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CONFIDENTIAL©CopyrightBakerBotts2017.AllRightsReserved.

MollyCagle

Infrastructure- What'sHappeninginWashingtonDC

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FocusonInfrastructureisNotNew

• InfrastructurePrivatization– EO 12803(Bush41)

• PrinciplesforFederalInfrastructureInvestments– EO 12893(Clinton)

• EnvironmentalStewardship&TransportationInfrastructureProjectReviews– EO 13274(Bush43)

• ImprovingPerformanceofFederalPermitting&ReviewofInfrastructureProjects– EO 13604(Obama)

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Priority List

Emergency&National SecurityProjects

President-elect Trump

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BasicMetrics - Running Total/ Initial 50Projects

Total Investment: $137.5 Billion

Private Investment: 50%

Jobs

Direct: 193,350 job years

Indirect (est.): 241,700 job years

Long-term:

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44. HuntingtonBeachDesalinationPlant

1.Description: A cost-effective, environmentally sensitive solution to provide a safe and reliable water supply to Orange County residents and has the potential to bring significant economic benefits for the city of Huntington Beach and the region

2. Authority: Poseidon Water

3. Cost: $350 million

4. Jobs: 400 Direct Jobs

5. Status

1. Engineering: In progress

2. Permitting: In progress

3. Funding: In progress

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ANDTHENTHISHAPPENED

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MakingInfrastructureHappenisHappening

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“Wewillbuildnewroads,andhighways,andbridges,andairports,andtunnels,andrailways all

acrossourwonderfulnation.”InauguralAddress- January20,2017

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How?

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• EO 13766: “streamlineandexpedite,inamannerconsistentwithlaw,environmentalreviewsandapprovalsforallinfrastructureprojects"

• PresidentialAdvisoryCouncilonInfrastructure

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FIXTHENEPA PROCESS

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DakotaAccess- TheNEPA Timeline

http://www.startribune.com/months-needed-for-additional-study-of-dakota-access-pipeline/435216633/

• July2014- processbegins• July2016- EA/FONSI• Sept.- Dec2016- Moreconsultation• Dec.2016- Corpsmemo• Jan.18,2017- IntenttodoEIS• Jan.20,2017- Inauguration• Jan.24,2017- "Review&approve"• Feb.2017- EA affirmed,easement• June2017- DAPL operational

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ANDTHENTHISHAPPENED

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TheNEPA Opinion

• Corps"generallycomplied"withNEPA• BUT "substantialexceptions"

1. Areproject’seffectslikelytobehighlycontroversial?2. Impactofaspillon:

a) Fishing,huntingrightsb) Environmentaljustice

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SOtheWhiteHouseDidThis:EO 13807- August15,2017

• “EstablishingDisciplineandAccountabilityintheEnvironmentalReviewandPermittingProcessforInfrastructure”– majorinfrastructureprojects– multipleauthorizationsbyFederalagencieswillberequiredtoproceedwith

construction– anenvironmentalimpactstatement(EIS)underNEPA isrequired– projectsponsorhasidentifiedthereasonableavailabilityoffundssufficienttocomplete

theproject.

• Threecriticalagencies– OfficeofManagementandBudget(“OMB”)– WhiteHouseCouncilonEnvironmentalQuality(“CEQ”),– FederalPermittingImprovementSteeringCouncil(“FPISC”)

• FASTActof2015

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Discipline&Accountability

• AgencyAccountability– Average2Years– Tracking&Scoring

• ProcessEnhancements– OneFederalDecision– CEQActionPlan

• OneFederalDecision• Rules,Guidance,etc.• Dashboard• Disputeresolution

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LET'SMAKETHISHAPPEN

• Tobea"HighPriority"infrastructureproject.– CertainHighways,publictransportation,multimodalprojects,WaterInfrastructure

projectsandFastActprojects– ProjectsdesignatedbytheFPISC ExecutiveDirector– Governor– Agencyhead– ChairmanofCEQ

• Thisdeterminationshallbemadeafterconsiderationoftheproject'simportancetothegeneralwelfare,valuetotheNation,environmentalbenefits,andsuchotherfactorsastheChairmandeemsrelevant

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WHAT'SKEEPINGTHISFROMHAPPENING

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FPISC -DeputySecretariesof:

• DepartmentofAgriculture– USDARD

– USFS

• ArmyCorpsofEngineers• DepartmentofEnergy• DepartmentofTransportation• DepartmentofCommerce

– NTIA

– NOAA

– NMFS

• DepartmentofInterior– USFW

– BLM

– BuRec

– NPS

– BOEM

• DepartmentofDefense• DepartmentofDefense• EnvironmentalProtectionAgency• NuclearRegulatoryCommission• FederalEnergyRegulatory

Commission• DepartmentofHousingandUrban

Development• AdvisoryCouncilonHistoric

Preservation• DepartmentofHomelandSecurity

– FEMA

– USCG

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WHATHAPPENSFIRSTISNOTTHEISSUE

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CEQ AlreadyhasstartedtoMakethisHappen

• Willdevelop“OneFederalDecision”frameworkandguidanceanddirectivestoassistagenciesinimplementingOneFederalDecision.

• Identifyindividualstoreceive“highpriorityinfrastructureprojects”requests.• Reviewitsrulesforchangesorupdated.• Revise,modify,and/orsupplementexistingguidance• Developnewguidanceto“simplifyandacceleratetheNEPA processfor

infrastructureprojects.”– publicinvolvementintheNEPA process– deferencetotheleadfederalagencyinmakingkeyNEPA determinations– methodsforassessingcumulativeimpactsofinfrastructureprojects– theuseofpriorstudiesinthesamegenerallocationastheproposedproject

• identifyimpedimentstotheefficientandeffectiveprocessinganddevelop“actionplans”andtimelinesforaddressingtheseimpediments.

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Questions?

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AUSTIN

BEIJING

BRUSSELS

DALLAS

DUBAI

HONGKONG

HOUSTON

LONDON

MOSCOW

NEWYORK

PALOALTO

RIYADH

SANFRANCISCO

WASHINGTON

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