[Federal Register: March 12, 2008 (Volume 73, Number 49)]
[Rules and Regulations]               
[Page 13367-13401]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr12mr08-38]                         


[[Page 13367]]

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Part III





Department of Transportation





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Federal Highway Administration



Federal Transit Administration



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23 CFR Parts 771 and 774

49 CFR Part 622



Parks, Recreation Areas, Wildlife and Waterfowl Refuges, and Historic 
Sites; Final Rule


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DEPARTMENT OF TRANSPORTATION

Federal Highway Administration

Federal Transit Administration

23 CFR Parts 771 and 774

49 CFR Part 622

[Docket No. FHWA-2005-22884]
RIN 2125-AF14 and 2132-AA83

 
Parks, Recreation Areas, Wildlife and Waterfowl Refuges, and 
Historic Sites

AGENCY: Federal Highway Administration (FHWA) and Federal Transit 
Administration (FTA), DOT.

ACTION: Final rule.

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SUMMARY: This final rule modifies the procedures for granting Section 
4(f) approvals in several ways. First, the final rule clarifies the 
factors to be considered and the standards to be applied when 
determining if an alternative for avoiding the use of Section 4(f) 
property is feasible and prudent. Second, the final rule clarifies the 
factors to be considered when selecting a project alternative in 
situations where all alternatives would use some Section 4(f) property. 
Third, the final rule establishes procedures for determining that the 
use of a Section 4(f) property has a de minimis impact on the property. 
Fourth, the final rule updates the regulation to recognize statutory 
and common-sense exceptions for uses that advance Section 4(f)'s 
preservation purpose, as well as the option of applying a programmatic 
Section 4(f) evaluation. Fifth, the final rule moves the Section 4(f) 
regulation out of the agencies' National Environmental Policy Act 
regulation, ``Environmental Impact and Related Procedures,'' into its 
own part with a reorganized structure that is easier to use.

DATES: Effective Date: April 11, 2008.

FOR FURTHER INFORMATION CONTACT: For FHWA: Diane Mobley, Office of the 
Chief Counsel, 202-366-1366, or Lamar Smith, Office of Project 
Development and Environmental Review, 202-366-8994. For FTA: Joseph 
Ossi, Office of Planning and Environment, 202-366-1613, or Christopher 
VanWyk, Office of Chief Counsel, 202-366-1733. Both agencies are 
located at 1200 New Jersey Avenue, SE., Washington, DC 20590. Office 
hours are from 7:45 a.m. to 4:15 p.m., e.t., for FHWA, and 9 a.m. to 
5:30 p.m., e.t., for FTA, Monday through Friday, except Federal 
holidays.

SUPPLEMENTARY INFORMATION:

Electronic Access

    This document, the notice of proposed rulemaking (NPRM) of July 27, 
2006, at 71 FR 42611, and all comments received by the U.S. DOT Docket 
Facility may be viewed through the Federal Docket Management System 
(FDMS) at http://www.regulations.gov. The FDMS is available 24 hours 
each day, 365 days each year. Electronic submission and retrieval help 
and guidelines are available under the help section of this Web site.
    An electronic copy of this document may be downloaded by using a 
computer, modem, and suitable communications software, from the 
Government Printing Office's Electronic Bulletin Board Service at (202) 
512-1661. Internet users may reach the Office of the Federal Register's 
home page at: http://www.archives.gov and the Government Printing 
Office's Web site at: http://www.access.gpo.gov/nara.

Statutory Authority

    The principal statutory authority for this rulemaking action is 
Section 6009 of the Safe, Accountable, Flexible, Efficient 
Transportation Equity Act: A Legacy for Users (SAFETEA-LU) (Pub. L. 
109-59, Aug. 10, 2005, 118 Stat. 1144).

Background

    Section 4(f) of the Department of Transportation Act of 1966 (Pub. 
L. 89-670, 80 Stat. 931) \1\ prohibits the use of land of significant 
publicly owned public parks, recreation areas, wildlife and waterfowl 
refuges, and land of a historic site for transportation projects unless 
the Administration (as defined in section 774.17 of this part) \2\ 
determines that there is no feasible and prudent avoidance alternative 
and that all possible planning to minimize harm has occurred. Early 
case law strictly interpreted Section 4(f), beginning with the Supreme 
Court's decision in Citizens to Preserve Overton Park v. Volpe, 401 
U.S. 402 (1971) (Overton Park). In Overton Park, the Court articulated 
a very high standard for compliance with Section 4(f), stating that 
Congress intended the protection of parkland to be of paramount 
importance. The Court also made clear that an avoidance alternative 
must be selected unless it would present ``uniquely difficult 
problems'' or require ``costs or community disruption of extraordinary 
magnitude.'' Id. at 411-21, 416.
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    \1\ Section 4(f) of the Department of Transportation Act of 1966 
was technically repealed in 1983 when it was codified without 
substantive change at 49 U.S.C. 303. A provision with the same 
meaning is found at 23 U.S.C. 138 and applies only to FHWA actions. 
This regulation continues to refer to Section 4(f) as such because 
it would create needless confusion to do otherwise; the policies 
Section 4(f) engendered are widely referred to as ``Section 4(f)'' 
matters.
    \2\ Section 774.14 of this final rule defines ``Administration'' 
as ``The FHWA or FTA, whichever is making the approval for the 
transportation program or project at issue. A reference herein to 
the Administration means the State when the State is functioning as 
the FHWA or FTA in carrying out responsibilities delegated or 
assigned to the State in accordance with 23 U.S.C. 325, 326, 327, or 
other applicable law.'' All references to the ``Administration'' in 
the preamble to this final rule are consistent with this definition.
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    Courts around the country have applied the Overton Park decision, 
reaching different conclusions as to how various factors may be 
considered and what weight may be attached to the factors an agency 
uses to determine whether an avoidance alternative is or is not 
feasible and prudent. Some courts have interpreted Overton Park to 
mandate the avoidance of Section 4(f) properties at the expense of 
other important environmental and social resources. Congress amended 
Section 4(f) in 2005 to address the uncertainty surrounding its 
application. Section 6009(b) of the Safe, Accountable, Flexible, 
Efficient Transportation Equity Act: A Legacy for Users (SAFETEA-LU) 
(Pub. L. 109-59, Aug. 10, 2005, 119 Stat. 1144) directed the Secretary 
of Transportation to promulgate regulations clarifying ``the factors to 
be considered and the standards to be applied'' in determining the 
prudence and feasibility of alternatives that avoid the use of Section 
4(f) property by transportation projects. The FHWA and FTA published a 
NPRM on July 27, 2006, at 71 FR 42611. The NPRM requested comments on 
the factors proposed to be considered and standards proposed to be 
applied when determining whether an avoidance alternative is feasible 
and prudent. The NPRM also solicited comments on a new, alternative 
method of compliance created by SAFETEA-LU section 6009(a) for uses 
that result in a de minimis impact to a Section 4(f) property and on 
other proposed changes to the Section 4(f) regulation. The comment 
period remained open until September 25, 2006. All comments, including 
several comments submitted late, have been fully considered in this 
final rule.

Profile of Respondents

    The docket received a total of 37 responses to the NPRM. Out of the 
37 responses, 17 were submitted by 20 State and regional transportation 
agencies; 6 responses were submitted by trade associations; 9 responses 
were submitted by 11 national and local

[[Page 13369]]

environmental advocacy groups; 2 responses were from Federal agencies; 
1 response was from a State Historic Preservation Officer; and 2 
responses were from private individuals. The trade associations 
submitting comments were: The American Association of State Highway and 
Transportation Officials, the American Council of Engineering 
Companies, the American Cultural Resources Association, the American 
Highway Users Alliance, the American Public Transportation Association, 
and the American Road and Transportation Builders Association. The 
Federal agencies submitting comments were the United States Department 
of the Interior and the Advisory Council on Historic Preservation. The 
national environmental advocacy organizations submitting comments 
included the National Recreation and Park Association, The Nature 
Conservancy, and the National Trust for Historic Preservation, the 
Rails to Trails Conservancy, the Surface Transportation Policy Project, 
the Natural Resources Defense Council, and Environmental Defense.

Overall Position of Respondents

    The majority of comments received in response to the NPRM were 
generally supportive of the proposed changes. Most comments agreed with 
the decision to clarify the feasible and prudent test in a manner that 
will continue a high level of protection of Section 4(f) properties 
from the impacts of transportation projects. Respondents from all 
across the board, including State Departments of Transportation (SDOTs) 
and the private sector, commented positively on the rule's specificity 
and the flexibility allowed in dealing with various aspects of Section 
4(f). Moreover, there was substantial support for the idea that 
implementation of the proposed regulations would improve transportation 
decisionmaking and expedite environmental reviews, while continuing to 
protect Section 4(f) properties.
    On the other hand, several respondents had a generally negative 
reaction to the proposed regulation. Concerns included that the 
proposed regulations do not track the actual process the Administration 
and applicant would follow in writing a Section 4(f) evaluation; that 
the rule exceeds the requirements of SAFETEA-LU by addressing de 
minimis requirements; that the proposed rule's writing, structure, and 
organization are very confusing and will cause more litigation; and 
that the proposed rule will not streamline environmental analysis or 
adequately protect Section 4(f) properties.

General Comments

    A general comment noted that the regulation often refers simply to 
``refuges'' while the statute refers to ``wildlife and waterfowl 
refuges.'' For consistency, we have replaced ``refuges'' with the 
statutory terminology throughout the final rule.
    Another general comment expressed concern that the final 
decisionmaking responsibility under the proposed rule rests with the 
U.S. DOT. We considered this view but concluded that the statute 
entrusts final decisionmaking responsibility for approving the use of 
Section 4(f) property with the Secretary of Transportation, who has 
delegated that responsibility to the modal Administrations within the 
U.S. DOT.
    Another comment asked if this rule would apply to the Federal 
Aviation Administration (FAA) and the Federal Railroad Administration 
(FRA). The final rule will apply only to the FHWA and FTA. However, 
section 6009 of SAFETEA-LU amended 49 U.S.C. 303, which applies to all 
U.S. DOT agencies including FAA and FRA. The FAA and FRA may choose to 
adopt or use this rule and other FHWA and FTA guidance on Section 4(f).
    Finally, one commenter suggested that ``inside metropolitan areas, 
any 4(f) related activities, analysis, and decisions should be carried 
out in the context of the region-wide environmental mitigation element 
of the metropolitan transportation plan.'' Reference is made to the 
transportation planning regulation (23 CFR part 450) published in 
February 2007. The FHWA and FTA do not agree with this comment. The 
environmental mitigation discussed in the metropolitan plan generally 
would not delve into the site-specific impacts of individual projects 
and the mitigation thereof. That impact assessment will continue to be 
performed at the project level generally as part of the documentation 
prepared under the National Environmental Policy Act (NEPA). The 
discussion in the transportation plan would identify broader 
environmental mitigation needs and opportunities that individual 
transportation projects might later take advantage of. For example, as 
a result of consultation with resource agencies, the plan might 
identify an expanse of degraded wetlands associated with a troubled 
body of water that represents a good candidate for establishing a 
wetlands bank or habitat bank for wildlife and waterfowl. The plan 
might identify locations where the purchase of development rights would 
assist in preserving a historic battlefield or historic farmstead. 
Assessments of each individual project would still be needed to 
determine the appropriateness of devoting project funds to one of the 
mitigation activities identified in the plan, to a mitigation bank 
discussed in the plan, or to new mitigation developed during the NEPA/
Section 4(f) process and not mentioned in the plan. We therefore did 
not make changes in response to this comment.

Section-by-Section Analysis of NPRM Comments and the Administration's 
Response

    For ease of reference, the following table is provided which maps 
the former sections of the rule into the corresponding new sections:

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          Former section in part 771                                 New section in part 774
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None..........................................  774.1 Purpose.
771.135(a)(1).................................  774.3 Section 4(f) approvals.
771.135(i) [in part]..........................  774.5 Coordination.
771.135(a)(2), (i) [in part], (j), (k), and     774.7 Documentation.
 (o).
771.135(b) [in part], (g)(1) [in part], (l),    774.9 Timing.
 (m) [in part] and (n).
771.135(b) [in part], (c), (d), (e), (g)(1)     774.11 Applicability.
 [in part], (m)(4) and (p) (5)(v).
771.135(f), (g)(2), (h), (p)(5) [in part], and  774.13 Exceptions.
 (p)(7).
771.135(p)(3), (p)(4), (p)(5) [in part] and     774.15 Constructive use determinations.
 (p)(6).
771.107(d) and 771.135(p)(1) and (p)(2).......  774.17 Definitions.
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    In this preamble, all references to provisions of 23 CFR part 774 
refer to the final rule as presented herein. Several provisions 
proposed in the NPRM were moved to new sections in response to comments 
on the NPRM. A reference to an NPRM section will be explicitly labeled 
as such.

