Justia Government & Administrative Law Opinion Summaries

Allstates, a full-service industrial general contractor, employs people throughout the country, subject to the Occupational Safety and Health (OSH) Act. Allstates must comply with Occupational Safety and Health Administration (OSHA) workplace safety standards. It has been the subject of enforcement actions, including a $10,000 fine for a 2019 catwalk injury. In a facial challenge to the OSH Act, Allstates argued that, because the only textual constraint on setting workplace-safety standards is that they be “reasonably necessary or appropriate,” 29 U.S.C. 652(8), OSHA does not have the constitutional authority to set those standards and employers do not have a duty to comply with OSHA’s standards. Allstates sought a permanent nationwide injunction. The district court granted the government summary judgment, reasoning that the “reasonably necessary or appropriate” standard provided an “intelligible principle” to satisfy the nondelegation doctrine because the Supreme Court has repeatedly upheld similar delegations.The Sixth Circuit affirmed, finding OSHA’s delegation constitutional. The Act provides an overarching framework to guide OSHA’s discretion, and the Act’s standards comfortably fall within limits previously upheld by the Supreme Court. “To require more would be to insist on a degree of exactitude which not only lacks legal necessity but which does not comport with the requirements of the administrative process.” View "Allstates Refractory Contractors, LLC v. Su" on Justia Law

Over 20 years ago, taxpayers sued Kentucky and Sunrise, a religiously affiliated organization, for alleged violations of the Establishment Clause by paying for religious services that Sunrise allegedly imposed on children in state custody. The Sixth Circuit remanded the approval of a 2013 settlement. In 2015, the parties replaced monitoring provisions that mentioned Sunrise with general language about “any Agency.” The Third Circuit held, for the third time, that the plaintiffs had standing to bring their Establishment Clause claim but that the 2015 Amendment required new regulations or modifications to existing regulations for implementation, which meant the Amendment violated Kentucky law. In 2021 Kentucky and the plaintiffs jointly moved to dismiss the case with prejudice. Kentucky agreed to pursue new regulations in good faith; certain provisions of the Agreement would not take effect unless those regulations were adopted. The Settling Parties did “not” seek to have the court retain jurisdiction for enforcement, nor to incorporate the Agreement in the order of dismissal.Noting that the motion was filed by “the parties to the sole remaining claim,” the Establishment Clause claim against Kentucky, the district court dismissed the case. The court refused to address the terms of the 2021 Agreement, which was not properly before it. The Sixth Circuit affirmed. “Sunrise no doubt is frustrated to find itself unable to vindicate the legality of its program” but federal courts do not decide constitutional issues in the abstract. View "Pedreira v. Sunrise Children's Services, Inc." on Justia Law

Johnson was the councilman in Cleveland’s Buckeye-Shaker neighborhood for 41 years. Jamison was his executive assistant. For years, Johnson used his position to fraudulently claim federal reimbursements for payments he never made. He also secured employment for his children in federally funded programs, although they were not legally eligible to work in such positions. Johnson deposited their earnings into his own account. In addition, Johnson fraudulently claimed a series of tax deductions. He encouraged and assisted his son Elijah in submitting falsified records for Elijah’s grand-jury testimony. Jamison assisted Johnson in these crimes. Johnson and Jamison were convicted on 15 charges, including federal program theft under 18 U.S.C. 371, 666(a)(1)(A) and (2); tax fraud, 26 U.S.C. 7206(2); and obstruction of justice, 18 U.S.C. 1512(b) and 1519. Johnson was sentenced to 72 months in prison. Jamison was sentenced to 60 months.The Sixth Circuit affirmed, rejecting challenges to the district court’s loss calculations and to sentencing enhancements for being an organizer or leader of a criminal activity involving five or more participants, for using a minor, and for obstructing justice. The district court properly admitted “other acts” evidence of prior misuse of campaign funds. Any other errors in evidentiary rulings were harmless. View "United States v. Jamison" on Justia Law

