In the Matter of REICHMANN LAND AND CATTLE, LLP.
No. A13-1461.
Supreme Court of Minnesota.
July 29, 2015.
867 N.W.2d 502
Gary W. Koch, Matthew C. Berger, Gislason & Hunter LLP, New Ulm, Minnesota, for respondent/cross-appellant Reichmann Land and Cattle, LLP.
OPINION
ANDERSON, Justice.
The question presented by this case is whether a farm must obtain federal or state pollution discharge permits for using fields as cropland in the summer and as an animal feeding site during the winter. We conclude that the winter feeding facility managed by respondent/cross-appellant Reichmann Land and Cattle, LLP (Reichmann) is not an animal feeding operation, as defined by
Reichmann is a 4,000-acre farm in Pope County that grows row crops and operates two registered cattle feedlots, a trucking business, and a grain-grinding business. In addition to the registered feedlots, Reichmann has used some of its cropland as a winter feeding facility for cattle since the 1990s. After the fall harvest each year (in November or December), Reichmann places cattle on four tracts of cropland totaling 416 acres. During the winter months, cattle consume crop residues that remain on the land after harvest. Reichmann augments the diet of the cattle with supplemental feed, which provides at least 90 percent of the daily nutritional needs for the cattle. In the spring, Reichmann removes the cattle from the winter feeding fields and plants crops on those same fields during the normal growing season, which spans from the time of spring planting (late April or early May) until the first frost in the fall. Reichmann
Since 2001, appellant/cross-respondent Minnesota Pollution Control Agency (MPCA) has taken the position that Reichmann‘s winter feeding practices allow a discharge of pollutants and therefore require an NPDES or SDS permit. When Reichmann and the MPCA were unable to reach an agreement to decrease the operation‘s pollution levels, the MPCA issued a draft administrative order on March 22, 2011, requiring Reichmann to obtain NPDES and SDS permits or discontinue the winter feeding operation. Reichmann requested a contested case hearing that began in October 2012 before an administrative law judge (ALJ). At the center of the dispute was whether Reichmann maintained a vegetative cover on its winter feeding fields while the cattle were present. MPCA experts stated that Reichmann‘s cattle typically consumed almost all crop residue by January of each year. Any remaining vegetation was soiled by urine and solid manure and [wa]s not suitable for forage, or was removed when Reichmann scraped manure from the fields. Reichmann‘s owner, however, testified that cattle would regularly graze on forage and crop residue throughout the winter. Reichmann‘s expert also believed that forage was maintained throughout the winter, although he never visited the farm during the winter and based his testimony on photographs taken by the MPCA.
The MPCA also presented evidence that Reichmann has discharged pollutants from its winter feeding fields. MPCA inspectors took water samples from the fields and an adjacent stream, and the inspectors concluded that the water contained pollutants. Photographs of Reichmann‘s winter feeding fields showed ponded water that discharged into an inlet and road ditch. The MPCA also presented computer-modeling evidence that predicted a discharge of pollutants.
The ALJ concluded that Reichmann‘s winter feeding fields constitute a concentrated animal feeding operation due to the large numbers of cattle and lack of adequate vegetation sustained during the winter when cattle are present. See
Reichmann appealed the Commissioner‘s decision, and the court of appeals affirmed the Commissioner‘s conclusion that Reichmann must apply for an SDS permit. In re Reichmann Land & Cattle, LLP, 847 N.W.2d 42, 48 (Minn.App.2014). Although the court concluded that the Commissioner erred by examining the type of vegetation on Reichmann‘s feeding fields only in the winter, it agreed that Reichmann‘s winter feeding fields are not pastures because cattle are not allowed to forage. Id.; see
I.
We turn first to whether Reichmann must obtain an NPDES permit, which requires an examination of
The MPCA argues that we should consider the threshold question of ambiguity within a framework of deference to the administrative agency charged with implementation of the regulation. The MPCA cites Annandale, in which we stated that deference is warranted only after thoroughly considering multiple factors. 731 N.W.2d at 525. But the MPCA ignores our clear holding in Annandale that we need not defer to an agency‘s interpretation of an unambiguous regulation. Id. at 516; see also Christensen v. Harris Cty., 529 U.S. 576, 588, 120 S.Ct. 1655, 146 L.Ed.2d 621 (2000) (Auer deference is warranted only when the language of the regulation is ambiguous.); Resident v. Noot, 305 N.W.2d 311, 312 (Minn.1981) (We do not defer [to an agency interpretation] when the language employed or the standards delineated are clear and capable of understanding.). We therefore will not resolve the threshold question of ambiguity within a framework of deference to the MPCA.
A.
The Clean Water Act generally prohibits the discharge of any pollutant by any
Congress authorized the EPA to define animal feeding operation (AFO) and concentrated animal feeding operation (CAFO) through administrative regulation. See
Animal feeding operation (AFO) means a lot or facility ... where the following conditions are met: (i) Animals ... have been, are, or will be stabled or confined and fed or maintained for a total of 45 days or more in any 12-month period, and (ii) Crops, vegetation, forage growth, or post-harvest residues are not sustained in the normal growing season over any portion of the lot or facility.
B.
