BILL ANALYSIS Ó AB 291 Page 1 Date of Hearing: April 13, 2015 ASSEMBLY COMMITTEE ON NATURAL RESOURCES Das Williams, Chair AB 291 (Medina) - As Introduced February 11, 2015 SUBJECT: California Environmental Quality Act: local agencies: notice of determination: water SUMMARY: Establishes alternative procedures for the filing of California Environmental Quality Act (CEQA) notices for multi-county water projects. EXISTING LAW: 1)Requires, under CEQA, lead agencies with the principal responsibility for approving or carrying out 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)When a project is approved or carried out by a local agency, requires the local agency to file notice of the approval or determination within five working days after the approval or determination becomes final, with the county clerk of each county in which the project will be located. AB 291 Page 2 3)When a project is approved or carried out by a state agency, requires the state agency to file notice of the approval or determination with the Office of Planning and Research (OPR). 4)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 determination. 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. 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. THIS BILL: 1)For water projects, authorizes a local agency to file a notice of approval or determination with the county clerk of the county in which the agency's principal office is located and with OPR, in lieu of filing with each county in which the project will be located. 2)Defines "water project" to include water conservation and transfer of conserved supply; conjunctive use of surface water and groundwater supplies; transfers of treated wastewater (recycled water); permits to appropriate water; petitions to change an existing water rights permit including temporary AB 291 Page 3 urgency changes; changes for short-term transfers of water (one year or less); and changes for long-term transfers of water (more than one year). FISCAL EFFECT: Unknown COMMENTS: 1)Background. 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. Generally, 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. 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. Once a lead agency has approved a project, the agency must file a notice of determination. State agencies are required to file notice with OPR, which is then posted on OPR's CEQAnet website. Local agencies are required to file notice within five working days with the county clerk of each county in which the project will be located. These notices may be posted on the county's website, but this is not required. AB 291 Page 4 Depending on the county's practices, the notice may simply be posted on a bulletin board in the clerk's office. CEQA also requires notices to be sent upon request to any interested person. 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 to unusually short statutes of limitations, which are tied to the date the notice was filed. Under current law, court challenges of CEQA decisions generally must be filed within 30-35 days, depending on the type of decision. Failure to file a notice in time may increase the statute of limitations to 180 days. 2)Author's statement: The current process provides little public notice outside of an agency's home county, where the public presumably is particularly aware of an agency's activities. Additionally, it creates significant confusion for local agencies filing the notices because different county clerks have different requirements for posting notices. The current process undermines CEQA's policy of ensuring prompt resolution of disputes about environmental reviews because non-compliance with CEQA's requirements for technical errors in posting notices can result in a much longer statute of limitations applying to such a dispute. Notices for water projects may have to be filed in five or more counties, or wherever the project may have some impact - essentially, those counties through which the project's water flows. In fact, where a water project involves the State Water Project or the Central Valley Project, notices may have to be filed in dozens of counties. In some instances, technical errors in a county clerk's posting AB 291 Page 5 process have resulted in additional CEQA litigation, even when the errors were not caused by the local agency that adopted the CEQA notice. 3)Bill may not need to sacrifice notice to all affected counties to achieve its objective. This bill creates alternative notice requirements for multi-county water projects, such as water transfers, by requiring the lead agency to file notice in its home county and with OPR, rather than in every county in which the project is located. The objective is to avoid having the 30-day statute of limitations (in the case of an EIR) contingent on timely filing in each and every county. The bill arguably improves overall public notice since the notice filed with OPR will be available online. However, it potentially deprives notice to the person who relies on the notice posted by their local county clerk. The bill could achieve its objective, while also maintaining notice to affected counties, by specifying that the statutory notice requirements are satisfied by the filing with OPR, as is the case with state agency projects, but that a copy of the notice must also be mailed within five days to the county clerk of each county in which the project will be located. REGISTERED SUPPORT / OPPOSITION: Support Association of California Water Agencies (co-sponsor) McGeorge Law School Legislative and Public Policy Clinic (co-sponsor) Association of Environmental Professionals AB 291 Page 6 California Municipal Utilities Association California Special Districts Association Eastern Municipal Water District Metropolitan Water District of Southern California Mountain Counties Water Resources Association San Diego County Water Authority Valley Ag Water Coalition 3 individuals Opposition Sierra Club California AB 291 Page 7 Analysis Prepared by:Lawrence Lingbloom / NAT. RES. / (916) 319-2092