The U.S. Department of Agriculture released its final National Environmental Policy Act rule, which consolidates “seven agency-specific NEPA regulations into a single, department-wide framework.”
Secretarial Memorandum 1078-021, Establishment of USDA General Terms and Conditions for Grants, Cooperative Agreements, and Similar Arrangements, December 31, 2025. Gives all U.S. Department of Agriculture agencies and staff offices 45 days to adopt and implement the USDA General Terms and Conditions issued by the Office of Chief Financial Officer for significant modifications to existing awards and for all future awards. Among other things, USDA awards may not fund activities that support climate change or environmental justice initiatives or initiatives that support diversity, equity and inclusion. Deviations from the USDA General Terms and Conditions will be handled on a case-by-case basis and must be approved by the Office of Chief Financial Officer.
Implements EO 14156, Declaring a National Energy Emergency, and EO 14315, Ending Market Distorting Subsidies for Unreliable, Foreign-Controlled Energy Resources. Directs the U.S. Forest Service to “develop and use the necessary administrative processes to incorporate land-use efficiency metrics into the screening of applications for power generation on National Forest System lands.” It further directs the agency to establish screening criteria to “ensure that energy-related permit applications optimize energy generation per unit of land while taking into consideration environmental, social, and economic considerations.” It places emphasis on projects with higher land-use efficiency and that generate more energy with a smaller footprint.
Outlines the expected reorganization plan for the U.S. Department of Agriculture that will include further reductions of staff through various mechanisms including voluntary programs like the Deferred Resignation Program and Voluntary Early Retirement. It will consolidate USDA operations into five hubs located in Raleigh, N.C.; Kansas City, Mo.; Indianapolis, Ind.; Fort Collins, Colo.; and Salt Lake City, Utah. It will maintain administrative operations for human resources staff in Albuquerque, N.M., and Minneapolis, Minn. In addition, it will reduce the D.C.-based staff from about 4,600 employees to no more than 2,000. The agency will retain the Whitten and Yates buildings in Washington, D.C., as well as the National Agricultural Library. It will vacate and ultimately dispose of the South Building, Braddock Place and the Beltsville Agricultural Research Center. The George Washington Carver Center will be retained for a period of time as a temporary location during the transition of USDA offices and personnel. In addition, the agency will eliminate “management layers and bureaucracy” by doing things such as realigning the NRCS regional structure with the five USDA hub locations. The memorandum charges the deputy secretary with leading the implementation of the reorganization plan.
Outlines actions to improve internal management of the Agriculture Department's approach to wildfire response and mitigation. Among other things, it directs all mission areas to assess their ability to engage with wildfire response, ensure the employees who can support response have all qualifications, including red cards, and “identify the impact of the voluntary departures on the firefighting and fire support workforce and propose a plan and timeline to remedy critical vacancies and immediate changes to business practices to ensure adequate resource capability and mobilization…”
Clarifies that federally recognized Native American Tribes and Tribal citizens, Alaska Natives and the Native Hawai’ian community are not covered by the following executive orders: EO14151, Ending Radical and Wasteful Government DEI Programs and Preferencing (1/29/2025); EO 14168, Defending Women from Gender Ideology Extremism and Restoring Biological Truth to the Federal Government (1/30/2025); and EO 14173, Ending Illegal Discrimination and Restoring Merit-Based Opportunity (1/31/2025).
Delegates authority to the chief of the U.S. Department of Agriculture's Natural Resources Conservation Service to serve as the Agriculture Secretary's proxy to the Migratory Bird Conservation Commission.
Creates a categorical exclusion from the hiring freeze for jobs related to national security and public safety, including firefighters, and food and consumer safety inspectors.
Implements Executive Order 14225, Immediate Expansion of American Timber Production. Designates 112,646,000 acres of national forest lands as an Infrastructure Investment and Jobs Act emergency situation and directs the U.S. Forest Service to carry out authorized emergency actions such as reducing risk of wildland fire and salvaging dead and dying trees. It also directs the U.S. Forest Service to issue new or updated guidance to increase timber production.
Implements Executive Order 14154, Unleashing American Energy. Gives the Chief of the Forest Service 30 days to review existing policies and submit a plan to ensure the agency is taking actions to implement EO 14154. The review shall include, but is not limited to, identifying actions to terminate revoked executive order including “any contract or agreement on behalf of entities or programs abolished in revoked EO. It also directs the chief to review and include “all agency actions…taken between Jan. 20, 2021, and Jan. 21, 2025, for consistency with EO 14154 this memo, and identify steps to remedy inconsistencies in those actions by suspension, revision or recission.”
