Cohen v. Rice

Related Cases

USCA1 Opinion













United States Court of Appeals
United States Court of Appeals
For the First Circuit
For the First Circuit
____________________

No. 92-2427

WILLIAM S. COHEN, ET AL.,

Plaintiffs, Appellants,

v.

DONALD RICE, SECRETARY OF THE AIR FORCE, ET AL.,

Defendants, Appellees.

____________________

APPEAL FROM THE UNITED STATES DISTRICT COURT

FOR THE DISTRICT OF MAINE

[Hon. Morton A. Brody, U.S. District Judge]

____________________

Before

Boudin, Circuit Judge,
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Campbell, Senior Circuit Judge,
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and Stahl, Circuit Judge.
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____________________

Severin M. Beliveau, with whom Ann R. Robinson, Joseph G.
_____________________ _________________ __________
Donahue, and Preti, Flaherty, Beliveau & Pachios, were on brief for
_______ ____________________________________
appellants.
Jacob M. Lewis, with whom Stuart M. Gerson, Acting Attorney
_______________ _________________
General, Richard S. Cohen, United States Attorney, Douglas N. Letter,
_________________ _________________
United States Attorney and Scott R. McIntosh, United States Attorney,
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were on brief for appellee.


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May 3, 1993
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STAHL, Circuit Judge. This is an action to enjoin
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the Department of Defense from carrying out the President's

decision to close Loring Air Force Base ("Loring") in

Limestone, Maine. Plaintiffs,1 seeking relief under the

Administrative Procedure Act ("APA"), 5 U.S.C. 701 et seq.,
__ ____

allege that defendants Secretary of Defense, Secretary of the

Air Force, and Base Closure and Realignment Commission ("the

Commission") violated procedural and substantive requirements

of the Defense Base Closure and Realignment Act of 1990 ("the

1990 Act"). Pub. L. No. 101-510, 2901-11, 104 Stat. 1808-

19 (codified at 10 U.S.C. 2687). In dismissing many of the

plaintiffs' claims in May 1992, the district court ruled that

the 1990 Act precludes judicial review of substantive

challenges to base closure decisions. See Cohen v. Rice, 800
___ _____ ____

F. Supp. 999 (D. Me. 1992) ("Cohen I"). In September of
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1992, the district court granted defendants' motion for

summary judgment on the remaining claims on the basis of the



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1. Plaintiffs are: United States Senators William S. Cohen
and George J. Mitchell; Maine Governor John R. McKernan, Jr.;
United States Representative Olympia J. Snowe; the towns of
Limestone, Ashland, Caswell, Fort Fairfield, Mars Hill, New
Sweden and Van Buren, and the cities of Caribou, and Presque
Isle, all of which are municipalities of the State of Maine;
Aroostook County, a political subdivision of the State of
Maine; Save Loring Committee, an organization of individual
and corporate citizens residing in the plaintiff towns and
cities, and Committee Chairman Paul D. Haines; and American
Federation of Government Employees ("AFGE") Local Union
Chapter #2943, the exclusive bargaining representative for
approximately 492 Loring employees and Chapter President Alan
Mulherin.

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Supreme Court's intervening decision in Franklin v.
________

Massachusetts, 112 S. Ct. 2767 (1992). See Cohen v. Rice,
_____________ ___ _____ ____

800 F. Supp. 1006 (D. Me. 1992) ("Cohen II"). Plaintiffs'
_________

timely appeal focuses on the district court's application of

Franklin to this case. After careful review of the decision
________

below, the 1990 Act, and the Court's pronouncements in

Franklin, we affirm the judgment of the district court. As
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this case is apparently the first at the appellate level to

mesh the 1990 Act with the recent dictates of Franklin,2 we
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begin with an overview of the 1990 Act and its predecessors,

and then focus on the specifics of the matter at hand.

