# Petition — MARSHALL v. AMERICAN PETROLEUM INSTITUTE (Nos. 78-1036, 78-911)

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## Record

- **Collection:** Supreme Court brief
- **Document type:** Petition
- **Published:** January 1, 1979

## Text

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No.

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Iu the Siywenw Cnet uf the WUuited States

OCTOBER TERM, 1978

RAY MARSHALL, SECRETARY OF LABOR
Vv.

AMERICAN PETROLEUM INSTITUTE, ET AL.

»

PETITION FOR A WRIT OF CERTIORARI TO THE
UNITED STATES COURT OF APPEALS FOR
THE FIFTH CIRCUIT

WADE H. McCREE, JR.
Solicitor General

FRANK H. EASTERBROOK
Deputy Solicitor General

WILLIAM ALSUP
Assistant to the Solicitor General
Department of Justice
Washington, D.C. 20530
CARIN ANN CLAUSS
Solicitor of Labor

BENJAMIN W. MINTZ
Associate Solicitor

ALLEN H. FELDMAN
DENNIS K. KADE
NANCY L. SOUTHARD
DIANE E. BURKLEY
Attorneys
Department of Labor
Washington, D.C. 20210

Page
A LEILA 1
I dai daiciten-cnisshquainbencnbbhspodessusebadidaiejuise 2
EEE Le ee 2
EE a EE I a 2
ELSES ES ER ODS ae 3
Reasons for granting the petition .................... 11
GS I) OS ESE SO 21

CITATIONS

Cases:

American Iron and Steel Institute v.
OSHA, 577 F.2d 825, petitions for cert.
pending, Nos. 78-911 and 78-919 .......... 12,13

Atlas Roofing Co. v. OSHRC, 4380 U.S.
NUNES SIS TO a 3

Industrial Union Department, AFL-CIO
v. Hodgson, 499 F.2d 467 .....................- 12,13

Society of Plastics v. OSHA, 509 F.2d
1301, cert. denied, 421 U.S. 992 0.0000... 12

Union Electric Co. v. EPA, 427 US.

ARUN DET EY ib Ac 18
Statutes:

Consumer Product Safety Act, 15 U.S.C.
2058(c)(1)(C) and (D) ..................... 17

Occupational Safety and Health Act of
1970, 29 U.S.C. 651 e€ seg. .................. 3

RESET aa 3,17

a 3, 9, 16

Statutes—Continued: Page
RE ICTY detaidntebechsscciienoempeshacicashanbioii 3
GP ES SENET | Snichserictncsconteienisnqansinls 4,19
TN EI cliscdcctaveocbentincpobecscnted 2,18
BP Seri SEEDED) cecccvccscccasccsasnenraed passim
Br ieee PERO), ccccstonssccsvncntectonies 19
FP I PUD inpscevintnsntccsicenntinsamnpnsian 4

Miscellaneous:

Comment, Implementing the Anticancer
Clauses of the Food, Drug and Cos-
metic Act, 44 U. Chi. L. Rev. 818
(oy PSRERT ERE SB Dirty SEALER Poa ia Es See 18
EPA, A Preliminary Report on Popula-
tion Risk to Ambient Benzene Ex-

NIUE RUD ecticnncdiceaccptabiceienienstesedeecias 15
Executive Order 12044, 438 Fed. Reg.
PI MIND Nel ctelccict rics ile ac 18

Identification, Classification and Regula-
tion of Toxic Substances Posing a Po-
tential Occupational Carcinogenic Risk,
42 Fed. Reg. 54148 (1977) ...............00+ 12
Senate Committee on Labor and Public
Welfare, Legislative History of the Oc-
cupational Safety and Health Act of
197u, 92d Cong., lst Sess. (1971)....16, 19, 20
S. Rep. No. 92-749, 92d Cong., 2d Sess.
COPE ilacnaduicdabslsigdnedaddeld eabbdinituc ib ucctt 17

Iu the Supreme Court of the United States

OCTOBER TERM, 1978

No.
RAY MARSHALL, SECRETARY OF LABOR
v.
AMERICAN PETROLEUM INSTITUTE, ET AL.

PETITION FOR A WRIT OF CERTIORARI TO THE
UNITED STATES COURT OF APPEALS FOR
THE FIFTH CIRCUIT

The Solicitor General, on behalf of the Secretary
of Labor,‘ petitions for a writ of certiorari to review
the judgment of the United States Court of Appeals
for the Fifth Circuit in this case.

