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Madison Highlands, LLC v. Florida Housing Finance Corp.

Citations: 220 So. 3d 467; 2017 WL 729535; 2017 Fla. App. LEXIS 2526Docket: Case No. 5D16-1035

Court: District Court of Appeal of Florida; February 23, 2017; Florida; State Appellate Court

Narrative Opinion Summary

In this case, Madison Highlands, LLC and American Residential Development, LLC challenged a decision by the Florida Housing Finance Corporation (FHFC) regarding the awarding of low-income housing tax credits. The FHFC had dismissed Madison Highlands’s petitions for an administrative proceeding, citing late filing and lack of standing. The doctrine of equitable tolling was central to the appeal, as Madison Highlands argued they were misled by FHFC's rules regarding filing deadlines. The court determined that equitable tolling applied because Madison Highlands reasonably relied on FHFC's published filing rule, which was unapproved, leading to the late submission. Furthermore, the court found that Madison Highlands had standing under the Agrico test, as they sufficiently alleged deficiencies in the applications of the four higher-ranked bidders, thereby demonstrating a substantial interest. The court reversed FHFC's dismissal of the second amended petition, remanding the case for a formal administrative hearing. This decision underscores the importance of accurate agency guidance and the equitable tolling doctrine in administrative proceedings.

Legal Issues Addressed

Agency's Obligation to Accept Petition Allegations as True

Application: The agency must accept the factual allegations in Madison Highlands's petition as true without considering external facts, reserving the determination of proof for the administrative hearing process.

Reasoning: When reviewing a petition for a hearing, the agency must accept the factual allegations within the petition as true and cannot consider external facts.

Equitable Tolling Doctrine

Application: The court applied the equitable tolling doctrine to consider Madison Highlands’s second amended petition, despite it being filed late, because they were misled by the FHFC's filing rule.

Reasoning: Madison Highlands is entitled to relief through the equitable tolling doctrine, which is recognized despite the requirement for agencies to dismiss late petitions.

Standing under Agrico Test

Application: Madison Highlands demonstrated standing by alleging deficiencies in the four higher-ranked applicants, meeting the Agrico test's requirements.

Reasoning: The FHFC's decision that Madison Highlands lacked standing under the Agrico test was deemed erroneous.

Timeliness of Filing under Uniform Rules

Application: The court found that Madison Highlands's second amended petition was filed late under the Uniform Rules, as submissions after 5:00 p.m. are considered filed the next business day.

Reasoning: The court agrees with the FHFC that the petition was indeed late, as per Section 120.54(5) of the Florida Statutes and the Uniform Rules, which stipulate that documents submitted after 5:00 p.m. are considered filed the next business day.