The State Environmental Quality Review Act (“SEQRA”) is seeing a handful of updates. The changes come from a combination of statutory amendments that became effective on May 26, 2026, with the Governor’s sign-off on the New York State Budget for Fiscal Year 2027, as well as regulatory updates that became effective June 12, 2026.
Statutory Updates
The Transportation, Economic Development, and Environmental Conservation portion of New York’s budget included amendments to the Environmental Conservation Law (“ECL”) “relating to sustainable housing and sprawl prevention” that became effective immediately upon signing.
New exemptions from the requirements of SEQRA are found at ECL § 8-0111, which now includes subdivision 5-a. Among these exemptions are the construction of housing in cities, towns, or villages with populations over one million meeting listed criteria, including that:
- The housing will be connected to existing community or public water and sewerage at the commencement of habitation;
- Is located on a previously disturbed site;
- Is not located in an area zoned exclusively for industrial uses;and
- Contains no more than 50,000 square feet of commercial, retail, community facility or other non-industrial non-residential uses.
Note that the exemption does not include the construction of a single-family residence on a parcel of one-half or more acres.
New York City remains the only city, town, or village with a population over one million in which this particular exemption applies. For the rest of New York’s cities, towns, and villages, the new ECL § 8-0111(5-a)(b)(ii) includes similar residential exemptions. Specifically, the new provision exempts the construction of housing in cities, towns, and villages with populations of fewer than one million persons that:
- Connects to community or public water and sewerage systems at the commencement of habitation;
- Is located at a previously disturbed site; contains no more than 20% commercial, retail, community facility, or other non-industrial non-residential uses by gross-floor area; and
- Does not exceed 100 dwelling units. In cities, towns, and villages without zoning, it may not exceed 20 dwelling units. For urban areas, as defined by the United States Census Bureau, the development may not exceed 300 dwelling units. This exemption is inapplicable to the construction of only one-single family residence on a parcel of one or more acres.
In addition to these new housing exemptions, the amended ECL § 8-0111(5-a) exempts construction of public parks, multi-use bicycle and pedestrian trails, public school facilities, provided the construction occurs at previously disturbed sites. In addition, there are exemptions for water and wastewater infrastructure projects that meet the stated criteria and the retrofitting of existing structures and appurtenant areas to incorporate green infrastructure.
Importantly, the statutory amendments include timing changes of which agencies should be aware:
- The lead agency must determine whether an Environmental Impact Statement (“EIS”) is required within one year of the lead agency designation (ECL § 8-0109(4));
- The lead agency must make the Draft EIS (“DEIS”) available within two years after issuing the positive declaration and determining that an Environmental Impact Statement is required (ECL § 8-0109(5)(b)); and
- The time to challenge an agency’s determination under SEQRA accrues when the agency determination to approve or disapprove the action becomes final and binding upon the petitioners.
While these amendments are substantive, it remains unclear whether they will actually result in an increase in housing in New York. The exemptions are fairly narrow, and projects must still comply with other environmental laws and regulations.
Regulatory Changes
On May 13, 2026, the New York State Department of Environmental Conservation (“NYSDEC”) adopted updates to SEQRA’s implementing regulations at 6 NYCRR Part 617. These changes formally bring the impact on disadvantaged communities and consideration of climate change into the SEQRA process. The amendments include changes to both the regulatory text and the model Environmental Assessment Forms (EAFs). These amendments became effective on June 12, 2026, although the changes do not apply to actions where a determination of significance has already been made and the lead agency has already accepted the DEIS.
Pursuant to 6 NYCRR § 617.7(c), the criteria for whether an action may have a significant adverse impact on the environment now includes “an action that may cause or increase a disproportionate pollution burden on a disadvantaged community.” A corresponding change to 6 NYCRR § 617.9(b) now requires that the EIS identify and discuss “impacts of any proposed action on a disadvantaged community, including whether the action may cause or increase a disproportionate pollution burden on a disadvantaged community.”
The revised Short and Full EAF include corresponding changes on the impact to disadvantaged communities. The Short EAF now asks about an action’s location in a disadvantaged community, the pollution impacts within that community, whether the disadvantaged community has a disproportionately higher burden or vulnerability, and whether the action will cause or increase a pollution burden. The Full EAF also asks whether there will be direct or indirect impacts that may affect a disadvantaged community such as those specified, including new noise sources or light pollution; whether any of the state agency approvals include specific NYSDEC permits; as well as an additional series of questions on the potential impact to disadvantaged communities.
Along with the changes regarding disadvantaged communities, the revised Full EAF includes several questions aimed at ferreting out climate change related impacts regardless of where an action is located. The new questions include whether: the proposed action is in a municipality with an adopted comprehensive or individual plan that addresses climate change; the action includes any emission sources requiring an Air Facility Registration, Air State Facility Permit, Title IV Permit, or Title V Permit and, if so, the specific tons/year for specified pollutants; the proposed action will generate or emit annual direct or indirect greenhouse gas emissions; the proposed project is vulnerable to future physical climate risks, including development in a 100-year or a 500-year floodplain; and the proposed project may increase the vulnerability of human or ecological communities to physical climate risks.
If projects have not yet started the SEQRA process or, for projects requiring an EIS, the lead agency has not yet accepted the DEIS, will need to address the proposed impact’s anticipated impact on disadvantaged communities. For the state’s municipalities, disadvantaged communities may be a new consideration. Agencies and project sponsors can utilize NYSDEC’s new Disadvantaged Communities Assessment Tool to identify both the disadvantaged communities as well as those disadvantaged communities with higher burdens and vulnerabilities.
These changes likely are not a surprise to applicants and other members of the regulated community. NYSDEC has been considering both a project’s potential greenhouse gas emissions and the potential impact on disadvantaged communities for a few years in accordance with the Climate Leadership and Community Project Action §7(2) and (3), respectively. While these changes may not create significant new considerations for the actions that are subject to state permitting requirements, going forward, both the agencies and the regulated community will want to ensure that the SEQRA record clearly addresses the disadvantaged communities and climate change considerations.
1 2026 NY Senate Bill S9008-C, NY Assembly Bill A1008-C.
2 6 NYCRR § 617.19.
3 6 NYCRR § 617.19.
4 Disadvantaged Communities Assessment Tool, available at: https://storymaps.arcgis.com/stories/7f0ffdde675e4e3788632c1b4cce6c0a