Chapter 23:3 judicial Deference to Agency Decisions & Public Accountability

Courts historically have granted deference to an administrative agency's . This seems appropriate when applied to an agency's analysis of questions. In the Chevron case, the United States Supreme Court stated that this deference is also appropriate when an agency interprets its own and authority.

Under the Chevron standard, courts should defer to an agency's interpretation of law and of fact.

The Chevron standard requires the court to ask two questions: first, did Congress ______ address the issue in dispute? If so, the statutory language ________. If the statute is ___________or ambiguous, is the agency's interpretation of it ? If so, the court should give deference to the agency's interpretation of it___________.

The Chevron decision is one of the decisions by the United States Supreme Court that was not very controversial and seemed to make sense to people.

According to the United States Supreme Court, a court must give Chevron deference to an agency interpretation if it has gone through the:

The Freedom of Information Act __________the government to disclose certain records to any person on request, even without a reason.

Select two categories of records that are exempt from public disclosure under the Freedom of Information Act.

The Government in the Sunshine Act ________all agency meetings to be_________ to the public unless they meet certain criteria. If a person is going to be________ , if _______agency action would be frustrated, or if the meeting involves litigation or rulemaking, then the meeting may be____________ .

Which law requires the government to reassess the impact on business and continue to look for less burdensome means of achieving a governmental goal?

The Regulatory Flexibility Act relieved small businesses of certain record-keeping requirements under agency rules and federal statutes.

The Small Business Regulatory Enforcement Fairness Act gives Congress_____ days to review new federal regulations to be sure that they do not unduly burden small businesses.

The Environmental Protection Agency (EPA) passes a proposed rule change to the Clean Air Act related to the discharge of emissions by factories. The EPA's action would be considered arbitrary and capricious for all of the following reasons except:

Some federal agencies are not subject to the requirements of the Administrative Procedure Act.

Michael Manin, an airline pilot, was twice convicted of disorderly conduct, a minor misdemeanor. To renew his flight certification with the National Transportation Safety Board (NTSB), Manin filed an application that asked him about his criminal history. He did not disclose his two convictions. When these came to light more than ten years later, Manin argued that he had not known that he was required to report convictions for minor misdemeanors. The NTSB's policy was to consider an applicant's understanding of what information a question sought before determining whether an answer was false. But without explanation, the agency departed from this policy, refused to consider Manin's argument, and revoked his certification. Was this action arbitrary and capricious?
1. The NTSB is an ______________ administrative agency.
2. As an administrative agency, the NTSB exercises powers associated with the three branches of government: the legislative branch through ________ ; the executive branch through ___________ ; and the judicial branch through ____________ .
3. When making rules, ___________ and the _____________ govern an agency's authority and procedures.
4. According to the law, a court can set aside an agency action if it is found to be _________ , __________ , and an abuse of ____________ .
5. In determining if an agency action is arbitrary and capricious, the court will look at five factors: first, if the agency failed to provide a ___________ explanation for its decision; second, if the agency changed its prior policy without _______________ ; third, if the agency considered legally ____________ factors; fourth, if the agency failed to consider a __________ factor; and fifth, if the agency rendered a decision _____________ the evidence.
6. in this case, the NTSB departed from its prior policy without explanation, which would be a violation of which factor?
7. In addition, the NTSB decided not to consider the understanding of the applicant, which had been its policy in the past. This would violate which factor?
8. Given these actions, the NTSB's actions _________ arbitrary and capricious.

The Securities and Exchange Commission (SEC) charges the Able Baker Co. (ABC) with violating an administrative rule regarding the sale of securities. ABC did not realize that in its search for capital it became subject to securities regulations. ABC may attempt to settle the case rather than proceed to litigation because:

When Congress wants to regulate an issue, it most often passes very detailed regulations so that there are no questions about its intent.

executive agencies

Independant Regulatory Agencies

The main difference between independent regulatory agencies and executive agencies is that:

Federal administrative agencies are created:

Delegation Doctrine

Bureaucracy

Legislative rules

interpretive rules

Administrative agencies sometimes are referred to as the _______branch of government.

