Since their promulgation, the Secretary of the Interior has
consistently construed Executive Order No. 8979 and Public Land
Order No. 487, relating to the disposition of public lands located
in the Kenai National Moose Range in Alaska, not to bar the
issuance of oil and gas leases. His interpretation has been made a
repeated matter of public record, and a number of leases have been
developed at great expense in reliance on it. If, therefore, his
interpretation of the orders is not unreasonable, courts must
respect it. Pp.
380 U. S.
4-18.
(a) The Secretary's interpretation of Executive Order No. 8979,
which withdrew the lands covered by it from "settlement, location,
sale, or entry, or other disposition (except for fish trap sites)
under any of the public land laws applicable to Alaska," though not
the only interpretation permitted by the language of the order, is
a reasonable interpretation. Pp.
380 U. S.
19-23.
(b)
Wilbur v. United States ex rel. Barton, 60 App.D.C.
11, 46 F.2d 217 (1930),
aff'd sub nom. United States ex rel.
McLennan v. Wilbur, 283 U. S. 414,
distinguished. Pp.
380 U. S.
21-23.
(c) The reasonableness of the Secretary's interpretation of
Public Land Order No. 487 follows
a fortiori from the
reasonableness of his interpretation of Executive Order No. 8979.
P.
380 U. S. 23.
116 U.S.App.D.C. 379, 324 F.2d 411, reversed.
Page 380 U. S. 2
MR. CHIEF JUSTICE WARREN delivered the opinion of the Court.
At issue in this case is the effect of Executive Order No. 8979
and Public Land Order No. 487 upon the Secretary of the Interior's
authority to issue oil and gas leases.
Between October 15, 1954, and January 28, 1955, D. J. Griffin
and other persons -- hereinafter collectively referred to as the
Griffin lessees -- filed applications for oil and gas leases on
approximately 25,000 acres located in the Kenai National Moose
Range in Alaska. On August 14, 1958, the respondents filed offers
to lease the same lands. Section 17 of the Mineral Leasing Act of
1920 provides, in relevant part, that
"the person first making application for the lease who is
qualified to hold a lease . . . shall be entitled to a lease of
such lands without competitive bidding. . . ."
41 Stat. 443 (1920), as amended by 60 Stat. 951 (1946), 30
U.S.C. § 226 (1958 ed.). The Bureau of Land Management of the
Department of the Interior determined that the Griffin lessees were
the persons who had applied first, and issued to them leases on the
tracts, effective September 1, 1958. Respondents' applications were
reached for processing in
Page 380 U. S. 3
October, 1959, and were rejected on the ground that the lands
had been leased to prior applicants. [
Footnote 1]
From the rejection of their applications, respondents appealed
to the Director of the Bureau of Land Management and then to the
Secretary of the Interior, both of whom affirmed the decision. 68
I.D. 256 (1961). Respondents then brought an action in the nature
of mandamus, in the United States District Court for the District
of Columbia, to compel the Secretary to issue oil and gas leases to
them. The District Court granted summary judgment in favor of the
Secretary dismissing the complaint. The Court of Appeals for the
District of Columbia Circuit reversed, holding that Executive Order
No. 8979, the order creating the Moose Range in 1941, and Public
Land Order No. 487, issued by the Secretary in 1948, [
Footnote 2] had withdrawn the lands in
controversy from availability for leasing under the Mineral Leasing
Act, and that the lands remained closed to leasing until they were
reopened by a revised departmental regulation on August 14, 1958.
The court therefore held that the Griffin applications, filed while
the land was closed, were ineffective, rendering the leases issued
on them nullities; the respondents, as the persons first making
application
Page 380 U. S. 4
after the promulgation of the 1958 regulation, were held to be
entitled to the leases. 116 U.S.App.D.C. 379, 324 F.2d 411 (1963).
We granted certiorari, 376 U.S. 961.
We conclude that the District Court correctly refused to issue a
writ of mandamus, and accordingly reverse the decision of the Court
of Appeals. Since their promulgation, the Secretary has
consistently construed both orders not to bar oil and gas leases;
moreover, this interpretation has been made a repeated matter of
public record. While the Griffin leases and others located in the
Moose Range have been developed in reliance upon the Secretary"s
interpretation, respondents do not claim to have relied to their
detriment upon a contrary construction. The Secretary"s
interpretation may not be the only one permitted by the language of
the orders, but it is quite clearly a reasonable interpretation;
courts must therefore respect it.
McLaren v. Fleischer,
256 U. S. 477,
256 U. S. 481;
Bowles v. Seminole Rock Co., 325 U.
S. 410,
325 U. S.
413-414.
I
The Mineral Leasing Act of 1920, 41 Stat. 437, 30 U.S.C. § 181
et seq. (1958 ed.), gave the Secretary of the Interior
broad power to issue oil and gas leases on public lands not within
any known geological structure of a producing oil and gas field.
Although the Act directed that if a lease was issued on such a
tract, it had to be issued to the first qualified applicant, it
left the Secretary discretion to refuse to issue any lease at all
on a given tract.
