Common use of Application of USAID Environmental Regulations Clause in Contracts

Application of USAID Environmental Regulations. Pursuant to 22 CFR 216, analyses of environmental impact are required with respect to all new projects, programs, or activities authorized or approved by USAID (see ADS 204, Environmental Procedures and 22 CFR 216). Any environmental conditions proposed in a Bilateral Donor grant agreement to ensure adequate environmental review of the proposed activity should reflect due regard for both the independence and sovereignty of the Bilateral Donor. Therefore, in making cost-type grants to Bilateral Donors for activities that are not exempt or categorically excluded from environmental analysis under 22 CFR 216.2, USAID should, considering the purpose and intent of the regulatory requirements under 22 CFR 216: • Endeavor to rely upon the Bilateral Donor’s application of its own environmental policies to such activities, • Explain the rationale for such reliance in the relevant pre-grant memorandum or Project Appraisal Document, and • Include appropriate language in the grant agreement. Note also that, pursuant to 22 CFR 216.9, the Administrator may approve, as a substitute for the Environmental Assessment (but not as a substitute for an Environmental Impact Statement) under 22 CFR 216.3, the use of either: (i) Bilateral or multilateral environmental studies, relevant or related to the proposed action, prepared by the United States and one or more foreign countries or by an international body or organization in which the United States is a member or participant; or (ii) Concise reviews of the environmental issues involved including summary environmental analyses or other appropriate documents; provided, however, that specific environmental requirements under 22 CFR 216 (e.g., requirements with respect to the procurement of pesticides) must still be complied with notwithstanding the use of an authorized Environmental Assessment substitute.

Application of USAID Environmental Regulations. Pursuant to 22 CFR 216, analyses of environmental impact are required with respect to all new projects, programs, or activities authorized or approved by USAID (see ADS 204, Environmental Procedures and 22 CFR 216). Any environmental conditions proposed in a Bilateral Donor grant agreement to ensure adequate environmental review of the proposed activity should reflect due regard for both the independence and sovereignty of the Bilateral Donor. Therefore, in making cost-type grants to Bilateral Donors for activities that are not exempt or categorically excluded from environmental analysis under 22 CFR 216.2, USAID should, considering the purpose and intent of the regulatory requirements under 22 CFR 216: • Endeavor to rely upon the Bilateral Donor’s application of its own environmental policies to such activities, • Explain the rationale for such reliance in the relevant pre-grant memorandum or Project Appraisal Document, and • Include appropriate language in the grant agreement. Note also that, pursuant to 22 CFR 216.9, the Administrator may approve, as a substitute for the Environmental Assessment (but not as a substitute for an Environmental Impact Statement) under 22 CFR 216.3, the use of either: (i) Bilateral or multilateral environmental studies, relevant or related to the proposed action, prepared by the United States and one or more foreign countries or by an international body or organization in which the United States is a member or participant; or (ii) Concise reviews of the environmental issues involved including summary environmental analyses or other appropriate documents; provided, however, that specific environmental requirements under 22 CFR 216 (e.g., requirements with respect to the procurement of pesticides) must still be complied with notwithstanding the use of an authorized Environmental Assessment substitute.