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Assn. of Irritated Residents v. Kern County Board etc.
F073892
| Cal. Ct. App. | Nov 21, 2017
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Background

  • Kern County certified an EIR and approved Alon USA’s Bakersfield Refinery Crude Flexibility Project to add on-site rail unloading (two unit trains/day; up to 150,000 barrels/day unloaded; refinery processing capacity remains 70,000 bpd). Draft NOP issued Sept. 19, 2013; final EIR certified Sept. 2014; petition filed Oct. 2014.
  • Plaintiffs (environmental groups) claimed CEQA violations: improper baseline (used 2007 operational data rather than conditions at NOP), improper treatment of greenhouse gas (GHG) significance via cap‑and‑trade, understating rail-transport risks (hazmat release probability), and unlawfully declining to analyze off‑site/mainline rail impacts due to asserted federal preemption.
  • EIR used 2007 throughput data (60,389 bpd) as the “operating refinery” baseline although refinery operations had fluctuated and had been shut down in 2009–2010; County stated it adjusted 2013 conditions to reflect operating status using 2007 data.
  • For GHGs, the EIR quantified project emissions, then applied compliance instruments (allowances/offsets under California cap‑and‑trade) and other reductions (e.g., displaced truck trips) to conclude impacts were less than significant.
  • For rail safety, the EIR misused FRA data: it labeled/used the 10‑year total “accidents/incidents” figure as the number of “train accidents,” producing an underestimated probability (0.22%) that a train accident would cause a hazardous‑materials release; correct data produce ~1.13% per accident and a release ~once every 29–30 years (rather than 150).

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Baseline for air‑quality impacts County improperly deviated from Guidelines §15125(a) by using 2007 operational throughput instead of conditions at the NOP (2013); deviation understates impacts. County argues history of fluctuating operations made a 2007 operating year a realistic, conservative measure supported by evidence and prior CEQA reviews. Court: upheld County’s baseline choice. Substantial evidence supports using 2007 as a realistic measure of existing operating conditions; Communities for a Better Environment permits such measurement where operations fluctuate.
GHG significance & cap‑and‑trade Cap‑and‑trade allowances authorize emissions and do not reduce molecules emitted; EIR’s use of allowances to show net reductions is legally erroneous/misleading. County: Guidelines §15064.4(b)(3) directs consideration of compliance with statewide regulations (including cap‑and‑trade); compliance may support a less‑than‑significant finding. Court: EIR disclosure not misleading in context; cap‑and‑trade qualifies as regulations implementing a statewide plan and County permissibly relied on project compliance (including surrender of compliance instruments) as part of the significance determination.
Rail safety probability calculation EIR misused FRA data (used total accidents/incidents as train accidents), thus understating hazardous‑materials release risk and violating CEQA disclosure/analysis duties. County: contends methodological choice or alternative interpretation; argues record contains the statistics and commenters were on notice. Court: factual error established. EIR mislabelled FRA figures; error understates release risk about fivefold. This was prejudicial and must be corrected.
Federal preemption and off‑site/mainline rail impacts ICCTA does not categorically preempt CEQA disclosure/analysis of reasonably foreseeable indirect environmental effects of mainline rail movements; County erred by omitting off‑site pollutant analysis and claiming blanket preemption. County: contends ICCTA preempts mitigation/regulation of mainline rail operations and thus limited CEQA’s reach; also argues disclosure/analysis occurred. Court: legal error. ICCTA does not categorically bar CEQA disclosure/analysis of indirect effects; some mitigation measures may be preempted on as‑applied grounds, but County must analyze off‑site/mainline impacts and only then determine feasibility/preemption of particular mitigations.

Key Cases Cited

  • Communities for a Better Environment v. South Coast Air Quality Management Dist., 48 Cal.4th 310 (California Supreme Court 2010) (baseline must ordinarily reflect actual existing conditions, not hypothetical permitted maxima)
  • Neighbors for Smart Rail v. Exposition Metro Line Construction Authority, 57 Cal.4th 439 (California Supreme Court 2013) (future‑conditions baseline rules; stricter scrutiny for using hypothetical future conditions)
  • Center for Biological Diversity v. Department of Fish & Wildlife, 62 Cal.4th 204 (California Supreme Court 2015) (challenges in assessing project GHG significance; role of cumulative/global analysis)
  • Friends of Eel River v. North Coast Railroad Authority, 3 Cal.5th 677 (California Supreme Court 2017) (ICCTA preemption framework; categorical vs. as‑applied preemption and implications for CEQA)
  • Cleveland National Forest Foundation v. San Diego Association of Governments, 3 Cal.5th 497 (California Supreme Court 2017) (discussion of state GHG regulatory scheme and CEQA guidance)
Read the full case

Case Details

Case Name: Assn. of Irritated Residents v. Kern County Board etc.
Court Name: California Court of Appeal
Date Published: Nov 21, 2017
Docket Number: F073892
Court Abbreviation: Cal. Ct. App.