Title
State Environmental Policy Act Categorical Exemptions Briefing
Recommended Action
Committee Recommendation:
Not referred to a committee.
City Manager Recommendation:
Discuss options available to raise State Environmental Policy Act (SEPA) exemption levels.
Report
Issue:
Whether to discuss options available to the to raise SEPA exemption levels.
Staff Contact:
Nicole Floyd, Principal Planner, Community Planning and Development, 360.570.3768
Presenter:
Nicole Floyd, Principal Planner, Community Planning and Development
Background and Analysis:
The State Environmental Policy Act (SEPA) was enacted in 1971 as a way to help communities evaluate a broad range of potential environmental impacts when making decisions . At the time, there was not a statewide consolidated growth strategy, nor the level of regulations now in place that act to protect communities from unplanned growth. Now, more than 50 years later SEPA remains a prominent component of our regulatory framework.
Since the 1970s, applicants have been required to fill out an Environmental Checklist to evaluate the various ways in which a project might affect the environment. The checklist is 17 pages long and asks detailed questions about impacts such as sewer, water, storm and wastewater, parks, traffic, cultural resources, and wetland and stream habitats. The Washington Administrative Code has a list of project types cities can exempt from SEPA review.
The list has expanded over time. This is primarily because regulatory requirements have changed and the SEPA checklist is no longer the only tool available to jurisdictions to mitigate impacts associated with growth. With the introduction of the State Growth Management Act, Shoreline Management Act, State stormwater and Critical Area Regulations. there is now a much stronger regulatory framework available to cities to ensure environmental issues related to new development can be adequately addressed.
While the State has increased the allowable exemptions several times since the 1970s, the City of Olympia has only increased citywide threshold exemptions once in 2002. Exemptions relating to residential projects downtown only were adopted in 2017. City staff now recommend consideration of raising exemption thresholds further. The extent to which exemptions can be raised is significant as outlined in the attached comparison chart.
By exempting more projects from SEPA, the City would be relying on development regulations to address the potential impacts from a project. For most projects, the SEPA Checklist and review process result in a finding that the City’s regulations adequately address the project impacts and no additional mitigation is needed. Occasionally, there are anticipated impacts beyond the boundaries of the site which trigger mitigation requirements through SEPA. While rare, careful evaluation of past mitigation is illuminating as it helps identify potential gaps in code. Based on this, the primary gap identified relates to transportation/street connectivity. Further study and evaluation in this regard is warranted. Staff believes that additional code language similar to the language provided in code related to Downtown exemptions would be suitable to address gaps.
Increased SEPA exemption thresholds, as permitted by the State would reduce permit processing time and cost to the applicant. It would be a reduction in a barrier to affordable housing and should be carefully considered as an approach to addressing the housing crisis.
Neighborhood/Community Interests (if known):
The community has a strong commitment to environmental protection and ensuring public process/involvement in permitting processes. The modification would not reduce public input opportunities, nor would it result in reduced environmental protections.
Climate Analysis:
The code changes are unlikely to appreciably affect greenhouse gas emissions. The Comprehensive Plan will be implemented, and review for compliance with code will occur.
Equity Analysis:
The proposal is likely to be beneficial for equity as it is costly to hire consultants to fill out the Environmental Checklist.
Financial Impact:
None, processing of code amendments is covered by the department’s annual budget.
Options:
1. Discuss options available to raise State Environmental Policy Act (SEPA) Exemption Levels.
2. Do not discuss options available to raise State Environmental Policy Act (SEPA) Exemption Levels.
3. Take other action.
Attachments:
State Environmental Policy Act Comparison Chart