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NO. COA01-206
NORTH CAROLINA COURT OF APPEALS
Filed: 7 May 2002
GUILFORD FINANCIAL SERVICES, LLC,
Petitioner,
v
.
THE CITY OF BREVARD, a municipal corporation,
Respondent.
Appeal by petitioner from judgment entered 2 November 2000 by
Judge J. Marlene Hyatt in Transylvania County Superior Court.
Heard in the Court of Appeals 28 November 2001.
Smith, Helms, Mullis & Moore, L.L.P., by James G. Exum, Jr.
and Robert R. Marcus, and Van Winkle, Buck, Wall, Starnes and
Davis, P.A., by Craig D. Justus, for petitioner-appellant.
Ramsey, Hill, Smart, Ramsey & Pratt, P.A., by Michael K. Pratt
and James M. Kimzey, for respondent-appellee.
HUDSON, Judge.
Guilford Financial Services, LLP (petitioner) appeals from
a judgment by the superior court affirming the disapproval by the
City of Brevard (the City) of petitioner's preliminary
subdivision plat. For the reasons given below, we vacate and
remand to the superior court for remand to the Brevard City Council
(the Council) for further proceedings.
I.
Petitioner seeks to develop an affordable housing community
called Laurel Village on approximately five acres located in the
City near Outland Avenue. On 28 January 2000, petitioner filed a
preliminary subdivision plat with the City's Technical Advisory
Committee (the Committee). The initial plat showed the sitebeing subdivided into fifteen lots containing a community building
and fourteen duplexes. The duplexes comprised twenty-eight units,
each having one, two, or three bedrooms. After reviewing the plat,
the Committee suggested several changes, none of which are at issue
here. Except for the suggested changes, the Committee believed
that the preliminary plat complied with the City's Zoning Ordinance
and Subdivision Regulations. The Committee recommended that the
City's Planning and Zoning Board (the Planning Board) approve the
preliminary plat subject to six enumerated conditions and/or
contingencies.
The Planning Board first considered the preliminary plat at
its 15 February 2000 meeting. Some members of the Planning Board
and a neighboring resident expressed concerns regarding increased
traffic outside the development. The Planning Board tabled
consideration of the plat until a later meeting so that traffic
information could be obtained.
Subsequent to the 15 February meeting of the Planning Board,
petitioner revised the preliminary plat. The revised plat showed
sixteen lots containing fifteen duplexes and a community building.
The duplexes in the revised plat comprised thirty units: twenty-
eight one-bedroom units and two two-bedroom units. The basic lot
and street layout were unchanged. Petitioner explained that the
design was changed following a decision to target the elderly and
disabled rather than families.
The Planning Board considered the revised preliminary plat at
its 21 March 2000 meeting. A neighboring resident presented thePlanning Board with a petition containing 147 signatures of those
opposed to the development and read a statement detailing the
reasons for their opposition. These reasons included traffic
impact and safety. Two neighbors addressed the Planning Board and
expressed their concerns related to other matters. A member of the
Planning Board questioned whether the proposed development complied
with the density requirements of the City's Subdivision Regulations
and Land Use Plan. Ultimately, the Planning Board approved the
preliminary plat with three conditions, none of which is relevant
to this appeal.
Following the Planning Board's recommendation to approve the
preliminary plat, the Council held a public hearing on the matter
on 17 April 2000. The Council listened to a presentation from
petitioner's counsel and petitioner's land surveyor and engineer
and to a presentation from the attorney representing a group of
residents in the affected neighborhood who opposed the plan. The
attorney representing the neighborhood group submitted a petition
to Council, signed by over 150 people, expressing opposition to the
plan. The Council then allowed citizens to comment on the proposed
plan and accepted their written comments.
