COMMITTEE OF SEVEN THOUSAND et al., Petitioners, v. THE SUPERIOR COURT OF ORANGE COUNTY, Respondent; CITY OF IRVINE et al., Real Parties in Interest.
L.A. No. 32181
Supreme Court of California
May 31, 1988
45 Cal. 3d 491
Frederic D. Woocher, Carlyle W. Hall, Jr., and Lisa Foster for Petitioners.
No appearance for Respondent.
Roger A. Grable, Heather A. Mahood, Rutan & Tucker, Alvin S. Kaufer, Robert D. Thornton, Peter C. Hoffman, Nossaman, Guthner, Knox & Elliot and James E. Erickson for Real Parties in Interest.
Adrian Kuyper, County Counsel (Orange), Gene Axelrod, Deputy County Counsel, Don V. Collin, Parker & Covert, Clayton H. Parker, Wendy H. Wiles, Rourke & Woodruff, Kennard R. Smart, Jr., Lois E. Jeffrey, Thomas F. Nixon, Paone, Genovese, Callahan, McHolm & Winton and Tim Paone as Amici Curiae on behalf of Real Parties in Interest.
OPINION
KAUFMAN, J.—We granted review in this case to consider whether
I. FACTS AND PROCEDURAL HISTORY
In the late 1970‘s three new “transportation corridors” were proposed for construction in Orange County. Designated the San Joaquin Hills, Eastern,
In April 1984, the Orange County Board of Supervisors requested the Orange County Transportation Commission to serve as a facilitator in efforts to have 11 Orange County cities join in a partnership to build the corridors.1 The Orange County Transportation Commission explored two methods for raising the needed funds. The first method, which would have provided funds for other transportation improvements as well as the corridors, called for increasing the sales tax by 1 percent for a period of 15 years (see
Proponents of the corridors then focused their attention on the other proposed funding plan—the imposition of fees on new development—which had been under study for at least two years.
On October 3, 1984, the Orange County Board of Supervisors adopted a MT&BF program and established areas of benefit for the corridors in the unincorporated areas of the county. The county began collecting fees under its program in November 1984. The county also drafted joint powers agreements, under which construction of the corridors is to be administered by two joint powers agencies—the Foothill/Eastern Transportation Corridor Agency and the San Joaquin Hills Transportation Corridor Agency—consisting of those entities which have instituted fee programs. (See
Under the joint powers agreements, all fees collected under the MT&BF programs for the corridors are to be remitted to the joint powers agencies. The MT&BF programs have been designed to raise approximately 48 percent of the total cost of constructing the corridors, with the balance to be sought from existing state and federal programs.
The City of Irvine is a charter city within the County of Orange and was reportedly the fastest growing city in the state at the time of the litigation below. Each of the three corridors would pass through or be adjacent to Irvine, which is therefore eligible for membership in both joint powers agencies. Assuming that all eligible entities joined the agencies, it has been estimated that Irvine would contribute approximately 25 percent of the fees collected for the corridors (or roughly 12 percent of the total cost).
In September 1984, Irvine‘s city council adopted several policy statements supporting imposition of development fees to finance construction of the corridors, and in February 1985 it conditionally approved Irvine‘s participation in the MT&BF program. The mayor executed two memoranda of understanding stating that the corridors were “regional in nature and must be planned, financed, and constructed as a cooperative effort by cities, the County of Orange, [and] the state and federal governments . . . .”
On June 24, 1985, the initiative petition was filed with Irvine‘s city clerk, who thereafter certified to the city council that the petition contained the verified signatures of 8,701 registered voters (19 percent of the total), thus qualifying for the ballot.3
On July 26, 1985, an action for writ of mandate was commenced to prohibit Irvine‘s city clerk and city council from placing the initiative on the ballot. (Munsell et al. v. City of Irvine (Super. Ct. Orange County, No. 46-47-20).) The petitioners in that action include two individuals who are residents and taxpayers of the City of Irvine. The other petitioners (all corporations with members who are companies and individuals paying taxes to and owning businesses in the City of Irvine) are the Building Industry Association of Southern California, Inc., Orange County Region; the Irvine Chamber of Commerce; the Industrial League of Orange County; and the Orange County Chamber of Commerce. These petitioners (hereafter collectively the initiative opponents or opponents) contend that the initiative is invalid and beyond the power of the electorate to enact because it would interfere with essential governmental functions by restricting the taxing and revenue-raising authority of the city, because it addresses a matter of statewide concern as to which the Legislature has delegated discretionary authority to the city council alone, because it attempts to be
In August 1985, the superior court granted the peremptory writ commanding Irvine‘s city council and city clerk to refuse to adopt the initiative, to refuse to submit it to the voters of the city, and to refrain from expending any public funds or otherwise acting to implement or to place the initiative on the ballot.
