NEPA requires the federal government to consider environmental impacts in its decision-making process. It was the first major law of the environmental movement. Private companies must also comply with NEPA for projects using federal grant money or requiring federal permits.
Contrary to popular belief, NEPA does not dictate whether or not a project should occur. The law only requires significant environmental impacts to be identified and publicly disclosed. Thus, different executives may approve or reject a project using the same document.
NEPA documents also typically outline ways to avoid or reduce negative environmental impacts. This information helps government decide whether to approve a project or not.
Example — President Obama rejected the Keystone XL pipeline and Dakota Access pipeline after reviewing the NEPA documents. He believed the environmental impacts were too great. Later, President Trump approved these projects using the same reports. He believed the economic benefits outweighed the environmental impacts.
NEPA's broadness provides an easy way to oppose a project for environmental and other reasons. Residents may not care about the environmental impacts of a new landfill; they just do not want it in their backyard. We will discuss NEPA lawsuit examples in future articles. Also, read our discussion of NEPA compliance waivers that exempt projects from the law's requirements.
There are more reasons to care about NEPA than just avoiding lawsuits:
Why public and activist groups should care about NEPA | Why government and private companies should care about NEPA |
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NEPA's public process gives the public a voice | Public involvement allows for community buy-in |
Local information provided can help officials identify alternatives and assess impacts | NEPA helps identify issues early to reduce delays to projects and potential for cost overruns |
Local information provided can help government make an educated decision | The public can provide local information to help inform decisions |
The Council on Environmental Quality (CEQ) is an executive branch office that has established rules on implementing NEPA. Visit the CEQ website for more information on NEPA regulations.
NEPA compliance differs depending on the project's scope. Here is a description of the three levels of compliance:
Environmental Impact Statement (EIS) | ||
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An EIS is the highest level of documentation. The purpose is to analyze and disclose significant environmental impacts of the action and its alternatives. An agency may skip an EA to conduct an EIS from the beginning. This level of environmental planning is advisable for some controversial actions to reduce delays (e.g., pipeline development). | ||
Environmental Assessment (EA) | ||
An EA is a concise document (10-15 pages). Its purpose is to analyze whether or not significant impacts are expected from the action and its alternatives. Constructing a new building typically requires an EA. Conclusions are documented as: Finding of No Significant Impact (FONSI) — No significant impacts are expected; or Notice of Intent (NOI) — Significant impacts are expected and the next level of documentation will be prepared (the Environmental Impact Statement). |
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Categorical Exclusion (CATEX) | ||
A CATEX is the lowest level of analysis. A CATEX is used when an action fits in a category determined to not have significant impact (e.g., internal renovations to a non-historic building). No further analysis is required. |
The NEPA process includes public involvement. This gives local people a say in federal government projects, such as their neighborhood's infrastructure plans. The public involvement level varies for each project. Participation may include environmental planning meetings, workshops, and hearings, as well as seeking comments on completed documents. For more on public participation, read the CEQ's "A Citizen's Guide to the NEPA: Having Your Voice Heard."
The two main paths for NEPA lawsuits are the following:
Organizations can also use NEPA as a tool to identify and comply with other federal environmental requirements. When a potential environmental impact is identified, another environmental law may be triggered. Refer to federal government agency manuals on NEPA compliance for a list of other environmental planning requirements.
Example — An organization is constructing a bridge over an endangered species' habitat. They must comply with the Endangered Species Act. They should discuss mitigation measures in the corresponding NEPA document.