23450 Federal Register / Vol. 87, No. 76 / Wednesday, April 20, 2022 / Rules and Regulations 

1 If a statute that created a penalty is amended to 

change the penalty amount, the Department does 

not adjust the penalty in the year following the 

adjustment. 

transiting, anchoring, or mooring within 

this RNA to protect vessels from hazards 

associated with rocket launches. These 

restrictions are temporary in nature and 

will only be enacted and enforced prior 

to and just after a launch. 

(2) The COTP Jacksonville may 

activate restrictions within any single 

area, a combination of areas, or establish 

ad hoc areas within the RNA boundary 

area. Activation of prescribed or ad hoc 

Launch Hazard Areas will be based on 

the risk assessment of the Captain of the 

Port Jacksonville and informed by the 

mission specific launch exclusion areas 

provided by SLD 45 to account for the 

specific risks posed by individual 

launches. 

(d) Notice of activation of RNA. The 

COTP Jacksonville will inform the 

public of the activation or status of the 

RNA and specific exclusion areas, by 

Broadcast Notice to Mariners on VHF– 

FM channel 16, Public Notice of 

Enforcement, on-scene presence, and by 

the display of a yellow ball from a 90- 

foot pole near the shoreline at 

approximately 28°35′00′′ N, 080°34′36′′ 

W and from a 90-foot pole near the 

shoreline at approximately 28°55′18′′ N, 

080°35′00′′ W. Coast Guard assets or 

other Federal, State, or local law 

enforcement assets will be clearly 

identified by lights, markings, or with 

agency insignia. 

(e) Contact information. The COTP 

Jacksonville may be reached by 

telephone at (904) 564–7513. Any onscene Coast Guard or designated 

representative assets may be reached on 

VHF–FM channel 16. 

Dated: April 12, 2022. 

Brendan C. McPherson, 

Rear Admiral, Commander, Coast Guard 

Seventh District. 

[FR Doc. 2022–08332 Filed 4–19–22; 8:45 am] 

BILLING CODE 9110–04–P 

DEPARTMENT OF EDUCATION 

34 CFR Parts 36 and 668 

RIN 1801–AA23 

Adjustment of Civil Monetary Penalties 

for Inflation 

AGENCY: Department of Education. 

ACTION: Final regulations. 

SUMMARY: The Department of Education 

(Department) issues these final 

regulations to adjust the Department’s 

civil monetary penalties (CMPs) for 

inflation. This adjustment is required by 

the Federal Civil Penalties Inflation 

Adjustment Act Improvements Act of 

2015 (2015 Act), which amended the 

Federal Civil Penalties Inflation 

Adjustment Act of 1990 (Inflation 

Adjustment Act). These final regulations 

provide the 2022 annual inflation 

adjustments being made to the penalty 

amounts in the Department’s final 

regulations published in the Federal 

Register on February 3, 2021 (2021 final 

rule). 

DATES: These regulations are effective 

April 20, 2022. The adjusted CMPs 

established by these regulations are 

applicable only to civil penalties 

assessed after April 20, 2022 whose 

associated violations occurred after 

November 2, 2015. 

FOR FURTHER INFORMATION CONTACT: 

Rhondalyn Primes Okoroma, U.S. 

Department of Education, Office of the 

General Counsel, 400 Maryland Avenue 

SW, Room 6C150, Washington, DC 

20202–2241. Telephone: (202) 453– 

6444. Email: rhondalyn.okoroma@

ed.gov. 

If you use a telecommunications 

device for the deaf (TDD) or a text 

telephone (TTY), call the Federal Relay 

Service, toll free, at 1–800–877–8339. 

SUPPLEMENTARY INFORMATION: 

Background 

A CMP is defined in the Inflation 

Adjustment Act (28 U.S.C. 2461 note) as 

any penalty, fine, or other sanction that 

is (1) for a specific monetary amount as 

provided by Federal law, or has a 

maximum amount provided for by 

Federal law; (2) assessed or enforced by 

an agency pursuant to Federal law; and 

(3) assessed or enforced pursuant to an 

administrative proceeding or a civil 

action in the Federal courts. 