The present action was commenced in October 1985 by the filing of a petition for writ of mandate in the Court of Appeal4 asking that court to (1) command the superior court to vacate its peremptory writ, and (2) command the city council either to adopt the ordinance or to place it on the ballot at a special election pursuant to
While the case was pending before the Court of Appeal, Irvine‘s city council gave first reading6 to an ordinance adopting a MT&BF program for the purpose of financing the corridors. The city council also passed a resolution designating areas of benefit for the corridors and providing in essence that a fee be imposed as a condition of issuance of a building permit for construction within the areas of benefit, the fee to be used to defray the cost of constructing the corridors.
The Court of Appeal denied COST‘s application for a stay of any action by Irvine‘s city council to enact a fee assessment ordinance or to otherwise
The Court of Appeal ultimately denied the petition for writ of mandate, thereby upholding the superior court‘s ruling. The Court of Appeal concluded that the ordinance proposed by the initiative is invalid because it conflicts with
Briefs on the merits have been filed in this court by COST and by the initiative opponents. Amicus curiae briefs in support of the position of the opponents have been filed by the County of Orange, the Orange County Transportation Commission, the California Building Industry Association, the Foothill/Eastern Transportation Corridor Agency, the San Joaquin Hills Transportation Corridor Agency, and two members of Irvine‘s city council. The other three members of Irvine‘s city council have filed a brief in support of COST.
II. THE INITIATIVE CONFLICTS WITH SECTION 66484.3
The Court of Appeal held that the initiative is invalid because it conflicts with state law on a matter of statewide concern. COST concedes the validity of the principle—i.e., “legislation in an area of statewide concern preempts conflicting regulation by a charter city” (The Pines v. City of Santa Monica (1981) 29 Cal.3d 656, 659 [175 Cal.Rptr. 336, 630 P.2d 521])—but maintains it has no application here because the initiative neither conflicts with state law nor touches on a matter of statewide concern.
A. The Statutory Language.
Our primary aim in construing any law is to determine the legislative intent. (Metromedia, Inc. v. City of San Diego (1982) 32 Cal.3d 180, 187 [185 Cal.Rptr. 260, 649 P.2d 902].) In doing so we look first to the words of the statute, giving them their usual and ordinary meaning. (Young v. Haines (1986) 41 Cal.3d 883, 897 [226 Cal.Rptr. 547, 718 P.2d 909]; People ex rel. Younger v. Superior Court (1976) 16 Cal.3d 30, 43 [127 Cal.Rptr. 122, 544 P.2d 1322].)
As originally enacted,7
Over the years this court has struggled with the question whether a statutory reference to action by a local legislative body indicates a legislative intent to preclude action on the same subject by the electorate. A review of these decisions supports the conclusion that while such references are generally not conclusive as to legislative intent, they do support an inference that the intent was to preclude action by initiative or referendum. Review of the case law further suggests that the strength of the inference varies according to the precise language used in the statute, a reference using generic language such as “governing body” or “legislative body” supporting a weaker inference than a specific reference to boards of supervisors and city councils. A third conclusion to be drawn is that an intent to exclude ballot measures is more readily inferred if the statute addresses a matter of statewide concern rather than a purely municipal affair.
Our review of the decisions of this court begins with Riedman v. Brison (1933) 217 Cal. 383 [18 P.2d 947], in which we held invalid a proposed initiative which would have required a city council to call an election to determine whether a charter city should withdraw from a regional water district. Under the Metropolitan Water District Act (Stats. 1927, ch. 429, p. 694), the decision to join or withdraw from a water district was conferred
In Simpson v. Hite (1950) 36 Cal.2d 125 [222 P.2d 225], we construed legislation placing on the “board of supervisors” the duty of providing suitable quarters for the municipal and superior courts. We concluded that this legislation conflicted with and rendered invalid a proposed initiative that would have repealed a resolution designating a site for court buildings.