The 1990 Act
The 1990 Act
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The 1990 Act is the latest attempt by Congress to

regulate the process by which domestic military bases are

closed or realigned. Throughout the 1960s and 1970s, the

Executive Branch attempted to reduce military expenditures by

closing or realigning military bases. See Defense Base
___

Closure and Realignment Commission, Report to the President,
_______________________

("Commission Report") at 1-1 (1991). Often, however, these



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2. One other appellate court has addressed the issue we face
today, deciding, at least partially, in favor of judicial
review. See Specter v. Garrett, 971 F.2d 936 (3rd Cir.
___ _______ _______
1992). The district court, in fact, relied on Specter in
_______
ruling on defendants' motion to dismiss. Subsequently,
however, following the issuance of Franklin, the Court
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granted the government's petition for certiorari in Specter,
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vacated the judgment therein, and remanded the case to the
Third Circuit for reconsideration in light of Franklin. See
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O'Keefe v. Specter, 113 S. Ct. 455 (1992).
_______ _______

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attempts were opposed by members of Congress, who feared the

economic impact on their constituents, and who suspected the

influence of political motivation in the Executive's

decisions. Id.
___

In 1977, Congress passed legislation granting the

Secretary of Defense the power to unilaterally close

particular bases, but only after (1) notifying the Armed

Services Committees of the Senate and House of

Representatives of the selected bases; (2) submitting to the

committees his evaluation of the economic, environmental,

budgetary and strategic consequences of the closings; and (3)

deferring action for at least 60 days, during which time

Congress could legislate a halt to the closures. See 10
___

U.S.C. 2687(b) (Supp. IV 1980). In addition, the proposed

closures had to comply with the requirements of the National

Environmental Policy Act of 1969 ("NEPA"). Id. While the
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1977 legislation imposed few substantive restrictions on the

Executive Branch's authority to close bases, the procedural

requirements--most notably the mandate to comply with NEPA--

made such action difficult. See Commission Report at 1-1;
___ __________________

see also H.R. Conf. Rep. No. 1071, 100th Cong., 2d Sess. 23
___ ____

(1988), reprinted in 1988 U.S.C.C.A.N. 3395, 3403 ("[t]he
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conferees recognize that [NEPA] has been used in some cases

to delay and ultimately frustrate base closures . . . .").





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Congress next tackled the base closure issue in

1988 by enacting the Defense Authorization Amendments and

Base Closure and Realignment Act ("the 1988 Act"). Pub. L.

No. 100-526, 201-209, 102 Stat. 2623, 2627-34 (1988). The

1988 Act replaced the Secretary of Defense's decision-making

power with that of an independent commission, which was

granted the power to recommend bases for closure or

realignment. 1988 Act 201, 203(b)(1)-(2), 102 Stat. at

2627-28. The commission presented its recommendations to the

Secretary, who had the power to approve or disapprove the

entire group of recommendations. Id. 201(1)-(2), 202(a),
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102 Stat. 2627. If the Secretary approved the commission's

recommendations, Congress was given 45 days to override the

Secretary by passing a joint resolution. Id. 202(b), 208,
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102 Stat. 2627, 2632-34. Finally, in response to the prior

difficulties, the 1988 Act explicitly exempted the Secretary

and commission's base closure decisions from the requirements

of NEPA. Id. 204(c)(1), 102 Stat. 2630.
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Although the newer processes of the 1988 Act led to

closure or realignment of 145 domestic military bases, it was

not enacted as a permanent mechanism, but was instead a one-

time exception to the procedures set forth in the 1977

legislation. See Specter, 971 F.2d at 939. Thus, the
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Defense Secretary's January 1990 base closure proposals were

governed by the 1977 rules. Id. Members of Congress
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expressed concern over the "considerable period of time and .

. . numerous opportunities for challenges in court[]"

presented by the 1977 procedures, and noted that the

Secretary's list of bases for study "raised suspicions about

the integrity of the base closure selection process." H.R.

