Opinion ID: 2334846
Heading Depth: 3
Heading Rank: 1

Heading: Substantial Completeness as Applied to Pascoag, Crystal Lake, and East Avenue

Text: The town's second argument alleges that SHAB's determinations of substantial completeness for the Pascoag, Crystal Lake, and East Avenue projects all were clearly erroneous. The town points to alleged deficiencies in each of the applications that it contends demonstrate that SHAB erred in finding substantial completeness. The town contends that SHAB committed an error of law by finding substantial completeness when each project lacked key elements with respect to several of the ten factors enumerated in § 45-53-6(f)(1)(i). The respondents counter that the alleged deficiencies in each of the applications do not defeat SHAB's findings of substantial completeness. The respondents argue that the large amount of information in the comprehensive permit applications, and the fact that six or seven of the factors listed in § 45-53-6(f)(1)(i) were not alleged to be incomplete in any way, demonstrate that the alleged shortcomings in each application constitute minor deficiencies. This Court remains cognizant of the purposes and structure of the Low and Moderate Income Housing Act. As previously noted, the General Assembly imposed the moratorium on for-profit comprehensive permits to protect the public health and welfare in communities and to provide sufficient time to establish a reasonable and orderly process for the consideration of [comprehensive permit] applications made by for-profit developers, and to have communities prepare plans to meet low and moderate income housing goals. Section 45-53-4(b)(1). Further, the amendment to the act that allowed comprehensive permit applications deemed substantially complete to move forward had the obvious purpose    to cull out eleventh-hour applications that were completed and filed hastily to avoid the well-publicized impending moratorium. New Harbor Village, LLC, 894 A.2d at 909. We are also mindful that municipalities faced a Hobson's choice in the context of comprehensive permit applications before the moratorium went into effect. Town of Smithfield, 924 A.2d at 807. If a zoning board delayed hearings, the developer had the right to appeal to SHAB, at which point SHAB would have the power to usurp the zoning board's control over the review process and approve the comprehensive permits by itself. Id. Before the moratorium went into effect, therefore, municipalities faced a risk of completely losing control over projects that would have significant impacts on their communities, or they could proceed forward with the expedited review allowed for comprehensive permitting applications. Id. It also bears repeating that a determination of substantial completeness is not a determination on the merits; rather, such a finding dictates whether the application will proceed under pre-moratorium or post-moratorium standards. See New Harbor Village, LLC, 894 A.2d at 909. Applicants that were denied a finding of substantial completeness as of February 13, 2004, are free to resubmit their permit applications under post-moratorium standards. See generally § 45-53-4. Under § 45-53-4(b), the moratorium on applications by for-profit developers lasted from February 13, 2004, until January 31, 2005. Section 45-53-4(b) allows for-profit developers to submit new comprehensive permit applications to municipalities after July 1, 2005, or October 1, 2005, depending upon the municipality's alacrity in developing a comprehensive plan for low- and moderate-income housing.
The town alleges that Pascoag failed to provide sufficient information for a finding of substantial completeness for three of the ten factors enumerated in § 45-53-6(f)(1)(i). In the town's view, the lack of information created a material deficiency in the application such that it could not be considered substantially complete. The town first contends that SHAB erred in considering § 45-53-6(f)(1)(i)(B), which requires review of a written list of variances, special use permits and waivers requested to local requirements and regulations, including local codes, ordinances, by-laws or regulations, including any requested waivers from the land development or subdivision regulations, and a proposed timetable for completion of the project. The town lists a litany of waivers that it says applies to the project that Pascoag failed to mention in its comprehensive permit application, including relief or variances for zoning and regulations relating to: maximum heights of structures, structural density, off-street parking and loading and on-street parking, land development review, multiunit dwellings, rubbish disposal, waiver of fees, preservation of rock outcrops and ridgelines, steep slopes, stormwater management, drainage calculations, building design, lot design standards for site distance, soil erosion, landscaping, and special grading provisions. The town also contends that a proposed timetable for the project was not submitted, except for the general statement that construction is expected to commence in later 2004 and continue at a pace dictated by market conditions. The town next alleges that Pascoag failed to provide [e]vidence of eligibility for a state or federal government subsidy, including a letter from the funding agency indicating the applicant and the project, as stated by § 45-53-6(f)(1)(i)(D). The town argues that the letter submitted by Pascoag from Rhode Island Housing and Mortgage Finance Corporation (RIHMFC) referred to Granite Ridge, and did not mention Pascoag as the project proponent. Finally, the town alleges Pascoag failed to meet substantial completeness for § 45-53-6(f)(1)(i)(E), which pertains