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Industry & Trends

California Reverses Itself, Exempting Projects from Eco Law

In a stunning turnaround in a state with some of the strictest environmental laws in the country, many construction projects will now be excluded from protectionist laws.

The YIMBY — Yes In My Back Yard — faction has won a major victory in the country’s most populous state with the signing into law by Gov. Gavin Newsom of a series of measures that give developers and builders more latitude in new home and commercial construction.

“We’ve fallen prey to litigation as a strategy, delay as a strategy,” Newsom told reporters as he signed the measure. “As a consequence of all that, we have too much demand chasing too little supply. It’s not complicated. This is Econ 101 — a supply and demand imbalance.”

According to press reports, the new acts create “carveouts” for developers trying to comply with the California Environmental Quality Act. “Backers of the legislation argue the law has been weaponized to slow down or block construction, becoming an obstacle to building in a state where homes are twice as expensive as a typical US home,” Bloomberg reported.

“But some Democrats,” the news service reported, “countered that such wage and ecological protections are worth defending in a state where air quality in many communities is poor and the cost of living is high.”

The bills would entirely exempt advanced manufacturing facilities, such as plants for semiconductors, nanotechnology and industrial biotechnology, as well as the state’s high-speed rail stations and facilities. The bill would also exempt wildfire risk reduction efforts, such as projects aimed at creating fuel breaks. They also create new exemptions for housing projects in some urban neighborhoods, the report said.  

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