(See footnote 1)
The Council voted to continue the public hearing until 1 May
2000 in order to accommodate all citizens who wanted to be heard. On 15 May 2000, the Council again resumed the public hearing. The
City Manager advised the Council that the Planning Board had
determined that the proposed subdivision conformed to the City's
Zoning Ordinance and Subdivision Regulations; he did not address
whether the plat conformed to the density requirements of the Land
Use Plan. In the interim between the 17 April and 15 May meetings
of the Council, petitioner had submitted a third preliminary plat,
in which revisions had been made to address the conditions imposed
by the Planning Board on the revised plat. One Council member
expressed confusion regarding which of the three plats was actually
before the Council. Council members expressed their concerns
regarding increased traffic from and the density of the proposed
development. Ultimately, the Council voted to disapprove the
preliminary plat.
Pursuant to the Subdivision Regulations, the reasons for the
Council's disapproval were recorded in a letter to petitioner,
dated 13 July 2000 (the Letter). The Letter states that the
reasons for the Council's decision include:
(1) Section 90 of the [Subdivision
Regulations] provides that the Council may
consider a higher standard than those included
in the [Subdivision Regulations], if the
[Subdivision Regulations] minimum standards do
not reasonably protect or provide for the
public health safety or welfare. Council
considered the public health, safety and
welfare in making their decision;
(2) Section 703.1 of the [Zoning
Ordinance] speaks to density, and requires
that two-family dwellings be unconcentrated.
Council was concerned that the proposed
subdivision plat violates this section by
concentrating the number of two-familydwellings in one small area;
(3) Your clients confused Council by
presenting different versions of the plat for
consideration. While it was my opinion that
Council was reviewing the preliminary plat
dated January 27, 2000, some members of
Council apparently thought that they were
reviewing the preliminary plat dated February
29, 2000. This confusion made it difficult
for Council to make a decision in connection
with this matter. In fact, I was somewhat
confused on that, and stated at the May 15
meeting, that it was the February 29, 2000,
plat that we were reviewing, when I now
believe that to be an error;
(4) Council was concerned about the width
and present layout of Outland Avenue with
regard to the issues of safety, health and
general welfare. They were concerned that the
new development might present traffic hazards
and safety concerns in that neighborhood;
(5) Council wanted further clarification
on several issues regarding safety, health and
general welfare from the Planning Board;
(6) Council was concerned about how the
language of Section 703.1 [of the City's
Zoning Ordinance] containing the
unconcentrated language referred to
hereinabove, is modified or affected by
Section 703.5112, containing a 10,000 square
foot requirement.
Petitioner appealed the Council's disapproval of its
preliminary plat to the superior court, which affirmed the
Council's decision. Petitioner now appeals the superior court's
decision.
II.
The General Assembly authorized cities to regulate the
subdivision of land by enacting N.C. Gen. Stat. § 160A-371 (1999).
If a city chooses to adopt a subdivision ordinance, that ordinance:shall contain provisions setting forth the
procedures to be followed in granting or
denying approval of a subdivision plat prior
to its registration.
The ordinance may provide that final
approval of each individual subdivision plat
is to be given by
(1) The city council,
(2) The city council on recommendation of
a planning agency, or
(3) A designated planning agency.
N.C. Gen. Stat. § 160A-373 (1999).
The City of Brevard has chosen the second alternative provided
by N.C.G.S. § 160A-373. Its Subdivision Regulations set out
specific requirements with which a developer must comply and vests
discretion with the Council in determining whether the application
ultimately should be approved or denied. Section 85.8 of the
City's Subdivision Regulations provides:
Upon receipt of the preliminary plat and the
planning board's recommendation, the city
council shall hold a public hearing in
accordance with the provisions of G.S. 160A-
364. The city council shall then review the
plat at its next regularly scheduled meeting
and decide approval or disapproval. If the
city council decides disapproval, the reasons
for such action shall be stated in writing,
and specific references shall be made to
regulations with which the preliminary plat
does not comply.
By adopting these procedures, the City has provided that these
decisions be made in a quasi-judicial forum. The City argues that
the process is legislative because of the reference in its
Subdivision Regulations to N.C. Gen. Stat. § 160A-364, which
specifies that before adopting or amending an ordinance a city must
hold a public hearing preceded by notice as prescribed by the
statute. See N.C. Gen. Stat. § 160A-364 (1999). We do notbelieve, however, that the type of notice determines the nature of
the proceeding. Rather, the type of decision to be made is the
critical factor. See County of Lancaster v. Mecklenburg County,
334 N.C. 496, 507, 434 S.E.2d 604, 612 (1993) (characterizing
quasi-judicial decisions as those involv[ing] the application of
zoning policies to individual situations); Northfield Dev. Co. v.
