State of Louisiana v. Biden

64 F.4th 674
CourtCourt of Appeals for the Fifth Circuit
DecidedApril 5, 2023
Docket22-30087
StatusPublished
Cited by5 cases

This text of 64 F.4th 674 (State of Louisiana v. Biden) is published on Counsel Stack Legal Research, covering Court of Appeals for the Fifth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
State of Louisiana v. Biden, 64 F.4th 674 (5th Cir. 2023).

Opinion

Case: 22-30087 Document: 00516701635 Page: 1 Date Filed: 04/05/2023

United States Court of Appeals for the Fifth Circuit United States Court of Appeals Fifth Circuit

FILED April 5, 2023 No. 22-30087 Lyle W. Cayce Clerk

The State of Louisiana, by and through its Attorney General, Jeff Landry; The State of Alabama, by and through its Attorney General, Steve Marchall; The State of Florida, by and through its Attorney General, Ashley Moody; The State of Georgia, by and through its At- torney General, Christopher M. Carr; The Commonwealth of Ken- tucky, by and through its Attorney General, Daniel Cameron; The State of Mississippi, by and through its Attorney General, Lynn Fitch; The State of South Dakota, by and through its Governor, Kristi Noem; The State of Texas, by and through its Attorney General, Ken Paxton; The State of West Virginia, by and through its Attorney General, Patrick Morrisey; The State of Wyoming, by and through its Attorney General, Bridget Hill,

Plaintiffs—Appellees,

versus

Joseph R. Biden, Jr., in his official capacity as President of the United States; Cecilia Rouse, in her official capacity as Chairwoman of the Coun- cil of Economic Advisers; Shalanda Young, in her official capacity as Act- ing Director of the Office of Management and Budget; Kei Koizumi, in his official capacity as Acting Director of the Office of Science and Technology Policy; Janet Yellen, Secretary, U.S. Department of Treasury; Deb Haa- land, Secretary, U.S. Department of the Interior; Tom Vilsack, in his official capacity as Secretary of Agriculture; Gina Raimondo, Secretary, U.S. Department of Commerce; Xavier Becerra, Secretary, U.S. Depart- ment of Health and Human Services; Pete Buttigieg, in his official capac- ity as Secretary of Transportation; Jennifer Granholm, Secretary, U.S. Department of Energy; Brenda Mallory, in her official capacity as Chairwoman of the Council on Environmental Quality; Michael S. Case: 22-30087 Document: 00516701635 Page: 2 Date Filed: 04/05/2023

No. 22-30087

Regan, in his official capacity as Administrator of the Environmental Protec- tion Agency; Gina McCarthy, in her official capacity as White House Na- tional Climate Advisor; Brian Deese, in his official capacity as Director of the National Economic Council; Jack Danielson, in his official capacity as Executive Director of the National Highway Traffic Safety Administration; United States Environmental Protection Agency; United States Department of Energy; United States De- partment of Transportation; United States Depart- ment of Agriculture; United States Department of In- terior; National Highway Traffic Safety Administra- tion; Interagency Working Group on Social Cost of Greenhouse Gases,

Defendants—Appellants.

Appeal from the United States District Court for the Western District of Louisiana USDC No. 2:21-CV-1074

Before Wiener, Higginson, and Wilson, Circuit Judges. Jacques L. Wiener, Jr., Circuit Judge: On January 20, 2021, the Biden Administration issued an executive order that re-established an interagency working group (“Working Group”) to formulate guidance on the “social cost of greenhouse gases.” 1 That order directed the Working Group to publish dollar estimates quantifying changes in carbon, methane, and nitrous oxide emissions (collectively, “greenhouse gases”) for consideration by federal agencies when policymaking. 2 The

