California Senate Bill 375, a landmark bill linking greenhouse gas reduction goals to regional planning for transportation and housing, cleared the state Assembly Appropriations Committee late last week.  Under the proposed legislation, each metropolitan region in the state would have to adopt a “sustainable community strategy” to reduce greenhouse gas emissions in the region.  The bill includes several incentives for regions to achieve their emission reductions targets, including provisions that would award transportation funding only to projects consistent with sustainable communities strategies.  SB 375 would also reform the California Environmental Quality Act to provide limited relief from environmental review for qualified projects.

The bill recognizes that, in order for California to achieve its goals under AB 32 (to reduce greenhouse gas emission to 1990 levels by the year 2020), it will be necessary to achieve significant greenhouse gas reductions from changed land use patterns and improved transportation.  According to the bill’s sponsor, Senator Darrell Steinberg, “Because cars and light trucks emit about 30 percent of greenhouse gases in California, reducing the time that commuters spend in their cars through smart, coordinated transportation and housing planning is essential to meeting the requirements of AB 32.”

While SB 375 still has a long road to travel before it becomes law, the measure appears to be gaining momentum.  Within the last week, SB 375 gained the support of major environmental organizations, local governments, and homebuilders.  It is now headed to the Assembly floor for debate.

For further information about this topic, please contact Akin Gump.