Amicus Curiae Brief — Loper Bright Enterprises, et al., Petitioners v. Gina Raimondo, Secretary of Commerce, et al.
Supreme Court briefJul 24, 2023
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No. 22-451
IN THE
Supreme Court of the United States
LOPER BRIGHT ENTERPRISES, INC., ET AL.,
Petitioners,
v.
GINA RAIMONDO, ET AL.,
Respondents.
ON WRIT OF CERTIORARI TO THE
UNITED STATES COURT OF APPEALS
FOR THE DISTRICT OF COLUMBIA CIRCUIT
BRIEF OF AMICUS CURIAE THE
COMPETITIVE ENTERPRISE INSTITUTE
IN SUPPORT OF PETITIONERS
Devin Watkins
Counsel of Record
Dan Greenberg
COMPETITIVE ENTERPRISE
INSTITUTE
1310 L St. NW, 7th Floor
Washington, D.C. 20005
(202) 331-1010
devin.watkins@cei.org
July 24, 2023
Attorneys for Amicus Curiae
i
QUESTION PRESENTED
Whether the Court should overrule Chevron or
at least clarify that statutory silence
concerning controversial powers expressly but
narrowly granted elsewhere in the statute does
not constitute an ambiguity requiring
deference to the agency.
ii
TABLE OF CONTENTS
QUESTION PRESENTED ........................................... i
TABLE OF CONTENTS.............................................. ii
TABLE OF CITED AUTHORITIES .......................... iii
INTEREST OF AMICI CURIAE ................................. 1
SUMMARY OF ARGUMENT ..................................... 1
ARGUMENT ................................................................ 2
I. CHEVRON IS NOT ORIGINALIST ...................... 2
II. CHEVRON UNCONSTITUTIONALLY PUTS A
THUMB ON THE SCALE OF JUSTICE IN
FAVOR OF ONE PARTY ....................................... 4
III.CHEVRON UNSETTLES THE RULE OF LAW
BY REDUCING STABILITY IN THE LAW ......... 7
IV. IN THIS CASE, CHEVRON ALLOWED THE
EXECUTIVE TO IMPROPERLY SEIZE THE
POWER OF THE PURSE. ................................... 13
CONCLUSION .......................................................... 18
iii
TABLE OF CITED AUTHORITIES
Page
Cases
Arnett v. Kennedy, 416 U.S. 134, 197 (1974) .............. 4
Bell Atl. Tel. Companies v. F.C.C.,
24 F.3d 1441 (D.C. Cir. 1994) ................................ 16
Chevron, U.S.A., Inc. v. Nat. Res. Def. Council, Inc.,
467 U.S. 837 (1984) .............................................. 3, 5
Louisiana Pub. Serv. Comm’n v. F.C.C.,
476 U.S. 355 (1986) ................................................ 14
Marshall v. Jerrico, Inc., 446 U.S. 238, 242 (1980) .... 5
Nat. Res. Def. Council, Inc. v. Callaway,
392 F. Supp. 685 (D.D.C. 1975) ............................... 9
Nicol v. Ames, 173 U.S. 509 (1899) ........................... 17
Rapanos v. United States, 547 U.S. 715 (2006) ........ 10
Sackett v. EPA, 143 S. Ct. 1322 (2023) ......... 11, 12, 13
Sir Edward Coke in Bonham’s Case, 8 Co. 114a, 118a,
77 Eng. Rep. 646, 652 (1610) ................................... 4
Statutes
16 U.S.C. § 1853(a)(1)(A) ........................................... 13
5 U.S.C. § 706............................................................... 3
P.L. 92-500 § 502(7), 86 Stat. 816, 886
(codified in 33 U.S.C. § 1362(7)) .............................. 8
iv
Rules
38 Fed. Reg. 13528, 13,529 (1973)
(codified at 40 C.F.R. § 125.1(p) (1974)) ................. 8
39 Fed. Reg. 12,115, 12,119 (April 3, 1974)
(codified in 33 C.F.R. § 209.120(d)(1) (1974)) .......... 8
Advanced Notice of Proposed Rulemaking on the
Clean Water Regulatory Definitions of “Waters of
the United States,” 68 Fed. Reg. 1,991, 1,996
(January 15, 2003) ................................................. 10
Final Rule for Regulatory Programs of the Corps of
Engineers, 51 Fed Reg. 41,206, 41,250 (1986)
(codified in 33 CFR § 323.3 (1987)).......................... 9
Final Rule for Regulatory Programs of the Corps of
Engineers, 51 Fed. Reg. 41,206, 41,217 (Nov. 13,
1986) ......................................................................... 9
Final Rule, Clean Water Rule, Definition of “Waters
of the United States,”
80 Fed. Reg. 37,054, 37,057 (June 29, 2015) ......... 11
Final Rule, Consolidated Permit Regulations, 45 Fed.
