Opposition Brief — HollyFrontier Cheyenne Refining, LLC, et al., Petitioners v. Renewable Fuels Association, et al.
Supreme Court briefDec 8, 2020
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No. 20-472
In the Supreme Court of the United States
HOLLYFRONTIER CHEYENNE REFINING, LLC, ET AL.,
PETITIONERS
v.
RENEWABLE FUELS ASSOCIATION, ET AL.
ON PETITION FOR A WRIT OF CERTIORARI
TO THE UNITED STATES COURT OF APPEALS
FOR THE TENTH CIRCUIT
BRIEF FOR THE FEDERAL RESPONDENT IN OPPOSITION
JEFFREY B. WALL
Acting Solicitor General
Counsel of Record
JONATHAN D. BRIGHTBILL
Principal Deputy Assistant
Attorney General
SAMARA M. SPENCE
PATRICK JACOBI
Attorneys
Department of Justice
Washington, D.C. 20530-0001
SupremeCtBriefs@usdoj.gov
(202) 514-2217
QUESTION PRESENTED
When Congress created the renewable fuel standard
program in the Clean Air Act, 42 U.S.C. 7545(o), it initially exempted small refineries from the obligations
that the program otherwise imposes on refiners and importers of gasoline and diesel fuel. Subparagraph (A)
of the relevant provision established a blanket exemption for small refineries until 2011, subject to a possible
extension “of not less than 2 additional years” based on
the results of a study to be conducted by the Department of Energy. 42 U.S.C. 7545(o)(9)(A)(i) and (ii).
Subparagraph (B) authorized small refineries to petition the U.S. Environmental Protection Agency (EPA)
“at any time * * * for an extension of the exemption
under subparagraph (A) for the reason of disproportionate economic hardship.” 42 U.S.C. 7545(o)(9)(B)(i).
The question presented is as follows:
Whether the EPA may grant a small refinery’s petition for an “extension of the exemption” under Section
7545(o)(9)(B)(i) if the small refinery has not previously
applied for and received continuous prior extensions of
the initial exemption provided in Section 7545(o)(9)(A).
(I)
TABLE OF CONTENTS
Page
Opinion below ................................................................................ 1
Jurisdiction .................................................................................... 1
Statement ...................................................................................... 1
Argument....................................................................................... 8
Conclusion ................................................................................... 14
TABLE OF AUTHORITIES
Cases:
Field v. Mans, 157 F.3d 35 (1st Cir. 1998) .......................... 11
National Envtl. Dev. Ass’n’s Clean Air Project v.
EPA, 891 F.3d 1041 (D.C. Cir. 2018) ................................ 12
Padilla v. Hanft, 547 U.S. 1062 (2006) ................................ 13
United States v. Mendoza, 464 U.S. 154 (1984).................. 13
Constitution, statutes, regulations, and rule:
U.S. Const. Art. III ................................................................. 6
Clean Air Act, 42 U.S.C. 7401 et seq. ..................................... 1
42 U.S.C. 7545 .................................................................... 6
42 U.S.C. 7545(o) ............................................................... 2
42 U.S.C. 7545(o)(1)(J) ...................................................... 2
42 U.S.C. 7545(o)(1)(K) ..................................................... 3
42 U.S.C. 7545(o)(2)(A)(i).................................................. 2
42 U.S.C. 7545(o)(2)(B)(i) ................................................. 2
42 U.S.C. 7545(o)(2)(B)(ii) ................................................ 2
42 U.S.C. 7545(o)(3)(A) ..................................................... 2
42 U.S.C. 7545(o)(3)(B) ..................................................... 3
42 U.S.C. 7545(o)(3)(B)(i) ................................................. 2
42 U.S.C. 7545(o)(5) ........................................................... 3
42 U.S.C. 7545(o)(5)(A)(i).................................................. 3
42 U.S.C. 7545(o)(5)(B) ..................................................... 3
