COUNTY COUNCIL OF PRINCE GEORGE‘S COUNTY, Maryland, Sitting as District Council v. ZIMMER DEVELOPMENT COMPANY.
Nos. 259, 265, Sept. Term, 2013.
Court of Special Appeals of Maryland.
May 28, 2014.
92 A.3d 601
BERGER, J.
Timothy F. Maloney (Joseph M. Creed, Hin Z. Hussain, Joseph, Greenwald & Laake, PA, on the brief), Greenbelt, MD, for Appellee.
Panel: HOTTEN, BERGER, CHARLES E. MOYLAN, JR. (Retired, Specially Assigned), JJ.
BERGER, J.
This case involves an administrative appeal from a zoning dispute. The Prince George‘s County Planning Board of the
On appeal, the District Council presents four questions for our review, which we rephrase as follows:
- Whether Zimmer had the requisite standing to maintain a petition for judicial review in the Circuit Court for Prince George‘s County.
- Whether the District Council is vested with appellate jurisdiction or original jurisdiction over zoning issues.
- Whether the District Council exceeded the scope of its authority when it reviewed matters other than the issues identified for remand.
- Whether the District Council erred in expanding its consideration of CDP-1001 and SDP-1001 beyond determining whether the Planning Board‘s approval was arbitrary, capricious, discriminatory, or illegal.
For the reasons that follow, we affirm the judgment of the Circuit Court for Prince George‘s County.
FACTUAL AND PROCEDURAL BACKGROUND
The disputed property (the “Edwards Property“) is a triangular 4.14 acre property that is zoned for retail as a Local
Zimmer is a national real-estate developer with its headquarters located in Wilmington, North Carolina. Zimmer proposes to construct a retail center located on the Edwards Property, which will be anchored by a CVS.
Approval or denial of a proposed zoning plan begins with the Planning Board. The Planning Board requires that an applicant obtain three approvals: 1) a Comprehensive Design Plan (“CDP“);3 2) a Preliminary Plan of Subdivision (“PPS“);4 and 3) a Specific Design Plan (“SDP“).5 On March 14, 2011, Zimmer filed Comprehensive Design Plan-1001 (“CDP-1001“) and Specific Design Plan-1001 (“SDP-1001“) with the Planning Board as part of its application to build the retail center. The Planning Board accepted CDP-1001 and SDP-1001 for joint review. The Planning Board formally reviewed the plans at a public hearing on July 28, 2011 and subsequently approved both CDP-1001 and SDP-1001.
Despite the Planning Board‘s approval of Zimmer‘s application, the District Council, nevertheless, elected to exercise its discretion, pursuant to
Specifically, the Planning Board was directed to “reconsider its decision in light of the [following] reasons,” namely: 1) whether the lack of a community center on the Edwards Property could be “mitigated through amenities benefitting the surrounding community“; 2) whether the proposed location of replacement trees to mitigate “the loss of the existing tree canopy” was sufficient; and 3) “whether access for Edwards Way residents can be improved, to compensate for the increases in traffic to and from the [Edwards] Property.”
On February 9, 2012, the Planning Board held a hearing for the express purpose of considering the three remand issues. Approximately four weeks after the hearing, the Planning Board issued an amended resolution. Satisfied with Zimmer‘s proposed solutions to the three remand issues, the Planning Board again approved Zimmer‘s application.7
After the Planning Board‘s second approval of Zimmer‘s application, the District Council exercised its authority to “call up” the case for a second time. On May 21, 2012, the District Council heard oral argument. Approximately thirty days later, the District Council issued a written opinion reversing the decision of the Planning Board and again denying Zimmer‘s applications for both CDP-1001 and SDP-1001. In support of its decision, the District Council set forth fourteen specific grounds for denying Zimmer‘s application.
On March 15, 2013, the circuit court, through a comprehensive written opinion, reversed the District Council.9 In its memorandum opinion, the circuit judge first concluded that Zimmer had the requisite standing to seek judicial review. Specifically, the circuit court concluded that Zimmer is not “doing business” in Maryland and, therefore, is not subject to Maryland‘s laws governing unregistered foreign companies.10
Next, the circuit court concluded that the District Council exercised appellate jurisdiction from the Planning Board and not original, de novo, jurisdiction. The circuit court found that “the [District] Council‘s authority is limited to appellate review of the Planning Board‘s decisions” and that its “authority is limited to determining whether the Planning Board‘s decision was arbitrary, capricious, discriminatory, or illegal.” As such, the circuit court judge found that the District Council is prohibited from “second guessing” the Planning Board‘s judgment, absent a showing that the Planning Board‘s decision was arbitrary, capricious, discriminatory, or illegal.
