Chief Justice TOAL:
The City of Cayce ("City") cited Norfolk Southern Railway Company ("Norfolk") for violating a public nuisance ordinance,
Norfolk is a corporation and common carrier of freight by rail. It operates trains in twenty-two states and has over 20,000 miles of track. As part of these operations, Norfolk ships goods in interstate commerce through South Carolina and maintains tracks, yards, bridges, trestles, and other facilities within the state.
Norfolk owns or has a leasehold interest in a railroad bridge crossing over U.S. Highway 321 in Cayce, South Carolina that is at the center of this dispute ("Bridge").
In a series of communications from 2005 to 2007, the City asked Norfolk to paint the Bridge due to the rust and graffiti covering the structure. The City noted the Bridge is located on "a main thoroughfare" in the City and "is an eyesore and a nuisance" that "creates a negative impression about the City and [Norfolk] for the thousands of people who drive through and reside in the area." The City asserted the Bridge's condition detracts from the value of property in the surrounding area. Norfolk declined, stating it did not have funds available for the refurbishment.
On May 1, 2007, the City amended its municipal ordinance, Cayce, S.C. CODE § 28-251, to provide a public nuisance shall include certain structures above street grade that are "rusted." Section 28-251 provides in relevant part as follows:
The 2007 amendment added only subsection (7), as subsection (1) regarding structures bearing graffiti existed in the prior version of the ordinance.
Thereafter in 2007, the City cited Norfolk for violating section 28-251 based on the graffiti and rust covering the Bridge. After a bench trial, the municipal judge found Norfolk guilty of violating the ordinance and fined Norfolk $500.00.
Norfolk appealed to the circuit court, which reversed the municipal judge's ruling in an order filed July 30, 2009. The circuit court concluded the municipal ordinance is preempted by both the Interstate Commerce Commission Termination Act ("ICCTA"), 49 U.S.C.A. §§ 10101-16106 (2007 & Supp. 2010) and the Federal Railroad Safety Act ("FRSA"), 49 U.S.C.A. §§ 20101-20167 (2007 & Supp.2010). Based on its ruling regarding federal preemption, the circuit court noted it was unnecessary to reach the additional grounds raised by Norfolk in support of reversal. The City appeals from this order.
In criminal appeals from a municipal court, the circuit court does not conduct a de novo review; rather, it reviews the case for preserved errors raised to it by an appropriate exception. City of Rock Hill v. Suchenski, 374 S.C. 12, 646 S.E.2d 879 (2007); Rogers v. State, 358 S.C. 266, 594 S.E.2d 278 (Ct.App.2004); City of Landrum v. Sarratt, 352 S.C. 139, 572 S.E.2d 476 (Ct.App.2002); see also S.C.Code Ann. § 14-25-105 (Supp.2009) ("There shall be no trial de novo on any appeal from a municipal court."). "Therefore, our scope of
On appeal, the City argues the circuit court erred in reversing the municipal court conviction because federal law does not preempt enforcement of the City's ordinance.
The City contends that, under the plain language of the City's ordinance, structures covered by rust and graffiti fall within the definition of a public nuisance. Further, there are no factual disputes involved in this appeal as both parties agree that the Bridge had extensive rust and graffiti on it when the City issued the citation. The City argues the circuit court therefore committed an error of law in concluding the ordinance is rendered inapplicable to Norfolk based on federal preemption. We disagree.
The Supremacy Clause in Article VI of the United States Constitution establishes the principle of federal preemption:
U.S. Const. art. VI, cl. 2.
Since the decision in M'Culloch v. Maryland, 17 U.S. 316, 4 Wheat. 316, 4 L.Ed. 579 (1819), it has been settled that state law that conflicts with federal law is "without effect." Cipollone v. Liggett Group, Inc., 505 U.S. 504, 516, 112 S.Ct. 2608, 120 L.Ed.2d 407 (1992); see also Maryland v. Louisiana, 451 U.S. 725, 746, 101 S.Ct. 2114, 68 L.Ed.2d 576 (1981) ("It is basic to this constitutional command that all conflicting state provisions be without effect.").
