In a published opinion, Preserve Poway v. City of Poway, 2016 Cal. App. LEXIS 177, the Fourth Appellate District upheld a mitigated negative declaration (MND) for a project that proposed to close the Stock Farm, a privately-owned horse boarding and training facility, and subdivide the site into twelve one-acre residential lots, a legally permissible use for the property.
The potential loss of the Stock Farm drew the ire of the community, especially members of the Poway Valley Riders Association (PVRA), which operated rodeo and polo grounds across the street from Stock Farm. If the project was approved, members would no longer be able to conveniently keep their horses near the PVRA facility. Because of this, PVRA contended that Poway’s “City in the Country” character would be harmed by the closing of this “long-standing community resource,” which it called “one of the Poway’s finest assets.” Interestingly, PVRA has the acreage to board horses on its property but had declined to do so in the past due to perceived liability issues associated with boarding horses.
After the City Council unanimously approved the MND, project opponents formed Preserve Poway and filed suit alleging that an environmental impact report (EIR) was required under CEQA for numerous reasons. After dismissing most of the arguments due to Preserve Poway’s failure to exhaust, the trial court agreed that an EIR was necessary because there was substantial evidence that the closing of the Stock Farm may have a significant impact on community character.
On appeal, the Fourth District disagreed, finding that there was no evidence that the project violated any land use regulations or would have any significant aesthetic impacts given that there was other similar residential areas nearby. Rather, the community character issue raised here concerned the local youth’s access to horse riding and the additional transportation time it would take to bring horses to the PVRA site. According to the court, these impacts were social and psychological, not environmental. Therefore, whether to approve the project was “a political and policy decision entrusted to Poway’s elected officials” and not “an environmental issue for courts under CEQA.”
Importantly, this case also represents the first published appellate decision to address the Supreme Court’s recent holding in California Building Industry Association v. Bay Area Air Quality Management District (2015) 62 Cal.4th 369. In a brief discussion, the court rejected an argument that the existing horses, trucks, and horse trailers on the road could have a negative impact on the future residents of the project. The court held that this issue was outside the scope of CEQA after the Supreme Court’s decision because it concerned the impact of the existing environmental conditions on a proposed project’s future users or residents.
Finally, the court rejected Preserve Poway’s remaining arguments about the inadequacy of the MND because Preserve Poway had not appealed from the trial court’s judgment, thus forfeiting its right to bring these arguments before the appellate court.
A project’s social and psychological impact on community character need not be analyzed during an environmental review under CEQA. Any issues associated with these impacts are policy issues that should be decided during the political process. While the court here seemed to imply that community character should be discussed only in relation to aesthetic impacts, we note that a land use plan could contain policies on preserving community character and that the environmental review would need to consider whether the project was consistent with those policies.