In Blotter v. Farrell (1954) 42 Cal.2d 804 [270 P.2d 481], a city council refused to act on an initiative calling for a special election to change councilmanic district boundaries. At the time,
Three years later, in Geiger v. Board of Supervisors (1957) 48 Cal.2d 832 [313 P.2d 545], we considered the language of
Blotter and Geiger are not irreconcilable. In Blotter the statute at issue dealt with alteration of councilmanic district boundaries, a municipal affair, and the statute used only a generic reference to the “legislative body.” Moreover, the legislative scheme required a vote of the electorate to establish a district system, thus reflecting a legislative determination that direct voter participation in such matters was appropriate. In Geiger, on the other hand, the Legislature had used the more specific reference to the “board of supervisors.” While the statute at issue in Geiger also dealt with a purely local matter, the inference that the Legislature intended to exclude voter participation was supported by the provisions of our state Constitution (former art. IV, § 1; see now, art. II, § 9) barring the referendum on “tax levies or appropriations for the usual current expenses of the State.” (See Hunt v. Mayor & Council of Riverside (1948) 31 Cal.2d 619, 623-624 [191 P.2d 426].) These differences in statutory language and subject matter help to explain the results reached in the respective cases.
Most recently, in Building Industry Assn. v. City of Camarillo (1986) 41 Cal.3d 810 [226 Cal.Rptr. 81, 718 P.2d 68], we interpreted the provisions of
Concluding that
We have also reviewed Court of Appeal decisions but have found none in which statutory use of specific references to a “city council” or “board of supervisors” was considered. When construing statutes containing generic references, such as “legislative body” or “governing body,” the Courts of Appeal have generally permitted exercise of the initiative and referendum when the subject matter was of purely local concern (e.g., Atlas Hotels, Inc. v. Acker (1964) 230 Cal.App.2d 658 [41 Cal.Rptr. 231] [levy of a transient room tax]; Reagan v. City of Sausalito (1962) 210 Cal.App.2d 618 [26 Cal.Rptr. 775] [acquisition and improvement of land for use as playgrounds and parks]; Osborn v. Board of Supervisors (1915) 27 Cal.App. 85 [148 P. 970] [division of county into townships for purposes of electing justices of the peace]) but not when the statute dealt with a matter of statewide concern (e.g., Walker v. City of Salinas (1976) 56 Cal.App.3d 711 [128 Cal.Rptr. 832] [Community Redevelopment Law]; Mervynne v. Acker (1961) 189 Cal.App.2d 558 [11 Cal.Rptr. 340] [traffic regulation]). Significantly, however, no Court of Appeal decision has been found upholding an initiative or referendum seeking to exercise or annul exercise of a delegated power relating to a matter of statewide concern where the delegating statute contained even a generic reference.
As COST observes, many powers conferred by statute on the “legislative body” of a local entity have been held to be subject to initiative and referendum. For example, ballot measures may be used to enact or amend zoning ordinances despite the language of
Our review of the relevant case law leads us to conclude that the Legislature‘s use of the terms “board of supervisors” and “city council” in
B. Municipal Affairs and Statewide Concerns.
Because, as we have seen, this is an important factor in ascertaining legislative intent, we consider next whether
A charter city such as Irvine is authorized by the state Constitution to “make and enforce all ordinances and regulations in respect to municipal affairs.” (
We have recognized that no exact definition of the term “municipal affairs” can be formulated, and that what constitutes a municipal affair or matter of statewide concern may change over time in response to changing conditions in society. (Bishop v. City of San Jose, supra, 1 Cal.3d 56, 62-63.) In general, “municipal action which affects persons outside of the municipality becomes to that extent a matter which the state is empowered to prohibit or regulate. . . .” (Metromedia, Inc. v. City of San Diego (1980) 26 Cal.3d 848, 879 [164 Cal.Rptr. 510, 610 P.2d 407]. See also, Baggett v. Gates, supra, 32 Cal.3d 128, 139-140; CEEED v. California Coastal Zone Conservation Com. (1974) 43 Cal.App.3d 306, 321 [118 Cal.Rptr. 315].)
