IDON MEDIA-NJ, LLC VS. BOROUGH OF EATONTOWN ZONING BOARD OF ADJUSTMENT (L-4606-18, MONMOUTH COUNTY AND STATEWIDE) ( 2021 )


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    SUPERIOR COURT OF NEW JERSEY
    APPELLATE DIVISION
    DOCKET NO. A-3290-19
    IDON MEDIA-NJ, LLC,
    Plaintiff-Appellant,
    v.
    BOROUGH OF EATONTOWN
    ZONING BOARD OF
    ADJUSTMENT and BOROUGH
    OF EATONTOWN,
    Defendants-Respondents.
    ____________________________
    Argued September 15, 2021 – Decided October 18, 2021
    Before Judges Hoffman, Geiger, and Susswein.
    On appeal from the Superior Court of New Jersey,
    Law Division, Monmouth County, Docket No.
    L-4606-18.
    Daniel J. O'Hern, Jr., argued the cause for appellant
    (Byrnes, O'Hern & Heugle, LLC, attorneys; Daniel J.
    O'Hern, Jr., on the briefs).
    Marc A. Leckstein argued the cause for respondent
    Borough of Eatontown Zoning Board of Adjustment
    (Leckstein & Leckstein, LLC, attorneys; Marc A.
    Leckstein, on the brief).
    PER CURIAM
    Plaintiff IDON Media-NJ LLC (IDON) appeals a March 19, 2020 Law
    Division order upholding a zoning board of adjustment's denial of an
    application for a conditional use variance and dismissing its complaint in lieu
    of prerogative writs. We affirm.
    The Law Division judge found that the Board's resolution (the
    Resolution) denying the application was supported by the evidence and was
    not arbitrary, capricious, or unreasonable.   Having reviewed the record de
    novo considering the applicable legal standards, we affirm.
    The underlying facts are discussed at length in the Resolution and the
    Law Division judge's written opinion. We highlight here only what is most
    important to our decision.
    On a date not reflected by the record, plaintiff sought site plan approval
    and a conditional use variance under N.J.S.A. 40:55D-70(d)(3) from defendant
    Borough of Eatontown Board of Adjustment (the Board) to construct a large
    digital billboard on property in a B-2 Zone located along State Route 35 in
    Eatontown, designated as Block 1304, Lots 1 and 2 on the Eatontown tax map
    (the property).
    A-3290-19
    2
    On December 1, 2017, the New Jersey Department of Transportation
    (NJDOT) issued an Outdoor Advertising Permit to plaintiff to "erect, maintain,
    or use" a multimessage "outdoor advertising structure" measuring 36 feet by
    10.6 feet on the property. The permit was expressly conditioned on plaintiff
    obtaining all relevant required municipal approvals.
    On December 27, 2017, the Borough enacted Ordinance No. 10-2017
    (the Ordinance), amending Section 89-51 of the Zoning Code, which regulated
    billboards.1 As amended, Section 89-51 provides:
    Billboards shall be permitted as a conditional use for
    those properties fronting on State Highway 35 located
    in the B-2 and B-5 Zones, subject to the following
    conditions:
    A. The proposed billboard is a replacement of an
    existing billboard for which a permit from the
    [NJDOT] was previously issued pursuant to the
    New Jersey Roadside Sign Control and Outdoor
    Advertising Act (N.J.A.C. 27:5-5 et seq. and
    N.J.A.C. 16:41C-1.1 et seq.).
    B. The proposed billboard shall be in the identical
    location as the existing billboard it is replacing and
    shall be no larger than the replaced billboard.
    1
    The Board previously considered an application by another company to erect
    a billboard as the primary use of other property located along State Highway
    35. Because billboards were not yet a permitted use under the Borough's
    Zoning Ordinance, the application was considered a "principal use variance"
    under N.J.S.A. 40:55D-70(d)(1).
    A-3290-19
    3
    However, in no event shall the area of the
    replacement billboard exceed 500 square feet on
    any single sign face.         Two[-]sided and V
    configured billboards shall be permitted.
