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IMLA Environment Section - News Roundup

GT
Gene Tanaka
Wed, May 18, 2022 4:16 PM

Dear Section Members,

The year seems to be flying by, but the news roundup remains.  Although not on topic for this group, I kept the link to an article on recent Supreme Court decisions on local sign regulations and flag policies since I thought it is interesting.

On BBKlawhttps://www.bbklaw.com/news-events/insights?p=0&c=f27c8ea4-b509-44ad-8922-2a28e7115aef:

U.S. Supreme Court Issues Two Decisions Impacting Local Sign Regulations and Flag Policieshttps://www.bbklaw.com/news-events/insights/2022/legal-alerts/05/us-supreme-court-issues-two-decisions, May 17, 2022, Municipalities throughout the country regulate signs and set policy for flag-flying on public property. Done right, these are lawful functions of local government; done wrong, they can be First Amendment landmines. Two recent U.S. Supreme Court decisions refine the map to navigate this landscape.

On Law 360https://www.law360.com/environmental/news?page=1:

EPA Chief Says Budget Boost Crucial For Agency To Keep Uphttps://www.law360.com/environmental/articles/1493733/epa-chief-says-budget-boost-crucial-for-agency-to-keep-up, May 17, 2022, The U.S. Environmental Protection Agency's leader on Tuesday told House lawmakers they should approve President Joe Biden's proposed 29% budget increase for the EPA because its staffing levels are stuck at 1980s levels that hinder its ability to do required work. EPA Administrator Michael Regan appeared before the House Subcommittee on Environment and Climate Change to answer questions about Biden's budget request and agency activities. In March, Biden floated a $5.8 trillion budget that would provide $11.9 billion to the EPA, a 29% increase over the 2021 enacted budget of $9.2 billion.

Red States Challenge Approval Of Calif. Emissions Waiverhttps://www.law360.com/environmental/articles/1493382/red-states-challenge-approval-of-calif-emissions-waiver, May 13, 2022, A group of Republican-led states on Thursday sued the U.S. Environmental Protection Agency over its decision to restore a Clean Air Act waiver to California that allows the Golden State to craft its own greenhouse gas regulations for vehicles. Ohio, Georgia, Texas, West Virginia and other states are asking the D.C. Circuit to review the EPA's approval of California's request to restore the waiver, which had been revoked during the Trump administration. Under the waiver, California is able to design GHG emissions rules for cars and trucks and establish a zero-emissions vehicle program.

On The National Law Reviewhttp://www.natlawreview.com/practice-groups/Environment-Energy-EPA:

Organizations Taking Into Account Increased Wildfire Risk Due to Climate Changehttps://www.natlawreview.com/article/organizations-taking-account-increased-wildfire-risk-due-to-climate-change, May 16, 2022, A non-profit research group, First Street Foundation, recently released data that calculates the wildfire risk for each property in the United States (excluding Alaska and Hawaii).  Notably, according to First Street Foundation, because of the impact of climate change, "the number of existing properties facing at least a 1 percent risk [of wildfire each year] will almost quadruple, to 2.5 million" in thirty years.

PFAS Products Ban Set To Hit Coloradohttps://www.natlawreview.com/article/pfas-products-ban-set-to-hit-colorado, May 13, 2022, A PFAS products ban bill now sits on the desk of the governor of Colorado, the last step before the piece of legislation becomes state law. The bill, HB 1345, would ban the use of PFAS in a variety of consumer goods, which follows in the footsteps of several other states that have enacted similar laws. Some states, such as New York and Maine, have taken broad-sweeping approaches to banning "intentionally added" PFAS from consumer goods. Other states, such as Vermont, have enacted product-specific laws banning the sale of PFAS-containing products within the state.