Reg. 33,290, 33,424 (May 19, 1980)
(codified in 40 C.F.R. § 122.3 (1981))....................... 9
Final Rule: Clean Water Act Section 404 Program
Definitions and Permit Exemptions,
53 Fed. Reg. 20,764, 20,765 (June 6, 1988) ............. 9
Notice of Proposed Rulemaking, The Enhancement
and Standardization of Climate-Related
Disclosures for Investors, 87 FR 21334 (April 11,
2022) ....................................................................... 16
v
Regulatory Programs of the Corps of Engineers, 42
Fed. Reg. 37,122 (July 19, 1977)
(codified 33 C.F.R. §323.2(a) (1978)) ....................... 9
Revised Definition of “Waters of the United States,”
88 Fed. Reg. 3004 (January 18, 2023) ................... 11
1
INTEREST OF AMICI CURIAE 1
The Competitive Enterprise Institute (“CEI”) is a
nonprofit 501(c)(3) organization incorporated and
headquartered in Washington, D.C., dedicated to
promoting the principles of free markets and limited
government. Since its founding in 1984, CEI has
focused on raising public understanding of the
problems of overregulation. It has done so through
policy analysis, commentary, and litigation.
This case concerns amicus because Chevron rejects
originalism, puts a thumb on the scale of justice, and
unsettles the law in favor of the government.
Additionally, agencies’ use of Chevron to bypass
Congress’s power of the purse emphasizes the
constitutional problems of Chevron. It threatens
constitutionally limited government by merging
legislative and executive powers. Amicus agrees with
James Madison that allowing such a mechanism
would “justly be pronounced the very definition of
tyranny.” Federalist No. 47.
SUMMARY OF ARGUMENT
Chevron did not come from Congress. In fact, it is
directly contrary to Congress’s express statutory
command that courts “shall decide all relevant
questions of law, interpret constitutional and
statutory provisions.” 5 U.S.C. § 706 (emphasis added).
Chevron encourages agencies—not neutral and
impartial judges—to interpret the law, and sometimes
those agencies are afflicted with institutional self1 Rule 37 Statement: No party’s counsel authored any part of this
brief; no person other than amici, their members, or their counsel
funded its preparation or submission.
2
interest. A judge with a similar pecuniary interest
would not be allowed to issue a binding interpretation
of law. The notion that a party can neutrally and
impartially serve as a judge in its own case is
inherently implausible.
Chevron encourages instability in the law. Chevron
allows changes every few years without the
involvement of Congress and thereby increases
uncertainty in the path of the law. This encourages
agencies to generate rules of minimal clarity that
judicial decisions will struggle to illuminate. This
maximizes deference to agencies and minimizes legal
certainty.
Chevron undermines the separation of powers by
allowing the executive to seize powers that Congress
never authorized. This case presents a perfect
example: here, the executive branch seized the power
of the purse. The government claims that when it
encounters statutory silence, it can force businesses to
fund private law enforcement officers. If Chevron gives
the executive such unconstitutional powers based on
statutory silence, it should end.
Chevron should be overturned. All citizens are
entitled to a neutral system of justice—in which courts
are free of institutional biases and the best comes out
on top. That system’s interpretations should control
unless and until Congress acts.
ARGUMENT
I. CHEVRON IS NOT ORIGINALIST
Our Constitutional structure is founded on the
principle expressed by John Dickinson at the
Constitutional Convention that “the Judges must
3
interpret the Laws[;] they ought not to be legislator.”
1 The Records of the Federal Convention of 1787, 109
(Max Farrand ed., 1911). However, the doctrine in
Chevron, U.S.A., Inc. v. Nat. Res. Def. Council, Inc.,
467 U.S. 837 (1984) was created entirely by judicial
actions that appear more legislative than interpretive.
