RUDOLPH CONTRERAS, United States District Judge.
At first glance, this case places the Court in the unenviable position of either standing in the way of residential redevelopment or jeopardizing the homes of families who depend on the status quo. Defendants are several companies planning to redevelop their existing apartment complex into a more modern development with many more one- and two-bedroom units. Plaintiffs are a nonprofit organization and two tenants, purporting to represent a class, who contend that Defendants' elimination of many three-, four-, and five-bedroom apartments in the process will disproportionately impact families in violation of the Federal Fair Housing Act and a comparable District of Columbia statute. Plaintiffs seek preliminary injunctive relief on the grounds that they face imminent irreparable harm if Defendants proceed with their redevelopment plan. Defendants counter that any of the alleged injuries would not occur until years down the road. They also move to dismiss on several procedural grounds, and because Plaintiffs "cherry-pick" a narrow demographic — "large families" — from the entirety of the class protected under the FHA — families — and focus only on the destruction of certain apartments and not the construction of many more. Because Defendants' procedural arguments are flawed and Plaintiffs do not cherry-pick data, the Court will deny the Motion to Dismiss. Because Plaintiffs do not adequately show that the threatened injuries are imminent, the Court will deny the Motion for a Preliminary Injunction.
Defendants Brentwood Associates, L.P.,
Plaintiffs allege that the redevelopment plan would have a disparate impact on families. See id. ¶¶ 69-79. Among the 486 occupied units at Brookland Manor, 253 (52%) are occupied by "families" that Plaintiffs claim are within the relevant statutory definitions, which the Complaint defines as "those who have one or more minor children living in the household." See id. ¶ 72. Of the 303 one- and two-bedroom apartments, only 104 (34%) are occupied by families, as defined by Plaintiffs. Id. ¶ 74. Of the 183 three-, four-, and five-bedroom units, 149 (81%) are occupied by families. Id. Taken together, 149 families — comprising 59% of families overall — are at risk of displacement because of the development, compared to only 34 nonfamilies — 15% overall. Id. ¶ 77. The new development would contain about 1,760 units, including 1,646 apartments. Id. ¶¶ 48. There are currently around 535 apartment units at Brookland. See Mid-City Fin. Corp., Z.C. Case 14-18, at 7.
Individual Plaintiffs — Ms. Adriann Borum and Ms. Loretta Holloman — allege that redevelopment would force them out of their homes and subject them to multiple forms of injury. See Compl. ¶¶ 80-107. Ms. Borum lives in a four-bedroom apartment unit with her five children, who
Individual Plaintiffs bring this case on behalf of themselves and "all others similarly situated" including "[a]ll households who reside or have resided at Brookland Manor in a three-, four-, or five-bedroom unit with one or more minor child," and who have either been displaced or are at risk of being displaced by Defendants' proposed redevelopment project. See id. ¶ 122. Plaintiffs allege that at least 149 families are in the Proposed Class, and that the redevelopment will have "the same impact on all class members." Id. ¶¶ 125-27. According to Plaintiffs, all members of the Proposed Class are interested in the case because the redevelopment project significantly decreases the amount of available housing suitable for families, would have a disparate impact on families, and may have been motivated by a discriminatory purpose. See id. ¶ 127. Moreover, Plaintiffs argue, a single injunction would afford the primary relief that members of the Proposed Class seek. Id. ¶ 137.
The final Plaintiff, community organization ONE DC, is "comprised of members who include tenants of affordable housing properties that are seeking to avoid displacement, preserve affordable housing, ensure fair housing, and further equitable development in D.C." Id. ¶ 108. ONE DC seeks this injunction "on its own behalf and as a representatives of its members, including members who are residents of Brookland Manor and have minor children." Id. ¶ 109. It further asserts that Defendants' conduct has directly "damaged ONE DC by frustrating its mission of creating and preserving racial and economic equity in D.C. for all and by causing ONE DC to divert scarce organizational resources," particularly given that the organization has only two fulltime staff members. See id. ¶¶ 111-12. As a result of Defendants' actions, ONE DC diverted its resources from its mission to "crisis organizing" through "identifying, investigating, and combating Defendants' discriminatory policies and practices, and to counseling, organizing, and reassuring tenants who have been forcibly moved or have feared imminent displacement under Defendants' proposed redevelopment plan." Id. ¶ 113, 118. For example, after hearing about the proposed redevelopment, ONE DC organized a series of "Outreach Days." Id. ¶¶ 114-16. In all, ONE DC alleges that, as of July 28, 2016, it had spent 640 staff-hours on "combat[ing] Defendants' discriminatory conduct." Id. ¶ 121.
To implement their redevelopment, Defendants have petitioned the D.C. Zoning Commission through the "planned unit development (PUD) process." See id. ¶ 43; D.C. Mun. Regs. tit. 11-X, § 300. In October, 2014, Defendants submitted an application for a First-Stage PUD and Related Zoning Map Amendment ("First-Stage PUD") with the D.C. Zoning Commission. Compl. ¶ 44; see generally D.C. Mun. Regs. tit. 11-X, § 302. The Zoning Commission
During the course of the redevelopment process, Defendants made comments that Plaintiffs allege are discriminatory. See Compl. ¶ 59. In a December 2014 letter to the Brookland Manor Residents Association, Defendant Mid-City stated that four- and five-bedroom apartments are "not an ideal housing type for larger families and there are adverse impacts on the remainder of the community." Id. ¶ 61. The following month, Mid-City said that there would not be four- or five-bedroom units because they are "not consistent with the creation of a vibrant new community." Id. ¶ 62. Then, in an April 2015 hearing in front of the Zoning Commission, Defendant Mid-City, representing Brentwood Village, said that "[c]ommunities and organizations throughout the country are in agreement that housing very large families in apartment complexes is significantly impactful upon the quality of life of households as well as their surrounding neighbors. Therefore, [Defendants do] not propose to construct four or five bedroom units in the project." Id. ¶ 60.
