United States Court of Appeals, Tenth Circuit
United States Court of Appeals, Tenth Circuit
2d 1515
23 Envtl. L. Rep. 20,067
Lori Potter of Sierra Club Legal Defense Fund, Inc., Denver, Colo. (Henry
W. Ipsen, Charlotte L. Neitzel, and Michele R. Lamontagne of Holme
Roberts & Owen, Denver, Colo.; and Frances M. Green of Land and
Water Fund, Boulder, Colo., with her on the briefs), for plaintiffappellant.
Jacques B. Gelin, Atty., Dept. of Justice, Environment & Natural
Resources Div., Washington, D.C. (Stuart L. Shelton, Office of Gen.
Counsel, U.S. Dept. of Agriculture, Washington, D.C., of counsel;
Geoffrey Worstell, Asst. District Counsel, U.S. Army Corps of Engineers,
Sacramento, Cal., of counsel; Richard B. Stewart, Asst. Atty. Gen., Dept.
of Justice, Environment & Natural Resources Div., Washington, D.C.;
Michael J. Norton, U.S. Atty., and J. Greg Whitehair, Asst. U.S. Atty.,
The central question in this case is whether the Army Corps of Engineers
violated the National Environmental Policy Act ("NEPA") and section 404 of
the Clean Water Act ("CWA") when it issued a permit to allow construction of
the Homestake II water project in the Holy Cross Wilderness Area, located in
the White River National Forest outside Denver, Colorado prior to the
completion of studies designed to develop a plan to mitigate any adverse impact
on wetlands in the Wilderness Area. The appellant contends as follows: (1) the
Corps violated NEPA when it issued its section 404 permit on the basis of an
inadequate Final Environmental Impact Statement ("FEIS") which did not
discuss mitigation measures and by failing to supplement the FEIS after
obtaining additional information disputing certain of its conclusions; and (2)
the Corps violated the CWA and various implementing regulations when it
issued the permit before all environmental studies were completed and
subjected to a full public interest review.
The Fund seeks an order invalidating the permit and enjoining the Corps from
issuing a new permit until the Corps prepares a supplemental EIS and conducts
a "proper" public interest review under the CWA. The district court held there
was no NEPA or CWA violation and dismissed the complaint. We affirm. The
crux of our holding is that, in the face of considerable conflicting expert views
as to the probable impacts of the Project on Wilderness Area wetlands, the
Corps' decision to issue the permit with the specific condition that there would
be no wetlands losses, and with the requirement that a long-term monitoring
and mitigation plan be implemented, was not arbitrary or capricious or in
violation of any applicable regulations.
BACKGROUND
To this end, the Cities sought in January 1982 a land use easement from the
Forest Service. In accordance with regulations of the Council on Environmental
Quality ("CEQ"), 40 C.F.R. 1500, et seq., implementing NEPA, 42 U.S.C.
4332(2)(C), the Forest Service conducted an environmental analysis. In May
1982 the Forest Service issued its draft Environmental Impact Statement
("DEIS"). In the DEIS the Forest Service analyzed six project alternatives. It
then conducted more than 20 public hearings to receive input on the proposed
project.2 Among the main areas of concern expressed to the Forest Service was
the one which is the focus of this case--the impact of the project on wetlands
areas in the Wilderness Area.
In 1983, the Forest Service completed its FEIS, concluding that the Homestake
project would have no significant impact on wetlands areas or other
environmental resources. The Forest Service subsequently issued its Record of
Decision ("ROD") and granted the land use easement to the Cities.3 The
easement contained 29 specific mitigation restrictions with which the Cities
must comply. In granting the easement, the Forest Service Supervisor
concluded that the grant was consistent with Executive Order 11990,
"Protection of Wetlands."4 The decision to grant the easement is not itself at
issue in this case.5
The Cities then sought from the Army Corps of Engineers the dredge and fill
permit which is at issue in this case.6 In order to discharge fill material into
creek drainages in the Wilderness Area in the course of constructing the water
diversion structures contemplated by the Project, the Cities were required under
section 404 of the Clean Water Act, 33 U.S.C. 1344, to obtain a permit from
the Secretary of the Army, acting through the Corps. Before issuing a permit,
the Corps must also comply with NEPA.