to [s]ite development plans showing the locations and outlines of proposed buildings; the proposed location, general dimensions and materials for streets, drives, parking areas, walks and paved areas; proposed landscaping improvements and open areas within the site; and the proposed location and types of sewage, drainage and water facilities. In this category, the town contends that Pascoag is deficient in several different ways: the outlines of the proposed building were different from the proposed building plans; no plans existed for sewer, water, or drainage facilities; there was no landscaping plan or a plan for sidewalks; the submitted plan did not include an explanation for siting buildings and parking facilities with substantial elevation changes; the right-of-way notes were inconsistent with the submitted drawings; and, finally, the submitted plan referred to land and development regulations that either were incorrect or did not exist. The town also notes that SHAB's internal Substantial Completeness Review Checklist for the Pascoag project indicated that several substantial completeness elements were not adequate as of February 13, 2004. SHAB's internal review noted that Pascoag was not substantially complete relative to: site control, a timetable for the project, a proposed location for sewage, drainage, and water, proposed locations for landscaping improvements and open-space areas, reports on existing conditions for the character of open areas and wetlands, and the master plan with respect to topography and open-space use. The internal review also listed partial completeness for Pascoag's submission of variances, special-use permits and waivers, its submission for the general dimensions of streets and other paved areas, its report on existing conditions for the location and nature of existing buildings, and the master plan with respect to slope areas and rock outcroppings. SHAB's October 17, 2005 written decision on the Pascoag project contains reasoning for its substantial completeness determination. With respect to the completeness of the requested waivers, variances, and exceptions, SHAB noted that Pascoag submitted a list of waivers in its comprehensive permit application, and that it provided a separate Waiver List prepared by an engineering firm. SHAB concluded that Pascoag has sufficiently identified its requested relief from the dimensional requirements of the Zoning Ordinance and the contested items are clearly identified on pages 4-5 of the Application and in the separate `Waiver List' provided by the engineering firm. SHAB noted further that the parties disputed whether a parking waiver was required, and commented that SHAB believes this particular issue and any other disputes regarding the scope of required relief are proper topics for evidentiary development during the Zoning Board's hearings on remand. SHAB also reviewed the sufficiency of the letter from RIHMFC. SHAB found that the letter attached to Pascoag's application was consistent in form and content compared to other letters that SHAB had accepted over the last several years. SHAB further determined that the fact that Pascoag was not identified by name was not a material issue and that the letter clearly related to Pascoag's proposed project. SHAB concluded that the zoning board had raised an unduly narrow and unpersuasive objection to the letter. Turning to the site development plans, SHAB's written decision listed the project plans, architectural plans, and architectural data submitted with the comprehensive permit application, including maps, existing condition and concept plans, and numerical acreage data. SHAB determined that the submitted materials sufficiently show the proposed buildings, driveways, roads, parking areas, detention pond, open areas, and sewer and water lines and that Pascoag has presented sufficiently detailed drawings and data to place the Zoning Board on notice regarding the material site development issues. SHAB acknowledged that Pascoag would have to provide landscape plans and drainage calculations in future zoning hearings, but stated that SHAB agrees with Pascoag's representation that the landscaping and drainage issues may be properly addressed as more advanced engineering data is produced later in the zoning process. SHAB summarized its findings about substantial completeness and the Pascoag project in the following manner: [T]he Zoning Board has acknowledged that Pascoag provided sufficient information as to seven of the ten elements in § 45-53-6(f)(1)(i)(A-J). These seven stipulated elements alone arguably may be sufficient to deem Pascoag's Application to be substantially complete. Regardless, Pascoag's Application also contains sufficient information regarding the three disputed elements. SHAB is convinced that Pascoag placed considerable time and effort into the drafting of its Application. Reviewing the Application in its entirety, there is ample information to allow the parties to proceed with meaningful evidentiary hearings addressing its merits. We disagree with SHAB's finding that the Pascoag project was substantially complete. This Court is unable to conclude that legally competent evidence exists in the record in light of SHAB's adopted definition of substantial completeness. Although Pascoag's comprehensive permit application contained several pages of information, engineering reports, and a few large maps, the submission as a whole hardly can be said to attain substantial completeness, defined by SHAB as having all parts or elements that are material, important, and essential. The comprehensive permit application did not include adequate information on drainage, stormwater runoff, and elevation