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HomeMy WebLinkAboutDSHW-2024-0092931 SL_7247510.3 DENTONS DURHAM JONES PINEGAR P.C. Bradley R. Cahoon (5925) Tyler R. Cahoon (16412) Cole P. Crowther (16432) 111 South Main Street, Suite 2400 Salt Lake City, Utah 84111 (801) 415-3000 Brad.cahoon@dentons.com Tyler.cahoon@dentons.com Cole.crowther@dentons.com Attorneys for Promontory Point Resources, LLC BEFORE THE EXECUTIVE DIRECTOR OF THE UTAH DEPARTMENT OF ENVIRONMENTAL QUALITY AND THE DIRECTOR OF THE DIVISION OF WASTE MANAGEMENT AND RADIATION CONTROL In re matter of: Promontory Point Resources, LLC SW416 PROMONTORY POINT RESOURCES, LLC’S MOTION TO SUPPLEMENT THE ADMINISTRATIVE RECORD By Promontory Point Resources, LLC November 5, 2024 Pursuant to Utah Code § 19-1-301.5(9)(c)(ii) and Utah Admin. Code R305-7-209(1), Petitioner Promontory Point Resources, LLC (“PPR”), through undersigned counsel, submits this Motion to Supplement the Administrative Record (“Motion”). INTRODUCTION PPR is the owner of Promontory Point Landfill, currently permitted as a for-profit Class I landfill, located in Box Elder County, Utah. In 2020, PPR filed an application to convert its landfill from a Class I landfill to a Class V commercial landfill (“Commercial Application”). On October 7, 2024, the Director (“Director”) of the Division Waste Management and Radiation Control, Utah Department of Environmental Quality issued an order denying PPR’s Commercial Application. 2 SL_7247510.3 The Director’s sole basis for denying the Commercial Application was that PPR did not satisfy Utah Code § 19-6-108(10)(b)(i) because PPR did not demonstrate a need in the state for additional physical capacity. But the Director’s interpretation of Subsection (10)(b)(i) does not follow rules of statutory construction and is clearly erroneous. The Director argues that the legislative history behind Utah Code § 19-6-108(10)-(11) supports his interpretation, but he is wrong. Counsel for PPR has reviewed the legislative history behind Utah Code § 19-6-108 and found nothing to support the Director’s interpretation. PPR therefore seeks to supplement the record with the Declaration of Lauren Chauncey (“Chauncey Decl.”, attached hereto as Exhibit 1), counsel for PPR, who has reviewed the legislative history on Utah Code § 19-6-108 and can testify that nothing in the legislative history supports the Director’s interpretation of the statute. Moreover, having found Subsection (10)(b)(i) was not satisfied, the Director made no findings with respect to Subsection (11). But each requirement in Subsection (11) was met by the Commercial Application, including Subsection (11)(b) requiring PPR to demonstrate the “need for the facility to serve industry within the state.” PPR therefore seeks to further supplement the record with a number of waste contracts it has with northern Utah companies that will take effect upon the approval of the Commercial Application (collectively, the “PPR Contracts”, attached hereto as Exhibit 2), which demonstrate the need for the PPR’s commercial landfill within the state. RELIEF REQUESTED AND GROUNDS FOR RELIEF PPR respectfully requests that the administrative record be supplemented with the Chauncey Declaration and the PPR Contracts. Good cause exists for supplementing the record with these documents, and doing so is in the interest of justice and necessary for resolution of the issues. Each document provides material information to a determination of whether PPR has 3 SL_7247510.3 satisfied the requirements of Subsections (10) and (11), which are the central issues on appeal. In fact, the supplemented record will further establish that the Director’s denial of PPR’s Commercial Application was clearly erroneous. For these reasons, PPR requests that its Motion be granted. STATEMENT OF FACTS Pursuant to Utah Rule of Civil Procedure 10(c), PPR adopts and incorporates by reference all Procedural History and Facts set forth in its Petition for Review that is being filed contemporaneously herewith. ARGUMENT Under Utah law, the administrative record “consists of [, among other things,] . . . information supplementing the record under Section 19-1-301.5(9)(c) or R305-7-210.” Utah Admin. Code R305-7-209(1). Although “there is a rebuttable presumption against supplementing the record,” “a party may move to supplement the record . . . with technical or factual information.” Utah Code Ann. § 19-1-301.5 (9)(b), (c). The Administrative Law Judge may grant a motion to supplement the record “if the moving party proves that: (A) good cause exists for supplementing the record; (B) supplementing the record is in the interest of justice; and (C) supplementing the record is necessary for resolution of the issues.” Id. Each of these factors supports supplementing the record with the Chauncey Declaration and the PPR Contracts. I. THE ADMINISTRATIVE RECORD SHOULD BE SUPPLEMENTED WITH THE CHAUNCEY DECLARATION. PPR seeks to supplement the record with the Chauncey Declaration to challenge the Director’s contention that the legislative history behind Utah Code § 19-6-108 does not support NERA’s proposition that “‘public benefit’ should be evaluated as an economics-based concept.” Ms. Chauncey, counsel for PPR, reviewed the accessible legislative history, including to the 4 SL_7247510.3 entire portion of the floor debates regarding SB 255 (the bill enacting relevant portions of Utah Code § 19-6-108), and can testify that nothing in the legislative history she reviewed supports the Director’s interpretation of Utah Code § 19-6-108, and the Director fails to cite to any statements to the contrary. The factors