Title 23 — HighwaysRelease 119-73not60
§326 State Assumption of Responsibility for Categorical Exclusions
Title 23 › Chapter 3— GENERAL PROVISIONS › § 326
Summary
The Secretary can let a State take over deciding whether certain actions are exempt from full environmental studies. The State must follow rules and only decide about activity types the Secretary names. The State must make information available to the public consistent with section 552 of title 5 (the Freedom of Information Act) and the National Environmental Policy Act. The Secretary may not force the State to give up highway project delivery methods that are otherwise allowed. The Secretary can also let a State handle other federal environmental reviews and consultations for those exempt activities, except government-to-government talks with Indian tribes. If the State agrees, it alone is responsible and liable for following those federal laws. The Secretary and State must publish notice, allow comments, and sign a written agreement (a memorandum of understanding) that sets the duties, the rules for when the Secretary would take back responsibility, and other terms. The Secretary must help a State on request and must monitor the State’s performance and funding. Agreements normally run up to 3 years and can be renewed; they run 5 years if the State has had the role for at least 10 years. The Secretary can end a State’s role if the State isn’t doing the job, but must give notice, at least 120 days to fix problems, and detail what needs fixing if the Governor asks. A State can quit with 90 days’ notice. A State agency acting under the agreement is treated like a federal agency for the law involved. The State may use funds apportioned under section 104(b)(2) to pay attorney fees tied to an eligible project.
Full Legal Text
Title 23, §326
Highways — Source: USLM XML via OLRC
(a)(1)The Secretary may assign, and a State may assume, responsibility for determining whether certain designated activities are included within classes of action identified in regulation by the Secretary that are categorically excluded from requirements for environmental assessments or environmental impact statements pursuant to regulations promulgated by the Council on Environmental Quality under part 1500 of title 40, Code of Federal Regulations (as in effect on October 1, 2003).
(2)A determination described in paragraph (1) shall be made by a State in accordance with criteria established by the Secretary and only for types of activities specifically designated by the Secretary.
(3)The criteria under paragraph (2) shall include provisions for public availability of information consistent with section 552 of title 5 and the National Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.).
(4)The Secretary shall not require a State, as a condition of assuming responsibility under this section, to forego project delivery methods that are otherwise permissible for highway projects.
(b)(1)If a State assumes responsibility under subsection (a), the Secretary may also assign and the State may assume all or part of the responsibilities of the Secretary for environmental review, consultation, or other related actions required under any Federal law applicable to activities that are classified by the Secretary as categorical exclusions, with the exception of government-to-government consultation with Indian tribes, subject to the same procedural and substantive requirements as would be required if that responsibility were carried out by the Secretary.
(2)A State that assumes responsibility under paragraph (1) with respect to a Federal law shall be solely responsible and solely liable for complying with and carrying out that law, and the Secretary shall have no such responsibility or liability.
(c)(1)The Secretary and the State, after providing public notice and opportunity for comment, shall enter into a memorandum of understanding setting forth the responsibilities to be assigned under this section and the terms and conditions under which the assignments are made, including establishment of the circumstances under which the Secretary would reassume responsibility for categorical exclusion determinations.
(2)On request of a Governor of a State, the Secretary shall provide to the State technical assistance, training, or other support relating to—
(A)assuming responsibility under subsection (a);
(B)developing a memorandum of understanding under this subsection; or
(C)addressing a responsibility in need of corrective action under subsection (d)(1)(B).
(3)A memorandum of understanding—
(A)except as provided under subparagraph (C), shall have a term of not more than 3 years;
(B)shall be renewable; and
(C)shall have a term of 5 years, in the case of a State that has assumed the responsibility for categorical exclusions under this section for not fewer than 10 years.
(4)In a memorandum of understanding, the State shall consent to accept the jurisdiction of the Federal courts for the compliance, discharge, and enforcement of any responsibility of the Secretary that the State assumes.
(5)The Secretary shall—
(A)monitor compliance by the State with the memorandum of understanding and the provision by the State of financial resources to carry out the memorandum of understanding; and
(B)take into account the performance by the State when considering renewal of the memorandum of understanding.
