest litigant status, nor do they address whether the superior court permissibly awarded costs to the Owners Association after it found that Anchorage Citizens is a public interest litigant. Because we reverse the judgment below, the Owners Association is no longer the prevailing party. We therefore vacate the cost award. We note, however, that public interest litigants do not have to pay the opposing party‘s costs or attorney‘s fees.51 Because it is undisputed that Anchorage Citizens is a public interest litigant, litigation costs should not have been awarded against it even when it was not the prevailing party in the superior court.
Because it is now the prevailing party, Anchorage Citizens may seek prevailing party fees and costs on remand.
IV. CONCLUSION
Because the taxicab initiative does not violate the article XI, section 7 limitation on appropriation by initiative, we REVERSE the judgment below. We also VACATE the award of costs against Anchorage Citizens. We REMAND for entry of an amended judgment ordering the municipality to certify the initiative and present it to the voters at the next municipal election.
The Proposition: Shall the charter be amended to add the following sections to Article XVII:
Section 17.14 Regulated vehicle permits The Municipality shall issue a non-transferable general taxicab permit to any qualified applicant. The fees paid for issuance or annual renewal of taxicab, limousine, or vehicle for hire permits shall be uniform. Issuance or annual renewal fees required for any of the aforementioned permits shall be equivalent and set to cover real administrative costs of issuing and filing them only and not set so as to be a substantial barrier to entry. The exception to this act shall be that no fees shall be levied on taxicab permits for vehicles that are fully wheelchair accessible.
Section 17.15 Regulated vehicle rates and terms of service The Municipality is hereby prohibited from establishing rates for limousine or executive sedan service. Any vehicle dispatch service licensed by the Municipality shall be allowed to dispatch any vehicle.
CARPENETI, Justice, dissenting.
CARPENETI, J., dissenting.
I dissent from today‘s opinion because I believe it mischaracterizes the nature of the asset at issue in this case and therefore misapplies our case law on appropriative initiatives, especially our decision in Pullen v. Ulmer.1 Taxicab permits allow commercial operators to use a costly and important public resource—the public roads—for private gain. As such, they give direct access to a valuable and limited public resource to those who receive them. This situation is legally indistinguishable from the permits at issue in Pullen. Our decision in that case should control the outcome here.
In Pullen we invalidated an initiative that would have directed the state to favor non-commercial over commercial users of salmon in issuing fishing permits. We acknowledged that “the state does not own wildlife in precisely the same way that it owns ordinary property” but we characterized the true question as being “whether the state‘s interest in wildlife is such that it can appropriately be characterized as state property subject to appropriation.”2 We found that it was, noting that a precipitous decline in wildlife would affect the state in a “significant” manner.3 Just as the people of Alaska have an interest in fairly allocating the limited wildlife resources of our state, so do the people of Anchorage have an interest in fairly allocat
Today‘s opinion distinguishes Pullen on the basis that “[u]nlike a license to fish, or a permit to extract mineral resources, a taxicab permit does not authorize the holder to take a public resource. The underlying things of value—the fares to be paid by taxicab riders—do not belong to the municipality.” But the thing of value here is not the right to collect fares—it is the right to use the public roads, a costly and important public resource, for commercial purposes, here including the solicitation of business.4 A taxicab permit holder has been given a specific franchise which is no less an asset than is a license to catch fish.5
Today‘s opinion also argues that the initiative cannot constitute an appropriation because “taxicab permits are not issued to raise money for the municipality, but to serve a regulatory function.” This conclusion creates a false dichotomy. Both purposes are present, as evidenced by the Anchorage Municipal Code‘s treatment of taxicab permits. The code requires the municipality to consider “public convenience and necessity” in the granting of permits,6 and it requires that new permits be sold at “public auction”7 to the “highest qualified bidder.”8 Consideration of the public convenience and necessity serves the regulatory function, while the requirements that the permits be sold at public auction to the highest bidder serve the revenue-raising function. Moreover, $45,000 per permit is a significant amount of money and the total amount raised through sales of permits—approximately $160,0009—cannot accurately be characterized, as today‘s opinion does, as “not significant.” We have previously characterized lesser amounts as “significant”10 and “substantial.”11 That the municipality has issued only a limited number since 1994 does not suggest, as today‘s opinion “assume[s],” that revenue-raising is not a purpose of the code; rather, it suggests that the municipality has carefully balanced two non-exclusive purposes, regulation and revenue-raising.
Finally, today‘s opinion authorizes a “give-away program” no less than the initiatives found unconstitutional in Pullen and Alaska Action Center.12 Rather than limiting the number of licenses as required by the public convenience and necessity, the initiative requires that a license be issued “to any qualified applicant.”13 And, rather than requiring that the license go to “the highest qualified bidder”14 at “public auction,”15 the proposed initiative would require that the license fee be limited to administrative costs,16 approximately $825, rather than the market value of approximately $45,000.
Nos. S-11733, S-11763.
Supreme Court of Alaska.
Dec. 22, 2006.
