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HomeMy WebLinkAbout2025-01-15; Planning Commission; 02; Overview of CEQA and discussion of prospective changes to Chapter 19.04 of the Municipal Code – Informational Report & DiscussionMeeting Date: Jan. 15, 2025 Item 2 To: Planning Commission Staff Contact: Mike Strong, Assistant Director of Community Development 442-339-2721, mike.strong@carlsbadca.gov Subject: Overview of CEQA and discussion of prospective changes to Chapter 19.04 of the Municipal Code – Informational Report & Discussion Location: Citywide Case Numbers: ZCA2024-XXX (PUB2024-XXX) Applicant/Representative: City of Carlsbad Community Development Department CEQA Determination: ☒Not a Project ☐ Exempt ☐ IS/ND or IS/MND ☐ EIR☐Other: Permit Type(s): ☐SDP ☐ CUP ☐ CDP ☐ TM/TPM ☐ GPA ☐ REZ ☐ LCPA☒Other: N/A CEQA Status: ☐The environmental assessment IS on the Agenda for discussion☒A CEQA determination was already issued. That decision is final and IS NOT on the Agenda Commission Action: ☐Decision ☐ Recommendation to City Council ☒ Informational (No Action) Recommended Action Receive a report and presentation on the California Environmental Quality Act (CEQA) and discuss prospective amendments to Carlsbad Municipal Code (CMC) Chapter 19.04 (Environmental Protection Procedures). Project Description The requirements and procedures for complying with CEQA are contained in the CEQA statute (Public Resources Code Section 21000 et seq.), the CEQA Guidelines (California Code of Regulations, Title 14, Section 15000 et seq.), published court decisions interpreting CEQA, and locally adopted CEQA procedures. CEQA requires public agencies to inform themselves of the environmental effects of their proposed action, carefully consider all relevant information before they act, provide an opportunity for public comment on environmental issues, and avoid or reduce significant environmental impacts when feasible. Because CEQA’s provisions are enforced, as necessary, by the public through litigation and the threat of litigation, CEQA has turned in to being one of the most important state laws affecting local planning decisions. In the City of Carlsbad, the City Planner has the primary responsibility for determining whether a CEQA exemption applies to a project before the decision-making body decides whether to carry out or approve the project. On Sept. 24, 2024, the City Council directed the City Manager to change this process and draft amendments to Chapter 19.04 of the Municipal Code to require exemptions be decided upon by decision-making authority responsible for deciding on the project. Amendments to Title 19 of the Municipal Code do not require a recommendation from Planning Commission prior to adoption; however, this staff report presents general information about the requested changes to the Municipal Code and background information about CEQA. Jan. 15, 2025 Item #2 1 of 10 0 Background of CEQA Public agencies weigh a variety of factors when deciding whether to approve or deny a proposed land use, activity, or development project. One such factor is what kind of effect a proposed project would have on the environment. The term “environment” includes natural and man-made elements of our surroundings. This includes land, air, water, minerals, habitat, noise, etc. The basic purpose of CEQA is to: 1) inform governmental decision makers and the public about the potential significant environmental effects of proposed activities; 2) identify ways that environmental damage can be avoided or significantly reduced; 3) require changes in projects through the use of alternatives or mitigation measures when feasible; and 4) disclose to the public the reasons why a project was approved if significant environmental effects are involved. Under CEQA, a use or activity is not subject to CEQA if it is not considered a “project.” A proposed project qualifies as a “project” covered by CEQA if it is undertaken, approved, or funded by a public agency, has the potential to result in a physical change in the environmental, directly or ultimately, and involves a discretionary approval by the public agency. If the use or activity is a “project” subject to CEQA, the city then determines whether the project is exempt under CEQA. There are three types of exemptions to consider: statutory exemptions, categorical exemptions, and the common sense exemption. One of the more common examples of statutory exemptions includes uses or activities requiring only ministerial approvals, which are not subject to environmental review under CEQA, pursuant to Section 21080(b)(1) of CEQA and Section 15268 of the State CEQA Guidelines. Projects requiring any discretionary approvals may be subject to environmental review under CEQA unless otherwise exempt, pursuant to Section 21080(a) of CEQA, and Section 15002(i) of the State CEQA Guidelines. For categorical exemptions, the California Secretary for Natural Resources prepares and adopts a list of classes of projects which have been determined not to have a significant effect on the environment and are considered “exempt” from CEQA. These classes are known as “categorical exemptions.” However, a categorical exemption is conditioned by limitations defined in the CEQA Guidelines and by the statutory authorization limiting such exemptions to projects with no significant environmental effect. Lastly, if a project is not statutorily exempt and a categorical exemption does not apply, it may qualify for the common sense exemption, formerly called “general rule exemptions” (CEQA Guidelines 15061(b)(3)). A common sense exemption, in the context of CEQA, refers to a provision that exempts a project from environmental review if it can be definitively determined that the project has absolutely no potential to significantly impact the environment, essentially applying a "common sense" assessment that the activity is too minor to warrant further review. Currently, all three types of exemptions (statutory exemptions, categorical exemptions, and common sense exemptions) may be decided outside of a public hearing. As of this writing, the City Planner decides whether a project is eligible for exemption as part of the preliminary review of the project. When it is determined through an initial study that there is substantial evidence that the project may have a significant effect upon the environment, then an Environmental Impact Report (EIR) must be prepared. When the city determines that there is no substantial evidence that the project may have a significant effect on the environment, or when potential significant