Section 771.127 Record of Decision

    One comment objected to the provision for signing a Record of 
Decision ``no sooner than 30 days after publication of the final 
environmental impact statement (EIS) notice in the Federal Register or 
90 days after publication of a notice for the draft EIS, whichever is 
later.'' This sentence was incorporated verbatim from the FHWA and 
FTA's existing regulation implementing the National Environmental 
Policy Act (NEPA), and it is consistent with the NEPA regulations of 
the Council on Environmental Quality (CEQ), 40 CFR 1506.10(b). 
Substantive modifications to the FHWA and FTA joint NEPA regulation are 
outside the scope of this rulemaking. Thus, we have retained the 
language as proposed in the NPRM.

Section 774.1 Purpose

    This section clarifies the purpose of the regulations, which is to 
implement 49 U.S.C. 303 and 23 U.S.C. 138 (Section 4(f)). There were no 
major comments in response to this section. Therefore, we have retained 
the language as proposed in the NPRM.

Section 774.3 Section 4(f) Approvals

    This section sets forth the determination required by the 
Administration prior to approving a project that uses Section 4(f) 
property. Paragraph 774.3(a) is the traditional Section 4(f) approval, 
similar to the previous rule at paragraph 771.135(a)(1). Paragraph 
774.3(b) implements the new provision in section 6009(a) of SAFETEA-LU 
for making de minimis impact determinations in lieu of the traditional 
analysis. Section 774.3 includes cross-references to the definitions 
for ``use,'' ``feasible and prudent avoidance alternative,'' ``de 
minimis impact,'' and ``all possible planning,'' which are located in 
the definitions section, 774.17.
    Paragraph 774.3(c) provides new regulatory direction for how to 
analyze and select an alternative when it has been determined that no 
feasible and prudent avoidance alternatives exist and all viable 
alternatives use some Section 4(f) property. The paragraph provides a 
list of factors that should be considered in the analysis and selection 
of an alternative. The factors were drawn from case law experience and 
the FHWA ``Section 4(f) Policy Paper.'' \3\ It should be noted that the 
weight given each factor would necessarily depend on the facts in each 
particular case, and not every factor would be relevant to every 
decision. Our intent is to provide the tools that will allow wise 
transportation decisions that minimize overall harm in these 
situations, while still providing the special protection afforded by 
Section 4(f) by requiring the other weighed factors to be severe and 
not easily mitigated.
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    \3\ The FHWA ``Section 4(f) Policy Paper,'' issued March 1, 
2005, is available for review online at http://
environment.fhwa.dot.gov/projdev/4fpolicy.htm. A copy was also 
placed in the docket for this rulemaking.
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    Paragraph 774.3(d) provides a clear regulatory basis for 
programmatic Section 4(f) evaluations, and it distinguishes between the 
promulgation of new programmatic Section 4(f) evaluations and the 
application of an existing programmatic Section 4(f) evaluation to a 
particular project. Paragraph 774.3(e) provides cross-references to the 
sections of the regulation governing the coordination, documentation, 
and timing of approvals as a road map for the practitioner.
    Many comments were received in response to this section. The 
majority of comments were generally supportive of the approach proposed 
in the NPRM, although many offered minor re-wording for clarity. Those 
suggestions are discussed below for each paragraph. Several comments 
were strongly opposed to the proposed procedural structure. The NPRM 
proposed different processes for approving uses with de minimis and 
non-de minimis impacts to Section 4(f) property, and the proposed rule 
requires an additional step when approving projects for which all 
alternatives use some Section 4(f) property. A use with more than de 
minimis impacts would be processed with the traditional two-step 
inquiry pursuant to paragraph 774.3(a) (a determination that there is 
no feasible and prudent avoidance alternative, followed by a 
determination that the action includes all possible planning to 
minimize harm to the property). A use with de minimis impacts would be 
processed in a single step pursuant to paragraph 774.3(b) (without the 
need for the development and analysis of avoidance alternatives, and 
with the planning to minimize harm folded into the development of 
measures needed to reduce the impacts of the Section 4(f) use to a de 
minimis level). Projects for which all viable alternatives use some 
Section 4(f) property would be processed in two steps pursuant to 
paragraph 774.3(c) (a determination that there is no feasible and 
prudent avoidance alternative, followed by the selection of an 
alternative by weighing the factors in paragraph 774.3(c) and a 
determination, with documentation, that the action includes all 
possible planning to minimize harm).
    The commenters opposed to the structure proposed in the NPRM 
indicated that the regulation in all situations should first require a 
determination of which alternative minimizes harm to the Section 4(f) 
resource(s), followed by a determination of whether that alternative is 
feasible and prudent and may therefore be selected. Comments stated 
that in Overton Park, the Supreme Court required such a structure for 
Section 4(f) decisionmaking. We disagree. We have re-read Overton Park 
and considered this concern very carefully, but we do not agree that 
Overton Park stands for the process favored by these commenters or that 
the process proposed in the NPRM should be restructured. First, the 
NPRM structure follows the order of the requirements as they appear in 
the statute. Second, the statute does not require a determination of 
which alternative minimizes harm, it requires ``all possible planning'' 
to minimize harm. It is much more efficient to conduct all possible 
planning to minimize harm as the last step for the selected alternative 
than to undertake all possible planning repeatedly for each 
alternative, including those that are not feasible and prudent, and for 
a variety of reasons, cannot be selected. Such a process would be very 
inefficient. Finally, the structure and processes in the final rule are 
consistent with longstanding FHWA and FTA procedures, with the 
exception of the procedures for approving the new concept of de minimis 
impacts. For these reasons, we retained the structure proposed in the 
NPRM.
    Another comment strongly recommended the separation of the 
analysis, coordination, documentation, and timing requirements for de 
minimis impacts and the traditional Section 4(f) evaluation into 
discrete sections of the regulation. We decided not to make this 
proposed change because we do not agree that re-structuring the 
regulation in this manner would make it easier to use. In addition, for 
those who prefer the suggested structure, the existing joint FHWA/FTA 
``Guidance for Determining De Minimis Impacts to Section 4(f) 
Resources,'' December 13, 2005,\4\ already provides a complete

[[Page 13371]]

discussion of the process for determining de minimis impacts, separate 
from any discussion of the requirements for traditional Section 4(f) 
approvals.
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    \4\ http://www.fhwa.dot.gov/hep/guidedeminimus.htm.
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    Another comment requested definitions of numerous phrases used in 
section 774.3; for example, ``relative severity of the harm,'' 
``relative significance,'' and ``the ability to mitigate.'' We did not 
include the requested definitions in the final rule because these words 
are all used with their common English meanings. The provisions of 
section 774.3 will be applied to an extensive variety of fact 
situations, and regulatory definitions would unduly limit the 
applicability of the provisions to the particular fact situations 
anticipated in those definitions.
     Section 774.3--One comment suggested that section 774.3, 
which prohibits the use of Section 4(f) property unless certain 
determinations are made, should simply refer to ``section 4(f) 
property'' instead of ``public park, recreation area, or wildlife and 
waterfowl refuge, or any significant historic site.'' We agree that 
this suggested change improves the readability of the regulation, so we 
substituted the phrase ``Section 4(f) property'' and moved the 
terminology proposed in the NPRM into a new definition of ``Section 
4(f) property'' in section 774.17. The defined term is now used 
throughout the regulation.
     Paragraph 774.3(a)(1)--Another comment asked that we 
confirm ``that an alternative with a net benefit 4(f) use can be chosen 
over an alternative with no Section 4(f) use.'' If avoidance 
alternatives are determined not to be feasible and prudent then the use 
may be approved, whether or not it is a ``net benefit.'' For FHWA 
projects, the ``Nationwide Programmatic Section 4(f) Evaluation and 
Determination for Federal-Aid Transportation Projects That Have a Net 
Benefit to a Section 4(f) Property,'' 70 FR 20618, April 20, 2005, 
would generally apply to situations envisioned by the commenter. This 
programmatic Section 4(f) evaluation remains in effect. In cases where 
application of this programmatic evaluation is appropriate, the 
criteria for evaluating the existence of a feasible and prudent 
avoidance alternative is specified in the Findings section of the 
programmatic evaluation. If, through the application of this 
programmatic Section 4(f) evaluation, the FHWA determines that there 
are no feasible and prudent avoidance alternatives, then the 
alternative with a net benefit to Section 4(f) property can be 
selected. This programmatic Section 4(f) evaluation is applicable only 
to FHWA actions.
     Paragraph 774.3(b)--One comment requested clarification 
whether an analysis of avoidance alternatives must be conducted when 
determining that a de minimis impact occurs to a Section 4(f) property. 
An analysis of avoidance alternatives is not necessary for a de minimis 
impact determination, and the NPRM did not propose to require one. 
Using words taken directly from section 6009(a) of SAFETEA-LU, the NPRM 
would have allowed a Section 4(f) de minimis impact approval when ``the 
use of the property, including any avoidance, minimization, mitigation, 
or enhancement measures committed to by the applicant, will have a de 
minimis impact * * *.'' We agree with the commenter that the term 
``avoidance'' as used in this sentence could cause confusion. The final 
rule was reworded to clarify that the term ``avoidance,'' along with 
other mitigation or enhancement measures, is used in the context of 
project features or designs that minimize harm to the individual 
Section 4(f) property and not meant to imply that the applicant must 
search for alternatives avoiding the Section 4(f) property altogether. 
In this context, the term ``avoidance'' could mean a partial change to 
the alignment to avoid a portion of the Section 4(f) property. The 
sentence now reads ``* * * the use of the property, including any 
measure(s) to minimize harm (such as any avoidance, minimization, 
mitigation, or enhancement measures) committed to by the applicant, 
will have a de minimis impact, as defined in Sec.  774.17, on the 
property.'' The development and evaluation of alternatives that 
completely avoid the use of the Section 4(f) property is not required 
when the Administration intends to make a finding of de minimis impact 
determination. Indeed, to require such an analysis would defeat the 
purpose of the de minimis provision in the statute. However, if the 
Administration's intention of making a de minimis impact finding is not 
realized, then a traditional Section 4(f) evaluation, including the 
development and evaluation of alternatives that completely avoid the 
use of Section 4(f) property, would be necessary.
     Paragraph 774.3(c)--Two comments criticized the choice of 
the word ``may'' referencing the portion of the rule which allows the 
Administration to approve an alternative that ``minimizes overall 
harm'' in light of the enumerated factors. They explain that this 
articulation leaves the FHWA and FTA with too much discretion. We are 
concerned that if the words ``may select'' were replaced with the 
suggested ``shall select'' or ``must select,'' the provision would 
require the agencies to actually fund the project, which is not an 
obligation imposed by Section 4(f). In response to the comments, after 
``may approve'' we added the word ``only.'' This change clarifies our 
intent that the FHWA and FTA may only select the alternative that 
causes the least overall harm.
    When there is no feasible and prudent avoidance alternative, many 
comments suggested various replacements for the phrase ``most prudent'' 
as a criterion for choosing among several project alternatives and 
determining which would cause the least overall harm. After considering 
the range of proposals and their rationales, we have decided to remove 
the words ``most prudent'' from the analysis of overall harm. It 
appears to cause confusion and it detracts from the purpose of this 
portion of the rule, which is to provide clear criteria for choosing a 
course of action when all available alternatives use Section 4(f) 
property. Deleting the modifier ``most prudent'' appropriately shifts 
the focus of the multi-factor inquiry to the requirement of minimizing 
overall harm.
    Several commenters suggested that the proposed weighing of factors 
in determining the alternative with the least overall harm would not 
place a ``thumb on the scale'' in favor of the preservation of the 
Section 4(f) properties, as required by the statute. The FHWA and FTA 
agree that a reminder about the preservation purpose of the statute in 
the balancing of various factors is appropriate. Accordingly, paragraph 
774.3(c)(1) now states that the Administration may approve the 
alternative that causes the least overall harm ``in light of the 
statute's preservation purpose.'' The preservation purpose of Section 
4(f) is described in 49 U.S.C. 303(a), which states: ``It is the policy 
of the United States Government that special effort should be made to 
preserve the natural beauty of the countryside and public park and 
recreation lands, wildlife and waterfowl refuges, and historic sites.'' 
Virtually identical language appears in 23 U.S.C. 138. This addition 
does not change the settled principle that where there is no feasible 
and prudent avoidance alternative, Section 4(f) does not preclude the 
Administration from selecting any alternative from among those with 
substantially equal harm. In such instances, the selection will be 
based primarily on the relative performance of those alternatives with 
respect to factors (v) ``the degree to which each alternative meets the

