Cox v. City of Cheyenne, 03-33.

• Decision Date: 18 November 2003
• Docket Number: No. 03-33.,03-33.
• Citation: 2003 WY 146,79 P.3d 500
• Parties: Elizabeth J. COX; Ann F. King; Douglas A. and Sheryl K. Vanpelt; Thomas W. Cox; William S. Cox; Robert and Geneva "Pat" Weaver; Ronald L. and Barbara M. Browser; Carrie E. Smith; Gilbert D. and Cheryl G. Cordier; and Mark And Rhonda Sutherland, Appellants (Plaintiffs), v. CITY OF CHEYENNE, a Wyoming Municipal Corporation; Heartland Development Company; Heartland Home Builders, Inc.; and James O. Woods, individually and as President of Heartland Home Builders, Inc., Appellees (Defendants).
• Court: Wyoming Supreme Court

79 P.3d 500

2003 WY 146

Elizabeth J. COX; Ann F. King; Douglas A. and Sheryl K. Vanpelt; Thomas W. Cox; William S. Cox; Robert and Geneva "Pat" Weaver; Ronald L. and Barbara M. Browser; Carrie E. Smith; Gilbert D. and Cheryl G. Cordier; and Mark And Rhonda Sutherland, Appellants (Plaintiffs), v. CITY OF CHEYENNE, a Wyoming Municipal Corporation; Heartland Development Company; Heartland Home Builders, Inc.; and James O. Woods, individually and as President of Heartland Home Builders, Inc., Appellees (Defendants).

No. 03-33.

Supreme Court of Wyoming.

November 18, 2003.

Representing Appellant: Gay Woodhouse of Gay Woodhouse Law Office; and Andrea L. Richard and Lori L. Brand of Rothgerber, Johnson & Lyons LLP, Cheyenne, WY. Argument by Ms. Woodhouse and Ms. Richard.

Representing Appellee: W. Perry Dray and Nicholas G.J. Healey of Dray, Thomson & Dyekman, P.C., for City of Cheyenne; and Don W. Riske and James R. Salisbury of Riske & Arnold, P.C., Cheyenne, WY for Heartland Development Company, Heartland Homebuilders, Inc., and James O. Woods. Argument by Mr. Dray.

Before HILL, C.J., and GOLDEN, LEHMAN, KITE, and VOIGT, JJ.

LEHMAN, Justice.

[¶ 1] Elizabeth J. Cox, Ann F. King, Douglas A. and Sheryl K. Vanpelt, Thomas W. Cox, William S. Cox, Robert and Geneva "Pat" Weaver, Ronald L. and Barbara M. Bowser, Carrie E. Smith, Gilbert D. and Cheryl G. Cordier, and Mark and Rhonda Sutherland (appellants) appeal the district court's order granting dismissal of their declaratory judgment action. The district court determined that appellants lacked the standing to bring a declaratory judgment action challenging the annexation of property west of the existing Cheyenne city limits. In making this determination, the district court concluded that Wyo. Stat. Ann. § 15-1-409(a) (LexisNexis 2003) granted standing to challenge annexation to only two classes of individuals, city residents and the owners of the property being annexed, thereby impliedly precluding appellants, as adjoining landowners, from challenging the annexation. The district court additionally found that even if appellants had standing, they failed to file their complaint within the ten-day limit provided by § 15-1-409(c), and the action was therefore time barred. We reverse.

ISSUES

[¶ 2] Appellants present the following issues on appeal:

I. Whether the district court erred by irrebuttably presuming that the city's annexation ordinance was valid and by disregarding the jurisdictional nature of [appellants'] challenge.

II. Whether 1.5 miles from the city limits is "contiguous with or adjacent to" the city for purposes of Wyo. Stat. § 15-1-402(a)(iv).

III. Whether the city's ordinance No. 3447, purportedly annexing land to the city, is void ab initio as a violation of Wyoming statute.

IV. Whether [appellants], as adjoining landowners, have standing to challenge ordinance No. 3447.

V. Whether the court erroneously stripped aggrieved parties' standing to pursue any claims by incorrectly applying Wyo. Stat. § 15-1-409.

VI. Whether the court abused its discretion when it refused to allow [appellants] to amend their complaint to add allegations that the city deprived [appellants] of due process by failing to provide them the notice expressly required by statute.

Appellee, City of Cheyenne (City) phrases the issues as follows:

I. The lower court correctly dismissed Appellants' Complaint pursuant to Wyo. R. Civ. P. 12(b)(6) because Appellants did not have standing to challenge the annexation of the territory popularly known as the Village West subdivision to the city of Cheyenne as a matter of law.

II. The lower court correctly dismissed Appellants' Complaint pursuant to Wyo. R. Civ. P. 12(b)(6) because Appellants did not file their challenge to the annexation of Village West within the ten (10) day time limit set out by Wyo. Stat. § 15-1-409(c) but instead sued to invalidate the annexation almost ten (10) months after the annexation.

