BILL ANALYSIS                                                                                                                                                                                                    �



                                                                SB 973
                                                                       

                       SENATE COMMITTEE ON ENVIRONMENTAL QUALITY
                         Senator S. Joseph Simitian, Chairman
                               2011-2012 Regular Session
                                            
           BILL NO:    SB 973
           AUTHOR:     Vargas
           AMENDED:    As Introduced
           FISCAL:     Yes               HEARING DATE:     April 23, 2012
           URGENCY:    No                CONSULTANT:       Randy Pestor
            
           SUBJECT  :    LIMITED DURATION EVENT CEQA EXEMPTION

            SUMMARY  :    
           
            Existing law  , under the California Environmental Quality Act 
           (CEQA), requires lead agencies with the principal responsibility 
           for carrying out or approving a proposed discretionary 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 �21000 et seq.).  Some 
           categorical exemptions relating to special events, include, for 
           example:

           1) Minor public or private alterations to land, water, or 
             vegetation, including, but not limited to:  "temporary use of 
             land having negligible or no permanent effects on the 
             environment, including carnivals, sales of Christmas trees, 
             etc."  (�15304(e)).

           2)Construction or replacement of accessory structures, 
             including, but not limited to:

              a)    "Small parking lots."  (�15311(b)).

              b)   "Placement of seasonal or temporary use items such as 
                lifeguard towers, mobile food units, portable restrooms, or 
                similar items in generally the same locations from time to 
                time in publicly owned parks, stadiums, or other facilities 
                designed for public use."  (�15311(c)).

           3)Normal operations of existing facilities for public gatherings 









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             for which the facilities were designed, including, but not 
             limited to:  racetracks, stadiums, convention centers, 
             auditoriums, amphitheaters, planetariums, swimming pools, and 
             amusement parks.  (�15323).
            
           This bill  :

           1) Under CEQA, exempts approval of a park use permit or special 
              events permit for a limited duration event for civic, 
              charitable, community development, or recreational purposes 
              located on public property, within a public right of way, or 
              within a defined event venue.

           2) Defines "limited duration event" to be either of the 
              following:

              a)    A recreational tournament, sporting event, youth 
                 tournament, racing or walking event, fireworks display, 
                 holiday celebration, concert, military appreciation event, 
                 block party, wedding, job fair, festival and parade, 
                 street fair, beach and neighborhood cleanup, farmers' 
                 market, and art market.

              b)    Other event of similar purpose lasting 48 hours or 
                 less.

           3) Provides that a limited duration event does not include an 
              event requiring earth movement, or erection or demolition of 
              permanent structures.

           4) Provides that a limited duration event may, but is not 
              required to, use public agency services.

            COMMENTS  :

            1) Purpose of Bill  .  The sponsor of SB 973, San Diego Regional 
              Chamber of Commerce, is concerned about recent litigation 
              relating to the permitting of a Fourth of July fireworks show 
              at La Jolla Cove by the City of San Diego, and is seeking a 
              broad CEQA exemption for a "limited duration event."

           According to the sponsor, "CEQA has been subject to litigation 










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              from exploitive attorneys who seek to distort CEQA's original 
              intent, as seen in the May 2011 court case, Coastal 
              Environmental Rights Foundation v. City of San Diego.  
              Recently, the Superior Court of California ruled that 
              temporary special event and park use permits issued by the 
              City of San Diego are subject to CEQA review."

            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 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) Background on San Diego litigation  .  San Diego requires a 
              Parks Use Permit, which is intended to be a ministerial 
              permit, for certain public facility events.  The city's 
              Special Events Permit for certain other organized activities 
              is considered a discretionary permit.










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           As noted above, CEQA applies to discretionary projects 
              (�21080(a)).

           The Court held that a decision to issue a Park Use Permit is not 
              ministerial because the city's ordinance gives the Park and 
              Recreation Department leeway in determining whether to issue 
              the permit due to such factors as congestion or interference 
              with vehicular or pedestrian traffic.

           The Court issued an order staying enforcement of the order.  San 
              Diego has revised Park Use Permit and Special Events Permit 
              requirements so that the Park Use Permit is ministerial, and 
              a fireworks event is subject to the Park Use Permit and not 
              subject to the Special Events Permit.

           The Court has not issued a final judgment in the initial Coastal 
              Environmental Rights Foundation (CERF) case since San Diego 
              revised the Park Use Permit and Special Events Permit 
              requirements in response to the Court's proposed order 
              regarding the stay on enforcement of the judgment.