United States ex rel. McLennan v.
Wilbur, 283 U. S. 414. The
Act excluded from its application certain designated lands,
[
Footnote 3] but did not
exclude lands within wildlife refuge areas.
Page 380 U. S. 5
The Kenai National Moose Range was created in 1941 by Executive
Order No. 8979, 6 Fed.Reg. 6471, by which approximately two million
acres of the public domain were set aside "as a refuge and breeding
ground for moose." The order provided that
"(n)one of the above-described lands excepting (a defined area)
shall be subject to settlement, location, sale, or entry, or other
disposition (except for fish trap sites) under any of the
public-land laws applicable to Alaska. . . ."
On November 8, 1947, the Secretary promulgated the first general
regulation dealing with the issuance of oil and gas leases within
wildlife refuges. It provided simply that such leases had to be
subjected to an approved unit plan and contain a provision
prohibiting drilling or prospecting without the advance consent of
the Secretary. 12 Fed.Reg. 7334.
On June 16, 1948, the Secretary issued Public Land Order No.
487, 13 Fed.Reg. 3462:
"[T]he public lands within the following-described areas in
Alaska [including most of that portion of the Moose Range which had
been excepted from Executive Order No. 8979] are hereby temporarily
withdrawn from settlement, location, sale or entry, for
classification and examination, and in aid of proposed
legislation:"
"
* * * *"
"This order shall take precedence over, but shall not modify . .
. the reservation for the Kenai National
Page 380 U. S. 6
Moose Range made by Executive Order No. 8979 of December 16,
1941. . . ."
Thus, neither Executive Order No. 8979 nor Public Land Order No.
487 expressly withdrew the lands to which it applied from oil and
gas leasing. In 1951, however, the Secretary set aside, for uses
inconsistent with mineral leasing, minor portions of the lands
covered by Public Land Order No. 487:
"[T]he following-described public lands in Alaska are hereby
withdrawn from all forms of appropriation under the public land
laws, including the mining laws and the mineral leasing laws. . . .
[
Footnote 4]"
Had the Secretary thought that Public Land Order No. 487 had
already withdrawn the lands covered by it from appropriation under
the mineral leasing laws, his reference to such laws in the 1951
orders would have been superfluous.
By an intra-agency memorandum dated August 31, 1953, the
Director of the Bureau of Land Management advised the Regional
Administrators of the Bureau and managers of the local land offices
that "a possible revision of policy and regulations" on leasing in
wildlife refuges was being studied, and directed them that,
"[p]ending the completion of this study and the possible
revision of existing regulations, you will suspend action on all
pending oil and gas lease offers and applications for lands within
such refuges."
It is not disputed, and subsequent memoranda make clear, that
the 1953 memorandum did not purport to prevent either the issuance
of leases with
Page 380 U. S. 7
the approval of the national office or the continued filing of
lease offers. [
Footnote 5]
During late 1954 and early 1955, a number of individuals filed
applications for oil and gas leases in the northern half of the
Moose Range; among these applications were those of the Griffin
lessees. Action on them was suspended in accordance with the 1953
directive, but none was rejected on the ground that the land in
question was closed to leasing. [
Footnote 6]
On September 9, 1955, the Secretary issued Public Land Order No.
1212, 20 Fed.Reg. 6795, revoking in its entirety Public Land Order
No. 487. After granting certain preferences, it provided:
"6. Any of the lands described in paragraphs 4(a), 4(b) or 4(d)
of this order then remaining unappropriated,
shall become
subject to such application, petition, selection, or other
form of appropriation by the public generally as may be authorized
by the public land laws,
including the mineral leasing
laws. . . ."
"7. Commencing at 10:00 a.m. on the 182nd day after the date of
this order, any of the unsurveyed lands described in paragraph 4(c)
not settled upon by veterans or other persons entitled to
credit
Page 380 U. S. 8
for service
shall become subject to settlement and
other forms of appropriation by the public generally,
including
leasing under the mineral leasing laws. . . ."
(Emphasis added.) Respondents make much of the italicized
language, which does appear to be inconsistent with the
Department's prior interpretation of Public Land Order No. 487 and
its actual leasing practices. However, on October 14, 1955 -- 35
days after it was promulgated but before it went into effect, and
years before the respondents entered the picture -- Public Land
Order No. 1212 was amended to delete the references to the mineral
leasing laws. 20 Fed.Reg. 7904.
On December 8, 1955, the anticipated revision of the 1947 refuge
leasing regulation was promulgated. 20 Fed.Reg. 9009. It was more
restrictive than the old regulation, and gave increased power to
the Fish and Wildlife Service to approve or disapprove oil and gas
development of refuges. It listed in an Appendix A a number of
refuges (not including Kenai) in which, because of their importance
to the preservation of rare species of plant and animal life, no
leasing at all would be permitted. In Appendix B, it listed certain
areas (including a small part of the Moose Range not involved
here)
"with respect to which the Fish and Wildlife Service reports
that oil and gas development might seriously impair or destroy the
usefulness of the lands for wildlife conservation purposes. . .