Plaintiffs now allege that Defendants violated the Federal Fair Housing Act ("FHA") by undertaking the redevelopment project that will disproportionately reduce the amount of apartments available for families, which they allege constitutes discrimination on the basis of familial status. See id. ¶¶ 140-50. Plaintiffs further allege that Defendants violated the District of Columbia Human Rights Act ("DCHRA") on similar grounds. See id. ¶¶ 151-62. Plaintiffs make separate claims under both statutes alleging discriminatory statements, because of Defendants' statements suggesting that housing for large families is incompatible with the community they seek to create. See id. ¶¶ 163-78. Defendants do not aim the Motion to Dismiss at Plaintiffs' claims about these alleged statements.
Plaintiffs' Complaint seeks certification of a class, a judgment declaring that the proposed plan's decrease of the number of units available for certain families violates the FHA and DCHRA, "any and all injunctive relief that the Court may deem appropriate," compensatory and punitive damages, and attorneys' fees. See Prayer for Relief, Compl. at 35-36.
In addition to the above allegations, Plaintiffs and Defendants each put forward evidence for consideration of Plaintiffs' Motion for a Preliminary Injunction.
Plaintiffs put forth evidence that they argue shows that Plaintiffs face threats of injury if the redevelopment project proceeds. They submit a statement from Defendants to the Zoning Commission confirming the numerical allegations in the Complaint. See Pls.' Mem. in Supp. of Mot. for Prelim. Inj. Ex. 12, ECF No. 4-13. To digest the redevelopment plan in numerical terms, they also submit the declaration of a social-statistician, Dr. Andrew Beveridge. See Pls.' Mem. in Supp. of Mot. for Prelim. Inj. Ex. 1 ("Beveridge Decl."), ¶ 9, ECF No. 4-2. Based on his analysis of the redevelopment plans, he states that "families would be more than four times as likely as non-families to be adversely affected by the planned redevelopment because 58.9[%] of the families at Brookland Manor live in three-, four-, or five-bedroom units ... [and] [i]n contrast, only 14.6[%]
Individual Plaintiffs assert specific injuries that they will suffer if Defendants carry out the redevelopment. Ms. Holloman claims in a declaration that she and her family will "suffer displacement," and leave her along with her "aging mother, brother with special needs, and three minor children with nowhere to go." See Pls.' Mem. in Supp. of Mot. for Prelim. Inj. Ex. 5 ("Holloman Decl."), ¶ 9(a), ECF No. 4-6. She predicates this assertion on her "strong[ ] belie[f] that [she] will be unable to find housing that will accommodate [her] family's size and special needs" within the community and at an affordable price. See id. ¶ 9(a)(i). She specifically worries that her mother will be unable to continue her "essential" career training classes, her brother will lose his "essential" special-needs program, her autistic son will lose his "crucial" special needs classes, her other children will lose their local schooling, and the whole family will lose its community connections. See id. ¶¶ 9(a)(i)-(vi). Ultimately, she is "concerned that [her] family could be forcibly broken up," leaving her separated from her children. See id. ¶ 9(b). In addition to the toll moving would take on her family, she claims she will suffer her own emotional distress. See id. ¶ 9(e). Ms. Borum similarly asserts that without a four-bedroom unit she and her family cannot reside at Brookland, putting her family at risk of displacement or fragmentation. See Pl.' Mem. in Supp. of Mot. for Prelim. Inj. Ex. 4, ¶ 9(a), ECF No. 4-5. She claims that she personally is "aware of" other families who have "been asked to leave the property" or been "broken up." See id. ¶ 8. Like Ms. Holloman, Ms. Borum believes the redevelopment would make it impossible for her and her family to remain in the community. See id. ¶ 9(a).
To bolster their claims that Defendants' redevelopment will displace or break apart families, Plaintiffs submit second-hand declarations of people who claim they know of other families who have been forced to relocate. See id. ¶ 8; Pls.' Mem. in Supp. of Mot. for Prelim. Inj. Ex. 9 ("McFadden Decl."), ¶ 6, ECF No. 4-10 (declaration of tenant Reginald McFadden, wherein he asserts that he is "aware of other families who have already had to transfer to another unit ..., had their families broken up into smaller units, or been asked to leave"); Pls.' Mem. in Supp. of Mot. for Prelim. Inj. Ex. 10 ("Scott Decl."), ¶ 6, ECF No. 4-11 (declaration of tenant Valarie Scott asserting the same); Pls.' Mem. in Supp. of Mot. for Prelim. Inj. Ex. 8 ("Jenkins Decl."), ¶ 6, ECF No. 4-9 (declaration of tenant Javon Jenkins asserting the same). Although Plaintiffs acknowledge that Defendants will allow families the right to return to Brookland, see Pls.' Mem. in Supp. of Mot. for Prelim. Inj. Ex. 15, at 3, ECF No. 4-16, they argue that families cannot do so without larger apartments, which are scarce in the District of Columbia, see Pls.' Mem. in Supp. of Mot. for Prelim. Inj. Ex. 2 ("Merrifield Decl."), ¶ 27, ECF No. 4-3. Plaintiffs assert that families who rely on Section 8 vouchers to subsidize their rent payments will be particularly affected by redevelopment, because units available to lower-earning households are even scarcer than they are for the general population. See Merrifield Decl., ¶¶ 18, 32-34.
Plaintiffs also produce evidence that they argue shows that the threatened injuries against Plaintiffs are imminent, if not occurring already. See Pls.' Mem. in Supp. of Mot. for Prelim. Inj., at 26, ECF No. 4. As noted above, several tenants argue that they know of families who have been forcibly
To show that Defendants do not want "large families to reside on their property," see Pls.' Mem. in Supp. of Mot. for Prelim. Inj., at 15, Plaintiffs put forth statements made by Defendants in connection with the redevelopment project. See Pls.' Mem. in Supp. of Mot. for Prelim. Inj. Ex. 12, at 6; Pls.' Mem. in Supp. of Mot. for Prelim. Inj. Ex. 18, at 8, ECF No. 4-19. In a submission to the Zoning Commission, Defendants stated that "housing very large families in apartment communities is significantly impactful upon the quality of life of households as well as their surrounding neighbors." See Pls.' Mem. in Supp. of Mot. for Prelim. Inj. Ex. 12, at 6. Then, in response to a question from tenants, Defendants stated that they would "not build any new [four-bedroom] or [five-bedroom] apartment flats as our practical experience has demonstrated that it is not an ideal housing type for larger families and there are adverse impacts on the remainder of the community." See Pls.' Mem. in Supp. of Mot. for Prelim. Inj. Ex. 18, at 8.
