Opinion

Blue Mountain Alliance v. Energy Facility Siting Council

  • 353 Or. 465
  • 300 P.3d 1203
Court
Oregon Supreme Court
Filed
Apr 18, 2013
Status
Published
Author
Baldwin
On the bench
Baldwin
Cited by
2 cases
Authority
More cited than 53.3%

The opinion

No. 18 April 18, 2013 465

IN THE SUPREME COURT OF THE

STATE OF OREGON

In the Matter of the Request for Amendment #2

of the Site Certificate for the Helix Wind Power Facility.

THE BLUE MOUNTAIN ALLIANCE;

Norm Kralman; Richard Jolly;

Dave Price; Robin Severe;

and Cindy Severe,

Petitioners,

v.

ENERGY FACILITY SITING COUNCIL;

and Site Certificate Holder Helix Windpower Facility, LLC,

Respondents.

(S060803)

En Banc

On judicial review from an order of the Energy Facility

Siting Council.*

Argued and submitted January 7, 2013.

Daniel Kearns, Reeve Kearns PC, Portland, argued the

cause and filed the brief for petitioners.

Michael Casper, Assistant Attorney General, Salem,

argued the cause for respondent Energy Facility Siting

Council. Denise G. Fjordbeck, Attorney-in-Charge, Salem,

filed the brief for respondent Energy Facility Siting Council.

With her on the brief were Ellen F. Rosenblum, Attorney

General, and Anna M. Joyce, Solicitor General.

James N. Westwood, Stoel Rives LLP, Portland, filed the

brief for respondent Helix Wind Power Facility LLP. With

him on the brief were David E. Filippi and Elaine R. Albrich.

Dina M. Dubson, Renewable Northwest Project, Portland,

filed the brief for amici curiae Renewable Northwest Project

and American Wind Energy Association. With her on the

brief was Megan W. Decker.

______________

* Appeal from a Final Order of the Energy Facility Siting Council dated

August 24, 2012, W. Bryan Wolfe, Chair.

466 Blue Mountain Alliance v. Energy Facility Siting

BALDWIN, J.

The Final Order Denying a Contested Case Proceeding

and Approving Amendment #2 of the Energy Facility Siting

Council is affirmed.

Energy facility site certificate holder applied for Amendment #2 to existing

site certificate, seeking to extend the construction start and completion dates

for a wind energy facility. Petitioners provided public comment requesting that

Amendment #2 require compliance with a county ordinance adopted after the

amendment application date, which required a two-mile setback between wind

turbines and rural residences. The Energy Facility Siting Council issued a final

order that declined to require compliance with the ordinance, denied petitioners’

requests for a contested case proceeding, and approved the amendment. Held: (1)

the council correctly characterized the ordinance as a land use regulation subject

to consideration under ORS 469.504(1)(b)(A) and properly declined to consider

the ordinance under that statute because it was not in effect on the Amendment

#2 application date; (2) because the ordinance qualified as a land use regulation

under ORS 469.504(1)(b)(A), the council correctly declined to require compliance

with the ordinance under the “abide by local ordinances” clause of ORS 469.401(2);

(3) the council did not abuse its discretion in declining to require compliance with

the ordinance as a later-adopted law under ORS 469.401(2); and (4) the council did

not err in denying petitioners requests for a contested case proceeding.

The Final Order Denying a Contested Case Proceeding and Approving

Amendment #2 of the Energy Facility Siting Council is affirmed.

Cite as 353 Or 465 (2013) 467

BALDWIN, J.

This case challenges a final order of the Energy

Facility Siting Council (council) approving an amended

site certificate for construction of a wind energy facility.1

The central question on review is whether, in approving

the amended site certificate, the council correctly declined

to require compliance with a recently adopted county

ordinance requiring a two-mile setback between wind

turbines and rural residences pursuant to ORS 469.401(2).

For the reasons set out in this opinion, we conclude that

the council did not err in not requiring compliance with

the ordinance. We further conclude that the council did not

err in denying petitioners’ requests for a contested case

proceeding. We therefore affirm the council’s final order

approving the amended site certificate.

I.  FACTS AND BACKGROUND

The following facts are taken from the council’s

Final Order Denying a Contested Case Proceeding and

Approving Amendment #2. In July 2009, the council issued a

site certificate for the Helix Wind Power Facility, permitting

up to 60 wind turbines covering 7,586 acres on private

land in Umatilla County, northwest of Helix, Oregon. The

site certificate holder is Helix Wind Power Facility LLC

(Helix), also a respondent in this proceeding. The certificate

included conditions to begin construction within three

years and then complete construction within three years.

The statutory process under which the council issued the

original site certificate is generally described in Save Our

Rural Oregon v. Energy Facility Siting, 339 Or 353, 356-57,

121 P3d 1141 (2005). In June 2011, the council issued a final

order approving Amendment #1, expanding the size of the

facility to include 134 turbines, covering 20,613 acres.

On February 3, 2012, Helix applied for Amendment

#2, seeking to extend the construction start and completion

dates by two years. In response, the Oregon Department

of Energy (ODOE) posted public notice of the amendment

1

ORS 469.403(3) grants this court jurisdiction for judicial review of the

council’s approval or rejection of a site certificate application or amendment; ORS

469.405(1) additionally provides that judicial review of an amended site certificate

shall be as provided in ORS 469.403.

468 Blue Mountain Alliance v. Energy Facility Siting

request and sent notice to various other persons and entities,

including a list of residential owners within two miles of

the site boundary and a special advisory group consisting of

the Umatilla County Board of Commissioners (board). The

council received multiple comments, and Helix responded

to those comments. Following internal analysis, ODOE

issued a proposed order, together with public notice setting

a deadline for public comments and requests for a contested

case proceeding.

In May 2012, the council held a listening session

and received public comments. The council also received

multiple written public comments and several requests for

a contested case proceeding. Among other issues, public

testimony and comments highlighted a Umatilla County

ordinance—Ordinance 2012-04, adopted February 28,

2012—that required a two-mile setback between wind

turbines and rural residences. Petitioners contended that

the ordinance had been adopted as a public health and

safety measure and submitted materials intended to show

that noise implications from turbines posed a “significant

threat” to public health and safety and that a setback of

less than two miles would not adequately protect against

turbine noise. Petitioners requested that the council require

the facility to comply with the ordinance.2

In August 2012, ODOE staff presented a

recommendation on Amendment #2 to the council (“ODOE

staff report” or “report”). ODOE staff recommended that the

council not incorporate Ordinance 2012-04 in its analysis

whether the facility, with Amendment #2, complied with

statewide planning goals under ORS 469.504(1) and also

not require compliance with the ordinance in Amendment

#2 under ORS 469.401(2). The report specifically treated

Ordinance 2012-04 as a “land use regulation[  to be

]”

2

In 2011, the county had adopted a similar ordinance, which was appealed

to the Land Use Board of Appeals (LUBA). LUBA remanded, and the county

then updated the wording consistently with LUBA’s decision and adopted it as

Ordinance 2012-04 in February 2012. Later in this opinion, we discuss the specific

provisions of the original version of Ordinance 2012-04 and a revised, codified

version dated August 16, 2012. For ease of reference throughout this opinion, we

refer to “Ordinance 2012-04,” not to its codification.

Cite as 353 Or 465 (2013) 469

evaluated under ORS 469.504(1), instead of as a “public

health and safety” measure to be evaluated under ORS

469.401(2). The report additionally cited the council’s

earlier approval of a smaller, 1/4-mile setback between wind

turbines and residences in another, unrelated proceeding

and an applicable noise-related “public health setback”

with a distance that may exceed 1/4-mile, as adopted by the

Oregon Department of Environmental Quality (ODEQ).3

The report also observed that the council previously had

determined that the facility complied with ODEQ noise

regulations and that the time extension request did not

implicate that finding. Finally, the report recommended

that the council deny petitioners’ requests for a contested

case proceeding under OAR 345-027-0070(7).

