The California Environmental Quality Act (CEQA) is hailed by some to be landmark climate change legislation, and cursed by others as a thorn in the side of development and job creation. The measured approach to CEQA is to recognize that our pressing economic barriers were not present when it became law more than 40 years ago.

In fact, the economic realities we are currently facing create the perfect climate for effective and needed improvements to CEQA. This is why the Valley Industry and Commerce Association (VICA) placed CEQA reform near the top of its list of legislative priorities for 2012. 

During the last half of 2011, we began to see the political will necessary for reform. At the end of the legislative session, three important CEQA reform bills passed the Legislature and were signed by Gov. Jerry Brown.

SB 292 (Padilla) established expedited judicial review procedures under CEQA for the proposed NFL football stadium and convention center project in downtown Los Angeles. The bill prevents competitors or opponents without legitimate environmental concerns from blocking the project. Its companion bill, AB 900 (Buchanan), extends the SB 292 provisions to LEED silver-certified infill site projects with major economic investment in the state.

The third bill, SB 226 (Simitian), exempts solar installation projects on existing rooftops and parking lots from CEQA review. The bill also paves the way for changes to the review process of infill projects that align with the state’s environmental, transportation and land use goals.

Gov. Brown’s Office of Planning and Research recently released a package of CEQA reforms required to implement SB 226 and implementation procedures for AB 900. These bills and the subsequent implementation strategies are consistent with the CEQA reform proposals VICA released in June 2011.

VICA’s eight recommendations included:

• Simplify the approval process for projects that will spur and sustain California’s economy.

• Grant expedited processing to projects designed to comply with existing environmental regulations.

• Ensure once a project is entitled that it is subject only to the laws in effect on the date of entitlement.

• Develop adequate definitions for vague terminology in CEQA that lawmakers will incorporate into CEQA through legislation.

• Require that all environmental analyses be entitled to the benefits of the substantial evidence test when challenged, to help prevent frivolous lawsuits.

• Require plaintiffs to prove substantial environmental concern over economic gain in the project’s stall or failure.

• Require the petitioner to pay the lead agency for preparation of the administrative record upon submission of challenge.

• Make petitioners liable for frivolous and meritless lawsuits by requiring the applicant plaintiffs, if unsuccessful, to compensate lead agency defendants.

We are already beginning to realize some of these recommendations in actual CEQA reform proposals. However, the state still has significant work to do in order to eliminate project delays by those who abuse CEQA for political, business and/or personal gains.

Two new bills that address CEQA reform, both introduced by Senate President Pro Tem Darrell Steinberg, are currently moving through the state Senate. VICA is backing one, SB 763, that would allow businesses who have demonstrated a superior environmental record to be specially designated by the Secretary for Environmental Protection. For their commitment to green standards these businesses would be provided a single point of contact in regulatory matters, expedited permitting and preferential contracting with the state. VICA is following the progress of the second bill, SB 52, which would modify some provisions of AB 900.

Our leaders must realize that business holds the key to the development and job creation that will ultimately spur California toward economic recovery. Government’s job is to clear the obstacles and create a supportive environment to let business do what it does best.