Berkeley Hills Watershed Coal. v. City of Berkeley
Berkeley Hills Watershed Coal. v. City of Berkeley
Opinion of the Court
*885Defendant City of Berkeley (City) approved the construction of three new single-family homes on adjacent parcels in the Berkeley Hills. Plaintiffs filed a petition for writ of mandate in the superior court opposing the approval because (1) the proposed construction was subject to the "location" exception to the Class 3 exemption for "up to three single-family residences" in urbanized areas under the California Environmental Quality Act (CEQA; Pub. Resources Code,
I. BACKGROUND
Real parties in interest, Matthew Wadlund (Wadlund), Alexandra Destler Wadlund, Eric S. Schmier, individually and as the trustee of the Eric S. Schmier 2010 Living Trust, and Kenneth J. Schmier, individually and as the trustee of the Kenneth J. Schmier 2010 Separate Property Trust, are owners of three contiguous parcels *240of land on Shasta Road in Berkeley, California. In *886January 2016, Wadlund submitted separate applications for use permits to construct three new single-family homes on the parcels. The proposed development sites are located in Berkeley's R-1(H) zoning district, on steeply sloped terrain.
In connection with the permit applications, Wadlund hired Alan Kropp & Associates, Inc. (Kropp & Associates) to prepare a geotechnical and geologic hazard investigation of the proposed residences. The report noted "[t]he western portion of the site is within the Alquist-Priolo Earthquake Fault Zone (APEFZ) established by the State of California along the Hayward fault" and the "site is also located in a potential earthquake-induced landslide area mapped by the California Geologic Survey on their Seismic Hazard Mapping Act map for this area." The purpose of the investigation was "to evaluate the geotechnical and geologic conditions that exist at the site, including landsliding and fault rupture, and their potential impact on the project." The report concluded the site was suitable for the proposed residences and offered recommendations for the design and construction of the project to "minimize possible geotechnical problems."
The City retained Cotton, Shires and Associates, Inc. (Cotton/Shires) to peer review the investigation by Kropp & Associates. Cotton/Shires requested additional evaluation and further information about proposed design measures "to address slope instability concerns," noting the "[p]roposed site development is constrained by earthflow landslide material of moderate depth, soils with high expansion potential, unstable existing fill materials, and anticipated strong seismic ground shaking." After receiving two further responses and modifications from Kropp & Associates, Cotton/Shires eventually recommended approval of the permits, concluding the "geotechnical evaluations and recommended project design measures satisfactorily address State requirements for investigation and mitigation within the mapped earthquake-induced landslide hazard zone."
After holding a public hearing and receiving public comments, the zoning adjustments board (Board) approved the use permits in September 2016. The Board found the proposed projects
In January 2017, the city council denied the appeal and approved the three use permits. Plaintiffs
II. DISCUSSION
A. CEQA Findings
The City found the projects fell within the CEQA "Class 3" categorical exemption, which applies to "construction and location of limited numbers of new, small facilities or structures," including "up to three single-family residences" in "urbanized areas." (Guidelines, § 15303.) "When a project comes within a categorical exemption, no environmental review is required unless the project falls within an exception to the categorical exemption." ( Aptos Residents Assn. v. County of Santa Cruz (2018)
Plaintiffs argue the City's determination here is erroneous because the projects meet the "location" exception set forth in Guidelines, section 15300.2, subdivision (a). The Guideline provides: "Location. Classes 3, 4, 5, 6, and 11 are qualified by consideration of where the project is to be located-a project that is ordinarily insignificant in its impact on the environment may in a particularly sensitive environment be significant. Therefore, these classes are considered to apply in all instances, except where the project may impact on an environmental resource of hazardous or critical concern where designated, precisely mapped, and officially adopted pursuant to law by federal, state, or local agencies." (Guidelines, § 15300.2, subd. (a).)
1. Standard of Review
Until relatively recently, the standard of review applicable to the three general exceptions to categorical exemptions set forth under Guidelines, section 15300.2, subdivisions (a) through (c) was a subject of disagreement among the appellate courts.
