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United States Court of Appeals FOR THE DISTRICT OF COLUMBIA CIRCUIT Argued October 29, 2024 Decided May 2, 2025 No. 23-5273 MATTHEW J. HIGHT, APPELLANT v. UNITED STATES DEPARTMENT OF HOMELAND SECURITY, ET AL., APPELLEES Appeal from the United States District Court for the District of Columbia (No. 1:21-cv-03277) Jeffrey H. Redfern argued the cause for appellant. With him on the briefs were Robert Johnson and Daniel Nelson. Patrick Morrisey, Attorney General, Office of the Attorney General for the State of West Virginia, Lindsay S. See, Solicitor General at the time the brief was filed, Michael R. Williams, Principal Deputy Solicitor General at the time the brief was filed, Tim Griffin, Attorney General, Office of the Attorney General for the State of Arkansas, RaĂşl Labrador, Attorney General, Office of the Attorney General for the State of Idaho, Brenna Bird, Attorney General, Office of the 2 Attorney General for the State of Iowa, Kris Kobach, Attorney General, Office of the Attorney General for the State of Kansas, Lynn Fitch, Attorney General, Office of the Attorney General for the State of Mississippi, Andrew Bailey, Attorney General, Office of the Attorney General for the State of Missouri, Austin Knudsen, Attorney General, Office of the Attorney General for the State of Montana, Alan Wilson, Attorney General, Office of the Attorney General for the State of South Carolina, and Sean D. Reyes, Attorney General, Office of the Attorney General for the State of Utah, were on the brief for amici curiae States of West Virginia, et al. in support of appellant. Joshua Dos Santos, Attorney, U.S. Department of Justice, argued the cause for government appellees. On the brief were Brian M. Boynton, Principal Deputy Assistant Attorney General at the time the brief was filed, Matthew M. Graves, U.S. Attorney at the time the brief was filed, Mark B. Stern, Attorney at the time the brief was filed, and Joseph F. Busa, Attorney. Douglas C. Dreier, Attorney, entered an appearance. John Longstreth argued the cause for intervenor-appellees. With him on the brief were Mark H. Ruge and Tre A. Holloway. Before: MILLETT, WILKINS and PAN, Circuit Judges. Opinion for the Court filed by Circuit Judge MILLETT. MILLETT, Circuit Judge: From 2015 to 2018, Captain Matthew Hight trained with the Saint Lawrence Seaway Pilots Association (âPilots Associationâ) to become a maritime pilot on Lake Ontario and the St. Lawrence River. The Great Lakes Pilotage Act of 1960 (âPilotage Actâ) requires that certain ships on the Great Lakes and St. Lawrence River, which connects the lakes to the Atlantic Ocean, have a Coast Guard or Canadian registered pilot on board to assist with navigation. 3 The Pilotage Act vests authority in the Coast Guard to register American pilots, establish the conditions of their service, and set the rates they must charge. The Coast Guard is also tasked with supervising private pilotage associations that are responsible, by statute, for the ârendering of pilotage services.â 46 U.S.C. § 9304(a). Pilotage associations are also charged, by regulation, with training new pilots. 46 C.F.R. § 401.220(b)(2) (2021). The Pilots Association is the only entity approved by the Coast Guard to train and dispatch pilots on Lake Ontario and the St. Lawrence River. In 2018, Hight applied to the Coast Guard for registration as a pilot. The Pilots Association recommended that the Coast Guard deny Hightâs application. After conducting an independent review of Hightâs training records, the Coast Guard denied Hightâs application. It determined that Hight failed to complete the Pilots Associationâs prescribed training program and therefore did not have the navigational experience needed for registration. The Coast Guard also found that Hight was ineligible both because he did not have the temperament required of a maritime pilot and because he had received a negative recommendation from the Pilots Association. Hight challenged that decision in federal court on several grounds. As relevant to this appeal, he argues that the Coast Guard (i) acted arbitrarily and capriciously in denying him registration as a pilot, in violation of the Administrative Procedure Act, (ii) unconstitutionally delegated regulatory authority to the Pilots Association, a private entity, and (iii) violated the First Amendment by requiring Hight to train with and join the Pilots Association. The district court rejected each of these claims. We affirm. 4 I A âAs a profession, pilotage owes its existence to the infinite variety of navigation hazardsâcurrents, tides, sand bars, submerged objects, weather conditions, and the likeâthat mark the harbors and rivers open to commercial vesselsâ in the United States. Jackson v. Marine Expl. Co., 583 F.2d 1336, 1338â1339 (5th Cir. 1978). Because each waterway presents unique hazards, âit has long been the practice of vesselsâ to hire local pilots to guide ships across these waters and between ports and the open sea. Id. at 1339. Private pilotage associations are at the center of this profession, and have been for centuries. As early as the fourteenth century, pilot guilds and associations formed at major English ports. GROSVENOR M. JONES, PILOTAGE IN THE UNITED STATES 7 (1917). These associations were established by royal charter, and their âprincipal objectsâ were âto provide * * * a body of qualified and duly licensed pilots; to prevent unqualified persons from undertaking to pilot vessels at all; and, lastly, to provide for the regulation and good government of the bodies of licensed pilots.â Id. at 7â8 (citation omitted). This tradition carried over to the United States. âWhen the government of the Union was brought into existence, it found a system for the regulation of its pilots in full force in every State.â Gibbons v. Ogden, 22 U.S. 1, 207 (1824). Though the federal government maintained âconcurrentâ jurisdiction over pilotage, the first Congress âadopt[ed]â the system of state- regulation of pilots and âg[a]ve it the same validity as if [the state] provisions had been specially made by Congress.