    C. No billboard shall be located on a lot developed
    with any use, building, business or structure that is
    not permitted pursuant to this chapter, unless
    otherwise previously approved by variance, and
    further that no billboard shall be located on any lot
    with a residential use;
    D. The billboard shall only be constructed as a ground
    sign and located twenty-five (25) [feet] or greater
    from any building, and fifteen (15) feet or greater
    from any parking lot, driveway or sidewalk;
    E. No billboard shall be permitted on any lot with a
    ground sign with an area of fifty (50) square feet or
    greater, constructed or approved, unless the
    distance between the billboard and ground sign is
    greater than two hundred (200) feet;
    F. No part of a billboard shall be located less than
    twenty (20) feet or more than one hundred (100)
    feet from the State Highway 35 right-of-way line;
    G. No part of a billboard shall be two hundred fifty
    (250) feet from an existing residential property or
    residential zone boundary;
    H. No part of a billboard shall be one thousand (1000)
    feet from another billboard;
    I. The maximum billboard height shall be thirty-five
    (35) feet as measured from any point of the
    finished grade at the base of the structure to the
    highest point of the billboard structure;
    A-3290-19
    4
    J. Billboards with digital, electronic, LED, or
    changeable copy, and multiple message signs shall
    be permitted provided that the dwell time for each
    message or message board is not less than eight (8)
    seconds and further provided a message change
    shall be completed within two (2) seconds;
    K. No billboard shall flash, blink, move, simulate or
    create the illusion of motion, or contain animated
    display or full motion video; and
    L. Billboards proposed under this section shall be
    subject to site plan approval and require the
    issuance of sign permits from NJDOT and the
    Borough.
    As originally proposed, the digital billboard would be two-sided, V-
    shaped, pole mounted, approximately thirty-six-feet tall, and operate twenty-
    four hours a day with a dwell time of eight seconds per message.2
    A February 27, 2018 letter by Martin P. Truscott, PP, AICP, the Board's
    planning consultant, reported that the proposed billboard did not meet the
    following conditions imposed by Section 89-51: (1) contrary to subsection
    (A), the proposed billboard would not replace an existing billboard; (2)
    contrary to subsection (B), the proposed billboard would replace a smaller
    existing sign, not a billboard, and would be located further off the road than
    the existing sign; (3) contrary to subsection (D), the proposed billboard would
    2
    Plaintiff later reduced the hours of operation to 6:00 a.m. to midnight.
    A-3290-19
    5
    be located less than three feet from an existing sidewalk and less than fifteen
    feet from the Clinton Street entrance to the property; (4) contrary to subsection
    (F), the proposed billboard would be located three feet from the curb line of
    State Highway 35; (5) contrary to subsection (G), the proposed billboard
    would be located approximately 150 feet from the nearest residential zone
    boundary; and (6) contrary to subsection (H), the proposed billboard would be
    located less than 1000 feet from an existing billboard. Accordingly, plaintiff
    was required to obtain a conditional use (d)(3) variance.
    The Board conducted a two-day public hearing. The Board first heard
    testimony from one of IDON's principals, Larry Clark, who testified that
    IDON builds billboards nationwide to promote local businesses.             Clark
    explained that the brightness of the billboard decreases as nighttime
    approaches. IDON preferred digital billboards because they use less energy
    overall and require fewer workers to change the billboard's art. Clark noted
    that digital billboards can display government-related information such as
    Amber Alerts or emergency evacuation warnings, which IDON was willing to
    display.
    John Tobias, P.E., testified as IDON's lighting expert. He opined that
    the application met the requirements of Section 89-51, applicable New Jersey
    A-3290-19
    6
    State regulations, and the Illuminating Engineering Society's guidelines. Clark
    further testified about the revised plans for the billboard.
    The Board focused on whether the billboard would project light into the
    homes of nearby residents. Jim Shimmin, the manufacturer of the proposed
    billboard's video screen, testified as to its brightness. He acknowledged that
    nearby residents would be able to see the billboard.
    Andrew Janiw, a licensed professional planner, also testified for IDON.
    Janiw asserted that the application should be considered under the (d)(3)
    conditional use standard. He noted that the billboard will not blink, flash, or
    display movement, and advertisements will change on an eight-second
    interval. Janiw acknowledged that the proposed billboard would not replace
    an existing billboard. He opined that IDON "can diminish . . . any negative
    impacts. . . ."