On August 24, 2012, the council issued its final

order approving Amendment #2 and incorporating the

ODOE staff recommendations. Among other things, the

final order (1) stated that the council had considered all

public and reviewing agency comments and requests for a

contested case proceeding; (2) determined that Ordinance

2012-04 did not apply to the council’s determination

whether the facility complied with statewide planning goals

under ORS 469.504(1); (3) applied ODEQ noise control

regulations as part of determining that the facility complied

with administrative rules identified in the original project

order; (4) adopted an ODOE staff recommendation to not

require compliance with Ordinance 2012-04 under ORS

469.401(2); (5) denied petitioners’ requests for a contested

case proceeding because they had raised no significant

issues of fact or law under OAR 345-027-0070(7); and

(6) ultimately concluded that the facility complied with

applicable siting statutes, council standards, and other

applicable state statutes and administrative rules. The final

order granted Helix’s time-extension request, subject to

revisions set out in the order that are not at issue in this

proceeding. Petitioners filed a petition for judicial review in

this court. See ORS 469.405(1), ORS 469.403(3) (providing

for such review).

3

See OAR 340-035-0035(1)(b)(B)(i) to (iii) (noise restrictions as to new

industrial or commercial noise source generally and as to wind energy facilities).

470 Blue Mountain Alliance v. Energy Facility Siting

II.  PARTIES’ ARGUMENTS

To frame the parties’ arguments, we first set out the

statutes at issue. In deciding whether to issue a site certificate

or an amended site certificate, the council must make a

series of determinations as to whether a preponderance of

the evidence supports several conclusions. See ORS 469.503

(so providing). One such determination is whether the

facility complies with statewide planning goals under ORS

469.503(4). ORS 469.504(1), in turn, establishes alternative

means for the council to make that determination. See Save

Our Rural Oregon, 339 Or at 366-69 (so explaining). The

applicable alternative in this proceeding, set out in ORS

469.504(1)(b)(A), provides:

“(1)  A proposed facility shall be found in compliance

with the statewide planning goals under ORS 469.503(4) if:

“* * * * *

“(b)  The Energy Facility Siting Council determines

that:

“(A)  The facility complies with applicable substantive

criteria from the affected local government’s acknowledged

comprehensive plan and land use regulations that are

required by the statewide planning goals and in effect on

the date the application is submitted, and with any Land

Conservation and Development Commission administrative

rules and goals and any land use statutes that apply directly

to the facility under ORS 197.646[.]”

(Emphasis added.) That same analysis, including the

“application submission date” requirement, applies to

amended site certificates, OAR 345-027-0070(10). Thus,

the statute and the administrative rule establish a “goal-

post” rule for consideration of criteria derived from the local

government’s comprehensive plan and land use regulations

in relation to compliance with statewide planning goals.

That “goal-post” rule is based on the application date of

the facility site certificate or an amended site certificate.

Here, Ordinance 2012-04 was adopted 25 days after the

Amendment #2 application date.

Cite as 353 Or 465 (2013) 471

The other statute at issue, ORS 469.401(2), sets out

the required contents for a site certificate or an amended

site certificate, once the council decides to issue it. That

statute provides, in part:

“The site certificate or amended site certificate shall

contain conditions for the protection of the public health

and safety, for the time for completion of construction, and

to ensure compliance with the standards, statutes and rules

described in ORS 469.501 and 469.503. The site certificate

or amended site certificate shall require both parties to

abide by local ordinances and state law and the rules of the

council in effect on the date the site certificate or amended

site certificate is executed, except that upon a clear showing

of a significant threat to the public health, safety or the

environment that requires application of later-adopted

laws or rules, the council may require compliance with such

later-adopted laws or rules.”

(Emphasis added.) Under that statute, the council must

require compliance with certain “local ordinances and

state law and [council] rules” in effect on the date that

the certificate is executed, and the council may require

compliance with “later-adopted laws or rules” upon a clear

showing of a “significant threat to the public health, safety

or the environment” that requires application of the later-

adopted law or rule. Here, Ordinance 2012-04 was adopted

about six months before the council issued its final order

approving Amendment #2; the amended site certificate

has not yet been executed, pending this judicial review

proceeding.

The parties’ dispute requires that we construe

the second statute, ORS 469.401(2)—specifically the two

independent clauses in the second sentence4—and determine

whether the council erred in not requiring compliance

with Ordinance 2012-04 in Amendment #2. Petitioners

contend that, notwithstanding ORS 469.504(1)(b)(A),

Ordinance 2012-04 qualifies as a noise ordinance, bringing

4

For ease of reference in this opinion, we refer to the first clause of the second

sentence of ORS 469.401(2) as the “abide by local ordinances” clause and to the

second clause as the “later-adopted laws” clause.

472 Blue Mountain Alliance v. Energy Facility Siting

it within the “public health and safety” concepts generally

set out in ORS 469.401(2). Petitioners specifically argue

that Ordinance 2012-04 falls within the scope of the “abide

by local ordinances” clause and that the council therefore

erred when it did not require compliance with the ordinance

in Amendment #2. Alternatively, petitioners argue that

Ordinance 2012-04 falls within the scope of the “later-adopted

laws” clause, petitioners satisfied the “significant threat”

threshold, and the council should have required compliance

with the ordinance in the exercise of its discretion. Finally,

petitioners contend that the council erred in denying their

requests for a contested case proceeding, regarding the

opportunity to demonstrate that the ordinance qualified

as a public health and safety measure and that a setback

of less than two miles posed a significant threat to public

health and safety.

The council and Helix instead begin the analysis

with ORS 469.504(1)(b)(A), contending that Ordinance 2012-

04 is a “land use regulation[  under that statute. Because

]”

Ordinance 2012-04 was adopted after the Amendment

#2 application date, the council and Helix assert that the

council correctly concluded that the ordinance did not

apply to the council’s evaluation of applicable substantive

criteria under ORS 469.504(1)(b)(A), in determining facility

compliance with statewide planning goals. Next, the council

and Helix contend that any ordinance that qualifies as a

“land use regulation[  under ORS 469.504(1)(b)(A) cannot

]”

also be considered an ordinance to which the “abide by

local ordinances” clause of ORS 469.401(2) applies. Helix

adds that, if ORS 469.401(2) were construed to require

Helix to comply with an ordinance that qualifies as a land

use regulation that became effective after the application

date, that result would conflict with ORS 469.504(1)(b)(A),

which only requires consideration of land use regulations

in effect as of the application date. The council and Helix

further contend that the council did not err in declining to

require compliance with Ordinance 2012-04 in Amendment

#2 under the “later-adopted laws” clause of ORS 469.401(2)

or in denying petitioners’ requests for a contested case

proceeding.

Cite as 353 Or 465 (2013) 473

II.  FIRST ASSIGNMENT OF ERROR:

ORS 469.401(2)—REQUIRED COMPLIANCE

WITH LOCAL ORDINANCES IN EFFECT

ON SITE CERTIFICATE EXECUTION DATE

A.  Construction of “Abide by Local Ordinances” Clause of

ORS 469.401(2)

Before construing ORS 469.401(2), it is important

to explain the operation of ORS 469.504(1)(b)(A). Again,

that statute provides as follows:

“(1)  A proposed facility shall be found in compliance

with the statewide planning goals under ORS 469.503(4) if:

“* * * * *

“(b)  The Energy Facility Siting Council determines

that:

“(A)  The facility complies with applicable substantive

criteria from the affected local government’s acknowledged

comprehensive plan and land use regulations that are

required by the statewide planning goals and in effect on

the date the application is submitted, and with any Land

Conservation and Development Commission administrative

rules and goals and any land use statutes that apply directly

to the facility under ORS 197.646[.]”