OPINIONS BELOW

The opinion of the court of appeals (App. la-33a)*
is reported at 581 F.2d 493. The regulation in ques-

1 The petitions for review of the regulation in the court of
appeals named the Occupational Safety and Health Adminis-
tration as the federal party. Because the Secretary of Labor
is ultimately responsible for the promulgation and enforce-
ment of the regulation, we have named him as petitioner here.

*“App.” refers to the separately bound appendix to the
petition in No. 78-911, which seeks review of the same judg-
ment. Because we believe that the Court should grant review
in No. 78-911, which presents essentially the same questions
as the present petition, we will not file a separate response in
that case.

(1)

2

tion and the administrative opinion (App. 34a-252a)
appear at 43 Fed. Reg. 5918-5970.

JURISDICTION

The judgment of the court of appeals (App. 254a-
255a) was entered on October 5, 1978. The juris-
diction of this Court is invoked under 28 U.S.C. 1254

( 1 ) .
QUESTIONS PRESENTED

1. Whether a health and safety standard for a
toxie substance promulgated by the Secretary of Labor
pursuant to 29 U.S.C. 655(b) must satisfy a cost-
benefit test.

2. Whether a health and safety standard that is
supported by substantial evidence based on the best
available scientific knowledge may be set aside be-
cause of the possibility that future scientific studies
will provide better evidence concerning the need for

the standard.
STATUTE INVOLVED

Section 6(b) (5) of the Occupational Safety and
Health Act of 1970, 29 U.S.C. 65546) (5), provides:

The Secretary, in promulgating standards deal-
ing with toxic materials or harmful physical
agents under this subsection, shall set the standard
which most adequately assures, to the extent
feasible, on the basis of the best available evi-
dence, that no employee will suffer material im-
pairment of health or functional capacity even
if such employee has regular exposure to the
hazard dealt with by such standard for the period

3

of his working life. Development of standards
under this subsection shall be based upon re-
search, demonstrations, experiments, and such
other information as may be appropriate. In
addition to the attainment of the highest degree
of health and safety protection for the employee,
other considerations shall be the latest available
scientific data in the field, the feasibility of the
standards, and experience gained under this and
other health and safety laws.

Section 3(8) of the Act, 29 U.S.C. 652(8), pro-
vides:

The term “occupational safety and health stan-
dard” means a standard which requires condi-
tions, or the adoption or use of one or more prac-
tices, means, methods, operations, or processes,
reasonably necessary or appropriate to provide
safe or healthful employment and places of em-
ployment.

STATEMENT

1. The Occupational Safety and Health Act of
1970 (OSHA), 29 U.S.C. 651 et seg., was enacted
“to assure so far as possible every working man and
woman in the Nation safe and healthful working
conditions and to preserve our human resources.” 29
U.S.C. 651. See Atlas Roofing Co. v. OSHRC, 430
U.S. 442, 444-445 (1977). The Act directs the Sec-
retary of Labor to set occupational safety and health
standards to achieve this objective. 29 U.S.C. 655.
The Secretary has determined that benzene poses a
serious health hazard to employees who are exposed

4

to it, and he has issued three standards regulating
the exposure of employees to benzene.°

During the first two years of OSHA’s existence,
the Secretary was required to adopt as his regulation
any “national consensus standard” or “established
Federal standard,” unless he determined that the
promulgation of such a standard would not result in
improved health or safety. 29 U.S.C. 655(a). In 1971
the Secretary adopted an existing “national consensus
standard” establishing limits on occupational exposure
to benzene. The 1971 standard provided that average
exposure over an eight-hour period could not exceed 10
parts of benzene per million parts of air (ppm), and
that short-term exposure could not exceed 50 ppm
(App. 71a). The 1971 standard was designed to con-
trol the long-recognized toxic non-malignant effects of
benzene. The Secretary later received scientific evi-
dence, including a report of the National Institute for
Occupational Safety and Health, that benzene posed
a risk of leukemia. On May 3, 1977, the Secretary
issued an emergency temporary standard for benzene
(see 29 U.S.C. 655(c)). Because of a temporary
restraining order, the emergency standard never be-
came effective (App. 73a-74a).

This case involves the Secretary’s third benzene
standard, which was promulgated after full rulemak-
ing addressed to the leukemia hazard. The Secretary

* Benzene, a highly volatile liquid, is a hydrocarbon with
many industrial uses. Only 11 other chemicals are produced
in greater tonnage in the United States. Production of ben-
zene has been increasing rapidly (App. 69a).