(III)
IV
Statutes, regulations, and rule—Continued:
Page
42 U.S.C. 7545(o)(7)(A) ..................................................... 2
42 U.S.C. 7545(o)(7)(D)(i) ................................................. 2
42 U.S.C. 7545(o)(9)(A) ......................................... 4, 6, 8, 9
42 U.S.C. 7545(o)(9)(A)(i).............................................. 3, 9
42 U.S.C. 7545(o)(9)(A)(ii)(I) ............................................ 3
42 U.S.C. 7545(o)(9)(A)(ii)(II) ...................................... 3, 9
42 U.S.C. 7545(o)(9)(B) ................................................. 4, 5
42 U.S.C. 7545(o)(9)(B)(i) ...................................... passim
42 U.S.C. 7545(o)(9)(B)(ii) ................................................ 4
42 U.S.C. 7545(o)(9)(B)(iii) ............................................... 4
42 U.S.C. 7607(b)(1) .......................................................... 6
Energy Policy Act of 2005, Pub. L. No. 109-58,
Tit. XV, Subtit. A, 119 Stat. 1067:
§ 1501(a)(2), 119 Stat. 1067-1074 ...................................... 2
§ 1501(a)(2), 119 Stat. 1073 ............................................... 3
40 C.F.R.:
Section 80.1401 .................................................................. 3
Section 80.1405(c) .............................................................. 2
Section 80.1406(a)(1) ......................................................... 3
Section 80.1407 .................................................................. 3
Section 80.1426(a) .............................................................. 3
Section 80.1426(e) .............................................................. 3
Section 80.1427(a) .............................................................. 3
Section 80.1441(e)(2) ......................................................... 4
Sup. Ct. R. 10 ........................................................................... 8
Miscellaneous:
77 Fed. Reg. 1320 (Jan. 9, 2012) ............................................. 4
U.S. Environmental Protection Agency,
RFS Small Refinery Exemptions
(updated Nov. 19, 2020), https://go.usa.gov/x7MVZ ......... 4
In the Supreme Court of the United States
No. 20-472
HOLLYFRONTIER CHEYENNE REFINING, LLC, ET AL.,
PETITIONERS
v.
RENEWABLE FUELS ASSOCIATION, ET AL.
ON PETITION FOR A WRIT OF CERTIORARI
TO THE UNITED STATES COURT OF APPEALS
FOR THE TENTH CIRCUIT
BRIEF FOR THE FEDERAL RESPONDENT IN OPPOSITION
OPINION BELOW
The opinion of the court of appeals (Pet. App. 1a-94a)
is reported at 948 F.3d 1206.
JURISDICTION
The judgment of the court of appeals was entered on
January 24, 2020. A petition for rehearing was denied
on April 7, 2020 (Pet. App. 95a-96a). The petition for a
writ of certiorari was filed on September 4, 2020. The
jurisdiction of this Court is invoked under 28 U.S.C.
1254(1).
STATEMENT
1. a. In 2005, Congress amended the Clean Air Act,
42 U.S.C. 7401 et seq., to create a market-based renewable fuel standard program designed “to ensure that
gasoline sold or introduced into commerce in the United
States included rising amounts of renewable fuel” in the
(1)
2
ensuing years. Pet. App. 6a; see Energy Policy Act of
2005 (Energy Policy Act), Pub. L. No. 109-58, Tit. XV,
Subtit. A., § 1501(a)(2), 119 Stat. 1067-1074 (42 U.S.C.
7545(o)). Renewable fuel is fuel made from renewable
biomass, such as corn, which is “used to replace or reduce the quantity of fossil fuel present in a transportation fuel.” 42 U.S.C. 7545(o)(1)(J). The program is administered by the U.S. Environmental Protection
Agency (EPA). 42 U.S.C. 7545(o)(2)(A)(i).
The renewable fuel standard program establishes annual targets for the volume of various types of renewable
fuels to be sold as transportation fuel in the United
States. 42 U.S.C. 7545(o)(2)(A)(i) and (B)(i). As amended,
the Clean Air Act specifies the “applicable volume” targets for each year from 2006 to 2022, with future targets
to be set by the EPA. 42 U.S.C. 7545(o)(2)(B)(i) and (ii).