(Emphasis added.) As noted earlier, the same process applies

to amended site certificates, OAR 345-027-0070(10). In Save

Our Rural Oregon, 339 Or at 361, this court explained the

underlying purpose of ORS 469.504:

“Oregon’s statewide land use planning goals, adopted

by the Land Conservation and Development Commission

(LCDC), set out broad objectives for land use planning in

Oregon. Local governments implement those objectives in

local comprehensive plans. ORS 197.225 to 197.250. ORS

469.503(4) provides that the council may not issue a site

certificate approving [a site certificate application] unless

the proposed facility complies with the statewide planning

goals. ORS 469.504, in turn, provides the guidelines for

determining whether the [site certificate application]

complies with those goals.”

Under the first part of ORS 469.504(1)(b)(A), the

council must determine that the facility complies with

474 Blue Mountain Alliance v. Energy Facility Siting

substantive criteria—derived from the local government’s

“acknowledged comprehensive plan and land use

regulations”—that are (1) required by statewide planning

goals; and (2) “in effect” on the certificate or amendment

application date. In its final order, the council determined

that the two-mile setback embodied in Ordinance 2012-

04 was a “land use regulation[  that should be evaluated

]”

under the “applicable substantive criteria” provision of ORS

469.504(1)(b)(A). However, the council further determined

that the ordinance was not “in effect” on the Amendment #2

application date and therefore should not be included in the

“applicable substantive criteria” used to determine whether

the facility complied with the statewide planning goals.

We agree with the council and Helix that the council was

not required to consider the ordinance in its determination

whether the facility complied with statewide planning goals

because the ordinance was not “in effect” on the Amendment

#2 application date. Petitioners do not appear to dispute that

conclusion; instead, they principally rely on ORS 469.401(2),

to which we now turn.

Again, ORS 469.401(2) provides, in part:

“The site certificate or amended site certificate shall

contain conditions for the protection of the public health

and safety, for the time for completion of construction,

and to ensure compliance with the standards, statutes

and rules described in ORS 469.501 and 469.503. The site

certificate or amended site certificate shall require both

parties to abide by local ordinances and state law and the

rules of the council in effect on the date the site certificate or

amended site certificate is executed, except that upon a clear

showing of a significant threat to the public health, safety or

the environment that requires application of later-adopted

laws or rules, the council may require compliance with such

later-adopted laws or rules.”

(Emphasis added.) As noted earlier, petitioners rely on both

clauses in the second sentence. Under the “abide by local

ordinances” clause, they emphasize that Ordinance 2012-04

is a local ordinance that was “in effect” on the Amendment

#2 execution date and the council therefore erred in not

requiring compliance with that ordinance; alternatively,

under the “later-adopted laws” clause, the ordinance should

Cite as 353 Or 465 (2013) 475

be considered a “later-adopted law[  and the council, in

]”

its discretion, should have required compliance with the

ordinance.

We review for error of law. See ORS 183.482(8)(a)

(court must determine whether agency “has erroneously

interpreted a provision of law”); ORS 469.403(6) (ORS

183.482 applies to petition for judicial review of council’s

approval or rejection of site certificate or amended site

certificate application); see also Save Our Rural Oregon,

339 Or at 360 (identifying statutory construction question

as legal issue). To address petitioners’ contentions, we

employ our method of statutory construction set out in

State v. Gaines, 346 Or 160, 171-72, 206 P3d 1042 (2009), to

ascertain the legislature’s intent. See also State v. Klein, 352

Or 302, 309, 283 P3d 350 (2012) (when construing statutes,

court reviews statutory text and context, including related

statutes).

We begin with the text of the “abide by local

ordinances” clause of ORS 469.401(2), which provides:

“The site certificate or amended site certificate shall

require both parties to abide by local ordinances and state

law and the rules of the council in effect on the date the site

certificate or amended site certificate is executed[.]”

That clause contains a timing trigger for requiring party

compliance with local ordinances, state laws, and council

rules: the site certificate must require compliance with

ordinances “in effect” on the certificate execution date

(with exceptions identified in the “later-adopted laws”

clause), and Ordinance 2012-04 is presently “in effect”

within that statutory meaning. See ORS 469.401(1) (after

council approves site certificate or amended site certificate,

council chairperson and applicant shall execute certificate

with prescribed conditions; here, the site certificate with

Amendment #2 has not yet executed, pending this judicial

review proceeding). What is less clear, however, is the

intended scope of the unmodified phrase, “local ordinances

and state law and the rules of the council.” That is, although

petitioners infer that the clause refers to ordinances, laws,

and rules that pertain to “public health and safety” in effect

on the execution date—and although other parts of the

476 Blue Mountain Alliance v. Energy Facility Siting

statute also use those same modifying words—the clause

contains no wording to that effect. The council and Helix

do not dispute that the phrase “local ordinances” in the

clause may include ordinances relating to public health and

safety; they contend, however, that any “local ordinance”

that is a “land use regulation[ ]” under ORS 469.504(1)(b)(A)

is excluded from the intended scope of the “abide by local

ordinances” clause. Simply stated, although the clause

appears unambiguous on its face, the parties point to

contextual clues to support their conflicting constructions.

We first agree with the parties that, in referring

to “local ordinances,” the legislature intended the “abide

by local ordinances” clause of ORS 469.401(2) to generally

extend to local ordinances that serve to protect public health

and safety. By way of context, the next clause of that same

sentence—which is more narrowly drawn than the first—

provides a “later-adopted” exception for “laws or rules” that

pose a significant threat “to the public health, safety,” or the

environment. By setting out a subcategory of significant

threat “to the public health [or] safety” that may justify

application of “later-adopted” laws or rules, contrasted

against laws or rules “in effect” on the certificate execution

date, the “later-adopted laws” clause textually presumes

that the preceding “abide by local ordinances” clause also

extends to local ordinances, state law, and council rules that

serve to protect public health and safety. A related statute,

ORS 469.310, supports that construction, affirmatively

stating as public policy that “the siting, construction and

operation of energy facilities shall be accomplished in a

manner consistent with protection of the public health and

safety,” among other considerations. That is not to say that

the phrase “abide by local ordinances and state law and the

rules of the council” in ORS 469.401(2) is limited to local

ordinances, state laws, and council rules that protect public

health and safety; the context indisputably shows, however,

that the legislature intended the scope of that phrase to

extend to ordinances that protect public health and safety.

Having construed the “abide by local ordinances”

clause of ORS 469.401(2) as including—but not necessarily

limited to—local ordinances, state laws, and council rules

Cite as 353 Or 465 (2013) 477

that protect public health and safety, we turn to other

parts of ORS chapter 469 to assist our understanding of

the scope of the term “local ordinances” in that clause. As

explained below, several chapter components describing the

site certificate application and approval process clarify the

legislature’s intended meaning of that term as pertinent to

our inquiry.

As to the initial site certificate application process,

ORS 469.330(1) requires an applicant to submit to the

council a notice of intent to file a site certificate application.

Following review of the notice and a public comment

period, ODOE must issue a project order that establishes

the “statutes, administrative rules, council standards,

local ordinances, application requirements and study

requirements for the site certificate application.” ORS

469.330(3) (emphasis added). After the applicant files the

initial site certificate application and at the conclusion of a

mandatory contested case proceeding, the council must issue

a final order approving or rejecting the application. ORS

469.370(7). Under that statute, the council must base its

approval on identified, council-adopted standards adopted

under ORS 469.501 “and any additional statutes, rules or

local ordinances determined to be applicable to the facility

by the project order, as amended.” (Emphasis added.) See

also generally ORS 469.503(3) (before issuing certificate,

council must determine whether facility complies with state

statutes and administrative rules identified in project order

as applicable to site certificate issuance).

