To: Board of Supervisors
From: John Kopchik, Director, Conservation and Development
Report Title: Marathon Martinez Refinery Renewable Fuels Project (County File CDLP20-02046)
☒Recommendation of the County Administrator ☐ Recommendation of Board Committee
RECOMMENDATIONS:
1. CERTIFY that the Final Revised Environmental Impact Report for the Marathon Martinez Refinery Renewable Fuels Project (State Clearinghouse No. 2021020289) was completed in compliance with the California Environmental Quality Act (CEQA), was reviewed and considered by the Board of Supervisors in connection with project approval, was completed in compliance with the Contra Costa County Superior Court’s July 20, 2023 statement of decision and August 23, 2023 peremptory writ of mandate, and reflects the County’s independent judgment and analysis.
2. ADOPT the CEQA findings for the project.
3. ADOPT the Revised Mitigation Monitoring and Reporting Program for the project.
4. ACKNOWLEDGE that: the Board of Supervisors certified a final environmental impact report (the “2022 EIR”), adopted CEQA findings and a statement of overriding considerations for the project, and approved the project when it approved the land use permit (CDLP#20-02046; the “LUP”) on May 3, 2022; the Superior Court only partially decertified the 2022 EIR, specifically limited to Chapter 4, Section 3.3 Air Quality, Mitigation Measure AQ-2 of the 2022 EIR, and the remaining portions of the 2022 EIR remain certified and valid; the CEQA findings unaffected by the REIR and the entirety of the statement of overriding considerations remain adopted; the Superior Court did not rescind, modify, or invalidate the LUP; and the LUP remains in effect.
5. DIRECT the Department of Conservation and Development to file a CEQA Notice of Determination with the County Clerk and the State Clearinghouse.
6. SPECIFY that the Department of Conservation and Development, located at 30 Muir Road, Martinez, CA, is the custodian of the documents and other material which constitute the record of proceedings upon which the decision of the Board of Supervisors is based.
7. AUTHORIZE the County Counsel, or designee, to file a return to the peremptory writ of mandate issued in Communities for a Better Environment, et al. v. County of Contra Costa, et al., Contra Costa County Superior Court Case No. N22-1091, and to request that the Court discharge the writ.
FISCAL IMPACT:
The applicant has paid the necessary application deposit and is obligated to pay supplemental fees to cover any and all additional costs associated with the application process.
BACKGROUND:
The California Environmental Quality Act (CEQA) of 1970 (Public Resources Code [PRC] Sections 21000 et seq.) and the CEQA Guidelines (California Code of Regulations Title 14, Section 15000) require a public agency with discretionary authority to issue a permit or other approval to evaluate the environmental impacts of its action. Tesoro Refining & Marketing Company LLC, an indirect and wholly owned subsidiary of Marathon Petroleum Corporation (applicant) submitted a Land Use Permit (LUP) application for its proposed Marathon Martinez Refinery Renewable Fuels Project (Project) with the Contra Costa County Department of Conservation and Development in 2020. Approval or denial of the LUP is a discretionary action requiring review under CEQA (PRC Section 21080). As the CEQA Lead Agency with discretionary authority for approving the LUP (PRC Section 21067; California Code of Regulations Title 14, Section 15367), in May of 2022, the Board of Supervisors for Contra Costa County (County) certified an Environmental Impact Report (referenced herein as the “2022 EIR”) for the Project as having been prepared in compliance with CEQA and approved the Project.
In June 2022, a CEQA lawsuit was filed in the Contra Costa County Superior Court challenging the certification of the 2022 EIR and the approval of the Project. (Communities for a Better Environment, et al., v. County of Contra Costa, et al., Contra Costa County Superior Court Case No. N22-1091.) On July 20, 2023, the Superior Court, the Honorable Edward G. Weil presiding, issued a Statement of Decision in which the Superior Court concluded that the 2022 EIR was adequate on all counts, except only in its discussion and deferral of odor mitigation and remanded to the County for reconsideration of the mitigation measures for the Project’s odor impacts only (refer to Appendix A). On August 23, 2023, the Superior Court entered judgment and issued a peremptory writ of mandate to the County to partially decertify the 2022 EIR, specifically limited to Chapter 4, Section 3.3 Air Quality, Mitigation Measure AQ-2 of the 2022 EIR, and to conduct further environmental review in compliance with CEQA to remedy the issue identified in the Statement of Decision.
In August 2024, the County prepared and released for public comment a Draft Revised Environmental Impact Report (Draft REIR) to address the one issue of odor mitigation measures identified in the Statement of Decision and to conduct further environmental review in compliance with CEQA as directed by the Superior Court. Consistent with the peremptory writ of mandate issued by the Superior Court, the Revised EIR need only address the one issue specified in the Statement of Decision as necessary to achieve compliance with CEQA. The remainder of the 2022 EIR previously prepared and certified by the County was either not challenged or was found by the Court to be in compliance with CEQA and therefore remains valid. The Final 2022 EIR (State Clearinghouse No. 2021020289), to the extent it does not conflict with the additional information provided in the Final REIR, is incorporated therein by reference.
Analyses in the 2022 EIR that were not identified in the Statement of Decision and peremptory writ of mandate as requiring reconsideration have not been revised and were not recirculated in the Draft REIR. Pursuant to CEQA Guidelines Section 15088.5(f)(2), reviewers were notified that their comments should be limited to the revised chapters or sections of the Draft REIR. Pursuant to CEQA Guidelines Section 15088.5(f)(2), written responses were prepared only to comments received regarding the contents of the REIR. Comments were received through September 20, 2024. The Final REIR includes responses to the comments.
The Final REIR is now being considered by Contra Costa County for certification. Certification entails determination by Contra Costa County, as Lead Agency, that the REIR has been completed in compliance with CEQA, that the decision-making body reviewed and considered the information in the REIR, and that the REIR reflects its independent judgment. If the REIR is certified, Contra Costa County will file a return to the writ specifying the actions taken to comply with the writ and take necessary actions to discharge the writ. Once certified, the REIR, together with all remaining portions of the 2022 EIR determined by the Superior Court to be in compliance with CEQA, will comprise the EIR for the project.
CONSEQUENCE OF NEGATIVE ACTION:
Failure of the Board to certify the Revised EIR would mean the pertinent sections of the 2022 EIR remain decertified and inadequate. Consequently, the County would remain obligated to rectify these deficiencies.
Attachments:
A. CEQA Findings
B. CEQA Documents Link (including access to Final REIR, Draft REIR, and 2022 EIR)
C. Revised MMRP
D. 2022 EIR CEQA Findings and Statement of Overriding Considerations
E. LUP
F. CDLP20-02046 Presentation