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On November 22, 2024, the First District Court of Appeal’s (Div. 4) partially-published opinion in People of the State of California ex rel. Bonta v. County of Lake (Lotusland Investment Holdings, Inc., et al. Real Parties in Interest) (2024) 105 Cal.App.5th 1222 (No. A165677) became final.  The published part of the decision addresses several significant CEQA topic areas, including the adequacy of an EIR’s discussions of impacts related to a large rural resort development project’s wildfire risks and water supply impacts, and the propriety of a lead agency’s condition of approval imposing a carbon credit purchase obligation to potentially mitigate the project’s significant and unavoidable greenhouse gas (GHG) emissions in light of acknowledged uncertainty as to whether such credits would be available.  (As a matter of disclosure, Respondent County of Lake was represented in the trial and appellate proceedings in this case by this post’s authors, Miller Starr Regalia attorneys Arthur Coon and Matthew Henderson.)Continue Reading First District Addresses Significant CEQA Issues Relating to Wildfire Risk, GHG Emissions, and Water Supply Impacts in Lake County Resort Development Case

On October 7, 2024, the First District Court of Appeal (Div. 5) issued a 6-page “Order Denying Respondent’s Petition for Rehearing and Modifying Opinion [No Change in Judgment]” (the “Order”) in Sunflower Alliance v. California Department of Conservation, et al. (Reabold California, LLC) (2024) 104 Cal.App.5th 1135, a case upholding a CEQA Guidelines Class 1 categorical exemption for an oil well conversion project (my 9/9/24 post on which can be found here).  The main thrust of the Order, a copy of which can be reviewed here, is to bolster the Opinion’s refutations of certain of Respondent Sunflower Alliance’s arguments, including its argument made on rehearing that the Secretary cannot have intended for categorical exemptions to call for an “early stage” assessment of environmental impacts; the Court called Sunflower’s position “wrong,” citing numerous examples of categorical exemptions calling for such assessments, which it noted function as limits on the application of the exemptions, and are also consistent with the agencies’ duty to consider environmental impacts when evidence in their records suggests an exception to the exemption may apply.Continue Reading First District Denies Rehearing, Modifies Opinion in CEQA Guidelines Class 1 Categorical Exemption Case With No Change in Judgment

In a published decision filed September 6, 2024, the First District Court of Appeal (Div. 5) reversed the trial court’s judgment granting a writ of mandate and upheld the use of CEQA’s Class 1 categorical exemption (CEQA Guidelines, § 15301) by the California Department of Conservation’s Division of Geologic Energy Management (“CalGEM”) in approving a project to convert an oil well that previously pumped oil and water from a deep aquifer into an injection well that would pump excess water produced from oil extraction back into that aquifer.  Sunflower Alliance v. California Department of Conservation, et al. (Reabold California, LLC, Real Party in Interest) (2024) 104 Cal.App.5th 1135.  Because the project involved only minor physical alterations to the well, and the factual record showed the environmental risks from the well’s changed use – i.e., injecting water into the aquifer instead of pumping it out – were negligible, the project fell within the exemption. Continue Reading First District Holds CEQA Class 1 Categorical Exemption Applies To Approval of Project Converting Existing Oil Well Into Produced-Water Injection Well Because Changed Use Presents “Negligible” Risk of Environmental Harm

In a partially published (but mostly unpublished) opinion filed on March 7, 2024, the Fifth District Court of Appeal reversed the trial court’s judgment and writ-discharge order which had upheld Kern County’s most recently revised “streamlined permitting” ordinance for oil and gas wells and its associated CEQA review.  V Lions Farming, LLC v. County of Kern, et al. (California Independent Petroleum Association, et al., Real Parties) (2024) 100 Cal.App.5th 412.  The Court of Appeal instead directed entry of a judgment and writ setting aside the County’s revised ordinance and related certification of a revised supplemental recirculated EIR (SREIR) and addendum.  It held (in unpublished portions of its opinion) that the SREIR’s discussion of cancer risk from the potential drilling of multiple wells near a sensitive receptor was informationally deficient, and that the County also erred in analyzing the significance of lowering groundwater levels in wells by misconstruing CEQA to prohibit consideration of the social and economic impacts on disadvantaged communities in making that significance determination.  (These and other unpublished portions of the opinion will not be discussed in any further detail in this post.)Continue Reading Fifth District Clarifies That Agricultural Conservation Easements (ACE’s) Qualify As Legally Permissible “Compensatory Mitigation” For Agricultural-Land Conversion Impacts Under CEQA Despite Not Ensuring No Net Loss

In a 51-page published opinion filed January 5, 2024, and resolving consolidated appeals, the Third District Court of Appeal rejected baseline, piecemealing/segmentation, impact analysis, project description, alternatives analysis, and failure-to-recirculate challenges to the EIR for the Department of Water Resources’ (“DWR”) approval of amendments to long-term water supply contracts with local government agencies receiving water through the State Water Project (“SWP”).  The amendments extended the contracts, which were originally entered into in the 1960s for 75-year terms, so as to end in the year 2085, and made other amendments to their financial provisions.  In the course of affirming the trial court’s judgment upholding the EIR and contract amendments against CEQA, Delta Reform Act, public trust doctrine, and other challenges, the Court of Appeal applied numerous well-established CEQA principles in the enormously significant and complex context of continuing long-term SWP contracts.  Planning and Conservation League, et al v. Department of Water Resources, et al, etc. (2024) 98 Cal.App.5th 726 (Ct. App. Nos. C096304, C096316, C096384).Continue Reading Third District Rejects CEQA and Other Challenges to Department of Water Resources’ EIR for Amendments Extending Long-Term State Water Project Supply Contracts Through 2085

