Kroeger v. Department of Environmental Protection

Majority: SAUFLEY, C.J., and CLIFFORD, RUDMAN, CALKINS, and LEVY, JJ.

Dissent: DANA, and ALEXANDER, JJ.

CALKINS, J.

[¶ 1] Harold A. Kroeger appeals from a judgment of the Superior Court (Kennebec County, Studstrup, J.) affirming the De*568partment of Environmental Protection’s denial of his application to build a dock. The Department denied the permit because it found that the proposed dock did not meet the requirements of the Natural Resources Protection Act, 38 M.R.S.A. §§ 480-A to-Z (2001 & Supp.2004), in two respects: (1) the dock would unreasonably interfere with existing scenic uses, and (2) the dock would unreasonably harm significant marine aquatic habitat. Kroeger challenges the factual findings of the Department, arguing that they are unsupported by the record and arbitrary.1 We affirm the Department’s denial of the permit on the basis that the proposed dock will interfere with existing scenic uses, and we do not reach the issue of unreasonable harm to the marine habitat.

I. BACKGROUND

[¶ 2] Kroeger owns property on Mount Desert Island with two hundred feet of shorefront on the eastern shore of Somes Sound in the area known as the Narrows. He applied to the Department for a permit to construct a dock. In the application, Kroeger stated that the dock would be used for recreational boating and that its purpose was to access and store dinghies and to access his large boat that is moored nearby. Kroeger’s plan describes a 180-foot long dock, consisting of the following: a permanent pier, 110 feet in length by six feet wide; a seasonal ramp, fifty feet long by four feet wide; and a float, twenty feet long by fifteen feet wide.2 The plan calls for the pier to be supported by a concrete abutment on shore and two granite cribs. The pier would impact 138 square feet of the coastal wetland substrate.

[¶ 3] During the process of reviewing the application for the permit, the Department received letters from citizens who use Somes Sound and who criticized the proposal. These included comments from a neighboring landowner, who opposed the construction of the dock and who was later granted intervener status in the Superior Court. Kroeger was allowed to supplement his application to respond to the various comments. Before the Department rendered its decision, it issued a draft order and gave Kroeger an opportunity to comment on the draft, which he did.

[¶ 4] In its final order, the Department made detailed factual findings and concluded that Kroeger’s application met seven of the nine NRPA standards. 38 M.R.S.A. § 480-D (2001 & Supp.2004). However, because a permit cannot be issued unless an applicant has demonstrated that all nine standards are met and because the Department found that Kroeger failed to meet two of the standards, the Department denied the permit. One of the standards he failed to meet requires that an “activity will not unreasonably interfere with existing scenic, aesthetic, recreational or navigational uses.” 38 M.R.S.A. § 480-D(l) (2001). Regarding this standard, the Department stated that the proposed dock would unreasonably interfere with existing scenic uses because it “would represent a sharp visual contrast to the existing shoreline ... and the applicant has alternatives that would meet the project purposes making the impacts unnecessary and unreasonable.”

*569[¶ 5] The other standard that the Department found that Kroeger failed to meet is the “harm to habitats” standard, which requires that an activity “not unreasonably harm any significant wildlife habitat, freshwater wetland plant habitat, threatened or endangered plant habitat, aquatic habitat, travel corridor, freshwater, estuarine or marine fisheries or other aquatic life.” 38 M.R.S.A. § 480-D(3) (Supp.2001).3 The Department found that Kroeger’s proposed dock “would result in the loss of coastal wetland area, functions and values; would result in a loss of marine aquatic life and habitat; and that the applicant has alternatives that would meet the project purpose making the impacts unnecessary and unreasonable.”

■ [¶ 6] Kroeger appealed the denial of the permit to the Superior Court. The Superi- or Court affirmed the Department’s decision, and Kroeger appealed. The neighbor, who was granted intervener status in the Superior Court pursuant to M.R. Civ. P. 24(b), has also participated in this appeal as an appellee.

