Oversight Hearing on "Abuse of the Equal Access to Justice Act by Environmental NGOs

Immigration Enforcement and Sanctuary PoliciesHouse Natural Resources Subcommittee on Oversight and Investigations · 2025-12-10 · 119th Congress
The House Natural Resources Subcommittee on Oversight and Investigations held this hearing to examine whether environmental nonprofit organizations are abusing the Equal Access to Justice Act (EAJA), a 1980 law allowing prevailing parties to recover attorney's fees from the federal government. Begins at 0:06:39
Transcript
Highlights

Title

House hearing on alleged environmental NGO abuse of the Equal Access to Justice Act

Purpose

The House Natural Resources Subcommittee on Oversight and Investigations held this hearing to examine whether environmental nonprofit organizations are abusing the Equal Access to Justice Act (EAJA), a 1980 law allowing prevailing parties to recover attorney's fees from the federal government. Republicans argued EAJA's exemption for 501(c)(3) groups from net-worth caps has created a "cottage industry" of taxpayer-funded litigation against federal land agencies, while Democrats defended EAJA as a vital tool protecting veterans, Social Security recipients, and ordinary citizens' access to courts. Witnesses included representatives from industry, ranching, and hunting groups alongside a law professor defending environmental litigants. Begins at0:06:39

Who spoke

Chairman Paul Gosar (R-AZ)0:06:39: Opened by arguing EAJA loopholes let 501(c)3 groups evade fee caps and fund "lawfare" against agencies0:07:50, citing $24.8 million paid out 2019-2024 with 76% ($18.8M) going to environmental nonprofits like Center for Biological Diversity, Sierra Club, and WildEarth Guardians0:08:13; later sparred with Rep. Huffman over financial-disclosure proposals0:26:38.

Ranking Member Dexter0:12:01: Defended EAJA as promoting fairness for veterans, Social Security recipients, and small groups against the government0:12:16, noting cases must be won to qualify so are "by definition not frivolous"0:13:14; entered a VetsFirst letter into the record0:14:02 and warned reforms could lock out rural and low-income litigants0:15:21, also raising SLAPP suits against Greenpeace as a counterexample0:16:15.

Chairman Bruce Westerman (R-AR), Full Committee0:16:41: Traced EAJA's 1980 origins as the Small Business Equal Access to Justice Act0:17:38, noting individuals are capped at $2 million net worth and businesses at $7 million/500 employees but 501(c)3s are exempt0:18:22; cited $19 million paid to environmental groups by DOI, USDA and Commerce 2018-2024, over 53% of those agencies' awards0:19:08.

Ranking Member Jared Huffman (D-CA), Full Committee0:20:51: Called the hearing's premise a "phony narrative," noting 99% of EAJA cases involve veterans and Social Security recipients0:23:08; listed statutory safeguards (standing, prevailing-party requirement, sanctions for frivolous suits)0:23:580:24:28; clashed directly with Chairman Gosar over a proposed donor-disclosure requirement, calling it "a recipe for abuse and intimidation"0:27:070:27:37.

Regina Lennox, Safari Club International Senior Litigation Counsel0:29:55: Said 501(c)3 groups with net worths in the tens/hundreds of millions still collect EAJA fees0:30:59, citing a 2017 Yellowstone grizzly delisting case where six plaintiff groups sought over $1 million in fees0:32:18 and a 2023 lead-ammunition suit that yielded $35,000 despite minimal litigation activity0:32:48; proposed five reforms including applying net-worth caps to nonprofits and ending "fees on fees"0:33:410:34:38; later said Earthjustice attorneys' rates run up to $500/hour even though they don't bill their own clients that rate1:06:44.

Todd Wilkinson, South Dakota rancher/attorney0:35:31: Said Congress ending EAJA reporting requirements in 1995 spiked litigation0:35:58; argued groups like Earthjustice, with ~$200 million in revenue, shouldn't collect millions in fees0:37:22; cited a 2013 U.S. Chamber study finding 71 "sue and settle" cases produced over 100 new regulations and $100 million in annual compliance costs0:37:51; listed seven proposed reforms0:38:41.

Daniel Rohlf, Lewis and Clark Law School0:40:20: Rebutted the hearing's "myths," saying EAJA attacks target environmental groups' legal successes, not genuine abuse0:40:46; said deadlines and procedures matter substantively in environmental law0:41:18; defended settlements as benefiting both sides and the public0:42:22; called a proposed $125/hour fee cap "fanciful" given 1996-era rates0:43:20; described representing a one-person Oregon group that successfully stopped raw sewage discharge into the Willamette River0:59:581:00:13.

Travis Joseph, American Forest Resource Council President/CEO0:45:40: Detailed the Walton Lake case on Ochoco National Forest, where a lawsuit over an 80-acre hazard-tree removal project blocked action from 2015 to 2023, resulting in a $200,000 EAJA award funded partly at a $425/hour specialty rate for law students billed at $130/hour0:47:020:48:20; said the delay cost more than the underlying service contract0:48:20 and federal lands supply only about 3% of softwood lumber needs despite forests growing ten times what's harvested1:18:24.