Defendants produce evidence telling a different story. According to Michael S. Meers, Executive Vice President of Defendant Mid-City Financial Corporation, the redevelopment is an innocuous response to two principal concerns. See Defs.' Opp'n to Pls.' Mot. for Prelim. Inj. Ex. 1 ("Meers Aff."), ¶ 1, ECF No. 18-1. First, "[t]he existing buildings are now 75 years old and are functionally obsolete with all of the major systems requiring replacement," with the property last having been renovated over 40 years ago. Id. ¶ 6. The District of Columbia Office of Planning concurred with Defendants that "the buildings and the infrastructure [of Brookland] are not optimally functional." See Mid-City Fin. Corp., Z.C. Case 14-18, at 64. Second, "the urban design of the original community and buildings ... has resulted in the property not being as safe" as it could be because of crime. Meers Aff. ¶ 7. Mr. Meers attributes the "ongoing crime problems" to the street configuration's lack of conduciveness to "efficient pedestrian and vehicular access through the subject property,"
Defendants emphasize that any displacement of tenants would not occur until years down the road, during later phases of the redevelopment project. See Defs.' Opp'n to Pls.' Mot. for Prelim. Inj., at 6, ECF No. 18. Defendants plan to implement the redevelopment project in three phases. See id. During "Phase One" in late 2017, three of the current 19 buildings that constitute Brookland Manor will be replaced by 28 for-sale units and 200 senior-citizen units. See Meers Aff. ¶ 17. These buildings are called "Block 7." See Mid-City Fin. Corp., Z.C. Case 14-18, at 50. All residents in those three buildings will be "relocated at ownership expense to an appropriate apartment home on the property." Id. Some tenants have been moved, but "[n]o tenant in [the three affected buildings] has been forced to move outside the development as a result of any failure to accommodate that tenant elsewhere in the development." See Meers Aff. ¶ 17. Because Defendants would need the units created by Phase One to relocate tenants, Phase Two and Phase Three will not begin until 2019. See Mid-City Fin. Corp., Z.C. Case 14-18, at 50. Individual Plaintiffs would not need to vacate during Phase One. Defendants do not anticipate forcing Ms. Borum to relocate until "at least 2020" or forcing Ms. Holloman to relocate "until 2023." Meers Aff. ¶¶ 18-19 (also declaring that any communication concerning relocation "will not happen until the year 2020 at the earliest for Plaintiff Borum, and the year 2023 at the earliest for Plaintiff Holloman"). The record does not show that any of the affiants that Plaintiffs cite in their motion, see Pls.' Mem. in Supp. of Mot. for Prelim. Inj., at 10, will be required to move away from Brookland as a result of the redevelopment until after Phase One. See generally Meers Aff.; Defs.' Opp'n to Pls.' Mot. for Prelim. Inj. Ex. 2 ("Sanquist Aff."), ¶ 6, ECF No. 18-2.
If a preliminary injunction were to be granted, Defendants argue, they would be severely harmed. "Based on the Zoning Commission's approval, Mid-City has subsequently expended significant capital on architecture, landscaping, engineering, legal services[,] and financing opportunities in anticipation of ... construction phasing outlined in the approved PUD." Meers Aff. ¶ 23. Not only will this mean that Defendants "would suffer enormous financial harm," but it might mean that they would be unable to build the additional units and "be forced to reevaluate the commitment to voluntarily retain the Section 8 contract that assists 373 very-low income families in
Plaintiffs move for a preliminary injunction. In the Motion for a Preliminary Injunction, Plaintiffs move for the Court to enjoin Defendants from submitting a second-stage PUD application. See Pls.' Mot. for Prelim. Inj., ECF No. 3. In the Complaint, Plaintiffs request "any and all injunctive relief that the Court may deem appropriate, including entering a preliminary... injunction ordering Defendants to ... cease violating" Plaintiffs' rights under the Federal Fair Housing Act and District of Columbia Human Rights Act. See Prayer for Relief, Compl. at 35-36. After Plaintiffs filed their Complaint and Motion for a Preliminary Injunction, Defendants submitted a second-stage PUD application, see Pls.' Reply Mem. in Supp. of Mot. for Prelim. Inj. Ex. 2, making the specific request in Plaintiffs' Motion for a Preliminary Injunction moot. Nonetheless, the Court considers Plaintiffs' request for an appropriate preliminary injunction to remedy their injuries.
Using a theory of disparate impact, Plaintiffs argue that the redevelopment plan "will effectively eliminate housing for the majority of large families at the Brookland Manor property," and that without a preliminary injunction, "it is almost certain that the nearly 150 families now resident at Brookland Manor will lose their housing during the pendency of this litigation." See Pls.' Mot. for Prelim. Inj., at 1. Defendants oppose a preliminary injunction, arguing that the alleged injuries are not imminent, Plaintiffs are unlikely to be successful on the merits, and that preliminarily enjoining the redevelopment would significantly harm Defendants and the public.
Defendants move to dismiss on a number of grounds. They advance four procedural arguments: first, that Plaintiffs did not exhaust their administrative remedies through the zoning process, so principles of "`res judicata' and/or collateral estoppel" preclude relief; second, that the Court does not have jurisdiction under the Rooker-Feldman doctrine, because review would constitute an appeal of a state-administrative proceeding; third, that the Court should dismiss on Younger abstention grounds, because the case involves important D.C. matters; and fourth, that ONE DC lacks standing. See Defs.' Mem. in Supp. of Mot. to Dismiss, at 9-10. In the substantive realm, Defendants move to dismiss
The Court will first address Defendants' Motion to Dismiss, then move to Plaintiffs' Motion for a Preliminary Injunction.