environmental effects are shown in the initial study, but the project is modified such that the environmental effects are rendered less than significant, a negative declaration is prepared. When potential significant environmental effects are shown in the initial study, but conditions of approval include mitigation measures that reduce all significant impacts to a level that is less than significant, a mitigated negative declaration is prepared. For more information about CEQA and the environmental review process, refer to Exhibit 1. Purpose of CMC Chapter 19.04 and the Proposed Code Amendments The purpose of CMC Chapter 19.04 is to provide a basis for implementation of CEQA by the city, working in conjunction with CEQA statute and CEQA Guidelines. Currently, CMC Section 19.04.060 establishes that the City Planner is exclusively responsible for determining whether a private or public project is exempted from the requirements of CEQA (an exemption), and the City Planner’s decision is made and acted upon before the decision- making body reviews or considers a project and takes final action. Jan. 15, 2025 Item #2 2 of 10 - On Sept. 24, 2024, the City Council directed the City Manager to return within 120-days with amendments to Chapter 19.04 to change the CEQA review process so that CEQA exemptions will be reviewed and considered by the decision-making authority responsible for deciding on the project, instead of the current process that grants that authority exclusively to the City Planner. The proposed code amendments also include other ancillary changes to be consistent with published court decisions interpreting CEQA and help specify and clarify local procedures. Conclusion At the Jan. 15, 2025 Planning Commission meeting, staff will facilitate an overview of CEQA. This overview will include information regarding the environmental review process and the role the Planning Commission plays in that process. City staff will also provide a brief presentation and walk through some potential changes to CMC Chapter 19.04 that would make it so that the project’s decision maker reviews, considers, and adopts an environmental decision before making a decision on a project. Exhibits 1.Informational Bulletin – CEQA (IB -150) Jan. 15, 2025 Item #2 3 of 10 Community Development Department | 1635 Faraday Ave. | Carlsbad, CA 92008 | www.carlsbadca.gov CALIFORNIA ENVIRONMENTAL QUALITY ACT IB-150 The California Environmental Quality Act (CEQA) is one of the most important state environmental protection laws affecting project-related processing and decision-making in the public sector. CEQA is an evolving policy that has been updated by the state legislature and interpreted by the courts many times over the years. As CEQA is mainly a process, this Info-Bulletin outlines the city’s processing requirements and CEQA’s role in development. Visit our CEQA Website to review the different city documents referenced in the bulletin. BACKGROUND The California Environmental Quality Act, which became law in 1970, is our state’s landmark environmental law. CEQA applies to all discretionary actions undertaken or funded by a public agency. Its basic purpose has been to foster transparency and integrity in public decision-making so that consideration is given to preventing or minimizing damage public decisions may have on the environment before the action is approved or carried out. CEQA’s fundamental goals are relatively basic: •Disclose the potential significant adverse impacts of a project to the public and decision-making body. •Prevent or minimize damage to the environment through project alternatives and mitigate significant impacts when feasible. •Offer opportunities for the public and other agencies to become involved in the review process. •Require decision-makers to consider the balance between development and the environment. While there are several elements and components to CEQA that help determine whether a project may adversely impact the environment and what requirements need to be met if impacts are identified, CEQA regulatory authority essentially comes from two complimentary state code sections. CEQA STATUTE CEQA’s legislative authority is rooted within Public Resources Codes (PRC) §21000 – 21006 and sets forth the overarching regulation and policy for environmental review and protection. This is referred to as CEQA statute. CEQA GUIDELINES CEQA Guidelines, which are periodically updated by the Governor’s Office of Planning & Research (OPR) and the California Natural Resources Agency (CNRA), are state administrative regulations that public agencies follow in order to show compliance with CEQA statute, applicable court decisions, and practical planning considerations. The regulatory authority for the guidelines are found in the CA Code of Regulations (CCR) §15000 - 15387, which set forth the steps on how to determine whether an activity is subject to environmental review, what steps are involved in the environmental review process, and the required content of environmental documents. CARLSBAD ENVIRONMENTAL PROCEDURES The city adopted §19.04, which establishes the procedures for evaluating the environmental impacts of public and private projects and for administering the city’s responsibility under CEQA. This chapter is intended to supplement state CEQA guidelines. Exhibit 1 Jan. 15, 2025 Item #2 4 of 10 {city of Carlsbad Informational Bulletin Page 2 of 7 IB-150_Environmental Review July 2022 BASIC ELEMENTS OF CEQA REVIEW CEQA is not a permit, and it does not grant cities any new powers to regulate property. CEQA is a process through which public agencies, project developers, and general public must evaluate a project, understand its environmental impacts, and develop measures to reduce those impacts which must be publicly vetted before a decision can be made. And as with any process, there are steps that must be followed. ONLY “PROJECTS” ARE SUBJECT TO CEQA When the term “CEQA review” is used, visions of technical studies and detailed analysis often come to mind. In actuality, however, many city actions and activities are either exempt from, or otherwise do not require review under CEQA. Before initiating any environmental review, the city must first determine whether the action or activity being considered even requires review under CEQA. City actions and activities requiring review pursuant to CEQA are referred to as a “project.” Sections §21065, §15378, and §15060(c)(3) provide definitions, but generally, a CEQA project includes any action taken by a public agency where discretion is applied and if approved, the