Pleadings from United States v. SFWMD, et al.,

Case No. 88-1886-CIV-HOEVELER
 

Motion for Approval of Settlement Agreement and Order
and Request for Hearing

Sections

Style  |  I. Nature of the Settlement Agreement |   II. The Court Should Approve the Settlement Agreement |   II. A. Introduction |   II. B. The Settlement Agreement Is Consistent With the Reasonably Likely Benefits of s Successful Trial |   II. C. The Settlement Agreement Does Not Abridge Third Party Rights |   II. D. The United States Possesses Ample Information to Conclude Intelligently that the Benefits of Settlement Outweigh Any Porspective Benefits of Lenght, Complex, and Expensive Litigation |   II. E. The Settlement Agreement Deserves Substantial Deference |   III. Request for an Appropriate Hearing |   IV. Conclusion |   Certificate of Service  | Certificate of Service List

Footnotes |   Footnote 1 |   Footnote 2 |   Footnote 3 |   Footnote 4

Settlement Agreement

 


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UNITED STATES DISTRICT COURT
SOUTHERN DISTRICT OF FLORIDA
MIAMI DIVISION

 

UNITED STATES OF AMERICA, et al.

Plaintiff,

vs .

SOUTH FLORIDA WATER MANAGEMENT
DISTRICT; TIMER E. POWERS, Interim
Executive Director, South Florida
Water Management District;
FLORIDA DEPARTMENT OF ENVIRONMENTAL
REGULATION; and CAROL M. BROWNER,
Secretary, Florida Department Of
Environmental Regulation, et al.,

Defendants.

__________________________________________/

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Case No
88-1886-CIV-WMH

FILED by SEC D.C.
AUG 15, 1991
Docket #: 1000

 

 


Motion for Approval of Settlement Agreement and Order
and Request for Hearing


 

 

On July 26, 1991, the United States, the DER and the

District executed a Settlement Agreement resolving all of their

respective claims in this case and, more significantly,

establishing a framework for long-term protection of the

Everglades. The Settlement Agreement, consistent with Florida's

statutory and regulatory framework for addressing nutrient

pollution of the Everglades, provides for a sound,

scientifically-based process to ensure that the fragile

ecosystems of Everglades National Park, the Loxahatchee National

Wildlife and other remnants of the Everglades receive the

safeguards they so desperately need. The United States, with the

support of the District and DER, seeks the Court's expeditious

approval of the Settlement Agreement.


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I. Nature of the Settlement Agreement

The Settlement Agreement has undergone extensive review

and has received widespread support within the federal and state

governments and the District. On July 11, 1991, Attorney General

Thornburgh and Governor Lawton Chiles held a joint press

conference to announce the proposed settlement, and the

Settlement Agreement was released for review by the District's

Governing Board. The Governing Board approved the Settlement

Agreement by a 6-1 vote on July 26, 1991. All parties to the

Settlement Agreement have signed it and are now presenting it to

the Court for review and approval.

The Settlement Agreement is structured as follows: FN 1

1.     Form of Agreement. The settlement would be

implemented by a Settlement Agreement and Order. The Agreement

includes a main body as well as detailed technical appendices

that are briefly summarized in the body. For purposes of

interpreting the specifics of the Agreement, the Appendices

prevail over the main body. The Order, lodged for the Court's

consideration, would approve and incorporate the Agreement and

require compliance with its terms. In an effort to avoid

adversarial proceedings, the Agreement requires mediation prior

to seeking judicial relief. The Court would retain jurisdiction

over the litigation for the purpose of allowing the signatory

parties to seek judicial modification and enforcement of the

 


3

Agreement in the event mediation fails.

2. Acknowledgement of the nutrient problem. The

Agreement stipulates to the unique ecological significance of the

Park and Refuge and the serious threat that nutrient pollution

poses to them. The parties stipulate that water entering the

Refuge contains levels of nutrients that violate state water

quality standards and that nutrient-polluted water entering the

Park is, or is reasonably expected to be, a source of pollution

in the Park. Thus, Settlement Agreement recognizes that the

actions prescribed under the Agreement are necessary to halt or

prevent further violations of the existing state water quality

standards that have applied to the Park and Refuge for well over

a decade.

3.     Commitment on water quality and water quantity.

The Agreement contains a fundamental commitment by the signatory

parties to achieve the water quality and water quantity needed to

preserve and restore the unique flora and fauna of the Park and

Refuge. Thus, the Agreement broadly requires the District and

DER to take such action as is necessary to achieve state water

quality standards in the Park and Refuge by July 1, 2002. The

Agreement further requires the District and DER to mitigate

reductions in the quantity of water entering the Park and Refuge

due to efforts to improve water quality.