We begin by examining the plain meaning of sustained in the normal growing season to determine whether
The MPCA argues, however, that sustained in the normal growing season is ambiguous when read in the context of
We also reject the MPCA‘s proffered definition of sustain. [T]he fact that a word has more than one meaning does not necessarily mean it is ambiguous. Annandale, 731 N.W.2d at 517. Instead, the meaning of a word depends on how it is being used. Id. The MPCA asserts that the word sustained describes the weight or pressure animals exert on the land. But
Finally, the MPCA urges us to consider other sources when determining whether
Although we must interpret
We conclude that a winter feeding facility is not an AFO under
II.
Next, Reichmann asserts that it is not required to apply for an SDS permit. Analysis of this issue requires interpretation of
The Legislature has charged the MPCA with adopt[ing] standards for the control of the collection, transportation, storage, processing, and disposal of solid waste and sewage sludge for the prevention and abatement of water, air, and land pollution.
The Legislature created an exemption from SDS-permit requirements for animal feedlots that operate on land designated as pasture:
(a) ... [A]n owner or resident of agricultural land on which livestock have been allowed to pasture at any time during the ten-year period beginning January 1, 2010, is permanently exempt from requirements related to feedlot or manure management on that land for so long as the property remains in pasture.
(b) For the purposes of this subdivision, pasture means areas where livestock graze on grass or other growing plants. Pasture also means agricultural land where livestock are allowed to forage during the winter time and which land is used for cropping purposes in the growing season. In either case, the concentration of animals must be such that a vegetative cover, whether of grass, growing plants, or crops, is maintained during the growing season except in the immediate vicinity of temporary supplemental feeding or watering devices.
The court of appeals concluded that Reichmann satisfies the vegetative cover requirement of
A.
The court of appeals concluded that winter feeding fields qualify as pasture if crops are grown during the summer, because the pasture exemption unambiguously provides that ‘crops’ may satisfy the vegetative cover requirement. In re Reichmann, 847 N.W.2d at 48. Although the court of appeals determined that
Reading the statute as a whole, however, we conclude that the pasture exemption requires vegetation to be maintained throughout the continuance or course of the growing season, because that interpretation give[s] effect to all of [the statute‘s] provisions. Schroedl, 616 N.W.2d at 277; see Deal v. United States, 508 U.S. 129, 132, 113 S.Ct. 1993, 124 L.Ed.2d 44 (1993) ([T]he meaning of a word cannot be determined in isolation, but must be drawn from the context in which it is used.). When interpreting a statute, if context suggests that a group of words have something in common, each word should be ascribed a meaning that is consistent with its accompanying words. State v. Rick, 835 N.W.2d 478, 485 (Minn.2013). The pasture exemption states that the concentration of animals must be such that a vegetative cover ... is maintained during the growing season.
Reichmann argues that this interpretation leads to an absurd result because there will always be a gap between the time that grasses begin to grow in the spring and farm fields are tilled and traditional crops are planted and begin to grow. However, when the words of a statute are clear, we may not disregard the letter of the law under the pretext of pursuing the law‘s spirit. Gassler v. State, 787 N.W.2d 575, 585 (Minn.2010) (citing
For these reasons, we hold that the pasture exemption requires vegetation throughout the entire growing season, including the period of time between the planting of crops and the establishment of a new vegetative cover. A winter
B.
Next, we review the Commissioner‘s factual finding that Reichmann does not maintain a vegetative cover on its winter feeding fields. When reviewing the decision of an administrative agency, we attach[ ] a presumption of correctness and defer[ ] to an agency‘s conclusions in the area of its expertise. Cable Commc‘ns Bd. v. Nor-West Cable Commc‘ns P‘ship, 356 N.W.2d 658, 668 (Minn.1984). We may reverse or modify the decision of an administrative proceeding, however, if the findings, inferences, or conclusions are arbitrary or capricious, or are unsupported by substantial evidence in view of the entire record as submitted.
Here, the record clearly demonstrates that Reichmann‘s winter feeding fields lacked a vegetative cover at the beginning of the growing season. Two MPCA experts observed that any crop residue remaining on the land after harvest was eaten by the cattle early in the winter or became contaminated by urine and manure. Reichmann had to reestablish a vegetative cover each year by planting new crops, leaving a period of time at the beginning of each growing season during which the fields were devoid of vegetation. Further, one MPCA expert opined that Reichmann‘s winter feeding fields could not support a vegetative cover at the beginning of the growing season, given the number of cattle grazing on vegetation during the winter. Reichmann‘s expert disagreed—he testified that fields containing Reichmann‘s density of cattle could theoretically sustain a vegetative cover throughout the growing season. But Reichmann‘s expert never visited the feeding fields during the winter; he instead relied on pictures taken by the MPCA. In contrast, one MPCA inspector visited the farm at least seven times over the course of 3 years. The Commissioner also concluded that the prefiled testimony of Reichmann‘s expert contained several statements that lacked an adequate basis. An appellate court cannot judge the credibility of a witness or the weight, if any, to be given to testimony. Sigurdson v. Isanti Cty., 386 N.W.2d 715, 721 (Minn.1986). The Commissioner therefore did not err by giving more weight to the MPCA‘s experts than to Reichmann‘s experts.
The Commissioner did not abuse his discretion by finding that Reichmann‘s winter feeding fields do not satisfy the pasture exemption, because vegetation is not maintained during the growing season.6
III.
We conclude that Reichmann need not obtain an NPDES permit because Reichmann‘s
Affirmed.
