Narragansett Electric Company v. Minardi, PC/2008-6981 (R.I. Super 4/17/2009)

• Decision Date: 17 April 2009
• Docket Number: PC/2008-6981.
• Parties: THE NARRAGANSETT ELECTRIC COMPANY, v. MICHAEL R. MINARDI, in his Capacity as the Tax Assessor for the Town of Barrington, DEAN M. HUFF, JR., in his Capacity as the Finance Director for the Town of Barrington, EVELYN A. SPAGNOLO, in her Capacity as the Tax Assessor for the Town of Bristol, JOHN M. DAY, in his Capacity as the Finance Director for the Town of Bristol, RAYMOND DOUGHTY, in his Capacity as the Tax Assessor for the Town of Burrillville, JOHN P. MAINVILLE, in his Capacity as the Finance Director for the Town of Burrillville, WAYNE BROWN, in his Capacity as the Tax Assessor for the City of Central Falls, JOHN P. KUZMISKI, in his Capacity as the Finance Director for the City of Central Falls, PATRICIA PICARD, in her Capacity as the Tax Assessor for the Town of Coventry, WARREN WEST, in his Capacity as the Finance Director for the Town of Coventry, FRANK SMITH, in his Capacity as the Tax Assessor for the City of Cranston, CORSINO DELGADO, in his Capacity as the Finance Director for the City of Cranston, ANTHONY HARRAKA, in his Capacity as the Tax Assessor for the Town of Cumberland, THOMAS M. BRUCE, III, in his Capacity as the Finance Director for the Town of Cumberland, JANICE J. PEIXINHO, in her Capacity as the Tax Assessor for the Town of East Greenwich, THOMAS MATTOS, in his Capacity as the Finance Director for the Town of East Greenwich, ALBERTO EREIO, in his Capacity as the Tax Assessor for the City of East Providence, JAMES MCDONALD, in his Capacity as the Finance Director for the City of East Providence, TAMMY BOSS, in her Capacity as the Tax Assessor for the Town of Exeter. RICHARD D. WALKER, in his Capacity as the Finance Director for the Town of Exeter, VIVIANE VALENTINE, in her Capacity as the Tax Assessor for the Town of Glocester, THOMAS MAINVILLE, in his Capacity as the Finance Director for the Town of Glocester, STEVEN HAZARD, in his Capacity as the Tax Assessor for the Town of Hopkinton, JAMES LATHROP, in his Capacity as the Finance Director for the Town of Hopkinton, KIMBERLY GALLONIO, in her Capacity as the Tax Assessor for the Town of Johnston, STEPHEN WOERNER, in his Capacity as the Finance Director for the Town of Johnston, ELAINE MONDILLO, in her Capacity as the Tax Assessor for the Town of Lincoln, JOHN F. WARD, in his Capacity as the Finance Director for the Town of Lincoln, WILLIAM SHOREY, in his Capacity as the Tax Assessor for the Town of Middletown, LYNNE DIBLE, in her Capacity as the Finance Director for the Town of Middletown, JOHN MAJEIKA, in his Capacity as the Tax Assessor for the Town of Narragansett, ROBERT UYTTEBROCK, in his Capacity as the: Finance Director for the Town of Narragansett, ALLAN BOOTH, in his Capacity as the Tax Assessor for the City of Newport, LAURA SITRIN, in