The Inflation Adjustment Act 

provides for the regular evaluation of 

CMPs to ensure that they continue to 

maintain their deterrent value. The 

Inflation Adjustment Act required that 

each agency issue regulations to adjust 

its CMPs beginning in 1996 and at least 

every four years thereafter. The 

Department published its most recent 

cost adjustment to its CMPs in the 

Federal Register on February 3, 2021 

(86 FR 7974), and those adjustments 

became effective on the date of 

publication. 

The 2015 Act (section 701 of Pub. L. 

114–74) amended the Inflation 

Adjustment Act to improve the 

effectiveness of CMPs and to maintain 

their deterrent effect. 

The 2015 Act requires agencies to: (1) 

Adjust the level of CMPs with an initial 

‘‘catch-up’’ adjustment through an 

interim final rule (IFR); and (2) make 

subsequent annual adjustments for 

inflation. Catch-up adjustments are 

based on the percentage change between 

the Consumer Price Index for all Urban 

Consumers (CPI–U) for the month of 

October in the year the penalty was last 

adjusted by a statute other than the 

Inflation Adjustment Act, and the 

October 2015 CPI–U. Annual inflation 

adjustments are based on the percentage 

change between the October CPI–U 

preceding the date of each statutory 

adjustment, and the prior year’s October 

CPI–U.1 The Department published an 

IFR with the initial ‘‘catch-up’’ penalty 

adjustment amounts on August 1, 2016 

(81 FR 50321). 

In these final regulations, based on 

the CPI–U for the month of October 

2021, not seasonally adjusted, we are 

annually adjusting each CMP amount by 

a multiplier for 2022 of 1.06222, as 

directed by the Office of Management 

and Budget (OMB) Memorandum No. 

M–22–07 issued on December 15, 2021. 

The Department’s Civil Monetary 

Penalties 

The following analysis calculates new 

CMPs for penalty statutes in the order 

in which they appear in 34 CFR 36.2. 

The penalty amounts are being adjusted 

up based on the multiplier of 1.06222 

provided in OMB Memorandum No. M– 

22–07. 

Statute: 20 U.S.C. 1015(c)(5). 

Current Regulations: The CMP for 20 

U.S.C. 1015(c)(5) (Section 131(c)(5) of 

the Higher Education Act of 1965, as 

amended (HEA)), as last set out in 

statute in 1998 (Pub. L. 105–244, title I, 

section 101(a), October 7, 1998, 112 

Stat. 1602), is a fine of up to $25,000 for 

failure by an institution of higher 

education (IHE) to provide information 

on the cost of higher education to the 

Commissioner of Education Statistics. In 

the 2021 final rule, we increased this 

amount to $39,693. 

New Regulations: The new penalty for 

this section is $42,163. 

Reason: Using the multiplier of 

1.06222 from OMB Memorandum No. 

M–22–07, the new penalty is calculated 

as follows: $39,693 × 1.06222 = 

$42,162.69, which makes the adjusted 

penalty $42,163, when rounded to the 

nearest dollar. 

Statute: 20 U.S.C. 1022d(a)(3). 

Current Regulations: The CMP for 20 

U.S.C. 1022d(a)(3) (Section 205(a)(3) of 

the HEA), as last set out in statute in 

2008 (Pub. L. 110–315, title II, section 

201(2), August 14, 2008, 122 Stat. 3147), 

is a fine of up to $27,500 for failure by 

an IHE to provide information to the 

State and the public regarding its 


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Federal Register / Vol. 87, No. 76 / Wednesday, April 20, 2022 / Rules and Regulations 23451 

teacher-preparation programs. In the 

2021 final rule, we increased this 

amount to $33,062. 

New Regulations: The new penalty for 

this section is $35,119. 

Reason: Using the multiplier of 

1.06222 from OMB Memorandum No. 

