FILED
United States Court of Appeals
Tenth Circuit
July 6, 2011
PUBLISH Elisabeth A. Shumaker
Clerk of Court
UNITED STATES COURT OF APPEALS
TENTH CIRCUIT
ATK LAUNCH SYSTEMS, INC.,
Petitioner,
v. Nos. 09-9561, 10-9501
and 10-9502
UNITED STATES ENVIRONMENTAL
PROTECTION AGENCY,
Respondent,
_________________________________
UTAH PHYSICIANS FOR A HEALTHY
ENVIRONMENT,
Amicus Curiae,
DR. BRIAN MOENCH,
Movant.
PETITION FOR REVIEW FROM AN ORDER OF THE
ENVIRONMENTAL PROTECTION AGENCY
(EPA-HQ-OAR-2007-0562)
Michael A. Zody (Michael L. Larsen, David W. Tundermann, M. Lindsay Ford,
and Elizabeth A. Schulte with him on the briefs), Parsons Behle & Latimer, Salt
Lake City, Utah, for Petitioner.
Jessica O’Donnell, United States Department of Justice, Environment & Natural
Resources Division (Geoffrey L. Wilcox, Office of General Counsel, United
States Environmental Protection Agency, and Ignacia S. Moreno, Assistant
Attorney General, Environment & Natural Resources Division, with her on the
brief), Washington, D.C., Respondent.
Joro Walker and Charles R. Dubuc, Western Resource Advocates, Salt Lake City,
Utah, on the brief for Amicus Curiae and Movant.
Before MURPHY, HARTZ, and GORSUCH, Circuit Judges.
MURPHY, Circuit Judge.
I. Introduction
Under the Clean Air Act, the Environmental Protection Agency (“EPA”) is
charged with establishing National Ambient Air Quality Standards (“NAAQS”)
for various air pollutants. 42 U.S.C. § 7409. Once a NAAQS is established, EPA
must promulgate designations of geographic areas across the nation according to
their compliance with the NAAQS. Id. § 7407. These consolidated petitions
challenge EPA’s inclusion of portions of Box Elder County, Utah, and Tooele
County, Utah, in a “nonattainment” area as to the NAAQS for fine particulate
matter. EPA moved to dismiss the petitions or to transfer the petitions to the D.C.
Circuit, arguing the Clean Air Act’s judicial review provision designates the D.C.
Circuit as the proper forum. For the reasons set out below, this court
TRANSFERS the petitions to the U.S. Court of Appeals for the District of
Columbia Circuit.
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II. Background
EPA is charged with establishing NAAQS for various air pollutants that
may endanger public health and welfare. 42 U.S.C. §§ 7408-09. The NAAQS
sets the maximum allowable air concentration for a particular pollutant. Id.
§ 7408. Once a NAAQS is established, each state is required to submit a list of
all areas in the state with designations of nonattainment, attainment, or
unclassifiable. Id. § 7407(d)(1)(A). Attainment areas meet the air quality
standard established by the relevant NAAQS. Id. § 7407(d)(1)(A)(ii).
Nonattainment areas are areas with air quality that does not meet the NAAQS or
with air quality that “contributes to ambient air quality in a nearby area that does
not meet” the NAAQS. Id. § 7407(d)(1)(A)(i). Finally, unclassifiable areas are
areas as to which there is insufficient information for classification. Id.
§ 7407(d)(1)(A)(iii). EPA reviews all states’ submitted designations and, if it
disagrees with a particular designation, it must notify the state and give it an
opportunity to demonstrate why any proposed modification is inappropriate. Id.
§ 7407(d)(1)(B)(ii). EPA then promulgates final designations. Id.
§ 7407(d)(1)(B)(i). These designations affect the obligations under the Act for
each state in creating its State Implementation Plan (“SIP”), a plan each state
must submit to EPA for approval to provide for the state’s achievement and
maintenance of the air quality established in the relevant NAAQS. Id. §§ 7410,
7471, 7502.
