Sierra Club v. JacksonSierra Club v. Jackson
MEMORANDUM OPINION
Plaintiffs Sierra Club and Valley Watch, Inc., proceeding under the citizen suit provision of the Clean Air Act (“CAA”),
BACKGROUND
I. STATUTORY REGIME
In furtherance of the CAA’s twin goals “to [1] protect and [2] enhance the quality of the Nation’s air resources,”
Each state’s SIP outlines a permit program to oversee the “modification, construction, and operation of any stationary source” of air pollution.
Section 167 of the CAA charges the EPA Administrator with preventing the installation of major air pollution sources in attainment areas if she finds that the proposed facility would be constructed or operated inconsistently with PSD requirements.
The Administrator shall, and a State may, take such measures, including issuance of an order, or seeking injunctive relief, as necessary to prevent the construction or modification of a major emitting facility which does not conform to the requirements of this part, or which is proposed to be constructed in any area designated pursuant to section 7407(d) of this title as attainment or unclassifiable and which is not subject to an implementation plan which meets the requirements of this part.
II. THE INSTANT ACTION
This action focuses on the EPA’s duties under § 167 with respect to the proposed construction of three facilities in Kentucky: East Kentucky Power Cooperative’s proposed J.K. Smith Generating Station coal-fired CFB Boiler Project (“Smith”), Conoco Phillips and Peabody’s proposed Kentucky NewGas Synthetic Natural Gas Production plant (“NewGas”), and Cash Creek Generation LLC’s proposed coal-fired Cash Creek Generating Station (“Cash Creek”). (Compl. ¶ 1.) Both parties agree that each proposed facility, if built, would represent a major emitting facility. (Id.; Def.’s Mot. to Dismiss [“Defs Mot.”] at 1.) In addition, all three facilities are in counties currently designated as attainment areas. (Compl. ¶ 1; Def.’s Mot. at 1.)
Because the proposed installations are major emitting facilities in attainment areas, they are subject to the EPA’s enforcement authority under § 167 if they do not comply with CAA requirements. Plaintiffs “do not believe that [Smith, NewGas, and Cash Creek’s] operating and construction permits conform with the requirements of the CAA,” and therefore, they argue that the facilities trigger § 167’s provision for enforcement. (Compl. ¶ 9.) However, as plaintiffs complain, the agency is not acting to prevent the construction of these facilities. (Id.)
Reading § 167 as imposing a nondiscretionary duty on the EPA, plaintiffs have sued the EPA Administrator pursuant to the citizen suit provision of the CAA, which allows civil actions for “failure of the Administrator to perform any act or duty under [CAA] which is not discretionary.”
ANALYSIS
I. GOVERNING PRINCIPLES OF LAW
The Administrative Procedure Act (“APA”) provides a strong presumption fa
In
Chaney,
prison inmates who had been sentenced to death petitioned the Food and Drug Administration (“FDA”), alleging that the use of certain drugs for lethal injection violated the Food, Drug and Cosmetic Act (“FDCA”).
Id.
at 823-25,
[A]n agency decision not to enforce often involves a complicated balancing of a number of factors which are peculiarly within its expertise. Thus, the agency must not only assess whether a violation has occurred, but whether agency resources are best spent on this violation or another, whether the agency is likely to succeed if it acts, whether the particular enforcement action requested best fits the agency’s overall policies, and indeed, whether the agency has enough resources to undertake the action at all. An agency generally cannot act against each technical violation of the statute it is charged with enforcing. The agency is far better equipped than the courts to deal with the many variables involved in the proper ordering of its priorities.
Id.
at 831,
Applying this test to the FDCA, the
Chaney
Court found no “law to apply,” for there were no “meaningful standards for defining the limits of ... [agency enforcement] discretion.”
Id.
at 834,
To rebut
Chaney’s
presumption and find a nondiseretionary enforcement duty, a court must locate within the statute “guidelines for the agency to follow” and “guidelines for informed judicial review.”