5

published a proposed permanent benzene standard on
May 27, 1977. Public hearings were held; 95 wit-
nesses, representing employers and employees from
the petroleum refining, petrochemical, oil and gas pro-
duction, aviation fueling, coke oven and coke by-
products industries, gave testimony (App. 74a). Com-
ments were received from other industries, public in-
terest groups and government agencies (ibid.). Briefs,
arguments and additional evidence were submitted
(id. at 75a).

The final benzene standard reduces the permissible
exposure level to an average of one ppm over an eight-
hour day and reduces the limit for any 15-minute
period to five ppm. It prohibits dermal and eye con-
tact with certain liquids containing benzene, and it
requires employers to monitor and enforce the ex-
posure levels.‘

The Secretary published a lengthy statement of rea-
sons for adopting the rule (App. 67a-251a). The
Secretary described evidence showing that benzene

4 Although the standard initially prohibited dermal and eye
contact with any liquid containing any benzene, the standard
was amended on June 27, 1978, to exempt all liquids contain-
ing 0.5% or less benzene by volume for an interim period of
three years, after which the exemption covers all liquids con-
taining 0.1% or less benzene by volume (App. 252a). The
standard also requires employers to assure that caution labels
are affixed to containers of products containing benzene and
requires such labels to remain affixed when the products leave
the workplace (App. 47a-48a). The standard requires respira-
tory protection in limited situations (App. 40a), medical sur-
veillance (App. 42a-46a), employee training programs (App.
46a-47a), and retention of records regarding medical surveil-
lance and exposure monitoring (App. 48a-51a).

6

causes leukemia and non-malignant diseases as well.
Blood disorders induced by benzene have caused deaths
(App. 84a-89a) ; some studies reported blood abnor-
malities at levels below 25 ppm, perhaps as low as
10 ppm (id. at 97a). Observing that “prudent public
health policy, and established toxicological principles
necessitates setting the permissible exposure limit
sufficiently below the levels at which adverse effects
have been observed to assure adequate protection,”
and that “[i]t is customary to use a safety factor
of 10-100 or greater depending on the seriousness of
the toxic effects and the nature of the data being
relied upon,” the Secretary stated that a permissible
exposure limit “substantially less than 10 ppm with-
out regard to the issue of leukemia” would be war-
ranted (App. 97a-98a).

Although the evidence that benzene causes leukemia
was basically uncontroverted (App. 122a), industry
representatives presented several “negative studies”—
studies of purportedly exposed workers who did not
contract leukemia—in an attempt to demonstrate that
there was a threshold of exposure (higher than 10
ppm) below which there was no risk of leukemia. The
Secretary concluded that these studies were unper-
suasive, both because epidemiological studies are im-
precise and because these studies, in particular, had
serious deficiencies.’ The majority of the cancer spe-
cialists appearing at the hearing testified that there

5’ Several of the studies, for example, did not separate work-
ers who were not exposed to benzene from those who were
exposed in computing risks from exposure (App. 124a-125a).

7

was no known safe level of exposure to benzene (App.
182a-187a; Tr. 351-363, 775-780, 1053). This testi-
mony was consistent with the 1970 report of the
National Cancer Institute’s Ad Hoc Committee on
the Evaluation of Low Levels of Environmental
Carcinogens.

The Secretary thus concluded that the evidence
established no known safe level for exposure to ben-
zene (App. 124a-125a). He explained that “once the
carcinogenicity of a substance has been established
qualitatively, any exposure must be considered to be
attended by risk” (App. 124a, 132a, 160a, 185-186a).
The evidence, including a study of the technology re-
quired to reduce the level and the expense to do so,
demonstrated that the one ppm standard with a ceil-
ing of five ppm was the lowest feasible level, and the
Secretary therefore adopted it (App. 132a-135a, 185a-
187a).°

The Secretary also concluded that a health risk
was posed by dermal or eye contact with liquids con-
taining more than 0.5% benzene by volume (see note
4, supra). The evidence revealed a scientific con-
sensus—based on test data, benzene’s physical char-
acteristics, and experience with similar chemicals—
that absorption through skin is a potential source
of exposure. In accordance with the agency’s policy

®* The Secretary estimated that the new standard would in-
crease operating costs for all industries during the first year
by between $187 million and $205 million; that the rule would
require recurring annual expenditures of approximately $34
million; and that necessary investment in engineering con-
trols would be approximately $266 million (App. 134a).

