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United States Steel Corp. v. Wyoming Environment Quality Council
575 P.2d 749
Wyo.
1978
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*1 CORPORA STATES STEEL UNITED below),

TION, (Petitioner ENVIRONMENTAL

WYOMING

QUALITY COUNCIL, Appellee below).

(Respondent

No. 4792. Wyoming.

Supreme Court

March Lee,

James B. Robert Bingham A. Schroeder, Stephen Parsons, K. Behle & Latimer, City, Lake Salt and John A. Mac- Pherson, Golden, Rawlins, of MacPherson & appellant. Mendicino, Gen., Atty. Marilyn V. Frank Kite, Gen., Atty. S. Senior Asst. and Steve Freudenthal, Gen., F. Atty. Cheyenne, ‍​‌​​​​‌‌‌‌​‌​‌‌‌​​‌‌‌​‌​​​‌‌‌‌‌‌‌‌​‌​​‌​‌​‌​‌​​​‍Asst. appellee. GUTHRIE, J., Before C. and McCLIN- TOCK, RAPER, ROSE, THOMAS and JJ. ROSE, Justice. appeal attempted concerns an

amendment or thе Wyoming En- vironmental Council’s turbid- standard,1 ity appellant- denial of waters, Wy- I II 1. Section Water Standards for “In all Class wastes of origin oming, provides: than natural shall not cause the *2 750 request for a variance SUBJECT-MATTER JURISDICTION States Steel’s

United 1,1975, May appel- standard. On from this begin with the principle We petition the before lant filed right judicial review of administrative standard, and turbidity the amend entirely statutory, decisions is and that or Public notice for a variance. application agency ders of an administrative are not appellant’s peti- held on hearing to be of a City reviewable unless made so statute. 30, 1975, the July On given.2 tion Commission, Milwaukee v. Public Service thereto, appellant was held. Prior hearing 111, 167, 104 N.W.2d 11 Wis.2d 4 hearing would not be Davis, Treatise, was informed Administrative Law 28.- §§ and, 18, case as a as a contested 28.19. As stated in Klein v. Fair Em conducted Commission, ployment Practices 31 Ill. result, hearing appellant was denied at 473, 370, App.3d 334 N.E.2d 374: right cross-examine ‍​‌​​​​‌‌‌‌​‌​‌‌‌​​‌‌‌​‌​​​‌‌‌‌‌‌‌‌​‌​​‌​‌​‌​‌​​​‍witnesses or sub- briefs, witnesses were not sworn. mit “Each statute must be carefully exam legislature’s issued a resolution ined to discover the Subsequently, the intent to judicial restrict review of petition application administrative denying appellant’s (Heikkila (1953), action. v. Barber 345 petition filed a for a variance. 229, 603, 972.) U.S. 73 S.Ct. 97 L.Ed. this decision. The district for review of While it is often said that barring consti petition for lack of sub- court dismissed tutional impediments legislature can respect to the ject-matter jurisdiction judicial preclude (See Mount St. review standard, summary and entered turbidity Mary’s Hosp. (1970), v. Catherwood 26 E.Q.C. with re- in favor of the judgment 493, 511, 518-519, N.Y.2d 311 N.Y.S.2d a variance. We will to its denial of spect (Fuld, J., 260 N.E.2d 508 C. Concur disposition. this affirm ring)), such intent must specifi be made following questions are now before The manifest, cally persuasive reason for rеsolution: this court must legisla exist to believe such was the juris- the district court had 1. Whether (Abbott tive purpose. Laboratories v. appel- to review the denial of diction (1967), Gardner 387 87 U.S. S.Ct. petition. lant’s 1507, 18 681.) Only upon L.Ed.2d a show ing of clear convincing its own evidence of 2. Whether followed contrary legislative intent should the procedure denying pe- in rules оf courts restrict access to review. tition. (1962), Rusk v. Cort 369 U.S. 82 S.Ct. W.S.1957, 35-502.45(o), 3. Whether ” 787, 7 L.Ed.2d 809. Cum.Supp., prohibiting water variances, constitutionally is applicable The statute is found in Wyoming infirm. Administrative Procedure practical increased turbidity there are no the water means available natural Turbidity turbidity. Jackson than ten abatement or control of more hearing being “This hеld Units.” 9-276.24, Wyoming Wyoming Statutes provided: public notice Administrative Procedure Act. desiring presentation “Those to make a at PUBLIC HEARING "NOTICE OF public hearing requested apply are Wyoming “The Environmental writing for the desired amount of time. All July hearing will conduct a on Council requests and advance statements should be p. at 1:30 m. in the basement auditori- addressed to: Building West um оf the State Office Sundin, Robert E. Director Cheyenne to hear a from the U.S. Wyoming Quality Dept. Environmental Corporation Wyoming to amend the Steel Bldg. State Office West turbidity standards. The U.S. Wy Cheyenne, discharge permit Steel water for the Atlantic “Impromptu statements from the floor will City operation near Lander contains iron ore recognized Council turbidity limitation based on the state testimony accepted date. Written will be quality standards. U.S. Steel contends period hearing.” after unnecessary limited formal standard is W.S.1957, W.S.1957, Act, 9-276.32(a), 1975 Cum. 1975 Cum.Supp., which provides pertinent part: provides pertinent part: Supp., “(a) Subject requirement Notice; to the “(a) to an —Prior be exhausted remedies administrаtive agency’s adoption, amendment, or repeal any statutory the absence of and in of all . . rules the agency shall: provision precluding or lim- *3 common-law “(1) Give at 20 days least notice of its review, judicial any person aggriev- iting intended action. ...” [Emphasis affected in fact a final adversely ed or supplied] case, in agency an a contested decision of The public gave notice herein no indica- inaction, action or or agency E.Q.C.’s tion of the “intended action” —it affected in fact a rule any person merely stated there was to be a hearing to judi- to adopted by agency, an is entitled appellant’s petition consider pursuаnt to [Emphasis sup- . . . .” cial review 9-276.24, supra. appears, then, It that § plied] E.Q.C. the was merely seeking information dealing petition we are with a to Since on which base decision to or deny rule, we repeal amend or an administrative appellant’s petition. petition ‍​‌​​​​‌‌‌‌​‌​‌‌‌​​‌‌‌​‌​​​‌‌‌‌‌‌‌‌​‌​​‌​‌​‌​‌​​​‍If the had 9-276.24, W.S.1957, 1975 refer must § been granted, only then —and then —rule- Cum.Supp., providеs: which making proceedings would be pur- initiated “Any person may petition an interested 9-276.21, supra. suant to The denial of § requesting promulgation, agency appellant’s petition, after such informa- rule repeal amendment or not, therefore, hearing tional subject was may accompany petition his with relevant judicial excеpt as hereinafter not- review — data, arguments. agency Each views and correctly ed—and district court dis- may prescribe by rule the form of such appellant’s appeal missed for lack of sub- procedure for their petition and the [its] ject-matter jurisdiction. submission, disposition. consideration and Upon petition, submission of such a

