Opinion for the Court filed by Circuit Judge WALD.
The National Wildlife Federation (“NWF”) petitions this court for review of a regulation promulgated by the Environmental Protection Agency (“EPA” or “agency”) which allows the EPA discretion to refuse to initiate proceedings to withdraw a state’s primary enforcement responsibility, or “primacy,” for national drinking water standards under the Safe Drinking Water Act (“SDWA” or “Act”) after it has formally “determined” pursuant to § 1413 of the Act that the state no longer meets primacy requirements. While we agree with the EPA that the SDWA confers wide discretion on the agency to prescribe the manner in which it “determines” that a state no longer satisfies the statutory primary enforcement duties, we find it contrary to the plain language of the Act for the EPA to refuse to initiate withdrawal proceedings once it has made the determination that the state no longer is in
I. The Statutory and Regulatory Scheme
The Safe Drinking Water Act of 1974, 42 U.S.C. §§ 300f et seq., was enacted to ensure that public water supply systems meet minimum national standards for the protection of public health. According to pertinent provisions of the Act, the EPA must establish primary drinking water regulations, specifying maximum levels for contaminants that may have an adverse effect on the health of consumers, 42 U.S.C. § 300g-l, while states may, upon meeting prescribed requirements, obtain primary responsibility for administering and enforcing these EPA-generated standards, 42 U.S.C. § 300g-2. Section 1413 provides that “a State has primary enforcement responsibility for public water systems during any period for which the [EPA] Administrator determines ... that such State” hаs met various requirements, including “adopting] drinking water regulations which are no less stringent than the national primary drinking water regulations,” “implementing adequate procedures for the enforcement of such State regulations,” and keeping such records and reports “as the Administrator may require by regulation.” 42 U.S.C. § 300g-2(a). The manner by which a state may obtain or lose primacy was to be prescribed by EPA regulations:
The Administrator shall, by regulation ..., prescribe the manner in which a State may apply to the Administrator for a determination that the [primаcy] requirements ... are satisfied with respect to the State, the manner in which the determination is made, the period for which the determination will be effective, and the manner in which the Administrator may determine that such requirements are no longer met.
42 U.S.C. § 300g-2(b)(l). Before a decision by the EPA that a state no longer meets the primacy criteria “may become effective, the Administrator shall notify such State of the determination and the reasons therefor and shall provide an .opportunity for public hearing on the determination.” Id.
Pursuant tо the statute, the EPA adopted regulations in 1976 which elaborated on the criteria for states to obtain primacy and specified that once primacy became effective, it would continue until terminated. 40 C.F.R. §§ 142.10, 142.12(a)(3) (1976). The regulations required an annual review to assess compliance with the primacy standards and directed that when the “Administrator’s annual review, or other information available to him indicate that a State no longer meets the [primacy] requirements ..., he shall notify the State in writing of that fact.” Id. §§ 142.12(b)(1), (b)(2). After allowing the statе 30 days to submit “evidence demonstrating that the State continues to meet the requirements for primary enforcement responsibility,” the Administrator was required to “either determine that the State no longer meets the [primacy] requirements ... or that the State continues to meet those requirements, and [to] notify the State of his determination.” Id. §§ 142.12(b)(3), (b)(4). Before a determination of nonconformity with the primacy requirements could become effective, the EPA needed to provide notice and an opportunity for a public hearing, and аfterwards, issue an order affirming or rescinding its previous determination. Id. §§ 142.12(b)(4), 142.13. Subsequent to the filing of an adverse order, a state was still permitted to “apply for a determination that it meets [the primacy] requirements by submitting to the Administrator information demonstrating that it has remedied the deficiencies found by the Administrator_” Id. § 142.13(h).
Congress substantially amended the SDWA in 1986 to provide, among other things, that the EPA regulate 83 specified contaminants by June, 1989. Pub.L. No. 99-339, 100 Stat. 642 (1986). In response, the EPA issued new primacy regulations in 1989 which required states to implement the new standards within the statutorily-prescribed 18-month period or apply for up to a two-year extension when the state “cannot meet the original deadline for rea
When, on the basis of the Administrator’s review or other available information, the Administrator determines that a State no longer meets the [primacy] requirements ..., and the State has failed to request or has been denied an extension under § 142.12(b)(2) of the deadlines for meeting those requirements, or has failed to take other corrective actions required by the Administrator, the Administrator may initiate proceedings to withdraw program approval. The Administrator shall notify the State in writing of EPA’s intention to initiate withdrawal proceedings and shall summarize in the notice the information available that indicates that the State no longer meets such requirements.
54 Fed.Reg. 52,140 (1989) (emphasis added). At oral argument, the EPA counsel confirmed that this notification to the State represented the initiation of withdrawal proceedings. The procedures to be followed subsequent to notifying the state were left unchanged from the 1976 regulation. The offending state was permitted 30 days to submit evidence of compliance, after which the EPA was required to make what amounts to a second “determination” of noncompliance. Id.; see 40 C.F.R. §§ 142.17(a)(3), (a)(4) (1991). 1 And again, a public hearing was required before a determination of noncompliance could become effective. See 40 C.F.R. § 142.13 (1991). In the preamble to the new primacy rules, the agency emphasized that
EPA has always had discretion under the Act and primacy regulations to determine when to initiate program withdrawal from States that no longer meet the requirements for primacy.... EPA has revised section 142.17(a)(2) ... to make clear that the Agency’s decision to initiate withdrawal whenever it determines that a State no longer meets primacy requirements ... is discretionary.
