# Presentation: 712519

## USDA – Rural Development 

- National Environmental Policy Act
- Regulatory Overview
- Preparing Environmental Reports
- Annual Rural Community Development
- National Training Conference
- Kissimmee, Florida
- June 10-13, 2002

## Rural Community Development National Training Conference

**Objectives:**
- Part I – NEPA Regulatory Overview
- Introduce/Overview of NEPA, Regulatory Framework of 7 CFR 1794/OCD Regulations
- NEPA Implementation/Guidance
- RD and applicant responsibilities
- Processing of Environmental Reports/Documents
- Part II – Preparing Environmental Reports
- RUS Bulletin 1794A-602
- NEPA Compliance Tools
- RUS Website, Forms, Training CDs, ForeHelp, Recent Initiatives

## Rural Community Development National Training Conference

- National Environmental Policy Act (1969)
- Council on Environmental Quality (CEQ) Regulations – 40 CFR 1500, 11/28/78 (1979)
- FmHA Regulations – 7 CFR Part 1940-G, 1/30/84
- REA Regulations – 7 CFR Part 1794, 3/13/1984
- USDA Reorganization Act of 1994,P.L.103-354
- RUS Regulations – 7 CFR Part 1794, 12/11/98
- OCD Regulations – 7 CFR Part 25, 3/25/02

## Rural Community Development National Training Conference

**National Environmental Policy Act**
**Declared a national policy for the environment**:
- ”it is a continuing policy of the Federal government, in cooperation with State and Local governments and other concerned public...to use all practicable means and measures...in a manner to foster and promote the general welfare, to create and maintain conditions under which man and nature can exist in productive harmony and fulfill the social, economic, and other requirements of present and future generations.”

## Rural Community Development National Training Conference

- National Environmental Policy Act Policies:
- Improve and coordinate Federal plans, so the Nation may:
- Attain widest range of beneficial uses without degradation, risk to health and safety
- Preserve important historic, cultural and natural aspects of national heritage, and maintain an environment which supports diversity
- Achieve a balance between population and resource use

## Rural Community Development National Training Conference

**National Environmental Policy Act**
- Regulation and public laws shall be interpreted and administered in accordance with the policies of this Act
- Applicable to ALL Federal agencies
- Utilize a systematic approach in evaluating the environmental implications of proposals
- Required that environmental values be given “appropriate consideration in decision-making along with economic and technical considerations.”
- Created the Council on Environmental Quality (CEQ)

## Rural Community Development National Training Conference

- Rural Community Development National Training Conference

- Council on Environmental Quality  (CEQ)
- Formulate and recommend nationwide policies to promote the improvement of environmental quality
- Develop NEPA implementation regulations
- Provides oversight and review of the development of Federal agency-specific NEPA procedures
- Mediate disagreements among Federal agencies
- Foster cooperation among Federal, state, & local governments, the private sector and private citizens on environmental concerns

## Rural Community Development National Training Conference

**Council on Environmental Quality**
- 40 CFR 1500 (11/28/78)
- “Regulations for Implementing the Procedural Provisions of the National Environmental Policy Act”

## Rural Community Development National Training Conference

**CEQ Regulations:**
*  **“*The NEPA process is intended to help public officials make decisions that are based on understanding of environmental consequences and to take actions that protect, restore, and enhance the environment.”

## Rural Community Development National Training Conference

**CEQ Regulations**:
-    “NEPA procedures must insure that environmental information is available to public officials and citizens **before**** **decisions are made and **before** actions taken.”

## Rural Community Development National Training Conference

**CEQ Regulations:**
- Use NEPA process to identify and evaluate the **reasonable** alternatives to proposed actions.
- Integrate the requirements of NEPA with other planning and environmental review procedures ... so that **all** such procedures run concurrently rather than consecutively”

## Rural Community Development National Training Conference

**CEQ Regulations:**
- Agencies shall integrate the NEPA process with other planning at the earliest possible time to insure that planning and decisions reflect environmental values, to avoid delays ..and to head off potential conflicts.
- The Federal agency commences its NEPA process at the earliest possible time.
- Env. documents ..shall be circulated and reviewed at the same time as other planning documents.