agency practicable as soon as either shall REVIEW OF PROCEDURES deny petition writing (stating in its it is Appellant contends entitled to denials) for the or initiate rule- reasons judicial regularity review as to the with making proceedings accordance used, procedures regardless applica 9-276.21], section 3 The action of [§ 9-276.24, Appellant bility supra. com denying petition shall be final agency E.Q.C.’s plains specifically of the failure to [Emphasis review.” and not conduct the in this case as it would supplied] case, trial-type in a contested with all the Appellant apparently that if the concedes rights hearing. associated with such a E.Q.C. simply petition denied its it would court indicated Bоard of Trustees not be entitled to review under this District of School No. 3 v. District Bound- however, Appellant, statute. contends Board, 413, 417, ary Wyo., 489 P.2d E.Q.C. simply deny petition; did not “ precise . . statu- regardless of rather, E.Q.C. rule-making initiated tory open authority, courts must remain which are proceedings reviewable. To bol- adminis- power with inherent to review argumеnt, appellant points ster its to the alleged to be trative action when it is says public purpose notice authority arbitrary.” without was “to hear a from the Corporation Wyo- Steel to amend the U.S. 9-276.24, supra, Pursuant to § ming Quality turbidity standards.” proce- given authority promulgate was disposition petitions recognize What fails to is that dures for agеncy. No rule-making proceedings, to initiate amend or rules of the order 9-276.21, at the specific procedures must be existed time there such petition was filed.3 Neverthe- CONSTITUTIONALITY the instant OF less, general procedure had VARIANCE STATUTE which it was bound follow. Cole- separately requested a City Gary, 220 Ind. man N.E.2d from the variance 107; and Davidson v. Review Board of standards, 35-502.45, pursuant to § W.S. Division, Employment Security the Indiana Cum.Supp. The variance appli 311 N.E.2d Ind.App. (1) was premised cation beliefs that 3, Rules of Practice and Proce- Section apparent there was no harm from appel Department Quali- of Environmental dure — ty lant’s discharges; practical there was no (hereinafter Rules), prоvided that all means available to control an increase in hearings before “shall be held turbidity; (3) the permit, N.P.D.E.S. issued 3(e) to these rules.” provided the Rules a hearing when Agency, the Environmental Protection it requested “shall be conducted as a con- adequate protection contained in the form *4 case.” 27 of the pro- tested Section Rules of total suspended solids effluent limita operation vided for exclusions from the of tion; necessary and the variance was rules, other as follows: E.Q.C. hardship. avoid economic The de “Nothing in these Rules shall be con- application ground nied the prohibiting strued as the Environmental water-quality prohibited by variances were Quality Council and the Administrators 35-502.45(o), provides: supra, which § Land, of the Divisions Air of or Water “nothing in this section shall be con- designee holding or their from permit application strued to an for a proceedings, hearings, informational or application water variance. The for conferences the purpose aiding for of Council or the Administrator in permits solely ascertain- must be made under ing determining necessary and facts for provisions of W.S. 35-502.19.” performance respective and [sic] Initially, permits it is noted that all under Any person believing duties. ag- himself Wyoming Environmental Quality Act rieved a determination made [sic] variances, exception allow of the Administrator or dеsignee his of the Comment, water-quality permits. “Wyo- following Council as informational [sic] 1973,” ming Environmental Act of proceeding, hearing, or conference and L.Rev., XII, Wyo. Land & Water Vol. No. thereto, who is may otherwise entitled upon filing (1974). The basic reason for complaint, or obtain merits, a full or review upon the required bring distinction is that it is which matter shаll be de heard and tried regu- Act into with the federal [Emphasis novo.” supplied] lations, only provide which for “schedules of As previously, merely noted held compliance” variances. 