Gov. Gavin Newsom vetoed a bill by state Sen. Catherine Blakespear that would have tightened environmental rules for factories built near homes and schools.

Blakespear, a Democrat from Encinitas who represents Senate District 38, authored Senate Bill 954 to narrow a California Environmental Quality Act (CEQA) exemption. The Legislature granted that exemption to advanced manufacturing facilities in 2025. The bill responded to a chemical incident at GKN Aerospace in Garden Grove, Orange County, in May 2026 that forced the evacuation of roughly 50,000 people, CalMatters reported.

Newsom dated his veto letter Friday, Sept. 18. In it, he said the bill's new siting, emissions and operational requirements would make the narrower exemption impractical for many projects it was meant to support, according to Manufacturing Dive. He called signing the bill "preemptively rolling back our progress" on building, according to Voice of San Diego.

Blakespear, who chairs the Senate Environmental Quality Committee, pushed back. She told Voice of San Diego that the veto reflected a broader political climate around environmental law.

"I think what's happening is this bigger clash between a desire for the abundance movement to be successful, and adequately protecting the environment," Blakespear said.

She said she plans to raise the issue again next year.

What the bill would have done

Under SB 954, only facilities handling the final stages of production would have kept the CEQA exemption, according to CalMatters. The rest would have faced new requirements before breaking ground near residential areas.

Business groups including the Bay Area Council and the California Manufacturers & Technology Association opposed the bill, arguing it would stunt economic development, CalMatters reported. Environmental organizations broadly supported it.

Newsom framed his veto as protecting the manufacturing reforms he championed. He said in his veto message that protecting communities and strengthening advanced manufacturing are not mutually exclusive, and that the exemption should be given a chance to work, according to CalMatters.

November race

The veto lands weeks before Blakespear faces voters in a competitive race. She flipped District 38 from Republican to Democratic in 2022 and is seeking re-election for the first time against Republican Laura Bassett, according to a CalMatters voter guide. District registration stands at 37% Democratic, 32% Republican and 23% no party preference.

UC Riverside political scientist Shaun Bowler told Voice of San Diego that even vetoed bills serve a purpose for lawmakers in tight races. Introducing legislation gives a candidate something concrete to show voters, he said, calling it "inoculating themselves against missteps on the campaign trail."

Blakespear holds a 100% score with the Sierra Club and California Environmental Voters, according to Voice of San Diego. But her record is more complicated: she did not vote for the state's major housing budget bill last year or for Senate Bill 79, which eases apartment construction near transit.

Blakespear and Bassett face voters Tuesday, Nov. 3.