II. DISCUSSION

A.Standard of Review

[¶ 7] When a party appeals a judgment resulting from the Superior Court’s review of an administrative agency decision, we review the agency’s decision directly. Hannum v. Bd. of Envtl. Prot., 2003 ME 123, ¶ 11, 832 A.2d 765, 768. We do not vacate an agency’s decision unless it: violates the Constitution or statutes; exceeds the agency’s authority; is procedurally unlawful; is arbitrary or capricious; constitutes an abuse of discretion; is affected by bias or an error of law; or is unsupported by the evidence in the record. 5 M.R.S.A. § 11007(4)(C) (2002).

[¶ 8] Kroeger contends that the Department’s findings are contrary to the record evidence and are arbitrary. When, as here, an appellant challenges the findings of the administrative agency, the appellant cannot prevail unless he shows that the record compels contrary findings. Lentíne v. Town of St George, 599 A.2d 76, 80 (Me.1991). We do not find that an administrative agency has acted arbitrarily or capriciously unless its action is “wilful and unreasoning” and “without consideration of facts or circumstances.” Cent. Me. Power Co. v. Waterville Urban Renewal Auth., 281 A.2d 233, 242 (Me.1971) (quotation marks omitted).

B. Existing Scenic Uses

[¶ 9] The construction of a permanent structure in, on, or over a coastal wetland is an activity that requires a permit. 38 M.R.S.A. § 480-C (2001 & Supp. 2004). An applicant for a permit has the burden to demonstrate that the activity will not unreasonably interfere with existing scenic uses. 38 M.R.S.A. § 480-D(l). An applicant also has to meet the standards set forth in the regulations promulgated by the Department. One of those is the “avoidance” standard: “No activity shall be permitted if there is a practicable alternative to the project that would be less damaging to the environment.” 2 C.M.R. 06 096 310-4 § 5(A) (2002). The regulation also states that even if there is no practicable alternative, “the application will be denied if the activity will have an unreasonable impact on the wetland.” 2 C.M.R. 06 096 310-5 § 5(D)(1) (2002).

[¶ 10] In the decision denying Kroeger’s application for a permit, the Department described Somes Sound, the location of the proposed dock, as “the only natural fjord on the east coast of the Unit*570ed States.” It noted that Acadia National Park is located on the opposite side of Somes Sound from the proposed dock. The Department found that the dock would not blend into the shoreline and that “a light colored, linear structure 17 feet high and extending out into the sound represents a sharp visual contrast to the natural horizontal banding of the shoreline, and would degrade the scenic character of the natural shoreline of the Somes Sound fjord.”

[¶ 11] The evidence before the Department included reports by experts opining on the visual impact of the proposed dock. Kroeger’s expert concluded that the proposed dock would be “prominent only from close range,” but that it would blend with the existing shoreline. Kroeger’s expert commented that the visual impact of the proposed dock would diminish with distance:

At extremely close range the structures can cross a viewers [sic ] entire field of vision. At middle distances the structures cross a small percentage of a viewers [sic] field of vision, while distant viewers see the structures taking a very small percentage of their field of vision.

[¶ 12] The intervener submitted an expert’s report to the Department that criticized the lack of information in Kroeger’s expert’s report regarding the existing scenic uses. The intervener’s expert stated:

People from all over the world come to view Somes Sound. The people who will see the proposed pier from boats and hiking trails will be largely recreation-ists who, as a group, and especially in a landscape of such national significance, primarily seek high quality settings. As such, they are very highly sensitive to changes in the landscape.

[¶ 13] In addition to the experts’ reports on existing scenic uses and the visual impact of the proposed dock, the record contains photographs of the affected area, including photographs submitted by Kroeger containing simulations of the proposed dock. The photographs demonstrate the scenic beauty of the area and the lack of other docks. The photographs with simulations also demonstrate the interference of the proposed dock with the existing scene. The record evidence discloses that there are no other docks within 2000 feet of the location of Kroeger’s proposed dock, and the other docks on the Sound are more secluded than the proposed dock and are not on the narrow reach of the Sound.

