BILL ANALYSIS                                                                                                                                                                                                    



                                                                SB 605
                                                                       

                      SENATE COMMITTEE ON ENVIRONMENTAL QUALITY
                        Senator S. Joseph Simitian, Chairman
                              2009-2010 Regular Session
                                           
           BILL NO:    SB 605
           AUTHOR:     Ashburn
           AMENDED:    As introduced
           FISCAL:     Yes               HEARING DATE:     April 27, 2009
           URGENCY:    No                CONSULTANT:       Randy Pestor
            
           SUBJECT  :    CALIFORNIA ENVIRONMENTAL QUALITY ACT

            SUMMARY  :    
           
            Existing law  , under the California Environmental Quality Act  
           (CEQA):

           1) Requires lead agencies with the principal responsibility  
              for carrying out or approving a proposed project to prepare  
              a negative declaration, mitigated declaration, or  
              environmental impact report (EIR) for this action, unless  
              the project is exempt from CEQA (CEQA includes various  
              statutory exemptions, as well as categorical exemptions in  
              the CEQA guidelines).  (Public Resources Code 21080 et  
              seq.).

           2) Exempts a project of less than one mile in length within a  
              public street or highway, or another public right-of-way  
              (ROW) for the installation of a new pipeline or the  
              maintenance, repair, restoration, reconditioning,  
              relocation, replacement, removal, or demolition of an  
              existing pipeline.  (21080.21).

           3) Exempts the inspection, repair, restoration,  
              reconditioning, relocation, replacement, or removal of an  
              existing pipeline less than eight miles in length, or any  
              valve, flange, meter, or other equipment directly attached  
              to the pipeline if certain conditions are met (e.g.,  
              "pipeline" is covered under the Elder California Pipeline  
              Safety Act of 1981, project is not less than eight miles  
              from any section of pipeline that has been subject to this  
              exemption in the past 12 months, certain notice is  
              provided, project is located within an existing  









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              right-of-way and restored to its condition prior to the  
              project, notice requirements).  (21080.23).

            This bill  exempts a project of less than eight miles in length  
           within a public street or highway or another public ROW for  
           the installation of a new pipeline, or maintenance, repair,  
           restoration, recondition, relocation, replacement, removal, or  
           demolition of an existing pipeline that is used to transport  
           biogas.

            COMMENTS  :

            1) Purpose of Bill  .  According to the author, "Collection of  
              Biogas produced at dairy operations is an emerging method  
              that can reduce dairy emissions of methane, one of the  
              leading contributors to greenhouse gas (GHG) emissions . .  
              . the resulting usable gas can be transported via pipelines  
              to commercial natural gas transmission lines where it is  
              inserted into existing natural gas supplies."  The author  
              asserts that these projects "are often delayed by lengthy  
              and costly environmental reviews that can threaten the  
              financial viability of projects to expand the use of this  
              emerging technology."  Although there are CEQA exemptions  
              for certain pipelines, the author notes that "biogas was  
              not being transported when the exemptions were put into the  
              code."

            2) Brief background on CEQA  .  CEQA provides a process for  
              evaluating the environmental effects of a project, and  
              includes statutory exemptions, as well as categorical  
              exemptions in the CEQA guidelines.  If a project is not  
              exempt from CEQA, an initial study is prepared to determine  
              whether a project may have a significant effect on the  
              environment.  If the initial study shows that there would  
              not be a significant effect on the environment, the lead  
              agency must prepare a negative declaration.  If the initial  
              study shows that the project may have a significant effect  
              on the environment, the lead agency must prepare an EIR.

           Generally, an EIR must accurately describe the proposed  
              project, identify and analyze each significant  
              environmental impact expected to result from the proposed  










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              project, identify mitigation measures to reduce those  
              impacts to the extent feasible, and evaluate a range of  
              reasonable alternatives to the proposed project.  Prior to  
              approving any project that has received environmental  
              review, an agency must make certain findings.  If  
              mitigation measures are required or incorporated into a  
              project, the agency must adopt a reporting or monitoring  
              program to ensure compliance with those measures.