The statewide importance of
While the statute does not itself establish a regional mechanism for planning and constructing major highways, such as the formation of joint powers agencies, the use of such mechanisms is necessarily implied from the nature of the facilities themselves, since it would be practically impossible for any one or more cities acting independently to plan and build efficient additions to a regional highway system. (See City of Santa Clara v. Von Raesfeld (1970) 3 Cal.3d 239, 247 [90 Cal.Rptr. 8, 474 P.2d 976].) In short, the projects contemplated by
COST argues that construction of the corridors cannot truly be a matter of statewide concern because the Legislature has not required but
We conclude that
C. Other Indicia of Legislative Intent.
The construction of the statute as a delegation of authority to city councils is supported not only by the language of
COST argues that the available legislative history rebuts the inference that the Legislature attached significance to the specific references to the board of supervisors and the city councils. These references were not present when the legislation was first introduced in the form of an amendment
While legislative committee reports are legitimate and valuable aids in determining legislative intent (Curtis v. County of Los Angeles (1985) 172 Cal.App.3d 1243, 1250 [218 Cal.Rptr. 772]), they are certainly not conclusive (see San Mateo City School Dist. v. Public Employment Relations Bd. (1983) 33 Cal.3d 850, 863 [191 Cal.Rptr. 800, 663 P.2d 523]), and omissions in such reports are inherently less reliable indicia of intent than positive statements. Here the weak inference which might possibly be drawn from the omission in the committee reports is insufficient to overcome the other factors previously discussed.
Finally, COST argues that we should not infer a legislative intent to exclude action by the electorate because the Legislature could have no legitimate reason for imposing this restriction. As stated, the purpose of the legislation was to facilitate action at the local level to deal with an urgent regional transportation problem. Permitting operation of the initiative and referendum powers would make enactment of the contemplated local legislation more difficult and time-consuming. (See Hunt v. Mayor & Council of Riverside, supra, 31 Cal.2d at p. 629 [recognizing “the uncertainty and delay of referendum proceedings.“].) Also, the county supervisors and city council members deal constantly with planning matters and regional concerns and thus should more readily and thoroughly understand the underlying issues. Being themselves elected officials, county supervisors and city council members can be expected to make decisions reflecting both their own acquired expertise and the sentiments of their constituents.
Having reviewed the language, subject matter, and history of the statute, and other pertinent matters suggested by the parties, we conclude that in enacting
III. SECTION 66484.3 DOES NOT VIOLATE THE HOME RULE OR INITIATIVE PROVISIONS OF THE STATE CONSTITUTION
COST contends that
As already noted, the home rule powers of charter cities extend only to municipal affairs and we have concluded that
Implicit in this argument is the assertion that state legislation on matters of statewide concern may prevail over local enactments only to the extent the state law does not invade the sphere of municipal affairs. We have repeatedly rejected this proposition: “If a state statute affects a municipal affair only incidentally in the accomplishment of a proper objective of state-wide concern, then the state law applies to charter cities.” (Wilson v. Walters (1941) 19 Cal.2d 111, 119 [119 P.2d 340]; accord, Baggett v. Gates, supra, 32 Cal.3d 128, 139; Professional Fire Fighters, Inc. v. City of Los Angeles (1963) 60 Cal.2d 276, 292 [32 Cal.Rptr. 830, 384 P.2d 158]; Polk v. City of Los Angeles (1945) 26 Cal.2d 519, 541 [159 P.2d 931]; Dept. of Water & Power v. Inyo Chem. Co. (1940) 16 Cal.2d 744, 754 [108 P.2d 410].)
Next COST contends that
In Associated Home Builders we held that the notice and hearing provisions prescribed by state law for enactment of municipal zoning and land use ordinances in general law cities “govern only ordinances enacted by city council action and do not limit the power of municipal electors, reserved to them by the state Constitution, to enact legislation by initiative.” (Associated Home Builders, supra, 18 Cal.3d at p. 588.) This holding flowed directly from our conclusion that “the Legislature never intended the notice and hearing requirements of the zoning law to apply to the enactment of zoning initiatives.” (Id. at p. 594.)
COST relies primarily on the following language: “The 1911 constitutional amendment, in reserving the right of initiative on behalf of municipal voters, stated that ‘This section is self-executing, but legislation may be enacted to facilitate its operation, but in no way limiting or restricting either the provisions of this section or the powers herein reserved.’ (Former Cal.
