Petition for Writ of Certiorari — Missouri, et al., Petitioners v. Joseph R. Biden, Jr., President of the United States, et al.
Supreme Court briefJun 25, 2023
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No. ____
In the
Supreme Court of the United States
STATE OF MISSOURI, ET AL.,
Petitioners,
v.
JOSEPH R. BIDEN, JR., IN HIS OFFICIAL CAPACITY AS
PRESIDENT OF THE UNITED STATES, ET AL.,
Respondents.
On Petition for Writ of Certiorari to the
United States Court of Appeals for the Eighth Circuit
PETITION FOR WRIT OF CERTIORARI
Office of the Missouri
Attorney General
Supreme Court Building
P.O. Box 899
Jefferson City, MO 65102
Office of the Missouri
ANDREW BAILEY
Missouri Attorney General
JEFF P. JOHNSON
Deputy Solicitor General
Counsel of Record
(314) 340-7366
Jeff.Johnson@ago.mo.gov
Counsel for Petitioners
i
QUESTION PRESENTED
On January 21, 2021, President Biden issued
Executive Order 13990 that re-established the
Interagency Working Group on the Social Costs of
Greenhouse Gases and ordered them to issue interim
estimates on the social costs of greenhouse gases.
Executive Order 13990 breaks new ground and
generally requires every agency to use those interim
“social” costs “when monetizing the value of changes
in greenhouse gas emissions resulting from
regulations and other relevant agency actions until
final values are published.” The interim “social costs”
were published in February 2021 without any public
input and skipping notice-and-comment procedures.
Plaintiff States alleged many different harms and
injuries from the interim “social costs” dramatic
increase in the costs from emitting greenhouse gases,
including harms to proprietary, sovereign, and
procedural interests. The Eighth Circuit largely
found it too attenuated to infer that federal agencies
would propose regulations and follow the President’s
command to use the interim social costs, and
dismissed the case.
The question presented is:
1. Whether the Petitioning States’ alleged harms
to their proprietary and sovereign interests (as well as
a completed procedural injury) are sufficient to supply
Article III standing?
ii
PARTIES TO THE PROCEEDING
Petitioners are the States of Missouri, Arkansas,
Indiana, Kansas, Montana, Nebraska, Ohio,
Oklahoma, South Carolina, Tennessee, and Utah.
The individual Respondents are Joseph R. Biden
Jr., Shalanda Young, Jared Bernstein, Arati
Prabhakar, Michael Regan, Jennifer Granholm,
Willie L. Phillips, om Vilsack, Peter Buttigieg, Debra
Haaland, and Tracy Stone-Manning, all in their
official capacities. Respondents also include the
Department of the Interior, the Bureau of Land
Management, the Environmental Protection Agency,
the Department of Energy, the Federal Regulatory
Commission, the Department of Transportation, the
Department of Agriculture, and the Interagency
Working Group on Social Costs of Carbon.
STATEMENT OF RELATED PROCEEDINGS
This case arises from the following proceedings:
State of Missouri, et al. v. Joseph R. Biden,
et al., No. 21-3013 (8th Cir.) (order denying
petition for rehearing and rehearing en
banc, issued January 27, 2023), App. 50a;
State of Missouri, et al. v. Joseph R. Biden,
et al, No. 21-3013 (8th Cir. 2022) (opinion
affirming the order of the district court,
issued October 21, 2022);
State of Missouri, et al. v. Joseph R. Biden,
et al, No. 4:21-cv-287-AGF (E.D. Mo.) (order
granting motion to dismiss entered on
August, 31, 2021); and
iii
State of Missouri, et al. v. Joseph R. Biden,
et al, No. 22A900 (Apr. 14, 2023) (granting
application for extension to file petition for
writ of certiorari).
There are no other proceedings in state or federal
court or this Court directly related to this case within
the meaning of this Court’s Rule 14.1(b)(iii).
iv
TABLE OF CONTENTS
QUESTIONS PRESENTED..................................... i
PARTIES TO THE PROCEEDING ........................ ii
STATEMENT
OF
RELATED
PROCEEDINGS ...................................................... ii
TABLE OF CONTENTS .........................................iv
TABLE OF AUTHORITIES ....................................vi
PETITION FOR WRIT OF CERTIORARI ..............1
JURISDICTION .......................................................1
CONSTITUTIONAL, STATUTORY, AND
REGULATORY PROVISIONS INVOLVED ...........1
STATEMENT OF THE CASE .................................4
A.Executive Order 13990 Creates an Interagency
Working Group to Dictate Binding Values for
the Social Costs of Greenhouse Gases .....................4
B.The Working Group Promulgates Binding Interim
Values for the “Social Costs” of Carbon
Dioxide, Methane, and Nitrous Oxide .....................6
C. ........................................................................... Procedural
History .................................................................... 11
REASONS
FOR
GRANTING
THE
PETITION .............................................................. 19
I. The Eighth Circuit misapplied this Court’s
precedent as Petitioning States have standing
to Challenge EO 13990 and the Interim
Values .............................................................. 19
v
A. The Eighth Circuit erred in failing to
apply Bennett v. Spear ................................19
B. Petitioning States completed procedural
injury is not a procedural right in vacuo under
Summers ...................................................................... 24
C. Under this Court's precedents, the alleged
injuries are not too attenuated ...................... 27
D. The Petitiong States theories of sovereign
standing also implicate this Court's
precedent ....................................................32
E. The district court's ripeness determination
conflicts with this Court's precedent .........36
III. Plaintiff States are likely to succeed on their
claims, and thus, any remand should require
the expedited consideration of the motion for a
preliminary injunction. ................................... 40
CONCLUSION ....................................................... 43
APPENDIX ............................................................. 1a
vi
TABLE OF AUTHORITIES
Page(s)
Cases
Department of Commerce v. New York,
139 S. Ct. 2551 (2019) ......................................... 33
Bennett v. Spear,
520 U.S. 154 (1997) ....................................... 17, 22
Catholic Health Initiatives v. Sebelius,
617 F.3d 490 (D.C. Cir. 2010) ............................. 47
Center for Biological Diversity v. National Hwy.
Traffic Safety Admin.,
538 F.3d 1172 (9th Cir. 2008) ............................. 32
City of Kennett, Missouri v. EPA,
887 F.3d 424 (8th Cir. 2018) ......................... 25, 42
City of Los Angeles v. Barr,
929 F.3d 1163 (9th Cir. 2019) ............................. 30
Hoctor v. U.S. Dep’t of Agric.,
82 F.3d 165 (7th Cir. 1996) ................................. 47
Iowa League of Cities v. EPA,
711 F.3d 844 (8th Cir. 2013) ............. 27, 39, 40, 42
Lujan v. Defenders of Wildlife,
504 U.S. 555 (1992) ....................................... 18, 27
Massachusetts v. EPA,
549 U.S. 497 (2007) ....................................... 28, 37
Meyer v. Bush,
981 F.2d 1288 (D.C. Cir. 1993) ........................... 46
Nat’l Ass’n of Home Builders v. E.P.A.,
667 F.3d 6 (D.C. Cir. 2011) ................................. 28
Ohio Forestry Association, Inc. v. Sierra Club,
523 U.S. 726 (1998) ........................... 39, 41, 42, 43
Printz v. United States,
521 U.S. 898 (1997) ............................................. 37
Soucie v. David,
448 F.2d 1067 (D.C. Cir. 1971) ........................... 45
vii
Summers v. Earth Island Institute,
555 U.S. 488 (2009) ....................................... 22, 28
Susan B. Anthony List v. Driehaus,
573 U.S. 149 (2014) ............................................. 34
Texas v. Biden,
10 F.4th 538 (5th Cir. 2021) ............................... 38
Youngstown Sheet & Tube Co. v. Sawyer,
343 U.S. 579 (1952) ............................................. 19
Statutes
5 U.S.C. § 551(1) ..................................................... 45
5 U.S.C. § 553(b)(A) ................................................ 47
28 U.S.C. §§ 1331, 1346, and 2201(a) ...................... 1
42 U.S.C. § 7410(a)(1) & (a)(2)(H)(i) ...................... 36
Mo. Rev. Stat. § 643.055 ........................................ 36
U.S. CONST. art. I, § 1 ............................................. 36
Regulations
40 C.F.R. § 1501.7(b) .............................................. 36
86 Fed. Reg. 43759 (Aug. 10, 2021) ....................... 20
86 Fed. Reg. 43737 ................................................. 21
Other Authorities
Executive Order 13990... 2, 3, 4, 6, 10, 11, 13, 14, 16
cont. ............ 20, 21, 26, 30, 32, 35, 36, 37, 38, 43, 48
1
PETITION FOR WRIT OF CERTIORARI
OPINIONS BELOW
The district court’s opinion granting
Respondents’ motion to dismiss and denying
Petitioners’ motion for a preliminary
injunction is reported at Missouri v. Biden,
558 F. Supp. 3d 754 (E.D. Mo. Aug. 31, 2021),
and reprinted at 1a of the Appendix.
The Eighth Circuit’s opinion affirming the
district court’s opinion is reported at Missouri
v. Biden, and reported at 52 4th 362 (8th Cir.
2022), and reprinted at 34a of the Appendix.
JURISDICTION
The district court had jurisdiction over the
case pursuant to 28 U.S.C. §§ 1331, 1346,
1361, and 2201(a). The court of appeals
issued its opinion on October 21, 2022, App.
34a, and denied the petition for rehearing and
rehearing en banc on January 27, 2023, App.
50a. The time to file a petition for certiorari
was extended to June 26, 2023. This Court
has jurisdiction under 28 U.S.C. § 1254(1).
CONSTITUTIONAL, STATUTORY, AND
REGULATORY PROVISIONS
INVOLVED
Article I, § 1 of the United States
Constitution provides:
All legislative Powers herein
granted shall be vested in a
Congress of the United States,
which shall consist of a Senate
and House of Representatives.
2
.Article II, § 1 of the United States
Constitution provides:
The executive Power shall be
vested in a President of the
United States of America.
Article III, § 2 of the U.S. Constitution
provides:
The judicial Power shall extend
to all Cases, in Law and Equity,
arising under this Constitution,
the Laws of the United States,
and Treaties made, or which
shall be made, under their
Authority;—to
all
Cases
affecting Ambassadors, other
public Ministers and Consuls;—
to all Cases of admiralty and
maritime
Jurisdiction;—to
Controversies to which the
United States shall be a Party;—
to Controversies between two or
more States;—between a State
and Citizens of another State,—
between Citizens of different
States,—between Citizens of the
same State claiming Lands
under Grants of different States,
and between a State, or the
Citizens thereof, and foreign
States, Citizens or Subjects.
Executive Order 13990, Protecting Public
Health and the Environment and Restoring
Science to Tackle the Climate Crisis, 86 Fed.
3
Reg. 7037 (January 20, 2021), is reproduced
at App. 51a. The Interagency Working Group
on Social Cost of Greenhouse Gases, U.S.
Government, Technical Support Document:
Social Cost of Carbon, Methane, and Nitrous
Oxide, Interim Estimates Under Executive
Order 13990 (Feb. 26, 2021) is reproduced at
App. X.
4
STATEMENT OF THE CASE
A. Executive Order 13990 Creates an
Interagency Working Group to
Dictate Binding Values for the
Social Costs of Greenhouse Gases.
Carbon dioxide (CO2), methane (CH4), and
nitrous oxide (N2O) are common, naturally
occurring gases that are ubiquitous byproducts of agriculture, transportation,
energy production, industrial production, and
many other forms of human economic
activity. See EPA, Overview of Greenhouse
Gases, at https://www.epa.gov/ghgemissions/
overview-greenhouse-gases. These gases are
produced by virtually all agricultural,
industrial,
energy-producing,
and
transportation activities. Id. The authority
to regulate greenhouse gas emissions,
therefore, is the power to regulate entire
foundational sectors of the U.S. economy.
On January 20, 2021, his first day in office,
President Biden issued Executive Order
13990, “Protecting Public Health and the
Environment and Restoring Science To
Tackle the Climate Crisis.” App. 51a, 86 Fed.
Reg. 7037 (“EO 13990” or the “Executive
Order”). Section 5 of the Order, “Accounting
for the Benefits of Reducing Climate
Pollution,” instructed all federal agencies to
“capture the full costs of greenhouse gas
emissions as accurately as possible, including
by taking global damages into account.” App.
59a. The “social cost” of greenhouse gases
(SCC, SCN, and SCM; collectively “SCGG”)
5
are “estimates of the monetized damages
associated with incremental increases in
greenhouse gas emissions.” Id.
The Executive Order created an
“Interagency Working Group” co-chaired by
the “Chair of the Council of Economic
Advisors, Director of OMB, and Director of
the Office of Science and Technology Policy.”
Id.
The Working Group includes seven
cabinet secretaries and five other high-level
executive branch officials. Id. at 59a–60a.
Section 5(b)(ii)(A) of the Executive Order
directed the Working Group to publish
interim social costs for carbon dioxide,
methane, and nitrous oxide that federal
agencies “shall use when monetizing the
value of changes in greenhouse gas emissions
resulting from regulations and other relevant
agency actions until final values are
published.” Id. at 60a (emphasis added).
Section 5(b)(ii)(B) directed the Working
Group to “publish a final SCC, SCN, and SCM
by no later than January 2022,” and Section
5(b)(ii)(C)-(E) provided that the Working
Group shall provide recommendations
regarding the use, updating, and methodology
of those numbers. Id. at 60a–61a. The
Working Group was instructed to consider
such intangible factors as “climate risk,
environmental justice, and intergenerational
equity.” Id.
The Executive Order directed the Working
Group to “solicit public comment; engage with
the public and stakeholders; [and] seek the
6
advice of ethics experts.” App. 61a. It also
directed the Working Group to “ensure that
the SCC, SCN, and SCM reflect the interests
of future generations in avoiding threats
posed by climate change.” Id. The Executive
Order cited no statutory authority to create
the Working Group or to set binding values
for “social costs” that “shall” be used by
regulatory agencies exercising legislative
authority delegated from Congress.
B. The Working Group Promulgates
Binding Interim Values for the
“Social Costs” of Carbon Dioxide,
Methane, and Nitrous Oxide.
On February 26, 2021, the Working Group
promulgated its Interim Estimates for the
social costs of carbon, methane, and nitrous
oxide. App. 67a (“Interim Values” or “2021
TSD”). Although EO 13990 instructed the
Working Group to elicit input from the public
and stakeholders, the Working Group did not
do so before publishing the Interim Values.
See id. The Interim Values were simply
published without any prior notice or
opportunity for public comment. Id.
The Working Group defined the “social
cost of greenhouse gases” or “SCGG” as “the
monetary value of the net harm to society
associated with adding a small amount of that
GHG to the atmosphere in a given year.” App.
69a. The Working Group acknowledged that
the task of assigning “social costs” to
greenhouse gases involves attempting to
predict global “changes in net agricultural
7
productivity, human health effects, property
damage from increased flood risk natural
disasters, disruption of energy systems, risk
of conflict, environmental migration, and the
value of ecosystem services.”
Id.
This
includes “spillover pathways such as
economic and political destabilization and
global migration.” Id. at 71a. In other words,
this task involves attempting to predict such
unknowable contingencies as the likelihood,
frequency, scope, and severity of future
international conflicts and human migrations
for three centuries into the future. Id. The
Working Group also admitted that its
calculations involve attempting to predict
future developments in human technology
and innovation for centuries to come, future
mitigation strategies performed by the
world’s 195 nations, and global atmospheric
concentrations due to greenhouse gas
emissions. See, e.g., Id.
The Working Group conceded that
“[b]enefit-cost analysis of U.S. Federal
regulations have traditionally focused on the
benefits and costs that accrue to individuals
that reside within the country’s national
boundaries.” App. 92a. But the Interim
Values reflect a policy and value judgment to
consider in their calculation the anticipated
global effects of greenhouse gases, not just
their anticipated effects within the United
States. App. 90a, 92a–97a.
Under the Working Group’s approach, one
critical factor in calculating the present dollar
8
value for the “social cost” of a greenhouse gas
is the “discount rate.” Id. at 97a–99a. “In
calculating the SC-GHG, the stream of future
damages to agriculture, human health, and
other market and non-market sectors from an
additional unit of emissions are estimated in
terms
of
reduced
consumption
(or
consumption equivalents). Then that stream
of future damages is discounted to its present
value in the year when the additional unit of
emissions was released.” Id. at 97a. The
lower the discount rate, the higher the “social
cost” of that gas.
The Working Group acknowledged that
“the discount rate has a large influence on the
present value of future damages.” Id. For
example, the Working Group calculated the
social cost of each gas at four different values
using three different discount rates—5%, 3%,
and 2.5%, and a 95% probability distribution
for the 3% rate.
Using these different
discount rates, the “social cost” of carbon
dioxide ranges from $14 per metric ton to
$152 per metric ton, depending on the
discount rate selected. App. 114a. The
Working Group admits that “the range of
discount rates reflects both uncertainty and,
at least in part, different policy or value
judgments.” Id. at 120a (emphasis added).
These include “intergenerational ethical
considerations,” which must “be accounted for
in selecting future discount rates.” App. 72a
According to the Working Group, “the choice
of a discount rate … raises highly contested
and exceedingly difficult questions of science,
9
economics, ethics, and law.”
(emphasis added).
App. 97a–98a
The Interim Values calculate that the
current “social costs” of carbon, methane, and
nitrous oxide, at current rates of emission, are
very significant. Among the range of values
provided, the Interim Values provide the 3%
discount rate as the baseline for agency
calculations, but they also invite federal
agencies to use smaller discount rates that
will increase the calculation of the social cost
of gases, including the 2.5% discount rate.
App. 98a. Under the Interim Values, the
current “social cost” of carbon dioxide in 2020
is $51 per metric ton at the 3% discount rate,
$76 per metric ton at the 2.5% discount rate,
and $152 per metric ton at the upper
probability distribution of the 3% rate. App.
114a. The “social cost of methane” at the 3%
rate in 2020 is $1,500 per metric ton, $2,000
per metric ton at 2.5%, and $3,900 at the
upper distribution of the 3% rate. App, 115a
The “social cost of nitrous oxide” at the 3%
discount rate in 2020 is $18,000 per metric
ton, $27,000 per metric ton at 2.5%, and
$48,000 per metric ton at the upper
probability distribution of 3%. App. 116a. All
of these values increase significantly over
time. App. 114a–116a. The Working Group
emphasizes that, on its view, these values
“likely underestimate” the actual social costs
of those three gases: “It is the IWG’s judgment
that … the range of four interim SCGG
estimates presented in this TSD likely
10
underestimate societal damages from GHG
emissions.” App, 74a (emphasis added).