Thus, the statutory scheme establishes that the

process of drafting a project order and issuing a final

order approving the site certificate application involves

determining the “local ordinances” (and other provisions)

that apply to the facility and with which an applicant must

comply to obtain approval of its application. As part of that

construct, ORS 469.401(2) logically is intended to require

in the site certificate that the applicant comply with those

same ordinances. Stated differently, given the statutory

scheme, the reference in ORS 469.401(2) to “local ordinances

and state law and the rules of the council in effect” on the

certificate execution date logically refers to the ordinances,

state law, and council rules that previously were determined

478 Blue Mountain Alliance v. Energy Facility Siting

to apply to the facility in the course of developing the project

order under ORS 469.330(3). See also ORS 469.401(2)

(first sentence; site certificate must contain conditions to

“ensure compliance with” statutes and rules described in

ORS 469.503). Additionally, the phrase includes applicable

ordinances, laws, and rules that may have become effective

between the project order issuance date and the site

certificate execution date—that is, provisions that, had they

been in effect at the time that the project order issued, would

have been included in that order under ORS 469.330(3). As

previously discussed, those local ordinances, state laws, and

rules may include—but are not limited to—public health

and safety protections.

The council and Helix urge that ORS 469.504(1)(b)(A)

provides necessary context for the proper construction of

the “abide by local ordinances” clause of ORS 469.401(2)—

specifically, the intended scope of any local ordinance subject

to a compliance requirement in the site certificate. As

discussed earlier, ORS 469.504(1)(b)(A) refers to applicable

substantive criteria—derived from the local government’s

acknowledged comprehensive plan and “land use

regulations” (emphasis added) in effect on the application

date—that the council must consider in determining

whether a facility complies with statewide planning goals.

Essentially, the council and Helix argue that, because all

applicable “land use regulations” fall within the scope of

the council’s determination of goal compliance under ORS

469.504(1)(b)(A), they cannot simultaneously fall within

the scope of the “abide by local ordinances” clause of ORS

469.401(2), relating to certificate requirements. That is, the

council’s consideration of applicable “land use regulations”

occurs at the point in time when the council determines

whether a facility complies with statewide planning goals.

By contrast, the council’s consideration of other, nonland use

laws, rules, and ordinances extends to other points in the

siting process. The legislature intended the two concepts to

remain separate, the council and Helix argue, in large part

because of their different “trigger” dates—the application

date in ORS 469.504(1)(b)(A) for land use regulations, and

the certificate execution date in ORS 469.401(2) for other

local ordinances, state laws and council rules. Otherwise,

Cite as 353 Or 465 (2013) 479

the council could require compliance in a site certificate

with a local “land use regulation[ ]” that was not in effect on

the application date and that the council therefore had been

precluded from considering for statewide planning goal

compliance purposes under ORS 469.504(1)(b)(A).

We have explained that ORS 469.504(1)(b)(A)

and ORS 469.401(2) serve different purposes and apply at

different stages of the site certificate application process,

which arguably undercuts the council’s and Helix’s contention

that the statutes must operate in harmony, particularly as to

their trigger dates. At the same time, however, those varying

purposes and applications provide some helpful statutory

context. Notably, ORS 469.504(1)(b)(A) applies to the central

determination whether an application for a site certificate

or amendment should be approved or rejected. Only after

the council has decided to approve the application does it

determine the required contents of the certificate under

ORS 469.401(2). The subordinate nature of the council’s

determination of certificate contents under ORS 469.401(2),

in relation to its central determination of application

approval under ORS 469.504(1)(b)(A), suggests that the

legislature intended ORS 469.401(2) to operate consistently

with—and not to circumvent—ORS 469.504(1)(b)(A).

See generally Davis v. Wasco IED, 286 Or 261, 272, 593 P2d

1152 (1979) (“whenever possible the court should construe

together statutes on the same subject as consistent with

and in harmony with each other”). That, in turn, supports

the council’s and Helix’s contention that the “abide by local

ordinances”clause in ORS 469.401(2) excludes ordinances that

qualify as “land use regulations” under ORS 469.504(1)(b)(A).

Another part of ORS chapter 469 further supports

that construction of ORS 469.401(2). ORS 469.503 requires

that, in determining whether to issue a site certificate, the

council must make a number of determinations about the

facility. One such determination, as previously discussed, is

whether the facility complies with statewide planning goals,

ORS 469.503(4), pursuant to the alternative means provided

in ORS 469.504(1). Another compliance determination is set

out in subsection (3) of ORS 469.503, as follows:

480 Blue Mountain Alliance v. Energy Facility Siting

“In order to issue a site certificate, the *  * [c]ouncil

*

shall determine that the preponderance of the evidence on

the record supports the following conclusions:

“* * * * *

“(3)  Except as provided in ORS 469.504 for land use

compliance * * *, the facility complies with all other Oregon

statutes and administrative rules identified in the project

order, as amended, as applicable to the issuance of a site

certificate for the proposed facility. * * *”

(Emphasis added.) That statute requires the council to

determine that the facility complies with state statutes

and rules previously determined to apply to the facility

and therefore identified in the project order under ORS

469.330(3). As previously discussed, the reference in the

“abide by local ordinances” clause of ORS 469.401(2) to

“local ordinances and state law and the rules of the council”

in effect on the certificate execution date means those

provisions previously identified in the project order under

ORS 469.330(3), together with other applicable provisions

that may have become effective between the project order

issuance and certificate execution dates. That is, the same

state statutes and rules identified in the project order

under ORS 469.330(3) and therefore subject to certificate

compliance requirements in ORS 469.401(2) also are

subject to a facility compliance determination under ORS

469.503(3).

Significantly, in setting out that compliance

determination requirement, ORS 469.503(3) expressly

distinguishes state statutes and rules that pertain to “land

use compliance” based on the application date under ORS

469.504 from “all other Oregon statutes and administrative

rules” previously identified in the project order. (Emphasis

added.) Indeed, ORS 469.503(3) characterizes ORS 469.504—

the statute that requires a compliance determination as to

statewide planning goals that may include evaluation of

the local government’s comprehensive plan and “land use

regulations”—as a “land use compliance” statute. That

characterization demonstrates a legislative intention that

Cite as 353 Or 465 (2013) 481

the council evaluate a provision of law or rule that qualifies

as a “land use regulation[  only under ORS 469.504(1), as

]”

part of the council’s statewide planning goal determination

under ORS 469.503(4).5 By contrast, the legislature

identified a separate category of “other” applicable provisions

“identified in the project order” under ORS 469.330(3) that

must be part of a separate compliance determination under

ORS 469.503(3). And, as previously noted, the “abide by

local ordinances” clause of ORS 469.401(2) in turn provides

a mechanism for requiring compliance with such provisions

(and similar provisions adopted after the project order but

before execution of the site certificate) in the site certificate.6

No aspect of the statutory context supports petitioners’

competing construction.

In light of the statutory context, we conclude that

the requirement in ORS 469.401(2) that a site certificate

or amended site certificate must require compliance with

“local ordinances and state law and the rules of the council

in effect on the date the site certificate or amended site

certificate is executed” does not include any ordinance, law,

or rule that is a “land use regulation[ ]”for purposes of ORS

469.504(1)(b)(A).

5

In Save Our Rural Oregon v. Energy Facility Siting, 339 Or 353, 368, 121

P3d 1141 (2005), this court explained that “the statewide land use planning goals

establish broad policy objectives, while the applicable substantive criteria provide

specific ways of implementing those objectives through local regulation.” (Internal

quotations omitted.) Those “applicable substantive criteria,” in turn, are derived

from the affected local government’s acknowledged comprehensive plan and land

use regulations, ORS 469.504(1)(b).

6

We recognize that, in contrasting a “land use compliance” determination

under ORS 469.504 against “other” facility compliance determinations, ORS

469.503(3) does not refer to any “local ordinance” determined in the project order

to apply to the facility. Compare ORS 469.330(3) (project order must establish “the

statutes, administrative rules, council standards, local ordinances, application

requirements and study requirements for the site certificate application” (emphasis

added)); ORS 469.370(7) (council determination whether to issue final order must

be based on standards adopted under ORS 469.501 “and any additional statutes,

rules or local ordinances determined to be applicable to the facility by the project

order, as amended” (emphasis added); ORS 469.401(2) (certificate must require

compliance with “local ordinances and state law and the rules of the council”

(emphasis added)). That lack of reference to local ordinances in ORS 469.503(3),

however, does not diminish the import of that statute’s characterization of ORS

469.504 as a “land use compliance” statute—as opposed to a category of “other,”

nonland use statutes, rules, and ordinances—for purposes of our analysis.

