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Do you have any tips for real estate industry participants regarding the environmental regulatory changes underway at the federal level?

JENNIFER JEFFERS, NATURAL RESOURCES AND LAND USE SENIOR COUNSEL

“Recent federal actions limiting the Council on Environmental Quality’s (CEQ) authority under the National Environmental Policy Act (NEPA) have created an uncertain regulatory landscape, with less clarity on how agencies will interpret and apply NEPA moving forward. While existing regulations likely remain largely in place for projects currently under review, developers should anticipate potential permitting delays, build flexibility into project timelines and budgets, and stay closely engaged with permitting agencies and legal counsel as NEPA compliance continues to evolve.” 

 

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AMARVEER BRAR, LAND USE ASSOCIATE

“Although recent federal actions may lead to significant changes in how NEPA is implemented and interpreted, developers in California should be cognizant of how the changes at the federal level could impact dual jurisdiction projects that are subject to review under joint review under NEPA and the California Environmental Quality Act (CEQA). One can anticipate state agencies taking a hard look at joint CEQA/NEPA documents to ensure that a project’s environmental review still satisfies CEQA requirements, especially where federal policies and interpretations differ from those at the state level.” 

 

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STUART BLOCK, ENVIRONMENTAL PARTNER

“The current administration is working on ways to undo many state and federal regulations, including environmental regulations. In an April 8 executive order, the President targeted state laws related to greenhouse gas emissions, climate, environmental justice, and ESG. Several states, including California, have vowed to fight these changes. In the near term, there will be more uncertainty for everyone as regulations are repealed and the resulting litigation works through the system. Most projects in California remain subject to state and local requirements, so for now the prudent way forward for California projects remains to follow existing regulations while keeping a close eye on key areas as things continue to shake out.”

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