Chevron is vulnerable to multiple originalist
criticisms: not only is it a judicially created doctrine,
but it is also directly contrary to Congress’s express
statutory command. Specifically, the Administrative
Procedures Act requires that “the reviewing court
shall decide all relevant questions of law, interpret
constitutional and statutory provisions, and determine
the meaning or applicability of the terms of an agency
action.” 5 U.S.C. § 706 (emphasis added). The word
“all” logically implies that courts are to interpret
statutes even after agencies have provided their
interpretation.
In issuing this statute, the Senate Committee on the
Judiciary explained that the statute “provides that
questions of law are for courts rather than agencies to
decide in the last analysis.” S. Rep. No. 752, 79th
Cong., 1st Sess. 28 (1945), reprinted in Administrative
Procedure Act: Legislative History 185, 214 (1946),
https://www.justice.gov/sites/default/files/jmd/legacy/2
014/03/20/senaterept-752-1945.pdf.
That
same
committee later explained “that ‘interpretative’
rules—as merely interpretations of statutory
provisions—are subject to plenary judicial review,
whereas ‘substantive’ rules involve a maximum of
administrative discretion.” S. Comm. on the Judiciary,
79th Cong. (Comm. Print 1945), reprinted in
Administrative Procedure Act: Legislative History, S.
Doc.
248,
at
18
(1944
–
1946),
4
https://coast.noaa.gov/data/Documents/OceanLawSea
rch/Senate%20Document%20No.%2079-248.pdf. Such
plenary judicial review, as envisioned by Congress,
rejects any deference given to the agency’s views of the
meaning of statutes.
It is the courts, and only the courts, that the
Constitution has designated to interpret statutes.
Agency expertise and rulemaking are important, but
only as they relate to factual questions; such factual
questions are not within a court’s expertise. Agencies
may determine, for instance, how many animals of a
species exist, but a judge must determine the legal
implications of those facts regardless of the agency’s
views.
The agency must do its best to interpret the statute
before any case is brought before a court. In doing so,
the agency can issue interpretive rules that inform the
public what the agency believes the law to be. We can
hope that the agency and the public will agree on what
the statute means, thus eliminating any need for court
involvement. But where there is a dispute between an
agency and a citizen, courts must resolve that dispute
impartially without privileging either.
II. CHEVRON UNCONSTITUTIONALLY PUTS A
THUMB ON THE SCALE OF JUSTICE IN
FAVOR OF ONE PARTY
The foundation of our Anglo-American justice
system is the “first principle: ‘[N]o man shall be a judge
in his own cause.’” Arnett v. Kennedy, 416 U.S. 134, 197
(1974) (Kennedy, J., concurring) (citing Sir Edward
Coke in Bonham’s Case, 8 Co. 114a, 118a, 77 Eng. Rep.
646, 652 (1610)). However, Chevron violates that
foundational principle.
5
In a dispute between an agency and a citizen over
an ambiguous statutory provision, Chevron requires
that agency interpretations be “given controlling
weight unless they are arbitrary, capricious, or
manifestly contrary to the statute.” Chevron, 467 U.S.
at 844. It prohibits a court from “substitut[ing] its own
construction of a statutory provision for a reasonable
interpretation made by the administrator of an
agency.” Id.
There is necessarily more than one reasonable
interpretation of any ambiguous provision; that is
what makes it ambiguous. The Due Process Clause,
U.S. Const. amend. V, requires an impartial and
disinterested court to make such a decision if that
decision is to be fair to all parties. Marshall v. Jerrico,
Inc., 446 U.S. 238, 242 (1980).
Under our Constitution, Article III judges are the
impartial and disinterested third party that makes
such determinations. “For the law will not suppose a
possibility of bias or favour in a judge, who is already
sworn to administer impartial justice, and whose
authority greatly depends upon that presumption and
idea.” 3 W. Blackstone, Commentaries on the Laws of
England, 361 (1768).
Agency personnel are not typically neutral or
unbiased. The executive is elected to execute the law
in a given way. In other words, executives are chosen
expressly because of their departures from political
neutrality. This encourages the government to act in
accordance with the will of the people. But when the
President favors the perspective of the voters who
chose him (or her), it should come as no surprise.
