Lead Opinion
Opinion for the Court filed by Circuit Judge GARLAND.
Concurring opinion filed by Chief Judge GINSBURG.
Rancho Viejo is a real estate development company that wishes to construct a 202-acre housing development in San Diego County, California. The United States Fish and Wildlife Service determined that Rancho Viejo’s construction plan was likely to jeopardize the continued existence of the arroyo southwestern toad, which the Secretary of the Interior has listed as an endangered species since 1994. Rather than accept an alternative plan proposed by the Service, Rancho Viejo filed suit challenging the application of the Endangered Species Act, 16 U.S.C. §§ 1531 et seq., to its project as an unconstitutional exercise of federal authority under the Commerce Clause. The district court dismissed the suit. We conclude that this case is governed by our prior decision in National Association of Home Builders v. Babbitt,
I
The Endangered Species Act (ESA), 16 U.S.C. §§ 1531 et seq., is “the most comprehensive legislation for the preservation of endangered species ever enacted by any nation.” Tennessee Valley Auth. v. Hill,
The ESA directs the Secretary of the Interior to list fish, wildlife, or plant species that she determines are endangered or threatened. 16 U.S.C. § 1533(a). Section 9 of the Act makes it unlawful to “take” any such listed species without a permit. Id. § 1538(a)(1)(B). “The term ‘take’ means to harass, harm, pursue, hunt, shoot, wound, kill, trap, capture, or collect, or to attempt to engage in any such conduct.” Id. § 1532(19). The Secretary has promulgated, and the Supreme Court has upheld, a regulation that defines “harm” as including “significant habitat modification or degradation where it actually kills or injures wildlife by significantly impairing essential behavioral patterns, including breeding.” 50 C.F.R. § 17.3; see Babbitt v. Sweet Home Chapter of Communities for a Great Oregon,
Section 7 of the ESA requires all federal agencies to ensure that none of their activities, including the granting of licenses and permits, will “jeopardize the continued existence of any endangered species ... or result in the destruction or adverse modification of habitat of such species which is determined by the Secretary ... to be critical.” Id. § 1536(a)(2). When an agency concludes that its activities may adversely affect a listed species, it must engage in a formal consultation with the Interior Department’s Fish and Wildlife Service (FWS). 50 C.F.R. § 402.14; see 16 U.S.C. § 1536(a)(2). Where applicable, such consultations result in the issuance of a Biological Opinion that includes a “jeopardy” or “no jeopardy” determination. 50 C.F.R. § 402.14(h)(3); see 16 U.S.C. § 1536(b)(4). If the FWS decides that the proposed action is likely to “jeopardize the continued existence of a listed species or result in the destruction or adverse modification of critical habitat,” the opinion must set forth “reasonable and prudent alternatives,” if any, that will avoid such consequences. 50 C.F.R. § 402.14(h)(3); see 16 U.S.C. § 1536(b)(3)(A).
Plaintiff Rancho Viejo plans to build a 280-home residential development on a 202-acre site in San Diego County. The property is bordered on the south by Keys Creek, a major tributary of the San Luis Rey River, and is just east of Interstate 15. FWS, Biological/Conference Opinion on the Rancho Viejo Residential Development at 8, 26 (Aug. 24, 2000). The company’s construction plan is to build homes in an upland area of approximately 52 acres, and to use an additional 77 acres of its upland property and portions of the Keys Creek streambed as a “borrow area” to provide fill for the project. Rancho Viejo wants to remove six feet or more of soil from the surface of the borrow area, amounting to approximately 750,000 cubic yards of material, and to transport that soil to the 52-acre housing site to the north. Joint Stip. ¶ 2. Surveys of Keys Creek have confirmed the presence of arroyo toads on and adjacent to the project site. Id. ¶ 7.
Because Rancho Viejo’s plan would involve the discharge of “fill into waters of the United States, including wetlands,” Biological/Conference Opinion at 8, the company was required by section 404 of the Clean Water Act, 33 U.S.C. § 1344, to obtain a permit from the U.S. Army Corps of Engineers .(the “Corps”). See id. § 1344(a). The Corps determined that the project “may affect” the arroyo toad population in the area, and sought a formal consultation with the FWS pursuant to ESA § 7.