4.     Interim and log-term total phosphorus limits. The

Agreement establishes provisional interim and long-term total

phosphorus concentration limits for Everglades National Park and

 


4

Loxahatchee National Wildlife Refuge. The interim limits, to be

achieved by July 1, 1997, are established to ensure progress

toward meeting the long-term limits in the year 2002. The long-

term limits are intended to ensure the restoration and

maintenance of the native flora and fauna in the Park and Refuge.

The Agreement also calls ultimately for numerical interpretation

of State Class III Water Quality criteria applicable to the Park

and Refuge, and implementation of the numerical interpretations

if they are more stringent than the long-term limits set forth in

the Agreement. At present, however, the Agreement does not

specifically translate narrative state water quality standards

into numerical form.

5.     Remedial programs. The Agreement, consistent with

existing state law, provides for two remedial programs:

"stormwater treatment areas" ("STAs") and a regulatory program.

The District and DER will implement these programs pursuant to

their existing authority under Florida law and in accordance with

statutory schedules and procedures, particularly those set forth

in the Marjory Stoneman Douglas Everglades Protection Act of

1991, Fla. Stat. Sec. 373.4592. The STAs are large, flow-through

water treatment marshes designed to treat all agricultural

drainage flowing into the Everglades. The Agreement requires the

District to design and construct approximately 35,000 acres of

STAs in the Everglades Agricultural Area ("EAA"), with provision

for additional acreage if needed to meet the long-term total

phosphorus limits. The regulatory program will require permits

 


5

for all discharges of water from the EAA, located north of the

Park and Refuge. It will also establish specific long-term

phosphorus load allocations for permit applicants. A key

component of the regulatory program will be the implementation of

a Best Management Practices ("BMP") program designed to achieve

an interim phosphorus reduction of 10% and a long-term reduction

of 25% on farms in the EAA.

6.     Research and monitoring. The Agreement establishes

a research and monitoring program, to be initiated by DER and the

District. DER and the District will be primarily responsible for

the research and monitoring program, with support from the United

States. The research program is intended to interpret

numerically the narrative state water quality standard for

nutrients, and to assess responses of the Park and Refuge

ecosystems to the nutrient levels achieved under the Agreement.

Research will also be conducted on the performance of the STAs

and the BMP program. The monitoring program is intended to track

compliance with interm and long-term phosphorus limits, to

monitor the response of the ecosystem to the phosphorus levels

actually achieved, and to provide data for research initiatives.

7.     Enforcement contingencies. The Agreement,

consistent with existing state law, establishes a schedule for

the District and DER to complete administrative actions

consistent with the terms of the Agreement, including

promulgation of a Surface Water Improvement and Management

("SWIM") Plan for the Everglades and issuance of permits for

 


6

District pump stations discharging to the Everglades. The

District and DER acknowledge their existing authority under state

law to take additional action against third parties responsible

for nutrient pollution of the Everglades if the schedule is not

met.

8.     Corps permits. In settlement of the State Parties'

counterclaims against the Corps of Engineers, the Agreement

requires the Corps to apply to DER for stormwater management

permits for several of its water delivery structures in the

Everglades. The Corps agrees to comply with reasonable permit

conditions relating to abatement of nutrient pollution in the

Everglades. In addition, the Corps will design and construct any

new structures in a manner consistent with the Agreement, and

future projects designed by the United States which affect the

Park or Refuge will consider the environmental and water quality

commitments set forth in the Agreement.

9.     Mutual cooperation. The Agreement adopts a

commitment to federal-state cooperation, with primary

responsibility for taking action under the Agreement resting with

the State. The Agreement establishes a joint Technical Oversight

Committee ("TOC") with representation of State and Federal

agencies, requires mutual technical support, and mandates

mediation prior to initiation of judicial proceedings to settle

disputes. The TOC will plan, review and recommend all research,

monitoring and compliance conducted pursuant to the Agreement.

In reviewing compliance with phosphorus limits and levels


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establish under the Agreement, TOC members will review water

quality data and make recommendations to their respective

agencies for appropriate action.

10.     Force majeure. The Agreement contains a force

majeure clause that explicitly recognizes natural disasters and

unavoidable legal barriers or restraints as uncontrollable events

that may prevent or delay commitments under the Agreement.

