[Code of Federal Regulations]
[Title 7, Volume 11]
[Revised as of January 1, 2003]
From the U.S. Government Printing Office via GPO Access
[CITE: 7CFR1794.15]

[Page 1134-1135]
 
                          TITLE 7--AGRICULTURE
 
    CHAPTER XVII--RURAL UTILITIES SERVICE, DEPARTMENT OF AGRICULTURE
 
PART 1794--ENVIRONMENTAL POLICIES AND PROCEDURES--Table of Contents
 
   Subpart B--Implementation of the National Environmental Policy Act
 
Sec. 1794.15  Limitations on actions during the NEPA process.

    (a) General. Until RUS concludes its environmental review process, 
the applicant shall take no action concerning the proposed action which 
would have an adverse environmental impact or limit the choice of 
reasonable alternatives being considered in the environmental review 
process (40 CFR 1506.1).
    (b) Electric program. In determining which applicant activities 
related to a proposed action can proceed prior to completion of the 
environmental review process, RUS must determine, among other matters 
that:
    (1) The activity shall not have an adverse environmental impact and 
shall not preclude the search for other alternatives. For example, 
purchase of water rights, optioning or transfer of land title, or 
continued use of land as

[[Page 1135]]

historically employed will not have an adverse environmental impact. 
However, site preparation or construction at or near the proposed site 
(e.g. rail spur) or development of a related facility (e.g. opening a 
captive mine) normally will have an adverse environmental impact.
    (2) Expenditures are minimal. To be minimal, the expenditure must 
not exceed the amount of loss which the applicant could absorb without 
jeopardizing the Government's security interest in the event the 
proposed action is not approved by the Administrator, and must not 
compromise the objectivity of RUS environmental review. Not withstanding 
other considerations, expenditures equivalent to up to 10 percent of the 
proposed action's cost normally will not compromise RUS objectivity. 
Expenditures for the purpose of producing documentation required for RUS 
environmental review are excluded from this limitation.