As our Supreme Court explained, "Section 21168.5 provides the standard of review in all ... actions 'to attack, review, set aside, void or annul a determination, finding, or decision of a public agency on the grounds of noncompliance with [CEQA].' ... Under it, a court's inquiry is 'whether there was a prejudicial abuse of discretion. Abuse of discretion is established if the agency has not proceeded in a manner required by law or if the *889determination or decision is not supported by substantial evidence.' [Citation.] Thus, reversal of the City's action here is appropriate only if (a) the City, in finding the proposed project categorically exempt, did not proceed in the manner required by law, or (b) substantial evidence fails to support that finding." ( Berkeley Hillside I, supra , 60 Cal.4th at p. 1110,
Berkeley Hillside I held a bifurcated approach applies to an agency's determination with respect to the unusual circumstances exception. ( Berkeley Hillside I, supra , 60 Cal.4th at pp. 1114-1115,
In further elucidating these standards, the Supreme Court explained, "[w]hether a particular project presents circumstances that are unusual for projects in an exempt class is an essentially factual inquiry," and accordingly, "a reviewing court should apply the traditional substantial evidence standard" to that prong. ( Berkeley Hillside I, supra , 60 Cal.4th at p. 1114,
As to the second part of the unusual circumstances exception, "whether there is 'a reasonable possibility' that an unusual circumstance will produce 'a significant effect on the environment' (Guidelines, § 15300.2, subd. (c) ), a different approach is appropriate, both by the agency making the determination and by the reviewing courts." ( Berkeley Hillside I, supra , 60 Cal.4th at p. 1115,
*890We conclude the same bifurcated standard of review is applicable to the location exception. (See Aptos Residents, supra, 20 Cal.App.5th at p. 1048,
2. Location Exception
Plaintiffs contend the projects in this case are subject to the location exception because the geotechnical report prepared in connection with the use permits stated the projects were located "within the Alquist-Priolo Earthquake Fault Zone (APEFZ) established by the State of California along the Hayward fault" and in a "potential earthquake-induced landslide area mapped by the California Geologic Survey on their Seismic Hazard Mapping Act map for this area."
*244Generally, we apply the same rules governing interpretation of statutes to the interpretation of administrative regulations. ( Berkeley Hillside I, supra , 60 Cal.4th at p. 1097,
Employing those principles here, the language of the statute indicates it is the "environmental resource" which must be "designated, precisely mapped, and officially adopted pursuant to law." (Guidelines, § 15300.2, subd. (a).) But the statutes cited by plaintiffs map the physical locations of potential earthquakes and landslides. The plain meaning of "environmental resource " in the location exception does not encompass possible earthquake or landslide zones. A "resource" is a "natural source of wealth or revenue," or a "natural feature or phenomenon that enhances the quality of human life." (Merriam-Webster's Collegiate Dict. (11th ed. 2014) p. 1061.) Earthquakes and landslides are geologic events-and while they are indeed hazardous, they are not "resources." Thus, giving meaning to the phrase "environmental resource," we cannot conclude the location exception was intended to cover all areas subject to such potential natural disasters as a matter of law.
Though the language of the Guideline is clear and unambiguous, our interpretation is further supported by the stated purposes of the hazard mapping and zoning acts identified in the geotechnical report. As the trial court observed, the Seismic Hazards Mapping Act was enacted to prevent "economic losses" and "to protect public health and safety," not to identify the location of "environmental resource[s]." (§ 2691.) Specifically, the Legislature found and declared: "(a) The effects of strong ground shaking, liquefaction, landslides, or other ground failure account for approximately 95 percent of economic losses caused by an earthquake. [¶] (b) Areas subject to these processes during an earthquake have not been identified or mapped statewide, despite the fact that scientific techniques are available to do so. [¶] (c) It is necessary to identify and map seismic hazard zones in order for cities and counties to adequately prepare the safety element of their general plans and to encourage land use management policies and regulations to reduce and mitigate those hazards to protect public health and safety ." (Ibid. , italics added; § 2692 [statute further intends to provide mapping and technical advisory program to assist cities and counties in protecting public health and safety risks arising from earthquakes and landslides].) Similarly, the APEFZ was enacted to "provide policies and criteria ... to prohibit the location of ... structures for human occupancy across the trace of active faults" and to "provide the citizens of the state with increased safety and to minimize the loss of life during and immediately following earthquakes ...." (§ 2621.5, *892subd. (a).) *245Looking to the purposes of the statutory schemes, the fact that the project site falls within mapped areas reflects governmental concern about damage to property and loss of human lives, not protection of a sensitive environmental resource.