Using the 3%, 2.5%, and 95-percentile-of3% discount rates, the “social cost” of carbon
in 2020 was $51, $76, and $152 per metric ton,
respectively; the “social cost” of methane was
$1500, $2000, and $3900 per metric ton,
respectively; and the “social cost” of nitrous
oxide was $18,000, $27,000, and $48,000 per
metric ton, respectively. App. 114a–116a. In
2019, the United States emitted 5.274 billion
metric tons of carbon dioxide, 26.4 million
metric tons of methane, and 1.54 million
metric tons of nitrous oxide. EPA, Draft
Inventory of U.S. Greenhouse Gas Emissions
and Sinks: 1990-2019 2-6 tbl.2-2 (Feb. 12,
2021).
Thus, assuming similar rates of
emission between 2019 and 2020, according to
the Working Group, the total “social cost” of
emissions of all three gases in 2020 at the 3%
discount rate was over $336 billion; the total
“social cost” at the 2.5% discount rate was
over $495 billion; and the total “social cost” at
the 95th-percentile distribution was over
$978 billion. Id.
These enormous “social costs” will lead to
comparable increases in regulatory burdens.
Even before EO 13990 made the use of SCGG
analysis mandatory, there had been “at least
eighty-three separate regulatory or planning
proceedings conducted by six different federal
agencies [that] ha[d] used the SCC or SCM in
their analyses” through mid-2016. Howard &
Schwartz, Think Global: International
11
Reciprocity as Justification for a Global
Social Cost of Carbon, 42:S Colum. J. of Envt’l
Law 203, 219–20 & appx. A (2017); see also D.
Ct. Doc. 6-3. Through mid-2016, the “social
cost” of carbon dioxide and methane had been
used in federal agency actions related to
vending machines, light trucks, dishwashers,
dehumidifiers, microwave ovens, kitchen
stoves, clothes washers, small electric motors,
residential water heaters, ozone standards,
residential refrigerators and freezers, sewage
guidelines, medium and heavy-duty vehicles,
mercury emissions, industrial boilers, solid
waste incineration units, fluorescent lamps,
residential clothes dryers, room air
conditioners, residential furnaces, residential
central air conditioners, battery chargers,
dishwashers, petroleum refineries, halide
lamps, walk-in coolers and freezers,
commercial refrigeration units, commercial
clothes washers, commercial ice makers, and
heat pumps. Id.
C. Procedural History.
On March 8, 2021, Plaintiffs-Appellants
the States of Missouri, Arizona,1 Arkansas,
Indiana, Kansas, Montana, Nebraska, Ohio,
Oklahoma, South Carolina, Tennessee, and
Utah (“Plaintiffs” or “the States”) filed suit in
the Eastern District of Missouri, challenging
EO 13990 and the Working Group’s Interim
1
Arizona has determined not to appeal the
Eighth Circuit’s ruling or join this petition for
certiorari.
12
Values. App. 1a. The lawsuit named as
defendants both the members of the Working
Group and federal agencies that “shall” use
the Interim Values, including EPA, DOE,
FERC, DOT, USDA, DOI, and BLM. State of
Missouri, et al. v. Joseph R. Biden, et al, No.
4:21-cv-287-AGF, at Doc. 6 (E.D. Mo. 2021)
(D. Ct. Doc.). Plaintiffs filed their First
Amended Complaint (adding Alaska as a
Plaintiff) on March 26. Id. (“Complaint”).
The Complaint included nine pages and
forty-two paragraphs of allegations regarding
injury to the States, based on eight separate
theories. Id. at 29–38. These included: (1)
violation of the principles of federalism that
are specifically designed to preserve the
independent role of the States, id. at 29; (2)
injury to the States’ sovereign interests from
the preemption of state laws and regulations
in traditional areas of state authority, id. at
29–31; (3) direct injury to the States’
sovereignty by dictating how they must
administer cooperative-federalism programs,
id. at 31–34; (4) injury to the States’
proprietary interests as purchasers of goods
and services whose costs will increase from
the Interim Values, id. at 34–35; (5) injury to
the States’ quasi-sovereign interests from the
“enormous regulatory costs on the economies
and citizens of the States” to be imposed by
the Interim Values, id. at 36–37; (6) injury to
the States’ sovereign and proprietary
interests in future tax revenues, id. at 37; and
(8) denial of the opportunity to participate in
notice-and-comment when the Working
13
Group formulated the Interim Values, id. at
37–38.
Plaintiffs alleged that EO 13990 and the
Working Group’s actions were unlawful on
four grounds. First, the Complaint alleged
that the President and the Working Group
violated the separation of powers by
exercising quintessential legislative authority
without any delegation from Congress. D. Ct.
Doc. 6, at 38 Second, the Complaint alleged
that the President and the Working Group
violated agency statutes that delegated
authority to the various agencies, not to the
President or the Working Group, to adopt
substantive rules in their areas of authority.
Id. at 38–39. Third, the Complaint alleged
that the Working Group violated the
Administrative Procedure Act (APA) by
issuing the Interim Values without notice and
comment.
Id. at 39–40.
Fourth, the
Complaint alleged that the Interim Values
were both contrary to law and substantively
arbitrary and capricious under the APA. Id.
at 40–41.
On May 3, Plaintiffs filed a motion for
preliminary injunction on Counts One and
Three of the Complaint. D. Ct. Doc. 18. The
Government filed a motion to dismiss on June
4, challenging Plaintiffs’ standing to sue and
ripeness. D. Ct. Doc. 28. In its briefs in the
district court, the Government conceded that
the Working Group possessed no delegation of
legislative authority: “No statute establishes
14
it, nor delegates it any legislative authority.”
Id. at 54.
In the district court, the Government also
conceded that, under the plain terms of EO
13990, the Working Group’s Interim Values
are binding on executive agencies, unless a
statute forbids their use. D. Ct. Doc. 28, at 36
(admitting that “the Executive Order requires
agencies to use the Interim Estimates in some
circumstances,” because § 6(b)(ii)(A) of EO
13990 “us[es] the word ‘shall’”).
The
Government conceded that “agencies will …
rely on the Interim Estimates when they have
discretion to do so.” Id. (italics in original); see
also D. Ct. Doc. 37, at 26 (admitting that “the
Executive Order is binding on agencies” in
many circumstances) (emphasis added). The
only exception to this rule that the
Government acknowledged was when a
statute forbids the agency to use the Interim
Values. See id. In other words, if a federal
agency may consider the social cost of
greenhouse gases in the exercise of its
statutory authority, it must do so under EO
13990, and furthermore, it must use the
specific “social cost” values promulgated by
the Working Group. Id. Further, if a statute
requires a federal agency to consider the
social cost of greenhouse gases, then that
agency may not do its own calculations, but it
must use the specific values promulgated by
the Working Group. Id.
On August 31, 2021, the district court
entered its Memorandum and Order granting
15
the Government’s motion to dismiss for lack
of standing and ripeness and denying the
States’ motion for a preliminary injunction.
App. 33a. On September 1, 2021, Plaintiffs
timely filed their notice of appeal. D. Ct. Doc.
50.
The Eighth Circuit affirmed, concluding
that the States’ requested injunctive relief,
requiring the current administration to follow
a previous administration’s regulatory
policies without a specific agency action to
review, was outside the authority of the
federal courts under Article III of the
Constitution. App. 37a (noting agreement
with Louisiana by & through Landry v.
Biden, No. 22-30087, 2022 WL 866282, at *3
(5th Cir. Mar. 16, 2022)). Specifically, the
panel viewed the Interagency Working Group
as an ordinary advisory group to the
President and agencies that “communicate[s]
to those agencies the policies the President
adopts for his administration.” App. 38a.
The court acknowledged that the subject
matter “raises complex, controversial issues
that trigger intense political, economic, and
environmental disagreement.”
Id.
It
summarily found that IWG is a “sensible
exercise of the President’s executive power”
“to communicate his policies to agencies in
exercising
their
delegated
legislative
authority.” Id. (emphasis in original). In
doing so, the panel rejected the States’
argument that the “IWG possesses ‘no
delegation of any legislative authority’ by
Congress.” Id.
16
In its standing analysis, the Eighth
Circuit focused on Article III’s injury-in-fact
requirement. First, it dismissed the alleged
economic injuries of increased proprietary
costs and decreased tax revenues as not
“concrete.” App. 41a–42a. Agreeing with the
district court, it noted that the injury was not
“certainly impending” because it required
believing that in the future an agency will
issue a regulation that relies “in some way
upon the Interim Estimates,” disregard any
objections to the methodology, and that the
regulation will harm Plaintiffs in a concrete
and particularized way. App. 42a. It agreed
with the Government’s view that the Interim
Values have a limited impact because they
only apply “if agencies propose future
regulations, if they conduct cost-benefit
analyses for those regulations, and if they
choose to monetize GHG emissions in those
analyses, then the agencies must use the
Interim SC-GHG estimates.”
App. 43a
(emphasis in original). The court found this
theory of causation too “attenuated” “to show
the requisite causation.” Id.
Second, the panel dismissed any harms to
the States’ sovereign interests because it
found that the Interim Values and EO 13990
do not impose obligations on the States. App.
44a. It reasoned that the causal relationship
between any injury and the challenged action
was too attenuated because it relied on the
decision of “an independent third party”—the
federal agencies.
17
Third, the panel rejected the States’
argument that Bennett v. Spear, 520 U.S. 154
(1997), permits parties to challenge a final
agency action that changes the legal regime
that is “virtually determinative” another
agency action. App. 45a. It concluded that
Bennett was distinguishable because the
Court addressed a concrete dispute over a
specific irrigation project and the Interim
Values are not “virtually determinative” of
agency actions. App. 45a–46a.
Finally, the Eighth Circuit dismissed the
procedural harm in failing to provide States
(or anyone else) a meaningful opportunity to
comment on the Interim Values before they
were promulgated. The panel explained that
the procedural harm did not have a concrete
interest because the Interim Values were not
challenged in connection with a specific
agency action.
App. 47a.
It also was
unwilling to be the first court to find that an
interagency working group was an agency
subject to the APA as it would “encourage
constant judicial interference with the
President’s exercise of his executive power.”
App. 47a.
In sum, the court of appeals concluded
that States had failed to plead a “concrete and
particularized actual injury in fact that is
fairly traceable to defendants’ challenged
conduct, publication of the interim SC-GHG
estimates.” App. 48a.
The panel declined to address whether
Petitioners had shown that any injury “will be
18
redressed by a favorable decision.”
Id.
(quoting Lujan v. Defenders of Wildlife, 504
U.S. 555, 561 (1992)).
Petitioner States filed this timely petition
for writ of certiorari.
19
REASONS FOR GRANTING THE
PETITION
I. The Eighth Circuit misapplied this
Court’s precedent as Petitioning
States have standing to challenge
EO 13990 and the Interim Values.
The Eighth Circuit rejected the States’
well-pleaded injuries as relying on a “highly
attenuated” chain of causation and rejecting
Petitioners’ straightforward inferences that
are supported by the record and common
sense. The court of appeals errors show that
it misapplied this Court’s precedents in
Bennett, Summers v. Earth Island Institute,
555 U.S. 488 (2009), Department of Commerce
v. New York, 139 S. Ct. 2551 (2019), and Ohio
Forestry Association, Inc. v. Sierra Club, 523
U.S. 726 (1998).
A. The Eighth Circuit erred in
failing to apply Bennett v.
Spear.
The court of appeals overlooked a key
distinction between the IWG and past
working groups: the IWG’s binding values are
binding on the federal agencies. The binding
nature of the Interim Values is what alters
the legal landscape under Bennett because the
subordinate agencies are no longer able to
exercise their legislative duties de novo, they
must reconcile any difference with the IWG’s
mandate.
In Bennett v. Spear, 520 U.S. 154 (1997),
the Court addressed a provision of the
20
Endangered Species Act that required federal
agencies whose projects might adversely
impact an endangered species to seek a
“biological opinion” from the Fish and Wildlife
Service (FWS). Id. at 157–58. The FWS’s
“biological opinion” would assess the likely
impact of the project on endangered species
and make recommendations to the agency
requesting the opinion (the “action agency”)
on how to mitigate any such impacts. Id. at
158. In Bennett, the Bureau of Reclamation,
which sought a biological opinion from FWS
regarding the impact of water levels in the
Klamath Project, a series of dams and lakes
in Oregon and California. Id. at 158–59.
FWS issued a biological opinion to the Bureau
of Reclamation finding a risk of adverse
impact
on
endangered
fish
and
recommending to the Bureau to mitigate that
impact by maintaining certain (higher) water
levels in two reservoirs. Id. at 159.
In Bennett, ranchers who “claim[e]d a
competing interest in the water” sued the
FWS, challenging its biological opinion, but
did not sue the Bureau of Reclamation (the
“action agency”). Id. at 160. The Government
argued that the ranchers’ alleged injuries
lacked traceability and redressability under
Article III because FWS’s biological opinion
was not binding on the Bureau of
Reclamation, and the ranchers would not be
harmed by it unless and until the Bureau of
Reclamation took a final agency action based
on it. Id. at 168. In other words, the
Government contended that “the proximate
21
cause of [the ranchers’] harm is an (as yet
unidentified) decision by the Bureau
regarding the volume of water allocated to
petitioners, not the biological opinion itself.”
Id.
The Court unanimously rejected this
argument. Id. at 168–69. The Court noted
that, while the biological opinion was
technically “advisory” to the Bureau, “in
reality it has a powerful coercive effect” on the
second agency, because it “alters the legal
regime to which the action agency is subject.”
Id. If the “action agency” (the Bureau) wished
to disregard FWS’s recommendations in the
biological opinion, it was required to
articulate its reasons for disagree with FWS’s
conclusions. Id. Agencies seldom did so, and
so the biological opinion would “play a central
role in the action agency’s decisionmaking
process.” Id. Under these circumstances, the
Court held that the ranchers were not
required to wait until the Bureau of
Reclamation—the second agency, or “action
agency”—had issued a final agency action
based on the biological opinion. Id. “This
wrongly equates injury ‘fairly traceable’ to the
defendant to injury as to which the
defendant’s actions are the very last step in
the chain of causation.”
Id. at 168-69.
Because the FWS’s biological opinion
“alter[ed] the legal regime” under which the
Bureau would make its “as yet unidentified”
policy, the ranchers had Article III standing
to sue FWS to challenge the biological
opinion. Id. at 169–70.
22
Bennett should have controlled here, but
the court of appeals thought it was factually
and legally distinct. The panel determined
that Bennett could not apply because there
was a “concrete dispute about pending agency
action affecting a specific irrigation project,”
and that the Interim Values are not “virtually
determinative.” App. 45a–46a. But that makes
the same error the Court corrected in Bennett.
It essentially holds that Petitioners could not
sue to challenge an “as yet unidentified”
agency action using the Interim Values,
which means the court of appeals wrongly
held that Petitioners could only challenge “the
very last step in the chain of causation.”
Bennett, 520 U.S. at 169.
Here, the Interim Values plainly “alter[]
the legal regime” under which other agencies
conduct rulemakings and other agency
actions, because they dictate the outcome of a
specific, extremely important aspect of the
agency’s cost-benefit analysis—just like in
Bennett. Indeed, Petitioners here have a
stronger case for Article III standing, because
in Bennett, the second agency was
“technically free to disregard the Biological
Opinion.” Id. at 170. Here, by contrast, the
“action agencies” are not “free to disregard”
the Interim Values. Id. The Interim Values
are “binding” on them, D. Ct. Doc. 28, at 36,
and the President dictates that they “shall”
use them unless a federal statute specifically
prohibits it. App. 60a; see City of Kennett,
Missouri v. EPA, 887 F.3d 424, 431 (8th Cir.
2018) (holding that plaintiffs had standing to
23
challenge a policy that was “binding” on a
future agency action that had not yet been
implemented).
Similarly, the conclusion that the Interim
Values are not determinative, and therefore
insufficient for standing, is implausible and
legally incorrect.
Bennett repeatedly
acknowledged that the biological opinion did
not “mandate” any “particular regulation,”
id.—in fact, the agency could disregard it
entirely and make its own findings. But the
Supreme Court still held that the ranchers
did not need to await the “as yet unidentified”
action of the Bureau to challenge FWS’s
biological opinion. 520 U.S. at 168–69. So
even if one of a number of factors, there is still
standing to challenge the determination.
Moreover, the Interim Values are meant to
be determinative. Unless they are specifically
forbidden to do so by statute, agencies must
monetize the social cost of greenhouse gases
when formulating regulations, and in doing
so, they must use the Working Group’s values.
As a legal matter, the Interim Values bind the
agencies’ hands to a specific approach, and
specific set of numerical values, on what is
typically the most dominant or critical factor
in assessing the costs and benefits of agency
action. The “social costs” of greenhouse gases
are meant to be exorbitant-steadily
increasing and measuring the “net harm” of
emitting greenhouse gases hundreds of years
in the future. As seen in some rulemakings,
those “costs” justify billions in real world
24
regulations. Light Duty Truck Rule, 86 Fed.
Reg. at 43753 tbl. 4.
This Court’s precedent in
conclusively supports Petitioners.
Bennett
B. Petitioning States completed
procedural injury is not a
procedural right in vacuo
under Summers
EO 13990 also goes beyond previous
executive orders by dictating that the Interim
Values must be used in formulating
substantive policies and rules that directly
affect regulated parties. See App. 60a (EO
13990); D. Ct. Doc. 28-4, at 3 (OIRA
guidance). The Interim Values are to be used
“where an agency will take final action in
reliance on a benefit-cost analysis that
includes estimates of the social cost of
greenhouse gas emissions.” D. Ct. Doc. 28-4,
at 3. Thus, the Interim Values’ use purports
to be mandatory in formulating final agency
actions that bind the regulated public—not
just internal regulatory impact statements
submitted to OIRA.
The Complaint also alleges, and the
Government does not dispute, that “the
Working Group did not elicit or receive
comments or input from the public or
stakeholders before publishing the Interim
Values.” D. Ct. Doc. 6, at 18; see also id. at 24,
25–26. Petitioners alleged that the Working
Group “depriv[ed] them of opportunities to
provide input and comment prior to adoption
25
of the Interim Values.” Id. at 29, 37–38.