482 Blue Mountain Alliance v. Energy Facility Siting

B.  Ordinance 2012-04—“Land Use Regulation[ ]” or “Public

Health and Safety” Ordinance

We turn to whether the council properly

characterized the two-mile setback contained in Ordinance

2012-04 as a “land use regulation[  subject to analysis

]”

under ORS 469.504(1)(b)(A) or whether it should have

treated the ordinance as a nonland use ordinance requiring

compliance under the “abide by local ordinances” clause

of ORS 469.401(2). We review the council’s determination

for any error of law. See Rubalcaba v. Nagaki Farms, Inc.,

333 Or 614, 619, 43 P3d 1106 (2002) (agency determination

whether subject of applicable legal standard qualifies under

that standard is conclusion of law, not finding of fact); Woody

v. Waibel, 276 Or 189, 192 n 3, 554 P2d 492 (1976) (same;

distinguishing when assessing question of law may involve

predicate question of fact).

Ordinance 2012-04 was adopted as an amendment

to the Umatilla County Code of Ordinances, as a new

provision in the Development Code (UCDC, chapters 150-

153 of the Umatilla County Code of Ordinances), UCDC

section 152.616(HHH)(6)(a). That ordinance, as adopted on

February 28, 2012, provided:

“§ 152.616  STANDARDS FOR REVIEW OF CONDI-

TIONAL USES AND LAND USE DECISIONS.

“(HHH) Commercial Wind Power Generation Facility.

“(6)  Standards/Criteria of Approval The following

requirements and restrictions apply to the siting of a Wind

Power Generation Facility:

“[(a)]  Setbacks. The minimum setback shall be a

distance of not less than the following:

“(1)  From a turbine tower to a city urban growth

boundary (UGB) shall be two miles. The measurement of

the setback is from the centerline of a turbine tower to the

edge of the UGB that was adopted by the city as of the date

the application was deemed complete.

“(2)  From a turbine tower to land zoned Unincorporated

Community (UC) shall be 1 mile.

Cite as 353 Or 465 (2013) 483

“(3)  From a turbine tower to a rural residence shall

be 2 miles. For purposes of this section, a ‘rural residence’

is defined as a legal, conforming dwelling existing on the

parcel at the time an application is deemed complete. The

measurement of the setback is from the centerline of the

turbine tower to the centerpoint of the residence.”

See Ordinance No 2012-04, http://www.co.umatilla.or.us/

planning/ordinances/Ordinance _2012-04.pdf (last accessed

Apr 9, 2013) (italics in original). A revised version of the

UCDC dated August 16, 2012—eight days before the council

issued the final order at issue in this case—contains an

expanded version of Ordinance 2012-04, still codified as

UCDC section 152.616(HHH)(6)(a).7 The expanded version

includes the provisions set out above, with revised and

additional text in subsection (6)(a)(3) that does not affect

our analysis here. The revised version contains additional

subsections to section (6)(a) that provide, in part:

“(4)  A Wind Power Generation Facility applicant may

apply for and receive an adjustment for a reduced distance

between a turbine tower and a rural residence under the

following approval criteria. The adjustment application

shall be submitted on a form provided by the County and

signed by the rural residence landowner.

“(i)  The adjustment will not significantly detract from

the livability of the subject rural residence. This standard is

satisfied if applicable [O]DEQ noise standards are satisfied,

there is no significant adverse impact to property access and

traffic conditions, and other evidence demonstrates that the

residence remains suitable for peaceful enjoyment or, such

impacts to the livability of the rural residence resulting from

the adjustment are mitigated to the extent practical; and

“(ii) All other requirements of the Wind Power

Generation Facility application remain satisfied.

“(5)  An adjustment application under this section

shall be processed as a Land Use Decision concurrently

7

We take judicial notice of the undisputed contents of the revised version

of Ordinance 2012-04 dated August 16, 2012, as well as other aspects of the

Code of Umatilla County. Only the original version of Ordinance 2012-04 and an

interim, revised version dated March 13, 2012, are contained in the record of this

proceeding.

484 Blue Mountain Alliance v. Energy Facility Siting

with the Wind Power Generation Facility application. For

applications subject to Energy Facility Siting Council *  *

*

jurisdiction, an adjustment application shall be included

as the applicable substantive criteria evaluated by [the

council] when granting or denying an application for a Site

Certificate.

“* * * * *

“(9)  The turbine/towers shall be of a size and design

to help reduce noise or other detrimental effects. At a

minimum, the Wind Power Generation Facility shall be

designed and operated within the limits of noise standard(s)

established by the State of Oregon. A credible noise study

may be required to verify that noise impacts in all wind

directions are in compliance with the State noise standard.”

See http://www.co.umatilla.or.us/planning/pdf/Umatilla_

County_Development_Code.pdf, 310-11 (last accessed

Apr 9, 2013) (emphases added).

In text and context, Ordinance 2012-04 bears the

characteristics of a “land use regulation[  consistently

],”

with the legislature’s use of that term in ORS 469.504(1)

(b)(A). The ordinance was adopted as an amendment

to the county’s Development Code, maintained by the

county’s Department of Land Use Planning. As written,

the ordinance operates as a “siting” restriction. Revised

subsection (6)(a)(4) permits a setback of less than two miles

if approved through an adjustment application process;

significantly, revised subsection (6)(a)(5) provides that such

an adjustment application shall be processed as a “Land

Use Decision” and that such applications “shall be included

as the applicable substantive criteria” that the council

evaluates in determining whether the facility complies

with statewide planning goals under ORS 469.504(1). By

contrast, subsection (6)(a)(4)(i) designates ODEQ noise

regulations as providing applicable “noise standards” by

which to measure an approved adjustment application, and

subsection (6)(a)(9) establishes a “minimum” noise standard

for wind energy facilities consistently with statewide noise

standards—that is, those adopted by ODEQ. Ordinance

2012-04 does not itself establish any noise standard that

may justify treating the ordinance as a “public health and

Cite as 353 Or 465 (2013) 485

safety” measure, as opposed to a “land use regulation[  8

].”

In sum, the foregoing evaluation supports the council’s

conclusion that the ordinance is a “land use regulation[ ]”

for purposes of ORS 469.504(1)(b)(A).

In arguing to the contrary, petitioners rely, in part,

on the “purpose” statement in Chapter 152 of the UCDC,

which expressly refers to the promotion of public health

and safety. That statement, codified as UCDC § 152.002,

provides:

“The intent of purpose of this chapter is to promote the

public health, safety and general welfare and to carry out

the County Comprehensive Plan, the provisions of ORS

Chapters 92 and 215 and the Statewide Planning Goals

adopted pursuant to ORS Chapter 197. This chapter is

to establish use zones and regulations governing the

development and use of land within portions of the county;

to provide regulations governing non-conforming uses

and structures; to establish and provide for the collection

of fees; to provide to the administration of this chapter

and for the officials whose duty it shall be to enforce the

provisions thereof; to provide penalties for the violations of

this chapter; to provide for conflicts with other ordinances

or regulations; and provide classifications and uniform

standards for the division of land and the installation of

related improvements in portions of the unincorporated

area of the county.”

See http://www.co.umatilla.or.us/planning/pdf/Umatilla_

County_Development_Code.pdf, 12 (last accessed Apr 9,

2013). As can be seen, the statement identifies several

purposes of chapter 152, not just the promotion of public

health, safety, and general welfare—which, arguably, is an

inextricable component of most land use regulations. Notably,

the identified purposes include carrying out the county’s

comprehensive plan, state law pertaining to subdivisions

and partitions (ORS chapter 92), state law pertaining to

county planning, zoning, and housing codes (ORS chapter

215), and the statewide planning goals adopted pursuant to

ORS chapter 197. Further, the statement primarily describes

8

Compare Code of Umatilla County, Chapter 96 (“Noise Control Ordinance,”

Ordinance 99-07) (setting out, among other things, restrictions on noise levels), see

http://www.co.umatilla.or.us/deptwebs/codes/96.pdf (last accessed Apr 9, 2013)).