## Rural Community Development National Training Conference

**CEQ Regulations:**
- Create framework for the environmental review process to include:
- Levels of environmental review
- Integrate with other agency planning and review activities
- Timing of Agency action - planning and decision-making
- Need to consider alternatives
- Coordination among agencies and public

## Rural Community Development National Training Conference

**NEPA Level-of-Reviews**

- Categorical Exclusion

- Environmental Assessment

- Environmental Impact Statement

-       Increasing Complexity

## Rural Community Development National Training Conference

**Categorical Exclusions**
-   Category of actions which do not individually or cumulatively have a significant effect on the environment and for which neither an EA nor EIS is required.

## Rural Community Development National Training Conference

**Environmental Assessment**
-    A concise public document that provides sufficient evidence and analysis for determining whether to issue a Finding of No Significant Impact (FONSI) or prepare an EIS.

## Rural Community Development National Training Conference

**Environmental Impact Statement**
- A detailed written statement that discusses:
- Purpose and Need of Proposed Action
- Alternatives to the Proposed Action
- Affected Environment/Environmental Consequences
- List of Agencies Contacted

## Rural Community Development National Training Conference

**RUS 7 CFR Part 1794** - Environmental Policies and Procedures (issued 12/11/98)
- Supplements the CEQ procedures
- Established agency-specific policies and procedures
- Classifies agency actions into NEPA level-of-reviews – establishes public involvement requirements.

## Rural Community Development National Training Conference

- Integration of Other Laws and E.O.:
- Executive Orders
- Floodplain Management
- Protection of Wetlands
- Protection and Enhancement of Cultural Environment
- Protection and Enhancement of Environmental Quality
- Federal Actions to Address Environmental Justice in Minority Populations and Low-Income Populations
- Departmental Regulations
- DR 9500-3 – Land Use Policy
- DR 9500-4 - Fish and Wildlife Policy
- DR 5600-2 – Environmental Justice

## Rural Community Development National Training Conference

- Integration of Other Laws and E.O.:
- Statutes
- Endangered Species Act
- National Historic Preservation Act
- Farmland Policy Protection Act
- Clean Water Act
- Safe Drinking Water Act
- Clean Air Act
- Wild and Scenic Rivers Act
- Various Land Management Statutes (Wilderness Act, National Trails System Act, etc.)
- Coastal Zone Management Act
- Coastal Barriers Act
- Noise Control Act
- National Flood Insurance Program
- Etc.

## Rural Community Development National Training Conference

**RUS Environmental Policies and Procedures**
**7 CFR Part 1794**

**A.  ****General**

**F.  EA with Scoping**

**E.  Environmental Assessments**

**D.  Categorical Exclusions**

**Adoption of **
**Environmental **
**Documents**

**B.  ****Implementing the NEPA**

**G.  EIS**

**Procedures for:**

**C.  Classification**
** ****of Proposals**

**Elec/Telecom Only**

## Rural Community Development National Training Conference

- 7 CFR Part 1794
- Subpart B - Implementation of NEPA
- Explains Applicant Responsibilities
- Reiterates Need to Apply Early in Planning Process/ Evaluate Alternatives
- Defines the Public Involvement Process
- Defines Applicant Limitations During the NEPA Process
- Explains Agency’s Policy Regarding Mitigation of Project-Related Impacts – to avoid or minimize any adverse impacts

## Rural Community Development National Training Conference

- 7 CFR Part 1794
- Subpart C - Classification of Proposals
- Classifies Applicant Proposals into NEPA Levels-of-Review
- Categorical Exclusions
- Environmental Assessments
- Environmental Impact Statements