Chaney,
II. SECTION 167 CONFERS DISCRETIONARY ENFORCEMENT AUTHORITY
In light of Chaney’s presumption that statutory enforcement provisions are discretionary, plaintiffs focus on three factors to rebut that presumption so as to allow court review of the Administrator’s non-enforcement decision. These factors, each of which must exist in order to find reviewability, are (1) a date-certain deadline by which the agency must act, (2) the existence of a meaningful standard according to which courts can evaluate whether the EPA has satisfied its putative duty, and (3) that any conditions precedent set out in § 167 have been meet. Because § 167 does not expressly confer discretion or a duty upon the EPA, 1 the Court must consider each of these three factors as prerequisite to finding judicial reviewability.
As discussed below, while it is arguable that § 167 does provide a date certain, it does not create a meaningful standard for the evaluation of agency decisions. Therefore, the Section does not include “guidelines for informed judicial review.”
Chaney,
A. The statute includes a date certain
Defendant argues that § 167’s lack of an express deadline for agency action gives the EPA discretion over when to use the powers conferred by the Section. Plaintiff responds that the Section provides a readily-ascertainable deadline that meets the date-certain requirement. Although the Court finds plaintiffs interpretation of the Section to be persuasive,
2
it need not de
B. The statute lacks a meaningful standard for the Court to apply
Finding a nondiscretionary duty requires a standard by which courts can assess when an agency has satisfied that duty. Defendant argues that no such standard exists in § 167, and therefore, any enforcement duty under § 167 is discretionary in nature. The Court agrees.
For a court to review an agency’s decision to use or not use a statutory grant of enforcement authority, the statute must guide the court in determining when the agency has fulfilled its duty. “Enforcement actions are generally within
[Chaney’s
] exclusion, because ‘a court would have no meaningful standard against which to judge the agency’s exercise of discretion.’ ”
Ass’n of Irritated Residents,
In contrast, the Supreme Court’s opinion in
Chaney
provides an “example of statutory language which supplied sufficient standards to rebut the presumption of unreviewability,”
Unlike the LMRDA, the PSD enforcement provision in § 167 does not set out a standard by which courts can judge the agency action, and thus, it does not call upon courts to require action in the first place. Enforcement that involves the broad command “as necessary” is simply “beyond the judicial capacity to supervise.”
Chaney,
The only arguable standard for judicial review that is found in § 167 is a construction of the clause “as necessary to prevent
Applying a more reasonable, ex ante definition of what action is “necessary” leaves the determination of the duty’s boundaries squarely within the agency’s discretion. The agency, after all, is in the best position to decide, ex ante, the level of enforcement necessary to prevent construction or modification in violation of the PSD program. In other words:
[T]he language of the statute itself provides that [the agency defendant] must only take such action as is deemed ‘necessary’ .... As a determination of what is ‘necessary’ in any given situation is an inherently varied and speculative inquiry, which may vary from any one person to another, the Court must find that this statute is, indeed, discretionary in nature.
Sanchez v. United States,
No. 09-CV-1260,
The facts of this case highlight why a meaningful standard for judicial review is necessary. Even if the Court were to find that the EPA has a nondiscretionary duty and has not acted upon it, the crux of plaintiffs’ prayer for relief would still be out of reach, because the Court has insufficient statutory guidance with respect to what action or class of actions to order the Administrator to take. To be sure, § 167 offers two examples of measures the Administrator
might
find necessary to prevent construction or modification: agency orders and judicial injunctions.
See
Without a meaningful standard to apply, informed judicial review cannot be effected, and since § 167 lacks such a standard, the Court lacks subject matter jurisdiction.