Defendants' arguments concerning exhaustion, Younger abstention, and Plaintiffs' data interpretation are non-jurisdictional in nature and ask the Court to determine whether Plaintiffs' complaint states a cognizable claim. See William Penn Apartments v. D.C. Court of Appeals, 39 F.Supp.3d 11, 19 (D.D.C. 2014) (analyzing Younger abstention in the context of a 12(b)(6) motion instead of a 12(b)(1) motion); Johnson v. District of Columbia, 368 F.Supp.2d 30, 36 (D.D.C. 2005), aff'd, 552 F.3d 806 (D.C. Cir. 2008) (noting that "in cases where state courts properly treat a state administrative exhaustion requirement as a matter of subject matter jurisdiction ... similar jurisdictional status for that state-law exhaustion requirement in federal courts will not be theoretically justified"). To survive such a motion a complaint must contain sufficient factual allegations that, if accepted as true, would state a plausible claim to relief. Ashcroft v. Iqbal, 556 U.S. 662, 678, 129 S.Ct. 1937, 173 L.Ed.2d 868 (2009). "Threadbare recitals of the elements of a cause of action, supported by mere conclusory statements, do not suffice." Id. Instead, plaintiffs must "nudge[ ] their claims across the line from conceivable to plausible." See Bell Atl. Corp. v. Twombly, 550 U.S. 544, 570, 127 S.Ct. 1955, 167 L.Ed.2d 929 (2007). "In evaluating a Rule 12(b)(6) motion to dismiss, a court may consider the facts alleged in the complaint, documents attached as exhibits or incorporated by reference in the complaint, or documents upon which the plaintiff's complaint necessarily relies even if the document is produced not by the parties." Busby v. Capital One, N.A., 932 F.Supp.2d 114, 133-34 (D.D.C. 2013) (internal citations and quotations omitted).
In contrast, Defendants' Rooker-Feldman and standing arguments concern whether the Court has subject-matter jurisdiction over the case at all. See Bradley v. DeWine, 55 F.Supp.3d 31, 41 (D.D.C. 2014) (Rooker-Feldman doctrine); Cheeks v. Fort Myer Const. Co., 722 F.Supp.2d 93, 108 (D.D.C. 2010) (standing). Federal courts are courts of limited jurisdiction, and the law presumes that "a cause lies outside this limited jurisdiction." Rasul v. Bush, 542 U.S. 466, 489, 124 S.Ct. 2686, 159 L.Ed.2d 548 (2004) (quoting Kokkonen v. Guardian Life Ins. Co. of Am., 511 U.S. 375, 377, 114 S.Ct. 1673, 128 L.Ed.2d 391 (1994)); see also Gen. Motors Corp. v. EPA, 363 F.3d 442, 448 (D.C. Cir. 2004) ("As a court of limited jurisdiction, we begin, and end, with an examination of our jurisdiction."). Thus, it is the plaintiff's burden to establish that the Court has subject-matter jurisdiction. See Lujan v. Defs. of Wildlife, 504 U.S. 555, 561, 112 S.Ct. 2130, 119 L.Ed.2d 351 (1992). When considering whether it has jurisdiction, a court must accept "the allegations of the complaint as true." Banneker Ventures, LLC v. Graham, 798 F.3d 1119, 1129 (D.C. Cir. 2015) (citing Herbert v. Nat'l Acad. of Scis., 974 F.2d 192, 197 (D.C. Cir. 1992)).
The Court will analyze Defendants' Motion to Dismiss using these standards, beginning first with Defendants' procedural arguments before moving to their argument that Plaintiffs do not state a cognizable claim.
Defendants argue that because Plaintiffs knew about the Zoning Commission proceedings but did not choose to challenge
Although Defendants do not bifurcate their analysis of exhaustion, the Court will begin with federal law. In support of their exhaustion argument, Defendants invoke Auger v. D.C. Board of Appeals & Review, a District of Columbia Court of Appeals case, where the plaintiff sought review "of his administrative appeal from the District of Columbia's imminent enforcement of an order revoking his permit for a neon sign atop his hotel" and a preliminary injunction prohibiting authorities from removing the sign. See 477 A.2d 196, 199 (D.C. 1984). In Auger, the plaintiff did not administratively appeal his case, despite notice and an opportunity to do so. See id. at 206. As a result of the plaintiff's failure to exhaust, the District of Columbia courts did not have jurisdiction over the action. See id. at 207. Defendants further note that parties alleging injury from a Zoning Commission order can appeal their case to the D.C. Court of Appeals. See D.C. Library Renaissance Project/W. End Library Advisory Grp. v. D.C. Zoning Comm'n, 73 A.3d 107, 119 (D.C. 2013); see also York Apartments Tenants Ass'n v. D.C. Zoning Comm'n, 856 A.2d 1079, 1081 (D.C. 2004).
Under 42 U.S.C. § 3613(a)(1)(A), "[a]n aggrieved person may commence a civil action in a[ ] ... court ... to obtain appropriate relief with respect to ... [a] discriminatory housing practice or breach." Thus, a plaintiff filing under § 3613 "may proceed directly into federal court, deferring neither to the Secretary of Housing and Urban Development nor to state administrative and judicial processes." Gladstone Realtors v. Vill. of Bellwood, 441 U.S. 91, 125, 99 S.Ct. 1601, 60 L.Ed.2d 66 (1979). Congress "carefully chose[ ] language" allowing immediate judicial recourse to individuals "directly victimized by a discriminatory housing practice." Id. at 125-26, 99 S.Ct. 1601. The fact that Plaintiffs had District of Columbia administrative remedies available is irrelevant. As Plaintiffs argue, to require individuals seeking relief from an imminent violation of their federal rights to proceed through state-level administrative or judicial avenues would defeat the purpose — as evinced from the "carefully chosen language" of the statute — of the remedy that Congress provided. See id. at 125, 99 S.Ct. 1601. The FHA "would be seriously undercut if Section 812 actions were conditioned upon prior exhaustion of state administrative remedies." Huntington Branch, N.A.A.C.P. v. Town of Huntington, N.Y., 689 F.2d 391, 393 n.3 (2d Cir. 1982) (analyzing state-level administrative zoning remedies). Defendants cite cases analyzing the processes governing appeals of unfavorable District of Columbia zoning restrictions generally — but not in the context of the violation of federal rights. See Auger, 477 A.2d at 200 (appeal of the denial of a permit to place a neon sign atop the plaintiff's hotel); Capitol Hill Restoration Soc. v. Zoning Comm'n, 287 A.2d 101, 102 (D.C. 1972) (appeal of a zoning application to build an office building); D.C. Library Renaissance Project/W. End Library Advisory Grp., 73 A.3d at 111 (appealing "certain zoning requirements"); York Apartments Tenants Ass'n, 856 A.2d at 1081 (appealing an application to modify a PUD on procedural grounds). Because Plaintiffs seek relief from alleged discrimination, Defendants' cases are inapposite and Plaintiffs' FHA claims are not barred for failure to exhaust.