[[Page 13372]]

purpose and need for the project,'' (vi) ``after reasonable mitigation, 
the magnitude of any adverse impacts to resources not protected by 
Section 4(f),'' and (vii) ``substantial differences in costs among the 
alternatives.''
    Two comments proposed incorporating by reference the NPRM 
definition of ``feasible and prudent alternative'' into paragraph 
774.3(c), explaining that this change would ensure consistency in the 
use of the term, especially in the meaning of ``prudent.'' We decline 
to adopt this proposal because the term ``feasible and prudent 
alternative'' as used in the definitions and paragraph 774.3(a) 
signifies an alternative to the use of Section 4(f) property, whereas 
in paragraph 774.3(c) all alternatives under consideration use some 
Section 4(f) property and use of the term in this context would be 
confusing.
    Several comments proposed substituting the word ``balancing'' for 
the term ``considering,'' as a more precise way to describe the 
analytical process described in the NPRM. We have adopted the 
suggestion to replace the term ``considering'' with the term 
``balancing'' as a better way to articulate the intent of paragraph 
774.3(c). We agree that such an inquiry will necessarily involve a 
balancing of competing and conflicting considerations given that some 
of the factors may weigh in favor of one alternative, yet other factors 
may weigh against it. Mere ``consideration'' of the factors does not 
capture this idea--the factors must be weighed against each other. How 
the various factors listed in paragraph 774.3(c)(1) are balanced and 
weighed in a given instance is within the discretion of FHWA and FTA, 
and is subject to the facts and circumstances of the particular project 
and Section 4(f) properties involved. As previously noted, the FHWA and 
FTA have inserted a reminder that the preservation purpose of the 
statute in the balancing of the various factors must be given its 
proper weight.
    Several comments interpreted the balancing test of paragraph 
774.3(b) as satisfying the statutory requirement to undertake ``all 
possible planning to minimize harm'' to the Section 4(f) property. One 
comment proposed that we add a statement that performing the analysis 
pursuant to paragraph 774.3(c) satisfies FHWA's obligation to undertake 
all possible planning to minimize harm to Section 4(f) properties. 
Other comments suggested that paragraph 774.3(c) should expressly state 
that any alternative selected based on the enumerated factors should 
include all possible planning to minimize harm to Section 4(f) property 
resulting from the use.
    Contrary to the interpretation suggested in some comments, we did 
not intend that engaging in the balancing test alone would fulfill the 
requirement to undertake ``all possible planning to minimize harm'' to 
the Section 4(f) property. The selection of an alternative pursuant to 
paragraph 774.3(c) is not in itself a Section 4(f) approval and does 
not complete the evaluation process. After the alternative is selected, 
the additional step of identifying, adopting, and committing to 
measures that will minimize the harm to the Section 4(f) property must 
be documented before Section 4(f) approval can be granted. The extent 
of effort needed to satisfy the requirement to undertake all possible 
planning to minimize harm is included in the definitions section, 
774.17. When the characteristics of a Section 4(f) property lend 
themselves to mitigation, and with mitigation the alternative that uses 
that property would have a lower net impact, the balancing test would 
weigh these facts and may result in the alternative being selected. We 
addressed the confusion on this topic by dividing the NPRM paragraphs 
774.3(a)(1) and 774.3(b) each into two paragraphs and stating 
separately in each the requirement to undertake all possible planning 
to minimize harm. We also slightly reworded the paragraph for 
additional clarity.
    We received a variety of comments regarding the list of factors in 
paragraph 774.3(c)(1) which the Administration would balance in making 
the decision on which alternative causes the least overall harm. It is 
important to keep in mind the situations in which the factors will 
apply--these factors will only apply after a determination has already 
been made that there is no feasible and prudent alternative to avoid 
the use of Section 4(f) property. The point of the analysis is a 
comprehensive inquiry that balances the net harm to Section 4(f) 
properties caused by each alternative with all other relevant concerns. 
One comment provided examples of how the balancing of factors in 
paragraph 774.3(c) will help transportation agencies arrive at better 
overall decisions.
    We reiterate here the point made above and in the NPRM that this 
balancing must be done with a ``thumb on the scale'' in favor of 
protecting Section 4(f) properties. A scale that takes into account the 
preservation purpose of the statute must be used to compare the net 
harm to Section 4(f) properties (factors in paragraphs 774.3(c)(1)(i)-
(iv)) with other relevant concerns (the remaining factors). One 
commenter asked if this means ``an alternative with somewhat more harm 
to Section 4(f) properties could be selected over one with somewhat 
lesser harm if the one with lesser harm to Section 4(f) properties 
would result in more adverse effects to non-Section 4(f) properties/
higher costs/lesser ability to satisfy needs, or some combination 
thereof?'' The answer is yes, so long as the difference in overall harm 
is substantial. Where the factors favoring the selection of the 
alternative with greater harm to Section 4(f) property do not clearly 
and substantially outweigh the factors favoring the alternative with 
less harm to Section 4(f) property, the alternative with less harm to 
Section 4(f) property must be selected. As the significance of the 
Section 4(f) property or the degree of harm to the Section 4(f) 
property increases, another alternative must entail correspondingly 
greater harm to non-Section 4(f) properties to outweigh the harm to the 
Section 4(f) property and be selected. Because there is necessarily a 
degree of judgment involved in these decisions, the Administration must 
be mindful to carefully document its reasoning.
    With respect to the factors in paragraphs 774.3(c)(1)(ii) and 
(iii), one comment suggested that the determinations of the relative 
severity of the harm and relative significance of the Section 4(f) 
properties should be made solely by the officials with jurisdiction 
over the resource. We did not adopt this suggestion because, in 
practice, competing views are often expressed when multiple Section 
4(f) properties are being evaluated. The park may seem more important 
to the park official than the historic building beside the park, 
whereas the SHPO may feel just the opposite. The Administration, after 
listening to these competing points of view, must ultimately decide. In 
the statute, Congress chose to entrust the Secretary of Transportation 
with the final decision.
    With respect to the factor in paragraph 774.3(c)(1)(i), ``The 
ability to mitigate adverse impacts to each Section 4(f) property 
(including any measures that result in benefits to the property),'' one 
comment suggested that only ``legally binding'' mitigation (i.e., 
mitigation committed to in the ROD) should be considered. We do not 
agree because the purpose of the balancing test is to select an 
alternative, so there is no legally binding mitigation at that point in 
the process. However, we expect that mitigation used to offset harm 
would be a matter of record and the appropriate commitments should be 
included in the project decision.

[[Page 13373]]

Another comment stated that nothing in the regulation requires the 
adoption of any mitigation relied upon in this factor. This is not 
true. The new definition of ``all possible planning'' to minimize harm 
sets forth specific criteria which will govern whether the identified 
mitigation must be adopted. Where the availability of adequate 
mitigation measures is a factor that is relied upon in selecting an 
alternative, the measures that were identified in the analysis must be 
incorporated into the project through the CE determination, ROD or 
FONSI, or by other means. There is additional discussion of this issue 
in the analysis of section 774.17 below.
    Several commenters felt that the only consideration in alternative 
selection should be minimizing harm to the Section 4(f) properties. 
Consequently, in their view, the factors in NPRM subparagraphs 
774.3(b)(5) through (8), which introduce non-Section 4(f)-related 
concerns into the selection process, should be eliminated. We have 
carefully reviewed those comments but decided to keep the first three 
of these factors, now numbered 774.3(c)(1)(v)-(vii) for the reasons 
discussed below. The final factor in the NPRM, concerning joint 
planning, was dropped for other reasons, as discussed below following 
the discussion of the factors retained.
    The factors in 774.3(c)(1)(v)-(vii) were retained in the final rule 
for several reasons. First, the selection of an alternative in 
instances where all viable alternatives use some Section 4(f) property 
must be distinguished from the selection process where there is a 
viable alternative that avoids using Section 4(f) property. While the 
caselaw is not entirely consistent, there is ample support for the FHWA 
and FTA's approach in the courts. The Supreme Court's Overton Park 
decision did not consider this aspect of Section 4(f), as that case 
turned on the FHWA's failure to document any consideration of feasible 
and prudent alternatives to the use of the park. Second, since Section 
4(f) was enacted in 1966, Congress has identified many other types of 
environmental resources for protection under Federal law besides 
Section 4(f) properties; for example, threatened and endangered 
species, prime farmland, and wetlands of national importance. There is 
nothing in SAFETEA-LU to suggest that Section 4(f) protection should 
trump all other concerns when there is no feasible and prudent 
avoidance alternative. The FHWA and FTA's approach interprets Section 
4(f), as amended by SAFETEA-LU, in a way that gives appropriate weight 
to all of the resources impacted by a proposed transportation project. 
Third, 23 U.S.C. 109(h) directs FHWA to make final project decisions 
``in the best overall public interest, taking into account the need for 
fast, safe and efficient transportation, public services, and the costs 
of eliminating such adverse effects and the following: (1) Air, noise, 
and water pollution; (2) destruction or disruption of man-made and 
natural resources, aesthetic values, community cohesion and the 
availability of public facilities and services; (3) adverse employment 
effects, and tax and property value losses; (4) injurious displacement 
of people, businesses and farms; and (5) disruption of desirable 
community and regional growth.'' FTA law similarly requires that ``the 
preservation and enhancement of the environment and the interest of the 
community in which the project is located'' be considered. (49 U.S.C. 
5324(b)(3)(A)(ii)). These statutes support the FHWA and FTA's 
interpretation of Section 4(f) as allowing the consideration of other 
significant impacts when it is not possible to avoid using Section 4(f) 
property. As described in the NPRM preamble, the balancing approach 
adopted in this rule enables the Administration to take all of these 
concerns into account by allowing serious problems to outweigh 
relatively minor Section 4(f) impacts, as well as Section 4(f) impacts 
that can be satisfactorily mitigated.
    One comment pointed out that the list of factors in paragraph 
774.3(c)(1) is inconsistent with the lists in the proposed definitions 
of ``all possible planning'' and ``feasible and prudent alternative'' 
in 774.17, which includes some similar and some additional factors. 
This disparity, in the commenter's opinion, confused the application of 
the factors in the overall Section 4(f) analysis. This comment proposed 
that we combine the multi-factor lists. We considered this comment, but 
decided not to adopt it. The three lists of factors included in the 
NPRM apply to three distinct situations. The factors enumerated in the 
proposed definition of ``feasible and prudent alternative'' are used to 
determine whether an alternative that avoids using Section 4(f) 
property exists. If the analysis concludes that no such avoidance 
alternative exists, then a different set of factors, those in paragraph 
774.3(c), comes into play to guide the Administration in selecting from 
among the alternatives all of which use some Section 4(f) property. 
Once an alternative is chosen, if it uses Section 4(f) property, then 
the Administration has a further obligation to undertake all possible 
planning to minimize harm to that property. The third set of factors in 
the definition of this term is used to determine the appropriate extent 
of the planning to minimize harm.
    With respect to the factor in paragraph 774.3(c)(1)(vii), 
``[e]xtraordinary differences in costs among the alternatives,'' some 
comments suggested that the word ``extraordinary'' should be deleted, 
thus allowing any difference in costs to be considered and balanced 
with all other factors in determining which of the alternatives 
minimizes overall harm. Since this factor is a comparison of the costs 
of alternatives under consideration, all of which use Section 4(f) 
property, the FHWA and FTA agree that the difference in cost would not 
have to be ``extraordinary,'' but that the magnitude of the difference 
would determine its appropriate weight when balancing it with the other 
factors. Consideration of a minor difference in the cost among 
alternatives in the balancing test would be inappropriate in that there 
must be a measurable and significant degree of difference. For this 
reason we are substituting the word ``substantial'' in place of the 
word ``extraordinary'' in this factor. Requiring a substantial cost 
difference between alternatives emphasizes the importance of devoting 
funds to minimizing harm to the Section 4(f) property and other 
important resources more so than if any difference in cost were allowed 
to influence the choice of alternatives. When deciding whether to 
consider a cost difference ``substantial,'' in addition to considering 
the cost as a number in isolation, the FHWA and FTA may consider 
factors such as the percentage difference in the cost of the 
alternatives; how the cost difference relates to the total cost of 
similar transportation projects in the applicant's annual budget; and 
the extent to which the increased cost for the subject project would 
adversely impact the applicant's ability to fund other transportation 
projects.
    Several comments expressed confusion regarding the factor in NPRM 
paragraph 773.4(b)(8), ``[A]ny history of concurrent planning or 
development of the proposed transportation project and the Section 4(f) 
property.'' Some commenters were concerned about how this factor was 
related to, and would apply in, the balancing of factors and the 
ultimate determination of overall harm. Others suggested that the scope 
of concurrent planning in this context was unclear and others thought 
the term should be defined in section 774.17. In response to these 
comments, we have decided to eliminate concurrent

[[Page 13374]]

planning as a factor in determining overall harm. Concurrent planning, 
in which the ``concurrent or joint planning or development of the 
transportation facility and the Section 4(f) resource occurs,'' more 
appropriately relates to the applicability of Section 4(f) requirements 
to a specific property. Concurrent planning in this context is 
addressed in paragraph 774.11(i).
    Another comment pointed out the lack of reference to the no-action 
alternative in this paragraph, and asked whether that means it need not 
be discussed in the evaluation. The no-action alternative should always 
be considered in a Section 4(f) evaluation and the reasons for not 
selecting it must be identified.
     Paragraph 774.3(d)--Several comments on the NPRM indicated 
that programmatic Section 4(f) evaluations are misunderstood by some. 
In response, we have clarified what is meant by a programmatic Section 
4(f) evaluation in paragraph 774.3(d), and have specified the process 
for the development of a programmatic evaluation as well as the 
application of an existing programmatic evaluation. The paragraph makes 
clear that a programmatic Section 4(f) evaluation does not 
automatically satisfy Section 4(f) for an entire class of projects--
rather it establishes a simpler approach to compliance that is tailored 
to that class of projects. They are not exemptions and individual 
projects must still be reviewed in accordance with the process 
established in the programmatic Section 4(f) evaluation.
     Paragraph 774.3(e)--No substantive comments were received 
on this subsection. We have retained the language as proposed in the 
NPRM.