6
Furthermore, the agency is often a party to the case,
actively arguing in favor of its interpretation of the
statute before the judge. Such behavior, inter alia,
demonstrates a bias in favor of its own interpretation
rather than that of the citizen: this is yet another
reason why courts should not give deference to the
agency. Any such deference impairs the court’s own
impartiality.
The executive is also biased in favor of its own
power. The law often reflects a delicate balance
between the powers of the United States that Congress
chooses to exercise and those that are “reserved to the
States respectively, or to the people.” See U.S. Const.
amend. X. When a court is presented with a statute
that is ambiguous as to whether Congress has chosen
to exercise a given power, the court must typically
decide whether the executive was assigned that power
or whether it was left to the states. But when courts
defer to executive rulemaking, it is the executive that
must determine the locus of that power. In that
circumstance, the decision may be tainted by
institutional self-interest.
A judge must recuse from interpreting a statute if
he or she has even a dollar at stake in the litigation.
An agency has no such constraint—even if an action
before it might jeopardize millions or billions of dollars
of its own budget. Whether an agency has an
institutional bias or even a pecuniary bias in such a
case, Chevron allows that agency to provide a binding
interpretation of the law. In contrast, a judge with a
pecuniary interest in the action would be barred from
any involvement in it.
7
To ensure a fair and unbiased interpretation of the
law, agency deference should be rolled back and
Chevron should be overturned.
III. CHEVRON UNSETTLES THE RULE OF LAW
BY REDUCING STABILITY IN THE LAW
When a court interprets a statute, stare decisis
ensures that such interpretations are not changed
easily. “Stare decisis . . . serves many valuable ends.”
Dobbs v. Jackson Women's Health Org., 142 S. Ct.
2228, 2261–62 (2022). “It protects the interests of
those who have taken action in reliance on a past
decision.” Id. at 2262. “It reduces incentives for
challenging settled precedents, saving parties and
courts the expense of endless relitigation.” Id. “It
fosters ‘evenhanded’ decisionmaking by requiring that
like cases be decided in a like manner.” Id. “It
contributes to the actual and perceived integrity of the
judicial process.” Id. “And it restrains judicial hubris
and reminds us to respect the judgment of those who
have grappled with important questions in the past.”
Id.
Chevron, when it applies, eliminates all the benefits
of stare decisis. Instead, it allows, and sometimes
encourages, instability in the law.
With Chevron, the meaning of statutes can change
dramatically every four to eight years, when a new
president is elected. This change occurs even when
such agency interpretation contradicts existing court
interpretation. National Cable & Telecommunications
Association v. Brand X Internet Services, 545 U.S. 967
(2005). The author of Brand X, Justice Thomas, later
recognized the problems such deference caused:
8
Regrettably, Brand X has taken this Court to the
precipice of administrative absolutism. Under its
rule of deference, agencies are free to invent new
(purported) interpretations of statutes and then
require courts to reject their own prior
interpretations. Brand X may well follow from
Chevron, but in so doing, it poignantly lays bare
the flaws of our entire executive-deference
jurisprudence.
Baldwin, et ux. v. United States, 140 S. Ct. 690, 695
(2020) (Thomas, J., dissenting from denial of
certiorari).
Consider, for instance, the decades of conflicting
regulations over what the “waters of the United
States” means in the Clean Water Act. It started with
the Federal Water Pollution Control Act Amendments
of 1972, which used the term “navigable waters” and
defined it in this way: “The term ‘navigable waters’
means the waters of the United States, including the
territorial seas.” P.L. 92-500 § 502(7), 86 Stat. 816, 886
(codified in 33 U.S.C. § 1362(7)). The following is the
result of Chevron:
•
EPA defined “navigable waters” in May 1973. 38
Fed. Reg. 13528, 13,529 (1973) (codified at 40
C.F.R. § 125.1(p) (1974)).
•
The Army Corps of Engineers defined the same
statutory term in an entirely different way. 39
Fed. Reg. 12,115, 12,119 (April 3, 1974) (codified
in 33 C.F.R. § 209.120(d)(1) (1974)).
•
The D.C. District Court ruled that the Corps
definition was too narrow, but didn’t specify
what the actual meaning of the statutory term
9
was. Nat. Res. Def. Council, Inc. v. Callaway,
392 F. Supp. 685 (D.D.C. 1975).
•
The Corps expanded its rule. Regulatory
Programs of the Corps of Engineers, 42 Fed.