plans. According to Pascoag, the proposed site for the project consisted of moderately rolling topography. We view this description with some doubt, given that SHAB's own internal review stated that extreme slopes [and a] ledge exist on site. A cursory review of the existing conditions plan map submitted with the application reveals that elevation for the site fluctuated between 470 and 520 feet. Nevertheless, we are unable to locate any discussion in the application relating to an elevation plan for the site. Indeed, SHAB's own internal review of the project noted that the submitted master plan did not contain topography at two-foot intervals, and that the master plan reached only partial compliance for delineating areas of greater than 15 percent slope and rock outcroppings. With respect to stormwater runoff and drainage, the application identifies the type of soil on site and the flood zone, but it provides no indication on how these issues would be impacted by the proposed buildings, pavement, and other improvements to the site. A minimal discussion of stormwater runoff and drainage for a moderately rolling site with seven large buildings seems to this Court to be a material, important, and essential element of a comprehensive permit application. Further, it is clear to us that SHAB's conclusion that Pascoag had presented sufficiently detailed drawings and data to place the Zoning Board on notice regarding the material site and development issues does not comport with its own definition of substantial completeness. A review of the September 19, 2005 SHAB hearing reveals SHAB's flawed application of its own substantial-completeness standard. In discussing Pascoag's application, various SHAB members commented: they're a work in progress, you have an opportunity to continue to complete; there was certainly enough information there to give the town some idea as to what was being proposed; and [i]t's my feeling certainly there is enough there that he should have at least got up to the plate.
The town alleges that Crystal Lake failed to provide adequate information for a finding of substantial completeness for the same three factors enumerated in § 45-53-6(f)(1)(i) as in the Pascoag project. The town first points to § 45-53-6(f)(1)(i)(B) and lists a variety of alleged deficiencies with respect to variances, special-use permits, and waivers. The town notes that the property is located in an aquifer overlay zone and asserts that no substantive mention or treatment of this was highlighted in the application's requested waivers. In the town's view, the application was substantially insufficient to fulfill the minimum requirements for identification of waivers and other necessary relief. The town argues that Crystal Lake did not include waiver requests for zoning ordinances and land development regulations that pertain to: land development review, residential lot requirements, lot dimensional requirements, multifamily dwellings, yard exceptions, frontage on corner lots, vision clearance at corners, frontage setbacks, culs-de-sac, drainage calculations, stormwater best management practices, aquifer overlay zones, and soil and sediment control plans. Similar to the town's contention about the Pascoag project, the town also alleges that Crystal Lake's letter describing eligibility for state or federal subsidies contained only a reference to the project and made no indication that the applicant for this project is Crystal Lake, in contravention of § 45-53-6(f)(1)(i)(D). The town further argues that Crystal Lake's application did not provide an adequate site development plan as required by § 45-53-6(f)(1)(i)(E). According to the town, the site development plan did not include information about a required sewer easement or sewer plans and water lines, inadequately described the plan for condominium units, and proposed an inadequate timetable for project completion. The town also notes that the application did not provide an adequate report on existing and proposed conditions for the surrounding area, nor did it include adequate information on street elevations, traffic patterns, open areas, off-site areas, and off-site wetlands. As in connection with the Pascoag project, the town contends that SHAB's internal review of the Crystal Lake project identified many of the same deficiencies set forth by the town. SHAB's October 17, 2005 written decision on the Crystal Lake project provided reasons for its finding of substantial completeness. With respect to § 45-53-6(f)(1)(i)(B), SHAB rejected the zoning board's contention that Crystal Lake should have listed additional waivers, variances, and exceptions in its comprehensive permit application. SHAB reasoned that most of the waivers that the zoning board identified involved lot-size requirements that did not apply because Crystal Lake was not proposing new lots. SHAB concluded that Crystal Lake met its burden of listing sufficiently the relief it requests. It may ultimately be shown that additional relief is required   . Nonetheless, the scope of the applicable relief can be refined and resolved fully at the evidentiary hearings on remand. SHAB also noted that Crystal Lake's statement that construction is expected to commence in late 2004 and continue at a pace dictated by market conditions was a fair and reasonable estimate of its intended construction schedule. Turning to the letter Crystal Lake received from RIHMFC and § 45-53-6(f)(1)(i)(D), SHAB reasoned that Crystal Lake would be proceeding at its peril and would not be able to move the project forward if it submitted an eligibility letter that applied to a different party. SHAB found that the letter was consistent in form and content with other