Yesterday, California voters rejected Proposition 45, a ballot initiative that would have streamlined environmental approvals for housing projects.
The measure would have required environmental impact reports to be completed within 365 business days and capped lawsuits at 270 calendar days, a change that would have reduced development costs and helped address the housing shortage. The proposal also raised concerns about potential weakening of environmental protections and increased sprawl.
Following the defeat, attention is shifting to other policy options, such as expanding existing exemptions from the California Environmental Quality Act, permitting denser infill development, and imposing statutory deadlines for environmental reviews and litigation.