The Act also authorizes the EPA to lower the annual targets in certain circumstances by granting waivers.
42 U.S.C. 7545(o)(7)(A) and (D)(i). Subject to any adjustments under those waiver authorities, the EPA uses
the annual volume targets and an estimate from the Department of Energy (DOE) of the total volume of transportation fuel expected to be sold in the following calendar year, 42 U.S.C. 7545(o)(3)(A), to generate a “renewable fuel obligation” for the calendar year, expressed as
a volume percentage for each type of renewable fuel,
42 U.S.C. 7545(o)(3)(B)(i); see 40 C.F.R. 80.1405(c). The
EPA is required to publish the applicable volume percentages in the Federal Register each year by November 30. 42 U.S.C. 7545(o)(3)(B)(i).
The annual volume percentages established by the
EPA are used to impose obligations on individual refiners and importers of gasoline and diesel fuel, based on
the amount of non-renewable fuel each party produces
3
or imports. 42 U.S.C. 7545(o)(3)(B); see 40 C.F.R.
80.1406(a)(1), 80.1407. Refiners and importers may
comply with their obligations by blending renewable
fuels into transportation fuels, or by purchasing credits
from other parties in a market-based system. Pet. App.
15a-16a; 42 U.S.C. 7545(o)(5). The credit system works
by assigning a “Renewable Identification Number” or
“RIN” to each batch of renewable fuel that is produced
or imported. 42 U.S.C. 7545(o)(5)(A)(i); see 40 C.F.R.
80.1401, 80.1426(a) and (e). Refiners and importers
meet their annual obligations by amassing or purchasing RINs. 42 U.S.C. 7545(o)(5)(B); 40 C.F.R. 80.1427(a).
b. This case concerns the exemptions available under the renewable fuel standard program for any “small
refinery,” defined as a refinery “for which the average
aggregate daily crude oil throughput for a calendar
year * * * does not exceed 75,000 barrels.” 42 U.S.C.
7545(o)(1)(K). When Congress created the program in
2006, it granted small refineries a blanket exemption
until 2011 from the program’s renewable fuel obligations. 42 U.S.C. 7545(o)(9)(A)(i); see Energy Policy Act
§ 1501(a)(2), 119 Stat. 1073. Congress also directed
DOE to study whether requiring small refineries to
comply with the annual standards “would impose a
disproportionate economic hardship.”
42 U.S.C.
7545(o)(9)(A)(ii)(I). Congress further directed the EPA
to “extend the exemption under clause (i),” i.e., the initial blanket exemption, for “not less than 2 additional
years” for any small refinery, if the DOE study determined that the refinery “would be subject to a disproportionate economic hardship if required to comply.”
42 U.S.C. 7545(o)(9)(A)(ii)(II).
“The DOE issued a small refinery study in 2009.”
Pet. App. 21a. After legislators criticized aspects of the
4
study, DOE “issued a revised small refinery study in
2011.” Id. at 22a. The 2011 study identified 13 small
refineries that DOE concluded would suffer a disproportionate economic hardship if they were required to
comply with the annual renewable fuel obligations, and
the study recommended that those refineries “receive
an extension of their * * * exemption.” Administrative
Record 529. The EPA extended the exemption for those
small refineries for 2011 and 2012. 77 Fed. Reg. 1320,
1340 (Jan. 9, 2012). 1
The Clean Air Act also authorizes the EPA to grant
case-by-case additional relief for small refineries, based
on disproportionate economic hardship. Specifically,
“[a] small refinery may at any time petition [the EPA]
for an extension of the exemption under subparagraph
(A) for the reason of disproportionate economic hardship.” 42 U.S.C. 7545(o)(9)(B)(i). Subparagraph (A) is
the provision that created the initial blanket exemption
until 2011 and that authorized the additional two-year
extension conditioned on the DOE study. The EPA
must, in consultation with DOE, consider the DOE
study “and other economic factors” in evaluating a small
refinery’s petition, and it must act on the petition within
90 days. 42 U.S.C. 7545(o)(9)(B)(ii) and (iii); see
40 C.F.R. 80.1441(e)(2).
2. Petitioners are the owners and operators of three
small refineries, each of which submitted a Section
7545(o)(9)(B) petition for hardship relief to the EPA.
