594 F.Supp.3d 588
S.D.N.Y.2022Background
- Summer flounder ("fluke") migrate inshore in warm months (state waters) and offshore in colder months (EEZ); management involves both states and federal agencies.
- The 1993 Allocation Rule set state-by-state commercial quotas using each state's percentage of landings in 1980–1989; those allocations remained in place for decades.
- The Mid‑Atlantic Council adopted a 2020 Amendment (the 2020 Allocation Rule): coastwide quota up to 9.55 million lbs uses the 1993 formula; any surplus above 9.55 million lbs is reallocated under a modified formula that increases shares for some northern states, including New York.
- New York sued, challenging the 2020 Allocation Rule and related annual specifications (later the 2022 specifications), alleging violations of the Magnuson‑Stevens Act (MSA) national standards and that the Rule was arbitrary and capricious under the Administrative Procedure Act (APA).
- Administrative record shows NMFS evaluated alternatives, considered fish distribution/biomass data and socioeconomic impacts, rejected New York’s proposals, and concluded the Rule balanced preservation of historical state access with increased equity in high‑quota years.
- The district court denied New York’s summary judgment and granted Commerce’s cross‑motion, upholding the 2020 Allocation Rule.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether the 2020 Allocation Rule complies with the MSA national standards (esp. Standards 2, 4, 5, 7, and weight of 8) | New York: Rule relies on outdated 1980–89 landings, ignores northward shift in biomass, so it fails Standards 2, 4, 5, 7 and improperly prioritizes community interests (Std. 8) over science. | Commerce: NMFS considered available scientific and socioeconomic data and permissibly balanced competing national standards to preserve historical access while increasing equity in high‑quota years. | Court: Upheld Rule; NMFS properly balanced national standards and acted within its discretion. |
| Whether NMFS used the "best scientific information available" (National Standard 2) | New York: NMFS ignored current biomass/location data and relied on obsolete landings data, so allocations are not based on best science. | Commerce: NMFS considered both landings and biomass/location data, found no superior landings data post‑1993, and reasonably chose the evidence it relied upon. | Court: NMFS satisfied Standard 2; the record shows consideration of relevant science and permissible choice among conflicting data. |
| Whether the allocations are "fair and equitable" (National Standard 4) | New York: Allocations disadvantage NY despite the fishery shifting north, so they are inequitable. | Commerce: NMFS evaluated benefits/hardships and considered coastal community dependence; preserved historical access to minimize adverse economic impacts. | Court: NMFS’s socio‑economic balancing was supported by the record and not arbitrary. |
| Whether the 2020 Allocation Rule is arbitrary and capricious under the APA | New York: NMFS ignored important aspects of the problem and reached an implausible result. | Commerce: NMFS followed required procedures, solicited comments, addressed alternatives (including NY’s proposals), and explained its rationale. | Court: Rule is not arbitrary or capricious; agency provided reasoned explanation and considered relevant factors. |
Key Cases Cited
- Motor Vehicle Mfrs. Ass’n v. State Farm, 463 U.S. 29 (1983) (sets the APA "arbitrary and capricious" standard)
- Baltimore Gas & Electric Co. v. Natural Resources Defense Council, 462 U.S. 87 (1983) (courts defer to agency scientific predictions at frontiers of science)
- Anderson v. Liberty Lobby, 477 U.S. 242 (1986) (summary judgment standard)
- Aleutian Capital Partners v. Scalia, 975 F.3d 220 (2d Cir. 2020) (district court as appellate tribunal for APA review; summary judgment appropriate)
- Building Industry Ass’n of Superior California v. Norton, 247 F.3d 1241 (D.C. Cir. 2001) ("best scientific data available" means best available, not perfect)
- Islander East Pipeline Co. v. McCarthy, 525 F.3d 141 (2d Cir. 2008) (describes arbitrary and capricious review factors)
- Knox v. Service Employees Intern. Union, 567 U.S. 298 (2012) (mootness and ability to grant effectual relief)