Protect Our Parks, Inc. v. Chi. Park Dist.
Protect Our Parks, Inc. v. Chi. Park Dist.
Opinion of the Court
This order does not address the true facts of this case. Nor does it decide the legal merits of Plaintiffs' key claims. Instead, as with many rulings on motions to dismiss, this order merely clears away portions of the case that do not belong. As explained below, this Court grants in part, and denies in part, Defendants' motion to dismiss for lack of subject matter jurisdiction. [48]. Specifically, Count VI is dismissed with prejudice as to Plaintiff Adelman, and without prejudice as to Plaintiffs Parks, Valencia, and Jurevis (subject to reassertion should their First Amendment claims ever become ripe). Plaintiffs' aesthetic and environmental harm theory, to the extent it is included in Count I, also fails.
As to the remaining counts and legal theories, this Court makes no comment on the likelihood of success or failure, but this Court assures all involved that it will address what is left of the matter upon the dispositive motions to be filed at the close of discovery. If dispositive motions are granted in full, the case will end; and if they are denied, the parties will receive a short trial date.
This case remains set for a case management conference on February 27, 2019, at 10:30 a.m., in Courtroom 1203. At that hearing, this Court will rule on any discovery disputes, set a 45-day close of fact discovery, and calendar a firm six-week schedule for the final briefing and resolving of dispositive motions.
I. The Complaint's Allegations
This dispute arises out of the City of Chicago and the Chicago Park District's efforts to bring the Obama Presidential Center (OPC) to the City's South Side. Because this opinion is limited to the issue of subject matter jurisdiction, this Court provides only a summary of the relevant facts.
The First Amended Complaint [91] names the involved parties.
In 1869, the Illinois General Assembly passed "An Act to Provide for the Location and Maintenance of a Park for the Towns of South Chicago, Hyde Park and Lake." Id. ¶ 27. The statute provided for the formation of a board of public park commissioners to be known as the "South Park Commissioners." Id. The Act authorized these commissioners to select certain lands, which, when acquired by said Commissioners "shall be held, managed and controlled by them and their successors, as a public park, for the recreation, health and benefit of the public, and free to all persons forever." Id. Pursuant to this authority, the commissioners acquired the land now known as Jackson Park. Id. The Illinois Legislature enacted the Park District Consolidation Act in 1934, which consolidated the existing park districts, including the South Park District, into the Chicago Park District. Id. ¶ 28; 70 ILCS 1505/1. The Park District therefore holds Jackson Park in the public trust. [91] ¶ 29.
The Jackson Park site selected for the OPC lies on the western edge of Jackson Park and includes existing parkland bounded by South Stony Island Avenue on the west, North Midway Plaisance on the north, South Cornell Drive on the east, and East Hayes Drive on the south. [49-2] at 77196; [49-8] ("Report to the Planning Commission") at 2. In addition to the various structures that will comprise the OPC, the site will include new parkland created by vacating portions of streets adjacent to existing parkland. [49-2] at 77195, 77198; [91-4] ("Part Two: Character of the Proposal, VI. Narrative") at 3. In total, the site will comprise 19.3 acres. [91] ¶ 50.
In January 2015, Chicago Mayor Rahm Emanuel introduced an ordinance authorizing the transfer of the relevant land in Jackson Park to the City for use by the Obama Foundation (Foundation) to build and operate the OPC. Id. ¶ 111; [91-2]. The Chicago Plan Commission and Chicago City Council reviewed the matter, held public hearings, and subsequently approved this inter-governmental land transfer. [91] ¶¶ 13, 111. As part of its approval, the City Council passed an "Operating Ordinance" allowing the City to accept title to the Jackson Park site from the Park District and to enter into agreements governing the Foundation's use of the site. [49-6]. One of the agreements authorized by the Operating Ordinance-the Use Agreement-sets the terms by which the Foundation *1190may use the Jackson Park site for the OPC. Id. (Exhibit D).
