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Citizens for Ceres v. City of Ceres
206 Cal. Rptr. 3d 918
Cal. Ct. App.
2016
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Background

  • City of Ceres certified an EIR and approved a shopping-center redevelopment anchored by a new Walmart Supercenter that would replace an existing Walmart.
  • Citizens for Ceres filed a CEQA writ petition challenging the EIR on multiple grounds (urban decay mitigation, landfill/recycling impacts, air-pollution health analysis, and adequacy of the statement of overriding considerations); trial court denied relief and judgment was entered for the city and Walmart.
  • While litigation proceeded, dispute arose about privileged communications between city and Walmart; this court earlier held many privilege claims waived (Citizens for Ceres I).
  • Walmart reimbursed the city $48,889.71 for outside-counsel preparation of the administrative record; after prevailing, Walmart sought to recover that amount in a costs memorandum; Citizens moved to tax costs and the trial court struck the administrative-record cost based on Hayward Area Planning.
  • This appeal: the court affirmed the denial of Citizens’ CEQA challenges on the merits, but reversed the trial court’s taxation of costs and held Walmart may seek recovery of administrative-record preparation costs (subject to reasonableness review on remand).

Issues

Issue Plaintiff's Argument Defendant's Argument Held
1. Urban-decay mitigation sufficiency EIR failed to mandate adequate mitigation for urban decay from project EIR’s mitigation and analysis were adequate Court rejected Citizens; affirmed EIR on this claim
2. Landfill/recycling impacts analysis/mitigation EIR insufficiently analyzed and mitigated landfill and recycling impacts EIR adequately analyzed and imposed appropriate mitigation Court rejected Citizens; affirmed EIR on this claim
3. Air-pollution impact → human-health correlation EIR lacked adequate information linking pollution impacts to health effects EIR’s analysis satisfied CEQA disclosure requirements Court rejected Citizens; affirmed EIR on this claim
4. Statement of overriding considerations support Statement lacked substantial evidence to justify overriding significant impacts Substantial evidence supported the statement of overriding considerations Court rejected Citizens; affirmed EIR and statement
5. Recoverability of administrative-record preparation costs Real party in interest (Walmart) cannot recover costs paid to the agency for preparing the record when agency prepared it (relying on Hayward Area Planning) Prevailing real party that reimbursed the agency may recover costs under CCP 1032/1033.5 so long as record was prepared by a statutorily authorized method; trial court should review reasonableness Court rejected Hayward Area Planning’s categorical bar; held Walmart may seek recovery; remanded for reasonableness determination

Key Cases Cited

  • Hayward Area Planning Assn. v. City of Hayward, 128 Cal.App.4th 176 (court limited who may recover administrative-record costs; discussed agency incentives to control costs)
  • Citizens for Ceres v. Superior Court, 217 Cal.App.4th 889 (prior appellate opinion holding privilege waiver for communications between city and Walmart)
  • City of West Hollywood v. Beverly Towers, Inc., 52 Cal.3d 1184 (background on vesting tentative subdivision map)
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Case Details

Case Name: Citizens for Ceres v. City of Ceres
Court Name: California Court of Appeal
Date Published: Sep 12, 2016
Citation: 206 Cal. Rptr. 3d 918
Docket Number: No. F070988; No. F071600
Court Abbreviation: Cal. Ct. App.