These injuries were concrete, immediate, and
completed on February 26, 2021, when the
Working Group published the Interim Values.
The deprivation of the right to participate
in notice-and-comment rulemaking is an
Article III injury, which is redressable by
vacating the agency action and requiring the
agency to proceed with notice-and-comment
rulemaking. Petitioners are not required to
prove that the outcome of the agency’s
proceeding would have been different if its
input had been considered. “The person who
has been accorded a procedural right to
protect his concrete interests can assert that
right without meeting all the normal
standards for redressability and immediacy.”
Lujan, 504 U.S. at 572 n.7. “If a petitioner ‘is
vested with a procedural right, that litigant
has standing if there is some possibility that
the requested relief will prompt the injurycausing party to reconsider the decision that
allegedly harmed the litigant.” Iowa League
of Cities, 711 F.3d at 871 (quoting
Massachusetts v. EPA, 549 U.S. 497, 518
(2007)). Thus, “redressability in this context
does not require petitioners to show that the
agency would alter its rules upon following
the proper procedures.” Id.; see also Nat’l
Ass’n of Home Builders v. E.P.A., 667 F.3d 6,
15 (D.C. Cir. 2011).
Here, there is undoubtedly “some
possibility” of a different outcome if the States
and other interested parties were allowed to
26
submit their comments.
Calculating a
supposed “social cost” of greenhouse gases
over a 300-year horizon is wildly speculative
and unscientific.
D. Ct. Doc. 19, at 5
(Dayaratna Decl.); D. Ct. Doc. 35-2, at 6
(comment to Working Group). Even if the
Working Group adhered to its same
conclusions in the face of such comments, the
chances are excellent that its conclusions
would not survive judicial review for
arbitrariness
and
lack
of
reasoned
decisionmaking.
In concluding otherwise, the district court
held that the States were merely asserting “a
procedural right in vacuo.” App. 22a (quoting
Summers v. Earth Island Institute, 555 U.S.
488, 496 (2009)).
The court of appeals misapplied Summers
by saying that Petitioners had challenged too
much, rather than nothing at all. App. 47a.
There, a judgment requiring notice-andcomment would have made no difference,
because there was nothing left to comment on.
Summers, 555 U.S. at 491. After the Burnt
Ridge dispute settled, the remainder of the
case merely challenged “the regulation in the
abstract,” based on “a procedural right in
vacuo.” Id. at 494, 496. Here, by contrast, if
the Court agrees that the Working Group was
required to provide notice-and-comment,
there will be a great deal for the States to
comment upon.
See D. Ct. Doc. 35-2
(Dayaratna Decl.).
Indeed, because the
27
President dictates that the Interim Values
are binding on federal agencies, the only
meaningful opportunity to comment on the
methodology will be before the Working
Group.
Comments that attack the
methodology or reliability of the Interim
Values will carry no weight before a future
agency that is bound in advance to accept
them.
Thus, the Executive Order
dramatically tilts the playing field against
those opposing the Interim Values in future
notice-and-comment proceedings. See, e.g.,
City of Los Angeles v. Barr, 929 F.3d 1163,
1173 (9th Cir. 2019) (“[T]his inability to
compete on an even playing field constitutes a
concrete and particularized injury.”).
But those agencies will be bound by the
Interim Values. The States can comment to
their hearts’ content, but at the end of the
day, under EO 13990, those agencies “shall
use” the Interim Values “when monetizing the
value of changes in greenhouse emissions
resulting from regulations and other relevant
agency actions….”
App. 60a (emphasis
added). The district court’s ruling effectively
permits the Government to evade any noticeand-comment review of the Interim Values.
C. Under
this
Court’s
precedents,
the
alleged
injuries
are
not
too
attenuated.
The Court’s precedents on causation show
that EO 13990 and the Interim Values cause
the alleged injuries.
28
Petitioners alleged a host of injuries that
relate to the fact that the Interim Values will
inevitably expand the federal regulatory
burdens on the States and their citizens in
virtually every major sector of American
economic life. See D. Ct. Doc. 6, at 35. Indeed,
the States explained that the increased
regulatory burdens caused by the “social
costs” would harm their proprietary interests
in energy consumption by homes, industries,
and farms, their energy production to
neighboring states, and the tax revenue that
arises from these economic activities used to
support the States’ activities. D. Ct. Doc. 18,
at 51–55. Petitioners have standing based on
these injuries as well.
The court of appeals agreed with
Respondents and the district court that it was
to speculative to infer that the federal
government would regulate and use the
Interim Values. App. 36a, 17a. The district
court dismissed this theory as “speculative,”
Add. 19a, and characterized it as “a highly
attenuated chain of possibilities,” App. 17a,
but the opposite is true. Each step follows
legally and logically—indeed, “inevitably,”
id.—just as Petitioners urged.
First, it is not “speculative” to assume that
“at some point in the future, one more
agencies will ‘inevitably’ issue one or more
regulations that rely in some way upon the
Interim Estimates.” App. 17a. Several such
rulemakings are already ongoing, in agencies
such as EPA, DOT, and FERC, and agencies
29
are already using SCGG analysis, based on
the Interim Values, in formulating rules. One
need not “speculate” that this may happen—
it is happening. And there will certainly be
many more such rulemakings. For one, some
courts have held that federal agencies under
certain statutes must consider the “social
cost” of greenhouse gases when conducting
cost-benefit analysis in rulemakings. See,
e.g., Center for Biological Diversity v.
National Hwy. Traffic Safety Admin., 538
F.3d 1172 (9th Cir. 2008). Such agencies,
when they do so, are now bound by EO 13990
to use the Working Group’s Interim Values.
D. Ct. Doc. 6-1, at 5. Even when agencies had
complete discretion to do so, federal agencies
used SCGG analysis in eighty-three such
rulemakings in the Obama Administration.
D. Ct. Doc. 6-3. Under EO 13990, any such
agency that has discretion under its statutory
delegation to consider such “social costs,”
must consider them—and it must use the
Working Group’s values.
Second, it is not “speculative” to assume
that “such agency will ‘inevitably’ disregard
any objections to the methodology by which
the Interim Estimates were calculated.” App.
17a. Each such agency has been ordered by
the President to do so, App. 60a, and the
Government agrees that this direction is
“binding” on those agencies, in the absence of
a contrary statutory command. D. Ct. Doc.
28, at 36. It is not “speculative” to anticipate
that federal agencies will obey a direct order
from the President of the United States that
30
the U.S. Department of Justice says is
“binding” on them.
Indeed, this inference is far less
speculative than those that have been held to
satisfy Article III.
In Department of
Commerce v. New York, for example, the
Supreme Court held that plaintiff States
demonstrated Article III standing to
challenge the inclusion of a question about
U.S. citizenship on the 2020 census
questionnaire, based on the States’ prediction
that the citizenship question would induce
some unspecified portion of respondents to
violate the law by declining to respond to the
census, and that this portion would be large
enough to affect their federal funding. 139 S.
Ct. 2551, 2565–66 (2019). The Government
argued that this chain of inferences was too
speculative to satisfy Article III, id. at 2566,
but the Supreme Court held that the plaintiffs
had “show[n] that third parties will likely
react in predictable ways to the citizenship
question, even if they do so unlawfully.” Id.
As in Dep’t of Commerce, “Respondents’
theory of standing does not rest on mere
speculation about the decisions of third
parties,” the Court held, but “it relies instead
on the predictable effect of Government action
on the decisions of third parties.” Id.
Third, it is not “speculative” to predict that
future “regulation[s] will then harm Plaintiffs
in a concrete and particularized way.” App.
17a. Justifying such increased regulatory
burdens is the whole point of the Interim
31
Values. It is not “speculative” to predict that
they will function exactly as designed, and
exactly as the President has instructed
federal agencies to use them. See Susan B.
Anthony List v. Driehaus, 573 U.S. 149 (2014)
(holding that an injury-in-fact is not
conjectural or hypothetical if there is “a
‘substantial risk’ that the harm will occur”).
There is a “substantial risk,” id., that federal
agencies will use the Interim Values to justify
greatly increased regulatory costs, because
they have been ordered to do so. The function
of “SCGG” analysis in justifying increased
regulatory burdens is amply illustrated by the
EPA actions regarding light-duty-vehicle
emissions discussed above. Petitioners “have
met their burden of showing that [federal
agencies] will likely react in predictable
ways,” to the President’s Executive Order—
again, far more “predictable ways” than
speculation about whether aliens will
unlawfully decline to respond to the census.
Dep’t of Commerce, 139 S. Ct. at 2566.
Petitioners should not be faulted for
alleging that Respondents would act in
accordance with EO 13990 and the Interim
Values.
32
D. The
Petitioning
States
theories
of
sovereign
standing also implicate this
Court’s precedent.
The court of appeals simply refused to
provide the special solicitude owed States.
The Complaint adequately alleged harms to
sovereign interests by describing how EO
13990 and the Interim Values affect how state
agencies must conduct their duties in
cooperative-federalism programs. D. Ct. Doc.
6, at 31–34, ¶¶ 162–178. As the Complaint
alleged, “in their sovereign capacities, the
Plaintiff States cooperatively administer
many federal programs directly affected by
the Working Group’s actions, and the
Executive Order and the Working Group’s
Interim Values will directly impact the
actions they must take in their participation
in these cooperative-federalism programs.”
Id. at 31, ¶ 162. “The President’s Executive
Order and the Working Group’s actions
effectively mandate that the Plaintiff States,
in their cooperative administration of federal
programs, must take actions that they deem
unconstitutional, unlawful, and arbitrary and
capricious, for the reasons stated herein.” Id.
Because the States participate, not just as
regulated parties, but as regulators in many
federal agency actions, they are directly
affected by the unlawful command of EO
13990 and the Interim Values.
The Complaint provides several examples
of such injuries. For example, citing 40 C.F.R.
33
§ 1501.7(b), the Complaint alleges that
“[u]nder the Executive Order, the agencies of
the Plaintiff States must now employ the
Working Group’s Interim Values in their
NEPA environmental impact statements or
face disapproval and rejection by the federal
agencies.” D. Ct. Doc. 6, at 33. The States
also serve as “joint lead” agencies on federally
funded transportation projects, and they
“regularly engage in federally funded
highway projects that require the States to
conduct NEPA assessments, which will now
have to include the Interim Values or face
rejection
by
the
Department
of
Transportation.” Id. Further, “Plaintiff State
of Missouri is a “no stricter than state’ for
most emissions standards promulgated by
EPA,” which “effectively requires Missouri …
to enforce through its State Implementation
Plans the clean-air standards adopted by
EPA, including those standards that
incorporate and rely on the Interim Values.”
Id. (citing Mo. Rev. Stat. § 643.055). “Thus,
Section 5 of EO 13990 and the Interim Values
purport to legally obligate” the Plaintiff
States,
in
their
“administration
of
cooperative-federalism
programs…,
to
enforce illegally and unconstitutionally
adopted standards.” Id.
The court of appeals rejected this theory
by noting that the text of EO 13990 explicitly
applies to federal agencies. But that misses
key context.
State administration of
cooperative-federalism programs is often
dependent on complying with federal
34
oversight. See 42 U.S.C. § 300g-2 (conditions
for state primacy in Safe Drinking Water Act).
By requiring federal agencies to use the
Interim Values, it inflicts immediate and
direct injury on state sovereignty, because it
directly deprives the States of freedom and
discretion that they otherwise would have
had in administering these programs without
the threat of coercion. Cf. Printz v. United
States, 521 U.S. 898, 916 (1997).
This
sovereign injury does not depend on the
impact of a future agency action, because it
immediately affects how States participate in
formulating agency actions. This injury-infact is complete, it is caused by Respondents’
unlawful actions, and it is directly
redressable. It alone suffices to give the
States standing.
Finally, the States’ standing draws further
support from the “special solicitude” afforded
the States in the standing analysis.
Massachusetts v. EPA, 549 U.S. 497, 520
(2007).
Given “the special position and
interest” of the States in our federal system,
“[i]t is of considerable relevance that the party
seeking review here is a sovereign State and
not … a private individual.” Id. at 518.
“Such
special
solicitude
has
two
requirements: (1) the State must have a
procedural right to challenge the action in
question, and (2) the challenged action must
affect one of the State’s quasi-sovereign
interests.” Texas v. Biden, 10 F.4th 538, 549
(5th Cir. 2021). Here, where the States are
“asserting a procedural right under the APA
35
to challenge an agency action,” id., the first
prong is satisfied. See D. Ct. Doc. 6, at 40
(Count III). And the States made numerous
plausible allegations that the use of “SGCC”
analysis will adversely impact their “quasisovereign interests in the health and wellbeing, both physical and economic, of their
citizens.” See id. at 36, ¶ 183. Accordingly,
the States are “indeed entitled to special
solicitude,” which “means redressability is
easier to establish for … state litigants than
for other litigants.” Texas, 10 F.4th at 549.
But the States’ prediction of injuries from
agency action simply claims that federal
agencies will obey Executive Order 13990 and
use the Working Group’s inflated estimates
for “social costs of greenhouse gases.” D. Ct.
Doc. 6-1, at 5.
Predicting that federal
agencies will obey an Executive Order is a far
less “attenuated chain of possibilities” than
that which the Supreme Court upheld in
Massachusetts v. EPA itself, which involved
Massachusetts’ prediction that a particular
EPA regulation of emissions in American
vehicles might change the global mix of
greenhouse-gas emissions enough to prevent
the loss of centimeters of coastline over 100
years. 549 U.S. at 522. Here, by contrast, the
States merely predict that federal agencies
will follow an Executive Order from the
President.
36
E. The district court’s ripeness
determination conflict with this
Court’s precedent.
Though the court of appeals failed to
address ripeness, the district court’s decision
runs afoul of Ohio Forestry Association, Inc.
v. Sierra Club, 523 U.S. 726 (1998).
First, the district court thought that the
case was not ripe, primarily because another
case could come along. But “[f]itness rests
primarily on whether a case would ‘benefit
from further factual development,’ and
therefore cases presenting purely legal
questions are more likely to be fit for judicial
review.” Iowa League of Cities, 711 F.3d at
867. Here, three of Plaintiffs’ four claims
present “purely legal questions.” Id. Whether
the President and the Working Group
violated the separation of powers by
exercising quintessentially legislative power
without a delegation from Congress is a
purely legal question. D. Ct. Doc. 6, at 38.
Whether the Working Group violated the APA
by failing to provide notice-and-comment is a
purely legal question. D. Ct. Doc. 6, at 40.
And whether the President’s directive
violates the organic statutes of federal
agencies by exercising power delegated to
those agencies is a purely legal question. D.
Ct. Doc. 6, at 39.
“As primarily legal
questions, such challenges tend to present
questions fit for judicial review.”
Iowa
League, 711 F.3d at 867.
37
In coming to the opposite conclusion, the
district court relied heavily on Ohio Forestry
Association, Inc. v. Sierra Club, 523 U.S. 726
(1998), but that case supports Petitioners.
Ohio Forestry Association involved a
challenge to the Forest Service’s logging plan
for a national forest that did “not itself
authorize the cutting of any trees.” 523 U.S.
at 729. Thus, there was “considerable legal
distance between the adoption of the Plan and
the moment when a tree is cut.” Id. at 730.
The Court concluded that it “would benefit
from further factual development of the
issues presented,” id. at 733, because the
validity and application of the Forest
Service’s Plan plainly hinged on the Forest
Service’s future refinement and application of
the Plan. Id. The Supreme Court emphasized
that the Forest Service might well “refine its
policies” before any application of them,
either “through revision of the Plan” or
“through application of the Plan in practice.”
Id. at 735. Here, there is no such prospect
that federal agencies will “refine” the Interim
Values in future proceedings, because the
Values are binding on the agencies.
Petitioners claims exclusively address the
validity of actions taken by the Working
Group, not the as-yet-incomplete actions
taken by agencies bound by the Working
Group’s determinations.
Because the
Working Group’s actions in promulgating the
Interim Values are complete, Plaintiffs’
claims “can never get riper.” Ohio Forestry
Ass’n, 523 U.S. at 737.
38
Second, the district court also held that
“[w]ithholding the Court’s consideration at
present will not cause Plaintiffs significant
hardship.” App. 27a. Withholding the Court’s
consideration will plainly inflict hardship on
the States by depriving them of any
meaningful opportunity to comment on the
Interim Values. The Working Group did not
let them do so, and future agencies, even as
they accept Plaintiffs’ comments, will
ultimately be bound by the Working Group’s
values. This is quintessential hardship, far
more than the “minimal” showing required.
Iowa League of Cities, 711 F.3d at 867; see also
Kennett, 887 F.3d at 433 (“delaying review of
certainly impending regulatory burdens can
cause harm”).
The district court opined that “Plaintiffs’
speculation that their objections will be
‘disregarded’ or ‘receive no meaningful
consideration is … not supported by well-pled
facts.” App. 28a-29a. But the district court
cited nothing to support this conclusion, and
it ignores the legally binding nature of the
Interim Values. It is not “speculation” to
anticipate that federal agencies will treat the
Interim Values as authoritative and binding
when the President has directed them to do so
and DOJ has affirmed that they are “binding.”
D. Ct. Doc. 28, at 36.
Again, Ohio Forestry Association strongly
supports Petitioners here.
Ohio Forestry Association emphasized
that “hardship” exists where the challenged
39
policy “create[s] adverse effects of a strictly
legal kind, that is, effects of a sort that
traditionally would have qualified as harm.”
523 U.S. at 733. Here, many such “adverse
effects of a strictly legal kind,” id., are
discussed above—including the fact that EO
13990 directly commandeers the States’
agencies to employ the Interim Values in
their
administration
of
cooperativefederalism programs, which the district court
wholly disregarded. This Court explained
that “hardship” would exist when the
challenged policy “command[s] anyone to do
anything or to refrain from doing anything,”
or “create[s] … legal rights or obligations.” Id.
The Interim Values do both—they “command”
federal agencies (and cooperating state
agencies) to use the Interim Values, and they
“create” the “legal … obligation[]” for such
agencies to do so. Id. Likewise, the States
have “pointed to [a] way in which the [Interim
Values] could now force [them] to modify
[their] behavior,” id. at 734, because they
purport to “force” state agencies to employ the
Interim Values in performing NEPA
assessments,
formulating
State
Implementation Plans, and conducting other
cooperative-federalism tasks.