           This initial case is referred to as "CERF I" because the 
              plaintiff subsequently challenged San Diego on the alleged 
              practice of not complying with CEQA for:  a) the practice of 
              issuing Special Events permits ("CERF II"), b) the first set 
              of permit ordinance amendments and the exception of fireworks 
              displays from the Special Events ordinance ("CERF III"), and 
              c) the second set of ordinance amendments relating to the 
              Park Use Permit and setting capacity thresholds for fireworks 
              displays ("CERF IV").

            4) SB 973 "limited duration event" CEQA exemption  .  SB 973 
              exempts a "limited duration event" from CEQA.  However, SB 
              973 defines such an event far beyond that of a Fourth of July 
              fireworks event.

           Moreover, SB 973 references various types of events with no time 
              limit (page 2, lines 10 to 14) and other events "of similar 
              purpose" lasting 48 hours or less (page 2, line 15).  
              According to the sponsor and others, the intent is for there 
              to be no time limit on these events, which could extend for 










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              months or even years.  This could include, for example, an 
              all terrain vehicle event, a week long concert, a month long 
              festival, or an Occupy San Diego event billed as a "block 
              party" or "street fair" of unspecified duration.

           The SB 973 exemption also applies to a "defined event venue" 
              which could be a private facility.

            5) Placing Legislature in decisionmaking role with pending 
              litigation  .  As noted above, the fireworks event issue is 
              subject to pending litigation, and SB 973 places the 
              Legislature in the position of a "shadow court" - where 
              parties can go for a decision when litigation is pending and 
              they are not satisfied with the judicial system.  The 
              Legislature traditionally does not involve itself in matters 
              with pending litigation.

           Does the committee believe that environmental and development 
              issues being litigated should be addressed in this fashion?

            6) Related legislation  .  AB 206 (Harkey) of 2011 exempt a 
              municipal fireworks display from the California Coastal Act 
              of 1976 and the California Environmental Quality Act.  
              According to the Assembly Natural Resources Committee 
              analysis of AB 206, the Court of Appeal held that a fireworks 
              display in Gualala produces both solid and gaseous waste in 
              the coastal zone and is a "development" under the Coastal 
              Act, requiring a coastal development permit.  The Commission 
              required a coastal development permit for a 2008 fireworks 
              display sponsored by the Gualala Festivals Committee (GFC) 
              that was situated near the Gualala River estuary and Gualala 
              Point Island.  The committee analysis notes that "The 
              Commission cited a 2006 report on fireworks displays prepared 
              by the National Oceanic and Atmospheric Administration, 
              National Marine Fisheries Service, and Monterey Bay National 
              Marine Sanctuary that analyzed how portions of certain 
              firework devices containing chemicals fall back to the ground 
              or water during displays."

           According to the committee analysis, "The Commission did not 
              invoke the 'temporary event' exception under the Coastal Act 
              because it had evidence that the planned fireworks display 










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              would have significant adverse impacts upon coastal 
              resources.  Specifically, the Bureau of Land Management and 
              the federal Fish and Wildlife Service issued a report after a 
              similar fireworks display conducted by GFC in 2007.  The 
              report explained that the 2007 fireworks display caused a 
              visible effect on nesting seabirds on Gualala Point Island.  
              A significant number of these birds abandoned their nests as 
              a result of the fireworks display, leaving eggs and chicks 
              behind to die."

           The analysis also noted that the 2008 GFC fireworks display is 
              the only fireworks related event against which the Commission 
              obtained a cease-and-desist order; the Commission rarely 
              asserts its authority over fireworks displays, and has worked 
              cooperatively with fireworks display organizers at Seacliff 
              State Beach, Morro Bay, and Sea World.  GFC made no attempt 
              to file a coastal development permit and simply notified the 
              Commission a few months before the event.

           AB 206 failed in the Assembly Natural Resources Committee April 
              25, 2011 (3-4).

            7) Opposition concerns (note Comment #1 for sponsor position)  .  
              According to opponents that note current exemptions under 
              CEQA for events, "In the rare, limited, and fact-specific 
              situation in which a park use or special event would cause 
              irreparable damage to the environment, CEQA review may be 
              desirable.  For example, a fireworks show over a sensitive 
              coastal zone, in which water quality, air quality, human 
              health, marine mammals, and marine bird species would be 
              greatly affected, should require environmental analysis.  
              Likewise, a city or county may be interested in analyzing the 
              environmental consequences of a land-intensive off-road 
              competition or obstacle races.  In short, SB 973 offers a 
              statewide CEQA exemption where a city or county case-by-case 
              determination is more appropriate."