Reg. 37,122 (July 19, 1977) (codified 33 C.F.R.
§323.2(a) (1978)).
•
In 1977, EPA and the Corps disagreed
substantially over the proper statutory
definition of “navigable waters” and which
agency could define the term.
•
EPA issued regulations redefining “navigable
waters” and when a permit was required. Final
Rule, Consolidated Permit Regulations, 45 Fed.
Reg. 33,290, 33,424 (May 19, 1980) (codified in
40 C.F.R. § 122.3 (1981)).
•
The Corps adopted EPA’s definition in 1986,
marking the first time the two agencies agreed.
Final Rule for Regulatory Programs of the
Corps of Engineers, 51 Fed Reg. 41,206, 41,250
(1986) (codified in 33 CFR § 323.3 (1987)).
•
In 1986, EPA and the Corps expanded the scope
of the interpretation to include all waters that
were or may have been used by migratory birds.
See Final Rule for Regulatory Programs of the
Corps of Engineers, 51 Fed. Reg. 41,206, 41,217
(Nov. 13, 1986); Final Rule: Clean Water Act
Section 404 Program Definitions and Permit
Exemptions, 53 Fed. Reg. 20,764, 20,765 (June
6, 1988). The Corps also issued the first
wetlands delineation manual in 1987.
•
In 1989, the EPA and Corps issued a revised
federal wetlands delineation manual which,
10
without a rulemaking, expanded the scope of
covered lands.
•
In 2000, the Corps issued guidance in response
to the court holding in United States v. Wilson,
133 F.3d 251 (4th Cir. 1997) that actual rather
than potential connection to interstate or
foreign commerce was required. The Corps
limited the application of this doctrine to the
Fourth Circuit; it also expanded the definition
of “navigable waters” to include intermittent
and ephemeral streams of water.
•
In 2001, this Court rejected the Corps definition
in Solid Waste Agency of Northern Cook County
v. U.S. Army Corps of Engineers, 531 U.S. 159,
162 (2001), as applied to isolated water that had
become a habitat for migratory birds.
•
In 2003, EPA and the Corps started to redefine
the term yet again. Advanced Notice of
Proposed Rulemaking on the Clean Water
Regulatory Definitions of “Waters of the United
States,” 68 Fed. Reg. 1,991, 1,996 (January 15,
2003).
•
Before they could finish, this Court heard the
case of Rapanos v. United States, 547 U.S. 715
(2006). While many justices agreed the Corps
definition was flawed, no majority of this Court
agreed as to the proper interpretation. Justice
Scalia, joined by four justices, proposed one
interpretation, and Justice Kennedy proposed
another.
•
EPA and the Corps adopted the interpretation
that if either test proposed was met then they
would assert jurisdiction. Mem. from Envtl.
11
Prot. Agency & Dep’t of the Army on Clean
Water Act Jurisdiction Following the U.S.
Supreme Court’s Decision in Rapanos v. United
States & Carabell v. United States (June 5,
2007),
https://www.epa.gov/sites/production/files/2016
-04/documents/rapanosguidance6507.pdf.
•
In 2015, EPA and the Corps issued yet another
definition. Final Rule, Clean Water Rule,
Definition of “Waters of the United States,” 80
Fed. Reg. 37,054, 37,057 (June 29, 2015).
•
Just earlier this year, in 2023, EPA and the
Corps revised the rule again in Revised
Definition of “Waters of the United States,” 88
Fed. Reg. 3004 (January 18, 2023).
•
Within months, this Court invalidated critical
aspects of that rule in Sackett v. EPA, 143 S. Ct.
1322 (2023), and adopted an interpretation
similar to Justice Scalia’s in Rapanos.
These events were not an unusual “one-off,” but a
direct result of Chevron. Similar regulatory
uncertainty is likely to recur in other high-profile
regulatory contexts. Each time a President was elected
from a new party during this era, they attempted to
remake the last administration’s definition of the
“waters of the United States.” The same dynamics will
recur with any high-profile regulation, causing the law
to swing wildly back and forth every four or eight
years.
This Court has described the regulations issued by
EPA and the Corps as a “system of ‘vague’ rules that
depended on ‘locally developed practices.’” Sackett, 143
S. Ct. at 1333. This Chevron interpretation “gives rise
12
to serious vagueness concerns in light of the CWA’s
criminal penalties.” Id. at 1342. There is nothing
accidental about that; Chevron directly caused it.
