Debt Ceiling Law's Permitting Reform Elements Promise Benefits For Project Applicants

Legislation recently enacted to raise the federal debt ceiling (the Fiscal Responsibility Act of 2023 or FRA) includes major permitting reforms with the potential to streamline federal environmental reviews under the National Environmental Policy Act (NEPA).

NEPA applies to a wide range of federal actions. For many projects, the NEPA review can result in costly and time-consuming Environmental Assessments (EA) or Environmental Impact Statements (EIS). The NEPA amendments embodied in the FRA are intended to streamline future permitting reviews by narrowing the scope of analysis and alternatives, imposing time and page limits, generally facilitating coordination and communication, and allowing applicants to prepare analyses themselves. Project proponents will need to understand these new changes to the NEPA process to ensure that environmental reviews are completed in accord with the FRA.