[¶ 14] The administrative record also includes comments by members of the public and neighbors. The comments attest to the unique scenic beauty of the area and the fear that the proposed dock would interfere with the scenery of the Sound. The Department noted that Somes Sound is used by many boaters to enjoy the beauty of the area. Department personnel also visited the site and took notice of the proposed location and its proximity to Acadia National Park. The record adequately supports the Department’s finding that the proposed dock will interfere with existing scenic uses of boaters, hikers, and sightseers of Somes Sound.

[¶ 15] The dissent contends that the scenic use at issue is that of the wetland itself. Because “[c]oastal wetlands” are defined as “all tidal and subtidal lands,” 38 M.R.S.A. § 480-B(2) (2001), the dissent concludes that there is seldom any scenic use of subtidal lands, because they are underwater and invisible to most people. However, section 480-D(l) does not limit the requirement of noninterference to existing uses of the coastal wetland itself. In Conservation Law Foundation, Inc. v. Department of Environmental Protection, 2003 ME 62, ¶ 33, 823 A.2d 551, 562, we focused on the “uses of the location in *571which the pier or wharf is to be constructed.” If the uses were limited to “tidal and subtidal lands” without the use of the water covering those tidal and subtidal lands, the requirement of noninterference with navigational uses in section 480-D(l) would not make sense.

[¶ 16] Furthermore, the dissent’s finding that subtidal lands have no scenic use for anyone other than a scuba diver is contrary to the legislative finding that “coastal wetlands ... are resources of state significance ... [that] have great scenic beauty.” 38 M.R.S.A. § 480-A (2001). The dissent’s unduly restrictive construction of “scenic and aesthetic uses” to apply only to the land beneath the subtidal and tidal waters does not comport with the “broad, liberal interpretation” that we give to NRPA. Murphy v. Bd. of Envtl. Prot., 615 A.2d 255, 259 (Me.1992). Finally, the dissent’s application of section 480-D and the Department’s regulations is contrary to the Department’s interpretation of the statute it is charged with enforcing and the regulations it has promulgated, and we give deference to the Department’s interpretation. Id. By visiting the surrounding area and considering the impact of the proposed dock on the boaters and hikers' who flock to Acadia for the scenic beauty of the area, the Department has interpreted the statute and its own regulations to mean that the general location of the proposed activity is at issue when considering interference with existing scenic uses.4

C. Practicable Alternatives

[¶ 17] The Department determined that the interference that the proposed dock would have on scenic uses would be unreasonable because Kroeger had practicable alternatives to the construction of a dock. The Department regulations require a permit applicant to analyze alternatives to the proposed activity and “demonstrate that a practicable alternative does not exist.” 2 C.M.R. 06 096 310-4, 310-7 §§ 5(A), 9(A) (2002). “Practicable” is defined as “[a]vailable and feasible considering cost, existing technology and logistics based on the overall purpose of the project.” 2 C.M.R. 06 096 310-3 § 3(R) (2002). The Department found that Kroeger failed to meet his burden of demonstrating that a practicable alternative does not exist.

[¶ 18] Kroeger stated in his permit application that the dock would be used for recreational boating and that the purpose was to access dinghies, store them, and access his large boat that is moored nearby. Contrary to the requirement in the regulations to provide information regarding an alternatives analysis with the application, 2 C.M.R. 06 096 310-7 § 9(A), Kroeger failed to provide the information. By letter dated April 18, 2002, the Department listed additional information that was *572required for processing. Included in this list were the following:

2. What is the draft of the boat the applicant intends to dock at the proposed pier?
3. In regard to practical alternativés for egress and ingress to the water, please provide evidence in regard to why the following alternatives are not practicable—
a. Use of an existing public or commercial pier. Please include the distance to the nearest public piers in. your response.
b. Use of a three-point hitch and a dinghy.
c. Use of a temporary structure.
In responding to this letter, please carefully consider all alternatives for access and egress, and provide specific evidence on the practicability of all alternatives.

