United States v. EME Homer City Generation, L.P
727 F.3d 274
| 3rd Cir. | 2013Background
- Plant operated since 1969; PSD and Title V regimes evolved through 1970 and 1990 amendments.
- PSD requires preconstruction permits and BACT for major emitting facilities; operation alone is not a PSD trigger.
- Former Owners made modifications in 1991–1996 without PSD permit or BACT; they later obtained Title V permit.
- Current Owners acquired plant; the EPA alleged PSD and Title V violations, basing claims on post-modification operation and incomplete permit elements.
- District Court dismissed EPA/State claims as untimely or outside jurisdiction; EPA/States appeal.
- Court holds PSD/BACT obligations are preconstruction only; injunction against former owners for past violations is improper.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Does PSD prohibit operating without a PSD permit or BACT? | EPA: operating without PSD/BAC violates PSD ongoingly. | Current Owners: PSD/BACT are preconstruction only; operation is not a PSD violation. | PSD prohibits construction/modification without permit/BACT; no ongoing-operation violation. |
| Can the EPA require former owners to install or fund BACT at a plant they no longer own? | EPA seeks injunction to install/finance BACT at former plant. | Cannot compel past owners to fix past violations; remedy inappropriate for former owners. | Injunction against former owners for wholly past PSD violations not authorized. |
| Does Title V collateral challenges to permits lie in district court or exclusively via administrative/appeals review? | EPA argues district court can challenge title V permit completeness collaterally. | Title V challenges must go through exclusive administrative/appeals process under 42 U.S.C. § 7607(b). | District court lacks jurisdiction to collaterally challenge Title V permits; exclusive review lies in courts of appeals. |
Key Cases Cited
- United States v. Midwest Generation, LLC, 720 F.3d 644 (7th Cir. 2013) (PSD violations tied to construction/modification, not ongoing operation)
- Otter Tail Power Co. v. EPA, 615 F.3d 1015 (8th Cir. 2010) (BACT/PSD are preconstruction, not ongoing operation rules)
- National Parks Conservation Ass’n v. Tennessee Valley Authority, 480 F.3d 410 (6th Cir. 2007) (SIP-based PSD interpretations; Doyle of operational duties varied by circuit)
- Romoland Sch. Dist. v. Inland Empire Energy Ctr., LLC, 548 F.3d 738 (9th Cir. 2008) (Jurisdiction for Title V collateral challenges; federal review pathways)
- Rodriguez v. United States, 480 U.S. 522 (1987) (descriptive canons; ordinary meaning of statutory terms)