For City Council Meeting September 10, 2024
TO: Honorable Mayor and City Council
FROM: G. Michael Milhiser, Interim City Manager
AUTHOR: Tanya Williams, Assistant City Manager
Title
Request City Council to Approve a Letter Requesting Governor Newsom to Veto Assembly Bill 98.
Body
RECOMMENDATION
Staff recommends that the City Council Approve a Letter Requesting Governor Newsom to Veto Assembly Bill 98.
BACKGROUND
Assembly Bill 98 (Carillo, Juan, Reyes) is a Planning and Zoning Law that sets forth various requirements relating to the review of development project permit applications and the issuance of development permits for specified classes of development projects. This bill, beginning January 1, 2026, would prescribe various statewide warehouse design and build standards for any proposed new or expanded logistics use developments, as specified, including, among other things, standards for building design and location, parking, truck loading bays, landscaping buffers, entry gates, and signage. The bill would except from those design and build standards certain existing logistics use developments, proposed expansions of a logistics use development, and property currently in a local entitlement process to become a logistics use, under prescribed conditions. The bill would require a facility operator, prior to the issuance of a certificate of occupancy, to establish and submit for approval by a city, county, or city and county a truck routing plan to and from the state highway system based on the latest truck route map of the city, county, or city and county, as prescribed. The bill would require a facility operator to enforce the plan. The bill would provide for the revision of the plan in specified circumstances.
AB 98 passed through both houses at the very end of the legislative session in August of 2024. Currently, the bill is waiting for the Governor to either authorize or veto the bill. The deadline is September 30th.
The City of Rialto has previously opposed similar warehouse measures that threaten local control that were proposed earlier in the legislative session, including AB 1000.
ANALYSIS/DISCUSSION
AB 98 was introduced for the first time in the final days of the legislative session after months of private closed-door negotiations, which excluded city and county associations and other key stakeholders. While the bill intentions are aimed at addressing air quality-related concerns adjacent to warehouse operations, this problematic gut-and-amend includes stringent requirements that will severely impact the ability for local jurisdictions to site based on unique geographic and community characteristics, and stifles economic and workforce development in their communities.
The Bill would do the following:
• The bill would limit new or expanded logistics use developments and warehouses on existing and rezoned industrial sites within 900 feet of sensitive receptors (including homes, hospitals, schools, and public recreational areas) by requiring a 300-to-500-foot setback, 50-to-100-foot buffer zones, and required trucking routes.
• The bill would also require all local governments to update their circulation elements to include truck routes, signage, parking, and idling, and would authorize the Attorney General to fine local jurisdictions $50,000 every six months if they are not in compliance.
• The bill imposes specific air quality monitoring requirements within San Bernardino and Riverside Counties, which includes the City of Rialto.
The City of Rialto has worked closely with a working group coordinated through Cal Cities to monitor the development of this legislation. Through this effort, a number of cities have expressed concerns relating to the negotiation tactics utilized in the formation of this bill as well as the uneven playing field that this legislation creates.
Staff is recommending that the City Council approve a letter of opposition to submit to Governor Newsom’s office
ENVIRONMENTAL IMPACT
The request is not a Project as defined by Section 15378 of the California Environmental Quality Act (CEQA).
GENERAL PLAN CONSISTENCY
Complies with the following Rialto General Plan Guiding Principle:
Our government will lead by example, and will operate in an open, transparent, and responsive manner that meets the needs of the citizens and is a good place to do business.
LEGAL REVIEW
The City Attorney's Office has reviewed the staff report.
FINANCIAL IMPACT
Operating Budget Impact
There is no impact on the operating budget through this action.
Capital Improvement Budget Impact
There is no impact on the Capital Improvement Budget through this action.