BILL NUMBER: AB 2922 CHAPTERED 09/22/04 CHAPTER 684 FILED WITH SECRETARY OF STATE SEPTEMBER 22, 2004 APPROVED BY GOVERNOR SEPTEMBER 22, 2004 PASSED THE ASSEMBLY AUGUST 26, 2004 PASSED THE SENATE AUGUST 25, 2004 AMENDED IN SENATE AUGUST 23, 2004 AMENDED IN ASSEMBLY APRIL 12, 2004 INTRODUCED BY Assembly Member Laird FEBRUARY 20, 2004 An act to amend Sections 21157.6 and 21159.24 of the Public Resources Code, relating to environmental quality. LEGISLATIVE COUNSEL'S DIGEST AB 2922, Laird. California Environmental Quality Act: exemptions. The California Environmental Quality Act (CEQA) requires a lead agency, as defined, to prepare, or cause to be prepared, and certify the completion of, an environmental impact report on a project that it proposes to carry out or approve if it finds that it may have a significant effect on the environment, as defined, or to adopt a negative declaration if it finds that the project will not have that effect. CEQA authorizes the utilization of a master environmental impact report to evaluate the cumulative impacts, growth inducing impacts, and irreversible significant effects on the environment of subsequent projects. However, CEQA prohibits the use of a master environmental impact report if (1) the certification of the report occurred more than 5 years prior to the filing of an application for the subsequent project, or (2) if the approval of a project that was not described in the report may affect the adequacy of the environmental review in the report for any subsequent project, except as specified. This bill would revise the above to prohibit the use of a master environmental impact report if the filing of an application for the subsequent project occurs following the certification of the master environmental impact report and the approval of a project that was not described in the master environmental impact report may affect the adequacy of the environmental review in the master environmental impact report for any subsequent project. The bill would permit the use of a master environmental impact report that was certified more than 5 years prior to the filing of an application for the subsequent project to review a subsequent project that was described in the master environmental impact report if the lead agency reviews the adequacy of the master environmental impact report and takes specified actions, as provided. CEQA provides for various exemptions from the requirements of the act, including an exemption for low- and moderate-income households. This bill would correct a statutory reference and make other technical, nonsubstantive changes to that exemption provision. THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS: SECTION 1. Section 21157.6 of the Public Resources Code is amended to read: 21157.6. (a) The master environmental impact report shall not be used for the purposes of this chapter if either of the following has occurred: (1) The certification of the master environmental impact report occurred more than five years prior to the filing of an application for the subsequent project. (2) The filing of an application for the subsequent project occurs following the certification of the master environmental impact report, and the approval of a project that was not described in the master environmental impact report, may affect the adequacy of the environmental review in the master environmental impact report for any subsequent project. (b) A master environmental impact report that was certified more than five years prior to the filing of an application for the subsequent project may be used for purposes of this chapter to review a subsequent project that was described in the master environmental impact report if the lead agency reviews the adequacy of the master environmental impact report and does either of the following: (1) Finds that no substantial changes have occurred with respect to the circumstances under which the master environmental impact report was certified or that no new information, which was not known and could not have been known at the time that the master environmental impact report was certified as complete, has become available. (2) Prepares an initial study and, pursuant to the findings of the initial study, does either of the following: (A) Certifies a subsequent or supplemental environmental impact report that has been either incorporated into the previously certified master environmental impact report or references any deletions, additions, or any other modifications to the previously certified master environmental impact report. (B) Approves a mitigated negative declaration that addresses substantial changes that have occurred with respect to the circumstances under which the master environmental impact report was certified or the new information that was not known and could not have been known at the time the master environmental impact report was certified. SEC. 2. Section 21159.24 of the Public Resources Code is amended to read: 21159.24. (a) Except as provided in subdivision (b), this division does not apply to a project if all of the following criteria are met: (1) The project is a residential project on an infill site. (2) The project is located within an urbanized area. (3) The project satisfies the criteria of Section 21159.21. (4) Within five years of the date that the application for the project is deemed complete pursuant to Section 65943 of the Government Code, community-level environmental review was certified or adopted. (5) The site of the project is not more than four acres in total area. (6) The project does not contain more than 100 residential units. (7) Either of the following criteria are met: (A) (i) At least 10 percent of the housing is sold to families of moderate income, or not less than 10 percent of the housing is rented to families of low income, or not less than 5 percent of the housing is rented to families of very low income. (ii) The project developer provides sufficient legal commitments to the appropriate local agency to ensure the continued availability and use of the housing units for very low, low-, and moderate-income households at monthly housing costs determined pursuant to paragraph (3) of subdivision (h) of Section 65589.5 of the Government Code. (B) The project developer has paid or will pay in-lieu fees pursuant to a local ordinance in an amount sufficient to result in the development of an equivalent number of units that would otherwise be required pursuant to subparagraph (A). (8) The project is within one-half mile of a major transit stop. (9) The project does not include any single level building that exceeds 100,000 square feet. (10) The project promotes higher density infill housing. A project with a density of at least 20 units per acre shall be conclusively presumed to promote higher density infill housing. A project with a density of at least 10 units per acre and a density greater than the average density of the residential properties within 1,500 feet shall be presumed to promote higher density housing unless the preponderance of the evidence demonstrates otherwise. (b) Notwithstanding subdivision (a), this division shall apply to a development project that meets the criteria described in subdivision (a), if any of the following occur: (1) There is a reasonable possibility that the project will have a project-specific, significant effect on the environment due to unusual circumstances. (2) Substantial changes with respect to the circumstances under which the project is being undertaken that are related to the project have occurred since community-level environmental review was certified or adopted. (3) New information becomes available regarding the circumstances under which the project is being undertaken and that is related to the project, that was not known, and could not have been known, at the time that community-level environmental review was certified or adopted. (c) If a project satisfies the criteria described in subdivision (a), but is not exempt from this division as result of satisfying the criteria described in subdivision (b), the analysis of the environmental effects of the project in the environmental impact report or the negative declaration shall be limited to an analysis of the project-specific effect of the projects and any effects identified pursuant to paragraph (2) or (3) of subdivision (b). (d) For the purposes of this section, "residential" means a use consisting of either of the following: (1) Residential units only. (2) Residential units and primarily neighborhood-serving goods, services, or retail uses that do not exceed 15 percent of the total floor area of the project.