## Rural Community Development National Training Conference

- 7 CFR Part 1794
- Subparts D through G - Procedures for:
- 	D.   Categorical Exclusions
- 	E.   Environmental Assessments
- 	G.   Environmental Impact Statements
- Subpart H
- Adoption of Environmental Documents

## Rural Community Development National Training Conference

**NEPA Levels-of-Review**

-    CATEX    CLASS I EA           CLASS II EA        EIS

- FmHA 1940-G

- RUS 1794

- CATEX      CATEX W/ ER                     EA         EIS
- w/o ER

## Rural Community Development National Training Conference

**Environmental Reports**** **
- Required for all projects that require construction
- Prepared concurrent with early project planning and design - Preliminary Engineering Report (PER)

## Rural Community Development National Training ConferenceOCD 7 CFR 25 EZ/EC Regulations

| 7 CFR 1940-G Classifications  | 7 CFR 1794
 Classifications  |
| --- | --- |
| 1940.310 CATEX
   (b)  Housing Assistance
   (c)  CBP Loan/Grant Program
   (d)  Farm Programs
   (e)  General Exclusions
All Asterisked items (*) will require an ER (follow procedures under 1794.22) | 

1794.21  CATEX without ER |
| 1940.311  Class I Env. Assessment | 1794.22  CATEX requiring ER  |
| 1940.312  Class II Env. Assessment | 1794.23  Environmental Assessment  |
| 1940.313  Env. Impact Statement | 1794.25  Env. Impact Statement |

## Rural Community Development National Training Conference

- Processing of Environmental Documents
- Participants:
- Applicants
- RD Processing Office
- RD State Office – State Environmental Coordinator/State Engineer
- Public Reviews, if required
- Loan Approval Official

## Rural Community Development National Training Conference

**Applicant Responsibilities §1794.10**
- Applicants shall prepare applicable environmental documentation (Environmental Report) concurrent with engineering planning and design activities (PER)
- RUS shall assist by providing an outline of types of information required and provide guidance (Bulletin) and oversight in the development of the documentation
- Documentation not complete until all public review periods are completed

## Rural Community Development National Training Conference

- Applicant/Design Engineer Responsibilities:
- Integrate environmental factors in project design/planning area
- Environmental factors should not be over-emphasized but should be given equal consideration with other economic and technical factors
- Explore and document consideration of alternatives
- Avoid or mitigate adverse environmental effects
- Public involvement where necessary or required

## Rural Community Development National Training Conference

**RD/Processing Office Responsibilities:**
- Provide guidance document (1794A-602) to applicant early in project planning
- Brief applicants as to RUS environmental policies and requirements
- Provide liaison between applicant and SEC
- Negotiate any proposed mitigation measures
- Review ER for completeness prior to submitting to SEC for review/acceptance
- Assist in public involvement activities
- Assist applicant in responding to public comments

## Rural Community Development National Training Conference

**SEC’s Responsibilities:**
- SEC responsible for providing technical and regulatory guidance/oversight for all environmental issues to staff and applicants
- Determining acceptability of ER; ensuring:
- Proper consultation with approp. regulatory agencies
- Adequacy and proper level of documentation/service areas
- Consistency with Executive Orders and USDA, RD or RUS policies/regulations
- Authorizing type/distribution/content of Public Notices
- Makes recommendations to Loan Approval officials regarding environmental issues related to project

- _[Flowchart](file:///C:/Documents%20and%20Settings/kmurray.OCD/Local%20Settings/mplank/ocd/siflow_hi.ppt)_

## Rural Community Development National Training Conference

**Preparers of Environmental Reports**
- Primary
- Applicant’s Engineering Consultants or Design Professionals
- Secondary
- Technical Service Providers - RCAP
- Regional Planning Commissions
- Co-funding agencies (State SRF)

## Rural Community Development National Training Conference

- Part Two – Preparing
- Environmental Reports

## Preparing Environmental Reports

- RUS Bulletin 1794A-602
- Guide for Preparing
- Environmental Reports
- (for Water and Water Projects)

