Kettle Range Conservation Group v. United States Bureau of Land Management

150 F.3d 1083, 1998 WL 401105
Court of Appeals for the Ninth Circuit·Decided July 20, 1998·No. No. 98-35516·Published·Cited by 7 cases

Opinions

PER CURIAM:

Kettle Range Conservation Group and Inland Empire Public Lands Council (together, Kettle Range) seek emergency relief pending their appeal from the district court’s partial grant and partial denial of a permanent injunction. The partial injunction bars the Bureau of Land Management (BLM) from completing a sweeping exchange of public for private lands until it has fully complied with the requirements of the National Environmental Policy Act (NEPA). The district court declined, however, to take the more important — from a practical standpoint — action that Kettle Range had sought: it refused to rescind, pending BLM’s compliance with NEPA, the contract between the BLM and defendant-intervenor, Clearwater Land Exchange (Clearwater), pursuant to which over 90% of the government’s land involved in the exchange had already been transferred to private parties.

The district court determined that, without the joinder of the private entities that now had title to the land, it could not fashion a more equitable remedy or afford greater relief. It is this decision from which Kettle Range appeals. The BLM has not appealed the district court’s finding that the' agency violated NEPA by pursuing the land exchange without first giving it the “hard look” the Act requires, its injunction against any further transfers of land or its grant of summary judgment in favor of Kettle Range.

We deny the motion for emergency injunc-tive relief pending appeal. Kettle Range has neither joined nor made any effort to join the private entities to whom title to the public lands has been conveyed. While we do not sanction ' the BLM’s conduct during this transaction, we have found no precedent for destroying the legal entitlements of absent parties in order to vindicate public rights. Nor can we say that the district court abused [1085]*1085its discretion in determining that equity might not be served by attempting to undo the completed portion of the transaction at this point — that is, after the new owners have taken certain irreversible actions, such as elearcutting the trees.

FACTS

In a 1987 Reeord of Decision (ROD), the BLM formally adopted a “lands adjustment program” according to which its Spokane District Office is required to take steps to consolidate the lands under its management. This consolidation entails conveying large and small isolated parcels of land out of public ownership and acquiring new properties that adjoin lands already under the management of the BLM and other governmental agencies. The ROD addressed the program’s environmental consequences only fleetingly, stating that “no significant impacts from landownership adjustments would occur to any resource.”

Clearwater is a for-profit enterprise that arranges and brokers complex transactions whereby private lands that accord with an agency’s acquisition objectives are conveyed to the agency in exchange for the agency’s conveying public lands into private hands.1 In January 1996, Clearwater approached the BLM and proposed just such an exchange. Most of the private parties on the receiving end of the proposed deal were timber companies seeking ownership of public forest lands for commercial harvest.

In its final configuration, the proposed exchange called for 44 parcels of public forest, totalling roughly 4,500 acres, to be traded for 8 tracts of private shrub-steppe, totalling roughly 25,000 acres. The BLM published two notices of exchange proposal, one in January 1996 and the other in July 1996, and received comments on the proposed action from private and governmental entities.

The Washington Department of Fish and Wildlife (DFW) expressed concern that some of the public land proposed to be exchanged possessed significant wildlife values, and recommended that the BLM retain those parcels. When the BLM proposed dropping some of the federal parcels from the exchange, however, Clearwater objected, warning that doing so could cause “the entire transaction [to] fail.”

On September 23, 1996, BLM issued an environmental assessment of the proposed exchange, finding that it would have “no significant impact” on the environment. The document did not discuss alternatives to the proposed exchange; it made no mention of the DFWs concerns; and it did not indicate that a wildlife survey of the public lands had been conducted or what it showed.

Kettle Range protested the decision to the BLM, seeking a stay of the exchange. After both the Spokane District Manager and the Department of the Interior’s Board of Land Appeals denied relief, plaintiffs filed suit in the Eastern District of Washington and moved for a preliminary injunction on June 2, 1997. The district court denied the motion for preliminary injunction, and plaintiffs appealed on June 6, 1997.

Within hours of the district court’s decision, the BLM conveyed approximately half of the roughly 4,500 acres involved in this exchange to private parties. Several days later, on June 10, 1997, a panel of this court denied Kettle Range’s emergency motion for an injunction pending appeal, and on December 3, 1997, a separate panel affirmed the district court’s denial of a preliminary injunction.

The trade remained about half complete through the month of April, 1998. The district court was scheduled to consider Kettle Range’s request for a permanent injunction on May 1, 1998. The district judge had inquired of plaintiffs’ counsel whether any further transfers would occur before that date and had been advised, after counsel consulted with the BLM, that no such transfers were planned. When on May 1 the hearing was continued for an additional two weeks, the BLM informed plaintiffs’ counsel that it would not wait any longer to carry out the next phase of the exchange. Counsel did not advise the district court of the BLM’s statement, however, nor did she seek an emergency stay, and on May 1, 1998, the [1086]*1086agency transferred roughly another 1800 acres to private parties pursuant to its agreement with Clearwater.

On May 19, 1998, the district court granted summary judgment in Kettle Range’s favor, concluding upon its close review of the record that although the BLM had strong environmental misgivings about the transaction, and although NEPA mandates the exploration and evaluation of “all reasonable alternatives,” the agency accepted the deal Clear-water proposed as a take-it-or-leave-it proposition. The district court also concluded that the Environmental Assessment failed to address the cumulative impacts of the proposed trade, as well as its project-specific impacts.

At the May 19 hearing, Kettle Range asked the district court both to halt the conveyance of the remaining 365 acres and to rescind the contract between the BLM and Clearwater, and thus to void the transfers that had already taken place. The district court enjoined completion of the transaction — the last 8% — pending NEPA compliance, but declined to rescind the contract, noting that Kettle Range had made no attempt to join the private parties who, by that time, had taken title to the land. Without their appearance, the court reasoned, it could not equitably rescind the contract; nor could it decide whether rescission would be in the public interest, given the likelihood that some of the public lands had already been clearcut. Kettle Range timely appealed, and sought an emergency injunction pending appeal.

ANALYSIS

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Kettle Range Conservation Group v. United States Bureau of Land Management, 150 F.3d 1083, 1998 WL 401105 (9th Cir. 1998).

150 F.3d 1083 (Kettle Range Conservation Group v. United States Bureau of Land Management) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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