The subject matter at issue in Associated Home Builders—municipal zoning and land use regulations—was a municipal affair and our comments in that case must be read in that context. In matters of statewide concern, the state may if it chooses preempt the entire field to the exclusion of all local control. If the state chooses instead to grant some measure of local control and autonomy, it has authority to impose procedural restrictions on the exercise of the power granted, including the authority to bar the exercise of the initiative and referendum. (See Riedman v. Brison, supra, 217 Cal. 383, 387; Ferrini v. City of San Luis Obispo (1983) 150 Cal.App.3d 239, 246-248 [197 Cal.Rptr. 694]; Mervynne v. Acker, supra, 189 Cal.App.2d 558, 562.)
In explaining why the Legislature may bar local initiatives in matters of statewide concern, courts have sometimes resorted to an awkward and confusing characterization of the delegated power as “administrative.” Thus it has been said that when a local legislative body acts pursuant to a power delegated to it by state law, “the action receives an ‘administrative’ characterization, hence is outside the scope of the initiative and referendum.” (Hughes v. City of Lincoln (1965) 232 Cal.App.2d 741, 745 [43 Cal.Rptr. 306]; see also, Merriman v. Board of Supervisors (1983) 138 Cal.App.3d 889, 892 [188 Cal.Rptr. 343]; Friends of Mount Diablo v. County of Contra Costa (1977) 72 Cal.App.3d 1006, 1011 [139 Cal.Rptr. 469]; Walker v. City of Salinas, supra, 56 Cal.App.3d 711, 716.) Courts using this approach have also stated, however, that this test for determining the scope of the initiative and referendum powers at the local level is in addition to the usual test for determining whether a measure is administrative or legislative (Hughes v. City of Lincoln, supra, at pp. 744-745) and that acts are deemed administrative for purposes of this test “which, in a purely local context, would otherwise be legislative . . . .” (Yost v. Thomas, supra, 36 Cal.3d 561, 570.)
This use of an administrative characterization for delegated powers is an unnecessary fiction. The state‘s plenary power over matters of statewide
COST makes a related argument, based on a footnote in Associated Home Builders, supra, 18 Cal.3d 582. In that footnote we disapproved language in certain decisions asserting that general law cities could not adopt zoning ordinances by initiative and in so doing we expressly distinguished “those decisions which bar the use of the initiative and referendum in a situation in which the state‘s system of regulation over a matter of statewide concern is so pervasive as to convert the local legislative body into an administrative agent of the state.” (Id. at p. 596, fn. 14.)
Relying on this language, COST argues that the initiative is barred as to matters of statewide concern only when the state has preempted the field in question by enacting a pervasive system of regulation. We conclude that COST has misread the language in question.
The existence of a pervasive system of regulation is significant as evidence of a legislative intent to delegate exclusively to a local legislative body and as evidence that the matter is indeed one of statewide concern but it is not a prerequisite to the validity of the exclusive delegation. Where the legislative intent to delegate exclusively is otherwise clear, and the legislation addresses a matter of statewide concern, the absence of a pervasive system of regulation is of no consequence.
We conclude, accordingly, that
IV. CONCLUSION
In enacting
The judgment of the Court of Appeal denying the petition for writ of mandate is affirmed.
MOSK, J.—I dissent.
” ‘[I]t has long been our judicial policy to apply a liberal construction to [the initiative] power wherever it is challenged in order that the right be not improperly annulled. If doubts can reasonably be resolved in favor of the use of this reserve power, courts will preserve it.’ ” (Associated Home Builders etc., Inc. v. City of Livermore (1976) 18 Cal.3d 582, 591 [135 Cal.Rptr. 41, 557 P.2d 473, 92 A.L.R.3d 1038]; see Hunt v. Mayor & Council of Riverside (1948) 31 Cal.2d 619, 628 [191 P.2d 426].) The majority make no attempt to resolve doubts in accordance with this important policy; instead of jealously guarding ” ‘one of the most precious rights of our democratic process’ ” (Associated Home Builders, supra, 18 Cal.3d at p. 591), they appear to seek doubts they can resolve against the initiative power.