Rep. Jeff Crank (R-CO)0:51:55: Quoted the majority memo on $500/hour fee rates, calling it a "government approved shakedown" funded by ordinary taxpayers0:53:230:53:48; asked Wilkinson how NGOs use lawsuits to fundraise for state-level policy fights like Colorado wolf reintroduction and gas bans0:55:140:56:09.

Rep. Pete Stauber (R-MN)0:58:55: Entered records showing $408,000 in EAJA awards to the Earthjustice Law Center and $3.72 million in Forest Service EAJA payments over FY22-241:09:261:09:47; asked Joseph about the "death spiral of litigation" impact on agency operations1:12:10 and touted the SPEED Act NEPA reform bill1:13:36.

Rep. Tom Tiffany (R-WI)1:14:03: Asked Lennox whether EAJA has become a "profit center," and she agreed1:14:03; noted Earthjustice's $241 million net worth serves as attorney of record for smaller nonprofit plaintiffs1:15:26; asked Joseph about 200+ Sierra sawmill closures over 30 years1:17:05.

Rep. Harriet Hageman (R-WY)1:19:44: Cited FY24 figures of 15,000 EAJA awards totaling $119 million across 19 agencies, with Interior and USDA each reporting 111:20:421:21:02; described her own 15-year pro bono wolf-delisting case where she recovered only $30 while opposing counsel billed $300-600/hour1:24:04; said EAJA should be "completely taken off the books or fundamentally reformed"1:24:52.

Rep. Maxine Dexter (D-OR)*1:24:52: (continuing as Ranking Member) argued chronic agency understaffing, not NGO abuse, drives litigation, citing decimated Trump-administration agency budgets and personnel1:29:31; noted Social Security disability lawyers take ~25% contingency fees analogous to EAJA arrangements1:31:27.

Rep. Paul Gosar *(continuing, later round)*1:32:28: Proposed requiring EAJA recipients to disclose donor funding sources including foreign donations, referencing his Trust and Transparency Act1:32:471:33:16; asked all four witnesses if they supported the disclosure idea — Lennox, Wilkinson, and Joseph agreed; Rohlf called it "a fishing expedition"1:37:45.

Rep. Jared Huffman *(closing)*1:46:20: Entered a December 9, 2025 letter from the National Organization of Social Security Claimants' Representatives opposing any EAJA fee restrictions as "a direct attack" on vulnerable Americans' access to courts1:46:51.

Key moments

Gosar and Westerman cited $24.8 million (76% to environmental nonprofits) and $19 million respectively paid out in EAJA awards to environmental groups over roughly 2018-20240:08:130:19:08.

Lennox detailed the Yellowstone grizzly delisting case: six plaintiff groups won on only 3 of many claims yet sought over $1 million in fees, several with net assets in the tens or hundreds of millions0:32:180:32:48.

Joseph's Walton Lake example: a lawsuit over an 80-acre hazard-tree safety project on an 850,000-acre forest delayed work a decade and produced a $200,000 fee award — more than the cost of the underlying service contract — including $425/hour attorney rates and $130/hour billed for uncredentialed law students0:47:020:48:200:49:13.

Sharp exchange between Gosar and Huffman over a proposed requirement that recipients of federal funds disclose all funding sources, including foreign money; Huffman called it "a recipe for abuse and intimidation" while Gosar insisted "we as a government need to have the right to know"0:27:070:27:37.

Huffman entered a Facebook campaign post showing witness Todd Wilkinson using his hearing testimony to promote his South Dakota state senate campaign0:50:57.

Hageman described personally litigating a 15-year wolf-delisting case (2002–2017), recovering just $30 in fees while opposing environmental attorneys billed $300-600/hour1:24:041:24:31.

Lennox said Earthjustice, with $241 million in net worth, frequently serves as attorney of record for smaller nonprofit plaintiffs that individually fall under the $7 million cap, calling it a "secret side hustle" of EAJA1:15:26.

Dexter and Rohlf countered that chronic agency understaffing and budget cuts — not NGO abuse — drive missed deadlines and resulting litigation, urging scrutiny of Trump-administration agency cuts instead1:29:021:29:52.

Stauber cited a 2013 U.S. Chamber of Commerce finding that 71 "sue and settle" cases produced over 100 new regulations and $100 million in annual compliance costs, plus $3.72 million in Forest Service EAJA payments over FY22-240:37:511:09:47.

Rohlf disclosed he taught the general counsel of Joseph's own organization (American Forest Resource Council) at Lewis and Clark's environmental law program1:02:01.

Metadata

CommitteeHouse Natural Resources Subcommittee on Oversight and Investigations
Chamber / CongressHouse · 119th Congress
Date2025-12-10
TypeHearing
Witnesses
Mr. Travis Joseph — President/CEO, American Forest Resource Council
Regina Lennox — Senior Litigation Counsel, Safari Club International
Todd Wilkinson — South Dakota Rancher, Wilkinson Livestock
Daniel Rohlf — Lewis and Clark Law School
Videoyoutube
Transcript234 caption blocks · 16,187 words · 1:47:45 runtime
EventCongress.gov 118696