In May 2000, Rancho Viejo excavated a trench and erected a fence, each running parallel to the bank of Keys Creek. Arroyo toads were observed on the upland side of the fence. Joint Stip. ¶ 8. In the FWS’s view, the fence has prevented and may continue to impede movement of the toads between their upland habitat and their breeding habitat in the creek. Id. ¶ 9. On May 22, the FWS informed Rancho Viejo that construction of the fence “has resulted in the illegal take and will result in the future illegal take of federally endangered” arroyo toads “in violation of the Endangered Species Act.” May 22, 2000 Letter at 1; Joint Stip. ¶ 10.
In August 2000, the FWS issued a Biological Opinion that determined that excavation of the 77-acre borrow area would result in the taking of arroyo toads and was “likely to jeopardize the continued existence” of the species. Biological/Conference Opinion at 35; see Joint Stip. ¶ 14. Pursuant to ESA § 7(b)(3)(A) and 50 C.F.R. § 402.02, the FWS proposed an alternative that would, without jeopardizing the continued existence of the toad, allow Rancho Viejo to complete its development by obtaining fill dirt from off-site sources instead of from the proposed borrow area. Joint Stip. ¶ 14; Biological/Conference Opinion at 37.
Rancho Viejo neither removed the fence nor adopted the FWS’s proposed alternative.
The parties filed cross motions for summary judgment. In ruling on those motions, the district court noted that this circuit had only recently sustained, against a Commerce Clause challenge, a determination by the FWS that hospital construction in San Bernardino County, California would likely lead to the take of the Delhi Sands Flower-Loving Fly in violation of the ESA. See National Ass’n of Home Builders v. Babbitt (“NAHB”),
II
We review the district court’s grant of summary judgment de novo, United Seniors Ass’n v. Shalala,
A
In Lopez, the Supreme Court considered whether a provision of the Gun-Free School Zones Act, 18 U.S.C. § 922(q)(l)(A) (1988 ed., Supp. V), which made it a federal offense to possess a firearm near a school, exceeded Congress’ authority under the Commerce Clause.
First, Congress may regulate the use of the channels of interstate commerce. Second, Congress is empowered to regulate and protect the instrumentalities of interstate commerce, or persons or things in interstate commerce, even though the threat may come only from intrastate activities. Finally, Congress’ commerce authority includes the power to regulate those activities having a substantial relation to interstate commerce, i.e., those activities that substantially affect interstate commerce.
Id. at 558-59,
First, the Court said, “the possession of a gun in a school zone ... has nothing to do with ‘commerce’ or any sort of economic enterprise, however broadly one might define those terms.” Lopez,
In NAHB, this circuit applied Lopez in a case challenging the application of the ESA to a construction project in an area that contained the habitat of the Delhi Sands Flower-Loving Fly.
A majority of the NAHB court held that the take provision of ESA § 9, and its application to the facts of that case, constituted a valid exercise of Congress’ commerce power.
Secretary Norton argues, and the district court concluded, that application of the four Lopez factors leads to the same result here as it did in NAHB. We agree.
The first Lopez factor is whether the regulated activity has anything “to do with ‘commerce’ or any sort of economic enterprise, however broadly one might define those terms.” Lopez,
Second, the court must consider whether the statute in question contains an “express jurisdictional element.” Lopez,
The fourth Lopez factor is whether the relationship between the regulated activity and interstate commerce is too attenuated to be regarded as substantial. See Lopez,
This conclusion is not diminished by the fact that the arroyo toad, like the Flower-Loving Fly, does not travel outside of California, or that Rancho Viejo’s development, like the San Bernardino hospital, is located wholly within the state. See NAHB,
Ill
Rancho Viejo does not seriously dispute that NAHB is indistinguishable from this case. Rather, plaintiff argues that, as a result of subsequent Supreme Court decisions in United States v. Morrison,
In Morrison, the Court considered a challenge to a section of the Violence Against Women Act, 42 U.S.C. § 13981, which provided a federal civil remedy for victims of gender-motivated violence. Concluding that the case was “controlled by our decision[ ] in United States v. Lopez,” the Court held that Congress lacked authority to enact the provision under the Commerce Clause. Morrison,
Rancho Viejo’s reliance on SWANCC is even further from the mark. In that case, the Supreme Court held, as a matter of statutory construction, that an abandoned gravel pit that provided habitat for migratory birds did not constitute “navigable waters” within the meaning of the Clean Water Act, 33 U.S.C. § 1344(a), and hence was beyond the regulatory authority of the Army Corps of Engineers.