Pet. App. 28a; see Pet. 8. Two of the refineries—
HollyFrontier Cheyenne Refining (Cheyenne) and
The EPA also granted additional case-by-case exemptions for
those years, exempting a total of 24 small refineries in 2011 and 23
in 2012. See Pet. App. 22a; EPA, RFS Small Refinery Exemptions
(updated Nov. 19, 2020), https://go.usa.gov/x7MVZ.
1
5
Wynnewood Refining (Wynnewood)—had been identified in the 2011 DOE study as small refineries that
would have been subject to disproportionate economic
hardship had they been required to comply with the renewable fuel obligations imposed under the program.
Pet. App. 29a, 34a. Accordingly, those small refineries
had been covered by both the initial blanket exemption
and the subsequent two-year extension that the EPA
had granted after the DOE study. Wynnewood had not
received any further “hardship relief ” since 2012, id. at
34a (citation omitted), and Cheyenne had not received
relief in some years since 2012, see id. at 29a-30a. The
third refinery—HollyFrontier Woods Cross Refining
(Woods Cross)—was not identified in the DOE study
and had not previously received any hardship relief under Section 7545(o)(9)(B). Id. at 32a.
The EPA granted each of the extension petitions in
full, exempting Cheyenne and Woods Cross from the
program’s renewable fuel obligations for 2016 and exempting Wynnewood from the obligations for 2017 (as
the petitions had requested). Pet. App. 31a, 33a, 35a.
In granting the petitions, the EPA stated that small refineries generally had not been found to experience disproportionate economic hardship merely because they
“may need to purchase a significant percentage of
[their] RINs for compliance from other parties,” because rising “RIN prices lead to higher sales prices obtained for the refineries’ blendstock, resulting in no net
cost of compliance.” Id. at 31a (citation omitted). The
EPA also stated that “disproportionate economic hardship may be the result of other factors, including a difficult year for the industry as a whole.” Ibid. (citation
omitted).
6
3. The Clean Air Act authorizes courts of appeals to
review final actions taken by the EPA under Section
7545. See 42 U.S.C. 7607(b)(1). In May 2018, a group
of renewable fuels producers—referred to as the Biofuels Coalition in the proceedings below, see Pet. App.
3a—petitioned the Tenth Circuit for review of the
EPA’s decisions granting hardship relief to petitioners.
See C.A. Pet. for Review 1-2 (May 29, 2018). Petitioners
intervened to defend the decisions. Pet. App. 3a.
The court of appeals granted in part and denied in
part the petition for review. Pet. App. 1a-94a. After
determining that the Biofuels Coalition had Article III
standing to sue on behalf of its members (some of whom
are petitioners’ competitors), id. at 36a-54a, the court
held that the EPA lacked statutory authority to grant
hardship relief to petitioners under the circumstances
presented here, id. at 65a-75a. The provision at issue
states that a small refinery may petition for “an extension of the exemption under subparagraph (A).”
42 U.S.C. 7545(o)(9)(B)(i). Emphasizing dictionary definitions of the word “extension” as “ ‘an increase,’ ” Pet.
App. 66a (citation omitted), the court held that the EPA
could not extend or increase a small refinery’s exemption unless the exemption was “in existence,” id. at 67a.
