
[Code of Federal Regulations]
[Title 16, Volume 1]
[Revised as of January 1, 2002]
From the U.S. Government Printing Office via GPO Access
[CITE: 16CFR1]

[Page 27-30]
 
                     TITLE 16--COMMERCIAL PRACTICES
 
                   CHAPTER I--FEDERAL TRADE COMMISSION
 
PART 1--GENERAL PROCEDURES--Table of Contents
 
Subpart I--Procedures for Implementation of the National Environmental Policy A
ct of 1969

    Authority: 15 U.S.C. 46(g), 42 U.S.C. 4321 et seq.

    Source: 47 FR 3096, Jan. 22, 1982, unless otherwise noted.

Sec. 1.81  Authority and incorporation of CEQ Regulations.

    This subpart is issued pursuant to 102(2) of the National 
Environmental Policy Act of 1969 (NEPA), as amended (42 U.S.C. 4321 et 
seq.). Pursuant to Executive Order 11514 (March 5, 1970, as amended by 
Executive Order 11991, May 24, 1977) and the Environmental Quality 
Improvement Act of 1980, as amended (42 U.S.C. 4371 et seq.) the Council 
on Environmental Quality (CEQ) has issued comprehensive regulations for 
implementing the procedural provisions of NEPA (40 CFR parts 1500 
through 1508) (``CEQ Regulations''). Although it is the Commission's 
position that these regulations are not binding on it, the Commission's 
policy is to comply fully with the CEQ Regulations unless it determines 
in a particular instance or for a category of actions that compliance 
would not be consistent with the requirements of law. With this caveat, 
the Commission incorporates into this subpart the CEQ Regulations. The 
following are supplementary definitions and procedures to be applied in 
conjunction with the CEQ Regulations.

[47 FR 3096, Jan. 22, 1982, as amended at 50 FR 53304, Dec. 31, 1985]

Sec. 1.82  Declaration of policy.

    (a) Except for actions which are not subject to the requirements of 
section 102(2)(C) of NEPA, no Commission proposal for a major action 
significantly affecting the quality of the human environment will be 
instituted unless an environmental impact statement has been prepared 
for consideration in the decisionmaking. All relevant environmental 
documents, comments, and responses as provided in this subpart shall 
accompany such proposal through all review processes. ``Major actions, 
significantly affecting the quality of the human environment'' referred 
to in this subpart ``do not include bringing judicial or administrative 
civil or criminal enforcement actions'' CEQ Regulation (40 CFR 
1508.18(a)). In the event that the Commission in an administrative 
enforcement proceeding actively contemplates the adoption of standards 
or a form of relief which it determines may have a significant effect on 
the environment, the Commission will, when consistent with the 
requirements of law, provide for the preparation of an environmental 
assessment or an environmental impact statement or such other action as 
will permit the Commission to assess alternatives with a view toward 
avoiding or minimizing any adverse effect upon the environment.
    (b) No Commission proposal for legislation significantly affecting 
the quality of the human environment and concerning a subject matter in 
which the Commission has primary responsibility will be submitted to 
Congress without an accompanying environmental impact statement.
    (c) When the Commission finds that emergency action is necessary and 
an environmental impact statement cannot be prepared in conformance with 
the CEQ Regulations, the Commission will consult with CEQ about 
alternative arrangements in accordance with CEQ Regulation (40 CFR 
1506.11).

Sec. 1.83  Whether to commence the process for an environmental impact 
          statement.

    (a) The Bureau responsible for submitting a proposed rule, guide, or 
proposal for legislation to the Commission for agency action shall, 
after consultation with the Office of the General Counsel, initially 
determine whether or not the proposal is one which requires an 
environmental impact statement. Except for matters where the 
environmental effects, if any, would appear to be either (1) clearly 
significant and therefore the decision is made to prepare an 
environmental impact statement, or (2) so uncertain that environmental 
analysis would be based on speculation, the Bureau should normally 
prepare an ``environmental assessment'' CEQ Regulation (40 CFR

[[Page 28]]

1508.9) for purposes of providing sufficient evidence and analysis for 
determining whether to prepare an environmental impact statement or a 
finding of no significant impact. The Bureau should involve 
environmental agencies to the extent practicable in preparing an 
assessment. An environmental assessment shall be made available to the 
public when the proposed action is made public along with any ensuing 
environmental impact statement or finding of no significant impact.
    (b) If the Bureau determines that the proposal is one which requires 
an environmental impact statement, it shall commence the ``scoping 
process'' CEQ Regulation (40 CFR 1501.7) except that the impact 
statement which is part of a proposal for legislation need not go 
through a scoping process but shall conform to CEQ Regulation (40 CFR 
1506.8). As soon as practicable after its decision to prepare an 
environmental impact statement and before the scoping process, the 
Bureau shall publish a notice of intent as provided in CEQ Regulations 
(40 CFR 1501.7 and 1508.22).
    (c) If, on the basis of an environmental assessment, the 
determination is made not to prepare a statement, a finding of ``no 
significant impact'' shall be made in accordance with CEQ Regulation (40 
CFR 1508.3) and shall be made available to the public as specified in 
CEQ Regulation (40 CFR 1506.6).

Sec. 1.84  Draft environmental impact statements: Availability and 
          comment.

