Court Opinion

ID: 9570794
Source: CourtListenerOpinion
Date Created: 2023-08-21 20:26:21.101465+00
Date Added: 2024-06-11T12:16:04.034914
License: Public Domain

Hunter, J.
(dissenting) — I dissent. In my opinion the rights of the defendants vested at the time of the filing of their application on May 8, 1969, under the then existing ordinances. The law with regard to vesting of rights is stated in Hull v. Hunt, 53 Wn.2d 125, 130, 331 P.2d 856 (1958), as being that:
[T]he right vests when the party . . . applies for his building permit, if that permit is thereafter issued. This, rule, of course, assumes that the permit applied for and granted be consistent with the zoning ordinances and building codes in force at the time of application for the permit.
We adopted this rule, as the majority indicates, in order to avoid searching
through (to quote from State ex rel. Ogden v. Bellevue, supra [45 Wn.2d 492, 275 P.2d 899 (1954)]) “the moves and countermoves of . . . parties ... by way of passing ordinances and bringing actions for injunctions” — to which may be added the stalling or acceleration of administrative action in the issuance of permits— *501to find that date upon which the substantial change of position is made which finally vests the right.
Hull v. Hunt, supra at 130.
Keeping in mind that we will not search through the moves and countermoves of the parties or administrative or judicial action in the issuance of permits, let us review the facts of this case.
It appears that on May 8, 1969, the defendants completed their application for a building permit. It also appears that a valid permit was finally issued on October 22, 1970. That is, the permit was in conformity with the laws in effect on the date of application. Under Hull v. Hunt, supra, the defendants’ rights vested as of that date, May 8,1969.
If we were to review the moves and countermoves of the various parties involved, we would find that on May 8, 1969, Roanoke Reef Associates (hereinafter referred to as the defendants), completed their application for a building permit. On the same day the superintendent of buildings issued the defendants a conditional permit. There is no provision for such a permit under the Seattle building code. It is a nullity.
We would also find that the defendants in this case were faced with the city’s wrongful refusal to issue the defendants a street access permit. This wrongful behavior on the part of the city caused the delay in the issuance of the building permit until October 22, 1970. While this action was being litigated, there were several ordinance changes as pointed out by the majority. The conditional permit which was issued was renewed. This was a nullity as there was no building permit to renew. However, the fact that the city issued a conditional permit and renewed it on several occasions, does not invalidate the application. There was still an application on file and, on October 22, 1970, a permit was issued on said application. The first renewal would then be 1 year thereafter, which would be automatic in conformity with the ordinance. Seattle code 3.03.020 (h).
It might be argued that there was too great a time lapse *502between the filing of the application and the issuing of the permit. The application was submitted in May of 1969, and the permit was not issued until October of 1970...However, the only conceivable time limitation on applications pending the issuing of a permit is provided in Seattle code 3.03.020 (f). It states in part:
Drawings submitted for checking, for which no permit is issued, and on which no action is taken by the applicant for six months, shall be destroyed one month after written notice is sent to the last known address of the applicant; to renew action on said drawings, new drawings and a payment of a new drawing check fee shall be required.
(Italics mine.)
The record is not clear whether or not there was a 6-months lapse during which time no action was taken upon the application. However, we do note that during this time period the defendants took the affirmative action of applying for renewals of their conditional permit. In addition, they filed the mandamus action against the city to compel the issuance of a street access permit. There is also evidence in the record that numerous contacts took place between the city and the defendants during the interim. The sum total indicates that there was no 6-month period during which no action was taken by the defendants in relation to their application. This view is reinforced by the fact that none of the parties contends there was a 6-month lapse after May 8, 1969, during which time the application would have expired. In any event, no written notice was sent to the applicant of the city’s intention to act under the ordinance, supra.
As heretofore stated, the permit as finally issued does not appear to be in conflict with any of the provisions of the code as of the date of application. What does appear to be in conflict with the provisions of the code is the administrative procedure adopted by the city which was totally outside the control of the defendants. According to the testimony of the superintendent of buildings, the procedure of *503issuing conditional permits had been used in the past when the press of city business prevented the building department from making an immediate structural and ordinance check. Because of the press of city business, he issued the defendants a conditional permit which was conditioned upon a structural and ordinance check. This was totally outside the control of the defendants. The city’s wrongful refusal to issue a street access permit was also totally outside the control of the defendants. The conditional permit which was issued in this case conferred no rights upon the defendants. They could not commence construction. It was,, in effect, nothing more than a notation that the application was being processed.
