The four years under President Biden were a decisive swing toward more command-and-control regulations and a robust application of Environmental Justice.  Our May 2, 2024, blog discusses the proliferation of environmental regulations under the previous administration.  Under President Trump and owed in part to consequential court rulings, the environmental regulatory playing field is changing in a significant way.  This is perhaps a defining moment in how “we” approach environmental protection.

Three SCOTUS “Environmental” Decisions

In a recent blog by the law firm Duane Morris, they state that we are entering a new era when it comes to environmental regulation and enforcement.  In the blog, they point to three recent decisions by the Supreme Court of the United States (SCOTUS).

West Virginia v. EPA (2022), the courts ruled that the EPA overstepped its authority by attempting to force a “generationwide transition” (from coal to natural gas and renewables) without clear congressional authorization.  “This landmark decision significantly limited the EPA’s ability to craft sweeping environmental rules without explicit statutory backing, casting doubt on similar regulatory efforts across the federal government.”

Sackett v EPA (2023), this case redefined federal jurisdiction under the Clean Water Act and again addressed the issue of Waters of the United States (WOTUS).  “Writing for the majority, Justice Samuel Alito adopted a narrower test for defining WOTUS, requiring a continuous surface connection to relatively permanent bodies of water.”

“The Sackett decision effectively excluded many wetlands, ephemeral streams, and other marginal waters from federal oversight, greatly reducing the reach of the EPA.”

Also, see “Final WOTUS Rule?

There has been a significant shift in environmental protection, owed to the new administration and recent SCOTUS decisions (Photo by kazuend on Unsplash)

Loper Bright Enterprises v Raimondo (2024) overturned the 1984 Chevron doctrine, which essentially deferred to administrative agencies when there were ambiguities in statutes.  This was a substantial decision in that Chevron had been cited in more than 18,000 federal cases.

“The Loper Bright ruling marks a seismic shift in administrative law, reducing agency discretion and increasing the likelihood that courts will invalidate agency rules lacking unambiguous statutory support.”

Also see “Chevron Overruled: Courts and Congress Decide, not Agencies.”

These three SCOTUS rulings, combined with a new, atypical administration in Washington, D.C., are a formula for a very different approach to environmental regulation.

Reducing the EPA’s Budget

As we covered in our June 18, 2025, blog, the proposed Budget for Fiscal Year (FY) 2026 seeks significant reductions.  The FY 2026 Budget proposes a 54 percent reduction from the 2025 budget.  This would cut funding from $9.14 billion to $4.16 billion.

On July 14, 2025, Inside EPA (paywall) reported, “House Republicans are proposing a $2.1 billion cut to EPA spending in fiscal year 2026, which is about a quarter less than its current budget but higher than the Trump administration’s request, while also floating numerous policy riders that would block or restrict Biden-era air and water policies” (emphasis added).

“The House Appropriations Committee on July 14 released its FY26 bill for EPA, Interior, and related agencies ahead of a planned markup on July 15.  Overall, it details a $2.1 billion reduction to EPA funding from FY25, or a 23 percent cut.”

Bottom line, it seems evident that EPA’s funding is likely going to be reduced.  This will put more onus on the states and what both terms of President Trump have focused on, that is, cooperative federalism.  However, this too faces funding challenges (see the Environmental Council of States testimony to the Senate Committee on Appropriations on the EPA’s Budget).

Environmental Justice and DEI

When you throw into the mix the revocation of federal Environmental Justice policies and diversity, equity, and inclusion (DEI) policies, as well as the focus on unleashing energy production in the United States, you have a very different approach to federal policies for the environment and energy.

Wave of Deregulation is Not Temporary

In their blog, Duane Morris concludes with “The deregulation wave sweeping through the United States is not merely a temporary political shift.  It is undergirded by Supreme Court precedent and structural changes in agency discretion.  While the pendulum of regulatory policy often swings with elections, the Supreme Court’s recent decisions are likely to have long-lasting consequences.  For regulated industries, the new environment brings opportunity—but also unpredictability.  Practitioners must guide their clients through a regulatory framework that is less centralized, more contested, and increasingly shaped by courts and states rather than federal agencies.”

Practically speaking, the regulated community is served well by focusing on the fundamentals.  While there are significant changes, the foundational environmental laws and regulations (Clean Water Act, Clean Air Act, Resource Conservation and Recovery Act, Comprehensive Environmental Response Compensation and Liability Act, etc.) still drive day-to-day compliance.

Beyond the regulatory arena, environmental litigation continues to be a significant factor, especially when considering liability associated with per- and polyfluoroalkyl substances.

Environmental Advisors

Dragun Corporation has assisted the regulated community with environmental compliance, assessment/remediation, and litigation support since 1988.  If you need assistance with an environmental matter, contact Jeffrey Bolin, M.S., CHMM, at 248-932-0228, Ext. 125.

Alan Hahn drafted this blog.  Alan has an undergraduate degree in Environmental Studies and completed a graduate program in Environmental Management.  He has worked in environmental management for more than 45 years.  He has written hundreds of blogs and articles.  His published work includes Michigan Lawyers Weekly, Detroiter, Michigan Forward, GreenStone Partners, Manure Manager Magazine, Progressive Dairy, and HazMat Magazine.

Jeffrey Bolin, M.S., reviewed this blog.  Jeff is a partner and senior scientist at Dragun Corporation.  He is a published author, a frequent speaker, and an expert witness.  His expertise in environmental due diligence, PFAS, vapor intrusion, and site assessments has led to projects in the US, Canada, and overseas.  See Jeff’s Bio.  

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