II. The Court Should Approve the Settlement Agreement

This lawsuit, initiated nearly three years ago, has

consumed enormous amounts of time and resources. Discovery has

included exchange of hundreds of thousands of pages of documents

and over sixty depositions. The parties' filings in connection

with United States' motion for partial summary judgment, which is

fully briefed, reveal the great extent to which the parties have

developed the factual and legal issues in this case in light of

the massive discovery to date. Negotiations, undertaken in light

of this voluminous amount of information and the highly

adversarial proceedings that dominated the first two years of

this litigation, have now resolved the contentious disputes among

the United States, the District and DER in favor of a common goal

to restore expeditiously the Everglades. Settlement of this case

on the terms outlined above will shortcut this protracted

litigation, avoid a lengthy trial, and promote this worthwhile

goal. Accordingly, the Court should approve the Settlement

Agreement.


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A. Introduction

The Settlement Agreement is presently before the Court

for a determination of whether it is fair, reasonable and

adequate. In re Smith, 926 F.2d 1027, 1029 (11th Cir. 1991);

United States v. City of Miami, 664 F.2d 435, 441 (5th Cir

1981); E.E.O.C. v. Hiram Walker & Sons, Inc., 768 F.2d 884, 889

(7th Cir. 1985), cert. denied, 478 U.S. 1004 (1986); The Court

must

examine [the Settlement Agreement] carefully
to ascertain not only that it is a fair
settlement but also that it does not put the
court's sanction on and power behind a decree
that violates Constitution, statute, or
jurisprudence. This requires a determination
that the proposal represents a reasonable
factual and legal determination based on the
facts of record, whether established by
evidence, affidavit, or stipulation. If the
decree also affects third parties, the court
must be satisfied the effect on them is
neither unreasonable nor proscribed.

City of Miami, 664 F.2d at 441; see also Howard v. McLucas, 871

F.2d 1000, 1005 (11th Cir. 1989).

The Court's discretion in determining whether to

approve or reject the Settlement Agreement is broad. EEOC v.

Hiram Walker, 768 F.2d at 889; S.E.C. v. Randolph, 736 F.2d 525,

529 (9th Cir. 1984); City of Miami, 664 F.2d at 442. The factors

relevant to approval of this type of settlement agreement include

a comparison of the strengths of plaintiffs'
case versus the ... settlement offer; the
likely complexity, length, and expense of
litigation; the amount of opposition to the
settlement among affected parties; the
opinion of competent counsel; and, the stage


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of the proceedings and the amount of
discovery already undertaken at the time of
settlement.

EEOC v. Hiram Walker, 768 F.2d at 889; see also Cotton v. Hinton,

559 F.2d 1326, 1330 (5th Cir. 1977) (court should compare

settlement terms with likely results of a successful trial, rely

on the judgment of experienced counsel, and take into account

practical considerations regarding the complexity of the

litigation and the time and expense involved). The Court must

also consider the nature of the litigation, the consistency of

the settlement with the objectives of the statutes sought to be

enforced in the litigation, and its impacts on nonsignatory

parties. City of Miami, 664 F.2d at 441. These factors must be

weighed in light of the general policy in law favoring

settlements, Cotton v. Hinton, 559 F.2d at 1331, which is

particularly forceful in this case because "government actor[s]

committed to the protection of the public interest [have] pulled

the laboring oar in constructing the proposed settlement."

United States v. Cannons Engineering Corp., 899 F.2d 79, 84 (1st

Cir. 1990); see also S.E.C. v. Randolph, 736 F. 2d at 529;

Williams v. City of New Orleans, 729 F.2d 1554, 1560 (5th Cir.

1984; In re Acushnet River & New Bedford Harbor, 712 F. Supp.

1019, 1028 (D. Mass 1989).

B.    The Settlement Agreement Is Consistent With the
        Reasonable Likely benefits of a Successful Trial

In examining the United States' chances absent

settlement, for present purposes "it is enough to consider only

what was reasonably to be expected to happen had no agreement

 


10

been made." Young v. Katz, 447 F.2d 431, 435 (5th Cir. 1971)

(quoting In re Riggi Bros. Co., 42 F.2d 174, 176 (2d Cir. 1930)).

The fairness, adequacy and reasonableness of the Agreement must

be assessed in view of "the likely benefits of a successful

trial." Cotton v. Hines, 559 F.2d at 1330.

It is not necessary in order to determine
whether an agreement of settlement and
compromise shall be approved that the court
try the case which is before it for
settlement . . . Such procedure would
emasculate the very purpose for which
settlements are made. The court is only
called upon to consider and weigh the nature
of the claim, the possible defenses, the
situation of the parties, and exercise
business judgment in determining whether the
proposed settlement is reasonable.

