In a major development in the ongoing battle over environmental regulations, several business associations have filed a lawsuit against the Environmental Protection Agency (EPA) and the Army Corps of Engineers challenging their new Waters of the United States (WOTUS) rule. The Kentucky Chamber of Commerce, the U.S. Chamber of Commerce, the Associated General Contractors of Kentucky, the Home Builders Association of Kentucky, the Portland Cement Association, and the Georgia Chamber of Commerce are among the plaintiffs in the case.
The new WOTUS rule significantly expands the authority of the EPA and the Army Corps of Engineers, using vaguely defined terms to cover millions of acres of water and land features, including ponds, farms, and backyards. This has created confusion and uncertainty for landowners, businesses, and farmers, who are now required to hire expensive consultants and experts to determine whether they need permits to use their land. If they make a mistake, they could face significant penalties.
“While the Administration has laid out ambitious climate and infrastructure goals, they will not be achievable with this Waters of the United States rule, which creates needless uncertainty and endless red tape and requires businesses of all sizes to navigate an expensive and time-consuming permitting process,” said Marty Durbin, Senior Vice President of Policy at the U.S. Chamber of Commerce.
The business associations argue that the new rule exceeds the federal government’s statutory authority and is difficult to understand and use. They are asking the court to stop the WOTUS rule from going into effect while the litigation is pending by issuing an injunction, and ultimately to find the rule invalid.
“Businesses and landowners in Kentucky and across the country need predictable, stable regulations that stay within the bounds of the law and provide clear, workable rules of the road for private enterprise,” said Ashli Watts, President and CEO at the Kentucky Chamber of Commerce. “Federal, state, and local government agencies all have a role to play as partners with business in protecting clean water and the environment—but each agency must stay in its lawful lane and avoid overreach. We and our fellow plaintiffs are bringing this lawsuit to protect the interests of our members and promote a regulatory environment that is fair, economically sustainable, and legally durable.”
This is not the first time WOTUS regulations have been subject to legal battles. The previous administration attempted to provide clear definitions to comply with legal requirements, but the Biden Administration's new rule has created uncertainty and confusion, which the business associations argue is unnecessary.
The Portland Cement Association and the Georgia Chamber of Commerce have also joined the lawsuit as co-plaintiffs. The Chamber of Commerce believes that the Administration should have waited for guidance from the Supreme Court before issuing these new regulations, which are likely to be rendered out of date by the Court's upcoming decision in the Sackett v. EPA case.
