Lawsuit fallout could shrink California CEQA barriers to housing

Litigation under California’s chief environmental law has long been one of the most effective tools opponents use to cripple or kill housing developments.California Gov. Gavin Newsom now faces a decision on whether to further curb environmental lawsuits against housing projects after signing significant reforms to the California Environmental Quality Act last year.Two bills now sit on his desk, focused specifically on the lawsuit’s leverage. The bills stem from a textbook case of litigation delaying housing developments over environmental laws. A coastal advocacy non-profit successfully sued San Diego over Midway Rising, a nearly $4 billion development that’s been in the works for years and would bring thousands of new housing units. Since COVID-19, California lawmakers have vigorously reformed housing policy, loosening density rules and zoning limits to boost affordability. Recent CEQA reforms marked a major step toward limiting neighborhood groups and other proponents who used the 1970 law to stall or kill development. State lawmakers have taken other legislative steps to curtail “not-in-my-backyard” legal activities by making lawsuits tougher to file and more financially painful...