A
Plaintiffs principal argument is that, although Lopez made clear that the first of its four factors was whether the object of regulation was “economic activity,”
Rancho Viejo contends that Morrison stands for the proposition that whether the regulated activity is economic is not simply a factor in the analysis, but instead is outcome-determinative: that noneconomic activity, whatever its effect on interstate commerce, cannot be regulated under the Commerce Clause.
But how close the Court came to embracing plaintiffs view is irrelevant to the disposition of this appeal, because the ESA regidates takings, not toads.
That regulated activity is Rancho Viejo’s planned commercial development, not the arroyo toad that it threatens. The ESA does not purport to tell toads what they may or may not do. Rather, section 9 limits the taking of listed species, and its prohibitions and corresponding penalties apply to the persons who do the taking, not to the species that are taken. See 16 U.S.C. § 1538(a)(1), (a)(1)(B) (making it “unlawful for any person ... to take any such species”) (emphasis added); id. § 1540 (providing civil and criminal penalties for “[a]ny person who knowingly violates” the ESA). In this case, the prohibited taking is accomplished by commercial construction, and the unlawful taker is Rancho Viejo.
Nothing in the facts of Morrison or Lopez suggests that focusing on plaintiffs construction project is inappropriate or insufficient as a basis for sustaining this application of the ESA. Both of those cases involved the regulation of purely noneconomic activity: the statute in Morrison regulated gender-motivated violence; the one in Lopez regulated gun possession. See, e.g., Morrison,
Here, by contrast, both the “actor,” a real estate company, and its “conduct,” the construction of a housing development, have a plainly commercial character. So too does the “design” of the statute: the ESA seeks in part to regulate “economic growth and development untempered by
B
Rancho Viejo suggests that even if the regulated activity here is the taking of the toads through economic activity, that fact still does not end the matter. Although the ESA may regulate economic activity, plaintiff insists that the statute has a noneconomic purpose: the preservation of biodiversity, and, in this case, the preservation of toads that Rancho Viejo maintains are without commercial value. Asserting that to survive Commerce Clause scrutiny a statute must be aimed at economic activity and not simply regulate it for some other purpose, Rancho Viejo concludes that the ESA (at least as applied to its project) must fall. This argument suffers from a number of serious defects.
First, the ESA, like many statutes, has multiple purposes. Whether or not economic considerations were the primary motivation for the Act, there is no question that the commercial value of preserving species diversity played an important role in Congress’ deliberations. As Judge Wald described in NAHB, “[t]he Committee Reports on the ESA reveal that one of the primary reasons that Congress sought to protect endangered species from ‘takings’ was the importance of the continuing availability of a wide variety of species to interstate commerce.”
Thus, to use a “noneconomic purpose” test to overturn a multi-purpose statute like the ESA, we would have to do so on the ground that economic concerns were not the Act’s “true” or “primary” motivation. Such an enterprise is fraught with both difficulty and danger, see Michael M. v. Super. Ct.,
Moreover, the Supreme Court has long held that Congress may act under the Commerce Clause to achieve noneconomic ends through the regulation of commercial activity. The first case in this line is Champion v. Ames, in which the Court upheld the constitutionality of a statute prohibiting the interstate transportation of lottery tickets, notwithstanding that Congress passed the statute “for the protection of public morals.”
The Supreme Court briefly departed from this line in Hammer v. Dagenhart, enjoining, on Commerce Clause grounds, the enforcement of a 1916 federal statute excluding the products of child labor from interstate commerce.
Since then, the Supreme Court has never held an exercise of Congress’ commerce power unconstitutional on the ground that the legislature had a noneconomic purpose. Perhaps the most important of the subsequent cases is Heart of Atlanta Motel, Inc. v. United States,
The position urged by Rancho Viejo puts the constitutionality of many of the above-described statutes at risk. And they are hardly the only ones. Congress’ primary object in passing product safety legislation, for example, was not to improve the productivity of industry but rather to protect the well-being of the public.
It is true that Congress has tied the application of many of these statutes to jurisdictional hooks. But there are many other criminal statutes that are not so tied. See, e.g., 21 U.S.C. § 841(a) & (b)(l)(A)(iv) (making it unlawful to possess with intent to distribute 100 grams of PCP). Moreover, as we have noted above, a jurisdictional element is not critical to a statute’s constitutionality as long as there is other evidence that interstate commerce is substantially affected. See supra Part II.B. Rancho Viejo offers no reason to regard a noneconomic purpose as acceptable if tied to a jurisdictional hook, but unacceptable if effectuated — as it is here — through the direct regulation of commercial activity.
