Basel Action Network v. Maritime Administration

370 F. Supp. 2d 57, 60 ERC (BNA) 1626, 2005 U.S. Dist. LEXIS 3278, 2005 WL 1119759
CourtDistrict Court, District of Columbia
DecidedMarch 2, 2005
DocketCIV.A. 03-2000(RMC)
StatusPublished
Cited by15 cases

This text of 370 F. Supp. 2d 57 (Basel Action Network v. Maritime Administration) is published on Counsel Stack Legal Research, covering District Court, District of Columbia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

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Basel Action Network v. Maritime Administration, 370 F. Supp. 2d 57, 60 ERC (BNA) 1626, 2005 U.S. Dist. LEXIS 3278, 2005 WL 1119759 (D.D.C. 2005).

Opinion

MEMORANDUM OPINION

COLLYER, District Judge.

The Maritime Administration (“MAR-AD”) must dispose of decommissioned mil *61 itary vessels that constitute the Non-retention ships in the National Defense Reserve Fleet (“NDRF”). Congress requires that this disposal be completed by the end of fiscal year 2006. Approximately seventy (70) of these aging hulks are moored at the James River Reserve Fleet (“JRRF”) in Virginia. When MARAD proposed to conduct tandem tows to move 13 of these ships to a shipbreaker in Teesside, United Kingdom in the fall of 2003, plaintiffs Basel Action Network (“BAN”) and The Sierra Club filed this action, with a request for a temporary restraining order and preliminary injunction, on the grounds that the export of the vessels would violate several federal environmental laws. On October 2, 2003, this Court issued a temporary restraining order (“TRO” with respect to nine of the thirteen ships, finding that MARAD had not completed an environmental assessment or an environmental impact statement.) Basel Action Network v. Maritime Admin., 285 F.Supp.2d 58 (D.D.C.2003). Because MARAD had submitted the “functional equivalent” 1 of an environmental assessment (“EA”) to Congress for the four ships, their departure was not enjoined. Id. Subsequently, at the parties’ request, the TRO was modified to a preliminary injunction and a briefing schedule was set for cross-motions for summary judgment, which are now pending before the Court.

Having considered the record in its entirety, including the excellent briefs of the parties, and oral argument, the Court concludes that Plaintiffs’ complaint must be dismissed.

I. BACKGROUND FACTS

The NDRF consists of government-owned merchant-type vessels of 1,500 gross tons or more. 2 This includes the Ready Reserve Fleet — maintained in a state of readiness for emergencies — and the Non-retention Reserve Fleet, which consists of obsolete vessels. The National Maritime Heritage Act (“NMHA”), 16 U.S.C. § 5401 et seq., authorizes MARAD to dispose of obsolete NDRF vessels. Given their age (many are relics of the 1940s) and condition, the National Defense Authorization Act for fiscal year 2001 set a September 30, 2006 deadline for MARAD to dispose of all obsolete vessels “in a manner that provides the best value to the Government, except in any case in which obtaining the best value would require towing a vessel and such towing poses a serious threat to the environment!)]” 16 U.S.C. § 5405(c).

In pursuit of this goal, MARAD initiated a competitive procurement program under the Federal Acquisition Regulations to solicit ship dismantling/recycling proposals from the ship breaking industry, both foreign and domestic. This Program Research and Development Announcement (“PRDA”), published in September 2001, led to a contract for recycling awarded to Post-Service Remediation Partners, LLC. This contract was later assigned to the subcontractor and parent corporation, *62 AbleUK in Teesside, U.K. The contract requires compliance with the laws of the United States and the United Kingdom to assure protection of the environment and worker health and safety. The contract requires AbleUK to possess all license^, permits, and approvals from local and national United Kingdom authorities required to tow the ships to its facility in the United Kingdom and to engage in vessel dismantling and recycling activities, including proper disposal of all hazardous materials.

When the tows of the four vessels allowed by the TRO commenced in the fall of 2003, AbleUK had all permits required to receive the vessels at its facility. However, subsequent to the tow’s departure from the United States, the United Kingdom Waste Management License and the local planning board approvals were determined to be inadequate in proceedings before the High Court Justice Queen’s Bench Division, Administrative Court. Rather than challenge these rulings, AbleUK has applied for a new waste management license and the necessary local planning approvals. MARAD anticipated that all of these approvals would be received before the end of 2004; in any event, under the terms of the MARAD-AbleUK contract, AbleUK cannot engage in any ship-breaking activities until it has all necessary licenses and approvals.

The CALOOSAHATCHEE, CANIS-TEO, CANOPUS, and the COMPASSIS-LAND — all ships from the JRRF, also known as the “Ghost Fleet” — safely reached the United Kingdom and are moored at the AbleUK facility in Teesside. MARAD informs the Court that the United Kingdom Environmental Agency has been monitoring the vessels and has concluded, following a water and sediment quality review, that “there is no evidence that the presence of the four U.S. Naval ships has caused a change in water or sediment quality in Seaton Channel or in the Tees Estuary.” United States’ Memorandum in Opposition to Plaintiffs’ Motion for Summary Judgment and In Support of Its Cross Motion for Summary Judgment (“U.S.Opp.”) Ex. 4, U.S. Navy Vessels in the Tees Estuary Water and Sediment Review, at § 7.

In the meantime, MARAD has still been working against a September 2006 deadline to dispose of the entire Ghost Fleet (and other Non-retention Reserve vessels). Of the remaining nine vessels subject to the AbleUK contract, the SANTA CRUZ, the AMERICAN BANKER, and the MORMACMOON have been contracted for scrapping by Marine Metal, Inc., of Brownsville, Texas. MARAD is considering domestic disposal proposals for the CAPE ISABEL, the MORMACWAVE, and the AMERICAN RANGE. Recycling at domestic sites will address the DON-NOR and the PROTECTOR. Thus, only the RIGEL is still under consideration for export to AbleUK from the original list of 13. MARAD and AbleUK have modified the contract to identify 36 possible substitution vessels, including the RIGEL, but have not determined which of the 36 will actually be exported to Teesside.

MARAD also prepared a draft EA for the “Transfer of NDRF Vessels from the JRRF for Disposal at Able UK [sic] Facilities, Tee[s]side, U.K.” AR 2493. The draft EA addressed each of the 9 remaining vessels from the initial contract between MARAD and AbleUK and also identified other vessels that could be considered for substitution. AR 2509, AR 2773D, 2774-75 [Tab 96]. The draft EA was issued in February 2004 and notice of it was placed in local newspapers and in the Federal Register. See 69 Fed.Reg. 9422-02 (Feb. 27, 2004); AR 2602. Sixteen comments, including comments from both Plaintiffs, *63 were received. MARAD published a Final EA in May 2004, which included a response to the comments. AR Vol. 9, 2004 EA, App. E.

MARAD released a Finding of No Significant Impact (“FONSI”) on June 29 , 2004. AR 2773a.

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370 F. Supp. 2d 57, 60 ERC (BNA) 1626, 2005 U.S. Dist. LEXIS 3278, 2005 WL 1119759, Counsel Stack Legal Research, https://law.counselstack.com/opinion/basel-action-network-v-maritime-administration-dcd-2005.