M–22–07, the new penalty is calculated 

as follows: $33,062 × 1.06222 = 

$35,119.11, which makes the adjusted 

penalty $35,119, when rounded to the 

nearest dollar. 

Statute: 20 U.S.C. 1082(g). 

Current Regulations: The CMP for 20 

U.S.C. 1082(g) (Section 432(g) of the 

HEA), as last set out in statute in 1986 

(Pub. L. 99–498, title IV, section 402(a), 

October 17, 1986, 100 Stat. 1401), is a 

fine of up to $25,000 for violations by 

lenders and guaranty agencies of Title 

IV of the HEA, which authorizes the 

Federal Family Education Loan 

Program. In the 2021 final rule, we 

increased this amount to $59,017. 

New Regulations: The new penalty for 

this section is $62,689. 

Reason: Using the multiplier of 

1.06222 from OMB Memorandum No. 

M–22–07, the new penalty is calculated 

as follows: $59,017 × 1.06222 = 

$62,689.03, which makes the adjusted 

penalty $62,689, when rounded to the 

nearest dollar. 

Statute: 20 U.S.C. 1094(c)(3)(B). 

Current Regulations: The CMP for 20 

U.S.C. 1094(c)(3)(B) (Section 

487(c)(3)(B) of the HEA), as set out in 

statute in 1986 (Pub. L. 99–498, title IV, 

section 407(a), October 17, 1986, 100 

Stat. 1488), is a fine of up to $25,000 for 

an IHE’s violation of Title IV of the HEA 

or its implementing regulations. Title IV 

authorizes various programs of student 

financial assistance. In the 2021 final 

rule, we increased this amount to 

$59,017. 

New Regulations: The new penalty for 

this section is $62,689. 

Reason: Using the multiplier of 

1.06222 from OMB Memorandum No. 

M–22–07, the new penalty is calculated 

as follows: $59,017 × 1.06222 = 

$62,689.03, which makes the adjusted 

penalty $62,689, when rounded to the 

nearest dollar. 

Statute: 20 U.S.C. 1228c(c)(2)(E). 

Current Regulations: The CMP for 20 

U.S.C. 1228c(c)(2)(E) (Section 429 of the 

General Education Provisions Act), as 

set out in statute in 1994 (Pub. L. 103– 

382, title II, section 238, October 20, 

1994, 108 Stat. 3918), is a fine of up to 

$1,000 for an educational organization’s 

failure to disclose certain information to 

minor students and their parents. In the 

2021 final rule, we increased this 

amount to $1,742. 

New Regulations: The new penalty for 

this section is $1,850. 

Reason: Using the multiplier of 

1.06222 from OMB Memorandum No. 

M–22–07, the new penalty is calculated 

as follows: $1,742 × 1.06222 = 

$1,850.38, which makes the adjusted 

penalty $1,850, when rounded to the 

nearest dollar. 

Statute: 31 U.S.C. 1352(c)(1) and 

(c)(2)(A). 

Current Regulations: The CMPs for 31 

U.S.C. 1352(c)(1) and (c)(2)(A), as set 

out in statute in 1989 (Pub. L. 101–121, 

title III, section 319(a)(1), October 23, 

1989, 103 Stat. 750), are a fine of 

$10,000 to $100,000 for recipients of 

Government grants, contracts, etc. that 

improperly lobby Congress or the 

Executive Branch with respect to the 

award of Government grants and 

contracts. In the 2021 final rule, we 

increased these amounts to $20,731 to 

$207,314. 

New Regulations: The new penalties 

for these sections are $22,021 to 

$220,213. 

Reason: Using the multiplier of 

1.06222 from OMB Memorandum No. 

M–22–07, the new minimum penalty is 

calculated as follows: $20,731 × 1.06222 

= $22,020.88, which makes the adjusted 

penalty $22,021, when rounded to the 

nearest dollar. The new maximum 

penalty is calculated as follows: 

$207,314 × 1.06222 = $220,213.07, 

which makes the adjusted penalty 

$220,213, when rounded to the nearest 

dollar. 