The circuit court further found that the District Council was limited in its review to the three remand issues. As a result, the circuit court held that the District Council improperly exceeded the scope of its review. Specifically, the circuit court noted that “it was improper for the [District] Council to expand its review in the second ‘call-up’ to consider new issues
Finally, the circuit court considered the District Council‘s fourteen reasons for denying Zimmer‘s application. The circuit court observed that only two of the fourteen stated reasons for denial were raised in the District Council‘s initial order of remand. After reviewing each of the fourteen grounds for denying Zimmer‘s application, the circuit court further observed that none of the District Council‘s grounds for denial were supported by substantial evidence. As such, the circuit court reversed the decision of the District Council and reinstated the Planning Board‘s approval of CDP-1001 and SDP-1001.11
This timely appeal followed. We shall recite the relevant standard of review in the applicable section of our “Discussion,” infra.
DISCUSSION
I.
The District Council first contends that the circuit court lacked subject matter jurisdiction over the action. Specifically, the District Council argues that, because Zimmer does not own property or operate a business in Prince George‘s County, it is not a “person” under Maryland law whose interests are subject to judicial review. As such, the District Council asks us to remand this case with an order instructing the circuit court to dismiss the action for lack of subject matter jurisdiction.
Zimmer maintains that the District Council failed to raise this issue before the circuit court and, therefore, the issue is not preserved for our review. Zimmer claims that the District
“Lack of subject matter jurisdiction may be raised at any time, including initially on appeal” and “the issue of subject matter jurisdiction need not be raised by a party, but may be raised by a court sua sponte.” Dutcher, supra, 365 Md. at 405, 780 A.2d 1137. The preservation rule, however, clearly applies to standing issues and “[w]e ordinarily do not decide issues of standing not raised in the trial court.” Garner v. Archers Glen Partners, Inc., 405 Md. 43, 55, 949 A.2d 639 (2008); see also Dorsey v. Bethel A.M.E. Church, 375 Md. 59, 71, 825 A.2d 388 (2003) (“[A]ny dispute concerning [a party‘s] standing should have been raised and litigated in the [c]ircuit [c]ourt, not the Court of Special Appeals.“).
At the outset, we agree with Zimmer that the issue advanced before us by the District Council is one of standing, not subject matter jurisdiction. The District Council admits as much in its brief as it repeatedly refers to the issue as one of standing, including arguing that “Zimmer had no standing to seek a petition for judicial review.” Moreover, Maryland
Turning to the substantive merits of the District Council‘s argument, the record before us clearly reflects that the District Council failed to raise the issue of Zimmer‘s standing under
Ultimately, the District Council failed to raise the issue of Zimmer‘s standing based on
II.
The District Council next contends that the circuit court improperly determined that the District Council‘s review of the Planning Board is limited to that of appellate jurisdiction and not original, de novo, jurisdiction. The District Council maintains that the circuit court erred in applying the reasoning of Cnty. Council of Prince George‘s Cnty. v. Curtis Regency, 121 Md.App. 123, 708 A.2d 1058 (1998), to this case.
A. Standard of Review
In reviewing the decision of an agency, we “look[] through the circuit court‘s decision[], although applying the same standards of review, and evaluate[] the decision of the agency.” People‘s Counsel v. Surina, 400 Md. 662, 681, 929 A.2d 899 (2007). We are “limited to determining if there is substantial evidence in the record as a whole to support the agency‘s findings and conclusions, and to determine if the administrative decision is premised upon an erroneous conclusion of law.” Hamza Halici v. City of Gaithersburg, 180 Md.App. 238, 248, 949 A.2d 85 (2008) (internal quotation marks and citations omitted).
When applying the “substantial evidence” test, a reviewing court must decide “whether a reasoning mind reasonably could have reached the factual conclusion the agency reached.” Layton v. Howard Cnty. Bd. of Appeals, 399 Md. 36, 48-49, 922 A.2d 576 (2007) (internal quotation omitted). “In applying the substantial evidence test ... [we] must review the agency‘s decision in the light most favorable to the agency, since decisions of administrative agencies are prima facie correct and carry with them the presumption of validity.” Pollock v. Patuxent Inst. Bd. of Review, 374 Md. 463, 476-77, 823 A.2d 626 (2003). “Furthermore, not only is the province of the agency to resolve conflicting evidence, but where inconsistent inferences from the same evidence can be drawn, it is for the agency to draw the inferences.” Id. at 477, 823 A.2d 626 (citations and internal quotations omitted).
“We are less deferential in our review, however, of the legal conclusions of the administrative body and may
B. Jurisdiction of the District Council
The District Council argues that it is vested with original jurisdiction and that it is not limited in the scope of its review to the standard of review for appellate jurisdiction. The District Council further maintains that the circuit court improperly relied upon Curtis Regency in rendering its decision. Specifically, the District Council contends that the application of Curtis Regency is limited to that involving subdivisions and does not extend to zoning matters, such as the case before us.