action has the potential to cause one of the following: •A direct physical change in the environment; or, •A reasonably foreseeable indirect physical change in the environment. CERTAIN PROJECTS ARE EXEMPT FROM CEQA If the action is found to be a project, the city then determines whether the project is exempt under CEQA, which there are three types of exemptions to consider. •Statutory Exemptions Statutory exemptions (§21080) are created by the state legislature and found in CEQA Guidelines §15260-15285. A project that falls within a statutory exemption is not subject to CEQA even if it has the potential to significantly affect the environment. Common statutory exemptions applied to city projects include the following: o Ministerial (building) permits (§15268) o Business licenses (§15268) o Feasibility & planning studies (§15262) o Emergency projects following disaster (§15269) o Approval of new permit fees (§15273) •Categorical Exemptions Unlike statutory exemptions, which are adopted by the California Legislature, state law (§21084) directs the CRNA to adopt classes of projects that are determined to not have a significant effect on the environment (§15300-15333). Common categorical exemptions applied by the city include the following: o In-fill development (§15332) o Leasing agreements (§15301) o Minor alteration to land (§15304) o Minor alteration of existing structures (§15301) o Minor land divisions (§15315) However, unlike statutory exemptions, under state law a project that falls within a categorical exemption may still not be exempt from CEQA under the following conditions: o Reasonable possibility of a significant effect on the environment due to unusual circumstances; o Significant cumulative impacts from projects of the same type will result; or o The project will have impacts on a “uniquely sensitive environment.” Regarding the above third condition, city code (§19.04.070.B) provides specificity on what qualifies as “uniquely sensitive environment” such as impacts to sensitive, rare, endangered, or threatened habitat, wetlands, hazardous materials, archaeological or cultural resources, or other factors requiring special review. •Common Sense Exemptions Common Sense Exemptions (§15061(c)) apply only to projects where it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment. Jan. 15, 2025 Item #2 5 of 10 IB-150_Environmental Review July 2022 Page 3 of 7 INITIAL STUDY If the project does not fall under an exemption, the city then undertakes an “initial study” to determine what type of environmental document is needed to support the processing of the application. An initial study is a preliminary analysis comprised of a series of questions prepared by the “lead agency” (typically, the city) to determine if the project may have a significant impact on the specified environmental resource, thereby requiring mitigation measures or project changes in order to reduce the impacts to a level of less than significant (PRC §21080(c); Guidelines §15063–15065) Generally, the city utilizes the initial study template found in Appendix G (Environmental Checklist Form) of the CEQA Guidelines to assist city staff and environmental consultants with the preparation and analysis of environmental documents. Included in the checklist are environmental issues presented in the form of questions that are intended to identify the potential impacts of proposed projects. In terms of addressing potentially significant adverse impacts, the impact threshold questions provided in Appendix G may be used as guidelines to determine the level of significance for any given impact, provided that they are relevant to a project's environmental effects and supplemented as necessary to address additional environmental effects specific to the proposed project, the project site, and its surroundings. The preparation of the initial study should be based on a comprehensive project description, initial research, site visit, technical studies (if determined necessary), and other available and relevant documentation. GUIDELINES FOR DETERMINING SIGNIFICANCE So, when is an impact “significant?” Good question. To assist in determining whether a specific impact is significant under CEQA, public agencies are encouraged to develop administrative guidance often referred to as thresholds of significance (Thresholds). Thresholds help establish a clear bright line or standard for when a city determines an impact is significant under CEQA. That is, a threshold for a given environmental impact defines the level above which the city will normally consider impacts to be significant, and below which it will normally consider impacts to be less than significant. Thresholds may be defined either as quantitative or qualitative standards, or sets of criteria, whichever is most applicable to each specific type of environmental impact. For example, quantitative criteria are often applied to traffic, air quality, and noise impacts, while aesthetic impacts are typically evaluated using qualitative thresholds. A city may gather and apply thresholds of significance from a variety of places including, but not limited to, general plan policies, ordinances, resolutions, other agencies’ thresholds, and industry standards. Often thresholds change in response to CEQA case law; refinement of recognized scientific analysis of impact thresholds; or changes in federal, state, and local regulations. In some cases, a city may utilize project- specific significance thresholds. For Carlsbad, the city developed and maintains Significance Determination Thresholds, which provide general technical guidance in evaluating the potential significance of a project’s impact on each environmental issue listed in the Environmental Checklist Form. Jan. 15, 2025 Item #2 6 of 10 Page 4 of 7 IB-150_Environmental Review July 2022 SCREENING CRITERIA In another method similar to creating significance thresholds, public agencies are encouraged to develop “screening criteria” to help quickly and easily screen out projects that are likely not to cause significant environmental impacts. The city has developed and maintains Screening Criteria for a few resources. Projects that meet established screening criterion are presumed to not have a significant environmental impact on a particular environmental resource and therefore do not require additional mitigation. In some cases, applicants may need to prepare an analysis to prove that their project meets established screening criteria. Projects that do not meet the screening criteria may be required to complete additional analysis (technical