Completing the Environmental Review Process for LCDBG Projects

1. Completing the Environmental Review Process for LCDBG Projects FY 2019 Grantee Workshop Consultants/Engineers

2. Requirements • 24 CFR Part 58 • Each LCDBG Program participant must implement their program in compliance with the National Environmental Policy Act of 1969 (NEPA) and other applicable federal environmental laws.

3. Remember… • For all projects, especially economic development projects involving loans and/or infrastructure grants, particular attention must be given to 24 CFR Part 58.32 – Project Aggregation.

4. Remember… • All activities have to be environmentally cleared including privately funded activities. • All contract conditions must be cleared within five months of the date of the Authorization to Incur Costs letter. • The Environmental Review Record (ERR) should be received by the State within fourmonths of this date to ensure sufficient time for review. • The grantee’s Chief Elected Official will assume overall responsibility for the environmental review process. • The CEO must sign all certifications, memos, letters to Indian tribes, and findings.

5. Environmental Review Clearance Levels • Exempt • Categorically Excluded Not Subject to 58.5 – 58.35 (b) • Categorically Excluded Activities Subject to 58.5 – 58.35 (a) • Activities Requiring an Environmental Assessment 58.36 • Environmental Impact Statement – 58.37

6. Exempt • Activities that are Exempt include the following: • Environmental studies • Project planning • Administrative costs • Project engineering and design costs for a proposed eligible activity • Public services which will not result in any physical changes • Emergencies

7. Categorical Exclusions Not Subject To 58.5 – 58.35 • Activities that would be Categorically Excluded Not Subject To 58.5-58.35 include the following: • Support services • Economic development activities not associated with construction • Equipment costs

8. Categorical Exclusions Subject To 58.5 – 58.35 • Activities that are Categorically Excluded from NEPA requirements, but must comply with the requirements listed in 58.5 include the following: • Repair and improvements – less than 20% change in size and capacity • Acquisition or disposition of an existing structure or vacant land provided that it will be retained for the same use

9. Environmental Assessment – 58.36 • Activities that are neither Exempt nor Categorically Excluded require an Environmental Assessment which documents compliance with NEPA and requirements of other federal laws. • New construction and substantial improvements (change in size or capacity of more than 20 percent) would require an Environmental Assessment.

10. Historic Preservation • All tribes listed on HUD’s Tribal Directory Assessment Tool must be contacted; include the directory printout in the ERR. • Letters must be sent to all contacts listed, even if there is more than one contact listed for the same tribe. • 30-day response time for tribes is based on receipt of the letter. • The local government’s letterhead must be used, and all letters must be signed by the local government CEO. • Include all letters/emails in the ERR.

11. Floodplains • The project must comply with Federal Executive Order No. 11988, covered in HUD regulations 24 CFR Part 55. • A floodplain map is necessary for projects that are Categorically Excluded Subject To 58.5 – 58.35 or require an Environmental Assessment. • An Eight-Step Process is required if the project is located in a 100-year floodplain or involves a critical action in a 500-year floodplain. • HUD funds cannot be used for projects located in a floodway.

12. Wetlands • An Eight-Step Process is required if the project is located in a wetland. • A Wetlands Inventory map with the project area marked is required only for projects with an Environmental Assessment. • You no longer have to contact the United States Army Corps of Engineers (USACE) to get a determination for wetlands compliance. This does not remove the requirement to contact the USACE regarding a 404 Permit.

13. Coastal Areas • Department of Natural Resources/Office of Coastal Management (DNR/OCM) must be contacted regarding projects that are in the Coastal Zone, near the Coastal Zone boundary, or may involve discharges into waters that flow into the Coastal Zone. • Coastal zone maps are required for projects with an Environmental Assessment.

14. Sole Source Aquifers • Southern Hills Regional Aquifer System • Applies to projects that involve new construction or land use conversion. • ERR must contain map of the aquifers with location of the project clearly marked.

15. Endangered Species • Environmental Assessment or Categorically Excluded Subject To – Requires Endangered Species memo from responsible entity and USFWS contact or report. • If the project involves street rehabilitation that will not cause additional ground disturbance, then the grantee (not engineer or consultant) may make the determination that consultation is not needed.

16. Wild and Scenic Rivers • Applies to projects that require an Environmental Assessment (new construction or substantial improvements). • Projects that are within one mile of a river included in the Nationwide River Inventory - consultation with the NPS is required to identify and eliminate direct and adverse effects. • Documentation regarding proximity to these areas and a list of rivers being studied must be included in the ERR.

17. Air Quality • Applies to projects with an Environmental Assessment. • If the project is in a non-attainment zone, the grantee must obtain a letter indicating that the project is consistent with the State Implementation Plan (SIP). If the project is not consistent with the SIP, then the Grantee must contact the EPA to determine if a permit is required.

18. COMMONERRORS Common errors include the following: • Not including all of the required maps or not including enough information on the maps. • Not including whether or not the project is site specific or not listing all proposed activities in the Project Description. • Not following requests from tribes. • Not signing and dating forms that require signatures.

19. COMMON ERRORS • Not discussing alternatives in the Eight-Step Process. • Request for Release of Funds not one page. • Missing documentation to support determinations. • Not making sure that the Statutory Worksheet and Checklist match (e.g., dates, names, etc.) and that all relevant information is included in the Statutory Checklist. Make sure you review the entire ERR before turning it in! This will minimize errors.

20. Activities Requiring an Environmental Assessment – 58.36 • Comment Periods - Combined Notice

21. Categorical Exclusions Subject To 58.5 – 58.35 (a) • Comment Periods - Notice of Intent to Request Release of Funds

22. ERR Clearance • All required permits, mitigation measures, and the Eight-Step Process must be included in the notices. • The Request for Release of Funds must be signed by the CEO after the end of the local public comment period. • Until the State has approved the recipient’s Request for Release of Funds, neither a grantee nor any participant, including public or private non-profit or for-profit entities or any of their contractors, may commit LCDBG/HUD funds or private funds or undertake an activity or project. (24 CFR Part 58.22) This regulation is triggered when the grantee’s application is submitted to the State.

23. Environmental Review Record Amendments • If there is a change in project scope or site, then the original ERR MUST be revised. • All compliance areas will have to be reconsidered and all relevant agencies contacted. • For Environmental Assessment projects: • No change in determinations - only have to submit revised ERR. • Change in determinations or new activity or location added – post/publish new FONSI notice.

24. FYI • Completing Environmental Review Record Requirements – p. 14 • OCD’s Environmental Review Record Checklist – p. 108 • Summary of Environmental Review Requirements – p. 139 • ERR reviewers –Jimmy Martin and Amanda Bohannon