City of Burlington, 136 N.C. App. 272, 282, 523 S.E.2d 743, 750
(Quasi-judicial decisions involve the application of ... policies
to individual situations rather than the adoption of new policies.
(internal quotation marks omitted) (alteration in original)),
aff'd, 352 N.C. 671, 535 S.E.2d 32 (2000) (per curiam). Thus,
while [t]he purpose of a legislative hearing is to secure broad
public comment on the proposed action, the purpose of a quasi-
judicial hearing on an individual project . . . is to gather
evidence in order to make factual findings. David W. Owens,
Legislative Zoning Decisions 53 (2d ed. 1999); see generally id. at
10-11 (discussing the various types of zoning decisions).
The dissent would have this Court require approval on the
ground that the subdivision approval decision is automatic, and of
right, once minimum requirements are met. While there are cases
indicating that in some circumstances a petitioner is entitled to
a permit as of right upon a prima facie showing of compliance with
minimum requirements, those cases are based on different ordinances
and do not apply here. See, e.g., Nazziola v. Landcraft Props.,
Inc., 143 N.C. App. 564, 566, 545 S.E.2d 801, 803 (2001)
(characterizing as ministerial an ordinance providing that'[t]he Site Plan or Plot Plan shall be approved when it meets all
requirements of this ordinance'). Here, the Subdivision
Regulations specifically give the Council discretion to disapprove
the proposed subdivision.
While the City of Brevard could have adopted a ministerial
subdivision ordinance, it did not. Instead, the City has enacted
an ordinance establishing a quasi-judicial process, and
specifically giving the City discretion to disapprove a proposed
subdivision. The General Assembly clearly granted it the authority
to do so, and we are bound to review this case by reference to the
particular ordinance involved. We have not found other similar
ordinances in North Carolina, and this analysis does not apply to
any municipality whose ordinances establish a different type of
process for subdivision approval.
In Refining Company v. Board of Aldermen, 284 N.C. 458, 202
S.E.2d 129 (1974), our Supreme Court set out the requirements for
a quasi-judicial proceeding. The Council was required to:
(1) follow the procedures specified in the
ordinance; (2) conduct its hearings in
accordance with fair-trial standards; (3) base
its findings of fact only upon competent,
material, and substantial evidence; and (4) in
allowing or denying the application, . . .
state the basic facts on which it relied with
sufficient specificity to inform the parties,
as well as the court, what induced its
decision.
Id. at 471, 202 S.E.2d at 138. The Council here did not conduct
its hearing in accordance with fair-trial standards, nor did it
state the facts upon which it based its denial with sufficient
specificity to allow the court to review its decision. The essential elements of a fair trial are:
(1) The party whose rights are being
determined must be given the opportunity to
offer evidence, cross-examine adverse
witnesses, inspect documents, and offer
evidence in explanation and rebuttal;
(2) absent stipulations or waiver such a board
may not base findings as to the existence or
nonexistence of crucial facts upon unsworn
statements; and (3) crucial findings of fact
which are unsupported by competent, material
and substantial evidence in view of the entire
record as submitted cannot stand.
Id. at 470, 202 S.E.2d at 137 (citation and internal quotation
marks omitted). Here, the City Attorney clearly believed and
apparently advised the Council that the proceeding was legislative;
he has continued to take the position, even before this Court on
appeal, that it was a legislative proceeding. Indeed, the City
Attorney acknowledged in the hearing before the superior court that
if [the proceeding] should have been a quasi-judicial hearing, I
think we have to start from scratch, because the only thing I could
see the Court doing is remanding it, to put witnesses under oath
and start over again. In response, counsel for petitioner stated
that petitioner waived certain procedural rights guaranteed by
Refining Company.