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Since 1997, EPA has maintained a NAAQS for fine particulate matter, a
pollutant known as PM 2.5 because it consists of particles less than 2.5 micrometers
in aerodynamic diameter. See National Ambient Air Quality Standards for
Particulate Matter, 62 Fed. Reg. 38,652 (July 18, 1997) (codified at 40 C.F.R.
§ 50.7). In 2006, EPA issued a revised NAAQS for PM 2.5, which triggered the
designation process outlined above. See National Ambient Air Quality Standards
for Particulate Matter, 71 Fed. Reg. 61,144 (Oct. 17, 2006) (codified at 40 C.F.R.
§ 50.7). EPA subsequently issued a guidance letter to the states explaining that
the nonattainment designation applies not only to those areas violating the new
PM 2.5 standard but also areas contributing to nearby violations. The guidance
letter identified nine factors states should consider in recommending designations,
but cautioned that states should evaluate areas “on a case-by-case basis” and
consider any relevant factors or circumstances.
States then submitted proposed designations to EPA. Among others, Utah’s
proposed designations defined one nonattainment area centered in Salt Lake City
to include the entirety of Salt Lake and Davis counties and a portion of Weber
county. Utah proposed that Box Elder and Tooele counties be designated
attainment areas (or, in the alternative, unclassifiable) in their entirety. Pursuant
to the Clean Air Act’s requirements, EPA then notified Utah that it intended to
modify the proposed designations to, among other things, include eastern portions
of Box Elder and Tooele counties within the Salt Lake City nonattainment area.
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After all notifications of proposed modifications had been made to various states,
EPA invited public comment prior to issuing a final designations rule. See
Designations Recommendations: Notice of Availability and Public Comment
Period, 73 Fed. Reg. 51,259 (Sept. 2, 2008). Petitioners ATK Launch Systems
(“ATK), Box Elder County, Brigham City, Grantsville City, Tooele City, and the
State of Utah submitted comments opposing the modification. EPA then issued
its final designation rule explaining the methodology for determining designations
and enumerating designations for areas across the country. Air Quality
Designations for the 2006 PM 2.5 NAAQS, 74 Fed. Reg. 58,688 (Nov. 13, 2009)
(codified at 40 C.F.R. Part 81) (“Designations Rule”). In that rule, consistent
with the notification of modification previously issued to Utah, EPA included
eastern portions of Box Elder and Tooele counties in a nonattainment area. Id. at
58,769-70.
ATK, a business with operations in the eastern portion of Box Elder
County, petitioned this court for review of EPA’s inclusion of that location in the
final nonattainment area. Likewise, Tooele County, Tooele City, and Grantsville
City petitioned for review of EPA’s inclusion of the eastern portion of Tooele
County. Finally, Box Elder County and Brigham City petitioned for review of the
inclusion of the eastern portion of Box Elder County. This court consolidated the
petitions. The consolidated petitions argue the modifications to Utah’s proposed
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designations concerning Box Elder and Tooele counties are arbitrary and
capricious.
III. Discussion
In a motion to dismiss or to transfer the petitions, EPA raised the threshold
question whether the petitions are properly adjudicated in this court or whether
they belong in the D.C. Circuit under the judicial review provision of the Clean
Air Act. See 42 U.S.C. § 7607(b)(1). 1 Under the Act, petitions for review of
“nationally applicable regulations promulgated, or final action taken” are to be
filed in the D.C. Circuit. Id. Petitions challenging any final action “which is
locally or regionally applicable,” however, must be filed in the court of appeals in
the “appropriate circuit.” Id. Finally, the Act’s judicial review provision states
that “[n]otwithstanding the previous sentence [concerning local or regional
actions,] a petition for review of any action referred to in such sentence may be
filed only in the Untied States Court of Appeals for the District of Columbia if
1
Although the D.C. Circuit has held the Act’s provision choosing among the
circuit courts is a venue provision and the Supreme Court has at least suggested
the same, this court need not resolve whether the question is a question of proper
venue or of jurisdiction. See Harrison v. PPG Indus., 446 U.S. 578, 591 (1980);
Tex. Mun. Power Agency v. EPA, 89 F.3d 858, 867 (D.C. Cir. 1996). A protective
petition has been timely filed in the D.C. Circuit, thus eliminating any concern
about the statute of limitations, and no argument has been made that any venue
objection has been waived. This court has the power to transfer the case either
way. See 28 U.S.C. § 1631 (court may transfer for want of jurisdiction if in the
interest of justice); Panhandle E. Pipe Line Co. v. Fed. Power Comm’n, 337 F.2d
249, 251-52 (10th Cir. 1964) (court has power to transfer case for improper
venue).