."
In such Appendix B areas, leasing was to be permitted only upon
the approval by the Director of the Fish and Wildlife Service of "a
complete and detailed operating program for the area." In all other
wildlife areas, the regulation provided that "[o]il and gas leases
may be issued" provided they contain specified conditions requiring
approval by the Fish and Wildlife Service of the type of
prospecting to be conducted, and adoption by the
Page 380 U. S. 9
lessee of a unit plan approved by the Service. Respondents argue
that, even if it be assumed that (as is clearly the case) the 1955
regulation treated the lands in controversy as open to leasing, the
regulation is not probative of the availability of the lands for
leasing
prior to 1955, and is therefore no evidence that
the Secretary viewed the lands as open to leasing at the time the
Griffin applications were filed. We think, however, that if the
Secretary had been of the opinion that he was changing to status of
that part of the Moose Range not covered by Appendix B, rather than
merely imposing additional restrictions on leasing therein, he
would have done so in terms more express than those used in the
1955 regulation. He did not refer to the Range as a whole; the only
reference by name was to those parts of the Range which were
specified in order to
except them from the general
provision that "[o]il and gas leases may be issued" in wildlife
refuges. Though this specification supports the inference that the
regulation was drafted on the assumption that the remainder of the
Range was open to leasing, such indirect implication -- however
clearly it confirms the preexisting availability of the Range --
would have been a technique inappropriate for effecting a
change of the Range's status. Moreover, the President's
1952 delegation to the Secretary of power to make or modify
withdrawals had directed that
"[a]ll orders issued by the Secretary of the Interior under the
authority of this order
shall be designated as public land
orders and shall be submitted . . . for filing and for
publication in the FEDERAL REGISTER."
Executive Order No. 10355, 17 Fed.Reg. 4831 (emphasis added). It
may be that a document not labeled a public land order could in
legal effect constitute an exercise of that power; however, if the
Secretary had meant to exercise such power, it is likely that he
would
Page 380 U. S. 10
have done so in the manner directed by the President's
delegation. [
Footnote 7]
When bills were introduced in Congress early in 1956 to restrict
oil and gas leasing in wildlife refuges, the House Committee on
Merchant Marine and Fisheries and the Subcommittee on Merchant
Marine and Fisheries of the Senate Committee on Interstate and
Foreign Commerce held extensive hearings thereon. The bills as
introduced only forbade the Secretary to "dispose of" lands in
wildlife refuges, and the question arose during the hearings
whether that language would apply to the issuance of oil and gas
leases. A representative of the Department asserted, without
contradiction, that the granting of an oil and gas lease was not a
"disposition," and would not be affected by the language as
proposed. Hearings before the House Committee on Merchant Marine
and Fisheries on H.R. 5306, etc., 84th Cong., 2d Sess., p. 98. An
amendment was accordingly proposed specifically restricting oil and
gas leasing. Neither committee reported
Page 380 U. S. 11
favorably on the bills. However, the House Committee submitted a
report stating that it had been decided to try, for an experimental
period of time, an arrangement whereby each proposed alienation or
relinquishment of any interest the Fish and Wildlife Service had in
lands under its jurisdiction would be submitted to the Committee,
which would within 60 days approve or disapprove the action
contemplated. H.R.Rep.No. 1941, 84th Cong., 2d Sess., pp. 12-13.
This resolution of the issue suggests that the Committee accepted
the Department's view that the Secretary had preexisting authority
to grant oil and gas leases in the Moose Range, and was concerned
only with the way in which he exercised his discretion.
Pursuant to the agreement, the House Committee on Merchant
Marine and Fisheries held public hearings on July 20 and 25, 1956,
on a proposal from the Fish and Wildlife Service for the issuance
of 30 oil and gas leases on 71,680 acres in the northern half of
the Moose Range -- located within the area encompassed by Executive
Order No. 8979 -- for which lease applications had been filed in
1954 by
amicus curiae Richfield Oil Corporation and
others. The proposal contemplated that the leases would be subject
to the Swanson River Unit plan of operation, which had been
approved by the Bureau of Land Management, the Geological Survey
and the Fish and Wildlife Service, all branches of the Department
of the Interior. At the hearing on the proposal, a spokesman for
the National Wildlife Federation urged that Executive Order No.
8979 precluded the issuance of the leases. Transcript of Hearings
before the House Committee on Merchant Marine and Fisheries, July
20 and 25, 1956, Lease of Portions of Kenai National Moose Range,
pp. 17, 19, 24-26.
But see id., pp. 35-36; letter, July
24, 1956, Deputy Solicitor, Department of the Interior, to Hon. E.
L.