8
Apparently concerned that the Forest Service FEIS may not have adequately
addressed the question of the impact of the Project on wetlands, the Corps
asked its Environmental Laboratory to review the FEIS. In its July, 1983 report,
the Laboratory concluded that the Forest Service had not adequately shown that
wetland areas would be unaffected by the Project, and it recommended that the
Corps acquire additional information. At approximately the same time, the U.S.
Fish and Wildlife Service did its own review of the possible impact of the
Project on wetlands, and concluded there would be no detrimental impact.
Addendum Vol. II to Appellees' Briefs at B357.
The Corps thereafter hired a consultant, Aqua Resources, Inc. ("ARI"), to study
the matter. In its May, 1984 report, ARI concluded that "[t]here is a potential
for significant adverse impacts to downstream wetlands in terms of sequentially
(over time) lowering the water table associated with several Cross and Fall
creek wetlands." Addendum to Appellant's Opening Brief at A43. It
recommended that specific additional studies be done, that pre- and postconstruction monitoring be required, and that mitigation measures be developed
if the additional studies showed an expected adverse impact on wetlands. Id. at
A44. After reviewing the ARI Report, the Environmental Protection Agency
("EPA") concluded that "the performance of additional studies ... should be
considered before any construction is undertaken in the project area to identify
probable wetland impacts." Id. at A49.7
10
The Corps did not in fact conduct additional studies prior to issuance of the
permit. It did not prepare a supplemental EIS or its own EIS or other
environmental analysis. Instead, it adopted the Forest Service's FEIS as its own
and issued a permit subject to specific conditions. As the Record of Decision by
the Army Corps District Engineer recognized:
11 Forest Service has made a reasoned decision and their judgment may ultimately
[t]he
prove correct. I believe, however, that due to specific mandates of my authority to
protect the waters of the United States, I must take a more conservative approach. I
must assume that without mitigating measures the wetlands in the Fall and Cross
Creek drainages would be severely degraded by the Homestake II project.
12
conditions:
I13intend that these wetlands be preserved, but I do not wish to unnecessarily prolong
the permitting process or restrict the City's development of their water rights.
Therefore, I am issuing the permit with the condition that the applicants gather the
appropriate hydrologic field data, recommended by Aqua Resources Incorporated,
and design a plan to prevent the loss of wetlands in the Holy Cross Wilderness area.
This plan would be coordinated with the same technical experts that reviewed the
draft ARI report, and must receive my approval prior to construction of permitted
facilities. The plan also must include post construction monitoring for prevention of
long-term impacts of the water diversions.
14
Id. (emphasis added). The permit explicitly stated that "the applicants shall
prevent the loss of wetlands." Dept. of the Army Permit at 3, id. at B470.
15
16
This lawsuit commenced in October 1985, when the Fund filed suit to set aside
the land use easement issued by the Forest Service and the section 404 permit
issued by the Army Corps of Engineers, claiming both were granted in violation
of NEPA. The Fund further claimed that the Corps had violated the CWA. In
February 1986, the district court granted the Cities' motion to intervene in the
lawsuit.
17
Cross motions for summary judgment were filed by all parties. After a trial on
the merits, the district court dismissed the case, and in the course of dismissal
denied all pending motions for summary judgment. The court concluded that
under applicable statutory and case law, the Corps had committed no violation
of NEPA or any other law. This appeal followed.
DISCUSSION
18
The ultimate issue in this case is whether the Corps' decision to grant the
section 404 permit violated NEPA and/or the CWA. We review such a
permitting decision under the Administrative Procedure Act ("APA"), 5 U.S.C.
706(2)(A) to determine whether it was "arbitrary, capricious, an abuse of
discretion, or otherwise not in accordance with law." See Roanoke River Basin
Ass'n v. Hudson, 940 F.2d 58, 61 (4th Cir.1991), cert. denied, --- U.S. ----, 112
S.Ct. 1164, 117 L.Ed.2d 411 (1992); Bowles v. Army Corps of Engineers, 841
F.2d 112, 116 (5th Cir.), cert. denied, 488 U.S. 803, 109 S.Ct. 33, 102 L.Ed.2d
13 (1988); Friends of the Earth v. Hintz, 800 F.2d 822, 830-31 (9th Cir.1986);
Sierra Club v. Army Corps of Engineers, 701 F.2d 1011 (2nd Cir.1983).
19
A number of subsidiary decisions led up to that ultimate decision, and each one
has been challenged. Thus, the adequacy of the Forest Service FEIS and the
Corps' decision not to supplement that FEIS are relevant to our analysis of the
propriety of the Corps' permitting decision. We turn first to the general
contours of NEPA and the CWA.