486 Blue Mountain Alliance v. Energy Facility Siting

the contents of Chapter 152 by using wording that can be

characterized as relating to “land use” and not to “public

health and safety.” Indeed, in its original final order approving

the initial site certificate, the council drew the “applicable

substantive criteria from the affected local government’s

acknowledged comprehensive plan and land use regulations”

under ORS 469.504(1)(b)(A) largely from various sections

of UCDC Chapter 152. In short, the “purpose” statement

cuts against petitioners’ contention that Ordinance 2012-04

is a “public health and safety” measure subject to the

“abide by local ordinances” clause of ORS 469.401(2),

rather than a “land use regulation[  as the legislature

]”

intended that term to apply in ORS 469.504(1)(b)(A).

Petitioners are correct that one effect of Ordinance

2012-04 may be a positive impact on public health and safety,

given that an increased distance between wind turbines and

rural residences potentially lessens any health or safety

hazards that arguably may flow from turbine installation.

The same could be said, however, for any number of land

use restrictions—for example, a restriction that prohibits

development in a flood plain may bear the characteristics of

a “land use regulation[ ],” while at the same time having the

effect of protecting public health and safety.9 The fact that

such a restriction may operate to benefit public health and

safety, however, does not diminish its qualification under

the legislature’s express category of “land use regulations[ ]”

for purposes of ORS chapter 469. That same logic applies

to Ordinance 2012-04: As is clear from the text of the

ordinance, the context of its adoption as part of the county’s

Development Code, and the UCDC purpose statement, the

ordinance qualifies—under the legislative category of “land

use regulations” identified in ORS 469.504(1)(b)(A)—as

9

We also acknowledge that the legislature has determined, in other statutory

contexts, that a “land use” regulation simultaneously may relate to “public

health and safety.” See, e.g., ORS 197.723(5)(a) (statute establishing process for

designating regionally significant industrial areas; one particular subsection does

not apply to any “land use regulation that is necessary *  * [t]o protect public

*

health or safety”). Indeed, as noted earlier, ORS 469.310 requires that “the siting,

construction and operation of energy facilities shall be accomplished in a manner

consistent with protection of the public health and safety,” which demonstrates

that the legislature intended that public health and safety considerations be part

of the siting decision for an energy facility.

Cite as 353 Or 465 (2013) 487

a “land use regulation[  pertaining to the siting of wind

]”

turbines.10

C.  Council’s Application of ORS 469.504(1)(b(A) and

“Abide by Local Ordinances” Clause of ORS 469.401(2)

in its Final Order

We turn to the council’s application of the statutes

at issue in its final order approving Amendment #2. First,

the council applied ORS 469.504(1)(b)(A) and determined

that it was precluded from including Ordinance 12-04 as

part of the “applicable substantive criteria” to consider in

making a land-use compliance determination, because

the ordinance was not “in effect” on the Amendment #2

application date. As previously explained, we agree with the

council that (1) Ordinance 2012-04 qualifies as a “land use

regulation[  within the meaning of ORS 469.504(1)(b)(A);

]”

and, (2) because the ordinance was not “in effect” on the

Amendment #2 application date, it should not be considered

as part of the substantive criteria assessment set out

under that statute. The council did not err in applying ORS

469.504(1)(b)(A) in that manner.

Next, the council made a series of compliance

determinations applying various public health and

safety council-adopted standards, state statutes, and

administrative rules to Amendment #2. For example, the

council determined that, under ORS 469.503(1), the facility

complied with council-adopted standards identified in ORS

469.501, including standards for the design, construction,

and operation of the wind turbines, to avoid endangering

public safety and to include adequate safety devices and

10

Petitioners also cite Oregon statutes and administrative rules that pertain

to noise regulations, specifically, ORS 467.010 (declared policy that state has

interest in controlling noise emission pollution and that protection program should

be initiated) and OAR 340-035-0005 (ODEQ rule; state public policy to provide

coordinated statewide noise control program, to facilitate cooperation among

state and local governmental units in that regard, and to develop progressive and

cooperative noise-control program). In petitioners’ view, in linking noise prevention

with public health, those provisions support construing Ordinance 2012-04 as

a “public health and safety” ordinance subject to the “abide by local ordinances”

clause of ORS 469.401(2). The existence of those express public policies, however,

do not support characterizing Ordinance 2012-04—which, by its terms, was written

and adopted as a land-use regulation and therefore subject to consideration under

ORS 469.504(1)(b)(A)—as a public health and safety measure in the manner that

petitioners contend.

488 Blue Mountain Alliance v. Energy Facility Siting

testing procedures. The council noted in that regard

that several related site certificate conditions, expressly

included in the original final order approving the initial

site certificate, were necessary to “ensure public safety.”

See ORS 469.503(1) (before issuing site certificate, council

must determine that preponderance of evidence supports

conclusion that facility complies with council-adopted

standards under ORS 469.501); ORS 469.501(1) (council

shall adopt standards for energy facility siting, construction,

operation, and retirement, including standards addressing

structural, financial, environmental, and public health and

safety concerns; council has adopted those standards as

administrative rules); ORS 469.401(2) (site certificate shall

contain conditions for, among other things, “protection of the

public health and safety”). The council further determined

under ORS 469.503(3) that the facility, with Amendment

#2, would comply with “all other Oregon statutes and

administrative rules identified in the project order,” including

ODEQ noise regulations, subject to site certificate conditions

already identified in the original final order. Then, as to the

requirement in ORS 469.310 that the council ensure that

the siting, construction, and operation of energy facilities “be

accomplished in a manner consistent with protection of the

public health and safety,” the council identified previously

imposed “public health and safety” conditions addressing fire

protection, magnetic fields, and coordination with the Public

Utilities Commission regarding electrical transmission

line design. As to all those described components, the

council determined that nothing in Amendment #2 would

alter the earlier compliance findings from its original

final order approving the initial site certificate, so long as

previously imposed conditions continued to apply. We set

out the foregoing determinations—which petitioners do not

dispute—as an illustration of the council’s assessment and

application of various “public health and safety” standards,

rules, and site certificate conditions to Amendment #2.

We turn to the council’s application of the “abide

by local ordinances” clause of ORS 469.401(2). The council

expressly stated that “the site certificate holder is subject to

all applicable conditions and requirements contained in the

rules of the Council and in local ordinances and state law

Cite as 353 Or 465 (2013) 489

in effect on the date the amended site certificate is executed.”

(Emphasis added.) In that part of its final order, the council

did not mention Ordinance 2012-04; however, the council

previously had considered and rejected application of the

ordinance in determining whether the facility complied with

statewide planning goals under ORS 469.504(1)(b)(A) and

had incorporated an ODOE staff recommendation that it not

apply the ordinance under the “abide by local ordinances”

clause of ORS 469.401(2). As do the parties, we infer that

the council concluded that the proper characterization

of Ordinance 2012-04 as a “land-use regulation[  subject

]”

to evaluation under ORS 469.504(1)(b)(A) precluded its

application under the “abide by local ordinances” clause of

ORS 469.401(2).

In light of our statutory analysis and review of the

council’s legal evaluation of Ordinance 2012-04, we conclude

that the council did not err in its application of the “abide

by local ordinances” clause of ORS 469.401(2). As discussed,

the council correctly characterized Ordinance 2012-04 as

a “land use regulation[  under ORS 469.504(1)(b)(A) and

]”

correctly concluded that the effective date of the ordinance

precluded its consideration under that statute. Because the

council accurately characterized Ordinance 2012-04 as a

“land use regulation[  it also correctly concluded that the

],”

ordinance did not fall within the scope of the “abide by local

ordinances” clause of ORS 469.401(2).