Young v. Katz, 447 F.2d at 435; see also Citizens for a Better

Enironment v. Gorsuch, 718 F.2d 1117, 1125-26 (D.C. Cir. 1983),

cert. denied, 467 U.S. 1219 (1984).

The most obvious factual basis for assessing the

reasonableness of the settlement is the section in the Agreement

itself describing the background to the nutrient problem in the

Everglades. Settlement Agreement at 6-8. The United States has

long contended that the defendants' own technical documents from

the last two decades, in particular the draft SWIM Plans,

establish the factual basis supporting relief under the Second

Amended Complaint. See generally Memorandum in Support of the

United States' Motion for Partial Summary Judgment. Governor

Chiles' statements in open court at the May 20, 1991, hearing,

along with the District's and DER's supplemental summary judgment

pleadings which clarified the governor's statements, also

 


11

acknowledge the extent of the nutrient problem in the Everglades.

See DER's Supplement to Its Consolidated Opposition; District's

Amended Response to the United States' Statement of Undisputed

Facts; United States' Consolidated Supplemental Reply, at 2-6.

Indeed, the factual underpinnings of the United States' case,

which are now agreed to by stipulation in the Agreement, provide

a sound basis for the actions required under the Settlement

Agreement.

The docket in this case also provides ample indication

that the Settlement Agreement provides a reasonable and

appropriate remedy. In particular, the voluminous filings in

connection with the United State's Motion for Partial Summary

Judgment present a clear picture of the straightforward factual

and legal grounds for finding that the Settlement Agreement is

consistent with the reasonably likely results of continued

litigation. Although resolution of that motion is obviated by

the Settlement Agreement, it is fully briefed and provides a

sound support for finding the Settlement Agreement reasonable.

The Court's denial of the motions to dismiss this action is an

additional significant indication that the Settlement Agreement

comports with a reasonable anticipated outcome of further

litigation.

Issues of remedy have not been briefed as thoroughly as

liability issues. However, a comparison of the District's SWIM

Plan drafts and the United States' comments on them provides a

gauge of the parties' respective positions on remedy at earlier

 


12

junctures in the litigation. See Memorandum in Support of United

States' Motion for Partial Summary Judgment, Exhibits 4-13, 80.

The terms of the Settlement Agreement are largely consistent with

the relief that the United States sought in its comments on the

SWIM Plan. Indeed, the parties to the Settlement Agreement

stipulate to the fundamental facts underlying the nutrient

problem in the Everglades, and accordingly agree that "the

actions set forth in this Agreement are necessary to halt or

prevent imbalances in natural populations of aquatic flora and

fauna and other water quality violations in the Park and Refuge."

Settlement Agreement at 8.

In addition, "[t]he relief sought in the complaint may

be helpful to establish a benchmark by which to compare the

settlement terms." Cotton v. Hinton, 559 F.2d at 1330. The

United Sates' prayer for relief in this case was for the

District and DER to be mandated to enforce all applicable water

quality standards in waters delivered to the Park and Refuge;

enjoined from delivering the Park and Refuge polluted and

contaminated water; enjoined from operating pump stations that

pollute the Park and Refuge; mandated to meet the terms of the

License Agreement and the MOA; and mandated to abate the nuisance

resulting from the discharge of nutrient-polluted water to the

Park and Refuge. The Settlement Agreement is entirely consistent

with the prayer for relief under the Second Amended Complaint.

As described above, the Settlement Agreement establishes

phosphorus limits and levels for Park and Refuge inflows,

 


13

requires programs designed to limit the introduction of nutrient-

loaded agricultural drainage into the Park and Refuge, requires

the construction of STAs to filter agricultural drainage before

it enters the Park and Refuge, and establishes a research and

monitoring program for assessing the success of remedial efforts

and continued study of water quality impacts on the Park and

Refuge.

Finally, the relief set forth in the Settlement

Agreement substantially advances the objectives of the statutes

and regulations the United States seeks in this litigation to

enforce. See City of Miami, 664 F.2d at 435 ("If the suit seeks

to enforce a statute, the decree must be consistent with the

public objectives sought to be attained ..."); Citizens for a

Better Environment v. Gorsuch, 718 F.2d at 1125. The Florida

State Water Policy provides that "[w]ater quality standards shall

be enforced pursuant to chapter 403 ... to protect waters of

the State from point and non-point sources of pollution." F.A.C.

Sec. 17-40.060(1) (1990). In addition, the policy underlying

Fla. Stat. Ch. 373 is, inter alia, "[t]o prevent damage from ...

soil erosion and excessive drainage; [t]o preserve natural

resources, fish, and wildlife; [t]o promote the public policy set

forth in [the Florida Air and Water Pollution Control Act,

Chapter 403]; [and] [t]o ...protect public lands." Fla. Stat.