1 See Exec. Order No. 13,990, § 5, 86 Fed. Reg. 7037 (Jan. 20, 2021) (“E.O. 13990”). 2 Id.

2 Case: 22-30087 Document: 00516701635 Page: 3 Date Filed: 04/05/2023

Working Group has since published “Interim Estimates” based largely on the findings of its predecessor working group. 3 The Plaintiffs-Appellees States (“Plaintiffs”) challenge E.O. 13990 and the Interim Estimates as procedurally invalid, arbitrary and capricious, inconsistent with various agency-specific statutes, and ultra vires. They ob- tained a preliminary injunction in the district court. 4 Defendants-Appellants (“Defendants”) appealed, and a panel of this court stayed the injunction. 5 We now dismiss this action because Plaintiffs have failed to meet their burden to prove standing. Plaintiffs’ allegations of “injury in fact” rely on a chain of hypotheticals: federal agencies may (or may not) premise their actions on the Interim Estimates in a manner that may (or may not) burden the States. Such injuries do not flow from the Interim Estimates but instead from potential future regulations, i.e., final rules that are subject to their own legislated avenues of scrutiny, dialogue, and judicial review on an appropriately developed record. I. Background Presidents have long overseen federal agencies by requiring cost- benefit analyses for review, both internally and by the public. 6 This practice

3 WORKING GROUP, TECHNICAL SUPPORT DOCUMENT: SOCIAL COST OF CARBON, METHANE, AND NITROUS OXIDE, INTERIM ESTIMATES UNDER EXECUTIVE ORDER 13990 (Feb. 26, 2021) [hereinafter INTERIM ESTIMATES]. 4 Louisiana v. Biden, 585 F. Supp. 3d 840 (W.D. La. 2022). 5 Louisiana v. Biden, 2022 WL 866282 (5th Cir. Mar. 16, 2022). 6 “President Carter issued Executive Order 12,044 requiring cost-benefit analyses (CBA) for rules with ‘major economic consequences.’ These early oversight efforts antic- ipated two key objectives of current presidential review structures: improving the quality and rationality of agency analysis, and ensuring agency consistency with broader presiden- tial priorities.” Nina A. Mendelson, Jonathan B. Wiener, Responding to Agency Avoidance of OIRA, 37 HARV. J.L. & PUB. POL’Y 447, 455 (2014).

3 Case: 22-30087 Document: 00516701635 Page: 4 Date Filed: 04/05/2023

is a general administrative control employed by presidents to carry out their duty to “take Care that the Laws be faithfully executed.” 7 The Reagan Administration assigned this oversight to the Office of Management and Budget (“OMB”), 8 and the Clinton Administration formally established the existing regime of cost-benefit analysis: Before proposing any significant action, 9 federal agencies must assess the costs and benefits of the regulation and submit the resulting assessments to OMB’s Office of Information and Regulatory Affairs (“OIRA”) for review. 10 OMB has historically issued guidance to federal agencies regarding this process. One such document, “Circular A-4,” was issued in 2003 as a compilation of regulatory best practices. 11 Relevant here, Circular A-4 rec- ommends that federal agencies (1) consider domestic, rather than global, costs and benefits, 12 and (2) use discount rates of 3 and 7 percent. 13 But OMB

7 U.S. CONST. art. II, § 3; see Seila Law LLC v. Consumer Fin. Prot. Bureau, 140 S. Ct. 2183, 2197 (2020) (quoting U.S. CONST. art. II) (“The entire ‘executive Power’ belongs to the President alone.”). 8 Exec. Order No. 12,291, 46 Fed. Reg. 13,193 (Feb. 17, 1981). 9 Significant actions include those that are “likely to result in a rule that may . . . [h]ave an annual effect on the economy of $100 million or more.” Exec. Order No. 12,866, § 3(f)(1), 58 Fed. Reg. 51,735 (Sept. 30, 1993). 10 Id. § 6(a)(3)(B)-(C). If an agency proceeds to justify an action with a resulting cost-benefits assessment, it is subject to challenge under the Administrative Procedure Act. See Nat’l Ass’n of Home Builders v. EPA, 682 F.3d 1032, 1040 (D.C. Cir. 2012) (“[W]hen an agency decides to rely on a cost-benefit analysis as part of its rulemaking, a serious flaw undermining that analysis can render the rule unreasonable.”) 11 OMB, CIRCULAR A-4 (Sept. 17, 2003). 12 “Your analysis should focus on benefits and costs that accrue to citizens and residents of the United States.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Cite This Page — Counsel Stack

Bluebook (online)
64 F.4th 674, Counsel Stack Legal Research, https://law.counselstack.com/opinion/state-of-louisiana-v-biden-ca5-2023.