A. NEPA
20
Under NEPA, "major Federal actions significantly affecting the quality of the
human environment" must be preceded by an environmental impact statement
or EIS. 42 U.S.C. 4332(2)(C). See Robertson v. Methow Valley Citizens
Council, 490 U.S. 332, 348-49, 109 S.Ct. 1835, 1844-45, 104 L.Ed.2d 351
(1989); City of Aurora v. Hunt, 749 F.2d 1457, 1464 (10th Cir.1984); Johnston
v. Davis, 698 F.2d 1088, 1091 (10th Cir.1983). The EIS requirement serves two
important functions:
21ensures that the agency, in reaching its decision, will have available, and will
It
carefully consider, detailed information concerning significant environmental
impacts; it also guarantees that the relevant information will be made available to
the larger audience that may also play a role in both the decisionmaking process and
the implementation of that decision.
22
Robertson, 490 U.S. at 349, 109 S.Ct. at 1845. NEPA specifies five specific
issues which must be addressed in the EIS:
29
1. Adequacy of an EIS.
30
31
The Fund charges that the FEIS prepared by the Forest Service and adopted by
the Corps was inadequate. A court reviewing the adequacy of an EIS merely
examines "whether there is a reasonable, good faith, objective presentation of"
the topics NEPA requires an EIS to cover. Johnston v. Davis, 698 F.2d 1088,
1091 (10th Cir.1983); see also Lake Hefner Open Space Alliance v. Dole, 871
F.2d 943, 947 (10th Cir.1989); Lidstone v. Block, 773 F.2d 1135, 1137 (10th
Cir.1985); City of Aurora v. Hunt, 749 F.2d 1457, 1465-66 (10th Cir.1984);
Environmental Defense Fund v. Andrus, 619 F.2d 1368, 1376-77 (10th
Cir.1980).9
The Fund particularly argues the FEIS was inadequate in failing to include a
plan to mitigate any adverse impacts on wetlands. As the relevant statutes,
regulations and case law make clear, "the discussion of steps that can be taken
to mitigate adverse environmental consequences" plays an important role in the
environmental analysis under NEPA. Robertson, 490 U.S. at 351, 109 S.Ct. at
1846; see also 40 C.F.R. 1508.25(b), 1502.14(f), 1502.16(h), 1505.2(c).
34
The Supreme Court in Robertson considered how detailed and specific the
mitigation discussion contained in an EIS must be. After noting the
"fundamental distinction" between "a requirement that mitigation be discussed
in sufficient detail to ensure that environmental consequences have been
evaluated" and "a substantive requirement that a complete mitigation plan be
actually formulated and adopted," the Court refused to require "a fully
developed plan that will mitigate environmental harm before an agency can
act." Robertson, 490 U.S. at 352-53, 109 S.Ct. at 1847. Nor does NEPA impose
any substantive requirement that mitigation measures be implemented. Id. at
353, 109 S.Ct. at 1847; see also Citizens Against Burlington, Inc. v. Busey, 938
F.2d 190, 206 (D.C.Cir.) ("NEPA not only does not require agencies to discuss
any particular mitigation plans that they might put in place, it does not require
agencies--or third parties--to effect any."), cert. denied, --- U.S. ----, 112 S.Ct.
616, 116 L.Ed.2d 638 (1991).
35
The CEQ regulations specify how an agency should proceed when faced with
"incomplete or unavailable" information relating to its evaluation of
"reasonably foreseeable significant adverse effects on the human environment."
40 C.F.R. 1502.22. The agency must obtain and include in the EIS
information on "reasonably foreseeable significant adverse impacts" if the costs
of obtaining such information are not exorbitant. If the costs of obtaining the
information are exorbitant "or the means to obtain it are not known" the agency
must follow four specific steps. The Fund argues that the ARI Report
demonstrated that the Forest Service FEIS contained incomplete information
about wetland impacts. Thus, the Corps was obligated, under the applicable
regulations, to obtain complete information and include it in the FEIS or a
subsequent NEPA document, or to follow the specific steps contained in the
regulations and applicable if complete information is unobtainable. The Fund
argues the Corps did neither of these things.