â Id. In 1789, Congress enacted a statute providing that âall pilots in the * * * rivers, harbours and ports of the United States, shall 5 continue to be regulated in conformity with the existing laws of the States * * * until further legislative provision shall be made by Congress.â Id. at 116â117 (quoting Act of Aug. 7, 1789, 1 Stat. 53, 54) (codified as amended at 46 U.S.C. § 8501(a)). Today, States are still responsible for regulating most pilots. But Congress has preempted state regulation in certain areas, including the Great Lakes and St. Lawrence River. âConstruction of the Saint Lawrence Seaway was completed in 1959â and opened an accessible route for large commercial ships from the Great Lakes to the Atlantic Ocean. Halverson v. Slater, 129 F.3d 180, 182 (D.C. Cir. 1997). The seaway is made up of a system of locks and channels that allows vessels to navigate safely across the St. Lawrence River. Mike Piskur, Management of the Great Lakes-St. Lawrence Maritime Transportation System, 42 CAN.-U.S. L.J. 227, 228 (2018). The year following the St. Lawrence Seawayâs construction, Congress passed the Great Lakes Pilotage Act of 1960, 46 U.S.C. §§ 9301â9308. To address safety concerns from already increased traffic and to coordinate regulation with the Canadian government, the Pilotage Act requires that certain commercial ships hire an American or Canadian pilot to assist in navigation. American Great Lakes Ports Assân v. Schultz, 962 F.3d 510, 512â513 (D.C. Cir. 2020). â[T]o provide for efficient dispatching of vessels and rendering of pilotage services[,]â the Act also empowers the Coast Guard to âauthorize the formation of * * * pool[s] by * * * voluntary association[s] of United States registered pilotsââthat is, private pilotage associations. 46 U.S.C. § 9304. Pursuant to its statutory authority, the Coast Guard certified three pilotage associations to be the exclusive American providers of Great Lakes pilotage services in specific 6 regionsâor âDistrictsââof the Great Lakes and St. Lawrence River. See 46 C.F.R. § 402.320 (2021). The St. Lawrence Seaway Pilotage Association provides pilotage services in District One, which encompasses all domestic waters of the St. Lawrence River and Lake Ontario. Id. §§ 401.300(a)(1), 402.320(a)(1)â(2) (2021). Under the Pilotage Act, the President is also authorized to âdesignate[]â certain parts of the Great Lakes for special pilotage requirements based on âthe public interest, the effective use of navigable waters, marine safety, and the foreign relations of the United States.â 46 U.S.C. § 9302(a)(2). In such designated waters, the pilot âdirect[s] the navigation of the vessel subject to the customary authority of the masterâ of the vessel, while in non-designated waters, the pilot need only âbe on board and available.â Id. § 9302(a)(1)(A), (B). The President designated the waters of the St. Lawrence River for special pilotage requirements, but not Lake Ontario. Proclamation No. 3385, 25 Fed. Reg. 13679, 13681 (Dec. 24, 1960); see also 81 Fed. Reg. 11908, 11910 (Mar. 7, 2016). The River is particularly difficult to navigate. It takes approximately 10.8 hours to traverse and âis marked by numerous small islands and rocky outcrops, extremely narrow channels with vessel control regulations, swift currents, ice flows[,] and three sets of Seaway locks, where vessels have become trapped in early winter ice.â J.A. 271. Because navigation on the River is âso demanding[,]â pilots must switch out halfway through the 10.8 hour journey. J.A. 271. By contrast, pilots can navigate for over twenty hours without relief in certain undesignated parts of the Great Lakes. J.A. 271. The Pilotage Act also charges the Coast Guard with âprescrib[ing] by regulation standards of competency to be met by each applicant [pilot] for registration[.]â 46 U.S.C. 7 § 9303(a). Under that authority, the Coast Guard issued regulations governing both the training and registration of pilots. Under the regulations in effect when Hight was seeking registration, the Coast Guard mandated that pilot associations submit their training âcourse[s] of instructionâ for approval and that those courses meet ten âminimum criteria[.]â 46 C.F.R. § 402.220(b) (2021). The Coast Guard also had to approve each of the pilots designated to train applicants. See id. § 401.211(c) (2021). For applicants to become registered pilots on the Great Lakes and the St. Lawrence River, Coast Guard regulations created two types of registration. First, the agency offered âtemporary certificate[s] of registrationâ to pilots who had met a subset, but not all, of their training programâs requirements. See 46 C.F.R § 401.220(e) (2021); J.A. 132â135. Second, the Coast Guard offered five-year registrations to applicants who had met minimum qualifications and had completed three requirements specific to pilotage on the Great Lakes and the St. Lawrence River. The qualifications included that the applicant be âof good moral character and temperate habits[,]â possess various licenses, and pass a physical and vision examination. 46 C.F.R. § 401.210 (2021). In addition, region-specific criteria required the applicant to complete a âminimum number of trips * * * over the waters for which application is made[,]â âa course of instruction * * * prescribed by the association authorized to establish the pilotage pool,â and âa written examination[.]â 46 C.F.R. § 401.220(b) (2021). Once a qualified applicant satisfied all of those requirements, the pilot association would submit to the Coast Guard a ârecommendation[] together with its reasons for the registrationâ of the applicant. Id. § 401.220(c) (2021). The Coast Guard would then determine whether the applicant was 8 âqualifiedâ for a five-year, renewable registration that allowed the applicant to perform pilotage services in one of the three districts of the Great Lakes. Id. §§ 401.220(d), 401.230(a), 401.240 (2021). B 1 At the time relevant to this case, the St. Lawrence Seaway Pilotage Association had a two-phase training plan. During the first phaseâthe âApplicant Pilot Training Phaseââapplicant pilots made âall trips in the company of registered pilots.