Section 774.5 Coordination

    One general comment recommended the separation of the analysis, 
coordination, format, and timing requirements for de minimis impacts 
into discrete sections of the regulation. We decided not to make this 
proposed change because we believe that grouping all of the 
requirements for coordination, all of the requirements for timing, and 
all of the requirements for documentation together is a reasonable 
structure for the regulation and is more consistent with the familiar, 
former regulation. For practitioners who need more guidance on the de 
minimis impact requirements, the joint FHWA/FTA ``Guidance for 
Determining De Minimis Impacts,'' December 13, 2005, discusses all of 
the de minimis impact requirements together in one document.
    Another general comment suggested that this section should be 
revised to explain the coordination of reviews performed under NEPA, 
Section 4(f), and Section 106 of the National Historic Preservation 
Act. We did not adopt this suggestion because it is already stated in 
23 CFR 771.105(a), which explains that it is the policy of the FHWA and 
FTA that ``[t]o the fullest extent possible, all environmental 
investigations, reviews, and consultations be coordinated as a single 
process, and compliance with all applicable environmental requirements 
be reflected in the environmental document required by this 
regulation.'' A similar statement with regard to the content of 
environmental documents is found at 23 CFR 771.133.
    We received a general comment that clear guidance is needed on the 
coordination process for Section 4(f) uses with impacts greater than de 
minimis, to ensure that the officials with jurisdiction are fully 
engaged in the development of avoidance alternatives and the 
determination of appropriate measures to minimize harm. We agree that 
coordination with the officials with jurisdiction is important and 
integral to Section 4(f) compliance, and note that the regulation 
already includes explicit coordination requirements in paragraph 
774.5(a). Additional guidance is included in the FHWA ``Section 4(f) 
Policy Paper,'' March 2, 2005, so we did not make any changes in 
response to this comment.
    One general comment requested that we clarify in the preamble to 
this regulation that the existing Section 4(f) de minimis impact 
guidance, issued on December 13, 2005, remains in effect and is not 
superseded by these regulations. We agree that the inclusion of 
requirements for de minimis impacts in these regulations was not 
intended to supersede or replace the existing guidance, but to ensure 
that the current Section 4(f) regulation is consistent with the Section 
4(f) statute, as amended by SAFETEA-LU. The joint FHWA/FTA ``Guidance 
for Determining De Minimis Impacts to Section 4(f) Resources,'' 
December 13, 2005, remains in effect, but the Administration may review 
it and make clarifying revisions some time in the future. The FHWA 
``Section 4(f) Policy Paper,'' March 2, 2005, which was written prior 
to enactment of the SAFETEA-LU amendment to the Section 4(f) statute, 
remains in effect except where it could be interpreted to conflict with 
this regulation, in which case the regulation takes precedence. The 
FHWA plans to update the ``Section 4(f) Policy Paper'' to reflect 
SAFETEA-LU and this final rule.
    One comment requested that the regulation address the additional 
coordination that is needed when the impacted Section 4(f) property was 
created or was improved with funds from various programs administered 
by the U.S. Department of the Interior. Guidance for such coordination 
is already addressed in the FHWA ``Section 4(f) Policy Paper'' and in 
the ``Guidance for Determining De Minimis Impacts to Section 4(f) 
Resources.'' However, because we agree that this coordination is 
important, we addressed the comment by adding a new paragraph (d) to 
section 774.5: ``When Federal encumbrances on Section 4(f) property are 
identified, coordination with the appropriate Federal agency is 
required to ascertain the agency's position on the proposed impact, as 
well as to determine if any other Federal requirements may apply to 
converting the Section 4(f) land to a different function. Any such 
requirements must be satisfied, independent of the Section 4(f) 
approval.''
     Paragraph 774.5(a)--A number of comments focused on the 
length of the notice and comment period. The NPRM proposed to continue 
the current 45-day comment period. The comments urged a period ranging 
from as short as 15 days, up to a maximum of 60 days. Specifically, one 
comment urged a maximum of 60 days with presumed concurrence if no 
comment was received within 15 days after the deadline. One comment 
urged a period of 60 days, but suggested that comments be open to the 
public and other Federal agencies, and not just to those with 
jurisdiction over the Section 4(f) property. One comment urged a period 
of at least 45 days, not to exceed 60 days.
    Several commenters reasoned that a period with a maximum of 60 days 
would be harmonious with the streamlining provisions of section 6002 of 
SAFETEA-LU and the comment period provided by Section 106 of the 
National Historic Preservation Act for consultation with State Historic 
Preservation Officers and the Advisory Council on Historic 
Preservation. Those urging a provision for presuming concurrence if the 
comments are not received by various deadlines stated that such a 
provision is needed because, in the experience of many applicants, 
comments are routinely submitted many months late. Another commenter 
thought the requirement for the U.S. Department of the Interior (DOI) 
to review Section 4(f) evaluations added minimal value to the process 
and suggested that DOI's role should be eliminated altogether.
    After considering all of the views submitted, we decided to keep 
the 45-day comment period in the final rule.

[[Page 13375]]

This period appears to be a reasonable length of time, in light of the 
current practice with which all are familiar. We did not eliminate the 
requirement for a comment period because the statute itself requires 
coordination with certain agencies, including DOI. However, we decided 
to adopt a deadline for the receipt of comments by adding the following 
at the end of paragraph 774.5(a): ``If comments are not received within 
15 days after the comment deadline, the Administration may assume a 
lack of objection and proceed with the action.'' This change addresses 
the concern that comments are routinely sent late, but it allows 
flexibility for the Administration to extend the comment period in 
individual cases upon request.
     Paragraph 774.5(b)--Several comments requested additional 
requirements for public notice, review, and comment related to de 
minimis impacts to historic properties. In response, the FHWA and FTA 
decided to accept the wording suggested by one of the commenters. 
Paragraph 774.5(b)(1)(iii) now says: ``Public notice and comment, 
beyond that required by 36 CFR Part 800, is not required.'' The 
regulation is consistent with the provisions of SAFETEA-LU that allow 
the de minimis impact determination to be made based on the process 
required under section 106 of the National Historic Preservation Act.
    Other comments requested additional guidance on public notice, 
review, and comment related to de minimis impacts to parks, recreation 
areas, and wildlife/waterfowl refuges. One commenter believes that 
public notice, review, and comment are adequately covered by NEPA and 
its implementing regulations, and any additional opportunities are 
unnecessary. We decided to retain the proposed regulatory text on 
public notice and comment, but to add: ``This requirement can be 
satisfied in conjunction with other public involvement procedures, such 
as a comment period provided on a NEPA document.'' SAFETEA-LU requires 
public notice and the opportunity for public review and comment before 
the Administration can make a de minimis impact determination. Where 
the NEPA process already provides opportunities for public notice, 
review, and comment [i.e., for environmental assessments (EAs) and 
EISs], the same opportunities can be used for projects where the 
Administration is considering a de minimis impact determination. For 
those actions that do not routinely require public review and comment 
under NEPA [e.g., categorical exclusions (CEs) and certain 
reevaluations] a separate public notice and opportunity for review and 
comment will be necessary for a de minimis impact determination. In 
these situations, the public notice and opportunity for review and 
comment should be based on the specifics of the situation and 
commensurate with the type and location of the Section 4(f) property, 
impacts, and public interest.
     Paragraph 774.5(b)(1)--Several comments suggested that the 
concurrence of the State Historic Preservation Officer (SHPO) or Tribal 
Historic Preservation Officer (THPO) in a proposed de minimis impact 
determination should be assumed if 30 days pass without written 
concurrence. We did not adopt this change because the statute 
explicitly requires written concurrence in the Section 106 
determination to support a de minimis impact determination. The joint 
FHWA/FTA ``Guidance for Determining De Minimis Impacts to Section 4(f) 
Resources,'' December 13, 2005, explains the use of Section 106 
programmatic agreements (PA) in making de minimis impact 
determinations. It says that when a Section 106 PA explicitly states 
that an individual Section 106 determination of ``no historic property 
affected'' or ``no adverse effect,'' is made in accordance with the PA, 
it may be relied upon as the basis for de minimis impact determination. 
If the PA specifies that the SHPO or THPO's concurrence in such a 
determination may be assumed after a specified timeframe, then the SHPO 
or THPO's signature on the PA itself constitutes the required written 
concurrence in the Section 106 determination that is necessary for a de 
minimis impact determination. With such a PA, a SHPO or THPO is within 
its rights asking for a side agreement that would specify conditions 
under which a nonresponse would not be used as the basis for a de 
minimis impact determination. In any case it is expected that the SHPO 
or THPO will be apprised of the agency's intention to make a de minimis 
determination under the PA approach and afforded an opportunity to 
engage in the process on a project-by-project basis, if desirable by 
either party.
    Several comments stated that paragraph 774.5(b)(1) should spell out 
the written concurrences necessary to support a de minimis impact 
determination for a historic property in order to clarify which 
concurrences are required. We agree, and the final rule explicitly 
states which parties must concur, consistent with 49 U.S.C. 
303(d)(2)(B) and 23 U.S.C. 138(b)(2)(B).
    A number of comments objected to the statement in paragraph 
774.5(b)(1) that public notice and comment other than the Section 106 
consultation is not required. These commenters pointed out that the 
Section 106 regulation (36 CFR part 800) has its own public involvement 
requirements, which may apply in a particular case. One commenter 
suggested alternative language to recognize that pertinent requirements 
of the Section 106 regulation must be met. We adopted the suggested 
language, and the sentence now says that ``public notice and comment, 
beyond that required by 36 CFR part 800, is not required.''
     Paragraph 774.5(b)(2)--Several commenters requested 
clarification of the sequence of events for coordinating with the 
official(s) with jurisdiction over parks, recreation areas, and refuges 
prior to making de minimis impact determinations. These commenters 
proposed revising the regulation to enable the Administration to notify 
the official(s) with jurisdiction of its intent to make a de minimis 
impact determination at any time during the coordination process, 
instead of postponing notification until the conclusion of the public 
review and comment period. The FHWA and FTA decided to adopt this 
proposed change by moving the clause ``following an opportunity for 
public review and comment'' from the beginning of the second sentence 
and inserting it directly before the concurrence requirement: 
``Following an opportunity for public review and comment as described 
in paragraph (b)(2)(i) of this section, the official(s) with 
jurisdiction over the property must concur in writing * * *. '' The 
regulation would still require the Administration to wait until after 
the public comment process before making a formal request for 
concurrence, but no specific timeframe is provided for notifying the 
officials with jurisdiction. The revised paragraph will begin with 
``The Administration shall inform the official(s) with jurisdiction of 
its intent * * *. '' The FHWA and FTA reasoned that it would be 
beneficial to have the flexibility to notify the official(s) with 
jurisdiction early in the coordination process to ascertain the 
position of the officials and so that the preliminary views of such 
official(s), if available, can be included in the notice provided to 
the public.
    One commenter suggested eliminating the provision that requires the 
Administration to inform the official(s) with jurisdiction of the 
intent to make a de minimis impact determination based on those 
officials' concurrence that the project will not adversely affect the 
Section 4(f) property. The FHWA and FTA decided not to make this