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such action is based on a determination of nationwide scope or effect and if in
taking such action the Administrator finds and publishes that such action is based
on such a determination.” Id.
The inquiry thus begins by determining if the challenged regulation is
“nationally applicable” or “locally or regionally applicable.” Id. The language of
the Clean Air Act provision makes clear that this court must analyze whether the
regulation itself is nationally applicable, not whether the effects complained of or
the petitioner’s challenge to that regulation is nationally applicable. Id.
(assigning to the D.C. Circuit challenges to “nationally applicable regulations
promulgated”). Other circuits to consider the issue have taken a similar approach.
Natural Res. Def. Council, Inc. v. Thomas, 838 F.2d 1224, 1249 (D.C. Cir. 1988)
(looking at face of rule, rather than practical effect, in determining national
applicability); see Texas v. EPA, No. 10-60961, 2011 WL 710598, at *3 (5th Cir.
Feb. 24, 2011) (same). 2
The EPA Designations Rule at issue here establishes “initial [PM 2.5] air
quality designations for most areas in the United States.” Designations Rule, 74
Fed. Reg. at 58,688. The actual designations list includes designations of areas
within each state and territory in the country. Id. at 58,701-781. The
nonattainment designation was assigned to thirty-one areas across the country,
2
Because this opinion is unpublished, and therefore not precedent even in
Fifth Circuit, it is cited only for its persuasive value. See 5th Cir. R. 47.5.4; see
also Fed. R. App. P. 32.1(a).
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areas which include portions of states with no local or regional connection to one
another, such as California, Pennsylvania, and Alabama. Id. at 58,696. That the
regulation reaches geographic areas from coast to coast and beyond is, at a
minimum, a strong indicator that the regulation is nationally applicable.
In promulgating final designations, EPA also applies a uniform process and
standard across the country. EPA explained that it “invited all states and tribes to
submit area and boundary recommendations” and “issued guidance” concerning
how to determine nonattainment designations and area boundaries. Id. at 59,692,
58,693. As part of its guidance, EPA “recommended nine factors . . . [it]
considered relevant for designations.” Id. at 58,693. EPA further explained its
methodology in determining when an area “contributes” to a nearby violation,
what constitutes a “nearby” area, how it determined where the boundaries of those
areas would be drawn, and what presumptions it applied to metropolitan areas.
Id. It also listed various types of data on which EPA relied in forming final
designations. Id. at 58,695. All of these standards and methodologies are part of
EPA’s nationwide approach to giving content to the Clean Air Act’s mandate that
nonattainment designations be assigned to areas that contribute to a nearby
NAAQS violation. See id. at 58,700 (“At the core of this rulemaking is EPA’s
interpretation of the definition of nonattainment. . . . [and] EPA used an analytic
approach that it applied consistently across the U.S.”).
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ATK’s contention that EPA’s case-by-case consideration of areas and
boundaries transforms a national standard to a regional or local rule is ultimately
unpersuasive. That no mechanical or bright-line rule applies in these
circumstances does not mean EPA holds localities to differing standards, each of
which should be reviewed in a local circuit. As the D.C. Circuit explained in
upholding EPA’s approach to nonattainment designations, a multi-factor inquiry
is not “unreasonable just because it lacks quantitative standards.” Catawba
County v. EPA, 571 F.3d 20, 39-40 (D.C. Cir. 2009) (finding totality of
circumstances test as reasonable interpretation of statutory duties and that EPA
consistently applied it). EPA’s analytic rubric is a single interpretation of the
Clean Air Act provision concerning areas that contribute to a nearby NAAQS
violation.