Although Subparagraph (A) had created a blanket
exemption for all small refineries until 2011, the court
of appeals further held that a particular small refinery
must continue to have an exemption in place at the time
of its extension petition in order to be eligible for
“an extension of the exemption under subparagraph
(A).” 42 U.S.C. 7545(o)(9)(B)(i). In the court’s view, “a
small refinery which did not seek or receive an extension in prior years is ineligible for an extension, because
at that point there is nothing to prolong, enlarge, or add
7
to.” Pet. App. 67a. The court also described Section
7545(o)(9)(B)(i) as “funnel[ing] small refineries toward
compliance over time,” id. at 68a, and it stated that its
interpretation of the statute was consistent with the
EPA’s practice in 2016, see id. at 71a-72a.
Petitioners and the EPA had emphasized that, under
the statute, a small refinery may petition “at any time”
for a hardship-based extension of the exemption.
42 U.S.C. 7545(o)(9)(B)(i). While acknowledging that
the term “any” is “expansive,” the court of appeals reasoned that, “even if a small refinery can submit a hardship petition at any time, it does not follow that every
single petition can be granted.” Pet. App. 72a. The
court also stated that the phrase “at any time” ensures
that a small refinery may petition for an extension even
after the EPA’s November 30 deadline for publishing
renewable fuel obligations for the following calendar
year, id. at 73a—a feature of the exemption process that
the court described as “confer[ring] a substantial benefit upon small refineries,” id. at 74a.
The court of appeals rejected the Biofuels Coalition’s
other challenges to the EPA’s actions, with two exceptions. Pet. App. 4a-5a. First, the court held that the
EPA had erred to the extent that it had permitted the
small refineries to demonstrate a “disproportionate
economic hardship * * * as a result of something other
than * * * compliance” with the program, such as
industry-wide conditions. Id. at 82a. The court interpreted Section 7545(o)(9)(B)(i) to require that any hardship must be “caused by” compliance with the renewable fuel standard program in order to provide a basis for
an exemption. Id. at 83a.
Second, the court of appeals held that the EPA had
acted arbitrarily and capriciously by deviating, without
8
acknowledgment or a stated reason, from its prior position that refiners generally do not incur disproportionate economic hardship from purchasing RINs on the
open market because the refiners “pass through most
or all of their RIN purchase costs” to their customers.
Pet. App. 89a; see id. at 87a-92a. The court observed
that the EPA “did not analyze the possibility of RIN
cost recoupment when it granted” petitioners’ requests
for hardship relief, and that the agency “did not explain
whether, or to what extent, or why the pass-through
principle was inapplicable.” Id. at 89a-90a. After vacating the EPA’s actions, the court remanded to the
agency for further proceedings. Id. at 94a.
The court of appeals later denied petitioners’ request
for rehearing en banc, without any noted dissent. Pet.
App. 95a-96a.
ARGUMENT
Petitioners seek review (Pet. 11-12) of the court of
appeals’ holding that the EPA exceeded its authority
under 42 U.S.C. 7545(o)(9)(B)(i) by granting hardship
relief to small refineries that had not continuously
been granted prior extensions of the exemption that all
small refineries received when Congress first created
the renewable fuel standard program. See 42 U.S.C.
7545(o)(9)(A). The question whether the EPA’s exemption authority extends to these circumstances (as the
government argued below) does not warrant further review at this time.
The decision below does not meet this Court’s ordinary criteria for granting certiorari. See Sup. Ct. R. 10.
The decision does not conflict with any decision of this
Court or another court of appeals. Indeed, the question
presented was one of first impression in the court of appeals and has never previously been addressed by any
9
other court. Accordingly, the risk that small refineries
in the Tenth Circuit will be at a competitive disadvantage (see Pet. 32) versus small refineries elsewhere in
the country is indeterminate at this time. The question
presented in the petition is currently before the D.C.
Circuit in other pending litigation, and this Court will
be better positioned to assess whether the issue warrants its review after that case is decided. This case
would also be an unsuitable vehicle in which to address
the question presented because the court of appeals vacated the EPA’s actions and remanded to the agency on
several other grounds that petitioners do not challenge.
Accordingly, the petition for a writ of certiorari should
be denied.