Conf. Rep. No. 923, 101st Cong., 2nd Sess. 705 (1990),

reprinted in 1990 U.S.C.C.A.N. 2931, 3257.
_________ __

Congress, in enacting the 1990 Act, attempted to

incorporate the procedures of the 1988 Act, without the

obstacles of prior legislation. See H.R. Rep. No. 665, 101st
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Cong., 2d Sess. 342 (1990), reprinted in 1990 U.S.C.C.A.N.
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2931, 3068 ("a new base closure process will not be credible

unless the 1988 base closure process remains inviolate").

The 1990 Act envisioned three rounds of base closures, in

1991, 1993, and 1995, and provided for the establishment of

an independent Commission to meet in each of those years.

1990 Act 2902(a), (e), 104 Stat. 1808 (1990). The Act

required the Secretary of Defense to provide Congress and the

Commission with a six-year force structure plan that assessed

national security threats and the force structure necessary

to meet such threats. Id. 2903(a)(1)-(3), 104 Stat. 1810
___

(1990). The Secretary was also required to formulate

criteria for use in identifying bases for closure or

realignment. The criteria had to be published in the Federal

Register for public notice and comment, and submitted to



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Congress which had the power to evaluate and disapprove them.

Id. 2903(b), 104 Stat. 1810-11.3
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____________________

3. On February 15, 1991, the Department of Defense published
eight proposed final criteria governing base closure and
realignment. 56 Fed. Reg. 6374. The criteria were subject
to Congressional review until March 15, 1991, and became
final on that date. 1990 Act 2903(b)(2). The criteria are
reported as follows:

In selecting military installations for closure or
realignment, the Department of Defense, giving
priority consideration to military value (the first
four criteria below), will consider:

Military Value
Military Value
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1. The current and future mission
requirements and impact on operational
readiness of the Department of Defense's
total force.
2. The availability and condition of
land, facilities and associated air space
at both the existing and potential
receiving locations.
3. The ability to accommodate
contingency, mobilization and future
total force requirements at both the
existing and potential receiving
locations.
4. The cost and manpower implications.

Return on Investment
Return on Investment
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5. The extent and timing of potential
cost and savings, including the number of
years, beginning with the date of
completion of the closure or realignment,
for the savings to exceed the cost.

Impacts
Impacts
_______
6. The economic impact on communities.
7. The ability of both the existing and
potential receiving communities'
infrastructure to support forces,
missions and personnel.
8. The environmental impact.

56 Fed. Reg. 6374-02 (Feb. 15, 1991).

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For the 1991 cycle, the Act required the Secretary

to recommend base closures and realignments to the Commission

by April 15, 1991, based on the force structure plan and

final criteria. Id. 2903(c)(1), 104 Stat. 1811. The Act
___

charges the Commission with reviewing the Secretary's

recommendations, holding public hearings, and preparing a

report for the President containing its assessment of the

Secretary's proposals and its own recommendations. Id.
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2903(d)(1)-(2)(A), 104 Stat. 1811. The Act allows the

Commission to change any of the Secretary's recommendations

if they "deviate[] substantially" from the force structure

plan and final criteria. Id. 2903(d)(2)(B), 104 Stat.
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1811-12. However, in its report to the President, the

Commission must explain any departure from the Secretary's

recommendations. Id. 2903(d)(3), 104 Stat. 1812. The
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Secretary must make available to the Comptroller General all

information used in making the initial recommendations. The

Comptroller General must report on the Secretary's

recommendations and selection process to the Commission and

Congress, and may, to the extent requested, assist the

Commission. Id. 2903(c)(4), (d)(5), 104 Stat. 1811-12.
___

Once the Commission completes its report, the Act

requires that it be transmitted to the President, who may

approve or disapprove the Commission's recommendations, and

then must relate his decision to the Commission and Congress.