The Maryland Regional District Act (the “RDA“) was enacted by the General Assembly to empower Prince George‘s County to create zoning enabling legislation. Cnty. Council of Prince George‘s Cnty. v. Billings, 420 Md. 84, 96, 21 A.3d 1065 (2011) (quoting Prince George‘s Cnty. v. Ray‘s Used Cars, 398 Md. 632, 635-36, 922 A.2d 495 (2007)). The RDA specifically provides for the creation of a county Planning
(i) “is responsible for planning, subdivision, and zoning functions that are primarily local in scope; and
(ii) shall exercise, within the county planning board‘s jurisdiction, the following powers:
- Planning;
- Zoning;
- Subdivision;
- Assignment of street names and house numbers; and
- Any related matter.
The District Council, pursuant to
The District Council argues that the circuit court erred in extending our reasoning in Curtis Regency to include zoning issues. In Curtis Regency, the Planning Board preliminarily approved a subdivision plat proposed by Curtis Regency Service Corporation and Rose Valley Limited Partnership (“Curtis Regency“). Id. at 126, 708 A.2d 1058. A local citizens’ group appealed the Planning Board‘s decision to the District Council, which reversed the approval by the Planning Board. Id. Curtis Regency subsequently sought judicial review of the District Council‘s decision. Id. The circuit court reversed the decision of the District Council and reinstated the Planning Board‘s approval of the subdivision plat submitted by Curtis Regency. Id.
On appeal, we concluded that the District Council possessed appellate jurisdiction, not original jurisdiction, over subdivision matters. Id. at 135, 708 A.2d 1058. The District Council, therefore, “acted contrary to its statutorily defined power” and should have “given deference to the Planning Board‘s decision, except as to matters of law.” Id. at 137, 708 A.2d 1058. We expressly held that “the District Council should have used its power to determine whether the action of the [Planning Board] was ‘arbitrary, capricious, discriminatory or illegal.‘” Id. at 137-38, 708 A.2d 1058 (citing People‘s Counsel for Baltimore Cnty. v. Beachwood I Ltd. P‘ship, 107 Md.App. 627, 648-49, 670 A.2d 484 (1995)) (internal quotation marks omitted). Moreover, we reasoned that “[s]ince the District Council does not have the power to create the cause, but, instead, hears the cause to correct and revise proceedings already instituted, it does not exercise original jurisdiction.” Id. at 134, 708 A.2d 1058. Rather, the District Council is “confined to exercise its appellate jurisdiction.” Id. Indeed, in concluding that the District Council is vested with appellate jurisdiction, we observed that the District Council
may not substitute its judgment for that of the [Planning Board], even if it, had it been so empowered, might have made a diametrically different decision. The circumstances under which it may overturn or countermand a decision of the [Planning Board] are narrowly constrained. It may never simply second guess.
Id. at 137, 708 A.2d 1058 (quoting Beachwood I, supra, 107 Md.App. at 638, 670 A.2d 484).
In the instant case, the District Council fails to provide any legal support for its contention that Curtis Regency applies only to subdivision issues, not zoning issues. Instead, the District Council baldly sets forth the applicable standard of review that courts use to evaluate agency decisions and argues that its determinations are entitled to deference. We are unpersuaded. Indeed, nowhere in Curtis Regency do we suggest that the case be limited to subdivision matters. In fact, we broadly framed the issue in that case as “whether, as an appellate forum, the [District] Council owed deference to the fact finding and conclusions flowing therefrom of the Planning Board.” Id. at 133-34, 708 A.2d 1058. We did not then—nor do we now—expressly limit our holding in Curtis Regency to cases involving subdivisions.
The District Council subsequently amended the PGCC in an effort to grant itself original jurisdiction.15 Specifically,
(f) Jurisdiction.
(1) In deciding an appeal to the District Council, ... the [District] Council shall exercise original jurisdiction.
(2) For any appeal or review of a decision made by ... the Planning Board, the [District] Council may, based on the record, approve, approve with conditions, remand, or deny the application.
In Curtis Regency, however, we expressly observed that, if the District Council were to adopt an ordinance such as
The Bill Summary of the 1996 amendment provides that the District Council‘s purpose in enacting the amendment was to grant itself original jurisdiction based on its own independent understanding of its responsibility in examining zoning issues. The Bill Summary provides, in relevant part:
[Section 27-132(f)] clarif[ies] what has always been assumed and has historically been the [District] Council‘s practice regarding jurisdiction of the [District] Council when hearing appeals. The bill states that when hearing an appeal from the Planning Board ... the [District] Council is exercising original jurisdiction. This means that in deciding an appeal, [the District Council] may make the decision based on their own judgement [sic] rather than simply determining whether the [Planning Board] made an error of law or had before it substantial evidence to support its decision.