â J.A. 132. At the end of each trip, the registered pilot evaluated the applicantâs performance and assigned a numerical grade for specific components, such as âGreat Lakes pilotage knowledgeâ and â[a]bility to communicate[.]â J.A. 133. The training plan also prescribed a minimum number of trips applicants needed to complete out of specified ports in District One. J.A. 133â134. At the end of the first phase, the Pilots Association would recommend applicant pilots to the Coast Guard to receive one- year temporary registrations that allowed them to solo pilot vessels on the undesignated waters of Lake Ontario, but not on the designated waters of the St. Lawrence River. Pilots who received that temporary registration were designated deputy pilots. During the second phaseâthe âDeputy Pilot Training Phaseââdeputy pilots used their temporary registration to work alone on Lake Ontario. J.A. 135. Under the plan, members of the Pilots Associationâs training committee would âspot-checkâ the deputy pilotsâ performance on the Lake âat least three times per season[.]â J.A. 135. The training plan 9 separately required the deputy pilots to âcontinue to make trips in the designated water of the pilotage districtââthat is, the St. Lawrence Riverââin the company of Registered Pilots.â J.A. 135. Pilots who successfully completed the deputy pilot training program could then seek full registration from the Coast Guard. 46 C.F.R. § 401.220(b), (d) (2021). Once granted registration, those pilots could become a member of the Pilots Association by purchasing one share of stock in the Pilots Associationâs affiliated corporation. The price of each share was set at âthe value of the corporationâs assets divided by the number of members in the Association.â J.A. 18. In 2018, when Hight says he should have been allowed to join, the cost of a single share was close to $200,000. J.A. 18. 2 Hight began his apprenticeship with the Pilots Association in 2015. Before that, he had served as a professional mariner on other waterways for twenty years and spent eight years as a ship master. By all accounts, Hight performed well during the applicant phase and, in 2016, the Pilots Association recommended to the Coast Guard that Hight receive his temporary registration. The Coast Guard found Hight to be qualified and issued him a one- year temporary registration for the 2016 shipping season, which it renewed in subsequent years. At this point, the partiesâ stories differ. According to Hight, he completed the deputy pilot training of the Pilots Associationâs Training Plan in 2017 and, in early 2018, the Pilots Association told him it would make him a registered pilot that year. Hight says that, around this time, he approached John 10 Boyce, the president of the Pilots Association, with concerns about the Pilots Associationâs financial decisions and some of Boyceâs practices as president. He questioned, in particular, the Pilots Associationâs purchase of expensive property and Boyceâs close relationship with Todd Haviland, the Coast Guardâs Director of Great Lakes Pilotage. The Coast Guard, by contrast, focuses on two incidents that occurred during Hightâs deputy pilot training. First, in the summer of 2017, while Hight was piloting a vessel solo on Lake Ontario, a tugboat that was assisting with the undocking of his vessel struck a buoy and was damaged. Hight later insisted that the âtugboat was damaged after it was untethered from [his] vessel (implying tugboat driver error)[,]â and said he did not learn of the damage âuntil daysâ after the incident. J.A. 245â246. Hight, however, never reported the incident to the Pilots Association or to the Coast Guard. J.A. 100, 153. When the accident came to light several months later, Hight acknowledged that he should have reported it. J.A. 100. Second, in December 2017, while piloting the Federal Hudson, a Canadian-managed merchant ship, Hight had a heated argument with its ship master. J.A. 85â86. As the master was speaking over the radio, Hight shouted at him to be quiet. After mooring the vessel, Hight confronted the master on the bridge of the ship, accused him of a âlack of situational awareness[,]â and used âexpletives[.]â J.A. 101. Apart from these incidents, the Coast Guard claims that, once Hight obtained his temporary registration, he âfocused on maximizing time on Lake Ontarioâ and completed approximately 100 solo trips during each of the 2016 and 2017 seasons. J.A. 270. These trips allowed him to âearn âa full pilotâs salaryââ while, according to the Coast Guard, âneglect[ing] his responsibility to continue his supervised 11 training on the Saint Lawrence River[.]â J.A. 270 (citation omitted). Based on these incidents, the Pilots Association recommended to Director Haviland in March 2018 that Hight not âcontinue as a Temporarily Registered Pilot and Applicant Pilot in Training on all District 1 waters for the 2018 season.â J.A. 153â154. Later that same day, the Director âconcur[red] with [the Pilots Associationâs] recommendation.â J.A. 155. Soon after, the Pilots Association removed Hight from its âtour de roleââthe list of pilots available for dispatches. That action prevented Hight from piloting any ships in District One (that is, on Lake Ontario or the St. Lawrence River). J.A. 250. The next month, the Coast Guard adjusted its decision and issued Hight a temporary registration for the 2018 navigation season. At the same time, Director Haviland informed Hight that he was âstill an Apprentice Pilotâ for the Pilots Association. J.A. 182. Hight then requested that the Coast Guard administer the written exam required for full registration as a pilot and that, if he passed, he be granted a âfull five year registration certificate[.]