Department of Justice Takes Historic Action to Prioritize Environmental Justice in Enforcement: What Does it All Mean and What is Ahead?https://www.natlawreview.com/article/department-justice-takes-historic-action-to-prioritize-environmental-justice, May 12, 2022, On May 5, 2022, Attorney General Merrick Garland announced key developments that would elevate environmental justice (EJ) as a key priority for the nation's largest and most powerful enforcement agency. These historic measures include: (1) Release of the U.S. Department of Justice's (DOJ) Comprehensive Environmental Justice Enforcement Strategy ("DOJ EJ Strategy"), pursuant to Executive Order (EO) 14008 (Tackling the Climate Crisis at Home and Abroad) and developed by DOJ's Environment and Natural Resources Division (ENRD) and the U.S. Environmental Protection Agency's (EPA) Office of Enforcement and Compliance Assurance (OECA); (2) Establishment of DOJ's first Office of Environmental Justice (OEJ), led by Cynthia Ferguson - a long-time agency veteran and seasoned litigator, with decades of experience in environmental enforcement and who has convened several EJ working groups in years past; and (3) Plans to issue an Interim Final Rule to restore the agency's qualified authority to use supplemental environmental projects (SEPs) in criminal and civil settlement negotiations, which largely adopts the pre-2017 approach with some limited exceptions outlined in a related memorandum outlining anticipated guidelines and limitations.

Electric Vehicle Sales Remain A Bright Spot in Industry, Outpace Demandhttps://www.natlawreview.com/article/electric-vehicle-sales-remain-bright-spot-industry-outpace-demand, May 11, 2022, Electric vehicles are a hot topic in the auto industry, despite representing a relatively small segment of the current market.  As the sales numbers for 2022 continue to take shape, it is clear that 2022 is representing a strong growth year for the EV market, with broader recognition amongst consumers, sales bucking the down-market trends, and demand outpacing supply. Fortune termed Q1 a "blockbuster" quarter for electric vehicles. Battery-electric vehicles are continuing their climb to new heights of popularity in the U.S., with a 60% jump in registrations in Q1 of 2022.  Tesla models comprised 75% of those sales in Q1 2022, but a wider swath of automakers are starting to make inroads to the electric vehicle market, in turn accelerating the growth of the broader EV market.  In contrast to EV growth, the overall auto industry experienced a 15.3% decline in new vehicle sales during Q1.

U.S. Department of Energy Finalizes Rules to Impose Stringent Efficiency Standard on Most Lampshttps://www.natlawreview.com/article/us-department-energy-finalizes-rules-to-impose-stringent-efficiency-standard-most, May 2, 2022, The U.S. Department of Energy (DOE) has finalized new, more stringent efficiency requirements for most lightbulbs on the market. In August 2021, DOE proposed reinstating the Obama Administration's revised definitions of general service lamp (GSL), general service incandescent lamp (GSIL), and other supplemental definitions that imposed federal efficiency standards on a wide array of lamps. In December 2021, DOE proposed to apply a more stringent 45 lumens per watt (lm/W) standard to all of these lamps, a change with major implications for lamp manufacturers, distributors, and retailers across the United States. These rules are now final and will be effective, respectively, 60 and 75 days after their publication in the Federal Register. However, full enforcement will not begin until January 2023 (manufacture and import) and July 2023 (retail and distribution).

On JD Supra Business Advisor Environmental Updateshttp://www.jdsupra.com/law-news/environmental-law/:

Fundamental Reforms to Environmental Law in Vietnamhttps://www.jdsupra.com/legalnews/fundamental-reforms-to-environmental-7623605/, May 16, 2022, Spanning over 300 pages, the new environmental protection legislation includes fundamental changes in how projects are evaluated by the authorities for environmental approval, permitting mechanisms and more stringent environmental protection liabilities including requirements for extended producer responsibility to be phased in. In this note, we highlight seven themes underlying the notable changes in the new law and their anticipated impacts on doing business in Vietnam.

