ZELDIN Act

Overview

• Bill: H.R. 8440 (119th Congress) | Title: ZELDIN Act (Zealously Eliminating Legal Decisions of Ineptitude and Negligence Act)
• Prime sponsor: Rep. Troy Carter (with Rep. Lizzie Fletcher as co-sponsor)
• Purpose: Require congressional approval before the EPA can dismiss EPA-initiated lawsuits or withdraw DOJ referrals related to claims about the release of certain carcinogens. The bill also addresses related EPA grant terminations, regulatory procedures, and certain penalties and sunset provisions.

Main purpose and intent

• Create a congressional check on EPA actions that dismiss lawsuits or withdraw referrals concerning claims that involve releasing carcinogens identified as likely or known human carcinogens by an EPA assessment (Integrated Risk Information System).
• Establish procedural steps to obtain a joint congressional resolution of approval before such dismissals or withdrawals can take place.
• Extend to related EPA grant/cooperative agreement terminations, ensuring compliance with internal guidance, and preserve obligations under grants pending court actions.
• Provide for judicial remedies, penalties, and procedural codifications of EPA rulemaking processes, with a sunset clause.

Key provisions and changes

1. Mandatory congressional approval for dismissals/withdrawals (Section 2)

   • EPA Administrator may dismiss an EPA-initiated lawsuit or withdraw a DOJ referral only if:
     • Notice is provided to both houses of Congress, and
     • A joint resolution of approval is enacted.
   • The joint resolution of approval is a time-bound instrument (see Section 2 definitions).

2. Notification and congressional process (Section 2)

   • The Administrator must notify both the House and Senate when seeking dismissal or withdrawal.
   • The bill sets detailed procedures for House and Senate consideration of the joint resolution, including reporting deadlines, debate limits, and procedural rules:
     • House: committees have up to 3 legislative days to report; motion to proceed to consideration; no amendments to the joint resolution; expedited procedures described.
     • Senate: committees have up to 3 session days to report; after a certain point, expedited floor procedures apply; debate limited; no amendments allowed to the joint resolution.
   • Coordination provisions if one chamber acts before the other, and treatment of companion measures.

3. Definitions (Section 2(d))

   • “Covered claim”: a claim accusing a person of releasing into the environment a chemical the EPA has identified as a likely or known human carcinogen.
   • “Joint resolution of approval”: a specific form of joint resolution for a 30-day window (excluding days when chambers adjourn for more than 3 days) with the title and text requirements.

4. Consultation prior to termination of grants (Section 3)

   • EPA Administrator must consult with the EPA Office of General Counsel to determine compliance with:
     • OMB and EPA rules in effect at grant/award issuance.
     • Terms and conditions governing the grant.
   • Termination of a grant or cooperative agreement only allowed if GC determines compliance with those rules and terms.

5. Preservation of grant obligations (Section 4)

   • Prohibits deobligation or return of grant funds upon termination until civil actions and related processes are completed.
   • Prohibits considering failure to close out a grant while ongoing judicial proceedings contest termination.
   • Prohibits including such failures in federal reporting systems.

6. Judicial remedies and penalties (Sections 5–6)

   • Private right of action for persons harmed by violations, including injunctive relief, damages (up to the greater of damages or $1,000 per violation, with enhanced penalties for bad-faith conduct), and attorneys’ fees.
   • Penalty: a district court may reduce the EPA Administrator’s annual pay to $1 if violations are found.

7. Codification of EPA rulemaking and economic analyses (Section 7)

   • Requires EPA to apply OMB Circular A-4 guidance for significant regulatory actions.
   • Requires economic analyses to follow EPA’s 2024 Guidelines for Preparing Economic Analyses (3rd edition).

8. Sunset (Section 8)

   • The Act sunsets on January 20, 2029.

Who/what is affected

• The Environmental Protection Agency (EPA): must obtain congressional approval before dismissing lawsuits or withdrawing DOJ referrals related to carcinogen release claims; must follow specific consultation and rulemaking standards; must adhere to grant termination procedures and preservation of obligations; subject to potential penalties and pay reduction if violations occur.
• Grant recipients: protections around grant closeouts during litigation; cannot be penalized in some federal reporting systems for ongoing terminations; must follow grant terms without premature deobligation timing.
• Private plaintiffs or impacted individuals/entities: potential for court actions seeking damages or injunctive relief for violations of the Act.
• Both Houses of Congress: required to process joint resolutions of approval within specified timelines.

Procedural and timeline aspects

• Triggering action: EPA seeks dismissal or DOJ referral withdrawal, must provide notice to Congress and obtain a joint resolution of approval.
• Consideration timelines:
  • House: committees report within 3 legislative days; expedited floor process with capped debate.
  • Senate: committees report within 3 session days; expedited floor process with limited debate.
• Window for the joint resolution of approval: introduced after notice and within a defined window (period beginning on the date of notice and ending 30 days thereafter, with adjournment exclusions as specified).
• Sunset date: the act automatically ends on January 20, 2029, unless extended or renewed.
• Remedies and penalties: potential judicial actions and civil penalties; potential reduction of the EPA Administrator’s pay if violations are found.

Practical implications

• The bill places substantial legislative oversight on EPA decisions to dismiss lawsuits or curb DOJ referrals in carcinogen-related cases, effectively requiring Congressional authorization for such actions.
• It heightens procedural rigidity for EPA grant terminations and requires thorough GC review and compliance checks.
• It introduces new potential litigation pathways and financial penalties for noncompliance, alongside a defined sunset, signaling to stakeholders a temporary framework subject to renewal.