studies) and compare the findings with the appropriate threshold of significance and mitigate the impacts accordingly. TECHNICAL STUDIES Technical studies are often required to assist in preparing the initial study, or to determine and document whether a project has a less than significant impact. These studies may be prepared by staff or an outside consultant. If prepared by a consultant, the study shall be reviewed by city staff, or a third-party consultant hired by the city. To help ensure the quality, accuracy, and completeness of technical reports and increase the efficiency of the environmental review process and avoid unnecessary time delays, the city encourages consultants to follow the Report Format and Content Requirements for each study type as established by the County of San Diego. PREVENTING ENVIRONMENTAL DAMAGE If potential adverse environmental impacts are identified, the CEQA process next attempts to identify ways to prevent or reduce these impacts to a level of less than significant by requiring consideration of mitigation measures. Pursuant to CCR §15370, mitigation includes: o Avoiding the impact altogether by not taking a certain action or parts of an action. o Minimizing impacts by limiting the degree or magnitude of the action and its implementation. o Rectifying the impact by repairing, rehabilitating, or restoring. o Reducing or eliminating the impact over time by preservation and maintenance operations during the life of the action. o Compensating for the impact by replacing or providing substitute resources or environments. Project revisions may also be utilized to reduce impacts, with changes in design, location, operations, or scope. Effective project revisions will achieve any or all of the above objectives. In reaching its conclusions, the city must use its own independent and objective judgment, based on the information before it, to determine that "clearly no significant effect on the environment would occur" (PRC §21064.5). Further, there must be evidence in the record as a whole to support the conclusion that the level of mitigation or project revision sufficiently avoids or eliminates a potential significant effect. Upon approval, the city must also adopt a mitigation monitoring or reporting program (CCR §15097). Jan. 15, 2025 Item #2 7 of 10 IB-150_Environmental Review July 2022 Page 5 of 7 TYPES OF CEQA DOCUMENT PREPARED Following completion of the initial study, the public agency then must determine what type of environmental document to prepare. CCR §15063, 15365; PRC §21080.1, 21080.3 o Negative Declaration (ND) This document is used for projects that will not result in any significant impact on the environment. CCR §15071 o Mitigated Negative Declaration (MND) This document is reserved for projects where specified mitigation measures are necessary in order to reduce the impacts to a level of less than significance. CCR §15071 o Environmental Impact Report (EIR) This document is often reserved for projects that cannot fully mitigate their impacts to a level of less than significance. In order to approve the project, the city must find, supported by substantial evidence, that the economic and social benefits of the project override any significant environmental impacts that would result from the project, commonly referred to as a Statement of Overriding Consideration. PRC §21100/CCR §15120 KEY CEQA PROCESSING TIMELINES Most permit processing timelines are driven by statute. The section below highlights the most common deadlines, but for more information on the entire process flows for discretionary permits, refer to the Community Development Department’s Permit & Service Delivery Guide. STARTS WITH A COMPLETE APPLICATION The Permit Streamlining Act (CCR §65920 et seq) was enacted in 1977 in order to expedite the processing of permits for development projects by imposing time limits within which local agencies must either approve or disapprove permits. Once an application is submitted, the city has 30 days to inform the applicant whether the application is complete (CCR §15060(a), 15101). If incomplete, the applicant addresses the deficiencies and then resubmits the application, which starts a new 30-day review period. If the agency fails to inform the applicant within the 30-day period, the application is "deemed complete" (CCR §65943) and the city is limited in requesting any new information from the applicant. Environmental processing commences after a development application is determined to be complete for processing and the permit applicant provides the necessary reports, studies, and documents required for environmental review. EXEMPTIONS For projects that are eligible for a statutory, categorical, or common-sense exemption. •The project must be presented for decision within 60 days from date application is deemed complete. •The Notice of Exemption (NOE) must be publicly posted for five business days and appealed within ten calendar days of the City Planner’s decision. Jan. 15, 2025 Item #2 8 of 10 Page 6 of 7 IB-150_Environmental Review July 2022 •The decision-making authority for the discretionary permit/action does NOT approve the use of the exemption as part of their decision on the discretionary permit and/or action; that responsibility resides solely with the City Planner. •The exemption determination and relevant findings shall be made part of the recitals within the approving resolution/ordinance that is prepared for discretionary permit/action. •The NOE is filed with the County Clerk within five days following approval of the project. A timely filed NOE establishes a 35-day statute of limitations for challenging project approvals that are deemed exempt, starting from the date the project was approved. NOEs not timely filed extends the legal filing period to 180 days. •A determination that a project is “not a project” under CEQA is not a formal exemption and City Planner’s notice of determination and NOE are not required. NEGATIVE DECLARATIONS/MITIGATED ND For projects that require a negative declaration (ND) or mitigated negative declarations (MND). •The ND or MND must be completed and presented for decision within 180 days from the date when the city finds the application complete. Timelines may be longer depending on the timeliness of submittals and resubmittals (§15109). •Notice of Intent to Adopt must be posted for 20/30 days. Review and consultation period must be at least 20 days. Review period extended when ND/MND sent to state clearinghouse. •Unlike exemptions, the decision-making authority for the discretionary permit/action