her Capacity as the Finance Director for the City of Newport, LINDA L. CWIEK, in her Capacity as the Tax Assessor for the Town of North Kingstown, TRISH SUNDERLAND, in her Capacity as the Finance Director for the Town of North Kingstown, JANESSE MUSCATELLI, in her Capacity as the Tax Assessor for the Town of North Providence, MARIA VALLEE, in her Capacity as the Finance Director for the Town of North Providence, CHRIS BELAIR, in his Capacity as the Tax Assessor for the Town of North Smithfield, JILL A. GEMMA, in her Capacity as the Finance Director for the Town of North Smithfield, DAVID QUINN, in his Capacity as the Tax Assessor for the City of Pawtucket, RONALD A. WUNSCHEL, in his Capacity as the Finance Director for the City of Pawtucket, DAVID E. DOLCE, in his Capacity as the Tax Assessor for the Town of Portsmouth, DAVID P. FAUCHER, in his Capacity as the Finance Director for the Town of Portsmouth, JOHN GELATI, in his Capacity as the Tax Assessor for the City of Providence, MATTHEW CLARKIN, in his Capacity as the Finance Director for the City of Providence, ELIZABETH FOURNIER, in her Capacity as the Tax Assessor for the Town of Richmond, DAVID L. KRUGMAN, in his Capacity as the Treasurer for the Town of Richmond, KAREN S. BEATTIE, in her Capacity as the Tax Assessor for the Town of Scituate, THEODORE PRZYBYLA, in his Capacity as the Treasurer for the Town of Scituate, SUZANNE KOGUT, in her Capacity as the Tax Assessor for the Town of Smithfield, DENNIS G. FINLAY, in his Capacity as the Finance Director for the Town of Smithfield, JEAN PAUL BOUCHARD, in his Capacity as the Tax Assessor for the Town of South Kingstown, ALAN R. LORD, in his Capacity as the Finance Director for the Town of South Kingstown, DAVID ROBERT, in his Capacity as the Tax Assessor for the Town of Tiverton, JAMES GONCALO, in his Capacity as the Treasurer for the Town of Tiverton, CATHERINE MAISANO, in her Capacity as the Tax Assessor for the Town of Warren, KATHLEEN A. RAPOSA, in her Capacity as the Treasurer for the Town of Warren, KENNETH MALLETTE, in his Capacity as the Tax Assessor for the City of Warwick, ERNEST ZMYSLINSKI, in his Capacity as the Finance Director for the City of Warwick, CHARLENE G. RANDALL, in her Capacity as the Tax Assessor for the Town of West Greenwich, COLLEEN J. DERJUE, in her Capacity as the Treasurer for the Town of West Greenwich, RAYMOND BEATTIE, JR., in his Capacity as the Tax Assessor for the Town of West Warwick, MALCOLM MOORE, in his Capacity as the Finance Director for the Town of West Warwick, CHARLES VACCA, in his Capacity as the Tax Assessor for the Town of Westerly, ETSUKO ZUCZEK, in his Capacity as the Finance Director for the Town of Westerly, ARTHUR E. BOUCHARD, JR., in his Capacity as the Tax Assessor for the City of Woonsocket, THEODORE PRYZBYLA, in his Capacity as the Finance Director for the City of Woonsocket.
• Court: Rhode Island Superior Court