â J.A. 158. The Coast Guard refused on the grounds that Hight had not received a positive recommendation from the Pilots Association or completed the minimum number of trips on the designated waters of the St. Lawrence River within the time period required by regulation. See 46 C.F.R. §§ 401.220(b)(1), 402.220(a)(1) (2018). Hight responded by filing suit in the United States District Court for the District of Columbia. The court ruled that the Coast Guard had misread the timeframe in which Hight had to accomplish his minimum trips. Hight v. United States Depât of Homeland Sec. (âHight Iâ), 533 F. Supp. 3d 21, 27â30 (D.D.C. 12 2021). The court then ordered the Coast Guard to administer the written exam to Hight. Id. at 30â31. In so ruling, the district court did not decide whether Hight, if he passed the exam, would otherwise be eligible for full registration, and the court was explicit that it did not âtake a position on whether a positive recommendation from the relevant association is required before an Applicant Pilot can be fully registered by the Coast Guard.â Id. at 30. Hight passed the written exam. J.A. 82. In July 2021, he requested that the Coast Guard provide him his âfull five-year registrationâ and ensure that he be âimmediately placed on the tour de role for work in District 1[.]â J.A. 83. The Pilots Association again recommended to the Coast Guard that Hight be denied registration. C In December 2021, Director Haviland denied Hightâs request for full registration. The Director cited four grounds for the denial: ⢠Hight âdid not completeâ the Pilots Association training requirements and had not âclearly demonstrated proficiency in piloting foreign vessels through the[] challenging watersâ of the St. Lawrence River; ⢠Hight âdemonstrated unprofessional conduct and a troubling lack of candor[,]â including in his interaction with the Federal Hudson master and in his failure to report the tugboat incident; ⢠While providing expert-witness deposition testimony in an unrelated lawsuit, Hight 13 misrepresented his title and experience as a Great Lakes pilot and as a mariner; and ⢠The Pilots Association did not recommend Hight for registration. J.A. 85â87. With respect to the last point, the Director added that âI would deny your request even with a positive endorsementâ from the Pilots Association. J.A. 87. Hight administratively appealed that decision, and Michael Emerson, the Coast Guard Director of Marine Transportation Systems, issued a final decision on behalf of the Coast Guard affirming Havilandâs denial. The Systems Director relied on three of the grounds identified by Director Haviland. First, in a section titled âCompletion of the Association Training Plan[,]â the Systems Director found that Hight had not demonstrated âproficiency and expertiseâ in piloting vessels in District One. J.A. 269â272. He noted in particular that Hight had âneglected his responsibility to continue his supervised training on the Saint Lawrence River[.]â J.A. 270. Second, as âan additional basisâ for his decision, the Systems Director found that Hight did ânot possess the calm demeanor and professional temperament necessary to safely pilot foreign vesselsâ in District One. J.A. 274. Emerson cited the âseveral incidentsâ identified in Director Havilandâs letter, emphasizing âthe heated argument on the bridge[.]â J.A. 274. He also pointed to âthe increasingly antagonistic and aggressive tone of [Hightâs] numerous emailsâ to the System Directorâs staff. J.A. 274. 14 Third, Emerson found that Hight lacked a recommendation from the Pilots Association and that such a recommendation âis standard industry practice.â J.A. 272. He concluded that the district courtâs decision in Hight I had not âforeclosed any further inputâ from the Pilots Association on Hightâs fitness to hold a full registration. J.A. 273. Hight filed suit challenging the Coast Guardâs final decision. He alleged that the Coast Guardâs decision was arbitrary and capricious under the Administrative Procedure Act (âAPAâ), 5 U.S.C. § 706(2)(A), violated both the private non-delegation doctrine and the First Amendment to the Constitution, and was collaterally estopped by Hight I. The Pilots Association intervened as a defendant, and the parties cross-moved for summary judgment. The district court granted summary judgment in full to the Coast Guard. Hight v. United States Depât of Homeland Sec., 694 F. Supp. 3d 127 (D.D.C. 2023). First, the court held that Hight I did not preclude the Coast Guard from resting its registration denial on Hightâs incomplete training. Id. at 136â 138. Second, the court held that Hightâs First Amendment claim and one of his APA claims were not ripe because both challenged the requirement that Hight join the Pilots Association to pilot in District One even though he was not yet eligible to join the Pilots Association. Id. at 136. Third, the court found the agencyâs decision to deny Hight registration was not arbitrary and capricious for several reasons. Id. at 138â 144. To start, the court pointed out that the agency rationally concluded that Hight failed to complete his Pilots Association- mandated training. The court noted, in particular, that the training plan required deputy pilots to make âsupervised tripsâ (plural) on the St. Lawrence River, and Hight had completed just one supervised trip. Id. at 139. The Coast Guard also had âsubstantial evidence[,]â including the tugboat and Federal 15 Hudson incidents, to find that Hight was of unsuitable temperament. Id. at 142â143. Lastly, the court rejected Hightâs argument that the Coast Guard had unconstitutionally substituted the Pilots Associationâs negative recommendation for its own judgment. Id. at 141. âThe record shows,â the district court held, that âthe Coast Guard did exercise its own judgment in denying registration for Captain Hight[.]