The proceedings conducted by the Council, believing the
process was legislative, do not bear any of the hallmarks of a
fair trial. The entire process was designed to provide comment
and opinion, not to produce evidence or to resolve factual issues.
(See footnote 2)
Counsel for petitioner attempted after the fact to waive the right
to have witnesses sworn and to cross-examine witnesses. This does
not alter the fundamental legislative nature of what should have
been a quasi-judicial proceeding.
Additionally, the Council failed to making findings of fact
with sufficient specificity to inform the parties, as well as the
court, what induced its decision. Id. at 471, 202 S.E.2d at 138.
The Council merely stated that it had considered the public health,
safety and welfare, expressed its concerns regarding density and
traffic issues, and expressed its confusion over which plat was
before it for review. Moreover, the Council had to revisit the
matter once the City Attorney told Council members that they had to
give reasons for their denial of the application in accordance with
the ordinance; until that point, the Council apparently thought all
it had to do was vote.
Our Supreme Court has acknowledged that we should give
latitude to findings made by lay bodies, such as a city council:
Since . . . city councils are generally composed of laymen who do
not always have the benefit of legal advice, they cannot reasonably
be held to the standards required of judicial bodies. Id. at 470,
202 S.E.2d at 137. However, the Council here did not make anyproper findings of fact, and its statements of concern are too
generalized for us to conduct a review.
For example, as evidenced by paragraph three of the Letter,
the Council specifically declined to decide which plat was before
it for review. In addition, the Council stated in its Letter that
it was concerned that the new development might present traffic
hazards and safety concerns in that neighborhood. The Council
failed to make any specific finding regarding traffic increase due
to the development. In its brief, the City cites a memorandum from
the City's Planning Director to the Planning Board, in which it is
stated that Travis Marshall, a Transportation Engineer with the
N.C. Department of Transportation, opined that the proposed
development would generate an average of four daily trips per unit.
According to the City, based on calculations that do not appear in
that part of the record that was before the Council, this
constitutes a 39% increase. Petitioner cites in its brief another
memorandum from the City's Planning Director to the Planning Board,
observing that Reuben Moore, a Division Engineer with the N.C.
Department of Transportation, [b]ased upon his professional
opinion and his familiarity with a similar project in Sylva, . . .
estimated two trips per day, which would have an imperceptible
impact on the existing traffic. The Council neither acknowledged
nor resolved this conflicting evidence.
Although the dissent would have us find facts based on the
record before us on appeal, it is clear that [i]t is not the
function of the reviewing court, in such a proceeding, to find thefacts but to determine whether the findings of fact made by the
[governing body] are supported by the evidence before the
[governing body] and whether the [governing body] made sufficient
findings of fact. Rentals, Inc. v. City of Burlington, 27 N.C.
App. 361, 364, 219 S.E.2d 223, 226 (1975); see Long v. Board of
Adjustment, 22 N.C. App. 191, 205 S.E.2d 807 (1974). In Triple E
Associates v. Town of Matthews, 105 N.C. App. 354, 413 S.E.2d 305,
disc. review denied, 332 N.C. 150, 419 S.E.2d 578 (1992), cited by
the dissent, we remanded the case back to the Town Board with
instructions to conduct a de novo evidentiary hearing . . . and to
make specific findings of fact, id. at 362, 413 S.E.2d at 310,
after we determined that some of the evidence on which the Town
Board had relied to deny a permit was not competent and material,
see id. at 360, 413 S.E.2d at 309. [W]e [were] not prepared to
say that all of the Town's evidence regarding the [relevant issue]
was not competent and material so as to be insufficient to rebut
petitioners' showing of compliance with the ordinance in question,
and we recognized that we do not find the facts, in lieu of the
Town Board. Id. at 360-61, 413 S.E.2d at 309. On remand, the
Council should make factual findings that are sufficiently specific
to enable review.
III.
Since the Council did not resolve the critical issues of fact
in a quasi-judicial hearing, we cannot adequately review its
ultimate decision to disapprove the subdivision application.