Page 380 U. S. 12
Bartlett, Delegate to Congress from Alaska, following
id., p. 30. On July 25, 1956, however, the Committee's
Chairman advised the Director of the Fish and Wildlife Service that
the Committee unanimously had concluded that issuance of the leases
would not be detrimental to the wildlife values of the Moose Range,
and had concurred in the proposal to issue the leases. [
Footnote 8]
Following the Committee's approval the leases were issued, an
exploratory well was drilled and oil was discovered in commercial
quantities in July, 1957.
See Rep.Alaska Gov. 88 (1957);
Rep.Secy.Int. 356 (1957); Rep.Secy.Int. 104, 199, 258, 356 (1958).
The Swanson River leases soon became again a subject of
congressional concern, when the Secretary of the Interior --
realizing that although he had authority to issue leases on dry
land, he lacked such authority with respect to lands beneath
Alaskan inland navigable waters -- asked Congress for authority to
issue leases on Alaskan water bottoms, and to add to the leases
already issued in Alaska and to applications pending there the
water bottoms within their
Page 380 U. S. 13
boundaries. [
Footnote 9] The
Senate Committee reported favorably on the proposed bill,
saying:
"In Alaska, there is at the present time only one area which is
now subject to the Mineral Leasing Act where oil and gas is known
to exist in paying quantities, this being on the Kenai Peninsula,
as previously described. If, prior to the effective date of this
act, the producing structure on the Kenai is defined, then the
holders of upland leases in such areas might be forced to compete
for areas beneath adjacent lakes and streams. The committee felt
that this result would work to the disadvantage of those lessees
and developers who have gone ahead and developed this area. . .
."
S.Rep. No. 1720, 85th Cong., 2d Sess., p. 5. The bill was
subsequently enacted into law. 72 Stat. 322 (1958), 48 U.S.C. § 456
and 30 U.S.C. § 251 (1958 ed.).
Meanwhile, the controversy over the leasing policies to be
followed in wildlife refuges was resolved by the adoption, on
January 8, 1958, of another complete revision of the regulation. 23
Fed.Reg. 227, 43 CFR § 192.9. The revision represented a near-total
victory for the conservationists. It altogether prohibited oil and
gas leasing, unless necessary to prevent draining, in
Page 380 U. S. 14
wildlife refuges -- with two exceptions: lands withdrawn for a
dual purpose and wildlife refuges located in Alaska. As to lands
falling within these two excepted categories, the Bureau of Land
Management and the Fish and Wildlife Service were to reach
agreements specifying the lands which "shall not be subject to oil
and gas leasing," and to decide on provisions to be required in
leases issued on the remaining lands. The agreements were to become
effective upon approval by the Secretary and publication in the
Federal Register. The regulation further provided that
"[a]ll pending offers or applications heretofore filed for oil
and gas leases covering game ranges, coordination lands, and Alaska
wildlife areas will continue to be suspended until the agreements
referred to . . . shall have been completed,"
and that no new lease applications would "be accepted for filing
until the tenth day after the agreements . . . are noted on the
land office records."
Pursuant to the regulation, there was published in the Federal
Register on August 2, 1958, on order of the Secretary announcing
the agreement reached with respect to the Moose Range. 23 Fed.Reg.
5883. The order decreed that certain lands within the Range
(essentially the southern half) "are hereby closed to oil and gas
leasing because such activities would be incompatible with
management thereof for wildlife purposes." It then provided:
"The balance of the lands within the Kenai National Moose Range
are subject to the filing of oil and gas lease offers. . . . Offers
to lease covering any of these lands which have been pending and
upon which action was suspended in accordance with the regulation
43 CFR 192.9(d) will now be acted upon and adjudicated in
accordance with the regulations."
"
* * * *
Page 380 U. S.
15
"
". . . [L]ease offers for lands which have not been excluded
from leasing will not be accepted for filing until the tenth day
after the agreement and map are noted on the records of the land
office. . . . [
Footnote
10]"
The agreement was noted in the Anchorage land office on August
4, 1958, and 10 days later, respondents filed their
applications.
Soon after the issuance of the regulation and the implementing
order, the pending applications were acted upon; within the next
two months, 294 leases covering 621,234 acres were issued in the
area subject to Executive Order No. 8979, in response to
applications (including those of the Griffin lessees) filed in 1954
and 1955. When these figures are added to those covering leases
issued prior to 1958 (primarily those in the Swanson River area),
it appears that in the area subject to Executive Order No. 8979,
the Secretary issued a total of 331 leases covering 696,680 acres
on applications filed during the period the Court of Appeals held
that the area was closed to leasing. Thus, prior to the
commencement of the instant suit, the Secretary had leased
substantially the entire area
Page 380 U. S. 16
in controversy; [
Footnote
11] the Solicitor General further assures us that the lessees
and their assignees had, in turn, expended tens of millions of
dollars in the development of the leases.
II
When faced with a problem of statutory construction, this Court
shows great deference to the interpretation given the statute by
the officers or agency charged with its administration.
"To sustain the Commission's application of this statutory term,
we need not find that its construction is the only reasonable one
or even that it is the result we would have reached had the
question arisen in the first instance in judicial proceedings."