1. As explained above, when Congress created the
renewable fuel standard program, it took steps to protect small refineries from experiencing any disproportionate economic hardship as a result of compliance with
the program. Subsection (A) of Section 7545(o)(9) provided all small refineries with a blanket exemption from
the program’s renewable fuel obligations “until calendar year 2011.” 42 U.S.C. 7545(o)(9)(A)(i). Congress
also directed the EPA to extend that initial exemption
for “not less than 2 additional years” for any small refinery that DOE determined “would be subject to a disproportionate economic hardship if required to comply”
with the renewable fuel obligations the program would
otherwise impose. 42 U.S.C. 7545(o)(9)(A)(ii)(II). And
in Subparagraph (B), Congress provided that “[a] small
refinery may at any time petition the [EPA] for an extension of the exemption under subparagraph (A) for
the reason of disproportionate economic hardship.”
42 U.S.C. 7545(o)(9)(B)(i).
10
The court of appeals held that Section 7545(o)(9)(B)(i)
does not authorize the EPA to grant a small refinery’s
petition for hardship relief unless the refinery has “consistently received an exemption in the years preceding
its petition.” Pet. App. 5a. Under the court’s construction, unless a small refinery has received a continuous,
unbroken chain of extensions of the original Subparagraph (A) exemption, the refinery is “ineligible” for
hardship relief under Section 7545(o)(9)(B)(i) because
the refinery’s prior exemption is no longer “in existence” and therefore cannot be “exten[ded]” any further.
Id. at 67a.
Petitioners contend (Pet. 17-26) that the decision below is inconsistent with sound principles of statutory interpretation, as articulated by this Court and by other
courts of appeals, and with congressional intent. But
petitioners do not identify any square conflict between
the decision below and any decision of this Court or another court of appeals. Indeed, petitioners do not identify, and the government is not aware of, any other decision in which a court of appeals has addressed whether
the EPA may grant hardship relief under Section
7545(o)(9)(B)(i) to a small refinery after the refinery has
ceased to operate under an exemption in prior calendar
years.
While the government’s arguments did not prevail
below, the Tenth Circuit’s decision does not violate any
“core principle[] of statutory interpretation” (Pet. 21) so
as to warrant the Court’s intervention at this time. The
court of appeals addressed the question presented by
focusing first on the statutory text and, in particular, on
the ordinary meaning of the word “extension,” as evidenced by dictionary definitions. Pet. App. 65a-67a.
The court also considered what it perceived to be the
11
purpose of the exemption-extension provision—to “funnel[] small refineries toward compliance over time,” id.
at 68a—and the provision’s role in the overall statutory
scheme, see id. at 69a-70a. And the court considered
and rejected counterarguments predicated on the fact
that the statute authorizes small refineries to petition
for an extension of the exemption “at any time.”
42 U.S.C. 7545(o)(9)(B)(i); see Pet. App. 72a-74a. The
court thus did not “ignore[] subsection (B)” (Pet. 23) or
any of its relevant terms.
Petitioners are correct that the word “extend” can
mean “to make available,” Pet. 19 (citation omitted), as
in extending a job offer or extending credit. Petitioners
are also correct (Pet. 14) that other courts of appeals
have recognized that alternative connotation of “extend” or “extension” in construing other statutes. See,
e.g., Field v. Mans, 157 F.3d 35, 43 (1st Cir. 1998) (stating, in the context of the Bankruptcy Code, that the
term “extension” can “refer to an offer ‘to make available’ ”) (citation omitted). But no other court of appeals
has yet addressed the meaning of the term “extension”
as used specifically in Section 7545(o)(9)(B)(i).
2. The question presented is currently pending before the D.C. Circuit in Renewable Fuels Association v.
EPA, No. 19-1220 (filed Oct. 22, 2019) (Renewable
Fuels). In that case, another biofuels coalition, consisting of the same organizations involved here plus others,
filed a petition for review challenging an August 2019
EPA exemption decision. Pet. for Review at 1-2, Renewable Fuels, supra, No. 19-1220. In that nationally
applicable decision, see id. at 2, the EPA addressed requests by 36 small refineries, including petitioners, for
hardship relief under Section 7545(o)(9)(B)(i) for the refineries’ 2018 renewable fuel standard obligations. See
12
Gov’t Mot. To File Consolidated Br. at 2-3, Renewable
Fuels, supra, No. 19-1220 (Nov. 5, 2020).