Accordingly, we remand to the superior court for further remand to
the Brevard City Council, so that the Council may conduct
additional proceedings consistent with the requirements of
Refining
Company. See Rentals, Inc., 27 N.C. App. at 365, 219 S.E.2d at 227
(remanding to superior court for order directing that a further
hearing be held by the Board [of Adjustment] for a determination,
on competent and substantial evidence, of petitioner's asserted
rights).
Vacated and remanded.
Judge TIMMONS-GOODSON concurs.
Judge TYSON concurs in part and dissents in part.
=================================
TYSON, Judge, concurring in part and dissenting in part.
I concur in part II of the majority opinion to the extent that
the proper forum is a quasi-judicial and not a legislative hearing.
I respectfully dissent from the remainder of part II and part III
of the majority opinion. I would hold that petitioner complied
with the requirements in the Zoning Ordinance and Subdivision
Regulations and is entitled to approval of its subdivision plat.
Compliance with the requirements of the ordinance and
regulations ensures that each application for approval of a
subdivision plat will be considered on its own merits, and notgranted or denied based on improper or irrelevant factors.
See
Clark v. City of Asheboro, 136 N.C. App. 114, 119, 524 S.E.2d 46,
50 (1999). It also provides predictability of future use, as well
as the approval process.
Id.
An applicant seeking approval for a subdivision plat who
produces competent, material, and substantial evidence of
compliance with the requirements of the ordinance and regulations,
establishes a
prima facie case of entitlement to approval.
Id. at
119-20, 524 S.E.2d at 50 (citing
Coastal Ready-Mix Concrete Co. v.
Board of Commissioners, 299 N.C. 620, 625, 265 S.E.2d 379, 382
(1980));
Triple E Assocs. v. Town of Matthews, 105 N.C. App. 354,
358-59, 413 S.E.2d 305, 308 (1992). The disapproval of the plat
must be based upon findings contra which are supported by
competent, material, and substantial evidence appearing in the
record.
Id. (citations omitted).
I concur with the majority that the Brevard City Council's
(Council) decision to disapprove the preliminary subdivision plat
was a quasi-judicial action. However, the unique requirement of a
public hearing for subdivision plat approval does not relieve the
Council of its legal obligation to approve the plat if the
requirements of the Ordinance and Subdivision Regulations are met.
I. Standard of Review
The proper standard of review of a decision by a city council
acting in a quasi-judicial capacity in the context of conditional
use permits was announced by our Supreme Court in Coastal Ready-Mix
Concrete Co. v. Board of Commissioners, supra. The Court held thatthe task of the reviewing court includes:
(1) Reviewing the record for errors in law,
(2) Insuring that procedures specified by law
in both statute and ordinance are followed,
(3) Insuring that appropriate due process
rights of a petitioner are protected including
the right to offer evidence, cross-examine
witnesses, and inspect documents,
(4) Insuring that decisions of town boards are
supported by competent, material and
substantial evidence in the whole record, and
(5) Insuring that decisions are not arbitrary
and capricious.
Id. at 626, 265 S.E.2d at 383.
In reviewing the sufficiency and competency of the evidence,
this Court determines not whether the evidence before the superior
court supported that court's order[,] but whether the evidence
before the Town Council supported the Council's action. Ghidorzi
Constr., Inc. v. Town of Chapel Hill, 80 N.C. App. 438, 440, 342
S.E.2d 545, 547 (1986). The evidence before the Council supported
the approval of the preliminary subdivision plat for Laurel
Village.
The proper standard for judicial review depends upon the
particular issues presented on appeal. Amanini v. North Carolina
Dep't of Human Resources, 114 N.C. App. 668, 674, 443 S.E.2d 114,
118 (1994). Reviewing courts conduct a de novo review when a
party alleges an error of law in the Council's determination and
use a whole record test when sufficiency of the evidence is
challenged or when a decision is alleged to have been arbitrary or
capricious. See In re Willis, 129 N.C. App. 499, 501, 500 S.E.2d
723, 725 (1998).