On May 14, 2018, Plaintiffs brought this action, seeking to enjoin an alleged "contrived collaboration" among Defendants to construct the OPC on a specific site within Jackson Park. [91] ¶ 1. In their six-count complaint, Plaintiffs assert: (1) a claim under
On November 21, 2018, Defendants moved, pursuant to Federal Rule of Civil Procedure 12(b)(1), to dismiss the complaint for lack of subject matter jurisdiction; in the alternative, Defendants moved for judgment on the pleadings pursuant to Rule 12(c).
This Court's standing order regarding motions to dismiss states, in relevant part:
When a motion to dismiss is filed, the non-moving party has a right to amend its pleading once within 21 days. Fed. R. Civ. P. 15(a)(1)(B). If the non-moving party elects not to amend its pleading to address the purported deficiencies raised by the motion (or seek leave to amend its pleading again), then the motion to dismiss will proceed in its normal course and, if the moving party prevails, the Court may dismiss the case with prejudice and not provide further opportunity to amend the pleading absent extraordinary circumstances.
At the parties' motion hearing on November 29, 2018, [64], this Court asked Plaintiffs if, in light of the standing order, they planned to amend their complaint or file a response to the motion to dismiss. In response, Plaintiffs declined the opportunity to amend, stating: "No. We're going to file a response, your Honor."
As to Defendants' 12(b)(1) motion to dismiss, this Court now grants in part and denies in part the motion for the reasons set forth below.
II. Legal Standard
Like Rule 12(b)(6), Rule 12(b)(1) requires this Court to construe Plaintiffs' complaint in the light most favorable to Plaintiffs, accept as true all well-pleaded facts, and draw reasonable inferences in their favor. Yeftich v. Navistar, Inc. ,
Defendants' Rule 12(b)(1) motion is a facial challenge, as opposed to a factual challenge, to subject matter jurisdiction. [48] ¶ 2; [65-1] at 1; see also Apex Digital, Inc. v. Sears, Roebuck & Co. ,
III. Analysis
Defendants' 12(b)(1) motion to dismiss argues that: (1) Plaintiffs lack Article III standing to bring their Due Process Clause and First Amendment claims; and (2) Plaintiffs' First Amendment claim is unripe. [49-1] at 12.
Article III of the Constitution limits "federal judicial power to certain 'cases' and 'controversies.' " Silha v. ACT, Inc. ,
A. Plaintiffs' Due Process Claim (Count I)
To establish Article III standing, a plaintiff must show that: "(1) it has suffered an 'injury in fact' that is (a) concrete and particularized and (b) actual or imminent, not conjectural or hypothetical; (2) the injury is fairly traceable to the challenged action of the defendant; and (3) it is likely, as opposed to merely speculative, that the injury will be redressed by a favorable decision." Silha ,
Plaintiffs base their Due Process claim upon three theories. First, Plaintiffs cite to Sierra Club v. Morton ,
Second, in the alternative, Plaintiffs base their Due Process claim upon the public trust doctrine. Specifically, Plaintiffs allege that they, as state taxpayers, maintain a fractional, beneficial interest in the Jackson Park site that the Park District holds in trust for them. [91] ¶ 82.
Third, Plaintiffs allege that Defendants' actions constitute an "unlawful taking" of Jackson Park in violation of the Takings Clause of the Fifth Amendment, as incorporated into the Due Process Clause of the Fourteenth Amendment. Id. ¶ 85. Because Defendants' motion to dismiss does not challenge Plaintiffs' Takings Clause claim based upon subject matter jurisdiction, see generally [49-1] at 19, this Court need not consider it at this time.
i. Plaintiffs' Aesthetic and Environmental Harm Theory
Defendants argue that Plaintiffs' "aesthetic and environmental harm" theory fails because they do not allege that the OPC will cause an individual injury sufficient to confer standing under Article III. [83] at 7-8. This Court agrees.
a. Individual Plaintiffs Cannot Establish Standing
Environmental plaintiffs "adequately allege injury in fact when they aver that they use the affected area and are persons for whom the aesthetic and recreational values of the area will be lessened by the challenged activity." Sierra Club v. Franklin Cty. Power of Ill., LLC ,
b. Plaintiff Parks Cannot Establish Standing
For this same reason, Plaintiff Parks cannot establish standing based upon aesthetic or environmental harm.
