Overview of Environmental 

Compliance

For the U.S. Department of Agriculture (USDA) Agricultural Marketing Service (AMS) 

Resilient Food System Infrastructure Program (RFSI)

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Learning Objective

Understand how the National Environmental Policy Act (NEPA), federal 

environmental regulations, and other laws/statutes may apply to the RFSI 

grant program.

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RFSI Grant Program Projects

• The types of projects that will be funded by Infrastructure Grant 

subawards can be categorized as the following types:

o Infrastructure Grants – infrastructure projects to expand capacity and 

upgrade facilities and new buildings (new construction) that involve more 

than the purchase of new equipment.

oEquipment Only Grants – smaller grants to fund only equipment purchases 

(between $10,000 and $100,000). 

• No additional activities outside of equipment will be authorized. 

• All projects must be evaluated for NEPA compliance; however, 

Infrastructure Grants are likely to require more in-depth evaluation 

due to the potential for ground disturbance and associated 

environmental impacts.

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Federal Environmental Regulations for Consideration

• National Environmental Policy Act (NEPA)

• Endangered Species Act (ESA)

• Clean Water Act (CWA)

• Clean Air Act (CAA)

• National Historic Preservation Act (NHPA)

• Food Quality Protection Act (FQPA)

• Toxic Substances Control Act (TSCA)

• Noise Control Act (NCA)

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NEPA Overview • Signed into law in 1970. • NEPA is a procedural statute 

requiring Federal agencies to 

assess the environmental 

effects of their proposed 

actions prior to making 

decisions.

• Environmental resource areas 

under NEPA consideration 

include air, land, noise, water, 

natural resources, cultural 

resources, socioeconomic 

conditions, and aesthetics.

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How is NEPA Implemented?

• Regulations – Federal, State, and local

o40 Code of Federal Regulations (CFR) Parts 1500-1508: Counsel on 

Environmental Quality (CEQ) Regulations for Implementing the Procedural 

Provisions of NEPA. 

o States may have their own regulations in addition to Federal regulations. In 

some States, these regulations may be more stringent.

• Federal Agency NEPA Implementing Procedures 

• USDA AMS NEPA Implementing Procedures are under development. 

• CEQ Regulations and NEPA documentation requirements apply RFSI Grant 

Program Projects. 

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Types of NEPA Documentation

CATEX – Categorical Exclusion (40 CFR Part 1501.4)

For efficiency, USDA would identify in their NEPA procedures categories of actions 

that normally do not have a significant effect on environment, and therefore do not 

require preparation of an environmental assessment of environmental impact 

statement.

If USDA then determines that a categorical exclusion identified in its NEPA 

procedures covers a proposed action, USDA will evaluate the action for 

extraordinary circumstances in which a normally excluded action may have a 

significant effect.

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USDA NEPA Implementing 

Procedures are under 

development; CATEX 

cannot be utilized at this 

time.
Types of NEPA Documentation

• EA – Environmental Assessment (40 CFR Part 1501.5)

USDA would prepare an environmental assessment for a proposed action that is 

not likely to have significant effects or when the significance of the effects is 

unknown unless USDA finds that a categorical exclusion is applicable or has 

decided to prepare an environmental impact statement.

• FONSI – Finding of No Significant Impact (40 CFR Part 1501.6)

USDA would prepare a finding of no significant impact if, based on the 

environmental assessment, the proposed action will not have significant effects.

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Types of NEPA Documentation

• EIS – Environmental Impact Statement (40 CFR Part 1502)

The primary purpose of an environmental impact statement is to ensure agencies, including 

USDA, consider the environmental impacts of their actions in decision making. It shall 

provide full and fair discussion of significant environmental impacts and shall inform 

decision makers and the public of reasonable alternatives that would avoid or minimize 

adverse impacts or enhance the quality of the human environment.

• ROD – Record of Decision (40 CFR Part 1505.2)

USDA would prepare and timely publish a concise public record of decision or joint record of 

decision. 