â Id. Hight appeals the district courtâs judgment on three grounds. First, he claims the Coast Guardâs final decision was arbitrary and capricious. Second, he argues the Coast Guard unconstitutionally delegated authority over both training and registration decisions to a private body, the Pilots Association. Third, he claims the requirements that he train with and join the Pilots Association violate the First Amendment. Several States filed an amicus brief in support of Hight that focused on his private non-delegation claim. II The district court had subject matter jurisdiction under 28 U.S.C. § 1331. We have jurisdiction under 28 U.S.C. § 1291. We review de novo the district courtâs grant of summary judgment to the Coast Guard on Hightâs arbitrary-and- capricious and constitutional claims. Silver State Land, LLC v. Schneider, 843 F.3d 982, 989 (D.C. Cir. 2016); National Oilseed Processors Assân v. Occupational Safety & Health Admin., 769 F.3d 1173, 1179 (D.C. Cir. 2014). The APA requires that we âhold unlawful and set aside agency actionâ that is âarbitrary, capricious, an abuse of discretion, or otherwise not in accordance with law.â 5 U.S.C. § 706(2)(A). Agency action is arbitrary and capricious âif the agency has relied on factors which Congress has not intended 16 it to consider, entirely failed to consider an important aspect of the problem, [or] offered an explanation for its decision that runs counter to the evidence before the agency[.]â Motor Vehicle Mfrs. Assân v. State Farm Mut. Auto. Ins. Co., 463 U.S. 29, 43 (1983). In evaluating whether the agency has met this standard, the court must ânot * * * substitute its [own] judgment for that of the agency.â Id. III Two of Hightâs challenges are without merit, and we lack jurisdiction to reach the third. The Coast Guardâs final decision complied with the requirements of the APA because it was well-reasoned and supported by the record. The Coast Guardâs determination also fits comfortably within delegation principles because the Coast Guard relied on the Pilots Association only for advice and for assistance gathering facts. Hightâs First Amendment challenge, to the extent he preserved it, is not ripe. A Hightâs claim that the Coast Guardâs final decision denying him registration was arbitrary and capricious fails because the Coast Guard reasonably concluded that Hight did not complete the deputy pilot training requirements and therefore did not qualify for registration under established Coast Guard regulations. 1 In his final decision, Emerson explained that Hight failed to complete the ârequired training programâ for pilot registrationâspecifically, Hight had not completed the required supervised trips on the St. Lawrence River. J.A. 269â 17 270. That decision was both âreasonable and reasonably explained.â Cytori Therapeutics, Inc. v. Food & Drug Admin., 715 F.3d 922, 926 (D.C. Cir. 2013). Pilot applicants must complete a pilotage association training plan to be eligible for registration. Coast Guard regulations provide that â[r]egistration of pilots shall be made from among those Applicant Pilots who have[,]â among other requirements, âcompleted a course of instruction for Applicant Pilots prescribed by the association authorized to establish the pilotage pool[.]â 46 C.F.R. § 401.220(b), (b)(2) (2021). The Pilots Associationâs training plan relevant for the Great Lakes and St. Lawrence River required deputy pilots, in addition to piloting trips on Lake Ontario, â[to] continue to make trips in the designated waters of the pilotage districtââ that is, the St. Lawrence Riverââin the company of Registered Pilots.â J.A. 135. The training plan did not specify the exact number of trips a deputy pilot needed to undertake, but the plan was explicit that at least two âtripsâ (plural) were required. J.A. 135. Hight does not dispute that he completed only one qualifying trip on the St. Lawrence River after becoming a deputy pilot. For a trip to satisfy the training requirement, a registered pilot had to accompany the deputy pilot and score the deputyâs performance at one or more points. J.A. 134â137. In May 2016, as a deputy pilot, Hight completed a single evaluated trip on the St. Lawrence River. J.A. 55, 153, 205, 207. Given that undisputed record of insufficient experience on the designated waters of the St. Lawrence River, Emerson rationally found and reasonably explained that Hight failed to complete the âsupervised training on the Saint Lawrence River, 18 which was necessary to complete the training plan.â J.A. 270. That alone was a sufficient reason to deny Hightâs registration as a full pilot. 2 Hight offers three responses, but none shows the Coast Guardâs decision was arbitrary and capricious. First, Hight claims the Pilots Association could not have mandated St. Lawrence River trips for completion of the training program because, at the time, âapplicant and deputy pilots were not allowed to practiceâ on the river. Hight Opening Br. 33. That argument is incorrect. To start, Hight never fairly presented that argument to the Coast Guard for it to consider. Hight raised this argument in a declaration he submitted in the district court in Hight I. J.A. 254. After the district court remanded the case to the Coast Guard, however, Hight did nothing more than attach that declaration to his letter appealing Havilandâs registration denial. See J.A. 107. At the same time, in the body of that letter, Hight took the opposite position. He insisted that he had completed the âtraining prescribedâ by the Pilots Association, including âround trips on the designated waters of District One[.]â J.A. 107. Such contradictory positions will not suffice. When a party seems âto abandon its argument * * * by taking inconsistent positions, the agency d[oes] not have a fair opportunity to address th[at] argument.â Busse Broad. Corp. v. Federal Communications Commân, 87 F.3d 1456, 1461 (D.C. Cir. 1996). 19 In addition, the evidence before the agency contradicted Hightâs contention. Hight, himself, submitted training documentation that reflected he completed multiple river trips during the applicant pilot phase. J.A. 208â209. Yet the Pilots Association provided evidence that Hight piloted on the river only once during the deputy pilot phase, a fact that Hight does not dispute J.A. 205, 207. The training plan specifically required âtripsâ to occur during the deputy pilot phase, and that omission is what informed the Coast Guardâs pilot-registration decision. Second, Hight argues that Emerson failed to explain why Hight was required to make multiple river trips when, in his view, other deputy pilots were not. To be sure, ââdissimilar treatment of evidently identical casesâ is âthe quintessence of arbitrariness and caprice.