considers and approves the ND or MND as part of their decision on the discretionary permit and/or action. •The environmental determination, relevant findings, and required mitigation/monitoring shall be incorporated into a separate approving resolution and/or ordinance. •In the staff report, the resolution on the environmental determination shall be listed first, followed by the resolution and/or ordinance approving the project. The decision-maker can approve both actions simultaneously. •The Notice of Determination (NOD) must be filed with the County Clerk within five days following approval of the project. A timely filed NOD establishes a 35-day statute of limitations for challenging project approvals that are deemed exempt, starting from the date the project was approved. NOEs not timely filed extends the legal filing period to 180 days. ENVIRONMENTAL IMPACT REPORT Projects requiring an Environmental Impact Report (EIR). •An EIR must be completed and certified within 365 days of application completeness. Timelines may be longer depending on the timeliness of submittals and resubmittals (CEQA Guidelines 15109) •Prepare/complete the Initial Study, determine EIR required, and release a Notice of Preparation (NOP). The NOP must be issued within 30 days of determination and specify project. •Notice of Completion to be filed with state clearinghouse. •Public review: Notices sent to affected agencies, surrounding property owners, and requesting individuals. Jan. 15, 2025 Item #2 9 of 10 IB-150_Environmental Review July 2022 Page 7 of 7 •Review and consultation period must be at least 30 days, 45 days when submitted to state clearinghouse. •Final EIR. Certification prior to project approval and within one year from complete application •Findings and Statement of Overriding Consideration needed for approvals with remaining unmitigated significant effects. •EIR Notice of Determination to be filed within five days of project approval. •Statute of Limitations to challenge an EIR is 30 days. Notwithstanding, city procedures provide that the time limit to complete and approve, adopt, or certify the environmental document may be extended once for not more than 90 days upon consent of the applicant. PUBLIC ENGAGEMENT As previously noted, CEQA’s basic purpose has been to foster transparency and integrity in public decision- making so that consideration is given to minimizing damage public decisions may have on the environment before the action is approved or carried out. As such, there are opportunities for the public to comment. PUBLIC NOTICING Public involvement starts when an application is filed with the city and residents within 600 feet of the project are notified. Any public comments following that initial notification are used to help determine what environmental impacts will be studied and what type of environmental document will be needed. For NDs, MNDs, and EIRs, there is a formal comment period after the initial environmental document is circulated, where the public is given an opportunity to review and comment on the city’s environmental findings and determinations. PUBLIC HEARINGS There are hearings, sometimes during and always after the public comment period. Public hearing notice requirements are covered by Government Code sections §65090 and §65091. The possible approval, adoption, or certification of the environmental assessment for NDs, MNDs, and EIRs will be announced as part of the public hearing notice provided for the discretionary action(s) required for project approval. The public is invited to be a part of this decision-making process. DECISION-MAKING BODY DELIBERATIONS [CEQA exempt projects excluded] Before making its decision whether to carry out the proposed project, the decision-making body (i.e., Planning Commission or City Council) needs to independently review and consider all relevant documents, reports, studies, or other materials that comprise the full environmental assessment of the project. The decision-makers must also review and consider all written and oral evidence submitted to the city in connection with the environmental assessment and the proposed project itself. the decision-making body should not approve a project as proposed if there are feasible alternatives/mitigation measures available which would substantially lessen the environmental effects or unless specific economic, social, or other conditions make the project alternatives or mitigation measures infeasible, and specific findings of overriding considerations have been made per CEQA. APPROVING PROJECTS WITH IMPACTS Although the State Legislature established policies concerning the maintenance of a quality environment and control of environmental pollution, the city also has obligations to balance public objectives, including economic and social factors, in determining whether and how a project should be approved, conditionally approved, or denied. In that regard, the decision-making body may balance environmental objectives with economic/social objectives in arriving at a final decision by weighing any adverse environmental effects against any positive effects/benefits to the public which could result from the proposed project. YOUR OPTIONS FOR SERVICE Please contact the Planning Division at 442-339-2600 or via email at Planning@carlsbadca.gov for more information about environmental review and processing. Jan. 15, 2025 Item #2 10 of 10 From:Planning To:Cynthia Vigeland Cc:Eric Lardy Subject:FW: Public comment on Planning Commission 1/15/2025 Item #2 (CEQA exemption review) Date:Wednesday, January 15, 2025 9:32:34 AM Attachments:2024-10-17 ELUA Proposed CEQA exemption determination revisions.pdf -----Original Message----- From: Steve Linke <splinke@gmail.com> Sent: Wednesday, January 15, 2025 9:26 AM To: Planning <planning@carlsbadca.gov> Subject: Public comment on Planning Commission 1/15/2025 Item #2 (CEQA exemption review) Planning Commissioners: The attached communication, which was provided to the City Council and your commission on 10/18/2024, triggered the CEQA review that is on this evening's meeting agenda. I thought it would be useful for you to have a chance to review it again to guide recommendations you make to the City Council on changes to the city's CEQA exemption/review process. Best regards, Steve Linke Equitable Land Use Alliance CAUTION: Do not open attachments or click on links unless you recognize the sender and know the content is safe. Item 2 - Correspondence received by 5pm 1-15-25 Equitable Land Use Alliance 300 Carlsbad Village Dr, PMB 108A-79 Carlsbad, CA 92008 hello@equitablelanduse.org 