Ann. Sec. 373.016(2) (1988). The Agreement promotes DER's policy

"to limit the introduction of man-induced nutrients into the

waters of the State" and the directive to give "particular


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consideration ... to the protection from nutrient enrichment of

those waters presently containing very low nutrient

concentrations: less than 0.3 milligrams per liter total nitrogen

or less than 0.04 milligrams per liter total phosphorus." F.A.C.

§17-302.300(3) (1990). Finally, the Agreement promotes the SWIM

Act's proviso that "[t]he [SFWMD] shall not divert waters to ...

the Everglades National Park [] in such a way that the state

water quality standards are violated [or] that the nutrients in

such diverted waters adversely affect indigenous vegetation

communities or wildlife ..." Fla. Stat. Ann. §373.4595(2)(a)(1)

(1988).

C.     The Settlement Agreement Does Not Abridge Third Party
        Rights

A party in a lawsuit cannot by withholding its consent

preclude other parties from withdrawing from the suit by entering

into a court-approved settlement agreement. Local Number 93, 478

U.S. at 528-29. Correlatively,

parties who choose to resolve litigation
through settlement may not dispose of the
claims of a third party, and a fortiori may
not impose duties or obligations on a third
party, without that party's agreement.

Id.; see also City of Miami, 664 F.2d at 441-42. Nor can the

Settlement Agreement bind nonconsenting parties to the

litigation. Martin v. Wilks, 490 U.S. 755, 768 (1989); United

States v. South Florida Water Management District, 922 F.2d 704,

709 (11th Cir. 1991). The Settlement Agreement in this case

neither binds nor otherwise infringes on the legally protectable

rights of third parties --most significantly, the Agricultural

 


15

Intervenors -- such that the Court should withhold its approval.

Not just any effect on a third party will warrant

disaproval of a settlement agreement. Rather, the Agreement

must be rejected only if it burdens a legally protectable

interest of a third party.

A consent decree may conceivably burden the
rights of third parties in various ways. A
decree could, for example, expressly require
the party to perform, or refrain from
performing certain acts. Alternatively, the
decree could impose no specific duties on the
third party, but rather require the third
party to comply generally with the decree's
terms or be subject to its enforcement
provisions. A consent decree would also
burden third parties if it effectively
altered specific contract rights they
possessed at the time the settlement was
given effect.

Wilder v. Bernstein, 645 F. Supp. 1292, 1318 (S.D.N.Y. 1986),

aff'd., 848 F.2d 1328 (2d Cir. 1988). See also Kirkland v. New

York State Department of Correctional Services, 711 F.2d 1117,

1127 (2d Cir. 1983), cert. denied, 465 U.S. 1005 (1984); City of

Miami, 664 F.2d at 447. The Settlement Agreement in this case

imposes no such burden on third parties.FN 2

 


16

The Agreement clearly does not expressly require the

Agricultural Intervenors, or any other entity other than the

District and DER, to comply either specifically or generally with

any term of the Agreement. Although the Settlement Agreement

undoubtedly holds the District and DER to certain requirements,

such as on-schedule attainment of phosphorus limits and levels for

the Park and Refuge and construction of minimum acres of

STAs, it does not require the State Parties to achieve those ends

by any particular means not otherwise provided for under state law.

Specifically, the Agreement does not mandate action that

will necessarily affect specific third parties, or that will

transgress existing provisions of Florida law. See Settlement

Agreement at 19-22 (describing DER and District implementation of

the Agreement through their existing statutory mandates). Thus,

although pursuant to the Agreement the District and DER may

impose requirements or burdens on third parties, the District and

DER can take such action only in accordance with their existing

authority under Florida law.

Neither does the Agreement infringe on specific

contractual or other legally-protectable rights of the

Agricultural Intervenor or other third parties. Because "the

sum of rights possessed by an intervernor, even if granted

unconditional intervention ... depends on the nature of the

 


17

intervenor's interest," Kirkland, 711 F.2d at 1126, the

appropriate right on which to focus in this regard is the

interest that the Eleventh Circuit deemed sufficient to warrant

the Agricultural Intervenors' limited intervention in this case.

The Eleventh Circuit summarized:

[T]he Farm Interests have a direct,
substantial, legally protectable interest in
participating in the development of numeric
water quality standards under state law.
Their ability to protect this interest will
be impaired if the District Court issues an
injunction specifying numeric standards for
the Water District because that injunction
will bind the Water District in
administrative proceedings, and will have at
least a stare decisis effect in subsequent
litigation.