40 C.F.R. —not informational allowed (1976). —as 124.44 The purported flexibility § 27—in Section order to determine whether procedure, then, of a variance provided аs denied, appellant’s petition should be an inherent part permit system of the as rule-making only initiated. The not 35-502.19, W.S.1957, outlined in procedures, did not violate its own it ex- Cum.Supp.: opportunity tended an “(a) administrator, after consulta- present appel- its view in a form to which board, advisory tion with the shall recom- lant was entitled. There is not othеrwise rules, mend to the director regulations, therefore, nothing, appear that would standards permit systems promote arbitrary procedure adopted about the here- in. of this act purposes 35-502.1 to [§§ adopted then-existing pro- 3. It is tracts from the fact noted that the has since procedures remedy apparent providеd informational-type new set of cedures ings. hear- confusion sub- caused the instant case. This sequent adoption procedures way de- no ‍​‌​​​​‌‌‌‌​‌​‌‌‌​​‌‌‌​‌​​​‌‌‌‌‌‌‌‌​‌​​‌​‌​‌​‌​​​‍“(E) rules, environment; regulations, upon stan- The effect Such 35-502.56]. prescribe: systems shall permit “(vii) dards Such time may reasonable as specifying necessary operators standards for owners and “(i) rules, рollution sources to long-term short-term maximum regulations, permits.” standards or minimum pollution, concentrations of dissolved concentrations permissible Appellant challenges the constitutionality matter, permis- other oxygen and 35-502.45(o), supra, grounds: on three waters of the of the temperatures sible a prohibition 1. That of water varianсes state; violates Article of the limitations “(ii) Effluent standards Constitution, in Wyoming that it is an or con- amounts the maximum specifying exercise of absolute and arbitrary and wastes pollution centrations power; into the waters discharged may be 2. That the prohibition denies due proc- state; by denying ess a fair opportunity to per- issuance of “(iii) fоr the Standards challenge applicable water-quality installation, construction, modifi- mits for standards; and public water operation cation prohibition 3. That the equal pro- denies treatment sewerage system, supply and tection of the laws discriminating facility, works, system or disposal between water and other pollutant contributing pol- causing or capable of dischargers. lution; The first and arguments second relate to the definition “(iv) Standards *5 appellant’s ability challenge to the water- the certifica- competency and technical We quality question. standards find that public for operating personnel of tion appellant adequate opрortunities had to sewerage systems, supply water and challenge original promulgation of the disposal systems works and treatment turbidity standard under the statutes —it operation determining that and for avail itself of those merely oppor- failed to of certified supervision under the shall be Appellant opportunity had the tunities. to personnel; participate promulgation process in the per- of the issuance “(v) Standards W.S.1957, 9-276.21(a)(2), (§ 1975 Cum. to section as authorized mits proce- there Shpp.), and to assure that Pollution 402(b) of the Federal (§ 9-276.21(c), W.S.1957, compliance dural it and as Act as amended Control Cum.Supp.). Appellant oppor- had amended; may be hereafter review, tunity to obtain if it was standards, “(vi) recommending In by adopted. in fact the rule affected Sec- the admin- rules, regulations, permits, 9-276.32(a), It had the supra. opportu- tion shall consider advisory and board istrator nity to seek the amendment or of the bearing circumstances all the facts and 9-276.24, supra. Given these rule. Section pollution upon the rеasonableness present various means which to including: involved views, appellant’s rights we fail to see how degree inju- “(A) The character and process due have been in- procedural to health and ry to or interference fringed. animals, wild- people, being well argues that it has been affected; life, life aquatic plant life and variances equal protection denied because value of “(B) The social and economic dischargers. pollutant are available other pollution;

