The proposed financial assistance under the Federal Water Pollution Control Act Amendments of 1972 (P.L. 92-500) for improvement of publicly-owned sewage treatment facilities in the Nebraska Panhandle Area has been determined to be a major Federal Action. The Draft EIS includes a number of alternative courses of action; including, no action, limited action (upgrading existing lagoons by structural and operational modifications) stream discharge from upgraded facilities, stream discharge from new activated sludge treatment plant, land application, and complete retention. Each alternative is evaluated with regard to cost-effectiveness and environmental impacts; including, surface and groundwater effects, floodplains, water use, aquatic and terrestrial biology, land use, economics, health effects, air quality, noise, aesthetics, archaeological and historic resources, recreational impacts and environmentally sensitive areas. The Final EIS summarizes the selection process and recommends an alternative. Based on the draft EIS evaluation, stream discharge alternatives for the three publicly-owned treatment plants in the Study Area (located in Scottsbluff, Gering and Terrytown) were selected.