Improving Interagency Coordination for Pipeline Reviews Act
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Would make FERC the sole lead agency for environmental reviews of natural gas pipeline and LNG terminal projects, require all other agencies to defer to FERC's approved review scope, and eliminate states' authority to require Section 401 Clean Water Act water-quality certifications for pipeline applicants.
By centralizing permitting authority in FERC and imposing strict review deadlines, the bill would substantially curtail the independent role of state and federal agencies in reviewing major natural gas infrastructure — a significant shift in how these projects are approved.
What this bill would do
What it would do
The bill would designate FERC as the only lead agency for NEPA environmental reviews of natural gas pipelines and LNG import and export terminals authorized under the Natural Gas Act, requiring all other agencies to defer to FERC's approved scope. FERC would follow strict deadlines — identifying relevant agencies within 30 days of receiving an application, inviting them within 45 days, and designating participating agencies within 60 days. Agencies not designated as participating would be barred from submitting comments or requesting supplemental NEPA reviews. All other federal and state agency reviews would have to proceed concurrently with FERC's, and federal authorizations would have to be issued within 90 days of NEPA review completion. FERC would also be required to consult with the Transportation Security Administration on pipeline cybersecurity and physical security.
The bill would remove the requirement that pipeline applicants obtain state water-quality certifications under Section 401 of the Clean Water Act, folding water-quality concerns into FERC's coordinated review instead. States near a potential discharge could propose conditions for FERC to consider, but FERC would have final say. Agencies that miss deadlines would have to notify Congress within five days. FERC would publicly track the status of all required authorizations on its website, and applicants could fund third-party contractors to help process their applications.
Key provisions
- 1Would make FERC the sole lead agency for NEPA environmental reviews of natural gas pipeline and LNG terminal projects, with all other agencies required to defer to FERC's approved review scope.
- 2Would require FERC to identify relevant agencies within 30 days, invite them within 45 days, and designate participating agencies within 60 days of receiving an application.
- 3Would bar non-designated agencies from submitting comments or conducting supplemental NEPA reviews, with limited narrow exceptions.
- 4Would eliminate the requirement that pipeline applicants obtain a state water-quality certification under Section 401 of the Clean Water Act, instead requiring FERC to coordinate with affected states as participating agencies.
- 5Would set a 90-day deadline for federal authorizations after FERC completes its NEPA review and require all other agency reviews to proceed concurrently.
- 6Would require FERC to consult with the TSA Administrator on applicants' compliance with pipeline infrastructure security, cybersecurity, and personnel security guidance.
- 7Would require FERC to publicly track and post on its website all actions, deadlines, contacts, and delay explanations for applications requiring multiple federal authorizations.
Who would be affected
Natural gas pipeline and LNG terminal developers seeking authorizations under the Natural Gas Act; FERC and other federal agencies involved in energy infrastructure review; state environmental and water-quality agencies that currently issue Section 401 certifications; tribes and local governments that may be designated as participating agencies; the Transportation Security Administration, which would be consulted on security; and communities near proposed pipeline routes.
Why it matters
States would lose their independent Section 401 water-quality certification authority over pipeline projects — a tool that has been used to delay or deny approvals — and could only propose conditions FERC is free to reject. Agencies that miss designation deadlines could be shut out of the review record entirely. Pipeline developers would gain faster, more predictable permitting timelines, while states and non-participating agencies would have significantly less leverage to shape project outcomes.
What would change
Changes to existing law
Amends Natural Gas Act, Section 15 (15 U.S.C. 717n) (Sec. 2(b)–(f))
Establishes FERC as the only lead agency for NEPA reviews, sets deadlines for identifying and designating participating agencies, and caps authorization deadlines at 90 days post-NEPA.
Amends National Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.) (Sec. 2(c)–(d))
Requires all agencies to defer to FERC's approved NEPA review scope and bars non-participating agencies from conducting supplemental NEPA reviews for covered pipeline projects.
Amends Federal Water Pollution Control Act, Section 401 (33 U.S.C. 1341) (Sec. 2(e))
Removes the requirement that pipeline and LNG terminal applicants obtain a state water-quality certification; replaces it with FERC-coordinated state participation and discretionary conditions.
Agencies directed to act
Funding and costs
Congressional Budget Office estimate
CBO estimates H.R. 3668 would have a negligible effect on the federal deficit, with changes to direct spending and revenues each totaling less than $500,000 over the 2026–2035 period.
CBO estimates that H.R. 3668, which would streamline environmental review timeframes for interstate natural gas pipeline permits and replace state Clean Water Act section 401 certifications with FERC-coordinated review, would have no significant effect on revenues and would reduce direct spending (through slightly higher royalty receipts from accelerated natural gas production on federal lands) by less than $500,000 over 2026–2035. Spending subject to annual appropriations would also be negligible, as the bill would not significantly expand federal agencies' responsibilities and FERC can recover costs through fees it charges regulated entities. The bill contains both an intergovernmental mandate and a private-sector mandate — each related to potential FERC fee increases — but CBO estimates both fall well below the Unfunded Mandates Reform Act thresholds of $103 million and $206 million, respectively.
How implementation would work
FERC would implement the bill by running strict sequential deadlines after receiving each application: identifying relevant agencies at 30 days, inviting them at 45 days, and designating participating agencies at 60 days. It would set a master schedule under Natural Gas Act Section 15(c)(1) that all other agencies must follow concurrently. Non-designated agencies are barred from supplemental NEPA reviews except in narrow circumstances. Each participating agency must transmit a compliance plan, readiness notice to the applicant within 30 days, and progress reports every 90 days. Deadline failures trigger a five-day congressional notification requirement. FERC would publish a real-time public dashboard of all required actions, contacts, expected completion dates, and delay explanations. Security consultation with TSA is required for each application.
Legislative status & sources
Latest action
Received in the Senate and Read twice and referred to the Committee on Commerce, Science, and Transportation.
Official CRS summary
Show the CRS summaryHide the CRS summary
Improving Interagency Coordination for Pipeline Reviews Act
This bill expedites the environmental review of certain natural gas pipeline projects or liquefied natural gas (LNG) import or export terminals for authorizations under the Natural Gas Act.
Specifically, the bill makes the Federal Energy Regulatory Commission (FERC) the only lead agency for the purpose of coordinating the environmental review of such projects under the National Environmental Policy Act of 1969 (NEPA). Thus, agencies involved in the environmental review process must defer to FERC's approved scope for a NEPA review.
FERC must invite certain federal, state, local, or tribal governmental agencies to participate in the review process for an authorization and designate the applicable governments as participating agencies by deadlines established by the bill. In addition, FERC must consult with the Transportation Security Administration regarding various pipeline security measures.
The bill prohibits FERC from establishing a deadline for authorizing a project that is more than 90 days after the completion of the NEPA review. It also requires concurrent reviews when multiple federal or state agencies are involved.
Applicants for projects do not have to obtain a water quality certification from states under Section 401 of the Clean Water Act. FERC must coordinate its NEPA review with states where a potential discharge into navigable waters may occur.
If a federal or state agency requires an applicant for a pipeline authorization to submit data, the agency must consider any such data gathered by aerial or other remote means that is submitted.
Legislative subjects
Computer security and identity theft; Energy; Environmental assessment, monitoring, research; Federal Energy Regulatory Commission (FERC); Government information and archives; Intergovernmental relations; Licensing and registrations; Oil and gas; Pipelines; State and local government operations; Transportation employees; Transportation safety and security
Committee report
H. Rept. 119-297,Part 1