¶ 1 In this sрecial action, petitioners Grosvenor Holdings, L.C., K. Hovnanian Great Western Homes, L.L.C., and Tousa Homes, Inc., dba Engle Homes (petitioners) challenge the respondent judge’s order deny
ing
FACTS AND PROCEDURAL BACKGROUND
¶ 2 In 2000, petitioner Grosvenor purchased 453 acres of land in the County, planning to develop the property as a residential project called Entrada del Oro. On June 25, 2003, Grosvenor and the County entered into a development agreement (the Agreement), 1 establishing permitted uses for the property, density and intensity of use requirements, parameters regarding construction and installation of infrastructure, and a development schedule, providing for phased construction. The Agreement states that, unless otherwise specified, “no surcharge, development or impact fees, or impositions of any kind whatsoеver for water, sewer, utilities, transportation systems, public services or any other infrastructure cost or expense shall be chargeable to Developer in any phase of the construction of the development of the Property.” Additionally, paragraph three of the Agreement grants to Grosvenor “the right to implement in phases [a] Development Plan under the terms and conditions of the Development Plan and this Agreement for an initial period of five (5) years, unless terminated sooner as set forth below.” That paragraph further provides that Grosvenor “may request an extension of the term of this Agreemеnt for one additional five (5) year period, which extension shall hot be unreasonably withheld, conditioned or delayed by the County.”
¶ 3 With respect to the resolution of disputes between the parties, paragraph twenty-one of the Agreement entitled “ADMINISTRATIVE DISPUTE RESOLUTION PROCESS” states: “Any dispute between Developer and County arising from the failure of either party to comply with material terms and conditions of the Development Plan or this Agreement after an impasse has been reached, shall be resolved by’ a review hearing by the Board.” . After providing specific procedures and time limits for review by the Board, the paragraph further stаtes:
The Board’s decision shall be subject to appeal and judicial review in the Superior Court of the State of Arizona in and for Pinal County pursuant to [the ARA]____ The Board and any judicial tribunal shall take into consideration, the purposes and goals of the Development Plan and this Agreement, the cost and expense incurred by Developer, the need and timeliness of the specific requested action and the fundamental purposes of A.R.S. § 11-1101, et seq. This dispute process is limited to disputes relating to either party’s material failure to comply with the terms and conditions of this Agreement and the Development Plan, as thеy may be amended from time to time.
¶ 4 Petitioners contend that by May 2006, significant infrastructure had been constructed and petitioners K. Hovnanian and Engle had purchased lots within Entrada del Oro and had begun construction. In April 2008, petitioners requested a five-year extension of the Agreement pursuant to paragraph three. It is undisputed that, during a meeting on June 11, 2008, the Board denied petitioners’ request on the ground that the County wished to assess impact fees on the project in order to increase revenue. Petitioners did not receive notice of the Board meeting, but on June 26, 2008, the County sent a letter by electronic mail to petitioners telling them the Agreement had expired the day before and the County would begin assessing impact fees in connection with all future building permits issued in connection with the Entra-da del Oro project.
¶ 5 Petitioners sent a letter to the County protesting its decision and requesting a review hearing pursuant to paragraph twenty-one of the Agreement. During a meeting held on September 17, which Grosvenor attended, the Board orally denied petitioners’ request for an extension of the Agreement and authorized charging petitioners $8,964 per building permit in impact fees. On December 9, 2008, petitioners filed a complaint against the County in Pinаl County Superior Court seeking a declaratory judgment that they were not required to pay the additional fee for the building permit. The complaint alleged two counts of breach of contract, for which petitioners sought injunctive relief and specific performance; asserted a claim based on promissory estoppel; and alleged the County had violated A.R.S. § 11-1102, for which they sought injunctive relief. Petitioners sought damages for all claims as well as attorney fees and costs. On December 15, counsel for the County sent a letter to petitioners’ counsel, together with the Board’s findings of fact regarding its denial of рetitioners’ request for an extension. In that letter, the County conceded that, “[tjhrough what appears to be an administrative and procedural oversight, your clients may not have received, in written form, the [Board’s] final decision and findings of fact----” The letter further stated that the County regarded the petitioners’ complaint as their notice of review pursuant to the ARA. See § 12-904(A) (action to review final administrative decision commenced by filing complaint); § 12-904(B) (party seeking review required to file notice of action with office of administrative hearing or agency that conducted hearing within ten days after filing complaint).