In the end, the “hardship” prong goes to
the heart of the legal and constitutional
problems with the Interim Values. They
reflect a policy decision with enormous
practical consequences for every foundational
sector of the American economy.
The
Government has sought to shield this policy
40
decision from direct political and judicial
accountability by removing from the
individual federal agencies who actually have
delegated authority in these areas, issue it
without any notice-and-comment, and then
claim that it is fully insulated from judicial
review.
The district court’s decision
insulating them from judicial review at this
stage inflicts “hardship” of the very first
order.
III. Plaintiff States are likely to
succeed on their claims, and thus,
any remand should require the
expedited consideration of the
motion
for
a
preliminary
injunction.
Once Plaintiffs’ standing is established,
this is not a close case. The IWG plainly
violated the APA by issuing the Interim
Values without notice-and-comment. And the
President’s attempt to dictate binding
numerical values for all federal agencies on a
question of enormous policy importance
usurps legislative power never delegated to
the President, and thus violates the
separation of powers.
Although the district court did not reach
the motion for a preliminary injunction. App.
31a, the court of appeals stated that it would
not find that the IWG is an agency under 5
U.S.C. 551(1), App. 47a. Though this is “a
court of review, not of first view,” Cutter v.
Wilkinson, 544 U.S. 709, 719 n.7 (2005), it
would be proper to vacate that analysis and
41
remand with instructions to consider the
preliminary
injunction
expeditiously.
Otherwise, the district court may see it as
binding and deny the warranted relief.
The Working Group is an “agency.”
First, because it has the authority to make
binding determinations on a critical policy
question to other federal agencies, the
Working Group is an “agency” under the APA.
“Under the APA, an agency is any ‘authority
of the Government of the United States,
whether or not it is within or subject to review
by another agency.’” Soucie v. David, 448
F.2d 1067, 1073 (D.C. Cir. 1971) (quoting 5
U.S.C. § 551(1)). The APA “confers agency
status on any administrative unit with
substantial independent authority in the
exercise of specific functions.” Id. (emphasis
added). Evaluating other agencies and being
able to bind other agencies is critical to
determining if the agency has substantial
independent authority. Id.
In a case earlier relied on by Respondents,
Meyer v. Bush, 981 F.2d 1288, 1292 (D.C. Cir.
1993), the court of appeals held that an
agency exercises “substantial independent
authority” when it can “act directly and
independently beyond advising and assisting
the President.”
Id.
Critically, Meyer
reasoned, an agency like CEQ that had “the
power … to issue guidelines to [other] federal
agencies,” and “the authority to promulgate
regulations—legally
binding
on
the
agencies—implementing
the
procedural
42
provisions of the National Environmental
Policy Act,” was plainly an APA “agency.” Id.
(emphasis added). And that is exactly what
the Working Group possesses here.
The Interim Values are a “final
agency action.”
Likewise, because the
Interim Values are purportedly binding on
federal agencies, they also constitute a “final”
agency action. “As a general matter, two
conditions must be satisfied for agency action
to be ‘final’: First, the action must mark the
‘consummation’
of
the
agency's
decisionmaking process—it must not be of a
merely tentative or interlocutory nature. And
second, the action must be one by which
‘rights or obligations have been determined,’
or from which ‘legal consequences will flow.’”
Bennett, 520 U.S. at 177–78 (citations
omitted).
The Interim Values are not
“tentative or interlocutory”—they are the
official values that must apply to regulatory
actions until the “final” values of promulgated
in January 2022. And by requiring agencies
to exercise their discretion in a specific
manner on an important question of
legislative policy satisfies the second prong.
The Interim Values are not an
“interpretative rule.” Because they dictate
specific numerical values on a substantive
policy question, the Interim Values are not an
“interpretative rule” or “general statement of
policy” that would be exempt from notice-andcomment. 5 U.S.C. § 553(b)(A). “A rule that
turns on a number” is legislative, not
43
interpretative, unless the number follows
clearly and inevitably, by a simple exercise of
arithmetic, from the rule or statute. Hoctor v.
U.S. Dep’t of Agric., 82 F.3d 165, 170 (7th Cir.
1996). “[W]hen an agency wants to state a
principle ‘in numerical terms,’ terms that
cannot be derived from a particular record,
the agency is legislating and should act
through rulemaking.”
Catholic Health
Initiatives v. Sebelius, 617 F.3d 490, 495 (D.C.
Cir. 2010) (quoting Henry J. Friendly,
Watchman, What of the Night?, in
Benchmarks 144-45 (1967)) (emphasis
added). Here, calculating the Interim Values
was not a simple exercise in arithmetic, but
involved
“different
policy
or
value
judgments,” and “highly contested and
exceedingly difficult questions of science,
economics, ethics, and law.” App. 97a–98a.
Given the critical importance of these
issues and the fact that agency proceedings
involving the Interim Values are ongoing, the
Court should remand with instructions for
the district court to expeditiously issue a
ruling on the preliminary injunction.
CONCLUSION
The petition for writ of certiorari should be
granted because the Eighth Circuit
misapplied this Court’s precedents by
denying Petitioners standing to challenge the
not-so Interim Values is an issue of great
importance.
44
Respectfully submitted,
ANDREW BAILEY
Missouri Attorney General
JEFF P. JOHNSON
Deputy Solicitor General
Counsel of Record
OFFICE OF THE MISSOURI
ATTORNEY GENERAL
Supreme Court Building
207 West High Street
Jefferson City, MO 65102
(314) 340-7366
Jeff.johnson@ago.mo.gov
Counsel for Petitioners
Additional Counsel listed on next page
45
ADDITIONAL COUNSEL
TREG R. TAYLOR
Attorney General of Alaska
Ronald W. Opsahl
Assistant Attorney General
Alaska Department of Law
1031 West Fourth Avenue, Suite 200
Anchorage, Alaska 99501
Ph: (907) 269-5100
F: (907) 276-3697
Email: ron.opsahl@alaska.gov
Counsel for the State of Alaska
TIM GRIFFIN
Attorney General of Arkansas
Nicholas J. Bronni
Solicitor General
Dylan L. Jacobs
Assistant Solicitor General
Office of Arkansas Attorney
General Tim Griffin
323 Center Street, Suite 200
Little Rock, Arkansas 72201
Ph: (501) 682-6302
Nicholas.bronni@arkansasag.gov
Counsel for the State of Arkansas
46
ADDITIONAL COUNSEL, cont.
THEODORE E. ROKITA
Attorney General of Indiana
Tom Fisher
Solicitor General
Office of Attorney General Todd Rokita
302 West Washington Street
IGCS-5th Floor
Indianapolis, IN 46204
Ph: (317) 232-0709
F: (317) 232-7979
tom.fisher@atg.in.gov
Counsel for the State of Indiana
KRIS KOBACH
Attorney General of Kansas
Office of Kansas Attorney General Kris
Kobach
120 SW 10th Avenue, 3rd Floor
Topeka, KS 66612-1597
Ph: (785) 368-8435 Phone
F: (785) 291-3767 Fax
Counsel for the State of Kansas
47
ADDITIONAL COUNSEL, cont.
AUSTIN KNUDSEN
Attorney General of Montana
Montana Attorney General’s Office
215 North Sanders
P.O. Box 201401
Helena, MT 59620-1401
Ph: (406) 444-4145
Counsel for the State of Montana
MIKE HILGERS
Attorney General of Nebraska
Office of the Nebraska Attorney General
2115 State Capitol
Lincoln, NE 68509
Ph: (402) 471-2682
Counsel for the State of Nebraska
DAVE YOST
Attorney General of Ohio
Benjamin M. Flowers
Ohio Solicitor General
30 E. Broad St., 17th Fl.
Columbus, Ohio 43215
Ph: (614) 466-8980
bflowers@ohioattorneygeneral.gov
Counsel for the State of Ohio
48
ADDITIONAL COUNSEL, cont.
GENTNER DRUMMOND
Attorney General of Oklahoma
Oklahoma Office of Attorney General
313 N.E. 21ST Street
Oklahoma City, OK 73105
Ph: (405) 522-4392
Counsel for the State of Oklahoma
ALAN WILSON
Attorney General of South Carolina
J. Emory Smith, Jr.
Deputy Solicitor General
Office of the Attorney General
PO Box 11549
Columbia South Carolina 29211
Ph.: (803)734-3680
F: (803) 734-3677
esmith@scag.gov
Counsel for the State of South Carolina
JONATHAN SKRMETTI
Attorney General of Tennessee
Office of the Tennessee Attorney General
P.O. Box 20207
Nashville, Tennessee 37202
Phone: (615) 532-2580
Counsel for the State of Tennessee
49
ADDITIONAL COUNSEL, cont.
SEAN D. REYES
Attorney General of Utah
Melissa A. Holyoak
Solicitor General
Utah Attorney General’s Office
350 N. State Street, Suite 230
P.O. Box 142320
Salt Lake City, UT 84114-2320
385.271.2484
melissaholyoak@agutah.gov
Counsel for the State of Utah
APPENDIX
TABLE OF CONTENTS
Memorandum and Order from the United
States District Court for the Eastern District of
Missouri, Eastern Division, State of Missouri,
et al. v. Joseph R. Biden, et al, No.4:21-cv00287-AGF, 558 F. Supp. 3d 754 (E.D. Mo. Aug.
31, 2021) ................................................................. 1a
Order of Dismissal from the United States
District Court for the Eastern District of
Missouri, Eastern Division, State of Missouri,
et al. v. Joseph R. Biden, et al, No.4:21-cv00287-AGF dated August 31, 2021 ...................... 33a
Opinion of U.S. Court of Appeals for the Eighth
Circuit, State of Missouri, et al. v. Joseph R. Biden, et
al., No. 21-3013 (8th Cir. Oct. 21, 2022) ............ 34a
Order denying Petition for Rehearing en banc
in 21-3013, State of Missouri, et al. v. Joseph R.
Biden, et al., (8th Cir. Jan. 27, 2023)................... 50a
Presidential Documents, Executive Order
13990 of January 20, 2021: Protecting Public
Health and the Environment and Restoring
Science to Tackle the Climate Crisis .................... 51a
Interagency Working Group on the Social Costs
of Greenhouse Gases, Technical Support
Document: Social Cost of Carbon, Methane, and
Nitrous Oxide Interim Estimates under
Executive Order 13990 (February 2021) ............. 67a
1a
UNITED STATES DISTRICT COURT EASTERN
DISTRICT OF MISSOURI EASTERN DIVISION
STATE OF
MISSOURI, et al.,
Plaintiffs,
v.
JOSPEH R.
BIDEN, JR., et al.,
)
)
)
)
)
) Case No. 4:21-cv-00287-AGF
)
)
)
MEMORANDUM AND ORDER
The State of Missouri and 12 other states1 brought this
suit against President Joseph R. Biden, Jr. and several other
executive branch departments and officials, challenging the
President’s Executive Order 13990 (“EO 13990”), which, in
relevant part, establishes an Interagency Working Group on
the Social Cost of Greenhouse Gases (the “Working Group”)
and directs the Working Group to publish interim—and, by
January of 2022, final—values for the “social costs” of
greenhouse gas emissions. The Executive Order further
provides that agencies “shall use [the Interim Estimates] when
monetizing the value of changes in greenhouse gas emissions
resulting from regulations and other relevant agency actions
until final values are published.” 86 Fed. Reg. 7037.
The matter is now before the Court on two motions: (1)
Plaintiffs’ motion (ECF No. 17) for a “preliminary injunction
prohibiting Defendants (excluding the President) from using
the social cost of greenhouse gases promulgated in the
2a
February 26, 20211 Technical Support Document, [ECF No.
6-2], in any rule making or federal action where there is a
statutory command to consider costs or costs are permitted by
statute until this case is resolved on appeal”2 (ECF No. 17 at
1); and (2) Defendants’ motion (ECF No. 27) to dismiss the
complaint for lack of subject matter jurisdiction and for failure
to state a claim.
The Court heard oral argument on both motions on
August 25, 2021. Upon review of the entire record and for the
reasons set forth below, the Court concludes that Plaintiffs
lack standing and that their claims are not ripe for
adjudication. Therefore, the Court will grant Defendants’
motion to dismiss for lack of subject matter jurisdiction and
will dismiss Plaintiffs’ motion as moot.
BACKGROUND
On January 20, 2021, President Biden issued EO
13990, titled “Protecting Public Health and the Environment
and Restoring Science To Tackle the Climate Crisis.” 86 Fed.
Reg. 7037. Section 5 of this Order, titled “Accounting for the
Benefits of Reducing Climate Pollution,” provides in full:
1
These are the States of Alaska, Arizona, Arkansas, Indiana,
Kansas, Montana, Nebraska, Ohio, Oklahoma, South Carolina,
Tennessee, and Utah.
2
In their supporting brief, Plaintiffs narrow their request, asking
only to “preliminarily enjoin all defendants, except for the President,
from using the social cost of greenhouse gases promulgated in the
February 26, 2021 Technical Support Document as binding values
in any agency action.” ECF No. 18 at 59.
3a
(a) It is essential that agencies capture the full costs
of greenhouse gas emissions as accurately as
possible, including by taking global damages into
account. Doing so facilitates sound decision-making,
recognizes the breadth of climate impacts, and
supports the international leadership of the United
States on climate issues. The “social cost of carbon”
(SCC), “social cost of nitrous oxide” (SCN), and
“social cost of methane” (SCM) are estimates of the
monetized damages associated with incremental
increases in greenhouse gas emissions. They are
intended to include changes in net agricultural
productivity, human health, property damage from
increased flood risk, and the value of ecosystem
services. An accurate social cost is essential for
agencies to accurately determine the social benefits
of reducing greenhouse gas emissions when
conducting cost-benefit analyses of regulatory and
other actions.
(b) There is hereby established an Interagency
Working Group on the Social Cost of Greenhouse
Gases (the “Working Group”). The Chair of the
Council of Economic Advisers, Director of OMB,
and Director of the Office of Science and Technology
Policy shall serve as Co-Chairs of the Working
Group.
(i) Membership. The Working Group shall also
include the following other officers, or their
designees: the Secretary of the Treasury; the
Secretary of the Interior; the Secretary of
4a
Agriculture; the Secretary of Commerce; the
Secretary of Health and Human Services; the
Secretary of Transportation; the Secretary of
Energy; the Chair of the Council on
Environmental Quality; the Administrator of
the Environmental Protection Agency; the
Assistant to the President and National Climate
Advisor; and the Assistant to the President for
Economic Policy and Director of the National
Economic Council.
(ii) Mission and Work. The Working Group
shall, as appropriate and consistent with
applicable law:
(A) publish an interim SCC, SCN, and SCM
within 30 days of the date of this order,
which agencies shall use when monetizing
the value of changes in greenhouse gas
emissions resulting from regulations and
other relevant agency actions until final
values are published;
(B) publish a final SCC, SCN, and SCM by
no later than January 2022;
(C) provide recommendations to the
President, by no later than September 1,
2021, regarding areas of decision-making,
budgeting, and procurement by the Federal
Government where the SCC, SCN, and
SCM should be applied;
5a
(D) provide recommendations, by no later
than June 1, 2022, regarding a process for
reviewing, and, as appropriate, updating, the
SCC, SCN, and SCM to ensure that these
costs are based on the best available
economics and science; and
(E) provide recommendations, to be
published with the final SCC, SCN, and
SCM under subparagraph (A) if feasible,
and in any event by no later than June 1,
2022, to revise methodologies for
calculating the SCC, SCN, and SCM, to the
extent that current methodologies do not
adequately take account of climate risk,
environmental justice, and intergenerational
equity.
(iii) Methodology. In carrying out its activities,
the Working Group shall consider the
recommendations of the National Academies
of Science, Engineering, and Medicine as
reported in Valuing Climate Damages:
Updating Estimation of the Social Cost of
Carbon Dioxide (2017) and other pertinent
scientific literature; solicit public comment;
engage with the public and stakeholders; seek
the advice of ethics experts; and ensure that the
SCC, SCN, and SCM reflect the interests of
future generations in avoiding threats posed by
climate change.
86 Fed. Reg. 7040-41.
6a
Interim Estimates
On February 26, 2021, the Working Group issued a
document entitled “Technical Support Document: Social Cost
of Carbon, Methane, and Nitrous Oxide Interim Estimates
under Executive Order 13990” (“Interim Estimates”).
These Interim Estimates are purportedly identical to
prior estimates developed by another interagency working
group under President Barack Obama in 2016, except that they
have been adjusted for inflation. See ECF No. 6-2, Working
Group, Technical Support Document: Social Cost of Carbon,
Methane, and Nitrous Oxide: Interim Estimates under E.O.
13990
(Feb.
2021),
also
available
at
https://www.whitehouse.gov/wpcontent/uploads/2021/02/TechnicalSupportDocument_Social
CostofCarbonMethaneNitrousOxide.pdf.
Plaintiffs argue that the Interim Estimates are faulty for
a number of reasons, including that the underlying factual
inputs and modeling assumptions are arbitrary and lack a
reasonable basis.3 Plaintiffs rely on a sworn declaration of
Kevin D. Dayaratna, a statistician and data scientist at the
Heritage Foundation’s Center for Data Analysis, in support of
their assertions. Because EO 13990 provides that federal
agencies “shall” use the Interim Estimates “when monetizing
the value of changes in greenhouse gas emissions resulting
For example, Plaintiffs describe in detail why the “discount rate” applied
by the Working Group in developing the Interim Estimates was faulty. The
discount rate is a “percentage factor designed to calculate the net present
value of the future anticipated damages from a marginal increase in
emissions of a particular gas.” ECF No. 18 at 17. According to Plaintiffs,
the discount rates applied by the Working Group were too low, resulting in
exaggerated “social costs” of the corresponding greenhouse gases. See id.
3
7a
from regulations and other relevant agency actions until final
values are published,” 86 Fed. Reg. 7040, Plaintiffs assert that
the Interim Estimates “will inevitably be used to justify
increased regulation and restrictions in innumerable areas,
affecting virtually every aspect of daily life.” ECF No. 18 at
19.
In support of this argument, Plaintiffs cite an academic
review in 2017, which identified “at least eighty-three separate
regulatory or planning proceedings conducted by six different
federal agencies [that] have used the SCC or SCM in their
analyses” through mid-2016. Am. Compl., ECF No. 6 at ¶¶
160-61. These included agency actions related to energy,
transportation, and agriculture, among other areas, and
regulations of everything from ozone standards to household
appliances. Id.