Unemployment Comm's of Territory of Alaska v. Aragon,
329 U. S. 143,
329 U. S. 153.
See also e.g., Gray v. Powell, 314 U.
S. 402;
Universal Battery Co. v. United States,
281 U. S. 580,
281 U. S.
583.
"Particularly is this respect due when the administrative
practice at stake 'involves a contemporaneous construction of a
statute by the men charged with the responsibility of setting its
machinery in motion; of making the parts work efficiently and
smoothly while they are yet untried and new.'"
Power Reactor Development Co., v. International Union of
Electricians, 367 U. S. 396,
367 U. S. 408.
When the construction of an administrative regulation, rather than
a statute, is in issue, deference is even more clearly in
order.
"Since this involves an interpretation of an administrative
regulation, a court must necessarily look to the administrative
construction of the regulation if the meaning of the words used is
in doubt. . . . [T]he ultimate criterion is the administrative
interpretation, which becomes of controlling weight unless
Page 380 U. S. 17
it is plainly erroneous or inconsistent with the
regulation."
Bowles v. Seminole Rock Co., 325 U.
S. 410,
325 U. S.
413-414. In the instant case, there is no statutory
limitation involved. While Executive Order No. 8979 was issued by
the President, he soon delegated to the Secretary full power to
withdraw lands or to modify or revoke any existing withdrawals.
See Executive Order No. 9146, 7 Fed.Reg. 3067; Executive
Order No. 9337, 8 Fed.Reg. 5516; Executive Order No. 10355, 17
Fed.Reg. 4831. Public Land Order No. 487 was issued by the
Secretary himself.
Moreover, as the discussion in
380 U. S. the
Secretary has consistently construed Executive Order No. 8979 and
Public Land Order No. 487 not to bar oil and gas leases.
"It may be argued that, while these facts and rulings prove a
usage, they do not establish its validity. But government is a
practical affair, intended for practical men. Both officers,
lawmakers, and citizens naturally adjust themselves to any
long-continued action of the Executive Department, on the
presumption that unauthorized acts would not have been allowed to
be so often repeated as to crystallize into a regular practice.
That presumption is not reasoning in a circle, but the basis of a
wise and quieting rule that, in determining the meaning of a
statute or the existence of a power, weight shall be given to the
usage itself -- even when the validity of the practice is the
subject of investigation."
United States v. Midwest Oil Co., 236 U.
S. 459,
236 U. S.
472-473. The Secretary's interpretation had, long prior
to respondents' applications, been a matter of public record and
discussion. The agreement worked out with the House Committee on
Merchant Marine and Fisheries in 1956, and the approval of the
Swanson River leases pursuant thereto,
Page 380 U. S. 18
though probably constituting no "legislative ratification" in
any formal sense, [
Footnote
12] serve to demonstrate the notoriety of the Secretary's
construction, and thereby defeat any possible claim of detrimental
reliance upon another interpretation. Finally, almost the entire
area covered by the orders in issue has been developed, at very
great expense, in reliance upon the Secretary's interpretation. In
McLaren v. Fleischer, 256 U. S. 477,
256 U. S.
480-481, it was held:
"In the practical administration of the act, the officers of the
land department have adopted and given effect to the latter view.
They adopted it before the present controversy arose or was thought
of, and, except for a departure soon reconsidered and corrected,
they have adhered to and follow it ever since. Many outstanding
titles are based upon it, and much can be said in support of it. If
not the only reasonable construction of the act, it is at least an
admissible one. It therefore comes within the rule that the
practical construction given to an act of Congress fairly
susceptible of different constructions by those charged with the
duty of executing it is entitled to great respect, and, if acted
upon for a number of years, will not be disturbed except for cogent
reasons."
If, therefore, the Secretary's interpretation is not
unreasonable, if the language of the orders bears his construction,
we must reverse the decision of the Court of Appeals. [
Footnote 13]
Page 380 U. S. 19
III
Executive Order No. 8979, 6 Fed.Reg. 6471, provided:
"None of the above-described lands excepting [a described area]
shall be subject to settlement, location, sale, or entry, or other
disposition (except for fish trap sites) under any of the public
land laws applicable to Alaska, or to classification and lease
under the provisions of the act of July 3, 1926, entitled 'An Act
to provide for the leasing of public lands in Alaska for fur
farming, and for other purposes,' 44 Stat. 821, U.S.C., title 48,
secs. 360-361, or the Act of March 4, 1927, entitled 'An Act to
provide for the protection, development, and utilization of the
public lands in Alaska by establishing an adequate system for
grazing livestock thereon', 44 Stat. 1452, U.S.C., title 48, secs.
471-471o. . . ."
"Settlement," "location," "sale" and "entry" are all terms
contemplating transfer of title to the lands in question. It was
therefore reasonable for the Secretary to construe "or other
disposition" to encompass only dispositions which, like the four
enumerated, convey or lead to the conveyance of the title of the
United States -- for example, "grants" and "allotments."
