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relied on Auer to affirm the finding of a violation against
                                                                 property owners who had constructed a ditch to build a
                                                                 residential subdivision.
                                                                   NAHB has long been concerned with this type of judicial
                                                                 deference because it can create incentives for agencies
                                                                 to avoid formal rulemaking processes, or create vague
                                                                 regulations that they can later interpret however they see
                                                                 fit. Either tactic prevents home builders and other industries
                                                                 from participating in the development of rules that govern
                                                                 their activities.
                                                                   Along these lines, the NAHB brief stated: “With little or no
         NAHB Files Amicus Brief in Supreme Court                notice, Auer allows agencies to drastically transform the

          Challenging Power of Federal Regulators                regulatory foundation on which individuals and businesses
                                                                 have built their lives and livelihoods, and to do so with
          NAHB has weighed in on a Supreme Court case that has   impunity.”
         widespread implications for how courts handle challenges   The NAHB Legal Action Committee and legal staff have
         to all agency regulations.                              developed a number of strategies to ensure that NAHB is
          The case, Kisor v. Wilkie, addresses the issue of whether   well-positioned to influence litigation on the issues that
         courts should defer to an agency’s interpretation of its own   impact NAHB members, including
         regulations, known also as Auer deference.              cross-cutting regulatory issues that
          NAHB supported the petitioner with an amicus brief as   influence how courts review all
         part of a proactive strategy developed to identify cases that   federal regulatory actions.
         put this issue squarely before the Supreme Court.         The Supreme Court will hear
          The NAHB-led coalition focused its amicus brief on the   oral arguments on this case in
         real-world consequences that can result when courts defer   March, and a decision is
         to agencies on their interpretations of their own regulations.  expected by the end of
                                                                 June 2019.
          Auer deference has harmed NAHB’s interest in a number
         of cases, including a Clean Water Act case where the court       NAHB JAN 2019














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