Statute: 31 U.S.C. 3802(a)(1) and 

(a)(2). 

Current Regulations: The CMPs for 31 

U.S.C. 3802(a)(1) and (a)(2), as set out in 

statute in 1986 (Pub. L. 99–509, title VI, 

section 6103(a), Oct. 21, 1986, 100 Stat. 

1937), are a fine of up to $5,000 for false 

claims and statements made to the 

Government. In the 2021 final rule, we 

increased this amount to $11,803. 

New Regulations: The new penalty for 

this section is $12,537. 

Reason: Using the multiplier of 

1.06222 from OMB Memorandum No. 

M–22–07, the new penalty is calculated 

as follows: $11,803 × 1.06222 = 

$12,537.38, which makes the adjusted 

penalty $12,537 when rounded to the 

nearest dollar. 

Executive Orders 12866 and 13563 

Regulatory Impact Analysis 

Under Executive Order 12866, it must 

be determined whether this regulatory 

action is ‘‘significant’’ and, therefore, 

subject to the requirements of the 

Executive order and subject to review by 

the Office of Management and Budget 

(OMB). Section 3(f) of Executive Order 

12866 defines a ‘‘significant regulatory 

action’’ as an action likely to result in 

a rule that may— 

(1) Have an annual effect on the 

economy of $100 million or more, or 

adversely affect a sector of the economy, 

productivity, competition, jobs, the 

environment, public health or safety, or 

State, local, or Tribal governments or 

communities in a material way (also 

referred to as ‘‘economically significant’’ 

rule); 

(2) Create serious inconsistency or 

otherwise interfere with an action taken 

or planned by another agency; 

(3) Materially alter the budgetary 

impacts of entitlement grants, user fees, 

or loan programs or the rights and 

obligations of recipients thereof; or 

(4) Raise novel legal or policy issues 

arising out of legal mandates, the 

President’s priorities, or the principles 

stated in the Executive order. 

We have determined that these final 

regulations: (1) Exclusively implement 

the annual adjustment; (2) are consistent 

with OMB Memorandum No. M–22–07; 

and (3) have an annual impact of less 

than $100 million. Therefore, based on 

OMB Memorandum No. M–22–07, this 

is not a significant regulatory action 

subject to review by OMB under section 

3(f) of Executive Order 12866. 

We have also reviewed these 

regulations under Executive Order 

13563, which supplements and 

explicitly reaffirms the principles, 

structures, and definitions governing 

regulatory review established in 

Executive Order 12866. To the extent 

permitted by law, Executive Order 

13563 requires that an agency— 

(1) Propose or adopt regulations only 

upon a reasoned determination that 

their benefits justify their costs 

(recognizing that some benefits and 

costs are difficult to quantify); 

(2) Tailor its regulations to impose the 

least burden on society, consistent with 

obtaining regulatory objectives and 

taking into account, among other things, 

and to the extent practicable, the costs 

of cumulative regulations; 

(3) In choosing among alternative 

regulatory approaches, select those 

approaches that maximize net benefits 

(including potential economic, 

environmental, public health and safety, 

and other advantages; distributive 

impacts; and equity); 

(4) To the extent feasible, specify 

performance objectives, rather than the 

behavior or manner of compliance a 

regulated entity must adopt; and 

(5) Identify and assess available 

alternatives to direct regulation, 

including economic incentives—such as 

user fees or marketable permits—to 

encourage the desired behavior, or 

providing information that enables the 

public to make choices. 


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23452 Federal Register / Vol. 87, No. 76 / Wednesday, April 20, 2022 / Rules and Regulations 

Executive Order 13563 also requires 

an agency ‘‘to use the best available 

techniques to quantify anticipated 

present and future benefits and costs as 

accurately as possible.’’ The Office of 

Information and Regulatory Affairs of 

OMB has emphasized that these 

techniques may include ‘‘identifying 

changing future compliance costs that 

might result from technological 

innovation or anticipated behavioral 

changes.’’ 

We are issuing these final regulations 

as required by statute and in accordance 

with OMB Memorandum No. M–22–07. 