ââ Grayscale Invs., LLC v. SEC, 82 F.4th 1239, 1245 (D.C. Cir. 2023) (quoting Colorado Interstate Gas Co. v. FERC, 850 F.2d 769, 774 (D.C. Cir. 1988)). But Hight has failed to make any colorable showing of disparate treatment. Hight claims he identified to the Coast Guard eleven deputy pilots who did not complete river training prior to obtaining pilot registration. Hight Reply Br. 3â4. But the record tells a different story. Hight never identified for the Coast Guard a single individual who had received pilot registration after completing just one evaluated trip on the designated waters of the St. Lawrence River. Instead, in an email exchange with Rajiv Khandpur, Chief of the Coast Guard Office of Waterways and Ocean Policy, Hight vaguely stated: âI suggest you exam[ine] pilot training records from pilot 164 to pilot 173 in order to gain some validity to the history of training by the [Association].â J.A. 208. Hight was pilot 170, J.A. 103, but Hight made no factual representation about the 20 training pilots 164 to 173 received. Such unsubstantiated and unexamined assertions are insufficient to make out a plausible claim of differential treatment by an agency. In a portion of his Hight I declaration, Hight referred to the training of a different pilot, Christopher Weigler. J.A. 255â 258; see also J.A. 107. But that declaration addressed only Weiglerâs applicant pilot training. Specifically, Hight averred that he âhad approximately the same number of river trips as Weigler[,]â that the two âcompleted these river trips in the same time and manner[,]â and that Weigler âcompleted these trips in his first 6 months of training when he was an âapplicant trainee.ââ J.A. 256 (emphasis added). That information was beside the point because it said nothing about whether Weigler or any other deputy pilot was registered as a full pilot after taking only one supervised St. Lawrence River trip during the deputy training phase. In fact, Hight suggested the opposite in his declaration when he said that, after Weigler passed the written exam, the Pilots Association still made him complete additional river trips before registering him as a pilot. J.A. 257. That demonstrates consistency with the requirement imposed on Hight in this case. See Northstar Wireless, LLC v. Federal Communications Commân, 38 F.4th 190, 205 (D.C. Cir. 2022) (rejecting petitionersâ claim of dissimilar treatment when â[t]he record [did] not bear [it] outâ); see also Intellistop Inc. v. United States Depât of Transportation, 72 F.4th 344, 351 (D.C. Cir. 2023) (â[A]n agency does not act arbitrarily if it treats dissimilar parties differently[.]â). Finally, Hight claims the Coast Guardâs explanations for denying his pilot registration were âpretextual[.]â Hight Opening Br. 27, 38, 47. Specifically, Hight insists that Boyce refused to recommend him for registration in retaliation for 21 Hightâs questions about the Pilots Associationâs finances and Boyceâs practices, including his close relationship with Haviland. Id. at 11â12. When assessing agency action for pretext, a court is âordinarily limited to evaluating the agencyâs contemporaneous explanation in light of the existing administrative record.â Department of Commerce v. New York, 588 U.S. 752, 780 (2019) (citing Vermont Yankee Nuclear Power Corp. v. Natural Res. Def. Council, Inc., 435 U.S. 519, 549 (1978)). Hightâs speculative accusations find no factual support in the record and, without more, are insufficient to upset the presumption that public officials âhave properly discharged their official duties.â United States v. Chemical Found., 272 U.S. 1, 14â15 (1926). In sum, the Coast Guard rationally concluded that Hight failed to complete the Pilots Associationâs mandated river-trip training and, in reaching that conclusion, engaged in reasoned decision-making. 1 B Hightâs private non-delegation challenge fares no better. Generally, a delegation of authority to a private entity is constitutional so long as the private entity acts only âas an aidâ 1 Because Hightâs failure to complete the training program was an independent and sufficient basis for the Coast Guardâs decision, we need not address the Coast Guardâs alternative grounds for denying Hight registration. See BDPCS, Inc. v. Federal Communications Commân, 351 F.3d 1177, 1183 (D.C. Cir. 2003) (âWhen an agency offers multiple grounds for a decision, we will affirm the agency so long as any one of the grounds is valid, unless it is demonstrated that the agency would not have acted on that basis if the alternative grounds were unavailable.â). 22 to an accountable government agency that retains the ultimate authority to âapprove[], disapprove[], or modif[y]â the private entityâs actions and decisions on delegated matters. Sunshine Anthracite Coal Co. v. Adkins, 310 U.S. 381, 388 (1940). But where Congress does not expressly authorize an agency to delegate authority, âsubdelegations to outside parties are assumed to be improper[.]â United States Telecom Assân v. Federal Communications Commân., 359 F.3d 554, 565 (D.C. Cir. 2004); see also Louisiana Pub. Serv. Commân v. FERC, 860 F.3d 691, 696 (D.C. Cir. 2017) (âFederal agencies may not subdelegate their âdecision-making authority * * * to outside entitiesâprivate or sovereignâabsent affirmative evidence of authority to do so.ââ) (quoting United States Telecom Assân, 359 F.3d at 566). The only exceptions to that presumption are delegations that involve ââ(1) establishing a reasonable condition for granting federal approval; (2) fact gathering; and (3) advice giving.