II. Fair-trial Standards
The majority opinion avoids addressing the complex merits of
petitioner's appeal, and seeks to remand to the Council for a new
hearing in accordance with fair-trial standards and findings of
fact with sufficient specificity to inform the parties, as well as
the court, what induced its decision. I would hold that the
public hearing before the Council was not procedurally flawed and
that remand for a new hearing is unnecessary. See Howard v. City
of Kinston, ___ N.C. App. ___, ___, 558 S.E.2d 221, 226 (2002).
Petitioner in this case does not contend that it was denied
the procedural guarantees required in a quasi-judicial hearing.
Both the petitioner and the opposition were represented by counsel
at all hearings before the Council. Both sides made statements to
the Council in explanation for their proposition of approval or
denial and rebuttal of statements or information given by the other
side or witnesses.
The Council received: (1) the staff reports concerning
traffic information and density; (2) a petition signed by
neighboring residents opposed to the development; (3) letters from
concerned citizens and heard unsworn statements from six concerned
citizens, for and against the development, at the 17 April 2000
public hearing; and (4) additional letters from concerned citizens
and heard unsworn statements from twenty concerned citizens, for
and against the development, at the 1 May 2000 public hearing.
Neither petitioner nor the opposition made a request that
those concerned citizens be sworn, that they have the right to
cross-examine the witnesses, or that they have the right to presentevidence in rebuttal. The right to insist that the witnesses be
under oath, the right to cross-examine witnesses, and the right to
present evidence in rebuttal are waivable and are not crucial for
proper review by this Court. See Howard, supra; Craver v. Zoning
Bd. of Adjustment of Winston-Salem, 267 N.C. 40, 42, 147 S.E.2d
599, 601 (1966); Burton v. New Hanover County Zoning Bd. of
Adjustment, 49 N.C. App. 439, 442, 271 S.E.2d 550, 552 (1980).
III. Findings of Fact
After receiving, hearing, and reviewing all of the evidence,
the Council entered specific findings of fact in support of its
conclusion to disapprove the plat. The Council denied approval of
the plat for three primary reasons: (1) section 90 of the
Subdivision Regulations, (2) section 703.1 of the Zoning Ordinance,
and (3) confusion over which plat was being considered.
The superior court made an additional finding for denial: the
requirements of the City's Land Use Plan. Respondent's letter to
petitioner, dated 13 July 2000, does not recite noncompliance with
the Land Use Plan as a basis for the disapproval. [A] reviewing
court, in dealing with the determination . . . which an
administrative agency alone is authorized to make, must judge the
propriety of such action solely by the grounds invoked by the
agency. Godfrey v. Zoning Bd. of Adjustment of Union County, 317
N.C. 51, 64, 344 S.E.2d 272, 279-80 (1986) (citations omitted). It
was error for the superior court to substitute this reason and rely
on it in affirming the decision of the Council. See Ballenger
Paving Co. v. North Carolina State Highway Comm'n, 258 N.C. 691,695, 129 S.E.2d 245, 248 (1963) (review pursuant to writ of
certiorari of an administrative decision is for error of law only
and the superior court judge may not make additional findings).
I disagree with the majority's opinion that the Council failed
to make sufficient findings of fact and merely expressed
concerns. The fact that the Council expressed concerns
regarding traffic issues and density does not negate the fact that
the Council made specific findings of fact. The record reflects
that the findings contra to approval were not supported by
competent, material, and substantial evidence.
IV. Competent, Material, and Substantial Evidence
In its petition for judicial review, petitioner argued that
the decision of the Council was not supported by substantial
evidence, was arbitrary and capricious, and was affected by errors
of law. Therefore, we apply a de novo review as to errors in law
and the whole record test as to whether the decision was supported
by substantial evidence, or was arbitrary and capricious. See
Willis, 129 N.C. App. at 501, 500 S.E.2d at 725.
A. Subdivision Regulations
In disapproving the preliminary plat, the Council relied on
section 90 of the Subdivision Regulations, stating that:
Section 90 of the Code provides that the
Council may consider a higher standard than
those included in the Code, if the Code
minimum standards do not reasonably protect or
provide for the public health safety or
welfare. Council considered the public
health, safety and welfare in making their
decision.