IV.  SECOND ASSIGNMENT OF ERROR:

ORS 469.401(2)—“LATER-ADOPTED” LAWS OR RULES

We turn to petitioners’ second assignment of error,

under the “later-adopted laws” clause of ORS 469.401(2),

which provides:

“The site certificate or amended site certificate shall

require both parties to abide by local ordinances and state

law and the rules of the council in effect on the date the

site certificate or amended site certificate is executed,

except that upon a clear showing of a significant threat to

the public health, safety or the environment that requires

application of later-adopted laws or rules, the council may

require compliance with such later-adopted laws or rules.”

490 Blue Mountain Alliance v. Energy Facility Siting

(Emphasis added.) Relying on the ODOE staff report, the

council in its final order declined to require compliance with

Ordinance 2012-04 as a “later-adopted law[  ]”under ORS

469.401(2). Petitioners assert that the ordinance qualifies

as a “later-adopted law[  that they presented substantial

],”

evidence to satisfy the “significant threat” requirement,

and that the council abused its discretion when it failed to

require compliance with the ordinance in Amendment #2.

Before turning to the merits, we address three

preliminary considerations. First, the parties do not appear

to dispute that the words “later-adopted laws or rules”

in ORS 469.401(2) mean laws or rules adopted after the

execution date of either the site certificate or an amended

site certificate, as applicable.11 Here, the county adopted

Ordinance 2012-04 before the council issued its final order

approving Amendment #2 and before the execution date

for Amendment #2—indeed, that amended site certificate

has not yet been executed, pending the outcome of this

proceeding. In the context of this assignment of error, then,

petitioners appear to treat the execution date for either the

initial site certificate or for Amendment #1—which both

predated adoption of Ordinance 2012-04—as the operative

trigger date that justifies treatment of the ordinance as a

“later-adopted law[ ].” That is, unlike their first assignment of

error—which exclusively focuses on the statutorily required

contents of Amendment #2—this assignment alternatively

contends that Amendment #2 should address the changed

circumstance of the county’s adoption of Ordinance 2012-04

after the execution date for either the original site certificate

or Amendment #1.

Second, we note that OAR 345-027-0090 provides

a process for requesting that the council require facility

compliance with later-adopted laws or rules under

the “significant threat” requirement set out in ORS

469.401(2). Such a process was not initiated here; instead,

petitioners raised (and continue to raise) their “later-

adopted” contentions in the context of challenging Helix’s

Amendment #2 application. Although the council and Helix

11

By contrast, the preceding “abide by local ordinances” clause of ORS

469.401(2) unequivocally applies to local ordinances, state law, and council rules in

effect on the execution date.

Cite as 353 Or 465 (2013) 491

disagree with petitioners on the merits, they do not argue

that petitioners should have raised this challenge through

the process established in OAR 345-027-0090.

Third, in disagreeing with petitioners on the merits,

the council and Helix do not appear to dispute petitioners’

assumption that a local ordinance may qualify under the

“later-adopted laws or rules” clause of ORS 469.401(2)

(emphasis added). As a matter of statutory interpretation,

we agree with that construction. At first blush, the more

precise wording of the preceding “abide by local ordinances”

clause—which requires inclusion in the site certificate of

compliance conditions as to “local ordinances and state law

and the rules of the council” in effect on the execution date

(emphasis added)—coupled with the lack of reference to

“local ordinances” in the “later-adopted laws” clause, could

be read to suggest that “later-adopted” laws include state

laws but exclude local ordinances. However, other aspects

of the statutory scheme suggest that “later-adopted laws”

include local ordinances. For example, subsection (3) of ORS

469.401 provides, in part:

“(3)  *  * After the site certificate or amended site

*

certificate is issued, the only issue to be decided in an

administrative or judicial review of a state agency or local

government permit for which compliance with governing

law was considered and determined in the site certificate

or amended site certificate proceeding shall be whether the

permit is consistent with the terms of the site certificate or

amended site certificate. * * *”

That subsection of ORS 469.401 uses the words “governing

law” to refer to the collective body of ordinances, state law,

and rules that are subject to site certificate compliance

requirement terms under subsection (2). That reference

in turn suggests that the similarly broad “later-adopted

laws” clause of subsection (2) incorporates local ordinances,

as well. By contrast, ORS chapter 469 consistently refers

to categories of applicable state law as “statutes” or “state

laws,” instead of using the broader term, “laws.” See ORS

469.503(3) (in determining facility compliance with “Oregon

statutes and administrative rules identified in the project

order,” if council identifies related conflicting certificate

conditions, council may resolve conflict but may not waive

492 Blue Mountain Alliance v. Energy Facility Siting

“any applicable state statute” (emphases added)); ORS

469.504(3) (similar waiver provision; refers to “applicable

statutes and state administrative rules” (emphasis added));

ORS 469.401(2) (refers to compliance with future-adopted

“applicable state and federal laws” to extent required under

state agency statutes and rules (emphasis added)). In light

of that statutory context, we agree with all parties that

“later-adopted laws” referred to in ORS 469.401(2) may

include local ordinances.

We turn to petitioners’ contention on the merits.

As noted, under ORS 469.401(2), the council “may” require

compliance with a “later-adopted law[  upon a clear

]”

showing of a significant threat to the public health, safety,

or the environment that requires application of such a law.

Because the council’s determination under that clause is

discretionary, we review the council’s decision to not require

compliance with Ordinance 2012-04 as a “later-adopted

law[  for abuse of discretion. See ORS 183.482(8)(b)(A)

]”

(court shall remand if it finds agency’s exercise of discretion

to be outside range of discretion delegated to agency by law).

In its final order approving Amendment #2, the

council incorporated by reference factual findings from both

the original final order approving the initial site certificate

and the final order approving Amendment #1 that the

facility would comply with ODEQ noise regulations, subject

to identified site certificate conditions. The council further

concluded that, subject to those same site certificate

conditions, the facility would comply with applicable

ODEQ regulations under Amendment #2. The council did

not specifically analyze petitioners’ contentions under the

“later-adopted laws” clause of ORS 469.401(2) in its final

order; instead, the order incorporated the ODOE staff report

analysis by reference.

The ODOE staff report recommended that the

council decline to find that a setback of less than two miles

posed a significant threat to public health and safety.

First, the report explained that the council previously

had determined—in an unrelated proceeding—that a 1/4

mile setback was sufficient and that the council since had

applied that smaller setback to other wind energy facilities.

Cite as 353 Or 465 (2013) 493

Second, the report explained that ODEQ noise regulations

established a “public health setback” that may exceed 1/4

mile depending on certain circumstances and that the

council applied those regulations to all energy facilities.

The report therefore recommended that the council follow

its own previously established 1/4-mile setback or a setback

that otherwise complied with ODEQ regulations, whichever

was greater. The report further noted that the council

expressly had declined to adopt a two-mile setback when the

same question had been raised in proceedings challenging

Amendment #1 the previous year; as noted, both the original

final order and the final order approving Amendment #1

had concluded that (with identified conditions in place)

the facility would comply with ODEQ noise regulations.

By incorporating the ODOE staff report by reference, the

council implicitly declined to require compliance with

Ordinance 2012-04 in Amendment #2 as a “later-adopted

law[ ].”

In challenging that decision, petitioners argue that

the council discounted their supporting documentation

demonstrating the adverse public health effects of wind

turbine noise and that the council failed to evaluate whether

petitioners had made a sufficient “significant threat” showing,

so as to justify requiring compliance with Ordinance 2012-04

as a “later-adopted law[ ] under ORS 469.401(2). Petitioners

are correct that, in its assessment of the “significant threat”

question, the council expressly focused on its own precedent

and, in particular, the applicable ODEQ regulations,

rather than on petitioners’ arguments and documentation.

However, after viewing the relevant final order components

as a whole, we understand the council to have declined

to require compliance with Ordinance 2012-04 because

the applicable ODEQ regulations and council precedent

countered petitioners’ proffered “significant threat” showing.

