Chapter 5

Administrative Law

 

Objectives: 

1.  Explain three basic functions of administrative law

2.  Distinguish three types of rules from administrative agencies

3.  Difference between formal and informal methods of adjudication

4.  Identify (a)  questions of law determined by reviewing court; (b) three standards of judicial review

5.  Limitations on administrative agencies

 

I.  Introduction

          A.  Blackstone quote

          B.  Define administrative agencies

          C.  Constitutional theory behind agencies

          D.  Huge growth trend

II. Operation of Administrative Agencies

          A. Three Functions

                   1. Rulemaking

                   2. Enforcement

                   3. Adjudication of controversies

          B.  Types of Rules 

                   1. Legislative rules, aka regulations

                             a. Must follow grant by Congress

                             Diersen v. Chicago Car Exchange

                             May NHTSA set an age limit on the odometer

                             Rollback law?  Holding: No. Not in the statute

                             b. Must be constitutional

          C. Administrative Procedure Act (how to make a regulation)

                   1.  Informal rule making

                             1. Notice of the proposed rule

                             2. Opportunity for participation by interested parties

                             3.  Publication of final version 30 days before effective

                             Date

                   2. Formal Rulemaking and Hybrid Rulemaking

          D. Interpretative Rules

                   1. Tells people how the agency will interpret regs and statutes

                             Private Letter Rulings

                   2. Not binding on courts

          E. Procedural Rules, govern how the agency operates

 

          F. Enforcement, investigative powers

          G. Adjudication

                   1.  Courts may review decisions of agency

                   2. American Airlines v. DOT, p. 90

                   Dispute over Love Airport in Dallas-Ft. Worth

                   DOT ruled cities have no power over Love Field

                   Wright and Shelby Amendments preempt power of cities

                   Commuter airline exemption overrules cities

                   DFW may not enforce contractual provision forbidding

                   Airline from using other fields in area (i.e. Love Field)

                   DOT gave adequate notice (not much is required)

 

III. Limits on Agencies

          A. Judicial Review

                   1. General requirement of exhaustion of remedies

                   2. Party must have standing (i.e. be the right person to sue)

                             Lujan v. Defenders of Wildlife, p. 93

                   Fish & Wildlife Service changed consultation requirements to exclude endangered species in other countries.  Now, it only applies to species in U.S. or in the high seas.  DOW objected, and sought to have the new regulation set aside. 

                   Sup. Ct. held that DOW lacked standing.  There is no injury if someone's general interest in animals is affected.  Two DOW members said that they visited affected areas before the projects, but that was not enough.

                   3. Review of questions of law

                             a. Exceeded authority?

                             b. Properly interpreted the law?

                             c. Violated the constitution?

                             d. Violated procedural rules?

                   4. Review of questions of fact

                             a. For informal rulemaking, "arbitrary and capricious"

                             standard

                             b. For formal hearings, "substantial evidence" standard

                             c. Rare cases, "de novo" review

          B. Legislative Control

                   1. Congress may always overrule by statute

                   2. Congress can cut off funding, even eliminate agency

                   3. Major rules now reviewed by Congress

          C. Executive Branch

                   1. Power of appointment

                   2. Power to direct policy, if agency is part of executive branch

          D. Public oversight

                   1. Public hearings for many things

                   2. Freedom of Information Act

                   3. Government in the Sunshine Act

 

Questions, 6, 9