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Id. 2903(e)(1)-(3), 104 Stat. 1812. If the President
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disapproves the Commission's recommendations, in whole or in

part, he returns them to the Commission, which must then

reconsider its prior recommendations and submit a revised

list to the President. Id. 2903(e)(3), 104 Stat. 1812. If
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the President does not approve the revision, and thereby does

not submit any recommendations to Congress, the base closure

process for that year is terminated. Id. 2903(e)(5). If,
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however, the President approves the Commission's

recommendations, or its revised version, Congress has 45 days

to pass a joint resolution disapproving the Commission's

recommendations in their entirety. Id. 2908, 104 Stat.
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1816-18. If a disapproval resolution is enacted, the

Secretary may not close the bases approved for closure by the

President. Id. 2904(b), 104 Stat. 1813. If Congress does
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not pass such a resolution, the Act calls for the Secretary

to close or realign all bases so recommended by the

Commission and approved by the President. Id. 2904(a), 104
___

Stat. 1812-13.

The Loring Decision
The Loring Decision
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In April 1991, the Secretary issued his list of

recommended domestic base closures and realignments. See 56
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Fed. Reg. 15184 (April 15, 1991). Among the 72 military

installations on the list were 20 Air Force bases. Loring

was scheduled for closure. Id. at 15252. Pursuant to the
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Act, the Commission then conducted its analysis and review of

the Secretary's recommendations. The Commission conducted

public hearings, at which it heard testimony from Department

of Defense officials, legislators, and other experts.

Commission Report at 4-1, (G-1)-(G-2). Commissioners also

visited many of the affected bases, including Loring. Id. at
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4-1, H-1. The Commission's staff reviewed the military

services' methodologies and data used to develop their

recommendations. Id. In addition, the General Accounting
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Office ("GAO") issued a report on the Secretary's

recommendation and forwarded it to the Commission, while also

assisting the Commission in obtaining, verifying and

reviewing data. Id. at (3-1)-(3-2). In the end, the
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Commission recommended that one of the Air Force bases

targeted for closure by the Secretary remain open, but the

Commission concurred in the recommendation that Loring be

closed. Id. at (5-31)-(5-45).
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On July 10, 1991, President Bush approved the

recommendations of the Commission, including the closure of

Loring. See Cohen I, 800 F. Supp. at 1002; Cohen II, 800 F.
___ _______ ________

Supp. at 1008. On July 30, 1991, pursuant to section 2908 of

the 1990 Act, the House considered a resolution, proposed by

plaintiff Rep. Snowe, to disapprove the Commission's

recommendations. Id. Three Commissioners, Air Force
___

officials, and members of the affected communities testified



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at the hearings. 137 Cong. Rec. H6006 (daily ed. July 31,

1991). During the course of debate, Representative Snowe

urged the House to block Loring's closure, alleging a variety

of procedural errors on the part of the Commission. Id. at
___

H6012-H6020. The House rejected the proposed disapproval

resolution by a vote of 364 to 60, thus requiring the

Secretary to proceed with the 1991 closures and realignments.

Id. at H6039.
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Prior Proceedings
Prior Proceedings
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Plaintiffs filed the instant suit in December 1991,

alleging in Count I that the Air Force failed to adhere to

the force structure plan and "deviated substantially" from

the published base closure criteria; failed to fairly apply

the selection criteria; improperly considered an unapproved

selection criterion; acted "arbitrarily and capriciously" in

applying the selection criteria to Loring and a rival base;

and failed to supply all relevant information to the GAO and

Congress. Count II made many of the same allegations against

the Commission, and also alleged a failure to comply with the

1990 Act's public hearing requirement.

In February 1992, the defendants moved to dismiss

the suit, essentially on the ground that the 1990 Act

implicitly precluded judicial review. Cohen I, 800 F. Supp.
_______

at 1005. With respect to Count I, the district court

dismissed all claims against the Air Force and Secretary,



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except those containing allegations that the Secretary failed

to transmit to the GAO, Congress and the Commission all of

the information used in preparing his recommendations, as the

1990 Act requires. Id. The court ruled that the remainder
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of plaintiffs' challenges were not judicially reviewable

because they would require the court to "reevaluate the basis

for the Secretaries' decision to close Loring. . . ."