¶ 6 Petitioners filed a motion for partial summary judgment, seeking the superior court’s determination that the ARA does not apply to their lawsuit for a variety of reasons and that the court was not limited to reviewing for an abuse of discretion the Board’s denial of its request to renew the Agreement. Petitioners asserted the ARA does not apply because: (1) review under the ARA is not the exclusive means provided by the Agreement for reviewing the Board’s decision, but even if it were, the County did not comply with the terms of the Agreement in issuing its decision; and (2) if paragraph twenty-one does provide that review pursuant to the ARA is the exclusive means of obtaining judicial review, the provision is unenforceable because (a) the ARA does not apply to decisions by the Board and therefore the court lacks subject matter jurisdiction to address the complaint pursuant to the ARA, and (b) enforcement of the provision would violate petitioners’ due process rights. The respondent judge denied petitioners’ motion for partial summary judgment. He found paragraph twenty-one of the Agreement unambiguously requires disputes to be resolved by the Board after the Board conducts a review hearing. The respondent also found paragraph twenty-one “sets forth that, with certain qualifiers, ‘the Board’s decision shall be subject to appeal and judicial review in the Superior Court ....’ pursuant to [the ARA].”
¶ 7 Relying on
Airport Properties v. Mari-copa County,
SPECIAL ACTION JURISDICTION
¶ 8 This court generally will not accept jurisdiction to review an order denying a motion for summary judgment.
Callan v. Bernini,
DISCUSSION
¶ 9 The first issue we must decide is whether the respondent judge erred when he implicitly found that paragraph twenty-one provides for review pursuant to the ARA as the exclusive means by which either party may obtain judicial review of the Board’s resolution of the disputе between petitioners and the County, thereby barring the parties from filing a de novo complaint for breach of contract and related claims.
2
As we noted previously, the interpretation of a contract is a question of law, which this court reviews de novo.
Rand,
¶ 10 Paragraph twenty-one is the only provision in the Agreement that pertains to dispute resolution. It prescribes a specific process for resolving all disputes in the event the parties reach an “impasse,” and requires the Board to issue findings of fact after conducting a review hearing. Paragraph twenty-one also states, clearly and unambiguously: “The Board’s decision shall be subject to appeal and judicial review in the Superior Court of the State of Arizona in and for Pinal County pursuant to [the ARA]....” Thus, it clearly purports to bar any other means of dispute resolution relating to an alleged breach of the contract, including the filing of an originаl complaint in the superior court, as petitioners did here.
3
Therefore, we now turn to the question whether the ARA applies on its face to decisions by the Board, limiting the superior court’s jurisdiction only to that permitted by the ARA.
See
§ 12-910(E) (superior court reviews decision by administrative agency to determine whether it was illegal, arbitrary, capricious, or involved abuse of discretion);
see also Koepnick v. Ariz. State Land Dep’t,
¶ 11 “When construing a statute, we must ‘determine and give effect to legislative intent.’”
Ariz. Dep’t of Admin. v. Cox,
¶ 12 The ARA provides for judicial review in the superior court of “a final decision of an administrative agency.” § 12 — 902(A)(1);
see also Bolser Enters., Inc.,
¶ 13 “Subject matter jurisdiction is ‘the power of a court to hear and determine a controversy.’ ”
State v. Bryant,
¶ 14 Petitioners contend “there can be nо review under the [ARA] unless [it] or some other statute specifically authorizes review. And, where no such statutory authorization exists, a court lacks subject matter jurisdiction to proceed under the [ARA].” There is no such authority here, they assert, therefore, the l’espondent judge erred in processing the complaint pursuant to the ARA, notwithstanding the portion of paragraph twenty-one purporting to authorize the superior court to do so. Consequently, petitioners contend, that portion of the Agreement is unenforceable. We agree.
¶ 15 As we previously stated, the County concedes it is not an administrative agency for purposes of the ARA. Counties are political subdivisions of the state.
See Dowling v. Stapley,
¶ 16 Nothing in the ARA states or suggests that parties to a contract can agree to its application and confer jurisdiction on the superior court when the ARA is otherwise inapplicable. On the contrary, the statute’s applicability provision, •§ 12-902, and its definitions section, § 12-901, clearly and unambiguously limit the scope of the ARA’s application. The legislature has made clear that the ARA applies to final decisions of an administrative agency only, § 12-902(A), and that the terms “administrative agency” or “agency” do “not include an agency in the judicial or legislative departments of the state government, any political subdivision or municipal corporation or any agency of a political subdivision or municipal corporation.” § 12-901(1). Had the legislature intended to include within the ARA’s purview decisions by boards otherwise excluded by the definition of administrative agency, it could have done so. And, had it intended to permit excluded entities to render the ARA applicable by agreement, it could have done so as well.