[[Page 13376]]

change. The sequence of events leading to the Administration's finding 
is important and will ensure that the official(s) with jurisdiction 
understand that their written concurrence is required for the 
Administration's de minimis impact determination and that they agree 
with any proposed mitigation necessary to the de minimis impact 
determination.
    One commenter suggested that the FHWA and FTA add a further 
provision to the coordination process in paragraph 774.5(b)(2) that 
would expressly allow the concurrence in the de minimis impact 
determination to be combined with other comments provided by the 
official(s) on the project. The FHWA and FTA decided to follow this 
recommendation and incorporated the proposed language: ``This 
concurrence may be combined with other comments on the project provided 
by the official(s).'' Another comment asked for clarification whether 
the coordination can be accomplished in conjunction with other public 
involvement procedures, such as a comment period provided on a NEPA 
document. The FHWA and FTA's NEPA regulation provides for integrated 
procedures in 23 CFR 771.105 and 771.133, so this point was clarified 
as suggested. With the clarifications described above, the new 
provision will help streamline the environmental review process because 
it will allow the official(s) with jurisdiction to combine comments on 
the de minimis impact proposal with comments submitted on other 
environmental issues related to the project.
     Paragraph 774.5(c)--One commenter believed that the 
coordination requirements discussed in section 774.5 did not 
differentiate between individual and programmatic Section 4(f) 
evaluations and requested clarification. Programmatic evaluations are 
differentiated by virtue of being addressed in a separate paragraph, 
774.5(c). We have now clarified what is meant by a programmatic 
evaluation in paragraph 774.3(d), as previously discussed.
    Another comment suggested a 60-day comment period be required when 
there is a use of land from a Section 4(f) property that is covered by 
a programmatic Section 4(f) evaluation. The comment also suggested that 
the coordination during the use of a programmatic Section 4(f) 
evaluation should ``be open to the public and not just the official(s) 
with jurisdiction.'' Programmatic Section 4(f) evaluations provide 
procedural options for demonstrating compliance with the statutory 
requirements of Section 4(f). The FHWA has issued five nationwide 
programmatic Section 4(f) evaluations. (FTA has not issued any, but has 
plans to do so.) Before being adopted, all of the FHWA programmatic 
evaluations were published in draft form in the Federal Register for 
public review and comment. They were also provided to appropriate 
Federal agencies for review. Each programmatic evaluation contains 
specific criteria, consultation requirements, and findings that must be 
met before the programmatic evaluation may be applied on any given 
project. A primary benefit to using this prescribed step-by-step 
approach is a reduction of the time it takes to achieve Section 4(f) 
approval.
    The NPRM did not stipulate any specific comment period or 
coordination process when programmatic Section 4(f) evaluations are 
used. When applied to individual projects each of the five approved 
programmatic evaluations has coordination requirements, but none of 
them requires a specific comment period.\5\ We did not make the changes 
proposed by the commenter because we believe the imposition of 
additional comment periods, coordination periods, or public involvement 
at the time a programmatic evaluation is applied to an individual 
project would severely limit the effectiveness of this approach.
---------------------------------------------------------------------------

    \5\ Three of the programmatic Section 4(f) evaluations have 
public involvement requirements. The ``Final Nationwide Programmatic 
Section 4(f) Evaluation and Determination for Federal-Aid 
Transportation Projects That Have a Net Benefit to a Section 4(f) 
Property'' requires project-level public involvement activities 
consistent with 23 CFR 771.111. The ``Final Nationwide Section 4(f) 
Evaluation and Approval for Federally-Aided Highway Projects with 
Minor Involvements with Historic Sites'' and the final 
``Programmatic Section 4(f) Evaluation and Approval for FHWA 
Projects that Necessitate the Use of Historic Bridges'' both require 
coordination with various parties in accordance with 36 CFR part 
800, which may include members of the public identified as 
interested persons, or consulting parties.
---------------------------------------------------------------------------

    One commenter expressed concern about the potential lack of public 
notice or opportunity to comment on the evaluation of certain historic 
resources, such as bridges, under the relevant programmatic Section 
4(f) evaluation, when the project is processed with a NEPA categorical 
exclusion (CE). It was suggested that, at a minimum, a CE project 
processed under a programmatic Section 4(f) evaluation should be posted 
on the applicant's Web site. The public involvement requirements 
related to categorical exclusions, as well as other classes of actions, 
are addressed in 23 CFR 771.111. The public involvement requirements 
for application of a particular programmatic Section 4(f) evaluation 
are specified in the programmatic evaluation itself. Hence, the FHWA 
and FTA concluded that the issue has been adequately addressed and 
additional requirements are not necessary.

Section 774.7 Documentation

    This section contains the requirements related to the documentation 
of the various Section 4(f) analyses and approvals. In the NPRM this 
section was titled ``Format.'' The title was changed to 
``Documentation'' to more accurately reflect the content of this 
section.
    In response to a general comment that it was difficult to locate 
the requirements for de minimis impact determinations, the section was 
re-ordered so that it now tracks the order of section 774.3, ``Section 
4(f) approvals.'' Thus, paragraph 774.7(a) now addresses the 
documentation of Section 4(f) evaluations prepared to comply with 
approvals under 774.3(a); paragraph 774.7(b) contains the format 
requirements for de minimis impact determinations under paragraph 
774.3(b); and paragraph 774.7(c) contains the requirements for 
determinations of the least overall harm under paragraph 774.3(c) when 
there is no feasible and prudent avoidance alternative. Paragraphs (d)-
(f) are additional documentation requirements for particular situations 
that have no corresponding paragraphs within section 774.3.
    Several comments demonstrated confusion over NPRM paragraph 
774.7(g) which contained the documentation requirements for 
programmatic Section 4(f) evaluations. This material was moved to 
paragraph 774.3(d) in the final rule so that the discussion of 
approvals using programmatic Section 4(f) evaluations and the 
documentation requirements are now grouped together. We felt this 
restructuring was needed to clarify the difference between promulgating 
a programmatic Section 4(f) evaluation and the subsequent application 
of the programmatic evaluation to an individual project decision.
    Paragraph 774.7(e) in both the NPRM and this final rule contains 
the requirements for making Section 4(f) approvals for tiered 
environmental documents. This paragraph received the most comments of 
any part of section 774.7; substantial parts of the paragraph were re-
worded for clarity in response to the comments, as described below.
     Paragraph 774.7(a)--One comment suggested that the last 
part of the sentence be revised to repeat the exact language from the 
statute. This section, though, does not set forth the standard

[[Page 13377]]

for Section 4(f) approvals, but rather provides the format of the 
documentation for Section 4(f) approvals. Thus, the language need not 
exactly duplicate the statutory standard for approvals, which is 
implemented by section 774.3. We believe that the language used is 
consistent with the statute but provides direction for project 
applicants preparing Section 4(f) documents.
    Another comment suggested adding the language ``or reduce its use 
significantly'' after ``that would avoid using the Section 4(f) 
property.'' We did not adopt this change because the language at the 
end of the paragraph requires a summary of ``the results of all 
possible planning to minimize harm to the Section 4(f) property.'' The 
documentation of ``all possible planning to minimize harm'' would show, 
among other things, how any reductions in the use of Section 4(f) 
property would be accomplished. In addition, the Section 4(f) caselaw 
is fairly uniform in holding that an alternative that uses Section 4(f) 
property is not properly considered an ``avoidance alternative'' under 
the statute. Incidentally, the words ``that would avoid using the 
Section 4(f) property'' which delimited ``avoidance alternative'' in 
the NPRM, have now been deleted as redundant.
     Paragraph 774.7(b)--Regarding paragraph 774.7(b), one 
commenter requested clarification that the mitigation measures 
suggested in the proposed regulation should be considered only if an 
applicant has committed to incorporate the measures into the project. 
The commenter suggested changing the provision to refer to ``any 
avoidance, minimization, mitigation, or enhancement measures committed 
to by the applicant.'' The FHWA and FTA decided not to make this 
proposed change because the statute requires any measures that are 
required to be implemented as a condition of approval of a de minimis 
impact determination to be part of the project. An applicant does not 
have a choice regarding whether to incorporate the measures into a 
project if the measures were mentioned when the impacts were classified 
as de minimis. Accordingly, the FHWA and FTA determined that the 
suggested language would be redundant since, as the regulation 
currently states, the applicant will automatically be required to 
incorporate these measures.
    Another commenter suggested that the determination whether the 
project impacts are de minimis for Section 4(f) purposes should be made 
before mitigation is applied, not after. This commenter claimed that 
this regulation would allow an applicant to illegally characterize the 
impacts of a project that are greater than de minimis impacts as de 
minimis to avoid having the project analyzed, assessed, and evaluated. 
The FHWA and FTA did not accept this proposal because it violates the 
governing statute. As amended by section 6009(a) of SAFETEA-LU, Section 
4(f) plainly requires that ``[t]he Secretary shall consider to be part 
of a transportation program or project any avoidance, minimization, 
mitigation, or enhancement measures that are required to be implemented 
as a condition of approval of the transportation program or project.'' 
49 U.S.C. 303(d)(1)(C). Mitigation measures must be applied up front, 
with the determination made after taking such mitigation into account. 
The proposed language has been retained.
    For consistency with paragraph 774.3(b) and the statute, the word 
``determination'' was substituted for ``finding'' in this paragraph.
     Paragraph 774.7(c)--One commenter pointed out that framing 
the regulatory provision in terms of what an ``applicant'' must do is 
misleading as it implies that, contrary to statute, the applicant has a 
decision-making role in the Section 4(f) approval process. This 
commenter proposed rewriting paragraph (c) to reflect the decision-
making role of the Administration in the Section 4(f) approval process: 
``the Administration, in consultation with the applicant, must select. 
. . .'' Section 4(f) assigns the responsibility for evaluating and 
approving transportation projects to the Secretary of Transportation 
(who, in turn, has delegated it to the modal administrations within the 
U.S. DOT). The FHWA and FTA agree with the comment that the 
Administration, and not the applicant, has the statutory authority to 
approve an alternative under Section 4(f), but declines to adopt the 
commenter's proposed text. Instead, the FHWA and FTA have decided to 
convey the same idea by using language consistent with paragraph 
774.3(c), to which the requirements in paragraph 774.7(c) pertain. The 
relevant portion of the provision now reads as follows: ``the 
Administration may approve only the alternative that causes the least 
overall harm in accordance with Sec.  774.3(c).'' This language relies 
heavily on the revised text of paragraph 774.3(c) and appropriately 
reserves the decision-making role to the Administration.
    In a slight variation on the comment discussed above, one commenter 
objected to the use of the word ``applicant'' because it fails to 
recognize the role of most applicants and the Administration as joint 
lead agencies in preparing the NEPA review of the project, in 
accordance with SAFETEA-LU section 6002. The commenter suggested 
changing the provision to read ``the applicant, with approval from the 
NEPA Lead Agency, must select. * * *'' The FHWA and FTA did not follow 
this recommendation because, whereas the responsibility for document 
preparation, review, and approval under NEPA is now shared between the 
Administration and the recipient of Federal funds, the Administration 
has the exclusive statutory authority to grant Section 4(f) approvals. 
An applicant's role under NEPA does not authorize it to make Section 
4(f) approvals unless the applicant is a State that has assumed Section 
4(f) responsibilities as part of an assumption of environmental 
responsibility under applicable law, such as 23 U.S.C. 325, 326, or 
327.
     Paragraph 774.7(d)--This paragraph requires a legal 
sufficiency review for certain Section 4(f) approvals. One commenter 
questioned its need. The Administration has legal responsibility to 
ensure compliance with applicable environmental laws, regulations, and 
Executive Orders. Section 4(f) has been extensively interpreted by the 
Courts, and the application of the law to a specific approval may 
involve the application of complex legal principles. The 
Administration's application of Section 4(f) benefits from the legal 
sufficiency review. Moreover, Administration attorneys familiar with 
the judicial interpretations of Section 4(f) law in the Federal Circuit 
where the project is located perform the legal sufficiency review. 
Thus, the legal sufficiency review enhances the likelihood that the 
Administration's Section 4(f) decisions will be appropriate and will be 
sustained in Federal court if litigation ensues. Finally, the legal 
sufficiency review is required by a Department-wide order implementing 
Section 4(f). See DOT Order 5610.1C. The requirement for a legal 
sufficiency review is retained.
    Paragraph 774.7(d) says: ``The Administration shall review all 
Section 4(f) approvals under Sec. Sec.  774.3(a) and 774.3(c) for legal 
sufficiency.'' A commenter suggested that the meaning of ``legal 
sufficiency'' in the context of a Section 4(f) approval be defined. We 
decline to define ``legal sufficiency'' as there are too many variable 
factors considered in a legal sufficiency review. These include, but 
are not limited to, the type of Section 4(f) approval under 
consideration, the law of the Federal Circuit where the project is 
located, and, most importantly, the facts and circumstances of the 
particular project. Legal sufficiency reviews assess the Section 4(f) 
documentation from the