922 F.2d at 710.

Although the Agricultural Intervenors' legally

protectable interests might have been significantly impaired as

the Court of Appeals imagined under various other outcomes to

this litigation, the Settlement Agreement does not sidestep state

procedures in establishing a process for numerically interpreting

existing enforceable narrative nutrient standards.FN 3  The

Settlement Agreement by necessity takes into account that state

administrative and judicial proceedings related to the District's


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and DER's implementation of the Agreement, in which the

Agricultural Intervenors are free to participate to the extent

Florida law provides, must run their normal course. Settlement

Agreement at 19-22, 28. In sum, the Settlement Agreement's

effect on third parties "is neither unreasonable nor proscribed."

City of Miami, 664 F.2d at 441.

D.     The United States Possesses Ample Information to
        Conclude Intelligently that the Benefits of Settlement
        Outweigh any Prospective Benefits of Lengthy, Complex,
        and Expensive Litigation

In determining whether to approve a proposed settlement

agreement, the court may inquire whether the plaintiff possesses

sufficient information make an intelligent decision to agree to

the compromise. Cotton v. Hinton, 559 F.2d 1326, 1332 (5th Cir.

1977). Relevant in this regard will be the amount of discovery

conducted by the plaintiff. See id. However, even and outright

lack of formal discovery does not itself "compel the conclusion

that insufficient discovery was conducted." Id. Instead,

"[t]he scope of the discovery to be conducted in each case rests

with the sound discretion of the trial judge." Id. At 1333.

It is beyond peradventure that the United States in

this case possesses sufficient information to decide

intelligently that the benefits of settling on the terms of the

Settlement Agreement, and avoiding the costs of continued

litigation, outweigh any benefits of continued litigation. The

United States has been litigating this case intensely for nearly

three years. To say that the issues in this case have been

vigorously contested would be and understatement--the docket in

 


19

this case contains nearly one thousand entries reflecting

vigorous contest over pleading challenges, discovery disputes,

and summary adjudication.

Further, before agreeing to the proposed settlement,

the United States conducted extensive discovery in this case.

The United States propounded interrogatories, requests for

admission and expensive requests for production of documents and

conducted over 60 depositions. In short, the United States has

made great efforts to develop its information for this case,

through formal discovery, its numerous experts and otherwise, and

to evaluate the issues in this litigation. Government litigation

counsel certainly possess sufficient information to have

intelligently concluded that the Settlement Agreement is in the

best interests of the United States.

The reasonableness of the United States' decision to

settle is even clearer given the likelihood that continued

litigation would be complex, lengthy, and expensive. Under such

circumstances, settlement is all the more favorable. See In re

Acushnet River & New Bedford Harbor, 712 F. Supp. at 1030.

Moreover, it is entirely appropriate to consider these practical

considerations in deciding whether to approve the Settlement

Agreement. Cotton v. Hines, 559 F.2d at 1330.


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E. The Settlement Agreement Deserves Substantial Deference

Several policies run in favor of according substantial

deference to the comprehensive solution that three governmental

entities have forged in the Settlement Agreement. The first is

the fundamental policy supporting resolution of complex

litigation by settlement. United States v. Cannons Engineering,

899 F.2d at 84.

Another policy, according strong deference to agency

decisionmaking, is especially strong here in that all the parties

to the Settlement Agreement are governmental agencies. Id.; SEC

v. Randolph, 736 F.2d at 529. The District and DER are

thoroughly familiar with the statutory schemes at issues in this

case, which should give the Court considerable confidence that

the substantive and procedural elements of the Agreement stand on

solid ground. Cf. Wilder v. Bernstein, 645 F. Supp. at 1339

(deference due to consent to agreement of state agencies "who

presumably are the parties most familiar with the intricacies" of

statutory scheme at issue). In addition, the federal agencies

represented in the Agreement -- in particular the National Park

Service, the Fish and Wildlife Service and the Corps of Engineers

-- collectively cover a broad range of interests. Less judicial

scrutiny of a settlement agreement is required when, as here,

governmental agencies representing a wide range of interests have

crafted it or deemed it acceptable. Williams, 729 F.2d at 1560.

Finally, the Court "is entitled to rely upon the

judgment of experienced counsel for the parties. Indeed, the


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trial judge, absent fraud, collusion, or the like, should be

hesitant to substitute its own judgment for that of counsel."

Cotton v. Hines, 559 F.2d at 1330. Here, counsel for the United

States, the District and DER have spent nearly three years

familiarizing themselves with the extensive factual issues

involved in the case. In addition, the negotiators for the

District and DER were their respective chief agency counsels,

both having a wide range of experience dealing with the complex

water management issues in South Florida. Thus, deference to the

judgment of counsel is particularly appropriate in this case.