In an opinion originally filed on September 8, and subsequently modified and certified for partial publication on October 4, 2023, the Sixth District Court of Appeal reversed the trial court’s judgment granting a writ setting aside Monterey County’s issuance of a permit to investor-owned public utility/water supplier California-American Water Company (“Cal-Am”) to construct a desalination plant and related facilities needed as one component of Cal-Am’s Water Supply Project.  Marina Coast Water District v. County of Monterey (California-American Water Company, Real Party in Interest) (2023) 96 Cal.App.5th 46.  On Cal-Am’s appeal, the Court held the trial court erred in finding the County’s statement of overriding considerations prejudicially inadequate for not addressing the uncertainty created by the City of Marina’s (“City”) denial of a coastal development permit (“CDP”) – later granted with conditions by the Coastal Commission on appeal – for the drilling of intake wells in coastal zone aquifers to supply the plant.  On project opponent Marina Coast Water District’s (“MCWD”) cross-appeal, the Court held that County’s decision not to require a subsequent EIR and its statement of overriding considerations were both supported by substantial evidence and (in an unpublished portion of its opinion not further discussed here) that County’s approval did not violate its own general plan.Continue Reading Sixth District Reverses Writ, Upholds Responsible Agency Monterey County’s Approval of Desalination Plant In Reliance on CPUC’s EIR For Multi-Component, Cross-Jurisdictional Water Supply Project; Court Rejects CEQA Challenges Based On County’s Decision Not to Prepare Subsequent EIR and Allegedly Inadequate Statement of Overriding Considerations

In a published opinion filed June 7, 2023, the Fifth District Court of Appeal held the trial court erred in applying California’s interrelated factors test to deny a preliminary injunction in a CEQA case.  The error consisted of failing to consider harm to the public interests in informed decisionmaking and public disclosure as relevant informational harm to be weighed in evaluating the relative balance of harms likely to result from the erroneous granting or denial of the preliminary injunction.  Tulare Lake Canal Company v. Stratford Public Utility District (Sandridge Partners, L.P., et al, Real Parties in Interest) (2023) 92 Cal.App.5th 380. Accordingly, the Court of Appeal reversed the order denying the preliminary injunction and remanded the matter to the trial court for reconsideration, while keeping in effect its writ of supersedeas continuing the trial court’s TRO in full force and effect.Continue Reading Fifth District Holds Harm To Public Interest In Informed Decisionmaking Must Be Considered By Court In Deciding Whether To Grant Preliminary Injunction In CEQA Case

In a March 27, 2023 post found here, we wrote about the Second District Court of Appeal’s (Div. 1) decision concerning the Water Code section 13389 CEQA exemption for Regional Water Quality Control Board (“RWQCB”) issuance of waste discharge permits, formerly published as Los Angeles Waterkeeper v. State Water Resources Control Board (2023) 88 Cal.App.5th 874.  After the Regional Board and State Board filed a request for modification of that opinion to clarify certain issues, the Court of Appeal vacated it, ordered rehearing, considered supplemental briefing, and filed a new, superseding published opinion in the case on June 2, 2023.Continue Reading Second District “Waters Down” Los Angeles Waterkeeper Waste Discharge Permit CEQA Exemption Opinion After Rehearing At Request Of Water Boards, Narrows And Clarifies Holding With No Change In Judgment Or Result

On April 7, 2023, the Third District Court of Appeal filed a lengthy published opinion – the latest installment in one of the longer ongoing CEQA battles in recent memory – affirming a judgment finding an EIR for the Federal relicensing of Oroville Dam and related hydropower facilities legally adequate.  County of Butte and County of Plumas, et al v. Dept. of Water Resources  (2023) 90 Cal.App.5th 147.Continue Reading That Dam Case (Again):  Third District Upholds Oroville Hydropower Facilities Relicensing EIR Against Numerous CEQA Challenges

On February 27, 2023, the Second District Court of Appeal (Division One) filed its published decision in Los Angeles Waterkeeper v. State Water Resources Control Board (2023) 88 Cal.App.5th 874, a case mainly focused on water law but which also has some significant CEQA implications.  Briefly put, the petitioner in Los Angeles Waterkeeper attempted to bypass a statutory limitation on CEQA review through an action that would, if successful, have resulted in the imposition of additional substantive and procedural environmental review requirements on certain projects for which no EIR is required. As explained below, the Second District rejected this invitation to expand CEQA’s reach.Continue Reading Second District Affirms Judgment Upholding Water Code CEQA Exemption, Rejects Plaintiff’s Attempt To Extend CEQA Review And Findings Requirements To Regional Water Board’s Approval Of Waste Discharge Permits