Recommending Federal Discharge Standards for PFAS in Aquatic Lifehttps://www.jdsupra.com/legalnews/recommending-federal-discharge-4324541/, May 13, 2022, Known as "forever" chemicals, many PFAS compounds are found in the blood of people and animals all over the world.  They also present at low levels in various food products and in the water, air, fish and soil in many areas. Many environmental advocates have called for the U.S. Environmental Protection Agency (EPA) to set enforceable federal discharge standards for PFAS under the Clean Water Act.  Currently, no such federal regulations exist.  Water utilities in various states have expressed concern that these types of regulations would leave them - and their customers - stuck with hefty bills to remove PFAS from drinking water.  Further, litigation surrounding PFAS has become prolific - including claims of personal injuries from contaminated drinking water, diminished property values based on soil contamination and costs of remediating water and soil contaminated with PFAS.  While the litigation originally centered on manufacturers of PFAS chemicals, it has expanded in recent years to include companies in the supply chain, and will only keep expanding.

Biden Administration Reinstates Supplemental Environmental Projects as Enforcement Toolhttps://www.jdsupra.com/legalnews/biden-administration-reinstates-1769179/, May 12, 2022, As part of the Biden Administration's overall strategy of enhancing environmental justice, the Department of Justice (DOJ) and Environmental Protection Agency (EPA) jointly announced last week the return (with modifications) of an old environmental enforcement tool-the Supplemental Environmental Project (SEP). Reflecting hostility to expansive use of environmental enforcement both by EPA/DOJ and through citizen suits, the Trump Administration's Justice Department issued a memorandum on June 5, 2017, to prohibit settlement provisions that called for contributions to third parties. Those contributions were typically for the purpose of carrying out SEPs, environmentally useful projects executed by the third party and paid for by the defendant to offset some of the latter's potential civil or criminal penalty risk.

EPA Puts Ethanol Back in Play to Keep Gas Prices at Bayhttps://www.jdsupra.com/legalnews/epa-puts-ethanol-back-in-play-to-keep-9180046/, May 6, 2022, On April 29, 2022, the U.S. Environmental Protection Agency officially suspended the ban on sales of gasoline blends with a higher concentration of ethanol. This suspension came two weeks after President Biden's vow to lift the ban in order to counteract the increased gas prices attributed to Russia's incursion into Ukraine. The suspension went into effect on May 1. E15, or fuel with 15% ethanol, is traditionally banned during the warmer months-June through October-in an effort to combat the production of smog. In the current socio-political environment of skyrocketing gas prices negatively affecting the U.S. economy, however, the EPA, working with the U.S. Department of Energy, determined that it would be in the public interest to permit the sale of E15 this season.

From Here to There: Challenges in meeting sustainable aviation fuel targetshttps://www.jdsupra.com/legalnews/from-here-to-there-challenges-in-1279222/, May 3, 2022, During the last several years, airlines have announced aggressive ESG targets. A significant component of many of these targets is the need for airlines to source more sustainable airline fuel and become less reliant on traditional jet fuel. As can be seen from the graph below, the supply of expected sustainable airline fuel that would be needed to achieve net zero by 2050 would require a significant increase, which represents a compelling opportunity for developers and financiers.

California Announces First Statewide Microplastics Strategyhttps://www.jdsupra.com/legalnews/california-announces-first-statewide-1164143/, May 3, 2022, On February 23, 2022, California's Ocean Protection Council (CAOPC) approved a comprehensive Statewide Microplastics Strategy in response to concerns over the potential environmental and health impacts of microplastic pollution in the marine environment. The Strategy, a first in the nation, outlines early actions and research priorities that may provide a foundation for subsequent efforts to address microplastic pollution on a statewide level. In this sense, the Strategy is not a regulatory action but, rather, a policy initiative, which, if implemented, will give rise to future regulations.

Enjoy,

Gene

[http://clients.bbklaw.net/images/logos/bbklogohires.jpg]http://www.bbklaw.com/

Gene Tanaka https://www.bbklaw.com/our-team/gene-tanaka

Partner

gene.tanaka@bbklaw.com

T: (925) 977-3301  C: (951) 334-7261

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This email and any files or attachments transmitted with it may contain privileged or otherwise confidential information. If you are not the intended recipient, or believe that you may have received this communication in error, please advise the sender via reply email and immediately delete the email you received.