under Utah Code § 19-1-301.5(9) are met here. First, the Chauncey Declaration contains factual information regarding the legislative history of the statute at issue. Second, as set forth herein, good cause exists for supplementing the record with the Chauncey Declaration. Third, it is in the interest of justice to supplement the record with the Chauncey Declaration in light of the Division’s misplaced reliance on such history. Indeed, the Division purports to rely, in part, on the legislative history to support its denial of the Commercial Application but fails to identify specifically where it draws that support. This is because nothing in the legislative history supports the Division’s position. Fourth, supplementing the record with the Chauncey Declaration helps resolve the primary issues on appeal. Specifically, the Chauncey Declaration supports PPR’s contention that the Directors interpretation of Utah Code § 19-1- 301.5(9) was clearly erroneous and not supported by legislative history. II. THE ADMINISTRATIVE RECORD SHOULD BE SUPPLEMENTED WITH THE PPR CONTRACTS. The Director failed entirely to make a determination as to whether PPR had met the requirements of Subsection (11), although NERA determined that it had. Accordingly, PPR is requesting that the Executive Director remand this matter to the Director with instructions that PPR has satisfied the requirements of Subsection (11). To further support its argument on appeal, PPR seeks to supplement the record with executed contracts that establish “there is a need for the facility to serve industry with the state.” Utah Code § 19-6-108(11)(b). Each element to support supplementing the record is met here. 5 SL_7247510.3 First, the PPR Contracts contain factual information related to the Commercial Application and establish the requirements of Subsection (11)(b) are met. Second, good cause exists for supplementing the record as the PPR Contracts were not entered into until October 29, 2024, and were therefore not available at the time PPR submitted its public comment. Third, it is in the interest of justice to supplement the record with PPR Contracts, considering their direct relevance to PPR’s satisfaction of the requirements of Subsection (11)(b) and the Director’s failure to make a determination thereon. Fourth, supplementing the record with the PPR Contracts helps resolve an important issue—whether PPR has satisfied the requirements of Subsection (11)(b). Therefore, PPR should be permitted to supplement the record with the PPR Contracts. CONCLUSION Based on the foregoing, PPR respectfully requests the Motion be granted and that it be allowed to supplement the administrative record with the Chauncey Declaration and PPR Contracts. DATED this 5th day of November 2024. DENTONS DURHAM JONES PINEGAR P.C. /s/ Bradley R. Cahoon Bradley R. Cahoon Tyler R. Cahoon Cole P. Crowther Attorneys for Promontory Point Resources, LLC CERTIFICATE OF SERVICE I hereby certify that on November 5, 2024, a true and correct copy of the foregoing was served on the following as indicated: Executive Director Kim Shelly Department of Environmental Quality 195 North 1950 West, Fourth Floor Salt Lake City, UT 84116 Via hand-delivery Craig Anderson Office of Attorney General Environmental Division Utah Attorney General’s Office 195 North 1950 West, Second Floor Salt Lake City, UT 84119 Via hand-delivery and email: craiganderson@agutah.gov Via email: rwixom@agutah.gov Director Douglas Hansen Utah Department of Environmental Quality, Division of Waste Management & Radiation Control 195 North 1950 West, Second Floor Salt Lake City, UT 84116 Via email: djhansen@utah.gov Administrative Proceedings Records Officer Environment Division Utah Attorney General’s Office 195 North 1950 West, Second Floor Salt Lake City, UT 84116 Via email: DEQAPRO@utah.gov /s/Carol MacKay Raymond Wixom Office of Attorney General Environmental Division Utah Attorney General’s Office 195 North 1950 West, Second Floor Salt Lake City, UT 84116 6 SL_7247510.3 EXHIBIT 1 SL_7248859.1 DECLARATION OF LAUREN CHAUNCEY I, Lauren Chauncey, state and declare as follows: 1. I am a resident of Clark County, Nevada, am over 18 years of age, am mentally competent, and have personal knowledge of the facts set forth herein. 2. I am licensed to practice law in the state of Utah, I am an associate attorney employed by Dentons Durham Jones Pinegar, P.C., and I represent Promontory Point Resources, LLC (“PPR”) on its petition for review filed in the matter of PPR Final Permit Order SW416 before the Executive Director of the Utah Department of Environmental Quality. 3. I have researched and reviewed the legislative history of Utah Code § 19-6-108, including by listening to the entire portion of the floor debates regarding SB 255 (the bill enacting relevant portions of Utah Code § 19-6-108), which is accessible at: https://le.utah.gov/av/floorArchive.jsp?markerID=54095. 4. Of the legislative history materials I reviewed, there is nothing that supports the Director’s interpretation of Utah Code § 19-6-108—namely, that the phrase “public benefits” is not an economic-based concept—as set forth in his Final Permit Order and Response to Public Comments (the “Final Permit Order”). 5. I am not aware of any other legislative history materials that would support the Director’s interpretation of Utah Code § 19-6-108, as set forth in the Final Permit Order. 6. I declare under criminal penalty under the law of Utah that the foregoing is true and correct, to the best of my knowledge, information, and belief. DATED this 5th day of November 2024. /s/ Lauren N. Chauncey 7 SL_7247510.3 EXHIBIT 2