2. Supplementation of an EIS.
38
Under applicable CEQ regulations, agencies
39
[s]hall
prepare supplements to either draft or final environmental impact statements
if:
40
(i) The agency makes substantial changes in the proposed action that are
relevant to environmental concerns; or
41
42
40 C.F.R. 1502.9(c)(1); see also 33 C.F.R. 230.13(b). The Fund argues that
there were both "substantial changes in the proposed action" resulting from the
Cities' suggested mitigation measures,11 and "significant new circumstances or
information" in the form of the ARI Report and the Wetlands Baseline Report.
43
Courts review an agency decision regarding the need for a supplemental EIS
under the "arbitrary and capricious" standard of the APA, 5 U.S.C. 706(2)(A).
Marsh v. Oregon Natural Resources Council, 490 U.S. 360, 109 S.Ct. 1851,
104 L.Ed.2d 377 (1989). This is so because the decision whether to prepare a
supplemental EIS "is similar to the decision whether to prepare an EIS in the
first instance," and is highly factual. Id. at 374, 377, 109 S.Ct. at 1860, 1861;
see also Village of Los Ranchos de Albuquerque v. Marsh, 956 F.2d 970 (10th
Cir.1992); Sierra Club v. Lujan, 949 F.2d 362, 367 (10th Cir.1991).
Accordingly, "as long as the Corps' decision not to supplement the FEISS was
not 'arbitrary and capricious,' it should not be set aside." Marsh, 490 U.S. at
377, 109 S.Ct. at 1861.
44
That standard of review is narrow. See id. at 378, 109 S.Ct. at 1861 ("in making
the factual inquiry concerning whether an agency decision was 'arbitrary or
capricious,' the reviewing court 'must consider whether the decision was based
on a consideration of the relevant factors and whether there has been a clear
error of judgment.' This inquiry must be 'searching and careful,' but 'the ultimate
standard of review is a narrow one.' ") (quoting Citizens to Preserve Overton
Park, Inc. v. Volpe, 401 U.S. 402, 416, 91 S.Ct. 814, 823, 28 L.Ed.2d 136
(1971)). The agency's discretion is broad:
45
When
specialists express conflicting views, an agency must have discretion to rely
on the reasonable opinions of its own qualified experts even if, as an original matter,
a court might find contrary views more persuasive. On the other hand, in the context
of reviewing a decision not to supplement an EIS, courts should not automatically
defer to the agency's express reliance on an interest in finality without carefully
reviewing the record and satisfying themselves that the agency has made a reasoned
decision based on its evaluation of the significance--or lack of significance--of the
new information.
46
Id. 490 U.S. at 378, 109 S.Ct. at 1861. The Fund argues that the Corps' failure
to supplement the FEIS was arbitrary and capricious.
Under the Clean Water Act, discharges of pollutants into waters of the United
States are prohibited unless in compliance with the provisions of the Act. 33
U.S.C. 1311(a), 1344(a). Thus, the Cities were unable to discharge any
dredged or fill material produced in connection with the Project without
obtaining a permit, commonly known as a section 404 permit, from the Corps.
33 U.S.C. 1344(a). "Waters of the United States" includes wetlands. 33
C.F.R. 328.3(a)(2), (3), (7); 40 C.F.R. 232.2(q)(2), (3), (7); see also United
States v. Riverside Bayview Homes, Inc., 474 U.S. 121, 106 S.Ct. 455, 88
L.Ed.2d 419 (1985); United States v. Marathon Dev. Corp., 867 F.2d 96, 98
(1st Cir.1989); Missouri Coalition For the Env't v. Army Corps of Eng'rs, 866
F.2d 1025, 1028 n. 2 (8th Cir.), cert. denied, 493 U.S. 820, 110 S.Ct. 76, 107
L.Ed.2d 42 (1989). The Corps has a particular duty under the CWA to protect
wetlands. See 33 C.F.R. 320.4(b).
48
49
50
The Fund argues the Corps violated the CWA by failing to fully and properly
conduct the required public interest review prior to issuance of the section 404
permit. In particular, it charges the Corps violated its own regulations requiring
a public interest review, as well as the 404(b) Guidelines, by acting (1) on the
basis of an incomplete record; (2) without sufficient information to evaluate the
economics of the Project;14 (3) without sufficient information to make the
required determination of private and public need for the Project; and (4)
without sufficient information to determine if there were practicable
alternatives to the Project.15 It also argues the Corps violated its own
regulations requiring mitigation to be considered "throughout the permit
application review process." 33 C.F.R. 320.4(r)(1).16 The Fund claims that,
by issuing the permit with the condition that mitigation of adverse impacts on
wetlands be addressed, the Corps impermissibly presumed that such mitigation
could occur, rather than engaging in a rigorous and thorough analysis of that
question prior to issuance of the permit.
