Opinion ID: 458564
Heading Depth: 2
Heading Rank: 2

Heading: The Standard for Judicial Review

Text: 65 An agency's decision to act without preparing an EIS is of course subject to judicial review. The circuits are, however, split on how that review should be conducted. In roughly half of the circuits that have decided the issue, a decision not to prepare an EIS will be overturned only if it is arbitrary and capricious. Other circuits employ a reasonableness standard of review. There are, moreover, considerable variations within these two general categories. See generally Shea, The Judicial Standard for Review of Environmental Impact Statement Threshold Decisions, 9 Envtl.Aff.L.Rev. 63 (1980). This conflict is not merely semantic or academic. Gee v. Boyd, --- U.S. ----, 105 S.Ct. 2123, 2125, 85 L.Ed.2d 487 (1985) (White, J., dissenting). 5 In fact, three justices of the Supreme Court have recently argued that the full Court should review a case like this one to end the disarray and confusion that exists on this issue. Id. 105 S.Ct. at 2126 (White, J., joined by Brennan, J. & Marshall, J., dissenting from denial of petition for writ of certiorari). 66 Since Save Our Ten Acres v. Kreger, 472 F.2d 463 (5th Cir.1973), we have employed the less deferential of the competing standards--the reasonableness test. 6 The reasonableness test is clearly a more rigorous standard ... than the rule of arbitrary and capricious review that ordinarily governs agency actions. State of Louisiana v. Lee, 758 F.2d 1081, 1084 (5th Cir.1985). In Kreger, 472 F.2d at 463, we described the inquiry under the reasonableness test as follows: 67 [T]he court should proceed to examine and weigh the evidence of both the plaintiff and the agency to determine whether the agency reasonably concluded that the particular project would have no effects which would significantly degrade our environmental quality. This inquiry must not necessarily be limited to consideration of the administrative record, but supplemental affidavits, depositions and other proof concerning the environmental impact of the project may be considered if an inadequate evidentiary development before the agency can be shown. 68 Id. at 467 (citations omitted). 69 Admittedly, our decisions applying Kreger have not been entirely consistent or pellucid. Louisiana Wildlife Federation, Inc. v. York, 761 F.2d 1044, 1054 (5th Cir.1985) (Rubin, J., dissenting). We agree with Mitchell that a court applying the reasonableness test does not have unbridled discretion to substitute its judgment for that of the agency responsible for making the decision in the first instance. It may not be possible, without degenerating to a circular definition, to articulate with more precision what an application of the reasonableness standard entails. It is clear, however, that a court applying the reasonableness test may, in certain circumstances, receive and weigh evidence beyond that in the administrative record, see Hiram Clarke Civic Club v. Lynn, 476 F.2d 421, 425 (5th Cir.1973), and should at least satisfy itself that the agency has taken a hard look at the environmental concerns raised by the plaintiffs and the factors made relevant by the various regulations implementing NEPA. See Vieux Carre Property Owners v. Pierce, 719 F.2d 1272, 1282 (5th Cir.1983). 70 It is also clear that a decision to forego preparation of an EIS may be unreasonable for at least two distinct reasons: (1) the evidence before the court demonstrates that, contrary to the FONSI, the project may have a significant impact on the human environment, see, e.g., Lee, 758 F.2d at 1085, 7 or (2) the agency's review was flawed in such a manner that it cannot yet be said whether the project may have a significant impact, see, e.g., York, 761 F.2d at 1053; Foundation on Economic Trends, 756 F.2d at 154. The appropriate relief, moreover, depends upon which of these findings the district court makes. If the court finds that the project may have a significant impact, the court should order the agency to prepare an EIS. Lee, 758 F.2d at 1085; Kreger, 472 F.2d at 467. If the court finds, on the other hand, that the EA is inadequate in a manner that precludes making the determination whether the project may have a significant impact, the court should remand the case to the agency to correct the deficiencies in its analysis. See York, 761 F.2d at 1053 ([we do] not order [an] ... EIS because the question of whether the Project may have significant adverse impacts is still an open one); 8 Foundation on Economic Trends, 756 F.2d at 154 (until [the agency] completes such an evaluation the question whether the experiment requires an EIS remains an open one). 71