Article __ , Section __ of the U.S. Constitution is generally believed to be the source of Congressional authority to create administrative law. Under the Necessary and Proper clause, the courts identified the _____________ doctrine to allow Congress to create these subordinate agencies and give them some legislative powers. The president has the power to veto enabling legislation and prevent the formation of an agency and also has the power to ________ federal officers, including agency leadership. Congress has the power to create and to ______ an agency. And the courts exercise control over agencies through the power of judicial _________.

The _________ is the law that specifies the procedural requirements that all federal agencies must follow in their rulemaking, adjudication and other functions.

According to the Administrative Procedures Act (APA), courts should __________ agency actions that are found to be _________ , ________ , or an abuse of __________.

The arbitrary and capricious test is very well defined.

When assessing whether an agency action was arbitrary or capricious, courts generally look at several factors including whether the agency failed to provide a __________ explanation for its decision; changed its prior policy without _________ ; considered legally __________ factors; failed to consider a _________ fact; or made a decision __________ to the evidence.

In addition to making decisions that are not arbitrary and capricious, agencies must give fair __________ to those affected by its regulations.

Select the three powers that agencies have.

The major function of today's federal agencies is adjudication.

An administrative rule is a statement of general or particular _______ and ________ effect designed to implement, __________ , or prescribe law and policy.

Many rules must be adopted using the notice-and-comment rulemaking procedure, which includes giving ______ the proposed rulemaking, allowing for a period of time for ______ from the public, and the issuance of the ______ rule.

When an agency formally creates a new rule, the first step is to:

When an agency publishes notice of proposed rulemaking, the notice must include the subject of the proposed rule, when and where the proceedings will be held, and the authority for passing the rule.

During the comment period of the rulemaking process, the _______ is allowed to express opinions or views about a proposed rule. These comments may be in writing or ___________ if a hearing is held.

An agency has to respond to every comment that is made.

Any changes to a proposed rule require an additional public comment period.

If an agency failed to follow proper rulemaking procedures when it issued the final rule, the rule ________ binding.

if a firm thinks an agency's request for documents is unreasonable, it may refuse to comply with the request. In such situations, the agency may use a subpoena or ___________ to obtain the information. A subpoena ___________ is an order compelling a witness to appear at an agency hearing. A subpoena __________ compels an individual to bring documents to the agency.

To determine if an agency is abusing its discretion in pursuing information, a court may consider the _________ of the investigation, the _____________ of the information being sought, the _________ of the demand for documents, and the __________ of the demand on the party.

Select three situations when an agency can perform a warrantless search.

When an agency finds a rule violation, one attractive option for resolution is .

One important difference between formal litigation and an administrative hearing before an administrative law judge ("ALJ") is that:

At the conclusion of a hearing, the ALJ issues a(n) _______ order. If no one objects, this becomes the __________ order.
initial, final

AT&T wants to obtain additional rights to operate within the 700 MHz spectrum in the United States. The Federal Communications Commission (FCC) has rules and regulations that govern wireless spectrum auctions. The FCC is:

Once an agency has been created, it cannot be abolished.

The Environmental Protection Agency conducts meetings to discuss the possibility of creating additional regulations within the next five years. Under the Government in the Sunshine Act, the meetings:

The Equal Employment Opportunity Commission (EEOC) issues a statement describing how it will apply a section of the Americans with Disability Act. After exhausting the administrative remedies, Jill files a lawsuit in federal court alleging that the EEOC incorrectly interpreted the statute. The court likely will:

The overall benefits of administrative regulations often exceed their costs.

Independent federal regulatory agencies are outside the federal executive departments.

The Food and Drug Administration (FDA) is an example of an executive agency. If Fred Smith is an officer in the FDA and he fails to perform his duties properly, the power to remove him lies with: