Gov. Hochul Seeks to Reform SEQRA Process For Certain Housing, Eco. Development Projects

NYS Governor, Kathy Hochul delivering the 2026 State-of-the-State Address

ALBANY—New York Governor Kathy Hochul announced her “Let Them Build” agenda, a series of reforms to speed up housing and infrastructure projects and lower costs as part of her 2026 State of the State delivered on Jan. 14.

The “Let Them Build” initiative looks to spur a series of reforms to New York’s State Environmental Quality Review Act (SEQRA) and executive actions to expedite critical categories of projects that have been consistently found to not have adverse environmental impacts.

“New York has always been a place of boundless ambitions: from the Erie Canal to the Empire State Building. But for too long, unnecessary red tape has stood in the way of new housing and critical infrastructure.” Gov. Hochul said. “If local leaders want to deliver new investments for their communities, I say ‘Let Them Build.’”

Conor Eckert, president and CEO of the Orange County Partnership, who attended the State of the State address, commented: “By modernizing SEQRA, New York can work together to advance job-creating economic development projects more efficiently while maintaining strong environmental protections. These reforms will help attract investment, strengthen regional economies, and ensure communities across the state can grow and thrive. We thank Governor Hochul for her leadership on this issue.”

To speed up the development of housing to create a more affordable and sustainable New York, Gov. Hochul will propose to amend the State Environmental Quality Review Act (SEQRA) to exempt certain types of housing projects that have no significant impacts on the environment, which are still subject to local zoning, from additional SEQRA review.

Projects will still be required to comply with crucial state regulatory and permit requirements governing water use, air quality, environmental justice, and protection of natural resources, as well as local zoning and other permitting requirements. Projects must also be located outside of flood risk areas in order to qualify. The type of housing project that can be reclassified under SEQRA will differ according to the housing needs and contexts of different parts of the state.

In New York City, the state will set caps on the size a building must be to avoid the requirement of additional SEQRA review, with caps varying on the basis of the density of the neighborhoods as determined by the city. In the rest of the state, to avoid additional SEQRA review, housing projects must be on previously disturbed land, connected to existing water and sewer systems, and subject to additional unit caps.

A review by New York City and New York State Homes and Community Renewal over the last five to ten years of over a thousand housing projects found that virtually none of such projects ultimately were found to have significant environmental impacts, but nevertheless were still subject to lengthy reviews. These reforms will accelerate the delivery of much needed housing and reduce the cost of building in ways that are consistent with sustainable and environmentally-protective development, driving down the cost of housing and rents across the state while protecting our natural resources, state officials said

Accelerating Critical Infrastructure Projects

The governor will also propose to facilitate the speedier, cheaper delivery of a broad range of beneficial infrastructure projects. She will propose to adjust SEQRA’s classifications to allow the following important categories of projects not in need of additional SEQRA review to start serving New Yorkers faster:

• Clean Water Infrastructure: Critical water infrastructure projects that avoid impacts to natural resources.

• Green Infrastructure: Nature-based storm water management.

• Parks and Trails: Public parks and recreational bike/pedestrian paths on previously disturbed land.

• Child Care: New or renovated child care centers on previously disturbed land.

Gov Hochul’s proposal would reserve these fast-track environmental review processes for only those projects proceeding at previously disturbed areas, meaning areas that have already been developed or improved, which provides the dual benefit of protecting our natural resources and undisturbed lands, while strengthening our neighborhoods. In addition, the governor will direct the New York Power Authority and New York State Energy Research and Development Authority to update their regulations to facilitate and speed up the deployment of clean energy projects.

Delivering Faster Decisions for Local Communities

Currently SEQRA review timelines vary greatly across projects, creating unpredictability for local communities, project sponsors, and state agencies alike. This unpredictability can contribute to significant project delays and add substantial costs to project budgets. To drive further accountability and streamline the environmental review process, Governor Hochul will ensure project review is subject to a two-year maximum deadline for completion of a SEQRA environmental impact statement from a positive declaration (i.e., the initial decision to move forward with an environmental impact statement) to the issuance of the final agency decision. Extensions could be evaluated in certain circumstances.

The governor will also clarify exactly when the time to challenge an environmental review begins to accrue. This change aligns the legal clock for environmental concerns with the clock for the project’s actual permits, such as a site plan or subdivision approval. By doing this, the state removes court confusion and ensures that all legal challenges follow the same schedule, state officials noted.

Streamlining Environmental Impact Statements

To accelerate the process of developing Environmental Impact Statements, which are time-intensive assessments of how a proposed project would impact the environment, the governor will direct the Department of Environmental Conservation (DEC) to develop ‘Generic Environmental Impact Statements' (GEISs). GEISs are comprehensive reviews for common project types which allow developers to quickly progress through the environmental review process and guide their upfront decision making and site selection.

Modernizing New York’s Permitting Processes

Gov. Hochul will also provide support to agencies to consider and implement new technologies to help streamline reviews. As part of this effort, the Department of Environmental Conservation (DEC) will launch “Smart Access,” a consolidated platform for applicants and government agencies to follow the progress of permits and environmental reviews in real time and access the latest documents. In addition, to drive accountability, increase transparency, and help agencies meet timelines established in law, the governor will direct state agencies, in partnership with the newly established Office of Performance Management and Innovation (OPMI), to develop internal performance tracking systems to monitor the status of permits and environmental reviews.

Expediting Major State Infrastructure Projects

To help expedite the delivery of the most significant projects in the state, the governor will establish a new program to streamline and speed up permitting processes for key economic development and infrastructure projects across New York, within the relevant legislative framework. The program would oversee and monitor the permitting process of designated projects of statewide significance such as the new Nuclear Generation Project in Upstate New York or the new IBX transit line in New York City to reduce wait times for the workers, businesses, students and families who depend on these projects while continuing to prioritize safety. For designated projects, the program would be responsible for setting and overseeing clear, transparent permitting schedules; assist with interagency, federal, and local coordination; accelerate permitting processes; and address other issues as they arise.

Creating a Downstate Semiconductor Chip Design Center

To both attract semiconductor manufacturers that are looking to invest in states with a robust chip innovation pipeline and support start-ups looking to be competitive in the space, Gov. Hochul has proposed the launch of a downstate-based Semiconductor Chip Design Center. This initiative will focus on leveraging downstate's deep knowledge economy ecosystem to complement the already-robust chip manufacturing infrastructure upstate. The Center will be a world-class chip design facility, serving as an incubator to start-up firms, training chip designers, and connecting start-ups to the larger semiconductor sector throughout New York State. By fostering the earliest stages of development, New York will establish itself as a leader in this essential technology and support further growth of downstream manufacturing, state officials said.

Establishing a Permitting Academy

Many localities face significant challenges navigating the complicated web of local, state, and federal permitting requirements, especially smaller localities with limited staff. To tackle this issue, the state will provide enhanced support and education to local governments to help them better understand the SEQRA process, which will help ensure a more effective environmental review. The state, in partnership with Regional Economic Development Councils, will conduct a series of workshops with local governments to cover best practices and provide assistance for localities in need of additional support.