On November 20, the House Committee on Natural Resources passed the Standardizing Permitting and Expediting Economic Development (SPEED) Act, to reform the permitting and judicial review process for construction projects subject to the National Environmental Policy Act of 1969 (NEPA).
The bill streamlines NEPA by reestablishing it as a procedural statute, codifying the Supreme Court’s Seven Counties decision into law. If enacted, the bill would establish a 150-day statute of limitations for filing a legal challenge of a NEPA permitting decision. Additionally, the bill would restrict third-parties from filing lawsuits against a decision, curtailing frivolous sue-and-settle lawsuits that seek to delay or cancel construction projects altogether.
Project delays caused by prolonged NEPA reviews, permitting, and litigation increase costs and harm the construction workforce by delaying job creation, disrupting hiring, and reducing economic activity. The delays increase labor and material costs, forcing contractors to reprice projects and potentially leading to cost overruns.