AB 40, the Community-First Coal Review Act, Heads to Governor Newsom

Today, the California Legislature passed Assemblymember Mia Bonta's (D-Oakland) AB 40, the Community First Coal Review Act, sending the bill to Governor Gavin Newsom's desk. The bill directly responds to concerns from East Bay residents about a coal terminal being opened in their backyard based on an outdated Environmental Impact Report that failed to properly consider coal.

"My role as a legislator is to be a voice for the beautiful people of Oakland, Alameda, and Emeryville, particularly for the most vulnerable among us, who have too often been overlooked and neglected by our political system. So when the Trump administration attempts to bring millions of tons of coal to California, the voices of my constituents are front and center in how we must respond. In passing AB 40 today, we said no to coal. We said no to Trump. We said no to continuing the harmful impacts of environmental racism. No matter where in California Trump tries to send his coal, our communities deserve an accurate and complete picture of the environmental impact that such a project would bring," said Assemblymember Mia Bonta. "I hope Governor Newsom will sign this bill as an opportunity to extend California's legacy of standing up to Trump and the fossil fuel industry."

The bill responds directly to the Trump administration's June 2026 announcement of $700 million in federal funding under the Defense Production Act to expand coal infrastructure nationwide, including $75 million directed toward construction of a coal export terminal in California, currently directed at the former Oakland Army Base. The terminal has a documented design capacity of upwards of 9 million short tons of coal annually. If built, the facility could send multiple coal trains through California communities on open train cars nearly every day for decades.

"This is a huge win for West Oakland," said Veronica Eady, Executive Director of the West Oakland Environmental Indicators Project. "We've fought against industrial pollution and corporate greed for decades, so we're not about to let a major polluter come into our neighborhood without studying their impact, putting mitigations in place, and bringing community members to the table around decisions that affect their lives. We look forward to getting Assembly Bill 40 to the finish line. West Oakland will not become a sacrifice zone for the fossil fuel industry."

AB 40 requires a full Environmental Impact Report under the California Environmental Quality Act before any large-scale coal handling, storage, or export facility exceeding 5 million short tons per year can receive a discretionary approval. The bill requires an updated environmental review whenever the type of coal changes, the quantity of coal significantly increases, or a facility's design capacity newly crosses the 5-million-ton threshold, and requires any such facility to evaluate and mitigate its fugitive dust emissions. Its provisions would apply to any discretionary approval pending or made since June 4, 2026.

West Oakland was selected as a first-year priority community under the Community Air Protection Program established by AB 617 (C. Garcia, 2017), reflecting its documented high cumulative air pollution burden from industry activity and adjacent Interstates 580, 880, and 980. The life expectancy for an African American child born and raised in West Oakland is at least 15 years less than for a white child raised in wealthier Oakland neighborhoods.

"We thank the legislature for believing in this bill and voting to protect Californians from toxic coal pollution. Now we need Governor Newsom to take us over the finish line to protect our state from the Trump administration's dirty coal project," said Ada Waelder, Earthjustice Sr. State Legislative Representative.

Governor Newsom will have until September 30th to sign AB 40. The bill represents an extension of the Assemblymember's environmental justice efforts; in 2024, Assemblymember Bonta authored AB 2851, establishing fence-line air quality monitoring at metal shredding facilities, including the Schnitzer Steel facility located immediately adjacent to the proposed West Oakland terminal site.