ââ International Dark-Sky Assân, Inc. v. Federal Communications Commân, 106 F.4th 1206, 1216 (D.C. Cir. 2024) (quoting United States Telecom Assân, 359 F.3d at 566). As a result, an agency âmay turn to an outside entity for advice and policy recommendations, provided the agency makes the final decisions itself.â United States Telecom Assân, 359 F.3d at 568. That is what the Coast Guard did here. 1 The Pilots Association advised the Coast Guard of its view on Hightâs registration request and helped gather facts relevant to that request from its training program and records. J.A. 67â 72, 197â198, 205â207. That is where the Pilots Associationâs input stopped. Consistent with the procedures established by its governing regulations, the Coast Guard independently reviewed the relevant evidence, including not just information from the Association, but also from Hight, and then exercised 23 final and independent decision-making authority in declining to register Hight. The Coast Guard independently evaluated whether Hight âcompleted [the] course of instructionâ prescribed by the Pilots Association. 46 C.F.R. § 401.220(b)(2) (2021). In an April 2018 email, Haviland explained to Hight that he was in the âprocess of auditing the specific itemsâ of the Pilots Association training plan that the Association said Hight had not yet satisfied. J.A. 182. Haviland then openly invited Hight to share records with the Coast Guard demonstrating that he had completed the training. âIf I am in error, and you can demonstrate, with records, that you have completed all of your training,â Haviland wrote, âI will reconsider my position with regard to issuing the exam.â J.A. 183. 2 Hight responded the next month by sending the Coast Guard 48 pages of trip records. J.A. 193. The Coast Guard sent those documents to the Pilots Association to âvalidate[.]â J.A. 194â195. But the Coast Guard also separately conducted its own review of the records. See J.A. 208â212. Subsequently, the Pilots Associationânot Hightâprovided the Coast Guard documentation of Hightâs only eligible river trip from the deputy pilot phase. See J.A. 205â207, 209. All the trips identified by Hight in his documents proved irrelevant because they occurred during the applicant phase, prior to him becoming a deputy pilot. J.A. 208â209. The Coast Guard also independently determined that Hight lacked the necessary âpilot temperamentâ based on the two 2 At the time of this exchange, the Coast Guard was focused on whether Hight was eligible to sit for the pilotage exam, but the same evidence underlay the Coast Guardâs subsequent registration decision. J.A. 182â183, 270. 24 boating incidents and his âantagonistic and aggressiveâ emails to Coast Guard staff. J.A. 274; see also 46 C.F.R. § 401.210(a)(3) (2021) (requiring pilots to be of âgood moral character and temperate habitsâ). As for the two incidents, the agency investigated the tugboat accident on its own and relied on the Pilots Association only to gather facts about the confrontation on the Federal Hudson. Haviland first learned of the tugboat accident when a representative of the Canadian tugboat company told him about the boatâs damage. J.A. 182. Haviland then directed a Coast Guard official to investigate the incident. J.A. 182. For the Federal Hudson incident, the Pilots Association sent Haviland the written account prepared by the Federal Hudson master for Haviland to evaluate on his own. J.A. 172â173. Finally, in reaching its decision, the Coast Guard received a ârecommendation[]â from the Pilots Association about whether to register Hight. See 46 C.F.R. § 401.220(c) (2021). Yet the Coast Guard was explicit that the recommendation was mere âinput.â J.A. 273. In his initial decision, Haviland explained that his practice was to ârelyâ on association recommendation letters to confirm that applicants had completed their training and had âthe requisite knowledge, skill, professionalism, integrity, and judgment to serveâ as registered pilots. J.A. 87. But he emphasized that he âwould deny [Hightâs] request even with a positive endorsementâ from the Pilots Association because of Hightâs âlack of integrity and judgment[.]â J.A. 87. Emersonâs final decision for the Coast Guard echoed this view. He noted that receiving a recommendation from a pilot association is a âstandard industry practiceâ that âinforms a licensing body[,]â and that Hight I had not âforeclosed any further input from the [Pilots Association] on Captain Hightâs fitness to hold a full registration[.]â J.A. 272â273. But at no 25 point did Emerson suggest that a positive recommendation from the Pilots Association was a mandatory precondition for pilot registration. In short, the Coast Guard limited the Pilots Associationâs involvement to âfact gatheringâ and âadvice givingââtwo âlegitimateâ âtypesâ of âoutside party input into agency decision-making processes[.]â United States Telecom Assân., 359 F.3d at 566. Beyond that, the record shows that the Coast Guard itself reviewed the record, requested additional information from Hight for its consideration, and then reached an independent judgment that Hight failed to satisfy the required training program for registration based on a fact about St. Lawrence River experience that Hight does not dispute. 2 Hight and his State amici offer several arguments in response, but none succeeds. First, Hight claims the Pilots Association âfurnishedâ every ground the Coast Guard relied on to deny Hightâs registration. Hight Opening Br. 51. That is not true. As described, Haviland learned of the tugboat accident not from the Pilots Association, but from the company whose tugboat was damaged. J.A. 182. The Coast Guard also faulted Hight for the tone of his correspondence with the agency, not with the Pilots Association. J.A. 274. Second, Hight argues that, â[p]rior to this litigation, the Coast Guard was quite open about the fact that it believed that the [Pilots] Association had the final say on who gets to be a pilot.