54 Fed.Reg. 52,130 (1989). In 1990, the NWF brought suit, challenging the new § 142.17(a)(2) on the substantive ground that its explicit grant of discretion to the Administrator on whether or not to initiate proceedings after he has “determined” that the state is not in compliance with the requirements for primacy was contrary to the mandate of § 1413(a) that primacy continues only “during any period for which the Administrator determines” that the state has met the primacy requirements, and on the procedural ground that the EPA had inappropriately failed to adopt the regulation through the notice and comment procedures of the Administrative Procedure Act, 5 U.S.C. § 553.
2
Further, the NWF attacked § 142.12(b)(2), the extension provision, as unlawful under the SDWA because it created a system of “split” primacy whereby both statе and federal bodies would share enforcement responsibility for certain periods of time. Just prior to oral argument, the EPA moved for a partial stay, announcing that it would offer an opportunity for public comment on § 142.-17(a)(2). 55 Fed.Reg. 49,398 (1990). This court granted the partial stay and went on to uphold the EPA’s extension rule as a reasonable construction of the SDWA.
National Wildlife Federation v. EPA,
After notice and comment, the EPA reissued § 142.17(a)(2) in 1991, explaining again in the preamble of the new regulation the basis for its change from the 1976
[T]he previous regulation stated that the Administrator shall notify the State when information “indicates” that the State no longer meets primacy requirements. Under the new regulation, the Administrator may initiate program withdrawal proceedings when the Administrator “determines” that the State no longer meets primacy requirements. EPA substituted this term to clarify and emphasize that a finding that a State no longer meets the requirements for primacy is a decision that rests within the discretion of the Administrator.
Id. at 25,049.
II. Statutory Intent
In reviewing the EPA’s construction of the SDWA, which the agency is charged with administering, we must first decide “whether Congress has directly spoken to the precise question at issue.”
Chevron U.S.A., Inc. v. Natural Resources Defense Council, Inc.,
First, the Act affords the EPA wide discretion to establish the procedures and criterion for deciding when to grant and withdraw primacy. Section 1413(b) provides that the EPA shall “prescribe the manner in which a State may apply to the Administrator for a determination that the [primacy] requirements ... are satisfied with respect to the State, the manner in which the determination is made, the period for which the determination will be effective, and the manner in which the Administrator may determine that such requirements are no longer met.” 42 U.S.C. § 300g-2(b)(1). Thus, in
National Wildlife Federation,
we upheld the part of the EPA's regulation permitting states a two-year extension to adopt new standards because we could not “find in § 1413 any
Second, even where a “determination” of noncompliance is made, the statute does not require the agency to immediately withdraw primacy. Rather, the EPA is directed to provide notice and a public hearing before its determination of nonconformity with the primacy standards becomes effective. 42 U.S.C. § 30Qg-2(b)(l). As a consequence of evidence adduced at the hearing, the EPA is entitled to conclude that its original decision was in error or that the state has remedied any deficiency and to decide agаinst withdrawal. Id.; see also 40 C.F.R. § 142.13(f) (1991).
Thus, the SDWA builds ample discretion into the front-end of the EPA’s decisionmaking process by giving the agency discretion to decide “the manner in which the Administrator may determine that [primacy] requirements are no longer met.” 42 U.S.C. § 300g-2(b)(1). The agency is free to decide that technical, temporary or otherwise unimportant violations of the primacy requirements do not warrant a “determination” of noncompliance, or that the better approach for meeting the Act’s goals is to negotiate with the offending state or to permit more time for the state to come back into compliance. And even after a determination is made, the statute does not require it be written in stone. The public hearing procedure in § 1413(b) provides the EPA flexibility to change its previous decision in light of a reevaluation of the state’s performance or changed circumstances.
What the EPA, however, is attempting to do in the part of § 142.17(a)(2) challenged by the petitioners here is to create still another, third point of discretion occurring between the two pre-determination and post-determination stages just mentioned, i.e., at the point when the Administrator has formally “determined” that the state does not meet the statutory requirements. Under the revised regulation, the EPA, upon determining that a state does not meet the primacy requirements (and has refused to seek or been denied an extension, and/or has failed to take corrective actions requested by the EPA), may still decide to do nothing and refuse to notify the state of its intention to withdraw primacy. The EPA argues that the regulation is entirely cоnsistent with the statutory language because § 1413(a) applies only to the initial grant of primacy, while § 1413(b) relates to primacy withdrawal and allows the agency discretion to decide when primacy withdrawal is appropriate. Respondent’s Brief at 17-18. We do not believe this attempt to carve out a third area of discretion. can be squared with the language of the statute.