EPA and the Corps knew that lowers courts would
be “[d]eferring to the agencies’ localized decisions,” due
to Chevron, so they drafted vague rules to ensure that
expansions happened on a case-by-case basis so that
“lower courts blessed an array of expansive
interpretations of the CWA’s reach.” See Id. at 1333.
Expanding agency authority was the goal; vague
regulations expanded on a case-by-case basis were the
means, all enabled by Chevron deference. This
vagueness is far from unprecedented, and it will
continue to occur as long as Chevron exists.
Don’t expect this Court’s decision in Sackett to end
the matter. EPA and the Corps are drafting revised
regulations right now to expand their authority,
despite the Court’s ruling in Sackett. No court decision
is safe as long as Chevron exists; there is always some
ambiguity that the agency will try to exploit under
Chevron to expand its power. Usually, this occurs on a
case-by-case basis, in which the Supreme Court does
not have time to monitor such minutiae. Nonetheless,
each such case slowly establishes greater agency
power.
Chevron regularly injects uncertainty into our legal
system. Chevron prevents people from planning their
lives and knowing what the law will allow or require
beyond the next presidential election. Chevron
discourages and unsettles planning and investment,
essentially because it makes such activities less
attractive and less worthwhile.
13
As this Court noted in Sackett, “once in court, the
landowner would face an uphill battle under the
deferential standards of review that the agencies
enjoy.” Id. at 1336. The battlefield should be levelled,
because the landowner, along with all other citizens, is
entitled to a neutral system of justice—in which courts
give neither side’s proposed interpretation of the law
greater weight and the best interpretation comes out
on top. Such correct interpretations should then
control until Congress decides to change the statute,
ensuring that everyone can know what the law is and
what it will be until Congress changes it.
IV. IN THIS CASE, CHEVRON ALLOWED THE
EXECUTIVE TO IMPROPERLY SEIZE THE
POWER OF THE PURSE.
In this case, Congress exercised its authority under
the Property Clause to write rules and regulations
governing the coastal seas owned by the Federal
Government. This allowed agencies in the Department
of Commerce to create fishery management plans
which are “necessary and appropriate for the
conservation and management of the fishery, to
prevent overfishing and rebuild overfished stocks, and
to protect, restore, and promote the long-term health
and stability of the fishery.” 16 U.S.C. § 1853(a)(1)(A).
The statutory phrase “necessary and appropriate”
has a parallel function to the constitutional phrase
“necessary and proper” that governs congressional
authority to assign incidental powers to executive
officials. But such assignment can only “carry into
execution” the power Congress exercised—in this case,
the power arising from the Property Clause.
Nonetheless, the agency did not confine itself to the
exercise of incidental powers that had been assigned
14
to it. On the contrary, the agency developed a fishery
management plan that required private fishermen to
pay for agency-mandated monitors. Creation of this
plan through rule was an attempt by the agency to
exercise the great (and non-incidental) power of
Congress to lay duties. U.S. Const. Art. I, § 8, clause 1.
The court below held that statutory “text makes
clear the Service may direct vessels to carry at-sea
monitors but leaves unanswered whether the Service
must pay for those monitors or may require industry
to bear the costs of at-sea monitoring mandated by a
fishery management plan.” Pet. App. 6. In other words,
the D.C. Circuit asked who was to pay the bill and
found that the question was “unanswered.” The
statute lacks any text that would give the agency
authority to extract such duties from the fishermen;
furthermore, Congress lacks the authority to hand
over this great power to the agency. See Louisiana
Pub. Serv. Comm’n v. F.C.C., 476 U.S. 355, 357 (1986)
(“[A]n agency literally has no power to act . . . unless
and until Congress confers power upon it.”).
Nonetheless, due to Chevron, the lower court
interpreted the agency’s authority as including both
the incidental power to write rules so as to execute
Congress’s exercise of the Property Clause and to allow
the agency to exercise a separate great (and, again,
non-incidental) power: the power of the purse.