## Preparing Environmental Reports

**Bulletin 1794A-602 Introduction:**
- Applicant Responsibilities/establishing working relationships with applicant and RD staff
- Features and format of the ER
- ER relationship with PER
- Developing and Documenting Alternatives
- Establishing service area/area of potential effect (APE)
- Data collection/interactions with regulatory agencies
- Analysis/documentation

## Preparing Environmental Reports

**RUS Bulletin 1794A-602 – TOC**
**Section 1.0  Introduction**
- Section 2.0  Format of ER
- Section 3.0  Environmental Information and Requirements
- Section 4.0  Agency Correspondence
- Section 5.0  Public Notices
- Section 6.0  Exhibits (Exhibit A-G) Correspondence, Sample Public Notices, Flowcharts, etc.

## Preparing Environmental Reports

**Purpose of ER:**
- Must be sufficiently detailed to enable RUS to:
- Establish the purpose and need of project
- Determine if reasonable alternatives to the proposal have appropriately considered
- Evaluate the environmental effects of the proposal and each alternative
- Assess the significance of potential effects

## Preparing Environmental Reports

**Purpose of ER:**
- Ensure and document that environmental values are appropriately considered during project planning/design
- Provide enough information to allow RD to verify the accuracy of information and conclusions
- Specify mitigation measures if necessary

## Preparing Environmental Reports

**Features of ER:**
- Descriptions and discussions should be clear and complete enough so that a person with little previous knowledge of the proposed project can make an independent environmental review and easily verify the accuracy of the information and conclusions drawn from such information.
- Maximum use of maps depicting location of project components and environmental resources is crucial to expediting this review.

## Preparing Environmental Reports

**Features of ER:**
- Where conclusions are made, sufficient documentation must be presented to substantiate them.
- Any environmental concerns that are raised by Federal, State, or local agencies or the public must be addressed as completely as possible and resolved before the ER will be considered complete.
- All environmental documentation submitted to or received from Federal, State, or local agencies shall be referenced, as appropriate, and included* *in Appendices to the ER.

## Preparing Environmental Reports

**Features of ER:**
- Minimize repetition and the inclusion of extraneous background information. Reference supporting material, where appropriate.
- Emphasize real environmental issues. Only include information relevant to the proposed project and which is useful to RD/RUS decision-makers and the public.
- Present the information in a clear, concise manner, minimizing the use of long narratives. Bulleted lists, summary or comparative tables, maps and diagrams are preferable

## Preparing Environmental Reports

- Features of ER:
- RD/RUS, can not substitute another Federal, State, or local agency’s decision for its environmental decision.
- RD/RUS must still make its own independent decision and when applicable inform the public.
- RD/RUS will inform the applicant when public notices are required.

## Preparing Environmental Reports

**ER relationship with PER: **
- ER must be performed concurrently with an applicant’s engineering planning and design activities.
- ER is a public document - must be a stand-alone document from PER.
- Can reference information from ER in PER
-  Any and all changes in the ER or PER must be reflected in both documents.

## Preparing Environmental Reports

**Developing/Documenting Alternatives:**
- Basic tenet of NEPA - No action alternative (establishes purpose and need of proposal)
- Drives economic and technical feasibilities of project proposals – engineering, siting, etc.
- Helps to document and define the issue of “reasonable” alternatives
- Preferred alternative concept – agency vs. applicant’s proposed action (mostly only for larger projects)

## Preparing Environmental Reports

**Date Collection Efforts/Analyses for ER:**
- Establish service area or Area of Potential Effect (APE)
- Data collection/interactions with regulatory agencies – maximize use INTERNET or TELECON
- Analyze data; determinations of effects
- Determine mitigation measures, if necessary
**Document** all data sources and agency contacts – **CAN REFERENCE TELECONS**

## Preparing Environmental Reports

**Level of Detail:**
- Commensurate with magnitude of construction/ scope of proposal
- Maps
- Critical for project analysis and review
- USGS Quad sheets (1:24,000)
- Soil Surveys (1:15,840 or 1:20,000) (Preferred)
- FEMA maps

## Preparing Environmental Reports

**RUS Bulletin 1794A-602 – TOC**
- Section 1.0  Introduction
**Section 2.0  Format of ER**
- Section 3.0  Environmental Information and Requirements
- Section 4.0  Agency Correspondence
- Section 5.0  Public Notices
- Section 6.0  Exhibits (Exhibit A-G) Correspondence, Sample Public Notices, Flowcharts, etc.