8

that, “in dealing with a carcinogen, all potential
routes of exposure (i.e. inhalation, ingestion, and skin
absorption) should be limited to the extent feasible”
(App. 192a), the Secretary therefore required the use
of inexpensive impermeable clothing to prevent skin
and eye contact (App. 193a-194a).

The Secretary rejected the argument that a rule
about toxic substances must be justified by an attempt
to assess the benefi:s of improved health and to weigh
those benefits against the cost of the regulation and
the costs of other “socially acceptable risks” (App.
158a-163a). The Secretary pointed out that the evi-
dence did not permit the drawing of conclusions about
the exact relationship between decreasing levels of
exposure and disease; unless it could be learned ex-
actly how much disease could be avoided by each one
ppm decrease in exposure, it would be impossible to
know the benefits of the particular proposed regula-
tion. The most that could be said with confidence, the
Secretary concluded, is that decreased exposure would
lead to reduced risk, and thus save lives, The reduc-
tion to one ppm exposure is likely, said the Secretary,
to carry with it “appreciable” health benefits. The
Secretary believed that the statute and the state of
scientific knowledge together required adoption of the
lowest feasible level for carcinogenic materials, at
least so long as there is no known safe level. Only
this position, the Secretary stated, could yield “the”
standard that “most adequately assures, to the extent
feasible” that “no” employee would suffer health im-
pairment as a result of employment, as Section 655
(b) (5) requires (App. 159a-162a).

9

2. The court of appeals concluded that substantial
evidence supports the Secretary’s findings that (1)
benzene causes cancer (App. 18a) ; (2) benzene causes
diseases (some of them fatal) other than cancer
(App. 7a); (3) exposure at the 10 ppm level poses
a leukemia risk, and exposure at the one ppm level
poses less leukemia risk (App. 18a). The court
acknowledged that it is not now possible to determine
the ‘exact relationship between exposure and risk
(App. 19a n.25); it did not dispute the Secretary’s
finding that the one ppm standard is economically and
technologically feasible.

The court nevertheless set aside the standard. It
concluded that the Secretary must demonstrate that
the lower exposure level saves enough lives that the
saving bears a “reasonable relationship” to the cost
of implementing the standard (App. 19a-20a). This
statutory requirement, the court held, had not been
met, principally because the Secretary did not calculate
the precise relationship between exposure and risk.
The court fc ind the requirement that the Secretary
establish a “reasonable” relationship between known
costs and known benefits in the section of the Act that
defines a health standard as a rule “reasonably nec-
essary or appropriate” to protect health (29 U.S.C.
§52(8)). A standard could not be “reasonably neces-
sary,” the court concluded, unless it produced known
benefits or savings commensurate with its known
costs.

Recognizing that OSHA calls for the “highest de-
gree of health and safety protection” and establishes

10

that the Secretary must adopt for toxic materials the
standard that “most adequately assures, to the extent
feasible” health protection (29 U.S.C. 655(b) (5)),
the court stated that the Secretary does not have “un-
bridled discretion to adopt standards designed to
create absolutely risk-free workplaces regardless of
cost” (App. 15a). The court pointed out that Sec-
tion 655(b)(5) also requires the standards to be
“feasible” and instructs the Secretary to consider
“the best available evidence * * * research, demon-
strations, experiments.” These provisions suggested
to the court that the statute contains “pragmatic limi-
tations” (App. 16a), including a requirement to
strike a balance between known costs and known
benefits.”

*The Secretary argued that the standard could satisfy a
cost-benefit test, if one were required. The court rejected this
argument because, although the cost was not in dispute, the
benefits were not well known. Conceding that “some” health
benefits would result from the lower standard, the court held
that there is no substantial evidence to support the Secre-
tary’s finding that the benefits may well be “appreciable”
(App. 18a-19a). The court predicted that “valid extrapola-
tions will be possible as more is known about the effects of
past exposure at higher levels ‘App. 19a n.23). The court
stated that when “studies of the effects of human exposure
to benzene at higher concentration levels in the past are suffi-
cient to enable a dose-response curve to be charted that can
reasonably be projected to the lower exposure levels, or when
studies of the effects of animal exposure to benzene are suffi-
cient to make projections of the risks involved with exposure
at low levels, then OSHA will be able to make rough but edu-
cated estimates of the extent of benefits expected from reduc-
ing the permissible exposure level from 10 ppm to 1 ppm.
Until such estimates are possible, OSHA does not have suffi-