C. Our Analysis
51
We hold that: (1) there was no NEPA violation because the FEIS was adequate
and was properly adopted by the Corps; the need to seek out additional
information on "reasonably foreseeable significant adverse impacts" was
obviated by the decision to issue the permit with the specific condition that
there be no wetlands losses; the decision not to supplement the FEIS with either
the information contained in the ARI Report or the Baseline Report and
Monitoring and Mitigation Plan was not arbitrary or capricious; and (2) there
was no violation of the CWA or applicable regulations.
52
We first consider whether the Corps violated NEPA by simply adopting the
Forest Service FEIS rather than completing its own EIS. As indicated, this the
Corps may do if the statement is adequate under applicable regulations. 40
C.F.R. 1506.3(a); see also 33 C.F.R. 230.21 (Corps may adopt another
agency EIS unless it finds "substantial doubt as to technical or procedural
adequacy or omission of factors important to the Corps decision."). We
therefore evaluate first the adequacy of the FEIS. The thrust of the Fund's
challenge to the adequacy of the FEIS is that it failed to adequately discuss
wetland impacts or include a sufficient mitigation plan.17 We disagree.
53
The Forest Service FEIS specifically addressed the impact of the Project on
wetlands. It simply reached a different conclusion from that reached by the
Fund and its experts. We cannot say that the FEIS's conclusion that, due to
other water sources, stream diversions in the Wilderness Area would not
adversely affect wetlands reveals a lack of a "reasonable, good faith, objective
presentation" of adverse environmental effects. Considering the standard by
which this circuit reviews the adequacy of an EIS, we must conclude that the
FEIS in this case was adequate. See Johnston v. Davis, 698 F.2d 1088, 1091
(10th Cir.1983); see also Lake Hefner Open Space Alliance v. Dole, 871 F.2d
at 947.
54
The lack of a detailed mitigation plan in the FEIS then flows from that initial
conclusion that there would be no adverse effect on wetlands. While the Fund
may disagree with the correctness of that conclusion, it may not complain that
the FEIS is inadequate in failing to discuss specific mitigation measures
directed at an adverse environmental impact the Forest Service did not, in good
faith, think would occur.
55
We therefore conclude that the Corps did not err in adopting the Forest Service
FEIS, rather than completing its own EIS. We turn now to whether the Corps'
should have complied with various regulations governing agency action when
faced with "incomplete or unavailable" information relating to its evaluation of
"reasonably foreseeable significant adverse effects on the human environment."
40 C.F.R. 1502.22. The Fund argues that the ARI Report recommending
additional studies to determine possible adverse impacts on wetlands
demonstrated that the FEIS contained "incomplete" information.
56
In our view, the necessity for specifically seeking out and including in either
56
In our view, the necessity for specifically seeking out and including in either
the FEIS or a subsequent or supplemental NEPA document such additional
information was obviated by the Corps' decision to issue its permit with the
specific condition that there be no wetlands losses. By making that decision, the
Corps no longer needed to evaluate "reasonably foreseeable significant adverse
impacts" on wetlands, because it assumed such impacts and essentially
guaranteed that the Cities mitigate those impacts. Thus, no NEPA violation
follows from the Corps' alleged noncompliance with regulations concerning
unavailable or incomplete information.
57
Similarly, we hold that the Corps' decision not to supplement the FEIS, after
learning from ARI that additional data were needed to fully evaluate the impact
of the Project on wetlands, and after directing the development of a
comprehensive Monitoring and Mitigation Plan, was not arbitrary or capricious
under Marsh, 490 U.S. 360, 109 S.Ct. 1851. The arbitrary and capricious
standard of review is a "narrow one," which mandates considerable deference
to agency decisions. Id. at 378, 109 S.Ct. at 1861. Our own careful review of
the record in this case reveals that, throughout this entire dispute, expert views
on the highly technical question of how best to determine the possible impacts
of the Project on wetlands in the Wilderness Area have differed. While the
initial Forest Service FEIS concluded there would be no adverse impacts on
wetlands, the ARI Study questioned that conclusion. But the Baseline Report
again concluded there would be no wetlands losses. The Forest Service and the
Corps have been aware of, and have responded to, these differing views at
various stages and in different contexts. "When specialists express conflicting
views, an agency must have discretion to rely on the reasonable opinions of its
own qualified experts even if, as an original matter, a court might find contrary
views more persuasive." Marsh, 490 U.S. at 378, 109 S.Ct. at 1861; see also
Havasupai Tribe v. Robertson, 943 F.2d 32, 34 (9th Cir.1991), petition for cert.
