Sackett v. EPA

2023-05-25
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Headline: Limits EPA power over nearby wetlands by narrowing “waters of the United States,” blocking federal regulation of many wetlands near ditches and making it easier for landowners and builders to develop property.

Holding: The Court held that the Clean Water Act covers only relatively permanent waters and adjacent wetlands that have a continuous surface connection, and thus the EPA may not treat the Sacketts' nearby wetlands as federal waters.

Real World Impact:
  • Limits EPA authority to regulate many non‑adjoining wetlands.
  • Reduces risk of federal fines and criminal exposure for some landowners.
  • Shifts disputes toward states and local permitting processes.
Topics: wetlands, clean water act, EPA authority, land development, federal vs state power

Summary

Background

Michael and Chantell Sackett, homeowners near Priest Lake in Idaho, filled and graded a small lot to build a house. The EPA told them their property contained wetlands and ordered restoration, threatening penalties of over $40,000 per day. The agencies classified the land as “waters of the United States” because it was near a ditch that fed a creek and then the lake. The Sacketts sued, the District Court and the Ninth Circuit sided with the EPA, and the case reached this Court.

Reasoning

The Court examined what Congress meant by “navigable waters” and “the waters of the United States.” It held that “waters” refers to relatively permanent bodies like streams, rivers, lakes, and adjacent wetlands only when those wetlands are indistinguishable from the water because they have a continuous surface connection. The Court rejected the EPA’s broader “significant nexus” approach and said the agencies had no clear statutory basis to regulate wetlands that are merely nearby. Applying this test, the Court found the Sacketts’ wetlands are not federal waters.

Real world impact

The ruling narrows when the federal government can treat nearby wetlands as covered by the Clean Water Act. Landowners who had faced lengthy, costly permitting fights or potential fines for activities like moving dirt may have reduced federal exposure where wetlands are not continuously surface‑connected to a covered water. States retain primary responsibility for many land‑use and water decisions, though federal regulation still covers permanent waters and truly adjoining wetlands.

Dissents or concurrances

Several Justices agreed the Ninth Circuit lost, but offered different tests. One Justice joined the opinion’s textual limit on “waters.” Two other concurring opinions argued for alternative approaches—one urged a broader reading of “adjacent,” and another offered different statutory reasoning—helping explain the split.

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