The cases cited by ATK in which courts have concluded petitions for
review of EPA actions were properly brought outside the D.C. Circuit present
different considerations than the petition here. 3 In Western Oil & Gas v. EPA, the
Ninth Circuit considered challenges to certain nonattainment designations in
3
Both parties also cite much authority that does not bear on the question at
hand. ATK cites numerous cases in which petitions for review of EPA actions
similar to the Designations Rule were decided on the merits in regional circuits.
In those cases, however, the issue of whether the action was brought in the proper
circuit was never raised or discussed. See, e.g., Sharon Steel Corp. v. EPA, 597
F.2d 377 (3d Cir. 1979); U.S. Steel Corp v. EPA, 595 F.2d 207 (5th Cir. 1979).
Likewise, EPA cites such cases adjudicated on their merits in the D.C. Circuit in
which there is no discussion of the proper forum. See, e.g., Catawba County v.
EPA, 571 F.3d 20 (D.C. Cir. 2009).
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California and concluded, without analysis, that they “apply locally, not
nationally.” 633 F.2d 803, 807 (9th Cir. 1980). Because of unique circumstances
surrounding EPA’s very first designations process, the final designations at issue
there were promulgated in a rule that applied to a single EPA region, consisting
of Arizona, California, Nevada, Hawaii and Guam. See id. at 806. Compare 44
Fed. Reg. 16,388 (March 19, 1979) (designations rule at issue in Western Oil &
Gas concerning a single region), with 74 Fed. Reg. 58,688 (designations rule at
issue here concerning every state and territory). Having already issued one
national rule, the final rulemaking at issue in Western Oil & Gas addressed
“[a]dditional issues which are specific to the states in EPA Region IX.” 44 Fed.
Reg. 16389. Given that the face of the final rule declared itself regional in
nature, and that the Ninth Circuit provided no analysis in support of its
conclusion that the designations apply locally, Western Oil & Gas is of no help to
ATK here.
In Madison Gas & Electric Co. v. EPA, the Seventh Circuit considered a
particular company’s challenge to its initial allocation of allowances under a
national program creating tradeable pollution permits. 4 F.3d 529, 530 (7th Cir.
1993) Allowances are determined in part based on a plant’s generating capacity,
and Madison Gas contended EPA incorrectly calculated its generating capacity.
Id. The court noted that the challenge was neither attacking a national feature of
the program (an undisputably nationally applicable action) nor attacking a purely
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local action such as a SIP (an undisputably regional action) but rather presented
an “intermediate case.” Id. It then concluded that because of the nature of the
challenge, which was “based on an entirely local factor (Madison’s generating
capacity),” that the action was properly brought in the Seventh Circuit. Id. at
531.
Unlike the petitioners in Madison Gas, ATK complains of errors not
limited to EPA’s assessment of facts on the ground wholly within Box Elder and
Tooele counties. Rather, it invokes a broad comparison between EPA’s
designations as to those counties and the designations of counties in other regions
in an attempt to demonstrate that EPA’s application of its nationwide standard
was arbitrary and capricious because it leads to inconsistent outcomes in different
areas of the country. The nature of the challenge here is therefore much different
from that considered in Madison Gas, and Madison Gas serves as no basis for
concluding that ATK’s challenge is properly brought in the Tenth Circuit. 4 To the
4
EPA also distinguishes Madison Gas & Electric Co. v. EPA, 4 F.3d 529
(7th Cir. 1993), on the basis that the regulation there contained no finding by the
Administrator that the action was based on a determination of nationwide scope or
effect, unlike the regulation challenged in this petition. See 42 U.S.C.
