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36 <br />(a) Until an agency issues a record of decision as provided in SS 1505.2 (except as <br />provided in paragraph (c) of this section), no action concerning the proposal shall be taken <br />which would: <br />(1) Have an adverse environmental impact; or <br />(2) Limit the choice of reasonable alternatives. <br />(b) If any agency is considering an application from anon-Federal entity, and is aware <br />that the applicant is about to take an action within the agency's jurisdiction that would meet <br />either of the criteria in paragraph (a) of this section, then the agency shall promptly notify the <br />applicant that the agency will take appropriate action to insure that the objectives and <br />procedures of NEPA are achieved. <br />(c) While work on a required program environmental impact statement is in progress <br />and the action is not covered by an existing program statement, agencies shall not undertake <br />in the interim any major Federal action covered by the program which may significantly <br />affect the quality of the human environment unless such action: <br />(1) Is justified independently of the program; <br />(2) Is itself accompanied by an adequate environmental impact statement; and <br />(3) Will not prejudice the ultimate decision on the program. Interim action prejudices <br />the ultimate decision on the program when it tends to determine subsequent development or <br />limit alternatives. <br />(d) This section does not preclude development by applicants of plans or designs or <br />performance of other work necessary to support an application for Federal, State or local <br />permits or assistance. Nothing in this section shall preclude Rural Electrification <br />Administration approval of minimal expenditures not affecting the environment (eg. long <br />leadtime equipment and purchase options) made by non-governmental entities seeking loan <br />guarantees from the Administration. <br />1506.2 Elimination of duplication with State and local procedures. <br />(a) Agencies authorized by law to cooperate with State agencies of statewide <br />jurisdiction pursuant to section 102(2)(D) of the Act may do so. <br />(b) Agencies shall cooperate with State and local agencies to the fullest extent <br />possible to reduce duplication between NEPA and State and local requirements, unless the <br />agencies are specifically barred from doing so by some other law. Except for cases covered <br />by paragraph (a) of this section, such cooperation shall to the fullest extent possible include: <br />(1) Joint planning processes. <br />(2) Joint environmental research and studies. <br />(3) Joint public hearings (except where otherwise provided by statute). <br />(4) Joint environmental assessments. <br />(c) Agencies shall cooperate with State and local agencies to the fullest extent <br />possible to reduce duplication between NEPA and comparable State and local requirements, <br />unless the agencies are specifically barred from doing so by some other law. Except for <br />cases covered by paragraph (a) of this section, such cooperation shall to the fullest extent <br />possible include joint environmental impact statements. In such cases one or more Federal <br />agencies and one or more State or local agencies shall be joint lead agencies. Where State <br />laws or local ordinances have environmental impact statement requirements in addition to but <br />