Overview
- The Interior and Commerce Departments finalized the rule on Friday, July 10, 2026, removing habitat modification or degradation from the regulatory definition of “harm” under the 1973 Endangered Species Act.
- Administration officials cited the Supreme Court’s 2024 Loper Bright decision that limited judicial deference to agencies and said the change restores the law’s original text and reduces regulatory uncertainty.
- Officials and industry groups say the rule will cut permitting and compliance costs for oil and gas, mining, logging, farming, fishing and infrastructure projects by narrowing when projects trigger ESA reviews.
- Conservation groups and 16 state attorneys general have denounced the change as unlawful and vowed litigation, with environmental lawyers saying the rule abandons decades of habitat protections that courts previously upheld.
- Scientists note habitat loss is the leading cause of extinction, so the rule could speed development in critical habitats and the rule’s fate will likely hinge on court review and further agency action.