An organization establishes standing to sue on behalf of its members "if (1) at least one of its members would otherwise have standing; (2) the interests at stake in the litigation are germane to *1193the organization's purpose; and (3) neither the claim asserted nor the relief requested requires an individual member's participation in the lawsuit."
Parks' environmental harm theory fails because the amended complaint lacks any allegation that its members use, visit, or otherwise enjoy Jackson Park in any manner. See generally [91]. Absent such information, Parks cannot establish organizational standing to sue based upon aesthetic or environmental harm.
ii. Plaintiffs' Public Trust Doctrine Theory
a. Individual Plaintiffs Establish Standing
Defendants argue that Individual Plaintiffs fail to establish Article III standing based upon the public trust doctrine, because their interest as alleged trust beneficiaries belongs to "each citizen," meaning the interest is common to all Illinois residents. [49-1] at 14. Therefore, Defendants contend, Individual Plaintiffs lack the required "personal stake," or injury, that Article III standing requires.
If "the 'public trust' doctrine is to have any meaning or vitality at all, the members of the public, at least taxpayers who are the beneficiaries of that trust, must have the right and standing to enforce it."See Friends of the Parks v. Chicago Park Dist. , No. 14-cv-09096,
Here, Individual Plaintiffs allege that Defendants have placed Jackson Park-land held in the public trust-in imminent danger of alteration, and thus that Defendants are depriving them of their rights under the public trust doctrine without procedural due process. See [91] ¶¶ 6, 58-86. Therefore, Individual Plaintiffs, as Illinois taxpayers and beneficiaries of the public trust, have established Article III standing as to their Due Process claim under the public trust doctrine.
Defendants rely upon two cases for the principal that Individual Plaintiffs cannot establish Article III standing. Both are distinguishable. First, Defendants cite to Hollingsworth v. Perry ,
Second, Defendants rely upon Illinois ex rel. Ryan v. Brown ,
Because Individual Plaintiffs, as Illinois taxpayers and beneficiaries of the public trust, have established Article III standing as to their Due Process claim, this Court denies Defendants' motion to dismiss Count I for lack of subject matter jurisdiction [48] as to Individual Plaintiffs.
b. Plaintiff Parks Establishes Standing
Similar to Plaintiffs' environmental harm theory, Parks must plead facts regarding its members' interests to establish Article III standing on their behalf. Franklin Cty. Power ,
Parks has met this burden with respect to its public trust doctrine claim, because Plaintiffs' First Amended Complaint asserts that Parks' members reside *1195in the City of Chicago and pay city taxes. [91] ¶ 19. Based upon this allegation, this Court can draw the reasonable inference that Parks members pay Illinois state taxes in addition to city taxes. Thus, Parks alleges that at least one of its members, as a taxpayer, has standing to bring a due process claim based upon the public trust doctrine in this case. Certainly, Parks' stated purpose of preserving, protecting, and improving Chicago's parks and forest preserves is germane to the issues in this case. Id. ¶ 18. And there is no contention that Plaintiffs' Due Process claim, or their requested relief, requires an individual member's participation in this lawsuit.
Because Plaintiff Parks has established Article III standing to sue on behalf of its members as to the Due Process claim, this Court denies Defendants' motion to dismiss Count I for lack of subject matter jurisdiction [48] as to Plaintiff Parks.
B. Plaintiffs' First Amendment Claim (Count VI)
Defendants argue both that: (1) Plaintiffs lack standing to bring their First Amendment claim; and (2) the First Amendment claim is unripe. [49-1] at 15-16, 19. This Court addresses each argument in turn.