1 October 17, 2024 Carlsbad City Council 1200 Carlsbad Village Drive Carlsbad, CA 92008 Re: CEQA exemption determination process revisions City Council and Staff: Council, thank you for agendizing an update to the CEQA exemp�on determina�on process. For reference, Carlsbad Municipal Code (CMC) § 19.04.060 gives the City Planner unilateral authority to declare projects exempt from CEQA. This is coupled with an imprac�cally short (10 calendar-day) and expensive ($900) appeal window to the Planning Commission. CMC § 21.54.140-150, states (in part): The appeal shall specifically state the reason or reasons for the appeal. The burden of proof is on the appellant to establish by substan�al evidence that the grounds for the requested ac�on exist…the Planning Commission shall consider only the evidence presented to the City Planner for considera�on in the determina�on or decision being appealed. City Atorney McMahon has clarified that the above means that a poten�al appellant must provide all appeal topics and every eviden�ary argument and other evidence in their appeal document submited within 10 days of the City Planner pos�ng their determina�on on the city website (see Atachment A). The Planning Commission is not allowed to consider anything not provided to the City Planner within that �meframe. As an example, the City Planner posted the CEQA Determina�on of Exemp�on for the Carlsbad Village Mixed Use project (CVMU) to the city website on Thursday February 29th, 2024, which included only six working days within the 10 calendar-day appeal window. Only individuals who were previously aware of CVMU and had made a request to the planner in charge to be contacted with updates, or who had subscribed to receive all Planning updates, would have become aware of the CEQA determina�on (and even some of those individuals claimed not to have been contacted). During that 10-day window, Mar�n Danner (now Equitable Land Use Alliance 2 President of Equitable Land Use Alliance [ELUA]) sent mul�ple emails to staff ques�oning the determina�on, but his concerns were largely dismissed, and no appeal was filed. Staff subsequently told the Planning Commission on mul�ple occasions that no comments were received regarding the CEQA determina�on, which is not true and troubling. The CVMU exemp�on and atachments included 548 pages of highly technical CEQA-related informa�on. It would not have been possible to hire a CEQA atorney and subject-mater experts to review the documenta�on and generate an appeal that includes all topics and evidence within the six working days provided. It would have been challenging just to schedule ini�al consulta�ons within that �meframe. Below are ELUA’s recommended revisions to the CEQA Determina�on of Exemp�on process. Project types ELUA’s posi�on is that any project that invokes State Density Bonus Laws or other State laws that supersede City laws, and/or that is seeking any sort of incen�ves/concessions, design/development waivers, or other variances from standard city requirements should be subject to public review prior to exemp�on from CEQA. Proposed CEQA exemp�ons for the above-referenced project types should be presented to a decision-making body (Planning Commission or City Council) as part of their review/approval process. Project size ELUA recognizes the prac�cality of small projects con�nuing to be exempted by staff (subject to appeal). We recommend establishing a size threshold based on vehicle trip genera�on. Both the State of California’s vehicle miles traveled guidance and the City of Carlsbad’s local mobility and vehicle miles traveled analysis guidance use the well-established threshold of “less than 110 projected average daily trips” to define small projects. However, the calcula�on needs to be based only on gross trips for the proposed use, without subtraction for existing uses. As an example, the exemp�on power would remain with staff for apartment projects proposing 18 or less units (apartment units are assumed to generate 6 daily trips). Proposed CEQA exemp�ons for projects that are projected to have 110 or more trips should be presented to the decision- making body as part of their review/approval process. Appeal procedure/cost – Administra�ve appeal (staff) The City of Carlsbad has a no-fee “administra�ve appeal” process for certain planning decisions. Appeals are heard by staff at “administra�ve hearings,” during which evidence can be presented, and staff later issues a decision based upon the evidence. For any projects that Equitable Land Use Alliance 3 council decides should remain under the power of staff to decide CEQA exemp�ons, there should be an opportunity for such no-cost administra�ve appeals. Appeal procedure/cost – Public appeal (Planning Commission/City Council) For any projects that council decides should remain under the power of staff or the unelected Planning Commission to decide CEQA exemp�ons, State law requires an appeal process to the elected decision-making body—the City Council (California Public Resources Code § 21151(c)). Although it is legal to charge a reasonable fee for such appeals, there is no requirement to do so. ELUA recommends either elimina�ng the $900 fee or significantly reducing it. For example, a $200 fee would prevent frivolous appeals but be reasonable for small ci�zen groups. ELUA also feels that, if a fee must be paid for an appeal to the Planning Commission, no addi�onal fee should be necessary for an appeal to the City Council. In addi�on, the fee should be refunded for successful appeals. Appeal �me window In order to decide whether there is sufficient reason to file an appeal and to develop arguments/evidence in favor of the appeal, ten calendar days is nowhere near sufficient. ELUA recommends that the ini�al appeal window be expanded to 35 days from the pos�ng of the determina�on, consistent with the window created by the State for appeals of CEQA No�ces of Exemp�on (California Code of Regula�ons Title 14 § 15062). Sincerely, Steve Linke (on behalf of Equitable Land Use Alliance) Subject: RE: Inquiry about appeals to City Planner CEQA Determina�ons of Exemp�on From: Cindie McMahon <Cindie.McMahon@carlsbadca.gov> Date: 9/16/2024, 2:29 PM To: Steve Linke <splinke@gmail.com> CC: Sco� Chadwick <Sco�.Chadwick@carlsbadca.gov>, Geoff Patnoe <Geoff.Patnoe@carlsbadca.gov> Mr. Linke, You asked two questions relating to an appeal of a City Planner CEQA exemption determination: 1. Must the appeal document include all topics of appeal? 