Among other issues, the challengers in that case argue that the “EPA has no authority to ‘extend’ small refinery exemptions to refineries that were not exempt
for all prior years,” relying heavily on the Tenth Circuit’s decision in this case. Pet. Opening Br. at 22, Renewable Fuels, supra, No. 19-1220 (Dec. 7, 2020) (capitalization altered; emphasis omitted); see id. at 22-29.
That is in substance the same issue that petitioners
raise here. See Pet. i. Under the current briefing
schedule, briefing in the D.C. Circuit will be complete
in March 2021, although a motion for an enlargement of
the schedule is currently pending.
Those pending D.C. Circuit proceedings provide an
additional reason to deny the petition in this case. If the
D.C. Circuit parts ways with the Tenth Circuit on the
question presented, this Court can consider whether
that conflict warrants further review. If the D.C. Circuit agrees with the Tenth Circuit, petitioners’ concerns
(Pet. 32) about competitive disadvantages for small refineries located in the Tenth Circuit will have considerably less force, as the EPA decision under review in the
D.C. Circuit is national in scope. 2 And petitioners—or
at least some of them—could seek further review at that
time, since Cheyenne and Woods Cross have now intervened in the D.C. Circuit proceedings. In either event,
The EPA is also still considering its options for managing smallrefinery exemption requests going forward; a future policy decision
could similarly reduce the possibility of disparate treatment. Cf.
National Envtl. Dev. Ass’n’s Clean Air Project v. EPA, 891 F.3d
1041, 1050 (D.C. Cir. 2018) (“The [Clean Air] Act does not instruct
EPA how to address * * * intercircuit conflicts or how to implement
the [Act’s] ‘fairness’ and ‘uniformity’ provisions.”).
2
13
any further review by this Court would likely benefit
from the additional views of another court of appeals.
See United States v. Mendoza, 464 U.S. 154, 160 (1984)
(noting the “benefit” the Court receives “from permitting several courts of appeals to explore a difficult question before this Court grants certiorari”).
3. The government agrees with petitioners that the
question presented has important implications for the
renewable fuel standard program. This case, however,
would be an unsuitable vehicle for addressing the question because a decision favorable to petitioners would
not change the judgment below. In addition to holding
that the EPA lacked statutory authority to grant the
hardship petitions at issue here, the court of appeals
also vacated and remanded the challenged agency actions on other grounds. Pet. App. 82a-85a, 94a.
In particular, the court held that the EPA had erred
in finding Section 7545(o)(9)(B)(i)’s “disproportionate
economic hardship” standard satisfied based on industrywide conditions, and that the agency had acted arbitrarily and capriciously in failing to explain or acknowledge an apparent change in position with respect to
whether these kinds of small refineries pass on to
others the refineries’ costs of purchasing RINs. See
pp. 7-8, supra. Petitioners do not seek review of those
holdings, and it is not clear that petitioners could otherwise demonstrate disproportionate economic hardship
for the calendar years in question. Where a favorable
resolution of the question presented would confer no
practical benefit on the parties that seek this Court’s
review, “strong prudential considerations disfavor[] the
exercise of the Court’s certiorari power.” Padilla v.
Hanft, 547 U.S. 1062, 1063 (2006) (Kennedy, J., concurring).
14
CONCLUSION
The petition for a writ of certiorari should be denied.
Respectfully submitted.
JEFFREY B. WALL
Acting Solicitor General
JONATHAN D. BRIGHTBILL
Principal Deputy Assistant
Attorney General
SAMARA M. SPENCE
PATRICK JACOBI
Attorneys
DECEMBER 2020
This is a copy of a public record, reproduced as it was published. It is not legal advice, and it may not be the version a court would rely on. Check the official source before you cite it.