Opinion ID: 791645
Heading Depth: 2
Heading Rank: 1

Heading: standard of review

Text: 45 Under the Endangered Species Act, each agency has an obligation to insure that any action it takes is not likely to jeopardize listed species or their critical habitats. See § 1536(a)(2); 8 50 C.F.R. § 402.15(a) (requiring each agency to determine how to proceed in light of its section 7 obligations and the Service's biological opinion). Defenders allege that the EPA failed to satisfy this obligation and thus acted arbitrarily and capriciously, in violation of the Administrative Procedure Act. 9 See 5 U.S.C. § 706(2)(A); Am. Mining Cong. v. EPA, 965 F.2d 759, 763 (9th Cir.1992) (applying § 706(2)(A) arbitrary and capricious review to § 1369(b) petition). 46 An agency decision will survive arbitrary and capricious review if it is 47 rational, based on consideration of the relevant factors and within the scope of the authority delegated to the agency by the statute. . . . Normally, an agency rule would be arbitrary and capricious if the agency has relied on factors which Congress had not intended it to consider, entirely failed to consider an important aspect of the problem, offered an explanation for its decision that runs counter to the evidence before the agency, or is so implausible that it could not be ascribed to a difference in view or the product of agency expertise. 48 Motor Vehicle Mfrs. Ass'n v. State Farm Mutual Auto. Ins. Co., 463 U.S. 29, 42-43, 103 S.Ct. 2856, 77 L.Ed.2d 443 (1983) (citations omitted). Agency decisions may not, of course, be inconsistent with the governing statute. 5 U.S.C. § 706(2)(A) (instructing courts to set aside agency action not in accordance with law). Also, internally contradictory agency reasoning renders resulting action arbitrary and capricious; such actions are not `founded on a reasoned evaluation of the relevant factors.' Ariz. Cattle Growers' Ass'n v. U.S. Fish and Wildlife, 273 F.3d 1229, 1236 (9th Cir.2001) (quoting Marsh v. Or. Natural Res. Council, 490 U.S. 360, 378, 109 S.Ct. 1851, 104 L.Ed.2d 377 (1989)); see also Gen. Chem. Corp. v. United States, 817 F.2d 844, 857 (D.C.Cir.1987) (finding agency action arbitrary and capricious because it was internally inconsistent and inadequately explained). 49 Defenders allege, in particular, that the EPA's reliance on the Biological Opinion was arbitrary and capricious, as the Biological Opinion is itself invalid. See Res. Ltd., 35 F.3d at 1304 (holding that an action agency may not arbitrarily and capriciously rely on a flawed biological opinion); Pyramid Lake Paiute Tribe v. U.S. Dep't of the Navy, 898 F.2d 1410, 1415 (9th Cir.1990) (same). An agency can satisfy the arbitrary and capricious standard of review, however, even if it relies on an admittedly weak Biological Opinion, if there is no information the Service did not take into account which challenges the [biological] opinion's conclusions. Id. at 1415 ( cited in Res. Ltd., 35 F.3d at 1304). The upshot is that we must consider whether the EPA, through the Biological Opinion or otherwise, considered all the relevant Endangered Species Act factors and offered an explanation for its decision that is both plausible and internally coherent. 50 Applying this test, we first examine the consistency of the EPA's reasoning. Next, we examine the Biological Opinion, including its legal conclusion regarding the effects of the transfer decision on listed species and their habitat. We then review the other information relied on by the EPA. 51