           According to the Coastal Environmental Rights Foundation (CERF), 
              "SB 973 is unnecessary, as a CEQA exemption already exists 
              for 'minor temporary use of land having negligible or no 
              permanent effects on the environment.'  (CEQA Guidelines sec. 
              15304(e)).  This problem is unique to the City of San Diego, 










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              where officials have chosen not to utilize this exemption, 
              and it is not of statewide concern."  CERF also notes that 
              San Diego "has amended its Municipal Code to address the vast 
              majority of permits on City land, and could choose to further 
              amend its process locally.  The City is also in the process 
              of conducting environmental review for its major special 
              events and has assured the court on multiple occasions it 
              will comply with the ruling to address significant 
              environmental impacts."

            8) More consideration of fireworks displays needed  ?  There has 
              not been any CEQA litigation for fireworks displays or 
              short-term events other than the La Jolla Cove CERF 
              litigation.  
               
               However, if the Committee believes Fourth of July fireworks 
              event issues should be addressed, rather than through a broad 
              CEQA event exemption, the Office of Planning and Research 
              (OPR) could:  a) study fireworks issues and identify 
              potential environmental issues relating to fireworks; and b) 
              develop guidelines with measures that address these issues to 
              assist agencies in developing event ordinances for fireworks 
              displays, including ministerial ordinances.

              If the Committee believes an exemption is needed, OPR could 
              also be required to prepare, develop, and transmit to the 
              Resources Agency a categorical exemption for a Fourth of July 
              fireworks display that incorporates measures to address 
              certain issues (e.g., wildlife, air and water quality, 
              debris, fire hazards, timing), using information from the 
              fireworks study.

              If the Committee believes that a statutory exemption for a 
              Fourth of July fireworks display is needed, then such an 
              exemption should be more specific regarding requirements to 
              be met, along with an appropriate sunset date so that an OPR 
              report can be reviewed and an opportunity provided to revise 
              the exemption.

              Due to pending litigation, any amendments would need to 
              specify that any of the above provisions do not apply to, or 
              affect, the current CERF litigation.










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            SOURCE  :        San Diego Regional Chamber of Commerce  

           SUPPORT  :       American Council of Engineering Companies of 
                          California, Bay Area Council, Brea Chamber of 
                          Commerce, California Alliance for Golf, 
                          California Chamber of Commerce, California Hotel 
                          & Lodging Association, California Outdoor 
                          Recreation Partners, California Park & Recreation 
                          Society, California State Club Association, 
                          California Travel Association, City of Folsom 
                          Parks & Recreation District Director Robert Goss, 
                          City of Orangevale Recreation & Park District, 
                          College Area Business District, County of San 
                          Diego, Donate Life California, Fireworks & Stage 
                          FX America, Indio Chamber of Commerce, Kern 
                          County Board of Supervisors, La Jolla Fireworks 
                          Foundation, Los Angeles Area Chamber of Commerce, 
                          Los Angeles County Economic Development 
                          Corporation Member Lari Sheehan, North Bay 
                          Leadership Council, North Orange County 
                          Legislative Alliance, Ocean Beach Mainstreet 
                          Association Executive Director Denny Knox, Orange 
                          County Business Council, Orangeville Recreation 
                          and Park District Administrator Greg A. Foell, 
                          Rancho Simi Recreation and Park District Chair 
                          Kathleen O'Brien, Roseville Mayor Pauline 
                          Roccucci, San Diego, San Diego Armed Services 
                          YMCA Board of Management Member Lari Sheehan, San 
                          Diego Deputy Director of Intergovernmental, San 
                          Diego Regional Chamber of Commerce, San Diego 
                          Regional EDC, San Francisco Chamber of Commerce, 
                          San Gabriel Valley Economic Partnership, San Jose 
                          Silicon Valley Chamber of Commerce, Sheraton San 
                          Diego Hotel & Marina General Manager Scott 
                          Hermes, Signal Hill Mayor Larry Forester, Silicon 
                          Valley Leadership Group, Simi Valley Chamber of 
                          Commerce, Solano Avenue Association, Southwest 
                          Riverside County Legislative Council, State Park 
                          Partners Coalition, Susan G. Komen for the Cure 
                          (7 California Affiliates), Vista 
                                










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           OPPOSITION  :    California League of Conservation Votes, 
                          California Coastal Protection Network, California 
                          Native Plant Society, Coastal Environmental 
                          Rights Foundation, Planning and Conservation 
                          League, Sierra Club California, 1 individual