[[Page 13378]]

perspective of legal standards, as well as technical adequacy. Because 
of the inherent differences among document writers and reviewers, the 
projects, court decisions in the relevant circuit, and other factors, 
the comments on legal sufficiency for one project may differ in content 
and format from those for another project with similar issues. This 
variability makes defining a standard for the review of legal 
sufficiency impractical.
     Paragraph 774.7(e)--Numerous comments were received about 
this section, which concerns Section 4(f) approvals of projects 
developed using tiered environmental impact statements. Most commenters 
thought it was helpful to clarify the different levels of detail 
necessary at the different stages, although several negatively 
commented on the proposal to consider the preliminary first-tier 
Section 4(f) approval final. Nearly all commenters were confused by 
some aspect of what the FHWA and FTA intended by authorizing a 
``preliminary'' Section 4(f) approval to be made at the conclusion of 
the first tier stage and a final Section 4(f) approval at the 
conclusion of the second-tier stage. One commenter thought we intended 
to ``immunize'' the first-tier Section 4(f) approval from 
reconsideration, even in the event it should subsequently be determined 
no longer valid during the second tier review. This was not our intent. 
A variety of revisions were suggested to clarify the intent of this 
section. All of these suggestions were considered in revising the 
provision to clarify what is required.
    The intent behind this section is that the relationship between the 
preliminary and final Section 4(f) approval should be analogous to the 
relationship between a first-tier EIS and a second-tier NEPA document. 
In the same manner that a second-tier NEPA document can rely on the 
conclusions of the first-tier EIS (thereby avoiding duplication), the 
final Section 4(f) approval may rely upon the conclusions reached in 
the preliminary Section 4(f) approval. However, both the second-tier 
NEPA document and the final Section 4(f) approval must still take into 
account any significant new information or relevant details that become 
known during the second-level review.
    If the second-tier NEPA document identifies a new or additional use 
of Section 4(f) property with greater than de minimis impacts, then 
additional consideration of feasible and prudent avoidance alternatives 
and of potential measures to minimize harm to Section 4(f) property 
will be necessary. If the second-tier NEPA document does not identify 
any new or greater than expected use of Section 4(f) property, or if 
there is a new or additional use of Section 4(f) property but its 
impacts are determined to be de minimis under paragraph 774.3(b) of 
this regulation, then the final Section 4(f) approval shall document 
the determination that the new or additional use is de minimis and may 
incorporate by reference the documentation developed for the first-tier 
preliminary approval since the first-tier information remains valid. In 
this situation, the applicant must consider whether all possible 
planning to minimize harm (which is defined in section 774.17) has 
occurred. Additional planning to minimize harm to a Section 4(f) 
property will often be needed during the second-tier study and can be 
undertaken without reopening the first-tier decision. Re-evaluation of 
the preliminary Section 4(f) approval is only needed to the extent that 
new or more detailed information available at the second-tier stage 
raises new Section 4(f) concerns not already considered. The final 
regulation clarifies the requirements for tiered Section 4(f) 
approvals, consistent with the above discussion.
     Paragraph 774.7(f)--One comment suggested that paragraph 
774.7(f) be revised to clarify that including a required Section 4(f) 
evaluation in the NEPA document is normal practice but is not 
mandatory. Another comment suggested that such inclusion in the NEPA 
document should be mandatory. We re-worded this paragraph to clarify 
our intent, but we do not agree that including the Section 4(f) 
evaluation in the NEPA document should be mandatory. There are many 
instances where the timing is off due to late discoveries or other 
circumstances beyond the control of the applicant. In such cases, 
processing a stand-alone Section 4(f) evaluation is permissible. Thus, 
applicants should endeavor to include any required Section 4(f) 
evaluation within the relevant NEPA document, to the extent possible.
    Another comment suggested that paragraph 774.7(b) should explicitly 
state that the Section 4(f) evaluation may be included in an appendix 
to the NEPA document, with a summary of the evaluation in the main body 
of the document. FHWA will allow the Section 4(f) evaluation to be 
included in an appendix to the NEPA document, so long as the appendices 
accompany the NEPA document and the distribution and commenting 
requirements of Section 4(f) will be met. The FHWA and FTA decline to 
include this provision in the final rule as we believe that guidance, 
not regulation, is the appropriate method for addressing the issue. The 
FHWA and FTA will address it in a future update of the Section 4(f) 
Policy Paper or the Technical Advisory on preparing and processing 
environmental documents.

Section 774.9 Timing

    This section addresses the timing of Section 4(f) approvals within 
the NEPA process, and after project approval or during construction, 
where necessary. There were no generally applicable comments on this 
section. Comments on specific paragraphs are discussed in turn below.
     Paragraph 774.9(a)--One comment asked for clarification 
that the analysis of possible Section 4(f) uses during project 
development is really only an evaluation of ``potential'' uses (i.e., a 
proposed project does not actually use Section 4(f) property at the 
time of project development). We agree, and have clarified this point 
by changing the beginning of the first sentence from ``Any use of 
lands'' to ``The potential use of lands.'' The same comment also 
suggested changing ``shall be evaluated early in the development'' 
within the same sentence to ``shall be evaluated as early as 
practicable in the development,'' because potential uses of Section 
4(f) property can only be evaluated after a certain minimum level of 
information about the proposed action and alternatives has been 
developed. We agree, and we have adopted these proposed edits in this 
final rule.
     Paragraph 774.9(b)--One comment sought clarification that 
Section 4(f) approval can be made ``in a separate Section 4(f) 
evaluation'' in certain circumstances. We agree, and accordingly added 
at the beginning of this paragraph ``Except as provided in paragraph 
(c), for * * *.'' Paragraph 774.9(c) covers the circumstances where a 
separate Section 4(f) approval is appropriate.
    Another comment sought clarification that an EIS, EA, or CE must 
always include the actual Section 4(f) approval. Section 4(f) approvals 
are incorporated and coordinated with the NEPA process, and to the 
extent practicable, the NEPA document should include all documentation 
and analysis supporting the Section 4(f) approval. However, the actual 
approval may be made in the subsequent decision document in order to 
consider public and interagency comment submitted in response to the 
NEPA document. The Section 4(f) approval and the supporting information 
are always available to the public for review upon request. As such,

[[Page 13379]]

we have retained the proposed language in the final rule.
     Paragraph 774.9(c)--Two comments pointed out that the 
introductory clause in NPRM paragraph 774.9(c), ``If the Administration 
determines that Section 4(f) is applicable'' repeats one of the 
numbered subparagraphs--``(2) The Administration determines that 
Section 4(f) applies to the use of a property.'' The redundant language 
has been deleted.
    One comment suggested replacing ``final EIS'' with ``ROD'' to 
ensure consistency with references to a FONSI and a CE in paragraph 
774.9(c). Both the FONSI and CE are decision documents, as is the ROD. 
The FHWA and FTA decided to follow this recommendation. The change 
helps clarify the timing of the separate Section 4(f) approval required 
by section 774.9. Paragraph (c) applies only after the NEPA process has 
been completed and the Administration has already made a Section 4(f) 
determination in a decision document.
    One comment recommended explicitly stating in paragraph 774.9(c)(2) 
that the identification of a new property subject to Section 4(f) does 
not require a separate Section 4(f) approval if the ``late 
designation'' exception in paragraph 774.13(c) applies. The FHWA and 
FTA agree with the substance of this comment, though not with the 
suggested language. Instead, the FHWA and FTA included the phrase 
``except as provided in Sec.  774.13 of this title'' at the end of the 
introductory sentence of paragraph (c): ``a separate Section 4(f) 
approval will be required, except as provided in Sec.  774.13, if * * 
*.'' The FHWA and FTA believe that the exceptions listed in section 
774.13 pertain to all three situations addressed in paragraph (c), not 
exclusively to the scenario in paragraph (c)(2). Furthermore, 
exceptions other than paragraph 774.13(c) dealing with ``late 
designation'' could potentially apply to the circumstances described in 
paragraph (c). Consequently, a more general statement concerning 
exceptions is appropriate.
    Another comment asked for clarification in paragraph 774.9(c)(2) 
that the provision requires a separate Section 4(f) approval when the 
Administration determines after project approval that Section 4(f) 
applies to a new use of Section 4(f) property. That was our intent, so 
we modified paragraph 774.9(c)(2) to state that ``Section 4(f) applies 
to `the use of' a property.''
    One comment proposed a slight revision to the provision by 
substituting ``if'' instead of ``when'' before enumerating situations 
necessitating a separate Section 4(f) evaluation. In the context of the 
introductory sentence, the choice of the word ``if'' better articulates 
the conditional nature of the applicability of paragraph (c) and is 
less likely to be misconstrued. We have therefore adopted this 
suggested change.
    One commenter asked for definitions of the phrases ``substantial 
increase in the amount of Section 4(f) property used,'' ``substantial 
increase in the adverse impacts to Section 4(f) property,'' and 
``substantial reduction in mitigation measures.'' These words were used 
with their plain English meanings. We think that the meanings of these 
phrases are self-evident, and they rely upon the context of each 
particular factual situation to which this paragraph of the regulation 
is being applied. Therefore, we did not provide definitions of these 
phrases.
     Paragraph 774.9(d)--Two comments expressed the opinion 
that new or supplemental environmental documents should always be 
required if a separate Section 4(f) approval is required after the 
original environmental document has been processed. The proposed 
regulation stated that a new or supplemental environmental document 
``will not necessarily'' be required in such instances and that project 
activities not directly affected by the separate Section 4(f) approval 
may proceed. Paragraph 774.9(d) of this Section 4(f) regulation deals 
strictly with Section 4(f) requirements and is not intended to explain 
when supplementation under NEPA is required. A provision in the joint 
FHWA/FTA NEPA regulation, located at 23 CFR 771.130, governs when 
supplementation is required under NEPA. It requires a supplemental EIS 
``whenever the Administration determines that: (1) Changes to the 
proposed action would result in significant environmental impacts that 
were not evaluated in the EIS; or (2) New information or circumstances 
relevant to environmental concerns and bearing on the proposed action 
or its impacts would result in significant environmental impacts not 
evaluated in the EIS.'' The circumstances that necessitate a separate 
Section 4(f) approval under paragraph 774.9(c) may or may not rise to 
the level of significance described in 23 CFR 771.130(a). It should 
also be noted that 23 CFR 771.130(c) provides for the preparation of 
environmental studies or, if appropriate, an EA to assess the impacts 
of the changes, new information, or new circumstances and determine 
whether a supplemental EIS is necessary. The NEPA question must be 
answered in the context of the particular new or changed impacts at 
issue, while the Section 4(f) question depends on the new or changed 
use of Section 4(f) property at issue. The FHWA and FTA recognize that 
the changes, new information, or new circumstance requiring a separate 
Section 4(f) evaluation may also require additional NEPA documentation. 
Paragraph 774.9(d) now states that when, in accordance with paragraph 
(c), a separate Section 4(f) approval is required and, in accordance 
with 23 CFR 771.130, additional NEPA documentation is needed, these 
documents should be combined for efficiency and comprehensiveness. 
Further, 23 CFR 771.130(f) provides for a supplemental EIS of ``limited 
scope'' when issues of concern affect only a limited portion of the 
project, and it states that any project activity not directly affected 
by the supplemental review may proceed. The FHWA and FTA believe that 
the last sentence in paragraph 774.9(d) is consistent with 23 CFR 
771.130(f) and that no change is warranted.
     Paragraph 774.9(e)--Several comments expressed support for 
the proposal in paragraph 774.9(e) that, when Section 4(f) applies to 
archeological sites discovered during construction, the Section 4(f) 
process may be expedited and the evaluation of alternatives may take 
into account the level of investment already made. One commenter 
objected to the expedited process and consideration of prior 
investment. Another stated that this provision is too vague. However, 
no substantive change was made to the language because this paragraph 
continues existing policy that has worked well in past applications. 
Because archeological resources are underground and can occur in 
unexpected locations, it is not always possible to anticipate their 
presence prior to construction. Thus, when such resources are uncovered 
during construction, it is appropriate to take the scientific and 
historical value of the resource into account in deciding how to 
expedite the Section 4(f) process. Further elaboration in the 
regulation would hamper the deliberation necessary when this 
circumstance arises.
    One commenter asked whether a particular applicant can enter into a 
programmatic agreement with their SHPO setting forth more detailed 
procedures to comply with Section 4(f) and the National Historic 
Preservation Act when archeological resources are discovered during 
construction. We believe that this would be appropriate and desirable 
as long as the proposed

[[Page 13380]]

agreement is reviewed by the Administration through the appropriate 
field office for consistency with this regulation. Another approach 
that is encouraged is the inclusion of procedures for identifying and 
dealing with archaeological resources in the project-level Section 106 
Memorandum of Agreement under the National Historic Preservation Act. 
Another comment sought clarification whether the exception in paragraph 
774.13(b) for archeological resources lacking value for preservation in 
place applies when the archeological resource is discovered during 
construction. It does, and this has been clarified in the final rule.

