Demolishing Chevron Deference: Republicans Push for a Billionaire-Run Banana Republic

The billionaires and polluters who bribed SCOTUS Republicans just legalized poisoning our children and grandchildren...

In 1904, O. Henry coined the phrase “banana republic” to describe a country where the government supports big business for the exclusive benefit of the morbidly rich. A government of, by, and for what that generation called the “fatcats” or the “robber barons.”

The banana republic-ication of America just kicked into high gear, and, curiously, there’s been a virtual mainstream media blackout about it.

Here’s how it’s happening.

When Steve Bannon was in the Trump White House, he declared one of their goals was to “deconstruct the administrative state.” That same type of language also appears in Project 2025.

Now, fewer than two weeks ago, the six Republicans on the Supreme Court began that process by kneecapping the ability of regulatory agencies to protect the American people from out-of-control polluters, rip-off banks and insurance companies, Big Pharma, and hundreds of other industries and massive corporations that put profits above humans.

They did it by blowing up the Chevron Deference. It’s part of their long-term commitment to turning America into a billionaire- and corporate-run banana republic with an autocrat as president.

The case of Loper Bright Enterprises v. Raimondo ends the power of most regulatory agencies that are so hated by America’s most exploitative industries and the rightwing billionaires they’ve made.

As Senators Whitehouse, Hirono, Feinstein, and Warren noted:

“This case is the product of a decades-long effort by pro-corporate interests to eviscerate the federal government's regulatory apparatus, to the detriment of the American people.”

So, how did the Supreme Court put the EPA and other regulatory agencies functionally out of business?

It has to do with something called the Chevron deference, a policy established by the Court decades ago to protect just such agencies.

Here’s how regulatory law — using the example of the EPA — is supposed to work (in super-simplified form):

1. Congress passes a law that says, for example, that the Environmental Protection Agency should limit the damage that pollutants in the environment cause to the planet. Congress (the Constitution’s Article I branch of government) defines the broad goal of the legislation, but the Executive Branch (Article II, which encompasses the EPA and other regulatory agencies) has the responsibility to carry it out.

2. The EPA, part of that Executive Branch and answering both to the law and the President, then convenes panels of experts. They spend a year or more doing an exhaustive, deep dive into the science, coming up with dozens or even hundreds of suggestions to limit airborne pollutants, ranging from rules on how much emission cars can expel to drilling and refining processes that may leak or pour poisons into our atmosphere, waters, etc.

3. The experts’ suggestions are then run past a panel of rule-making bureaucrats and hired-gun rule-making experts for the EPA to decide what the standards should be. They take into consideration the current abilities of industry and the costs versus the benefits of various rules, among other things.

4. After they’ve come up with those tentative regulations, they submit them for public review and hearings. When that process is done and a consensus is achieved, they make them into official EPA rules, publish them, enforce them, and the deadly emissions begin to drop.

This is how it worked, for example, with regard to CO2 until June of last year, a process that simply comports with common sense, as the Supreme Court ruled in 1984 when they established the Chevron deference to legitimize and defend our regulatory agencies.

Functionally, this process dates back to 1887, when Congress established America’s first regulatory agency — the Interstate Commerce Commission — to prevent railroads from ripping off shippers and passengers.

It was nailed into law and doctrine with the Chevron deference, articulated by the Supreme Court in 1984, reflecting a century-and-a-half of the will of Congress and presidents of both parties who signed regulatory agencies into existence. It says that once a regulatory agency does its due diligence and determines reasonable rules for a substance or behavior, they then have the legal authority to regulate and the courts should “defer” to the agency (thus the “deference” in the doctrine that emerged from the ruling when Chevron tried to negate an EPA ruling in 1984).

Congress passes laws that empower regulatory agencies to solve problems, the agencies figure out how to do that and put the rules into place, and the solutions get enforced by the agencies. And when somebody sues to overturn the rules, if the courts determine they were arrived at through a reasonable process without corruption, those rules stand.

Then came a group of rightwing Supreme Court justices — including Neil Gorsuch (the son of Reagan’s EPA Administrator, Anne Gorsuch, who resigned in disgrace after trying to destroy the agency — who overturned rules made by the EPA about CO2 emissions from power plants in their June, 2022 West Virginia v EPA decision, taking the first big bite out of the Chevron deference.

Their rationale was that because the legislation that created the EPA doesn’t specifically mention “regulating CO2” but instead let the EPA itself determine what pollutants are dangerous to America and the planet, the agency lacks that power to regulate CO2. And now it has lost that power, the result of that West Virginia v EPA decision two years ago.

The coal, oil, and natural gas industries have been popping champagne corks for two years now, as CO2 levels continue to increase along with the temperature of our planet and the violence of our weather.

