Court Opinion

ID: 9466326
Source: CourtListenerOpinion
Date Created: 2023-08-05 01:12:19.666215+00
Date Added: 2024-06-11T17:39:40.269663
License: Public Domain

BARRETT, Circuit Judge,
concurring in part and dissenting in part:
I concur in that part of the majority opinion holding that the discharge of oil *348involved in this case was into “navigable waters” within the meaning of the Act.
I dissent from that part of the opinion upholding the penalty assessed in amount of $2,500.00. I do not suggest that such a penalty cannot be supported based on the facts and circumstances of this case, but I do suggest that if such be true the Coast Guard has failed to set forth adequate rationale. The simple statements that the agency is empowered to assess a penalty between $1.00 and $5,000.00 based on “the size of the business of the owner or operator charged, the effect on the owner or operator’s ability to continue in business, and the gravity of the violation” are not standards from which a reviewing court can measure whether the administrative agency has acted arbitrarily, capriciously and unreasonably. The fact that the “no fault” spill in this case was large is about the only substantial finding made by the assessing officer. That fact works to the advantage of the Company in that the record is clear that it did an excellent, expeditious job of cleaning up the spill, meriting special commendation from the Coast Guard. Thus, it would appear that the sole basis for the assessment relates to the need for collection of funds in the nature of the penalties in order to meet the costs of administering the Act. 33 U.S.C.A. § 1321(k). If this be the basis for the penalty, the reviewing courts should be so advised. I would send the case back to the Coast Guard with instructions that it set forth the precise basis for the penalty assessment.