California Environmental Quality Act: categorical exemptions: infill projects.

Senator Wiener's proposed modifications to the California Environmental Quality Act (CEQA) aim to streamline environmental reviews for urban infill and housing-related projects while maintaining existing protections for certain infrastructure developments. The legislation creates new categorical exemptions for housing element-consistent rezoning and refines the review process for infill development projects.

The bill directs the Office of Land Use and Climate Innovation to map eligible urban infill sites within all incorporated California cities by July 2026. These maps will help determine which projects qualify for streamlined environmental review under refined categorical exemptions. Projects must align with local housing elements certified by the Department of Housing and Community Development to be eligible for these exemptions.

For projects that only partially qualify for categorical exemptions, lead agencies must limit environmental impact reports to specifically address the disqualifying factors rather than conducting comprehensive reviews. The legislation also establishes that negative declarations or mitigated negative declarations shall be upheld when supported by substantial evidence. These provisions exclude projects related to distribution centers or oil and gas infrastructure, which remain subject to full CEQA review requirements.

The bill modifies administrative procedures for CEQA-related legal proceedings by limiting the scope of subsequent environmental reviews following successful challenges to categorical exemptions. It also refines requirements for the record of proceedings by excluding communications from individuals not directly involved in project decisions, except for certain infrastructure projects. Local agencies retain authority to levy fees and charges to implement these changes, with no state reimbursement required.