2. Must the appeal document include all associated evidence or may the evidence be provided after the 10-day appeal period? In response to the first question, the appeal document must state the reason or reasons for the appeal. (CMC 21.54.140(B).) "The Planning Commission shall determine all matters not specified in the appeal have been found by the City Planner and are supported by substantial evidence." (CMC 21.54.140(C).) In response to the second question, the only evidence the Planning Commission may consider is "the evidence presented to the City Planner for consideration in the determination or decision being appealed." (CMC 21.54.140(C).) Best regards, Cindie McMahon -----Original Message----- From: Steve Linke <splinke@gmail.com> Sent: Friday, August 23, 2024 11:23 AM To: City Attorney <attorney@carlsbadca.gov> Subject: Inquiry about appeals to City Planner CEQA Determinations of Exemption Carlsbad City Attorney's Office: I plan to recommend to the City Council that they make changes to the Municipal Code regarding the City Planner's CEQA Determinations of Exemption (Sections 19.04.060 and 21.54.140-150). I have a question about the current process. The above-referenced sections currently state that an appellant has 10 days from the date the determination is published to file an appeal, and they go on to say: "The appeal shall specifically state the reason or reasons for the appeal. The burden of proof is on the appellant to establish by substantial evidence that the grounds for the requested action exist...the Planning Commission shall consider only the evidence presented to the City Planner for consideration in the determination or decision being appealed. The Planning Commission shall determine all matters not specified in the appeal have been found by the City Planner and are supported by substantial evidence." Does this mean that the appeal document filed within 10 days has to include all of topics of appeal, as well as all of the underlying evidence to be considered. Or can additional evidence that falls under the appeal topics be provided after the 10 days? As an example, the Determination of Exemption and attachments for the Carlsbad Village Mixed Use project included 548 pages of technical CEQA-related information. I am trying to figure out how it would be possible to find and hire a CEQA attorney and subject- matter experts to review the documentation and generate an appeal that includes all topics and evidence within 10 days. It would be challenging just to schedule initial consultations within that time period. Thanks, Steve Linke CAUTION: Do not open attachments or click on links unless you recognize the sender and know the content is safe. CAUTION: Do not open attachments or click on links unless you recognize the sender and know the content is safe. CEQA Overview and Discussion of Potential Changes to CMC Chapter 19.04 Mike Strong, Associate Planner Community Development Jan. 15, 2025 1 { City of Carlsbad CEQA Overview and Discussion 22 CEQA makes environmental protection a mandatory part of a decision-making process. CEQA applies to all projects subject to public agency discretionary action. What is CEQA? {city of Carlsbad CEQA Overview and Discussion 33 The statute – Public Resources Code Sections 21000 et seq. The Guidelines – California Code of Regulations Title 14, Section 15000 et seq. The courts – ongoing case law. Local procedures – CMC Chapter 19.04. Where are the CEQA rules? {city of Carlsbad CEQA Overview and Discussion 44 1.Inform decision makers and the public. 2.Identify ways to avoid or mitigate environmental damage. 3.Avoid or reduce environmental impacts. 4.Disclose to the public the reasons for approval of projects. CEQA Objectives {city of Carlsbad CEQA Overview and Discussion 55 Lead Agency – has primary approval authority over the project. Responsible Agency – has approval authority over some aspect of a project. Trustee Agency – has authority over some resources related to a project. Agency Types and Roles {city of Carlsbad Timing of CEQA 1.Completing an application. 2.Preliminary environmental assessment. 3.Environmental clearances. 4.Project consideration/approval. Carlsbad Premium Outlets Kiosk Program 6 { City of Carlsbad Tiers or Phases of CEQA 1.Tier 1 – is the proposed use or activity a “project” subject to CEQA? 2.Tier 2 – is the proposed use or activity exempt from further environmental review? 3.Tier 3 – environmental review and processing. Carlsbad Premium Outlets Kiosk Program 7 { City of Carlsbad Three Types of Exemptions 1.Statutorial – blanket exemptions given by Legislature. 2.Categorical – types or classes of projects determined to not have a significant impact. 3.“Common sense” or general rule – CEQA only applies to projects with potential for significant impact on environment. 8 CEQA Overview and Discussion { City of Carlsbad Statutory Exemptions 1.Ongoing projects. 2.Emergency repairs. 3.Feasibility and planning studies. 4.Ministerial approvals (absence of discretion). 5.Others. 9 CEQA Overview and Discussion { City of Carlsbad CEQA Overview and Discussion 1010 Ministerial vs. Discretionary Ministerial projects: 1.Conformance with fixed standards or objective measurements. 2.Requires little or no personal judgement by a public official. Discretionary projects: 1.Requires exercise of judgement or deliberation by a public agency to determine project approval. Categorical Exemptions 1.Class 1: Existing facilities. 2.Class 2: Replacement or reconstruction. 3.Class 3: New construction or minor conversion of small structures. 4.Class 4: Minor alterations to land. 5.Class 32: Infill. 6.Others: a total of 30+ categories. 11 CEQA Overview and Discussion { City of Carlsbad Categorical Exemptions Cont’d Further review may still be required if: 1.There are unusual circumstances; or 2.There are exceptions to the use of a categorical exemption such as a sensitive location, cumulative impact, scenic highways, etc. 12 CEQA Overview and Discussion { City of Carlsbad Preparation of an Exemption 1.If eligible, staff assembles evidence and prepares supporting documentation. 2.Evidence based standard. 3.Supplemental analysis may be required. 4.Exemption made by City Planner prior to project approval. 13 CEQA Overview and Discussion { City of Carlsbad Approval of an Exemption 1.Adoption by City Planner with a Notice of Decision. 2.Notice of Exemption filed. Decision-making authority provided by CMC. City Council provided direction to propose changes so that the entity approving the project concurrently reviews the exemption request. 14 CEQA Overview and Discussion Environmental Documents 1.Initial study – identify potential environmental impacts. 