Keys Youth Services, Inc. v. City of Olathe, Kan.

Decision Date23 June 1999
Docket NumberNo. CIV. A. 98-2398-KHV.,CIV. A. 98-2398-KHV.
Citation52 F.Supp.2d 1284
PartiesKEYS YOUTH SERVICES, INC., Plaintiff, v. CITY OF OLATHE, KANSAS, Larry Campbell, John Bacon, Bill Trout, Michael Copeland, and Gary Mitchell, Defendants.
CourtU.S. District Court — District of Kansas

James H. Ensz, Sarah G. Madden, Ensz & Jester, P.C., Kansas City, MO, for Plaintiffs.

Anthony F. Rupp, Andrew M. DeMarea, Shughart, Thomson & Kilroy, Overland Park, KS, for Defendants.

MEMORANDUM AND ORDER

VRATIL, District Judge.

Keys Youth Services, Inc. [Keys], a not-for-profit corporation which operates youth homes in Kansas, brings suit against the City of Olathe, Kansas [the City], alleging that the City violated the Fair Housing Act [FHA], 42 U.S.C. §§ 3601 et seq., as amended by the Fair Housing Amendments Act of 1988, Kansas law protecting persons with a disability, K.S.A. § 12-736, and it constitutional rights to procedural and substantive due process and equal protection.1 This matter comes before the Court on Plaintiff's Motion for Partial Summary Judgment Against Defendant City of Olathe, Kansas (Doc. # 36) filed March 9, 1999, and the Motion For Summary Judgment of Defendant City of Olathe (Doc. # 38) filed March 12, 1999. For reasons stated below, the Court finds that plaintiff's motion should be sustained in part and overruled in part, and that defendant's motion should be sustained in part and overruled in part.

Summary Judgment Standards

Summary judgment is appropriate if the pleadings, depositions, answers to interrogatories, and admissions on file, together with the affidavits, if any, show that there is no genuine issue as to any material fact and that the moving party is entitled to a judgment as a matter of law. Fed. R.Civ.P. 56(c); accord Anderson v. Liberty Lobby, Inc., 477 U.S. 242, 247, 106 S.Ct. 2505, 91 L.Ed.2d 202 (1986); Vitkus v. Beatrice Co., 11 F.3d 1535, 1538-39 (10th Cir.1993). A factual dispute is "material" only if it "might affect the outcome of the suit under the governing law." Anderson, 477 U.S. at 248, 106 S.Ct. 2505. A "genuine" factual dispute requires more than a mere scintilla of evidence. Id. at 252, 106 S.Ct. 2505.

The moving party bears the initial burden of showing that there is an absence of any genuine issue of material fact. Celotex Corp. v. Catrett, 477 U.S. 317, 323, 106 S.Ct. 2548, 91 L.Ed.2d 265 (1986); Hicks v. City of Watonga, 942 F.2d 737, 743 (10th Cir.1991). Once the moving party meets its burden, the burden shifts to the nonmoving party to demonstrate that genuine issues remain for trial "as to those dispositive matters for which it carries the burden of proof." Applied Genetics Int'l, Inc. v. First Affiliated Sec., Inc., 912 F.2d 1238, 1241 (10th Cir.1990); see also Matsushita Elec. Indus. Co., Ltd. v. Zenith Radio Corp., 475 U.S. 574, 586-87, 106 S.Ct. 1348, 89 L.Ed.2d 538 (1986); Bacchus Indus., Inc. v. Arvin Indus., Inc., 939 F.2d 887, 891 (10th Cir.1991). The nonmoving party may not rest on its pleadings but must set forth specific facts. Applied Genetics, 912 F.2d at 1241.

"[W]e must view the record in a light most favorable to the parties opposing the motion for summary judgment." Deepwater Invs., Ltd. v. Jackson Hole Ski Corp., 938 F.2d 1105, 1110 (10th Cir.1991). Summary judgment may be granted if the nonmoving party's evidence is merely colorable or is not significantly probative. Anderson, 477 U.S. at 250-51, 106 S.Ct. 2505. Essentially, the inquiry is "whether the evidence presents a sufficient disagreement to require submission to a jury or whether it is so one-sided that one party must prevail as a matter of law." Id. at 251-52, 106 S.Ct. 2505.

Factual Background

For purposes of both motions, the following facts are uncontroverted or if controverted, set forth alternately in the light most favorable to each side.

General Facts:

Keys is a not-for profit corporation which operates group homes in Johnson County, Kansas. The homes provide residential care for youths between the ages of 12 and 17 who have been abused, neglected or abandoned and who are under the supervision and direction of the Kansas Department of Social and Rehabilitation Services.

