Pacific Merchant Shipping Assn. v. Newsom

CourtCalifornia Court of Appeal
DecidedAugust 10, 2021
DocketA162001
StatusPublished

This text of Pacific Merchant Shipping Assn. v. Newsom (Pacific Merchant Shipping Assn. v. Newsom) is published on Counsel Stack Legal Research, covering California Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Pacific Merchant Shipping Assn. v. Newsom, (Cal. Ct. App. 2021).

Opinion

Filed 8/10/21 CERTIFIED FOR PUBLICATION

IN THE COURT OF APPEAL OF THE STATE OF CALIFORNIA

FIRST APPELLATE DISTRICT

DIVISION ONE

PACIFIC MERCHANT SHIPPING A162001 ASSOCIATION, et al., (Alameda County Super. Ct. Plaintiffs and Appellants, No. RG20058975) v. GAVIN C. NEWSOM, as Governor, etc., et al., Defendants and Respondents. OAKLAND ATHLETICS INVESTMENT GROUP, LLC, Real Party in Interest and Respondent.

This appeal concerns special legislation enacted to facilitate the construction of a new baseball park and mixed-use development project at the Howard Terminal site in the City of Oakland (Howard Terminal Project). Under section 21168.6.7 of the Public Resources Code,1 the Howard Terminal Project is eligible to qualify for expedited administrative and judicial review under the California Environmental Quality Act (CEQA) (§21000 et seq.) if

All statutory references are to the Public Resources Code unless 1

otherwise specified. 1 the Governor of the State of California certifies that the project meets an enumerated set of job-creation, environmental protection, sustainable housing, and transit and transportation infrastructure conditions. In March 2020, Pacific Merchant Shipping Association, Harbor Trucking Association, California Trucking Association, and Schnitzer Steel Industries, Inc. (collectively, petitioners) filed the instant action challenging the authority of Governor Gavin Newsom to certify the project for streamlined environmental review. Specifically, petitioners claimed that, under section 21168.6.7, the Governor’s authority to certify the project had expired on January 1, 2020. The Governor, the City of Oakland, and real party in interest Oakland Athletics Investment Group, LLC (Real Party and collectively, respondents) filed motions for judgment on the pleadings, arguing that section 21168.6.7 contains no deadline for certification by the Governor. The trial court sided with respondents’ reading of the statute and upheld the Governor’s ongoing certification authority. On February 11, 2021, the Governor certified the Howard Terminal Project for expedited CEQA review.2 We now conclude that section 21168.6.7 does not impose on the Governor a deadline by which to certify the Howard Terminal Project and therefore affirm the judgment below.

2 By motion filed on March 10, 2021, petitioners requested judicial notice of four documents, including the Governor’s certification of the Howard Terminal Project (Exhibit A) and portions of the draft environmental impact report (EIR) and related environmental materials for the project (Exhibits B through D). We deferred resolution of the request until consideration of the merits of this appeal by order dated March 12, 2021. We now grant the request with respect to Exhibit A. (Evid. Code, §§ 452, subd. (c), 459, subd. (a).) We deny the remainder of petitioner’s judicial notice request as unnecessary to our decision. 2 I. FACTUAL AND PROCEDURAL BACKGROUND A. Judicial Review Under CEQA i. Standard CEQA Review “ ‘CEQA reflects the California state policy that “the long-term protection of the environment, consistent with the provision of a decent home and suitable living environment for every Californian, shall be the guiding criterion in public decisions.” (§ 21001, subd. (d).)’ ” (Communities for a Better Environment v. Bay Area Air Quality Management Dist. (2016) 1 Cal.App.5th 715, 721.) To this end, CEQA requires that a lead agency prepare an EIR for any project that may have a significant and adverse physical effect on the environment. (§ 21100, subd. (a).) The EIR “assesses the potential environmental impacts of the project as proposed, sets forth any feasible, less harmful alternatives to the project, and identifies any feasible mitigation measures. (§§ 21000 et seq., 21151 et seq.) The agency may not thereafter approve the project as proposed if there are feasible alternatives or mitigation measures that would avoid or substantially lessen the adverse environmental effects. (§ 21002.)” (Stockton Citizens for Sensible Planning v. City of Stockton (2010) 48 Cal.4th 481, 498 (Stockton Citizens).) “CEQA’s purpose to ensure extremely prompt resolution of lawsuits claiming noncompliance . . . is evidenced throughout the statute’s procedural scheme.” (Stockton Citizens, supra, 48 Cal.4th at p. 500.) For example, “CEQA provides unusually short statutes of limitations on filing court challenges to the approval of projects.” (Cal. Code Regs., tit 14, § 15000 et seq. (CEQA Guidelines), § 15112, subd. (a).) In addition, lawsuits claiming noncompliance with CEQA “have calendar preference; more populous counties must designate one or more judges to develop CEQA expertise so as to permit prompt disposition of CEQA claims; and expedited briefing and

