Legislation to Balance CEQA Reforms with Environmental and Worker Protections Passes Legislature, Goes to…

Guardrails for advanced manufacturing would help protect the public from chemical leaks, like the one in Garden Grove in May that triggered evacuations

SACRAMENTO – The Legislature on Friday passed legislation by Sen. Catherine S. Blakespear, D-Encinitas, to rein in exemptions to the California Environmental Quality Act (CEQA) to better protect the environment and workers. The bill now goes to the Governor to sign.

The bill, SB 954, includes safeguards called for by a dozen Senators and 20 Assemblymembers in response to SB 131, legislation passed and signed into law last year that provides a CEQA exemption for nearly all manufacturing facilities, among other changes. The potential environmental danger of advanced manufacturing facilities was illustrated in May, when a chemical leak at an aerospace company forced the evacuation of 50,000 residents of Garden Grove.

"The Garden Grove chemical leak was an important reminder of why CEQA and environmental regulations matter – the public and the environment must be protected,” Sen. Blakespear said. “SB 954 ensures that when new industrial and manufacturing facilities are built, that the environment, workers and the communities living next door have the safeguards they need."

SB 131 made numerous changes to CEQA, most notably for advanced manufacturing. But the definition for advanced manufacturing encompasses a wide range of heavy industrial uses – such as chemical, plastic and pesticide manufacturing as well as strip mining – that historically have been subject to CEQA given their significant impacts on the environment and public health. California had never before offered a CEQA exemption for industries or projects that were inherently polluting.

Sen. Blakespear joined more than 30 legislators who objected to SB 131’s overly broad exemption for industries and last year signed a letter asking for cleanup legislation to correct this overreach. SB 954 makes good on that promise.

The legislation adds clear environmental guardrails to the CEQA exemption for advanced manufacturing, strengthens protections for habitat of protected species and fixes the CEQA exemption for residential daycare facilities. In addition, SB 954 excludes fuel and material extraction industries from receiving the advanced manufacturing exemption.

Polling conducted earlier this year indicates Californians are strongly supportive of SB 954’s approach. The survey, conducted by FM3 Research in March 2026, asked 600 voters on their views of CEQA and the advanced manufacturing exemption. Key findings included:

72% of California voters approve of CEQA, including 90% of Democrats, 73% of Independents, and a plurality (41%) of Republicans. Support is 66% or higher in every region of the state.
64% oppose exempting advanced manufacturing from CEQA's environmental review and public disclosure requirements, including 79% of Democrats, 64% of Independents, and a plurality of 38% of Republicans. More than half of voters strongly oppose the exemption.
85% believe it is extremely or very important to have CEQA review of development projects on a series of impacts on water quality and supply, air quality, risks of exposure to chemicals that cause cancer and birth defects, impacts on public health, and others.

To see all the polling results, go here.

SB 954 passed the Assembly on Wednesday and the Senate on concurrence by a vote of 28-10 on Friday. It goes next to the Governor for consideration.

The legislation is supported by a broad coalition of environmental and labor organizations that includes California Environmental Voters, California Federation of Labor Unions, Natural Resources Defense Council, UAW and UNITE HERE International Union.

Sen. Blakespear represents Senate District 38, which covers northern San Diego County and southern Orange County. To learn more about the district and Sen. Blakespear, visit her Senate website.

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