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The New York Court of Appeals issued a decision today finding that the inter-agency/intra-agency exemption under the Freedom of Information Law (FOIL) does not apply to Federal Agency communications with State Agencies. The case of Matter of Town of Waterford v New York State DEC, was extensively discussed in a post on this Blog when the Appellate Division (77 A.D.3d 224 (3rd Dept. 2010)) held that such communications could be exempt. Today’s decision reverses that holding.

The Court noted that while there is an exemption for “pre-decisional inter-agency or intra-agency materials” (Public Officers Law § 87(2)(g)) the term agency has a specific definition and under FOIL

“‘[a]gency’ means any state or municipal department, board, bureau, division, commission, committee, public authority, public corporation, council, office or other governmental entity performing a governmental or proprietary function for the state or any one or more municipalities thereof, except the judiciary or the state legislature’ (Public Officers Law § 86 [3])”

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While upholding the denial of some area variances and a special permit, finding the evidence in the record supported that determination, the Appellate Division also reversed the denial of a special permit for a refuse enclosure, as well as a variance for placement of a sign. In Matter of White Castle Sys., Inc. v Board of Zoning Appeals of Town of Hempstead, the Court noted:

“‘Unlike a variance which gives permission to an owner to use property in a manner inconsistent with a local zoning ordinance, a special exception gives permission to use property in a way that is consistent with the zoning ordinance, although not necessarily allowed as of right’…. Thus, the burden of proof on an owner seeking a special exception is lighter than that on an owner seeking a variance. The owner is required only to show compliance with legislatively imposed conditions pertaining to the intended use…. ‘Failure to comply with any condition upon a special exception, however, is sufficient ground for denial of the exception’.”(citations omitted)

Here the Court found that the denial of the special permit was not supported by the record and the matter was remanded for the zoning board to grant the special permit with appropriate conditions.

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The Appellate Division held that where an EAF identified either neutral or beneficial effects from a proposed zoning amendment a town board, acting as a lead agency, properly issued a negative declaration. In Matter of Matter of Gabrielli v Town of New Paltz, the Court noted that even though the zoning amendment was a SEQRA Type I action there was no need to prepare a DEIS.

However, in what appears to be somewhat of a departure from the standard for the findings of a lead agency to contain a “reasoned elaboration” supporting the negative declaration, the Court found:

“The negative declarations – adopted by resolutions of the Town Board – satisfied the requirement for “a written form containing a reasoned elaboration” for the determination and references to supporting documentation (6 NYCRR 617.7 [b] [4]). Although the resolutions themselves do not contain sufficient elaboration, they specifically refer to the EAF [FN1]. The EAF here consists of more than just checked boxes; the expanded additional comments on the EAF constitute a reasoned elaboration for the areas identified as potentially being affected by the floodplain laws (compare Matter of Troy Sand & Gravel Co., Inc. v Town of Nassau, 82 AD3d at 1379; Matter of Bauer v County of Tompkins, 57 AD3d 1151, 1153 [2008]). Because those comments relate to beneficial impacts, with no adverse impacts having been raised, the Town Board complied with its obligations under SEQRA.”

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Last week President Obama signed the ”Middle Class Tax Relief and Job Creation Act of 2012” which included provisions limiting municipal authority over modification of existing telecommunications facilities.

The new provisions read as follows:

SEC. 6409. WIRELESS FACILITIES DEPLOYMENT.

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The Appellate Division Fourth Department reversed the denial of a special permit when it found the denial to be based upon “generalized community objections.” In Matter of Young Development, Inc. v. Town of West Senaca, the Court held:

“Contrary to respondents’ contention, petitioners established that the sewer system of respondent Town of West Seneca would have sufficient capacity to support the project and, in any event, petitioners agreed to engage in remediation efforts recommended by the [*2]New York State Department of Environmental Conservation. There is no expert evidence in the record that the remediation proposed by petitioners is unsatisfactory. With respect to the comprehensive plan issue, it is well settled that the inclusion of a permitted use in a zoning code “is tantamount to a legislative finding that the permitted use is in harmony with the general zoning plan and will not adversely affect the neighborhood” (Matter of North Shore Steak House v Board of Appeals of Inc. Vil. of Thomaston, 30 NY2d 238, 243). Given the absence of support in the record for the Board’s determination, we conclude that the Board impermissibly based its determination on “generalized community objections” (Matter of Ifrah v Utschig, 98 NY2d 304, 308). ”

There is, however, one aspect of the decision which this writer finds puzzling. The Town raised the issue that the Article 78 proceeding was untimely because it was commenced more than thirty days after the decision denying the special permit. The Court found:

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The Appellate Division affirmed dismissal of a claim under 42 U.S.C. §1983 for violation of civil rights, based upon a claim of improper delay in issuing a certificate of occupancy for a house. In Matter of Zarabi v. Incorporated Village of Roslyn Harbor, the Court found that the existence of unapproved changes in the construction served as a legitimate basis for the delay in issuing the certificate of occupancy.