3 hearing schedules are required. (§§ 21167.1, 21167.4.)” (Stockton Citizens, at p. 500.) The purpose behind these provisions is to ensure that CEQA challenges are diligently prosecuted and resolved. (Ibid.) These requirements, however, do not always lead to prompt resolution of CEQA court challenges. For example, while actions or proceedings alleging CEQA noncompliance must be given “preference over all other civil actions” at both the trial court and appellate level, appellate courts are only required to regulate briefing “so that, to the extent feasible, the court shall commence hearings on an appeal within one year of the date of the filing of the appeal.” (§ 21167.1, subd. (a).) Thus, CEQA generally contains no deadline for resolving these matters. ii. Expedited CEQA Review Under Assembly Bill 900 In 2011, the Legislature recognized that there were many large, privately financed projects under consideration “in various regions of the state that would replace old and outmoded facilities with new job-creating facilities to meet those regions’ needs while also establishing new, cutting- edge environmental benefits to those regions.” (Assem. Bill No. 900 (2011- 2012 Reg. Sess.) (Assembly Bill 900) §1, former §21178, subds. (a) & (d).) Prompted by high unemployment, the Legislature enacted the Jobs and Economic Improvement Through Environmental Leadership Act of 2011. The purpose of the legislation was “to provide unique and unprecedented streamlining benefits” under CEQA for specified projects “for a limited period of time to put people to work as soon as possible.” (Id., former § 21178, subd. (i).) Specifically, Assembly Bill 900 established fast-track administrative and judicial review procedures for an “environmental leadership development project” that met certain conditions, including the creation of high-wage,

4 high-skilled jobs, no net additional emission of greenhouse gases, and the payment of certain costs by the project applicant. (Former §§ 21178-21186.) Under this legislation, the Governor3 was required to certify that the project met these statutory criteria to qualify for fast-track status. Once certified, Assembly Bill 900 established that certain CEQA court challenges must “be resolved, to the extent feasible, within 270 days.” (Former § 21185.) The legislation directed the judicial council to adopt a rule of court to effectuate this mandate. (Ibid.; see Cal. Rules of Court, rules 3.2220-3.2227.) A leadership project included “residential, retail, commercial, sports, cultural, entertainment, or recreational” infill projects certified as Leadership in Energy and Environmental Design (LEED) gold or better by the United States Building Council, offering 15 percent greater transportation efficiency than comparable projects, and meeting certain requirements for commercial and organic waste recycling. (Former §§ 21180, subd. (b) & 21183, subd. (d).) The Governor was authorized to “issue guidelines regarding application and certification of projects,” and any such guidelines were not subject to the rulemaking provisions of the Administrative Procedures Act (APA). (Former § 21184, subd.

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Pacific Merchant Shipping Assn. v. Newsom, Counsel Stack Legal Research, https://law.counselstack.com/opinion/pacific-merchant-shipping-assn-v-newsom-calctapp-2021.