Publications Details
The conflict of interest problem in EIS preparation
The National Environmental Policy Act (NEPA) requires that federal agencies prepare environmental impact statements (EISs) on proposals for major Federal action significantly affecting the quality of the human environment. The Council on Environmental Quality (CEQ) regulations require that EISs be prepared directly by the lead agency or a contractor it selects. EIS contractors must execute a disclosure statement specifying that they have ``no financial or other interest`` in the outcome of the project. The intent of the ``conflict of interest`` prohibition is to ensure that the EIS is defensible, free of self-serving bias, and credible to the public. Those coming to the federal government for money, permits, or project approvals must not be placed in the position of analyzing the environmental consequences of their own proposals. This paper analyzes the conflict of interest problem faced by government contractors who maintain and operate government-owned or-controlled facilities for which EISs are required. In the US Department of Energy (DOE) system, these are referred to as ``M and O`` contractors. It also examines organizational conflicts presented by current or prospective government contractors who have a financial or other interest in the outcome of a project or program for which an EIS is prepared. In responding to these and related questions, the paper discusses and interprets the CEQ regulations and guidance on EIS preparation conflict of interest as well as leading federal court opinions. It also distinguishes ``preparers`` from ``participants`` in the EIS preparation process.