But even if Congress did intend for state-level administrative proceedings to have preclusive effect, the Court could not give such an effect here. Both claim and issue preclusion require a ruling by "a court of competent jurisdiction." See Smalls v. United States, 471 F.3d 186, 192 (D.C. Cir. 2006) (claim preclusion); Yamaha Corp. of Am. v. United States, 961 F.2d 245, 254 (D.C. Cir. 1992) (issue preclusion). The D.C. Zoning Commission has power to "regulate the location, height, bulk, number of stories and size of buildings..., the percentage of lot which may be occupied, the sizes of yards ... and other open spaces, the density of population, and the uses of buildings, structures, and land for trade, industry, residence, recreation, public activities, or other purposes."
Defendants also seek dismissal of the DCHRA count on exhaustion grounds. Similar to the FHA, the DCHRA provides that "[a]ny person claiming to be aggrieved by an unlawful discriminatory practice shall have a cause of action in any court of competent jurisdiction for damages and such other remedies as may be appropriate, unless such person has filed a[n administrative] complaint." D.C. Code § 2-1403.16(a); see also Williams v. District of Columbia, 467 A.2d 140, 141 (D.C. 1983) (noting that the DCHRA provides "direct resort to the courts," but holding that government employees must exhaust administrative remedies in some cases). The plain language of the DCHRA commands the same finding as the language of the FHA. Because the Court is one of "competent jurisdiction" and Plaintiffs claim to be "aggrieved by an unlawful discriminatory practice" under the DCHRA, Plaintiffs did not need to exhaust any District of Columbia administrative remedies. Given the arguably stronger language in the D.C. statute ("[a]ny person ... shall have a cause of action"), this reasoning applies equally to issues of preclusion here. Moreover, there is no indication that the District of Columbia Zoning Commission is a competent "court" to review such a claim. The Court will not give preclusive effects to any findings by the Zoning Commission.
The Court next considers Defendants' argument that the Court lacks subject-matter jurisdiction to consider this matter under the Rooker — Feldman doctrine. Defendants argue that review of this case would functionally constitute an appeal of a state-level judgment. "The Rooker — Feldman doctrine ... is confined to... cases brought by state-court losers complaining of injuries caused by state-court judgments rendered before the district court proceedings commenced and inviting district court review and rejection of those judgments." Exxon Mobil Corp. v. Saudi Basic Indus. Corp., 544 U.S. 280, 284, 125 S.Ct. 1517, 161 L.Ed.2d 454 (2005). The doctrine is rooted in the Supreme Court's appellate jurisdiction over state-court judgments granted by Congress. See 28 U.S.C. § 1257. In D.C. Court of Appeals v. Feldman, the Supreme Court "held that this grant of jurisdiction is exclusive." Lance v. Dennis, 546 U.S. 459, 463, 126 S.Ct. 1198, 163 L.Ed.2d 1059 (2006); see also D.C. Court of Appeals v. Feldman, 460 U.S. 462, 482, 103 S.Ct. 1303, 75 L.Ed.2d 206 (1983). The doctrine
As Defendants candidly point out, see Defs.' Mem. in Supp. of Mot. to Dismiss, at 25, the Supreme Court has held that "[t]he doctrine has no application to judicial review of executive action, including determinations made by a state administrative agency." Verizon Maryland, Inc. v. Pub. Serv. Comm'n, 535 U.S. 635, 644 n.3, 122 S.Ct. 1753, 152 L.Ed.2d 871 (2002). Defendants attempt to distinguish Verizon Maryland by arguing that "not all federal courts have confined the scope of that remark to the specific factual scenario addressed in that decision," citing an unpublished Central District of California case, Reiner v. California Dep't of Indus. Relations. See Defs.' Mem. in Supp. of Mot. to Dismiss, at 25. (citing No. 12-8649, 2012 WL 7145706 (C.D. Cal. Dec. 18, 2012), report and recommendation adopted, 2013 WL 571797 (C.D. Cal. Feb. 10, 2013), aff'd sub nom. Reiner v. California, 612 Fed. Appx. 473 (9th Cir. 2015)). In Reiner, the plaintiff sought review of determinations made in a state-level workers' compensation appeal board and "state tribunals." See 2012 WL 7145706, at *2. In finding that the Rooker — Feldman doctrine applied, the Magistrate Judge emphasized that the case was based primarily on state law, not federal law as in Verizon Maryland, and that the party in Reiner had actually filed a state-level claim previously, unlike in Verizon Maryland. See id. at *3.
