Jeff Simmons v. Sabine River Authority, et
2013 U.S. App. LEXIS 20585
| 5th Cir. | 2013Background
- Sabine River project spans Texas and Louisiana; FERC license granted to state authorities in 1963 for Toledo Bend Dam and hydropower.
- Entergy, under the license, oversees power generation and purchases power; the license requires maintaining reservoir levels and operating spillways.
- FERC denied most requests to modify operations during floods but required improvements to the Emergency Action Plan.
- Plaintiffs allege state-law property damage from floodgate operations in 2009 and sue in state court, later removed to federal court.
- District court granted 12(b)(6) dismissal holding FPA preempts state tort claims; dismissal with prejudice followed; plaintiffs appeal.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Does the FPA preempt state tort claims for property damage tied to operating a FERC-licensed project? | Plaintiffs argue state law governs damages for flood damages from dam operations. | Entergy and Authorities contend FPA preempts state tort claims where damages arise from compliance with a FERC license. | Yes, preempted; district court affirmed. |
Key Cases Cited
- First Iowa v. Hydro-Elec. Coop. v. Fed. Power Comm’n, 328 U.S. 152 (1946) (savings clause narrowly construed; state permits preempted when regulating water use rights beyond proprietary rights)
- California v. FERC, 495 U.S. 490 (1990) (FPA occupies field of power development with narrow savings for water-use rights)
- Niagara Mohawk Power Corp. v. Niagara Mohawk Power Corp., 347 U.S. 239 (1954) (recognizes federal servitude but preserves preexisting state rights; federal control through licensing may require compliance but not abolition of state rights)
- Sayles Hydro Assocs. v. Maughan, 985 F.2d 451 (9th Cir. 1993) (interprets First Iowa; discusses scope of savings clause in context of water rights)
- Seaboard Air Line R.R. v. Cnty. of Crisp, Ga., 280 F.2d 873 (5th Cir. 1960) (early view on state damages under FPA license; pre-FPA posture on damages in licensed projects)