In addition to Gorsuch, the Court’s decision-makers in West Virginia v EPA included Amy Coney Barrett whose father was a lawyer for Shell Oil for decades, and John Roberts, Samuel Alito, and Brett Kavanaugh who are all on the Court in part because of support from a network funded by fossil fuel billionaires and their industry (among others) that brought that case and then brought this year’s Loper v Raimondo.

And, of course, there’s Clarence “on the take” Thomas, who supported the Chevron deference 15 years ago but, since being wined and dined by rightwing billionaires, in 2020 wrote:

“Chevron compels judges to abdicate the judicial power without constitutional sanction. … Chevron also gives federal agencies unconstitutional power.”

Giving us a clue to how this went down, all six Republicans on the Court voted to gut the EPA’s ability to regulate CO2 in West Virginia; all 3 Democratic appointees opposed the decision.

Justice Elena Kagan wrote that the Court:

“[D]oes not have a clue about how to address climate change...yet it appoints itself, instead of congress or the expert agency...the decision-maker on climate policy. I cannot think of many things more frightening.”

Their ruling was, essentially, that all of that research into the specifics of anticipated regulations — all those hundreds of scientists, millions of public comments, and hundreds of thousands of science-hours invested in understanding problems and coming up with workable solutions — must now be done by Congress and the courts rather than administrative regulatory agencies.

As if Congress and the courts had the time and staff.

As if they was stocked with scientific experts, a much larger budget, and had millions of hours a year for hearings.

As if Republicans in the pockets of fossil fuel billionaires wouldn’t block any congressional action — or those billionaires wouldn’t lavish more gifts on Thomas, Roberts, Alito, Gorsuch, Barrett, and Kavanaugh even if it did.

Republicans on the Supreme Court succeeded in dancing to the tune of the billionaire’s fossil fuel network in the West Virginia v EPA case, but it was narrowly focused on CO2.

In the Loper v Raimondo case, however, the Court explicitly expanded that victory by blowing the entire Chevron deference out of the water, thus ending or severely limiting most protective government regulations in America and opening the door to court challenges to every decision by every regulatory agency established since the last decades of the 19th century.

They’re saying, essentially, that the EPA (and any other regulatory agency) can’t do all the steps listed above: instead, that detailed and time-consuming analysis of a problem, developing specific solutions, and writing specific rules has to be done, they say, by Congress or the courts themselves.

A Congress where arcane rules and gerrymandering have given Republicans the ability to block pretty much any legislation their billionaire patrons pay them to block. And courts filled with lawyers who never set foot in a science classroom.

So now, starting just hours after the Loper Bright ruling, those industries and companies that have chafed under rules and regulations protecting us are on the march. They hope to rule the new banana republic the GOP envisions for us.

So far in the past two weeks, federal courts have stripped over 4 million Texas workers (and soon to be all Americans) of Department of Labor rules requiring overtime payments. It happened hours after the SCOTUS ruling, specifically referencing that ruling.

In Kansas on July 2nd, a federal judge ruled that Title IX “gender identity” non-discrimination protections promulgated by the Department of Education no longer apply to queer students, with the judge specifically citing and quoting Loper Bright:

“The Supreme Court recently held that [this] court ‘need not and under the APA may not defer to an agency interpretation of the law simply because a statute is ambiguous.’ Loper Bright Enter. v. Raimondo. [This] court must exercise its ‘independent judgment in deciding whether an agency has acted within its statutory authority, as the APA requires.’”

It’s been fewer than two weeks since the Court accomplished what Trump and Project 2025 publicly aspired to, but the floodgates have opened.

Dozens of other challenges to protective regulations are already in the works, including, but not limited to:

“[R]egulation by the Food and Drug Administration (FDA), healthcare and product reimbursement, white collar enforcement and investigations, intellectual property, Federal Trade Commission and antitrust enforcement, international trade and national security regulation, public company disclosures, environmental regulation, government contracting, business transactions, and litigation….”

Thousands more will soon clog the federal courts (including the legal status of mifepristone and birth control). The six Republicans on the Supreme Court have unleashed a legal tsunami that, if not reversed by Congress or through expanding the Court, threatens to take Americans back to 1876, when morbidly rich robber barons, landlords, and employers could rip off and poison Americans with impunity.

It’s past time to stand up and speak out, and Dick Durbin’s Senate Judiciary Committee is the logical place to start with subpoeas to bare this Court’s naked corruption. If you agree, you can find Durbin’s phone numbers and addresses here and a list of the Committee’s members here.

And, of course, we must vote a straight Democratic ticket this November.

Every day that goes by without these corrupt judges being held to account by the Senate is another day closer to the end of the functional “government of the people, by the people, [and] for the people,” and our final transition into a genuine, and perhaps irreversible, banana republic.