Skull Valley Band of Goshute Indians v. Nielson Ex Rel. Utah Department of Environmental Quality

376 F.3d 1223, 198 A.L.R. Fed. 741, 58 ERC (BNA) 2099, 2004 U.S. App. LEXIS 16055
CourtCourt of Appeals for the Tenth Circuit
DecidedAugust 4, 2004
Docket02-4149
StatusPublished
Cited by64 cases

This text of 376 F.3d 1223 (Skull Valley Band of Goshute Indians v. Nielson Ex Rel. Utah Department of Environmental Quality) is published on Counsel Stack Legal Research, covering Court of Appeals for the Tenth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Skull Valley Band of Goshute Indians v. Nielson Ex Rel. Utah Department of Environmental Quality, 376 F.3d 1223, 198 A.L.R. Fed. 741, 58 ERC (BNA) 2099, 2004 U.S. App. LEXIS 16055 (10th Cir. 2004).

Opinion

HENRY, Circuit Judge.

The Governor and Attorney General of Utah, along with Utah environmental and transportation officials, appeal the district court’s ruling that the state’s statutes regulating the storage and transportation of spent nuclear fuel are preempted by federal law. See Skull Valley Band of Goshute Indians v. Leavitt, 215 F.Supp.2d 1232 (D.Utah 2002). The Utah officials argue that the district court should not have reached the merits of this dispute because (1) the plaintiffs who challenge the statutes — a consortium of utility companies (Private Fuel Storage, Inc.) and an Indian tribe (the Skull Valley Band of Goshute Indians) — lack standing to bring this lawsuit and (2) the case is not ripe for review. Alternatively, the Utah officials argue that the majority of the challenged statutes are not preempted.

We agree with the district court’s resolution of the standing question. Private Fuel Storage (PFS) and the Skull Valley Band have properly asserted that their legally protected interests have been injured by the challenged statutes and that these injuries are likely to be redressed by a favorable decision. Moreover, in light of the D.C. Circuit’s recent resolution of the Utah officials’ challenge to federal statutes and regulations concerning spent nuclear fuel, see Bullcreek v. Nuclear Regulatory Commission, 359 F.3d 536 (D.C.Cir.2004), we further conclude that the case is now ripe for review.

On the merits, we agree with the district court’s ruling that the Utah statutes are preempted by federal law. We therefore affirm the district court’s decision.

I. BACKGROUND

This case is one of many arising out the vexing problem of transporting and storing the spent nuclear fuel (SNF) that is generated by nuclear power plants. Because SNF remains radioactive for thousands of years, long-term storage strategies are essential. However, the search for the safest solution has been long and difficult.

In 1982, Congress passed the Nuclear Waste Policy Act (NWPA), 42 U.S.C. §§ 10101-10270. The NWPA requires the United States Department of Energy to construct a permanent storage facility for the disposal of SNF. The NWPA also establishes a federally monitored temporary storage program in the event that a permanent facility is not available by the deadline.

Under NWPA, the United States Department of Energy and various utility companies controlling nuclear reactors entered into agreements to accept SNF no later than January 31,1998. However, the Department of Energy has estimated that, at the earliest, it will not have a permanent repository to receive SNF until 2010. See Final Interpretation of Nuclear Waste Acceptance Issues, 60 Fed.Reg. 21,793, 21,-794 (May 3, 1995). Unless Congress, the Department of Energy, and the Nuclear Regulatory Commission (NRC) take heroic steps, even this date is optimistic. See John Karl Gross, Nuclear Native America: Nuclear Waste and Liability on the Skull Valley Goshute Reservation, 7 B.U.J. SCi & Tech. L. 140, 147-48 n.64 (2001) (reporting estimates that a permanent storage facility may not be available until 2015 or perhaps 2025).

PFS is a consortium of utility companies, which formed in order to seek temporary storage options for the SNF storage *1228 problem. In May 1997, PFS entered into a lease of Skull Valley Band tribal land located fifty miles from Salt Lake City. PFS sought to build an SNF storage facility there. The Bureau of Indian Affairs of the United States Department of Interior has conditionally approved the lease, 1 and PFS has submitted an application for li-censure of the facility with the NRC, which remains pending. Under the federal regulations, the proposed facility is characterized as an “independent spent fuel storage installation,” see 10 C.F.R. § 72.3, and must satisfy detailed requirements before it may be constructed. See 10 C.F.R. § 72.1 (noting that “the regulations in this part establish requirements, procedures, and criteria for the issuance of licenses to receive, transfer, and possess” SNF).

The Utah officials intervened in the NRC proceedings, arguing that the NRC lacked the authority to license the proposed facility. The NRC rejected that argument, concluding that “Congress, in enacting the Atomic Energy Act, gave the NRC authority to license privately owned, away-from-reactor facilities and did not repeal that authority when it later enacted the Nuclear Waste Policy Act of 1982.” In re Private Fuel Storage, L.L.C., 56 N.R.C. 390, 392 (2002). The Utah officials appealed that ruling, and the D.C. Circuit has recently affirmed the NRC’s decision. See Bullcreek, 359 F.3d at 541-43.

In addition to contesting the licensing proceedings before the NRC, the state of Utah passed a series of statutes between 1998 and 2001 that regulate the storage and transportation of SNF. As the district court explained, the statutes are comprised of four general categories: (1) amendments to Utah’s Radiation Control Act, which establish state licensing requirements for the storage of SNF, and which revoke statutory and common law grants of limited liability to stockholders in companies engaged in storing SNF; (2) “the County Planning Provisions,” Skull Valley, 215 F.Supp.2d at 1248-49, which require county governments to impose regulations and restrictions on SNF storage; (3) “the Road Provisions,” id., which vest the Governor and the state legislature with authority to regulate road construction surrounding the proposed SNF storage site on the Skull Valley reservation; and (4) “the Miscellaneous Provisions,” id. at 1250, which require drug and alcohol testing of employees of companies engaged in SNF storage and which authorize litigation to determine water rights in areas under consideration for SNF storage. As the district court held that “the Miscellaneous Provisions” did not violate the Commerce Clause, and PFS and the Skull Valley Band do not challenge that ruling on appeal, only the first three categories are at issue here.

A. The Utah Licensing Scheme for SNF Storage Facilities

In Senate Bills 81, 177, and 196, the Utah legislature added Part 3 to Utah’s Radiation Control Act. See Utah Code Ann. §§ 19-3-301-317. Part 3 begins with a sweeping prohibition of the transfer, storage, treatment, and disposal of high-level nuclear waste in Utah. It then establishes an alternative licensing scheme for SNF: If the NRC issues a license to an *1229

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376 F.3d 1223, 198 A.L.R. Fed. 741, 58 ERC (BNA) 2099, 2004 U.S. App. LEXIS 16055, Counsel Stack Legal Research, https://law.counselstack.com/opinion/skull-valley-band-of-goshute-indians-v-nielson-ex-rel-utah-department-of-ca10-2004.