¶ 18 The respondent judge concluded that his review of the Board’s decision under the ARA was authorized by § 11-251(21) and § 11-1101(B)(10). Section 11-251, on which the County also relies, prescribes generally the powers and duties of a county’s board of supervisors.
See also State ex rel. Pickrell v. Downey,
¶ 19 Nor does § 11-1101(B)(10) аuthorize the County to agree that judicial review of the Board’s decision under these circumstances shall be pursuant to the ARA. Section 11-1101 pertains generally to a county’s authority to enter into a development agreement. Subsection (B) of the statute lists what the agreement “may specify or otherwise relate to”; subsection (B)(10) allows the county to include in such agreements “[a]ny other matters relating to the development of the property.” But it does not provide the County may control application of the ARA.
¶ 20 The County’s reliance on AR.S. § 11-1202(1) is similarly misplaced. Section 11-1202(A) authorizes the county to “provide by ordinance or resolution the requirements for a development to be a phased development.” And subsection (I) of the statute provides, “[a] protected development right is subject to the terms and conditions imposed by the county on the protected development right plan approval.” Again, none of these provisions even mentions the ARA, and nothing in them permits a county to enter into a contract that purports to give the superior court jurisdiction under the ARA to review disputes resolved by a board in accordance with the terms of that contract.
¶ 21 Thus, there is no statutory authority supporting the portion of paragraph twenty-one that provides for judicial review of the Board’s decision pursuant to the ARA. Absent such authority, the County and Grosvenor could not agree to confer such jurisdiction on the superior court. Parties cannot, by agreement or consent, confer subject matter jurisdiction on a court where it would not otherwise exist.
See Kadera,
¶ 22 We find equally misplaced the respondent judge’s reliance on
Boyce v. City of Scottsdale,
¶ 23 Nor has the County persuaded us that
R.L. Augustine Construction Co. Inc. v. Peoria Unified School Dist. No. 11,
¶ 24 In
R.L. Augustine,
the trial court had dismissed the complaint filed by R.L. Augustine Construction Company in superior court against the Governing Board of the Peoria Unified School District, seeking judicial review pursuant to the ARA of a decision by the Governing Board and the subsequent review by a hearing officer appointed by the Governing Board. The dispute related to delays in construction of an administration center.
¶ 25 Vacating the court of appeals decision, the supreme court also reversed the trial court’s ruling, finding, as had the court of appeals, that the ARA did not apply.
Id.
at 371,
¶ 26 The County relies on that portion of
R.L. Augustine
in which the supreme court
¶ 27 Nor are we persuaded that
Ayala
furthers the County’s cause. In
Ayala
Division One of this court noted that a rule promulgated by the Maricopa County Law Enforcement Officers Merit System Council provided that the Council’s decision would be “subject only to administrative review” under the ARA.
¶ 28 We conclude that the portion of рaragraph twenty-one providing for judicial review by the superior court pursuant to the ARA of the Board’s resolution of disputes between the County and petitioner Grosvenor is void.
4
The respondent judge regarded his jurisdiction of the complaint as emanating from and limited to that provided by the ARA.
See Madsen v. Fendler,
Notes
. Section 11-1101(A), A.R.S., authorizes counties to “enter into development agreements relating to property located outside the incorporated area of a city or town.”
. Although the respondent did not expressly find petitioners could only appeal the Board's decision pursuant to the ARA, as explained more thoroughly below, the respondent did so implicitly, based on the order in its entirety and the manner in which it processed the complaint.
. Even assuming as true petitioners’ сontention that the provision was not intended to provide the exclusive means of obtaining judicial review, the result here would be the same. As discussed below, the County and petitioner Grosvenor simply could not agree even as one option that the County’s final decision could be appealed pursuant to the ARA. Nothing in the respondent's minute entry suggests he believed petitioners could file a de novo complaint in superior court as well as appeal the Board’s decision. And from the fact that the respondent remanded the matter to the Board, we infer the respondent, like the County, construed the pеtitioners' complaint as a request for review pursuant to the ARA.
. We acknowledge the County's argument that the Agreement was reached after negotiations in an arms-length transaction between "sophisticated parties.” The provision is void nevertheless. We note the Agreement contains a severability provision and the void portion of paragraph twenty-one arguably is severable from the remaining provisions of the Agreement.
. Section 12-910(E) gives the superior court the authority to "affirm, reverse, modify or vacate and remand the agency action.” And § 12-911(A)(6) gives the court the power to "[s]pecify questions or matters requiring further hearing or proceedings and give other proper instructions.”