The Council cited public health, safety, and welfare concerns withrespect to the width and layout of Outland Avenue, the public
access adjoining the proposed development, and, particularly, an
increase in traffic.
There is no evidence in the record to support the disapproval
of the plat on the basis of public health, safety, and welfare
pursuant to section 90 of the Subdivision Regulations. The
information furnished by the Brevard Police Department was before
the Council as part of a staff report by the Planning Director, and
indicated that the traffic count for Outland Avenue was 290 vehicle
trips, within a twenty-four hour period, and that zero to one
accident occurred on Outland Avenue between 1995 and 1999. Reuben
Moore, Division Engineer with the North Carolina Department of
Transportation, informed the Planning Director that the proposed
development would average two daily trips per unit. Travis
Marshall, Transportation Engineer with the North Carolina
Department of Transportation, informed the Planning Director that
the proposed development would average four daily trips per unit.
Respondent argues and the superior court found that the proposed
development would increase traffic by thirty-nine percent. The
percentage of traffic increase standing alone without additional
evidence of the impact of that increase is irrelevant.
Additionally, Reuben Moore stated to the Planning Director that the
impact on traffic from the proposed development would be
imperceptible. There was no other evidence before the Council to
contradict this opinion. Accordingly, there is no evidence to
support this finding by the Council or superior court.
B. Zoning Ordinance
The Council also cited section 703.1 of the Zoning Ordinance
as a reason for disapproving the preliminary plat, stating that:
Section 703.1 of the Code speaks to density,
and requires that two-family dwellings be
unconcentrated. Council was concerned that
the proposed subdivision plat violates this
section by concentrating the number of two-
family dwellings in one small area.
The Council raised a concern as to the meaning of unconcentrated
as stated in the Purpose section and the specific minimum lot
requirement of 10,000 square feet stated in section 703.51 of the
Zoning Ordinance. The general rule is that a zoning ordinance,
being in derogation of common law property rights, should be
construed in favor of the free use of property. See Yancey v.
Heafner, 268 N.C. 263, 266, 150 S.E.2d 440, 443 (1966); City of
Sanford v. Dandy Signs, Inc., 62 N.C. App. 568, 569, 303 S.E.2d
228, 230 (1983). This construction is particularly required where
petitioner's proposed use is an expressly permitted use of right
under the Zoning Ordinance.
The parcel of land upon which petitioner proposes to develop
Laurel Village is zoned R-2 Residential. Duplex dwellings are
expressly permitted uses of right under section 703.2 of the Zoning
Ordinance. The purpose for R-2 zoning is stated in section 703.1:
Purpose. This district is established to
protect areas in which the principal use of
the land is for medium density single and
unconcentrated two-family dwellings and for
related recreational, religious, and
educational facilities normally required to
provide for an orderly and attractive
residential area.
The minimum lot areas for R-2 zoning are defined in section 703.51.
Subsection 703.5112 states that the minimum lot area for a duplex
is 10,000 square feet.
Respondent argues that unconcentrated in the Purpose
section is an additional requirement to the minimum lot area of
10,000 square feet. I disagree. In statutory construction, the
sections of the Zoning Ordinance are read in para materia, and not
in isolation of one another.
This Court held in C. C. & J. Enterprises, Inc. v. City of
Asheville, 132 N.C. App. 550, 554, 512 S.E.2d 766, 770 (1999), that
a generalized statement of intent of the specifications that
follow cannot be used as a basis to reject a permit that meets all
the requirements. The purpose of the R-2 district is to protect
areas in which the principal use of the land is for medium density
single and unconcentrated two-family dwellings. . . . Article IV
of the Zoning Ordinance specifically defines density as [t]he
number of dwelling units per acre [of] land developed or used for
residential purposes. Unless otherwise clearly stated, density
requirements in this ordinance are expressed in dwelling units per
net acre . . . . (emphasis supplied). Section 703.5112
specifically states the minimum lot area required to meet the
purpose of unconcentrated two-family dwellings. In light of the
definition of density and section 703.5112 of the Zoning Ordinance,
I conclude that the statement of purpose in section 703.1 is only
a generalized statement of intent of the specifications that
follow. Respondent argues that in the case of statutory construction,
the word unconcentrated must be given its ordinary meaning - not
clustered or gathered together closely. The superior court found
that, using the ordinary meaning of unconcentrated, fifteen
duplexes on sixteen lots is not unconcentrated. There is no
evidence to support this finding by the Council and superior court.