Not only does the statute not give the agency
authority to extract such duties from the fishermen,
but Congress also cannot assign this great power to the
agency. Congress must decide that duties should be
imposed and for what purpose; only then can the
details be assigned to the agency. Under our
constitutional system, which justly prizes self-
15
government and public accountability, it is impossible
for Congress to assign the authority to impose duties
without bearing the responsibility for doing so.
Agencies cannot have the authority of raising taxes or
spending money without Congress’s direction. In
short, because Congress did not exercise its great
power of laying duties for monitors, the agency did not
have the power to do so on its own.
In short, Chevron has brought us closer to a world
in which “the executive would possess an unbounded
power over the public purse of the nation; and might
apply all its monied resources at his pleasure.” See 3
Joseph Story, Commentaries on the Constitution of the
United States § 1342, at 213–14 (1833). Any private
individual could be faced with financial obligations
created through executive action in the absence of any
congressional policy decisions.
The Constitution requires that the “House of
Representatives cannot only refuse, but they alone can
propose, the supplies requisite for the support of
government.” Federalist No. 58. The court below said
Chevron requires otherwise. Many agencies have been
assigned rulemaking authority that contain no express
limits that might prohibit financial extraction from the
public. The implication of the lower court’s decision—
that any of those agencies can require private
individuals to provide “supplies requisite for the
support of government” policies without any
consideration by Congress—is, quite literally, radical.
The agency’s rule also avoided the political
accountability that, under our system, is attached to
the congressional appropriation of agency funds. If
Congress had appropriated money for the agency to
hire fishing monitors, a future Congress would have
16
the option of defunding the program. But by forcing
others to fund these monitors directly, the agency
sidesteps the congressional accountability that our
system of self-government requires.
Consider this example: for decades, the Securities
and Exchange Commission (“SEC”) has asked
Congress to give it the ability to “self-fund” through
fees on regulated entities. Commissioner Luis A.
Aguilar, Creating Reform That Is Sustainable for
Investors, 10 J. Int'l Bus. & L. 115, 121 (2011); Joel
Seligman, Self-Funding for the Securities and
Exchange Commission, 28 Nova L. Rev. 233, 259
(2004). But it appears that the SEC has instead
decided that it has the independent authority to raise
such revenues: apparently, the Commission’s
leadership has concluded that congressional silence
and its preexisting rulemaking authority are all that
is needed to engineer a new funding stream. The SEC
is now planning to require private companies to pay
outside entities it selects to ensure compliance with its
mandates. Notice of Proposed Rulemaking, The
Enhancement and Standardization of Climate-Related
Disclosures for Investors, 87 FR 21334, 21399 (April
11, 2022) (requiring “assurance of GHG emissions
disclosure by independent service providers should
also improve the reliability of such disclosure.”).
Courts have seen that deferring to agency actions
implies significant risk, in that it allows an end run
around the constitutional requirements imposed by
the congressional power of the purse. Bell Atl. Tel.
Companies v. F.C.C., 24 F.3d 1441, 1445 (D.C. Cir.
1994) (“Chevron deference to agency action that
creates a broad class of takings claims, compensable in
the Court of Claims, would allow agencies to use
17
statutory silence or ambiguity to expose the Treasury
to liability both massive and unforeseen.”). Yet, here,
the lower court deferred to the agency’s assumption of
the awesome taxing power. Cf. Nicol v. Ames, 173 U.S.
509, 515 (1899) (“The power to tax is the one great
power upon which the whole national fabric is based.
It is as necessary to the existence and prosperity of a
nation as is the air he breathes to the natural man. It
is not only the power to destroy, but it is also the power
to keep alive.”) (emphasis added).
Chevron should be overturned to protect the
Constitution’s enduring balance of powers. See also
Joe Biden, S. Rep. No. 104-5, at 27 (1995) (“The
founders also intended the power of the purse to be one
of the legislative branch’s strongest bulwarks against
incursions by the executive, and the key to
maintaining an enduring balance of powers.”).
18
CONCLUSION
For the foregoing reasons, this Court should
overturn Chevron U.S.A., Inc. v. Natural Resources
Defense Council, Inc. (1984).
Respectfully submitted,
Devin Watkins
Counsel of Record
Dan Greenberg
COMPETITIVE ENTERPRISE
INSTITUTE
1310 L St. NW, 7th Floor
Washington, D.C. 20005
(202) 331-1010
devin.watkins@cei.org
July 24, 2023
Attorneys for Amicus Curiae
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