City of Brainerd v. Brainerd Investments PartnershipCity of Brainerd v. Brainerd Investments Partnership
Lead Opinion
OPINION
This case involves a resolution by respondent City of Brainerd (“City”) to expand a road and pay for a portion of the improvement with special assessments. Appellants Roger and Elizabeth Anda, and James H. Martin, LLC (“appellants”), who own property adjacent to the road to be improved, challenge the legality of a petition for the improvement submitted by Central Lakes College (“CLC”). Appellants argue that because CLC is an instrumentality of the State of Minnesota, and the State cannot be bound by special assessments of its property, CLC is not an “owner” of property permitted to petition for an improvement under
This case arises from the City’s decision to improve College Drive from a two-lane road with a turn lane into a four-lane road with a center median (“the project”). As the City reviewed funding options, it became clear that either city taxes or special assessments would be necessary to cover a portion of the costs of the project. The Brainerd City Council (“City Council”) indicated that the owners of the land adjacent to the project would benefit from the improvement to College Drive and, therefore, could be subject to special assessments. Because appellants’ property runs adjacent to the project, it falls within the area the City Council proposed to assess.
Under Minnesota law, when a municipality adopts a resolution to fund an improvement by special assessments, the number
Because the City Council did not have a four-fifths majority, the City Engineer sent a letter to the Vice President of Administrative Services for CLC (“Vice President”) inquiring whether CLC intended to pay special assessments to fund the project. CLC owns over 39 percent of the property adjoining the project, but cannot be obligated to pay special assessments because CLC is an instrumentality of the State. See
On September 15, 2010, the City Engineer completed a feasibility report for the project. The estimated total cost of the project was $6.9 million, with an estimated cost to the City of $621,200 that was to be funded by special assessments. After the feasibility report was complete, the Vice President sent a memorandum to the City confirming CLC’s support of the project. The Vice President stated that “[t]he primary driver for this project is safety, and that is the reason why Central Lakes College is willing to pay assessments for this project.”
On November 15, 2010, CLC formally petitioned the City to reconstruct College Drive. CLC asserted that it is “the owner of not less than 35% in frontage of real property abutting” the project. The City Council validated the petition and, on December 6, 2010, resolved to pay for the project with special assessments by a 4-3 vote.
In response to the resolution, appellants initiated an injunction action. Appellants claimed that the petition was invalid and that the City Council did not pass the resolution by the required four-fifths majority.
The court of appeals affirmed. City of Brainerd,
I.
The issue in this case is whether the State of Minnesota is an “owner” of real property for the purpose of petitioning for improvements pursuant to
The interpretation of a statute is a question of law that we review de novo. Clark v. Lindquist,
We turn first to the statute under which CLC submitted the petition for the improvement to College Drive —
The parties dispute whether CLC is an “owner” for the purpose of the petition process set forth in subdivision 1(f). The statute states that “owners” of real property abutting a project may petition for an improvement.
But appellants contend that CLC cannot be an owner for the purpose of
The Legislature did not limit the petition process in
In urging a different construction, appellants look to extrinsic sources. Appellants rely on three attorney general opinions interpreting
A statute is ambiguous when it is “susceptible to more than one reasonable interpretation.” Carufel,
Finally, appellants argue that public policy supports their position that the State is not an “owner” under
In sum, under the common and ordinary meaning of “owner,” the State of Minnesota is an owner that may petition a municipality for an improvement under
Affirmed.
Notes
. The City also commenced an eminent domain proceeding pursuant to
. After appellants commenced this action, the City and CLC executed a final agreement that bound CLC to pay an assessment amount of $359,882.80. The City and CLC agreed that "the Petition represents the College's agreement to pay an assessment.”
. According to appellants, it is inconsistent with the legislative purpose to construe the language of the statute to encompass the State as an owner because such a construction would in effect permit the government to petition itself. In particular, appellants argue that such a construction is inconsistent with the legislative purpose of
. Appellants also rely on the canon of construction that “[t]he state is not bound by the passage of a law unless named therein, or unless the words of the act are so plain, clear, and unmistakable as to leave no doubt as to the intention of the legislature."
. Appellants also challenge the petition on the basis that CLC did not agree to be bound by the special assessment until four months after it submitted the petition. This challenge has no merit. CLC is the owner of more than 35 percent of the property abutting the improvement regardless of when it signed the agreement. Under the plain language of the statute, CLC was an “owner” both before and after it bound itself to pay a portion of the cost of the improvement because it has the right to possess, use, and convey the land.
Dissenting Opinion
DISSENT
(dissenting).
I respectfully dissent. It is my opinion that
I.
The plain language of
To understand the context of subdivision 1(f), we must analyze both
While Minn.Stat. ch. 429 governs the use of special assessments in most cases, Minn. Stat. ch. 435 (2012) exempts public property from the imposition of special assessments. Under the statute, when property is owned by the State or its instrumentality, “the governing body of the city or town may determine the amount that would have been assessed had the land been privately owned.”
The majority holds that when the “common and approved usage” of the term “owner” is applied,
We have repeatedly stated that “ ‘[i]t is always an unsafe way of construing a statute or contract to divide it, by a process of etymological dissection, into separate words, and then apply to each, thus separated from its context, some particular definition given by lexicographers, and then reconstruct the instrument upon the basis of these definitions.’ ” Christensen v. Dep’t of Conservation, Game & Fish,
We have often found the dictionary definition of a term inapposite in light of the statutory context. See, e.g., State v. Less-
Minnesota Statutes
Consequently, the interpretation of subdivision 1(f) applied by the majority does not make sense in context because we read a term that appears several places within a statute “the same way each time it appears.” Ratzlaf,
Interpreting the statute to include the State as an owner is also unreasonable because it creates the absurd result that the State cannot sign a petition when all of the owners abutting a proposed improvement agree, MinmStat. § 429.081, subd. 3, but can sign a petition when there is disagreement among property owners on the desirability of the proposed improvement, id., subd. 1(f). See
Therefore, I disagree with the majority’s conclusion that the plain language of the term “owner” in
II.
While I would hold that the word “owner” in MinmStat.
We first consider the circumstances under which
When the attorney general interprets a statute in a published opinion and the relevant language of the interpreted statute is transplanted into a new statute, we generally assume that the Legislature incorporated the interpretation of the attorney general. See Eelkema v. Bd. of Educ. of City of Duluth,
Second, we also consider subsequent amendments to
Finally, we also consider the mischief to be remedied by
Allowing the State to be an “owner” under the 35 percent owner rule makes those who own property adjacent to State land “powerless to prevent the improvement.” Armstrong,
The second consequence of interpreting the word “owner” to include the State is the potential unfairness of compelling private landowners “to pay practically the entire expense! ]” of an improvement for which the State petitioned. Armstrong,
While I would hold that the statute unambiguously says that the State is not an “owner” under
III.
The City failed to pass a resolution to fund the College Drive project with special assessments by the requisite four-fifths majority because the State is not an “owner” for the purpose of the 35 percent owner rule. Accordingly, I would reverse and remand to the court of appeals to give that court the opportunity to rule on the remaining issues in this consolidated appeal.
. Of course, a project that does not meet the required 35 percent threshold may still be approved by a four-fifths vote of the City Council.
Dissenting Opinion
(dissenting).