Directive on Departmental Grants and Cooperative Agreement Priorities. Directs all USDA agencies and staff offices to review all active awards still in their period of performance and awards selected for funding but not yet obligated to ensure the funds are not being used for “discriminatory practices including DEI. It further calls for awards deemed to be inconsistent with the department’s priorities to be terminated, in whole or in part or modified and to send notice to relevant party.”
Directive on Conservation and Natural Resources Priorities. Directs all USDA agencies to review all active awards and awards selected but not yet funded to ensure the department is not funding awards or organizations that promote or take part in climate change or environmental justice initiatives and to terminate, in whole or in part, or otherwise modified any agreements that are not consistent with the department's policies.
Rescinds all Diversity, Equity, Inclusion and Accessibility programs, halts all “identity month” celebrations and requires all USDA forms to eliminate any requirement to base a decision on a individuals’ belonging to a particular identity group unless required to do so by law.
Another step to implement EO 14154, Unleashing American Energy with a goal of accelerating the pace of developing large-scale grid infrastructure to support the growing demand for power in support of artificial intelligence. As part of the Initiative, the Department of Energy issued a request for information for large-scale transmission and generation grid projects. The agency is seeking input on “near-term investment opportunities, project readiness, load growth expectations and infrastructure constraints that DOE can address.” In addition, the request calls for information on ways to leverage existing agency funding programs and authorities. The deadline to submit information under this request is November 21, 2025.
Resource adequacy report required under Section 3(b) of EO 14262, Strengthening the Reliability and Security of the United States Electric Grid, issued January 20, 2025, which directed the energy secretary to “develop a uniform methodology for analyzing current and anticipated reserve margins for all regions of the bulk power system regulated by the Federal Energy Regulatory Commission and shall utilize this methodology to identify current and anticipated regions with reserve margins below acceptable thresholds as identified by the Secretary of Energy.”
Implements President Trump’s Executive Order 14154, Unleashing American Energy. Establishes the department’s goal as unleashing “the great abundance of American energy required to power modern life and to achieve a durable state of American energy dominance” by moving away from net-zero policies. In addition, it prioritizes technological breakthroughs, including nuclear fusion, high-performance computing, quantum computing and AI to “maintain America’s global competitiveness.” Among other things, it also calls for fortifying the electric grid by identifying and exercising existing authorities and streamlining the permitting process.
Developed in coordination with the assistant to the president for domestic policy as required in EO 14394, Removing Regulatory Barriers to Affordable Housing Construction. Outlines regulatory best practices for state and local governments and includes guidance on reducing construction costs, advancing “practices that increase the available space for housing development” and expediting the construction timeline.
Coordinates implementation of Great American Outdoors Act funding and clarifies the roles and responsibilities of department offices and bureaus. It requires all department LWCF guidance, manuals, and memoranda to reflect Section 4 of the order, which includes provisions that impact LWCF state funding, the Outdoor Recreation Legacy Partnership program and federal funding. Among other things, it requires written support from the “affected Governor, or their verified designee, and local county or county-government equivalent” for “the acquisition of land, water, or an interest in land or water under the Federal LWCF program.” It renders nonprofit organizations ineligible for acquisitions in the event of a hardship or emergency situation.
Directs the department to optimize the use of lands under its direct management and to consider a reasonable range of alternatives when reviewing proposed energy projects under the National Environmental Policy Act, including the capacity density of the project. It defines capacity density as “a technology-neutral, objective calculation of how efficiently land is used for energy generation…higher capacity density means greater energy generation with less impact to Federal lands.” The order further directs the department to “only permit those energy projects that are the most appropriate land use when compared to a reasonable range of projects alternatives” and questions whether any wind or solar project onshore or offshore could meet this requirement.