Where, as here, the city has adopted an administrative procedure which is not in exact conformity with the ordinances under which it operates, and the defendant has in good faith relied upon the city’s action, the state should be estopped from denying the validity of the defendant’s building permit. Finch v. Matthews, 74 Wn.2d 161, 443 P.2d 833 (1968), and the cases cited therein.
In that case, we stated on page 171:
Equitable estoppel may be applied against the claim of the municipality where the acts are within the general powers granted to the municipality even though such powers have been exercised in an irregular and unauthorized manner, assuming that all of the other elements of the doctrine are present, as they are in this case. The rule is well stated in 31 C.J.S. Estoppel § 144 (1964):
■ Although, as discussed supra § 143, a municipality or other governmental agency cannot be estopped by its ultra vires acts, there is nevertheless a broad distinction to be observed between an irregular exercise of a granted power and the total absence or want of power; and the rule is that a municipality or other governmental agency may he estopped, as right and justice may require, where the act or contract relied on to create the estoppel was within its corporate powers, although the method of exercising the power was irregular or unauthorized. (Footnotes omitted.)
This court, has long recognized that in determining *504what acts of a governing body are ultra vires and void, and thus immune from the application of the doctrine of equitable estoppel, it must distinguish those acts which are done wholly without legal authorization or in direct violation of existing statutes, from those acts which are within the scope of the broad governmental powers conferred, granted or delegated, but which powers have been exercised in an irregular manner or through unauthorized procedural means.
(Italics mine. Footnote omitted.)
We then went on to explain that governmental immunity from estoppel is a derivative of the doctrine of sovereign immunity from suit without consent.
The legislature of this state has indicated that sovereign immunity in tort actions is no longer desirable or acceptable. RCW 4.92.090. The modern'trend in both legislative and judicial thinking is toward the concept that the citizen has a right to expect the same standard of honesty, justice and fair dealing in his contact with the state or other political entity, which he is legally accorded in his dealing with other individuals.
Finch v. Matthews, supra at 176.
Under the facts of this case, it would appear that estop-pel is available to the defendants, if necessary, to complete this project in accordance with the permit as granted. See Steele v. Queen City Broadcasting Co., 54 Wn.2d 402, 341 P.2d 499 (1959).
In Steele v. Queen City Broadcasting Co., supra, cited and relied upon by the majority, we addressed a somewhat similar factual situation involving numerous delays upon the builder’s part. In that case, the good faith which is apparent in this case was somewhat lacking. The plans that the defendant submitted with his application called for the construction of a tower on an area smaller than the minimum area authorized by law. There was also evidence to the effect that extensions of the conditional permit were unlawful. The permit that was issued was in violation of a specific prohibition of the code. After determining that the permit conferred no vested rights upon the defendants, we *505stated on page 411: “Whether or not an injunction will issue must be determined by balancing the equities of the parties.”
After balancing the equities between the parties we refused to grant an injunction prohibiting the defendants from finishing their project. See also Bach v. Sarich, 74 Wn.2d 575, 445 P.2d 648 (1968).
By comparison the present case cries for the administration of equity. The defendants should not be penalized for actions which were totally outside their control.
The majority infers, however, that the issuance of the permit on October 22, 1970, was invalid because it included the striking of the conditions on the old permit rather than the issuance of a new permit. Whether the building department issued a new permit or just crossed out the conditions on the old permit is a distinction without a difference. The defendants’ plans were stamped approved on October 22, 1970, and at that time the defendants were qualified for the issuance of a building permit under the ordinances in effect on the date of their application. The defendants cannot be denied their permit because of a somewhat questionable administrative mechanical procedure in the issuance of the permit over which they had no control.
Whether we balance the equities, consider the state es-topped, or apply the rule of Hull v. Hunt, supra, the result is the same; the defendants should be allowed to finish the project which they have started.