2.Three potential environmental review documents. - No significant impacts (ND). - Significant impacts that can be mitigated (MND). - Some impacts that cannot be avoided or mitigated (EIR). 15 CEQA Overview and Discussion Use of a Prior Document 1.Use of “within a scope” finding. 2.Use of addenda. 3.Use of subsequent environmental document. 4.Use of tiering. Carlsbad Premium Outlets Kiosk Program 16 Checklist Topics 1.Aesthetics. 2.Agriculture. 3.Air quality. 4.Biological resources. 5.Cultural resources. 6.Others: 20 categories. 17 CEQA Overview and Discussion { City of Carlsbad Preparation of a ND / MND / EIR 1.Draft ND / MND / EIR. 2.Fair argument standard. 3.Public review period. 4.State agency review. 5.Public hearings. 6.Recirculation. 18 CEQA Overview and Discussion { City of Carlsbad Approval of a ND / MND / EIR 1.Public hearing is not required by state law but the city requires adoption at public hearing. 2.MMRP (for MND / EIR). 3.Notice of Determination. 19 CEQA Overview and Discussion { City of Carlsbad Substantial Evidence 1.Standard used to support ND / MND / EIR findings. 2.Facts and expert opinion supported by facts. 3.Not speculation, unsubstantiated opinion, etc. 20 CEQA Overview and Discussion { City of Carlsbad Conclusion 1.CEQA overview 2.Project awareness (code amendments) 21 CEQA Overview and Discussion { City of Carlsbad CEQA Overview and Discussion of Potential Changes to CMC Chapter 19.04 Mike Strong, Associate Planner Community Development Jan. 15, 2025 1 { City of Carlsbad CEQA Overview and Discussion 22 CEQA makes environmental protection a mandatory part of a decision-making process. CEQA applies to all projects subject to public agency discretionary action. What is CEQA? {city of Carlsbad CEQA Overview and Discussion 33 The statute – Public Resources Code Sections 21000 et seq. The Guidelines – California Code of Regulations Title 14, Section 15000 et seq. The courts – ongoing case law. Local procedures – CMC Chapter 19.04. Where are the CEQA rules? {city of Carlsbad CEQA Overview and Discussion 44 1.Inform decision makers and the public. 2.Identify ways to avoid or mitigate environmental damage. 3.Avoid or reduce environmental impacts. 4.Disclose to the public the reasons for approval of projects. CEQA Objectives {city of Carlsbad CEQA Overview and Discussion 55 Lead Agency – has primary approval authority over the project. Responsible Agency – has approval authority over some aspect of a project. Trustee Agency – has authority over some resources related to a project. Agency Types and Roles {city of Carlsbad Timing of CEQA 1.Completing an application. 2.Preliminary environmental assessment. 3.Environmental clearances. 4.Project consideration/approval. Carlsbad Premium Outlets Kiosk Program 6 { City of Carlsbad Tiers or Phases of CEQA 1.Tier 1 – is the proposed use or activity a “project” subject to CEQA? 2.Tier 2 – is the proposed use or activity exempt from further environmental review? 3.Tier 3 – environmental review and processing. Carlsbad Premium Outlets Kiosk Program 7 { City of Carlsbad Three Types of Exemptions 1.Statutorial – blanket exemptions given by Legislature. 2.Categorical – types or classes of projects determined to not have a significant impact. 3.“Common sense” or general rule – CEQA only applies to projects with potential for significant impact on environment. 8 CEQA Overview and Discussion { City of Carlsbad Statutory Exemptions 1.Ongoing projects. 2.Emergency repairs. 3.Feasibility and planning studies. 4.Ministerial approvals (absence of discretion). 5.Others. 9 CEQA Overview and Discussion { City of Carlsbad CEQA Overview and Discussion 1010 Ministerial vs. Discretionary Ministerial projects: 1.Conformance with fixed standards or objective measurements. 2.Requires little or no personal judgement by a public official. Discretionary projects: 1.Requires exercise of judgement or deliberation by a public agency to determine project approval. Categorical Exemptions 1.Class 1: Existing facilities. 2.Class 2: Replacement or reconstruction. 3.Class 3: New construction or minor conversion of small structures. 4.Class 4: Minor alterations to land. 5.Class 32: Infill. 6.Others: a total of 30+ categories. 11 CEQA Overview and Discussion { City of Carlsbad Categorical Exemptions Cont’d Further review may still be required if: 1.There are unusual circumstances; or 2.There are exceptions to the use of a categorical exemption such as a sensitive location, cumulative impact, scenic highways, etc. 12 CEQA Overview and Discussion { City of Carlsbad Preparation of an Exemption 1.If eligible, staff assembles evidence and prepares supporting documentation. 2.Evidence based standard. 3.Supplemental analysis may be required. 4.Exemption made by City Planner prior to project approval. 13 CEQA Overview and Discussion { City of Carlsbad Approval of an Exemption 1.Adoption by City Planner with a Notice of Decision. 2.Notice of Exemption filed. Decision-making authority provided by CMC. City Council provided direction to propose changes so that the entity approving the project concurrently reviews the exemption request. 14 CEQA Overview and Discussion Environmental Documents 1.Initial study – identify potential environmental impacts. 2.Three potential environmental review documents. - No significant impacts (ND). - Significant impacts that can be mitigated (MND). - Some impacts that cannot be avoided or mitigated (EIR). 15 CEQA Overview and Discussion Use of a Prior Document 1.Use of “within a scope” finding. 2.Use of addenda. 3.Use of subsequent environmental document. 4.Use of tiering. Carlsbad Premium Outlets Kiosk Program 16 Checklist Topics 1.Aesthetics. 2.Agriculture. 3.Air quality. 4.Biological resources. 5.Cultural resources. 6.Others: 20 categories. 17 CEQA Overview and Discussion { City of Carlsbad Preparation of a ND / MND / EIR 1.Draft ND / MND / EIR. 2.Fair argument standard. 3.Public review period. 4.State agency review. 5.Public hearings. 6.Recirculation. 18 CEQA Overview and Discussion { City of Carlsbad Approval of a ND / MND / EIR 1.Public hearing is not required by state law but the city requires adoption at public hearing. 2.MMRP (for MND / EIR). 3.Notice of Determination. 19 CEQA Overview and Discussion { City of Carlsbad Substantial Evidence 1.Standard used to support ND / MND / EIR findings. 2.Facts and expert opinion supported by facts. 3.Not speculation, unsubstantiated opinion, etc. 20 CEQA Overview and Discussion { City of Carlsbad Conclusion 1.CEQA overview 2.Project awareness (code amendments) 21 CEQA Overview and Discussion { City of Carlsbad