Our interpretation is also supported by the purposes of CEQA. ( California Building Industry Assn. v. Bay Area Air Quality Management Dist. (2015)
Having concluded the location exception is not applicable based solely on the "undisputed" fact the project is located in a potential earthquake and landslide zone, we consider whether the City's determination that "the *893site is not located in an environmentally sensitive area" is otherwise supported by substantial evidence in the record. We have little trouble doing so.
As noted earlier, plaintiffs bore the burden of demonstrating the location exception applied here. Plaintiffs argue "the geotechnical reports show the project presents a serious risk of activating or exacerbating an existing landslide on the property," but the record citations they *246provide do not discuss any environmental resources on the project site that would be exposed to harm as a result. As described earlier, the geotechnical report by Kropp & Associates was prepared to "evaluate the geotechnical and geologic conditions that exist at the site, including landsliding and fault rupture, and their potential impact on the project ." (Italics added.) The report noted a "small, localized landslide" may have an impact "on the middle lot building area and the central section of the new access driveway," and provides suggestions for removing and controlling the landslide. It also observes, "All owners or occupants of homes on hillsides should realize that landslide movements are always a possibility, although generally the likelihood is very low that such an event will occur." The peer review conducted by Cotton/Shires focused on the importance of mitigation measures to "reduce the risk of ground failure during an earthquake to a level that does not cause the collapse of buildings," but plaintiffs cite no language in the geotechnical reports that suggests the projects pose a risk of harm to the environmental resources on the sites, as opposed to people or buildings. Nor did plaintiffs submit their own geotechnical assessment, or any other evidence, to demonstrate the presence of "an environmental resource of hazardous or critical concern."
Plaintiffs also argue, for the first time on appeal, that the landslide risk is not only about the impact on the project's own residents, but about potential impacts of activating a landslide on the community of protected coast live oak trees on the parcels. Plaintiffs failed to raise this issue during the administrative process, and thus have failed to exhaust their administrative *894remedies. (§ 21177, subd. (a); Sierra Club v. City of Orange (2008)
Finally, plaintiffs argue the trial court's interpretation of the location exception is inconsistent with section 21159.21, subdivision (h)(4) and (5), which set forth exceptions to a specific statutory exemption for housing projects located in seismic and landslide hazard areas. That section provides projects qualify for CEQA exemption if they are not subject to "(4) ... a delineated earthquake fault zone ... or a seismic hazard zone .... [or] [¶] (5) Landslide hazard ... zone ...." (§ 21159.21, *247subd. (h)(4) & (5).) Plaintiffs contend these specific exceptions "provide further evidence of the legislature's intent that projects in seismic and landslide hazard areas ... cannot be exempted from review under CEQA." To the contrary, however, the fact that the Legislature provided a specific exception for housing projects located in seismic and landslide areas but did not do the same for projects in Class 3, suggests it did not intend Class 3 projects to be subject to the same requirements. As our Supreme Court explained in California Building Industry Assn ., "these statutes [ (including § 21159.21, subd. (h) ) ] constitute specific exceptions to CEQA's general rule requiring consideration only of a project's effect on the environment, not the environment's effects on project users. Accordingly, we cannot, as the [Bay Area Air Quality Management District] urges, extrapolate from these statutes an overarching, general requirement that an agency analyze existing environmental conditions whenever they pose a risk to the future residents or users of a project." ( California Building Industry Assn., supra , 62 Cal.4th at p. 392,
Because we conclude the City's determination the project is not in an environmentally sensitive area is supported by substantial evidence, we need not reach the second prong of the location exception inquiry-whether substantial evidence supports a "fair argument" that the project "may impact" the mapped resource. (See, e.g., Berkeley Hillside II, supra, 241 Cal.App.4th at p. 958,
B. Mini-dorm Ordinance
Plaintiffs claim the City abused its discretion by misinterpreting and misapplying Berkeley Municipal Code section 23D.16.050 in approving the projects. Berkeley Municipal Code section 23D.16.050 (Ordinance No. 7306-NS) provides: "For the addition of a fifth bedroom to a parcel, an Administrative Use Permit (AUP) shall be required. For the addition of any bedroom beyond the fifth, a Use Permit with Public Hearing (UPPH) shall be required." Plaintiffs argue because each of the proposed three houses have more than four bedrooms, the City was required to either issue an administrative use permit (AUP) or use permit with public hearing (UPPH) under Berkeley Municipal Code section 23D.16.050, or make specific findings of nondetriment regarding the number of bedrooms under section 23B.32.040 of the zoning ordinance. The City argued below, and argues on appeal, that because new construction already requires a use permit, requiring a second, separate permit for buildings with more than five bedrooms would be redundant.