The majority holds that an environmental impact statement was not filed in conformity with the State Environmental Policy Act of 1971 (RCW 43.21C), and that the construction therefore cannot proceed until an environmental impact statement is filed by the city. They deem the issuance of the third renewal a “major action” within the contemplation of RCW 43.21C, since the issuance of it involved a discretionary nonduplicative stage of the building department’s approval proceedings relating to this ongoing project. Assuming arguendo that the renewal is an approval stage, the majority is still inconsistent here, as the *506third renewal is related to the conditional building permit issued on May 8, 1969, which it holds to be invalid. The only renewal that can be considered in this case would be that of the valid permit issued in October of 1970.
Under Seattle code 3.03.020(h), as heretofore stated, the builder is entitled to an automatic renewal of his permit 1 year after it is granted. The superintendent of buildings is vested with no discretion in the issuance of the first renewal; it must be issued upon application. As the majority recognizes, no “major action” exists where there is a total absence of discretion upon the part of the governmental agency.
In summary on this issue, it would appear that the defendants were entitled to an automatic renewal of their building permit in October of 1971. Since this renewal did not involve an element of discretion upon the part of the city officers, I would hold that no environmental impact statement was necessary.
One who proceeds with construction in disregard of litigation does so at the risk of being required to remove such construction. Wilbour v. Gallagher, 77 Wn.2d 306, 462 P.2d 232, 40 A.L.R.3d 760 (1969), and Bach v. Sarich, supra. The defendants have been placed in the position of either proceeding with construction at the risk of being required to remove such construction or delaying construction until this litigation is completed. If the defendants do not proceed with the construction, they lose their rights to renewals. Under the Seattle code, in order to justify a renewal after the first renewal, one must be progressing sufficiently to justify the renewal. Where no progress exists, it would appear that the superintendent of buildings would be acting outside of his authority to grant a renewal. It would be unconscionable that the defendants in this case could be placed in the position of losing their right to proceed with construction by reason of the delay resulting from the institution of this action. The running of the time for renewals,, therefore, .under the ordinances, should necessarily be *507tolled during the period the project has been delayed by reason of this litigation. To hold otherwise would be to allow any individual who wished to stop the construction of a building to stop it by instituting an action.
Conceivably, before the next renewal of the building permit after the conclusion of this litigation, if the applicant is able to proceed with the construction of this project, the construction may be completed or have progressed to the extent that there can be no question that to then apply the mandate of the environmental policy act, which was not in force at the beginning of the construction of this project, would constitute a retroactive application which we cannot determine at this time. Moreover, we cannot say that a satisfactory environmental impact statement would not be filed if required at the next renewal date.
The majority is also inconsistent in its discussion as to whether or not the actions of the building superintendent were arbitrary and capricious in rendering the second renewal of what it had already determined to be an invalid conditional permit.
There is no provision in the Seattle code as to the granting of renewals of conditional permits and therefore it is immaterial whether or not the actions of the superintendent of buildings were arbitrary and capricious. As heretofore stated, the only renewals we are concerned with are those running from the effective date of the building permit, October 22, 1970. Any issue as to the validity of any renewals of the conditional permit are a nullity and need not be discussed. As to the other issues raised in this case, I agree with the conclusions of the majority; however, my analysis would be as follows.
The plaintiffs contend that the trial court erred in holding that construction of the Roanoke Reef condominium is exempt from the permit requirements of the Shoreline Management Act of 1971 (RCW 90.58). I disagree, as has the majority.
An analysis of this contention requires consideration of RCW 90.58.140, which provides in part:
*508(2) No substantial development shall be undertaken on shorelines of the state without first obtaining a permit from the government entity having administrative jurisdiction under this chapter.
The plaintiffs argue that actual bona fide construction of Roanoke Reef condominium did not commence until after June 1,1971, the effective date of the Shoreline Management Act of 1971, and thus the defendant should be required to obtain a permit under ROW 90.58.140. All parties agree that Roanoke Reef condominium is a substantial development within the meaning of RCW 90.58.
The trial court found that actual construction commenced upon the condominium project on March 15 and 16, 1971, by the demolition of a portion of the preexisting moorage improvements on the Roanoke property and the driving of 10 steel pipe piles. The plaintiffs do not challenge the fact that the above occurred, but they do challenge the finding that the driving of the 10 steel pipe pilings was the actual commencement of construction. They argue that the driving of the 10 steel pipe pilings, most of which had their original position changed slightly, was merely a dry run, another form of testing, prior to the commencement of construction.
