Justia Michigan Supreme Court Opinion Summaries

The case involves the Michigan Farm Bureau and other agricultural entities challenging new conditions imposed by the Department of Environment, Great Lakes, and Energy (EGLE) in a 2020 general permit for Concentrated Animal Feeding Operations (CAFOs). The new conditions included stricter limits on phosphorus application, setback requirements, and a presumptive ban on waste application during certain months. The plaintiffs argued that these conditions exceeded EGLE’s statutory authority, were contrary to state and federal law, lacked factual justification, were arbitrary and capricious, unconstitutional, and invalid due to procedural failures under the Michigan Administrative Procedures Act (APA).Initially, the plaintiffs sought a contested-case hearing to challenge the permit but then filed for declaratory judgment in the Court of Claims. EGLE moved for summary disposition, arguing that the plaintiffs had not exhausted administrative remedies. The Court of Claims agreed, dismissing the case for lack of subject-matter jurisdiction. The Court of Appeals affirmed this decision but held that the plaintiffs could seek a declaratory judgment under MCL 24.264, provided they first requested a declaratory ruling from EGLE, which they had not done.The Michigan Supreme Court reviewed the case and held that the 2020 general permit and its discretionary conditions were not "rules" under the APA because EGLE lacked the statutory authority to issue rules related to NPDES permits for CAFOs. Consequently, the Court of Claims lacked subject-matter jurisdiction under MCL 24.264. The Supreme Court affirmed the judgment of the Court of Appeals but vacated its holding that the discretionary conditions were rules. The Court emphasized that EGLE must genuinely evaluate the necessity of discretionary conditions in individual cases and that these conditions do not have the force and effect of law. View "Michigan Farm Bureau v. Dept. Of Environment Great Lakes And Energy" on Justia Law