125 A.D.3d 21
N.Y. App. Div.2014Background
- Petitioners Entergy own and operate Indian Point Units 2 and 3, nuclear plants on the Hudson River with federal operating licenses originally issued in the 1970s and renewed by NRC applications in 2007.
- New York’s Coastal Management Program (CMP), approved in 1982, requires federal-license applicants affecting the coastal zone to certify consistency with CMP enforceable policies; the CMP contains exemptions for certain "grandfathered" projects and projects for which a final environmental impact statement (EIS) was prepared prior to the CMP regulations taking effect.
- Indian Point Units 2 and 3 had final EISs prepared under NEPA in 1972 and 1975 (pre-dating SEQRA and the 1982 CMP regulations).
- Petitioners asked the NY Department of State (Department) for a declaratory ruling that the license-renewal applications are exempt from CMP consistency review; the Department declined to issue a declaratory ruling but issued an advisory opinion that the exemption did not apply because the EISs were not prepared under SEQRA.
- Petitioners brought a combined CPLR article 78 proceeding and declaratory judgment action; Supreme Court upheld the Department’s advisory opinion and dismissed. The Appellate Division reversed.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether Indian Point Units 2 & 3 are exempt from CMP consistency review because final EISs were prepared before 1982 | Petitioners: the CMP exemption refers to any final EIS prepared prior to the CMP regulations, so NEPA EISs predating 1982 trigger the exemption | Department: exemption applies only to EISs prepared under SEQRA, not NEPA | Held: Reversed — plain meaning covers pre-1982 EISs regardless of SEQRA; Indian Point units are exempt |
| Whether the Department reasonably required SEQRA as the source of the pre-1982 EIS | Petitioners: no statutory/regulatory basis to require SEQRA; SEQRA expressly allows use of NEPA EISs and SEQRA is modeled on NEPA | Department: CMP/SEQRA are intertwined and the exemption should be read to reference SEQRA EISs | Held: Department’s interpretation is irrational and conflicts with plain language; cannot be sustained |
| Applicability of SEQRA’s grandfathering (ECL 8‑0111(5)) to the renewal application | Petitioners: the projects themselves were grandfathered because final EISs existed pre-1982; only federal license renewal is pending before NRC | Department: argued SEQRA-related provisions could affect review | Held: ECL 8‑0111(5) inapplicable — no state action requiring SEQRA review exists here, only a federal license renewal |
Key Cases Cited
- Brodsky v. United States Nuclear Regulatory Commn., 704 F.3d 113 (2d Cir.) (describing Atomic Energy Act’s comprehensive federal regulation of nuclear plants)
- County of Rockland v. United States Nuclear Regulatory Commn., 709 F.2d 766 (2d Cir.) (federal preemption of state regulation of nuclear power plant licensing)
- Duke Power Co. v. United States Nuclear Regulatory Commn., 770 F.2d 386 (4th Cir.) (NRC exclusive authority to license and regulate nuclear plants)
- Entergy Nuclear Vermont Yankee, LLC v. Shumlin, 733 F.3d 393 (2d Cir.) (federal licensing/regulatory authority over nuclear plants)
- Matter of Marzec v. DeBuono, 95 N.Y.2d 262 (standard for upholding an agency interpretation of its regulations)
- Visiting Nurse Serv. of N.Y. Home Care v. New York State Dept. of Health, 5 N.Y.3d 499 (an agency interpretation is invalid if it conflicts with plain regulatory language)
- Matter of County of St. Lawrence v. Daines, 81 A.D.3d 212 (agency interpretation irrational when conflicting with plain meaning)
- Matter of Jackson v. New York State Urban Dev. Corp., 67 N.Y.2d 400 (SEQRA modeled on NEPA; cross‑use of EISs addressed)