denied, --- U.S. ----, 112 S.Ct. 1559, 118 L.Ed.2d 207 (1992); Friends of the
Earth v. Hall, 693 F.Supp. 904, 922 (W.D.Wash.1988) ("A federal court is not
in the business of resolving scientific disagreements between plaintiffs' experts
and the Corps' experts."). We conclude that the Corps' decision not to
supplement the FEIS with information and studies provided by its expert
consultants and generated by the Baseline Report and the Monitoring and
Mitigation Plan, was a "reasoned decision based on its evaluation of the
significance--or lack of significance--of the new information." Marsh, 490 U.S.
at 378, 109 S.Ct. at 1861.
58
This is particularly true in light of the decision to issue the permit with the
specific condition of no wetlands losses. As we just concluded in connection
with the "unavailable or incomplete" information argument, that conditioned
permit essentially obviated the need for a supplemental EIS. The point of a
Finally, we consider whether the Corps' permitting decision violated the CWA
and applicable regulations. We hold it did not.
60
The Fund asserts that a number of regulations were violated. We address each
one in turn. The Fund argues that the Corps violated Corps regulations
requiring mitigation to be considered "throughout the permit application review
process." 33 C.F.R. 320.4(r)(1). We agree with the Corps that the record in
this case is replete with a consideration of mitigation measures. Indeed, the ARI
Report was sought so that possible impacts of the Project on wetlands, and
possible measures to mitigate those impacts, could be evaluated. The Corps'
permitting review process culminated in a permit requiring a comprehensive
mitigation plan to prevent wetlands losses. It is simply a mischaracterization of
the record in this case to assert that mitigation was not considered throughout
the permit review process.
61
The Fund also asserts that the Corps violated its own regulations and the
404(b) Guidelines by failing adequately to evaluate practicable alternatives to
the Project. Again, we believe the record undermines the Fund's argument.
62
in its ROD, rejected alternatives involving pumping water, rather than using a
gravity flow system, because inter alia, "pumping would consume large
quantities of electrical energy." Corps ROD, Addendum Vol. II to Appellees'
Answer Briefs at B475. While the Fund correctly points out that a new
reservoir (Alternative 4) is probably more environmentally damaging than
using an existing reservoir (Plan D), one of the specific problems identified by
the Corps as a reason to reject Alternative 4--large electrical energy
consumption for pumping--is common to both plans.
63
The water trade alternative was rejected in the FEIS and by the Corps in its
ROD as too speculative and dependent upon too many uncertainties. We cannot
say that that decision was in error. See National Indian Youth Council v. Watt,
664 F.2d 220, 226 (10th Cir.1981); see also City of Aurora v. Hunt, 749 F.2d
1457, 1467 (10th Cir.1984) ("An agency need not analyze the environmental
consequences of alternatives it has in good faith rejected as too remote,
speculative, or as in this case, impractical or ineffective.").
64
In sum, we view the Forest Service FEIS and the Corps' discussion of
alternatives to be adequate.18 "We uphold [an agency's] discussion of
alternatives so long as the alternatives are reasonable and the agency discusses
them in reasonable detail." Citizens Against Burlington, Inc. v. Busey, 938 F.2d
190, 196 (D.C.Cir.), cert. denied, --- U.S. ----, 112 S.Ct. 616, 116 L.Ed.2d 638
(1991).
65
The Fund also argues the Corps acted without sufficient information to evaluate
the economics of the Project or to make the required determination of the
private and public need for the Project. 33 C.F.R. 320.4(a)(2)(i). Our careful
review of the record leads us to conclude that the Corps satisfied its obligations
in these two regards. While the Corps and the Forest Service were careful to
indicate that the FEIS "is not a substitute for State and local land and water use
planning," Forest Service ROD at 4, Addendum Vol. I to Appellees' Answer
Briefs at B280, their consideration of the economics and the public and private
need for the Project was sufficient such that the Corps' permitting decision
based thereon was not arbitrary or capricious. Cf. North Buckhead Civic Ass'n
v. Skinner, 903 F.2d 1533, 1541-42 (11th Cir.1990) ("NEPA does not confer
the power or responsibility for long range local planning on federal or state
agencies.") (footnote omitted).
