9.1.1 Legal Authorities, Guidance, Standards, and Documentation

A. All Federal agencies are required to comply with the National Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.) (NEPA) and the implementing procedures issued by the Council on Environmental Quality at 40 CFR Parts 1500-1508. HUD regulations implementing NEPA are contained in 24 CFR, Part 50, “Protection and Enhancement of Environmental Quality.” Related Federal laws and authorities are listed in 24 CFR 50.4 and 50.3(i). Under Part 50, HUD may not delegate its environmental responsibilities to others; it is required to prepare the environmental review, make the appropriate environmental finding, and obtain all required review, comment and approvals prior to issuing a Firm Commitment. (See 24 CFR 50.11.)

B. HUD has guidance on complying with environmental requirements at the HUD Exchange Environmental Review website.[18] Housing has additional FHA-specific guidance at the Office of Housing Environmental Review Resources website.[19]

C. HUD has established the HUD Environmental Review Online System (HEROS) to document compliance with NEPA and other Federal environmental laws, authorities, Executive Orders, and HUD standards. This system replaced the form HUD-4128 for MAP projects in May 2016. The use of HEROS to document environmental reviews is required under 24 CFR 50.18(a). All required source documentation, including the ASTM Phase I Environmental Site Assessment, must be uploaded to the relevant HEROS screens. HEROS source documentation, including but not limited to the ASTM Phase I Environmental Site Assessment, will be made available to the public for one year after HUD issues a Firm Commitment. See Section 9.2.2.M for details.

D. This chapter cites many standards and guidance documents, such as ASTM standards. These are frequently updated, amended or superseded, and as such this chapter may include references that become outdated. Wherever standards or guidance are cited in this chapter, HUD requires reliance on the most recent edition in force or superseding document . This also applies wherever sections, chapters, or

18 https://www.hudexchange.info/programs/environmental-review/ 19 https://www.hudexchange.info/programs/environmental-review/housing/

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addenda of the standards or guidance are cited. The comparable sections, chapters, or addenda of the most recent edition in force should be referenced and relied upon.

E. Requirements in this chapter may exceed those of many State agencies. One reason for this is HUD may become the project owner if a mortgagor defaults on an FHA-insured project. Under Section 120(h) of the Comprehensive Environmental Response and Liability Act (CERCLA), Federal agencies that own properties are required to take “all remedial action necessary to protect human health and the environment” with respect to known hazardous substances upon disposition of the property. This requirement is beyond any liability releases under State or Federal law and any due diligence requirements under CERCLA.