*248At the city council hearing, City Planning Director Carol Johnson explained the AUP and UPPH requirements for buildings with more than four bedrooms do not apply to new construction, but only modifications of existing dwellings. That interpretation was supported by an opinion letter prepared by former City Attorney Zach Cowan, in response to a request from the former planning director. Cowan's letter explained Ordinance No. 7306-NS was adopted in July 2013 to address community concerns regarding the creation of "Mini-dorms," that result from the "addition of bedrooms to parcels," "which have negative impacts to the surrounding neighborhoods." The purpose of the ordinance was "to gain discretion over the creation of new Mini-dorms via the addition of bedrooms to existing buildings, which in many cases could otherwise be done without discretionary review." Opining that the ordinance did not apply to new construction, Cowan's letter observed, "Since construction of new dwelling units requires a Use Permit already, this purpose is already served by pre-existing zoning requirements, which require the same non-detriment finding as Ordinance No. 7,306-N.S."
The letter also explained the reference to "parcels" in the ordinance was intended to apply to the " 'addition' of bedrooms," not new construction. "The Planning Commission report states that the question under consideration *896was '[w]hether to link the addition of bedrooms to a unit, building or parcel. The Commission recommends that the bedroom addition regulations apply to each parcel.' In other words, the Planning Commission recommended that the ordinance be as broadly applicable as possible, i.e., any time a bedroom was added on a parcel that already had four or more bedrooms on it, regardless of the number of bedrooms in the specific building to which it was added." The letter concluded interpreting the ordinance "as applying to new construction of buildings with five or more bedrooms would be contrary to the legislative intent that led to its enactment, and would read it as redundant to pre-existing zoning provisions."
In interpreting municipal ordinances, we exercise our independent judgment as we would when construing a statute. ( Harrington v. City of Davis (2017)
In this case, it is appropriate to give the city attorney's opinion substantial deference because the "Mini-dorm ordinance" is intertwined with issues of "fact, policy, and discretion" regarding zoning requirements and impacts to neighborhoods and the local community. Moreover, *249the City is familiar with the rationale for the ordinance, is responsible for its implementation, and has special knowledge about the "practical implications" of possible interpretations.
Examining the plain meaning of the words used in the ordinance, an AUP or a UPPH is required for the "addition of a fifth bedroom to a parcel." The words "addition" and "fifth bedroom" imply the preexistence of four bedrooms on a parcel. The trial court thus correctly determined "[t]he plain meaning of 'addition' is that the bedroom must be added to an existing structure."
Further, contrary to plaintiffs' argument, the definition of "Addition" in the zoning ordinance supports the City's interpretation. An "Addition" is the "The creation of any new portion of a building which results in a vertical or horizontal extension of the building, or results in any new gross floor area that was not present in the building prior to construction of the addition." (Berkeley Mun. Code, § 23F.04.010.) The "creation of any new portion of a building" implies a building is already existing. That the Mini-dorm ordinance says the addition of a fifth bedroom is to "a parcel" does not defeat that interpretation. It simply means the ordinance will apply broadly to include any addition to an existing building on a parcel if the addition will result in more than four bedrooms on the parcel, regardless of the number or type of existing structures.
We also agree with the City this interpretation is consistent with the apparent intent of the ordinance. In articulating the rationale for the proposed ordinance, a 2013 report from the city manager and the director of planning and development to the city council explained the "addition of bedrooms to *898parcels increases the possibility that residential units could be turned into Mini-dorms" and noted "[i]ncreased *250levels of discretion for the addition of bedrooms to parcels ... should address the concerns voiced by the community ...." These statements support the city attorney's explanation that the ordinance was passed to provide for discretionary review of such mini-dorms being created from the addition of bedrooms to already existing buildings, changes which otherwise might escape review by planning authorities. Because the City's interpretation of its own ordinance is supported by both the plain language of the regulation and the apparent legislative purpose, we reject plaintiffs' claim.
C.-D.
III. DISPOSITION
The judgment is affirmed. Respondents shall recover their costs on appeal.
We concur:
Banke, J.
Kelly, J.
All undesignated statutory references are the Public Resources Code unless otherwise specified.
