The measure, Proposition 45, would have made amendments to the California Environmental Quality Act, or CEQA, the landmark 1970 state law requiring agencies to evaluate a project's potential impacts to the environment and to public health.
Jennifer Barrera, CEO of the California Chamber of Commerce, released a statement acknowledging the measure's defeat.
If approved, the measure would have created new environmental review procedures for projects defined as "essential," according to the state's official voter guide. Essential projects could include housing, clean energy, health facilities such as clinics and medical offices, police and fire stations, and education facilities along with energy and transportation projects.
"Endless delays, red tape, and frivolous lawsuits make life more expensive and block the projects Californians need—driving up costs for housing, electricity, and water; wasting taxpayer dollars; worsening wildfire risk; increasing traffic; overcrowding schools; and delaying hospital and infrastructure upgrades," supporters said in the voter guide.
Meanwhile, opponents of Prop. 45 argued the measure would weaken the state's environmental protections and would limit public input on projects.
Opponents included the state Democratic Party, environmental groups including the Sierra Club and labor groups including the California Federation of Labor Unions and the State Building and Construction Trades Council of California.
The measure was also opposed by housing advocates at East Bay for Everyone and the Greenbelt Alliance, amid concerns about sprawl.
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