Dear Section Members, The year seems to be flying by, but the news roundup remains. Although not on topic for this group, I kept the link to an article on recent Supreme Court decisions on local sign regulations and flag policies since I thought it is interesting. On BBKlaw<https://www.bbklaw.com/news-events/insights?p=0&c=f27c8ea4-b509-44ad-8922-2a28e7115aef>: U.S. Supreme Court Issues Two Decisions Impacting Local Sign Regulations and Flag Policies<https://www.bbklaw.com/news-events/insights/2022/legal-alerts/05/us-supreme-court-issues-two-decisions>, May 17, 2022, Municipalities throughout the country regulate signs and set policy for flag-flying on public property. Done right, these are lawful functions of local government; done wrong, they can be First Amendment landmines. Two recent U.S. Supreme Court decisions refine the map to navigate this landscape. On Law 360<https://www.law360.com/environmental/news?page=1>: EPA Chief Says Budget Boost Crucial For Agency To Keep Up<https://www.law360.com/environmental/articles/1493733/epa-chief-says-budget-boost-crucial-for-agency-to-keep-up>, May 17, 2022, The U.S. Environmental Protection Agency's leader on Tuesday told House lawmakers they should approve President Joe Biden's proposed 29% budget increase for the EPA because its staffing levels are stuck at 1980s levels that hinder its ability to do required work. EPA Administrator Michael Regan appeared before the House Subcommittee on Environment and Climate Change to answer questions about Biden's budget request and agency activities. In March, Biden floated a $5.8 trillion budget that would provide $11.9 billion to the EPA, a 29% increase over the 2021 enacted budget of $9.2 billion. Red States Challenge Approval Of Calif. Emissions Waiver<https://www.law360.com/environmental/articles/1493382/red-states-challenge-approval-of-calif-emissions-waiver>, May 13, 2022, A group of Republican-led states on Thursday sued the U.S. Environmental Protection Agency over its decision to restore a Clean Air Act waiver to California that allows the Golden State to craft its own greenhouse gas regulations for vehicles. Ohio, Georgia, Texas, West Virginia and other states are asking the D.C. Circuit to review the EPA's approval of California's request to restore the waiver, which had been revoked during the Trump administration. Under the waiver, California is able to design GHG emissions rules for cars and trucks and establish a zero-emissions vehicle program. On The National Law Review<http://www.natlawreview.com/practice-groups/Environment-Energy-EPA>: Organizations Taking Into Account Increased Wildfire Risk Due to Climate Change<https://www.natlawreview.com/article/organizations-taking-account-increased-wildfire-risk-due-to-climate-change>, May 16, 2022, A non-profit research group, First Street Foundation, recently released data that calculates the wildfire risk for each property in the United States (excluding Alaska and Hawaii). Notably, according to First Street Foundation, because of the impact of climate change, "the number of existing properties facing at least a 1 percent risk [of wildfire each year] will almost quadruple, to 2.5 million" in thirty years. PFAS Products Ban Set To Hit Colorado<https://www.natlawreview.com/article/pfas-products-ban-set-to-hit-colorado>, May 13, 2022, A PFAS products ban bill now sits on the desk of the governor of Colorado, the last step before the piece of legislation becomes state law. The bill, HB 1345, would ban the use of PFAS in a variety of consumer goods, which follows in the footsteps of several other states that have enacted similar laws. Some states, such as New York and Maine, have taken broad-sweeping approaches to banning "intentionally added" PFAS from consumer goods. Other states, such as Vermont, have enacted product-specific laws banning the sale of PFAS-containing products within the state. Department of Justice Takes Historic Action to Prioritize Environmental Justice in Enforcement: What Does it All Mean and What is Ahead?