Insight

Meeting state regulatory requirements for community engagement on infrastructure projects

James, Elizabeth

By Elizabeth James

February 26, 2025

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Changes in federal priorities related to energy and infrastructure have left decision-makers uncertain about what’s next. The Trump Administration signed a series of executive orders and memorandums aimed at streamlining permitting processes for domestic energy and mineral production, in large part by eliminating sustainability standards. 

Rolling back the requirements may speed up development in the short term. However, it could expose developers to longer-term financial risks tied to costly climate or public health issues, legal or reputational damage, or delays imposed by states with their own permitting standards. That is why engagement with impacted communities is key: to gain a full picture of the risks associated with a project and co-create solutions that reduce friction. 


As federal policy shifts, community engagement requirements at the state and local levels are expected to intensify. Even before the federal changes, states like New Jersey had passed landmark legislation that makes it significantly harder for companies to move forward with major infrastructure projects without meaningful community engagement. 

I recently spoke at an Eve & Co webinar co-hosted with Arnold & Porter. We discussed the future of engagement requirements at the state and local level, and how leaders of infrastructure and energy projects can continue to move their projects forward. The conversation, moderated by Arnold & Porter Partner Stacey Halliday, featured experts at the New Jersey Department of Environmental Protection; the Harris County, Texas Attorney's Office; and the Houston Advanced Research Center.  

There was clear consensus among panelists that community engagement and sustainability considerations are not going away. These requirements are already shaping permitting processes, and savvy developers will stay the course to build trust and minimize delays. 

Below are five actionable takeaways for developers: 

 

Start early, and engage the right people. 
Do not treat engagement as a box-checking exercise. Companies that collaborate with communities at the outset—before permit applications are submitted—see better project outcomes and stronger relationships. That means going beyond grass tops and local policymakers to connect with trusted, hyperlocal voices. 


Do your research and bring data to the conversation. Then, gut check it with the community.
Mapping exercises can help identify communities your project may impact and uncover issues you might otherwise miss. But data does not tell the full story. Use it as a tool to guide conversations, rather than replace them.   


Use varied engagement formats and make them accessible.
To reach the most and best-informed stakeholders, developers should offer a mix of touchpoints: town hall meetings, small group discussions, and one-on-one conversations with local influencers. Make sure these are multilingual, conveniently located, and designed to remove barriers like transportation or childcare. 


Show you are listening by investing – and following through.
Establish a two-way feedback loop and demonstrate that input is shaping outcomes. Designate one to two points of contact on your project team, ideally someone from or deeply familiar with the community, who can field external questions and build relationships. Consider launching community benefit programs that provide grants geared at improving the local area, whether tied to the project or not.

 

Be transparent – even when you do not have all the answers.

It is okay to acknowledge where you are in the process and that things may change. Honesty goes a long way. Avoid making promises you cannot keep. People can quickly tell when engagement is not genuine. Broken promises undermine trust and put project sponsors in a difficult position.

 

Because political cycles can turn on a dime, it has never been more important for leaders to lay a strong foundation for growth by embracing critical building blocks like engagement to see around corners and reduce risk down the line. 

Ready to realize breakthrough results?

The different types of growth that were enabled

With a more targeted approach, the client transformed its U.S. financial inclusion strategy—gaining a competitive edge and creating lasting impact.

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Built a scalable framework for future financial inclusion initiatives.

30%

Increased merchant adoption of electronic payments.

9%

Strengthened partnerships with community leaders and organizations.

20%

Expanded market share in key U.S. regions.

43%

With a more targeted approach, the client transformed its U.S. financial inclusion strategy—gaining a competitive edge and creating lasting impact.

lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat. Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur.

Nemo enim ipsam voluptatem quia voluptas sit aspernatur aut odit aut fugit, sed quia consequuntur magni dolores eos qui ratione voluptatem sequi nesciunt. Neque porro quisquam est, qui dolorem ipsum quia dolor sit amet, consectetur, adipisci velit, sed quia non numquam eius modi tempora incidunt.