The majority‘s analytical methods are in error. Instead of applying the well-established tests for determining the validity of a proposed local initiative (see, e.g., Yost v. Thomas (1984) 36 Cal.3d 561, 569-570 [205 Cal.Rptr. 801, 685 P.2d 1152]; Arnel Development Co. v. City of Costa Mesa (1980) 28 Cal.3d 511, 521 [169 Cal.Rptr. 904, 620 P.2d 565]; Associated Home Builders, supra, 18 Cal.3d at p. 596, fn. 14; Simpson v. Hite (1950) 36 Cal.2d 125, 129 [222 P.2d 225]; Housing Authority v. Superior Court (1950) 35 Cal.2d 550, 557), the majority assert that the “first point to be determined” is whether Government Code section 66484.3 (hereafter “section 66484.3“) can be construed in such a way as to preempt the proposed initiative. (Ante, p. 501.) Having thus set their course, they proceed to find such a construction; only then do they reach the applicable standards, which—citing no authority—they summarily cast aside as “unnecessary fiction.” (Ante, p. 501.)
However, we have long recognized that “the efficiency necessary to the successful administration of the business affairs of a city” (Hopping v. Council of City of Richmond (1915) 170 Cal. 605, 611 [150 P. 977]) requires that the general rule apply only to the local body‘s legislative acts, and not to those which are merely administrative. (Yost v. Thomas, supra, 36 Cal.3d at pp. 569-570.) The majority find this longstanding distinction “awkward and confusing” (ante, p. 511); I do not.
When, as here, a local proposal deals with a subject affected by state law, the test is simple: an act is administrative if it “deals with a subject which is ‘one of statewide concern in which the Legislature has delegated decision-making power, not to the local electors, but to the local council or board as the state‘s designated agent for local implementation of state policy.’ ” (Merriman v. Board of Supervisors (1983) 138 Cal.App.3d 889, 892 [188 Cal.Rptr. 343], italics added.) Stated another way, an act is deemed administrative when the “state has acted to establish the basic policy and has vested the responsibility for carrying out that policy” in the local board or council. (Simpson v. Hite, supra, 36 Cal.2d at p. 130, italics added.)
When, on the other hand, the act in question “is an exercise of the police power constitutionally delegated to counties and cities (
Thus the true “first point to be determined” here is whether
The only “basic state policy” evident in
Further, to find a “basic state policy” here would be to hold that virtually any local discretionary decision made under color of a special “authorizing” state statute is immune from the initiative power. The law is otherwise (Hughes v. City of Lincoln, supra, 232 Cal.App.2d at p. 745), and for good reason: “if the constitutional power reserved by the people can be abridged by special statutes, then by enacting a host of special statutes the Legislature could totally abrogate that power.” (Associated Home Builders, supra, 18 Cal.3d at p. 595.)
The majority, in their failure to protect the initiative power, appear willing to risk such abrogation. After correctly observing that the state may preempt the entire field in matters of statewide concern, they boldly assert that “[i]f the state chooses instead to grant some measure of local control and autonomy, it has authority . . . to bar the exercise of the initiative and referendum.” (Ante, p. 511.) Thus the majority apply a hitherto unknown standard: as long as the Legislature could have preempted the field, it can bar the electorate from exercising its reserved initiative and referendum powers. As I will explain, this conclusion does more than simply misstate California law; it violates the California Constitution.
Furthermore, in two of the three cases the initiative was barred because the Legislature did preempt the field. (See Ferrini v. City of San Luis Obispo, supra, 150 Cal.App.3d at p. 246 [“we are persuaded that the Legislature‘s intent to occupy the field . . . is clearly established“]; Mervynne v. Acker, supra, 189 Cal.App.2d at p. 564 [“the Legislature appears to have directly occupied that field“].) In the third, the court held the initiative was unavailable because, under the traditional analysis, the local legislative body acted as a mere agent bound to implement state policy. (Riedman v. Brison, supra, 217 Cal. at p. 387 [“the legislature . . . has designated the city council . . . as the state agency which may initiate proceedings“].)
Even more untenable than this citation of nonauthority, however, is the majority‘s reliance on it to avoid the constitutional implications of their holding. The 1911 amendment to the California Constitution, which provided for the initiative and referendum, stated: “This section is self-executing, but legislation may be enacted to facilitate its operation, but in no way limiting or restricting either the provisions of this section or the powers herein reserved.” (Former