The intent of Congress may be explicitly stated in the statute's language or implicitly contained in its structure and purpose. Altria Group, Inc. v. Good, 555 U.S. 70, 129 S.Ct. 538, 172 L.Ed.2d 398 (2008); Cipollone, 505 U.S. at 516, 112 S.Ct. 2608. In the absence of an express congressional command, state law is preempted if the law actually conflicts with federal law, or if federal law so thoroughly occupies the legislative field as to make reasonable the inference that Congress has left no room for the states to supplement it. Altria Group, 129 S.Ct. at 543; Cipollone, 505 U.S. at 516, 112 S.Ct. 2608.
Thus, "[u]nder the principle of federal law supremacy, there are three ways that federal law can preempt state law: (1) where Congress makes its intent to preempt state law explicit in statutory language; (2) where state law regulates conduct in a field that Congress intends for the federal government to occupy exclusively; or (3) where there is an actual conflict between state and federal law." Anderson v. BNSF Ry. Co., 375 Ark. 466, 291 S.W.3d 586, 589 (2009); see also Priester v. Cromer, 388 S.C. 425, 428, 697 S.E.2d 567, 569 (2010) ("A federal law may either expressly preempt a state law through specific language clearly stating its intent or it may impliedly preempt a state law through field preemption or conflict preemption.").
In the current matter, the circuit court ruled the City's ordinance is preempted by the ICCTA.
Section 10501(a)(1) of the ICCTA generally sets forth the STB's "jurisdiction over transportation by rail carrier." 49 U.S.C.A. § 10501(a)(1) (2007). Subsection (b) provides that the jurisdiction of the STB is exclusive, and it contains an explicit preemption clause:
Id. § 10501(b) (emphasis added).
When a federal statute contains an express provision regarding preemption, the preemption inquiry must focus on the plain wording of that provision, which generally contains the most reliable evidence as to whether Congress intended to preempt state law. CSX Transp. v. Easterwood, 507 U.S. 658, 113 S.Ct. 1732, 123 L.Ed.2d 387 (1993).
A Georgia federal district court has remarked, "It is difficult to imagine a broader statement of Congress's intent to preempt state regulatory authority over railroad operations." CSX Transp., Inc. v. Ga. Pub. Serv. Comm'n, 944 F.Supp. 1573, 1581 (N.D.Ga.1996). The ICCTA "grant[s] . . . exclusive jurisdiction over almost all matters of rail regulation to the STB." Id.
The broad nature of Congress's preemption under the ICCTA is further evidenced by the ICCTA's expansive definitions. The ICCTA defines a "railroad" as including the following:
49 U.S.C.A. § 10102(6) (2007) (emphasis added). The ICCTA defines "transportation" to encompass:
Id. § 10102(9). We agree with the circuit court's observation that, considering the definitions contained in section 10102, "when [s]ection 10501(b) grants the STB exclusive jurisdiction over `railroads' and `transportation by rail carriers,' it includes the railroad's bridges and any operations conducted thereupon for the purpose of transportation."
The municipal judge found ICCTA preemption did not apply because there was no specific federal regulation covering the appearance of railroad bridges. However, we hold that ICCTA preemption does apply, even if there is no direct conflict with a specific regulation, if the ordinance interferes with the railroad's ability to conduct its operations or otherwise unreasonably burdens interstate commerce. Direct conflict is only one circumstance under which state law is preempted by
The Court of Appeals of Washington found an express conflict was not required in a case holding two city ordinances, one regulating the length of time railroad switching activities could block city streets and the other prohibiting switching during peak hours, were preempted by the ICCTA. City of Seattle v. Burlington N. R.R. Co., 105 Wn.App. 832, 22 P.3d 260 (2001). The court explained:
Id. at 262; see also City of Auburn v. United States Gov't, 154 F.3d 1025, 1031 (9th Cir.1998) (stating "the pivotal question is not the nature of the state regulation, but the language and congressional intent of the specific federal statute" and holding state and local permitting laws were preempted by the ICCTA even though they concerned "environmental" rather than "economic" regulation because jurisprudence supports a broad reading of Congress's preemption intent, not a narrow one).
In the current appeal, James Carter, the Chief Engineer of Bridges and Structures for Norfolk, testified that Norfolk operates trains in twenty-two states on over 20,000 miles of track. Carter stated Norfolk does not paint bridges for cosmetic purposes, but that Norfolk had offered to allow the City to do it, and Norfolk would have donated the expense for its employees to provide flagging services, but the City had declined the offer. Carter stated the City did not raise any structural concerns about the Bridge.
