California Governor Gavin Newsom has signed a new law that changes the state’s environmental protection rules to help address its housing shortage and homelessness crisis. The move updates the California Environmental Quality Act, or CEQA, a law from the 1970s that requires careful review of how new developments affect the environment.
Newsom pushed for this change by making it clear he would not approve the state budget unless the law was overhauled. He and housing advocates believe that while CEQA had good intentions, it has created red tape that slows down housing construction in a state where building more homes is urgently needed.
Some environmental groups opposed the bill, but lawmakers passed it anyway. After signing it, Newsom said the issue was too important to let the old process continue for another generation. Earlier this year, he already made some exceptions to CEQA rules for wildfire victims in Southern California, which opened the door to rethinking the law more broadly.
This change comes as California also faces budget challenges. The new state budget, which passed recently, cuts back on several progressive initiatives, including plans to expand health care for low-income immigrant adults without legal status, in order to close a $12 billion deficit.
The new law aims to speed up the building of homes by reducing some of the bureaucratic hurdles in CEQA, something Newsom sees as a crucial step to making housing more affordable for Californians.