Relying on Specter, the court held that such review was
_______

precluded by the Act, which "decided to put these questions

to rest and guaranty the integrity of the process not through

judicial review, but through review by two bodies far more

suited to the task: the Commission and the GAO." Id. at
___

1005 (quoting Specter, 971 F.2d at 951). The district court
_______

also dismissed most of the claims against the Commission made

in Count II, for essentially the same reasons. Id. at 1006.
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Only the charge that the Commission failed to hold public

hearings, in violation of section 2903(d)(1) of the 1990 Act,

was left standing. Id.
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Subsequent to Cohen I, the Supreme Court, in
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Franklin, expressed its interpretation of reviewable agency
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action under the APA. The district court, relying on

Franklin, granted defendants' motion for summary judgment on
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the remaining aspects of the case. See Cohen II. This
___ ________

appeal followed. Before delving into Franklin and its
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applicability herein, we briefly outline the strictures of

the APA.

The Administrative Procedure Act
The Administrative Procedure Act
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The APA sets forth the procedures by which federal

agencies are held accountable to the public and their actions

made subject to judicial review. Franklin, 112 S. Ct. at
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2773. Pursuant to the APA, a court may set aside any agency

action found to be arbitrary, capricious, an abuse of

discretion, or contrary to applicable legal or procedural

requirement. 5 U.S.C. 706(2). Such review, however, is

only available "`to the extent that . . . statutes [do not]

preclude judicial review' and the agency action `is [not]

committed to agency discretion by law.'" Cohen II, 800 F.
_________

Supp. at 1009 (quoting 5 U.S.C. 701(a)). Finally, and

perhaps most importantly, the APA authorizes judicial review

only of "final agency action for which there is no other
_____

adequate remedy in a court." 5 U.S.C. 704 (emphasis

added). At the heart of the instant dispute is whether the

actions complained of are "final actions" within the meaning

of the APA. In Franklin, the Court addressed this critical
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issue. We turn now to the Court's opinion.

Franklin v. Massachusetts
Franklin v. Massachusetts
_________________________

Franklin involved a challenge to the
________

reapportionment of the House of Representatives following the

1990 census. Article I, 2, cl. 3, of the Constitution



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provides that Representatives "shall be apportioned among the

several States . . . according to their respective Numbers .

. . ." Section 2 of the Fourteenth Amendment mandates

counting the "whole number of persons in each state." Such

counting is to be done through "actual Enumeration,"

conducted every 10 years, "in such Manner as [Congress] shall

by Law direct." U.S. Const., art I, 2, cl. 3. Pursuant to

statutory authority, the Secretary of Commerce is directed to

conduct the decennial census "in such form and content as he

may determine." 13 U.S.C. 141(a). The Secretary then must

provide the President with the state-by-state population,

necessary for reapportionment. Id. 141(b). The President
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then sends Congress a statement, based on the Secretary's

report, showing the population of each state, and the number

of Representatives to which each state is entitled, according

to a specified formula. 2 U.S.C. 2a(a). Each state is

entitled to the number of Representatives shown in the

President's statement to Congress. Id. 2a(b). See
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generally Franklin, 112 S. Ct. at 2771 (outlining historical
_________ ________

bases of apportionment and census statutes).

The Commonwealth of Massachusetts challenged the

Secretary of Commerce's inclusion of military personnel

serving overseas in state population counts for census

purposes. The resulting tabulation shifted a Representative

from Massachusetts to Washington. Id. Massachusetts claimed
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that the allocation of overseas personnel was arbitrary and

capricious under the APA. A three-judge district court panel

agreed. Commonwealth v. Mosbacher, 785 F. Supp. 230 (D.
____________ _________

Mass. 1992). The Supreme Court reversed, holding that the

action of the Secretary, in reporting the population

tabulations, was not "final," within the meaning of the APA,

while the actions of the President were not subject to APA

review because the President is not an "agency" within the

APA. Franklin, 112 S. Ct. at 2773-76.
________

In assessing the finality of the Commerce

Secretary's actions,4 the Court first looked to Abbott Lab.
___________

v. Gardner, 387 U.S. 136 (1967). There, the Court stated
_______

that the finality of agency action depends on whether its

impact `"is sufficiently direct and immediate' and has a

`direct effect on . . . day-to-day business.'" Franklin,
________

112 S. Ct. at 2773 (quoting Abbott, 387 U.S. at 152). "An
______

agency action is not final if it is only `the ruling of a

subordinate official' or `tentative.'" Id. (quoting Abbott,
___ ______

387 U.S. at 151). "The core question is whether the agency

has completed its decisionmaking [sic] process, and whether

the result of that process is one that will directly affect

the parties." Id. In answering this "core question," the
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____________________