letters that SHAB had accepted over the last several years and that the letter clearly related to Crystal Lake's proposed project. SHAB next addressed the sufficiency of Crystal Lake's site development plans as related to § 45-53-6(f)(1)(i)(E), noting that the zoning board objected only to the lack of approval for a sewer easement. SHAB reasoned that the zoning board may have raised a legitimate concern about a discrete issue, but that the parties could address it during evidentiary hearings on remand. SHAB therefore determined that the single issue of the sewer easement was not enough to deem Crystal Lake's site development plans incomplete. Finally, at the end of its written decision, SHAB summarized its findings relating to substantial completeness for Crystal Lake in the same manner as it did for the Pascoag project. [16] As with Pascoag, this Court is again unable to conclude that legally competent evidence exists in the record in light of SHAB's adopted definition for substantial completeness. Most glaringly, the comprehensive permit application did not make it clear that Crystal Lake proposed a condominium project. Before this Court, Crystal Lake argues that many of the town's references to needed waivers do not apply to the project because the proposal called for a condominium framework with only one lot. A detailed review of Crystal Lake's application, however, reveals that its submitted materials contained only obscure references to condominiums as of February 13, 2004. The proposed use section of Crystal Lake's comprehensive permit application describes the number of housing units, but it makes no reference to condominiums. [17] The comprehensive permit narrative prepared by an engineering firm did not include a reference to condominium units. Nor did the fiscal impact study, or the planning summary report make any such reference. This Court could identify only two instances in which references to condominiums appeared in Crystal Lake's submitted materials. The first was a passing reference to 7 townhouse condominium units in RIHMFC's letter to Crystal Lake. The second reference appeared in small print on the fifth of eight large planning maps that Crystal Lake submitted. Crystal Lake proposed the construction of 174 housing units on nearly 100 acres of land. The project's status as a condominium complex is undoubtedly a material, important, and essential component of a comprehensive permit application. SHAB's internal staff review noted other problems with Crystal Lake's application. SHAB's review pointed out that the application did not contain a timetable for completing the project, nor did it include a report on existing conditions relating to street elevations or traffic patterns. The internal review also stated that Crystal Lake submitted a very brief, general statement on requested variances, special-use permits, and waivers. Finally, the review noted that the town took issue with sewer-line locations, and that the application did not contain a discussion of off-site open areas or wetlands. Although SHAB's deliberations on Crystal Lake's application were far less extensive than those on Pascoag's application, it is clear that they were infected by the same flawed interpretation of substantial completeness. At the time of its September 19, 2005 vote, SHAB made no mention, much less a specific finding, concerning the project's status as a single-lot condominium. The October 17, 2005 written decision merely states: SHAB agrees with Crystal Lake's assessment of the issue. The developer has met its burden of listing sufficiently the relief that it requests. It may ultimately be shown that additional relief is required, as the Zoning Board contends. Nonetheless, the scope of the applicable relief can be refined and resolved fully at the evidentiary hearings before the Zoning Board. It is this Court's view, as in the case of Pascoag, that the substance of Crystal Lake's comprehensive permit application as of February 13, 2004, leads to the conclusion that Crystal Lake's application did not include all parts or elements that are material, important, and essential.
The town alleges that East Avenue's application failed to satisfy substantial completeness for four of the ten factors listed in § 45-53-6(f)(1)(i). The town argues that East Avenue did not include a sufficient list of variances, special-use permits, and waivers as stated in § 45-53-6(f)(1)(i)(B). Specifically, the town contends that East Avenue failed to address the following zoning ordinances and regulations relating to housing development review: minimum lot size and width restrictions, lots containing wetlands, culs-de-sac, drainage calculations, traffic circulation, stormwater best management practices, subdivision and land development fees, land application narratives, and soil erosion and sediment control. The town also argues that East Avenue failed to satisfy § 45-53-6(f)(1)(i)(C) because it did not provide sufficient evidence of site control. Specifically, the town contends that East Avenue did not submit evidence that it was qualified to do business in Rhode Island. To support this assertion, the town presented to SHAB a certificate of nonexistence for East Avenue Development Realty, LLC, the name that appeared in East Avenue's comprehensive permit application. As such, the town argues that SHAB erroneously accepted unsubstantiated comments from East Avenue that it was qualified to do business in Rhode Island because the certificate of nonexistence demonstrates there was no legally competent evidence in the record to support the contention. The town further alleges that East Avenue failed to provide evidence of eligibility for state or federal subsidies