Given that the Rooker-Feldman doctrine is "narrow and focused," Thana v. Board of License Comm'rs, 827 F.3d 314, 319 (4th Cir. 2016), the Court is not inclined to go against the black-letter of Verizon Maryland that "[t]he doctrine has no application to judicial review of executive action, including determinations made by a state administrative agency." 535 U.S. at 644 n.3, 122 S.Ct. 1753. But even if it were, this is not a case of "primarily ... state law," Reiner, 2012 WL 7145706, at
Defendants invoke the related doctrine of Younger abstention in support of their Motion to Dismiss. "In Younger v. Harris and its progeny, the Supreme Court held that, except in extraordinary circumstances, a federal court should not enjoin a pending state proceeding (including an administrative proceeding) that is judicial in nature and involves important state interests." JMM Corp. v. District of Columbia, 378 F.3d 1117, 1120 (D.C. Cir. 2004). The doctrine stems from the equitable principle that "courts ... should not act, and particularly should not act to restrain a criminal prosecution, when the moving party has an adequate remedy at law and will not suffer irreparable injury if denied equitable relief." Younger v. Harris, 401 U.S. 37, 43-44, 91 S.Ct. 746, 27 L.Ed.2d 669 (1971). At its core, Younger abstention stems from concerns of comity and federalism and prevents federal courts from enjoining ongoing criminal prosecutions. See id.; see also Samuels v. Mackell, 401 U.S. 66, 73, 91 S.Ct. 764, 27 L.Ed.2d 688 (1971). Moving beyond the core of the doctrine, federal courts also abstain in quasi-criminal contexts. Huffman v. Pursue, Ltd., 420 U.S. 592, 604, 95 S.Ct. 1200, 43 L.Ed.2d 482 (1975) (abstaining in a civil context because "the proceeding is both in aid of and closely related to criminal statutes which prohibit the dissemination of obscene materials"). The periphery of the doctrine may encompass proceedings not in courts, but that are judicial in nature and concern important state interests. See New Orleans Pub. Serv., Inc. v. Council of City of New Orleans, 491 U.S. 350, 364-73, 109 S.Ct. 2506, 105 L.Ed.2d 298 (1989). The doctrine has even been applied to suits between two non-state parties where the underlying dispute concerned important state interests. See, e.g., Pennzoil Co. v. Texaco, Inc., 481 U.S. 1, 17, 107 S.Ct. 1519, 95 L.Ed.2d 1 (1987). In a case between private parties, federal courts must abstain when (1) the relief sought would enjoin an ongoing state proceeding, (2) the state proceeding is judicial in nature, (3) "the state proceedings implicate important state interests," and (4) "the proceedings afford an adequate opportunity to raise the federal claims." See William Penn Apartments, 39 F.Supp.3d at 19 (internal citations and quotations omitted).
The Court need not address all four requirements, because Defendants' argument fails to establish that the Zoning Commission proceedings "afford an adequate opportunity to raise the federal claims." Defendants argue that a D.C. Federal District Court has said that "[t]he Board of Zoning Adjustment ha[s] authority to consider reasonable accommodation request[s]," implying that the board could consider such requests under the FHA. See Defs.' Mem. in Supp. of Mot. to Dismiss, at 29. In fact, that court suggested the opposite — although acknowledging that the Board of Zoning Adjustment has the power to make a reasonable accommodation sua sponte under the "functional equivalent" of the FHA under D.C. regulations, the court explicitly stated that "the [DC Department of Consumer and Regulatory Affairs] is the body to whom a request for reasonable accommodation is properly lodged in the first instance." See United States v. District of Columbia, 538 F.Supp.2d 211, 218 (D.D.C. 2008). The court cited 14 D.C.M.R. § 111, which is entitled "Procedures Regarding Requests for Reasonable Accommodation Under the
The Court next addresses Defendants' argument that ONE DC — the community organization with some members who are residents of Brookland Manor with minor children, see Compl. ¶¶ 108-09 — lacks standing to bring this matter. Defendants specifically argue that ONE DC lacks a sufficiently concrete injury-in-fact. See Defs.' Mem. in Supp. of Mot. to Dismiss, at 31-35. "The Supreme Court has held that standing to bring an FHA claim is coextensive with constitutional standing." Nat'l Fair Hous. All., Inc. v. Prudential Ins. Co. of Am., 208 F.Supp.2d 46, 52 (D.D.C. 2002); see also Havens Realty Corp. v. Coleman, 455 U.S. 363, 372, 102 S.Ct. 1114, 71 L.Ed.2d 214 (1982). ONE DC "bears the burden of establishing" its standing. See Lujan, 504 U.S. at 561, 112 S.Ct. 2130. "An organization can have standing on its own behalf ... or on behalf of its members." Abigail All. for Better Access to Developmental Drugs v. Eschenbach, 469 F.3d 129, 132 (D.C. Cir. 2006) (internal citations omitted). Standing based on an organization's own injury — "organizational standing" — requires an organization, "like an individual plaintiff, to show actual or threatened injury in fact that is fairly traceable to the alleged illegal action and likely to be redressed by a favorable court decision." Equal Rights Ctr. v. Post Properties, Inc., 633 F.3d 1136, 1138 (D.C. Cir. 2011) (internal quotations omitted). For an organization to sue on behalf of its members through "associational standing," it must show that (1) "its members would otherwise have standing to sue in their own right," (2) "the interests it seeks to protect are germane to the organization's purpose," and (3) "neither the claim asserted nor the relief requested requires the participation of individual members in the lawsuit." United Food & Commercial Workers Union Local 751 v. Brown Grp., Inc., 517 U.S. 544, 553, 116 S.Ct. 1529, 134 L.Ed.2d 758 (1996) (quoting Hunt v. Wash. State Apple Advert. Comm'n, 432 U.S. 333, 343, 97 S.Ct. 2434, 53 L.Ed.2d 383 (1977)).
