Matter of New York State Coalition for Economic Justice v. Koch, 99 A.D.2d 477 (1983)

When determining whether an emergency exists that warrants an exemption from environmental review, the relevant standard of review is whether the agency’s determination was irrational, arbitrary, or capricious, not whether the court would have reached the same conclusion.

Summary

This case concerns the proposed conversion of part of a state psychiatric center into a correctional facility to alleviate prison overcrowding. The New York Court of Appeals addressed whether this project violated state mental hygiene law and whether it could proceed without a full environmental impact statement due to an emergency exception. The Court held that the conversion did not constitute a discontinuance of the psychiatric center and that the Commissioner of Correctional Services could reasonably determine that an emergency existed, allowing for a temporary exemption from the full environmental review process. The Court emphasized the importance of deferring to the agency’s determination of an emergency unless it is irrational, arbitrary, or capricious.

Facts

Due to a critical shortage of correctional facilities and increased prison populations, the Governor of New York identified the Marcy Psychiatric Center as a suitable location for conversion into a medium-security correctional institution. The project was planned in two phases: the first to house 300 inmates, and the second to house an additional 900. The Commissioner of Correctional Services acknowledged the potential environmental impact and declared his intention to file an environmental impact statement. Simultaneously, he issued a “Declaration of Emergency,” citing insufficient time to complete the review process before the project’s commencement.

Procedural History

The lawsuit, initially an action for an injunction, was converted into an Article 78 proceeding. The Supreme Court initially ruled against the state, finding a violation of the Mental Hygiene Law and that no emergency existed. The Appellate Division reversed on the Mental Hygiene Law issue but agreed that the emergency exception did not apply. Both sides appealed to the Court of Appeals.

Issue(s)

1. Whether the conversion of a portion of the Marcy Psychiatric Center into a correctional facility constitutes a discontinuance of the facility in violation of Mental Hygiene Law § 7.11(b)?

2. Whether the Commissioner of Correctional Services’ determination that an emergency existed, allowing an exemption from the standard environmental review process, was irrational, arbitrary, or capricious?

Holding

1. No, because the conversion of a portion of the Marcy Psychiatric Center does not constitute a discontinuance of the entire facility as defined in the Mental Hygiene Law, especially since a core of buildings would continue to serve the needs of the mentally ill.

2. No, because the Commissioner could reasonably find that an emergency existed due to the critical shortage of correctional facilities and the need to alleviate prison overcrowding, thus justifying a temporary exemption from the requirement that no action be taken prior to the filing and review of an environmental impact statement.

Court’s Reasoning

The Court reasoned that a “facility,” as defined in the Mental Hygiene Law, can range from a portion of a building to a multi-building complex. Converting some buildings within the Marcy Psychiatric Center did not equate to discontinuing the entire facility. Moreover, the Court emphasized that Section 7.11 of the Mental Hygiene Law allows the commissioner to contract facilities, and the plan contracted the Marcy center but did not discontinue it entirely.

Regarding the emergency exception, the Court held that the lower courts applied the incorrect standard of review. The proper standard was not whether the Court would have found an emergency, but whether the Commissioner’s determination was irrational, arbitrary, or capricious. The Court found that the Commissioner could reasonably conclude that an emergency existed given the prison overcrowding crisis and the potential for violence. The Court noted that emergencies can arise from a failure to take timely action in the past. The Court also pointed out that the State was not seeking a complete exemption from the environmental review process, only a temporary one to allow for immediate actions to alleviate the emergency. As the court stated, “State officials confronted with an ever increasing influx of inmates into a prison system, already filled to well over 100% of capacity, can hardly be said to be acting irrationally if they conclude that some action must be taken immediately to avert in the future the violence which has occurred in the past.” The court took notice that no irrevocable action was being taken prior to environmental review, merely refurbishment to existing buildings.