This might be old news to most people on this list, but the State of California is currently suing the EPA for refusing to let California set its own (more stringent) auto emissions targets:
http://news.bbc.co.uk/2/hi/americas/7169200.stm
Bizarre. I mean, I could understand the EPAs refusal if the state wanted to pollute more, but it's going the other way -- above and beyond federal goals, but the EPA says no.
This is not the first time in recent memory where the EPA has been sued for acting contrary to its stated mission:
http://news.bbc.co.uk/2/hi/americas/6519923.stm