Posted by Jonathan Adler:
Did Bush EPA's Loss Strike Down Clinton EPA Rule?
http://volokh.com/archives/archive_2008_12_14-2008_12_20.shtml#1229809898


   An interesting aspect of [1]Sierra Club v. EPA, the Clean Air Act case
   I [2]noted yesterday, is that the underlying regulation at issue was
   adopted under the Clinton Administration. The Bush Administration made
   some modifications of its own, largely affecting reporting and
   enforcement of the rule, but the underlying "SSM" exemption (for
   startups, shutdowns, and malfunctions) was created in 1994. Here's an
   excerpt from the [3]Washington Post story on the decision:

     The agency created the exemption in 1994, and Bush administration
     officials broadened the interpretation of the provision over time.
     This made it subject to judicial review, and a coalition of
     advocacy groups including the Environmental Integrity Project, the
     Sierra Club, the Louisiana Environmental Action Network, the
     Coalition for a Safe Environment and Friends of Hudson challenged
     the provision's legality in court.

     "What they did is take a bad provision and turn it into an almost
     complete barrier to enforcement," said Earthjustice attorney Jim
     Pew, who argued the case on behalf of the coalition. "This was an
     attempt to make all of the air-toxics laws unenforceable, and they
     almost got away with it."

   The SSM exemption's history created an interesting wrinkle in the
   case. It was clearly too late for environmentalist groups to challenge
   the rule directly, so they hitched on to the Bush Administration's
   more recent interpretations to secure judicial review. Even so, it's
   not so clear the court had jurisdiction to review the underlying rule
   in this case. This was a key point in Senior Circuit Judge Randolph's
   dissent:

     According to Sierra Club, EPA�s rulemakings in 2002, 2003, and 2006
     rendered enforcement of the 1994 startup, shutdown, and malfunction
     regulations more difficult. Even if true, that could hardly have
     amounted to agency �action� re-promulgating the 1994 regulations,
     which is what § 7607(b)(1) requires as a prerequisite for judicial
     review. After all, Sierra Club�s complaint is not that the 1994
     regulations are now hard to enforce; it is instead that the 1994
     regulations are invalid and always have been. The recent rules did
     not alter the exemption for startup, shutdown, and malfunction
     events. The new rules simply modified requirements for each
     source�s plan regarding implementation of the duty to minimize
     pollution during the exempt periods.

   Thus, Randolph concluded, the Sierra Club could only challenge the
   Bush Administration revisions, and not the underlying exemption. Based
   on my initial reads, I think Judge Randolph is right. So, while I am
   inclined to think the Sierra Club was correct on the merits, and that
   the SSM exemption contravenes the Clean Air Act, I doubt the D.C.
   Circuit had jurisdiction to consider and overturn the underlying rule.

References

   1. http://pacer.cadc.uscourts.gov/common/opinions/200812/02-1135-1154946.pdf
   2. http://volokh.com/archives/archive_2008_12_14-2008_12_20.shtml#1229704473
   3. 
http://www.washingtonpost.com/wp-dyn/content/article/2008/12/19/AR2008121903124.html?hpid=sec-nation

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