BILL ANALYSIS                                                                                                                                                                                                    



                                                                  SB 1456
                                                                  Page  1

          SENATE THIRD READING
          SB 1456 (Simitian)
          As Amended  August 20, 2010
          2/3 vote.  Urgency

           SENATE VOTE  :35-0  
           
           NATURAL RESOURCES   9-0         APPROPRIATIONS      17-0        
           
           ----------------------------------------------------------------- 
          |Ayes:|Chesbro, Gilmore,         |Ayes:|Fuentes, Conway,          |
          |     |Brownley,                 |     |Bradford,                 |
          |     |De Leon, Hill, Huffman,   |     |Charles Calderon, Coto,   |
          |     |Knight, Logue, Skinner    |     |Davis,                    |
          |     |                          |     |De Leon, Gatto, Hall,     |
          |     |                          |     |Harkey, Miller, Nielsen,  |
          |     |                          |     |Norby, Skinner, Solorio,  |
          |     |                          |     |Torlakson, Torrico        |
          |-----+--------------------------+-----+--------------------------|
          |     |                          |     |                          |
           ----------------------------------------------------------------- 
           SUMMARY  :  Clarifies the circumstances under which cumulative  
          effects are not required to be examined under the California  
          Environmental Quality Act (CEQA) and makes several revisions to  
          mediation and judicial review procedures.  Specifically,  this  
          bill  :  
           
          1)Amends CEQA as follows until January 1, 2016:

             a)   Provides that a cumulative effect is not required to be  
               examined in an EIR or other CEQA document if a lead agency  
               finds that it has been adequately addressed in a prior  
               document, unless the lead agency finds that the incremental  
               effects of the project are cumulatively considerable  
               according to specified criteria (this incorporates existing  
               provisions of the CEQA Guidelines into the statute).

             b)   Authorizes the Attorney General to request an expedited  
               schedule for resolution of any CEQA lawsuit.

             c)   Provides that a mediation proceeding conducted pursuant  
               to the law governing mediation and resolution of land use  
               disputes (Government Code Section 66030, et seq.) is  
               intended to be conducted concurrently with any judicial  
               proceeding (consistent with a settlement meeting conducted  








                                                                  SB 1456
                                                                  Page  2

               pursuant to CEQA).

             d)   Authorizes any person wishing to file a CEQA lawsuit to  
               first request, within five business days, mediation with  
               the lead agency and the real party in interest.  Provides  
               that the request is deemed denied if the lead agency does  
               not respond within five business days.  If mediation is  
               conducted, provides that CEQA's statute of limitations  
               shall be tolled until the mediation is completed.

             e)   Authorizes a party to a CEQA lawsuit to request the  
               court impose a penalty on any party making a "frivolous"  
               claim, and authorizes the court to impose a penalty up to  
               $10,000.

             f)   For an organization formed after the approval of a  
               project to have standing to file a CEQA lawsuit, requires  
               the organization to have had a member present the alleged  
               grounds for noncompliance to the lead agency during the  
               public comment period or public hearing on the project (in  
               addition to the requirement in current law that a member of  
               the organization simply has objected to the project).

          2)Sunsets the above changes and reenacts existing law effective  
            January 1, 2016.  

          3)Contains a section incorporating amendments made by AB 231  
            (Huber) to resolve a potential chaptering conflict.

          4)Contains an urgency clause.

           EXISTING LAW  :

          1)Requires lead agencies with the principal responsibility for  
            carrying out or approving a proposed project to prepare a  
            negative declaration, mitigated negative declaration, or  
            environmental impact report (EIR) for this action, unless the  
            project is exempt from CEQA.

          2)Authorizes a lead agency to use a tiered EIR (based on a prior  
            EIR) for a project when the prior EIR has been prepared for a  
            program, plan, policy or ordinance and the project is  
            consistent.  Provides that the tiered EIR is not required to  
            examine effects that were examined at a sufficient level of  
            detail in the prior EIR.








                                                                  SB 1456
                                                                  Page  3


          3)Authorizes judicial review of CEQA actions taken by public  
            agencies, following the agency's decision to carry out or  
            approve the project, subject to statutes of limitations  
            ranging from 30 to 180 days:

             a)   Challenges alleging improper determination that a  
               project may have a significant effect on the environment,  
               or alleging an EIR doesn't comply with CEQA, must be filed  
               within 30 days of filing of the notice of approval;

             b)   Challenges alleging improper determination that a  
               project is exempt from CEQA must be filed within 35 days of  
               filing of the notice of exemption, or 180 days if no notice  
               has been filed and,

             c)   Challenges alleging an agency has failed to determine  
               whether a project has a significant effect on the  
               environment must be filed within 180 days.

           FISCAL EFFECT  :  According to the Assembly Appropriations  
          Committee, minor state costs, if any.  Potential state savings  
          of an unknown amount to the extent state agencies serving as  
          lead agencies accept requests for mediation as an alternative to  
          litigation, which typically is less costly than litigation.

           COMMENTS  :  CEQA provides a process for evaluating the  
          environmental effects of applicable projects undertaken or  
          approved by public agencies.  If a project is not exempt from  
          CEQA, an initial study is prepared to determine whether the  
          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.  An EIR must accurately  
          describe the proposed project, identify and analyze each  
          significant environmental impact expected to result from the  
          proposed project, identify mitigation measures to reduce those  
          impacts to the extent feasible, and evaluate a range of  
          reasonable alternatives to the proposed project.  

          Generally, CEQA actions taken by local public agencies can be  
          challenged in Superior Court once the agency approves or  
          determines to carry out the project.  CEQA appeals are subject  








                                                                  SB 1456
                                                                  Page  4

          to unusually short statutes of limitations.  Under current law,  
          court challenges of CEQA decisions generally must be filed  
          within 30-35 days, depending on the type of decision.  In  
          addition, CEQA requires the courts to give CEQA cases preference  
          over all other civil actions, so that the cases are quickly  
          heard and determined.
           
           According to the author, this bill responds to the need for  
          mediation to resolve CEQA disputes to avoid litigation while  
          ensuring that mediation after an action is filed does not affect  
          the timing of any judicial proceeding; establishing a process  
          for an expedited schedule to resolve cases while allowing any  
          party to request imposition of a penalty for frivolous  
          litigation; ensuring more accountability for an organization  
          challenging a project that is formed after project approval;  
          and, establishing procedures for tiering environmental  
          documents.


           Analysis Prepared by  :  Lawrence Lingbloom / NAT. RES. / (916)  
          319-2092 


                                                               FN: 0006430