Complaint
Plaintiffs filed suit on March 8, 2021. In their amended
complaint, filed on March 26, 2021, they assert four causes of
action: (1) “Violation of the Separation of Powers,” (2)
“Violation of Agency Statutes,”4 (3) “Procedural Violation of
the Administrative Procedure Act (APA),” and (4)
“Substantive Violation of the APA.” Plaintiffs seek
declaratory and injunctive relief.
Post-Complaint Notice and Guidance from the Executive
Office
Specifically, Plaintiffs assert that “Section 5 of EO 13990 and the
Working Group’s Interim Estimates violate the statutes that confer
authority on various federal agencies to conduct cost-benefit analyses in
regulatory actions that involve emissions of carbon dioxide, methane,
and/or nitrous oxide.” ECF No. 6 at 204.
4
8a
On May 7, 2021, the Office of Management and
Budget (“OMB”) published a notice in the Federal Register,
inviting public comments “on the [Interim Estimates] as well
as on how best to incorporate the latest peer-reviewed science
and economics literature in order to develop an updated set of
SC-GHG estimates.” OMB, Notice of Availability and Request
for Comment on ‘‘Technical Support Document: Social Cost
of Carbon, Methane, and Nitrous Oxide Interim Estimates
Under E.O. 13990”, 86 Fed. Reg. 24669, 24669 (May 7,
2021). Comments were due by June 21, 2021. Id.
On June 3, 2021, the Office of Information and
Regulatory Affairs (“OIRA”) issued a “Frequently Asked
Questions” document related to the Interim Estimates. See
ECF No. 28-4, OIRA, Social Cost of Greenhouse Gas
Emissions: Frequently Asked Questions (FAQs), (June 3,
2021),
also
available
at
https://www.whitehouse.gov/wpcontent/uploads/2021/06/Soc
ial-Cost-of-Greenhouse-Gas-Emissions.pdf. The document
states that agencies should follow EO 13990’s requirement to
use the Interim Estimates “as they follow other requirements
for preparing E.O. 12866 benefit-cost analysis.”5 Id. at 1. The
document further states that “[d]irectives issued in executive
orders and OIRA guidance are always made subject to
applicable law. . . . When an agency conducts benefit-cost
5
EO 12866, issued by President Bill Clinton, directs agencies to follow
certain principles, including assessing costs and benefits of available
regulatory alternatives and selecting approaches that maximize net
benefits, “unless a statute requires another regulatory approach.” Exec.
Order No. 12866, Regulatory Planning and Review, 58 Fed. Reg. 51735 §
1(a) (Sept. 30, 1993). It also establishes a regulatory-review process to be
coordinated by OMB and OIRA. Id.
9a
analysis pursuant to specific statutory authorities, those
authorities must control the agency’s development and use of
the analysis in taking an agency action the issue.” Id. at 2.
Motion to Dismiss
Defendants move to dismiss Plaintiffs’ amended
complaint for lack of subject matter jurisdiction pursuant to
Federal Rule of Civil Procedure 12(b)(1) and, alternatively, for
failure to state a claim pursuant to Rule 12(b)(6). Defendants
assert that Plaintiffs lack standing to pursue their claims
because their allegations of injury all stem from hypothetical
future regulations that they speculate may be issued in reliance
on the Interim Estimates. Defendants further maintain that
Plaintiffs’ alleged injuries are not redressable by a favorable
decision in this lawsuit because, even without EO 13990 or the
Interim Estimates, agencies may consider the social costs of
greenhouse gases and may arrive at the same—or, from
Plaintiffs’ perspective, worse—regulations either in light of
those costs or in light of the myriad other factors considered
by agencies in the rulemaking process.6
Regarding Plaintiffs’ additional allegations of harm to
their sovereign interests or to their ability to participate in the
notice-and-comment rulemaking, Defendants contend that
these, too, are neither concrete nor particularized enough to
demonstrate Article III standing. For similar reasons,
Defendants argue that Plaintiffs’ claims are not ripe. Rather,
6
Defendants argue that a separate redressability problem arises because
Plaintiffs’ request for relief would necessarily require the Court to enjoin
the President’s exercise of his official duties, which the Court cannot do.
Thus, at a minimum, Defendants ask that the Court dismiss President Biden
as a Defendant.
10a
according to Defendants, “[i]f an agency one day relies on the
Interim Estimates to justify some action that actually causes
Plaintiffs a concrete injury, they can challenge that specific
agency action (including its use of the Interim Estimates) at
that time.” ECF No. 28 at 43.
In any event, Defendants argue that Plaintiffs’ claims
are meritless. As to Count One, Defendants maintain that there
is no basis to imply an equitable cause of action arising from
an alleged violation of separation of powers. If there were,
Defendants contend that the claim would fail here because EO
13990 is well within the President’s Article II authority and is
consistent with the longstanding presidential practice of
requiring cost-benefit analyses. Defendants note that that,
since the Ninth Circuit’s decision in Center for Biological
Diversity v. National Highway Traffic Safety Administration,
538 F.3d 1172 (9th Cir. 2008),7 federal agencies have
specifically employed estimates of the social cost of
greenhouse gases prepared by interagency working groups in
connection with related cost-benefit analyses.8
In Center for Biological Diversity, the Ninth Circuit held that an agency’s
failure to monetize the benefits of greenhouse gas emissions reduction as
part of its cost-benefit analysis before issuing a rule setting fuel economy
standards was arbitrary and capricious. 538 F.3d at 1200 (noting that
“while the record shows that there is a range of values, the value of carbon
emissions reduction is certainly not zero”).
7
8
In 2017, President Donald J. Trump issued EO 13783, which disbanded
the Working Group and withdrew its prior analyses as “no longer
representative of the administration’s policy.” Exec. Order 13783 § 5(b),
Promoting Energy Independence and Economic Growth, 82 Fed. Reg.
16093 (Mar. 28, 2017). However, President Trump further ordered that
11a
Regarding Count Two, Defendants contend that no
violation of agency statutes could occur because EO 13990
expressly defers to any conflicting federal statute.
As to Plaintiffs’ claims under the APA (Counts Three
and Four), Defendants maintain that Plaintiffs have not
identified a final agency action from which judicial review
may be sought; that neither the President nor the Working
Group is an agency subject to suit under the APA; and that
even if the Interim Estimates were subject to notice-andcomment requirements under the APA, Plaintiffs’ claim
would still fail under the APA’s harmless-error rule.
Motion for Preliminary Injunction
Plaintiffs oppose Defendants’ motion to dismiss and
affirmatively move to “preliminarily enjoin all defendants,
except for the President, from using the social cost of
greenhouse gases promulgated in the [Interim Estimates] as
binding values in any agency action.” ECF No. 18 at 59.
Plaintiffs assert that the Court “may decide to remand for the
Interim [Estimates] to proceed through notice-and-comment
or invalidate them as arbitrary and capricious.” ECF No. 35 at
“when monetizing the value of changes in greenhouse gas emissions
resulting from regulations, including with respect to the consideration of
domestic versus international impacts and the consideration of appropriate
discount rates, agencies shall ensure, to the extent permitted by law, that
any such estimates are consistent with the guidance contained in [the
Office of Management and Budget] Circular A-4.” Id. § 5(c). According to
Defendants, federal agencies under President Trump continued to estimate
the social cost of greenhouse gases in their cost-benefit analysis, albeit
applying different models to calculate those costs, such as a higher discount
rate.
12a
25. Plaintiffs also request a prompt ruling “[d]ue to the finality
of any rules being promulgated now and the impending
issuance of new social costs of greenhouse gases in January
2022.” ECF No. 17 at 1.
In response to Defendants’ assertions regarding
standing and ripeness, Plaintiffs argue that there is nothing
hypothetical about how agencies will use the Interim
Estimates. According to Plaintiffs, EO 13990 mandates that
federal agencies adopt the Interim Estimates in future
rulemaking, regardless of Plaintiffs’ objections thereto and
without any public input. Plaintiffs contend that their injuries
are not speculative because the Interim Estimates are designed
to and “will inevitably be used to justify increased regulatory
costs in foundational sectors of the American economy,
including energy, agriculture, and manufacturing.” ECF No.
35 at 9.
Plaintiffs maintain that if they wait to challenge the
Interim Estimates until future regulations based on those
numbers are issued—either in the notice-and-comment phase
or through judicial review—their objections “will be
disregarded” and “will receive no meaningful consideration.”
ECF No. 35 at 9, 11. Plaintiffs likewise maintain that their
claims are ripe because the Interim Estimates are a “a selfexecuting regulation” that will result in immediate injuries to
Plaintiffs in the form of “federal regulations using the Interim
Values that will encroach on Plaintiff States’ authority in areas
subject to traditional state regulation.” ECF No. 35 at 27.
Next, Plaintiffs argue that all four factors relevant to
the preliminary injunction analysis favor them. Plaintiffs
argue that they are likely to succeed on the merits of Count
13a
One (Violation of the Separation of Powers) and Count Three
(Procedural Violation of the APA) of their amended
complaint.9 Regarding Count One, Plaintiffs argue that
“dictating binding values for the social cost of greenhouse
gases for use in federal programs is a quintessentially
legislative power that lies exclusively with Congress.” ECF
No. 18 at 22. Thus, Plaintiffs contend that Section 5 of EO
13990 is not a valid exercise of executive power but an
exercise of legislative power that requires statutory authority.
Regarding Count Three, Plaintiffs argue that the
Working Group is an agency under the APA; that the binding
nature of the Interim Estimates render them a final agency
action and a substantive rule under the APA; and that the
Working Group violated the APA’s procedural requirements
when it promulgated the Interim Estimates without providing
notice to the public and an opportunity to comment.
Plaintiffs further assert that, absent a preliminary
injunction, they will suffer irreparable injury in the form of: (i)
deprivation of their ability to file comments objecting to the
Interim Estimates, (ii) deprivation of their ability to participate
meaningfully in future federal agency proceedings, because
the Interim Estimates will be essentially shielded from further
review; (iii) injury to their sovereign interests in administering
Although Plaintiffs’ motion for preliminary injunction does not address
the merits of Counts Two and Four, Plaintiffs discuss these counts in their
opposition to Defendants’ motion to dismiss. There, Plaintiffs assert that
Count Two plausibly alleges that the Working Group is acting ultra vires,
or without statutory authority, and that Count Four plausibly alleges that
the Working Group is an agency and the issuance of the Interim Estimates
a final agency action.
9
14a
“cooperative-federalism programs,”10 because EO 13990
effectively mandates Plaintiffs to employ the Interim
Estimates in administering such programs; (iv) injury to
Plaintiffs’ proprietary interests, because the cost of energy and
other regulatory goods that Plaintiffs consume will
“necessarily increase under the increased regulation mandated
by [EO 13990] and the Interim Estimates” (ECF No. 18 at 51);
and (v) the federalism-based injury inherent in any violation
of the separation of powers.
Finally, Plaintiffs assert that a preliminary injunction
that restores the status quo will impose no cognizable harm on
Defendants and will serve the public interest by promoting
democratic accountability.
In response, Defendants argue that the Court cannot
reach Plaintiffs’ motion because the Court lacks subject matter
jurisdiction. In any event, Defendants maintain that Plaintiffs
would not be entitled to a preliminary injunction because their
claims are meritless, they cannot show any imminent or
irreparable harm, and an injunction would not serve the public
interest.11
DISCUSSION
Standing
10
As one example of a cooperative-federalism program, Plaintiffs cite the
permitting of new stationary sources under the Clean Air Act.
In addition to the parties’ briefs, the Court has received amicus curiae
briefs in support of Plaintiffs’ motion for preliminary injunction on behalf
of the Texas Public Policy Foundation (ECF No. 26) and the Committee
for a Constructive Tomorrow (ECF No. 33).
11
15a
“The law of Article III standing, which is built on
separation-of-powers principles, serves to prevent the judicial
process from being used to usurp the powers of the political
branches.” Clapper v. Amnesty Int'l USA, 568 U.S. 398, 408
(2013). “To establish Article III standing, plaintiffs must show
(1) an injury in fact, (2) a causal relationship between the
injury and the challenged conduct, and (3) that a favorable
decision will likely redress the injury.” Animal Legal Def.
Fund v. Vaught, No. 20-1538, 2021 WL 3482998, at *1 (8th
Cir. Aug. 9, 2021) (citing Lujan v. Defs. of Wildlife, 504 U.S.
555 (1992)). These requirements assure that “there is a real
need to exercise the power of judicial review in order to
protect the interests of the complaining party.” Summers v.
Earth Island Inst., 555 U.S. 488, 493 (2009) (internal citations
omitted).
“The plaintiffs bear the burden of establishing these
elements, and must support each element in the same way as
any other matter on which they bear the burden of proof.”
Vaught, 2021 WL 3482998, at *1 (citing Lujan, 504 U.S. at
561). “On a motion to dismiss, therefore, the plaintiffs must
allege sufficient facts to support a reasonable inference that
they can satisfy the elements of standing.” Vaught, 2021 WL
3482998, at *1. “The plaintiff must assert facts that
affirmatively and plausibly suggest that the pleader has the
right he claims (here, the right to jurisdiction), rather than facts
that are merely consistent with such a right.” In re Polaris
Mktg., Sales Pracs., & Prod. Liab. Litig., No. 20-2518, 2021
WL 3612758, at *2 (8th Cir. Aug. 16, 2021) (citation omitted).
Injury in fact is “‘an invasion of a legally protected
interest’ that is ‘concrete and particularized’ and ‘actual or
16a
imminent, not conjectural or hypothetical.’” Spokeo, Inc. v.
Robins, 578 U.S. 856, 136 S. Ct. 1540, 1548, as revised (May
24, 2016) (quoting Lujan, 504 U.S. at 560)). “A ‘concrete’
injury must be ‘de facto’; that is, it must actually exist” in
reality, rather than in the abstract.” Spokeo, 136 S. Ct. at1548.
“For an injury to be ‘particularized,’ it must affect the plaintiff
in a personal and individual way.” Id.
“Although imminence is concededly a somewhat
elastic concept, it cannot be stretched beyond its purpose,
which is to ensure that the alleged injury is not too speculative
for Article III purposes—that the injury is certainly
impending.” Clapper, 568 U.S. at 409 (emphasis in original
and citations omitted). “[A]llegations of possible future
injury are not sufficient.” Id. (emphasis in original).
“For causation to exist, the injury has to be fairly
traceable to the challenged action of the defendant, and not the
result of the independent action of some third party not before
the court.” Agred Found. v. U.S. Army Corps of Eng’g, 3 F.4th
1069, 1073 (8th Cir. 2021) (citation omitted). This “requires
the plaintiff to show a sufficiently direct causal connection
between the challenged action and the identified harm. That
connection cannot be overly attenuated.” Id.
“[W]hen the plaintiff is not himself the object of the
government action or inaction he challenges, standing is not
precluded, but it is ordinarily substantially more difficult to
establish.” Lujan , 504 U.S. at 562. “To satisfy that burden,
the plaintiff must show at the least that third parties will
likely react in predictable ways.” California v. Texas , 141
S. Ct. 2104, 2117 (2021) (citing Dep’t of Commerce v. New
York , 139 S. Ct. 2551, 2566 (2019)).
17a
Redressability, the third element of standing, requires
plaintiff to show that “it is likely, as opposed to merely
speculative, that the injury will be redressed by a favorable
decision.” Lujan, 504 U.S. at 561. In assessing redressability,
the court must “consider the relationship between the judicial
relief requested and the injury suffered.” California v. Texas,
141 S. Ct. 2104, 2115 (2021).
Plaintiffs have failed to establish any of these three
elements.
Injury in Fact
Plaintiffs ask the Court to assume that at some point in
the future, one or more agencies will “inevitably” issue one or
more regulations that rely in some way upon the Interim
Estimates; that such agency will “inevitably” disregard any
objections to the methodology by which the Interim Estimates
were calculated; and that this yet-to-be identified regulation
will then harm Plaintiffs in a concrete and particularized way.
This “theory of standing, which relies on a highly attenuated
chain of possibilities, does not satisfy the requirement that
threatened injury must be certainly impending.” See Clapper,
568 U.S. at 410.
Summers v. Earth Island Institute, 555 U.S. 488 (2009)
is instructive. There, the Supreme Court held that
environmental organizations lacked standing to challenge
regulations that exempted a salvage sale of timber on the
ground that they failed to demonstrate injury in fact. In so
reasoning, the Supreme Court explained that the regulations at
issue “neither require[d] nor forb[ade] any action on the part
of the [organizations]” but instead merely prescribed
“standards and procedures” that governed “the conduct of
18a
Forest Service officials engaged in project planning.” 555
U.S. at 493; see also Clapper, 568 U.S. at 401 (holding
that the respondents’ theory that there was “an objectively
reasonable likelihood that their communications will be
acquired under [challenged statute permitting electronic
surveillance] at some point in the future [was] . . . too
speculative to satisfy the well-established requirement that
threatened injury must be ‘certainly impending’”).
Likewise here, EO 13990 neither requires nor forbids
any action on the part of Plaintiffs but instead merely
prescribes standards and procedures governing the conduct of
federal agencies engaged in rulemaking and other agency
actions when monetizing the value of changes in greenhouse
gas emissions. In such cases, standing is “substantially
more difficult to establish.” Lujan, 504 U.S. at 562.
Plaintiffs argue that cases like Summers and Clapper
do not apply “because instead of merely authorizing the injury,
. . . the Executive Order mandates the Interim [Estimates].”12
12
Plaintiffs also argue that “Summers merely stands for the unremarkable
proposition that a plaintiff lacks an injury to challenge procedural
regulations after settling the substantive claim causing the injury.” ECF
No. 35 at 16. The environmental organizations in Summers challenged
Forest Service regulations in general and as they applied to a particular
project (the Burnt Ridge project). See Summers, 555 U.S. at 490- 91. The
Supreme Court noted that the organizations would have established
standing with respect to the Burnt Ridge project, but by the time the case
reached the Supreme Court, the parties had settled their dispute over that
project. Id. at 494. Thus, the only challenge remaining was a challenge to
“the regulation in the abstract . . . , apart from any concrete application
that threaten[ed] imminent harm to [the organizations’] interests.” Id.