On March 3, 1998, Keys contracted to purchase a home at 605 E. Harold in Olathe, Kansas. The home is located on more than one acre of land in an area which is zoned for single family residences. The Olathe City Ordinance Section 18.04.240 defines "family" as follows:

Family means one (1) or more persons who are related by blood or marriage, living together and occupying a single housekeeping unit with single kitchen facilities; or a group of not more than five (5) adult persons (excluding servants), living together by joint agreement and occupying a single housekeeping unit with single kitchen facilities, on a nonprofit, cost-sharing basis; or a group of eight (8) or fewer unrelated disabled persons including two (2) additional persons acting as house parents or guardians who need not be related to each other or to any of the disabled persons in residence.

Keys proposed to use the home to house ten (unrelated) adolescent males and two or three adult staff members. The City zoning ordinance classified the proposed home as a residential care facility, specifically a group board home for minors. See Olathe City Ordinance §§ 18.76.020, 18.06.305.2 Residential care facilities are permitted in residential zoned areas only upon issuance of a special use permit. See Olathe City Ordinance 18.54.020. Therefore, on March 13, 1998, Keys applied to the City for a special use permit to operate the group home.

On March 19, 1998, the City issued the required notice of a public hearing before the Planning Commission to hear evidence regarding the requested special use permit, designated SU11-98. In response, more than 85 percent of the property owners within 200 feet of the Keys property filed a protest petition. The filing of that petition triggered a super majority voting requirement under Olathe City Ordinance, 18.12.130, requiring that 75 percent of the city council approve the special use permit. The council has seven members; thus, six members had to approve the permit.

On April 13, 1998, the Planning Commission held a public hearing to consider the special use permit application.3 Representatives of Keys appeared and presented witnesses who spoke in favor of the permit. Neighbors presented witnesses who spoke in opposition to the permit. The City planning staff recommended that the application be approved, notwithstanding the neighborhood opposition, because the proposed special use would provide a needed service for at-risk youth in the community and was consistent with the City's comprehensive plan. After hearing from both sides, the Planning Commission voted by a 4-2 vote to deny the special use permit.4

On May 5, 1998, the City Council considered the issue and voted 6-1 to return the special use application to the Planning Commission. Ten days later, on May 15, 1998, Keys closed on its purchase of the property at 605 E. Harold.

On June 8, 1998, the Planning Commission met to reconsider plaintiff's permit application. The Commission voted 6-3 to deny the permit, and listed factors supporting the denial. Specifically, the Commission set forth two major factors which, it determined, would detrimentally affect nearby property as follows:

a group home for youth at this location constitutes problems of public safety to neighbors and children and the location of the group home in this area will decrease the value of properties in this area.

[] Regarding public safety:

(1) Neighbors pointed out that it may not be safe for them or children to walk in the neighborhood. The neighbors referred to police calls to other KEYS group homes in Johnson County.

(2) There were 72 police calls involving KEYS homes in Johnson County in 1997. 5 calls involved assault or battery, six calls involved disorderly conduct, six calls involved thefts, four calls involved criminal damage to property, and two calls related to possession of marijuana.

(3) Neighbors reported very little crime in this neighborhood and the City's police cars are rarely seen in this neighborhood.

(4) The type of police calls indicates that there are youths in the KEYS program who have behavioral problems, who could physically threaten any person (disorderly conduct, battery, assault, and criminal damage), and who could steal or damage property (criminal damage and theft).

(5) There are several daycare centers, two elementary schools in the general area, and young families with children in the general area, presenting a major safety concern of juvenile adolescents with behavioral or emotional problems being placed in the KEYS home at this location.

(6) Juvenile offenders are found to be the most difficult, unpredictable and by far the most dangerous people to deal with because of their cavalier behavior.

(7) Even with 24-hours supervision in 1997, there were police calls for KEYS homes; reports show 32 youths ran away from the homes and several youths were found with marijuana. Neighbors pointed out that runaways may steal automobiles or other means of transportation, such as a bicycle, to run away.

(8) There is no guarantee that KEYS will not accept juvenile offenders or juveniles with a felony background into the KEYS home.

Regarding decrease in value of property, a real estate agent familiar with the area indicated that the price of neighboring properties will decrease if a KEYS home is located at 605 E. Harold Street.

Appendix To The Memorandum In Support Of Defendant City Of Olathe's Motion For Summary Judgment (Doc. # 40) filed March 12, 1999, Ex. D, p. 405-06.

The Planning Commission also found that "[t]he relative gain to the public health, safety, and welfare by the destruction of the value of plaintiff's property (neighboring property) as compared to the hardship imposed upon the individual landowner (KEY...

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