Cf. Opinion of the Solicitor, 48 I.D. 459 (1921).
[
Footnote 14] An oil and gas
lease does not vest title to the lands in the lessee.
See
Boesche v. Udall, 373 U. S. 472,
373 U. S.
477-478. Moreover, the term "public land laws" is
ordinarily used to refer to statutes governing the alienation of
public land, and generally is distinguished from both "mining
laws," referring to statutes governing the mining of hard minerals
on public lands, and "mineral leasing laws," a term used to
designate that group of statutes governing the leasing of
public
Page 380 U. S. 20
lands for gas and oil.
Compare Title 43 U.S.C., Public
Lands,
with Title 30 U.S.C., Mineral Lands and Mining.
[
Footnote 15]
The reference in Executive Order No. 8979 to the 1926 and 1927
statutes also lends support to the Secretary's interpretation. For
both statutes relate to leasing, rather than alienation of title;
it would be reasonable to infer from their specific addition that
"disposition" was not intended to encompass leasing. [
Footnote 16] The Secretary also
might reasonably have been influenced by a belief that in view of
his overriding discretionary authority to refuse to issue an oil
and gas lease on a given tract whenever he thought that granting a
lease would undercut the purposes of the withdrawal, inclusion of
such leases in the withdrawal order would have been unnecessary.
Cf. Haley v. Seaton, 108 U.S.App.D.C. 257, 281 F.2d 620
(1960).
Page 380 U. S. 21
Respondents' reliance upon
Wilbur v. United States ex rel.
Barton, 60 App.D.C. 11, 46 F.2d 217 (1930),
aff'd sub nom.
United States ex rel. McLennan v. Wilbur, 283 U.
S. 414, is misplaced. Involved in
Wilbur was
the meaning of language contained in the Pickett Act, 36 Stat. 847
(1910), 43 U.S.C. § 141 (1958 ed.).
"[T]he President may, at any time in his discretion, temporarily
withdraw from settlement, location, sale, or entry any of the
public lands of the United States including the District of Alaska.
. . ."
It is true that the Court of Appeals for the District of
Columbia Circuit squarely held this language to be sufficient to
authorize withdrawals from oil and gas leasing. Moreover, this
Court affirmed, albeit on an alternative theory: that the Mineral
Leasing Act merely authorized, and did not compel, the issuance of
prospecting permits. 283 U.S. at
283 U. S. 419.
However, a word of history will place
Wilbur in context,
and thereby demonstrate its irrelevance to the problem here. Prior
to 1920, oil and gas rights in public lands were acquired in the
same way as rights in other minerals -- by a form of "location."
One staked out a location and prospected for oil or other minerals;
upon making a discovery, he became entitled to a patent to the
land, as well as the minerals. In 1909, responding to rapid reserve
depletion in certain areas, the Interior Department issued an order
pursuant to Presidential authorization:
"In aid of proposed legislation affecting the use and
disposition of the petroleum deposits on the public domain, all
public lands in [a defined area of over 3 million acres in
California and Wyoming] are hereby temporarily withdrawn from all
forms of location, settlement, selection, filing, entry, or
disposal under the mineral or nonmineral public land
Page 380 U. S. 22
laws. . . ."
U.S. Geological Survey, Bull. 623, H.R.Doc. No. 868, 64th Cong.,
1st Sess., 135 (1916); quoted, 236 U.S. at
236 U. S.
467.
The power of the executive to make the withdrawal was upheld by
this Court in 1915 in
United States v. Midwest Oil Co.,
236 U. S. 459. In
the meantime, however, Congress had, pursuant to the President's
request, sought to remove all doubts about the legality of such
orders by granting to him, in the Pickett Act, discretionary
authority to withdraw public lands from "settlement, location,
sale, or entry."
The Mineral Leasing Act of 1920 changed the procedure for
acquiring oil and gas rights in public lands: the Secretary was
empowered to issue prospecting permits and required, in the event a
discovery was made under the permit, to issue a lease which
entitled the lessee to extract the mineral, but gave him no right
in the land itself. [
Footnote
17] From 1920 on, therefore, the language of the Pickett Act no
longer technically encompassed leasing. Nonetheless, it was clear
that the Act had been specifically designed to legitimize orders
like the 1909 withdrawal order. The Court of Appeals reasonably
concluded in
Wilbur that the fact that Congress had in
1920 changed the procedure -- from "location" to "leasing" -- for
acquisition of oil and gas rights afforded no reason for concluding
that they had thereby intended to cut back the power granted in
1910. 60 App.D.C. at 14-15, 46 F.2d at 220-221. Thus, neither that
holding by the Court of Appeals nor this Court's affirmance in any
way casts doubt upon the reasonableness of the Secretary's
interpretation of the orders at bar, which were drafted long after
the Mineral Leasing
Page 380 U. S. 23
Act had done away with location as a means of acquiring oil and
gas rights.