Section 1413(a) of the SDWA, which provides that a state “has primary enforcement responsibility for public water systems during any period for which the Administrator dеtermines” that the state satisfies the primacy criteria, does not relate only to the grant of primacy but clearly envisions an ongoing obligation on the part of the EPA to monitor each primacy state’s conformity; an obligation recognized by the EPA in its regulation mandating annual reviews, 40 C.F.R. § 142.17(a)(1) (1991). When these reviews or other information cause the EPA to suspect noncompliance with the statutory requirements and its follow-up investigation and failed attempts at informal resolution finally cause the Administrator to formally “determine” that a state no longer meets the primacy requirements, § 1413(a) mandates that the state is
The EPA is given discretion in § 1413(b) on how to make that determination and how to conduct withdrawal proceedings, but not on whether to permit the state to continue its primary status following a formal “determination” that the primacy requirements are no longer met. The grant of procedural discretion in § 1413(b) does not overrule the substantive requirement of § 1413(a) that a state retains primacy only so long as the EPA determines the state to be in compliance with the primacy requirements. Congress clearly meant a “determination” to be not merely an indication or preliminаry assessment of noncompliance, but rather a conclusion from which statutory consequences would flow: “[Bjefore a determination of the Administrator that such requirements are met or are no longer met with respect to a State may become effective, the Administrator shall notify such State of the determination and the reasons therefor and shall provide an opportunity for public hearing on the determination.” 42 U.S.C. § 300g-2(b)(1) (emphasis added). The EPA’s interpretation would strip the statutory term “determines” of all consequential meaning; instead of acting as thе trigger for granting or withdrawing state primacy, the “determination” under the EPA’s current version of § 142.17(a)(2) would require nothing from the agency. The Administrator would only need to notify the state if he intended to initiate withdrawal proceedings. 40 C.F.R. § 142.17(a)(2) (1991).
The EPA posits that its 1991 regulation is simply a reassertion of the agency’s longstanding position, first announced in the 1976 regulation, that the agency retains the discretion to decide when to initiate primacy withdrawal. The agency explains: “EPA understood that its initial finding of state program deficiencies — whether cast as an ‘indicаtion’ or as a ‘determination’ — is typically an informal finding which may but need not lead to written notice to a state.” Respondent’s Brief at 32 (emphasis in original). However, on the face of the 1976 regulation, when information indicated that a state no longer met the primacy requirements, the Administrator was required to notify the state that it no longer met the primacy requirements and permit the state to submit evidence to the contrary. 40 C.F.R. § 142.12(b)(2) (1976). Despite the EPA’s assertion that the actual practice is otherwise, we note that the agency expressed an intent in the 1991 version to explicitly grant the Administrator discretion not to notify the state and give it a chance to respond after making a discretionary “determination” of noncompliance through the substitution of the word “determines” for “indicate.” See 56 Fed.Reg. 25,049 (1991). In sum, it is apparent that the insertion of an additional post-determination discretion to choose not to notify an offending state in the 1991 regulation does not represent the agency’s longstanding view on primacy withdrawal — at least so far as its regulations are concerned — since the plain language of the previous regulation, in force for some fifteen years, made no such provision. In any event, we do not see how either the old or the new regulation could provide for this post-determination discretion in light of the clear language in the statute to the contrary.
In reaching today’s decision, we are of course cognizant of the principle enunciated in
Heckler v. Chaney,
Second, and most critically, the presumption of unreviewability does not apply where there is “law to apply.”
Citizens to Preserve Overton Park, Inc. v. Volpe,
III. Conclusion
In amending the primacy withdrawal regulation in 1991, the EPA asserted that it must have the flexibility of pursuing options short of primacy revocation in dealing with state program deficiencies.
See
56 Fed.Reg. 25,048. Because § 1413 of the SDWA is a “broad grant of discretion to EPA to establish a system for grant and withdrawal of primacy,”
National Wildlife Federation,
Finding this aspect of the EPA’s primacy withdrawal regulation contrary to the language of the SDWA, we grant the petition for review and remand tо the agency for modification in light of this opinion.
It is so ordered.
Notes
. The part of the regulation permitting this “second" determination is not being challenged in the instant petition. See Respondent's Brief at 19 n. 4. Thus, the only question before us is whether the EPA could, consistent with the SDWA, change its 1976 regulation that required the agency to notify the state after information “indicates” that the state no longer meets the primacy requirements to the 1991 version that permits the agency to do nothing after it “determines” the state no longer meets the primacy requirements.
. The EPA had explаined that the failure to invoke the notice and comment rulemaking process was based on its belief that the new regulation "constitutes only a clarification of the Agency’s discretion under the Act and existing regulations to initiate withdrawal procedures.” 54 Fed.Reg. 52,130-31 (1989).
. Moreover, we note that the enforcement decision involved here relates to whether federal or state authorities shall have primary responsibility for monitoring the water quality of an entire state’s public water supply system. That kind of federal/state allocation of enforcement authority is somewhat different from the typical enforcement context in which
Chaney
originated or is customarily applied.
See Chaney,