There is nothing in Morrison or Lopez to put the Champion/Hoke/Darby/Heart of Atlanta line of precedent in doubt. Indeed, both decisions repeatedly cite Darby and Heart of Atlanta. See, e.g., Morrison,
Rancho Viejo next argues that even if the taking regulated in this case is commercial in character, the ESA bans other takings that are not. Because the ESA’s prohibition on takings applies as much to a hiker’s “casual walk in the woods” as to the commercial activities of a real estate company, Rancho Viejo contends that the statute cannot constitutionally be applied to its taking of arroyo toads. Appellant’s Reply Br. at 5. Plaintiffs “overbreadth” argument is unavailing.
In Lopez, the Supreme Court noted that “where a general regulatory statute bears a substantial relation to commerce, the de minimis character of individual instances arising under that statute is of no consequence.”
But we need not decide that question here because there is a more basic answer to Rancho Viejo’s hiker hypothetical: it is not this case. Plaintiff characterizes its complaint as “fundamentally ... an as-applied challenge to the constitutionality of the Defendants’ regulation of the ‘taking’ of Arroyo toads under the ESA.” Complaint ¶ 2. And as we have already discussed, the particular application before us involves the regulation of Rancho Viejo’s commercial real estate development, which falls well within the powers granted Congress under the Commerce Clause.
At oral argument, Rancho Viejo asserted that it has a different kind of “as-applied” challenge in mind. Plaintiffs objection, it said, is not confined to the application of the ESA to its development project, but “to the listing of this particular endangered species,” the arroyo toad. Oral Arg. Tr. at 5. In effect, plaintiff explained, “[w]e are facially challenging the listing of the arroyo toad.” Id. at 20. But this curious characterization is simply the plaintiff’s attempt to have its cake and eat it too. The company would like us to consider its challenge to the ESA only as applied to the arroyo toad, which it says has no “known commercial value” — unlike, for example, Mark Twain’s celebrated jumping frogs of Calaveras County. Appellant’s Reply Br. at 9; see Appellant’s Br. at 20-21. Yet it would also like us to regard that narrow challenge as a facial one, unconstrained by the fact that plaintiff is a commercial developer.
This artificially constructed “facial” challenge must fail. As the Supreme Court held in United States v. Salerno, to mount a successful facial challenge, “the challenger must establish that no set of circumstances exists under which the Act would be valid. The fact that the ... Act might operate unconstitutionally under some conceivable
Before leaving this point, we further note that the constitutional circumstances we rely on here — takings by commercial developers — are neither an unintended nor an insignificant portion of the activities regulated by the ESA. In that statute, “Congress expressly found that ‘economic growth and development untempered by adequate concern and conservation’ was the cause for ‘various species of fish, wildlife, and plants in the United States hav[ing] been rendered extinct.’ ” NAHB,
D
Finally, Rancho Viejo draws our attention to Morrison’s declaration that “[t]he Constitution requires a distinction between what is truly national and what is truly local.”
In making these points, we can do little to improve upon the Fourth Circuit’s opinion in Gibbs, which upheld, as a valid exercise of federal power under the Commerce Clause, an FWS regulation that limited the taking of red wolves.
The Fourth Circuit also recognized the national scope of the problem posed by species conservation. Citing the ESA’s legislative history, the court noted Congress’ concern that “ ‘protection of endangered species is not a matter that can be handled in the absence of coherent national and international policies: the results of a series of unconnected and disorganized policies and programs by various states might well be confusion compounded.’ ” Gibbs,
For these reasons, the protection of endangered species cannot fairly be described as a power “which the Founders denied the National Government and reposed in the States.” Morrison,
IV
“Due respect for the decisions of a coordinate branch of Government demands that we invalidate a congressional enactment only upon a plain showing that Congress has exceeded its constitutional bounds.” Morrison,
Affirmed.