<https://www.natlawreview.com/article/department-justice-takes-historic-action-to-prioritize-environmental-justice>, May 12, 2022, On May 5, 2022, Attorney General Merrick Garland announced key developments that would elevate environmental justice (EJ) as a key priority for the nation's largest and most powerful enforcement agency. These historic measures include: (1) Release of the U.S. Department of Justice's (DOJ) Comprehensive Environmental Justice Enforcement Strategy ("DOJ EJ Strategy"), pursuant to Executive Order (EO) 14008 (Tackling the Climate Crisis at Home and Abroad) and developed by DOJ's Environment and Natural Resources Division (ENRD) and the U.S. Environmental Protection Agency's (EPA) Office of Enforcement and Compliance Assurance (OECA); (2) Establishment of DOJ's first Office of Environmental Justice (OEJ), led by Cynthia Ferguson - a long-time agency veteran and seasoned litigator, with decades of experience in environmental enforcement and who has convened several EJ working groups in years past; and (3) Plans to issue an Interim Final Rule to restore the agency's qualified authority to use supplemental environmental projects (SEPs) in criminal and civil settlement negotiations, which largely adopts the pre-2017 approach with some limited exceptions outlined in a related memorandum outlining anticipated guidelines and limitations. Electric Vehicle Sales Remain A Bright Spot in Industry, Outpace Demand<https://www.natlawreview.com/article/electric-vehicle-sales-remain-bright-spot-industry-outpace-demand>, May 11, 2022, Electric vehicles are a hot topic in the auto industry, despite representing a relatively small segment of the current market. As the sales numbers for 2022 continue to take shape, it is clear that 2022 is representing a strong growth year for the EV market, with broader recognition amongst consumers, sales bucking the down-market trends, and demand outpacing supply. Fortune termed Q1 a "blockbuster" quarter for electric vehicles. Battery-electric vehicles are continuing their climb to new heights of popularity in the U.S., with a 60% jump in registrations in Q1 of 2022. Tesla models comprised 75% of those sales in Q1 2022, but a wider swath of automakers are starting to make inroads to the electric vehicle market, in turn accelerating the growth of the broader EV market. In contrast to EV growth, the overall auto industry experienced a 15.3% decline in new vehicle sales during Q1. U.S. Department of Energy Finalizes Rules to Impose Stringent Efficiency Standard on Most Lamps<https://www.natlawreview.com/article/us-department-energy-finalizes-rules-to-impose-stringent-efficiency-standard-most>, May 2, 2022, The U.S. Department of Energy (DOE) has finalized new, more stringent efficiency requirements for most lightbulbs on the market. In August 2021, DOE proposed reinstating the Obama Administration's revised definitions of general service lamp (GSL), general service incandescent lamp (GSIL), and other supplemental definitions that imposed federal efficiency standards on a wide array of lamps. In December 2021, DOE proposed to apply a more stringent 45 lumens per watt (lm/W) standard to all of these lamps, a change with major implications for lamp manufacturers, distributors, and retailers across the United States. These rules are now final and will be effective, respectively, 60 and 75 days after their publication in the Federal Register. However, full enforcement will not begin until January 2023 (manufacture and import) and July 2023 (retail and distribution). On JD Supra Business Advisor Environmental Updates<http://www.jdsupra.com/law-news/environmental-law/>: Fundamental Reforms to Environmental Law in Vietnam<https://www.jdsupra.com/legalnews/fundamental-reforms-to-environmental-7623605/>, May 16, 2022, Spanning over 300 pages, the new environmental protection legislation includes fundamental changes in how projects are evaluated by the authorities for environmental approval, permitting mechanisms and more stringent environmental protection liabilities including requirements for extended producer responsibility to be phased in. In this note, we highlight seven themes underlying the notable changes in the new law and their anticipated impacts on doing business in Vietnam. Recommending Federal Discharge Standards for PFAS in Aquatic Life<https://www.jdsupra.com/legalnews/recommending-federal-discharge-4324541/>, May 13, 2022, Known as "forever" chemicals, many PFAS compounds are found in the blood of people and animals all over the world. They also present at low levels in various food products and in the water, air, fish and soil in many areas. Many environmental advocates have called for the U.S. Environmental Protection Agency (EPA) to set enforceable federal discharge standards for PFAS under the Clean Water Act. Currently, no such federal regulations exist. Water utilities in various states have expressed concern that these types of regulations would leave them - and their customers - stuck with hefty bills to remove PFAS from drinking