California Bill Narrows CEQA Exemption for Manufacturing

California lawmakers have introduced legislation to narrow a broad exemption from environmental reviews for industrial facilities, enacted in a rushed budget deal last year, amid concerns that it could allow polluting operations to bypass scrutiny in vulnerable communities.

State Senator Catherine Blakespear, who represents coastal areas of San Diego and Orange counties, filed Senate Bill 954 this week. The measure seeks to refine the definition of "advanced manufacturing" under the California Environmental Quality Act, or CEQA, and incorporate safeguards for nearby residents. Co-authors include Senate Majority Leader Mike McGuire of Santa Rosa and Assemblymember Damon Connolly of San Rafael, who is advancing a companion bill in the Assembly. Blakespear described the effort as pursuing "the balanced approach that we should have done, but we didn't."

The push stems from reforms passed at the end of the 2023 legislative session. Governor Gavin Newsom tied approval of the state's $321 billion budget to changes in CEQA, which requires assessments of potential environmental impacts for many projects. Lawmakers quickly approved exemptions for various developments, including housing,...