Implements Executive Order 14315, Ending Market Distorting Subsidies for Unreliable Foreign-Controlled Energy Sources. It directs the department to identify and eliminate “preferential treatment toward wind and solar facilities, in comparison to dispatchable energy sources.” It gives departmental assistant secretaries 30 days to review regulations, guidance, policies and practices in their jurisdiction related to a list of decision-making processes or components, or those processes including land use and site authorization, environmental and wildlife permits and analyses, processes related to Tribal and Native lands, and commercial and financial authorizations. Assistant secretaries are further directed to consult with other agencies and assess whether projects are “in the public interest and consistent with the requirement that the department manage public lands for multiple uses, protect environmental concerns, earnestly value public participation, coordinate with other government entities, and make decisions in conformance with land-use plans. Findings from the review are to be submitted to the Office of the Secretary with recommendations on actions to take to be compliant with EO 14315. In addition, it gives the Assistant Secretary of Lands and Minerals Management 45 days to provide a report to the secretary on trends in environmental impacts from onshore and offshore wind projects, economic costs associated with wind energy, effect of taxpayer-funded subsidies on artificially propping up the wind industry, and impacts on military readiness from wind energy.
Implements EO 14253, Restoring Truth and Sanity to American History, which directed the secretary to improve the infrastructure of Independence National Historic Park and complete projects prior to July 4, 2026. The secretarial order calls on the heads of the National Park Service, Fish and Wildlife Service, Bureau of Land Management, Bureau of Indian Affairs and the Bureau of Reclamation to implement EO 14253 by reviewing and identifying “public monuments, memorials, statues, markers, or similar properties…that have been removed or changed from January 1, 2020." It excludes properties held in trust for an individual Native American or Native American Tribe, except lands that are part of the national park system. It also directs the land management agencies to review properties for inappropriate content and to remove such content within 120 days of the date of the order. It directs the land management agencies to post signage to ensure public awareness and allow for public input on areas that need improvement, services that need improvement or “any signs or other information that are negative about either past or living Americans or that fail to emphasize the beauty, grandeur and abundance of landscapes and other natural features.”
Directs all DOI bureaus and offices to identify emergency authorities as well as other legal authorities to expedite the identification and siting of domestic energy resources and critical minerals.
Implements Executive Order 14154, Unleashing American Energy. Directs all assistant secretaries to develop a plan for complying with EO 14154 including terminating all actions and previous orders that were revoked by President Trump. It also calls for a review of all appropriations from the Inflation Reduction Act and Infrastructure Investment and Jobs Act to ensure alignment with administration priorities.
Directs interior bureaus and offices to review and identify programs and regulations that result in higher costs with a focus on “coercive climate policies.”
Implements President Trump’s deregulation agenda and mandates that every Interior bureau and office identify at least ten regulations for elimination before proposing any new regulation. Further requires regulatory costs to be offset by eliminating costs associated with existing regulations.
Advises that the Department of Justice determined that “certain aspects of various programs administered by the United States Department of Agriculture (USDA) violate the Constitution, that the Department of Justice will no longer defend those aspects of the programs in court, and that the Department of Justice will be taking a position in ongoing litigation.” This includes all USDA programs that define "socially disadvantaged farmers or ranchers" to mean "members of certain racial or ethnic groups." It also includes programs that define “socially disadvantaged farmers or ranchers" as "women."
Outlines the types of Diversity, Equity and Inclusion policies and practices that the attorney general has determined violate federal antidiscrimination laws and how the DOJ will interpret and enforce these laws. It clarifies the prohibited “use of proxies for protected characteristics” and provides examples of potential unlawful proxies. It provides direction to federally funded entities to reduce legal risks. It encourages entities that receive federal funding to review the guidance carefully to ensure all programs comply with their legal obligations, as violations could result in loss of federal funding.
Implements EO 14315, Ending Market Distorting Subsidies for Unreliable, Foreign-Controlled Energy Sources (July 7, 2025), regarding the construction of wind and solar facilities before the expiration of tax credits per the One Big Beautiful Bill Act that was signed into law on July 4, 2025. It outlines guidance for establishing the beginning of construction before the July 5, 2026, deadline incorporated into the bill. It states that projects must satisfy the “Physical Work Test” as outlined in the notice. The test requires that there must be a binding contract and that on-site or off-site physical work must be performed before the deadline. For wind projects, on-site work begins with the excavation of the foundation, setting anchor bolts or pouring concrete foundation pads. Off-site work includes manufacturing of components only if pursuant to the written contract and are not part of the manufacturer's inventory. On-site work for solar facilities includes the installation of racks or other structures to affix panels, collectors or cells to a site. Items such as planning or design, securing financing, mapping and modeling, and clearing a site do not meet the Physical Work Test guidance. The notice also outlines additional requirements for things such as a continuous program of construction and provisions for low-output solar facilities.
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