1. Considerations In Dealing With NEPA and 3 rd Party Contractors PLA NEPA Conference June 11, 2008

2. WHY IS THIS SUBJECT IMPORTANT? NEPA is the NATIONAL ENVIRONMENTAL POLICY ACT An improperly managed NEPA analysis, either an EA or EIS, can result in: −Cost Overruns −Delays −Rework of Analysis −Wasted Resources −Stress Among Proponents, Agencies and Contractors

3. Agency & Proponent Interaction Work Together With Federal Agencies To Ensure NEPA Requirements Are Met Ensure Your Expectations For The Document Are Met (i,e., Programmatic vs. Project Specific) For Joint/Cooperating Agency NEPA Documents, Ensure All Agencies Agree EARLY on What, How, When Enter Into A Memorandum Of Understanding −Specify What Your Level Of Involvement Will Be −The Proponents Must Be Allowed To Provide Input Through The Process −Proponents Cannot Be Involved In Decision Making −Include Termination Provisions −Provide For Dispute Resolution Provisions

4. Agency & Proponent Interaction Track Costs At All Times −Track % Of Costs Compared To % Of Tasks Completed −Allow The Agency To Sign-Off On Invoices Counsel The Agencies To Avoid Over-analyzing Public Concerns & issues That Are Not Scientifically Valid Or Necessary −This Incurs Additional Costs With Little Benefit −“Considered But Not Analyzed”

5. Misc. Strategies Scoping −EIS’ Require Formal Scoping −Consider Scoping EA’s that may have some level of controversy. −Knowing the Issues Upfront Allows For A Complete Analysis And a Defensible FONSI. (Finding of No Significant Impact) −Scope Early −Consider Different Public Scoping Alternatives (i.e., Informal vs. Formal) EA vs. EIS −NEPA Allows An EA To Be Performed Initially −Maintain Flexibility To Convert To EIS if necessary If Multiple Companies Are Affected, Share Funding Of The Document Don’t Be Intimidated By A Protest/Appeal −Be Prepared To Intervene On Any and All Appeals.

6. Third Party Contractors EAs Can Be Prepared By Contractor Selected By Proponent, But Contents Must Be Verified By Agency EIS Contractor Must Be Selected By Agency(s) Scope Before Requesting Bids if issues are not well defined Contractor Identification To Bid * Technical Competency * Oil and Gas Experience * Familiarity With Federal lands, Agencies * Other Factors Pertinent To The Project

7. Third Party Contractors Bidding * Write Adequate “Request For Proposal” * List Resource Parameters For Analysis (Water, Air, etc.) * Request Hours By Resource Parameter * Disclose Availability and Age Of Agencies’ Technical Data * Include Potential Alternatives For Analysis If Identified Prior To Bid * Identify Agency Contacts Including Team Leader Bid Evaluation * Consider use of Matrix Analysis * Agency Must Select For EIS ’ Prepare Contract With Third party Contractor * Services (Work Under Direction of Agencies) * Term * Compensation (Notice On Overruns) * Insurance * Confidentiality * Subcontractors

8. Comparison of Estimated Project Hours Per Task Bid ABid BBid CBid DBid E ArchNA1283522032 WildlifeNA200 160194 VisualsNA8460140100 Air (Noise)NA96 (2)10260 (2)138 WaterNA10485240140 SoilsNA112130300 (5)168 RecreationNA5260120128 (1) Roads/TransNA12090270220 WasteNA8410 (3)160118 Land UseNA140125 (4)130122 Veg/Timber/RangeNA140125 (4)130122 (1) Includes Noise & land Use Analysis. (2) Includes Noise Analysis. (3) Does not include time for subcontractor (4) Includes 35 hours for Agricultural Analysis. (5) Includes 190 hours for Wetlands Work.

9. EIS Bid ABid BBid CBid DBid E Cost14532 Oil & Gas Experience34413 Forest Service Experience531.5 4 Project Management33423 Project ID Team34233 EIS/NEPA Experience44133 Colorado Experience24144 Project Proposal33333 Total242921.520.525 1–Poorest Rating, 5–Best Rating

10. EIS BID EVALUATION Multiplier RatingScoreRatingScoreRatingScoreRatingScoreRatingScore Cost41441652031228 Oil & Gas Experience3394124 1339 Agency Experience35153121.54.51.54.5412 Project Management23636482436 Project ID Team23648243636 EIS/NEPA Experience 24848123636 Colorado Experience22448124848 Project Proposal13333333333 TOTAL2455297321.556.520.546.52558 1 – Lowest Rating 5 –Highest Rating