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THE NARRAGANSETT ELECTRIC COMPANY, v. MICHAEL R. MINARDI, in his Capacity as the Tax Assessor for the Town of Barrington, DEAN M. HUFF, JR., in his Capacity as the Finance Director for the Town of Barrington, EVELYN A. SPAGNOLO, in her Capacity as the Tax Assessor for the Town of Bristol, JOHN M. DAY, in his Capacity as the Finance Director for the Town of Bristol, RAYMOND DOUGHTY, in his Capacity as the Tax Assessor for the Town of Burrillville, JOHN P. MAINVILLE, in his Capacity as the Finance Director for the Town of Burrillville, WAYNE BROWN, in his Capacity as the Tax Assessor for the City of Central Falls, JOHN P. KUZMISKI, in his Capacity as the Finance Director for the City of Central Falls, PATRICIA PICARD, in her Capacity as the Tax Assessor for the Town of Coventry, WARREN WEST, in his Capacity as the Finance Director for the Town of Coventry, FRANK SMITH, in his Capacity as the Tax Assessor for the City of Cranston, CORSINO DELGADO, in his Capacity as the Finance Director for the City of Cranston, ANTHONY HARRAKA, in his Capacity as the Tax Assessor for the Town of Cumberland, THOMAS M. BRUCE, III, in his Capacity as the Finance Director for the Town of Cumberland, JANICE J. PEIXINHO, in her Capacity as the Tax Assessor for the Town of East Greenwich, THOMAS MATTOS, in his Capacity as the Finance Director for the Town of East Greenwich, ALBERTO EREIO, in his Capacity as the Tax Assessor for the City of East Providence, JAMES MCDONALD, in his Capacity as the Finance Director for the City of East Providence, TAMMY BOSS, in her Capacity as the Tax Assessor for the Town of Exeter. RICHARD D. WALKER, in his Capacity as the Finance Director for the Town of Exeter, VIVIANE VALENTINE, in her Capacity as the Tax Assessor for the Town of Glocester, THOMAS MAINVILLE, in his Capacity as the Finance Director for the Town of Glocester, STEVEN HAZARD, in his Capacity as the Tax Assessor for the Town of Hopkinton, JAMES LATHROP, in his Capacity as the Finance Director for the Town of Hopkinton, KIMBERLY GALLONIO, in her Capacity as the Tax Assessor for the Town of Johnston, STEPHEN WOERNER, in his Capacity as the Finance Director for the Town of Johnston, ELAINE MONDILLO, in her Capacity as the Tax Assessor for the Town of Lincoln, JOHN F. WARD, in his Capacity as the Finance Director for the Town of Lincoln, WILLIAM SHOREY, in his Capacity as the Tax Assessor for the Town of Middletown, LYNNE DIBLE, in her Capacity as the Finance Director for the Town of Middletown, JOHN MAJEIKA, in his Capacity as the Tax Assessor for the Town of Narragansett, ROBERT UYTTEBROCK, in his Capacity as the: Finance Director for the Town of Narragansett, ALLAN BOOTH, in his Capacity as the Tax Assessor for the City of Newport, LAURA SITRIN, in her Capacity as the Finance Director for the City of Newport, LINDA L. CWIEK, in her Capacity as the Tax Assessor for the Town of North Kingstown, TRISH SUNDERLAND, in her Capacity as the Finance Director for the Town of North Kingstown, JANESSE MUSCATELLI, in her Capacity as the Tax Assessor for the Town of North Providence, MARIA VALLEE, in her Capacity as the Finance Director for the Town of North Providence, CHRIS BELAIR, in his Capacity as the Tax Assessor for the Town of North Smithfield, JILL A. GEMMA, in her Capacity as the Finance Director for the Town of North Smithfield, DAVID QUINN, in his Capacity as the Tax Assessor for the City of Pawtucket, RONALD A. WUNSCHEL, in his Capacity as the Finance Director for the City of Pawtucket, DAVID E. DOLCE, in his Capacity as the Tax Assessor for the Town of Portsmouth, DAVID P. FAUCHER, in his Capacity as the Finance Director for the Town of Portsmouth, JOHN GELATI, in his Capacity as the Tax Assessor for the City of Providence, MATTHEW CLARKIN, in his Capacity as the Finance Director for the City of Providence, ELIZABETH FOURNIER, in her Capacity as the Tax Assessor for the Town of Richmond, DAVID L. KRUGMAN, in his Capacity as the Treasurer for the Town of Richmond, KAREN S. BEATTIE, in her Capacity as the Tax Assessor for the Town of Scituate, THEODORE PRZYBYLA, in his Capacity as the Treasurer for the Town of Scituate, SUZANNE KOGUT, in her Capacity as the Tax Assessor for the Town of Smithfield, DENNIS G. FINLAY, in his Capacity as the Finance Director for the Town of Smithfield, JEAN PAUL BOUCHARD, in his Capacity as the Tax Assessor for the Town of South Kingstown, ALAN R. LORD, in his Capacity as the Finance Director for the Town of South Kingstown, DAVID ROBERT, in his Capacity as the Tax Assessor for the Town of Tiverton, JAMES GONCALO, in his Capacity as the Treasurer for the Town of Tiverton, CATHERINE MAISANO, in her Capacity as the Tax Assessor for the Town of Warren, KATHLEEN A. RAPOSA, in her Capacity as the Treasurer for the Town of Warren, KENNETH MALLETTE, in his Capacity as the Tax Assessor for the City of Warwick, ERNEST ZMYSLINSKI, in his Capacity as the Finance Director for the City of Warwick, CHARLENE G. RANDALL, in her Capacity as the Tax Assessor for the Town of West Greenwich, COLLEEN J. DERJUE, in her Capacity as the Treasurer for the Town of West Greenwich, RAYMOND BEATTIE, JR., in his Capacity as the Tax Assessor for the Town of West Warwick, MALCOLM MOORE, in his Capacity as the Finance Director for the Town of West Warwick, CHARLES VACCA, in his Capacity as the Tax Assessor for the Town of Westerly, ETSUKO ZUCZEK, in his Capacity as the Finance Director for the Town of Westerly, ARTHUR E. BOUCHARD, JR., in his Capacity as the Tax Assessor for the City of Woonsocket, THEODORE PRYZBYLA, in his Capacity as the Finance Director for the City of Woonsocket.

