Edmonds Institute v. Babbitt

93 F. Supp. 2d 63, 2000 U.S. Dist. LEXIS 5597, 2000 WL 508882
CourtDistrict Court, District of Columbia
DecidedApril 12, 2000
DocketCiv.A. 98-561(RCL)
StatusPublished
Cited by4 cases

This text of 93 F. Supp. 2d 63 (Edmonds Institute v. Babbitt) 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.

Bluebook
Edmonds Institute v. Babbitt, 93 F. Supp. 2d 63, 2000 U.S. Dist. LEXIS 5597, 2000 WL 508882 (D.D.C. 2000).

Opinion

MEMORANDUM OPINION

LAMBERTH, District Judge.

This matter comes before the court on the parties cross-motions for partial summary judgment. Plaintiffs, three environmental advocacy organizations and a frequent visitor to Yellowstone National Park (“Yellowstone” or “Park”), challenge as arbitrary and capricious the Department of the Interior’s (“Interior”) entry into a research agreement with a private biotechnology company for the “bioprospecting” of microbial organisms from geysers and other thermal features in Yellowstone. Upon consideration of the motions, the oppositions thereto, the relevant record, and the applicable law, the court GRANTS defendants’ motion for summary judgment and DENIES plaintiffs’ motion for summary judgment.

I. BACKGROUND

This court has previously detailed the factual background underlying the present dispute. Edmonds Institute v. Babbitt, 42 F.Supp.2d 1, 4-9 (D.D.C.1999). Accordingly, the court now provides only an abbreviated review the salient facts and procedural history of this case.

A. The Yellowstone-Diversa CRADA

Yellowstone is the nation’s oldest national park. To commemorate its 125th anniversary, defendants hosted a ceremony on August 17, 1997, which was attended by top environmental policymakers, including Vice President A Gore, Secretary of the Interior Bruce Babbitt, National Park Service Director Robert Stanton, and Yellowstone Superintendent Mike Finley. At the ceremony, it was announced that the federal government had entered into a novel contract with San Diego-based Diversa Corporation, by which Diversa would obtain a nonexclusive right to “bioprospect” 1 microbial organisms in Yellowstone, in exchange for an agreement to share with Yellowstone a portion of any financial returns generated by commercial applications or products developed from these research materials.

This novel agreement, officially termed a Cooperative Research and Development Agreement (“CRADA”), was the first of its kind to involve a national park. The Statement of Work in the CRADA explains how Yellowstone and Diversa will cooperate in researching and cataloguing the Park’s biological diversity, primarily in the Park’s thermal features such as geysers, hot springs, fumaroles, and mud pots, as well as in Yellowstone’s “alpine tundra ecosystems, subalpine forests; riparian habitats, sedge marshes, bogs, swamps, streams and lakes.” CRADA, Statement *65 of Work at 2. Following an initial survey, sites will be “prioritized and systematically sampled by [Diversa] scientists,” using techniques to be “jointly selected by YNP and [Diversa] to ensure that there is no significant impact to park resources or other appropriate park uses.” Id. Once raw samples have been extracted from the selected sites, nucleic acids will be isolated, purified and used to create a library of genetic information. Id. at 2-3. The resulting gene libraries will be the starting point for the discovery and cloning of bio-catalytic and bioactive compounds, which will be evaluated for potential commercial applications. Id. These libraries of genetic information will also be available to Park scientists for their own research. The CRADA and Statement of Work explicitly state that all activity, carried on under the agreement will be in accordance with applicable law, including Yellowstone’s management policy. According, to conduct the research under the CRADA, Diversa applied for and was issued a Research Authorization/Collection Permit, which authorized the Collection of certain biological materials from Yellowstone. Since 1994, prior to its entry into the CRADA, Diver-sa, under its previous name Recombinant Biocatalysis, Inc., had already been conducting the same sort of sampling from Yellowstone, pursuant to permits issued in accordance with Park regulations. The main difference, however, is that prior to the CRADA, the company was under no obligation to share any of the economic or other benefits that might result from its research on Park resources.

Thus, perhaps the most notable feature of the CRADA is the consideration that Yellowstone stands to receive in exchange for access to its biodiversity. Defendants have disclosed that Diversa will make annual payments of around $20,000 to the defendants, as well as provide research equipment and other support for Yellowstone’s use and benefit. More importantly, however, Diversa will pay royalties to Yellowstone on any future commercial use or product derived from the company’s bioprospecting activities in the Park. Although the specifics are not public, Yellowstone has indicated that it will receive royalties of between .5% and 10% depending upon the nature of the raw material and the final product. By virtue of the CRADA, Yellowstone will share in any revenues generated by future beneficial applications or products developed from Diversa’s research at Yellowstone.

B. Bioprospecting in Yellowstone

Notwithstanding the novelty of the Yellowstone-Diversa CRADA itself, this agreement is not the first time that the National Park Service has permitted scientific research and collection of microbial specimens from Yellowstone’s thermal features. To the contrary, the earliest research permit authorizing collection of microbial samples from Yellowstone was in 1898. Indeed, in recent years, the number of annual requests by researchers for access to Yellowstone has averaged 1,500, with some 250-300 research permits issued each year (between 40 and 50 of which are for microbial research projects). Declaration of Michael Soukoup (“Soukoup Decl.”), at ¶ 8 Exhibit 1 to Defendants’ Motion to Dismiss and for Summary Judgment. National Park Service regulations govern this permit system and ensure that research activities are consistent with the Yellowstone and Interior’s overall goals.

Prior to the CRADA, Diversa or other researchers were free to remove any specimen within the purview of their permit and develop it as they wished. If such development led to commercial uses, the Park Service never saw any proceeds from the derivative products. Thus, recognizing that resources yielding potentially valuable properties were being removed from Yellowstone with no remuneration to Yellowstone or the American people, see Soukup Decl. ¶ 9, officials at Interior began to consider a resource management scheme, patterned on the successes of Costa Rica and other nations, which would use biop- *66 rospecting to provide funds and incentives for the conservation of biological diversity. To that end, the defendants opened negotiations in 1995 with the Diversa Corporation and other biotechnology companies to explore possible bioprospecting contracts. These potential agreements would be drafted as cooperative research and development agreements (CRADA) under the Federal Technology Transfer Act of 1986, which authorizes federal laboratories to enter into CRADAs with nonfederal entities to facilitate the sharing of research developed in conjunction with government scientists. By the fall of 1996, Diversa and the defendants had begun drafting a CRA-DA that would permit the collection of raw environmental materials from Yellowstone.

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Bluebook (online)
93 F. Supp. 2d 63, 2000 U.S. Dist. LEXIS 5597, 2000 WL 508882, Counsel Stack Legal Research, https://law.counselstack.com/opinion/edmonds-institute-v-babbitt-dcd-2000.