• Tiering (40 CFR Part 1501.11)

USDA may tier their environmental impact statements and environmental assessments when it 

would eliminate repetitive discussions of the same issues, focus on the actual issues ripe for 

decision, and exclude from consideration issues already decided or not yet ripe at each level of 

environmental review. 

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Programmatic Environmental Assessment (PEA)

• “Programmatic” is defined by the Council on Environmental Quality (CEQ) 

as any broad or high-level NEPA review that assesses the environmental 

impacts of proposed policies, plans, programs, or projects for which 

subsequent actions will be implemented.

• A PEA is utilized when actions under a specific program are routine actions 

done repeatedly and therefore are likely to have similar impacts that can 

be evaluated at a broad scale, providing for a more streamlined and 

efficient process.

• A PEA does not eliminate the need for project- and site-specific 

environmental review.

The Draft PEA will be made available via www.ams.usda.gov. Elements of the 

RFSI PEA are discussed on the following slide. 

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RFSI Programmatic Environmental Assessment

• The PEA finds no significant adverse impacts or beneficial impacts to the following 

environmental resource areas:

o Water Quality

o Socioeconomics and Environmental Justice

o Climate Change

• Additionally, the following are resources not fully considered at the programmatic level:

• Any activities not clearly within the scope of the PEA review, have extraordinary circumstances, or 

involve new or expanded structures would be further evaluated by AMS. 

o The site-specific review, if necessary, would be conducted by AMS and State agencies.

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o Vegetation and Wildlife

o Cultural resources

o Coastal Barrier Resource and Coastal Zones

o Wild and Scenic Rivers and Nationwide Rivers 

Inventory

o Wilderness Areas and Natural Landmarks

o Floodplains and Wetlands

o Soils and Other Important Land Resources

o Air Quality

o Noise
RFSI PEA Implications

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RFSI

NEPA Screening 

Site Specific Environmental 

Review

Further investigation needed 

to demonstrate actions are 

within the scope of the PEA 

and do not have significant 

impacts not already analyzed. 

(Refer to contractor for

evaluation of protected 

resources and consultations)

Environmental Review Complete

A review indicated the proposed project is unlikely 

to have Impacts to Protected Resources.

Proceed with evaluation.

(If applicable site specific forms are saved to 

agency record)

Project Outside Scope of NEPA

The PEA and FONSI do not cover the project. AMS 

will determine the appropriate level of NEPA 

analysis and documentation for the project.

N o

New or Expanded 

Structures, or

Possible Resource 

Impacts?

N o

Yes

Yes Potentially Significant 

Impacts?

Project determined 

consistent with 

RFSI

Yes

NEPA Review 

An Environmental Pre-Screening Worksheet was developed 

to assess projects for their adherence with the PEA and 

determine the level of environmental review necessary.

o For projects which do not involve new or expanded 

structures or possible resource impacts, no further 

environmental review needs to be completed, and the 

Environmental Pre-Screening Worksheet serves as NEPA 

documentation.

o For projects which do involve new or expanded structures 

or possible resource impacts, a site-specific environmental 

review will need to be completed to determine the 

potential for impacts not documented in the PEA. 

▪ If it is determined that there is potential for 

significant impacts, an Environmental Assessment 

may be required.
Additional Environmental Laws

The following slides provide an overview of relevant environmental 

laws that commonly apply to USDA actions. 

Please note that this is not a comprehensive list of all environmental 

laws that could apply to a proposed project.

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National Historic Preservation Act 

Overview

• Signed into law in 1966.

• The National Historic Preservation Act (NHPA) 

established a partnership between the Federal 

government and State, Tribal, and local 

governments.

• Section 106 of the NHPA requires USDA to 

consider the impact of their actions on historic 

properties and afford the Advisory Council on 

Historic Preservation (ACHP) a reasonable 

opportunity to comment on such undertakings. 

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No Adverse Effect findings 

should be provided to the State 

Historic Preservation Office 

(SHPO) and other consulting 

parties for a 30-day review 

period.

USDA Agricultural Research Service, Appalachian Fruit 

Research Station, “Stone House.”
Endangered Species Act Overview

• Signed into law in 1973.