Plaintiffs' First Amendment claim alleges that they will pay municipal taxes, the proceeds of which will fund political speech with which they disagree, because of the OPC. Plaintiffs rely upon a series of prospective events to support this theory.
First, Plaintiffs point to Section 2 of the Park District Aquarium and Museum Act, 70 ILCS 1290/2, which states that "[e]ach board of park commissioners ... is hereby authorized ... to levy annually a tax" for purposes of "establishing, acquiring, completing, erecting, enlarging, ornamenting, building, rebuilding, rehabilitating, improving, operating, maintaining and caring for" aquariums, museums, and their buildings and grounds. [91] ¶ 119. According to the Act, such tax-"shall be in addition to all other taxes which such board of park commissioners is ... authorized to levy on the aggregate valuation of all taxable property within the park district." 70 ILCS 1290/2.
Second, Plaintiffs allege that President Obama:
intends to use his Center as a 'bully pulpit' to continue his political activities, by raising money for the Democrat[ic] Party, endorsing individual candidates for election, speaking out on controversial partisan political issues, and being outspoken in critiquing the actions of succeeding presidents and elected members of Congress with whom he disagrees.
[91] ¶ 117. And third, Plaintiffs allege that "on information and belief, the Obama Foundation will not pay real estate taxes." Id. ¶ 120.
Therefore, Plaintiffs allege that the Park District's Board of Commissioners will choose to levy an annual, municipal-level
i. Plaintiff Adelman Cannot Establish Standing
Litigants seeking to establish municipal taxpayer standing must satisfy "two threshold criteria": (1) they are municipal taxpayers; and (2) the municipality has used tax revenues on the allegedly unconstitutional acts. Freedom from Religion Found. v. Zielke ,
Plaintiff Adelman is a Wilmette resident. [91] ¶ 20. As such, she will not pay any sort of municipal tax in support of the OPC, and therefore cannot establish Article III standing as a municipal taxpayer. Count VI is therefore dismissed with prejudice as to Plaintiff Adelman.
As Chicago residents, Plaintiffs Valencia and Jurevis do pay City of Chicago taxes. Id. ¶¶ 21-22. And Plaintiff Parks has established organizational standing through its members, who it alleges pay City of Chicago taxes. [91] ¶ 19; Franklin Cty. Power ,
ii. Plaintiffs' First Amendment Claim Lacks Ripeness
Defendants also challenge Plaintiffs' First Amendment claim as unripe for judicial review. See, e.g. , [83] at 8. Ripeness encompasses both "the Constitution's case-or-controversy requirements as well as discretionary prudential considerations." Wis. Right to Life State PAC v. Barland ,
*1197 v. Gardner ,
Plaintiffs' First Amendment claim rests upon multiple levels of wild factual speculation. First, with respect to the alleged annual tax, the Use Agreement between the City and Foundation expressly prohibits the Park District from enacting an annual tax to support the OPC. [49-6] (Exhibit D). The Agreement states that the Foundation "shall, at its sole cost and expense, design and construct the Project Improvements
Second, with respect to partisan political behavior, the Use Agreement provides that:
The Foundation shall not use or allow the Subject Property to be used for political fundraisers or use or occupy, or authorize the use or occupancy of, the Subject Property or Project Improvements, in whole or in part, in a manner that would be inconsistent with the Foundation's status as a tax exempt entity under Section 501(c)(3) of the Internal Revenue Code.