C. The statute’s condition precedent has not been satisfied
Finally, defendant argues that § 167 is discretionary because it includes a condition precedent of an administrative finding. Plaintiff disputes the presence of a condition precedent by noting that the statute does not explicitly premise enforcement authority on an administrative finding. However, invocation of enforcement authority can require an antecedent determination on the part of the agency even if the statute does not use particular language to establish the condition precedent. Contrary to plaintiffs’ argument, the Court is of the view that § 167 does include such a condition precedent, and the EPA has not made the administrative finding necessary to vest in the Administrator either the discretion or the duty to take enforcement action.
Statutory grants of enforcement authority commonly condition enforcement on a prior finding, and courts recognize those conditions precedent as a prerequisite to an agency’s exercise of its authority. For example, in
Her Majesty the Queen v. EPA
In § 167, that condition requires an agency finding of nonconformity with the CAA. Whether the EPA’s enforcement role under § 167 is discretionary or obligatory, the Section limits agency action to major emitting facilities that (1) do not comply with CAA requirements or (2) would operate both in an attainment area and without a CAA-compliant SIP regulating it.
Plaintiffs argue that certain language must appear in a statute in order for the law to require an administrative finding as a condition precedent. They contrast § 167 with other CAA sections that include the phrase “ ‘whenever the Administrator determines ... ’ or similar language,” and they suggest that such language “is the sole reason” that other CAA sections confer discretion on the EPA. (Pl.’s Opp’n at 11.) To support this proposition plaintiffs cite
N.Y. Pub. Interest Research Group v. Whitman,
In this case, the EPA has not made the requisite findings to trigger its § 167 enforcement authority. Although the EPA challenged the conformity of Cash Creek’s permit and Kentucky’s SIP in respective agency actions, 4 the permit and the SIP have been amended more recently in response to the EPA’s objections, and the EPA has approved the amendments. 5 Without any other agency findings as to noncompliance of the three proposed facilities or Kentucky’s SIP, there is no evidence that the condition precedent has been satisfied. Therefore, even if it could be that § 167 imposes a mandatory enforcement duty after the argued condition is satisfied (which it cannot), the EPA still retains discretion over whether to invoke the Section through its capacity to make the requisite administrative determinations.
CONCLUSION
For the reasons discussed above, this Court will grant defendant’s motion to dis
Notes
. The statute's use of the word "shall'' does not, on its own, rebut
Chaney’s
presumption against reviewability of agency enforcement decisions.
See, e.g., Chaney,
. While a date-certain deadline is necessary to find a nondiscretionary duty,
Siena Club v. Thomas,
. Analogously, a condition precedent of an administrative finding is required in some situations before an agency action can be considered final for jurisdictional purposes.
See, e.g., Reliable Automatic Sprinkler Co., Inc. v. Consumer Prod. Safety Comm’n,
. The EPA's initial objection to Cash Creek’s permit and to Kentucky's SIP reflect its good faith effort to enforce the PSD program and prevent both the construction of nonconforming facilities in attainment areas and the issuance of nonconforming SIP's. See also In the Matter of Aspen Power, LLC, Order (Mar. 4, 2009) (using agency’s § 167 enforcement authority to order discontinuation of facility construction). For tire EPA’s objections to Cash Creek’s original permit, see In the Matter of Cash Creek Generation, LLC, Order Responding to Issues Raised & Denying in Part & Granting in Part Reqs. for Objection to Permit (Dec. 15, 2009), available at http:// www.epa.gov/Region7/air/title5/petitiondb/ petitions/cashcreek_response2008.pdf. For background on the EPA’s initial rejection of Kentucky’s SIP and the more recent approval of an amended SIP, see generally Approval and Promulgation of New Implementation Plans: Commonwealth of Kentucky, 75 Fed. Reg. 16,390 (Apr. 1, 2010) (to be codified at 40 C.F.R. pt. 52).
. For the final Cash Creek permit, as amended in response to the EPA’s original objections, see Permit No. V-09-006, Permit Statement of Basis (Final) (May 3, 2010), available at http://www.air.ky.gov/NR/rdonlyres/92CF 438A-8FBA-488D-8139-438F7B3EC212/0/ V09006Basis_5310.pdf.