Opinion ID: 814977
Heading Depth: 2
Heading Rank: 3

Heading: SUWA’s Challenge to the Leasing Decisions

Text: In April 2007, SUWA filed its original complaint in the present matter, challenging the BLM Decisions that deemed the various oil and gas leases to be suspended as of the dates of the filings of complete plans of operation. On August 20, 2008, the district court dismissed SUWA’s suit without prejudice. It held that SUWA’s claims were not ripe for review because IBLA was in the process of considering Kirkwood’s appeals of the BLM decisions on UTU-72120 and UTU-72405. Unbeknownst to the district court, IBLA had already issued its decision. SUWA notified the district court of the decision and was given leave to file an amended complaint. SUWA filed its Amended Complaint on September 23, 2008. That complaint again challenges the BLM Decisions, as well as the 2008 IBLA decision (collectively the “Challenged Decisions”). SUWA contends the thirtynine leases at issue in this case terminated years ago when BLM failed to take -12- action to suspend their termination once complete plans of operations were submitted for the CHL applications. In the alternative, SUWA contends that even if the leases were automatically suspended in 1983 and 1984 when the plans of operation were filed, as defendants contend, the leases terminated when Kirkwood failed to make required rental payments during the suspension period. SUWA argues that the Challenged Decisions illegally suspended the leases retroactively in violation of the Mineral Leasing Act and other federal laws. In particular, it maintains the Challenged Decisions violated the Combined Hydrocarbon Leasing Act and its implementing regulations by deeming the leases to be suspended after they had terminated. It contends these “retroactive suspensions” of the leases subsequent to their termination effectively resulted in what it characterizes as the “issuance” of thirty-nine new oil and gas leases. SUWA also claims BLM and IBLA issued some of these “new” leases unlawfully, because they are in areas now barred from new mineral leasing. See 30 U.S.C. § 181; 43 C.F.R. § 3100.0-3(a)(2)(viii). Even in areas where new leasing may be permissible, SUWA contends BLM failed to comply with the applicable regulations under the Mineral Leasing Act. For example, SUWA alleges BLM violated mandatory procedures under the Mineral Leasing Act and its implementing regulations by issuing new leases in the Glen Canyon National Recreation Area without seeking the requisite consent of the Regional Director of the National Park Service. See Amended Complaint, App. at 61 (citing 43 C.F.R. -13- §§ 3100.0-3(g)(4), 3109.2). According to the Amended Complaint, “SUWA members frequently visit and recreate (e.g., hunt, camp, bird, sightsee, and enjoy solitude) throughout the lands that are the subject of this complaint . . . .” Id. at 47. SUWA alleges the inevitable drilling that will occur under these leases – regardless of whether they are ultimately converted to CHLs or remain traditional oil and gas leases – “will have dramatic, lasting negative impacts including destruction of pre-historic and historic cultural resources, degradation of air quality and pristine night skies, loss of wildlife habitat, and loss of wilderness values and characteristics.” Id. at 46. “This inevitable surface disturbance harms the interest of SUWA and its members in the leased lands.” Id. at 47. The district court dismissed SUWA’s Amended Complaint for lack of standing. It determined SUWA failed to establish an injury in fact. In part because the district court had not considered relevant affidavits from the administrative record, SUWA filed a motion to alter or amend the judgment. The court permitted SUWA to supplement the record with further information to establish standing, and SUWA submitted additional affidavits. The court concluded the supplemental materials failed to cure the standing deficiency and dismissed the action. SUWA appeals. -14-