water. Further, litigation surrounding PFAS has become prolific - including claims of personal injuries from contaminated drinking water, diminished property values based on soil contamination and costs of remediating water and soil contaminated with PFAS. While the litigation originally centered on manufacturers of PFAS chemicals, it has expanded in recent years to include companies in the supply chain, and will only keep expanding. Biden Administration Reinstates Supplemental Environmental Projects as Enforcement Tool<https://www.jdsupra.com/legalnews/biden-administration-reinstates-1769179/>, May 12, 2022, As part of the Biden Administration's overall strategy of enhancing environmental justice, the Department of Justice (DOJ) and Environmental Protection Agency (EPA) jointly announced last week the return (with modifications) of an old environmental enforcement tool-the Supplemental Environmental Project (SEP). Reflecting hostility to expansive use of environmental enforcement both by EPA/DOJ and through citizen suits, the Trump Administration's Justice Department issued a memorandum on June 5, 2017, to prohibit settlement provisions that called for contributions to third parties. Those contributions were typically for the purpose of carrying out SEPs, environmentally useful projects executed by the third party and paid for by the defendant to offset some of the latter's potential civil or criminal penalty risk. EPA Puts Ethanol Back in Play to Keep Gas Prices at Bay<https://www.jdsupra.com/legalnews/epa-puts-ethanol-back-in-play-to-keep-9180046/>, May 6, 2022, On April 29, 2022, the U.S. Environmental Protection Agency officially suspended the ban on sales of gasoline blends with a higher concentration of ethanol. This suspension came two weeks after President Biden's vow to lift the ban in order to counteract the increased gas prices attributed to Russia's incursion into Ukraine. The suspension went into effect on May 1. E15, or fuel with 15% ethanol, is traditionally banned during the warmer months-June through October-in an effort to combat the production of smog. In the current socio-political environment of skyrocketing gas prices negatively affecting the U.S. economy, however, the EPA, working with the U.S. Department of Energy, determined that it would be in the public interest to permit the sale of E15 this season. From Here to There: Challenges in meeting sustainable aviation fuel targets<https://www.jdsupra.com/legalnews/from-here-to-there-challenges-in-1279222/>, May 3, 2022, During the last several years, airlines have announced aggressive ESG targets. A significant component of many of these targets is the need for airlines to source more sustainable airline fuel and become less reliant on traditional jet fuel. As can be seen from the graph below, the supply of expected sustainable airline fuel that would be needed to achieve net zero by 2050 would require a significant increase, which represents a compelling opportunity for developers and financiers. California Announces First Statewide Microplastics Strategy<https://www.jdsupra.com/legalnews/california-announces-first-statewide-1164143/>, May 3, 2022, On February 23, 2022, California's Ocean Protection Council (CAOPC) approved a comprehensive Statewide Microplastics Strategy in response to concerns over the potential environmental and health impacts of microplastic pollution in the marine environment. The Strategy, a first in the nation, outlines early actions and research priorities that may provide a foundation for subsequent efforts to address microplastic pollution on a statewide level. In this sense, the Strategy is not a regulatory action but, rather, a policy initiative, which, if implemented, will give rise to future regulations. Enjoy, Gene [http://clients.bbklaw.net/images/logos/bbklogohires.jpg]<http://www.bbklaw.com/> Gene Tanaka <https://www.bbklaw.com/our-team/gene-tanaka> Partner gene.tanaka@bbklaw.com T: (925) 977-3301 C: (951) 334-7261 www.BBKlaw.com <http://www.BBKlaw.com> [http://clients.bbklaw.net/images/logos/LinkedIn-rescaled.jpg] <https://www.linkedin.com/company/bestbestkrieger/> [http://clients.bbklaw.net/images/logos/Twitter_logo_white.jpg] <https://twitter.com/BBKlaw> This email and any files or attachments transmitted with it may contain privileged or otherwise confidential information. If you are not the intended recipient, or believe that you may have received this communication in error, please advise the sender via reply email and immediately delete the email you received.