That procedural challenge in the abstract is the one that Plaintiffs here
19a
ECF No. 35 at 21. But Interim Estimates, alone, do not injure
Plaintiffs. Cf. City of Kennett, Mo. v. Env’t Prot. Agency, 887
F.3d 424, 431–32 (8th Cir. 2018) (holding that a city had
standing to challenge a “total maximum daily load” standard
for pollutants in a particular ditch where the standard directly
injured the city in the form of compliance costs). The injury
that Plaintiffs fear is from hypothetical future regulation
possibly derived from these Estimates. That injury is not
concrete and therefore insufficient for standing. See Nat’l
Ass’n of Home Builders v. E.P.A., 667 F.3d 6, 13 (D.C. Cir.
2011) (rejecting theory of standing based on only the
“possibility of [harmful] regulation” by federal agency)
(emphasis in original).
Causation and Redressability
For similar reasons, Plaintiffs have failed to establish
causation or redressability. In light of the inherently
speculative nature of Plaintiffs’ alleged harm, it is unknowable
in advance whether that harm caused by possible future
regulations would have any causal connection to EO 13990 or
the Interim Estimates. The causal chain, supported by a
number of bare assumptions, is too weak for standing.
It is true, as Plaintiffs assert, that, “Article III requires
no more than de facto causality,” which may be satisfied by
showing “the predictable effect of Government action on the
decisions of third parties.” Dep’t of Commerce, 139 S. Ct. at
raise. And the Supreme Court was clear that plaintiffs lack standing to
pursue such a challenge in the absence of concrete, imminent harm.
Id. The Court observed that, to hold otherwise, “would fly in the face
of Article III's injury-in-fact requirement.” Id.
20a
2566. But the actions of the third parties here are far from
predictable.
In support of their argument otherwise, Plaintiffs rely
heavily on Bennett v. Spear, 520 U.S. 154 (1997), in which the
Supreme Court held that a group of ranchers and irrigation
districts had standing to challenge a Fish and Wildlife Service
biological opinion that had the effect of requiring minimum
water levels in particular reservoirs. The government in that
case conceded that, although the biological opinion purported
to be “advisory,” the relevant “statutory scheme presuppose[d]
that the biological opinion [would] play a central role in the
action agency’s decisionmaking process,” such that the
opinion “alter[ed] the legal regime to which the agency [was]
subject” and had a “virtually determinative effect” on the
agency’s resulting water level restrictions. Id. at 169-70
(emphasis added). In other words, the biological opinion
prescribed a particular action (imposition of water level
restrictions) which the agency was required to take or face
significant consequences, and that particular action posed
imminent injury to petitioners in the form of reduced irrigation
water. See id. at 170-71. The Supreme Court thus concluded
the petitioners’ injury was fairly traceable to the biological
opinion. Id. at 171.
Unlike the biological opinion in Bennett, neither EO
13990 nor the Interim Estimates mandate agencies issue the
particular regulations that Plaintiffs fear will harm them. As
noted above, the mandate in EO 13990 on which Plaintiffs
focus is limited to one of innumerable other factors in the costbenefit analysis conducted by a wide range of agencies in an
even wider range of regulatory contexts, and only to the extent
21a
consistent with applicable law. It is implausible to suggest that
the Interim Estimates alters the legal regime to which agencies
are subject.
Indeed, when asked at oral argument to explain how
exactly the Interim Estimates would apply in future agency
actions, Plaintiffs could not. Because they do not yet know.
Neither does this Court. There is simply no way to predict how
the Interim Estimates will affect an agency’s analysis, if at all,
without resorting to sheer speculation.
For similar reasons, Plaintiffs fail to demonstrate
redressability. Redressability may be shown “where a
favorable decision avoids, or at least delays, a regulatory
burden.” City of Kennett, 887 F.33d at 432 (citations omitted).
Plaintiffs’ requested relief in this case would do neither. Even
if the Court were to declare the Interim Estimates non-binding,
agencies would be free to—and may be required to, see Center
for Biological Diversity, 538 F.3d at 1200—consider the
social costs of greenhouse gas emissions. And agencies may
arrive at the same or even more costly regulations at the same
speed or even more quickly than Plaintiffs currently predict.
In short, Plaintiffs are attempting to do what the
Supreme Court cautioned against in Lujan, 497 U.S. 871.
“Instead of attacking the separate [rules or regulations]
allegedly causing them harm, [Plaintiffs] chose to challenge a
more generalized level of Government action.” 504 U.S. at
568. “This programmatic approach has obvious practical
advantages, but also obvious difficulties insofar as proof of
causation or redressability is concerned” and is “rarely if ever
appropriate for federal-court adjudication.” Id. Rather, a
“case-by-case approach . . . [while] understandably
22a
frustrating” to Plaintiffs, “is the traditional, and remains the
normal, mode of operation of the courts.” Lujan v. Nat’l
Wildlife Fed’n, 497 U.S. 871, 894 (1990).
Relaxed Requirements for Procedural Injuries or for State
Plaintiffs
Plaintiffs argue that the standing requirements are
somewhat relaxed in this case for two reasons: (1) because
they have suffered a “procedural injury” in that they have been
denied the ability to file comments on the Interim Estimates,
and (2) because states in general are “entitled to special
solicitude in the Court’s standing analysis,” Massachusetts v.
EPA, 549 U.S. 497, 520 (2007). Both arguments are without
merit.
The Supreme Court has made clear that “deprivation
of a procedural right without some concrete interest that is
affected by the deprivation—a procedural right in vacuo— is
insufficient to create Article III standing.” Summers, 555 U.S.
at 496; see also Spokeo, 136 S. Ct. at 1549 (“[A plaintiff] could
not, for example, allege a bare procedural violation, divorced
from any concrete harm, and satisfy the injury-in-fact
requirement of Article III.”). Put simply, an allegation of
“‘procedural’ standing to challenge the . . . failure to provide
notice and an opportunity to submit comments pursuant to the
APA” is destined to fail where “no imminent injury in fact has
been alleged.” Nat’l Ass'n of Home Builders v. E.P.A., 667
F.3d 6, 15–16 (D.C. Cir. 2011); see also Summers, 555 U.S. at
497 (“Unlike redressability, . . . the requirement of injury in
fact is a hard floor of Article III jurisdiction that cannot be
removed by statute.”). As explained above, Plaintiffs have not
alleged imminent injury in fact. Therefore, they lack standing.
23a
Neither are Article III’s requirements excused merely
because a state sues in its sovereign capacity. In Massachusetts
v. EPA, a group of states sued the EPA, alleging that the
agency’s failure to regulate greenhouse gas emissions violated
the Clean Air Act and caused them injury in the form of harm
to their states’ environments. Massachusetts, 549 U.S. at 504.
The Supreme Court held that because one of the plaintiff
states, Massachusetts, “own[ed] a substantial portion of the
state’s coastal property, . . . it ha[d] alleged a particularized
injury in its capacity as a landowner.” Id. at 522. In so holding,
the Court rejected the EPA’s argument that, because the harm
from climate change is “widely shared,” it is the sort of
“generalized harm” that is insufficient to establish Article III
jurisdiction. Id. at 516-23. Rather, the Court held that “States
are not normal litigants for the purposes of invoking federal
jurisdiction,” because of their unique “desire to preserve
[their] sovereign territory.” Id. at 518-19. As such, the Court
accorded Massachusetts “special solicitude in [the] standing
analysis.” Id. at 520.
“Lower courts have lamented the ‘lack of guidance on
how they are to apply the special solicitude doctrine to
standing questions.’”13 California v. Trump, No. CV 19- 960
13
The Fifth Circuit recently described the doctrine has having “two
requirements: (1) the State must have a procedural right to challenge the
action in question, and (2) the challenged action must affect one of the
State's quasi-sovereign interests.” State v. Biden, No. 21-10806, 2021 WL
3674780, at *5 (5th Cir. Aug. 19, 2021). Like the Supreme Court in
Massachusetts v. EPA, the Fifth Circuit in Biden found that at least one
state litigant (Texas) had shown actual and imminent injuries that directly
flowed from—and could be redressed by enjoining—the agency’s
24a
(RDM), 2020 WL 1643858, at *6 (D.D.C. Apr. 2, 2020)
(quoting Wyoming v. U.S. Dep’t of Interior, 674 F.3d 1220,
1238 (10th Cir. 2012)). But whatever the exact meaning, it is
at least clear that “[t]his special solicitude does not eliminate
the state petitioner’s obligation to establish a concrete injury.”
Wyoming, 674 F.3d at 1238 (emphasis in original).
Massachusetts established such a concrete and
particularized injury to its coastal property. See
Massachusetts, 549 U.S. at 522. Plaintiffs here have not. Their
injuries are merely speculative, which is insufficient for
standing. See California, 2020 WL 1643858, at *7 (“[T]he
special-solitude and procedural-injury doctrines do not—and
cannot—alter the irreducible constitutional minimum of
standing reflected in the elements of injury in fact, causation,
and redressability.”).
Ripeness
Besides standing, Plaintiffs face another, closely
related jurisdictional barrier. Their claims are not ripe.
“Ripeness is a justiciability doctrine designed to prevent the
courts, through avoidance of premature adjudication, from
entangling themselves in abstract disagreements over
administrative policies, and also to protect the agencies from
immigration-related action in that case. 2021 WL 3674780, at *4. But to
“remove any lingering doubt” as to redressability, the Fifth Circuit noted
that the special solicitude doctrine made this prong of standing “easier to
establish for certain state litigants than for other litigants.” 2021 WL
3674780, at *6. Here, even giving Plaintiffs the benefit of doubt that the
solicitude doctrine may afford, Plaintiffs cannot establish redressability or
any of the other Article III requirements.
25a
judicial interference until an administrative decision has been
formalized and its effects felt in a concrete way by the
challenging parties.” Nat’l Park Hosp. Ass’n v. Dep’t of
Interior, 538 U.S. 803, 807–08, (2003). “The touchstone of a
ripeness inquiry is whether the harm asserted has matured
enough to warrant judicial intervention.” Parrish v. Dayton,
761 F.3d 873, 875 (8th Cir. 2014) (citation omitted). The
doctrine “is drawn both from Article III limitations on judicial
power and from prudential reasons for refusing to exercise
jurisdiction.” Nat’l Park Hosp. Ass’n, 538 U.S. at 808.
“Determining whether administrative action is ripe for
judicial review requires us to evaluate (1) the fitness of the
issues for judicial decision and (2) the hardship to the parties
of withholding court consideration.” Id. “Both of these factors
are weighed on a sliding scale, but each must be satisfied to at
least a minimal degree.” City of Kennett, 887 F.3d at 432.
“Absent a statutory provision providing for immediate judicial
review, a regulation is not ordinarily considered the type of
agency action ‘ripe’ for judicial review under the . . . APA . . .
until the scope of the controversy has been reduced to more
manageable proportions, and its factual components fleshed
out, by some concrete action applying the regulation to the
claimant’s situation in a fashion that harms or threatens to
harm him.” Nat’l Park Hosp. Ass’n, 538 U.S. at 808.
Plaintiffs’ claims are not ripe for judicial review
because any impact of EO 13990 and the Interim Estimates
cannot “be said to be felt immediately” by Plaintiffs (if at all)
“in conducting their day-to-day affairs,” and because “no
irremediably adverse consequences flow[] from requiring a
later challenge.” See id. at 810 (citation omitted); see also
26a
State v. Yellen, No. 4:21CV376 HEA, 2021 WL 1889867, at
*5 (E.D. Mo. May 11, 2021) (dismissing Missouri’s challenge
to the American Rescue Plan Act on both standing and
ripeness grounds where “Missouri asked the Court to
determine the scope of the ARPA’s Offset Restriction well in
advance of any adverse effect and in a wholly, non-actionable
hypothetical context”).
In Ohio Forestry Association, Inc. v. Sierra Club, 523
U.S. 72 (1998), the Supreme Court held that a challenge to a
Forest Service plan alleging excess logging was not ripe for
judicial review because “[a]lthough the Plan set[] logging
goals, select[ed] the areas of the forest that [were] suited to
timber production, . . . and determine[d] which probable
methods of timber harvest [were] appropriate, . . . it [did] not
itself authorize the cutting of any trees.” 523 U.S. at 729.
Before the logging could take place, the Forest Service had to
“(a) propose a specific area in which logging will take place
and the harvesting methods to be used . . . ; (b) ensure that the
project is consistent with the Plan . . . ; (c) provide those
affected by proposed logging notice and an opportunity to be
heard . . . ; (d) conduct an environmental analysis . . . ; and (e)
subsequently make a final decision to permit logging, which
affected persons may challenge in an administrative appeals
process and in court . . . .” Id. at 729-30.
Likewise here, there is “considerable legal distance”
between the adoption of the Interim Estimates and the
moment—if one occurs—when a harmful regulation is issued.
See id. at 730. Withholding the Court’s consideration at
present will not cause Plaintiffs significant hardship. The time
or expense of having to pursue numerous challenges to each
27a
allegedly harmful regulation, rather than cutting the regulatory
process off prematurely, is not the type of harm sufficient to
justify immediate review. See id. at 734-35 (holding that the
fact that it would “be easier, and certainly cheaper, to mount
one legal challenge against the Plan now, than to pursue many
challenges to each site-specific logging decision to which the
Plan might eventually lead [is not] . . . sufficient by itself to
justify review in a case that would otherwise be unripe”).
The Court does not mean to disregard Plaintiffs’ fears
of future economic harm. But Plaintiffs will have ample
opportunity to bring legal challenges to particular regulations
if those regulations pose imminent, concrete, and
particularized injury. For example, in Zero Zone, Inc. v. United
States Department of Energy, the Seventh Circuit considered
a challenge to a Department of Energy (DOE) regulation of
the type Plaintiffs here fear—namely, a rule establishing new
energy efficiency standards for commercial refrigeration
equipment. That rule was developed after the agency
conducted a cost benefit analysis that considered, among other
factors, “an estimate of the monetized damages associated
with an incremental increase in carbon emissions in a given
year, known as the Social Cost of Carbon (‘SCC’).” 832 F.3d
654, 677 (7th Cir. 2016).
The petitioners contended that the relevant statutory
authority did not permit the DOE to consider environmental
factors and that the DOE’s analysis of the SCC was itself
arbitrary and capricious. Id. at 677. Like the Plaintiffs here, the
petitioners contended that the calculation of the SCC was
“irredeemably flawed” for a number of reasons and that the
DOE acted arbitrarily by accounting for indirect global
28a
benefits to the environment while ignoring indirect costs such
as the effects on displaced workers. Id. at 678. The Seventh
Circuit considered the petitioners’ arguments and held that the
DOE adequately responded to the petitioners’ concerns during
its notice-and-comment period and that the DOE’s analysis
was not arbitrary or capricious. Id.
In other words, the petitioners in Zero Zone, like many
others with similar concerns,14 had a full and fair opportunity
to address their objections to the SCC through the normal
review process under the APA—first, before the agency itself
and later, through judicial review. So, too, would Plaintiffs
here.15 Plaintiffs’ speculation that their objections will be
14
Indeed, as Defendants note, several courts have considered challenges to
specific agency actions on the theory that an agency inappropriately
accounted for the social costs of greenhouse gases. See, e.g., Ctr. for
Biological Diversity, 538 F.3d at 1203; Wyoming v. Dep’t of the Interior,
493 F. Supp. 3d 1046, 1080 (D. Wyo. 2020).
15
Plaintiffs suggest—cautiously, so as not to foreclose anticipated future
lawsuits— that the Supreme Court’s decision in Dep’t of Homeland Sec. v.
Regents of the Univ. of Cal., 140 S. Ct. 1891, 1910 (2020) “cast doubt” on
the notion that Plaintiffs could challenge the Interim Estimates as part of a
later complaint regarding agency action. See ECF No. 35 at 10. Regents
involved a challenge to the Department of Homeland Security’s (DHS)
recission of the Deferred Action for Childhood Arrivals (DACA) program.
140 S. Ct. at 1891. In rescinding DACA, DHS acted on the Attorney
General’s advice. Id. The Court noted that the Immigration and Nationality
Act (INA) bound DHS to the Attorney General’s legal conclusions and,
therefore, raised the question of whether a suit challenging DHS’s decision
was the “proper vehicle” for attacking the Attorney General’s underlying
legal conclusions. Id. at 1910. But because the parties had not addressed
that question in their briefs, the Court did not resolve it. Id. In other words,
Regents did not involve an executive order at all, raised a question
29a
“disregarded” or “receive no meaningful consideration” (ECF
No. 35, at 9, 11) is just that; it is not supported by well-pled
facts.
In fact, the evidence suggests the opposite. In their
motion for a preliminary injunction, Plaintiffs describe a
recent proceeding before the Federal Energy Regulatory
Commission (FERC), in which FERC “request[ed] comments
on whether ‘the [Natural Gas Act], [National Environmental
Policy Act], or other federal statute[s] authorize[d] or
mandate[d] the use of Social Cost of Carbon (SCC) analysis
by [FERC] in its consideration of certificate applications.’”
ECF No. 18 at 35 (quoting Notice of Inquiry, Certification of
New Interstate Natural Gas Facilities, 86 Fed. Reg. 11,268-72
(Feb. 24, 2021)). FERC also “ask[ed] for comment on how the
SCC could be ‘used to determine whether a proposed project
is required by public convenience and necessity,’ because that
is the statutory language that Congress requires FERC to meet
when certifying a new pipeline.” Id. at 26.
Plaintiffs state that they “took advantage of this
process and commented.”16 Id. at 35 n.7; see also ECF No. 35
involving a unique provision of the INA not relevant here, and, in any
event, did not answer the question. Regents is thus inapposite. Plaintiffs
have not cited, and the Court has not found, any legal authority that would
preclude Plaintiffs from challenging the Interim Estimates as part of a later
challenge to agency action. To the contrary, such claims are regularly heard
by federal courts. E.g., Zero Zone, 832 F.3d at 677.
16
At oral argument, Plaintiffs also described a newly proposed EPA rule
regarding emissions standards for light duty vehicles that allegedly relies
on the Interim Estimates. Plaintiffs stated that they intended to participate
30a
at 16 n.1 (noting that their comments “explain[ed] that the
Interim Values are arbitrary, outdated, and the process lacks
transparency”). Plaintiffs have not suggested that FERC
disregarded their comments. But if that happens, and if FERC
then takes some action that harms Plaintiffs in a concrete and
particularized way, Plaintiffs may seek relief in the
appropriate court, after exhausting any applicable
administrative remedies and complying with any applicable
statutory authority.17 See, e.g., 15 U.S.C. § 717r(b) (setting
forth the procedures for seeking review of FERC orders under
the Natural Gas Act); N.J. Conservation Found. v. Fed.