III. Request for an Appropriate Hearing

The United States, supported by the District and DER,

seeks the Court's approval of the Settlement Agreement after an

appropriate hearing, as expeditiously as possible, bearing in

mind the Court's need to be satisfied that the settlement is

fair, adequate and reasonable.

When a District Court exercises its authority
in approving a settlement offer, it must give
comprehensive consideration to all relevant
factors and yet the settlement hearing must
not be turned into a trial or rehearsal of
the trial. ... The Court must eschew any
rubber stamp approval in favor of an
independent evaluation, yet, at the same
time, it must stop short of the detailed and
thorough investigation it would undertake if
it were actually trying the case.

City of Detroit v. Grinnell Corp., 495 F2d 448, 462-63 (2d Cir.

1974); see also United States v. Cannons Engineering Corp., 899

F.2d at 84.

Accordingly the United States suggests that while some

 


22

kind of hearing on approval of the Settlement Agreement is

appropriate, an extended evidentiary hearing is unnecessary

where, as here, discovery has been extensive, the Court has

before it an enormous amount of evidentiary material and the

relevant interests of potential objectors are extremely limited

in scope.FN 4 Rather, it is sufficient to allow any objectors with

standing to be heard to "air their objections" and present their

factual analyses without an evidentiary hearing or further

discovery. See United States v. Oregon, 913 F.2d at 582.

"[T]he test for granting a hearing 'should be

substantive: given the nature and circumstances of the case, did

the parties have a fair opportunity to present relevant facts and

arguments to the court, and to counter the opponent's

submissions?'" United States v. Cannons Engineering Corp., 899

F.2d at 94. Where "the record is adequate, and evidentiary

hearing is not required unless the objectors raise 'cogent

factual objections to the settlement.'" Malchman v. Davis, 706

F.2d 426, 434 (2d Cir. 1983) (cites omitted). Further, if the

Court has before it sufficient facts intelligently to approve the

settlement offer, "then there is no reason to hold additional

hearing on the settlement or to ... renew discovery." City of

Detroit v. Grinnell Corp., 495 F.2d at 462-63; see also United

States v. Oregon, 913 F.2d at 582 ("Familiarity of the court with

 


23

the lawsuit can be an important factor.").

A detailed discussion of potential objections to the

settlement obviously would be premature at this time. However,

it bears reiteration that by virtue of the narrow scope of their

intervention, the Agricultural Intervenors have a very limited

role to play in proceedings on approval of the settlement. The

mostly procedural issues relevant to their intervention will

require neither an evidentiary hearing nor, a fortiori, further

discovery. This limitation is especially proper given the large

amount of information relevant to this case that the Agricultural

Intervenors already possess through the counsel they share with

the Intervenor Cities and through public records requests.

Moreover, the Court's considerable familiarity with this case

after three years of litigation favors these limitations. The

incremental value that the Court might gain by holding an

evidentiary hearing or allowing further discovery is far

outweighed by the need to implement the settlement and the

benefits it holds for the Everglades without further delay.


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IV. Conclusion

For the foregoing reasons, the Court, after an

appropriate hearing, should GRANT the United States' motion for

approval of the Settlement Agreement.

 

Respectfully submitted,

BARRY M. HARTMAN
Acting Assistant Attorney General
Environment and Natural Resources
Division

DEXTER W. LEHTINEN
United States Attorney
Southern District of Florida

 

______________________
SUZAN HILL PONZOLI
(Fla. Bar No. 0272450)
RICHARD W. HARRISON
B.J. THRONE
MAUREEN DONLAN
Assistant United States Attorneys
Southern District of Florida
155 South Miami Avenue
Miami, Florida 33130
(305) 536-5477

 

________________
GEOFFREY GARVER
BEVERLY SHERMAN NASH
GARY GUZY
KEITH E. SAXE
U.S. Department of Justice
Environment and Natural Resources
Division
General Litigation Section
P.O. Box 663
Washington, D.C. 20044-0663
(202) 272-4692

 

Attorneys for Paintiff


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CERTIFICATE OF SERVICE

 

I hereby certify that a true and correct copy of the

foregoing Motion for Approval of Settlement Agreement and Order

and Request for Hearing was mailed, postage prepaid, this__15th_

day of August, 1991, to the parties on the attached certificate of

service list.