We conclude that the council did not abuse

its discretion in declining to require compliance with

Ordinance 2012-04 in Amendment #2 as a “later-adopted

law[  under ORS 469.401(2). As part of issuing both

]”

its original final order and its final order approving

Amendment #1, the council previously had determined

494 Blue Mountain Alliance v. Energy Facility Siting

that the facility was subject to the ODEQ noise regulations

and that the facility would comply with those regulations.

In succinctly addressing petitioners’ contentions in this

Amendment #2 proceeding, the council continued to apply

its earlier analysis from the Amendment #1 proceeding and

determined that its own precedent, facility compliance with

ODEQ regulations, and previously imposed site certificate

conditions effectively negated petitioners’ “significant

threat” contentions. The council’s reliance on the ODEQ

regulations as part of assessing petitioners’ “significant

threat” contention fell within its statutory authority under

ORS 469.401(2).12 It follows that its ultimate determination

that the “later-adopted laws” clause of that statute did not

require compliance with Ordinance 2012-04 also fell within

its authority.

V.  THIRD ASSIGNMENT OF ERROR:

OAR 345-027-0070(7)—CONTESTED CASE

PROCEEDING

Petitioners’ final assignment of error is that the

council erred in denying their requests for a contested

case proceeding. They rely on OAR 345-027-0070(7), which

provides, in part:

“To determine that an issue justifies a contested case

proceeding under section (8),[13] the Council must find that

the request raises a significant issue of fact or law that may

affect the Council’s determination that the facility, with the

change proposed by the amendment, meets an applicable

standard. If the Council finds that the request would not

affect the Council’s determination if the alleged facts were

found to be true but that those facts could affect a site

certificate condition, the Council may deny the request and

may adopt appropriate conditions. * * *”

12

And, even if the council had determined that petitioners had established a

“significant threat,” it nonetheless had discretion under ORS 469.401(2) whether

to treat Ordinance 2012-04 as a “later-adopted law[ ].”

13

OAR 345-027-0070(8) provides, in part, that the council “shall determine

whether any issue identified in a request for a contested case proceeding justifies

a contested case proceeding[.]” See also OAR 345-027-0070(6) (any person may ask

council to hold contested case proceeding on proposed order; written request must

include description of contested issues and statement of facts believed to be at

issue).

Cite as 353 Or 465 (2013) 495

(Emphasis added.) Petitioners focus on the “significant

issue of fact or law” component, arguing that their legal

and factual submissions to the council as to the proper

application of ORS 469.401(2) and Ordinance 2012-04, and

the noise impact of wind turbines on public health and

safety, satisfied that component. Petitioners additionally

contend that a contested case proceeding would have

provided them the opportunity to further develop their legal

analysis and more persuasively establish that a setback

of less than two miles would create a “significant threat”

to public health and safety under the second clause of the

second sentence of ORS 469.401(2). As to the “applicable

standard” component of OAR 345-027-0070(7), petitioners

characterize the alternative 1/4-mile setback and ODEQ

regulations as insufficient alternative “standards” to the

two-mile setback required in Ordinance 2012-04; they also

characterize their proffered construction of ORS 469.401(2)

as a “standard” that applied to the council’s determination

under OAR 345-027-0070(7).

OAR 345-027-0070(7) requires that petitioners raise

“a significant issue of fact or law” and also that the issue

must be one that may affect the council’s determination

that the facility, with the proposed amendment, would

“meet[  an applicable standard.” (Emphasis added.) In the

]

context of OAR chapter 345, the phrase “meets an applicable

standard” in OAR 345-027-0070(7) has a particular meaning.

ORS 469.501 requires the council to adopt “standards

for the siting, construction, operation and retirement of

[energy] facilities,” and the council has done so.14 As part

of the site certificate application process, the council must

determine that the facility complies with those council-

adopted standards, ORS 469.503(1), just as it also must

determine whether the facility complies with statewide

planning goals, ORS 469.503(4), and whether it complies

14

See OAR 345-022-0010 - 345-022-0120 (setting out standards relating to

applicant’s organizational expertise; facility structure; soil protection; land use

(including compliance with statewide planning goals); protected areas; retirement

and financial assurance; fish and wildlife habitat; threatened and endangered

species; scenic resources; historic, cultural, and archaeological resources;

recreation; public services; and waste minimization); OAR 345-024-0010 - 345-024-

0720 (setting out specific standards for siting facilities, including wind facilities,

transmission lines, and facilities that emit carbon dioxide).

496 Blue Mountain Alliance v. Energy Facility Siting

with other state statutes and rules identified in the project

order, ORS 469.503(3). Thus, the question under OAR 345-

027-0070(7) is whether the council erred in determining

that petitioners raised no significant issue of fact or law

that may have affected the council’s determination under

ORS 469.503(1) that the facility, with Amendment #2, would

meet an applicable council-adopted standard arising under

ORS 469.501.

Here, the council’s determination under OAR

XXX-XX-XXXX(7) was summary in nature but incorporated

by reference extensive discussion from the ODOE staff

report. That report analyzed petitioners’ contentions under

the second sentence of ORS 469.401(2) and recommended

that the council reach the same determinations that we

now have affirmed: (1) Ordinance 2012-04 qualifies as a

“land use regulation[  under ORS 469.504(1)(b)(A) and

]”

therefore should not be considered under the “abide by local

ordinances” clause of ORS 469.401(2); and (2) in light of

applicable council precedent, the ODEQ noise regulations,

and the related procedural background as to this site

certificate, the council should decline to require compliance

with Ordinance 2012-04 as a “later-adopted law[  ]”under

ORS 469.401(2). Significantly, the report also reiterated that

the final order approving Amendment #1 had determined

that the two-mile setback did not apply to any of the

council’s “compliance” determinations under ORS 469.503—

including compliance with council-adopted standards under

ORS 469.503(1)—and that Amendment #2 raised no new

facts or circumstances that justified altering the council’s

earlier ORS 469.503 compliance determinations. The report

expressly recommended that the council find that petitioners

had not satisfied the threshold requirements under OAR

345-027-0070(7). By incorporating the ODOE staff report by

reference, the council adopted the staff analysis and made

the recommended determination.

We conclude that the council did not err in rejecting

petitioners’ requests for a contested case proceeding. The

council determined that petitioners’ legal and factual

claims—even to the extent that they may have raised

“significant issue[s] of fact or law” in the abstract—did not

Cite as 353 Or 465 (2013) 497

raise any significant issue or fact or law that may have

affected the council’s determination under ORS 469.503(1)

that the facility “meets an applicable standard” under OAR

XXX-XX-XXXX(7); instead, petitioners focused on the council’s

application of the second sentence of ORS 469.401(2),

regarding amended site certificate contents. The council’s

determination was permissible, given the narrow wording

of OAR XXX-XX-XXXX(7). See Don’t Waste Oregon Com. v.

Energy Facility Siting, 320 Or 132, 142, 881 P2d 119 (1994)

(where council’s plausible interpretation of own rule cannot

be shown to be inconsistent with wording of rule, context,

or any other source of law, no basis exists for this court to

conclude that council interpreted rule “erroneously”).

VI. CONCLUSION

To summarize, we conclude that (1) the council correctly

characterized Ordinance 2012-04 as a “land use regulation[ ]”

subject to consideration under ORS 469.504(1)(b)(A)

and properly declined to consider the ordinance under that

statute because it was not “in effect” on the Amendment

#2 application date; (2) because the ordinance qualified as

a “land use regulation[  under ORS 469.504(1)(b)(A), the

]”

council correctly declined to require compliance with the

ordinance under the “abide by local ordinances” clause of

ORS 469.401(2); (3) the council did not abuse its discretion

in declining to require compliance with the ordinance as

a “later-adopted law[  and (4) the council did not err in

]”;

denying petitioners’ requests for a contested case proceeding.

We therefore affirm the council’s final order approving

Amendment #2.

The Final Order Denying a Contested Case

Proceeding and Approving Amendment #2 of the Energy

Facility Siting Council is affirmed.

This is a copy of a public record, reproduced as it was published. It is not legal advice, and it may not be the version a court would rely on. Check the official source before you cite it.

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