Energy Regul. Comm'n, 353 F. Supp. 3d 289, 295 (D.N.J.
2018) (“[T]he courts of appeals have exclusive jurisdiction to
review all matters inhering in natural gas pipelines certificate
proceedings before FERC.”).
In short, the Court agrees with Defendants’
assessment:
A court’s determination of the legality of an
agency’s reliance on the Interim Estimates will
necessarily be informed by the specific
statutory directives that Congress has provided
to guide the agency’s actions. The Court cannot
meaningfully
engage
with
Plaintiffs’
arguments en masse, divorced from the context
in the notice-and-comment proceedings with respect to this rule and, if
appropriate, seek judicial relief in the proper forum.
17
As Defendants correctly note, the fact that governing statutes may vest
jurisdiction to challenge particular regulations or orders exclusively in
certain courts, such as the federal courts of appeal, makes premature review
by this Court particularly inappropriate.
31a
of particular agencies operating under specific
statutory delegations of authority.
ECF No. 28 at 50. That is to say, “further factual development
would significantly advance [the court’s] ability to deal with
the legal issues presented and would aid . . . in their
resolution.” Ohio Forestry Ass’n, 523 U.S. at 737.
For all of these reasons, the Court will grant
Defendants’ motion to dismiss for lack of subject matter
jurisdiction. Doing so properly responds to the separation-of
powers concerns raised by Plaintiffs by respecting the limits
of judicial power.
Remaining Motions and Arguments
Because the Court lacks jurisdiction, it must dismiss
this lawsuit without prejudice and without reaching the merits
of Plaintiffs’ claims or Plaintiffs’ motion for preliminary
injunction.
CONCLUSION
Accordingly,
IT IS HEREBY ORDERED that Defendants’ motion
to dismiss for lack of subject matter jurisdiction is
GRANTED. ECF No. 27.
IT IS FURTHER ORDERED that Plaintiffs’ motion
for a preliminary injunction is DISMISSED as moot. ECF No.
17.
A separate Order of Dismissal will accompany this
Memorandum and Order.
32a
AUDREY G. FLEISSIG
UNITED STATES DISTRICT
JUDGE
Dated this 31st day of August, 2021.
33a
UNITED STATES DISTRICT COURT EASTERN
DISTRICT OF MISSOURI EASTERN DIVISION
STATE OF
MISSOURI, et al.,
)
)
)
Plaintiffs,
)
)
v.
) Case No. 4:21-cv-00287-AGF
)
JOSPEH R.
)
BIDEN, JR., et al.,
)
ORDER OF DISMISSAL
Pursuant to the Memorandum and Order issued herein
on this day,
IT IS HEREBY ORDERED, ADJUDGED, and
DECREED that this case is DISMISSED without
prejudice.
AUDREY G. FLEISSIG
UNITED STATES DISTRICT JUDGE
Dated this 31st day of August, 2021.
34a
United States Court of Appeals
For the Eighth Circuit
___________________________
No. 21-3013
___________________________
State of Missouri, et al.
Plaintiffs - Appellants
v.
Joseph R. Biden, Jr., in his official capacity as
the President of the United States of America, et al.
Defendants - Appellees
-----------------------------Committee for a Constructive Tomorrow
Amicus on Behalf of Appellants
____________
Appeal from United States District Court
for the Eastern District of Missouri - St. Louis
____________
Submitted: June 16, 2022
Filed: October 21, 2022
____________
Before LOKEN and KELLY, Circuit Judges, and
MENENDEZ, District Judge.*
____________
*The Honorable Katherine M. Menendez, United States
District Judge for the District of Minnesota, sitting by
designation.
35a
LOKEN, Circuit Judge.
Upon taking office, President Joseph Biden issued
Executive Order 13990 (“E.O. 13990”), entitled “Protecting
Public Health and the Environment and Restoring Science To
Tackle the Climate Crisis,” and invoking “the authority vested
in me as President by the Constitution and the laws of the
United States of America.” 86 Fed. Reg. 7037 (Jan. 20, 2021).
E.O. 13990 expressly revoked or suspended numerous
Executive Orders issued by his predecessor, President Donald
Trump. See id. at 7041-42. The revoked orders included
Executive Order 13783 (“E.O. 13783”), in which President
Trump disbanded an Interagency Working Group on the
Social Cost of Greenhouse Gases (“IWG”) established by
President Barack Obama. 82 Fed. Reg. 16093, 16095-96 (Mar.
28, 2017). E.O. 13990 re-established the IWG with members
from multiple cabinet-level and executive branch agencies,1
directed the IWG to publish interim and then final estimates
of the social costs of greenhouse gas emissions (hereafter,
“interim SC-GHG estimates”), and required federal agencies
to use these estimates when monetizing the costs and benefits
of future agency actions and regulations. 86 Fed. Reg. at 704041.
1
The IWG is co-chaired by the Chair of the Council of Economic Advisers,
the Director of the Office of Management and Budget (OMB), and the
Director of the Office of Science and Technology Policy. It includes the
Secretaries of the Treasury, the Interior, Agriculture, Commerce, Health
and Human Services, Transportation, and Energy; the Chair of the Council
on Environmental Quality; the Administrator of the Environmental
Protection Agency; the Assistant to the President and National Climate
Advisor; and the Assistant to the President for Economic Policy and
Director of the National Economic Council, or their designees. 86 Fed.
Reg. at 7040.
36a
The IWG published interim SC-GHG estimates in
February 2021; final estimates have not yet been published.
The State of Missouri and twelve other States2 then filed this
action against President Biden, the IWG, numerous federal
officials, departments, and agencies. In their March 26, 2021,
First Amended Complaint, the States requested injunctive and
declaratory relief, asserting four causes of action: (1)
“Violation of the Separation of Powers;” (2) “Violation of
Agency Statutes;” (3) “Procedural Violation of the APA”; and
(4) “Substantive Violation of the APA.” The States moved for
a preliminary injunction prohibiting “defendants, except for
the President, from using the [interim SC-GHG estimates] as
binding values in any agency action.” The Defendants moved
to dismiss for lack of subject matter jurisdiction under Federal
Rule of Civil Procedure 12(b)(1), and for failure to state a
claim under Rule 12(b)(6), arguing that the States lack Article
III standing, and that their challenges to the interim SC-GHG
estimates are not ripe for adjudication and are meritless. The
district court3 concluded the States lack Article III standing
and their claims are not ripe for adjudication, granted
Defendants’ motion to dismiss for lack of subject matter
jurisdiction, and denied Plaintiffs’ motion for a preliminary
injunction as moot. Missouri v. Biden, 558 F. Supp. 3d 754
(E.D. Mo. 2021).4
2
Alaska, Arizona, Arkansas, Indiana, Kansas, Montana, Nebraska, Ohio,
Oklahoma, South Carolina, Tennessee, and Utah.
3
The Honorable Audrey G. Fleissig, United States District Judge for the
Eastern District of Missouri.
4
The district court did not reach Defendants’ contention that the States’
claims are without merit, and neither do we. With respect to future
challenges to the merits of the SC-GHG estimates, the dismissal is without
37a
The Plaintiff States appeal, arguing they have Article
III standing, their claims are ripe for adjudication, and we
should remand with directions to enter the requested
preliminary injunction. We review the issues of Article III
standing and ripeness de novo. Missouri v. Yellen, 39 F.4th
1063, 1067 (8th Cir. 2022). We conclude that the States are
requesting a federal court to grant injunctive relief that directs
“the current administration to comply with prior
administrations’ policies on regulatory analysis [without] a
specific agency action to review,” a request that is “outside the
authority of the federal courts” under Article III of the
Constitution. Louisiana by & through Landry v. Biden, No.
22-30087, 2022 WL 866282, at *3 (5th Cir. Mar. 16), appeal
to vacate denied, 142 S. Ct. 2750 (May 26, 2022).
Accordingly, we affirm.
I. Background
Dating back at least to President Richard Nixon’s
administration, Presidents have instituted procedures
coordinating federal agency actions, and, of particular
relevance here, requiring agencies to engage in quantified
cost-benefit analyses before imposing or adjusting regulatory
burdens. Article II, Section 1 of the Constitution vests
“executive Power” in the President. It is not a shared power.
The President and his White House staff have a “basic need . .
. to monitor the consistency of executive agency regulations
with Administration policy.” Subject of course to statutory
limits and directives, this need demands the creation of
interagency working groups or teams whose purposes are to
prejudice, like the Rule 12(b)(1) dismissal in Yeransian v. B. Riley FBR,
Inc., 984 F.3d 633, 636 (8th Cir. 2021).
38a
advise the President on policy questions that affect numerous
agencies, and to communicate to those agencies the policies
the President adopts for his administration. See, e.g., Sierra
Club v. Costle, 657 F.2d 298, 405-06 & n.524 (D.C. Cir.
1981). Thus, we reject the States’ broad contention that the
IWG’s SC-GHG estimates are invalid because the IWG
possesses “no delegation of any legislative authority” by
Congress. The IWG was formed by the President to
communicate his policies to agencies in exercising their
delegated legislative authority. We may not prohibit this
sensible exercise of the President’s executive power. The
policies here at issue affect the manner in which agencies
engage in quantified cost-benefit analysis before adopting
regulations or implementing agency actions, an analysis that
is now universally recognized as critical to the proper exercise
of executive power. See, e.g., Meyer v. Bush, 981 F.2d 1288,
1298 (D.C. Cir. 1993) (President Reagan’s Task Force on
Regulatory Relief); Exec. Order No. 12866, 58 Fed. Reg.
51,735 (Sept. 30, 1993); Off. of Mgmt. & Budget (“OMB”),
Exec. Off. of the President, OMB Circular A-4, at 1, 27 (Sept.
17, 2003). As the history of EO 13990 makes clear, this type
of analysis raises complex, controversial issues that trigger
intense political, economic, and environmental disagreement.
But absent a specific controversy that falls within the
judiciary’s Article III power to decide Cases and
Controversies, these policy disagreements are for the people
to decide through their elected representatives in the
legislative and executive branches of government. See
TransUnion LLC v. Ramirez, 141 S. Ct. 2190, 2203 (2021).
39a
As the focus on climate change intensified in recent
decades, Executive Branch cost-benefit analyses began
incorporating the direct and indirect effects of greenhouse gas
emissions caused by agency actions. To ensure interagency
consistency, President Obama in 2010 established the first
IWG to define a standard estimate for the social cost of carbon.
See IWG, Technical Support Document: Social Cost of
Carbon for Regulatory Impact Analysis Under Executive
Order 12866 (Feb. 2010). The initial estimates were revised
and republished after an Administrative Procedure Act
(“APA”) notice and comment period. See IWG, Response to
Comments: Social Cost of Carbon for Regulatory Impact
Analysis Under Executive Order 12866 (July 2015). Estimates
for methane and nitrous oxide were added in 2016.5
In E.O. 13783, President Trump disbanded the IWG
and set aside its SC-GHG estimates. E.O. 13783 allowed
agencies to continue to use their own SC-GHG estimates in a
manner consistent with general processes for agency costbenefit analysis. See 82 Fed. Reg. at 16095-96. In E.O. 13990,
President Biden established a reconstituted IWG and directed
it to publish interim and final SC-CHG estimates “as
appropriate and consistent with applicable law.” The IWG’s
interim SC-GHG estimates, published on February 26, 2021,
were the same as the Obama IWG’s estimates, adjusted for
inflation. See IWG, Technical Support Document: Social Cost
5
See IWG, Addendum to Technical Support Document on Social Cost of
Carbon for Regulatory Impact Analysis under Executive Order 12866:
Application of the Methodology to Estimate the Social Cost of Methane
and the Social Cost of Nitrous Oxide (Aug. 2016).
40a
of Carbon, Methane, and Nitrous Oxide Interim SC-GHG
estimates under Executive Order 13990 (Feb. 2021).
After this suit was filed but before the district court
ruled on the parties’ cross motions, the OMB opened a notice
and comment period on the interim SC-GHG estimates and on
strategies for incorporating contemporary science and
economics research in defining the final estimates. OMB,
Notice of Availability and Request for Comment on
“Technical Support Document: Social Cost of Carbon,
Methane, and Nitrous Oxide Interim SC-GHG estimates
Under E.O. 13990”, 86 Fed. Reg. 24669 (May 7, 2021). In
June 2021, the Office of Information and Regulatory Affairs
(“OIRA”) published a document clarifying that agencies must
use the IWG’s interim SC-GHG estimates in complying with
the general cost-benefit analysis principles adopted in
Executive Order 12866 and applicable statutes. OIRA, Social
Cost of Greenhouse Gas Emissions: Frequently Asked
Questions (FAQs) (June 3, 2021).
II. The Plaintiff States Lack Article III Standing
“Standing to sue is a doctrine rooted in the traditional
understanding of a case or controversy.” Spokeo, Inc. v.
Robins, 578 U.S. 330, 338 (2016). It “serves to prevent the
judicial process from being used to usurp the powers of the
political branches.” Clapper v. Amnesty Int’l USA, 568 U.S.
398, 408 (2013). The “irreducible constitutional minimum of
standing” requires plaintiffs to show they “(1) suffered an
injury in fact, (2) that is fairly traceable to the challenged
conduct of the defendant, and (3) that is likely to be redressed
by a favorable judicial decision.” Spokeo, 578 U.S. at 338
(quotation and citations omitted). To avoid dismissal for lack
41a
of standing, the States, like private plaintiffs, “must allege
sufficient facts to support a reasonable inference that they can
satisfy the elements of standing.” Yellen, 39 F.4th at 1068
(quotation omitted). The “standing inquiry [is] especially
rigorous when reaching the merits of the dispute would force
us to decide whether an action taken by one of the other two
branches of the Federal Government was unconstitutional.”
Clapper, 568 U.S. at 408 (quotation omitted).
“To establish injury in fact, a plaintiff must show that
he or she suffered an invasion of a legally protected interest
that is concrete and particularized and actual or imminent, not
conjectural or hypothetical.” Spokeo, 578 U.S. at 339
(quotations omitted). The Supreme Court has “repeatedly
reiterated that threatened injury must be certainly impending
to constitute injury in fact, and that allegations of possible
future injury are not sufficient.” Clapper, 568 U.S. at 409
(emphasis in original) (cleaned up). In their First Amended
Complaint, the States allege a host of economic, sovereign,
and procedural injuries.
(1) Although their principal focus is elsewhere, the
States allege that direct monetary injury will result from
federal agencies’ future use of the interim SC-GHG estimates.
They argue the estimates’ emphasis on the “social benefits” of
increased restriction of greenhouse gas emissions will result in
“costs to states as purchasers of more heavily regulated goods
and services,” and “loss of future tax revenues” from more
heavily regulated economic activity. Economic injury to a
State from increased proprietary costs or reduced tax revenues
can certainly be sufficiently “concrete and particularized” to
give the State standing to sue, provided the threatened injury
42a
is “certainly impending” and “fairly traceable” to the
challenged conduct. Cf. Dep’t. of Commerce v. New York,
139 S. Ct. 2551, 2565 (2019). So why do these alleged injuries
not suffice to avoid a motion to dismiss for lack of standing in
this case?
The problem with this contention, as the district court
explained, is that the alleged economic injuries are “concrete”
only if we “assume that at some point in the future, one or
more agencies will ‘inevitably’ issue one or more regulations
that rely in some way upon the Interim Estimates; that such
agency will ‘inevitably’ disregard any objections to the
methodology by which the Interim SC-GHG estimates were
calculated; and that this yet-to-be-identified regulation will
then harm Plaintiffs in a concrete and particularized way.”
558 F. Supp. 3d at 765. This theory of injury in fact “does not
satisfy the requirement that threatened injury must be certainly
impending” because it “relies on a highly attenuated chain of
possibilities.” Clapper, 568 U.S. at 410, citing Summers v.
Earth Island Inst., 555 U.S. 488, 496 (2009).
In Summers, the Court dismissed for lack of standing
plaintiffs’ challenge to the United States Forest Service’s
exemption of certain timber sales from notice and comment
rule-making. Without injury allegations tied to a specific
logging project, the Court concluded, the mere statistical
likelihood that the regulations would harm the plaintiffs in the
future was insufficient. 555 U.S. at 498. The challenged Forest
Service procedures “neither require nor forbid any action on
the part of respondents. . . . [They] govern only the conduct
of Forest Service officials engaged in project planning.” Id. at
493. Similarly here, even if E.O. 13990 makes their use
43a
mandatory, the interim SC-GHG estimates only establish a
consistent standard for one factor federal agencies may use
when conducting cost-benefit analyses they are obligated to
complete under executive branch regulations and statutory
directives. We agree with the district court that the “Interim
SC-GHG estimates, alone, do not injure Plaintiffs. . . . The
njury that Plaintiffs fear is from hypothetical future regulation
possibly derived from these Estimates.” 558 F. Supp. 3d at
766.
The government’s brief aptly summarizes the
estimates’ limited impact: “if agencies propose future
regulations, if they conduct cost-benefit analyses for those
regulations, and if they choose to monetize GHG emissions in
those analyses, then the agencies must use the Interim SCGHG estimates.” This highly attenuated theory of injury does
not satisfy the States’ burden to show the requisite causation.
“For causation to exist, the injury has to be fairly traceable to
the challenged action of the defendant, and not the result of the
independent action of some third party not before the court.”
Agred Found. v. U.S. Army Corps of Engr’s, 3 F.4th 1069,
1073 (8th Cir.
2021) (quotation omitted). In these
circumstances, even if the States plausibly allege concrete
injury, they fail to show the alleged injuries are caused by the
interim SCGHG estimates.
(2) On appeal, the States argue the district court also
erred by failing to take into account the past and ongoing
sovereign injury caused by the interim SC-GHG estimates’
intrusion into the States’ role as regulators in cooperative
federalism programs such as those mandated by the National
Environmental Policy Act (NEPA), Clean Air Act state
44a
implementation plans, and federal highway administration
actions. They argue this injury -- “depriv[ing] the States of
freedom and discretion that they otherwise would have had in
administering these programs” -- “does not depend on the
impact of a future agency action, because it immediately
affects how States participate in formulating agency actions.”