• The Endangered Species Act (ESA) provides a 

means to conserve the ecosystems upon which 

endangered and threatened species depend and 

provide a program for the conservation of such 

species.

• Section 7 of the ESA requires USDA to consult with 

the U.S. Fish and Wildlife Service (USFWS) to ensure 

that actions they fund, authorize, permit, or 

otherwise carry out will not jeopardize the 

continued existence of any listed species or 

adversely modify designated critical habitats.

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Final Biological Opinions are generally 

provided by USFWS within 135 days of 

consultation initiation.

Whooping Crane (Grus americana) nesting at Necedah 

National Wildlife Refuge (photo credit: USFWS).
Clean Water Act Overview

• Signed into law in 1972.

• The Clean Water Act (CWA) made it unlawful to 

discharge any pollutant from a point source into 

navigable waters, unless a permit was obtained.

• Section 401 of the CWA requires that a water 

quality certification is issued by a State or 

authorized Tribe.

• Section 404 of the CWA establishes a program to 

regulate the discharge of dredged or fill material 

into waters of the United States, including 

wetlands.

• The CWA establishes several major integrated 

regulatory programs, such as the National 

Pollutant Discharge Elimination System (NPDES) 

Program under Section 402.

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Wetland in Colorado, protected under the Clean Water Act.
NPDES Program Overview

• The National Pollutant Discharge Elimination System (NPDES) Program 

establishes an effluent permit system for point source (i.e., pipe, 

ditch, sewer) discharges of pollutants into waters of the U.S.

• The NPDES permit system requires those permitted to maintain 

records and report on the amount and nature of discharged effluent 

waste components. 

• The stormwater program is a part of the NPDES Program and is 

designed to reduce or eliminate the discharge of contaminated 

stormwater into waters of the U.S.

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Permitting

Common environmental permits that may be required as a result of a 

USDA’s proposed actions include:

• National Pollutant Discharge Elimination System (NPDES) Permit 

(required by the CWA) or State equivalent

• Section 404 Permit (required by the CWA)

• Title V Operating Permit (required by the CAA)

• New Source Review Permit (required by the CAA)

• Incidental Take Permit (required by the ESA)

• Construction General Permit

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State and Federal Responsibilities

• States are responsible for:

o Ensuring Grant Recipients comply with NEPA and all Federal 

 environmental laws and regulations.

o Supporting AMS in conducting environmental compliance reviews and NEPA documentation. 

o Assisting Grant Recipients with obtaining any authorizations, permits, easements or other 

approvals necessary for the implementation of the activities. 

• USDA AMS is responsible for:

o Providing training to the States on how to support environmental reviews and maintain NEPA 

compliance.

o Overseeing the program, providing consistent guidance, and supporting States.

o Conducting environmental compliance screenings and NEPA documentation prior to issuing 

grant awards. 

 USDA AMS will serve as the Responsible Federal Official (RFO) for all NEPA documentation. 

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Lead State Agency Undertaking (Synopsis) 

✓Facilitate distribution of requests for information and support applicant response.

• Project details will support site-specific environmental reviews conducted by AMS. 

• Requests for information made to the applicant must come from the States and Territories. 

✓Respond to questions and recommendations from AMS and work with Infrastructure 

Grant recipients to refine the scope of proposed projects, as needed.

✓Support Infrastructure Grant recipients in identifying any authorizations, permits, 

easements, or other approvals necessary.

✓Serve as a primary communication channel between the applicant and AMS to support 

NEPA documentation. 

✓Ensure environmental clearance, signed off by the RFO, is obtained before project 

commencement. 

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• Lead State Agencies should:

o Attend the Advanced-level Environmental Compliance Training, which will 

cover:

▪ Process of achieving environmental compliance for complex RFSI projects.

▪ Application of NEPA and concepts reviewed in the Environmental Compliance Overview.

▪ Tools to facilitate the environmental review process. 

o Review the Draft PEA at: http://www.ams.usda.gov/

o Connect with their state NEPA experts and identify internal resources(i.e., 

subject matter experts). 

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Next Steps: 
Thank You

For additional questions or training requests, please email: rfsi@usda.gov

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