Disputes "must have ripened into a legal case before a federal court can act; the case must not lie merely in the future." Jones v. Griffith ,
For these reasons, Plaintiffs' First Amendment claim lacks ripeness, and this Court cannot retain subject matter jurisdiction over that claim. Biddison v. City of Chicago ,
IV. Conclusion
For the reasons explained above, this Court grants in part and denies in part Defendants' motion to dismiss for lack of subject matter jurisdiction. [48]. Count VI is dismissed with prejudice as to Plaintiff Adelman, and without prejudice as to Plaintiffs Parks, Valencia, and Jurevis. See, e.g. , Peters v. Fair ,
This Court takes these alleged facts from Plaintiffs' First Amended Complaint [91], exhibits attached to the complaint, and documents that are "central to the complaint and are referred to in it." Williamson v. Curran ,
At the parties' motion hearing on February 14, 2019, this Court denied in part, and granted in part, Plaintiffs' late request to file a first amended complaint. [90]. Based upon Plaintiffs' counsel's representations, this Court granted leave to amend the original complaint, [1], solely to clarify that Protect Our Parks, Inc., actually consists of taxpaying members. [90]. Because this amendment does not affect the substance of Defendants' arguments in their motion to dismiss for lack of subject matter jurisdiction, [49-1], nor Plaintiffs' arguments in their response memorandum, [65-1], this Court considers and applies Defendants' motion to dismiss, [48], to Plaintiffs' First Amended Complaint, [91], for purposes of this opinion.
For clarity purposes, this Court will refer to all four parties collectively as "Plaintiffs," and to Plaintiffs Adelman, Valencia, and Jurevis as "Individual Plaintiffs."
On January 22, 2019, upon proper notice to parties, this Court issued an order converting Defendants' 12(c) motion to a Rule 56 motion for summary judgment, [79], which will be considered separately from the present 12(b)(1) motion, after the completion of discovery and any necessary supplemental briefing.
The Supreme Court articulated the "classic statement of the public trust doctrine" in Illinois Central Railroad Co. v. State of Illinois ,
Plaintiffs also cite Nguyen ex rel. United States v. City of Cleveland for the principle that the public trust doctrine cannot establish Article III standing. No. 1:09 CV 452,
Because Plaintiffs' related state-law claims (Counts II through V) derive from the same "common nucleus of operative fact" as their Due Process claim, this Court retains jurisdiction over them based upon supplemental jurisdiction. United Mine Workers v. Gibbs ,
The Park District is a distinct "body politic and corporate" entity, separate and apart from the City of Chicago. 70 ILCS 1505/3. Nevertheless, Plaintiffs assume, without explanation or legal authority, that a park district tax constitutes a municipal tax for purposes of their First Amendment claim. See [65-1] at 16-17. As discussed below, this Court need not address whether such a tax could constitute a municipal tax; even if Plaintiffs' alleged Park District tax could be defined as a municipal tax, Plaintiffs' First Amendment claim remains unripe.
In their response memorandum, Plaintiffs assert, for the first time, that the City will use taxpayer dollars to fund environmental remediation and road work related to the OPC site. [65-1] at 9; [91] ¶¶ 115-120. Even if Plaintiffs did include such an allegation in their Complaint, and even if the City does use taxpayer dollars in this manner, Plaintiffs cannot establish that such conduct is an illegal use of tax revenues; municipal spending on environmental costs and roadwork does not constitute illegal activity in and of itself. Clay , 76 F.3d at 879. Absent any allegation relating such environmental and roadwork spending to some future, unlawful partisan political expression on behalf of the OPC, Plaintiffs cannot establish municipal taxpayer standing based upon this theory. Id. Moreover, as is discussed below, Plaintiffs' entire First Amendment theory-based upon speculative, future OPC political activity-is unripe.
"Project Improvements" mean, "collectively, the Presidential Center Architectural Spaces and all other improvements constructed, installed or located on the Subject Property [the Jackson Park site] by the Foundation." [49-6] Exhibit D Art. I.
Reference
- Full Case Name
- PROTECT OUR PARKS, INC., Charlotte Adelman, Maria Valencia, and Jeremiah Jurevis v. CHICAGO PARK DISTRICT and City of Chicago
- Cited By
- 1 case
- Status
- Published