â Hight Reply Br. 23. This claim too is belied by the record. Much of Hightâs evidence goes to the Pilots Associationâs control over employment, not registration. See, 26 e.g., J.A. 183, 187 (Coast Guard officials told Hight, â[r]egarding being included in the tour-de-role, that is between you and your pilot association[,]â and â[t]he issues with your employment status [are] between you and the [Association].â). To be sure, on one occasion, a lower-level Coast Guard official suggested that a recommendation from the Pilots Association was necessary for Hight to obtain full pilot registration. J.A. 188. But in his final decision denying Hightâs request to take the exam, Emerson explained that completing trainingânot receiving a positive recommendationâwas the relevant prerequisite. See J.A. 126 (âBecause [the written] examination requires travel by the applicant pilot, by Coast Guard personnel, or both, it simply does not make sense to provide an examination to an applicant pilot who may not ultimately complete the associationâs specified training, which is [a] long-established prerequisite to full registration.â). Third, Hight pivots and argues that the Coast Guard impermissibly delegated regulatory authority to the Pilots Association by essentially surrendering control over pilot training to it. See Hight Opening Br. 52â53. While Hight presented a version of this argument in his administrative appeal, see J.A. 120, he abandoned it before the district court. There, Hight argued only that the Coast Guard impermissibly delegated registration authority to the Pilots Association and improperly deferred to the Pilots Associationâs interpretation of the minimum trips requirement. But he did not separately argue that the Association exercised impermissible control over training. See Hight Mot. Summ. J. [ECF No. 28] 30â36; Hight Opposition to Defs.â Cross-Motion [ECF No. 36] at 14â 21 (same). â[A]bsent exceptional circumstances, a party forfeits an argument by failing to press it in district court.â Apprio, Inc. v. Zaccari, 104 F.4th 897, 910 (D.C. Cir. 2024) 27 (citation omitted). And Hight has not offered any relevant justification for his omission here. Finally, the State amici argue that the Coast Guardâs delegation was unconstitutional because it failed to establish âdiscernible standardsâ for pilot associationsâ âexercise of their authorityâ and because â[n]either the statutes nor the regulations say what an association should base [its] recommendation on[.]â Amici Br. 19â20. That is not an argument that Hight has ever raised, and âwe ordinarily do not entertain arguments not raised by parties[.]â CSX Transp., Inc. v. Surface Transp. Board, 754 F.3d 1056, 1064 (D.C. Cir. 2014) (citation omitted). We are especially mindful of that guidance here because of the âlongstanding principle of judicial restraintâ that requires âcourts [to] avoid reaching constitutional questions in advance of the necessity of deciding them.â Camreta v. Greene, 563 U.S. 692, 705 (2011) (citation omitted). In sum, the record in this case shows that the Pilots Associationâs limited role in registration decisions comports with established limitations on agency delegations of authority. C Finally, Hight argues that two related aspects of the Great Lakes pilotage system violate the First Amendment. First, he challenges the requirement that he train with the Pilots Association to become a registered pilot. Second, he argues it is unconstitutional to condition his ability to work as a registered pilot on joining the Pilots Association and purchasing a share of its corporate stock. Hightâs contention that requiring him to work with the Pilots Association to obtain the training necessary to qualify as 28 a pilot violates his right to free association is forfeited because he did not raise it before the district court. See Apprio, 104 F.4th at 910. As for Hightâs concern about having to join the Pilots Association after being registered as a pilot, that claim is not ripe. Ripeness is a legal doctrine that prevents courts, âthrough avoidance of premature adjudication, from entangling themselves in abstract disagreements over administrative policies[.]â Chlorine Inst., Inc. v. Federal R.R. Admin., 718 F.3d 922, 927 (D.C. Cir. 2013) (quoting National Park Hospitality Assân v. Department of Interior, 538 U.S. 803, 807â 808 (2003)). âRipeness, while often spoken of as a justiciability doctrine distinct from standing, in fact shares the constitutional requirement of standing that an injury in fact be certainly impending.â National Treasury Emps. Union v. United States, 101 F.3d 1423, 1427 (D.C. Cir. 1996). At this point, Hightâs claimed injuriesâhaving to join the Pilots Association and purchase its stockâare not âcertainly impendingâ for several reasons. To start, Hight is still only a deputy pilot and, as such, is ineligible to join the Pilots Association. So he is under no membership obligation at this time. In addition, it is uncertain when, if ever, the Coast Guard will grant Hight full pilot registration. Even if Hight completes the required training, registration is not guaranteed. The Coast Guard once before determined that Hight lacked the temperament necessary to be a maritime pilot. J.A. 274. Other barriers to registration could also arise, even assuming that Hight finishes his thus-far incomplete training regimen. Equally unclear is whether the Pilots Association would permit Hight to join should he receive pilot registration since 29 the Pilots Association has twice recommended he not be allowed to serve as a pilot. See J.A. 67â71, 153â154. Given these uncertainties, it is far from imminentâor even foreseeable at the present timeâthat Hight will be in a position of having to decide whether to join the Pilots Association or purchase its stock in order to pilot on the Great Lakes and St. Lawrence River. Our âreview is inappropriateâ when, as here, âdeferring consideration might eliminate the need for review altogether.â Chamber of Commerce of U.S. v. Reich, 57 F.3d 1099, 1100 (D.C. Cir. 1995). IV For the foregoing reasons, we affirm the district courtâs judgment. So ordered.
Case Information
- Court
- D.C. Cir.
- Decision Date
- May 2, 2025
- Status
- Precedential