PC/2008-6981.

Superior Court of Rhode Island, Providence, Sc.

Filed April 17, 2009.

DECISION

RUBINE, J.

The Narragansett Electric Company ("Narragansett" or "Plaintiff") has filed a Complaint against the taxing authorities of thirty four of Rhode Island's thirty nine municipalities. It seeks declaratory and injunctive relief relative to the taxes assessed for the 2007 tax year by these Defendant towns and cities on certain property of the Plaintiff located in each municipality.¹ The property in question consists of utility equipment used for purposes of transporting and supplying natural gas, more particularly, gas mains, meters, regulators, valves and preheaters ("hereinafter referred to collectively as the "gas assets").² The Plaintiff generally alleges that the gas assets have been the subject of over-assessment and illegal taxation.

Plaintiff seeks from this Court a declaration as to how these assets lawfully should be taxed by each municipality. In doing so, it generally sets forth that some of the Defendant towns and cities have misapplied Rhode Island Law when they taxed the gas assets at rates that exceeded the maximum allowable rates permitted under G. L. l956 §§ 44-5-11.8 through 44-5-79, and that in so doing, have assessed and presumably collected taxes which are impermissible and illegal. Specific facts as to each Defendant municipality are lacking, except there is some detail provided in documents attached to the Complaint as to the process in the Town of Cumberland.³

In lieu of answers, the Defendant municipalities have filed Motions to Dismiss on the basis of the Complaint's failure to state a claim and/or the lack of jurisdiction of this Court to entertain these issues by way of declaratory relief. In addition, pending before this Court are at least four separate administrative appeals from final Decisions of the Tax Boards of Review in Cranston, Pawtucket, Warwick, and West Warwick, concerning the tax imposed on the "gas assets" in those communities.⁴

I Standard of Review

Rule 12(b) of the Superior Court Rules of Civil Procedure provides in pertinent part:

"Every defense, in law or fact, to a claim for relief in any pleading, whether a claim, counterclaim, cross-claim, or third-party claim, shall be asserted in the responsive pleading thereto if one is required, except that the following defenses may at the option of the pleader be made by motion: (1) lack of jurisdiction over the subject matter . . . (6) failure to state a claim upon which relief can be granted . . . ."

When considering a 12(b)(6) motion, the Court shall "assume that the allegations contained in the complaint are true, and examine the facts in the light most favorable to the nonmoving party." Dellefratte v. Estate of Dellefratte, 941 A.2d 797, 798 (R.I. 2007) (quoting McKenna v. Williams, 874 A.2d 217, 225 (R.I. 2005)). It is axiomatic that "[t]he sole function of a motion to dismiss pursuant to Rule 12(b)(6) is to test the sufficiency of the complaint." Dellefratte, 941 A.2d at 798 (internal quotations omitted). Accordingly, the motion only may be granted when it "appears beyond a reasonable doubt that plaintiff would not be entitled to relief, under any facts that could be established." Id.

In addition, the Court may order dismissal "[i]n rule 12(b)(6) dismissals [if] the allegations . . . show that there is some insuperable bar to relief." Hulslander v. Murphy, 633 A.2d 263 (R.I. 1993) (mem.) (citing Goldstein v. Rhode Island Hospital Trust National Bank, 110 R.I. 580, 296 A.2d 112 (1972) (concluding that the passing of the pertinent statutory period of limitation "constituted that insuperable bar[]"). With respect to a Rule 12(b)(1) motion to dismiss, "[t]he term `lack of jurisdiction over the subject matter' means quite simply that a given court lacks judicial power to decide a particular controversy." Pollard v. Acer Group, 870 A.2d 429, 433 (R.I. 2005) (emphasis in original).

II Analysis

The Plaintiff has made various allegations concerning Defendants' alleged violations of chapter 5 of title 44, entitled the Levy and Assessment of Local Taxes Act ("the Act"). It contends that some of Defendants (at least in some unidentified instances) assessed the gas assets at excessive and illegal amounts. It also contends that "R.I. Gen. Laws § 44-5-12.1 is in...