The placement of the fish trap exception -- "(except for fish
trap sites)" -- a phrase admittedly not relating to alienation of
title to land, does tend to cut against the Secretary's
interpretation of Executive Order No. 8979. However, it appears
that the exception was designed to assure the Alaskans, whose
livelihood is largely dependent on the salmon catch, that they
could continue -- despite the order -- to use fish traps.
Cf.
Organized Village of Kake v. Egan, 369 U. S.
60. Since it was a reassurance not technically
necessary, and therefore not functionally related to any part of
the regulation, it is no surprise to find it carelessly placed.
Compare Executive Order No. 8857, 6 Fed.Reg. 4287,
establishing the Kodiak National Wildlife Refuge. We do not think
the position of the fish trap exception is sufficient to justify a
court's overturning the Secretary's construction as
unreasonable.
Public Land Order No. 487 withdrew the lands it covered from
"settlement, location, sale or entry," but contained no reference
to "other disposition." Nor did it contain anything analogous to
the fish trap exception. The reasonableness of the Secretary's
interpretation of Public Land Order No. 487 therefore follows
a
fortiori from the reasonableness of his construction of
Executive Order No. 8979.
Reversed.
MR. JUSTICE DOUGLAS and MR. JUSTICE HARLAN took no part in the
decision of this case.
[
Footnote 1]
Lease offers are processed in the order of filing and a lease on
a given tract is issued as soon as an acceptable offer is reached.
In the instant case, the Secretary's order of August 2, 1958, 23
Fed.Reg. 5883, directed that all lease offers filed within 10 days
of August 14, 1958, would be treated as simultaneously filed, and
that a public drawing would be held to determine the priorities
among them.
See 43 CFR § 295.8 (1964). The drawing was
held on September 4, 1959, and respondents prevailed. Thus, their
offers were processed before all other offers filed between August
14 and August 24, 1958; upon processing, however, it was discovered
that the land was already covered by the leases issued to the
Griffin lessees.
[
Footnote 2]
Public Land Order No. 487 encompassed the land for which
respondent Coyle applied; the land for which the other nine
respondents filed is covered by Executive Order No. 8979.
[
Footnote 3]
Section 1 of the Act excludes
"lands acquired under the Act known as the Appalachian Forest
Act, approved March 1, 1911 (36 Stat. 961), and those in
incorporated cities, towns, and villages and in national parks and
monuments, those acquired under other Acts subsequent to February
25, 1920, and lands within the naval petroleum and oil-shale
reserves, except as hereinafter provided. . . ."
41 Stat. 437-438 (1920), as amended, 60 Stat. 950 (1946), 30
U.S.C. § 181 (1958 ed.).
[
Footnote 4]
See Public Land Order No. 751 of August 29, 1951, 16
Fed.Reg. 9044, which withdrew 160 acres for the Civil Aeronautics
Administration, and 88.86 acres for townsite purposes, and Public
Land Order No. 778 of December 29, 1951, 17 Fed.Reg. 159, which
withdrew a number of tracts, aggregating 4,280 acres, for the use
of the Army.
[
Footnote 5]
See memorandum, February 15, 1954, Director, Bureau of
Land Management, to Assistant Secretary of the Interior;
memorandum, August 12, 1955, Director, Bureau of Land Management,
to Area Administrator, Area 4 (Alaska); 102 Cong.Rec. A6582.
[
Footnote 6]
In his report for the fiscal year ending June 30, 1955, the
Governor of Alaska stated:
"Residents of Alaska and major oil companies have continued to
file lease applications and send exploratory parties into various
parts of the Territory. The Kenai Moose Reserve on the Kenai
Peninsula is covered with 325 lease applications awaiting decision
of the Secretary of the Interior as to what stipulations for the
protection of wildlife should be inserted in leases, if they are
issued."
Rep.Alaska Gov. 60-61 (1955);
see also Rep.Secy.Int. 65
(1953).
[
Footnote 7]
It appears that the Bureau regarded the amended regulations as
automatically vacating the 1953 suspension order; however, upon the
almost immediate introduction in Congress of bills further to
restrict leasing in wildlife refuges, the field offices were
directed once again to withhold final action on lease applications.
See Richard K. Todd et al., 68 I.D. 291, 298 (1961).
In further support of the claim that the 1955 regulation is
worthless as an indication of the preexisting status of the lands
covered thereby, respondents urge that Appendix B listed "wildlife
refuges which were closed by the terms of the orders creating
them." However, of the 176 refuges listed in Appendix B,
respondents point to only one -- the Salt Plains in Oklahoma.
Moreover, only a small part of the Salt Plains (543 acres out of
over 30,000) was specifically withdrawn from appropriation under
the mining and mineral leasing laws. Public Land Order No. 144, 8
Fed.Reg. 9430. It is therefore doubtful that a simple listing in
Appendix B of the "Salt Plains," large parts of which were
admittedly open to leasing prior to 1955, was intended to open the
small area closed by Public Land Order No. 144.