In 2016, Salansky, the Great Smoky Mountains National Park’s Fire Management Officer, discovered a slow-moving fire covering less than an acre. Due to the upcoming Thanksgiving holiday, most of the Park’s staff were away. Eight days later (November 24), Salansky observed that building a fire line would be impossible. Salansky opted to let the fire burn, using the natural terrain for containment. On November 27, Salansky requested additional firefighting resources. A National Guard helicopter dropped water onto the fire. By evening, the fire had spread to 35-40 acres within Park boundaries. Salansky did not monitor the fire overnight. At 4:05 a.m., the National Weather Service issued a high-wind warning. By 7:30 a.m., Salansky estimated that the fire had grown to 250-500 acres. Burning embers created smaller fires a mile away. People in Gatlinburg observed heavy smoke and ash. A 10:58 a.m. call was the first communication between Park staff and any local official about the fire. Around 5:45 p.m., the Gatlinburg Fire Department received reports of fires within the city. Winds gusted to 87 mph and the fire grew to 5,000 acres. Total evacuation of the Gatlinburg area was ordered. Evacuation efforts were hampered by infrastructure damage. Ultimately, 14 people died, 191 were injured, 2,500 structures were damaged or destroyed, and more than 17,000 acres burned.The Sixth Circuit vacated the dismissal of “failure to warn” suits under the Federal Torts Claims Act (FTCA). Before filing suit under the FTCA, a claimant must “present” that claim to the agency, 28 U.S.C. 2675(a); the plaintiffs’ forms sufficiently enabled the Department of the Interior to investigate. On remand, to determine whether the claims are barred by the FTCA's discretionary-function exception, the district court should address whether certain publications constitute mandatory directives. View "Abbott v. United States" on Justia Law

In 1965, the predecessors of the Louisville and Jefferson County Metropolitan Government established the Riverport Authority, which constructed and owns a 300-acre Ohio River port facility. In 2009, the Authority leased the facility to “Port of Louisville.” In 2016, the parties extended the lease, potentially until 2035. According to Port, in 2018, Bouvette, the Authority’s director, started secret negotiations with its competitor, Watco. Port alleges that Bouvette and Watco needed a pretext to terminate the existing agreement and hired outside advisors to inspect the facility. These allegedly biased advisors found the facility “mismanaged, unsafe, and in disrepair.” The Authority asserted that Port had breached the lease and filed suits to remove it from the facility while conducting public bidding and awarding a lease to Watco, contingent on Port’s removal from the site. In one suit, Kentucky courts upheld a decision in favor of Port.In another suit, Port alleged tortious interference with contractual and business relationships, civil conspiracy, and defamation against Watco and Bouvette. The district court rejected Bouvette’s defenses under state-law sovereign immunity, governmental immunity, and Kentucky’s Claims Against Local Governments Act, noting the Authority’s status as a corporation and that it performed a proprietary (not governmental) function. The Sixth Circuit reversed. Under Kentucky law, a “state agency” cannot receive “automatic” immunity but the Authority is under the substantial control of an immune “parent.” The development of “transportation infrastructure” is a government task; the Authority does not act with a “profit” motive and alleviates a statewide concern. View "New Albany Main Street Props. v. Watco Co., LLC" on Justia Law

Stewart obtained his private pilot airman’s certificate in 1978. In 2013, he flew at altitudes and in weather conditions for which he was not authorized. The FAA notified Stewart that it planned to suspend his airman’s certificate. He could: surrender his certificate and begin the 180-day suspension; submit evidence that he had not violated the regulations; discuss the matter informally with an FAA attorney; or request an appeal to the NTSB. Stewart instead sent a letter stating that the agency lacked jurisdiction over private pilots. The FAA suspended Stewart’s certificate and assessed a $5,000 civil penalty for failure to turn in his certificate. Stewart kept flying. When he failed to properly deploy his plane’s landing gear, the FAA flagged his plane for inspection. Stewart did not comply. The FAA suspended the airworthiness certificate for his plane. Stewart kept flying and again landed his plane with the landing gear up. The FAA revoked Stewart’s airman’s certificate and again assessed a civil penalty. Stewart continued flying. The Sixth Circuit affirmed Stewart's convictions for knowingly and willfully serving as an airman without an airman’s certificate authorizing the individual to serve in that capacity, 49 U.S.C. 46306(b)(7), rejecting Stewart’s argument that he was not “without” a certificate because he still had physical possession of his. The statute required Stewart to have FAA permission to fly at the time of the flights in question. View "United States v. Stewart" on Justia Law