Section 774.11 Applicability

    This section is intended to answer many common questions about when 
Section 4(f) is applicable. There were no generally applicable comments 
on this section. Comments on specific paragraphs are discussed in turn 
below.
     Paragraph 774.11(a)--There were no major comments in 
response to this paragraph. Therefore, we have retained the language as 
proposed in the NPRM.
     Paragraph 774.11(b)--Several comments requested 
clarification on the roles of the various agencies involved in the 
Section 4(f) evaluation in relation to the provisions of 23 U.S.C. 139, 
which was created by SAFETEA-LU section 6002, regarding joint lead 
agencies. Section 4(f) only applies to U.S. DOT agencies, but there are 
transportation projects for which a non-U.S. DOT agency is the Federal 
lead agency and a U.S. DOT agency is a cooperating or participating 
agency. In these cases, only the U.S. DOT agency can make the Section 
4(f) approval. For example, a hospital expansion project was proposed 
in the midwest, utilizing funds from the U.S. Army Corps of Engineers, 
a non-U.S. DOT agency that was the lead agency under NEPA, and the U.S. 
Department of Housing and Urban Development, another non-U.S. DOT 
agency. The FHWA had funding involvement for the relocation of roads 
within the project area and was a cooperating agency. FHWA was, 
however, the Federal lead agency for Section 4(f) approvals. To further 
clarify this point, the word ``Federal'' was inserted in the first 
sentence of this paragraph: ``When another `Federal' agency is the 
Federal lead agency for the NEPA process * * *. ''
     Paragraphs 774.11(c) and (d)--These paragraphs were 
proposed to remain substantively unchanged from the previous 
regulation. Three comments objected to paragraph (c), which presumes 
that parks, refuges, and recreation areas are significant unless the 
official(s) with jurisdiction determine that the entire property is not 
significant. The FHWA and FTA proposed in paragraph (d) to retain the 
right to review such determinations of non-significance for 
reasonableness. One commenter objected to the presumption of 
significance, stating ``if the official with jurisdiction over the 
property chooses to not make a ruling on significance, we should assume 
the property is not significant as opposed to assuming it is.'' The 
same commenter felt that the Administration should not be permitted to 
overturn a non-significance determination. Another commenter proposed 
adding a public hearing requirement to this paragraph, and the third 
comment proposed deleting the paragraph (c) on significance altogether 
because it ``guts the statutory standard'' to allow the official(s) 
with jurisdiction over a property to declare it non-significant. After 
considering these comments, we decided to retain the language as 
proposed. The statute is limited by its own terms to significant 
properties ``as determined by the Federal, State, or local officials 
having jurisdiction over the park, area, refuge, or site.'' 49 U.S.C. 
303(c). Therefore, these paragraphs implement a provision of the 
statute itself and are part of the current Section 4(f) regulations at 
23 CFR 771.135(c) and (d). With respect to the presumption of 
significance in paragraph (c), the FHWA and FTA decided to keep the 
presumption since it continues to provide the benefit of a doubt in 
favor of protecting the Section 4(f) property, which has been the FHWA 
and FTA's policy on this issue for several decades.
     Paragraph 774.11(e)--Several comments were received on 
this paragraph, which specifies standards and procedures for 
determining the applicability of Section 4(f) to historic sites. Two 
comments asked for a definition of ``historic site.'' A definition was 
added to section 774.17, which defines the term as ``any prehistoric or 
historic district, site, building, structure, or object included in, or 
eligible for inclusion in, the National Register.'' The term ``includes 
properties of traditional religious and cultural importance to an 
Indian tribe or Native Hawaiian organization that are included in, or 
are eligible for inclusion in, the National Register.'' This definition 
is consistent with the definition of ``historic property'' used in the 
regulation implementing Section 106 of the National Historic 
Preservation Act (36 CFR part 800).
    Another comment on this paragraph stated that we should not limit 
historic sites to those that are eligible for the National Register of 
Historic Places, but also consider other sites that may be important 
for historic purposes. We agree with the commenter that it is important 
to allow for the possibility of protecting sites that are historic but 
not eligible for the National Register. The proposed text of paragraph 
774.11(e)(1) provides for this situation by stating that Section 4(f) 
applies ``only to historic sites on or eligible for the National 
Register unless the Administration determines that that the application 
of Section 4(f) is otherwise appropriate.'' This provision allows the 
Administration to consider sites that are historically important for 
protection but are not eligible for the National Register.
    Other comments stated that the section did not adequately address 
``negligible'' impacts to large historic districts. We think that 
changes to the proposed language to address this issue are not 
warranted. For example, in the case of historic districts, the 
assessment of effects under Section 106 of the National Historic 
Preservation Act would be based on the effect to the district as a 
whole, as opposed to individual impacts on each contributing property. 
Accordingly, when an assessment of effects on the overall historic 
district is performed, if the effects on the historic district are 
truly negligible, then the result of the assessment of effects would be 
a ``no adverse effect'' on the historic district. With appropriate 
concurrences, such finding would qualify the project as having de 
minimis impact and therefore not subject to further consideration under 
Section 4(f). On the other hand, where contributing elements of a 
historic district are individually eligible for the National Register, 
an assessment of the effects on the individual properties that are 
eligible would also be required. This assessment of effects would be 
independent of the assessment for the overall historic district and may 
or may not result in ``no adverse effect'' and de minimis impact 
determinations.
    Paragraph 774.11(e)(2), concerning the application of Section 4(f) 
to the Interstate Highway System, was moved to this location in the 
final rule (from paragraph 774.13(j) in the NPRM) so that all 
provisions governing the applicability to historic sites are in one 
location. One comment was received on the exemption of the Interstate 
Highway System. The comment expressed concern over the inclusion of 
this exemption in the proposed regulation. This exception was included 
in the NPRM in response to section 6007 of SAFETEA-LU (codified at 23 
U.S.C. 103(c)(5)), which states, in pertinent

[[Page 13381]]

part, that the Interstate Highway System is not considered to be a 
historic site subject to Section 4(f), with the exception of those 
individual elements of the Interstate Highway System formally 
designated by FHWA for Section 4(f) protection on the basis of national 
or exceptional historic significance. FHWA implemented this directive 
through a formal process that designated 132 significant elements of 
the Interstate Highway System for Section 4(f) protection after 
considering input from relevant agencies and the public. See 71 FR 
76019. While Section 4(f) does not apply to all other segments and 
features of the Interstate Highway System, Section 4(f) continues to 
apply to any historic sites located in proximity to an Interstate 
Highway that are unrelated to the Interstate Highway System. As an 
example, a highway project will widen and reconfigure an interchange on 
the Interstate System constructed 50 years ago that has some historic 
value but is not designated on the list of 132 significant elements. 
Section 4(f) does not apply to the use of this interchange. However, a 
historic farm, circa 1850 and on the National Register, also abuts the 
project. Section 4(f) would apply to the project's use of the historic 
farm because the farm is not part of the Interstate Highway System and 
its historic significance is unrelated to the Interstate Highway 
System.
     Paragraph 774.11(f)--One commenter requested specific 
procedures to be used for the identification of archaeological 
resources. The FHWA and FTA decided not to include procedures for 
identifying archaeological resources in this regulation because it is 
beyond the scope of this rulemaking. The FHWA and FTA believe that a 
good faith effort must be made to identify archaeological resources, 
but specifying procedures to be used in each situation is not 
appropriate in this regulation.
     Paragraph 774.11(g)--This paragraph of the final rule was 
added to clarify the applicability of Section 4(f) to Wild and Scenic 
Rivers. The provision is consistent with longstanding FHWA and FTA 
policy as set forth in FHWA's Section 4(f) Policy Paper. It was 
inserted in response to the comments of the U.S. Department of the 
Interior. The provision limits the applicability of Section 4(f), in 
accordance with the statutory language, to those portions of Wild and 
Scenic Rivers that are publicly owned and serve a function protected by 
Section 4(f). The paragraph states ``Section 4(f) applies to those 
portions of federally designated Wild and Scenic Rivers that are 
otherwise eligible as historic sites, or that are publicly owned and 
function as, or are designated in a management plan as a significant 
park, recreation area, or wildlife and waterfowl refuge. All other 
applicable requirements of the National Wild and Scenic Rivers Act must 
be satisfied, independent of the Section 4(f) approval.''
     Paragraphs 774.11(h) and (i)--These paragraphs of section 
774.11 concern the applicability of Section 4(f) to properties formally 
reserved for future transportation projects but temporarily serving a 
Section 4(f) purpose. One commenter noted that the NPRM had addressed 
interim Section 4(f) activity on property reserved for transportation 
use and the concurrent or joint development of parks, recreation areas, 
or refuges with transportation facilities in the same paragraph. That 
commenter suggested that these two topics should be separated because 
the NPRM was confusing. As these issues have been traditionally treated 
separately, the FHWA and FTA agree with this suggestion, and the topics 
of interim Section 4(f) activities and joint planning are now addressed 
in paragraphs 774.11(g) and (h), respectively.
    Another commenter was concerned with the term ``temporary 
recreational activity'' in the first sentence of this paragraph of the 
proposed rule, explaining that the word ``temporary'' could be 
construed to refer only to uses of relatively short duration. The FHWA 
and FTA have never imposed any time limit on how long a future 
transportation corridor can be made available for recreation while it 
is not yet needed for transportation, and there is no public purpose in 
limiting the time during which interim recreational activities may be 
permitted on the future transportation corridor.
    The commenter was also concerned that the proposed language did not 
consider other non-recreational temporary uses of a future 
transportation corridor, for example as a wildlife or waterfowl refuge. 
The FHWA and FTA decided to address these comments by clarifying the 
wording of the section. The language in the final rule says: ``[w]hen a 
property formally reserved for a future transportation facility 
temporarily functions for park, recreation, or wildlife and waterfowl 
refuge purposes in the interim, the interim activity, regardless of 
duration, will not subject that property to Section 4(f).'' The 
temporary activity is not protected under Section 4(f) in this case, 
regardless of whether the property owner has authorized the interim use 
of the transportation land or has simply not fenced the property off or 
taken other measures to prevent trespassing.
    Another comment suggested that allowing temporary recreational 
activity on a reserved transportation corridor is an exception to 
Section 4(f) and therefore should be moved from section 774.11, 
``Applicability,'' to section 774.13, ``Exceptions.'' We think that the 
proposed paragraph does not set forth an exception to Section 4(f), but 
rather explains the applicability of Section 4(f) in certain 
situations. Therefore, this provision was retained in the 
``Applicability'' section.
    Another comment addressed the second example of joint planning 
between two or more agencies with jurisdiction over the transportation 
project and Section 4(f) property. The comment suggested that a broader 
range of scenarios of joint planning be addressed in the rule, and 
suggested the example be revised to indicate that such planning could 
be done concurrently or in consultation between the agencies. It 
appears the concern involved the need for formal coordination, though 
the word ``formal'' did not appear in the NPRM. Since this paragraph of 
the rule deals with joint planning of transportation projects and 
Section 4(f) properties, any instance of concurrent planning would 
qualify for consideration of whether Section 4(f) applied. The basis 
for determining the compatibility of jointly-planned transportation 
projects and Section 4(f) properties, however, depends heavily upon the 
degree to which the multiple agencies involved have consulted on 
various aspects of the proposals. The purpose of this provision had 
been accurately described as:

    Section 4(f) is not meant to force upon a community, wishing to 
establish a less than pristine park affected by a road, the choice 
between a pristine park and a road. A community faced with this 
choice might well choose not to establish any park, thus frustrating 
Section 4(f)'s goal of preserving the natural beauty of the 
countryside.

See Sierra Club v. Dept. of Transp., 948 F.2d 568, 574-575 (9th Cir. 
1991). The consultation that occurs, formal or otherwise, will be 
examined on a case-by-case basis in light of this purpose to determine 
if a constructive use occurs when the jointly-planned transportation 
project is eventually proposed for construction. We have retained the 
proposed language in the final rule.

Section 774.13 Exceptions

    This section sets forth various exceptions to the otherwise 
applicable Section 4(f) requirements. The exceptions either are founded 
in statute or reflect longstanding FHWA and FTA policies governing when 
to apply Section 4(f). The exceptions are limited

[[Page 13382]]

