AEP Legislative Update September 2024

September 2024

The 2024 Legislative Session came to an official close on August 31st. The spotlight now shifts to Governor Newsom, who has until the end of the month to sign or veto the one thousand bills sitting on his desk. While the Governor decides whether or not to sign the bills before him, members shift their own focus to campaigning for the November election.

During this Legislative year, members continued to prioritize housing and homelessness, as well as climate and creative solutions to permitting and fees. There were also multiple efforts in the last month of session to introduce and pass CEQA streamlining legislation as part of a broader clean energy package. One measure, SB 1272 by Senator Laird, would have authorized the CEC to do program EIRs for clean energy projects. However, the energy bill package collapsed in the final days of session, so the measure did not pass the legislature this year. Instead, due in part to frustrations on not being able to secure the bills in August, the Governor called for a Special Session on oil prices, which is likely to begin this fall.

Another late effort was on a bill to regulate the development and expansion of warehouses in the state. It would place limits and design requirements on logistics facilities, like being 900 feet from a sensitive receptor, having truck bays be 300 feet from a property line and facing inward, being EV charging ready, among other new mandates. The issue has been percolating in Sacramento for several years now, mostly driven by advocates and legislators from the Inland Empire concerned about the influx of warehouses and trucks in their communities. AB 98 by Assemblymember Juan Carrillo became a compromise deal struck by the California Chamber of Commerce, labor unions, local officials, and some environmental and environmental justice advocates. However, it was still opposed by many other business groups, other local officials, and other environmental justice groups. In the end, the bill passed narrowly and heads to the Governor.

Over the course of the 2024 legislative year, AEP monitored bills related to CEQA, permitting, housing and more; AEP also took support positions on two bills. AB 2199 by Assemblymember Berman deleted the sunset clause on the CEQA exemption for infill residential or mixed-use housing. That bill passed and is on the Governor’s desk awaiting signature. AB 2553 by Assemblymember Friedman revised the definition of “major transit stop” and also passed out of the Legislature, and now awaits the Governor’s signature.

Below is a rundown of additional AEP’s monitored bills that passed from the Legislature in 2024. These bills are on the Governor’s desk. He has until the end of the month to sign or veto the measures.

CEQA Streamlining

• SB 1234 by Senator Allen would create a CEQA exemption for local entities to implement changes to their local coastal program land use plan that are recommended by the Coastal Commission.

Fees

• SB 937 by Senator Wiener made changes to the process for local agencies to collect development impact fees, with the goal of minimizing the impact of market fluctuations on housing production by delaying development fees.

Permitting

• AB 2085 by Assemblymember Bauer-Kahan was amended on April 9 to make community clinics a permitted use in areas zoned where office, retail, health care, or parking are a permitted use and also grant community clinics a CEQA exemption by subjecting them to ministerial approval.

Housing

• SB 312 by Senator Wiener would relax several conditions related to the SB 886 CEQA exemptions for public university housing projects, including additional time for achieving LEED platinum certification and removing the require for response to public comments on exempted projects, and finally extending the sunset to 2032.

Transportation

• SB 768 by Senator Caballero would require the California Air and Resources Board (CARB), in consultation with other private and public entities, to conduct a study for the Legislature on the use of Vehicle Miles Traveled (VMTs) as a metric for transportation impacts pursuant to the California Environmental Quality Act (CEQA) by January 1, 2026. The bill was referred to Assembly Natural Resources. AEP has recommended amendments to the bill to clarify a few of its terms.