66
Finally, the Fund argues that the Corps engaged in an impermissible "permit
first--mitigate later" plan, in violation of the CWA. We disagree. As we have
stated before, the permit in this case specifically stated that no wetlands losses
would be allowed, and that a mitigation plan would have to be developed to
ensure that result. While we agree with the district court that "the normal order
of events is not what occurred in this case, there is no doubt that the Corps'
permitting decision was not arbitrary or capricious, or in violation of any
applicable laws.
CONCLUSION
67
This is an unusual case. We would not normally expect to see deviations from
the typical order of events in NEPA and CWA cases. Nonetheless, the
particular circumstances of this case lead us to conclude that the agencies
involved took many "hard looks" at the Project's environmental consequences,
that their decisions were informed even if disputable, and that no NEPA or
CWA violations occurred. For the foregoing reasons, the decision of the district
court is AFFIRMED.
Honorable Aldon J. Anderson, Senior Judge, United States District Court for
the District of Utah, sitting by designation
After noting that one of five specific issues of particular importance was the
Project's effect on wetlands, the Regional Forester concluded in the ROD that "
[s]ince much of the wetland area lies outside of the floodplain and sufficient
water is available from sources other than the streams, I conclude that the
project will not have a significant effect on wetlands." Forest Service ROD at 3,
Addendum Vol. I to Appellees' Answer Briefs at B279. He further concluded "
[s]ignificant adverse effects will not occur and this action minimizes the loss of
wetlands." Forest Service ROD at 10, Id. at B286
4
5
The Corps had also been a "cooperating agency" with the Forest Service in the
Forest Service's preparation of its FEIS
Under section 404 of the Clean Water Act, the Corps and the EPA share
responsibility for implementing the specific requirements of the Act
The Forest Service concluded that the Report and Plan did not present any
significant new information relevant to the Project's environmental concerns.
The Corps District Engineer similarly concluded that there were no significant
changes or new circumstances or information requiring a supplemental EIS
Johnston v. Davis, 698 F.2d at 1091 (quoting Save Our Invaluable Land
(SOIL), Inc. v. Needham, 542 F.2d 539, 542 (10th Cir.1976), cert. denied, 430
U.S. 945, 97 S.Ct. 1580, 51 L.Ed.2d 792 (1977)).
10
The Fund also argues in its Reply Brief that a line of cases from other circuits
"suggests that citizen groups cannot bring suit to enforce the mitigation
conditions which the Corps places on 404 permits." Appellant's Reply Brief at
14 n. 13 (citing Dubois v. Thomas, 820 F.2d 943 (8th Cir.1987); Harmon Cove
Condo. Ass'n v. Marsh, 815 F.2d 949 (3rd Cir.1987); Sierra Club v. Train, 557
F.2d 485 (5th Cir.1977); National Wildlife Fed'n v. Laubscher, 662 F.Supp.
548 (S.D.Tex.1987)). The Fund argues the application of that line of authority
could "effectively bar meaningful citizen review of Corps mitigation decisions
at every stage of the process." Appellant's Reply Brief at 15 n. 13
Those cases hold that individuals may not seek judicial review of an agency's
discretionary decision not to take action to enforce the conditions of a permit.
This court explored the rule applied in those cases in Sierra Club v. Hodel, 848
F.2d 1068, 1074-76 (10th Cir.1988). We noted the general rule that "an
'agency's decision not to take enforcement actions should be presumed immune
from judicial review under 701(a)(2) [of the APA].' " Id. at 1075 (quoting
Heckler v. Chaney, 470 U.S. 821, 105 S.Ct. 1649, 84 L.Ed.2d 714 (1985)).
However, we further noted that judicial review may lie where " 'the substantive
statute has provided guidelines for the agency to follow in exercising its
enforcement powers.' " Id. (quoting Chaney, 470 U.S. at 832-33, 105 S.Ct. at
1656). Thus, in Sierra Club v. Hodel, we held that the Bureau of Land
Management's ("BLM") refusal to act under FLPMA, arguably characterized as
"a decision not to take enforcement action," was nevertheless reviewable
because FLPMA provides "law to apply" in the form of imposing on the
Department of the Interior, and therefore the BLM, the responsibility to define
and protect wilderness areas and areas having wilderness characteristics.