[
Footnote 8]
Respondents seeks to capitalize on the fact that, although the
Swanson River Unit was not located in any of the areas designated
in Appendix B of the 1955 regulation, the applicants submitted, and
obtained Service approval of, a detailed operating program for the
unit. There are at least two possible explanations for the
submission of the plan. First, the Fish and Wildlife Service could
at any time designate areas not listed in Appendix B in which
leasing "might seriously impair or destroy" conservation purposes
and accordingly require advance approval of operating programs for
them. Submission of a plan as to the Swanson River Unit might have
been regarded as a means of insuring that the Service would not so
designate the area. Second, the Secretary had directed his
subordinates to withhold final action on lease applications pending
a further revision of the regulations. The applicants may have
submitted the plan in order to persuade the Department and the
House Committee that the proposed leasing was consistent not only
with existing regulations, but also with any that were likely to be
adopted.
[
Footnote 9]
In the hearings before the Senate Committee on Interior and
Insular Affairs on the proposed bill, Mr. Gordon Goodwin, attorney
for
amicus curiae Richfield Oil Corporation,
testified:
"Well, we have pending, and have had for 2 or 3 or more years,
applications for leases in the Kenai moose range, and a few leases
were issued in there, and that is where the discovery was made.
But, shortly after that time, the Secretary suspended all leasing
in the moose range . . . , and he has never lifted it yet. . . . So
we have not been able to do much business up there except to a very
limited extent."
Hearings before the Senate Committee on Interior and Insular
Affairs on H.R. 8054, 85th Cong., 2d Sess., p. 77.
[
Footnote 10]
In announcing the order, the Secretary warned that there would
be little land available to new applicants: "Most of these lands
are now covered by applications that will be adjudicated under the
regulations of the Department." Department of the Interior Press
Release, July 25, 1958.
Respondents point to the fact that in a Press Release dated
January 29, 1958, announcing the forthcoming (August) order, the
Secretary had indicated that he was "opening" a part of the Moose
Range to leasing. The choice of this term is wholly understandable
in view of the facts that general instructions to local offices not
to take final action on lease applications had been outstanding
since 1953, and that the regulations of January 8, 1958, had
provided that no new applications would be accepted for filing
until a subsequent order was issued specifying the lands which
would not be subject to leasing. Therefore, the order of August 2,
1958, did, in these two senses, "open" the Range to leasing.
[
Footnote 11]
In the area excepted from Executive Order No. 8979 but
encompassed by Public Land Order No. 487, the total number of
leases issued on applications filed before the revocation of the
latter order was 74, covering 116,878 acres.
[
Footnote 12]
See Ex parte Endo, 323 U. S. 283,
323 U. S. 303,
n. 24;
Boesche v. Udall, 373 U. S. 472,
373 U. S.
482-483;
cf. Peters v. Hobby, 349 U.
S. 331,
349 U. S. 345;
but cf. Brooks v. Dewar, 313 U. S. 354,
313 U. S.
360-361.
[
Footnote 13]
The failure of the court below to attach proper significance to
the administrative practice seems to be attributable to the fact
that it was misinformed concerning that practice. The respondents'
brief in the Court of Appeals stated that "(n)o leases issued for
any lands within the Kenai Range between 1941 and 1958" (p. 30),
and that "(t)he discovery as well as the increased activity were in
areas of the Peninsula outside of the Kenai National Moose Range"
(p. 40).
[
Footnote 14]
This view is taken in Hoffman, Oil and Gas Leasing on the Public
Domain, p. 33 (1951).
[
Footnote 15]
Reference to the language of other withdrawal orders is not very
fruitful.
Amici curiae list 173 Executive and Public Land
Orders issued between 1940 and 1952 which contained language
expressly barring mineral leasing. Brief for Marathon Oil Co. and
Union Oil Co. of California as
amici curiae, pp. 6A-7A.
However, respondents list 146 orders issued between 1936 and 1959
expressly permitting mineral leasing. Brief for Respondents, pp.
7a-10a.
[
Footnote 16]
The Court of Appeals sought to explain the reference to the 1926
and 1927 Acts by construing the phrase "any of the public land laws
applicable to Alaska" to mean laws applicable both throughout the
country and in Alaska, and opined that the 1926 and 1927 Acts were
specifically added because they had application only in Alaska.
However, the Secretary's interpretation of "any of the public land
laws applicable to Alaska" (as including,
inter alia, laws
relating to public lands located only in Alaska) is at least as
natural as the Court of Appeals' interpretation (limiting the
phrase to laws applicable throughout the country), and is beyond
cavil a "reasonable" interpretation, which is the test the Court of
Appeals should have been applying. Moreover, the Court of Appeals'
conclusion that "disposition" was meant to include leasing renders
the words "or to classification and lease," initiating the
reference to the Acts of 1926 and 1927, superfluous.
[
Footnote 17]
In 1935, the prospecting permit procedure was eliminated, and
the present direct leasing procedure substituted. Act of August 21,
1935, 49 Stat. 676-677, 30 U.S.C. §§ 223, 226 (1958 ed.).