Opinion ID: 2337056
Heading Depth: 1
Heading Rank: 4

Heading: the constitutionality of the proposed transfers and delegations

Text: We believe that the proposed transfers and delegations would not violate any of the provisions of the Rhode Island Constitution. There are three potential constitutional grounds upon which an individual or an entity could challenge the proposed actions: (1) as an unconstitutional delegation of legislative authority to RIAC, (2) as an unconstitutional delegation of governmental authority to private persons or entities, and (3) as an unconstitutional exercise of executive authority. For the reasons that follow, we do not believe that any of these potential constitutional challenges withstands scrutiny. Beginning with the issue of the delegation of legislative authority to an executive-branch agency, we already have held that the powers delegated to RIPA and hence to its subsidiaries were not an unconditional delegation of legislative power in violation of the Rhode Island Constitution. Advisory Opinion to the Governor, 113 R.I. 586, 596, 324 A.2d 641, 647 (1974). We see no reason to reexamine this issue and conclude that the delegation of managerial and regulatory authority to RIAC satisfies our rules prohibiting unconditional delegations to administrative agencies. Turning to the second constitutional argument, we recognize that there is a line of cases that hold legislative attempts to delegate governmental functions to private persons or entities unconstitutional. City of Warwick v. Warwick Regular Firemen's Association, 106 R.I. 109, 113, 256 A.2d 206, 209 (1969) (indicating that delegations of legislative functions to private persons may violate the Rhode Island Constitution). 1253/> See also In re North Jersey District Water Supply Commission, 175 N.J. Super. 167, 206, 417 A.2d 1095, 1115 (1980) (holding that subdelegations to private persons or entities are constitutionally suspect because such person or entity is not subject to public accountability). We do not believe, however, that the delegation of managerial and regulatory power to RIPA and its subsidiary, RIAC, would violate this constitutional doctrine because these agencies are not private entities. It is true that § 42-64-4(a) describes RIPA as a public corporation of the state having a distinct legal existence from the state. This separate corporate nature, however, is combined with a number of public attributes. Most importantly, the actions of RIPA and its subsidiaries are subject to the provisions of Rhode Island's Administrative Procedures Act, as codified in G.L. 1956 (1988 Reenactment) chapter 35 of title 42. Section 42-35-1(b). The safeguards found in the Administrative Procedures Act, including but not limited to the availability of judicial review of RIAC's actions, serve as a limit on potentially arbitrary agency action. See §§ 42-35-15.1 and 42-35-16. We conclude that although RIAC certainly has some distinct corporate attributes, it is primarily and sufficiently public in nature so as to withstand a constitutional challenge on the ground that the General Assembly unconstitutionally delegated governmental authority to a private entity or on the ground that the director of the DOT unconstitutionally subdelegated governmental authority to a private entity. The contemplated transfers outlined above also would not accomplish an unconstitutional exercise of executive-branch authority. As noted earlier in this opinion, Your Excellency's proposed actions are consistent with all the statutes pertaining to this matter. See In re State Employees' Unions, 587 A.2d 919 (R.I. 1991) (recognizing broad executive-branch authority when the Governor seeks to act in a manner consistent with statutory mandates). Because we believe Your Excellency's proposals accord with the will of the General Assembly, we conclude that the proposed actions would not run afoul of the constitutional limitations on executive-branch action. Finally we address the suggestion of a number of senators who filed a statement with this court that it is contrary to sound public policy that such a major transfer should take place without the approval of the General Assembly which represents the people of our state. These senators suggest that the proper method by which the director of the DOT should accomplish this transfer of power is to submit a comprehensive legislative package to the General Assembly for consideration. We agree that comprehensive legislation accomplishing these transfers would have been an alternative to our analysis and construction of the several statutes outlined in this opinion. Our role, however, is not to require Your Excellency to chart a particular political course. Our obligation is to determine whether the proposed actions would violate the Rhode Island Constitution and the General Laws of this state. We have performed this function and conclude that the proposed transfers and delegations would be legal in all respects. Respectfully submitted, ____________________________ Chief Justice Thomas F. Fay ____________________________ Justice Joseph R. Weisberger ____________________________ Justice Florence K. Murray ____________________________ Justice Donald F. Shea ____________________________ Justice Victoria Lederberg