Kirby v. HOVEN SCHOOL DISTRICT NO. 53-2

SABERS, Justice

(dissenting).

[¶ 28.] The petition for a minor boundary change from the Hoven School District met all of the requirements of the South Dakota statutes5 and all of the key factors of recent South Dakota cases on minor boundary changes. Despite that, the Ho-ven School District, for economic and improper reasons, denied the petition arbitrarily, capriciously and unreasonably. The circuit court committed reversible error by affirming the improper reasoning and focusing on the economic position of the Hoven School District instead of the children, parents and factors approved in Johnson v. Lennox School District No. 41-4-2002 SD 89, 649 N.W.2d 617; Smith v. Canton School District No. 41-1, 1999 SD 111, 599 N.W.2d 637; and Kellogg v. Hoven School District No. 53-2, 479 N.W.2d 147 (S.D.1991). We should reverse and remand for all of these reasons.

[¶ 29.] SOUTH DAKOTA LAW ALLOWS MINOR BOUNDARY CHANGE PETITIONS WHEN THE STATUTORY REQUIREMENTS AND CASE LAW GUIDELINES ARE MET.

[¶ 30.] SDCL 13-6-84.1,-85, & -86 provide for minor boundary changes. As indicated, this petition meets all of the statutory requirements. The Legislature, when establishing these statutes, clearly wanted a release valve that could be used to make changes in a school district without a total reorganization. These minor boundary change statutes have been with us for more than 70 years. 1931 SD Session laws ch. 138 § 173. It is time for the school districts to honor them according to the letter and the spirit of the law.

[¶ 31.] The Board, ■ circuit court, and the majority opinion properly state the factors to be considered when determining whether to allow a ' minor boundary change, but then fail to give those factors proper weight. Instead, those opinions rewrite the factors and place great emphasis on the perceived economic motivation of the petitioners. The record simply does not support the determination that the Board’s decision was supported by “substantial, competent evidence.” Majority opinion, ¶ 6. A review of the Board’s findings for each factor indicates that the Board’s only real justification for denying the boundary change was its concern of economic loss.

Alignment with the community to which transfer is being sought

[¶ 32.] The Board, circuit court, and the majority opinion all concede that Petitioners, all voters, residents and land*913owners are more closely aligned to the economic, social and religious life of the Gettysburg School District. This factor must be decided for Petitioners.

Bus Service

[¶ 33.] The Gettysburg School District will provide bus service to Petitioners’ door. The Hoven School District indicates that it will provide service to Lebanon, South Dakota. This is eight miles from the children’s residence. Smith, 1999 SD 111, 599 N.W.2d at 641. The majority opinion’s determination that this factor does not affect the Petitioners who do not have children is irrelevant. The question to be addressed is whether there is bus service to the residence, not whether every Petitioner can claim a benefit or detriment under a particular factor. This factor must clearly be decided for Petitioners.

Arbitrariness of School District Boundaries

[¶ 34.] Far from being supported by substantial and competent evidence, the Board’s finding on this factor was nothing more than the bare statement:

The original Hoven School District boundaries were not arbitrarily drawn and the proposed minor boundary change would make the boundaries arbitrarily drawn.

The majority opinion attempts to give this finding some support, but fails in two respects. First, it is not the function of this Court to dredge up factual support for the Board’s findings. On the contrary, we must hold the findings arbitrary unless there is substantial evidence to support them. Second, the majority opinion completely ignores the primary argument and support offered by Petitioners. The argument is worthy of reconsideration:

The existing Hoven School District is the result of consolidation more than thirty (30) years ago. At that time there were in excess of 15 schools operated by the Hoven School District within its boundaries. Since consolidation, the only remaining high school and elementary school being operated in the Hoven School District are in Hoven on the north boundary of Potter County. The map attached to the petition shows a substantial amount of the Hoven School District (including a township two (2) miles straight south of the Gettysburg School District) is substantially closer to the school in the Gettysburg District. (See Appx. 7, 8). The current school district boundaries are reflective of a time passed. Additional facts show the boundaries as currently drawn are arbitrary. Co-oping between schools for athletics and the fact that Hoven co-ops with schools farther to the north and to the east which would be 60 to 70 miles from the Hoven School District’s southwestern boundary, further show the Ho-ven School District boundaries are arbitrary. Considering sixteen percent (16) or thirty-three (33) Hoven School District students attend the Gettysburg School District and none of the students in the Gettysburg School District attend the Hoven School District, the record establishes an archaic and out-dated school boundary for the Hoven School District. (See Appx. 7, 8 which are attached.)
In Smith at 641, the Court found the map introduced as an exhibit substantiated the issue that the district line which placed the property in the current district was drawn in arbitrary fashion. The Court, in Kellogg v. Hoven School Dist. No. 53-2, 479 N.W.2d 147, found an almost identical map to be in favor of the petitioner. Kellogg at 152. (See Appx. 7 and 8). A large part of the land base in the Hoven School District lies *914closer to the Gettysburg school than the . Hoven school. The fact the Hoven School District boundary was found in 1991 to be arbitrary and the only substantive change since 1991 is that the Hoven School District now operates one attendance center in Hoven on the far northern boundary and has closed all other attendance centers in its district, mandates the same finding.

This factor must be decided in favor of Petitioners.

Distance to the Gettysburg School District

[¶ 35.] The Kirbys live 13 miles from the Gettysburg school and 21 miles from the Hoven School. The majority opinion and the Board- rewrite this factor to inquire about the quality and type of roadway connecting Petitioners to the schools. However, this factor clearly cuts in favor of Petitioners and must be weighed accordingly.