Unconcentrated is a general term set out in the Purpose section
and, when read in para materia, is specifically defined in section
703.51 and subsection 703.5112 of the Zoning Ordinance.
[W]here a zoning ordinance specifies standards to apply in
determining whether to grant a special use permit and the applicant
fully complies with the specified standards, a denial of the permit
is arbitrary as a matter of law. Woodhouse v. Board of Comm'rs of
Nags Head, 299 N.C. 211, 219, 261 S.E.2d 882, 887 (1980) (citation
omitted). Here, petitioner fully complied with the standards
specified in the Subdivision Regulations and Zoning Ordinance.
Both the City Manager and the City Attorney advised the Council
that the preliminary plat was in full compliance.
Statements by the Council members that It bothers me to see
things like that [children riding their bicycles, skating down the
street, playing ball in that street, balls rolling down the
street] or I've known a number of these people in [the adjoining
neighborhood] . . . in my conscience I just cannot vote for this
project, opine about possible and subjective effects of the
proposed development and are not adequate grounds for disapproval
of the preliminary plat. See id. at 220, 261 S.E.2d at 888(speculatory or mere opinion testimony about the possible effects
of a permit are insufficient to support the Council's findings);
Triple E, 105 N.C. App. at 359, 413 S.E.2d at 308 (The Town Board
may not create new requirements not outlined in the ordinance to
deny the permit.).
Humble Oil & Refining Co. v. Board of Aldermen of Chapel Hill,
284 N.C. 458, 202 S.E.2d 129 (1974), dealt with a special use
permit which has additional requirements not present in this case
of subdivision plat approval. In the present case, petitioner made
a prima facie showing of compliance with the Subdivision
Regulations and Zoning Ordinance. No evidence appears in the
record to support the findings for denial of petitioner's
preliminary plat. I conclude that the Council acted arbitrarily
and capriciously in denying petitioner's preliminary plat.
Woodhouse, 299 N.C. at 219, 261 S.E.2d at 887 (if no competent,
material evidence appears to support findings for denial, the
reviewing body must grant the special use permit when the applicant
fully complies with the specified standards and failure to do so is
arbitrary as a matter of law).
V. Conclusion
I would reverse the decision of the superior court, affirming
the disapproval by the Council and remand, not for a new hearing,
but for entry of an order directing the Council to approve
petitioner's subdivision plat.
Footnote: 1 One citizen submitted a deed showing that he had a right-of-
way across the land to be developed, which the proposed development
infringed. The City Manager explained to the Council that the
private right-of-way issue is [not] something for the city to be
concerned about, because it's not the city's responsibility to
protect a right-of-way.
Footnote: 2 We find the cases permitting waiver of certain rights,
see,
e.g.,
Jarrell v. Board of Adjustment, 258 N.C. 476, 128 S.E.2d 879
(1963), distinguishable in this regard. In
Jarrell, for example,
although the Supreme Court recognized that the right to havewitnesses sworn could be waived,
see id. at 481, 128 S.E.2d at 883,
it was clear in that case that the Board of Adjustment had
conducted a hearing for the purpose of receiving evidence and
making findings of fact.
See id. at 478-79, 128 S.E.2d at 881-82;
see also Burton v. Zoning Board of Adjustment, 49 N.C. App. 439,
441, 271 S.E.2d 550, 551 (1980) (Board heard extensive testimony
from both sides and made findings of fact),
cert. denied, 302
N.C. 217, 276 S.E.2d 914 (1981).
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