Fort Baker was property tax exempt and exempt from any kind of special assessment from the state of California, county of Marin, or city of Sausalito. The legal battle ensued when the National Park Service announced plans to finally allow a development group to build a large, long-awaited hotel/conference center complex on the remains of Fort Baker. The NPS first announced their intention to develop Fort Baker in 1980's Golden Gate National Recreation Area General Management Plan which proclaimed that Fort Baker would become a conference center. The group, Fort Baker Retreat Group LLC - is an amalgam of Passport Resorts, a hotel management company; Equity Community Builders, the development manager; and Ajax Capital, a financial partner. Talk about development at the site, managed by the Park Service, first began in earnest in 1998. By 2001, the city of Sausalito had filed suit to force an injunction against the Park Service's plan to go ahead with the project. The suit lingered in court for several years. The essential quarrel was over the size of the project which looked to be approaching the maximum size of 350 rooms as adopted in the June 2000 original Fort Baker Plan. The suit alleged, however, that the NPS violated numerous environmental laws during the development of the Environmental Impact Statement (EIS) for the project. The EIS was completed in 1999 and included the NPS' preferred alternative to the hotel/conference center. The alternative, of habitat, 23 specifically for the Mission blue butterfly, to be preserved, improved or repaired. Sausalito's 2001 suit also alleged that the EIS was "deficient." It was not until October 20, 2004 that a judgement was handed down in the case. In City of Sausalito v. O'Neill the 9th Circuit Court of Appeals said that Sausalito did have standing to sue the NPS for an injunction to halt the hotel project at Fort Baker. The 2004 ruling proclaimed "standing" according to Article III of the U.S. Constitution. Article III requires that the defendant has suffered an "injury in fact", the injury is fairly traceable and it is likely that the injury will be repaired by a decision in favor of the defendant. The court found that Sausalito had an "injury in fact" because the Fort Baker project could attract up to 2,700 visitors per day, impacting traffic, aesthetic appeal and revenue in Sausalito. The court also found that the city had statutory