Plaintiffs assert that ONE DC has both organizational and associational standing. Because the Court finds that ONE DC has organizational standing, it need not address the associational standing issue. As noted above, organizational standing requires a concrete injury, not "a mere setback to [the organization's] abstract social interests." See Equal Rights Ctr., 633 F.3d at 1138 (internal citations and quotations omitted). "An organization's expenditure of resources on a lawsuit does not constitute an injury in fact sufficient to establish standing." Id. However, it is "clear ... that if the defendant's allegedly wrongful action prompts an organization to `increase[ ] the resources [it] must devote to programs independent of its suit' ..., the organization has shown an injury in fact." Id. (alterations in original) (quoting Spann v. Colonial Vill., Inc., 899 F.2d 24, 27 (D.C. Cir. 1990)). There is "an important limitation" on this principle: if an injury is "self-inflicted as a result of the organization's own budgetary choices," the party cannot claim an injury-in-fact as a result of the defendant's behavior. Id. at 1139 (internal quotations omitted). This
Based on the facts alleged in the Complaint, ONE DC has standing to maintain this action. ONE DC is "comprised of members who include tenants of affordable housing properties that are seeking to avoid displacement, preserve affordable housing, ensure fair housing, and further equitable development in D.C." Compl. ¶ 108. The alleged discrimination plainly frustrates ONE DC's mission. Plaintiffs allege that ONE DC has had to divert its scarce resources away from its central mission to "crisis organizing" in the form of investigation, counseling, organizing, canvassing, and other Brookland-specific programming. See id. ¶¶ 113-121. In all, Plaintiffs allege that, as of July 28, 2016, ONE DC has "diverted approximately 640 hours of its staff members' time to identify and combat Defendants' discriminatory conduct through outreach, organizing, advocacy, and tenant counseling efforts." Id. ¶ 121. This places ONE DC's case squarely within the holdings in Equal Rights Center and Spann. ONE DC did not spend 640 hours concocting an injury in anticipation of litigation, but instead did so for the practical purpose of combating alleged discrimination in the community. Defendants' alleged discrimination forced ONE DC to address an exigency in the community at the expense of its broader social goals. Accordingly, ONE DC has sufficiently alleged organizational standing to withstand Defendants' Motion to Dismiss.
Defendants move to dismiss for failure to state a claim with respect to Plaintiffs' disparate impact claims under the FHA and DCHRA. Defendants argue that Plaintiff erroneously assumes that "large families" are a protected group under the FHA, instead of the broader protected class of "families." Defendants further argue that without an FHA claim, Plaintiff cannot invoke supplemental jurisdiction to maintain its DCHRA claim. The Court will address these arguments in turn.
Defendants move to dismiss Plaintiffs' FHA disparate impact claim for failure to state a claim on the basis that Plaintiffs' statistical analysis cherry-picks "large families" from the broader "familial status," and in so doing fails to analyze the effect that the entire redevelopment plan would have on all families that reside or will reside in the new community. See Defs.' Mem. in Supp. of Mot. to Dismiss, at 11-12.
The Federal FHA prohibits "mak[ing] unavailable ... a dwelling to
"[D]isparate-impact claims are cognizable under the Fair Housing Act...." Texas Dep't of Hous. & Cmty. Affairs v. Inclusive Communities Project, Inc., ___ U.S. ___, 135 S.Ct. 2507, 2518, 2525, 192 L.Ed.2d 514 (2015). "To prevail on a disparate impact claim, a plaintiff must offer sufficient evidence to support a finding that the challenged policy actually disproportionately affected a protected class." 2922 Sherman Ave. Tenants' Ass'n v. District of Columbia, 444 F.3d 673, 681 (D.C. Cir. 2006). The Secretary of Housing and Urban Development has "[t]he authority and responsibility for administering" the FHA. 42 U.S.C. § 3608(a); see also Mhany Mgmt., Inc. v. County of Nassau, 819 F.3d 581, 618 (2d Cir. 2016). Part of that authority is the power to promulgate rules "to carry out" the FHA. See 42 U.S.C. § 3614a; see also Mhany Mgmt., Inc., 819 F.3d at 618. Accordingly, in line with the Second Circuit in Mhany Management, the Court "must defer to [HUD]'s reasonable interpretation" of the FHA with respect to its rules on disparate impact. See 819 F.3d at 618 (citing Chevron, U.S.A., Inc. v. Nat. Res. Def. Council, Inc., 467 U.S. 837, 104 S.Ct. 2778, 81 L.Ed.2d 694 (1984)); accord Boykin v. Fenty, 650 Fed.Appx. 42, 44 (D.C. Cir. 2016). HUD has adopted a burden-shifting framework for evaluating disparate impact claims. See 24 C.F.R. § 100.500(c). First, the plaintiff has "the burden of proving that a challenged practice caused or predictably will cause a discriminatory effect." 24 C.F.R. § 100.500(c)(1). Once the plaintiff makes such a showing, the "defendant has the burden of proving that the challenged practice is necessary to achieve one or more substantial, legitimate, nondiscriminatory interests of the respondent or
To make an initial showing of disparate impact at "step one," courts often rely on statistical analyses. See, e.g., R.I. Comm'n for Human Rights v. Graul, 120 F.Supp.3d 110, 124-25 (D.R.I. 2015); Gashi v. Grubb & Ellis Prop. Mgmt. Servs., Inc., 801 F.Supp.2d 12, 16-17 (D. Conn. 2011). Such an analysis requires a plaintiff to "compar[e] those affected by the policy with those unaffected by the policy." See Gashi, 801 F.Supp.2d at 16 (citing Tsombanidis v. West Haven Fire Dep't, 352 F.3d 565, 575-76 (2d Cir. 2003)); accord Graul, 120 F.Supp.3d at 124 (internal citation and quotations omitted). In the "context... [of] housing discrimination, a wide enough contrast between the way a policy burdens members of a protected group as opposed to non-members is cognizable as a disparate impact." Graul, 120 F.Supp.3d at 125. In Gashi, the court found a 30.76% effect on households with children and a 9.88% effect on households without children sufficient to constitute a disparate impact. See 801 F.Supp.2d at 16-17. In Graul, the court found a threefold difference sufficient. See 120 F.Supp.3d at 126.
Defendants move to dismiss on the grounds that Plaintiffs have not made a showing at step one of HUD's framework, because, according to Defendants, Plaintiffs' statistical analysis inappropriately focuses on a particular subset of the protected class — large families — and a particular aspect of the redevelopment — the elimination of larger-occupancy apartments. See Defs.' Mem. in Supp. of Mot. to Dismiss, at 11-18. The Court will address these two contentions in turn.
Defendants' first qualm with Plaintiffs' reasoning is that it relies on discrimination against large families rather than families as a protected group. See Defs.' Mem. in Supp. of Mot. to Dismiss, at 9. As noted above, the FHA protects all families, as defined by statute, regardless of size. Courts have consistently assumed that "`[f]amilial status' refers to the presence of minor children in the household." See Gilligan v. Jamco Dev. Corp., 108 F.3d 246, 247 (9th Cir. 1997); see also Graul, 120 F.Supp.3d at 125-26 (favorably citing methodology comparing "households with children" and "households with no children"); United States v. Branella, 972 F.Supp. 294, 298 (D.N.J. 1997) ("Specifically, the FHAA provides that it is unlawful to make a dwelling unavailable to any prospective buyer or renter because of the presence of minor children in the prospective household."). So, although there is no special treatment for "large families" under the FHA, they are still protected under the umbrella of "families" if minors are in the household.