11

The court also invalidated the prohibition on dermal
contact with liquids containing benzene. The Secre-
tary had considered conflicting medical opinions on
the question whether benzene could be absorbed
through the skin and thereby pose a risk of disease.
Although the court acknowledged that the Secretary’s
finding that dermal contact with benzene poses a
cancer risk is supported by substantial evidence (App.
25a), the court noted that one physician had testified
that an experiment using radioactive benzene could
be conducted to determine conclusively whether ben-
zene is absorbed through the skin. No such experi-
ment had been conducted, but the testimony led the
court to hold that the Secretary may not proceed in
the absence of such “readily” available evidence, be-
cause the rules must be based on the “best available
evidence.” 29 U.S.C. 655(b) (5).

Because all of the standard’s other requirements
are “tied to” the permissible exposure limit and the
dermal contact prohibition, the court set aside the
entire standard (App. 33a).

REASONS FOR GRANTING THE PETITION

1. The Occupational Safety and Health Act re-
quires the Secretary of Labor to establish, for toxic
substances, standards of occupational exposure that
“most adequately assure[], to the extent feasible, on

cient information to determine that a standard such as the one
under review which it can only say might protect some worker
from a leukemia risk is reasonably necessary” (App. 20a-
21a; footnotes omitted).

12

the basis of the best available evidence, that no em-
ployee will suffer material impairment of health or
functional capacity even if such employee has regular
exposure to the hazard dealt with by such standard
for the period of his working life.” 29 U.S.C. 655
(b) (5) (emphasis added). Because of the great dif-
ficulty that has been experienced in determining
whether most substances that cause cancer are “safe”
in any dose, however small, the Secretary has consist-
ently established standards requiring the lowest level
of exposure that can be achieved within bounds of
economic and technological feasibility. The Secretary
has not attempted to establish comparisons between
the costs of the regulation and the measurgable bene-
fits of reduced exposure to benzene and certain other
toxic substances, and he believes that in this case he
cannot establish such a comparison. Three courts of
appeals have sustained the Secretary’s approach. In-
dustrial Union Department, AFL-CIO v. Hodgson, 499
F.2d 467 (D.C. Cir. 1974) (asbestos dust) ; Society
of Plastics v. OSHA, 509 F.2d 1801 (2d Cir.), cert.
denied, 421 U.S. 992 (1975) (vinyl chloride) ; Ameri-
can Iron and Steel Institute v. OSHA, 577 F.2d 825
(3d Cir. 1978), petitions for cert. pending, Nos. 78-
918 and 78-919 (“‘AISI’’) (coke oven emissions). The
Secretary is continuing to apply this policy in ongo-
ing administrative proceedings dealing with other car-
cinogens. See Identification, Classification and Regu-
lation of Toxic Substances Posing a Potential Occupa-
tional Carcinogenic Risk, 42 Fed. Reg. 54148 (1977).

The decision of the court of appeals in the present
case holds that this policy is unlawful. According to
the court, the Secretary must demonstrate measurable

13

benefits to be achieved by reductions in exposure to
cancer-causing substances. If the relationship between
exposure and disease is imperfectly known, so that
the benefits cannot be measured, then the Secretary
cannot order a reduction in exposure. In reaching
this conclusion the court of appeals declined to address
the decisions we have mentioned above, stating that
they were insufficiently analytical (App. 21a).

The decisions do not simply conflict in result. They
employ completely different reasoning. The three
earlier decisions recognize the authority of the Secre-
tary, when the evidence establishes no known safe
level of exposure to a carcinogen, to resolve doubts in
favor of safety. They do not require the Secretary to
establish the “savings” attributable to a reduction in
exposure; the decision in the present case makes such
a computation essential. AJSJ and Industrial Union,
indeed, explicitly reject the proposition that the stat-
ute requires (or even permits) the Secretary to act
on the basis of a cost-benefit comparison.’ They make

8 The industrial parties in AJS] argued that the Secretary
was required to consider all applicable OSHA standards for a
given industry and the cost of each, and then to maximize
the number of lives saved (by all standards) for a given cost.
This test would have required a cost-benefit analysis of every
possible regulation and a comparison of the costs and benefits
of toxic substances regulation against the costs and benefits
of other forms of safety regulation. The court of appeals
responded that the role “economic considerations are to play
in review of the Secretary’s standard” is limited to determin-
ing whether the standard is economically feasible, and that
means only that the standard will not cause “massive disloca-
tion of industry” or “imperil the existence” of the industry.
577 F.2d at 835-836. See also Industrial Union, supra, 499
F.2d at 478-481.