CB-76-1996, 1996 Leg. Sess. (Prince George‘s County Council 1996) (emphasis added).
The Bill Summary goes on to note that the District Council shall not accept new evidence:
Tom Haller, representing the Chamber of Commerce, ... asked for clarification regarding the ability of the [District] Council to accept new evidence under the provisions of this bill. Joyce Nichols, Principal Counsel to the District Counsel [sic], pointed out that the language [amended PGC Code § 27-132(f)] states that the decision of the [District] Council shall be based on the record.
Nevertheless, the District Council argues that it has “original jurisdiction” over appeals from Planning Board decisions. Critically, the District Council cannot grant itself original jurisdiction when the General Assembly has expressly entrusted the Planning Board with the authority to decide preliminary zoning issues. In enacting subsection (f) of
Moreover, the express provisions of the PGCC provide that: 1) the decision of the Planning Board is final if there is no appeal to the District Council; 2) the District Council is limited in its review to the facts and information established at the hearing before the Planning Board; and 3) the District Council is only authorized to affirm, reverse, or modify the decision of the Planning Board based on the record. Indeed, “the District Council does not have the power to create the cause, but, instead, hears the cause to correct and revise proceedings already instituted ....” before the Planning Board. Curtis Regency, supra, 121 Md.App. at 134, 708 A.2d 1058.
PGCC § 27-132(f) ... is not a subdivision regulation under PGCC subtitle 24, but rather a zoning regulation under PGCC subtitle 27. As such, we do not reviewPGCC § 27-132(f) here, but do note that it is confusing and internally inconsistent as regards the nature of the jurisdiction the District Council purports to exercise in matters addressed by [PGCC § 27-132(f) ].
Dutcher, supra, 365 Md. at 411, n. 13, 780 A.2d 1137. The Court, in Dutcher, highlighted that the District Council grants itself “original jurisdiction” under
Taken together, the pertinent provisions of the PGCC, read in conjunction with the RDA, leads us to conclude that the District Council is vested with appellate jurisdiction, not original jurisdiction, over zoning matters. As such, the District Council is limited to deciding whether the Planning Board‘s decision was “arbitrary, capricious, discriminatory, or illegal.” Curtis Regency, supra, 121 Md.App. at 137-38, 708 A.2d 1058.
III.
The District Council next contends that the circuit court erred in finding that the District Council was limited to reviewing the three remand issues when it “called-up” the case for a second time. Moreover, the District Council asserts that it was proper for the District Council to expand its review
As mentioned, supra,
The District Council shall schedule a public hearing on the appeal or review. Testimony at the hearing shall be limited to the facts and information contained within the record made at the hearing before the Planning Board.
In the instant case, the Planning Board approved CDP-1001 and SDP-1001 on September 15, 2011. Subsequently, the District Council “called-up” the case and, upon review of Zimmer‘s application, remanded the case to the Planning Board to expressly consider the three remand issues.17 Satisfied with Zimmer‘s proposed solutions to the three remand issues, the Planning Board issued an amended resolution that specifically addressed each issue upon remand and again approved CDP-1001 and SDP-1001. As such, when the District Council exercised its discretion to “call-up” the case for a second time, it was limited to the three remand issues expressly considered by the Planning Board.
Clearly, therefore, when the District Council set forth its fourteen grounds for denying CDP-1001 and SDP-1001, it was acting outside its statutorily defined powers. Indeed, the express terms of
IV.
The District Council next argues that each of its fourteen grounds in support of its decision to deny Zimmer‘s application is supported by substantial evidence. In light of our holding in Part III of our “Discussion,” this issue is moot. Critically, as addressed previously, the District Council—as an appellate forum—is limited to determining whether the decision of the Planning Board was “arbitrary, capricious, discriminatory, or illegal.” See Curtis Regency, supra, 121 Md.App. at 137-38, 708 A.2d 1058.
Accordingly, when the District Council exercised its discretion to “call-up” CDP-1001 and SDP-1001 for a second time, it was limited to determining whether the Planning Board‘s approval of CDP-1001 and SDP-1001 was “arbitrary, capricious, discriminatory, or illegal.” Id. Clearly, therefore, when the District Council set forth additional grounds for reversing the Planning Board, it was acting outside its statutorily defined power by substituting its judgment for that of the Planning Board. As such, the District Council erred—as a matter of law—in reversing the Planning Board and denying Zimmer‘s application.
JUDGMENT OF THE CIRCUIT COURT FOR PRINCE GEORGE‘S COUNTY AFFIRMED. APPELLANT TO PAY THE COSTS.
