United States v. Commonwealth of Kentucky Kentucky Natural Resources & Environmental Protection Cabinet, Secretary

252 F.3d 816, 31 Envtl. L. Rep. (Envtl. Law Inst.) 20657, 52 ERC (BNA) 1481, 2001 U.S. App. LEXIS 11591, 2001 WL 603895
CourtCourt of Appeals for the Sixth Circuit
DecidedJune 5, 2001
Docket00-5247
StatusPublished
Cited by31 cases

This text of 252 F.3d 816 (United States v. Commonwealth of Kentucky Kentucky Natural Resources & Environmental Protection Cabinet, Secretary) is published on Counsel Stack Legal Research, covering Court of Appeals for the Sixth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
United States v. Commonwealth of Kentucky Kentucky Natural Resources & Environmental Protection Cabinet, Secretary, 252 F.3d 816, 31 Envtl. L. Rep. (Envtl. Law Inst.) 20657, 52 ERC (BNA) 1481, 2001 U.S. App. LEXIS 11591, 2001 WL 603895 (6th Cir. 2001).

Opinion

OPINION

COLE, Circuit Judge.

The Commonwealth of Kentucky, acting through the Secretary of the Kentucky Natural Resources and Environmental *820 Protection Cabinet (“Cabinet”), appeals from the district court’s ruling that federal law preempts permit conditions imposed by the Cabinet relating to the disposal of radioactive waste in a landfill operated by the United States Department of Energy (“DOE”). For the following reasons, we AFFIRM the judgment of the district court.

I. BACKGROUND

The Paducah Gaseous Diffusion Plant (the “Plant”) is an active uranium enrichment facility owned by the DOE, located in McCracken County, Kentucky. The Cabinet regulates disposal of solid waste at the Plant through the issuance of permits. In 1994, DOE submitted a permit application to the Cabinet for the construction and operation of a contained solid waste landfill at the Plant. In February 1995, the Cabinet issued a permit to DOE authorizing the construction of the landfill.

After verifying that DOE had completed construction in accordance with the approved plans, the Cabinet issued another permit to DOE on November 4, 1996, authorizing operation of the landfill. This operating permit contained conditions relating to the disposal of radioactive materials in the landfill. Specifically, Condition 11 prohibited DOE from placing in the landfill “[sjolid waste that exhibits radioactivity above de minimis levels.” Condition 12 prohibited DOE from placing in the landfill “solid waste that contains radionu-clides ... until a Waste Characterization Plan for radionuclides has been submitted to the Division of Waste Management for review and approval.”

DOE appealed the imposition of these permit conditions through Kentucky’s administrative process. On January 15, 1999, a state Hearing Officer issued a report recommending that the Secretary affirm the Cabinet’s imposition of the challenged permit conditions. DOE filed objections and the Cabinet responded. On February 18, 1999, the Secretary entered a final order affirming and adopting the Hearing Officer’s report and recommendation. The Secretary accordingly dismissed DOE’s administrative appeal.

DOE then filed a petition for judicial review of the Cabinet’s final action in Kentucky state court on March 22, 1999. Under Kentucky law, DOE was required to file its petition for state court review of the Cabinet’s action within thirty days of the Cabinet’s final order. See Ky.Rev.Stat. § 224.10-470(1). DOE alleges that it filed its state court action to preserve its rights under state law.

On April 1, 1999, ten days after filing its state court action, DOE filed the instant action in the United States District Court for the Western District of Kentucky seeking declaratory and injunctive relief. In its complaint, DOE challenged the permit conditions at issue on the grounds that: (1) the Atomic Energy Act of 1954, 42 U.S.C. §§ 2011-2297g-4, preempts state regulations relating to the disposal of radioactive materials; (2) the conditions violate the federal government’s sovereign immunity from state regulation; and (3) the Commonwealth failed to comply with its own statutes and regulations in imposing the conditions. On April 27, 1999, the Cabinet filed a motion to dismiss DOE’s complaint, arguing that: (1) the district court should decline jurisdiction over DOE’s action based upon the discretion accorded it under the Declaratory Judgment Act, 28 U.S.C. § 2201, and under the Burford abstention doctrine, see Burford v. Sun Oil Co., 319 U.S. 315, 63 S.Ct. 1098, 87 L.Ed. 1424 (1943); (2) DOE’s preemption and sovereign immunity claims fail to state a claim for which relief can be granted; and (3) the challenged permit conditions comport with Kentucky law.

*821 The district court denied the Cabinet’s motion to dismiss on November 5, 1999. The court found that it was not required to decline jurisdiction over the case inasmuch as DOE had presented a facially conclusive claim of federal preemption, the resolution of which did not require the court to interpret state law or make factual findings. The court further found that federal law preempts the Cabinet’s attempt to regulate DOE’s disposal of radioactive waste in the landfill. The court accordingly entered judgment for DOE and dismissed the case.

On appeal, the Cabinet argues that: (1) the district court erred in concluding that the challenged permit conditions are preempted by federal law; and (2) the district court should have abstained from hearing this case based upon the discretion accorded it under the Declaratory Judgment Act and the Burford abstention doctrine.

II. DISCUSSION

A. Statutory and Regulatory Overview

Congress enacted the Atomic Energy Act (“AEA”) in 1954 to promote the development of atomic energy for peaceful purposes under a program of federal regulation and licensing. See Pac. Gas & Elec. Co. v. State Energy Res. Conservation & Dev. Comm’n, 461 U.S. 190, 206-07, 103 S.Ct. 1713, 75 L.Ed.2d 752 (1983). Congress has subsequently amended the AEA to create a dual regulatory structure, whereby the federal government regulates the “radiological safety aspects involved in the construction and operation of a nuclear plant,” and the states “retain their traditional responsibility in the field of regulating electrical utilities for determining questions of need, reliability, costs, and other related state concerns.” Id. at 205, 103 S.Ct. 1713.

The AEA regulates three different classes of radioactive material: source material, special nuclear material, and byproduct material. See 42 U.S.C. § 2014(e), (z), (aa). Source material includes uranium, thorium, and other materials that DOE deems necessary for the production of special nuclear material. 42 U.S.C. §§ 2014(z), 2091. Special nuclear material includes plutonium, enriched uranium, and other material capable of releasing substantial quantities of atomic energy. 42 U.S.C. §§ 2014(aa), 2071. Byproduct material includes “(1) any radioactive material (except special nuclear material) yielded in or made radioactive by exposure to the radiation incident to the process of producing or utilizing special nuclear material, and (2) the tailings or wastes produced by the extraction or concentration of uranium or thorium from any ore processed primarily for its source material content.” 42 U.S.C. § 2014(e).

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252 F.3d 816, 31 Envtl. L. Rep. (Envtl. Law Inst.) 20657, 52 ERC (BNA) 1481, 2001 U.S. App. LEXIS 11591, 2001 WL 603895, Counsel Stack Legal Research, https://law.counselstack.com/opinion/united-states-v-commonwealth-of-kentucky-kentucky-natural-resources-ca6-2001.