Opinion ID: 1746375
Heading Depth: 2
Heading Rank: 2

Heading: arbitrary and capricious/due process/estoppel

Text: EnviroClean's second broad assignment of error is that the revocation of the permit was arbitrary, capricious, and an abuse of discretion; made upon unlawful procedure in excess of ADPC & E's statutory authority; and made in violation of statutory provisions and EnviroClean's constitutional due process rights. EnviroClean also includes a claim that ADPC & E should be estopped from revoking the permit. EnviroClean argues ADPC & E engaged in a selective, arbitrary, and capricious action against EnviroClean because ADPC & E had not previously required notice of a change in a permittee's stockholders. EnviroClean also claims that because there is no regulation requiring the disclosure of a change in ownership or control of a permittee, ADPC & E had no discretion to revoke EnviroClean's permit and this court should not give any deference to ADPC & E's revocation. We have already pointed out that air permitting decisions are within ADPC & E's police power and statutory authority and that such decisions of an executive agency are thus entitled to judicial deference on appeal. Land Developers, Inc., 284 Ark. 179, 680 S.W.2d 909. We need not decide whether the Commission's revocation was arbitrary or capricious since it automatically follows that where substantial evidence is found, a decision cannot be classified as unreasonable or arbitrary. Wright, 311 Ark. 125, 842 S.W.2d 42. EnviroClean argues its due process rights were violated in three respects: (1) there was no promulgated rule or regulation requiring the disclosure of a change in ownership or control of a permittee; (2) the existing rules and regulations are void for vagueness; and (3) because ADPC & E's amended notice of revocation for misrepresentation and failure to fully disclose information amounted to a post-revocation attempt to supplement the initial basis for the revocationa transfer in violation of the permit. These claims are moot. The permit itself prohibited transfer of the permitted facility and we have just held there was substantial evidence to support the finding that a transfer did occur in violation of the permit. Therefore, no rule or regulation is required to authorize the revocation. We do not decide moot issues. Arkansas Dep't. of Human Servs. v. M.D.M. Corp., 295 Ark. 549, 750 S.W.2d 57 (1988). Also under this broad assertion of error, EnviroClean includes a claim that because ADPC & E assured EnviroClean that a sale of stock would not affect the permit, ADPC & E is estopped from revoking the permit. EnviroClean relies on Foote's Dixie Dandy v. McHenry, 270 Ark. 816, 607 S.W.2d 323 (1980) for the proposition that state agencies may be subject to estoppel in certain situations. However, EnviroClean overlooks that part of Foote's Dixie Dandy stating that [m]en must turn square corners when they deal with the government. Foote's Dixie Dandy, 270 Ark. at 824, 607 S.W.2d at 327 (quoting Rock Island, Arkansas & Louisiana R.R. v. United States, 254 U.S. 141, 143, 41 S.Ct. 55, 56, 65 L.Ed. 188 (1920)). The hearing officer found that estoppel was not available to EnviroClean because it was not completely truthful with ADPC & E. We cannot say the hearing officer erred in making this finding.