The question of the enforceability of the permit conditions in this case is not
before us, and we decline at this point to address that issue.
11
12
The "public interest review" includes a "careful weighing of all those factors
which become relevant in each particular case. The benefits which reasonably
may be expected to accrue from the proposal must be balanced against its
reasonably foreseeable detriments." 33 C.F.R. 320.4(a)(1). Additionally, the
Corps must consider the "relative extent of the public and private need" for the
proposed project and "reasonable alternative locations and methods to
accomplish the objective" of the proposed project. 33 C.F.R. 320.4(2)(i) and
(ii). Mitigation is important in the Corps' permit process. "Consideration of
mitigation will occur throughout the permit application review process and
includes avoiding, minimizing, rectifying, reducing, or compensating for
resource losses." 33 C.F.R. 320.4(r)(1). See also 40 C.F.R. 230.70-s 230.77
(section 404(b) Guidelines detailing mitigation measures)
13
The 404(b) Guidelines place four general restrictions on discharges: there must
be no "practicable alternative"; the discharge must not cause a violation of any
other statute or law; the discharge must not "cause or contribute to significant
degradation of the waters of the United States"; and all "appropriate and
practicable steps" must be taken to "minimize potential adverse impacts" of the
discharge--i.e. mitigation measures must be implemented. 40 C.F.R.
230.10(a), (b), (c) and (d)
Additionally, under 40 C.F.R. 230.12 the proposed discharge of dredged or
fill material must be specified as (1) complying with the Guidelines or (2)
complying with the Guidelines with "appropriate and practicable discharge
conditions" or (3) failing to comply with the Guidelines where there are
practicable, less environmentally harmful alternatives, or there are inadequate
mitigation measures, or the discharge will result in "significant degradation of
the aquatic ecosystem," or "[t]here does not exist sufficient information to make
a reasonable judgment as to whether the proposed discharge will comply" with
the Guidelines. The Corps concluded that the proposed discharge complied
with the Guidelines "with inclusion of appropriate and practicable mitigation
measures." Addendum Vol. II to Appellees' Answer Brief at B479.
14
The Corps argues that we should not consider this question since the Fund
failed to raise it during the administrative proceedings in this case--i.e. in the
appeal to the Chief of the Forest Service from the Forest Service's grant of the
land use easement. The Fund responds that the issue of the economics was
raised by another party (the Vail Valley Water District) during the
administrative proceedings. That, it argues, is sufficient to permit argument
before this court. Further, the Fund argues the issue is fairly before this court
because it was fully briefed and argued before the district court. We reach the
merits of this issue, infra at 1528
15
The alternative which generated the most discussion throughout the entire FEIS
and permitting process was the water exchange alternative, which would
obviate the need for any construction in the Wilderness Area. That alternative
was rejected as too speculative
16
17
The Fund also suggests that the FEIS was inadequate in failing to discuss all
practicable alternatives. NEPA requires an EIS to include alternatives to the
proposed action. 42 U.S.C. 4332(2)(C). The CEQ regulations state that the
discussion of alternatives is "the heart of the environmental impact statement."
40 C.F.R. 1502.14. Because the Corps' regulations and the 404(b) Guidelines
require the same discussion of alternatives, and no one suggests that the nature
of the requirement differs significantly under NEPA or the CWA, we discuss
this issue in the context of our analysis of whether the Corps violated the CWA
and applicable regulations in issuing the section 404 permit. See infra at 1528
18
The Corps and the Cities argue the Fund did not urge the alternative of Plan D
on the Corps or the Forest Service, and may therefore not raise it on appeal to
this court. We have held that "[w]e will not review information that [a party]
failed to include in the administrative record or present before [the agency]."
New Mexico Env't Improvement Div. v. Thomas, 789 F.2d 825, 835-36 (10th
Cir.1986); see also Wilson v. Hodel, 758 F.2d 1369, 1373 (10th Cir.1985) ("[A]
reviewing court will not consider contentions which were not pressed upon the
administrative agency."). While that requirement does not undermine an
agency's responsibility to consider all reasonable and practicable alternatives,
we view with suspicion the Fund's championing now of an alternative whose
elimination long ago by the Forest Service and the Corps went unchallenged