§ 7607(b)(1). Because the Designations Rule is a nationally applicable regulation
and ATK’s petition properly belongs in the D.C. Circuit on that basis alone, no
decision need be reached concerning EPA’s alternative contention that the
Administrator’s finding also mandates that the challenge be decided by the D.C.
Circuit. Nonetheless, this court acknowledges that the D.C. Circuit has refused to
transfer to the Seventh Circuit a petition challenging EPA’s designations under
the Ozone NAAQS on the basis of such a published finding. Alcoa, Inc. v. EPA,
No. 04-1189, 2004 WL 2713116, at *1 (D.C. Cir. Nov. 24, 2004).
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extent that Madison Gas suggests, however, that the manner in which a petitioner
frames his challenge to a regulation may alter the court in which the suit belongs,
that suggestion is inconsistent with the language of the Act’s judicial review
provision. See id. The provision assigns to the D.C. Circuit all challenges to
“nationally applicable regulations,” not, for instance, all national challenges or all
challenges that will have a national effect. See 42 U.S.C. § 7607(b)(1). The
nature of the regulation, not the challenge, controls.
The challenge here is more akin to challenges to so-called “SIP Calls,”
which the Fourth and Fifth Circuits have transferred to the D.C. Circuit. See
Texas v. EPA, 2011 WL 710598, at *3; W. Va. Chamber of Commerce v. Browner,
No. 98-1013, 1998 WL 827315, at *5-*7 (4th Cir. Dec. 1, 1998). 5 A SIP Call is
an EPA rule calling for revision to any SIP not meeting a newly-established
standard. See Texas, 2011 WL 710598, at *2. In issuing a SIP Call, EPA
determines which states’ SIPs are non-compliant and in need of revision. See id.
Although each of the SIP Call petitions challenged the revision requirement as to
a particular state, the SIP Call on its face applied the same standard to every state
and mandated revisions based on that standard to states with non-conforming SIPs
in multiple regions of the country. See id. at *3; Browner, 1998 WL 827315, at
5
Because this opinion is unpublished, and therefore not precedent even in
Fourth Circuit, it is cited only for its persuasive value. See 4th Cir. R.32.1; see
also Fed. R. App. P. 32.1(a).
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*7. Accordingly, those challenges were held properly brought in the D.C. Circuit.
See Texas, 2011 WL 710598, at *5; Browner, 1998 WL 827315, at *8.
Like the SIP Calls, EPA’s Designations Rule creates a standard that applies
to the entire country. Any area falling below the standard receives the
nonattainment designation and attendant consequences. EPA’s listing of the
designations applied to each locality does not, as ATK suggests, constitute a mere
amalgamation of numerous local actions into a single rule. Rather, EPA’s
Designations Rule constitutes its national interpretation of Clear Air Act
mandates, and any challenge thereto belongs in the D.C. Circuit.
Given this court’s ruling that the petitions be transferred to the D.C.
Circuit, there is no occasion to consider the parties’ arguments on the merits.
There is likewise no need to reach EPA’s claim that no petitioner has standing to
challenge the designation as to Tooele County. Although standing is
jurisdictional and must be decided prior to a determination of the merits of a case,
“there is no mandatory sequencing of jurisdictional issues.” Sinochem Intern. Co.
v. Malay. Intern. Shipping Corp., 549 U.S. 422, 431 (2007) (quotation omitted)
(holding a court need not resolve its own subject matter jurisdiction before
dismissing a suit on the ground of forum non conveniens). This court may choose
to transfer the petitions to the proper court under the Clean Air Act and leave
EPA’s standing arguments to be decided in the D.C. Circuit. See Leroy v. Great
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W. United Corp., 443 U.S. 173, 180 (1979) (venue may be addressed before
personal jurisdiction).
IV. Conclusion
For the foregoing reasons, the petitions are TRANSFERRED to the U.S.
Court of Appeals for the District of Columbia Circuit.
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