## Preparing Environmental Reports

**RUS Bulletin 1794A-602, Section 2**
- Format of ER (Bulletin, Ex. E, p. 57)
- Executive Summary (primarily for EA-level projects)
- 1.0 Purpose and Need of Project
- 1.1  Project Description (Proposed Action)
- 1.2  Purpose and Need of Project
- 2.0  Alternatives to the Proposed Action (including the No-Action Alternative)

**Notes:**
Executive Summary should only be necessary for the largest projects – for decisionmakers and public

Purpose and Need of Project – critical for establishing the underlying purpose of the proposed action and the need RUS is responding to.

Alternatives – should use tables to identify alternative and for succinctly demonstrating “reasonableness” of the alternative.  Again, regulatory requirement to discuss the No-action alternative (No-build scenario) – doing a good job of describing the purpose and need of the project should make it easy to justify the project.

## Preparing Environmental Reports

**Format of ER (con’t):**
- 3.0 Affected Environment/Environmental Consequences
- 3.1  Land Use/Important Farmland/Formally Classified Land
- 3.2  Floodplains
- 3.3  Wetlands
- 3.4  Cultural Resources

**Notes:**
Describe and document the environmental resources of the
area to be affected by the proposed project and each alternative
considered.
Discuss the environmental consequences of each affected
resource.
Establish and discuss any mitigation measure(s) necessary to
avoid or minimize any adverse impacts to a specific
environmental resource.

Confine this section to describe “reasonable alternatives”

## Preparing Environmental Reports

**Format of ER:**
- 3.0 Affected Environment/Environmental Consequences (con’t)
- 3.5  Biological Resources
- 3.6  Water Quality Issues
- 3.7  Coastal Resources
- 3.8  Socio-economic/EJ Issues
- 3.9  Miscellaneous Issues – Air Quality, Transportation, Noise, etc.

## Preparing Environmental Reports

**Format of ER – Section 3.0:**
- 3.0 Affected Environment/Environmental Consequences
- 	(Example each topic organized as:)
- 3.1 Land Use/ Imp. Farmland/FCL
- 3.1.1 Affected Environment
- 3.1.2 Environmental Consequences
- 3.1.3  Mitigation

## Preparing Environmental Reports

**Format of ER:**
- 4.0 Summary of Mitigation
- 5.0 Correspondence and Coordination
- 6.0  Exhibits/Maps

## 0.58%

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**0.26%**

## Preparing Environmental Reports

- Section 4.0 - Agency Contacts/Correspondence
- Data Collection
- Maximize use of websites for basic data collection
- If no effect document sources of information in ER; may need to re-contact regulatory agencies (TELECON OKAY – just document/reference – name, date, and issues discussed)
- Review of applicant/agency determinations
- If it’s determined that a proposal may or will adversely affect a particular resource, written concurrence from applicable agency should be obtained
- Normally a 30-day comment period is sufficient
- All comments from regulatory agencies must be addressed

## Preparing Environmental Reports

- Section 5.0 - Public Notices
- Public Involvement - basic tenet to NEPA
- Required under:
- NEPA
- E.O. 11988 – Floodplain Management
- E.O. 11988 – Protection of Wetlands
- USDA, DR 9500-6 – Land Use Policy
- National Historic Preservation Act;         Sec. 106 regulations