The parties apparently disagree whether the City treated the three applications for use permits as one project or three separate projects, but neither party discusses how the issue affects our resolution of the issues raised in this appeal. Because there were three separate applications, three separate sets of findings and conditions, and three separate use permit approvals, we will refer to "projects" rather than a single "project" in this opinion.
Subsequent references to "Guidelines" are to the CEQA guidelines found in title 14 of the California Code of Regulations, section 15000 et seq.
Plaintiffs are Berkeley Hills Watershed Coalition and Center for Environmental Structure. Berkeley Hills Watershed Coalition is a nonprofit association formed by a group of the neighbors who opposed approval of the projects. Center for Environmental Structure is a nonprofit corporation "dedicated to the shaping of our living environment so that it becomes deeply comfortable, beautiful and supportive for all human beings."
The general exceptions are the unusual circumstances exception, the location exception, and the cumulative impacts exception. (See Guidelines, § 15300.2, subds. (a)-(c); Hines v. California Coastal Com. (2010)
The unusual circumstances exception provides: "A categorical exemption shall not be used for an activity where there is a reasonable possibility that the activity will have a significant effect on the environment due to unusual circumstances." (Guidelines, § 15300.2, subd. (c).) As noted above, plaintiffs asserted in the trial court that the projects at issue here fall within the unusual circumstances exception, but they have abandoned that argument on appeal.
The trial court noted the project was not located in the mapped Alquist-Priolo Earthquake Fault Zone (APEFZ). The geotechnical report states, however, that the "western portion of the site is within the [APEFZ]." Other sections of the report explain "[o]nly the extreme front portion of the parcel is within the APEFZ," and the "proposed home sites will all be located outside the APEFZ." The report also explains no active traces of the Hayward fault run through the site. Because the record reflects at least some portion of the site is in the APEFZ, however, we consider whether that fact renders the location exception applicable.
Plaintiffs argue California Building Industry Assn. supports application of the location exception because it held agencies are required to evaluate a project's potential exacerbating effect on existing environmental conditions. (California Building Industry Assn., supra , 62 Cal.4th at p. 377,
We likewise reject any argument the project cannot be exempt because it relies on mitigation measures. Though " '[t]he distinction between elements of a project and measures designed to mitigate the impacts of the project may not always be clear,' " measures taken to comply with building codes or to address " 'common and typical concerns' " during construction projects do not preclude Class 3 exemption. (Berkeley Hillside Preservation v. City of Berkeley (2015)
Plaintiffs argue we should not defer to the City's interpretation of its own ordinance because after the City adopted the ordinance, it applied it to "new construction" when it approved use permits for two new construction projects in 2014 and 2016, both of which contain specific findings pursuant to Berkeley Municipal Code section 23D.16.050 justifying the construction of more than four bedrooms. Plaintiffs contend such findings are "powerful evidence" the City originally intended the ordinance to cover new construction and its recent change of interpretation is inconsistent with that intent. (See Yamaha, supra, 19 Cal.4th at pp. 7-8, 12, 13,
Plaintiffs also argue the City was required "to specifically address the prohibition on new dwellings with more than four bedrooms," either with a specific use permit under Berkeley Municipal Code section 23D.16.050 or by specific findings under section 23B.32.040. But plaintiffs do not point to any language in Berkeley Municipal Code section 23B.32.040 that either prohibits construction of new dwellings with more than four bedrooms or requires specific findings of nondetriment regarding the number of bedrooms exceeding four. (See Berkeley Mun. Code, § 23B.32.040.A ["The Board may approve an application for a Use Permit ... only upon finding that the ... construction of a building, structure or addition thereto, under the circumstances of the particular case existing at the time at which the application is granted, will not be detrimental to the health, safety, peace, morals, comfort or general welfare of persons residing or working in the area or neighborhood of such proposed use ...."].) We likewise reject plaintiffs' argument that the mini-dorm ordinance would only be "redundant" for new construction if the City was required to make such findings. The mini-dorm ordinance was enacted, as explained, to provide for discretionary review of projects that would otherwise escape review. For reasons explained above, we conclude Berkeley Municipal Code section 23D.16.050 does not apply to the proposed projects in this case.
See footnote *, ante .
Judge of the Superior Court of the City and County of San Francisco, assigned by the Chief Justice pursuant to article VI, section 6 of the California Constitution.
Case-law data current through December 31, 2025. Source: CourtListener bulk data.