In response, Kroeger stated the drafts of his fifty-two-foot boat and his twenty-eight-foot powerboat. He noted that the float was designed primarily for skiffs and that there would also be kayaks. He responded that a dinghy and three-point hitch were impractical “because of the physical ability required to use one” and that the rocky shore was not conducive to the use of a three-point hitch. He stated that the public marina was two miles away.

[¶ 19] In the letter to the Department commenting on the draft decision, Kroeger stated that the dock would be used primarily by kayaks, canoes, a small rowboat, and an inflatable combination motor/row boat. He stated that he and his wife were ages sixty-two and fifty-eight and that it was not practical for them to load a vessel onto a vehicle and transport it to another location.

[¶ 20] The Department found that Kroe-ger has dock space and a mooring at the Northeast Harbor Town Landing for his large boat and that he is a member of a private marina in the area. The Department found that Kroeger did not demonstrate that he did not have practical alternative access to the water through the public and private marinas nearby and by launching small boats from his shore. The record supports these findings and does not compel a finding that no practicable alternatives existed, particularly in the absence of any information offered by Kroe-ger as to why shore launching was impracticable.

D. Arbitrariness

[¶ 21] Kroeger also argues that the Department’s findings regarding the unreasonable interference with existing scenic uses are arbitrary. He refers to the finding that the proposed dock would sharply contrast with the shoreline and argues that the Department could not have made this finding except by ignoring the photographs with simulations and his expert’s opinion that the dock would retain a dark green color that would be compatible with the surroundings.. However, the Department’s decision expressly refers to his expert’s opinion, and it states that the Department did not agree with the assertion that the color would remain dark and blend into the shoreline. The decision adds that the Department’s refusal to agree with Kroeger’s expert on this issue is based on the opinion of the intervener’s expert and on the observations by Department personnel. An agency does not act arbitrarily when it considers but disagrees with evidence submitted by one party and believes evidence submitted by another party. Cent. Me. Power Co., 281 A.2d at 242.

*573[¶22] The Department also found that Kroeger had not met the NRPA standard requiring no unreasonable harm to the habitat, and Kroeger challenges that finding on appeal. However, because an applicant must meet all of the NRPA standards in order to obtain a permit, our affirmance of the Department’s decision on the existing scenic uses standard renders discussion of the other standard superfluous.

The entry is:

Judgment affirmed.

. In his brief to us, Kroeger argues that the NRPA is an unconstitutional delegation of authority to the Department and that the NRPA and the Department regulations are unconstitutionally vague. At argument, Kroeger conceded that he failed to preserve the constitutional issues. For this reason, we do not consider his constitutional challenges.

. Kroeger's original plan was for a larger dock, but the dimensions given here are from the revised plan upon which the Department based its decision.

. This section was amended by P.L.2001, ch. 618, § 3 (effective April 3, 2002).

. A regulation adopted by the Department after Kroeger's application was considered describes the process for evaluating impacts to scenic uses. 2 C.M.R. 06 096 315 (2003). The regulation demonstrates that the Department does not interpret the statute or its regulations as limiting its inquiry to the lands beneath the tidal and subtidal waters. Chapter 315 defines Acadia National Park as a "scenic resource” because it is "visited by large numbers who come from across the country or state.” Id. § 10. When diere is a scenic resource, it is the "point from which an activity in, on, over, or adjacent to a protected natural resource is viewed." Id. Among other things, the Department looks at the "existing character of the surrounding area.” Id. § 4. It is the general scenic use of the "landscape” that is considered. Id. § 4(D). This regulation makes clear that the Department construes "scenic uses” to mean scenic uses of the general location of the proposed activity. We do not apply this regulation to the present case. We refer to it only to demonstrate that it is consistent with the statutory and regulatory interpretation by the Department in this case.