           If a mitigation measure would cause one or more significant  
              effects in addition to those that would be caused by the  
              proposed project, the effects of the mitigation measure  
              must be discussed but in less detail than the significant  
              effects of the proposed project.

           3) What about impacts  ?  There may be significant impacts that  
              would not be addressed with a SB 605 exemption.  For  
              example, a lengthy pipeline exemption may adversely affect  
              roads and may cause conflicts with entrances to nearby  
              homes and businesses.  There may also be adverse noise and  
              air quality impacts for area residents, or sensitive uses  
              such as schools, senior centers, and hospitals.  With a  
              CEQA exemption, as provided by SB 605, there would be no  
              consideration of these and other impacts under the Act.

            4) Blaming CEQA  .  It is not unusual for certain interests to  
              assert that a particular exemption will expedite  
              construction of a particular type of project and reduce  
              costs.  This, however, frequently overlooks the benefits of  
              environmental review:  to inform decisionmakers and the  
              public about project impacts, identify ways to avoid or  
              significantly reduce environmental damage, prevent  
              environmental damage by requiring feasible alternatives or  
              mitigation measures, disclose to the public reasons why an  
              agency approved a project if significant environmental  
              effects are involved, involve public agencies in the  
              process, and increase public participation in the  
              environmental review and the planning processes.

           If a project is exempt from CEQA, certain issues should be  
              addressed.  For example:











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                  How can decisionmakers and the public be aware of  
                impacts, mitigation measures, and alternatives of an  
                exempt pipeline?

                  Is it appropriate for the public to live with the  
                consequences of exempt projects where impacts are not  
                mitigated and alternatives are not considered regarding  
                certain matters, such as air quality, water quality,  
                noise, cumulative impacts, and growth inducing impacts?

                  Because adverse project impacts do not disappear when  
                they are not identified and mitigated with an exemption,  
                does the exemption result in a direct transfer of  
                responsibility for mitigating impacts from the developer  
                to the public (  i.e.  , taxpayers) if impacts are ultimately  
                addressed after completion of the project?

                  If taxpayers, rather than a developer, are ultimately  
                responsible for mitigating impacts of an exempt project  
                after project completion, what assessments or taxes will  
                be increased to fund mitigation or pay for alternatives  
                at a later date?

            1) SB 605 exemption far broader than that provided under  
              current law  .  As noted above, current law exempts  
              installation of a new pipeline of less than  one mile  under  
              certain circumstances (21080.21).  The inspection,  
              maintenance, repair, restoration, reconditions, relocation,  
              replacement, or removal of an existing pipeline less than  
               eight miles  is also exempt from CEQA under certain  
              conditions (21080.23).

           By adding a new provision to CEQA exempting installation of a  
              new biogas pipeline, or the maintenance, repair,  
              restoration, reconditioning, relocation, replacement,  
              removal, or demolition of an existing biogas pipeline of  
              less than eight miles under 21080.21, without exemptions,  
              SB 605 does not simply add the term "biogas pipeline" to  
              the 21080.23 eight mile exemption (as noted above, the  
              21080.23 eight mile exemption has certain conditions,  
              including a requirement for compliance with the Elder  
              California Pipeline Safety Act of 1981 - which contains  










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              several pipeline safety requirements).

            2) Focusing on biogas pipelines from dairies  .  To address  
              concerns of the author and sponsor over biogas from  
              dairies, current provisions of this bill should be replaced  
              with the following:  a) application of the current  
              eight-mile pipeline exemption (21080.23) to a biogas  
              pipeline for biogas from dairies in Fresno, Kern, Kings,  
              and Tulare counties; b) a definition for biogas; c) a  
              reference to safety standards needed for a biogas pipeline;  
              and d) a January 1, 2013, sunset.

            SOURCE  :        Kern County Board of Supervisors  

           SUPPORT  :       None on file
            
           OPPOSITION  :    Avondale and Glen Elder Neighborhood  
                          Association (Sacramento), Defenders of  
                          Wildlife, Sierra Club California