in number and scope and do not compromise the preservation purpose of 
the statute, which is to ``preserve the natural beauty of the 
countryside and public park and recreation lands, wildlife and 
waterfowl refuges, and historic sites.''
    One comment asked for clarification whether an exception for a 
project under this regulation would also provide an exemption for the 
project from compliance with the NEPA and the National Historic 
Preservation Act. The answer is no. The exceptions in Section 774.13 
relate solely to the applicability of, and requirements for, Section 
4(f) approval. All other applicable environmental laws must still be 
addressed.
    Several comments favored additional exceptions beyond those 
proposed by the FHWA and FTA. One such comment suggested that an 
exception be added for active historic railroads and transit systems, 
along the lines of the exemption for the Interstate Highway System that 
was included in section 6007 of SAFETEA-LU. The FHWA and FTA decided 
not to pursue the suggested exception for several reasons. First and 
foremost, the FHWA and FTA do not have statutory authority for such an 
exception, as it was not included in section 6007. Second, there is 
already an exception in paragraph 774.13(a) for the restoration, 
rehabilitation, or maintenance of historic transportation facilities 
when there is no adverse effect on the historic qualities of the 
facility that caused it to be on or eligible for the National Register. 
For many FTA-funded maintenance or rehabilitation projects on historic 
transit systems, such as those in New York, Chicago, and Boston, 
system-specific programmatic agreements with the relevant SHPO under 
Section 106 have specified the conditions for a ``no adverse effect'' 
determination and, as a logical consequence, the conditions for the 
Section 4(f) exception noted above. Finally, when the project does 
result in an adverse effect and the traditional Section 4(f) evaluation 
process applies, the demonstration that there is no feasible and 
prudent avoidance alternative that would accomplish the project purpose 
of keeping the historic transportation facility in operation is usually 
straightforward. Therefore, the applicant in such a case can focus on 
how to minimize the harm to historic features of the transportation 
facility and still accomplish the project's purpose. Accordingly, the 
FHWA and FTA do not agree that the creation of a new exception for 
active, historic railroads and transit systems is necessary or 
permissible.
    Another comment suggested adding an exception for all ``local or 
state transportation projects that have not or will not receive U.S. 
Department of Transportation funds for construction of the project.'' 
In support of this proposal, the commenter cited a number of court 
cases holding that Section 4(f) requirements are triggered when a U.S. 
DOT agency approves a transportation project receiving Federal 
construction funds but not when the project is locally funded. The FHWA 
and FTA decided not to incorporate the proposed exception because 
Federal funding is not the sole determinant of Section 4(f) 
applicability. Section 4(f) may be implicated in other Administration 
approval actions not involving the disbursement of U.S. DOT funds when 
there is sufficient control over the project. For example, the U.S. DOT 
approval of a new interchange on the Interstate Highway System 
requiring the use of adjacent parkland may trigger Section 4(f) even if 
Federal funding is not involved. The overwhelming majority of projects 
not receiving U.S. DOT funding, including those in the court cases 
cited by the commenter, do not require any Administration approval at 
all and therefore would not trigger Section 4(f).
    Comments on specific paragraphs within Section 774.13 are discussed 
in order below.
     Paragraph 774.13(a)--Paragraph 774.13(a) is an exception 
from the Section 4(f) process for projects involving work on a 
transportation facility that is itself historic. The FHWA and FTA's 
policy for several decades has been that when a project involves a 
historic facility that is already dedicated to a transportation 
purpose, and does not adversely affect the historic qualities of that 
facility, then the project does not ``use'' the facility within the 
meaning of Section 4(f). If there is no use under Section 4(f), then 
its requirements do not apply. This interpretation is consistent with 
the preservation purpose of Section 4(f) and with caselaw on this 
issue.
    Two comments recommended revising this section to clarify that the 
exception for restoration, rehabilitation, or maintenance of 
transportation facilities applies only if the Administration makes a 
finding of ``no adverse effect'' in accordance with the consultation 
process required under Section 106. One comment pointed out that other 
interested parties besides the official(s) with jurisdiction may be 
participating in the Section 106 consultation. We agree and revised the 
paragraph to clarify these points.
     Paragraph 774.13(b)--Paragraph 774.13(b) is an exception 
from the Section 4(f) process for those archeological sites whose 
significance lies primarily in the historical or scientific information 
or data they contain. The exception does not apply when the 
Administration determines that a site is primarily important for 
preservation in place (e.g., to preserve a major portion of the 
resource in place for the purpose of public interpretation), or that 
the site has value beyond what may be learned by data recovery (e.g., 
as a result of considerations that may arise when human remains are 
present). This distinction between the primary values for what can be 
learned by data recovery versus the primary value for preservation in 
place has been central to the Administration's implementation of the 
statute for archeological sites for several decades.
    The intent of the exception is not to narrow unnecessarily the 
application of Section 4(f) when dealing with archeological sites, but, 
rather, to apply the protections of Section 4(f) only in situations 
where the preservation purpose of the statute would be sustained. 
Frequently, the primary information value of an archeological resource 
can only be realized through data recovery. In those cases, the primary 
mandate of Section 4(f)--to investigate every feasible and prudent 
alternative to avoid the site--would serve no useful purpose. 
Conversely, where the artifacts would lose essential aspects of the 
information they might yield if removed from the setting, or if the 
site is complex and it is not reasonable to expect to be able to 
recover much of the data resident there, or where technology does not 
exist to preserve the artifacts once removed from the ground, requiring 
the applicant to search for a feasible and prudent avoidance 
alternative is consistent with the statute.
    One commenter expressed the view that in light of the 1999 and 2000 
amendments to the Section 106 regulations concerning archeological 
resources, ``the outdated approach to archeology reflected in the 
Section 4(f) regulations is inconsistent with the National Historic 
Preservation Act (NHPA).'' Transportation projects subject to Section 
4(f) must also comply with the NHPA, an entirely different statute that 
also affords certain protection to historic sites. The NHPA has its own 
very detailed regulations that must be followed. An ``adverse effect'' 
to an archeological site under the NHPA is not the same as a ``use'' of 
an archeological site under Section 4(f).

[[Page 13383]]

    The comment did not propose specific revisions to the proposed 
regulation, but generally recommended that consideration be given to 
whether an archeological site may have ``broader religious or cultural 
significance to any Indian tribe(s),'' and that the Administration 
should be required to ``defer to the SHPO's or THPO's views regarding 
significance.'' We carefully considered these suggestions and decided 
to revise the wording in the final rule in response to the concerns 
raised. We agree that deference to the expertise of SHPOs and THPOs is 
warranted in determining whether an archeological site is worthy of 
preservation in place or is important chiefly for what could be learned 
through data recovery. Accordingly, the final rule requires that 
``[t]he official(s) with jurisdiction over the Section 4(f) resource 
have been consulted and have not objected to the Administration finding 
* * *'' regarding the relative importance of data recovery versus 
preservation in place.
     Paragraph 774.13(c)--This paragraph is an exception to the 
requirement for Section 4(f) approval for parks, recreational areas, 
wildlife and waterfowl refuges, and historic sites that are designated 
or determined to be significant late in the development of a 
transportation project. Late designation is not the same thing as a 
late discovery of a Section 4(f) property. This exception, which has 
been FHWA and FTA policy for several decades, applies only if a good 
faith effort was made during the NEPA process to identify all 
properties eligible for Section 4(f) protection. The purpose of the 
exception is to provide reasonable finality to the environmental review 
phase of project development.
    Many comments were received on the late-designation exception. One 
comment asserted that no exception is warranted until construction has 
begun in order to provide maximum protection to Section 4(f) 
properties. Another comment objected to the exception in the case of 
projects ``languishing'' in project development for long periods of 
time during which time a resource on the project site might be 
legitimately designated as a new or significant Section 4(f) property. 
In this commenter's view, such projects should not be allowed to 
proceed without a new Section 4(f) evaluation, even if the property in 
question was acquired by a transportation agency for transportation 
purposes prior to the new designation. The commenter suggested limiting 
the exception by including a ``staleness'' provision mandating that if 
a planned transportation project is not constructed within a specified 
period of time (three years was suggested) the exception would not 
apply and a new evaluation under Section 4(f) would be required. At the 
opposite end of the spectrum, we received comments asserting that 
project opponents frequently wait until late in project development to 
assert that properties are eligible for Section 4(f) protection, solely 
for the purpose of delaying the project. Several modifications were 
suggested to guard against that possibility. One such proposal 
suggested broadening this exception so that an applicant would only 
need to establish the project's location and complete the NEPA process 
in order to benefit from the late-designation exception. The comment 
proposed that the applicant not be required to take the additional step 
of acquiring the right-of-way for this exception to apply.
    The FHWA and FTA decided not to adopt any of the suggested changes 
to the proposed regulation. The exception is intended to balance 
competing interests--protecting Section 4(f) properties while 
facilitating timely project delivery. The exception provides that ``the 
Administration may permit a project to proceed without consideration 
under Section 4(f) if the property interest in the Section 4(f) land 
was acquired for transportation purposes prior to the designation or 
change in the determination of significance and if an adequate effort 
was made to identify properties protected by Section 4(f) prior to 
acquisition.'' These conditions will ensure that the initial Section 
4(f) approval was proper and that the project has progressed far enough 
to warrant special treatment. The acquisition of right-of-way typically 
is the last step of project development prior to construction. 
Conversely, if the right-of-way has not yet been acquired prior to the 
redesignation or change in significance, then the exception does not 
apply. Recognizing the variability in development schedules among 
different transportation projects, we did not include any arbitrary 
time limits. A ``staleness'' provision would often delay project 
implementation unnecessarily and may compromise project plans after 
considerable investment in engineering design and land acquisition. The 
regulatory language draws the line at purchase of the property to 
ensure that, prior to the redesignation or change in significance, the 
applicant has completed the NEPA process, has made a good faith effort 
to address Section 4(f) concerns, and has advanced the project beyond 
preliminary engineering into actual implementation activities. We also 
note that if, after the completion of the NEPA process and Section 4(f) 
approval, the project has to be modified in a way that would use newly 
designated Section 4(f) property, the applicant would be obligated to 
conduct a separate Section 4(f) evaluation in accordance with paragraph 
774.9(c).
    Lastly, a comment suggested that the FHWA and FTA should ``ensure 
internal consistency'' between this provision and Paragraph 
774.15(f)(4), which provides that there is no constructive use if the 
Section 4(f) designation occurs after either a right-of-way acquisition 
or adoption of project location through the approval of a final 
environmental document. We do not agree. The ``late designation'' 
exception in paragraph 774.13(c), which applies generally to both 
actual and constructive use, is distinct from the narrower exception in 
paragraph 774.15(f)(4), which addresses proximity impacts of a 
transportation project and applies only to constructive use.
    Several comments suggested removing or modifying the sentence at 
the end of paragraph 774.13(c) that, as worded in the NRPM, would 
preclude the use of the late-designation exception where a historic 
property is close to, but less than, 50 years of age. One commenter 
pointed out that the sentence would perpetuate the false assumption 
that properties over 50 years old are automatically eligible for the 
National Register. Another commenter stated that the provision is 
confusing because there is no parallel in Section 106 of the National 
Historic Preservation Act, and the sentence could be read to 
effectively extend Section 4(f) protections to properties that are not 
necessarily historically significant under Section 106. The commenter 
also pointed out the potential confusion caused by having an exception 
to the exception. The FHWA and FTA agree that this sentence was 
confusing and has modified it to say: ``if it is reasonably foreseeable 
that a property would qualify as eligible for the National Register 
prior to the start of construction, then the property should be treated 
as a historic site for the purposes of this section.'' The 
determination whether it is reasonably foreseeable should take into 
account the possibility that changes in the property beyond the 
Administration's control might reduce its eligibility, as well as the 
sometimes unpredictable nature of construction schedules.
     Paragraph 774.13(d)--Paragraph 774.13(d) is an exception 
to the requirement for Section 4(f) approval for temporary occupancies 
of Section 4(f)

[[Page 13384]]

property. This exception is limited to situations where the official 
with jurisdiction over the resource agrees that a minor, temporary 
occupancy of Section 4(f) property will not result in any permanent 
adverse impacts and will not interfere with the protected activities, 
features, or attributes of the property, the property will be fully 
restored, and the ownership of the property will not change. This 
exception, which has been part of the Section 4(f) regulation since 
1991, is founded on the FHWA and FTA's belief that the statute's 
preservation purpose is met when the Section 4(f) land, though 
temporarily occupied, is not permanently incorporated into a 
transportation facility and is returned to the same or better condition 
than it was found, with the consent of the official with jurisdiction 
over the Section 4(f) resource. Some construction-related activities 
taking place on Section 4(f) property may be so minor in scope and 
duration that its continued preservation is in no way impeded. Using 
publicly owned land for construction easements can result in less 
disruption to the surrounding community and often may result in an 
enhancement of the protected resource, such as landscaping, 
installation of new play equipment, or other improvement following 
construction.
    A commenter asked whether a temporary occupancy not falling within 
this exception could be treated as a use with de minimis impact if the 
Section 4(f) land would be fully restored after construction. The 
answer is yes, a temporary occupancy that is determined to be a Section 
4(f) use may qualify for a de minimis impact determination by the 
Administration if the requirements for such determination are met. This 
circumstance would arise when one or more of the criteria for the 
temporary-occupancy exception are not met, but the requirements for a 
de minimis impact determination are met. De minimis impact 
determinations related to temporary occupancies are addressed in more 
detail in the joint FHWA/FTA ``Guidance for Determining De Minimis 
Impacts to Section 4(f) Resources,'' December 13, 2005.
    One comment asserted that excepting ``temporary'' occupancies of 
land from the provisions of Section 4(f) would be problematic for 
``megaprojects'' (usually defined as projects with a total estimated 
cost of more than $500 million) whose construction period might stretch 
over a decade or more. Another commenter expressed the opinion that 
occupation of Section 4(f) properties during such projects should not 
be considered ``temporary'' even if the occupancy period is less than 
the total time needed for construction. We agree that in some 
circumstances a very long-term occupancy of Section 4(f) properties, 
even if shorter in duration than the total time it takes to construct a 
particular project, could be contrary to the preservation purpose of 
Section 4(f) and, therefore, constitute a use. However, we did not 
change the relevant text (``[d]uration must be temporary, i.e., less 
than the time needed for construction of the project'') because the 
regulation imposes several other stringent conditions that would be 
difficult to satisfy in the case of a long-term occupancy. These other 
stringent conditions include the requirement that the occupancy not 
interfere with the activities, features, and attributes that qualify 
the property for Section 4(f) protection, and that the official with 
jurisdiction over the Section 4(f) property concur in its being 
occupied for this period of time.
    Another commenter recommended elimination of the conditions for the 
``temporary occupancy'' of land. These conditions, the commenter 
argues, create a major burden for determining whether the temporary-
occupancy exception applies. Another comment recommended changing the 
wording in paragraph 774.13(d)(1) from ``less than the time needed for 
construction'' to ``no greater than the time needed for construction.'' 
This change would allow the temporary occupancy of land to continue for 
the entire duration of construction. After carefully considering all of 
the comments, we decided that no change to the proposed language of 
paragraph 77