HUD Environmental Reviews: Part 50 vs Part 58 — What Project Teams Need to Know

HUD Environmental Reviews are required for HUD-funded and HUD-assisted projects to comply with the National Environmental Policy Act (NEPA) and related federal environmental laws. The applicable review pathway depends on who serves as the Responsible Federal Official (RFO) and the source of HUD funding.

Part 50 Environmental Reviews

Environmental Reviews under 24 CFR Part 50 apply when HUD itself serves as the Responsible Federal Official. These reviews are typical for FHA-insured and HUD-administered programs, particularly for multifamily and healthcare projects.

Common Part 50 programs include:

  • FHA Multifamily Mortgage Insurance programs

  • FHA Section 221(d)(4), 220, 223(f), 223(a)(7), 231, 232, and 241

  • HUD-administered multifamily housing initiatives

  • MAP (Multifamily Accelerated Processing) loans

  • LEAN Healthcare loans

Under Part 50, HUD reviews environmental documentation submitted by project teams and issues environmental clearance directly.

Part 58 Environmental Reviews

Environmental Reviews under 24 CFR Part 58 apply when a local government, housing authority, or nonprofit serves as the Responsible Entity (RE). These reviews are most common for HUD Community Planning and Development (CPD) programs.

Common Part 58 programs include:

  • Community Development Block Grant (CDBG)

  • HOME Investment Partnerships Program

  • Emergency Solutions Grants (ESG)

  • Community Project Funding (CPF / earmarks)

  • Housing Trust Fund (HTF)

  • Section 108 Loan Guarantee Program

  • SHOP (Self-Help Homeownership Opportunity Program)

  • Continuum of Care (CoC)-related activities

Under Part 58, Responsible Entities prepare Environmental Review Records (ERRs), manage public notices, and submit requests for HUD clearance.

How AZ-RI Consultants Supports HUD Environmental Reviews

AZ-RI Consultants assists lenders, developers, nonprofits, and Responsible Entities by:

  • Determining the correct Part 50 or Part 58 pathway

  • Coordinating required environmental studies

  • Preparing defensible, HUD-compliant documentation

  • Supporting public notice requirements

  • Assisting through HUD environmental clearance

Early coordination reduces delays and helps projects move forward on schedule.

Need help determining whether your project falls under Part 50 or Part 58? Contact AZ-RI Consultants to discuss your HUD-funded project.

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