The Secretary has no discretion to 

consider alternative approaches as 

delineated in the Executive order. Based 

on this analysis and the reasons stated 

in the preamble, the Department 

believes that these final regulations are 

consistent with the principles in 

Executive Order 13563. 

Waiver of Rulemaking and Delayed 

Effective Date 

Under the Administrative Procedure 

Act (APA) (5 U.S.C. 553), the 

Department generally offers interested 

parties the opportunity to comment on 

proposed regulations. However, section 

4(b)(2) of the 2015 Act (28 U.S.C. 2461 

note) provides that the Secretary can 

adjust these 2022 penalty amounts 

notwithstanding the requirements of 5 

U.S.C. 553. Therefore, the requirements 

of 5 U.S.C. 553 for notice and comment 

and delaying the effective date of a final 

rule do not apply here. 

Regulatory Flexibility Act Certification 

Pursuant to 5 U.S.C. 601(2), the 

Regulatory Flexibility Act applies only 

to rules for which an agency publishes 

a general notice of proposed 

rulemaking. The Regulatory Flexibility 

Act does not apply to this rulemaking 

because section 4(b)(2) of the 2015 Act 

(28 U.S.C. 2461 note) provides that the 

Secretary can adjust these 2021 penalty 

amounts without publishing a general 

notice of proposed rulemaking. 

Paperwork Reduction Act of 1995 

These regulations do not contain any 

information collection requirements. 

Intergovernmental Review 

This program is not subject to 

Executive Order 12372 and the 

regulations in 34 CFR part 79. 

Assessment of Educational Impact 

Based on our own review, we have 

determined that these regulations do not 

require transmission of information that 

any other agency or authority of the 

United States gathers or makes 

available. 

Accessible Format: On request to the 

program contact person listed under FOR

FURTHER INFORMATION CONTACT, 

individuals with disabilities can obtain 

this document in an accessible format. 

The Department will provide the 

requestor with an accessible format that 

may include Rich Text Format (RTF) or 

text format (txt), a thumb drive, an MP3 

file, braille, large print, audiotape, or 

compact disc, or other accessible format. 

Electronic Access to This Document: 

The official version of this document is 

the document published in the Federal 

Register. You may access the official 

edition of the Federal Register and the 

Code of Federal Regulations at 

www.govinfo.gov. At this site you can 

view this document, as well as all other 

documents of this Department 

published in the Federal Register, in 

text or Portable Document Format 

(PDF). To use PDF you must have 

Adobe Acrobat Reader, which is 

available free at the site. 

You may also access documents of the 

Department published in the Federal 

Register by using the article search 

feature at www.federalregister.gov. 

Specifically, through the advanced 

search feature at this site, you can limit 

your search to documents published by 

the Department. 

List of Subjects 

34 CFR Part 36 

Claims, Fraud, Penalties. 

34 CFR Part 668 

Administrative practice and 

procedure, Aliens, Colleges and 

universities, Consumer protection, 

Grant programs-education, Loan 

programs-education, Reporting and 

recordkeeping requirements, Selective 

Service System, Student aid, Vocational 

education. 

Miguel A. Cardona, 

Secretary of Education. 

For the reasons discussed in the 

preamble, the Secretary amends parts 36 

and 668 of title 34 of the Code of 

Federal Regulations as follows: 

PART 36—ADJUSTMENT OF CIVIL 

MONETARY PENALTIES FOR 

INFLATION 

■ 1. The authority citation for part 36 

continues to read as follows: 

Authority: 20 U.S.C. 1221e–3 and 3474; 28 

U.S.C. 2461 note, as amended by section 701 

of Pub. Law 114–74, unless otherwise noted. 

■ 2. Section 36.2 is amended by revising 

Table I to read as follows: 

§ 36.2 Penalty adjustment. 

* * * * * 

TABLE I—§ 36.2.—CIVIL MONETARY PENALTY INFLATION ADJUSTMENTS

Statute Description 

New maximum 

(and minimum, 

if applicable) 

penalty 

amount 

20 U.S.C. 1015(c)(5) (Section 131(c)(5) 

of the Higher Education Act of 1965 

(HEA)).