As the Court noted:

“the defendants established, prima facie, that, inasmuch as there were building code violations on the property that needed to be corrected, which the plaintiff conceded, any delays in issuing the certificate of occupancy did not amount to egregious conduct so as to amount to a deprivation of the plaintiff’s property interests without due process (see Bower Assoc. v Town of Pleasant Val., 2 NY3d 617, 628-629; Sonne v Board of Trustees of Vil. of Suffern, 67 AD3d 192, 202).”

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The Appellate Division held that despite the fact that a parcel had been zoned for industrial use for fifty years, and that the Town’s comprehensive plan designated the parcel for industrial use, a rezoning and change of the comprehensive plan to residential use of the parcel was a proper exercise of discretion. In Matter of Rotterdam Ventures, Inc. v Town Bd. of the Town of Rotterdam, the Court found the property in question had been used as a multifamily residential property for the period in question and the rezoning was consistent with the transitional nature of the site between an industrial use and a residential neighborhood.

The Petitioner owns an industrial site which was part of an army depot that also included the parcel in question that had been used to house military families. When the Respondent SYNC acquired the site in 2008 it first sought a variance, which was denied and then petitioned for a rezoning, which was granted. The Town issued a SEQRA negative declaration finding that the rezoning was consistent with the current use of the property and would have fewer impacts than the potential use as an industrial site under the existing zoning.

The Court upheld the SEQRA determination and found that the rezoning did not, as Petitioner claimed, constitute spot zoning. Rather, the court found the fact that prior revisions to the comprehensive plan did not suggest a residential use of the property was not proof of spot zoning, because “although the property abuts a portion of petitioner’s industrial park, it also projects into an area of predominantly residential use. The Town, including its senior planner, concluded that rezoning the property so as to permit its continued use for residential purposes would benefit the community by retaining a transitional area between residential/commercial and industrial zones, whereas industrial use of the property would create an incongruity with the character of the existing neighborhood. Petitioner’s reliance on the Town’s failure to rezone the property as part of the 2001 and 2009 revisions of the comprehensive plan is misplaced, as the studies that supported that revision did not include an evaluation of SYNC’s property. According to the Town’s senior planner who oversaw the revisions, the industrial zoning classification for this property was simply continued without discussion or analysis.”

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The Appellate Division directed that the Town of Oyster Bay file a Final Environmental Impact Statement (FEIS) and take final action upon a special permit application by Costco. In the Matter of Costco Wholesale Corporation, v. Town Board of the Town of Oyster Bay, the Appellate Division affirmed the lower court judgment directing that the Town “complete environmental review of the petitioners’ proposal to develop a retail store, and to take final action upon the petitioners’ applications for a special use permit and site plan.”

This case involves an application for site plan and a special permit that has been going on since 2001. In 2003 the Town denied the application and thereafter the Supreme Court remitted the matter for the Town to comply with SEQRA. The Town then issued a positive declaration, a Draft Environmental Impact Statement (DEIS) was prepared and a hearing held in January 2007, with the public comment period being closed on January 31, 2007. Costco made three submissions of a proposed FEIS, the last being in April 2009 and then started this Article 78 proceeding, seeking to compel the Town to complete the SEQRA process and make a decision on the special permit and site plan applications.

In upholding the lower court’s direction that the Town complete SEQRA and issue a determination on the applications, the Court held:

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The Appellate Division held that the filing of a zoning board’s minutes, rather than the subsequent filing of the zoning board’s formal decision, commenced the running of thirty day statue of limitations for challenging that decision. In Matter of 92 MM Motel, Inc. v. Zoning Board of Appeals of the Town of Newburgh, the court found that, as the minutes of the meeting reflected the vote of each member of the zoning board, the filing of the minutes commenced the running of the statute of limitations. The court therefore concluded that the commencement of an Article 78 proceeding within 30 days of the filing of the formal decision was time barred when the minutes were filed with the Town Clerk more than thirty days prior to the commencement of the action.

-Steven Silverberg

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