    As to subsection (E), which prohibited billboards within 250 feet of any
    existing residential property or residential zone boundary, Janiw acknowledged
    that two buildings were within 250 feet, a daycare located approximately 150
    feet away and a restaurant located approximately 210 feet away. Janiw noted,
    however, that the daycare would only have a view of the unlit rear of the
    billboard and would not experience any light impact.               Janiw also
    A-3290-19
    7
    acknowledged that the corner of a residentially zoned lot was within
    approximately 220 feet of the proposed billboard but stated that any impact
    would be "fairly de minimis in terms of . . . light late at night." He further
    acknowledged there were three existing billboards within 1000 feet of the
    proposed billboard. Janiw nevertheless contended the proposal met the intent
    of Section 89-51 and emphasized the billboard would be located in "a highway
    commercial zone."
    The Board also heard comments from the public, which mainly implored
    the Board to deny the application due to complaints about the light emitted by
    the billboard affecting nearby residences.
    Board Chairman Kenneth East stated there were major problems with
    this application, mainly that it did not comply with the 250-foot buffer
    requirement, the proposed billboard would not replace an existing billboard,
    and the billboard would be within 1000 feet of another billboard. The Board
    voted unanimously to deny the application.        The Board's findings and
    reasoning were embodied in a November 19, 2018 Resolution.
    The Board noted that while "a conditional use variance approval is
    technically required pursuant to the provisions of N.J.S.A. 40:55D -70(d)(3),
    A-3290-19
    8
    . . . the Board has no choice but to treat this application as a primary use
    variance pursuant to the provisions of N.J.S.A. 40:55D-70(d)(1)."
    The Board explained that subsections (A) and (B) are not guidelines,
    they impose "conditions precedent to permitting an applicant to place a digital
    billboard within the Borough." Even if IDON had satisfied subsections (A)
    and (B), it was unable to satisfy the negative criteria required for a (d)(3)
    variance. The testimony of IDON's experts demonstrated that the billboard
    would be a detriment to neighboring properties that was not "outweighed by
    the benefits potentially created by a grant of the application." Moreover, the
    billboard application failed because the site was located only 150 feet away
    from a residential zone, would shine visible light onto nearby properties, and
    that changing images every eight seconds would "present an annoyance."
    On December 28, 2018, plaintiff filed a four-count complaint in lieu of
    prerogative writs naming the Board and the Borough as defendants. Plaintiff
    filed an amended complaint one week later.       Plaintiff's claims against the
    Borough were voluntarily dismissed.
    The trial court conducted a non-testimonial bench trial on September 6,
    2019. Plaintiff first argued that "[a]t no time prior to the hearing or anytime
    during the hearing did anybody from the Board ever say to us, sorry, we are
    A-3290-19
    9
    . . . holding you now to the more enhanced quality of proof that was required
    under Medici for a D-1 use variance." Plaintiff likened this to a moving target.
    Relying on TSI E. Brunswick v. Zoning Bd. of E. Brunswick, 
    215 N.J. 26
    , 40
    3              4
    (2013), plaintiff argued that the Medici          standard       does not apply to
    conditional use variances.     Plaintiff also contended the Square Corners
    Doctrine applies, as the Board gained an unfair advantage by considering the
    case under the (d)(1) standard without allowing IDON to brief the issue.
    Defendants responded that the requirement that a new billboard must
    replace an existing billboard is a necessary condition, which could not be
    avoided through a (d)(3) variance. In addition, defendants argued that the
    Resolution addressed why the application did not satisfy the Coventry standard
    for a (d)(3) variance because it did not meet several conditions imposed by
    Section 89-51.
    3
    Medici v. BPR Co., 
    107 N.J. 1
     (1987).
    4
    In Medici, the Court adopted a two-prong standard for use variances. "[I]f
    the use for which the variance is sought is not one that inherently serves the
    public god, the applicant must prove . . . that the use promotes the general
    welfare because the site is particularly suitable for the proposed use." 
    107 N.J. at 4
    . In addition, by "an enhanced quality of proof," the board of adjustment
    must specifically find "that the grant of a use variance is not inconsistent with
    the intent and purpose of the master plan and zoning ordinance. 
    Ibid.
    A-3290-19
    10
    The court issued a March 19, 2020 order and written statement of
    reasons denying plaintiff's application to overturn the Board's decision and
    dismissing the amended complaint. This appeal followed.