He testified the most recent inspection at the time of trial had been on April 11, 2007, and no safety or structural issues
Carter asserted the impact of the City's ordinance on Norfolk would be more than just requiring it to paint the Bridge. He stated many of the older bridges were covered with lead paint, and any painting would require removal of the old lead paint in an environmentally safe manner. He estimated it could cost approximately $250,000 to paint the entire Bridge, including the lead removal. Carter opined that if Norfolk were required to do that for all of its bridges in South Carolina, it would cost millions of dollars, and this would have an impact upon Norfolk's ability to devote its resources to safety-related projects. Carter stated it would be difficult to operate a system of over 20,000 miles of track if the regulations in each community were different, so a uniform set of regulations was "extremely important."
The Association of American Railroads ("the Association") has filed an Amicus Curiae Brief in support of the circuit court's determination that the City's ordinance is preempted by the ICCTA. The Association states this "case presents an issue of great significance to the railroad industry as a whole."
The Association opines that, if the City's nuisance ordinance were upheld, and other municipalities across the nation similarly declared railroad trestles, bridges, and other structures bearing graffiti or rust to be a public nuisance and subjected the railroads to criminal penalties or forced them to undertake remedial measures, "the interference with rail transportation operations throughout the national rail network, as well as the adverse economic consequences to the railroad industry, would be significant and would constitute an unreasonable burden on interstate rail transportation."
The Association argues case law makes clear that a state or a local law, whether premised on environmental, zoning, nuisance, or as here, "aesthetic" grounds, is not saved from
We hold the circuit court correctly determined the ICCTA preempts enforcement of the nuisance ordinance against Norfolk. Bridges are expressly considered part of the railroad's operations under the definitional section of the ICCTA and the enforcement of the City's ordinance against Norfolk will have an effect on its railroad operations that falls within the scope of the ICCTA. See, e.g., Village of Mundelein v. Wis. Cent. R.R., 227 Ill.2d 281, 317 Ill.Dec. 664, 882 N.E.2d 544, 552 (2008) ("A state law may not frustrate the operation of federal law by claiming some purpose other than that specifically addressed by the federal law. Rather, the supremacy clause renders invalid any state legislation that frustrates the full effectiveness of federal law."); Krentz v. Consol. Rail Corp., 589 Pa. 576, 910 A.2d 20, 34 (2006) ("[I]t is the
Further, although the aesthetic appearance of bridges is not specifically covered in the ICCTA, the challenged provision need not be in direct conflict with the ICCTA for preemption to apply. See, e.g., Anderson v. BNSF Ry. Co., 375 Ark. 466, 291 S.W.3d 586, 592 (2009) (holding although the ICCTA did not expressly mention railroad crossings, the jurisdiction of the ICCTA was exclusive over anything having an economic impact on the railroad and thus was preempted by the act (citing Franks Inv. Co. v. Union Pac. R.R. Co., 534 F.3d 443 (5th Cir.2008))).
The purpose of the ICCTA is to prevent the development of a patchwork of local and state regulations affecting
The Federal Railroad Administration has recently adopted Bridge Safety Standards, 75 F.R. 41282-01 (July 15, 2010) (to be codified at 49 C.F.R. pts. 213 & 237); currently available at 2010 WL 2771218. It is noted therein that "[t]here are nearly 100,000 railroad bridges in the United States" and "[t]hese bridges are owned by over 600 different entities." The standards were not in effect at the time this action arose, but they indicate the intent that federal law govern the maintenance and condition of railroad bridges. The need for uniformity is readily apparent based on the number of bridges throughout the United States and the diversity of ownership.
Although the City's public nuisance ordinance is ostensibly directed to aesthetic issues, its enforcement against Norfolk does have an impact on its operations since railroad bridges and trestles are, by federal law, considered part of the operations of the industry. Accordingly, we affirm the circuit court's determination that the ICCTA preempts enforcement of the City's ordinance against Norfolk.
We conclude the circuit court properly determined the ICCTA preempts enforcement of the City's public nuisance ordinance against Norfolk and affirm on this basis. Consequently, we need not reach the remaining issues presented on appeal.
PLEICONES, KITTREDGE, HEARN, JJ., and Acting Justice HOWARD P. KING, concur.