4. Here, plaintiffs have expressly conceded that they are
not attacking the actions of the President. Thus, we focus
our discussion on Franklin's assessment of the Secretary of
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Commerce's actions.

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Court first reasoned that the census statute, unlike others,

does not explicitly require the President to transmit the

agency's report to Congress. Id. The Court stated:
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After receiving the Secretary's report,
the President is to "transmit to the
Congress a statement showing the whole
number of persons in each State . . . as
ascertained under the . . . decennial
census of the population." 2 U.S.C.
2a. Section 2a does not expressly
require the President to use the data in
the Secretary's report, but, rather, the
data from the "decennial census." There
is no statute forbidding amendment of the
"decennial census" itself after the
Secretary submits the report to the
President.

Id. at 2774.
___

Therefore, according to the Court, the census

itself still presents a "moving target" after the Secretary

reports to the President, especially since there exists no

statutory bar to the President instructing the Secretary to

reform the census, even after the President receives the

Secretary's report. Id. "It is not until the President
___

submits the information to Congress that the target stops

moving, because only then are the States entitled by 2a to

a particular number of Representatives." Id. Thus, the
___

Court concluded: "Because the Secretary's report to the

President carries no direct consequences for the

reapportionment . . . serv[ing] more like a tentative

recommendation than a final and binding determination[,] [i]t

is, like `the ruling of a subordinate official,' not final


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and therefore not subject to review." Id. (quoting Abbott,
___ ______

387 U.S. at 151).

We agree with the district court's conclusion that

"[t]he holding and reasoning of Franklin are directly
________

applicable to the facts of the present controversy." Cohen
_____

II, 800 F. Supp. at 1011. In arriving at its decision, the
__

Franklin Court explicitly distinguished statutory schemes
________

whereby the President is required to transmit an agency's
________

report directly to Congress from those in which the President

is not so required, holding that the former represent final

agency action, under the APA, but that the latter do not.

Under the 1990 Act, the President is not required

to submit the Commission's report to Congress. In addition,

the 1990 Act gives the President the power to order the

Commission to revise its report, and, in the final analysis,

the President has the power to terminate a base closure cycle

altogether via a second rejection of a Commission report. In

our view, the agency action involved here bears even less

indicia of finality than that in Franklin, where the majority
________

referred to the President's role in reapportionment as

"admittedly ministerial," id. at 2775, yet still found the
___

President's action to be the "final action." Id.
___

Plaintiffs seek to avoid Franklin's restrictions by
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arguing that this case involves a challenge to the

Commission's faulty procedures, e.g., failing to hold public
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hearings and failing to provide information to Congress and

the GAO, whereas Franklin, according to plaintiffs,
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proscribes only challenges to an agency's substantive

decisions. As an initial matter, we note that Franklin makes
_________

no such distinction. In any event, we view it as a

distinction without legal difference. As previously noted,

Franklin's finality determination explored whether an agency
__________

action has a "sufficiently direct and immediate" impact.

Here, if the Commission's report to the President is not a

"final action," then the techniques used by the Commission to

create the report, which are even more preliminary to the

final decision, cannot themselves be "final agency actions."

In sum, whether the complaints are styled as procedural or

substantive, our answer to the "core question" of finality

remains the same. The judgment of the district court is

therefore affirmed.5
affirmed.
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5. Because we have based our decision on Franklin's finality
__________
analysis, we need not address whether the 1990 Act, by its
own terms, precludes judicial review.

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