14

it clear that financial considerations may be taken into
account only to the extent necessary to demonstrate
whether a standard is feasible. The present case thus
creates a conflict on a question that potentially affects
the conditions of thousands of workplaces and the
lives of millions of workers. The decision may well
preclude the Secretary from regulating many of the
other carcinogens present in the workplace. The ques-
tion deserves review by this Court.’

® The case would deserve review even if it involved only the
benzene standard. The regulation governs the occupational
exposure of some 629,000 workers to a known cause of cancer
(App. 137a). Benzene is a widely-used hydrocarbon, and it
can be expected that occupational exposure to it will continue
to raise health questions. Although the court of appeals specu-
lated (App. 19a n.23) that scientific evidence soon would per-
mit the Secretary to establish the relationship between ex-
posure to benzene and the incidence of disease, and thus
establish the amount of benefits attributable to a reduction
in exposure, it offered no sufficient basis for that speculation.
The Secretary believes that the court of appeals overesti-
mated the precision available in scientific studies of risk from
exposure to carcinogens. There are a number of obstacles
that make the measurement of benefits difficult. For example,
it is difficult to study the development of cancer in groups
of persons because it is not known how much of a given sub-
stance they may have been exposed to in the past; moreover,
persons may have been exposed to several different causes
of cancer, and it is difficult to isolate the effects of each.
There may be a substantial lag between initial exposure to
a carcinogen and the development of disease; this makes it
difficult to know when any sample of persons has developed
all of the cases of cancer that may fairly be attributable to a
particular substance. In light of these and other difficulties,
the Secretary believes that the best studies available now
or in the immediate future are not sufficiently precise to per-
mit him to learn the effect of incremental reductions in ex-
posure to benzene of the sort at issue. In other words, the

15

2. The court of appeals’ requirement that the Sec-
retary establish a particular relationship between

Secretary believes that it is not possible to conclude, with
any precision, how many cases of cancer could be avoided
by reducing exposure from 10 ppm to five or one ppm. In
the absence of such information, it would not be possible to
comply with the court of appeals’ requirement of detailed
cost-benefit analysis.

The court of »ppeals based its contrary view on three factors.
First, the court observed that a physicist representing indus-
try had testified that a “preliminary risk assessment”? showed
that only two deaths every six years would be averted by the
reduction in exposure to one ppm. But the Secretary asked
the physicist to supply the basis for this conclusion; although
he agreed to do so (Tr. 2752-2753), the Secretary has never
received this substantiation. The Secretary discussed and re-
jected the physicist’s unsupported conclusion (App. 16la).
Second, the court observed that after the close of the record
in this case the EPA released a preliminary report on the
relationship between cancer and benzene. See A Preliminary
Report on Population Risk to Ambient Benzene Exposures
(1978). (This report estimates that exposure of the whole
population to levels even as low as one part per billion for
only 24 hours would cause between 30 and 80 cases of leu-
kemia yearly.) In the Secretary’s view this report also does
not establish that the relationship between exposure and
incidence of leukemia can be constructed with sufficient relia-
bility to be the basis for setting an exposure level under
OSHA. The EPA stated (id. at 14) that its estimates were
devised by “very crude methods” and could be in error by
several orders of magnitude, so that it could confidently con-
clude only that one sort of exposure would cause between
0.3 and 8000 deaths yearly. Such estimates are not suffi-
ciently precise for use in setting occupational health stand-
ards. The court’s third basis was that the Secretary’s
consultant on the feasibility of implementing a one ppm
standard stated that it could “perform a cost-effectiveness
analysis for the benzene standard” (App. 19a n.23). Although
one witness so testified, he did not offer to demonstrate how

16

known benefits and known costs of a toxic substances
standard is incorrect. The statute provides that the
Secretary must select “the” standard that “most ade-
quately” assures, to the extent feasible, that “no em-
ployee” will suffer harm even if he is regularly ex-
posed to the substance “for the period of his working
life.” 29 U.S.C. 655(b) (5). This provision neces-
sarily precludes a decision to sacrifice health consid-
erations to concerns about cost—at least so long as
the cost is “feasible” within the meaning of the sec-
tion. Nothing in the committee reports on the Act
indicates that Congress desired the Secretary to look
at the cost of regulation for any purpose other than
determining the “feasibility” of a standard. See Sen-
ate Committee on Labor and Public Welfare, Legisla-
tive History of the Occupational Safety and Health
Act of 1970, 92d Cong., 1st Sess. 141-203, 831-892,
1154-1198 (1971) (“Leg. Hist.’’).

