15273. RATES, TOLLS, FARES, AND CHARGES

• (a) CEQA does not apply to the establishment, modification, structuring, restructuring, or approval of rates, tolls, fares, or other charges by public agencies which the public agency finds are for the purpose of:

  • (1) Meeting operating expenses, including employee wage rates and fringe benefits,

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CEQA Guidelines

• (2) Purchasing or leasing supplies, equipment, or materials,

• (3) Meeting financial reserve needs and requirements,

• (4) Obtaining funds for capital projects, necessary to maintain service within existing service areas, or

• (5) Obtaining funds necessary to maintain such intra-city transfers as are authorized by city charter.

• (b) Rate increases to fund capital projects for the expansion of a system remain subject to CEQA. The agency granting the rate increase shall act either as the Lead Agency if no other agency has prepared environmental documents for the capital project or as a Responsible Agency if another agency has already complied with CEQA as the Lead Agency.

• (c) The public agency shall incorporate written findings in the record of any proceeding in which an exemption under this section is claimed setting forth with specificity the basis for the claim of exemption.

Note: Authority cited: Section 21083, Public Resources Code; Reference: Section 21080 (b)(8) , Public Resources Code.