AB 145: California Environmental Quality Act: exemptions: housing development projects: energy systems and electronics: labor standards.

Official summary

Legislative Counsel’s Digest (official, as of the latest version). Written by nonpartisan legislative staff; reproduced verbatim.

(1)The California Environmental Quality Act (CEQA) requires a lead agency, as defined, to prepare, or cause to be prepared, and certify the completion of an environmental impact report (EIR) on a project that it proposes to carry out or approve that may have a significant effect on the environment or to adopt a negative declaration if it finds that the project will not have that effect. CEQA also requires a lead agency to prepare a mitigated negative declaration for a project that may have a significant effect on the environment if revisions in the project would avoid or mitigate that effect and there is no substantial evidence that the project, as revised, would have a significant effect on the environment.

Existing law exempts from CEQA a rezoning that implements the schedule of actions contained in an approved housing element, as specified.

This bill would subject a rezoning that would allow for the construction of a bed and breakfast inn, motel, hotel, or other transient lodging to CEQA review even if the rezoning implements a schedule of actions contained in an approved housing element. The bill would specify that other transient lodging does not include a residential hotel, as defined, or a resident’s use or marketing of a unit as short-term lodging, as defined, in a manner that is consistent with local law.

(2)Existing law, for the approval of a proposed housing development project, as defined, that would otherwise be exempt from CEQA pursuant to a statutory exemption, or specified categorical exemptions adopted before January 1, 2026, but for a single disqualifying condition, as specified, limits the application of CEQA to the effects upon the environment that are caused solely by that single condition. For these projects, existing law requires the initial study or EIR to examine only those effects that the lead agency determines, based upon substantial evidence in the record, are caused solely by the single condition that makes the proposed project ineligible for a statutory or categorical exemption.

This bill would exempt from that limited application of CEQA a housing development project that has a project site or parcel size that exceeds 4 acres, if the project is a builder’s remedy project, as defined, and the project applicant applied, as specified.

This bill would subject a project that includes a bed and breakfast inn, hotel, motel, or other transient lodging, as specified, to full CEQA review even if it would be eligible for the limited application of CEQA described above because of a single disqualifying condition. The bill would specify that other transient lodging does not include a residential hotel, as defined, or a resident’s use or marketing of a unit as short-term lodging, as defined, in a manner that is consistent with local law. To the extent that this bill would impose new responsibilities on a lead agency, the bill would impose a state-mandated local program.

Sponsors

“Support” is shown only as formal sponsorship recorded by the legislature. Roll-call votes are available on the official bill page.

Recent official actions

1. September 10, 2025From committee chair, with author's amendments: Amend, and re-refer to committee. Read second time, amended, and re-referred to Com. on B. & F. R.
2. September 10, 2025Senate Rule 29.3(b) suspended. (Ayes 30. Noes 9. Page 2839.)
3. June 30, 2025In committee: Hearing postponed by committee.
4. June 25, 2025In committee: Hearing postponed by committee.
5. June 23, 2025Joint Rule 62(a) suspended. (Ayes 27. Noes 9. Page 1703.)
6. April 2, 2025Referred to Com. on B. & F. R.
7. March 20, 2025In Senate. Read first time. To Com. on RLS. for assignment.
8. March 20, 2025Read third time. Passed. Ordered to the Senate. (Ayes 53. Noes 17. Page 735.)
9. March 18, 2025Read second time. Ordered to third reading.
10. March 17, 2025(Ayes 53. Noes 17. Page 643.)
11. March 17, 2025Ordered to second reading.
12. March 17, 2025Withdrawn from committee.