Special Needs of the Children

[¶ 36.] There are no special needs of the children.

Other Factors

[¶ 37.] The majority opinion focuses heavily on the perceived motivation of Petitioners. However, if Petitioners meet the statutory requirements, which they do, and if the factors weigh in favor of Petitioners, which they do, Petitioners’ motivation is irrelevant. Our function is to determine whether the Board acted arbitrarily and capriciously. A fair reading of ■ the Board’s findings in light of the statutes and factors indicates that the Board did act arbitrarily, and that should be the end of this Court’s inquiry. There is no factor or statutory criteria which requires an examination of Petitioners’ motives. The majority opinion sanctions the Board’s attempt to shield itself from economic loss by simply rewriting the factors.

[¶ 38.] The Board also relied heavily on its finding that:

The Board is concerned that if it allows this comparatively large petition, similar petitions will be presented in the future, creating a domino effect. This petition and future petitions will seriously affect the economic viability of the Hoven district.

As Petitioners note, we have addressed this type of reasoning in the past and found it to be unconvincing. In Kellogg, 479 N.W.2d at 152, we held:

Board’s reasons for denying Kellogg’s petition dwell almost exclusively on the hypothetical financial impact the boundary change could have on the Hoven district, and fail to discuss any of the compelling factors which support the granting of the petition.

As Petitioners point out:

At the time, the Hoven School District held 65 of the assessed valuation of the total area, but only 37 of the total enrolled pupils, including the 40 pupils it pays to send to the Gettysburg district.
Twelve (12) years later, the Hoven School District has 61.7 of the assessed valuation of the total area and 35.5 of its enrolled students. Thirty-three (33) or sixteen percent (16) of its students are open enrolled to attend the Gettysburg school.
There have been numerous minor boundary changes, but this “tax haven” school district, after 30 years, remains substantially intact. When a district closes approximately 15 attendance centers through the years and has but one location remaining on the far north boundary, and that district has sport co*915ops with schools substantially farther north and east, minor boundary changes are not only foreseeable, but reasonable acts of taxpayers and landowners to be a part of the community in which they live. The legislature reserved this power to the citizens seventy years ago allowing for flexibility and knowing school boundaries must evolve with the times.
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The Gettysburg School District has a tax valuation of $101,834,112 and educates 320 children. The Hoven School District has a tax valuation of $164,256,260 and educates 176 children. Thirty-three (33) or sixteen percent (16) of the students residing within the boundaries of the Hoven School District attend school in the Gettysburg School District. Lakes and Brown, who join in the petition, have children or grandchildren residing in the Gettysburg School District. They desire to have some of their land included in the district that educates their children. Taxes are higher in the Gettysburg School District. The Gettysburg School District receives $3,889 for each student who resides in the Hoven School District and attends the Gettysburg school through open enrollment. Instead of $3,889 for each of the three Kirby children when they attend the Gettysburg school if the petition is granted, the Gettysburg School District will receive an additional $8,745 due to increased tax base.

Hoven School District is making the same argument that we rejected in Kellogg, 479 N.W.2d at 152. That argument is less viable today than it was in 1991 and should be rejected by the Court. As Petitioners have shown, the Hoven School District:

has a larger tax base, lower taxes, substantially less students to educate and a large percentage of its children attending the school district with less tax base.

[¶ 39.] Petitioners accurately portray this Court’s prior statements concerning economic factors:

The court has consistently criticized “a school board’s excess reliance on economic factors as a basis for denial of a boundary change petition.” Johnson, ¶ 26, Oldhamr-Ramona, 502 N.W.2d at 582. The court has repeatedly provided “school districts do not have a vested right to retain their existing status or territory. As creatures of the legislature they are subject to periodic change, alteration or abolishment.” Johnson, ¶ 26, citing Nelson v. Deuel County Bd. of Education, 80 S.D. 559, 563, 128 N.W.2d 554, 556 (1964) (citations omitted). Accord McLaughlin School Dist. 15-2 v. Rosters, 441 N.W.2d 682, 685 (S.D.1989); Oldhamr-Ramona, 502 N.W.2d at 582. In Johnson, the percentage of land to be transferred was 1.97 (under the 2 ceiling). In that case it was found that the school board denying the petition was clearly over-reliant on economic factors as a basis for denying the boundary change when the petitioners met the criteria set forth above. The Court further finds in Johnson, ¶27: “the economic effects of a minor school district boundary change are largely taken into account by the statutory limitations on such a change. SDCL 13-6-85 limits a ‘minor’ boundary change to property affecting not more than two percent (2) of the assessed valuation of a district.”

[¶ 40.] I encourage the Court to study Appendix 7, attached to this writing. It should be obvious to the objective viewer that, at a minimum, almost all real estate currently in the Hoven School District south of the northern tier of Gettysburg-Township should be in the Gettysburg School District to eliminate the current arbitrariness of the school district boundaries.

*916[¶ 41.] For all of these reasons I respectfully dissent. We should reverse and remand consistent with this writing.

[¶ 42.] MEIERHENRY, Justice, joins this dissent.

ATTACHMENT

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. Even the majority opinion concedes:

There is no dispute the statutory requirements are met in this case: the land included in the petition constitutes 1.99 of the Hoven School District's assessed value; three children live on the land included in the petition; the land is conterminous with the Gettysburg School District; and all registered voters residing on the land signed the petition.