    Plaintiff raises the following points for our consideration:
    POINT I
    LEGAL STANDARDS.
    A. Standard of Review.
    B. Conditional Use Variance.
    POINT II
    THE TRIAL COURT ERRED IN HOLDING THAT
    THE DEFENDANT CORRECTLY APPLIED THE
    (d) (1) MEDICI USE VARIANCE STANDARD TO
    THE      PLAINTIFF'S  CONDITIONAL   USE
    VARIANCE APPLICATION.
    A.    The Defendant and the Trial Court
    Committed Plain Legal Error in Failing to
    Apply the Coventry Standards.
    B. The Trial Court Further Erred in Interpreting
    the Billboard Ordinance as Having Conditions
    Precedent to the Grant of the Conditional Use
    Variance.
    POINT III
    THE TRIAL COURT ERRED IN NOT FINDING
    THAT PLAINTIFF'S PROOFS SATISFIED THE
    A-3290-19
    11
    COVENTRY 5 STANDARDS FOR THE GRANT OF
    THE CONDITIONAL USE VARIANCE.
    A. The Defendant's Denial of The Conditional
    Use Variance Was Arbitrary, Capricious and
    Unreasonable Because it Applied the Wrong
    Legal Standards and Mischaracterized the
    Testimony of the Plaintiff's Witnesses.
    B. Applying the Coventry Standards, the Court
    Should Grant the Plaintiff's Application for the
    Conditional Use Variance.
    Our review of the trial court's decision in this case is de novo, applying
    the same legal standards as the trial judge. Charlie Brown of Chatham, Inc. v.
    Bd. of Adjustment of Chatham, 
    202 N.J. Super. 312
    , 321 (App. Div. 1985).
    The decision of a municipal zoning board is entitled to substantial deference,
    Kramer v. Bd. of Adjustment, Sea Girt, 
    45 N.J. 268
    , 296 (1965), and is
    presumed to be valid, Dunbar Homes, Inc. v. Zoning Bd. of Adjustment of
    Twp. of Franklin, 
    233 N.J. 546
    , 558 (2018) (citation omitted). "[T]he action of
    a board will not be overturned unless it is found to be arbitrary, capricious , and
    unreasonable, with the burden of proof placed on the plaintiff challenging the
    action."   Dunbar Homes, 233 N.J. at 558 (quoting Grabowsky v. Twp. of
    Montclair, 
    221 N.J. 536
    , 551 (2015)).
    5
    Coventry Square, Inc. v. Westwood Zoning Bd. of Adjustment, 
    138 N.J. 285
    (1994).
    A-3290-19
    12
    We defer to the board's particular knowledge of local conditions and
    may not substitute our judgment for that of the board. Burbridge v. Governing
    Body of Twp. of Mine Hill, 
    117 N.J. 376
    , 385, 389 (1990). The "deference
    accorded to a board's denial of a variance is greater than that given to its
    decision to grant a variance." CBS Outdoor, Inc. v. Borough of Lebanon Plan.
    Bd., 
    414 N.J. Super. 563
    , 578 (App. Div. 2010) (citations omitted). "Thus, a
    party seeking to overturn the denial of a variance . . . must prove that the
    evidence before the local board was 'overwhelmingly in favor of the
    applicant.'" 
    Id. at 579
     (quoting Scully-Bozarth Post 1817 of the VFW v. Plan.
    Bd., 
    362 N.J. Super. 296
    , 314-15 (App. Div. 2003)).
    We first address whether the proposed billboard required a prohibited
    use variance under N.J.S.A. 40:55D-70(d)(1) or a conditional use variance
    under N.J.S.A. 40:55D-70(d)(3). N.J.S.A. 40:55D-3 defines a conditional use
    as:
    a use permitted in a particular zoning district only
    upon a showing that such use in a specified location
    will comply with the conditions and standards for the
    location or operation of such use as contained in the
    zoning ordinance, and upon the issuance of an
    authorization therefor by the planning board.
    A (d)(1) use variance "allows the applicant to engage in a prohibited use:
    It is the use that violates the ordinance."   Coventry, 
    138 N.J. at 287
    .       In
    A-3290-19
    13
    contrast, a (d)(3) conditional use variance allows the applicant to engage in a
    conditional use that does not meet specific conditions set forth in the zoning
    ordinance.   