During World War II, the federal government played a significant role in American oil and gasoline production, often telling refineries what to produce and when to produce it. It also rationed crude oil and refining equipment, prioritized certain types of production, and regulated industry wages and prices. This case involves 12 refinery sites, all owned by Valero, that operated during the war, faced wartime regulations, and managed wartime waste. After the war, inspections revealed environmental contamination at each site. Valero started cleaning up the sites. It then sought contribution from the United States, arguing that the government “operated” each site during World War II. It did not contend that government personnel regularly disposed of waste at any of the sites or handled specific equipment there. Nor did it allege that the United States designed any of the refineries or made engineering decisions on their behalf.The Sixth Circuit reversed the district court. The United States was not a refinery “operator” under the Comprehensive Environmental Response, Compensation, and Liability Act of 1980, 42 U.S.C. 9601–75. CERCLA liability requires control over activities “specifically related to pollution” rather than control over general pricing and product-related decisions. View "MRP Properties Co., LLC v. United States" on Justia Law

Out-of-work residents of Michigan may claim unemployment benefits if they meet certain eligibility criteria. The State’s Unemployment Insurance Agency oversees the benefits system. In 2011, with the help of private contractors, the Agency began to develop software to administer the unemployment system. The Agency sought to equip the software to auto-adjudicate as many parts of the claims process as possible. The Agency programmed software that used logic trees to help process cases and identify fraud. A claimant’s failure to return the fact-finding questionnaire, for example, led to a fraud finding, as did the claimant’s selection of certain multiple-choice responses. In August 2015, problems arose with some features of the system, prompting the Agency to turn off the auto-adjudication feature for fraud claims.Plaintiffs are four individuals who obtained unemployment benefits, which were terminated after the Agency flagged their claims for fraud. Plaintiffs filed a putative class action against three government contractors and nineteen Agency staffers, raising claims under the Fourth, Fifth, and Fourteenth Amendments, 26 U.S.C. Sec. 6402(f), and Michigan tort law. In a previous proceeding, the court held that plaintiffs’ due process rights clearly existed because they had alleged a deprivation of their property interests without adequate notice and without an opportunity for a pre-deprivation hearing.At this stage, because the remaining plaintiffs have failed to show that these procedures violate any clearly established law, the supervisors of the unemployment insurance agency are entitled to judgment as a matter of law. The court also found that an intervening plaintiff was properly prevented from joining the case, based on her untimely filing. View "Patti Cahoo v. SAS Institute, Inc." on Justia Law

Wolverine transports refined petroleum products in its 700-mile pipeline system. These pipelines run from refineries in the Chicago area to terminals and other pipelines in and around Indiana and Michigan. Because Wolverine transports refined petroleum, a hazardous liquid, the company is subject to safety standards, 49 U.S.C. 60101, and falls into the Pipeline and Hazardous Materials Safety Administration’s (PHMSA) regulatory orbit. A few years ago, PHMSA conducted a routine inspection of Wolverine’s records, procedures, and facilities and identified several issues. PHMSA sent Wolverine a Notice of Probable Violation, which acts as an informal charging document, and described nine potential violations of PHMSA’s regulations, including a dent with metal loss on the topside of a pipe segment, with respect to which Wolverine did not meet an “immediate repair” requirement. Wolverine missed a 180-day repair requirement for other deficiencies.The Sixth Circuit affirmed a $65,800 civil penalty. The court rejected Wolverine’s arguments that PHMSA’s action was arbitrary and violated its due process rights. Wolverine had adequate notice and, to the extent Wolverine believes another approach would better achieve PHMSA’s desired policy outcomes, its argument is one for resolution by PHMSA. View "Wolverine Pipe Line Co. v. United States Department of Transportation, Pipeline and Hazardous Materials Safety Administration" on Justia Law

After extensive litigation, the United States, Michigan, and five federally recognized tribes entered the Great Lakes Consent Decree of 1985, governing the regulation of Great Lakes fisheries. The subsequent Consent Decree of 2000 had a 20-year term. The district court extended that Decree indefinitely “until all objections to a proposed successor decree have been adjudicated” and granted amicus status to the Coalition, which represents numerous private “sport fishing, boating, and conservancy groups” interested in protecting the Great Lakes. The Coalition has represented its own interests during negotiation sessions.As the parties were concluding their negotiations on a new decree the Coalition moved to intervene, stating that Michigan is no longer “willing or able to adequately represent the Coalition’s interests” and intends to abandon key provisions of the 2000 Decree that promote biological conservation and diversity, allocate fishery resources between sovereigns, and establish commercial and recreational fishing zones. The district court denied the Coalition’s most recent motion to intervene. The Sixth Circuit affirmed. In finding the motion untimely, the district court properly considered “all relevant circumstances” including the stage of the proceedings; the purpose for the intervention; the length of time that the movant knew or should have known of its interest in the case; the prejudice to the original parties; and any unusual circumstances militating for or against intervention. View "United States v. State of Michigan" on Justia Law