 

________________
B.J. THRONE
Assistant U.S. Attorney


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CERTIFICATE OF SERVICE LIST

David Crowley, Esq.
  & Robert Gough, Esq.
State of Florida Dept.
  of Environmental Regulation 
2600 Blair Stone Road
Tallahassee, FL 32399

 

James T.B. Trip, Esq.
Environmental Defense Fund 
257 Park Avenue South
New York, NY 10010

 

Charles C. Powers, Esq.
1801 Australian Avenue South
Suite 101
West Palm Beach, FL 33409

 


William E. Fuy, Jr., Esq.
Box 3386
55 East ocean Boulevard
Stuart, FL 34995

 

Robert Dreher, Esq.
Sierra Club Legal Defense
Fund
1531 P.Street, N.W.
Washington, DC 10005

 

David J. White, Esq.
Proenza, White, & Huck, P.A.
2900 S.W. 28th Terrace
Miami, FL 33133


David White, Esq.
National Wildlife Federation
1718 Peachtree Street, N.W.
Suite 592
Atlanta, GA 30304


Abner Coopper, Esq.
South Florida Water
Management District
3301 Fun Club Road
P.O.Box24680
West Palm beach, FL 33416

 

Thomas W. Reese, Esq.
123 Eighth Street, North
St. Petersburg, FL 33701

 


R. Benjamine Reid, Esq.
Popham, Haik, Schnobrich &
Kaufman, Ltd.
4100 One Centrust Financial
Center
100 S.E. Second Street
Miami, FL 33131

 

John E. Baker, City Attorney
City of Belle Glade
Office of city Attorney
156 Southeast Avenue E
Belle Glade, FL 33430

 

 

John A. Yaun, City Attorney
City of Clewiston
P.O. Box 756
Clewiston, FL 33440

 


Robert P. Smith, Jr., Esq.
Hopping Boyd, Green & Sams
123 So. Calhoun Street
P.O. Box 6526
Talahassee, FL 32314

 


Steven A. Herman, Esq.,
Beverly S. Nash, Esq. &
Geoffrey Garver, Esq.
Department of Justice
Environment & Natural
Resources Division
P.O. Box 63
Washington, DC 22044-0663

 

William L. Earl, Esq.
& Richard Burgess, Esq.
Peeples, Earl & Blank, P.A.
One Biscayne Tower, Ste. 3636
Two So. Biscayne Boulevard
Miami, Fl 33131

 

 

Martin Suuberg, Esq.
Office of the Solicitor Gen.
U.S. Dept. of the Interior
18th & C Street, N.W.
Rm. 6560
Washington, DC 20240

 

Terry S. Nelson
66 West Flager Street
Second Floor
Miami, Florida 33130

 

 

Terrell K. Arline
11380 Prosperity Farms Road
Sutie 204
Palm Beach Gardens, FL 33410


Dean B. Saugee, Esq.
Hobbs, Straus, Dean & Wilder
1819 H Street, N.W.
Washington, DC 20006

 

 


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Footnotes:

1. Of course, this summary in no way alters the terms of the Settlement Agreement, which speaks for itself.

2. A side issue is the extent to which the intervenors in this case must be allowed to participate in proceedings to determine whether to approve the Settlement Agreement. The Supreme Court has suggested in dictum that intervenors are entitled to participate in hearings on this type of a settlement agreement. See Local No. 93 v. City of Cleveland, 478 U.S. at 529. However, the Fifth Circuit has held that non-settling defendants who are not prejudiced by a settlement have "no standing to complain about the settlement." In re Beef Industry Antitrust Litigation, 607 F.2d 167, 172 (5th Cir. 1979), cert. denied, 452 U.S. 905 (1981). It would be consistent with the Eleventh Circuit's opinion allowing the Agricultural Intervenors into this case to limit their participation to the narrow scope of their intervention. See United States v. South Florida Water Management District, 922 F.2d at 712; see also Kirkland, 711 F.2d at 1126. Moreover, the intervenors have the burden of showing that the settlement agreement will impermissibly infringe upon their rights. Howard v. McLucas, 871 F.2d at 1004.

3. The phosphorus limits and levels contained in the Agreement are intended to approach the limits and levels that would be required to meet state water quality standards. However, the Settlement Agreement makes clear that final numerical interpretation of narrative state water quality standards will require additional research and monitoring. See Settlement Agreement at 10, 11, 15. This is entirely consistent with state law requirements. See Marjory Stoneman Douglas Everglades Protection Act, Fla. Stat. §373.4592(6)(a).

4. Indeed, the Ninth Circuit has "rejected any presumption in favor of evidentiary hearings, especially if the facts are complicated ..." United States v. Oregon, 913 F.2d 576, 582 (9th Cir. 1990).

 

 


 

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