Provides for a fine, as set by Congress in 1998, of up to $25,000 for failure by an 

institution of higher education (IHE) to provide information on the cost of higher 

education to the Commissioner of Education Statistics.

$42,163 

20 U.S.C. 1022d(a)(3) (Section 205(a)(3) 

of the HEA).

Provides for a fine, as set by Congress in 2008, of up to $27,500 for failure by an 

IHE to provide information to the State and the public regarding its teacher-preparation programs.

35,119 

20 U.S.C. 1082(g) (Section 432(g) of the 

HEA).

Provides for a civil penalty, as set by Congress in 1986, of up to $25,000 for violations by lenders and guaranty agencies of Title IV of the HEA, which authorizes 

the Federal Family Education Loan Program.

62,689 

20 U.S.C. 1094(c)(3)(B) (Section 

487(c)(3)(B) of the HEA).

Provides for a civil penalty, as set by Congress in 1986, of up to $25,000 for an 

IHE’s violation of Title IV of the HEA, which authorizes various programs of student financial assistance.

62,689 

20 U.S.C. 1228c(c)(2)(E) (Section 429 of 

the General Education Provisions Act).

Provides for a civil penalty, as set by Congress in 1994, of up to $1,000 for an educational organization’s failure to disclose certain information to minor students 

and their parents.

1,850 


khammond on DSKJM1Z7X2PROD with RULES
Federal Register / Vol. 87, No. 76 / Wednesday, April 20, 2022 / Rules and Regulations 23453 

1See Linda Luther, Cong. Rsch. Serv., RL33152, 

The National Environmental Policy Act: 

Background and Implementation (2008), https://

crsreports.congress.gov/product/ 

details?prodcode=RL33152. 

TABLE I—§ 36.2.—CIVIL MONETARY PENALTY INFLATION ADJUSTMENTS—Continued 

Statute Description 

New maximum 

(and minimum, 

if applicable) 

penalty 

amount 

31 U.S.C. 1352(c)(1) and (c)(2)(A) ........... Provides for a civil penalty, as set by Congress in 1989, of $10,000 to $100,000 for 

recipients of Government grants, contracts, etc. that improperly lobby Congress 

or the Executive Branch with respect to the award of Government grants and 

contracts.

22,021 to 

220,213 

31 U.S.C. 3802(a)(1) and (a)(2) ............... Provides for a civil penalty, as set by Congress in 1986, of up to $5,000 for false 

claims and statements made to the Government.

12,537 

* * * * * 

PART 668—STUDENT ASSISTANCE 

GENERAL PROVISIONS 

■ 3. The general authority citation for 

part 668 continues to read as follows: 

Authority: 20 U.S.C. 1001–1003, 1070a, 

1070g, 1085, 1087b, 1087d, 1087e, 1088, 

1091, 1092, 1094, 1099c, 1099c–1, 1221e–3, 

and 3474; Pub. L. 111–256, 124 Stat. 2643; 

unless otherwise noted. 

* * * * * 

§ 668.84 [Amended] 

■ 4. In § 668.84 amend paragraph (a)(1) 

introductory text by removing the 

number ‘‘$59,017’’ and adding, in its 

place, the number ‘‘$62,689’’. 

[FR Doc. 2022–08222 Filed 4–19–22; 8:45 am] 

BILLING CODE 4000–01–P 

COUNCIL ON ENVIRONMENTAL 

QUALITY 

40 CFR Parts 1502, 1507, and 1508 

[CEQ–2021–0002] 

RIN 0331–AA05 

National Environmental Policy Act 

Implementing Regulations Revisions 

AGENCY: Council on Environmental 

Quality. 

ACTION: Final rule. 