The court of appeals found its cost-benefit require-
ment in 29 U.S.C. 652(8), which defines a “health

such a study could be done, or how the data could be acquired.
These three factors thus do not support the court of appeals’
confident assertion that it is possible soon to learn the rela-
tionship between exposure and risk. (There is, of course, no
need in this case to consider the utility of risk assessments
for other purposes under other statutes. The general subject
is under study by an interagency committee that is expected
to issue a report in early 1979.)

Moreover, the court also completely overlooked the Secre-
tary’s conclusion that the benzene standard is justified by
public health considerations without regard to cancer (App.
97a). This error might be sufficient, by itself, to call for
reconsideration. We do not press the point further here,
however, because the court, by deciding the case with the
reasoning it employed, has crippled the Secretary’s ability to
deal with substances that cause cancer.

17

standard” as a regulation establishing a practice or
rule that is “reasonably necessary or appropriate” to
protect health. But the court of appeals cited no leg-
islative history suggesting that this general provision
qualifies the Secretary’s duty to promulgate the stan-
dard that “most adequately” assures that “no” person
is harmed by a toxic substance. Section 652(8) re-
quires a standard to be “reasonably necessary or ap-
propriate,” but nothing in the statute indicates that
a standard is not “reasonably necessary or appropri-
ate” in the absence of a particular cost-benefit ratio.
The court gave no reason for its apparent conclusion
that resolving doubts about safety in favor of lower
exposure to carcinogens is not a “reasonably * * *
appropriate” means of health protection.

The court of appeals’ approach also disregards the
structure of the statute. It renders the statutory re-
quirement of “feasibility” in 29 U.S.C. 655(b) (5)
redundant. It also overlooks the fact that the Act
as a whole indicates a preference for safety “so far
as possible.” 29 U.S.C. 651. When Congress de-
sired to qualify such a goal with a requirement that
costs and benefits be considered, it has done so ex-
plicitly.” The absence of such a qualification in OSHA

1% The Consumer Product Safety Act, for example, contains
such a qualification. See 15 U.S.C. 2058(c) (1) (C) and (D).
See also S. Rep. No. 92-749, 92d Cong., 2d Sess. 33 (1972).
The court of appeals’ reliance on cases decided under the Con-
sumer Product Safety Act (see App. 18a-21a) is therefore im-
proper. Where Congress has not precluded an agency from
using cost-benefit considerations to develop rules, the agency
may properly employ such techniques.

We stress that this case presents the issue whether Section
655(b) (5) prohibits the balancing of costs and benefits for

18

is thus telling. Cf. Union Electric Co. v. EPA, 427
U.S. 246 (1976) (structure of Clean Air Act indi-
cates that it contains no requirement that air pollu-
tion regulations be economically or technologically
feasible); Comment, Jmplementing the Anticancer
Clauses of the Food, Drug and Cosmetic Act, 44 U.
Chi. L. Rev. 817 (1977) (discussing other statutes
regulating carcinogens without respect to cost).
The generally applicable provisions of OSHA all
point toward regulation of toxic substances without
respect to cost-benefit ratios. In selecting from among
competing standards in the first two years of the Act’s
implementation, the Secretary was required to “pro-

toxic substances. We do not address balancing in government
decisionmaking generally. The technique of balancing costs
and benefits is an important decisionmaking tool in govern-
ment. For example, the President has required that executive
branch agencies, including OSHA, perform regulatory
analyses for significant regulations, taking into account the
full economic consequences of the proposed actions and al-
ternatives. He has also established a regulatory analysis
review group to examine the regulatory analysis of significant
regulatory proposals of executive branch regulatory agencies,
including OSHA. Executive Order 12044, 43 Fed. Reg. 12661
(1978). OSHA itself does not preclude all consideration of
cost-benefit assessments in the process of setting health stand-
ards for toxic substances. Section 655(b) permits but does
not require the Secretary to modify previously-adopted na-
tional consensus standards and to issue new standards where
none previously existed, although once the Secretary choosesto
do so, Section 655(b) (5) requires the Secretary to adopt the
standard for toxic substances that is most protective of
health, to the extent feasible. In making the determination
whether to issue a new standard at all, the Secretary is free
to weigh the costs and benefits of the new standards, if it is
possible.