Mr. Johnson, the project manager, testified that the 10 steel pipe pilings were to be permanent pilings according to the Harvey Dodd structural pipe design plan. Mr. Peter Haug, vice-president of Manson Construction and Engineering Company, the company that was hired to drive the piling, testified as follows:
A. They [the pilings] were definitely to be put in a permanent place. I wouldn’t advocate to anybody that for any — almost, any kind of piles that they would put in. something that wouldn’t stay in a permanent position,, because they cost too much to drive, to drive in a temporary location and be moved.
There is also testimony to the effect that Pacific Testing-Laboratories had an inspector on the site when the piles were driven. The record indicates that there is no require-*509meat for Pacific Testing Laboratories to be on the site if the piling is for testing purposes. Apparently, they are required to be present if the piling is to be a permanent part of the structure.
The position of the trial court is further supported by the fact that Gilbert Pile Driving Company was engaged to drive a series of wooden piling in and around the subject property in 1967 and 1968 for the purposes of testing the area.
Where the trial court’s findings are supported by substantial evidence, they will not be overturned. Sheldon v. Hollis, 72 Wn.2d 993, 435 P.2d 988 (1967); Stringfellow v. Stringfellow, 56 Wn.2d 957, 350 P.2d 1003, 353 P.2d 671 (1960), and cases cited therein; Croton Chem. Corp. v. Birkenwald, 50 Wn.2d 684, 314 P.2d 622 (1957).
Since the defendant commenced construction on Roanoke Reef condominium prior to the effective date of the Shoreline Management Act of 1971, the provisions of the act do not apply to said construction. WAC 173-14-050.
The plaintiffs also contend that the Roanoke Reef condominium will be an obstruction to navigation and water recreation and thus the holding of the trial court is in conflict with this court’s holding in Wilbour v. Gallagher, 77 Wn.2d 306, 462 P.2d 232, 40 A.L.R.3d 760 (1969). I disagree, as does the majority.
In the Wilbour case this court ordered that the fills made by the defendants in Lake Chelan be abated insofar as they interfered with the rights of navigation in said lake. The defendants in that case derived their title through deeds which stated on page 314 n.ll, that the property was subject
“to the perpetual right to raise the waters of Lake Chelan, Washington to the elevation of eleven Hundred (1100) feet above mean sea level, and to perpetually inundate and overflow [said property] to said elevation of eleven hundred (1100) feet above mean sea level.”
The majority’s opinion in the Wilbour case, as stated on page 313, was based upon the premise that:
*510There was no private ownership of the land under Lake Chelan in its natural state, and no right to obstruct navigation.
This is the main factor which distinguishes the Wilbour fact situation from the one in the instant case. In the instant case, we are dealing with land under Lake Union that was sold into private ownership by the state without limitations, comparable to the same classification as tidelands deeded by the state to private ownership in Harris v. Hyle-bos Indus., Inc., 81 Wn.2d 770, 505 P.2d 457 (1973).
The Harris case is dispositive of this issue. We therein stated on pages 785-86:
[N]one of the cases cited herein pertaining to the legal status of tidelands deeded to private individuals by the state were considered pertinent to the question before the court in that case [Wilbour v. Gallagher, 77 Wn.2d 306, 462 P.2d 232, 40 A.L.R.3d 760 (1969)]. The obvious reason is that such tidelands, as we have heretofore pointed out, have never been classified by the state as navigable waters, but rather have been treated as land. Particularly, where such lands lie in city harbors, as here, they have been regarded as most suitable for reclamation and for dedication to the purposes of commerce and industry.
. . . The legislative intent regarding the use of tidelands in harbors of cities is manifestly that the navigable portions of such harbors, behind the harbor lines, shall consist of commercial waterways, and that the filling and reclaiming of the tidelands which have been sold to private parties shall be encouraged.
(Footnote omitted.)
I would affirm the decision of the trial court.
Wright, J., concurs with Hunter, J.
Petition for rehearing denied December 13, 1973.