III. The lower court acted within its discretion in denying Appellants' Motion to Amend Complaint.

Appellees Heartland Development Company, Heartland Home Builders, Inc., and James O. Woods, individually and as president of Heartland Home Builders, Inc. (collectively Heartland), state the issues as:

I. Whether the district court correctly determined that [appellants] were not conferred standing to challenge the annexation of Village West to the City of Cheyenne by the applicable statute.

II. Whether the trial court correctly determined that the challenge to the annexation of Village West by [appellants] was untimely and time barred.

III. Whether the remaining issues raised by [appellants] are properly before this court.

FACTS

[¶ 3] On August 13, 2001, the City enacted annexation ordinance No. 3447. The ordinance became effective on August 22, 2001, and annexed real property known as the Village West Subdivision (Village West) located west of Cheyenne on a portion of Section 4, T.13N, R.67W of the 6rth P.M. The annexed property is owned by the Heartland Development Company. This property is 1.5 miles from the nearest city limit. Village West has subsequently been rezoned to medium density residential and is slated for a sizeable housing development.

[¶ 4] The appellants own land adjoining, across the road from, or within ½ mile of the Village West subdivision. None of the appellants own land within the annexed area, and none of the appellants are residents of the city of Cheyenne. On June 11, 2002, appellants brought a declaratory judgment action against the City and Heartland. Appellants sought a declaration that Ordinance No. 3447 is void because it purports to annex land that is not contiguous with or adjacent to the city limits and therefore violates Wyo. Stat. Ann. § 15-1-402(a)(iv) (LexisNexis 2001).¹ Appellants additionally sought a declaration that the annexation statutes are unconstitutional because the statutes deprive individuals of their right to property without due process of law.

[¶ 5] The City and Heartland filed motions to dismiss appellants' complaint pursuant to W.R.C.P. 12(b)(1) and 12(b)(6) for lack of subject matter jurisdiction and for failure to state a claim on which relief could be granted. The City and Heartland claimed that appellants lacked standing to sue because they do not meet the standing requirement of Wyo. Stat. Ann. § 15-1-409(a). The City and Heartland further argued that the plain language of § 15-1-409(c) requires that all proceedings to review the City's findings or conclusions must be brought within ten days of the effective date of the annexation ordinance.

[¶ 6] The district court granted the motions to dismiss finding that appellants lacked statutory standing to sue. Additionally, the district court decided that, even if appellants had standing to sue, they had not brought their challenge within ten days as required by § 15-1-409(c) and were thus time barred. After dismissal, on September 6, 2002, appellants moved to amend their complaint to also claim that the City had failed to give proper notice. Appellants appealed on September 18, 2002. On February 10, 2003, the district court entered an order denying appellants' motion to amend their complaint.

STANDARD OF REVIEW

[¶ 7] When reviewing a W.R.C.P. 12(b)(6) motion to dismiss, we focus on the allegations contained in the complaint and liberally construe them in the light most favorable to the plaintiff. Duncan v. Afton, Inc., 991 P.2d 739, 742 (Wyo.1999). We will affirm an order of dismissal only when it is certain from the face of the complaint that the plaintiff cannot assert any facts which would entitle him to relief. Id. Additionally, "[i]n a de novo review of the threshold question of jurisdiction, `we examine the policies underlying both the Uniform Declaratory Judgments Act and the doctrine of justiciability to determine if this is a proper case for judicial action.'" Southwestern Pub. Serv. Co. v. Thunder Basin Coal Co., 978 P.2d 1138, 1141 (Wyo.1999) (quoting Reiman Corp. v. City of Cheyenne, 838 P.2d 1182, 1185 (Wyo.1992)).

DISCUSSION

[¶ 8] The district court determined that appellants did not have standing to challenge the annexation. Appellants' challenge to the annexation ordinance came by way of a declaratory judgment action, thus we will begin our analysis with a discussion of declaratory judgments. Wyo. Stat. Ann. § 1-37-103 (LexisNexis 2003) states,

Any person interested under a deed, will, written contract or other writings constituting a contract, or whose rights, status or other legal relations are affected by the Wyoming constitution or by a statute, municipal ordinance, contract or franchise, may have any question of construction or validity arising under the instrument determined and obtain a declaration of rights, status or other legal relations.

Appellants seek a determination of the validity of a municipal ordinance and thus fall within the general scope of the declaratory judgments act. However, in order to bring a declaratory judgment action regarding a municipal ordinance, the challenger must also be an "interested" person.

[¶ 9] The "requirement of an `interest' captures the basic doctrine that there must be a justiciable controversy before relief will be granted." Barber v. City of Douglas, 931 P.2d 948, 951 (Wyo.1997). Generically, a justiciable controversy is defined as a controversy fit for judicial resolution. Reiman Corp. v. City or Cheyenne, 838 P.2d 1182, 1186 (Wyo.1992). Many doctrines are encompassed within the concept of justiciability including standing, ripeness, and mootness. Id. Of significance in this instance is standing. The doctrine of standing focuses on whether a litigant is properly situated to assert an issue for judicial determination. State ex rel. Bayou Liquors, Inc. v. City of Casper, 906 P.2d 1046, 1048 (Wyo.1995). A litigant has standing when he has a personal stake in the outcome of the controversy. Id.

[¶ 10] The principles of standing, as well as ripeness,...