Larger community development projects may trigger state or federal environmental review requirements. In New Mexico and most states, projects above certain thresholds must conduct an environmental assessment or environmental impact statement evaluating potential impacts on air quality, water quality, cultural resources, and biological resources.

Rather than viewing environmental review as an obstacle, regenerative developers should approach it as an opportunity to document the ecological benefits of their project and to develop mitigation commitments that become enforceable project conditions. A well-prepared environmental assessment can be a powerful marketing document as well as a regulatory compliance tool.