## Preparing Environmental Reports

**Section 5.0 - Public Notices**
- No public notices until agency has approved/accepted ER
- Agency will inform applicant when and what public notices to publish
- Standard Requirements (in all cases)
- Publish in local newspapers of general circulation
- 3 consecutive days for daily newspapers
- 2 consecutive weeks for weekly newspaper
- Notices in non-classified/non-legal notice section
- Exhibit B – Sample Public Notices

## Preparing Environmental Reports

**Section 5.0 - Public Notices**
- Categorical Exclusions
**Preliminary Notices** (30-day reviews)
- _Only applicable_ for any of the four conditions:
- Direct conversion of important farmlands (FPPA)
- Locate facility* in and direct conversion of wetlands (E.O. 11990)
- Locate facility* in and direct conversion of floodplains (E.0. 11988)
- Adverse effects to historic properties (36 CFR 800.6 (a)(4))
**Final Notices** (no additional review period)
- * - Term does not include utility lines.

## Preparing Environmental Reports

**Section 5.0 Public Notices**
- Environmental Assessments
**Notice of Availability of EA** and, if necessary, combine with Preliminary Notice  - 30-day review
**FONSI**/Final Notice (if necessary) - normally no review period;  If substantive comments are received or if the EA changes significantly after public review, the State Environmental Coordinator has the option to require an additional 15-day review period.

## Preparing Environmental Reports

**6.0 Exhibits**
- Exhibit A - Agency Correspondence - data collection purposes
- Exhibit B - Sample Public Notices - Need to state RUS for legal purposes
- Exhibit C - Examples of common mitigation measures
- Exhibit D - Listing of pertinent regulations, statutes, and Executive Orders considered under Agency’s NEPA compliance activities
- Exhibit E - Example TOC for ER
- Exhibit F - Regulatory Flowcharts – FPPA, NHPA, EJ
- Exhibit G – Clean Water Act, Section 404 information

## Preparing Environmental Reports

**Recommendations:**
- For projects other than rehabilitation or routine utility line extensions, think about your long-term future development plans
- Devote Sufficient Time For Early Project Planning And Contact Agency At Early Stage Of Planning
- Explore And Document All Reasonable Alternatives To Meet Defined Purpose And Need Of Proposal
- Use Maps – Depict All Project Elements on Appropriate Maps
- Establish Broad Area Of Potential Effect for Analysis (Service Area)
- Document all Sources of Data and Conclusions
- Avoid Wetlands and Floodplains Unless No Other Practicable Alternative Exists
- Ensure Proper Consultation with Environmental Regulatory Agencies
- Avoid Adverse Environmental Effects

## Preparing Environmental Reports

**NEPA Compliance Tools**
- RUS Website – Engineering and Environmental Staff
- _[http://www.usda.gov/rus/water/ees/index.htm](http://www.usda.gov/rus/water/ees/index.htm)_
- Environmental and Engineering information
- Environmental Compliance Library
- Environmental Compliance Catalog
- Bulletins
- Forms (accessible on Bulletin website)
- AD-1006 – Farmland Conversion Impact Rating
- FEMA Form 81-93 – Standard Flood Hazard Determination
- RD 2006-38 - Civil Rights Impact Certification Form

## Preparing Environmental Reports

**NEPA Compliance Tools**
- Environmental Compliance Training CDs

| Water Use Issues | *Land Use Issues |
| --- | --- |
| Coastal Use Issues | *NEPA |
| First Responder (Awareness Level) | Transaction Screening Process |
| *Historic Preservation Issues | Lender Liability  |
| *Environmental Justice Issues | *Considering Project Effects under NEPA |
|  |  |

## Preparing Environmental Reports

- NEPA Compliance Tools
- ForeHelp Application
- NEPA statute, regulations
- Executive Orders
- CEQ NEPA guidance document
- EPA guidance documents
- RUS regulations, Staff Instructions, and Bulletin
- USDA regulations
- Download - http://www.rdirm.usda.gov/simb/envhlp10/eeh.htm
- Initiatives
- Automating Environmental Report – TurboTax approach/web-based.

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