(d)(1)The Secretary may terminate the participation of any State in the program if—
(A)the Secretary determines that the State is not adequately carrying out the responsibilities assigned to the State;
(B)the Secretary provides to the State—
(i)a notification of the determination of noncompliance;
(ii)a period of not less than 120 days to take such corrective action as the Secretary determines to be necessary to comply with the applicable agreement; and
(iii)on request of the Governor of the State, a detailed description of each responsibility in need of corrective action regarding an inadequacy identified under subparagraph (A); and
(C)the State, after the notification and period described in clauses (i) and (ii) of subparagraph (B), fails to take satisfactory corrective action, as determined by the Secretary.
(2)The State may terminate the participation of the State in the program at any time by providing to the Secretary a notice not later than the date that is 90 days before the date of termination, and subject to such terms and conditions as the Secretary may provide.
(e)A State agency that is assigned a responsibility under a memorandum of understanding shall be deemed to be a Federal agency for the purposes of the Federal law under which the responsibility is exercised.
(f)A State assuming the responsibilities of the Secretary under this section for a specific project may use funds apportioned to the State under section 104(b)(2) for attorney’s fees directly attributable to eligible activities associated with the project.
Legislative History
Notes & Related Subsidiaries
Editorial Notes
References in Text
The National Environmental Policy Act of 1969, referred to in subsec. (a)(3), is Pub. L. 91–190, Jan. 1, 1970, 83 Stat. 852, which is classified generally to chapter 55 (§ 4321 et seq.) of Title 42, The Public Health and Welfare. For complete classification of this Act to the Code, see
Short Title
note set out under section 4321 of Title 42 and Tables.
Prior Provisions
A prior section 326, added Pub. L. 102–240, title VI, § 6004(a), Dec. 18, 1991, 105 Stat. 2169; amended Pub. L. 105–130, § 5(e)(4), Dec. 1, 1997, 111 Stat. 2558, related to education and training program, prior to repeal by Pub. L. 105–178, title V, § 5119(b), June 9, 1998, 112 Stat. 452.
Amendments
2021—Subsec. (c)(3)(A). Pub. L. 117–58, § 11314(1), added subpar. (A) and struck out former subpar. (A) which read as follows: “shall have a term of not more than 3 years; and”. Subsec. (c)(3)(C). Pub. L. 117–58, § 11314(2), (3), added subpar. (C). 2015—Subsec. (c)(2) to (5). Pub. L. 114–94, § 1307(1), added par. (2) and redesignated former pars. (2) to (4) as (3) to (5), respectively. Subsec. (d)(1). Pub. L. 114–94, § 1307(2), added par. (1) and struck out former par. (1). Prior to amendment, text read as follows: “The Secretary may terminate any assumption of responsibility under a memorandum of understanding on a determination that the State is not adequately carrying out the responsibilities assigned to the State.” 2012—Subsec. (a)(4). Pub. L. 112–141, § 1312(1), added par. (4). Subsec. (d). Pub. L. 112–141, § 1312(2), added subsec. (d) and struck out former subsec. (d). Prior to amendment, text read as follows: “The Secretary may terminate any assumption of responsibility under a memorandum of understanding on a determination that the State is not adequately carrying out the responsibilities assigned to the State.” Subsec. (f). Pub. L. 112–141, § 1312(3), added subsec. (f).
Statutory Notes and Related Subsidiaries
Effective Date
of 2021 AmendmentAmendment by Pub. L. 117–58 effective Oct. 1, 2021, see section 10003 of Pub. L. 117–58, set out as a note under section 101 of this title.
Effective Date
of 2015 AmendmentAmendment by Pub. L. 114–94 effective Oct. 1, 2015, see section 1003 of Pub. L. 114–94, set out as a note under section 5313 of Title 5, Government Organization and Employees.
Effective Date
of 2012 AmendmentAmendment by Pub. L. 112–141 effective Oct. 1, 2012, see section 3(a) of Pub. L. 112–141, set out as an Effective and Termination Dates of 2012 Amendment note under section 101 of this title.
Reference
Citations & Metadata
Citation
23 U.S.C. § 326
Title 23 — Highways
Last Updated
Apr 5, 2026
Release point: 119-73not60