Bowsher v. Synar

478 U.S. 714, 106 S. Ct. 3181, 92 L. Ed. 2d 583, 1986 U.S. LEXIS 141, 54 U.S.L.W. 5064
Supreme Court of the United States·Decided July 7, 1986·No. 85-1377·Published·Cited by 832 cases

Opinions

Chief Justice Burger

delivered the opinion of the Court.

The question presented by these appeals is whether the assignment by Congress to the Comptroller General of the United States of certain functions under the Balanced Budget and Emergency Deficit Control Act of 1985 violates the doctrine of separation of powers.

i — i

a>

On December 12, 1985, the President signed into law the Balanced Budget and Emergency Deficit Control Act of 1985, Pub. L. 99-177, 99 Stat. 1038, 2 U. S. C. §901 et seq. (1982 ed., Supp. Ill), popularly known as the “Gramm-Rudman-Hollings Act.” The purpose of the Act is to eliminate the federal budget deficit. To that end, the Act sets a “maximum deficit amount” for federal spending for each of fiscal years 1986 through 1991. The size of that maximum deficit amount progressively reduces to zero in fiscal year 1991. If in any fiscal year the federal budget deficit exceeds the maxi[718]*718mum deficit amount by more than a specified sum, the Act requires across-the-board cuts in federal spending to reach the targeted deficit level, with half of the cuts made to defense programs and the other half made to nondefense programs. The Act exempts certain priority programs from these cuts. § 255.

These “automatic” reductions are accomplished through a rather complicated procedure, spelled out in §251, the so-called “reporting provisions” of the Act. Each year, the Directors of the Office of Management and Budget (OMB) and the Congressional Budget Office (CBO) independently estimate the amount of the federal budget deficit for the upcoming fiscal year. If that deficit exceeds the maximum targeted deficit amount for that fiscal year by more than a specified, amount, the Directors of OMB and CBO independently calculate, on a program-by-program basis, the budget reductions necessary to ensure that the deficit does not exceed the maximum deficit amount. The Act then requires the Directors to report jointly their deficit estimates and budget reduction calculations to the Comptroller General.

The Comptroller General, after reviewing the Directors’ reports, then reports his conclusions to the President. § 251(b). The President in turn must issue a “sequestration” order mandating the spending reductions specified by the Comptroller General. § 252. There follows a period during which Congress may by legislation reduce spending to obviate, in whole or in part, the need for the sequestration order. If such reductions are not enacted, the sequestration order becomes effective and the spending reductions included in that order are made.

Anticipating constitutional challenge to these procedures, the Act also contains a “fallback” deficit reduction process to take effect “[i]n the event that any of the reporting procedures described in section 251 are invalidated.” § 274(f). Under these provisions, the report prepared by the Directors of OMB and the CBO is submitted directly to a specially [719]*719created Temporary Joint Committee on Deficit Reduction, which must report in five days to both Houses a joint resolution setting forth the content of the Directors’ report. Congress then must vote on the resolution under special rules, which render amendments out of order. If the resolution is passed and signed by the President, it then serves as the basis for a Presidential sequestration order.

B

Within hours of the President’s signing of the Act,1 Congressman Synar, who had voted against the Act, filed a complaint seeking declaratory relief that the Act was unconstitutional. Eleven other Members later joined Congressman Synar’s suit. A virtually identical lawsuit was also filed by the National Treasury Employees Union. The Union alleged that its members had been injured as a result of the Act’s automatic spending reduction provisions, which have suspended certain cost-of-living benefit increases to the Union’s members.2

A three-judge District Court, appointed pursuant to 2 U. S. C. § 922(a)(5) (1982 ed., Supp. III), invalidated the reporting provisions. Synar v. United States, 626 F. Supp. 1374 (DC 1986) (Scalia, Johnson, and Gasch, JJ.). The District Court concluded that the Union had standing to challenge the Act since the members of the Union had suffered actual injury by suspension of certain benefit increases. The District Court also concluded that Congressman Synar and his fellow Members had standing under the so-called “congressional standing” doctrine. See Barnes v. Kline, 245 U. S. App. D. C. 1, 21, 759 F. 2d 21, 41 (1985), cert. granted sub nom. Burke v. Barnes, 475 U. S. 1044 (1986).

[720]*720The District Court next rejected appellees’ challenge that the Act violated the delegation doctrine. The court expressed no doubt that the Act delegated broad authority, but delegation of similarly broad authority has been upheld in past cases. The District Court observed that in Yakus v. United States, 321 U. S. 414, 420 (1944), this Court upheld a statute that delegated to an unelected “Price Administrator” the power “to promulgate regulations fixing prices of commodities.” Moreover, in the District Court’s view, the Act adequately confined the exercise of administrative discretion. The District Court concluded that “the totality of the Act’s standards, definitions, context, and reference to past administrative practice provides an adequate ‘intelligible principle’ to guide and confine administrative decisionmaking.” 626 F. Supp., at 1389.

Although the District Court concluded that the Act survived a delegation doctrine challenge, it held that the role of the Comptroller General in the deficit reduction process violated the constitutionally imposed separation of powers. The court first explained that the Comptroller General exercises executive functions under the Act. However, the Comptroller General, while appointed by the President with the advice and consent of the Senate, is removable not by the President but only by a joint resolution of Congress or by impeachment. The District Court reasoned that this arrangement could not be sustained under this Court’s decisions in Myers v. United States, 272 U. S. 52 (1926), and Humphrey’s Executor v. United States, 295 U. S. 602 (1935). Under the separation of powers established by the Framers of the Constitution, the court concluded, Congress may not retain the power of removal over an officer performing executive functions. The congressional removal power created a “here-and-now subservience” of the Comptroller General to Congress. 626 F. Supp., at 1392. The District Court therefore held that

[721]*721“since the powers conferred upon the Comptroller General as part of the automatic deficit reduction process are executive powers, which cannot constitutionally be exercised by an officer removable by Congress, those powers cannot be exercised and therefore the automatic deficit reduction process to which they are are central cannot be implemented.” Id., at 1403.

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Bowsher v. Synar, 478 U.S. 714, 106 S. Ct. 3181, 92 L. Ed. 2d 583, 1986 U.S. LEXIS 141, 54 U.S.L.W. 5064 (1986).

478 U.S. 714 (Bowsher v. Synar) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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