Notes
. In the district court, the government contended that the case was not ripe for review. The court rejected that contention, and we agree that plaintiff has satisfied the requirements of ripeness. See Ohio Forestry Ass’n, Inc. v. Sierra Club,
. In focusing on the second NAHB rationale, we do not mean to discredit the first. Nor do we mean to discredit rationales that other circuits have relied upon in upholding endangered species legislation. We simply have no need to consider those other rationales to dispose of the case before us. See, e.g., Gibbs v. Babbitt,
. Nor did Morrison, discussed below, make an express jurisdictional element necessary. See
. See, e.g., Norton v. Ashcroft,
.There is ESA legislative history that supports the other primary rationale relied upon in NAHB — the effect of the loss of biodiversity on interstate commerce. See NAHB,
. See, e.g., Gibbs,
. Application of the ESA to habitat degradation has a further impact on interstate commerce by removing the incentives for states “to adopt lower standards of endangered species protection in order to attract development/’ thereby preventing a destructive “race to the bottom.” NAHB,
. The cases cited by the Court include: Hodel v. Virginia Surface Mining & Reclamation Ass'n,
. For example, in McClung, cited with approval in Lopez,
. But see Terry v. Reno,
. See Oral Arg. Tr. at 5 (acknowledgment by . plaintiff’s counsel that “the regulated activity here [is] the taking of an Arroyo Toad”).
. In United States v. Ho, the Fifth Circuit applied a similar analysis in affirming, against a Commerce Clause challenge, the conviction of a contractor who violated asbestos work practice standards promulgated under the Clean Air Act.
. In City of Columbia, Justice Scalia noted that the Court has probed governmental motivation "only in the ‘very limited and well-defined class of cases where the very nature of the constitutional question requires [this] inquiry.' ”
. See, e.g., Consumer Product Safety Act, 15 U.S.C. § 2051(b)(1) (declaring that the first purpose of the Act is "to protect the public against unreasonable risks of injury associated with consumer products''); National Traffic and Motor Vehicle Safety Act of 1966, 49 U.S.C. § 30101 (stating that "the purpose of this chapter is to reduce traffic accidents and deaths and injuries resulting from traffic accidents”).
. See, e.g., Hodel v. Indiana,
.See, e.g., Homeland Security Act of 2002, Pub.L. No. 107-296, § 1123, 116 Stat. 2135, 2283-85 (amending 18 U.S.C. § 842(i), which had prohibited certain categories of persons from receiving or possessing any explosive that has been shipped "in interstate commerce,” by inserting "or affecting” before "interstate”); 18 U.S.C. § 2332a (making it unlawful to use a weapon of mass destruction against any person within the United States where the results of such use "affect interstate ... commerce”); id. § 844(o) (barring the transfer of explosive materials with knowledge that they will be used to commit a crime of violence); id. § 922(g) (making it unlawful for a convicted felon to possess a firearm "in or affecting commerce”).
. See, e.g., 18 U.S.C. § 844(d) (selling penalties for receiving an explosive in interstate commerce with intent to kill or injure, where injury or death results to any person, including a public safety officer).
. See, e.g., 18 U.S.C. § 2252A (criminalizing the transportation of child pornography in interstate commerce); see also United States v. Kallestad,
. Similarly, it is also true that the cases in the Champion/Hoke/Darby/Heart of Atlanta line can be described as falling within the first Lopez category — the regulation of the use of the channels of interstate commerce. See Morrison,
. It may also be that application of the ESA to hikers or toad hunters can be sustained on the other rationale relied on in NAHB, "that the loss of biodiversity itself has a substantial effect on our ecosystem and likewise on interstate commerce.”
. See S.D. Myers, Inc. v. City & County of San Francisco,
. Cf. California Coastal Comm'n v. Granite Rock Co.,
. See Hodel v. Virginia Surface Mining,
Concurrence Opinion
concurring:
Although I do not disagree with anything in the opinion of the court, I write separately because I do not believe our opinion makes clear, as the Supreme Court requires, that there is a logical stopping point to our rationale for upholding the constitutionality of the exercise of the Congress’s power under the Commerce Clause here challenged. See Lopez,
In this case I think it clear that our rationale for concluding the take of the arroyo toad affects interstate commerce does indeed have a logical stopping point, though it goes unremarked in the opinion of the court. Our rationale is that, with respect to a species that is not an article in interstate commerce and does not affect interstate commerce, a take can be regulated if - but only if - the take itself substantially affects interstate commerce. The large-scale residential development that is the take in this case clearly does affect interstate commerce. Just as important, however, the lone hiker in the woods, or the homeowner who moves dirt in order to landscape his property, though he takes the toad, does not affect interstate commerce.
Without this limitation, the Government could regulate as a take any kind of activity, regardless whether that activity had any connection with interstate commerce. With this understanding of the rationale of the case, I concur in the opinion of the court.