19

mulgate the standard which assures the greatest pro-
tection” of the employees. 29 U.S.C. 655(a). And
the provision for the regulation of toxic substances
is all but inflexible in requiring the Secretary to
select “the” standard that “most adequately” ensures
that “no” employee is harmed. An employer may ob-
tain variances from these rules, but the grounds for
obtaining variances do not include financial considera-
tions. 29 U.S.C. 655(b) (6). See also Leg. Hist. 1188,
1201.

Moreover, the requirement of Section 655(b) (5)
that the Secretary act on the basis of the “best avail-
able evidence” may preclude cost-benefit considera-
tions. Here, for example, the Secretary found that—
as is the case for most carcinogens—the best available
evidence does not permit the drawing of conclusions
about the number of lives that can be saved by each
‘incremental reduction in exposure. Without such
evidence it is impossible to determine the relationship
between benefits and costs. But the statute requires
the Secretary to act anyway, on what Congress surely
knew to be imperfect data. Congress told the Secre-
tary to do the best he could with the “best available”
data precisely to prevent the possibility that “the
Secretary be paralyzed by debate surrounding diverse
medical opinions.” Leg. Hist. 848. Congress could
not have meant to impose a cost-benefit requirement
where, as here, the requirement would produce the
very paralysis it sought to avoid.

8. The court of appeals also erred in invalidating
the Secretary’s prohibition on dermal and eye contact

20

with liquids containing more than 0.5% benzene. As
we have discussed above (see pages 7-8), the medical
and scientific evidence was divided about the question
whether benzene is absorbed through the skin. The
Secretary found that absorption could take place, and
the court of appeals acknowledged (App. 25a) that
the decision to prohibit dermal contact on this basis
is supported by substantial evidence. Under these cir-
cumstances, the court’s conclusion that the Secretary
could not act until another physician had completed
another study using radioactive benzene flouts the
requirement that the Secretary act on the basis of the
best “available” evidence. No radioactive benzene
study was “available” at the time of the hearing and,
to this date, no one has supplied to the Secretary the
results of such a test. No one has argued that the
Secretary prevented the parties from performing and
submitting such a test. We submit that the Secretary
was entitled to act on the basis of the “available”
evidence without waiting for the parties to create
more.”

If, as some of the industry parties contended and the
court of appeals assumed, such a test is uncomplicated and
reliable, it is surprising that the industry parties, with so
much money at stake, have not engaged physicians to per-
form the experiment and furnish the results to the Secretary.
The Secretary cannot reasonably be blamed for the parties’
failure to supply him with relevant evidence. Moreover, if
the Secretary were required to wait until the evidence had
been supplied—however long that might take—the power to
control the timing of new regulations would be effectively
transferred from the Secretary to the affected parties, who
would have every incentive to delay.

21
CONCLUSION

The petition for a writ of certiorari should be
granted.”

Respectfully submitted.

WADE H. McCREE, JR.
Solicitor General

FRANK H. EASTERBROOK
Deputy Solicitor General

WILLIAM ALSUP
Assistant to the Solicitor General
CARIN ANN CLAUSS
Solicitor of Labor

BENJAMIN W. MINTZ
Associate Solicitor

ALLEN H. FELDMAN
DENNIS K. KADE
NANCY L. SOUTHARD
DIANE E. BURKLEY
Attorneys
Department of Labor

DECEMBER 1978

2% The Secretary believes that the case should be decided
this Term if that is possible. In order to facilitate prompt
consideration of the case if the Court should grant review, we
are prepared to file a brief on the merits within 21 days after
the Court grants the petition for certiorari. We believe that
it would be appropriate for the Court to establish a briefing
schedule for the other parties that would make the case ayail-
able for oral argument in April.

bg U. S. GOVERNMENT PRINTING OFFICE; 1978 283747 246

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Source: Frix Law Library, https://www.frixlaw.com/law-library/documents/brief%3Amicro_IA40385006_0048%3A1. Public record. Not legal advice.
