The California Environmental Quality Act has been blamed for holding up affordable housing, economic development, urban revitalization and public works projects. This year, however, marks the first time that CEQA has ever held up the state budget.

We reported in July about efforts of environmental groups and Attorney General Jerry Brown to make global warming a consideration during CEQA reviews, and we followed up with a blog entry about how business and development interests were requesting "urgent legislation action" to head off the enviros.

Democrats who control the state Legislature have no interest in such legislation, but Republicans apparently do. Republicans in the Senate are refusing to vote for a budget unless there is CEQA "litigation reform." The Republicans insist that global warming should not be a CEQA issue until the state adopts regulations implementing AB 32, last year's greenhouse gas reduction bill. Check out the Republican press release, "CEQA Litigation Reform Protects Taxpayers."

Democratic Sen. President Pro Tem Don Perata counters that Republicans are only trying to protect "developers and oil refineries." Check out his press release, "I Will Not Bargain On California's Environment."

I haven't a clue who might win this one. Both sides appear to have their heels dug in pretty well, and Gov. Schwarzenegger, who appears more estranged from his party all the time, is not even in town.

What is clear, though, is that the sides recognize the stakes. The pro-development side argues that if global warming becomes a routine item for CEQA consideration, the environmental review process is going to get more complicated, longer and more expensive. The pro-environment side argues that such considerations would encourage projects that rely less on automobiles, which generate most of the greenhouses gases in California, and that fewer auto-dominated projects would be a good thing for multiple reasons.

Yes, this really is a big deal. Too bad such an important policy consideration is caught up in secret negotiations and party politics.

- Paul Shigley