Although Plaintiffs do repeatedly refer to "large families" in their Complaint, their statistical analysis specifically concerns "those who have one or more minor children living in the household." See Compl. ¶¶ 72, 37. Similarly, Plaintiffs define their proposed class as "[a]ll households who reside or have resided at Brookland Manor in a three-, four- or five[-]bedroom unit with one or more minor child." See id. ¶ 122. Plaintiffs' statistical analysis includes apartments of all sizes, comparing those with minor children to those without them. See id. ¶ 75. Using that metric, Plaintiffs arrive at the conclusion that the proposed redevelopment would adversely affect 59% of families overall, compared to 15% of nonfamilies. See id. ¶ 77. It does not matter that many of the protected individuals are part of "large families" for
Defendants also argue that Plaintiffs fail to take into account "all families that reside or will reside in the revitalized community," citing Boykin v. Gray. See Defs.' Mem. in Supp. of Mot. to Dismiss, at 11 (second emphasis added). In Boykin, a group of homeless men claimed that the District of Columbia's closure of a particular homeless shelter violated the FHA, because a disproportionate amount of the D.C. homeless population is black and Hispanic. See 986 F.Supp.2d 14, 16 (D.D.C. 2013). The closure of the homeless shelter was part of a "broader shift in the District's policy toward its homeless citizens" that had a net-positive impact on the minority population in the District. Id. at 21. Applying a disparate-impact standard, that court found that "[t]he fundamental defect in the plaintiffs' argument is that the adverse impact of which they complain was suffered not by the entire homeless population in the District of Columbia, nor even by a significant portion of its more than 6,000 members." See id. at 20. Closing the specific shelter affected 90 people, but the overall number of beds available to homeless persons rose as a result of the District's program. See id. at 20-21. By referring to "its homeless citizens," "the entire homeless population in the District of Columbia," and "its 6,000 members," the above excerpts show that the court was interested in the District of Columbia's overall universe of homeless persons.
In the context of a private landlord, courts are similarly concerned with the private party's universe of tenants. In Betsey v. Turtle Creek Associates, the tenants of a particular building contended that a policy would have a disparate racial impact on them as individuals. 736 F.2d 983, 985-87 (4th Cir. 1984). Because the plaintiffs did not show a "continuing disproportionate impact," a sufficient racial impact of the entire complex, or any impact on the local community, the district court dismissed the claim. See id. at 986-87. Reversing, the Fourth Circuit held that "members of a discrete minority[ ] are required to prove only that a given policy had a discriminatory impact on them as individuals." Id. at 987. That court found "consideration of the rest of the local community, the rest of [the residential community], or even prospective applicants for space in [the building] irrelevant." See id. (internal quotations omitted). "The correct inquiry is whether the policy in question had a disproportionate impact on the minorities in the total group to which the policy was applied." Id.
Here, it does not matter that the redevelopment might open up space for families in the local community to occupy smaller apartments at the redeveloped project. Defendants' universe of persons are the existing tenants at Brookland Manor. If the current families of Brookland Manor are disparately impacted by the redevelopment, it is irrelevant that some protected persons in the local community might end up filling their shoes in units that could not support them. Plaintiffs do analyze the effect that the entire project will have on all existing tenants of Brookland Manor. See Compl. ¶¶ 75-79. Given that Plaintiffs adequately allege that the proposed redevelopment project will affect Brookland Manor families over three times as much as it will nonfamilies, they state a claim.
Defendants' only contention specific to the DCHRA is that "elimination of [Plaintiffs']
Plaintiffs move for a preliminary injunction to prevent Defendants from proceeding with their redevelopment plan.
Plaintiffs argue that the threatened injuries are imminent, because when Defendants receive Stage Two approval, they will be free to commence destruction of Plaintiffs' homes. See Pls.' Mem. in Supp. of Mot. for Prelim. Inj., at 26. Specifically, they argue that "D.C. Municipal Regulations make clear that second-stage approval is the final step before a redeveloper may commence demolition." See id. They further argue that Defendants have already required families who reside in large units to "relocate, break up, and downsize." See id. In support of their assertion, Plaintiffs cite to several declarations of tenants who claim to know others at Brookland Manor who have been forced to move. See id. at 27; McFadden Decl. ¶ 6; Jenkins Decl. ¶ 6; Scott Decl. ¶ 6. However, they do not cite to any first-hand account of a family who has been forced to relocate off the property, nor any family who has been told they will need to relocate but will be unable to do so on the property.
Plaintiffs have failed to demonstrate that any families — let alone a disproportionate number of them — are facing the imminent threat of being forced to relocate until well after the case can be fully adjudicated. Plaintiffs do not, for example, point to a particular family that lives in the block of houses scheduled to be demolished during Phase One that would be unable to move into an apartment elsewhere at Brookland Manor. Although Plaintiffs cite to certain second-hand sources alluding to the idea of relocation, see, e.g., Jenkins Decl., Defendants cite to specific attributes of the redevelopment project showing otherwise. The Vice President of Mid-City has stated that it is "highly unlikely" that Phase One could begin until August, 2017, and that it would be much more likely to begin later in 2017. And, assuring the Court that the harm is
If Plaintiffs do obtain evidence showing that imminent injury is likely to occur, the Motion can be renewed and will be reconsidered in light of such new evidence. And, because Defendants applied for Stage Two PUD approval ahead of schedule and stop short of guaranteeing that they will follow the timeline set forth in their declarations, the Court will impose on Defendants a requirement to report to the Court and Plaintiffs any changes in schedule that might make displacement of tenants at Brookland Manor more imminent than it was when they made their declarations in opposition to Plaintiffs' Motion for a Preliminary Injunction.
For the foregoing reasons, Defendants' Motion to Dismiss is