    Ibid.
       This distinction was reflected in the standards Coventry
    established for granting a conditional use variance which are not subject to the
    more stringent standard applicable to a commercial-use variance. 
    Id. at 287
    (citing Medici, 
    107 N.J. at 9-18
    ).
    "Consequently, although a conditional use may be appropriate in certain
    areas of a zoning district, it is not necessarily appropriate everywhere within
    the zoning district." CBS Outdoor, 
    414 N.J. Super. at 579
    . For this reason, a
    municipality may "delegate discretion to its planning board to consider the
    suitability of a proposed conditional use for a particular site." 
    Ibid.
     (quoting
    Cardinal Props. v. Westwood, 
    227 N.J. Super. 284
    , 287 (App. Div. 1988)).
    "If, however, the proposed conditional use does not meet all of the
    conditions for the use, an applicant must apply to the board of adjustment for a
    conditional use variance pursuant to the standards articulated in N.J.S.A.
    40:55D–70(d)(3)." 
    Ibid.
     (citing Coventry, 
    138 N.J. at 296
    ). "A variance for a
    deviation from a condition allows the applicant to engage in a conditional use
    despite the applicant's failure to meet one or more of the conditions: It is not
    A-3290-19
    14
    the use but the non-compliance with the conditions that violates the
    ordinance." 
    Ibid.
     (quoting Coventry, 
    138 N.J. at 287
    ).
    Applying these principles, the proposed billboard clearly required a
    (d)(3) conditional use variance, not a (d)(1) use variance. Application of the
    more stringent Medici use variance standard was improper. "The burden of
    proof required to sustain a use variance not only is too onerous for a
    conditional-use variance; in addition, its focus is misplaced." Coventry, 
    138 N.J. at 298
    . That finding, however, does not end our analysis. See Hayes v.
    Delamotte, 
    231 N.J. 373
    , 387 (2018) (explaining that appellate courts review
    orders, not opinions).
    In Coventry, the Court described the board's task as to each of the two
    prongs of the negative criteria and instructed that, when a conditional use
    variance is considered, the negative criteria is assessed in terms of the impact
    of the deviation, not the impact of the use. 
    138 N.J. at 299
    . The first prong
    requires "that the variance can be granted 'without substantial detriment to the
    public good. . . .'" 
    Ibid.
     (citing N.J.S.A. 40:55D–70). The "focus is on the
    effect on surrounding properties of the grant of the variance for the specific
    deviations from the conditions imposed by ordinance." 
    Ibid.
     The board is
    required to "evaluate the impact of the proposed [conditional-]use variance
    A-3290-19
    15
    upon the adjacent properties and determine whether or not it will cause such
    damage to the character of the neighborhood as to constitute 'substantial
    detriment to the public good.'" 
    Ibid.
    The second prong requires proof "that the variance will not 'substantially
    impair the intent and purpose of the zone plan and zoning ordinance. . . .'"
    
    Ibid.
     (quoting N.J.S.A. 40:55D–70(d)). For this prong to be met, "the board of
    adjustment must be satisfied that the grant of the conditional-use variance for
    the specific project at the designated site is reconcilable with the municipality's
    legislative determination that the condition should be imposed on all
    conditional uses in that zoning district." Coventry, 
    138 N.J. at 299
    .
    Importantly, "[t]he inability to comply with one or more of [a zoning
    ordinance's conditions] does not convert the use into a prohibited one and,
    thus, the application is not tested in accordance with the standards . . . that
    govern applications for a (d)(1) use variance." TSI E. Brunswick, 215 N.J. at
    43.
    For a zoning board to grant a (d)(3) variance, the applicant must first
    show that the premises is an appropriate site for the proposal, notwithstanding
    any deviations.     Coventry, 
    138 N.J. at 298
    .        The negative criteria are
    established if the variance may be granted "without substantial detriment to the
    A-3290-19
    16
    public good," and the variance will not "substantially impair the intent and
    purpose" of the zoning ordinance.         
    Id. at 299
     (citations omitted).   This is
    known as the Coventry standard.