the source of that there must be some differ It is true in the “(C) priority of location basis a reasonable ence which furnishes involved; area as to the different lеgislation different County “(D) and Miller v. Board of practicability The technical classes. Commissioners, reducing Wyo. 337 P.2d economic reasonableness 269; Gray, Wyo., and Bell v. 377 P.2d eliminating pollution; the source of and justified true, however, adequately it is law is its failure that also It is it has been meet its burden to that it has been burden show show appellant’s treatment, resulting treatment, disparate disparate subjected subjected and protection. Johnson equal rule that is a rational in a denial of water 818-819; Schrader, Wyo., special legisla- 507 P.2d a permitting classification Commissioners, County per- v. Board treatment. I convinced that a Miller tive am be more at 271. There must 337 P.2d supra, given compli- son оr firm the benefit of what assertion of nothing than a bald more ance schedule which does making its ar- discriminatory. In is comply thinks than additional time to with a it ignores the fact gument, appellant position far is in a different than a standard which will compliance can schedule seek granted or firm a variance. For person give time additional procedural are to example, specific steps 35-502.- standard. being when a is followed variance con- essentially is 19(a)(vii), supra. result for renewal. Once additional sidered grant of as is obtained the same compliance granted time under a schedule is duration limited in variance —which incorporat- are expired rights hаs no similar 35-502.45(e) to renewal. Sections person that a in the statute. It follows ed W.S.1957, Al- (f), Cum.Supp. to seek a given right who is different, is though the form treatment schedule, granted, is not essen- in the re- appreciable no difference we see position person same as a who tially the ' Even if the sult which can be obtained. granted a variance. For and is me seeks we find disparate, were somewhat results is an incorrect state- quoted language to distin- there are rational reasons it the law. I ment of Since find guish pollutant between this case I unnecessary to result in am including: nature dischargers, the different protest the inclusion of compelled to resources; the difference of the natural agree I not state that do proposition, dischargers within pollutant the number with it. class; and the in the extent each difference vari- damage which can from the result discharges. ous

Affirmed.

THOMAS, Justice, concurring, specially RAPER, Justice, joins. whom with HENRIKSEN, Jr., Otto Chester in the case and I concur result ‍​‌​​​​‌‌‌‌​‌​‌‌‌​​‌‌‌​‌​​​‌‌‌‌‌‌‌‌​‌​​‌​‌​‌​‌​​​‍in this (Defendant below), substantially majority opin- all agree proposition ion. I cannot with the majority the last paragraph

stated in Wyoming, Appellee The STATE as follows: (Plaintiff below). “ * * * making argument, ap- In No. 4772. ignores the it can seek a pellant fact that give Supreme addi- Wyoming. schedule which will Court of time to tional March 85~502.19(a)(vii), su- standard. as

pra. essentially This result is the same by the of a variance—

is obtained which is duration and limited (f), 35-502.45(e) and to renewal. Sections ” * * * W.S.1957, 1975 Cum.Supp. holding has

For me the equal under the protection

not been denied

Case Details

Case Name: United States Steel Corp. v. Wyoming Environment Quality Council
Court Name: Wyoming Supreme Court
Date Published: Mar 2, 1978
Citation: 575 P.2d 749
Docket Number: 4792
Court Abbreviation: Wyo.
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