AASHTO Journal - FHWA Signs NEPA Assignment Partnership with Nebraska

The Federal Highway Administration recently signed a new National Environmental Policy Act or NEPA assignment partnership agreement with Nebraska, allowing the state to assume federal environmental responsibilities for infrastructure projects – significantly streamlining the environmental review process for the Nebraska Department of Transportation.

[Above photo by Nebraska DOT]

“[This] agreement removes unnecessary federal red tape – ensuring more major infrastructure projects are built on time and on budget,” noted Sean Duffy, secretary of the U.S. Department of Transportation, in a statement. “I hope to see other states follow Nebraska’s lead so we can get shovels in the ground sooner and continue delivering results for the American people.”

“Burdensome reviews and approvals by Washington have slowed progress on road and highway improvements in Nebraska and across the country,” added Sean McMaster, FHWA administrator. “Now Nebraska DOT, the agency that knows Nebraska’s transportation needs best, will be able to take on additional NEPA responsibilities and ensure projects like the Lincoln East Beltway are completed in less time and at less cost to taxpayers.”

Nebraska is the third state to join USDOT in this new partnership model, following a renewed NEPA Memorandum of Understanding or MOU signed with the Texas Department of Transportation in July 2025 and one signed in January with the Maine Department of Transportation.

“For decades, bureaucrats have delayed or blocked critical infrastructure projects,” noted Nebraska Governor Jim Pillen (R). But now, with this new NEPA agreement in place, Nebraska DOT “can streamline government, accelerate timelines, and increase affordability as we continue to build our state’s future,” he said.

Vicki Kramer, Nebraska DOT’s director, pointed out that her agency’s experience delivering categorical exclusions coupled with a strong partnership with FHWA allowed Nebraska to achieve full Section 327 NEPA Assignment in less than a year.

She added that Nebraska DOT projects set to benefit from this NEPA agreement include:

Lincoln East Beltway – this project includes the final segment of a beltway around the city of Lincoln planned since the 1970s. It will be a four-lane freeway from the eastern end of the South Bypass (NE-2) and connect to I-80 near the city of Waverly.
US-75 Corridor Study, N-370 to I-80 – this project would improve approximately six miles of US-75 from I-80 in Omaha south to N-370 in Bellevue. Plans include reconstruction of mainline pavement and structures, enhanced traffic operations and safety, and improvements to seven interchanges serving the south Omaha metro area, including the communities of Bellevue, Capehart, and La Platte as well as Offutt Air Force Base.
I-480 Corridor Study, Interstate 80 to Harney Street – this project would improve mobility, safety and reduce delays on I-480, where travelers in the central Omaha metro region experience high traffic volumes, collisions and recurring operational problems. Improvements will enhance traffic flow, reduce the frequency and severity of crashes and provide a more dependable corridor for the movement of people and goods.
The City of Beatrice’s Court Street Access and Safety Transformation Project – this project would reroute US-136 one block south to Market Street from its current location on Court Street. Moving through traffic and trucks south of Market will lead to increased safety in the downtown business area and allow Court Street to be redeveloped into a more pedestrian-focused corridor. Nebraska DOT executed a $21 million grant agreement for the Beatrice project today as part of its efforts to move cut red tape and projects forward as quickly as possible.