in violation of § 45-53-6(f)(1)(i)(D). The town alleges that a letter from RIHMFC in East Avenue's application contained a reference to the project but did not name East Avenue as the applicant. Finally, the town contends that East Avenue failed to provide a list of abutters with the application, in violation of § 45-53-6(f)(1)(i)(J). The town argues that SHAB's finding of substantial completeness without any evidence of an abutters list demonstrates its predisposition to deem the applications substantially complete without competent evidence. SHAB's October 17, 2005 written decision on the East Avenue project delineated reasoning for its finding of substantial completeness. With respect to the list of requested waivers, variances, and special-use permits under § 45-53-6(f)(1)(i)(B), SHAB's written decision noted that East Avenue's comprehensive permit application included the town zoning ordinance from which it sought relief. SHAB concluded that East Avenue sufficiently identified its requests for relief, and that any disputes about the need for additional relief adequately could be addressed on remand during evidentiary hearings before the town zoning board. SHAB also noted that East Avenue's statement that construction is expected to commence in late 2004 and continue at a pace dictated by market conditions was a fair and reasonable estimate of its intended construction schedule. Turning to the evidence of site control and § 45-53-6(f)(1)(i)(C), SHAB addressed the town's argument that East Avenue's official corporate name listed in its comprehensive permit application did not exist as a corporate entity in Rhode Island. SHAB dismissed the argument as a red herring, reasoning that the zoning board has not submitted any credible evidence into the record to prove that the developer is not qualified to do business in Rhode Island. SHAB next addressed East Avenue's eligibility for a state or federal subsidy and § 45-53-6(f)(1)(i)(D). SHAB employed similar reasoning as it used in the Pascoag and Crystal Lake written decisions, finding that the absence of East Avenue's name from RIHMFC's letter was not a material issue. SHAB concluded that the letter was consistent in form and content with other letters that SHAB had accepted over the last several years and that the letter clearly related to East Avenue's proposed project. SHAB explained that East Avenue would be proceeding at its peril and would not get its project off the ground if it submitted an eligibility letter that applied to a different party. With respect to the absence of an abutters list and § 45-53-6(f)(1)(i)(J), SHAB noted that East Avenue said that it did not submit the list with its application so that it could submit a current list when a public hearing was scheduled. SHAB concluded that the lack of the abutters list was not fatal to the determination of substantial completeness for East Avenue's application, reasoning that the list could be submitted properly at the outset of the evidentiary hearings after remand to the zoning board. Finally, at the end of its written decision, SHAB summarized its findings relating to substantial completeness for East Avenue in the same manner as it did for the Pascoag and Crystal Lake projects. [18] As with Pascoag and Crystal Lake, this Court is unable to conclude that legally competent evidence exists to support SHAB's finding of substantial completeness for the East Avenue project. First and most evidently, East Avenue's application failed to include a list of abutters. Given that § 45-53-6(f)(1)(i)(J) specifically lists an abutters list as one of ten factors in the substantial completeness calculus, East Avenue's promise to submit the list at a public hearing after February 13, 2004, is of no moment. The dearth of information in East Avenue's application concerning requested variances and special-use permits under the zoning ordinance, as well as the lack of any requested waivers from subdivision regulations, is also significant. Moreover, detailed plans were not submitted, nor was relief requested, relative to regulations concerning drainage systems, stormwater management practices, or soil erosion and sediment control. East Avenue's requested deferral of the submission of fiscal impact reports and traffic reports until the public hearing stage of the review process is also noteworthy. As the town argued before this Court, the limited amount of information presented by East Avenue made it difficult to understand the project's impact on the town. Finally, we note that East Avenue's comprehensive permit application, submitted on or about January 22, 2004, listed the owners of the site as Donald P. St. Angelo, Sr. and Richard St. Angelo. The applicant name in the application and its supporting materials appeared as East Avenue Development Realty, LLC. As evidence of site control in the application, East Avenue stated, See Real Estate Agreement information attached. Applicant is nominee of `Buyer'. The attached real estate agreements, in turn, named the two Mr. St. Angelos as sellers and Empire Acquisition Group, or its nominee or assignee as the buyer. At the time East Avenue submitted its application, however, East Avenue Development Realty, LLC, was not qualified to do business in Rhode Island, [19] and, therefore, could not stand as Empire Acquisition Group's nominee because it did not exist as a corporate entity. This Court concludes, therefore, as in the cases of Pascoag and Crystal Lake, that a review of East Avenue's comprehensive permit application as of February 13, 2004, did not meet SHAB's definition of substantial completeness  viz., it did not contain all parts or elements that are material, important, and essential.