SUMMARY: The Council on 

Environmental Quality (CEQ) issues this 

final rule to amend certain provisions of 

its regulations for implementing the 

National Environmental Policy Act 

(NEPA), addressing the purpose and 

need of a proposed action, agency NEPA 

procedures for implementing CEQ’s 

NEPA regulations, and the definition of 

‘‘effects.’’ The amendments generally 

restore provisions that were in effect for 

decades before being modified in 2020. 

DATES: This rule is effective May 20, 

2022. 

ADDRESSES: CEQ established a docket 

for this action under docket number 

CEQ–2021–0002. All documents in the 

docket are listed on 

www.regulations.gov. 

FOR FURTHER INFORMATION CONTACT: 

Amy B. Coyle, Deputy General Counsel, 

202–395–5750, Amy.B.Coyle@

ceq.eop.gov. 

SUPPLEMENTARY INFORMATION: CEQ is 

issuing this final rule to amend three 

provisions of its regulations 

implementing the National 

Environmental Policy Act of 1969 

(NEPA), 42 U.S.C. 4321 et seq., which 

are set forth in 40 CFR parts 1500 

through 1508 (‘‘NEPA regulations’’ or 

‘‘CEQ regulations’’). First, CEQ is 

revising 40 CFR 1502.13 on the 

requirement for a purpose and need 

statement in an environmental impact 

statement. The revision clarifies that 

agencies have discretion to consider a 

variety of factors when assessing an 

application for an authorization, 

removing the requirement that an 

agency base the purpose and need on 

the goals of an applicant and the 

agency’s statutory authority. The final 

rule also makes a conforming edit to the 

definition of ‘‘reasonable alternatives’’ 

in 40 CFR 1508.1(z). Second, CEQ is 

revising 40 CFR 1507.3 to remove 

language that could be construed to 

limit agencies’ flexibility to develop or 

revise procedures to implement NEPA 

specific to their programs and functions 

that may go beyond the CEQ regulatory 

requirements. Third, CEQ is revising the 

definition of ‘‘effects’’ in paragraph (g) 

of 40 CFR 1508.1 to include direct, 

indirect, and cumulative effects. CEQ is 

making these changes in order to better 

align the provisions with CEQ’s 

extensive experience implementing 

NEPA and unique perspective on how 

NEPA can best inform agency decision 

making, as well as longstanding Federal 

agency experience and practice, NEPA’s 

statutory text and purpose to protect 

and enhance the quality of the human 

environment, including making 

decisions informed by science, and case 

law interpreting NEPA’s requirements. 

I. Background 

A. NEPA Statute 

Congress enacted NEPA in 1969 by a 

unanimous vote in the Senate and a 

nearly unanimous vote in the House 1 to 

declare an ambitious and visionary 

national policy to promote 

environmental protection for present 

and future generations. President Nixon 

signed NEPA into law on January 1, 

1970. NEPA seeks to ‘‘encourage 

productive and enjoyable harmony’’ 

between humans and the environment, 

recognizing the ‘‘profound impact’’ of 

human activity and the ‘‘critical 

importance of restoring and maintaining 

environmental quality’’ to the overall 

welfare of humankind. Furthermore, 

NEPA seeks to promote efforts that will 

prevent or eliminate damage to the 

environment and biosphere and 

stimulate the health and welfare of 

people, making it the continuing policy 

of the Federal Government to use all 

practicable means and measures to 

create and maintain conditions under 

which humans and nature can exist in 

productive harmony and fulfill the 

social, economic, and other 

requirements of present and future 

generations of Americans. It also 

recognizes that each person should have 

the opportunity to enjoy a healthy 

environment and has a responsibility to 

contribute to the preservation and 

enhancement of the environment. 42 

U.S.C. 4321, 4331. 

NEPA requires Federal agencies to 

interpret and administer Federal 

policies, regulations, and laws in 

accordance with NEPA’s policies and to 

give appropriate consideration to 

environmental values in their decision 

making. To that end, section 102(2)(C) 

of NEPA requires Federal agencies to 

prepare ‘‘detailed statements,’’ referred 

to as environmental impact statements 

(EISs), for ‘‘every recommendation or 


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