    The principal issue in this case is whether the order on appeal and
    underlying Resolution must be vacated because the wrong standard was
    applied. Although the (d)(1) standard was applied, considering the Board's
    findings, we find that the outcome would have been the same. Indeed, during
    oral argument before this court, plaintiff's counsel acknowledged that a remand
    would be academic because both the Board and the trial court found that
    plaintiff did not satisfy either the (d)(1) or (d)(3) test.
    Plaintiff's argument that the Board applied the wrong standard is
    understandable; however, the Board's Resolution denying the application also
    explained that the application would have failed a (d)(3) analysis under the
    Coventry standard.
    With respect to a (d)(1) variance, the Board found the plaintiff "has not
    attempted to present any special reasons as to why the limitations of the zoning
    ordinance should be waived."           Further, the Board found the site not
    particularly suitable for a digital billboard because it is located too close to a
    residential zone, residential neighbors would be faced with an annoyance, and
    A-3290-19
    17
    nearby properties would be burdened by the light emanating from the
    billboard. With respect to a (d)(3) variance, the Board found plaintiff could
    not "satisfy the 'negative' criteria required by the statute." The trial court
    reached a similar conclusion, finding that plaintiff could not "[meet] their
    burden in establishing the negative criteria," citing the intensity of the
    billboard's light and its effect on the neighborhood.
    Because we review the Board's decision de novo,                and "the
    memorializing resolution of the Board is the wellhead for the judiciary's
    consideration of the validity of municipal action," we review the pertinent
    findings and reasons expressed in the Resolution for denying the conditional
    use variance.   CBS Outdoor, 
    414 N.J. Super. at 580
    .         Here, the Board's
    comprehensive eleven-page Resolution provides a detailed description of the
    application, related facts, and testimony.
    The Resolution found the proposed billboard did not meet the following
    conditions imposed by Section 89-51: it did not replace an existing billboard,
    contrary to subsection (A); is not in an identical location of an existing
    billboard, contrary to subsection (B); is not located at least fifteen feet from
    any parking lot, contrary to subsection (D); is located approximately 150 feet
    A-3290-19
    18
    from the nearest residential zone, contrary to subsection (G); and is located
    less than 1000 feet from another billboard, contrary to subsection (H).
    While the billboard would not be visible from most homes along Clinton
    Avenue during the spring and summer months due to trees, the Board found it
    would be visible during the fall and winter months. In addition, the light
    emanating from the billboard would shine into a real estate office. Five nearby
    residents and one business owner objected to the light and images that the
    billboard would project. The amount of light created by the billboard "would
    present an annoyance." In addition, [t]hose properties which cannot see the
    digital screen itself would nevertheless be left with the sight of the sides of the
    billboard on their horizon." The Board concluded:
    The . . . applicant would not be eligible to
    receive '(d)(3)" variance relief because it would not be
    able to satisfy the 'negative' criteria' required by the
    statute. By the testimony of its own experts, the sign
    would crete a detriment to neighboring properties
    which in no way could be outweighed by the benefits
    potentially created by a grant of the application."
    The Board did not accept Janiw's proposition that the adoption of
    Section 89-51 should be construed as an endorsement by the Borough of
    placing a billboard on the property. It noted that the variance application
    "cannot be reconciled with the ordinances which are in place." The Board
    A-3290-19
    19
    concluded that "allow[ing] placement of a digital billboard on a property
    where no billboard has previously existed would be tantamount to zoning by
    variance rather than by ordinance."
    Lastly, we address plaintiff's argument that the Board violated the so-
    called Square Corners Doctrine by originally advising it to proceed under the
    (d)(3) Coventry standard, subsequently adopting a new ordinance, and
    applying the (d)(1) standard. During oral argument before this court, however,
    plaintiff's counsel acknowledged that had it known that the (d)(1) test would
    be applied, plaintiff's presentation would have been only "slightly different."
    Consequently, plaintiff does not request a remand. As we have already noted,
    the Board's findings were sufficient to deny a conditional use variance under a
    (d)(3) analysis.
    The Board's findings were fully supported by the record.        Plaintiff
    clearly did not satisfy five of the conditions imposed by Section 89-51. The
    denial of a conditional use variance was not arbitrary, capricious, or
    unreasonable.      Applying our deferential standard of review, we discern no
    basis to overturn the Board's decision.
    Affirmed.
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    20