Whether and when alleged sovereign injuries can
constitute the concrete and particularized injury in fact
required for Article III standing is a controversial, unsettled
question, as the Supreme Court’s 5 to 4 decision in
Massachusetts v. EPA, 549 U.S. 497 (2007), makes clear.
However, even if the States as sovereigns are entitled to some
undefined “special solicitude” in the standing analysis, they
still must satisfy the basic requirements of Article III standing.
Yellen, 39 F.4th at 1070 n.7, citing Massachusetts v. EPA, 549
U.S. at 521-23.
E.O. 13990 explicitly states that the interim SC-GHG
estimates apply only to federal “executive departments and
agencies.” 86 Fed. Reg. at 7037. “[W]here a causal relation
between injury and challenged action depends on the decision
of an independent third party [here, future regulatory decisions
of other federal agencies] standing is not precluded but it is
ordinarily substantially more difficult to establish.” California
v. Texas, 141 S. Ct. 2104, 2117 (2021) (cleaned up). Here,
neither the interim SC-GHG estimates nor EO 13990 impose
obligations on the States. Even when States are conducting
cost-benefit analyses as part of their participation in
cooperative federalism programs, they are not bound to use the
interim SC-GHG estimates. The States would prefer that their
federal agency partners not use these estimates in future
45a
program planning or decision-making. But that is not concrete
harm to the States. “No concrete harm, no standing.”
Transunion, 141 S. Ct. at 2200.
(3) The States further argue the district court erred in
concluding “that Article III standing could never exist until a
future agency action based on the [interim SCGHG estimates]
is finalized.” They cite Bennett v. Spear, 520 U.S. 154 (1997),
as controlling contrary authority. In Bennett, ranchers and
irrigation districts challenged a Fish and Wildlife Service
“biological opinion” issued under the Endangered Species
Act. The Supreme Court reversed the dismissal of their action
for lack of standing. Though plaintiffs’ threatened injury -allocation of less water under the Klamath Irrigation Project - would be caused by a third party, the Bureau of Reclamation,
the Court held that plaintiffs met their “relatively modest”
burden of alleging injury that is “fairly traceable” to the
biological opinion because that opinion “has a powerful
coercive effect on the action agency,” “alters the legal regime
to which the action agency is subject,” and has a “virtually
determinative effect” on agency action that will result in
concrete and particularized harm to the plaintiffs. Id. at 16971. The district court distinguished Bennett because “neither
EO 13990 nor the Interim SCGHG estimates mandate
agencies issue the particular regulations that Plaintiffs fear will
harm them.” 558 F. Supp. 3d at 767. We agree.
The facts alleged here are materially different than in
Bennett. The States seek injunctive relief against all future
uses of the interim SC-GHG estimates; the Court in Bennett
addressed a concrete dispute about a pending agency action
affecting a specific irrigation project. Moreover, unlike the
46a
biological opinion’s “virtually determinative effect” on
specific agency action in Bennett, the interim SC-GHG
estimates are only “one of innumerable other factors in the
cost-benefit analysis conducted by a wide range of agencies
in an even wider range of regulatory contexts, and only to the
extent consistent with applicable law.” 558 F. Supp. 3d at 767.
We agree with the Fifth Circuit that these alleged future
increased regulatory costs are not traceable to the interim SCGHG estimates “because agencies consider a great number of
other factors in determining when, what, and how to regulate
or take agency action (and the Plaintiff States do not challenge
a specific regulation or action).” Louisiana v. Biden, 2022 WL
866282, at *2 (emphasis in original).
(4) Finally, the States argue they suffered procedural
harm when the IWG published initial estimates without APA
notice and comment procedures. They assert this injury alone
gives them Article III standing, pointing to our decision in
Iowa League of Cities v. EPA, 711 F.3d 844, 870-71 (8th Cir.
2013). We reject this contention for two independent reasons.
First, the Supreme Court has held that the “deprivation
of a procedural right without some concrete interest that is
affected by the deprivation -- a procedural right in vacuo -- is
insufficient to create Article III standing.” Summers, 555 U.S.
at 496. In Iowa League of Cities, we held that we had subject
matter jurisdiction to review an APA procedural challenge to
agency “guidance letters” responding to a Senator’s inquiries
because the letters were binding policy promulgations that
threatened the plaintiffs’s concrete interest “in avoiding
regulatory obligations above and beyond those that can be
statutorily imposed upon them.” 711 F.3d at 871. Here, the
47a
alleged procedural harm is untethered to any specific harm. By
challenging all uses of the interim SC-GHG estimates, rather
than their use in a specific agency action, the States are
asserting only “a procedural right in vacuo.”
Second, the States assert that the IWG is an “agency”
subject to APA notice and comment requirements. But in
support, they cite only Soucie v. David, 448 F.2d 1067, 1075
(D.C. Cir. 1971), a case holding that the Office of Science and
Technology, an entity within the Executive Office of the
President, was an “agency” subject to the disclosure
requirements of the Freedom of Information Act (FOIA),
which is part of the APA. Congress approved this decision
when it amended the definition of “agency” in the section of
the APA that imposes FOIA requirements to include “the
Executive Office of the President.” 5 U.S.C. § 552(f)(1)
(formerly § 552(e)); see Meyer, 981 F.2d at 1291-92. But the
APA’s rule-making requirements, 5 U.S.C. § 553, apply to an
“agency” as generally defined in 5 U.S.C. § 551(1) -- “each
authority of the Government of the United States.” The
Supreme Court has never held that the President’s interagency
working groups are § 551(1) “agencies” and therefore their
“actions” are subject to APA notice and comment
requirements. We doubt it would do so, because such a ruling
would encourage constant judicial interference with the
President’s exercise of his executive power. Cf. Kissinger v.
Reporters Comm., 445 U.S. 136, 155-58 (1980). We certainly
will not be the first to make this extraordinary leap. For this
reason, too, the States have failed to allege plausible
procedural injury in fact.
48a
The States failed to allege plausible injury in fact fairly
traceable to the interim SC-GHG estimates. Thus, their
complaint was properly dismissed for lack of subject matter
jurisdiction, specifically, lack of Article III standing. We need
not consider the third indispensable element of Article III
standing, that it be “likely, as opposed to merely speculative,
that the injury will be redressed by a favorable decision.”
Lujan v. Defenders of Wildlife, 504 U.S. 555, 561 (1992)
(quotations omitted).
III. Conclusion
The Plaintiff States failed to plausibly allege the
“irreducible constitutional minimum” of Article III standing - concrete and particularized actual injury in fact that is fairly
traceable to defendants’ challenged conduct, publication of the
interim SC-GHG estimates. The Plaintiff States disagree with
the President’s policies reflected in the interim SC-GHG
estimates, but it is not our role to “exercise general legal
oversight of the Legislative and Executive Branches.”
TransUnion, 141 S. Ct. at 2203. When executive agencies or
officials take or propose to take specific actions based on
reliance on the interim SC-GHG estimates, E.O. 13990 does
not exempt them from complying with statutory duties
imposed by the APA, including providing opportunities for
notice and comment. And if the States believe that specific
agency actions justified by the interim SC-GHG estimates
inflict concrete and particularized injury, they may challenge
the actions, and the interim SC-GHG estimates themselves, in
federal court. See 5 U.S.C. § 706. But the States’ “generalized
grievance of how the current administration is considering SC-
49a
GHG. . . . fails to meet the standards of Article III standing.”
Louisiana v. Biden, 2022 WL 866282, at *2.
The judgment of the district court is affirmed.
50a
UNITED STATES COURT OF APPEALS
FOR THE EIGHTH CIRCUIT
No: 21-3013
State of Missouri, et al.
Appellants
v.
Joseph R. Biden, Jr., in his official capacity as the President
of the United States of America, et al.
Appellees
-----------------------------Committee for a Constructive Tomorrow
Amicus on Behalf of Appellant(s)
_________________________________________________
Appeal from U.S. District Court for the Eastern District of
Missouri - St. Louis
(4:21-cv-00287-AGF)
________________________________________________
ORDER
The petition for rehearing en banc is denied. The
petition for rehearing by the panel is also denied.
January 27, 2023
Order Entered at the Direction of the Court:
Clerk, U.S. Court of Appeals, Eighth Circuit.
/s/ Michael E. Gans
51a
Presidential Documents
Executive Order 13990 of January 20, 2021
Protecting Public Health and the Environment
and Restoring Science To Tackle the Climate
Crisis
By the authority vested in me as President by the
Constitution and the laws of the United States of
America, it is hereby ordered as follows:
Section 1. Policy. Our Nation has an abiding commitment
to empower our workers and communities; promote and
protect our public health and the environment; and
conserve our national treasures and monuments, places
that secure our national memory. Where the Federal
Government has failed to meet that commitment in the
past, it must advance environmental justice. In carrying
out this charge, the Federal Government must be guided
by the best science and be protected by processes that
ensure the integrity of Federal decision-making. It is,
therefore, the policy of my Administration to listen to the
science; to improve public health and protect our
environment; to ensure access to clean air and water; to
limit exposure to dangerous chemicals and pesticides; to
hold polluters accountable, including those who
disproportionately harm communities of color and lowincome communities; to reduce greenhouse gas
emissions; to bolster resilience to the impacts of climate
change; to restore and expand our national treasures and
52a
monuments; and to prioritize both environmental justice
and the creation of the well-paying union jobs necessary
to deliver on these goals.
To that end, this order directs all executive departments
and agencies (agencies) to immediately review and, as
appropriate and consistent with applicable law, take
action to address the promulgation of Federal regulations
and other actions during the last 4 years that conflict with
these important national objectives, and to immediately
commence work to confront the climate crisis.
Sec. 2. Immediate Review of Agency Actions Taken
Between January 20, 2017, and January 20, 2021. (a) The
heads of all agencies shall immediately review all existing
regulations, orders, guidance documents, policies, and
any other similar agency actions (agency actions)
promulgated, issued, or adopted between January 20,
2017, and January 20, 2021, that are or may be
inconsistent with, or present obstacles to, the policy set
forth in section 1 of this order. For any such actions
identified by the agencies, the heads of agencies shall, as
appropriate and consistent with applicable law, consider
suspending, revising, or rescinding the agency actions. In
addition, for the agency actions in the 4 categories set
forth in subsections (i) through (iv) of this section, the
head of the relevant agency, as appropriate and consistent
with applicable law, shall consider publishing for notice
and comment a proposed rule suspending, revising, or
rescinding the agency action within the time frame
53a
specified.
(i)
Reducing Methane Emissions in the Oil and
Gas Sector: “Oil and Natural Gas Sector: Emission
Standards for New, Reconstructed, and Modified
Sources Reconsideration,” 85 FR 57398 (September 15,
2020), by September 2021.
(ii)
Establishing Ambitious, Job-Creating Fuel
Economy Standards: “The Safer Affordable FuelEfficient (SAFE) Vehicles Rule Part One: One National
Program,” 84 FR 51310 (September 27, 2019), by April
2021; and “The Safer Affordable Fuel-Efficient (SAFE)
Vehicles Rule for Model Years 2021-2026 Passenger
Cars and Light Trucks,” 85 FR 24174 (April 30, 2020),
by July 2021. In considering whether to propose
suspending, revising, or rescinding the latter rule, the
agency should consider the views of representatives
from labor unions, States, and industry.
(iii)
Job-Creating Appliance- and BuildingEfficiency Standards: “Energy Conservation Program
for Appliance Standards: Procedures for Use in New or
Revised Energy Conservation Standards and Test
Procedures
for
Consumer
Products
and
Commercial/Industrial Equipment,” 85 FR 8626
(February 14, 2020), with major revisions proposed by
March 2021 and any remaining revisions proposed by
June 2021; “Energy Conservation Program for
Appliance Standards: Procedures for Evaluating
Statutory Factors for Use in New or Revised Energy
Conservation Standards,” 85 FR 50937 (August 19,
2020), with major revisions proposed by March 2021
54a
and any remaining revisions proposed by June 2021;
“Final Determination Regarding Energy Efficiency
Improvements in the 2018 International Energy
Conservation Code (IECC),” 84 FR 67435 (December
10, 2019), by May 2021; “Final Determination
Regarding Energy Efficiency Improvements in
ANSI/ASHRAE/IES Standard 90.1-2016: Energy
Standard for Buildings, Except Low-Rise Residential
Buildings,” 83 FR 8463 (February 27, 2018), by May
2021.
(iv)
Protecting Our Air from Harmful Pollution:
“National Emission Standards for Hazardous Air
Pollutants: Coal- and Oil-Fired Electric Utility Steam
Generating Units— Reconsideration of Supplemental
Finding and Residual Risk and Technology Review,” 85
FR 31286 (May 22, 2020), by August 2021; “Increasing
Consistency and Transparency in Considering Benefits
and Costs in the Clean Air Act Rulemaking Process,” 85
FR 84130 (December 23, 2020), as soon as possible;
“Strengthening Transparency in Pivotal Science
Underlying Significant Regulatory Actions and
Influential Scientific Information,” 86 FR 469 (January
6, 2021), as soon as possible.
(b)
Within 30 days of the date of this order, heads
of agencies shall submit to the Director of the Office of
Management and Budget (OMB) a preliminary list of any
actions being considered pursuant to section (2)(a) of this
order that would be completed by December 31, 2021, and that
would be subject to OMB review. Within 90 days of the date
of this order, heads of agencies shall submit to the Director of
55a
OMB an updated list of any actions being considered pursuant
to section (2)(a) of this order that would be completed by
December 31, 2025, and that would be subject to OMB review.
At the time of submission to the Director of OMB, heads of
agencies shall also send each list to the National Climate
Advisor. In addition, and at the same time, heads of agencies
shall send to the National Climate Advisor a list of additional
actions being considered pursuant to section (2)(a) of this order
that would not be subject to OMB review.
(c)
Heads of agencies shall, as appropriate and
consistent with applicable law, consider whether to take any
additional agency actions to fully enforce the policy set forth
in section 1 of this order. With respect to the Administrator of
the Environmental Protection Agency, the following specific
actions should be considered:
(i)
proposing new regulations to establish
comprehensive standards of performance and emission
guidelines for methane and volatile organic compound
emissions from existing operations in the oil and gas
sector, including the exploration and production,
transmission, processing, and storage segments, by
September 2021; and
(ii)
proposing a Federal Implementation Plan in
accordance with the Environmental Protection Agency's
“Findings of Failure To Submit State Implementation
Plan Revisions in Response to the 2016 Oil and Natural
Gas Industry Control Techniques Guidelines for the
2008 Ozone National Ambient Air Quality Standards
(NAAQS) and for States in the Ozone Transport
Region,” 85 FR 72963 (November 16, 2020), for
56a
California, Connecticut, New York, Pennsylvania, and
Texas by January 2022.
(d)
The Attorney General may, as appropriate and
consistent with applicable law, provide notice of this order and
any actions taken pursuant to section 2(a) of this order to any
court with jurisdiction over pending litigation related to those
agency actions identified pursuant to section (2)(a) of this
order, and may, in his discretion, request that the court stay or
otherwise dispose of litigation, or seek other appropriate relief
consistent with this order, until the completion of the processes
described in this order.
(e)
In carrying out the actions directed in this
section, heads of agencies shall seek input from the public and
stakeholders, including State local, Tribal, and territorial
officials, scientists, labor unions, environmental advocates,
and environmental justice organizations.
Sec. 3. Restoring National Monuments. (a) The Secretary
of the Interior, as appropriate and consistent with
applicable law, including the Antiquities Act, 54 U.S.C.
320301 et seq., shall, in consultation with the Attorney
General, the Secretaries of Agriculture and Commerce,
the Chair of the Council on Environmental Quality, and
Tribal governments, conduct a review of the monument
boundaries and conditions that were established by
Proclamation 9681 of December 4, 2017 (Modifying the
Bears Ears National Monument); Proclamation 9682 of
December 4, 2017 (Modifying the Grand StaircaseEscalante National Monument); and Proclamation 10049
of June 5, 2020 (Modifying the Northeast Canyons and
57a
Seamounts Marine National Monument), to determine
whether restoration of the monument boundaries and
conditions that existed as of January 20, 2017, would be
appropriate.
(b)
Within 60 days of the date of this order, the
Secretary of the Interior shall submit a report to the President
summarizing the findings of the review conducted pursuant to
subsection (a), which shall include recommendations for such
Presidential actions or other actions consistent with law as the
Secretary may consider appropriate to carry out the policy set
forth in section 1 of this order.
(c)
The Attorney General may, as appropriate and
consistent with applicable law, provide notice of this order to
any court with jurisdiction over pending litigation related to
the Grand Staircase-Escalante, Bears Ears, and Northeast
Canyons and Seamounts Marine National Monuments, and
may, in his discretion, request that the court stay the litigation
or otherwise delay further litigation, or seek other appropriate
relief consistent with this order, pending the completion of the
actions described in subsection (a) of this section.
Sec. 4. Arctic Refuge. (a) In light of the alleged legal
deficiencies underlying the program, including the
inadequacy of the environmental review required by the
National Environmental Policy Act, the Secretary of the
Interior shall, as appropriate and consistent with
applicable law, place a temporary moratorium on all
activities of the Federal Government relating to the
implementation of the Coastal Plain Oil and Gas Leasing
Program, as established by the Record of Decision signed
58a
August 17, 2020, in the Arctic National Wildlife Refuge.
The Secretary shall review the program and, as
appropriate and consistent with applicable law, conduct a
new, comprehensive analysis of the potential
environmental impacts of the oil and gas program.
(b)
In Executive Order 13754 of December 9, 2016
(Northern Bering Sea Climate Resilience), and in the
Presidential Memorandum of December 20, 2016
(Withdrawal of Certain Portions of the United States Arctic
Outer Continental Shelf From Mineral Leasing), President
Obama withdrew areas in Arctic waters and the Bering Sea
from oil and gas drilling and established the Northern Bering
Sea Climate Resilience Area. Subsequently, the order was
revoked and the memorandum was amended in Executive
Order 13795 of April 28, 2017 (Implementing an AmericaFirst Offshore Energy Strategy). Pursuant to section 12(a) of
the Outer Continental Shelf Lands Act, 43 U.S.C. 1341(a),
Executive Order 13754 and the Presidential Memorandum of
December 20, 2016, are hereby
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