    Except for proposals for legislation, environmental impact 
statements shall be prepared in two stages: Draft statement and final 
statement.
    (a) Proposed rules or guides. (1) An environmental impact statement, 
if deemed necessary, shall be in draft form at the time a proposed rule 
or guide is published in the Federal Register and shall accompany the 
proposal throughout the decisionmaking process.
    (2) The major decision points with respect to rules and guides are:
    (i) Preliminary formulation of a staff proposal;
    (ii) The time the proposal is initially published in the Federal 
Register as a Commission proposal;
    (iii) Presiding officer's report (in trade regulation rule 
proceedings);
    (iv) Submission to the Commission of the staff report or 
recommendation for final action on the proposed guide or rule;
    (v) Final decision by the Commission. The decision on whether or not 
to prepare an environmental impact statement should occur at point 
(a)(2)(i) of this section. The publication of any draft impact statement 
should occur at point (a)(2)(ii) of this section. The publication of the 
final environmental impact statement should occur at point (a)(2)(iv) of 
this section.
    (b) Legislative proposals. In legislative matters, a legislative 
environmental impact statement shall be prepared in accordance with CEQ 
Regulation (40 CFR 1506.8).
    (c) In rule or guide proceedings the draft environmental impact 
statement shall be prepared in accordance with CEQ Regulation (40 CFR 
1502.9) and shall be placed in the public record to which it pertains; 
in legislative matters, the legislative impact statement shall be placed 
in a public record to be established, containing the legislative report 
to which it pertains; these will be available to the public through the 
Office of the Secretary and will be published in full with the 
appropriate proposed rule, guide, or legislative report; such statements 
shall also be filed with the Environmental Protection Agency's (EPA) 
Office of Environmental Review (CEQ Regulation (40 CFR 1506.9)) for 
listing in the weekly Federal Register Notice of draft environmental 
impact statements, and shall be circulated, in accordance with CEQ 
Regulations (40 CFR 1502.19, 1506.6) to appropriate federal, state and 
local agencies.
    (d) Forty-five (45) days will be allowed for comment on the draft 
environmental impact statement, calculated from the date of publication 
in the EPA's weekly Federal Register list of draft environmental impact 
statements. The Commission may in its discretion grant such longer 
period as the complexity of the issues may warrant.

[[Page 29]]

Sec. 1.85  Final environmental impact statements.

    (a) After the close of the comment period, the Bureau responsible 
for the matter will consider the comments received on the draft 
environmental impact statement and will put the draft statement into 
final form in accordance with the requirements of CEQ Regulation (40 CFR 
1502.9(b)), attaching the comments received (or summaries if response 
was exceptionally voluminous).
    (b) Upon Bureau approval of the final environmental impact statement 
the final statement will be
    (1) Filed with the EPA;
    (2) Forwarded to all parties which commented on the draft 
environmental impact statement and to other interested parties, if 
practicable;
    (3) Placed in the public record of the proposed rule or guide 
proceeding or legislative matter to which it pertains;
    (4) Distributed in any other way which the Bureau in consultation 
with CEQ deems appropriate.
    (c) In rule and guide proceedings, at least thirty (30) days will be 
allowed for comment on the final environmental impact statement, 
calculated from the date of publication in the EPA's weekly Federal 
Register list of final environmental impact statements. In no event will 
a final rule or guide be promulgated prior to ninety (90) days after 
notice of the draft environmental impact statement, except where 
emergency action makes such time period impossible.

Sec. 1.86  Supplemental statements.

    Except for proposals for legislation, as provided in CEQ Regulation 
(40 CFR 1502.9(c)), the Commission shall publish supplements to either 
draft or final environmental statements if:
    (a) The Commission makes substantial changes in the proposed action 
that are relevant to environmental concerns; or
    (b) There are significant new circumstances or information relevant 
to environmental concerns and bearing on the proposed action and its 
impacts. In the course of a trade regulation rule proceeding, the 
supplement will be placed in the rulemaking record.

Sec. 1.87  NEPA and agency decisionmaking.

    In its final decision on the proposed action or, if appropriate, in 
its recommendation to Congress, the Commission shall consider all the 
alternatives in the environmental impact statement and other relevant 
environmental documents and shall prepare a concise statement which, in 
accordance with CEQ Regulation Sec. 1505.2, shall:
    (a) Identify all alternatives considered by the Commission in 
reaching its decision or recommendation, specifying the alternatives 
which were considered to be environmentally preferable;
    (b) State whether all practicable means to avoid or minimize 
environmental harm from the alternative selected have been adopted, and 
if not, why they were not.

Sec. 1.88  Implementing procedures.

    (a) The General Counsel is designated the official responsible for 
coordinating the Commission's efforts to improve environmental quality. 
He will provide assistance to the staff in determining when an 
environmental impact statement is needed and in its preparation.
    (b) The Commission will determine finally whether an action complies 
with NEPA.
    (c) The Directors of the Bureaus of Consumer Protection and 
Competition will supplement these procedures for their Bureaus to assure 
that every proposed rule and guide is reviewed to assess the need for an 
environmental impact statement and that, where need exists, an 
environmental impact statement is developed to assure timely 
consideration of environmental factors.
    (d) The General Counsel will establish procedures to assure that 
every legislative proposal on a matter for which the Commission has 
primary responsibility is reviewed to assess the need for an 
environmental impact statement and that, where need exists, and 
environmental impact statement is developed to assure timely 
consideration of environmental factors.
    (e) Parties seeking information or status reports on environmental 
impact statements and other elements of

[[Page 30]]

the NEPA process, should contact the Assistant General Counsel for 
Litigation and Environmental Policy.

Sec. 1.89  Effect on prior actions.

    It is the policy of the Commission to apply these procedures to the 
fullest extent possible to proceedings which are already in progress.
